The State Worker

Chronicling civil-service life for California state workers

April 30, 2009
The $580,000 question: Who benefited from state leasing fiasco?
Several Bee and State Worker readers contacted me after we published a story Wednesday about the state wasting $580,000 to lease office space that went unused for four years.

That story cited a report by state auditor Elaine Howle, which described how the General Services and Corrections and Rehabilitation departments had wasted $580,000 on office space they leased but did not use for a variety of reasons.

"Who benefited?" you wondered.

State audits don't always mention names of private vendors or building owners -- and Howle's report did not mention it in this case, either.

We have your answer.

The space was rented  from a company called Hyundai Rio Vista Inc. in San Diego for space in a building located at 8880 Rio San Diego Drive.

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About The State Worker

Jon Ortiz The Author

Jon Ortiz launched The State Worker blog and a companion column in 2008 to cover state government from the perspective of California government employees. Every day he filters the news through a single question: "What does this mean for state workers?" Join Ortiz for updates and debate on state pay, benefits, pensions, contracts and jobs. Contact him at (916) 321-1043 and at


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