Wildfire Recovery Czar Steve Soboroff Speaks Out on Unpaid Work, City’s Response

Steve Soboroff, the wildfire recovery czar appointed by Los Angeles Mayor Karen Bass, recently aired his frustrations about working without pay, revealing that he felt “lied to” by city officials. His remarks, made during an alumni event at Harvard-Westlake School, shed light on the behind-the-scenes turmoil surrounding the city’s response to the devastating Palisades fire.

Soboroff, a prominent real estate developer and civic leader, was selected by Mayor Karen Bass in mid-January to oversee the recovery efforts. Initially, it was announced that his salary would be covered by philanthropy, with both Soboroff and Bass mentioning this arrangement without disclosing the exact amount. However, Soboroff’s situation took a turn when he discovered that the city did not have the funds to pay him.

During his speech at Harvard-Westlake, Soboroff addressed the “elephant in the room”: the city’s initial plan to pay him $500,000 over 90 days, and his subsequent decision to work without pay after public outcry over his compensation. “So then I found out that they really didn’t have the money,” Soboroff said. “And then I found out I really did have the [personal] bills.”

Facing a difficult choice, Soboroff considered going public with his grievances but ultimately decided to continue working without pay. “So there was one of two things to do: Go public and quit, and say I was lied to — here’s my emails, here’s my texts, here’s all this s—,” he told the audience. “Or tell them I’ll do it for free, and hope that it comes around later on.”

By Monday, Soboroff changed his stance, stating that he did not believe the mayor had lied or intentionally misled him. “That was not what I feel and not what I meant,” he said in an interview. The mayor’s spokesperson, Zach Seidl, referred to Soboroff’s refutation when asked about his comments.

The turmoil surrounding Soboroff’s appointment reflects broader issues within the city’s response to the Palisades fire, which destroyed thousands of homes in Pacific Palisades and surrounding communities. Mayor Bass has faced criticism for her emergency response and her absence from the city when the fire broke out. In response, she named Soboroff as her recovery czar on Jan. 17, but their relationship has been fraught with disagreements and miscommunications.

Last month, Bass scaled back Soboroff’s duties, limiting them to the rebuilding of a portion of the Palisades. Soboroff disputed this, claiming his work had not been downsized. Their relationship further frayed over his salary, a topic he aired publicly for the first time during the alumni forum. On Feb. 7, Bass’ team confirmed that Soboroff would be paid $500,000 for 90 days of work, with all funds coming from philanthropy. After facing backlash, the mayor announced the next day that Soboroff had agreed to work for free.

“I spoke to him today and asked him to modify his agreement and work for free. He said yes,” Bass said.

The Harvard-Westlake event, titled “A Night With Steve Soboroff: Recovery From the LA Fires,” was held at the private school’s Holmby Hills campus and was organized by the HW Business and Entrepreneurship Alumni Network. During the event, Soboroff underscored that he had turned down other work to take the job and had spent much of his career doing civic work pro bono.

“I get called for a lot of civic stuff over the years, for 35 years, and never charged anybody anything. You try spending 35 years out of the middle of your life not charging anybody for anything, and sending five kids to Harvard-Westlake,” Soboroff said to laughter in the room.

Soboroff has repeatedly pointed out that he gave up lucrative consulting work to take on the role of recovery czar. In an interview with The Times on Saturday, he said he had always assumed that he would be paid for his work. “If I was a billionaire or a hundred-millionaire or a 20-millionaire or a whatever, I probably would have done this for free from the beginning. But I wasn’t, I’m not and I didn’t,” Soboroff said. “And I had to give things up that were going to be helpful to me.”

Also at issue is how Soboroff’s salary figure came about. Asked during a news conference on Feb. 11 whether the salary was negotiated, Bass said: “Yes, there was a negotiation.” But in his interview with The Times, Soboroff said the mayor never pushed back on the $500,000 figure.

Soboroff’s situation highlights the challenges faced by public officials and civic leaders in balancing personal financial needs with the demands of public service. The controversy also raises questions about the transparency and accountability of city officials in managing public funds and compensating key personnel during crisis situations.

In the broader context, Soboroff’s experience underscores the importance of clear communication and financial planning in crisis management. The wildfire recovery efforts in Los Angeles serve as a case study for other cities facing similar challenges, emphasizing the need for robust financial backing and transparent processes to ensure effective and efficient recovery.

As the city continues to rebuild and recover from the devastating fires, the relationship between Soboroff and Mayor Bass remains a critical factor. Their ability to work together effectively will be crucial in determining the success of the recovery efforts and the future resilience of Los Angeles.