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Internal Auditor Waiting on Performance Evaluation PAGE APB The Knoxville Focus March 26, 2018 March 26, 2018 www.knoxfocus.com PAGE A1 FREE Take One! March 26, 2018 Bud Armstrong Halts Raid on County Treasury Law Director, Five Commissioners Defend Charter and Protect Taxpayers By Focus Staff into a political brawl, spilling receive this same benefit.” monthly salary.” Knox County Law Director over into the race for county Knox County deputies and Armstrong brought the dis- Richard “Bud” Armstrong mayor and sheriff. sheriff’s department per- crepancy to the attention of has put a halt on a last The seven retired deputies sonnel already receive far the Pension Board, whose minute attempt to raid the are being sued by Armstrong better funded pensions attorney he says contin- county’s treasury. Armstrong as a last resort because of than other county employ- ued to ignore the Charter stepped in to stop a resolu- his strong stand on the side ees, which required approx- provision, which had been tion dropped on the county of Knox County’s taxpayers. imately $60 million to fund. approved in referendum by commission’s workshop The Knox County Pension $1 million equals a penny the voters of Knox County. agenda without any previ- Board, which acted suppos- on the property tax rate, so Armstrong wrote, “The actu- ous notice, which would have edly upon the advice of its the $60 million equates to ary for the County’s Pen- allowed seven retired depu- own legal counsel, appar- 60 cents on the property sion Board noted the origi- ties to have their legal coun- ently allowed some depu- tax rate. The seven retired nal calculations for the fund- Knox County Law Director Bud Armstrong sel paid for by the taxpayers. ties to retire at 85%-95% deputies also wanted to add ing were based upon the 75 At the heart of the dispute is of full pay, despite the fact accumulated vacation days percent calculation and that actuarially funded shortfall.” under the Charter, as it rep- an even larger potential raid under the Knox County Char- to the formula used to cal- he had not been aware of the Knox County currently resents an “actuarial liabil- on the county treasury in a ter a deputy with 30 years culate their pensions. Arm- increased benefits awarded funds pensions for the dep- ity and potential future tax fight over pensions and vaca- of service may retire with strong was alarmed to dis- (by the Pension Board) to the uties at a rate of two and a burden to the taxpayers of tion days, an effort support- a maximum of 75% of full cover “the Pension Board retirees. He stated that since half times the ordinary rate Knox County for approxi- ed by Mayor Tim Burchett, pay. As Armstrong noted in had been routinely awarding he (the actuary) now knew of for other county employees. mately 600 uniformed offi- Sheriff Jimmy “JJ” Jones and a detailed memorandum to additional retirement income the increase, he now recom- Bud Armstrong objected to cers.” Armstrong also noted, Commissioner and mayoral commissioners, “The rest over and above the taxpayer- mended the taxpayers fund the Pension Board allowing “These increases have never candidate Brad Anders. The of Knox County and City of approved calculation based an immediate $400,000 deputies to retire with great- dispute has now erupted Knoxville employees do not upon the officers’ average to make up some of the er benefits than allowed Continued on page 2 Night Out at Henry’s Bakery & Deli Attorney fees for seven retired deputies voted down By Mike Steely [email protected] An apparent mistake in calculating retirement pen- sion funds for Knox County employees has resulted in overpayments beyond what the county allows. Law Director Richard (Bud) Armstrong said he discovered the error, which has caused the overpayment of retir- ing sheriff’s office employees and costing taxpayers. He said the unauthorized increase was mistaken- ly calculated for the Pension and Retirement Board on the advice of highly paid outside counsel. As the law director moved to correct the calculation several retired deputies have objected to now receiving the correct amount of pension. Armstrong said that past pension board members were unaware of how the cal- culations were being done. He said he has complied with the request to bring action against the Pension Board and has filed suit on behalf of county taxpayers. Knox County At Large Commissioners Bob Thomas and Ed Brantley held a NIGHT OUT at Henry’s Bakery and Deli He said that since recent retirees from the sheriff’s on Tazewell Pike restaurant on Thursday, March 22. About a dozen constituents turned out to meet and greet their department were given excess of their actual retire- commissioners. Conversations were friendly and chatty, however one group expressed concern about the condition of ment payment they were included in the lawsuit. their road. They presented documentation to prove their claim that large trucks are tearing up the road and the county That action instigated the addition of a discussion is not living up to its promise to repair the road. Pictured above, Knox County At Large Commissioners Thomas and item at the Commission’s Work Session last week and Brantley talk with some citizens who were concerned about the condition of the road where they live. Brantley is right resulted in an hour and one-half debate that ended center and Thomas is to his left. Continued on page 4 Internal Auditor waiting on performance evaluation By Mike Steely [email protected] the committee that auditor Brooke supposed to be completed with committee voted to meet again school’s physical plan update pro- Webb would be leaving the office, Addis, Committee Chairman Jim May 21st. gram. She said taking on the hot- Knox County Internal Audi- said she wanted to reorganize the Morrison and the County Commis- Duties of the Internal Audit office line increased her office’s work tor Andrea Addis ran into some office now to upgrade the posi- sion Chairman Randy Smith. have greatly increased in recent load by 10%. resistance when she spoke at the tions there and hire an IT auditor. “I thought that had already been years and the county’s Fraud Hot- She said that the office has audit committee meeting recent- Employees now include Susan done,” said Commissioner John line was transferred to that office been trying to hire an IT auditor but ly. She had given her report and Johnson and Zac Fullerton. Addis Schoonmaker. last year. Addis said that only one found that the salary being offered was in the process of asking for was hired in 2013 and was criti- “We’re failing to get this done,” audit has been completed so far isn’t enough to obtain a person additional help in the office when cized by members last year for not Shields said. this year and the audit on Health with the level of experience that is past committee chairman David personally attending audit commit- “Let’s see if we can get this done Codes is in its final draft and may needed. She said that the opening Shields said he doesn’t feel like tee meetings. with our current chairman over the be available in April. Other audits has been reposted with more flex- voting on additions because Shields said the performance next three weeks,” Commissioner underway but not yet complet- ible qualifications. Addis’s performance evaluation review should have been done Hugh Nystrom suggested. ed include investigations on the Schoonmaker asked if it is pos- has not been done. and had been discussed at am Chairman Jim Morrison said he Forensics Center, River Sports, the sible to amend the upcoming Addis, who had just informed earlier meeting. The evaluation is would meet with Addis and the school’s nutrition program and the Continue on page 3 ... a Southland Company David Mullinax Realtor License # 305759 [email protected] c: 865-201-7159 o: 865-693-6961 www.southlandrealtors.com PAGE A2 The Knoxville Focus March 26, 2018 Bud Armstrong Halts Raid on County Treasury Cont. from page 1 Jones, Mayor Burchett and no alternative but to ask for been submitted to Commis- Commissioner and mayoral a lawsuit to be filed on behalf sion as required by law.” It candidate Brad Anders. At of Knox County’s taxpayers. is also highly questionable the same time, the sheriff’s Also, Burchett and the pen- whether the county com- posts hailed the courage of sion board had yet another mission has the author- the five county commission- alternative available to them ity to overturn a provision ers who supported a hearty outside of a lawsuit had they of the Charter without an feed at the trough: Brad merely wished to follow the appropriate referendum by Anders, a candidate to suc- funding formula as set out the voters, although Sher- ceed Mayor Burchett and a by the Charter amendment iff Jones badly wanted com- Knoxville City Police Depart- approved by the voters. mission’s stamp of approval ment officer, Hugh Nystrom, The only solution for Jones to give his resolution some Randy Smith, Charles Busler, and Burchett seemed to sort of perceived legitimacy. and Michele Carringer. The be ramming through a last The motion died due to the sheriff urged deputies and minute resolution giving deadlock vote of 5-5 with voters to “remember” those the seven retired deputies Commissioner Dave Wright brave commissioners and legal representation paid for on vacation and absent from bluntly pointed out the men by the taxpayers to protect the meeting. and women in blue had pension gains they weren’t The sheriff showed little the support of Brad Anders entitled to in the first place.
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