Wayne Hall se P.O. Box 3808 Creston, CA 92482 E-Mail: wayerestonegmailicom, Date: April 26, 2018 Board of Directors ‘SLO County Integrated Waste Management Agency 870 Osos Steet San Las Obispo, CA 98401 Dear Members of the Board: ‘This correspondence regards IWMA administrative malfeasance and, perhaps, much worse. Tis not the first time I have raised this concem with your Board as I have previously spoken to you on the subject during a Board ‘Meeting public comment period. I know what a properly administered agency is supposed to look like. Twas a high ranking county administrative official for 13 years and then the Chief Executive Officer of the Superior Court for almost ten years, building a new agency, after it separated from the County. Iwas the County Administrative Office’s representative as we worked with other local jurisdictions to build the original IWMA. I worked with the lawyer (Ray Bicring) drafting the joint powers agreement and know the history and detailed beginnings of the agency. Regardless of “good intentions” of the signatories of the joint powers agreement, the “devil has been in the details”. Any hope that conventions and statutory compliances you all see in the administration of your own jurisdictions would be mimicked by IWMA administration has been dashed. ‘You all know you must have an annually approved budget with planned expenditures and sources of funds, and enough detail to allow your budgeted expenditures to serve as legal appropriations. You all know that variations from that budget must come to the governing board for appropriation adjustments/increases showing sources of funds. You all know fixed assets purchases must be authorized and have corresponding approved appropriations showing sources of funds. Regardless of how the joint powers agreement is interpreted, it does not supersede state law which requires these basics for spending of public funds. ‘This is actually something I recall Ray Biering telling me atthe time of the IWMA formation. Yet, the SLO County IWMA operates without regard for any of these basics. Incomplete budgets that generalize expenditures and omit sources of funds, that haven't been properly approved cannot serve as authority for spending. Mid term requests for authorizations to spend haven't occurred like you routinely see in your own jurisdictions. Your IWMA meeting agendas mostly consist of “RECEIVE, AND FILE” items which leave you comforted that you have taken no actions to be held accountable for but, at the same time, have left you with an administrator thinking he has the freedom to spend at will, without oversight, and without limitation, How is it, that at your primary jurisdictions, you have a process for authorizing a budget based on estimates of sources of funds such as fund balance and revenues yet you never see this in your IWMA budget process or ever sce final numbers on fund balance giving you an accurately accounted final budget? You expect detailed quarterly reporting on your jurisdiction’s budget but never see that for the IWMA.As a concemed citizen (not a paid consultant), I have assisted a group that has been investigating the SLO County IWMA'’s blatant disregard for statutory requirements for spending, contracting, and accounting. We have found huge accounting discrepancies and irregularities. We haven't been able to find the kinds or quality of records you'd expect to sce in your own individual jurisdictions. What does it say when your administrator destroys critical accounting records without approval from the Board? What does it say when this same administrator is buying trucks and forklifis without authorization and giving them to select garbage companies and questionably contracted vendors? What does it say when your administrator ives huge amounts of money to vendors that either don’t exist or, if they are providing services, they are at costs ‘way beyond understanding and convention? What does it say when you have an administrator selectively meddling in garbage collection franchise contracting and making recommendations against bidding, protecting a status quo? What does it say when you have an administrator selling his Board on grossly expensive, unnecessary, technology for composting by misleading the Board on process, capacity, and need? What does it say when you hhave an administrator who does almost all transactions with his board by “RECEIVE AND FILE"? Til tell you what it says. Tt says you have an administrator with no regurd for the law and serious conflicts of interest. ‘There’s an old saying, “where there’s smoke, there’s fire.” With what our group has found so far, you have enough “smoke” to suggest not just a “fire” but a conflagration! You've had the same administrator, attorney, and financial auditing firm since the beginning of the IWMA. Itis time for you to form a special subcommittee of TWMA Board members (o hire and oversee an outside independent auditor to investigate and report on past practices and recommend corrections. I recommend this subcommnitice not include any board members who have served on the Board’s “Executive Committee” as this committee may have created conflicts of interest of their own, at least by being too close to the administrator. ‘This is ime for swift decisive action on the part of the Board. You've been too passive for too long with this agency. Please recognize that you have the potential of making the City of Bell look good when compared to the SLO County TWMA. Singer