Moorlach Has Asked Street To Resign

I'm hearing that yesterday Supervisor John Moorlach met with Treasurer Chriss Street to resign -- Street said no -- and that Moorlach is going to request that the Board of Supervisors take the county investment pool away from Street and place it under the County CEOs office. My understanding is Norby will back that request.

This is escalating. I got a call from Street adviser Phil Greer today asking me to come down to the Treasurer's office with the Red County UnsteadiCam and video the infamous office upgrade, and ask any questions I like of Treasurer Street.

UPDATE (5:45 p.m.): I just got off the phone with Moorlach Chief of Staff Mario Mainero, who confirmed his boss had asked Street to Resign. Mario said Moorlach would seek, at the Sept. 11 Board meeting, an  urgency ordinance transferring the Treasurer's investment authority to the county's chief financial officer.

UPDATE II (5:50 p.m.): Here's the statement from Sup. Moorlach's office:

SUPERVISOR MOORLACH ASKS TREASURER-TAX COLLECTOR CHRISS STREET TO RESIGN

Orange County Supervisor John M.W. Moorlach has asked his successor as Treasurer-Tax Collector, Chriss Street, to resign. Following is the formal statement from Supervisor Moorlach:

“Generally at all times, but particularly in light of Orange County’s experience, the Treasurer of this County must be above reproach, candid with the Supervisors, other authorities, and the public, and able to devote his entire time and attention to the management of the County’s finances. I believe that Treasurer-Tax Collector Chriss Street is a highly motivated, talented manager. But his recent career with the Fruehauf-related companies and the related court cases and governmental investigations are too much of a distraction for him and the voters.
 
“As reported in the press, Mr. Street is now facing several government investigations. Three of them (the U.S. Attorney’s office, the Department of Labor, and the Pension Benefit Guaranty Corporation) arise from his operation of the Fruehauf Liquidation Trust. The fourth is recent, and is being carried out by the Orange County District Attorney’s office, and reportedly involves an architect-engineering contract. In addition, he faces a civil lawsuit arising out of his conduct of the Trust, based on a 45-page complaint containing twelve counts, ranging from self-dealing to numerous breaches of fiduciary duty to conversion. Standing alone, these actions, both the public investigations and the civil suits, give rise to an appearance that would cause most fair-minded persons to question Mr. Street’s judgment. But, while Mr. Street is certainly entitled to his day in court on the allegations, it is unfair to the public and the taxpayers and citizens of the County of Orange to have their elected Treasurer-Tax Collector divide his time between the duties of his office and his personal legal battles.”
 
Accordingly, Supervisor Moorlach now calls on Treasurer-Tax Collector Chriss Street to recognize his public duty and obligation to the people of the County of Orange and to resign his elected office immediately. If necessary, Supervisor Moorlach and Chairman Norby will move the Board at the next Board meeting on September 11, 2007 to: (a) pass an urgency Ordinance to revoke Resolution 07-020 (which delegated its investment authority to the Treasurer), thus revoking Mr. Street’s authority to invest the County’s investment pool, and transferring such authority, and the departmental employees necessary to make and monitor such investments.

UPDATE III (5:55 p.m.): I spoke with Supervisor Chris Norby just prior to my conversation with Mario Mainero. Mario was confident Norby would support stripping Street of investment authority, but Norby was more careful when i asked him if he would back that measure. He pointed to Moorlach's expertise on that issue and said he would have to "confer with his colleagues and act accordingly."  I think Chris is being conscientious about his position as Board Chairman and is trying to observe the proprieties, as was once said. I'm positive transfer of investment authority to the County CFO will be unanimous.

Comments

[Dr. Frankensteinmoorlach]

It was Moorlach who created this monster, so he better figure out a way to kill it.

[One Who Knows]

With Janet Nguyen's Attorney, Phil Greer, also representing Chris Street, does that mean that Janet will oppose removing the investment duties from Mr. Street?

[The Prophet]

Four days later then what I predicted since this trouble with the FBI came to light. I think it was wise of Moorlach to asked for the resignation of Street. Not only politically but for the sake of the people of Orange County. 7 billion is a lot of money to entrust to a man who has this investigation hanging over him. It is just too risky.

John “the Lincoln Club Loves Me” Moorlach is now the chief Joke of Orange County. Again, Moorlach makes a complete a*s out of the OC GOP and out of our fine county. When are you right-zingers going to get your heads on straight and see this guy for who he really is?


Your golden boy also has the audacity to describe in detail all of Street’s shady dealings, the three main ones in particular. These are the same issues that were put in Moorlach’s grill during the election. And the OC GOP just stands by, waving as “skyfell’ rolled on by with Chrissy riding shotgun.


Is it about time someone in the Party stand up and show some leadership? It would take a tremendous amount of courage to demand Moorlach’s resignation.


Courage in the OC Republican Party? Not likely.

[John Henry Holliday]

John Moorlach showed ZERO common sense when installing Chriss Street into his job. And the OC rep’s will continue to stand by Moorlach after he again, embarrasses this county and the Orange County Republican Party.


I cannot believe there is not a single elected rep from OC who is sick and tired of him. When is someone going to speak up???


Moorlach must resign now.


BTW, I told you so…

[The Prophet]

I just love dirt and politics. They just seem to go together so well. Moorlach is franticly trying to save his political fanny by asking Chriss Street to step down. But it is too late for that now because the voters have Moorlach's number. And if Chriss Street had any class what so ever, he would have stepped down already.

[No Street Sense]

Don't forget during Moorlach's supervisorial campaign that he was outraged at AOCDS because they put out two mailers:

Then:
1-Moorlach supported taking away death benefits from public safety personnel that died in the line of duty.
2-Moorlach and Street were "rotten apples"

Now:
1-Moorlach calls for the immediate recission of retroactive payments of the 3 % @ 50 lawfully negotiated retirement benefit (ask Tammy Davis if this would impact her three children)
2-Moorlach calls for the resignation of his successor Chriss Street.

I'm sure AOCDS is telling everyone that accused them of being over the top, "We told you so." All those in favor of a federal, state and Orange County Grand Jury investigation of Moorlach say Aye!

[Allan Bartlett]

I think Supervisor Moorlach should share some blame for this emerging debacle. He's the one who vouched for Mr. Street and hired him as Assistant Treasurer so Mr. Street could use that to his advantage as a ballot title. This is going to be a battle royale IMO.

[Moorlach rocks]

This post sure brought out the Moorlach haters.

Dream on you guys. I sense frustration that the union people can no longer use this to beat Moorlach over the head with.

Way to go, John!

[Moorlach Scissors & Paper]

To Moorlach Rocks:

Those posting in opposition to Supervisor Moorlach have been relatively honest in expressing their opposition.

Relative to the Lacyites opposition to Diane Harkey in Dana Point, that is.

[Moorlach Rocks]

I'm waiting for these union people to say their union contributions "bought" the politicians they are donated to.

They won't, because it's a stupid argument. The union hate Moorlach because they can't buy him and they can't intimidate him.

Go John!

[Moorlach Scissors & Paper]

"I'm waiting for these union goons to say their union contributions "bought" the politicians they are donated to."

I'm sorry Moolach Rocks, but your statement is truly unintelligible. Plus there is no need to be unnecessarily inflammatory. Why insist on calling these bloggers goons? Their discourse has been reasonably courteous, so far.

[Thug]

Jubal, How about a warning to Moorlach Rocks. I'm offended being called a goon and don't you dare call me a thug...Moorlach has that copyright!

[just..asking]

I'm not a fan of Moorlach, but I give him credit for at least trying to fix the mistake he made. So many in power continue to discount reality (read Bush here) and block out the facts.

Moorlach is doing the right thing finally! Give him some credit, then beat him up over the pension issues...

Too bad Anaheim, Anaheim Union School Board and Capo Unified couldn't admit to their mistakes which have now forced costly ballot efforts.

[A Street with No Name]

Watch how fast the whole world piles on top of Street. ( I guess that's good practice if he does get sent to the Big House) Where is Todd Spitzer? I would have thought he would have figured out how to get a Spitzer publicity angle on this thing. The old Todd would have made this his issue.

[Green Machine]

Mr. Moorlach obviously erred in judgment. He misread Mr. Street and overlooked his shortcomings. He then compounded that error by going forth with an endorsement when others pulled theirs. He even gamed the system to ensure Street was the frontrunner. Why? Because Mr. Moorlach prefers to blaze his own path irregardless of what others think. Its been his strength and also his weakness. Call it pride, ego or whatever you choose, but when you use that tactic you will make as many enemies as you will make allies. Obviously Moorlach's enemies are releshing this moment and hopefully he will learn something from all of this. And hopefully the other members of the board will see that Mr. Moorlach's leadership style has some flaws.

Now as much as I love to see Moorlach backtrack, I believe the Fruehaff debacle is of Mr Street's making, Mr. Moorlach takes the blame for greasing the skids to allow him to slide into the Treasurer's office unscathed and for not properly vetting him before putting his name behind an invidual with such a questionable reputation. Anything more than that is pure specutlation.

I am really curious what triggered this move. Did Supervisor Moorlach do some digging into this whole architect contract and discover something unseemly? I'd love to hear the scoop on that one.

[Green Machine]

I just realized something. Moorlach's office has obviously been working on this all day, yet they took the time to put out a "fact sheet setting the record straight" (see previous post) on the deputies pensions.

WTF Jubal? Are you being played? It looks like Moorlach's office put the fact sheet out earlier TODAY to deflect some of the attention from the Street issue and remind everyone that he is the champion of pension reform. And you did his bidding.

Now I'm not insinuating that you're his pawn, but it looks like he's manipulating your blog for his personal agenda. I've known you to be a thoughtful person who shares many of Moorlach's beliefs, but you really should take him to task if he's playing you for a patsy.

[Jubal]

Sheesh -- do I have to nuke this thread?

Moorlach Rocks: tone down the insults. I'm editing your comments. Stop the name-calling now.

No Street Sense/Shawver Lover/Thug: if you are going to accuse government officials of actions in return for payment/contributions, be a man and say it straight out -- don't imply it like a weasel.

That said, you're comments have been deleted and you are banned because you have been commenting here for a year-and-a-half and you know the rules.

[Jubal]

WTF Jubal? Are you being played? It looks like Moorlach's office put the fact sheet out earlier TODAY to deflect some of the attention from the Street issue and remind everyone that he is the champion of pension reform. And you did his bidding.

Played? His office sent me a fact sheet. I posted it for readers' consumption. I do that all the time with press releases and columns I receive from OC politicians Left and Right, GOP and Dem?

Should I NOT have posted it?

[Green Machine]

I think Moorlach's office used you as its personal PR department. I realize that you publish the postings of Republicans on a regular basis, but by his own admission he asked Street to resign on Wednesday and Street rebuffed him, which means he's been preparing his press release most of the day. i'm guessing he timed the release for late in the day so he could close up office and go home before the storm hit. In the mean time he used his posting regarding pensions on your blog as a deflecton from the big news of the day and to bolster his reputation as a pension reformer before the inevitable attacks came.

Shrewd move, but it also means your blog can be manipulated to set the agenda. Many of us who read your blog consider it a quasi-journalistic endeavor. Moorlach evidently sees it as his mouthpiece...just my opinion.

To answer your question....With no insider information, yes you should have posted it. But I would question his motives in the future.

[Jubal]

I realize that you publish the postings of Republicans on a regular basis,

I publish press releases, etc. from Democrats, too.

Shrewd move, but it also means your blog can be manipulated to set the agenda.

I think you're looking at this through tin foil glasses, GM.

This is an important, ongoing public issue. Moorlach's office is at the center of it. They sent out an informational item on it, so yeah -- I'm going to post it.

I can't help but think your objection is that it's from Moorlach.

Green Machine,

You make some okay points and asks some decent questions regarding John Moorlach. Then you say to Jubal, "... Many of us who read your blog consider it a quasi-journalistic endeavor. Moorlach evidently sees it as his mouthpiece...just my opinion."

My question to you is, Why weren't/aren't you just as "inquisitve" regarding Sheriff Carona and all the scandal he brings to Orange County? IMHO Chris Street pales in comparison to Mike Carona.

Lastly, Jubal is one guy trying to fill gaps with his blog. Does he always do it perfectly and objectively, no. But as he has said many times, it's his blog. That being said I think Jubal has about the best blog going around OC and he tries to keep it open to all as long as they're professional with their comments- unlike, say, Orange Juice and the factually challlenged Art Pedroza.

[Green Machine]

Anonymous,

I agree with everything you said about Jubal and his blog. We don't always agree, but its a great forum and its been an education for me. I try to read it whenever I have the time.

As for why I haven't been as inquisitive about Sheriff Carona, I have. I happen to work for the Sheriffs Department and have done my inquisition outside of this blog. I'm quite satisfied that the man has made the department a much better place than it was before he got there. I'd prefer that his tenure were a little (okay a lot less) tumultous, but he has welcomed investigations into his actions and he's been accountable when mistakes were made. Its now Street's time to answer those same questions. I wonder how he will fare.

Jubal,

I agree that the pension issue is important. Thats why I think Mr. Moorlach's office used it...and you as a smokescreen. Thats all I was saying.

[Art Pedroza]

9:59,

Why are you ripping me? Matt is the one who ignores Carona's wrongdoings. I don't do so at my blog.