Joe Nelson, The (San Bernardino County) Sun
Posted: 11/03/2011 02:13:47 PM PDT
The San Bernardino County Grand Jury has commissioned a performance and compliance audit of Victorville, the embattled High Desert city's second one in the last two years.
A letter received by the city on Monday from Grand Jury foreman Edward "Ted" Burgnon confirmed that the Grand Jury is now in its unprecedented third year investigating the city.
"This engagement is intended to complement a forensic audit of the accounts and records of the city of Victorville and associated agencies that was requested by the Victorville City Council and conducted for previous grand juries by the firm Kessler International," Burgnon said in his letter.
He said the Grand Jury has commissioned North Hollywood-based Harvey M. Rose Associates LLC to conduct the performance and compliance audit. The company will investigate the operations, accounts and records of the city and the Victor Valley Economic Development Authority.
Kessler International, a New York City-based forensic accounting firm, conducted the audit in 2009 and 2010 at the request of then-Councilman Ryan McEachron, who is now mayor. The San Bernardino County Board of Supervisors approved an allocation of $195,000 for the audit.
In July, Supervisor Brad Mitzelfelt voiced concern when the Grand Jury released its annual report, which did not include any findings from the Victorville audit and investigation.
Mitzelfelt did not return phone calls Thursday seeking comment, and it was unclear how the recently commissioned audit will be funded.
In December 2009, McEachron pushed for the forensic audit amid allegations of shaky finances and reported handshake deals for development projects, mainly at Southern California Logistics Airport.
Earlier that year, the Grand Jury interviewed roughly a half-dozen elected and appointed city officials, inquiring about the city's financial and at least three verbal or handshake deals involving former City Manager Jon B. Roberts, who is now the city manager in Steamboat Springs, Colo.
The allegations also prompted an investigation by the Securities and Exchange Commission, which is still ongoing.
When volunteers were selected for the 2010-2011 Grand Jury, six members of the previous year's Grand Jury were held over for the continuing investigation of Victorville. They were dismissed on June 30, leading some to believe the investigation had been scrapped or handed off to the FBI.
But rumors swirling about a potential FBI investigation have gone unconfirmed.
"The city has had no contact with the FBI in any way," City Manager Doug Robertson said Thursday.
McEachron said he has not received any concrete proof that the FBI is investigating and just wants to see some closure to the whole thing.
"We want to move on.... I think we all deserve a report," McEachron said Thursday.
A news release issued this week by the city summed up its position:
"Inasmuch as the investigation was never concluded we are hopeful the work to be done by Harvey M. Associates LLC and the 2011-2012 San Bernardino County Grand Jury will finally conclude this investigation with a public report. The city and its employees stand ready to fully participate and assist in any way in the completion of this investigation."
Reach Joe via email, call him at 909-386-3874.
Read more: http://www.sbsun.com/news/ci_19257821#ixzz1cmQxw8HU
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