> ## Content Index > Fetch the complete content index at: https://www.smdp.com/llms.txt > Use this file to discover other available public pages before exploring further. # Funeral director: City Hall helped dig own grave - URL: https://www.smdp.com/funeral-director-city-hall-helped-dig-own-grave/ - Published: 2006-01-23T16:00:00.000Z - Updated: 2026-10-23T17:04:31.000Z - Author: Ryan Hyatt - Tags: Government & Politics, Pico, #archive-import *Three audits revealed questionable finances* PUBLIC SAFETY BUILDING — The man fired from Santa Monica’s public cemetery for questionable ethical behavior and financial boondoggling insists he played by the rules and only broke them when City Hall allowed him to do so. City officials insist that although they should have kept a more watchful eye over Michael Steen’s performance at Woodlawn Cemetery, the former funeral director’s failure to run an operation up to standards they expected was his fault — not theirs — and warranted his 2005 dismissal. That’s according to testimony last Thursday during an ongoing personnel board hearing in which Steen is appealing City Hall’s decision to fire him last July, after a eight-month investigation concluded there was no criminal wrongdoing on his part regarding financial discrepancies discovered at Woodlawn, a municipal cemetery located between Pico Boulevard and Michigan Avenue, from 14th to 17th streets. Steen was terminated after three audits revealed the management of Woodlawn Cemetery’s finances was not in line with general accounting practices. In addition, City officials believe Steen was acting unethically by promoting and benefiting from his domestic partner’s monument-making business at the cemetery. Steen has appealed City Hall’s decision because he feels his dismissal was unjust. According to his attorney, William Becker, City Hall should have done more to address issues it had with Steen’s management of the cemetery before letting him go. Instead, City Hall managers set up false expectations by giving Steen positive performance reviews up until the time of his dismissal. In addition, Becker argued City Hall managers could have corrected particular issues they had with Steen — such as the business relationship he had with his domestic partner — which would have been more effective than firing him. Officials haven’t said specifically how much money might not be accounted for at Woodlawn or what revenue might be realized. They have, however, paid outside firms for two audits, as well as conducted their own extensive internal audit, all of which is believed to have cost City Hall tens of thousands of dollars. The audits have shown there to be some discrepancies in Woodlawn’s financial books. The cemetery brings in about $450,000 a year in revenue, but it’s subsidized by City Hall because it operates at a loss. Because Steen’s firing is a personnel matter, city officials won’t elaborate on circumstances surrounding the criminal investigation or his termination — beyond what is said in the appeal hearing, a matter of public record. Steen was placed on paid administrative leave in December of 2004 while City Hall investigated his financial management of the cemetery. While City Hall has concluded he committed no criminal wrongdoing, city officials believe they had grounds to terminate him. Steen’s hearing will continue on Jan. 23, at which time he will be cross examined and his domestic partner is expected to testify. STEEN SPEAKS ABOUT HIS MANAGEMENT Testimony last Thursday focused on the communication between Steen and his superiors, who were responsible for his evaluation and ultimate dismissal. Steen testified that he didn’t take any steps he believed to be outside the purview of the law without first consulting with his superiors. That included the botched sales of $200,000 in burial plots, he said. Steen testified that in an effort to improve customer service and bolster the cemetery’s struggling budget, he devised a plan to create the “Court of Honor,” several premium burial plots that would cater to some of the cemetery’s deceased who sought to be distinguished. “People are not always equal in life, and some may not want to be equal in death,” Steen said. While the cost of an average burial plot varies between $2,000 to $8,500, the plots available in the Court of Honor run substantially higher, $20,000 a piece. Steen spoke enthusiastically about how he located a team to design the Court of Honor and how it was constructed with minimal cost to City Hall. He also described how he sold a widow eight plots in the Court of Honor, valued at $200,000, and failed to collect on the transaction. Rose Dimitrio’s dead husband had been previously interred at a less expensive section of the cemetery, Steen said. Dimitrio told Steen she wanted to pay for the premium plots with money she would receive from the sale of her house, which at the time of the transaction was in escrow. Steen said he knowingly sold the premium plots to Dimitrio on an installment plan, which is against the law. “I wouldn’t have done a thing had it not been paid, because the policy is to have payment before burial... but I knew (selling Dimitrio the plots) would bring money to the strapped cemetery,” Steen said. Steen said he didn’t act alone. He said he called his superior, Gil Borboa, head of the city’s utilities division, to obtain permission for the transaction. According to Steen, Borboa authorized the purchase. Borboa, on the other hand, said in his testimony that there had been no indication whatsoever that the purchase was to be made on installment. The criminal investigation attempted to determine whether Steen may have had some ulterior motive in providing Dimitrio with the plots, of which only $6,000 has been collected to date. However, investigators on the case testified they could find no evidence to support criminal wrongdoing. City Hall plans on providing Dimitrio with a final notice to buy the plots. Otherwise, City Hall will move Dimitrio’s husband’s remains to the plot that had been previously purchased in full. CITY HALL STANDS BY ITS POSITION Last Thursday Craig Perkins, director of the city’s environmental and public works management department, also testified in the case. Perkins answers directly to the City Manager. He’s also Borboa’s boss. Perkins said he regretted that he and Borboa had failed to see just how mismanaged the cemetery was until 2004, when audits showed beyond a doubt that Steen had failed to make good on plans to improve the cemetery’s financial operations, which he had committed himself to doing previously. “Neither Mr. Borboa nor myself provided (Steen) with enough supervision,” Perkins said. “I thought he’d act as a manager (if he had any problems handling his duties), and assumed he was acting accordingly.” One of the biggest factors that made Perkins realize he needed to take action regarding Steen’s performance was information that indicated Steen may have been promoting his domestic partner’s business at Woodlawn. According to testimony, Steen’s domestic partner has been identified in promotional literature at the cemetery as “Bill Stevens.” However, that is not his real name. Stevens, who works full time in law enforcement, often uses an alias because of the sensitive nature of his work, he told the Daily Press. In addition to his full-time job, he also is the owner of Woodlawn Monument, a company providing grave markers to families at the cemetery. City Hall believes Steen admitted in previous interviews that Stevens paid him $1,000 a month to refer cemetery customers to Woodlawn Monument, which was operated out of their home. If true, City Hall believes Steen compromised conflict-of-interest guidelines by promoting a private business for self-gain while working as a municipal employee. Steen and his domestic partner have admitted to engaging in many side businesses over the years. However, Steen denies having any ties to Woodlawn Monument except to say his domestic partner owns it. In November of 2004 — a month before Steen was put on paid administrative leave — a citizen complained to the city manager’s office about private businesses being referred at the cemetery. As a result of the complaint, City Hall prohibited any business referrals by cemetery staff. Then, Stevens complained to City Hall about the prohibition. It was when city managers received a voice mail from Stevens that they realized he sounded a lot like Steen’s domestic partner. That’s when they began to make the connection that Steen may have had an unethical tie-in with Woodlawn Monument, according to testimony. Perkins said the reasons why Steen was terminated had to do with his “gross carelessness” in the management of city funds; his business relationship with Woodlawn Monument; and his inability to improve cemetery financial operations after five years of opportunity. Steen’s attorney, Becker, asked Perkins if he considered an alternative action instead of firing Steen. As an example, he indicated that perhaps City Hall could have done more to aid Steen in improving the cemetery’s financial operations or that Woodlawn Monument could have been banned from doing business at Woodlawn. Perkins didn’t think Steen’s case warranted such consideration. “I always consider all options before I make a (management) decision, but in this case there was no option but termination,” Perkins said. “(Steen’s) was a fundamental violation of trust and ethical behavior... like trying to put the toothpaste back in the tube.” Becker suggested that positive evaluations of Steen that Perkins approved were inappropriately ignored in Steen’s letter of termination. Perkins said that was because the performance reviews were out of the scope of why Steen was terminated. “Quite frankly, whether the evaluations were good or poor, that was not the reason to terminate Mr. Steen,” Perkins said. ![](https://storage.ghost.io/c/55/9f/559f9abc-8372-4a2e-8c2d-27386da4e363/content/images/2026/10/012306-04_01.jpg) (Photo: Fabian Lewkowicz/Daily Press) *Originally published in the Santa Monica Daily Press print edition on January 23, 2006.* [Read the original PDF.](https://s3.us-east-1.amazonaws.com/smdp%5Fbackissues/012306.pdf?ref=smdp.com)