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San Fernando's Financial Crisis Burdened By Scandal

RENEE MONTAGNE, HOST:

And while we're on the subject of tawdry trysts, lovers' spats and family feuds, let's go to the town of San Fernando, here in Southern California. The city of 25,000 has big fiscal problems, but the romantic entanglements of its leaders are grabbing the attention and the headlines. NPR's Carrie Kahn has our story.

CARRIE KAHN, BYLINE: The first chapter in the city's salacious, downward spiral began last fall when the police chief was accused of having an affair with a 19-year-old cadet. Chapter two came last November in the final minutes of the city council meeting. That's when then-Mayor Mario Hernandez announced he has lost his business, declared bankruptcy and...

(SOUNDBITE OF CITY COUNCIL MEETING)

KAHN: Not only was long-time Councilwoman Maribel De La Torre sitting on the dais with the mayor, his estranged wife was in the audience. When she stood up to object, Hernandez asked police to remove her. Then another councilwoman, Brenda Esqueda, was accused of having an affair with a police sergeant and intervening on his behalf in a personnel matter.

(SOUNDBITE OF CITY COUNCIL MEETING)

KAHN: Esqueda - who is now mayor - says she stepped in only to keep the city from firing a whistleblower. She says the officer exposed malfeasance in the force. Whether he is her lover or not, she won't say.

(SOUNDBITE OF CITY COUNCIL MEETING)

KAHN: A recall drive was launched against the mayor, the former mayor and his councilwoman girlfriend. By the way, the former mayor, Hernandez, resigned just days after calling police to his house and accusing his paramour of strangling him and ransacking his bedroom. Both took out restraining orders. Councilwoman De La Torre is scheduled for arraignment on battery charges next week. Summertime is always hot in L.A.'s San Fernando Valley, but this is too much, says Sylvia Ballin, one of only two council members not facing recall.

SYLVIA BALLIN: We have some serious, serious issues that we have to, have to focus on. I'm worried. I don't want the city of San Fernando to end up in bankruptcy.

KAHN: The city is facing a budget deficit of as much as a million dollars, and may have to lay off employees. Businesses are shutting down. J.C. Penney just closed its doors after 92 years in town. The two bowling alleys and movie theater are long gone, and that doesn't leave much for entertainment - unless, of course, you count city council meetings. Last week's was a doozy.

(SOUNDBITE OF CITY COUNCIL MEETING)

KAHN: Like most speakers, resident Margie Carranza was there to reprimand, and then she went on to point out adulterers in the audience. Ralph Perez called on the entire town to repent.

(SOUNDBITE OF CITY COUNCIL MEETING)

KAHN: Perez is the current mayor's father. As she wiped away tears, her alleged boyfriend, the police sergeant, videotaped the entire meeting. Unfortunately, the real issue of the night - what to do about the city's fiscal problems - will have to wait for the melodrama to subside. Carrie Kahn, NPR News. Transcript provided by NPR, Copyright NPR.

Carrie Kahn is NPR's International Correspondent based in Mexico City, Mexico. She covers Mexico, the Caribbean, and Central America. Kahn's reports can be heard on NPR's award-winning news programs including All Things Considered, Morning Edition and Weekend Edition, and on NPR.org.