Case Study Critique: Oakdale Administrator 1
Case Study Critique: Oakdale Administrator
Jeffrey D. McMurry
Helms School of Government, Liberty University
Abstract
The Oakdale Administrator case shows what happens when you let leaders who lack
moral and professional skills assist a city in its recovery. This assessment looks at the facts of the
case, the choices made by city authorities, and whether those choices were correct. Then it
examines research on ethics infrastructure in local governments and the role of ethical
leadership in public service to identify areas where Oakdale may have performed better. The
case of Oakdale shows why ethics, accountability, and openness are so vital in local government.
The city's governing board eventually took the right decision by firing both the mayor and the
city administrator.
Case Study Critique: Oakdale Administrator 2
Introduction
Municipalities across the country face numerous challenges, including limited resources,
deteriorating areas, and a desire for change. When people elect a politician for office, they
expect them to come up with new ideas, have integrity, and make good decisions. The Oakdale
Administrator case highlights what might happen when people do not meet their expectations.
Oakdale had a small population of approximately 5,000 residents. It was a city where
most of residents were familiar with each other and economic growth was observed on every
street. Most of the residents were lower middle class, and the city's business community was
experiencing challenges (Cropf et al., 2017). Oakdale developed a reputation for being decrepit
and unattractive, in relation to surrounding cities that appeared to be thriving, such as Silver
Lake City.
Facts
The population of Oakdale was around 5,000 residents, making it a small community
where most people knew each other. Economic growth was visible on every street, though most
residents were lower middle class and the business district was struggling (Cropf et al., 2017).
Oakdale gained a reputation for being dilapidated and undesirable, especially in comparison to
other surrounding nicer cities, such as Silver Lake City.
Voters chose something else in 2003. They chose Ernest Hoffnagel, a car salesman who
promised to enhance the city. He ran on the promise of attracting new businesses, revitalizing
neighborhoods, and enforcing codes regarding decrepit houses and blight. Despite not being a
career public servant, Hoffnagel presented himself as a proactive individual who could bring
about significant changes.
After his election, Hoffnagel implemented significant modifications. He terminated most
of the current administrative staff and hired personnel he knew and trusted. Hoffnagel chose
Angela Donny as his new City Administrator, a decision that proved to be one of his most
controversial. Donny's past was troubling; she had worked in eight different cities over the
Case Study Critique: Oakdale Administrator 3
course of twelve years, been investigated by the International City/County Management
Association (ICMA) several times, and been reprimanded twice. Many residents in Oakdale did
not believe she should have been hired, but Hoffnagel defended her as someone who wanted to
make things better, even if she had a troubled past.
It did not take long for the problems to show up. Hoffnagel wanted to continue a big
reconstruction project to build a new downtown that was left over from the previous
administration. He instructed Donny to solicit offers (RFPs) from project managers and
architects; however, Donny failed to follow the proper steps and skipped the bidding process.
She promptly signed contracts with an architect and a project manager. She claimed to have
misplaced the RFPs when questioned about their existence. These facts made the Board of
Aldermen and the Economic Development and Planning Committee very worried since they
both wanted to see that public money was spent in a transparent and accountable way.
Decision
The board hired two outside firms to investigate whether the city center proposal was
possible. Unfortunately, Oakdale had already invested millions of dollars in purchasing property
for the renovation by the time those assessments were completed. The city could not assume
that level of risk because its budget was just approximately $3.4 million a year (Cropf et al.,
2017). The outside evaluations confirmed the concerns of what many people were afraid of: the
project would leave Oakdale with substantial amount of debt.
The Board of Aldermen responded upon discovering the project's risk of leaving Oakdale
in debt. They terminated Angela Donny as the city's administrator, and shortly afterward, Mayor
Hoffnagel resigned from his position. I think these choices were the best ones. If Donny and
Hoffnagel had stayed in government, the city's issues would have gotten worse. Donny has
already demonstrated a lack of willingness to follow fundamental rules and procedures, and
Hoffnagel made a negligent decision by hiring her without holding her accountable. Oakdale
Case Study Critique: Oakdale Administrator 4
had to get rid of Donny and Hoffnagel for financial survival, and it sent a message that bad
behavior would not be tolerated.
Solutions
Removing Donny and Hoffnagel from the picture solved the immediate problem, but the
case also reveals how weak Oakdale's protections were. To prevent similar situations from
happening again, we should consider more comprehensive solutions.
Building an ethics infrastructure.
One thing we can learn from this situation is that smaller municipalities often lack the
same built-in ethics systems as larger city administrations. Demir, Reddick, and Perlman's (2023)
study demonstrates that many local governments lack ethics offices, mechanisms for reporting
problems, or clear standards of conduct. This makes it more probable that they will do
something unethical. If Oakdale had better ways of monitoring its procedures and practices, it
would have detected Donny's failure to send out RFPs earlier. Implementing basic rules and
procedures, such as appointing an ethics officer, making it easy to file complaints, and
conducting regular audits, would significantly help prevent unacceptable behavior in the future.
The Oakdale case also shows how important it is to choose leaders who have the
necessary skills and integrity. Syahrani, Hernawaty, and Winarno (2022) discovered that ethical
leadership substantially enhances employee performance and reinforces dedication to public
service values. In other words, when leaders do the right thing, it inspires everyone else to do
the same. If Oakdale had used stronger standards when hiring its administrator, looking at both
qualifications and moral history, it would not have had any of these problems. Background
checks, ethics training, and explicit performance goals based on ethical behavior should all be
part of future appointments.
The rebuilding project failed primarily due to inadequate procurement procedures. RFPs
are a way for the city to ensure that everyone has a fair chance and that expenses don't go up
because of bias. Oakdale's Board of Aldermen should oversee the RFP process, establishing it as
Case Study Critique: Oakdale Administrator 5
a required step for future planning projects. This would increase people's trust in them,
preventing them from making decisions that harm the city's budget.
Lastly, Oakdale needs to concentrate on rebuilding the trust of its citizens. People lost
faith in city hall during the Donny and Hoffnagel issue, and while removing the bad leadership is
a step in the right direction, it won't be enough to fix the problem. The people of the city should
be able to participate in discussions about major projects in public. To rebuild trust and
credibility, citizens, elected officials, and appointed officials must be engaged and transparent.
Conclusion
The Oakdale Administrator case shows how quickly poor leadership can make people
lose faith and trust in their government. The city almost went bankrupt after Mayor Hoffnagel
decided to hire Angela Donny, despite her questionable past and involvement in shady and
unethical activities during the reconstruction project. The Board of Aldermen's decision to
terminate them was not only the right thing to do, but it was also necessary.
This case also shows it's not enough to simply remove and get rid of leaders who betray
the trust of the citizens. Oakdale must significantly improve its ethics infrastructure and put
ethical leadership at the top of its list of priorities. Taking these steps will not only help the city
avoid making the same mistakes again, but it will also help it repair public trust and build a more
substantial base for the future.
References
Cropf, R. A. (2017). Public Administration Casebook. Taylor & Francis Group.
Demir, T., Reddick, C. G., & Perlman, B. J. (2023). In Search of Ethics Infrastructure in U.S.
Local Governments: Building Blocks or Dead End? Administration & Society, 55(10),
1866–1892. https://doi.org/10.1177/00953997231190571
Syahrani, M., Hernawaty, H., & Winarno, A. (2022). The Effect of Ethical Leadership On Job
Performance: The Mediating Role of Public Service Motivation and Normative
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Commitment. Journal of Leadership in Organizations, 4(1).
https://doi.org/10.22146/jlo.70614
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