🌐 One Rule for the City Manager, Another for Everyone Else đŸŒ

Posted byeccrgPosted inBudget, City Council Meetings, City Staff, FAB Meetings, Financial Crisis, Financial Mismanagement, GFOA, leadership, performance management, Plan, public trust, Richmondside, State AuditTags:, , ,

In El Cerrito, we see a troubling example of how power can become concentrated in the hands of a few—an oligarchy. When decisions are made behind closed doors, transparency is ignored, and public input is dismissed, it’s the residents who suffer. The council has allowed city leadership to repeatedly ignore public engagement, preferring decisions made without the voices of the community. Instead of transparency and accountability, we see a small group making choices that impact the entire city.

Oligarchy thrives when a few maintain control while the public is left in the dark. But in a true democracy, the people’s voices must guide decisions. El Cerrito deserves better—residents deserve transparency, accountability, and a city council that genuinely listens.

🔎 It’s time to demand open governance and end the oligarchy. #TransparencyMatters #ElCerrito #PublicEngagement #GoodGovernance

This blog was influenced by separate comments from two engaged El Cerrito residents.

El Cerrito’s Pension Decisions: Leadership Gains, Residents Pay the Price

At a time when El Cerrito residents are being asked to tighten their belts, the previous City Council quietly approved a deal that most public employees—and taxpayers—would find outrageous. The deal granted the City Manager, Karen Pinkos, a private pension boost and special perks that reveal a disturbing pattern of governance. Let’s break it down.

The Backstory: A Crisis, Sacrifices, and the City Manager’s Role

Back in 2013, during a deep financial crisis, El Cerrito asked its employees to make significant sacrifices. One of the most consequential was giving up the Employee Paid Member Contribution (EPMC) to CalPERS—a policy where the City paid a portion of each employee’s pension contribution, and that amount counted as pensionable compensation, increasing retirement benefits for life.

Recognizing the severity of the city’s fiscal situation, workers agreed to eliminate EPMC. The City’s lead negotiator in securing this concession? Karen Pinkos, now the City Manager.

Fast Forward: A Self-Serving Deal

Today, El Cerrito remains on shaky financial ground. Pension liabilities continue to rise. Reserves are dwindling. The city’s bond rating lingers at a concerning BBB, reflecting ongoing worries about liquidity, long-term obligations, and fiscal duress.

Yet amid this instability the previous city council quietly quietly negotiated a reinstatement of the city manager’s own EPMC—just for herself. This sweetheart deal boosts her pension by an estimated $30,000 annually for life. Thirty. Thousand. Dollars. Per. Year.

But that’s not all. Pinkos also retains:

  • A $450 monthly car allowance.
  • A higher PERS tier than most employees, even though the city forced others into a lower tier during the lean years.

The same leader who once demanded sacrifice from workers has now reversed course—negotiating a lucrative private pension arrangement and retaining benefits most employees had to forfeit.

Hidden in Plain Sight

This wasn’t a public, transparent discussion. The reinstatement of EPMC was buried in contract language, downplayed, and quietly approved by the previous City Council. Residents, already concerned about the city’s finances, were kept in the dark. You can find her current employment agreement here: City Manager Contract – October 2023 Amendment (PDF)

The Bigger Picture: Don’t Be Fooled

While some point to El Cerrito’s removal from the State Auditor’s “high-risk” designation as evidence of improvement, this is misleading. The city continues to rely solely on reserves to balance its midyear budget, a tactic that masks structural imbalances rather than solves them.

The City’s bond rating remains at BBB, far from an endorsement of fiscal health. These ratings reflect long-term financial risks that El Cerrito’s leadership seems unwilling—or unable—to address.

Why This Matters

Leadership should model the values it expects from others: fairness, transparency, and shared sacrifice. The City Manager, in particular, holds a fiscal responsibility to ensure long-term stability. In El Cerrito, residents and employees have stepped up, sacrificing benefits and enduring reduced services. Yet, behind the scenes, the City Manager has quietly secured personal benefits that will burden taxpayers for decades.

This isn’t just a financial issue—it’s a matter of trust, ethics, and governance.

What You Can Do: Hold Leadership Accountable

El Cerrito residents must demand transparency, accountability, and fiscal responsibility. Here’s how:

Closing Thought: It’s Time for Real Leadership

El Cerrito’s financial challenges won’t be solved with sweetheart deals and hidden perks. They require a leadership team willing to share in the sacrifices they expect of employees and residents. Transparency, fairness, and fiscal discipline must be more than buzzwords—they must guide the city’s decisions moving forward.

El Cerrito deserves better. And it’s up to its residents to require it.

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