Board Suspends Bonus Pay Plan

Embarrassed by disclosures that financially strapped Los Angeles County paid $3 million in employee bonuses last year, the Board of Supervisors on Tuesday moved to suspend the controversial pay program.

The decision came after Supervisor Gloria Molina delivered an unusual public scolding of Chief Administrative Officer Richard B. Dixon for failing to inform her of the “generous” bonus program when supervisors were forced to cut services because of budget problems last month.

“We don’t want a bunch of kiss-asses who are kissing up to a department head getting $10,000,” fumed the supervisor, questioning whether the money is truly being used to reward exemplary performance.

The supervisors voted to defer until next year $75,000 in bonuses that have been authorized and ordered that future payments be approved by the county lawmakers.

The board’s action follows public disclosures last week that Dixon awarded individual bonuses of $2,000 to $2,500 to five members of his staff for “outstanding performance” in coordinating the ongoing $2-million renovation of his offices.

A $4,500 bonus also was awarded to Francis J. Dowling, acting director of mental health who has been criticized for spending $864,000 on office renovations when clinics were being closed because of funding problems. The biggest bonus--$10,742--went to a mid-level bureaucrat in the health department.

County policy has given the chief administrative officer authority to compensate employees for extraordinary work. The bonuses, paid from surplus funds at the end of the fiscal year, have been meted out on top of cost-of-living increases or merit raises.

The board members on Tuesday said that, from now on, they will decide how leftover funds are spent.

Molina’s criticisms of the bonuses was her strongest yet of a bureaucracy that she says has insulated itself from scrutiny and has not been operating in the public’s best interest. She has been urging her board colleagues to assume more control over how billions of dollars in tax money is spent each year.

Among other things, Molina disclosed that in fiscal year 1988-89, Dixon awarded a $4,049 bonus to a top assistant who was earning $96,000 a year. The bonus came on top of a $15,000 increase the aide received from a promotion and merit raise.

“I’m sure this is a valued employee,” Molina said sarcastically, drawing laughs from an audience filled with county workers facing demotion or layoffs because of budget problems.

Molina said she learned about the bonuses only after she was leaked a memo that Dixon had sent to his staff. While grilling the chief administrative officer on Tuesday, Molina said: “During budget deliberations, we asked where there is money to fund our unmet needs. . . . Why didn’t you tell me about these bonuses?”

“I did not feel that all the bonuses . . . would have begun to meet the needs,” Dixon said. “I feel the use of money to get functions done better, faster and cheaper . . . is an appropriate use.”

Molina interrupted. “You’re not elected to make those decisions,” she said. “You serve as our appointee. . . . You don’t make those decisions, sir. We do.”

Molina proposed a permanent end to the pay program, but Supervisor Deane Dana objected.

“I fully agree with the concept of rewarding truly outstanding effort by employees in the form of a bonus,” Dana said. “But there are times when good sense must intercede.”

Dana persuaded Molina to join him in voting for a one-year suspension of the program. Expressing concern that word of the bonuses could hurt the county’s chances to obtain additional state and federal aid, Dana said, “I don’t want this information getting to Washington, to Sacramento.”

Joining Molina in voting to suspend the bonuses were Dana and Supervisor Ed Edelman. Supervisor Kenneth Hahn was on vacation but issued a statement supporting the board action. Board Chairman Mike Antonovich was vacationing in Mongolia.

“I think it’s going to be much tougher to grant people a $10,000 bonus, Molina said after the meeting, “when it’s done in public view.”

In other business, Molina introduced a motion asking the supervisors to hold a public hearing Sept. 10 on Sheriff’s Department operations, including those dealing with excessive force and cultural sensitivity.

Molina said her request was prompted by the fatal shooting of Arturo Jimenez at the Ramona Gardens housing project by a sheriff’s deputy.

Molina said Sheriff Sherman Block has agreed to attend the hearing in the board chamber.