Letter: What am I missing?

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Can someone please explain?

The outside auditors give the city’s former director of finance a failing grade for financial reporting, ostensibly a core responsibility of his position, in each of the last two years. That same director decides to change audit firms ahead of the normal rotation schedule because the current firm cannot meet his delivery timetable. He manages an entire proposal process, which includes some key errors in assertions, without oversight or approval from the audit committee or the city council.

No explanation is given as to how the failure of the finance department to prepare financial statements that do not require significant adjustments before the audit can even begin has affected or will affect desired timetables.

Now, the former director of finance is the assistant city manager and sits on the dais during council meetings. In many companies, his name would no longer appear on the payroll.

What am I missing? Help me to understand.

Paul McManus, Laguna Beach

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3 COMMENTS

  1. Paul McManus’s letter raises an important question that many of us in Laguna Beach are asking: How did we get to a point where a key figure in our city’s financial mismanagement is not only still employed but has been promoted to assistant city manager? The fact that the former finance director received failing grades from our auditors for financial reporting—arguably one of the most fundamental duties of his role—should have led to serious consequences, not a step up in responsibility.

    This situation is not just a matter of poor judgment; it highlights a troubling culture of unaccountability within our city government. When someone who has failed in their core responsibilities is allowed to continue in a position of authority, it sends a message that standards and oversight are not priorities. It makes us wonder what other failures are being overlooked or tolerated.

    As residents, we need to demand answers and hold our city leaders accountable. The upcoming election provides a crucial opportunity to choose candidates who will prioritize transparency, responsibility, and the effective management of our city’s resources. Let’s make sure that those who represent us are committed to addressing these systemic issues and restoring trust in our local government.

  2. I have tremendous hope in our new City Manager, Dave Kiff, and in the council members who helped bring him to Laguna Beach. His commitment to addressing the weaknesses in our city’s governance and improving the effectiveness of our staff is exactly what we need at this critical time. Dave has already shown that he’s willing to tackle the tough issues head-on, and I believe he can help steer our city in the right direction.

    I encourage everyone to vote for candidates who align with our City Manager’s vision for improving governance culture. We need leaders who will support his efforts to enhance transparency, accountability, and the overall effectiveness of our city’s operations. Let’s work together to ensure that Laguna Beach is managed with the integrity and dedication it deserves.

  3. Paul, what’s missing in our city government appears to be employee accountability.

    My question is: how many outside auditing firms and red flags about the Finance Department operations and performance under this CFO/ACM will it take before our Mayor/Council majority, City Audit Committee and the City Manager address it and demand answers and accountability?

    Anyone handling public funds should be held to the highest employee oversight and performance standards possible.

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