No conflict of interest exists on financing

Phil Drachman, one of the supporters of the ill-fated and poorly drafted initiative that would have required a vote before the city could upgrade its fire, library, police and park facilities, has once again raised a smear charge that because I have advised other state and local governments on accessing the capital markets for the past 18 years, I have a financial conflict of interest regarding any debt issued by the city of Newport Beach (Mailbag, “Councilman should steer clear of financing issues,” Thursday).

Drachman’s fundamental ignorance of public finance, first displayed in his initiative, is on full display with this charge.

For the record, I have no economic or other interest in any debt sold by the city of Newport Beach, whatsoever, now or in the future. I have in fact never advised the city on any debt issue and my position on the City Council precludes me from doing so in the future. In fact, one of my worthy competitors, Fieldman Rolapp, serves as financial advisor to the city and does a fine job.

I have discussed this issue with Drachman personally and exchanged e-mails. He is fully aware that his charges are nonsense, and the city attorney has said so. According to his logic, because I understand public finance, I should not employ that knowledge on behalf of the city.

As a new public official, this my first experience with a political opponent, unconstrained by truth, who chooses to make false charges in the newspaper as part of a political smear challenging my integrity. I now know why so many good people avoid public service.

I am hopeful that this fall’s election can be a contest between competing visions for our city’s future, run in a positive way and focused on the issues.