Sausalito fires finance director, installs substitute

Sausalito has fired its finance director on the brink of budget drafting season, but it won’t say why.

Chad Hess had held the position since July 18, 2023, after an interim period performing the job, according to the city. His most recent annual salary was $174,573.

City Manager Chris Zapata said Hess’ dismissal is a personnel matter that the city will not comment on.

“We regret the termination was necessary and thank Mr. Hess for his good work in Sausalito and wish him well,” Zapata said. “The decision was not reached lightly given the importance of the position and timing.”

Hess could not be reached for comment.

Sausalito has hired Jesus Nava as its interim finance director for this budget season. The next fiscal year begins July 1, and the city needed to rapidly hire “a seasoned executive” to help the staff develop the budget, according to a city statement.

“I am happy to serve the residents of Sausalito during this period of need,” Nava said.

Nava has a master’s degree in public administration from the University of Kansas and a bachelor’s degree in political science from the University of Texas.

Nava’s prior positions include budget analyst for San Antonio, Texas; chief financial officer for Burlingame, San Mateo County; deputy city manager in San Jose; assistant city manager in Oxnard; and chief administrative officer of the Santa Clara Valley Water District.

“The city is fortunate to have the extensive financial experience of Mr. Nava and is looking forward to producing a city budget to resource services to the Sausalito community and his professional interaction with the various entities financially intertwined with the city of Sausalito,” Zapata said.

Zapata said the recruiting process for a longer-term finance director will start in April. The city aims to have the position filled after the city’s budget for fiscal year 2025-26 is adopted.

The 2024-25 budget that the City Council adopted last June included about $21 million in general fund expenses and about $20 million in revenues. The city attributed the $1 million shortfall to a change in the city’s insurance provider and increased pension-related debt payments.

Last year, Bay Cities Joint Powers Insurance Authority — a risk-sharing pool consisting of 19 cities and towns, including the Central Marin Fire Department and the Central Marin Police Authority — terminated Sausalito’s membership because of excessive losses. The pool had covered Sausalito for 30 years.

The city joined Public Risk Innovation, Solutions, and Management, which cost an extra $1 million.