State auditor’s case against Huntington Beach, related to air show lawsuit continues
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An Orange County Superior Court judge heard arguments Thursday in the California state auditor’s lawsuit against the city of Huntington Beach.
Judge Carmen Luege told attorneys from both sides early in the hearing that she was not ready to rule in the case, which stems from the city’s controversial settlement with Pacific Airshow LLC after the final day of the 2021 show was canceled due to an oil spill off the coast of Huntington Beach.
For the record:
2:48 p.m. Feb. 3, 2026This article has been updated with the correct spelling of the Aleshire & Wynder law firm.
The California Joint Legislative Audit Committee voted in May 2024 to audit the nearly $5-million settlement. But the city refused to comply with state auditor Grant Parks’ requests for documents and interviews, leading Parks to sue the city in October 2024.
Luege indicated Thursday that she would likely deny the city’s request to dismiss the case. She tentatively scheduled an evidentiary hearing for March 2, in which the city could call witnesses and explain why it hasn’t complied with the audit.
Current city treasurer Jason Schmitt was mentioned as an official who could be called to testify. According to case documents, Parks had previously tried to schedule an interview with former treasurer Alisa Backstrom, who retired last July, without success.
Luege told both sides that she wanted to tread slowly, as she believed the city’s refusal to comply with the audit was an issue of first impression that lacked relevant precedent.
“We’re doing things that haven’t been done before,” she said. “That is what makes your jobs interesting, and my job interesting ... I know that both parties want to move this forward, but I worry about doing things fast and doing them wrong. In this case, I don’t know if there’s urgency. We’re not trying to prevent something.”
Attorney Michael Strumwasser, representing the state auditor’s office at the hearing, argued that people and documents can be lost over time.
“There is a public interest in wrapping this up,” he told the judge. “Was the settlement agreement ... flawed? What is wrong? Was it bad?”
Strumwasser mentioned that since Parks filed suit, the city agreed to lock in Pacific Airshow LLC as the show operator for up to 25 years.
“I don’t know what the audit ... has to do with the future,” Luege responded, adding that it was her job as a trial judge to create a full record if the case goes out on appeal.
The city of Huntington Beach was represented by Norman Dupont of Aleshire & Wynder, LLP.
