San Diego County Supervisors OK audit of firm hired to help January flood victims

The county Board of Supervisors Tuesday voted 4-0 in favor of auditing a firm hired to manage a temporary lodging program for those displaced by the catastrophic floods in late January.

In a board letter, Supervisor Monica Montgomery Steppe requested an audit of Arbor E&T, doing business as Equus Workforce Solutions. The audit, which will be presented to the board within 120 days, would cover:

• a detailed analysis of Equus' actual expenditures versus contracted amounts
• the number of households provided with temporary lodging, including how long they stayed
• an explanation of where each resident went after temporary lodging ended, or why they had to leave
• the types of case management services and how many households received them
• a detailed analysis of Equus' data security regarding residents' personal information
• the number and types of complaints made by the households how Equus addressed and tried to resolve complaints

In a statement released after the vote, Montgomery Steppe described the audit as "a necessary step to restore community trust."

"While we moved quickly to respond to the disaster, we now must ensure transparency and accountability so we can improve the process for future emergencies," she added. "It is our responsibility to guarantee that our most vulnerable residents are receiving the quality care and support they deserve."

In late January, supervisors voted 4-1 to spend $10 million to assist recovery efforts after flooding damaged homes in neighborhoods including Encanto, Mountain View and Southcrest, and unincorporated communities such as Spring Valley.

During the Tuesday meeting, Montgomery Steppe said the board on Jan. 30 voted to amend a contract with Equus to provide shelter and case management services to flood victims, so they could receive help at a quicker pace.

While officials appreciate Equus' efforts, "we have since heard that services were lacking," she said. During a March regular supervisors' meeting, some flooding victims criticized Equus for not being responsive enough to their needs.

Speaking before the board, Mark Douglas, president and CEO of Equus Workforce Solutions, apologized for "the weight of all the pain" that he heard during that meeting.

Equus did not respond to request for comment on late Tuesday afternoon.

Several flood victims on Tuesday told supervisors that they still need help.

A woman said her husband died in late January and the rainstorms destroyed part of their home. Speaking through a Spanish-language translator, the woman explained that because she had family, she didn't meet the assistance requirements.

"I'm here on behalf of all of my neighbors to see if we can open your heart as much as we can," she added.

Armon Harvey, CEO and founder of the Harvey Family Foundation, thanked Montgomery Steppe and board Chairwoman Nora Vargas for listening to residents.

"We have a long way to go, but we're stepping in the right direction," he said. "There are a lot of mistakes we can all learn from."

San Diego resident Katheryn Rhodes cited a 2021 Inewsource report on how Equus was unqualified to operate COVID-19 lodging and had poorly trained staff.

"They messed up before, and you guys just gave it to them again," Rhodes said.

Vargas said county officials have "heard loud and clear from so many in the community about the challenges people have had," and it still breaks her heart about people who didn't meet requirements and couldn't receive help.

Vargas said that in many cases, flood victims stayed with family members, as it was easier than trying to secure a hotel room. "There's a lot of work we need to with our procurement process," she added.

Supervisor Jim Desmond said while it's important to hold contractors accountable, the real fault lies with the city of San Diego, which didn't keep up its infrastructure or clean up drainage ditches.

"Because taxpayers are footing this bill, I do think this audit is necessary," he added.

Supervisor Joel Anderson was absent from the Tuesday afternoon portion of the meeting due to illness, Vargas said.