Current Status:

Recommendation 18-15 was effectively implemented

Recommendation 18-16 was effectively implemented

Recommendation 18-17 was effectively implemented

Recommendation 18-18 was effectively implemented

Recommendation 18-19: The ORAS system was purchased but not yet installed.

Recommendation 18-20: No evidence supports that this recommendation was effectively implemented.

Recommendation 18-21 was effectively implemented The specific details concerning the 2019-2020 San Bernardino County Civil Grand Jury's analysis of San Bernardino County Sheriff’s Department Inmate Welfare Fund responses to the Grand Jury's questions are in the section titled, ‘Current Status’ of each recommendation reviewed. San Bernardino County Grand Jury Final Report COMPLAINTS The San Bernardino County Civil Grand Jury receives numerous citizen complaints throughout the year. The 2019-2020 Grand Jury received a total of 46 complaints. Every complaint is carefully reviewed by the Grand Jury for issues regarding appropriate jurisdiction and importance of the complaint topic. After completion of the initial review of a citizen complaint, the Grand Jury may approve the complaint and assign it to an appropriate committee. The committee will conduct an investigation with appropriate oversight by the full Grand Jury. A written report of the committee’s findings and recommendations regarding a specific complaint may or may not be included in the year-end Grand Jury’s Final Report. The process of submitting a citizen complaint is to obtain a Confidential Citizen Complaint form from either the Grand Jury’s website or by calling the Grand Jury’s office at (909) 387-9120. The website is http://wp.sbcounty.gov/grandjury/file-a-complaint/. Once the complaint form has been completed and signed, it can be returned to the Grand Jury’s office for processing. Although the Grand Jury usually does not investigate anonymous complaints, it may conduct an investigation depending on the issue. San Bernardino County Grand Jury Final Report CITY OF UPLAND INVESTIGATION SUMMARY The 2019-2020 San Bernardino County Civil Grand Jury (Civil Grand Jury) discovered evidence that, in 2019, the City of Upland purposely covered up, on no fewer than five (5) Treasury reports, a handwritten notation made by the elected City Treasurer of $112,039,675.00 regarding the City of Upland's Unfunded Pension Liabilities. The City's management personnel then forwarded the Treasury Report without the handwritten note to the City Council as unaltered. The evidence established that, eventually, the cover-up of the Unfunded Pension Liabilities notation was discovered, but that the City of Upland failed to take any disciplinary action. Instead, they decided to permanently remove the elected City Treasurer's signature from the Treasury Report. The evidence further established that masking of the hand-written notation was then supported by the City of Upland’s motivation to prevent the citizens of Upland from asking questions about the status of the City's Unfunded Pension Liabilities. The Civil Grand Jury also discovered evidence that when the City Treasurer submitted an appointment for Deputy Treasurer's position to the City of Upland, City management personnel denied the request without statutory authority. Evidence established that the City Council was not made aware of the appointment. CA Government Code Title 4, Chapter 3, Section 41006, states that "The city treasurer may appoint deputies". Evidence established that the City of Upland City Council determines what compensation is provided for a Deputy Treasurer. The Civil Grand Jury found evidence that members of the City of Upland Finance Committee were confused about their responsibilities. Evidence established that Finance Committee members differed as to who did and who did not have voting rights. Evidence also established that Finance Committee members did not have an accurate assessment of pension costs related to the City of Upland. San Bernardino County Grand Jury Final Report The Civil Grand Jury found that most actions mentioned in this report may not violate the law1. The Civil Grand Jury does, however, view these practices as deceptive. These actions also demonstrate a lack of proper government practices and transparency to the citizens of Upland. The Discussion section in this report describes in detail the City of Upland's actions and decisions that represent a lack of transparency to its citizens. The Civil Grand Jury Report includes recommendations to improve Upland's understanding of its responsibilities to the Upland citizens. Glossary Capital Project Funds: Funds used to track the accumulation and use of resources for constructing, acquiring, and rehabilitating capital assets, such as buildings and roads. City Council: A group of elected officials who serve as the legislative body of the City of Upland. City Treasurer: An elected official who is primarily responsible for managing the revenue and cash flow of the agency, banking, collection, receipt, reporting, custody, investment or disbursement of municipal funds. Comprehensive Annual Financial Report (CAFR): Compiled annually by a state, municipal or other governmental accounting staff and audited by an external American Institute of Certified Public Accountants (AICPA) certified accounting firm utilizing Governmental Accounting Standards Board (GASB) and adheres to the U.S. Federal Government standards determined by the Federal Accounting Standards Advisory Board (FASAB). The CAFR is composed of three sections: Introductory, Financial and Statistical. It combines the financial information of fund accounting and Enterprise Authorities accounting. The San Bernardino County Civil Grand Jury is aware that there potentially may be criminal activity associated with these actions that are not within the jurisdiction of the Civil Grand Jury. San Bernardino County Grand Jury Final Report The purpose of a CAFR is to be transparent about the use of taxpayers' money and to give the public a detailed accounting of all expenditures. A CAFR accomplishes this by including dozens of basic and more intricate financial reports along with notes, narratives and supporting data. Debt Service Funds: Funds used to account for the repayment of debt. Disbursements: Payments from a fund. Enterprise Funds: Funds used to separately account for the operations of municipal services which charge fees in exchange for goods and services. Finance Committee: A standing committee of the City Council that consists of two council members, the City Treasurer (review of Quarterly Investment Report), and a Finance Officer (staff - advisory only). This Committee shall be responsible for reviewing changes to the finances of the City. This may include reviewing warrants and registers, financial statements, investment reports, the City's annual independent audit, City fees and service charges, and operating budgets. Fund Balances: The difference between assets and liabilities in a governmental fund. General Fund: Fund where a government accounts for everything not reported in another fund. General Law City: A city that runs by state rules as outlined in the California Government Code. Investment Committee: A sub-committee of the Finance Committee that reviews the Quarterly Investment Report. Management Personnel: Salaried-level employees with supervisory responsibility. San Bernardino County Grand Jury Final Report Special Revenue Funds: Funds used to report specific revenue sources that are limited to being used for a particular purpose by law or administrative actions. Treasury Report: A written report developed under the authority of the City of Upland Statement of Investment Policy (Exhibit 2), that accounts for all city investments that are submitted monthly to the legislative body. Trust and Agency Funds: Funds used to account for resources held for the benefit of parties outside the city.

Agency funds account for resources held by a city (not in a trust) on behalf of individuals or other governments. Unfunded Pension Liabilities: Pension debt obligations that do not have sufficient funds set aside to pay the debt.