HomeMy WebLinkAbout14 - Civic Center Audit—Records Production Update14-1
NEWPORT BEACH
City Council Staff Report
COUNCIL STAFF REPORT
CITY OF
March 22, 2016
Agenda Item No. 14
ABSTRACT:
On June 16, 2015, C.W. Driver’s President, Dana Roberts, informed the City Council
that C.W. Driver would fully cooperate with the City of Newport Beach’s (“City”) audit of
the Civic Center project. At the February 23, 2016 City Council meeting, Mayor Pro
Tem Kevin Muldoon asked the City Attorney’s Office whether C.W. Driver had fulfilled
its commitment to assist the City with the audit. At the time of the inquiry, the City
Attorney’s Office had not received any documents from C.W. Driver, despite repeated
requests to, and assurances from, both C.W. Driver’s President and General Counsel
that documents were forthcoming. After the City Council’s inquiry on February 23,
2016, C.W. Driver began producing responsive records to the City and its auditors.
RECOMMENDATION:
Receive and file.
FUNDING REQUIREMENTS:
There is no fiscal impact related to this item.
DISCUSSION:
At the June 16, 2015 meeting, the City Council directed that a post-construction audit be
performed of the Civic Center project. As noted at the time, post-construction audits of
major projects are standard practice in the public and private sector and ensure that
future projects are constantly improving. At the time of the City Council authorization of
the audit, C.W. Driver’s Chief Executive Officer and President, Dana Roberts,
TO:HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM:Aaron Harp, City Attorney - 949-644-3131,
aharp@newportbeachca.gov
PREPARED BY:Michael Torres, Assistant City Attorney
PHONE:949-644-3131
TITLE:Civic Center Audit—Records Production Update
Civic Center Audit—Records Production Update
March 22, 2016
Page 2
14-2
addressed the City Council, expressing C.W. Driver’s intent to collaborate and
cooperate with the City to allow for a timely and thorough completion of the audit.
Following the City Council’s direction to proceed with the audit, the City retained Allyson
M. Gipson of Harris & Associates, Inc. to oversee the audit, and RW Block Consulting,
Inc. to conduct the audit. Based on their initial review of the Civic Center project,
Ms. Gipson and RW Block Consulting, Inc. identified a number of records in
C.W. Driver’s possession they believe are necessary for them to complete the audit. To
facilitate their review, the City Attorney’s Office reached out to C.W. Driver to obtain
these records. Despite multiple communications with C.W. Driver’s General Counsel
regarding the requested records, and assurances from C.W. Driver that documents
would be produced, at the time of the Mayor Pro Tem’s inquiry on February 23, 2016,
the City Attorney’s Office had not received the requested documents. However, within a
short time following the February 23, 2016 inquiry, the City Attorney’s Office finally
began to receive responsive records from C.W. Driver. Their record production is
on-going and we expect to receive additional records from C.W. Driver in the near
future.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).