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Three former city employees have filed a complaint against Hollister City Manager Ana Cortez alleging retaliation, hostile work environment and improper practices. The complaint is dated the same day that the Hollister City Council approved Cortez’s departmental reorganization plan.
The three complainants, former assistant city manager Rod Powell, building official Gabriel Martinez and cannabis affairs manager Maria Mendez, were recently laid off. Cortez stated that this was a result of department reorganization. As part of the complaint, they request that the City Council suspend any personnel actions and to conduct an independent investigation into their allegations.
The former employees also request the city preserve all communications and documents related to their allegations. They also asked that the city attorney be involved in matters of legal risk.
Cortez, Mayor Roxanne Stephens and three Hollister City Council members did not respond to BenitoLink’s multiple requests for comment. Councilmember Rolan Resendiz did respond, but said, “It’s not something I’m prepared to talk about.”
The complaint was dated April 6 and addressed to City Attorney Jennifer Thompson, Human Resource Officer Stephanie Brown and Stephens. It alleges that since Cortez’s arrival in February, staff has been subject to intimation, implicit and explicit threats of job security and arbitrary reassignment of duties.
“This conduct has created an atmosphere of fear, instability, and diminished morale, and appears retaliatory in nature toward staff who attempt to provide context, raise concerns, or adhere to established procedures,” the complaint says. “We have collectively observed and experienced these conditions within our respective roles and departments.”
The former employees allege that Cortez has made repeated references and comments to preferring the hiring of younger employees because more experienced or older ones cost the city more. They claim she expressed a preference for hiring women for certain positions.
“These statements, when considered in context with hiring decisions and personnel actions described above, raise concerns regarding compliance with applicable anti-discrimination laws and the city’s obligation to ensure fair, merit-based employment practices,” the complaint says.
The former employees also say they are concerned with pay-to-play implications, noting that Cortez directed staff to solicit “‘large’ or ‘big’ sponsorships or donations from the city contractors” because the city pays them “substantial sums” for their services.
The complaint also states that Cortez has excluded and discouraged the city attorney from attending certain meetings, which the complainants say raised concerns of increased legal exposure for the city in matters involving agreements, litigation and regulatory compliance.
At the April 20 City Council meeting, when asked to report on an April 6 closed session item titled “conference with legal counsel” for “significant exposure to litigation,” Thompson said she did not attend the meeting, at which point Cortez said there was nothing to report. The city contracts with the firm Lozano Smith for legal services, including Thompson’s employment, and it is unclear if there was another attorney from the firm at that meeting.
Since Cortez received approval from the City Council to reorganize the departments, she’s said she is looking at further reorganizational moves. More recently, she won approval to create a new Human Resources position that would also oversee the information technology department.
The complainants linked their allegations against Cortez with her previous employment as city manager in Carnation, Washington, where the Snoqualmie Valley Record reported she resigned months after a third-party arbitrator ordered the city to reinstate four unionized employees with full back pay in a wrongful termination case.
The newspaper also reported she left with a $120,000 severance package.
Before that, Cortez had also resigned as the city manager for Helena, Montana, weeks after she was placed on administrative leave following staff complaints involving harassment, KRTV Great Falls reported. Although she was cleared of the allegations, an outside investigation recommended the city work on improving communications between Cortez and staff, according to the report.
While Cortez is facing a backlash from a group of community members, she has received a positive response from several business owners and contractors who laud her for addressing their frustrations with the city’s permitting process.
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