There has been a lot of speculation about the events surrounding the sudden departure of former Greater San Diego Business Association CEO, Tom Luhnow. Lingering questions among San Diego’s LGBT-leadership, media and business communities include: Was it a firing? Was there a specific, underlying dispute between Luhnow and board chair, Eric Brown beyond the officially stated reason of differing visions? Or worse, was there a scandal that all parties have agreed to keep quiet.
An intensive investigation by San Diego LGBT Weekly, which included a search of court records and an examination of board minutes and numerous interviews, can answer that last question with confidence in a single word: no.
In fact, not only was there apparently no scandal behind Luhnow’s surprising departure, the “real story,” brought unsolicitedly to LGBT Weekly by people in positions to know what went on behind the scenes, looks remarkably similar to that reported in the organization’s official press release.
However, our look into the GSDBA reveals an intriguing tale of vastly divergent leadership styles, vis-à-vis those of Luhnow and board chair, Eric Brown, who came into office less than a year ago.
“He’s a bulldozer,” one source said in reference to Brown. “The new board was easy pickings. Ask anyone in town; they’ll tell you Eric Brown is a bull in a china shop. One thing that bothered me while I was there is that we used to be working on trying to be of service to the members; now it’s all politics.”
The source asked not to be identified because they may be legally restrained from speaking to the media about information gained as a member of GSDBA’s board.
Former GSDBA member and financial planner, Steve Doster was confused by the change in leadership at San Diego’s LGBT chamber of commerce.
“From what I saw as a GSDBA member, the organization was thriving under Tom’s leadership as CEO,” Doster said. “It was surprising to hear he was leaving. I’m still not clear if the GSDBA board voted to have him removed or if Tom resigned because he didn’t agree with what the board was asking of him.”
For the record, Luhnow resigned after a vote of no confidence in him by the board of directors.
GSDBA member and small business owner, Michelle Burkart has been appointed as general manager, a position invented for the interim period until a new CEO is appointed sometime in January, 2014.
Until then, as board chair, Eric Brown speaks for the organization. Indeed, in an interview with Brown, LGBT Weekly mentioned that we had reached out to Burkart but had not yet heard back from her. Brown replied, “And you won’t; because, at this time, I am the sole person who speaks for the GSDBA.”
Does that approach and the fact that the GSDBA – an organization that compares in the size of its membership base to some of the largest local chambers of commerce in the United States – is expected to operate without a chief executive for nearly half a year give fair evidence to those who say Eric Brown is a “bulldozer?”
“No; I don’t think that’s fair,” Brown, who is a financial advisor, said. “Bulldozer is quite unfair. I try to make everyone part of the process. My ideas can’t be brought to full fruition without others, but once you have built a consensus; it’s time to act.”
According to Brown, the board acted after Luhnow failed to provide a three-point plan that included metrics for measuring his performance as CEO; a plan to ensure the future financial viability of the GSDBA; and a plan to grow membership.
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“He would give us something without any metrics or numbers,” Brown said. “He simply wasn’t doing what was asked of him.”
Then, says Brown, there was the problem of too much focus on one industry – tourism.
“If my toilet is clogged, then at that moment, I love my plumber. If there’s an LGBT-owned plumbing company I want them to be easily findable.”
According to Brown, non-tourism industry member businesses were not getting enough love at the GSDBA under Luhnow’s administration.
“We’re going to continue some of the wonderful things that Tom started,” he said. “The tourism initiative is one of them. But we have to make sure that we include other types of businesses in our efforts to promote LGBT business in San Diego.”
Under Luhnow’s leadership, the GSDBA graduated from a City of San Diego business education and development grant that provided just $22,000 to one that fell under the umbrella of tourism that would bring the organization $54,000 in the coming year.
Chambers of commerce and other membership organizations often rely on revenue from advertising sold in print directories they publish, which contain listings of member businesses to help consumers or businesses find products and services. But directory revenue was down under Luhnow.
“Eric (Brown) wants to go back to the glory days when you could make a lot of money off your directory,” the former board member said. “That’s just crazy because, as everyone in the magazine or newspaper business knows, print is struggling to survive because of the Internet. This is a frantic impulse to go back to the time when the directory was a cash cow; but you can’t go back in time. You have to look forward and develop programs for the new realities with technology and new markets.”
Nevertheless, according to Brown, in the past two months GSDBA directory sales are up approximately 20 percent compared to this time last year, when Luhnow was in charge.
Ironically, according to Brown, it was Luhnow who asked him to come on as board chair. Brown had previously served on the board.
“Tom said he needed me to help the board with the bylaws and getting itself aligned with its duties,” Brown said. “What I was surprised to discover when I got there was that the past two board chairs said they had had the opportunity to pursue dismissal of the CEO, but had chosen not to.”
According to Brown, he joined a board that was already primed to relieve Luhnow of his duties.
“I will never let someone jeopardize an LGBT organization I believe in,” he said. “This has cost me a friend, a client and someone I love. But it had to be done for the good of the membership.”
Be sure to read part two of LGBT Weekly’s investigation into the sudden change in leadership at the Greater San Diego Business Association. In part two, we will provide a timeline and details of the events that led to the departure of Tom Luhnow.
We will also tell you why the former CEO might not be inclined to repeat Caesar’s line from Shakespeare, “et tu, Brute,” despite the fact that, just as Caesar shepherded his assassin to power, Tom Luhnow helped put Eric Brown in power on the GSDBA’s board of directors.
