This article is part of a larger story on growing recruit challenges caused by top-level executive departures in Palo Alto.
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Lalo Perez has seen it all — booms and busts, surpluses and deficits, a union strike and a library renaissance.
But despite being intimately involved in just about every major Palo Alto initiative over the past three decades — from the stalled effort to expand the dark-fiber system to the city's ongoing quest to build a new police headquarters — the city's soft-spoken budget guru has always managed to avoid the spotlight. It's enough for him to know that the city has a AAA credit rating, that the books are balanced and that the city's infrastructure plan is moving ahead. Those 20 awards that he received from the Government Finance Officer Association and the California Society of Finance Officers? Icing on the cake.
The resolution that the council passed in his honor on June 25, recognizing him for his positive attitude and strong work ethic? That's also nice, but the now retired chief finance officer opted not to attend. Public recognition isn't really his thing, he says. He prefers to let his work do the talking.
Perez, 55, began his City Hall career in August 1985 as a 22-year-old in the Revenue Collections before becoming director of the Administrative Services Department in 2008. As chief financial officer, he has been at the forefront of the city's long-term planning, which includes tackling the infrastructure backlog and the sprawling pension costs.
But his departure is, in some ways, unplanned. In March 2015, Perez was diagnosed with Stage 4 kidney cancer, an experience that he told the Weekly gave him "a new perspective on life." He had surgery and missed about two months of work. But he said he ended up feeling "very blessed" in that the cancer appeared to be encapsulated in one kidney, which was removed.
He also realized that after years of grueling budget meetings, he would like to spend more time with his daughter, who is now 15.
On July 6, one day after his retirement and one hour after taking in a World Cup soccer match, Perez discussed with the Weekly his time at City Hall:
What was your workday like when you began your career at City Hall?
I began in Revenue Collections and, as part of that, I was involved in managing the city's investment portfolio. That was a lot of fun. I was dealing with a lot of money and I had to deal with New York, so I would get up at 6 a.m. to buy securities, and I'd get this adrenaline rush. Then later, when I worked as budget analyst, (then Finance Director) Carl Yeats saw something in me and said I can be budget manager and, later, assistant director. I remember when he said that to me, I was thinking, 'Is he talking to someone behind me?' But he gave me a chance. ... It's been quite a steadiness at ASD (Administrative Services Department). Since 1988, we've only had three directors: Emily Harrison, Carl Yeats and myself.
In 2009, the city was facing tough conflict with its largest union, the SEIU, over a new contract, which included pension reforms that the employees opposed. What was it like going through that process?
It was actually in some ways a heartwarming experience. You obviously got to hear about the challenges that the employees were having, with no salary increases for several years. But what helped me was, having come up through the ranks and having been here for a while, people were listening to me and they understood what I was saying. I did get a few not-so-kind emails, but at the end of the day, the majority of employees understood my position and the decisions I was facing. It was extremely challenging, there was never a recession like that during my time here.
What was the hardest part of that?
Probably, the most difficult thing is laying off a person. When they tell you, 'How do I tell my wife and kids?' it hits you hard.
Another challenge around that time was the business-license tax, which the city tried to institute to pay for infrastructure but voters rejected. Why do you think that effort didn't succeed?
We were navigating uncharted waters in a very challenging economic time. It wasn't pleasant, but it was quite a learning experience. The business community was very upset and rightly so. But unfortunately, we were in a bind ourselves, and we had to try something. The problem was timing. But I still believe everyone should contribute toward the services that the city provides — and I saw that as a way for them to contribute.
What was it about the job that kept you in Palo Alto all these years?
The diversity of projects has made it fun. I've never flown a plane, but I got to work on a business plan for the airport and issue an RFP for Fiber to the Premise (the city's effort to expand its dark-fiber network). It's challenging, but this job gave you opportunities.
What's the most challenging and frustrating thing?
We always talk about "The Palo Alto Way." We really like to discuss an issue in an extreme manner. On our budget, we've been used to doing five to seven committee meetings, plus a City Council meeting or two. Surrounding agencies do it in one or two nights at most.
The amount of discussion you have to have on an issue teaches you to have patience and that can be challenging for someone new coming into the agency. Just look at the public safety building. We've been talking about it for 20 years."
What does it feel it like to leave after all these years?
It's a bittersweet emotion. A part of me feels glad that I've had this opportunity, but a part of me feels sad because there's just so many things that we can still continue to work on.
So what's next for you?
Once I get a little rest, I will think about ways how I can 'pass it forward,' probably through teaching. I'd like to try to engage the younger generation to think about local government.
Comments
Registered user
Another Palo Alto neighborhood
on Jul 20, 2018 at 10:49 am
Registered user
on Jul 20, 2018 at 10:49 am
A true steward of the public trust in every sense of the words. Lalo dedicated his career to serving Palo Alto, and while his work continues he can never be replaced. Thanks PA Weekly for taking the time to share this perspective on public service.
Registered user
Duveneck/St. Francis
on Jul 20, 2018 at 11:37 am
Registered user
on Jul 20, 2018 at 11:37 am
As a citizen who reads the budget every year and attends finance meetings with some regularity, I appreciate the outstanding work Lalo Perez has done for us. It's easy to criticize the city when you have not sat through the long discussions where many difficult choices and compromises had to be made.
I appreciate Lalo's detailed, thoughtful, disciplined work. Lalo is a true professional. We are very fortunate to have been the beneficiaries of his service. I had no idea he has been ill, and I am very sorry to hear it.
Thank you and best wishes, Lalo. I, for one, will miss you.
another community
on Jul 20, 2018 at 1:14 pm
on Jul 20, 2018 at 1:14 pm
Lalo is not only an outstanding civil servant, he is an outstanding person. I had the fortune of working for him for three years, and was constantly impressed.
Lalo, I'm happy for you and wish you nothing but the best!