Former San Leandro city manager alleges retaliation by councilmembers was tied to Evolutionary Homes deal
San Leandro Councilmembers Azevedo and Aguilar were "vocal about their unhappiness with Robustelli’s opposition to the Evolutionary Homes proposal," according to a lawsuit filed last month
—‘DRO BIZ—San Leandro’s former city manager has accused three councilmembers of harassment, retaliation, and improper political pressure that ultimately led to her departure and a serious health crisis, according to explosive new allegations contained in a lawsuit filed last month in Alameda County Superior Court.
—Fran Robustelli, who served as San Leandro’s city manager from December 2020 to June 2024, claims that Councilmembers Victor Aguilar Jr., Bryan Azevedo, and Fred Simon interfered with her duties, attempted to push the controversial “tiny homes” project that is part of the FBI’s ongoing public corruption investigation, and retaliated when she “refused to do their bidding.”
—“Their actions were in retaliation for her refusal to condone unethical behaviors or support individual demands by these councilmembers she viewed as unethical, improper and/or unlawful,” according to the lawsuit filed on June 13.
—“Councilmembers Azevedo and Aguilar were vocal about their unhappiness with [Robustelli’s] opposition to the Evolutionary Homes proposal and the related Declaration. They would support and join with Councilmember Simon to harass and intimidate Ms. Robustelli in 2023 and 2024,” according to the lawsuit.
—In 2023, Azevedo and Aguilar, Jr. were lobbied by Evolutionary Homes to purchase the now infamous $300,000 container homes, according to the lawsuit and public records.
—The lawsuit only names the Duongs collectively, but David Duong and Andy Duong are a part of Evolutionary Homes. Both were indicted in January for federal charges of bribery and conspiracy in connection to the proposed sale of container homes in Oakland.
—As previously reported, Azevedo, Aguilar, Jr., and Robustelli, among others visited the Evolutionary Homes show room at the Embarcadero in Oakland in the fall of 2023.
—According to Robustelli, the plan was unnecessary and financially unfeasible. She informed Azevedo and Aguilar, Jr. There was no additional funding for “tiny homes” nor available land, she added.
—In addition, the number of unhoused in San Leandro was relatively low at the time. To fill the gap, the city had already received Project Homekey funding from the state to purchase and renovate a motel for permanent housing units for the city’s unhoused.
—Azevedo and Aguilar, Jr. remained resolute in their lobbying for the container homes, Robustelli asserts in the lawsuit.
—While she was out sick with COVID in October 2023, Aguilar, Jr. attempted to push an emergency declaration onto the City Council agenda without her knowledge, according to the lawsuit.
—The proposed ordinance would have dramatically expanded executive powers and allowed the city to bypass procurement rules—essentially fast-tracking contracts with Evolutionary Homes.
—Robustelli opposed the proposal, and it ultimately stalled for months before being formally withdrawn in June 2024.
—In a dramatic turn, Robustelli later learned that Evolutionary Homes and its relationship with several local officials—including Azevedo and Aguilar, Jr.—had come under federal investigation following the federal raids in Oakland last summer.
—Federal subpoena received by the city requesting information seeking records related to the emergency homelessness declaration and ties to Evolutionary Homes provided added concerns.
—The draft emergency homelessness declaration was pushed by associates of Evolutionary Homes, according to public records, in order to bypass the often lengthy approval and permitting processes. The gambit to approve emergency powers is part of the FBI’s probe in Oakland.
—Robustelli claims that following her opposition to the emergency declaration and the Evolutionary Homes proposal, she became the target of a sustained campaign of retaliation by Azevedo and Aguilar, Jr.—with support from Simon.
—She said they routinely undermined her authority, demanded she take unethical actions, and created a hostile work environment that severely impacted her physical health.
—Apart from the claims made regarding Evolutionary Homes, Robustelli made claims of a hostile work environment was part of an independent investigation by the city that later resulted in the censure of Simon and Aguilar, Jr. in November 2024.
—Robustelli stepped down from her role in June 2024 and accepted the same position in St. Pete’s Beach, Florida.
—The federal investigation into Evolutionary Homes and the Duong family could have implications beyond San Leandro.
—Neither Aguilar nor Azevedo have publicly commented on the FBI investigation or Robustelli’s claims.
—Robustelli’s lawsuit will be discussed at Monday’s closed session meeting of the San Leandro City Council.
—Azevedo’s home was searched by FBI agents in January. He received a target letter from federal authorities in May describing him as being under investigation for bribery, conspiracy, and lying to federal investigators.
—As of now, no formal charges have been filed against Azevedo, though federal investigators have signaled the probe is ongoing.
