Three planning commissioners and other Dana Point officials, including at least one councilman, went to the bash at the $240-million St. Regis Monarch Beach Resort & Spa. They were entertained by pop music sensation Chris Issak, mingled with TV and movie stars, drank fine wine and were served appetizers that included poached lobster and caviar.

Some of the city officials brought along guests of their own. The hotel spent about $500 for each attendee, but California law prohibits public officials from accepting more than $320 in "gifts" from any single source over the course of a calendar year.

Complicating matters, the St. Regis has asked the city's permission to build a trail that would wend through the resort's 18-hole golf course before ending at the beach. The trail is opposed by many of the resort's neighbors, who say it would be overrun by hotel guests, overcrowd their semi-private beach and harm the area's natural habitat.