City of Beaumont Audit
From July, 2010 through July, 2011 the City of Beaumont issued bi-weekly checks totaling over $286,000 to General Government Management Services (GGMS). $67,700 was paid through Fund 14 – Community Facilities District, the remaining was paid from the General Fund. There was also $10,000 in medical expenses paid by the City for this Company in the same year.

From July, 2011 – to present there is no other transactions listed on the General Ledger and no other checks issued from the General Fund for GGMS.

 Resolution 2012-23 Page 2, Section 5 lists Designation of Consultants. Two of the consultants listed are requirements of the State of California – Ron Gunn as 'Financial Consultant', and McFarlin & Anderson LLP as Bond Counsel. The City also lists General Government Management Services as 'Special Tax Consultant' and Urban Logic as 'Project Engineer'. The titles of Special Tax Consultant and Project Engineer are not requirements of the State of California.

On April 24,2012 Ron Gunn sent an email to the Beaumont City Manager & Finance Director requesting $51,650.63 wired: “ Union Bank for deposit into the Cash Flow Management Fund”. Ron Gunn also requested invoices submitted for: “$25,000 to the Authority for admin expense and $25,000 to the District (IA 20) for admin expenses and $25,000 to the District (IA 20) for Special Tax Consulting.”

On February 24, 2013 I requested the contracts for GGMS as well Ron Gunn, McFarlin & Anderson, and Urban Logic as stated in Section 5 of Res. 2012-23.

On March 5, 2013 Beaumont City Counsel passes Resolution # 2013-08 removing General Government Management Services as Special Tax Consultant and names other consultants, but does not name another special tax consultant. The other consultants listed are:

(a) Southwest Securities, Inc as underwriter
(b) Harris Realty Appraisal as appraisers
( c) Empire Economic, Inc as market absorption consultants
(d) Fulbright & Jaworski LLP as disclosure counsel

The City of Beaumont states there is not another checking account, but in the last year the City's General Fund has not issued any checks to GGMS, Ron Gunn, McFarlin & Anderson, Southwest Securities, Empire Economics, or Fulbright & Jaworski LLP. The only checks issued for any of the consultants listed is to Urban Logic and three (3) checks to Harris Reality Appraisal issued on 03/08, 03/29, & 04/20/12 for a total of $71,950.00

The last transactions listed for Empire Economics is on 06/30/11 for $4,875. The last entry for Rod Gunn Associates is 01/07/10 for $4,000. Beaumont City Officials state there are contracts in place and emails confirm Ron Gunn's money requests for services rendered. The only issue is how they are being paid.

General Government Management Services has no website or address. I can find no existence of this company. Rumor has it that this is the City Manager cutting himself another paycheck.



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