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

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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.  

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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.” 

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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. 

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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.  

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“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.  

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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.” 

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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 health officials monitor hantavirus situation as cruise ship passengers return to U.S.

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San Diego health officials monitor hantavirus situation as cruise ship passengers return to U.S.


SAN DIEGO (KGTV) — American passengers from a cruise ship hit with a hantavirus outbreak are back in the United States.

San Diego County health officials say they are monitoring the situation and there is no need for panic.

“The risk to Californians is really low and especially here in San Diego. Since the year 2000, we’ve only had 4 cases of hantavirus and the majority of those were in travel related cases so not even acquired here locally,” Ankita Kadakia, deputy public health officer for the County of San Diego, said.

According to the CDC, hantavirus is spread through contact with infected rodents.

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“The virus can be in their saliva, feces or droppings,” Kadakia said.

San Diego County does see cases of rodents infected with hantavirus, but the strain seen locally is not the same strain connected to the cruise ship outbreak.

“The vast majority of strains of hantavirus are mouse or animal to human transmission. Not human to human transmission. So the Andes strain, which is found in Argentina, there is evidence that there is human to human transmission,” Dr. Ahmed Salem, a pulmonologist at Sharp Memorial Hospital, said.

Salem treated hantavirus during the 2012 Yosemite National Park outbreak.

“One of the ways you die from hantavirus is you get a collapse of your cardiac system and your pulmonary system and you have to go on something called ECMO. It’s one of the most aggressive forms of life support that you can do. So I do remember that case, and unfortunately, that person passed away,” Salem said.

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There is currently no cure or vaccine for hantavirus. Health officials stress that for those who were not on the cruise ship, the risk of contracting the virus remains low.

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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Machado's walk-off lifts Padres to 10-inning comeback victory over Cards

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Machado's walk-off lifts Padres to 10-inning comeback victory over Cards


SAN DIEGO — The Padres earned a split against the Cardinals in dramatic fashion on Sunday afternoon. Nick Castellanos hit a game-tying two-run homer in the bottom of the ninth, and Manny Machado’s sacrifice fly won it in the 10th.
Here’s some instant reaction from the Padres’ wild 3-2 victory



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Padres come back, walk off with win over Cardinals to split series

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Padres come back, walk off with win over Cardinals to split series


It seemed like the same tired story.

Instead, it was the same thriller.

The Padres pushed their offensive lethargy as long as possible without paying for it Sunday, tying the game with two outs in the ninth inning on Nick Castellanos’ two-run homer and then celebrating after Manny Machado’s sacrifice fly in the 10th inning gave them a 3-2 victory over the Cardinals.

“Getting it done,” Machado said.

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That’s it. That is all they are doing.

And at what is essentially the quarter mark of the season, the Padres are 24-16 and tied with the Dodgers atop the National League West.

The shocking component of their having the major leagues’ fifth-best record is that the Padres rank in the bottom three among MLB’s 30 teams in batting average and OPS.

They split with the Cardinals despite having 14 hits, their fewest in a four-game series in franchise history. Their 61 hits over their past 10 games are the fewest in a stretch that long since 2019, and they are 5-5 in those games.

“It sucks; we need to hit; Machado said. “I mean, you know, look, it’s obvious. We’re not hitting. It’s obvious, but we’re getting things done, man.”

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Nick Castellanos #21 of the San Diego Padres watches his two-run home run in the ninth inning against the St. Louis Cardinals at Petco Park on May 10, 2026 in San Diego, CA. (K.C. Alfred / The San Diego Union-Tribune)

Sunday was the Padres’ 12th victory this season in which the decisive run was scored in the seventh inning or later. That is exactly half their victories.

It was their fourth walk-off victory, their second in extra innings. It was the seventh time that a run scored in their final offensive half-inning decided a victory.

So it is no small thing to proffer that Sunday was possibly their most dramatic triumph. Because it was possibly their most unlikely one.

Not only were they a strike away from defeat, but they began the ninth inning having gotten two hits all day.

The Cardinals took a 2-0 lead in the fourth inning on their first two hits off Walker Buehler — a single by Alec Burleson and a home run by Jordan Walker with two outs. Buehler pitched six innings, allowing just one more hit before Ron Marinaccio worked two scoreless innings.

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But the Padres were unable to make anything of their seven at-bats with runners in scoring position over the first eight innings. They had walked five times but had just Jackson Merrill’s third-inning single and Xander Bogaerts’ fourth-inning double to that point.

“Really good teams find ways to win games when they’re not doing their best,” Gavin Sheets said. “… We’re not clicking on all cylinders by any means. And I don’t think any of us would say that he’s on a roll right now, but we’re getting hits in a timely fashion and it’s someone different every night.”

Almost.

The Padres have game-winning RBIs from 10 different players. They have go-ahead RBIs from 13 of the 14 position players who have been on their roster this season. Sunday was Castellanos’s third game-tying RBI.

His home run, on the ninth pitch of his at-bat against Cardinals closer Riley O’Brien, was something of a clinic by a veteran hitter who is in his first season as a role player.

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Castellenos, who entered the game as a pinch-hitter in the seventh inning and remained in right field, came to the plate with Bogaerts at first base with two outs.

Bogaerts’ single leading off the inning had been followed by two strikeouts, and Castellanos fell behind 0-2 before working the count full and then sending a 99 mph sinker on the inner edge of the plate almost to the ribbon scoreboard fronting the second level of seats beyond left field.

“The first pitch started, and I was probably looking to do what I did,” he said. “And then I ended up getting 0-2 and chasing. After that, just took a deep breath and tried to shorten up as much as possible and just compete. Just find a way on base. And then found myself in a full account and was able to get the job done.”

It was the first home run allowed by O’Brien this season.

Nick Castellanos #21 of the San Diego Padres is dunked by Gavin Sheets #30 after a 3-2 win against the St. Louis Cardinals at Petco Park on May 10, 2026 in San Diego, CA. (K.C. Alfred / The San Diego Union-Tribune)
Nick Castellanos #21 of the San Diego Padres is dunked by Gavin Sheets #30 after a 3-2 win against the St. Louis Cardinals at Petco Park on May 10, 2026 in San Diego, CA. (K.C. Alfred / The San Diego Union-Tribune)

With closer Mason Miller not available after throwing 29 pitches over 1⅓ innings on Saturday, Jeremiah Estrada got the first two outs of the 10th. With runners on first and second, Adrian Morejón entered the game and got an inning-ending pop out on his first pitch.

Gordon Graceffo was on the mound for the Cardinals, and Ramón Laureano was the Padres’ automatic runner in the 10th. The Cardinals intentionally walked Merrill at the start before Fernando Tatis Jr. whittled a 1-2 count into a walk to load the bases.

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The game was over one pitch later, when Machado sent a fastball to right-center field and Laureano slid across the plate well in front of right fielder Jordan Walker’s throw.

It was a somewhat subdued but still enthusiastic celebration along the first-base line, as teammates bounced around Machado.

“It’s hard to win a game like that,” Padres manager Craig Stammen said. “Their pitchers pitched great, and they’re bringing in one of the best closers in the game. And we just stuck with it. It just speaks to how those guys believe in themselves and how they believe in what we’ve got going on as a team.”



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