PREVIOUSLY:

• California Attorney General Files Lawsuit Against Trump Administration to Block Federal Funding Freeze; Huffman Issues Statement: ‘Attack on Democracy’
• This Would Be ‘Devastating’: California Sues to Stop Trump’s Chaos-Inducing Federal Funding Freeze

School districts, local governments, non-profits and the thousands of other organizations that rely on federal funding scrambled to figure out a plan after President Donald Trump pushed to freeze many federal grants and loans via an unexpected order that was announced on social media late Monday, only to be rescinded this morning. 

The order threw local organizations into chaos. Here in Humboldt, as in the rest of the country, those institutions struggled to learn what it meant for them and if their funding would be frozen.

Connie Beck, director of the Humboldt County Department of Health and Human Services, said in a note to employees on Tuesday that they were communicating with their legislative representatives to learn more about what the freeze meant for them.

“In the meantime,” Beck wrote, “continue to do good work and offer support to each other.”

Melissa Hutsell from Cal Poly Humboldt’s communications department said they, too, were working to understand what the freeze would have done to their existing programs. The California State University announced yesterday that it would support the Attorney General Rob Bonta’s participation in a suit challenging the federal government’s aid freeze. 

An email sent by the university to students last night said Pell grants and federal work-study aid would continue unabated, at least until the federal judiciary ruled on the legality of the freeze. A federal judge temporarily blocked the order on Tuesday.

“News of these potentially sweeping changes is causing considerable anxiety and confusion, and rightly so, for Cal Poly Humboldt’s campus community members, especially our students—a significant number of whom rely on federal funding to pursue their education at Humboldt,” reads the email in part. 

First 5 Humboldt, a local organization that funds child-focused health programs, said in a press release that the freeze could have affected many important programs that benefit hundreds of local families. 

Mary Ann Hansen, executive director of First 5 Humboldt, said, “We are deeply concerned about a pause on any services that provide direct or indirect benefits to young children and their families. Dozens of agencies and non-profits in Humboldt County provide critical supports, grounded in federal grants, to our youngest residents at the most vulnerable time in their development. We urge our federal representatives to take action to reduce uncertainty and keep services and supports intact, and we encourage the community to make their voices heard.”

According to the New York Times, Matthew J. Vaeth, the acting director for the Office of Management and Budget, notified federal agencies this morning that the Trump administration’s memo freezing aid had been “rescinded.”

Making sense of the alphabet soup of charges on a monthly power bill is challenge enough. But there’s a surprising cost baked into customers’ bills that doesn’t have its own line item.

A portion of each payment goes directly in the pockets of shareholders. Called a “return on equity,” the amount is meant to compensate investor-owned utilities for the risk of doing business. It pays back shareholders for their investment in the companies and helps utilities maintain a higher credit rating to attract better loan rates for future projects.

Each state’s utility regulator, including the California Public Utilities Commission, is responsible for determining these often double digit rates of return, which is a key part of utilities’ profits. Studies found that the shareholder rates regularly outpace a common economic benchmark, costing customers across the country as much as $7 billion annually. CalMatters examined these rates since 2020 and found they amount to hundreds of millions of dollars annually from California customers.

Approved rates of return in the state are hovering around 10%, more than double the rate for the benchmark, 10-year U.S. treasury bonds. Utilities can earn less than that if they do not meet performance targets, but California’s three major investor-owned utilities still earned hundreds of millions of dollars from return on equity in 2023. Critics call that excessive and say utilities are exaggerating the risks they face.

“Across all the utilities, we seem to be providing some rather generous rates,“ said David Rode, a Carnegie Mellon University professor who studies decision making in finance and utilities. “It’s easy to look at a single utility and go, ‘well this rate makes sense for this utility’ and miss the broader implications [but]… It’s kind of like missing the forest for the trees.”

Customers across the state are facing steep power bills from the state’s three main investor-owned power companies. Californians pay among the highest electricity rates in the country, the largest portions of which come from new hikes for wildfire mitigation and rooftop solar programs. PG&E bills in particular have risen several times in the last year alone, and ratepayers will see another increase after regulators voted to keep the Diablo Canyon nuclear power plant open to address concerns over energy reliability during the shift to renewable sources.

Gov. Gavin Newsom announced an executive order last fall to address high energy bills, and the state Legislative Analyst’s Office released a report this month examining the state’s climate policies and residential electricity rates, which it found were increased by efforts to curb wildfires and global warming, among other factors.

Southern California Edison’s 2024 approved shareholder return rate was the highest among its Golden State peers at 10.75%, followed by PG&E at 10.7%, and San Diego Gas & Electric at 10.65%.

The utility commission’s preliminary decisions for return on equity rates this year, which have not been finalized, are all just above 10%. That’s comparable to the industry average, also about 10%.

Each company’s financial performance throughout the year determines whether they will achieve their full shareholder rate of return or even above it. But even a fraction of their approved shareholder rates represents millions of dollars from ratepayers. In 2023, for example. Southern California Edison collected $91 million out of a possible $198 million for shareholders (approved for 10.05%), PG&E collected more than $111 million out of a potential $125 million (approved for 10%), and San Diego Gas & Electric collected $41.9 million out of a possible $42 million (approved for 9.95%).

“A competitive return on equity is important to ensure that PG&E can continue to attract the level of investment needed to meet the energy needs of our hometowns,” PG&E spokesperson Mike Gazda said. “The state regulator determines that return on equity through an open, transparent and public process.

Gazda said the “vast majority” of that return is reinvested into PG&E. The company, he said, has cut expenses to customers through federal loans and grants, as well as “new technologies, improved processes, and renegotiated contracts.” He did not directly answer a question about whether lower shareholder returns would be part of the company’s future plans but said PG&E will work on bill affordability with regulators and policymakers.

The California Public Utilities Commission offices at the Edmund G. Pat Brown building in San Francisco on Jan. 28, 2022. The CPUC approves shareholder return rates billed directly to power customers. Photo by Martin do Nascimento, CalMatters

The shareholder rates as approved by the utility commission have outpaced those for the 10-year treasury bonds, which are often used as a benchmark by researchers because they track inflation and are considered riskless. Riskier businesses tend to earn returns above this, experts said. But Rode’s study and others found that utilities’ shareholder return rates are going up nationally, while the risk the industry faces doesn’t match that increase.

Treasury bond yields are part of the model the California Public Utilities Commission uses when setting these shareholder rates.

“Without capital market funding, necessary grid work would have to be funded immediately in part through the rates customers pay, and this would significantly raise those rates,” Jeff Monford, spokesperson for Southern California Edison, said. “Providing our investors with a competitive [return on equity] is crucial to the success of this model.”

CalMatters looked at California’s three main investor-owned utilities’ shareholder return rates and the average 10-year treasury bond yields from 2006 through November, including the utilities’ actual returns during that period through 2023, the most recent data available.

The average rates for such treasury bonds didn’t break 5% from 2006 through November. Only within the last year have any of California’s three major investor-owned utilities dipped below double digits. California’s gap between the shareholder and treasury rates has closed slightly since 2006, with shareholder rates for the three companies declining between less than 2 percentage points each. Treasury bond rates largely held steady during that period, with 10-year notes going from a yield of 4.53 percent to 4.18 percent.

Despite this dip, the dollar amount the state’s power companies are authorized to collect for shareholders has increased nearly every year as their customer bases grow and utilities add more costs that can be charged to customers.

One contributing factor nationwide, studies found, is that regulators often hesitate to approve shareholder rates below 10% and rarely take into consideration the gap between what utility shareholders earn and the treasury bond rates. Psychology comes into play here – 10 can feel like a substantial round number, and moving below that may feel like a large move.

And the companies regularly ask for more. Had regulators landed at PG&E’s request for 2023 – one percentage point above what was approved – the company would have been allowed to collect $12.5 million more. Southern California Edison requested the equivalent of about $9.4 million above what was later approved, and San Diego Gas & Electric requested the equivalent of $2.5 million more than what was later approved.

“The business is not meant to be risk free. If it’s risk free, give them treasury returns and go home early.”
— Janice Beecher, political science professor focused on utility economics, Michigan State University

Cal Advocates, the body responsible for advocating for ratepayers before the commission, often pushes back against these, requesting lower shareholder rates.

“We generally think they’ve been set a bit too high,” Michael Campbell, assistant deputy director of energy at Cal Advocates, said. “The utilities’ arguments of just how risky it is to be a utility in California and their ability to recover their costs from ratepayers is overstated.”

Rising costs are of particular concern for Californians, whose bills, especially under PG&E, have risen steadily because of wildfire response. A law passed in 2019 attempted to cushion some of that blow on ratepayers, prohibiting utilities from collecting for shareholders a return on the first $5 billion they collectively spend on wildfire safety measures.

“The business is not meant to be risk free,” said Janice Beecher, political science professor at Michigan State University who specializes in utility economics. “If it’s risk free, give them treasury returns and go home early.”

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CalMatters.org is a nonprofit, nonpartisan media venture explaining California policies and politics.

In loving memory of Gerald Howard
September 22, 1936 – October 31, 2024.

Gerald Floyd Howard, age 88, of Eureka, passed away peacefully on October 31, 2024. A devoted husband, father, grandfather, great-grandfather and friend, Gerald leaves behind a legacy of integrity, dedication, and unwavering commitment to family, work and country.

Born September 22, 1936 in Baker City, Oregon, Gerald grew up on a rural ranch with a strong work ethic and a desire to serve. He left home at the young age of 16 to forge his own path and later joined the military. He was a proud military veteran, serving his country with honor and dedication. His years of service in the army left an indelible mark and he continued to support his fellow veterans and military community long after his active duty ended.

After serving in the military, he relocated to Eureka in 1959 and found work initially in the lumber mills. His work journey led him to a job with the Northwestern Pacific Railroad, to which he dedicated over 35 years in many different roles. He was known as a steadfast and hardworking member of the team. His career was marked by an unfailing commitment to his craft serving as a mentor, union steward and friend to many colleagues over the decades. He told stories of inspecting rail tunnels ahead of the train in southern Humboldt and holding multiple flairs to keep the rattlesnakes back. He really disliked snakes.

Gerald was also a dedicated weightlifter and a passionate competitor in Humboldt County. His dedication and commitment to strength and discipline kept him involved in the weightlifting community for many years where he earned the respect and admiration of his fellow athletes. His enthusiasm for the sport was inspiring and he continued to train well into his later years.

Gerald was an upstanding member of his community always lending a helping hand to those in need. His generosity, sense of humor and wisdom touched the lives of those around him.

He is survived by his beloved wife, Nita Howard; his children, Randy Howard, David Howard, Daniel Howard and Gina Schafer; and his eleven grandchildren and eight great grandchildren who were the light of his life. His love, guidance and strength will be missed but forever remembered.

Gerald rejoins his beloved parents, Floyd and Vernie Howard, his children Jerry Howard and Douglas Howard along with his sister Janet Smolich in eternal peace.

A celebration of life will be held on Saturday, March 15 at 1 p.m. in the Bay Room of the Wharfinger Building, 1 Marina Way, Eureka.

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The obituary above was submitted on behalf of Gerald Howard’s loved ones. The Lost Coast Outpost runs obituaries of Humboldt County residents at no charge. See guidelines here. Email news@lostcoastoutpost.com.

Stephen “Steve” Williams Phines
February 12, 1955 - September 29, 2024

Steve was born on February 12, 1955 in Inglewood of Los Angeles County to Lela “Ilene”(Brant) and William “Bill” Phines. Steve grew up with his younger brother, Gregory “Greg” Phines, in Huntington Beach and San Clemente, California. He also had an older half brother Barry Brant, whom he didn’t get to know and an older half sister, Deanna Cole, whom he became acquainted with later in life.

Steve was a lifelong musician and entrepreneur. He was skilled and knowledgeable in many arenas. He was very intelligent and witty. He could always make light of a situation with a good joke. Those who knew Steve would describe him as an extremely talented musician. Steve was a member of several bands throughout his lifetime. His very first band was comprised of his brother, Greg and his two friends Jeff Marklein and Michael Tinholme while living in San Clemente. He was naturally talented and could play by ear. He could play the piano, guitar, and pretty much any instrument he got his hands on. He was also a good singer. His favorite role in his bands was being the bassist and he rocked it too, or rather rumbled. Most recently, he was a member of the Triple Tones band of Humboldt County.

In 1973, after graduating from San Clemente high school, he enlisted in the American Air Forces, where he served as a jet mechanic. He was proud to be an Air Force veteran. Throughout his life, Steve owned several different businesses which included, but not limited to, electronic repair, vehicle maintenance & repair, guitar lessons, pool maintenance and other handyman work.

Steve was social and enjoyed the company of his friends and family, especially when there was good food involved. He always knew where to find the best pizza, bacon cheeseburgers and beer. He even mastered his own techniques on how to recreate his favorite menu items at home and he would have his kids critique it. He was also a wine and coffee connoisseur and with his wild enthusiasm and excitement, he would have his guests sample his latest finds as he would put on a record of some underrated band or artist to introduce their greatness. He also loved to watch movies and would have the best sound quality, meaning tons of different speakers and they would be upgraded often. Steve was a gadget man. He always had some cool little gizmos for everything, some of which he created himself.

Steve moved to Del Norte, then Humboldt County around 2009 and lived out the remainder of his years in Humboldt County as he wanted to be closer to his children. He bonded with his two children as adults with their shared love for food and music. He and his son, Eric shared the same passion for electronics and cars. They could spend hours discussing the specs of appliances, gadgets or vehicles. He taught his daughter how to play the electric guitar and he enjoyed debating with her on an array of topics and shared the backup research to strengthen his argument.

He is preceded in death by his parents Ilene and Bill Phines, his paternal grandparents Katheryn “Kay” (Williams) Phines and John Constantine Phines, and his maternal grandparents Fern (Davis) and Jesse Brant, his brother, Barry Brant, his nephew Lige Phines and his great nephew, Derek Phines.

He is survived by his brother, Greg Phines, his son, Eric Phines (Ariel), his daughter Melissa Phines (Arlen), his nephews: Matthew, Josh, and Gregory Phines, his grandchildren: Dominic, Cireyn, Melody, Melia, Aaron, and Perseus Phines, Azalea, Zayne, Dahlia, and Kalina Doolittle, great nephews and nieces: Micah, Gregory III, Jt, Savanna, and Jake Phines, and great great nephews and nieces Macklin, Atlas, and Isla Ruth.

Steve leaves behind with his legacy of music hundreds of friends, family bandmates and fans.

A celebration of life will be held at the Moose Lodge # 636 located at 4328 Campton Rd., Eureka, on Saturday, February 8, 2025 from 4 p.m. to 9 p.m. There will be an open jam session. All who knew Steve are invited to join us in commemoration through music and food.

Evelyn Joyce (Throop) Adams
January 3, 1933 - January 20, 2025

Evelyn Joyce Adams passed away peacefully at Sequoia Springs Assisted Living surrounded by family. She was born in Maricopa, Calif. and was the youngest and last surviving child of Lewis and Lucia (Bowlden) Throop. She grew up in the Taft/Maricopa area attending local schools until her senior year. She graduated in 1951 from Technical High School in St. Cloud, Minnesota. At a local dance she met Clarence (Clancy) Adams. They were married in 1951 and spent the next 69 years together until his passing on March 4, 2020.

Their first home together was in San Luis Obispo, where Clancy was employed by the Southern Pacific Railroad. In 1952 her first child, Richard, was born followed by her second child, Martin, two years later. In 1954 Clancy was transferred to the railroad in Roseville. Paul, her third son was born while living in Roseville completing her family of all boys.

She was a devoted wife and mother as well as a meticulous housekeeper. Her home was always “company ready.” In 1961 Clancy entered the California Highway Patrol Academy in Sacramento. Evelyn became both mother and father to three rambunctious boys during the week as Clancy was only home on the weekends. Upon Clancy’s graduation he accepted a position in Ventura and the family moved. In 1965, after a family vacation to Northern California, they decided it was time to get out of the city life and Clancy accepted a position with the CHP in Eureka. One last move for the family and Ferndale became their forever home.

After her sons were well in to school Evelyn took a bookkeeper positon at Dedini Appliance Store. After the store closed she went to work at Lentz Department Store. There she became lifelong friends with the owners Bernice Petersen, Polly and Dale Stemwedel.

Upon retirement she and Clancy traveled extensively in various campers, travel trailers and eventually a motorhome. When Dad’s eyesight failed, she became the driver of the six-speed diesel pickup pulling the trailer. They took an Amtrak train across the U.S. to Washington D.C. returning through Oklahoma and then back to California. They often traveled with their much loved friends Phoebe and Rex Bardin making several trips to Death Valley and Alaska, two of their most favorite places.

Evelyn was a member of the Assumption Catholic Church in Ferndale. She enjoyed gardening, reading and was a past volunteer hostess at the Ferndale Repertory Theatre.

Evelyn was predeceased by her parents, her brothers Ralph Throop, Harold Throop, Melvin Throop and her sister Elizabeth (Betty) Fergusen, her husband Clarence (Clancy) Adams and her daughter in law, Annette Adams.

She is survived by sons Richard (Jackie) Adams, Martin (Margaret) Adams, and Paul Adams, her grandchildren Josh (Kari) Adams, Adrianne Adams, Megan (Mike) Collenberg, Erin Adams-Wishneff, Allison (Jeff) Griffith, Damien (Brittney) Adams, Melissa (Steven) Melis, her great grandchildren Madilyn, Mallery, Clancy, Addison, Taylor, Hailey, Lane, Garret, Colin, Julianna and Ava, her godchild Stacie Molyneaux and daughters-in-law Vinci Adams, Kim Adams and Marie Adams.

Funeral mass will be held at 11 a.m. on February 8, 2025 at the Assumption Catholic Church, Ferndale. She will be laid to rest in the Ferndale Cemetery along with her beloved Clancy. Please join us for a luncheon to follow at the Ferndale City Hall. Donations in Evelyn’s memory can be made to the Ferndale Fire Department or a charity of your choice.

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The obituary above was submitted on behalf of Evelyn Adams’ loved ones. The Lost Coast Outpost runs obituaries of Humboldt County residents at no charge. See guidelines here. Email news@lostcoastoutpost.com.

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How should the county government be organized? That was arguably the biggest question pondered during today’s meeting of the Humboldt County Board of Supervisors, and there proved to be no consensus.

The more specific query under consideration was whether the county would function more efficiently if its structure were reorganized so that all department heads (except those who are independently elected) reported to the county administrative officer, who would then function more like a CEO who, in turns, reports to the Board of Supervisors.

Under the current structure, the various department heads all report directly to the board, an arrangement that has both advantages and challenges, according to a study recently completed by an analyst in the Human Resources Department.

As it turns out, Humboldt County is an outlier, compared to the reporting structures of 15 other Northern California counties, analyst Beth Rogers explained at today’s meeting. The most common arrangement is for department heads to report directly to the county administrative officer or executive, though two counties (Sonoma and Tehama) use a hybrid model, with some department heads reporting to the CAO/CEO while others report directly to supervisors. Still other counties have individual supervisors assigned to communicate with specific department heads.

“Humboldt was really unique in that we have our appointed department heads report directly to the board as a collective body, rather than to a single individual,” Rogers said.

CAO Elishia Hayes. | Image via Humboldt County.

The current county administrative officer, Elishia Hayes, who has been in the role for about three and a half years, said these organizational questions have been under discussion for many years now. For her part, she said she has consciously tried to develop open communication, collaboration and trust within the organization.

“And if your board were to move to a CEO model, I certainly would not be a leader who seeks power or desires to micromanage,” Hayes said.

She suggested moving in the direction of that model with a hybrid approach wherein a subset of departments — Aviation, Human Resources, Child Support Services, the library, the Public Defender’s Office and the Agricultural Commissioner — start reporting directly to her office. 

“I think those are probably the departments that you interact with the least and the departments that I interact with the most,” she told the board.

Second District Supervisor and board Chair Michelle Bushnell said that under the current system, she’s had some problems with lines of communications getting “dropped,” which impacts her ability to do her job efficiently.

First District Supervisor Rex Bohn, however, said he’d rather keep things as they are. He noted that, of the 20 department heads asked to respond to the county survey, only 11 did so. Bohn interpreted that as a sign that the non-responders are fine with the status quo. He also said that he’s reluctant to switch things up without knowing how long Hayes will stay in her job.

“If you can guarantee me you’re going to be here for the next 15 years, I wouldn’t have an issue going to this [new structure], but I don’t know what I get next,” he said.

Steve Madrone, the Fifth District supervisor, said he likes being able to contact department heads directly and feels that the current system works pretty well. But Natalie Arroyo, who represents the Fourth District, disagreed. 

“I believe that the current system that we have results in there being somewhat scattershot feedback to department heads … ,” she said. “I believe it really limits the communication and the clarity … and I find it incredibly frustrating. So for me, this is not working, what we are doing.” 

Arroyo voiced support for exploring a hybrid model, and she referred to her experience on the Eureka City Council, which received most of its information via the city manager, who, in turn, oversaw the day-to-day organizational operations.

Third District Supervisor Mike Wilson also took note of the high non-response rate to the survey, saying, “If we had a CEO model, we would have all of the [department head] responses.” He also pushed back against Bohn’s argument, saying this decision should be made without regard to who’s currently in the CAO spot or any other position.

“It’s irrelevant to me,” he said. “As a matter of fact, if we were to change this to CEO model, it may be we re-evaluate whether or not the person in that seat is the best person to do that job.” He agreed with Arroyo and Hayes, saying the hybrid model may help streamline some things. Even under that kind of model, supervisors could still communicate directly with department heads, he said.

During the public comment period, several higher-ups in the CAO’s office spoke highly of Hayes and her management style but said they’d support whichever direction the board chooses.

“It’s kind of glaring that no department head made public comment,” Bushnell observed afterwards. 

In the ensuing conversation, the board asked more questions about the hybrid model, with Bushnell, Arroyo and Wilson saying they’d like to see some more analysis. Arroyo, in particular, said she would appreciate having to check in directly with fewer department heads.

On the topic of communication, Madrone said, “My problems have been more with the with the elected department heads, to be honest. I wish we could direct them a little more — not to be too controversial,” he added with a chuckle. “They are elected independently, and I respect that absolutely, but one of them doesn’t even return my phone calls or emails at all.”

He didn’t specify which department head he was referring to.

Ultimately, the board unanimously agreed to have staff explore the hybrid model further and in about three months with a list of options to consider, including sticking with the status quo. 

Seriously, though, what is up with the federal government?

Every year, the board revisits its wish list for state and federal legislation: What new laws and policies would improve matters for us here locally? But this year isn’t like other years, and today’s discussion — led largely by lobbyists with the firm Shaw, Yoder. Antwih, Schmelzer & Lange (SYASL) — soon turned to the uncertainty and upheaval being generated by President Trump.

Last night via social media, Trump announced his intention to freeze trillions of dollars in federal grants and loans, effective later today. (Those plans were later at least partially and temporarily blocked by a federal judge.) That’s above and beyond what some are calling a “firehose” of executive orders that came from the White House on Day one.

“I mean, we can all read the news and read all the executive orders as they come out, but understanding how they’re going to be implemented is a little bit more of a black box,” Arroyo said. She added that local officials may need more help than usual from legislative analysts who can investigate the local repercussions of some of these new policies.

Wilson, meanwhile, noted that the Biden administration passed three major infrastructure bills that included substantial support for rural economies while the first Trump administration had zero. 

“In the current administration, there’s no discussion about investment in rural America at all on the agenda,” he said, adding that we’re all likely to know more in a few months. 

“So I would ask that maybe we think about coming back in three months to take a look at those priorities again,” Wilson suggested.

At the state level, legislators and Governor Gavin Newsom alike are focused on the recent devastating wildfires in Los Angeles County, which will have huge economic impacts. The state legislature already approved $2.5 billion in aid for the region, which will inevitably “make things a little bit tighter elsewhere” in the state budget, SYASL partner Karen Lange said.

The county’s main state legislative priorities include:

• regulating hemp-derived products in the state’s cannabis marketplace,
• securing resources to support offshore wind and provide community benefits,
• more funding for public health infrastructure and prevention,
arranging for the donation, sale or lease of government property (namely, the Employee Development Department building on K Street in Eureka) to the county, and
• providing allowances for rural counties to include mulch in the organic material required under a new state composting law.

Per recommendations from Madrone and Wilson, the board added one item to this legislative wish list: incentives for land and water stewardship and energy resilience.

Madrone and Bohn said they’ve spoken directly with the North Coast’s new State Assemblymember, Chris Rogers, and are optimistic about his intentions and abilities. 

The motion to approve these legislative priorities passed unanimously.

Contract for security system upgrades

Earlier in the meeting, the board held a surprisingly lively debate about security systems, with disagreement about whether or not the county should hire a Redding-based company to replace door access systems and security cameras at various county facilities. 

County staff’s recommendation, which was placed on the consent calendar for approval, called for upgrading the existing systems, which aren’t well integrated, with new Verkada-brand technology through an existing contract with the Redding-based company Development Group, Inc. (DGI). 

Bohn arranged to have the item pulled from the consent calendar, and he explained that he objected to the fact that this contract didn’t go through an open bidding process. He objected even more to bypassing local companies, including the county’s current vendor, Advanced Security. 

“My problem is, when we have a breakdown and we need a technician, we’ll have to bring a technician [from the] Bay Area [or] Redding, and I’m sorry, I’m just big on buying local,” he said. “Drives me nuts when I see people driving a car from outside the area.”

Bushnell agreed, saying the county wants its sales tax revenues to come to the county, not elsewhere.

But the county’s IT systems supervisor, Ulf Engert, said the current vendor has had trouble meeting commitments and providing adequate support. Humboldt County Clerk-Recorder and Registrar of Voters Juan Pablo Cervantes called in to voice his own dissatisfaction with the company. 

“Our current security arrangement at the Elections Office is anything but efficient,” he said. “Whether this board decides to deal with this vendor or another, the status quo is not working out. … It says something when you have as many department heads buying into a shift in vendor, and I think that’s something you all should consider.”

Deputy County Administrative Officer Jessica Maciel explained that the no-bid contract is permissible because of the county’s existing contract with DGI. [CLARIFICATION: The contract did not require a request for proposals (RFP) under Section 6.8 of the county’s Purchasing Policy, which permits purchasing through state cooperative agreements. According to county Public Information Officer Cati Gallardo, the state conducted its own competitive bid process, and the county leveraged that process, selecting DGI as an approved reseller.] A Verkada representative said shipping could be arranged in a way that keeps sales tax revenues in local coffers. 

While Bohn held firm on his desire to put this out for bid, Arroyo and Wilson voiced willingness to make the leap to a new company, with Wilson saying the small amount of money that might be saved by pulling this back for further negotiations might not yield a better result in the long run.

“At some point, I have to believe in the professionalism of our staff in analyzing this,” he said. 

After some more debate, Wilson made a motion to accept staff’s recommendation to jump ship on the security vendor, with the understanding that sales tax on the equipment would be kept local. However, the item needed a four-fifths margin to pass, and both Bohn and Bushnell voted “no.”

Arroyo then made a motion to release a request for proposals for security services, and that motion passed with a vote of 4-1, with Wilson dissenting.

Diversity, Equity and Inclusion

Like many organizations, the county has been working to improve its workplace culture and productivity through diversity, equity and inclusion initiatives since before “DEI” became such a potent political wedge issue. Today, the board heard about the results of the latest annual assessment of those efforts.

“The long and short of it is that … you all, as a county, have seen improvement,” said Dr. Isaac Carter, a former Humboldt County resident, now a consultant with Coaching Imperative. He soon added this caveat, however: “These results are promising and encouraging, but I do … want to make sure that we [don’t] mistake improvement for achievement.”

Employees have reported that the county has shown improved policy awareness and accountability on these issues, with cultural and behavioral shifts resulting in more educational opportunities and a more supportive environment. They also report improved policy awareness and accountability from supervisors, Dr. Carter said.

“I believe the important thing for you all to keep in mind is, are you providing an opportunity for people to grow?” he said to the board.

Dr. Jeremy Clark, the county’s DEI manager, said there is still room for growth and outlined some of the work that’s still being done.

Arroyo said she hears from community members who’ve experienced racism in the community, and she sees the importance of creating a space where people feel a sense of cultural connection and comfort. 

“It seems like something that we can continue to support, from my perspective, without a lot of  controversy,” she said. “It’s creating a space where people are allowed to take some time together to really feel connected to each other, and therefore more connected to their job and the meaningful public service that they do, and to me that’s worth a lot.”

Humboldt Bay Fire officials are currently on the scene of a confirmed gas leak near the intersection of V and Third Streets — so, just west of Target. PG&E is en route.

The road is currently closed to traffic. HBF requests the public avoid the area ‘til they get this all straightened out.