Nixon Library to Host Simonian Fund-Raiser

The Richard Nixon Library & Birthplace has agreed to rent out its facility for a legal defense fund-raiser for former Yorba Linda City Manager Arthur Simonian, who was fired after a city inquiry found he collected tens of thousands of dollars in unapproved bonuses and benefits.

The county district attorney’s office on Wednesday also announced that prosecutors were evaluating the allegations against Simonian. Officials from the Internal Revenue Service already have met with city officials to discuss alleged tax violations.

Simonian supporters picked the Nixon Library for the fund-raiser because the former city manager is a longtime advocate of the institution. The library’s director, John Taylor, publicly defended Simonian shortly before the City Council fired the administrator Sept. 7.

“Art Simonian was one of the two or three indispensable people in terms of bringing the Nixon Library to Yorba Linda,” Taylor said Wednesday. “He’s an indispensable friend of the Nixon Library. He’s a personal friend of mine.”

Taylor bristled at the suggestion that the fund-raiser may taint the reputation of the library, a monument to the achievements of the U.S. president who was ravaged by the Watergate scandal and forced to resign. Taylor emphasized that Simonian has not been charged with any criminal wrongdoing, and that the Yorba Linda City Council’s decision to fire Simonian was approved by a narrow 3-2 vote.

Yorba Linda Mayor John M. Gullixson, who called for the investigation of Simonian and voted to fire him, said Taylor appeared to be more concerned about the plight of his close friend than the well-being of Yorba Linda, Nixon’s birthplace.

“I don’t think the library hosting this event does anything to help the Nixon Library at all. In fact, it probably damages it,” said Gullixson, who worked on Nixon’s California campaign staff during the 1972 presidential race and remains a loyal supporter.

Yorba Linda City Engineer Roy Stephenson was the Simonian supporter who approached the Nixon Library about the fund-raiser, Taylor said. In August, the City Council learned that Simonian had increased Stephenson’s salary and benefits by $22,000 a year without council approval. The council voted to rescind Stephenson’s extra compensation.

The Nixon Library rents out rooms for hundreds of events every year at rates that range from $500 for nonprofit organizations to more than $3,000 for corporations, Taylor said.

Taylor said he offered to rent a room for the Simonian fund-raiser for $750. The library offered two dates in October for the event but has not received a response from Stephenson.

A special counsel hired by the city found that Simonian had awarded himself annual bonuses of as much as $14,000 without approval from the City Council. The three-week inquiry also revealed that some of Simonian’s benefits were not reported on federal income tax forms, including a leased BMW and a $1-million life insurance policy, both provided at city expense. These came on top of Simonian’s base salary of $142,000 a year.

The City Council turned over the findings to the IRS, county prosecutors and state tax authorities, and asked them to investigate Simonian for possible wrongdoing.

“We’re looking at it,” said Tori Richards, spokeswoman for the Orange County district attorney’s office. “We’re evaluating the allegations to see if we want to file criminal charges.”

Simonian has denied any wrongdoing and said the City Council approved all of the compensation he received. He is suing the city for wrongful dismissal. Attempts to reach Simonian’s attorney, Craig Scott, have been unsuccessful.

The legal bill for the city’s investigation of Simonian thus far totals $52,000, and the inquiry is still not complete, according to Yorba Linda City Finance Director Susan Hartman. The city’s special counsel, the Tustin law firm of Parker, Covert & Chidester, is charging $130 to $165 an hour for its services, which include assistance from the accounting firm of Diehl, Evans & Company in Irvine.

The city also is paying up to $15,600 a month for consultant Daniel Miller, who was hired as interim city manager after Simonian was fired.

Simonian’s dismissal will also cost the city at least $177,000 in salary and benefits owed to the fired city manager. Council members decided to place Simonian on paid administrative leave until Dec. 9, meaning he will collect three months’ salary totaling about $35,000 and continue collecting his benefits, Hartman said.

Simonian’s employment contract also requires the city to pay him a severance package of a year’s salary--$142,000--plus all accrued vacation and sick time.

Times correspondent Jasmine Lee contributed to this report