CRA Votes to Keep Interim Chief at Helm

The Los Angeles Community Redevelopment Agency board voted Wednesday to give interim chief Jerry Scharlin a four-year contract as administrator, saying he has helped bring the agency back from financial problems.

Board member Peggy Moore said that in considering the 41 applicants for the job, the panel was looking for a permanent administrator with redevelopment experience, management skills and a willingness to be held accountable.

“He has really successfully brought the agency forward in all those aspects,” Moore said.

While the vote was unanimous, board member Doug Ring cast a lone vote against a four-year contract, saying 1 1/2 years was more reasonable given that a new mayor will take over in July.

“My concern is I don’t believe it is in the best interest of the city for the new mayor and City Council to be bound to an administrator,” Ring said.

If the council approves a four-year contract, the CRA would face the possibility of having to buy out Scharlin’s contract if the new mayor wants to put someone new in the position, Ring said.

Scharlin, an Encino resident, said he was pleased with the appointment, which is subject to confirmation by the City Council.

“I believe it’s an expression of a sense that we have made some progress in the last year and a half,” said Scharlin, 52.

“But there is a long way to go.”

A recent audit by the city controller’s office found the agency lacked internal financial controls. One finding said the agency had paid significantly more for properties than agency appraisals said they were worth.

Scharlin sparked controversy when he hired a private investigative firm to look into allegations of financial impropriety in the agency.

On Wednesday, CRA employee union representative David Cochran questioned whether the board had conducted a real search for a new administrator.

He complained the search was done in secret and that three high level agency employees applied but were never interviewed.

“We’re concerned that this didn’t seem to be much of an open process,” Cochran said.

Moore said Scharlin may receive a slight increase in his $178,000 annual salary but a figure has not yet been set.