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Council advances reorganization ordinance to streamline departments, move risk management to city attorney
Summary
Council moved forward on an ordinance to create Administrative Services and Municipal Operations departments, reassign risk management and insurance functions to the City Attorney’s Office, and shift HR responsibilities under Finance; the motion passed unanimously on first reading after public comment raised charter and oversight concerns.
The Newport Beach City Council voted unanimously Dec. 9 to advance (first reading) an ordinance reorganizing several city functions and departments.
Staff and council described the proposal as an effort to streamline operations: major elements include creating an Administrative Services Department (shifting human resources operational functions to Finance under a new administrative services director), creating a separate Municipal Operations Department for corporate-yard operations and maintenance, and transferring risk management, insurance and workers’ compensation oversight to the City Attorney’s Office. Staff said the change is intended to improve efficiency given the city’s volume of contracts and ongoing capital projects.
Councilmember Wagon and staff noted the city processes more than 1,200 contracts and argued the reorganization will allow clearer lines of responsibility and specialized leadership for municipal operations. The proposal included naming the current finance director (Jason Aleman) as the proposed Administrative Services Director and indicated the human resources director position would not be refilled under the new structure.
Public commenter Jim Mosher questioned the transfer of risk management to the City Attorney, citing City Charter section 602 and arguing that risk tolerances and operational decisions should rest with the City Manager rather than the City Attorney (traditionally a legal advisor). Mosher also suggested that information-technology functions belong in the new administrative services department and noted a prior city experiment merging similar functions between 1995 and 2011.
After public comment and council discussion, Councilmember Blom moved to adopt the staff recommendation to proceed; Mayor Pro Tem Lauren Kleinman seconded and the motion carried by unanimous vote, advancing the ordinance for future consideration.
Council directed staff to proceed with the process; the ordinance will return for a subsequent adoption vote where corrections or text changes (highlighted by the public) can be addressed.
