We Need New Leaders or New Auditors

The Press Enterprise Editorial Board endorsed Beaumont’s 3 incumbents based on the following:

Beaumont boasts sound finances and ample reserves, with leaders declaring it, “among the most fiscally sound in California.”

According to the City’s auditing firm – Moss, Levy & Hartzeim – there are some serious financial challenges facing our city. Their last three annual reports show Beaumont:

  • Is negative net assets
  • Has a likely write-off of more than $20 million
  • Has a litigation liability of more than $40 million and does not have the ability to pay
  • Is continuing to run deficits
  • Has multiple internal control deficiencies that have not been mediated for multiple years
  • Has an accounting staff unable to close the books without the auditors needing to identify post material corrections

Here’s what the auditors reported this year:

A material deficit in unassigned fund balance is an indication that the City has had significant deficit spending in its general operations. The General fund is the operating fund of the City with potential RDA advances that cannot be collected. The City will not have working capital to operate if it continues to have operating deficits.

If you really care about the financial future please read the 2012-2013 Internal Controls Report. Click here. If after reading this report our leaders declared Beaumont “among the most fiscally sound in California.”

We either need new auditors, or we need new leaders.

Obviously, I don’t share the PE’s acceptance, at face value, the “leaders’ declaration” of a fiscally sound Beaumont but I do agree with their assessment that “Grappling with these issues, and with all the money at stake, will require a sizeable degree of leadership from the council.”

The problem with the current leadership structure in Beaumont is the leadership is coming from the City Manager and the City’s primary contractor, Urban Logic. The City manager and Urban Logic’s principals don’t live in Beaumont and have never been elected to be our leaders. The leadership needs to come from the people’s elected representatives, not the people’s employees.

Something needs to change and I am the only candidate who is seriously talking about change. Please take a look at my Common Sense Six Point Plan for a new chapter in Beaumont.

If I have your vote, it’s because you believe it’s time for some common sense change. If I am elected, I will be on a council with four council members who don’t believe there’s any need to change. If I am NOT elected, nothing will change. We will continue to run deficits, and according to our auditors, if we continue to run deficits we will no longer have the “working capital to operate” the city.

I admit I will be a lone voice for change but I believe there is value in a lone voice asking the questions others don’t believe need to be asked. I believe with respect and sound reason, I can persuade other council members to begin asking the tough questions. If you believe that I can provide leadership to help the council to grapple with the serious issues, I need your vote.

It is unlikely that all 3 incumbents will be replaced in this election. It is possible one incumbent may be replaced, the new council member needs to be bring leadership and new ideas, if not, what’s the point in replacing an incumbent?

My supporters often say to me.  “Lloyd, you have my vote, who else should I vote for?” if you have three considerations and vote for one candidate THE VOICE FOR CHANGE” then you will make your vote stronger by not adding it to the count of those who have NOT STEPPED UP AND VOICE THE NEED FOR CHANGE. —— ONE VOTE.. VOTE FOR CHANGE – LLOYD WHITE