Printer's link to district "smell"


JURUPA: Experts say the community services district's use of relatives has "a pungent odor."

10:00 PM PDT on Monday, April 10, 2006
By SANDRA STOKLEY
The Press-Enterprise

MIRA LOMA - A print shop with family ties to two officials of the Jurupa Community Services District received more than $400,000 worth of printing jobs from November 2001 through November 2005, district documents show.

District general manager Carole McGreevy said there is nothing improper or unethical going on, but experts in government ethics say the connection smacks of a "sweetheart deal" between the district and Glen Avon-based Print Depot.

"It's too cozy," said Will Randolph, executive director of the County Administrative Officers Association of California. "Something doesn't feel right about it."

Steve Frates, senior fellow at the Rose Institute of State and Local Government at Claremont McKenna College, put it more bluntly.

"It's quite unseemly," he said. "The smell test leaves a rather pungent odor."

Terry Clark, the co-owner of Print Depot is the son-in-law of district board president Paul Hamrick and is married to Sharron Clark, the Jurupa district's accounting manager.

Because the printing contracts are under $25,000 each - the state threshold for soliciting competitive bids and seeking board approval -- the board of directors does not vote on the matter.

Geoffrey Neill, a public affairs specialist for the California Special Districts Association, said he saw no problems.

"It doesn't sound like he (Hamrick) has anything to do with deciding who gets the printing jobs," Neill said. "Sounds like a simple business decision."

Officials Defend Practice

Questions about Clark's work for the district surfaced in December when board member R.M. "Cook" Barela asked the Riverside County grand jury to investigate allegations of nepotism, conflict of interest and poor management practices at the district.

In a response to the complaint, McGreevy said Barela's complaint was based on innuendo and that the new director was being used as a "tool" by disgruntled employees trying to further their own agendas.

Board member Jim Huber said that he saw no problems with the district doing business with Print Depot.

"I'm satisfied. Their work is timely and of good quality."

Hamrick and board members Kenneth McLaughlin and Kathryn Bogart declined comment.

McGreevy said in a prepared statement "The plain fact of the matter is that this situation does not involve a conflict of interest, or an impropriety or nepotism and we employ the services of attorneys for their expertise in the law."

Barela, who said he has been interviewed by the grand jury, stood by his contention that district decisions regarding Print Depot warranted investigation.

"Whether there have been any laws broken, I don't know," Barela said. "But the appearance to me is very unethical."

Sought Other Proposals

Cheryl Russell, the district's administration manager, said the district had been having troubles with previous printing companies.

Some time in 2001, the district sought proposals from printers including Print Depot, which Russell said submitted the best prices.

Terry Clark, 43, said he is a trained printer who has worked in the business for 25 years.

Among his other clients: Big Apple Automotive in Hesperia, Northwest Pipe in Riverside and Omaha Auto Parts in Glen Avon.

Clark declined to comment about what role, if any, his wife or father-in-law may have played in getting printing jobs from the district.

Russell, who said she knew that Clark had ties to both Hamrick and Sharron Clark, sought advice from the district's attorney, Richard Anderson of Best, Best & Kreiger before contracting with him for printing jobs.

"He said it wouldn't be a conflict," Russell said.

Anderson said that the conversation happened a long time ago. He declined further comment.

In the years since then, Print Depot has done about 90 percent of the district's printing - everything from holiday party invitations to door hangers to billing statements.

Russell said she handles all aspects of the district's contracts with Print Depot.

General managers of neighboring Jurupa-area special districts said they tread carefully in matters that might be perceived as compromising.

Cathy Poindexter was hired as manager of fiscal services for the Rubidoux Community Services District in 1997. A condition of her employment was that her husband, who sold specialty parts to the water and sewer district, would no longer do business there, said general manager David Lopez.


Jurupa Community Services District

The district provides water and sewer service to unincorporated Riverside County communities in the Jurupa area. It is also developing a park system in the Eastvale area.

Year founded: 1956

Service area: Glen Avon, Pedley, Sunnyslope, Eastvale and parts of Mira Loma

Number of employees: 78

Number of connection: Approximately 22,500 water connections and approximately 22,000 sewer connections

Operating budget, 2005/2006: $24 million

Source: Jurupa Community Services District web site