San Diego, CA

City Staff Spent $6 million More on Rentals Without Council Approval. Councilmembers Want Answers

Published

4 months ago

October 31, 2025

City Staff Spent million More on Rentals Without Council Approval. Councilmembers Want Answers

A year ago, San Diego city auditors found that staff spent millions more on rental equipment for city departments than what councilmembers approved. But the auditors couldn’t find who OK’d the additional spending.

Over the last month, councilmembers have demanded answers from city staff after an audit found that a contract with Herc Rentals increased by more than $6 million without approval from the City Council.

“I had asked on the dais on Oct. 6 where the $6 million had come from that was taken from the general fund and increased unlawfully to the Herc rental contract,” Councilmember Marni von Wilpert said during an Oct. 20 City Council meeting. “I’m still waiting for an answer.”

The city has a contract with Herc Rentals to rent trucks, forklifts and other equipment and services. This equipment is used by city workers across several departments responsible for park maintenance, public safety and more.

For fiscal year 2020, councilmembers approved spending up to $14.3 million on rentals. The contract now allows spending up to $65.5 million.

City law requires the City Council to review and approve certain changes to city contracts. The Council is required to approve new contracts over $3 million and all adjustments to contracts over $200,000.

The city auditor found that didn’t happen in 2023. That year, staff adjusted the Herc Rentals contract in October by $4 million and then again in December by $2.7 million. Other adjustments made to the contract were approved by the Council.

The city auditor’s team said departments didn’t know whether their contracts needed Council approval. 

In a statement, Ombretta Di Dio, spokesperson for purchasing and contracting, said the contract was adjusted “to pay outstanding invoices and allow departments access to rental equipment and vehicles to address operational needs, with the intent of obtaining retroactive approval.”

She said rental equipment and vehicles supported critical operations to the city. When some city vehicles were out for repair or missing parts, they used Herc rentals to help in emergency situations like the 2024 floods.

The city auditor gave Voice of San Diego the list of every transaction with Herc Rentals from 2019 to 2024. The transactions are from dozens of departments like public utilities, homelessness strategies and solutions, and transportation.

Di Dio said departments have “flexibility within their approved budget to manage non-personnel costs… When overages occur in one area, they are typically offset by savings in another—ensuring that operations continue without disruption.”

According to the 2024 audit, “when contract alterations are brought to Council late, it puts pressure on Council’s approval responsibility. As a result, Council’s ability to provide meaningful oversight may be reduced if there is not time to consider other vendors without disrupting critical services.”

In other words, when contracts are brought late to the City Council it limits their role and authority to make sound decisions on the contracts. Think of it like making charges to a shared credit card. Each department is charging to the credit card, unaware of how much other departments are spending on it too. Then, Council has to deal with the bill.

Say a department spent more than $50,000 on rental vehicles. They have a better chance of getting that approved by Council if they bring it late, because, well, they have already spent it and now they owe Herc.

So, Council might feel pressure to approve the action to adjust the contract so they can ensure Herc gets paid. But they don’t know if the departments have that money budgeted, they just know they owe Herc.

Councilmembers either vote no – and risk interrupting services – or vote yes and continue to meet the demands for rental equipment across departments.

The Herc contract is an example of these pressures. The Council recently approved an additional eighth amendment to increase the amount in July. The Council voted to increase the contract with the condition that they want to see a specific audit on it.

“I think one of the things I struggle with sometimes is who will bear the consequences if these contracts aren’t approved,” said Councilmember Sean Elo-Rivera during the Council meeting on Oct. 6.

“I think this is what puts us in a particularly difficult position as councilmembers… it is typically rank and file everyday employees who are doing the work.”

It’s unclear why the city is spending so much with Herc. A spokesperson with the city said the transportation department received a mid-year adjustment in FY25 to account for increased needs so that other departments’ needs were not reduced.

The city auditor is planning to do an individual audit on the Herc contract and any other vehicle contracts.

“We will begin the audit in the near future,” said City Auditor Andy Hanau.

Claudia Abarca, director of purchasing and contracting, said they implemented eight recommendations of the 13 made by the city auditor in the last year. One of these recommendations includes updating the Council approval threshold and clarifying alterations for goods and services contracts.

Still, councilmembers are frustrated and looking for answers.

“Do you realize we had a budget fight this past year for over $4.5 million in which the mayor vetoed it and we overrode the veto?” said Councilmember Von Wilpert during the Council Meeting on Oct. 6. 

“Somebody had to use a city computer and make that adjustment unlawfully. It’s against the municipal code to do that, so who did that?”

Councilmember Raul Campillo also chimed in to ask if the city disciplined the employees who made the illegal adjustments. Abarca said they did.

“I’m really hopeful that’s what happened here, because this wasn’t a few dollars over,” said Councilmember Campillo. “This was several million dollars over.”

Abarca said that city departments were behind on payments and in a deficit of what they owed Herc. She said her staff was directed to make the unauthorized adjustments when they ran it up the chain of command.

“I don’t know that it went to the mayor himself, I know I did bring this up to the DCOO (deputy chief operating officer) and we’ve been working on this contract for quite some time,” said Abarca. “We’ve done several refinements on how we are monitoring and actually managing the spend for each department to ensure we don’t get to this place again.” 

Abarca added they have not altered any contracts above $200,000 without it coming forward to the City Council since 2023.

It’s still unclear who is directly responsible for the contract changes, and where each department pulled money from their budget to pay Herc.

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San Diego, CA

UNLV faces San Diego State after Hamilton’s 24-point performance

Published

2 hours ago

March 5, 2026

Press Room

UNLV faces San Diego State after Hamilton’s 24-point performance

UNLV Rebels (16-14, 11-8 MWC) at San Diego State Aztecs (19-10, 13-6 MWC)

San Diego; Friday, 10 p.m. EST

BOTTOM LINE: UNLV faces San Diego State after Kimani Hamilton scored 24 points in UNLV’s 92-65 victory over the Utah State Aggies.

The Aztecs have gone 13-2 in home games. San Diego State is eighth in the MWC with 9.0 offensive rebounds per game led by Miles Heide averaging 2.0.

The Rebels have gone 11-8 against MWC opponents. UNLV ranks eighth in the MWC shooting 34.4% from 3-point range.

San Diego State averages 79.1 points per game, 0.6 more points than the 78.5 UNLV gives up. UNLV averages 7.2 made 3-pointers per game this season, 1.9 fewer made shots on average than the 9.1 per game San Diego State allows.

The teams play for the second time in conference play this season. San Diego State won the last meeting 82-71 on Jan. 24. Miles Byrd scored 23 points points to help lead the Aztecs to the win.

TOP PERFORMERS: Reese Dixon-Waters is shooting 35.9% from beyond the arc with 1.6 made 3-pointers per game for the Aztecs, while averaging 13 points. Byrd is averaging 10.2 points and 5.1 rebounds over the past 10 games.

Dra Gibbs-Lawhorn is shooting 50.9% and averaging 20.6 points for the Rebels. Hamilton is averaging 1.4 made 3-pointers over the last 10 games.

LAST 10 GAMES: Aztecs: 5-5, averaging 74.9 points, 28.9 rebounds, 13.7 assists, 6.9 steals and 4.2 blocks per game while shooting 46.4% from the field. Their opponents have averaged 69.0 points per game.

Rebels: 6-4, averaging 84.1 points, 32.3 rebounds, 14.7 assists, 6.4 steals and 4.8 blocks per game while shooting 50.0% from the field. Their opponents have averaged 80.8 points.

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The Associated Press created this story using technology provided by Data Skrive and data from Sportradar.

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San Diego, CA

Military bases in San Diego County increase security following Iran attacks

Published

14 hours ago

March 4, 2026

Press Room

Military bases in San Diego County increase security following Iran attacks

SAN DIEGO (CNS) – Military bases in San Diego County and nationwide have increased security measures due to last weekend’s U.S.-Israeli attacks on Iran, prompting traffic delays near base entrances, enhanced ID checks and access restrictions.

The Naval Air Station North Island on Coronado ports three aircraft carriers, including the San Diego-based USS Abraham Lincoln, which led some of the first-wave attacks on Saturday.

Naval Base Coronado warned motorists of possible traffic delays at all base entry points due to the increased security measures.

Targets included Islamic Revolutionary Guard Corps command and control facilities, Iranian air defense capabilities, missile and drone launch sites and military airfields.

The U.S. operation, dubbed “Epic Fury,” and Israeli operation, “Raging Lion,” began striking targets at 1:15 a.m. Eastern Time Saturday.

As of Tuesday, at least six U.S. service members had been killed in action.

The strikes also killed Iranian Supreme Leader Ali Hosseini Khamenei, who had been Iran’s supreme leader since 1989, making him the longest-serving head of state in the Middle East.

Iran’s offensive forces claimed to have struck USS Abraham Lincoln with ballistic missiles, but according to an X post from U.S central Command, “The Lincoln was not hit. The missiles launched didn’t even come close. The Lincoln continues to launch aircraft in support of CENTCOM’s relentless campaign to defend the American people by eliminating threats from the Iranian regime.”

Those with concerns regarding the heightened security can contact San Diego County’s Office of Emergency Services at 858-565-3490 or oes@sdcounty.ca.gov.

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San Diego, CA

SD Unified moves forward with layoffs of classified employees

Published

1 day ago

March 4, 2026

Press Room

SD Unified moves forward with layoffs of classified employees

SAN DIEGO (KGTV) — Less than 3 weeks after the San Diego Unified School District finalized a new contract with teachers, the school board voted unanimously on Tuesday to move forward with layoff notices for other district employees.

The layoffs affect classified employees — workers who are employed by the district but are not teachers and are not certified. That includes bus drivers, custodians, special education and teacher aides, and cafeteria workers.

The district says it is eliminating 221 positions — 133 that are currently filled and 88 that are vacant — to save $19 million and help address a projected $47 million deficit for the next fiscal year.

Preliminary layoff notices will go out on March 15, with final notices by May 15.

The district estimates about 200 classified employees will receive preliminary notices, but of them, about 70 are expected to lose their jobs based on union-negotiated bumping rules.

Bumping allows employees with more seniority to move into another position in the same classification, thereby “bumping” a less senior employee out of that role.

Lupe Murray, an early childhood special education parafacilitator with the district, said the news came as a shock after the teacher strike was called off.

“When the strike was called off, I’m like, ‘Yes!’ So then when I got the email from the Superintendent, I’m like, ‘Wait, what?’ So, I think everyone was shocked,” Murray said.

The district says it sends out annual layoff notices, as all districts in the state do.

Before Tuesday’s board meeting, classified employees rallied outside, made up of CSEA (California School Employees Association) Chapters OTBS 788, Paraeducators 759, and OSS 724. They were joined by parents, students, and the San Diego & Imperial Counties Labor Council, AFL-CIO.

Miguel Arellano, a paraeducator independence facilitator with San Diego Unified and a representative of San Diego Paraeducators Cahpter 759.

“What do we want? No layoffs! When do we want it? Now!” the crowd chanted.

Arellano said he felt compelled to act when he learned about the potential layoffs.

“The first thing that went through my mind was that I need to speak up. I need to protect these people,” Arellano said.

Inside the meeting, the board heard emotional, at times tearful testimony from classified employees before voting unanimously to move forward with the layoff schedule.

Superintendent Fabi Bagula said the district has tried to protect classrooms from the cuts.

“We have tried our best to only, I mean, to not touch the school. Or the classroom. But now it’s at the point where it’s getting a little bit harder,” Bagula said. “What I’m still hoping, or what I’m still working toward, because we’re still in negotiations, is that we’re able to actually come to a win-win, where there’s positions and availability and maybe even promotions for folks that are impacted.”

Arellano warned the layoffs could have a direct impact on students.

“We are already spread thin, so, with more of a case load, it’s going to be impossible to be able to service all the students that we need to have,” Arellano said.

Follow ABC 10News Anchor Max Goldwasser on Instagram, Facebook, and Twitter.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.

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