In its analysis of the district financial statements, the Moraga-Orinda Fire District financial reporting ad hoc committee, comprising directors John Jex and Craig Jorgens, found that the district reported $20 million more in assets than it actually had, a mistake that the committee insisted the district correct before publication.
"The liability associated with a false and misleading financial statement is tremendous," said Jex, a retired Deloitte audit partner. "I would not be able to serve on the board if you put out a financial statement that you know is incorrect."
In 2005, the district purchased a $28 million pension obligation bond to pay down its unfunded pension liability with its retirement plan manger, the Contra Costa County Employees' Retirement Association.