Guadalupe Investigates Discrepancies in Royal Theater Project Costs

The city of Guadalupe is currently scrutinizing accounting discrepancies related to the ongoing Royal Theater project, an initiative aimed at revitalizing the historic venue established in 1939. During a recent city council meeting on February 10, 2024, city officials acknowledged challenges surrounding the project’s financial reporting, which have led to confusion and frustration among council members and community residents.

Interim City Administrator David Trujillo addressed the council, revealing that a comprehensive report by project manager Tom Brandeberry regarding financial irregularities had been postponed. Trujillo stated, “We don’t have a full presentation, but I’m going to give you a status update. This isn’t a full comprehensive.”

In January, the city staff informed the council that Brandeberry would provide an in-depth overview of the project’s expenses. This report was expected to clarify a troubling cost summary from 2025, which indicated inconsistencies between Brandeberry’s records and the city’s financial documentation. Specifically, while the total for soft cost estimates was listed as $2.9 million, the actual line items only accounted for approximately $2.2 million.

At the meeting, Trujillo explained that the discrepancies stem from improper coding of invoices within the city’s financial system. “It looks like the problem is with the city’s invoices not being coded properly,” he noted. “These invoices are all over the place, where whole invoices are coded for multiple things, and the total is being applied to the Royal Theater, versus the one or two line items that actually go to the Royal Theater.”

As the meeting progressed, council members received printed sheets detailing some of the invoices in question. Mayor Ariston Julian expressed his confusion, commenting, “Clear as mud.” Councilmember Whitney Furness sought clarification on when a comprehensive financial update would be delivered. She emphasized the importance of transparency, asking, “With the last year of me asking these questions, is it possible to get a comprehensive report of what’s been spent and where it’s been spent, instead of just the discrepancies?”

Trujillo responded, “It was my understanding—this whole time, through all of this—that this was the information that was being requested.” He requested that Furness specify her needs via email to ensure clarity moving forward.

Community member Mira Beyeler voiced her frustrations during public comment, expressing concern over the ongoing miscommunication regarding the project’s financial status. “I think it’s concerning that there’s still a miscommunication about what’s being looked for because I think it has been really clearly asked by the community to get that information,” she stated. Beyeler’s remarks highlighted a broader sentiment among residents eager for more timely updates.

In response to Beyeler, Mayor Julian acknowledged the challenges faced by city staff, noting, “There’s been some changes in our staffing. There’s changes in our financial system, and we’re trying to get to the bottom of that. I don’t think we can be more transparent than that.”

The Royal Theater project has long been a focal point for the city, given its historical significance and potential to enhance community engagement. As Guadalupe moves forward, city officials remain committed to resolving the financial discrepancies and restoring public trust in the project’s management. The council is expected to reconvene in the coming weeks to continue discussions regarding the financial status and future steps for the Royal Theater.