Mayor wants “work product” on fiscal sustainability

Former mayor and member of the council Warren Kusumoto, who authored the original proposal to exempt the city from the California Values Act.

By David N. Young

While discussing the hiring of a consultant to come aboard to assist the city of Los Alamitos through its serious financial situation, Mayor Warren Kusomoto reminded city manager Bret Plumlee that he wants to know “everything” and that he wants to see a “work product,” not necessarily a “carved out” job for a consultant.

The exchange came after a presentation by Plumlee on the city’s ongoing efforts to address fiscal sustainability. At the city’s last meeting, it was disclosed that the city could be broken in seven years if the financial trajectory was not changed.

“You cannot overstate the importance of this,” said Mayor Pro-Tem Richard Murphy at the council’s last meeting, referring to the acknowledge of the city’s challenging financial situation. “This is bleak. The overall momentum is cascading against us,” he said.

Plumlee was updating the council on their ongoing meetings and strategy and said the city was “fortunate” that Professor David Cain was available to come aboard to help the city plan for the sustainable fiscal future.

Plumlee said the city had budgeted 220 hours for Cain this year and would make an allocation for 440 consulting hours next year should the city want to continue working with him. According to the staff report, Cain would be paid approximately $65 per hour.

“The City is fortunate to have Mr. David Cain available,” said Plumlee, adding that the former “will help us develop our long-term sustainability, community July – educating the community and I’m excited for the possibility.”

Plumlee’s written recommendation said Cain has more than 25 years of experience in leading Finance Departments and developing budgets and long-term fiscal sustainability plans and 45 years of professional managerial experience in both public and private sector finance.

In addition, Cain is the retired Director of Finance and Treasurer for the City of Fountain Valley. Professor David Cain teaches Public Budgeting and Financial Administration, Public Sector Labor Relations, Public Policy Analysis and Human Resource Management at CSUN, CSULB and CalPoly where he brings a practical approach to field of public finance, labor relations, public policy analysis and Human Resource Management, among a number of other qualifications.

Nevertheless, even though the Council had no objection to the recommendation, Kusumoto told Plumlee that “I would caution you” to ensure that any consultant hired on the project is qualified for delivering a result.

“When you start talking about the individual, I get a little bit uncomfortable,” said Kusomoto. “What I want you to understand is the relationship between the position and what we have to get out of it from a work product,” he said, “and how it interacts with the budget standing committee.”

“What this appears is like is that we carved out for a person to have work,” said Kusumoto, and “I know that was the furthest thing from your mind. But for clarity’s sake, we have a need to take an outsider’s view of what we do,” he said, and advised Plumlee to focus on the problem and refer to it as a “work product that you have to produce and this guy (Cain) can help you get there.”

Kusomoto further noted the seriousness of the situation by telling Plumlee “I want to know everything. “I want to see evidence of looking at every possibility,” said Kusomoto, including the possibility that the city outsources all services with contracts, considering the city’s “extraordinary problems.”

Kusumoto noted, however, that the “contract model” is an extreme solution.

While council members Shelley Hasselbrink and Mark Chirco are the city’s appointed representatives on the budget standing committee, Kusomoto made it clear, as did Murphy and member Dean Grose at the last meeting, they want to know every detail regarding the city’s options going forward so they can make informed decisions.

Plumlee said they were making “outstanding progress” developing a long-term plan and they are indeed “looking at everything (option).” With Cain’s help, said Plumlee, the task force will document every potentiality and eventually provide them to the Council – and the community – in a detailed document.

In other action, the city:

  • Heard Chief Eric Nunez introduce newly appointed school resource officer Shawn Watkins and other newly sworn in officers D’Angelo Gossett, Mark Ryan Navarro, of Carson, Eddie Gonzales, of Orange, Kevin Steinhauser, of Long Beach and Records Specialist Veronica Wilson.
  • Heard OC Human Relations Commission spokesperson Becky Esparza they were introducing new tools to enhance civil discourse in communities. “It’s more important now than ever before,” she said, because of the “strife locally and across our nation.”
  • Heard Nunez say reports of crime across the board were down in Los Alamitos, except for aggravated assaults, which were up.
  • Heard a report from James Peterson, Government Relations Manager for Southern California Edison, on its ongoing infrastructure improvements. He said the company serves approximately 27,000 commercial and residential customers in the city, including 16 circuits and 11 substations.
  • Voted to approve parts of proposed changes in Residential parking permits, though they agreed to send the “Carrier Row” section back to the traffic commission for another review.