Former Centinela Valley school board members say they didn’t vet ex-superintendent’s contract

Jan. 30--Two former Centinela Valley school board members testified Tuesday that they didn't spend much time reading the generous contract they approved for ex-Superintendent Jose Fernandez nearly a decade ago, and they didn't notice a handful of provisions that dramatically boosted his pay.

Sandra Suarez and Martiza Molina said there was little discussion and no questions asked about the lavish perks now at the center of the corruption case against Fernandez, who led the tiny district serving students in Hawthorne and Lawndale until he was fired five years ago amid controversy.

They were the first former trustees to take the witness stand in his preliminary hearing in downtown Los Angeles, which is expected to continue for at least another week.

Fernandez, 59, faces up to 15 years in state prison if he is convicted of a dozen felony charges, including embezzlement, grand theft and conflict of interest.

Prosecutors allege that during a three-year period, he intentionally misrepresented the true extent of his sky-high pay and benefits, including a nearly $1 million, low-interest home loan, a whole-life life insurance policy and provisions that boosted his pension. In 2013, his compensation package totaled $750,000, making him likely the highest paid superintendent in California.

Board member forgets specifics

Fernandez's defense attorney, Vicki Podberesky, asked questions during cross-examination Tuesday suggesting that any misunderstanding about the contract was on the part of board members. She noted that a December 2010 Daily Breeze article spelled out the terms of the option for a home loan, which he obtained two years later.

Suarez struggled to answer questions from attorneys about the basic functions of the school board. She said she never received training on its procedures or the state's open-meeting law because it was offered during multiday conferences and, as a mother of 10, she could not attend.

As Deputy District Attorney Stefan Mrakich questioned her about a series of meetings and documents, Suarez said repeatedly that it was all so long ago, she simply couldn't remember specifics.

But she did recall that when she asked who came up with Fernandez's December 2009 contract, she was told it was based on recommendations from the Association of California School Administrators.

Perks buried in massive documents

A year later, when she received four massive binders at her doorstep containing bylaws and revisions in which prosecutors allege Fernandez "surreptitiously" buried more pay perks, Suarez said she started reading the material, but couldn't understand it.

"It was so much information I didn't understand, I got discouraged," she said.

Suarez said she asked someone at the school district to help her digest the material, but the person was also confused. Still, she voted to approve the items.

Suarez was later censured by her board colleagues after raising questions about spending and lost a re-election bid in 2011 after serving one term.

Board member trusted district lawyers

Molina was 23 and had just graduated from college when she was elected to the board in November 2009. She also testified that she remembered receiving a box full of binders, but didn't remember anything in them about Fernandez's pay.

She said when board members approved his contract a year earlier at one of her first meetings, they spent "just a few minutes" discussing it.

The school district's attorneys vetted the contract and said it was reasonable and normal in comparison to other superintendents, Molina said, and Fernandez, who she often went to with questions, agreed with them.

"I voted yes because the attorneys that represented the district agreed and had reviewed it and, frankly, that's why they serve the district," Molina said.

When the Daily Breeze exposed Fernandez's compensation in 2014, Molina initially defended him.

She and former board President Rocio Pizano and current trustee Hugo Rojas were later the subject of an unsuccessful recall effort amid community uproar.

Molina abruptly resigned in January 2016. She explained Tuesday that she stepped down because her mother was ill.

All three are expected to testify Wednesday. When the preliminary hearing concludes, Los Angeles Superior Court Judge Stephen Marcus will decide whether Fernandez should stand trial.

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