OAKLAND — A report by the Peralta College District's inspector general on a questionable contract must be made public because it was given to trustees before deliberations at an open meeting and because it concerns the spending of taxpayer money, a lawyer for Bay Area News Group told a judge Friday.

But a lawyer for Peralta argued that the document is a draft that could contain inaccurate information and should be kept secret because it is "preliminary and incomplete."

The news group, publishers of the Contra Costa Times and the Oakland Tribune, sued the college district after it refused to release the report under the Public Records Act.

Peralta administrators have a "fundamental misunderstanding of (their) responsibility of a public agency," the news group's lawyer, Duffy Carolan, told Superior Court Judge Frank Roesch. Their behavior is "indicative that they have something to hide."

Peralta lawyer Robin Johansen countered that release of what she called a draft report would impede future investigations.

At issue is the district's investigation of Chancellor Elihu Harris' role in the awarding of a no-bid construction management contract to a company owned by a person with whom Harris has partnered in a radio station and a real estate venture. He did not disclose the relationship to trustees or remove himself from the decision-making process over the contract award or three extensions to the deal.

The firm, 1701

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Associates, owned by Harris partner Mark Lindquist, was paid $948,000 to oversee renovations of district buildings funded through a bond measure. District administrators eventually terminated the deal citing dissatisfaction with the work.

Peralta trustees voted for an investigation after Bay Area News Group reported on the contract in July.

Inspector General Gail E. Waiters' report was distributed to trustees before a Sept. 15 meeting. Trustees had also asked the state chancellor of community colleges to investigate. Waiters' report was incorporated into the state report. Its author, Marshall Drummond, wrote that he disagreed with some of her findings.

Waiters said earlier this month she stood by her findings. It is those undisclosed findings on the 1701 Associates contract that the district is attempting to keep secret.

Carolan called the case "a simple one" because once Waiters' report was given to all of Perlata's elected trustees, it makes the document public.

Johansen said that because Drummond "came out with an opinion that was different' from Waiters, the document she prepared was only preliminary.

Roesch set Dec. 11 as the date when he wants both sides to submit a transcript of the meeting when trustees discussed Waiters report. It was unclear when he would issue a decision.