Recommendation to request City Auditor to perform an independent review of the Marina Fund (TF403), Tidelands Operating Fund (TF401) and Rainbow Harbor Fund (TF411) expenses within the next 30 days to determine whether or not the Marina Fund is subsidizing the non-marina Tidelands areas, and report findings to the Mayor, City Council and City Manager.  Additionally, request City Manager to direct city staff to provide City Auditor with the information needed to complete the analysis in a thorough and timely manner.
18 1808. I'm sorry, 18. This is a report from the Office of Councilmember Gary DeLong and Councilman Residual, although with a recommendation to request the auditor to perform an independent review of the Marina Fund. Mr. DOANE. Thank you, Mr. Mayor. I'm bring this item forward because boat owners for quite some time had been concerned about inappropriate charges, the marina fund. It become particularly concerning with the potential shortage of funding to commit to complete the rebuild and staff in 2013. Took a look at this and there was a memo in January of 2013 where they felt that perhaps there's $895,000 in charges that might not have been applied appropriately. But then subsequently, they came back after some additional analysis and either the numbers 195 or it could be 488, depending on how you read the memos. There's also some concerned I know Councilmember O'Donnell and others brought up recently. We had talked about the Army Osprey. Marina, was what was the historical should there have there been in the past an ongoing issue where expenses were charged, the Marina Fund, and that probably should have been a Tidelands or another fund. And then finally, I guess it's not clear from this what was correct in 2013, what was corrected this year, what needs to be corrected to make sure that it's certainly proper in for 15 and any trips that might be necessary would occur. So the purpose of this is to ask the city auditor to not recreate the will, but to take a look at the work product and get an understanding of how these determinations were made and then, you know, produce a report back to the council of what it ought to be. So my motion is to approve the recommendation. That. No one seconded. Any public comment on this issue? Please come forward. Identify yourself. You see the yellow light? You have 30 seconds left. Thank you. Good evening, Mr. Mayor and council members. I'm Tom Mays. I live at 4300 Theresa Street in Long Beach, and I am the president of the Long Beach Marina Boat Owners Association. We support this audit for a number of reasons. I think Councilman DeLong highlighted most of them. We want to make sure that marina funds that are supported through our slip fees are used for marina purposes and not other purposes in the city. We do not like the idea of possibly being a cash cow for uses other than the marina. Our concern in the near term and longer term is that the Alamitos Bay rebuild continues on schedule. It's already fallen behind. You know that additional costs have been incurred because of that. And we know that it's the slip fees that pay for that rebuild. We want to make sure that we pay enough, but not too much. We want a first class, world class marina. And for that reason, we are asking that you support this audit to identify sources and uses of funds to perhaps see what is available for that marina rebuild. And the boat owners will happily make up the difference. Thank you. Thank you. Appreciate that. Mr. West, we can count on your full cooperation here. Yes, Mayor. Councilmembers. We do audit the Marina Fund and the Titles Fund annually for the capital through KPMG. I had a chat with Mostow today will participate fully. As you might recall, two weeks ago, the city council directors come back in 30 days with a review of what we're doing with Alameda Space Marina. We're right in the middle of that, and we certainly expect to come back on April 15th with a full report on Marina funds, title and funds that Councilmember O'Donnell talked about that might have switched over to the marina funds that kind of titles back in the eighties. And we'll answer all those questions on the 15th. But in the meantime, I think what Mr. DeLong is looking for is more of a smaller audit regarding the operation of these memos. These memos, contents. And we'd certainly work with Laura Dowd to do that. You know, I share his concern on this. So, I mean, is going to be something I'm going to be paying attention to as well, Mr. West. I want to make sure that the funds that were used in the Marina Fund were and charged off on here were appropriate. And I don't think that should take that long. But I'm going to count on your office's full cooperation here. Mr. DELONG. Mr. West answered the question, and I agree. We're looking for kind of a small just take a review. But, you know, not to recreate the wheel here. And I and at your request, I did talk to the city auditor. I see that she's here. And it's my understanding that she feels that she could complete this with a minimal of amount of involvement from Parks Rec staff as well as financial management. Thank you. Mr. Johnson. Well, thanks, Mayor. And I just wanted to kind of concur and say that, you know, I hope that the city doesn't have to recreate the wheel. So the extent she can look at documents and something else is already being done. I know you already have a lot of work on your plate, Laura, and a lot of other priorities. So certainly we want to get this right as an important project. But I hopefully you can do this within your resources and not re-inventing too much of what's already been done. So thanks for looking at this down. Great. Thank you all. Mr. Ross, you you already broached. And that's that we have somewhat of a historical autopsy to look at how the money's been transferred and take a look in. You know, even even when you come back to us, you can open as to whether using the General Tidelands Fund would be appropriate and would it be beneficial to get this project moving. So thank you. All right. We have a motion in the second and I'd of 18 members cast your votes. Mr. good you. Very good you courtesy address. I support this, but I do not support any attempt whatsoever of putting any sideboards on this audit. Let the city auditor do her job. She's a professional. Let her get inside of all aspects of the Tidelands funds as well as the Marina funds, and see if there's been any Bernie Madoff linking of moneys from one place to another. One figure that comes out of mind to mind that needs to be investigated and it could possibly be used with is if on loan that was the two is the 203 nearly $300,000 that Councilman Garcia concealed from the boat the coastal commission relative to the rouge and the guys to take $300,000 of tidelands money and and give it make it a public gift. So one or two people could see an increase in their investment by the raising of Marine Stadium structure to s, which was a prime a epicenter of nocturnal crime, when, in fact, the Long Beach Police Department shows their records show as produced through the public housing . And this is on the subject. Well, this is a 3000 $300,000 subject. We're talking about moneys from the marina area and tidelands area that could be used to this money that has been purloined off or attempted to purloined under a criminal guise, should be investigated and you should not attempt to silence it, and you should not attempt to put sideboards on it. The city auditor needs to know where that $300,000 is. And whether or not those $300,000 could be used as partially to jump start and refinish this and to complete this project and really rebuild project, even if it has to be. And I'm suggesting what they do is revert back to having the city construct the docks out of wood on a gangway by gangway approach instead of duplicating the very terrible mistake it made. Well, thank you, Mr. Goodyear. We're off the subject now. Thank you. Appreciate we got your point. I appreciate it. Thank you. What's the. Point? Well, your point is you want the auditor to have free hand or she will. Thank you. And we'll report back where that $300,000 is. Absolutely. Thank you. Thank you. All right. We're going to move. Members, cast your vote tonight. A meeting. Motion carries April Chess. Item nine Cookery.