by Chris Munzing
The $2.77 million will be distributed among nine city employees, with $1.3 million going to retiring police officers. City Manager Harold Porr would not provide names, positions, the number of recipients in the police department or the amounts owed to any of the recipients. Councilman Denis Kelly would only say that some of the figures were "staggering."
The budget note passed unanimously, but drew the ire of several in attendance. Members of the public were incensed that the council had to borrow $2.77 million that wasn't anticipated in the current fiscal year's budget, even after the council had to borrow another $2 million at the June 17 meeting to pay for other retirements.
"It's horrific financial management, and it's unacceptable," said Long Beach resident Mark Jackson. He added that the current council was passing measures that would greatly affect the new council, which will take over on Jan. 1. "It's morally and ethically wrong for this council to commit [funds] for an incoming administration," he said.
Jackson urged the council to table the issue and wait for the new council to vote on it, and promised to conduct a forensic audit of the city's finances to make sure that all of the money was going where it should be.
As Jackson's speaking time elapsed and he was asked to sit down by Council President Joel Crystal, he began shouting at the council. "We are going to hold each and every one of you personally liable, especially you, Mr. Crystal," Jackson hollered. "You don't want to hear the truth. And you never did."
The budget note was passed unanimously, even after Councilman Kelly had voted against holding the public hearing at the Dec. 2 meeting. He changed his mind, he said, after going over the details with the new comptroller, Alice Schildkraut.
"We have no choice," Kelly said. "This has got to happen now. After going through this many times with the city manager and our new comptroller, we have no choice but to pass this note now."
Councilman Lenny Remo said those eligible for the retirement pay had to be given what they were due, and that this note was the only way to do it. "We have an aging workforce who are due their just retirement pay," he said. "In years past we haven't anticipated that properly in the budget and put ourselves in this situation."
Also approved by the council was the continued retention of outside counsel in four legal entanglements. One involves the rights, title and interest on land abutting Water Street between Chester Street and Grand Boulevard. The second case has to do with continuing litigation with developer Sinclair Haberman over the Superblock. In the third case, the city faces a lawsuit brought by landlords over the Emergency Tenants Protection Act, which protects rent control in Long Beach. Corporation Counsel William Holst would not discuss the fourth case, because he felt it would compromise the city's position.
Questions were raised by members of the audience about the amount of money being spent on outside counsel. At this meeting alone, $62,000 was committed to outside counsel. Holst said that there was "over $100,000" available for outside counsel, a figure he conceded may not be sufficient to cover the rest of the fiscal year. The city had the same problem in the last fiscal year, when money had to be added to the budget to cover the cost of legal help.
"It is very possible that we will be in the same situation we were in last year," said Holst.
