SAN LUIS OBISPO, Calif. (AP) - Three Central Coast residents are facing prison sentences for burning an 11-foot cross near a black family's Arroyo Grande home.

Jason Kahn, 36, William S… Click to Read More and see additional updates

SAN LUIS OBISPO, Calif. (AP) - Three Central Coast residents are facing prison sentences for burning an 11-foot cross near a black family's Arroyo Grande home.

Jason Kahn, 36, William Soto, 20 and Sara Matheny, 24 pleaded no contest Monday to arson and terrorism-related charges for the March 2011 cross-burning.

The cross was torched in a vacant lot next to a 19-year-old woman's window.

The pleas also included hate crime enhancements and unrelated past convictions as well as present cases moving through the courts.

Kahn is expected to be sentenced on May 21 to 12 years in prison. Soto and Matheny are each expected to get five-year sentences.

A fourth defendant, 32-year-old Jeremiah Hernandez, is still awaiting trial.

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SAN LUIS OBISPO, Calif. (AP) - Trial starts next month for four people charged with burning an 11-foot cross near a black family's California central coast home.

The cross was set ablaze behind an Arroyo Grande home in March 2011.

Prosecutors have charged 32-year-old Jeremiah Hernandez, 36-year-old Jason Kahn, 24-year-old Sara Matheny and 20-year-old William Soto with arson, conspiracy and hate crime allegations. They have pleaded not guilty and they remain in jail.

The prosecutor and four defense lawyers on Thursday ended closed-door plea-bargain discussions, including some attended by the judge, without a deal.

Prosecutor David Pomeroy wouldn't discuss what deals were offered.

The trial date in May hasn't been determined.

A judge has denied a motion to dismiss a terrorism charge in the cross burning case out of Arroyo Grande.

William Soto, Jason Kahn, Jeremiah Hernandez and Sara Matheny will still face count 3, despite Matheny's lawyer filing a motion to have it dismissed.

The other three defendants joined in on the motion.

Back in October, attorneys for the defendants tried to have other counts dismissed, saying they were unconstitutional. That motion was also denied.

The four face arson, conspiracy and hate crime allegations for allegedly burning a cross in front of a black woman's home in Arroyo Grande. Their jury trial is set for February.

The judge presiding over a hate crime case out of Arroyo Grande denied a motion Friday to remove the count that charges the four defendants with burning a cross.

Four people are charged with burning the cross in front of a black woman's home, including William Soto, Sara Matheny, Jeremiah Hernandez and Jason Kahn. They're also charged with arson, conspiracy and hate crime allegations.

The motion Friday is the latest filed individually by one defendant's lawyer, only to be joined in by the other three defendants.

Two weeks ago, the judge denied a motion to allow Hernandez to be tried separately. The judge also denied a motion by the attorneys claiming that certain counts violated the defendants first amendment rights.

A trial date should be set by the end of November.

SAN LUIS OBISPO, Calif. (AP) - A judge says defendants charged with burning a cross near a black family's California central coast home will be tried together.

The 11-foot cross was set ablaze in March behind the Arroyo Grande home.

Prosecutors have charged 32-year-old Jeremiah Hernandez, 36-year-old Jason Kahn, 24-year-old Sara Matheny and 20-year-old William Soto with arson, conspiracy and hate crime allegations. They aren't charged with stealing the cross from St. John's
Lutheran Church.

A San Luis Obispo County judge on Wednesday denied a motion for a separate
trial for Hernandez.

His lawyer says his client would have a better chance alone because he wasn't at the incident and some of the other defendants could testify on his behalf.

A hearing next week will decide when trial will begin.

Information from: Santa Maria Times, http://www.santamariatimes.com/

(Copyright 2011 by The Associated Press. All Rights Reserved.)

A San Luis Obispo County judge has ruled there's enough evidence to go to trial in the case of a cross burning in Arroyo Grande.

William Soto, Jason Kahn, Jeremiah Hernandez and Sara Matheny have all pleaded not guilty to felony charges including terrorism and conspiracy with hate crime enhancements. Officers say the four burned a cross next to a black woman's home in Arroyo Grande. The cross was stolen was St. John's Lutheran Church.

All four appeared Friday for a preliminary hearing. Monday, the judge in the case ruled there's enough evidence to move forward. The defendants will be arraigned in Superior Court later this month.

One of the four people charged with burning a cross in front of a black woman's home in Arroyo Grande, tells us the incident is being blown out of proportion.

Sara Matheny turned to our camera Friday morning in a San Luis Obispo courtroom and made the statement to our KSBY News photographer. She appeared in court with co-defendants William Soto, Jason Kahn and Jeremiah Hernandez.

Their attorneys were filing a motion in the case, but the defendants joked, smirked even laughed before the hearing. At one point, the bailiff had to ask them to watch their language.

Charges against the four include felony arson, terrorism and conspiracy. They all pleaded not guilty for the March 18th incident.

The four are due back in court September 7th.

Nearly four months after a cross burning outraged a local community, four people are behind bars, accused of the crime.

The Arroyo Grande Police Chief says it took several agencies and more than 5,000 hours of investigation to link the four suspects to the crime.

On March 18 someone burned a cross next to a black woman's home in the 100 block of South Elm Street. Police have been investigating the incident as a hate crime. Officers say the cross was stolen from Saint John's Lutheran Church.

The suspects were arrested on unrelated charges and booked into San Luis Obispo County Jail before Friday's charges were filed. Officers and city leaders are hoping the arrests can bring some closure to the victim, her family and the community.

"My understanding at this point is that the motive in this case was simply to terrorize the victim," said Arroyo Grande Police Chief Steve Annibali.

The suspects include 20-year-old transient William Soto, 36-year-old Jason Kahn of Orcutt, 32-year-old Jeremiah Hernandez and 24-year-old Sara Matheny, both transients from San Simeon.

All four face felony charges of arson, cross burning, terrorism and conspiracy, all with hate crime enhancements. Kahn also faces a charge of witness intimidation.

"As far as an organized gang or hate group, there is some evidence of concern that we have regarding that," Annibali said.

Officers worked closely with several agencies, including the Sheriff's Department, FBI, the Anti-Defamation League and the local chapter of the NAACP.

"I thank the City Council and everyone for embracing us and being open to what we had to say," said Lawanda Lyons-Pruitt, president of the Santa Maria and Lompoc NAACP.

So as the district attorney works to build its case against the four suspects, city leaders are focusing on the future.

Arroyo Grande Mayor Tony Ferrara issued a statement saying, "Despite the fact that our city was shaken by this crime, it did provide an opportunity for us to become better educated on matters relating to diversity."

Officers say the suspects had seen the victim before but they did not have a relationship with her. Meantime investigators are still looking into the theft of that cross from Saint John's Church. At this time officers do not believe these suspects were involved in the arson behind the Arroyo Grande Police Department back in April.

The Arroyo Grande Police Department has announced they have made four arrests in a case where a cross was stolen from a church and burned next to the yard of an African-American woman.

Police say 36 year old Jason Kahn, 20 year old William Soto, 32 year old Jeremiah Hernandez and 24 year old Sara Matheny were all arrested in the case.

They are all charged with arson, terrorism, and conspiracy amongst other charges.

KSBY will have the full report tonight at 5pm.

The Arroyo Grande Police Department says it will make a "major announcement" in the Arroyo Grande cross burning case Friday.

Officers will hold a press conference at 2p.m. at city council chambers. Representatives from the Arroyo Grande Police Department and other law enforcement agencies who assisted in the extensive investigation, as well as city leaders and community groups will be present. KSBY will be there to bring you the very latest.

In the overnight hours of March 18, officers say someone burned a cross in the yard of a woman's home in the 100 block of South Elm Street.

It's being investigated as a hate crime, because the person living at the home is black.

Officers say the cross was stolen from Saint John's Lutheran Church before it was burned.

The city of Arroyo Grande reassured the public tonight it is doing all it can find those responsible for burning a cross near the home of a mixed-race family.

The 11-foot cross was burned in the 100 block of South Elm Street. The mother tells KSBY News her family is the victim of racism since she's white, her husband is black, and their 19-year-old daughter is mixed.

Investigators identified the pieces of wood as parts of a cross stolen from Saint John's Luthern Church in February or March.

They are calling the incident a hate crime, arson, and theft.

"I'm just sickened that a family had to go through this," said Patty Welsh of Arroyo Grande.

"We need to deal with it and take the appropriate action to educate the community," said Lawanda Lyons-Pruitt, President of the local NAACP Chapter.

A lot of people who live Arroyo Grande want their city leaders to do everything in their power to find those responsible for the cross burning.

"Just the thought of waking up and seeing a cross that is bigger than me and bigger than any of you ignited. . .it's very frightening to me," said Arroyo Grande High School Student Carolyn Hinson.

The city and police department say they have always treated this incident as a hate crime, despite reports in some media downplaying their initial reactions.

"To think that any individual would consider this to be some sort of prank is absolutely absurd," said Ryan Page, with Arroyo Grande High School's Gay Straight Alliance.

"We initiated an unprecedented amount of response from the federal, state, and our local partners in law enforcement," said Arroyo Grande Police Chief Steven Annibali.

The police department has stepped up patrols in the area where the crime happened. Officers are also circulating flyers at Saint John's Lutheran Church, where they say the cross was stolen. Many hope those living nearby will come together and come forward with information.

"A home is where you're supposed to feel safe and secure. You're not supposed to be afraid of what's out there," Hinson said.

One woman at Tuesday night's meeting asked the city to setup a fund for people to contribute their own money for a reward. The city says it will look into it.

It is already offering a $2,500 reward for any information leading to an arrest. Crimestoppers is also offering a $1,000 reward. You can remain anonymous.

The FBI, California Department of Justice, the San Luis Obispo County Sheriff's Office, and the District Attorney's Office are all involved with the case.

Police say this is just the third hate crime in Arroyo Grande in the last 15 years, the lowest number in San Luis Obispo County.

Arroyo Grande police are investigating a hate crime.

On March 5th, Saint John's Lutheran Church reported its eleven foot cross had been stolen. Then, around 12:30 Friday morning police got called to the 100 block of South Elm Street. A family was frightened after finding the stolen cross burning in their front yard.

Michele Worthington, a neighbor, says she's seen racism and discrimination in Arroyo Grande. She said, "It's not necessarily about race, it's about hatred."

Charred pieces of wood now mark the spot where the eleven foot cross was burned. The mother tells us she believes her family is the victim of racism since she's white, her husband is black and their 19-year-old daughter is mixed.

Chief Steven Annibali of the Arroyo Grande Police Department said officers "have no information on active hate groups in this area." Police are still looking for the suspect or suspects responsible for this terrible crime.

But in the meantime, the pastor of Saint John's Lutheran Church hopes good will come from the bad. Pastor Randy Ouimette said, "We had many, many contacts by strangers who said our hearts go out to you."

Out of that, came something good. The pastor says a business in San Luis Obispo donated a new cross now in the sanctuary. The congregation also now wants to help the family involved in the hate crime by giving them a prayer quilt. Pastor Ouimette said, "I prayer for healing and strength for this family."

As for that neighbor, she has an interesting background. She grew up out-of-state, near a group of KKK members and was exposed to racial hatred. Worthington said, "I think we need to take a stand and say no to the negativity and the hatred and the different things that come across out minds and reach out more to our neighbor."

The church keeps the cross in the sanctuary for lent and then takes it down to the beach for its Easter service. The donated cross was once used at a Los Olivos church until it was remodeled.

The city of Arroyo Grande is offering a $2,500 reward if you can help them track down who's responsible.. San Luis Obispo County CrimeStoppers is also offering a $1,000 reward.

A cross is burned outside the home of an Arroyo Grande family and police have now confirmed they are investigating it as a hate crime.

Even more disturbing, it turns out that burned cross was also involved in another crime.

It was stolen from an Arroyo Grande church earlier this month.

Saint John's Lutheran Church reported on March 5th that its eleven foot cross had been stolen.

Then, just after midnight on Friday authorities were called to the 100 block of South Elm Street.

A family was frightened after finding a cross burning in their front yard.

KSBY News Reporter Monica Quintero will have reaction from neighbors and the latest on the investigation on KSBY News at 5 and 6.