Does the Board of Supervisors Have a Fiduciary Responsibility to the Public?
Being elected officials, the public puts its trust in the Board of Supervisors to represent their interests. The public has an interest in seeing that taxpayer funds are used judiciously for the benefit of the people and are not to be wasted.
After months of research comparing the salaries and benefits of our county executive staff, I have concluded that our Board of Supervisors has failed to monitor the salary increases.
Not only have they failed to hold the line on increases, but they have voted in lock-step approval for the increases, believing that Assistant CEO, Caleb Dardick, and Steve Rose, Director of Human Resources, (responsible for salary negotiations), had given them the correct information.
Nevada County Executive Staff Salaries are Vastly in Excess of Comparable California Counties
The supervisors were told that the salaries of executive staff had been compared to eight other counties of similar population, around one hundred thousand. Maybe they were compared, but staff went ahead and told them the salaries were in line with the other counties when they were not.
Staff salaries across several counties in California. Click/tap the image to enlarge.
Out of the eight counties of comparable population, Nevada County executive staff salaries were much higher than Sutter, Yuba and Mendocino. The remaining five counties, which included Placer and Sacramento, had much larger populations and huge budgets. Taking Placer and Sacramento out of the equation, Nevada County executive staff salaries are by far the highest of the remaining six, and certainly not comparable.
Board of Supervisors Abdicated its Fiduciary Duty to the Public by Handing Nearly All Salary Discretion to CEO
Without ever checking themselves to see if the data was correct, the Board approved by Resolution 22-288, that CEO, Alison Lehman, could give raises and bonuses at her discretion. This Resolution is still in effect and will continue unless a new Resolution is passed rescinding it. This Resolution states as follows:
The County Executive Officer shall establish and maintain a system of performance measurements and goal setting in order to evaluate Senior Executive eligibility for pay-for-performance salary differentials. Although a Senior Executive's anniversary date shall remain intact on an annual basis, Senior Executives are eligible to receive salary adjustments at any time during the year based upon demonstrating superior performance in meeting the County Executive Officer's established goals and objectives. The County Executive Officer is authorized to provide a 2.5%, 5.0%, 7.5%, or 10.0% pay-for-performance salary differential for a period to be determined by the County Executive Officer.
Leaving pay raises solely to the discretion of the CEO is irresponsible at best. Salary and Benefits must always be a reasonable percentage of the total budget.
Board of Supervisors Owes Fiduciary Duties to the Public
The Board of Supervisors, being the elected body to oversee the business of the county, and giving direction to staff, has a fiduciary responsibility to check for themselves that the information given to them by staff is correct. In the circumstance of believing staff had given them the correct information that the salaries of executive staff compared to the other counties, they failed in this responsibility.
It is my view that all public officials, whether elected or on government staff, are engaged in service to the community and are not to use their positions for personal enrichment. They shouldn’t be making more than the governor of California and other state officials.
As fiduciaries of the Public Trust, the supervisors must always display honesty, integrity, and good faith toward their constituents, the People. My feeling is that Hardy Bullock, Sue Hoek, Heidi Hall, and Ed Scofield have failed their constituents in this area. Hall and Bullock touted that they did fact-check the salary comparisons. I don’t see how this is possible when you line up the comparative counties in the spreadsheet.
When voting in the upcoming election, please check the voting record of the incumbent and see if they are protecting your hard-earned tax dollars. Make sure they are giving you the correct information, and not just spouting misinformation relayed to them by staff.
Solutions
Quantitative easing of salaries and benefits bringing them down to 35% of gross revenue, instead of 40%.
A five percent reduction in salary expenses would yield an additional $6,991,334 in funds for core services.
A citizen’s task force should be formed to review the yearly budget and address whether salaries and benefits are impinging on funds for providing core services.
Message to the Board of Supervisors
Do your homework and earn the trust of the public. Earn your vote by protecting the General Fund and making sure there are sufficient funds to accomplish the Board Objectives each year.
