California Lawmakers Demand State Audit of Stockton Diversity Program Following Firing Allegations
Two state legislators formally requested an audit of Stockton’s diversity initiatives on Sunday following accusations of unauthorized personnel changes and financial mismanagement. Assemblymember Rhodesia Ransom and Senator Jerry McNerney intervened after the city’s vice mayor reported the program director was terminated without council consent.
Financial Disputes and Management Conflicts Plagued Program Since 2025
Tensions regarding the city's equity initiatives began escalating last summer when officials discovered significant budget discrepancies. Reports indicated that former Interim City Manager Steve Colangelo diverted nearly $100,000 intended for diversity efforts to cover unrelated administrative costs, this included payments to a consultant from a neighboring municipality. While the city council established these initiatives in 2022 to combat systemic racism, Mayor Christina Fugazi has argued that the original resolution never allocated specific funding. These conflicting interpretations of the program's financial structure created a volatile environment well before the recent personnel disputes.
Legislators Escalate Oversight After Vice Mayor Alleges Improper Termination
The push for state-level intervention intensified after Vice Mayor Jason Lee appealed directly to Sacramento officials regarding the sudden removal of Stockton diversity director Priya Nixon. Lee serves as chair of the local Audit Committee, he contends that Nixon was dismissed from her role without the required city council authorization. He argues this action bypasses established governance protocols, Nixon herself previously testified that city leadership viewed her department as a liability during administrative meetings.
Assemblymember Ransom and Senator McNerney responded by formally requesting the Joint Legislative Audit Committee to examine the city's hiring and spending practices. This request expands scrutiny beyond the ongoing internal investigation, it aims to determine if administrative staff exceeded their legal authority. The state audit will specifically analyze whether funds were misappropriated and if the termination violated the city charter, this external review addresses concerns that the local council could not investigate itself impartially. Vice Mayor Lee emphasized that protecting the integrity of public funds drove his decision to seek outside help.
City Hall Faces Heightened Scrutiny Over Governance Standards
This external audit introduces a rigorous layer of accountability that could lead to disciplinary action against senior city officials. If investigators confirm the allegations of unauthorized spending and personnel removal, the city may be forced to restructure its entire administrative oversight framework. Furthermore, the findings could establish a legal precedent for how municipal diversity programs are managed and funded across California, ensuring that allocated resources are used strictly for their intended purposes.
The state auditor’s office is expected to review the request immediately while the local council continues its parallel inquiry. Vice Mayor Lee stated that ensuring transparency remains the primary goal regardless of the potential political fallout from the findings.
