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| Friday, November 19, 2010, 6:00 am State Controller's Audit on state of Bell finances released November 18, 2010 Rizzo Authorized $222,000 payments to Pedro Carrillo's Urban Associates without a formal contract - A Damning Report Editor, WatchOurCity.com Bell, CA - On Thursday November 18, State Controller John Chiang issued a report on the state of Bell's finances. The report, titled "CITY OF BELL Audit Report STATE AND FEDERAL EXPENDITURES, July 1, 2008, through August 31, 2010" states: The report goes on to reveal that "The fact that the former CAO [Robert Rizzo] was able to select vendors without proper approval and without competitive bid raises serious questions about possible conflicts of interest, favoritism, and other improprieties." The State Controller's audit covers a time frame from July 1, 2008 through August 31, 2010. During that period, Bell reported a total of $2,356,018 in "Expenditures". Of that, $710,549 is the "Amount Questioned" in the audit. The previous city manager, Robert Rizzo, authorized payments to several companies without the benefit of a legally binding contract. The auditor found no evidence that Bell city council had approved contracts for these companies, let alone authorized payments. In the case of the current city manager Pedro Carrillo's company, Urban Associates, Inc., a contract was not found nor could Pedro Carrillo produce a copy, yet the city paid the firm a total of $222,000. There is no evidence of any work product which resulted from such payments to Carrillo's Urban Associates. Pedro Carrillo was Bell's official spokesman and defended Rizzo's nearly $800,000 salary early when Bell's corruption scandal broke in the L.A. Times. Carrillo also received contracts from officials in the city of Huntington Park and Maywood at the same time that he was being paid by Bell for as yet undefined, and evidently unauthorized services. On October 12, 2010, a former city councilwoman submitted a public records request to the City Clerk in Huntington Park on behalf of WatchOurCity.com seeking copies of contracts awarded to Pedro Carrillo's Urban Associates, Inc., including total amounts paid to Carrillo. On November 8, the city clerk responded that the city needs more time to gather the information. It is almost 5 weeks and counting since the original request was made, and still no record of total amounts paid to Pedro Carrillo have been issued by Huntington Park officials. Besides Urban Associates, Inc, another company which raised red flags in the Controller's findings was Graffiti Protective Coatings, Inc. (GPC). This company had an authorized contract in place, from July 2008 to June 30, 2009, for which the city of Bell paid a total of close to $200,000. However, once the contract expired in June 2009, the city continued to pay Graffiti Protective Coatings an additional $99,542, unauthorized by city council action. The audit questioned the "legality and propriety of the $99,542 in payments" and states that "City staff members could not provide any documentation to demonstrate that the contract had been extended or a new contract had been issued. Nevertheless, Graffiti Protective Coatings continued to perform services and the city continued to pay for such services after the expiration of the contract. The total amount paid after the expiration of the contract was $99,542." Additionally, "City staff members could not provide any documentation to show that the services from Graffiti Protective Coatings, Inc. were acquired through competitive bids. Without competitive bids, there is a question of possible favoritism or other improprieties." On April 7, 2008, WatchOurCity.com had reported about a highly irregular contract which the city of Huntington Park had awarded to Graffiti Protective Coatings, Inc. ("Graffiti Removal Contract is Awarded to Highest, Most Expensive Bidder, $110,000 More Than Low Bidder"). Graffiti Protective Coatings received the Bell contract in July 21, 2008, according to the Controller's Audit report. Four months before, in April of 2008, the City of Huntington Park also awarded a contract to Graffiti Coatings. While the State Controller questions the legality of continuing payments to GPC after its expiration of its contract in the city of Bell, it also noted that the city of Bell lacked any evidence or record showing the GPC's contract was competitively bid and observed that "Without competitive bids, there is a question of possible favoritism or other improprieties." And yet, within a mere four month difference, in April 2008, Huntington Park city council awarded a graffiti removal contract to Graffiti Protective Coatings Inc. Turns out, GPC, Inc. was not the low bidder, but rather the highest and most expensive bidder, at a premium of $110,000 more than the lowest bidder. WatchOurCity.com posted that "On March 3, 2008, city council majority votes to award a graffiti removal contract for next fiscal year totaling $335,836. The winning contractor, Graffiti Protective Coatings, was one of three bidders." What the State Controller's audit discovered in Bell, also happened with Graffiti Protective Coatings' contract in Huntington Park, that is, it was not competitively bid and "there is a question of possible favoritism or other improprieties". In fact, the low bidder, Superior Property Services, was actually the firm that professional city staff in Huntington Park recommended for award of contract. Superior's bid was for $225,000. City council ignored staff recommendations. Inexplicably, council members John Noguez, Elba Guerrero and Ofelia Hernandez, conspired and willfully ignored city staff recommendation and proceeded to award the graffiti contract to Graffiti Protective Coatings, paying $110,836 more than the low bidder. Pedro Carrillo was at the time also contracted by the city of Huntington Park. ____________________________________________________________ |
Bell City manager
Pedro Carrillo, greets
State Controller John
Chiang at Bell City Hall.
John Chiang donated
$1,200 to Pedro
Carrillo's campaign in
2002.
John Chiang's audit of
Bell hides the fact that
Pedro Carrillo made
$110,000 from the City
of Bell under Robert
Rizzo, and Carrillo's
contract goes missing.
Pedro Carrillo, greets
State Controller John
Chiang at Bell City Hall.
John Chiang donated
$1,200 to Pedro
Carrillo's campaign in
2002.
John Chiang's audit of
Bell hides the fact that
Pedro Carrillo made
$110,000 from the City
of Bell under Robert
Rizzo, and Carrillo's
contract goes missing.
| "On July 24, 2010, the Bell City Council hired Pedro Carrillo, a partner of Urban & Associates, Inc., as the Interim CAO. The newly-appointed interim CAO requested that the SCO audit the City of Bell. In response to this request, the SCO agreed to perform a series of audits including one to review the expenditures of state and federal funding the city received." "For accountability and transparency, it should be noted that the issues identified in this audit report also exist in payments made to the interim CAO’s firm, Urban & Associates, Inc. From August 25, 2008, to June 28, 2010, the city made payments totaling $222,000 to Urban & Associates, Inc. based on approval by the former CAO. Despite making repeated requests, neither city staff nor the interim CAO could provide the SCO auditors with a valid contract to identify the scope of services to be performed by Urban & Associates, Inc. and conditions and terms of payment. We reviewed Bell City Council minutes and city resolutions and found no evidence suggesting that the Bell City Council had approved a contract for Urban & Associates, Inc." |
| Related |
| September 24, 2010 6:00 am WatchOurCity.com State Controller Chiang Covers Up missing $110,000 Contract to City Manager in Bell John Chiang donated $1,200 to Carrillo's 2002 Assembly race. Pedro Carrillo denied that missing contract from City files was for Urban Associates, his firm. said is was for a "different" Urban Associates company. State records shows only one Urban Associates, Inc. |
| 3-8-2010 WatchOurCity.com Southeast Cities Schools Coalition: Funded by city of Vernon, George Cole is Chairman of the board, Teresa Jacobo Treasurer, Pedro Carrillo former Interim Director |
| Thursday, Sept. 16, 2010, 9:00 am, Washington Times, Jeffrey Anderson Brown's lawsuit puts Bell's city attorney in tough spot |
| Wednesday, Sept. 15, 2010, 6:00 am Editor, WatchOurCity.com Home owned by Bell Mayor rented to Carrillo sold to city, now a public park City Manager Carrillo listed his home address behind Bell mayor Oscar Hernandez's Korner Store that is now a city park. |
| Tuesday September 7, 2010, 6:00 am WatchOurCity.com City Manager Contract in Bell: Conflict of Interest Bell city attorney James Casso approved a contract for City Manager in close door session. Contract is made between City of Bell and Carrillo's firm, Urban Associates, Inc., not with Carrillo directly. UAI has contracts with the city of Bell. An employee of Urban Associates is Enrique Aranda, a former employee of George Cole's Oldtimers Foundation. Casso and Carrillo both worked under Robert Rizzo. |
| Friday September 3, 2010, 1:00 pm WatchOurCity.com Pedro Carrillo violated FPPC regulations by hiding identity of campaign Donor Pedro Carrillo, a Robert Rizzo aid, is in violation of FPPC filing requirements. Carrillo hid identity of contributor who in 2002 donated $500. Donor, identified only as "Western Gaming Consultant", is former Bell councilman and convicted felon Pete Werrlein, a Rizzo friend. Bell's purchase of Werrlein's property is under investigation by the State Attorney General. |
| August 24, 2010, Updated 8-30-10 The Editor, WatchOurCity.com Robert Rizzo, George Cole, Pete Werrlein, other Bell officials gave $7,752 to Pedro Carrillo's 2002 Assembly race, more than all southeast cities combined No other city in the southeast gave more money, by more officials, or by more felons, to Pedro Carrillo's campaign than the city of Bell. Carrillo hid Pete Werrlein's donor identity. Pete was convicted of a felony in 1984. |
| August 19, 2010, 6:00 am, WatchOurCity.com Leo Briones lies to Bell Residents about his relationship to BASTA & Bell city manager Pedro Carrillo At Wednesday meeting, Briones said he met Carrillo 5 years ago and ran a campaign against Carrillo; Also said he had nothing to do with BASTA, yet earlier saying he owns BASTA and that "BASTA is going to make me lots of money". Briones's new wife is Face Book friends with Pedro Carrillo's wife. |
| August 20, 2010, 6:00 am, WatchOurCity.com Rizzo donated $1,350 to Pedro Carrillo's campaign in 2002 and hired him as Aid BASTA leadership refuses to ask for Carrillo's resignation. BASTA owner Leo Briones was Carrillo's campaign manager. Briones, who just bought a $1.7 million dollar home in Whittier, is a very expensive consultant. |
| August 20, 2010, 6:00 am, WatchOurCity.com Bell Councilman Velez votes "NO" to hire Pedro Carrillo as city manager, a Rizzo aid Velez was only "No" vote in selecting Pedro Carrillo as Bell's new city manager on a 1 year, $175,000 contract. Councilman Velez, who made only $800, not $100,000 said Carrillo is a Rizzo Aid and he has major concerns about his professional capacity. Mayor Hernandez led efforts to hire Carrillo and Casso, both aids to Rizzo and George Cole. |
| August 20, 2010, 6:00 am, WatchOurCity.com Bell's new city attorney was Rizzo aid in 2003 Bell councilman Velez announced Thursday that new city attorney Jamie Casso was a Rizzo hire in early 2000's. Velez says he has no confidence in anyone connected to Rizzo such Casso or Carrillo. BASTA leadership is run by Leo Briones who managed Pedro Carrillo's campaign in 2002. BASTA's Briones part of deal to hire Casso & Carrillo. Casso was Chief of Staff to former U.S. Rep Esteban Torres |
| August 20, 2010, 6:00 am, WatchOurCity.com State Controller John Chiang gave $1,150 to Pedro Carrillo's 2002 Assembly campaign, according to State campaign filing Reports John Chiang and Pedro Carrillo have a personal & political relationship going back to 2001. |
| Why BASTA is not calling for Carrillos' resignation The Editor, WatchOurCity.com August 12, 2010, 6:00 am Part I: Rizzo, George Cole & John Chiang Donated to Pedro Carrillo's 2001 Assembly Campaign |
| Thursday August 5, 2010, Updated Friday August 6, 2010 The Editor, WatchOurCity.com Pedro Carrillo Takes City of Bell Deeper into Corruption, Follows Rizzo's Policies Bell, CA - Bell's Interim City Manager Pedro Carrillo, a Sacramento Latino Caucus insider, was assistant to Bell's Robert Rizzo. After Rizzo resigned, It was Carrillo who was identified in TV broadcasts as "Spokesman for Rizzo", justifying Rizzo's criminal-level $800,000 salary. Bell's previous mayor for 23 years, George Cole, the intellectual author of Bell's Charter City initiative and high salaries, hired Carrillo back in '08 as director of the Southeast Cities Schools Coalition whose mission is to break away from LAUSD. Pedro runs a sham company called Urban Associates, Inc., noted WatchOurCity.com in a report on Carrillo posted on July 23, 2010. (click here to see full report) |