June 30, 2010 State Certified Tax Rate for Hamblen County Is $1.86, NOT $1.85 as Found in the June 21st Tax Resolution

                                                                      

You really have to watch your local officials and tax rates in property re-appraisal years---like 2010.

Why? I was serving on commission during the last re-appraisal in 2005. We received the new state certified tax rate in our packets just a couple of days before a budget meeting.  Fortunately, I was familiar with the budget and tax rates. That's why it didn't take long for me to spot an error in the certified tax rate in our packets.

I reported the error to the Assessor who contacted the state. End result: the "new" state certified tax rate for 2005 was changed, REDUCING the tax rate for Hamblen Countians by around 10 or 11 cents. The state and/or locals probably rarely make a mistake on the certified tax rate. [Or maybe mistakes slip by because no one ever verifies the numbers.]  When I was on Commission, I tried to check and verify as much as I possibly could. By checking the certified tax rate in 2005 and getting it cut before any scheduled votes, I was able to save the taxpayers over $1 Million dollars in property taxes.

This year (2010) is also a re-appraisal year.  Commission Chair Stancil Ford has been pushing and pushing to get everything--including setting a new tax rate--wrapped up by June 30.  To help push things along, Stancil even moved the regular June 24 commission meeting to June 21 for a first vote on the new tax rate and budget. One of the documents above is the tax rate resolution that was prepared for the June 21 meeting that would have set the tax rate at $1.85 (countywide + garbage). [This post has been revised to correct a typo and show the uncertified rate proposed on 6/21 as 1.85]

At the beginning of the June 21st meeting, however, before any votes were taken, I reminded the Commission that because this is a re-appraisal year,  they could not vote on a tax rate--or a budget that depends on that tax rate--until the state certified tax rate is received.  Click here. Not only was there no certified tax rate ready on June 21st, but since there was no certified tax rate, no one could have checked the certified tax rate.

At the end of the 6/21 meeting, when the $1.85 tax rate resolution and budget came up, it was admitted that the certified tax rate had not been received and must be received before a tax rate and budget are passed.  No vote was taken.  A vote will probably be taken today at 5:00 PM in the Chancery Courtroom in the old part of the Courthouse.

How important is it that the commission heeded the warning not to vote on a tax rate or any other tax rate until the certified rate is received? 

Well, the state certified tax rate for Hamblen County--that arrived on June 28--is $1.86!  Had the commission voted on the tax rate resolution that was prepared and in their packets on June 21, they would have been violating state law that they wait for the certified tax rate before voting on a tax rate and budget and then they would have been stuck with $1.85 (taxpayers probably wish that had happened!) or they would have had to vote again and "explain" why they rushed the first rate through and are raising the rate to $1.86.  [Two of the documents above give the new new county basic rate ($1.65) and the sanitation rate ($0.21) for a total certified rate of $1.86.]

Haste makes waste. Trust but verify. You might save the taxpayers a boatload of money or save the commission from having to do multiple votes to finally get it right.

June 29, 2010 Sheriff and Mayoral Debate Videos Are at Citizens for Accountability Website

Citizens for Accountability (CFA) has the video of the June 24 debate between Sheriff candidates Ernie Burzell and Esco Jarnagin available at the CFA website.

CFA also has the video of the June 24 Mayoral debate between Bill Brittain and John Litz available at the CFA website.

Click here to go directly to the debate pictures and videos.

You can view pictures from the debate or click the "play" button below each video to hear and see the actual debate with each candidate's 2-minute opening remarks, 10 questions and answers, and 5-minute closing remarks.

The videos are broken into three segments, so you can view one, two, or all three.

1. Sheriff Debate Video
2. Mayor Debate Video I
3. Mayor Debate Video II

The CFA homepage is at www.morristownhamblencfa.com

June 25, 2010 WCRK Broadcast of Citizens for Accountability Mayoral and Sheriff Debates

Mike Rypel of radio station WCRK attended and taped the CFA (Citizens for Accountability) Hamblen County Mayoral and Sheriff debates last night.

WCRK (AM 1150) will broadcast the debates three times prior to the August General Election. The first broadcast is set for today at 9:00 am.

See pictures of the mayoral candidates at the debate here.
See pictures of the sheriff candidates at the debate here.

Citizens for Accountability website is at www.morristownhamblencfa.com

June 24, 2010 Hamblen County Mayoral Candidates Spar at CFA Debate

Democrat Mayoral Candidate John Litz (left) and Republican candidate Bill Brittain (below) respond to questions at the CFA (Citizens for Accountability) Debate at the West Hamblen Volunteer Fire Department this evening. Topics ranged from school funding and construction issues to economic development to meeting times for County Commission committees. A large and attentive crowd was present. The debate was moderated by Charles Cook, founder of CFA. CFA will have the video of the mayoral debate up for viewing in a few days. The website is www.morristownhamblencfa.com

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June 24, 2010 CFA-Sponsored Sheriff's Debate Is Big Success

Esco Jarnagin and Ernie Burzell went toe-to-toe at the CFA (Citizens for Accountability) debate between these two candidates for Sheriff.  Esco (pictured above) and Ernie (pictured below) fielded 10 questions ranging from immigration to gangs to funding issues. Both candidates also made opening and closing statements and then talked with attendees at the close of the debate.  A large crowd was present for the debate sponsored by CFA and moderated by CFA founder Charles Cook. CFA will have the video of the debate on its website in a few days. www.morristownhamblencfa.com

June 24, 2010 Hamblen County Sheriff and Mayor Candidates Debate Tonight

What: Debate between Hamblen County Sheriff Candidates followed by debate between Hamblen County Mayoral Candidates
When: June 24 at 6:00 PM
Where: West Hamblen Volunteer Fire Department at 6301 W. A. J. Highway
Debate Sponsor: Citizens for Accountability
                          www.morristownhamblencfa.com

6:00 PM Candidates for Hamblen County Sheriff
               Ernie Burzell, Democrat
               Esco Jarnagin, Republican

7:00 PM Intermission

7:20 PM Candidates for Hamblen County Mayor
               John Litz, Democrat
               Bill Brittain, Republican

June 22, 2010 Stancil Cancels Tax Levy and Budget Vote

During public comments at the beginning of yesterday's meeting of the Hamblen County Commission, I pointed out to Chairman Stancil Ford and all commissioners that there is currently no certified tax rate for Hamblen County. I noted that Commissioners could not vote on a tax rate or budget yesterday since they are still waiting for the certified tax rate. [Ironically, it was Stancil Ford who had changed Commission's regular meeting date to June 21 just so he could try and push a tax and budget vote through quickly.]

As the tax rate and budget discussion begain toward the end of the meeting, Ford acknowledged that there is no certified rate and admitted that the budget and tax rate could not be voted on at this meeting.  Bill Brittain said that appeals of appraisals were just ending, and he thought that a proposed certified tax rate might go to the state on Friday and perhaps be approved by the state on Monday, June 28, after which a vote on the tax rate and budget could be taken.

What's funny in all this is that it was Chairman Ford who created all the uproar by changing the regular meeting date from June 24 to June 21. As usual, haste makes waste. No matter how quickly Ford wants to push a budget and tax rate through, state law requires that certain procedures be followed and, in re-appraisal years, the certified tax rate must be set prior to tax rate and budget votes. 

Stancil and all commissioners need to realize the importance in taking time to do things right and even check the math before attempting to pass a tax rate levy and a budget.

Just how important is it to get the certified tax rate and check the math in Hamblen County? In 2005, it was worth ONE MILLION DOLLARS in savings to taxpayers.

During the last re-appraisal year (2005),  I was on County Commission.  We received the certified tax rate in our budget packets, and the Finance Director, Trustee, Assessor, and County Mayor were using that certified tax rate in budget calculations.  Just after one quick look at the "certified" tax rate that was being used, I knew something was wrong. It was clearly too high. I pulled out the old pencil and paper, checked the math, and found that the certified rate was indeed incorrect and that the miscalculated rate would result in overtaxing the property owners in Hamblen County in the amount of more than ONE MILLION DOLLARS.

I brought this miscalculation and tax overcharge to the attention of Assessor Keith Ely. Ely then pointed out the miscalculation that I had found to the state. After my one question, the 2005 tax rate was recalculated and the certified tax rate was reduced  by about 10 cents, saving the taxpayers of Hamblen County over ONE MILLION DOLLARS.

Haste makes waste. Trust but verify. Follow state law--it is there for a reason.

June 6, 2010 66th Anniversary of D-Day, the Invasion of Normandy during World War II

The massive invasion of Normandy (D-Day) leading up to victory in Europe by the U.S. and its Allies occurred sixty-six years ago today. The leader of the Allied Expeditionary Force was General Dwight D. Eisenhower who became President of the United States eight years later. Eisenhower inspired the troops with the following words of encouragement:

"Soldiers, Sailors and Airmen of the Allied Expeditionary Force!

You are about to embark upon the Great Crusade, toward which we have striven these many months. The eyes of the world are upon you. The hopes and prayers of liberty-loving people everywhere march with you. In company with our brave Allies and brothers-in-arms on other Fronts, you will bring about the destruction of the German war machine, the elimination of Nazi tyranny over the oppressed peoples of Europe, and security to yourselves in a free world.

Your task will not be an easy one. Your enemy is well trained, well equipped and battle-hardened. He will fight savagely.

But this is the year 1944! Much has happened since the Nazi triumphs of 1940-41. The United Nations have in­flicted upon the Germans great defeats, in open battle, man-to-man. Our air offensive has seriously reduced their strength in the air and their capacity to wage war on the ground. Our Home Fronts have given us an overwhelming superiority in weapons and munitions of war, and placed at our disposal great reserves of trained fighting men. The tide has turned! The free men of the world are marching together to Victory!

I have full confidence in your courage, devotion to duty and skill in battle. We will accept nothing less than full Victory!

Good Luck! And let us all beseech the blessing of Al­mighty God upon this great and noble undertaking."

General Dwight D. Eisenhower
Supreme Headquarters
Allied Expeditionary Force

Dramatic pictures taken prior and during the invasion on June 6, 1944, can be viewed here.

June 3, 2010 Hamblen Finance Director Nicole Epps-Buchanan Leaves To Take Finance Job with Greeneville City Schools

Today's Hamblen County Budget meeting began with a resignation. Nicole Epps-Buchanan, Hamblen County's Finance Director, announced that she is leaving to become Chief Financial Officer for Greeneville City Schools.

On May 4, Epps-Buchanan lost a close race for Hamblen County Trustee to John Baskette. Today, June 3, she submitted her resignation as Finance Director and is only sticking around until June 30.

June 3, 2010 Mayor Barile Refuses To Comply with the City Charter and City Ordinance

The question for Morristown Mayor Sami Barile at the June 1 meeting of City Council was simple. Will you comply with the City Charter and obey a City Ordinance?

Mayor Barile's answer was a simple "No."

Apparently, Mayor Barile feels that the City Charter and laws and local ordinances do not apply to her or to council despite her sworn oath of office and her duty to enforce all ordinances: It shall be the duty of the mayor...to see that all the ordinances of the city are duly enforced, respected and observed within the city; [and] to take an oath of office before he enters upon the duties of the same....

Mayor Barile, Councilmembers, and City Administrator Tony Cox have been provided with a copy of the section of the City Charter and a City Ordinance--both of which state that city sewer money must be kept in a separate bank account and not mixed with other city funds. Click here.

[Presently, sewer funds are mixed with all kinds of other city funds in one big old bank account. This is a clear violation of the City's governing charter and of an ordinance that was passed many years ago.]

Almost four months ago, I asked Cox to address this violation and set up a separate bank account for sewer funds.  He did nothing.

On May 4, May 18, and again Tuesday (June 1), I asked Mayor Barile to address this violation and set up a separate bank account for sewer funds. She did nothing.

In fact, on June 1 Mayor Barile made it clear that the City Charter means nothing to her and that city ordinances apply to other people but not to her.  Despite the fact that it is her sworn duty to enforce the laws and ordinances of the city, Mayor Barile refuses to direct that the Charter and Ordinance requiring that sewer funds be kept separate be followed.

With Mayor Barile's arrogant disregard of city law, is it any wonder that many elected officials are held in low esteem?

It was just a few short weeks ago that Mayor Barile and councilmembers were sitting as judge and jury and giving businessmen a choice of (1) $1000 civil penalty or (2) suspension of beer license for 30 days.

But when the shoe is on the other foot--and it is the Mayor and Council and City Administrator who are violating a City Ordinance AND the City Charter--Mayor Barile apparently thinks it's OK for elected and appointed officials to violate the law.  The "Barile Doctrine."

So, the next time you get a red light ticket or a parking ticket in Morristown, just tell the officer that you are covered by the "Barile Doctrine" ----the law doesn't apply to you, and even if it does, you'll obey it only when you are good and ready!

[What I expect the Council to do now that THEIR violation of the Charter and Ordinance has been brought out is to change the Charter and Ordinance at some future date. In the meantime, however, the City is violating its own Charter and Ordinance and the Mayor is clearly violating her oath of office in refusing to enforce the Charter and Ordinance requirements.]

What about the City Attorney and Councilmembers? On May 4, May 18, and June 1, City Attorney Dick Jessee and City Council did nothing and said nothing as the City continues to knowingly and willfully violate its Charter and Ordinance and as Mayor Barile openly violates her oath of office and fails to enforce the ordinances of the City.

June 2, 2010 The Comptroller Requires That the City of Morristown Submit Monthly Financial Reports to the State

At yesterday's meeting of the Morristown City Council, City Administrator Anthony Cox once again had to read a letter from the State Comptroller into the Council minutes. This latest letter from the State to Mayor Barile is dated 5/21/10 and confirms that the City can go ahead and borrow $3,000,000 to make debt and other payments. The Comptroller adds that this TRAN (Tax Revenue Anticipation Note) must be repaid by June 30, 2010. [See the April 20, 2010, Comptroller's letter here.]  

After granting permission to obtain the loan, the State lowered the boom with very specific monthly reporting requirements and a cautionary reminder that the State could force the City to cut expenses or levy additional taxes to fix the mess. The reading of the letter was met with silence from Mayor Barile and all councilmembers.

You can click once or twice on the images above to enlarge and read the full letter. 

Page two includes: "We [the State Comptroller] are requiring that the City submit to the Office of State and Local Finance monthly financial reports (beginning May 2010...) indicating progress on meeting the above requirements, including the maintenance of a balanced cash budget."

Silence.

The final paragraph: "The Administration of the City and the City Council need to be aware that if there is a failure to comply timely with any of the above requirements, this office has the power and authority to direct the City of Morristown to cut expenditures or to levy additional taxes."

Silence. 

May 30, 2010 Memorial Day

MEMORIAL DAY 2010.

May 27, 2010 Hamblen County Mayor and Sheriff Candidates Debate on June 24

Morristown-Hamblen Citizens for Accountability is sponsoring debates between Hamblen County Mayor candidates Bill Brittain (R) and John Litz (D) and between Hamblen County Sheriff candidates Esco Jarnagin (R) and Ernie Burzell (D).

The two debates will take place on June 24, beginning at 6:00 PM, at the West Hamblen Volunteer Fire Department meeting room---located on the West A.J. Highway just west of the intersection of A.J. and Highway 160.  It is free and open to the public.

For more information and updates, visit the Citizens for Accountability website at www.morristownhamblencfa.com.

You can submit proposed questions for the candidates by e-mailing them to morristownhamblencfa@gmail.com.

And while you are at the CFA site, you can view videos of recent meetings and work and budget sessions of the Morristown City Council.

May 19, 2010 Mayor and City Council Are Called Upon To Quit Violating Their Charter and Ordinances

The Mayor and City Council and City Administrator have been violating the city charter and a city ordinance for years. The City Charter, which is the governing document for city government, states that Sewer Fund monies must be kept separate from all other funds. An Ordinance that was passed by the Mayor and Council years ago says the same thing.

Despite its own Charter and Ordinance, the City lumps its Sewer Fund monies in the same bank account with General Fund monies and other funds. Why? Would it be so General Fund expenses can be paid with checks drawn off the one bank account, thus accessing Sewer Funds to pay General Fund expenses when General Fund cash has been depleted as occurred in 2007, 2008, and 2009? Only the Mayor, Council, and City Administrator and staff could answer that question, and, of course, auditors who apparently made an "adjusting entry" for each illegal and unauthorized switcheroo.

I initially tried to get these violations addressed and resolved privately. I gave a copy of the Charter provision and the Ordinance to Administrator Cox shortly after he arrived, and I discussed the matter with Councilman Gene Brooks and Cox. At that time, Cox said he would "research" this matter. I waited several weeks on the "research," called Mr. Cox again, and was told that nothing had been done and that this situation was not a priority. Yes, a Charter and City Ordinance violation is not a priority for the City Administrator.

With no action being taken, I finally made my concerns public at the May 4 council meeting. Cox responded by repeating that he had more pressing things to take care of and planned to look into this later in the summer. Councilmember Senter said that the council was "aware" of the situation. Yes, the City Administrator, Mayor, and Councilmembers are aware of their violation of the City Charter and City Ordinances, but not one of them expressed any concern or took any action.

[And no, the "news"paper did not report my May 4 statement to council about its violations of its own Charter and its own Ordinance. And, no, the "news"paper never asked for documentation of this allegation when I first made it public on May 4. Apparently, the "news"paper thinks that violations of City beer ordinances are front-page material (see "news"paper article of May 6), but the "news"paper doesn't consider the Mayor and Council's violations of the City Charter and City ordinances newsworthy.]

Another two weeks passed and nothing was done, so at yesterday's May 18 council meeting, I repeated my concerns about the city's violations of its own charter and ordinances and handed the Mayor and each member a copy of the Charter provision found at http://www.mymorristown.com/Charter.html:

Sec. 4. Be it further enacted. That all proceeds received from the sale of bonds issued under this Act and all fees, rents, tolls or other charges received by the city from the operation of sewerage system...shall be paid to the city administrator, or in the absence of the office of the city administrator, the mayor, who shall not commingle any money so received with any other monies of the city, but the monies received shall be deposited in a separate bank account or accounts, in the name of the city.

And a copy of the Ordinance found at http://www.mtas.utk.edu/public/municodesweb.nsf/5cde681dbdedc10f8525664000615fc4/97d6f0faecb79831852569220068c28a/$FILE/morristown.t-18.pdf

18-308. Recorder to keep sewer charges in separate accounts. The recorder shall keep the funds received from sewer charges in separate accounts...as set out in § 9 of the resolution adopted by the city council on May 15, 1959...

Silence.

I asked council to uphold their oath of office. I asked the Mayor to uphold her oath and perform her duty to ensure that City ordinances are enforced:

It shall be the duty of the mayor...to see that all the ordinances of the city are duly enforced, respected and observed within the city; [and] to take an oath of office before he enters upon the duties of the same....

Silence.

Why is following these charter and ordinance provisions important?

1. Because a separate Sewer Fund might have prevented or could, at least, have provided advance warning that the general fund was in a deficit cash balance situation at the end of FY 07, 08, and 09.

2. Because separation of the Sewer Fund ensures better accountability for sewer fees and expenditures.

3. Because the Sewer Fund is a business enterprise fund or operation of the City while the General Fund is a government operations fund.

4. Because the Mayor, Councilmembers, and the City Administrator-- as much or more so than any other person in the City---should follow the charter and ordinances of the City of Morristown.

This is not rocket science.

The Mayor and Councilmembers took an oath of office. One of the specific duties of the Mayor is to see that the Ordinances of the City are enforced and respected.

For the Mayor and Councilmembers and City Administrator to follow the Charter and Sewer Ordinances requires no more than setting up a separate Sewer Fund bank account and getting checks for that account.

There is absolutely no excuse for the Mayor, Councilmembers, and the City Administrator to knowingly and willfully continue to violate the City Charter and City Ordinance(s).  [The City Attorney is aware of the Charter and Ordinance provisions and is also aware of the continuing violations by the Mayor, city officials and staff.]

May 19, 2010 Scott Purkey Is No Longer a Member of County Civil Service Board

Rusty Cantwell, Hamblen County's attorney, and Jeff Taylor, attorney for the Hamblen County Civil Service Board, have reviewed the case law and citations that I provided to Taylor about a month ago and have agreed that Scott Purkey legally gave up his position on the Civil Service Board last fall when he accepted appointment to the Construction Board of Appeals. 

Scott Purkey is the nephew of County Mayor David Purkey and former Sheriff Otto Purkey. Scott was  appointed to the Hamblen County Civil Service Board in early 2009.

Although state law says that a member of the civil service board can not hold any other elected or appointed position in the county, Scott accepted appointment as a member of the Construction Board of Appeals in the fall of 2009.

When I pointed out to the Hamblen County Commission that Scott's membership on two boards was a violation of the civil service act, Scott tried to resolve the problem---and hold onto his Civil Service Board position--- by resigning from the Construction Board of Appeals. [And, no, the local "news"paper didn't report this intial allegation during the public comments portion of a Hamblen County Commission  meeting]

The problem with Scott's violation of the law and his attempt to fix it by resigning from the Construction Board of Appeals---as I mentioned in several earlier blog posts--is that there is case law that when an individual accepts a second "incompatible office,"  he automatically gives up the first office.

Scott was appointed to the civil service board first. When he accepted appointment to the board of construction appeals at a later date, he voluntarily and automatically gave up his civil service position since he could not serve on both and chose to accept the board of construction appeals appointment.

Click here, here, and here.

But never fear, Scott is launching a campaign to get re-appointed to the Civil Service Board. And  there are several county commissioners who will do whatever Scott and his uncles (County Mayor David Purkey and former Sheriff Otto Purkey) ask as the Purkeys continue to nip at Sheriff Esco Jarnagin's heels because Jarnagin defeated Scott's Uncle Otto and David's brother Otto in 2006.

A lot of people think that county commissioners would not and should not appoint people who have been and who are active opponents of the Sheriff to the Civil Service Board.  Independence and fairness should be the hallmark of service on the Civil Service Board.

Because current Sheriff Esco Jarnagin defeated Scott's Uncle Otto Purkey in 2006, appointing Scott Purkey to the Civil Service Board that handles grievances against Sheriff Jarnagin is like stacking a jury with friends of the Defendant. 

Civil service was adopted as a means to help remove politics from the Sheriff's department. Scott Purkey should not even ask to be appointed to a Board that handles grievances against the man who defeated his Uncle Otto, but he will. 

Scott Purkey's  first and now this second effort to get on the Hamblen County Civil Service Board is tainted and compromised by his political and family ties to the man (Otto Purkey) who lost a heated political race to current Sheriff Esco Jarnagin in 2006.

But this is Hamblen County, and the Purkeys, who still haven't forgotten and haven't moved past Jarnagin's victory over Otto in 2006, continue to try to make things difficult for Jarnagin. It will be interesting to watch the politics of Scott Purkey's push to get back on the Civil Service Board where he can vote on issues involving the man (Esco Jarnagin) who defeated his Uncle Otto Purkey.

It will be interesting to watch as commissioners put on blinders to vote for Scott Purkey, ignoring the political and family ties that naturally compromise and raise questions about Scott's independence and fairness in anything involving Esco Jarnagin. 

If the shoe were on the other foot, wonder how many commissioners would appoint someone with strong family and political ties to their opponent(s) to a board that handles grievances against commissioners?

If a commissioner were a defendant in a trial, how many commissioners would want to have the trial before a judge or jury with strong family and political ties to their opponent?

May 12, 2010 State Comptroller Sends Letter to Mayor Barile on City's Violations of State Law and Audit Compliance Issues

The local "news"paper and its city and crime beat reporter Bob Moore have run several stories about the May 4, 2010, council meeting. Bob has taken a week to gradually cover bits and pieces from the May 4th meeting!

Despite taking a week to cover the May 4th council meeting, there hasn't been a front-page article about the April 20, 2010, letter from the State Comptroller to Mayor Barile (click on each page above to enlarge and read) regarding the city's loan application (TRAN) and the City's continuing violations of state law and audit compliance issues. [5/14/10: See UPDATE below]

At the May 4th meeting, a portion of the 4-page letter from the State Comptroller to Mayor Sami Barile was read aloud by Administrator Cox at the direction of the Comptroller. The entire letter describes  numerous violations of state law by the city as well as audit compliance issues.

The letter adds that state approval of the city's current application for a loan/line of credit (TRAN) is conditioned on the City coming into compliance with state law, paying the "loan" back by June 30, 2010, submitting a proper budget for 2011 no later than 7/31/10, and addressing issues in the 2009 and 2010 audits as required by the Comptroller's Division of Municipal Audit. 

The letter (Page 3 at the top) notes that Stormwater, General, and Sewer Fund issues have not been  addressed  despite the Comptroller's direction to the City to contact Municipal Audit to resolve these issues. The General and Sewer Fund "issues" apparently relate to improper interfund loans in 2009.  NOTE: The local auditor reported these improper interfund "loans" with the 2009 audit----but failed to report similar improper "loans" in 2007 and 2008.

With the end of the City's yearly money-switcheroo gig,  the City is being forced to comply with state law in obtaining outside loans and in making any interfund loans.

Surely, a lengthy front-page article with a Bob Moore byline and a banner headline (City Violates State Law and Fails to Address Audit Issues) is coming soon to report on the Comptroller's letter. 

Nah, a "news" article now would be nothing more than a press release with a few pithy remarks from some "official" about how everything is being taken care of and it's time to "move on."  The official line/spin would be that we can't and don't want to find out who ordered the illegal transfers/loans; we can't and don't want to find out who, in addition to the auditors, failed to report that illegal transfers/loanswere being made; and we absolutely don't want to hold anyone accountable for years of illegal transfers/loans!
 
And would the "news"paper try to find out who approved the unauthorized transfers/loans, which individuals and employees knew of the unauthorized transfers/loans, why no city department head or employee reported the unauthorized transfers/loans, and why the auditors didn't report the previous violations?  Not likely. More to come.  For background click here.

[UPDATE 5/14/10: Yesterday, nine days after this "news" broke at the May 4 council meeting and just one day after my initial blog post on this topic, the Trib at long last ran a story on the Comptroller's letter.  Bob Moore's belated "news" article was full of official spin and quotes but did contain some very interesting statements.

If the article is correct, Budget Director Brian Janish and former/interim city administrator Lynn Wampler "executed" a $649,000 sewer to stormwater "loan" in late 2009 or very early 2010, apparently without getting council approval as required by state law and without first submitting the loan to the state as required by state law. Janish and Wampler took this action knowing it was in violation of state law and then graciously "reported" the issue and asked for state "guidance" about their knowing and intentional violation of state law. Just ponder that action for a while.

The article also briefly mentions a temporary "transfer" of $1.24 Million from the sewer fund to the general fund in 2009. The "news" article states that this transfer--carefully avoiding the word "loan"--was made "to avoid reflecting a negative cash balance" in the general fund? The article does NOT mention that this "transfer" was also a violation of state law.

The article adds that at the end of fiscal year 2009 "the money in the general fund ($1.24 Million) actually belonged to the sewer fund."  Can you say robbing Peter to pay Paul?

And the City executed these illegal/improper loans or transfers or money switcheroos repeatedly in prior years and then again in 2009 without required approval, without any oversight, and without any prior audit findings or reports about these and other violations of state law as noted in the Comptroller's letter!  Can you say cover-up?

Click here for more background. An e-mail was all it took to find out about the illegalities of all the money switcheroos and how to properly loan money from one fund to another. 

Is anyone going to be held accountable? Will there be a meeting where the tough questions are asked? Are any staff changes going to be made?]

May 3, 2010 Epps-Buchanan's Ad on "News"paper Rack Outside Entrance to Courthouse Violates the 100' Campaign-Free Boundary

This is a picture of the "news"paper rack beside the doors into the breezeway that connects the old and new parts of the Courthouse. The picture was taken from W. Second North Street about two weeks ago---during the early voting period for the May 4 primary elections.

Current Finance Director/Trustee candidate Nicole Epps-Buchanan had a political advertisement on this "news"paper rack during all of early voting. [Coincidentally, Epps-Buchanan also had a sticker on the paper itself on the day that this picture was made.] Click on the image to enlarge the picture.

State law T.C.A. 2-7-111 provides that election administrators mark off a campaign-free boundary at polling places as follows: The officer shall measure off one hundred feet (100 feet) from the entrances to the building in which the election is to be held and place boundary signs at that distance.

Since Epps-Buchanan's "'news"paper rack ad appeared to be in violation of the 100' campaign-free boundary specified by state law, I reported this apparent violation to local Election Administrator Jeff Gardner around Day 2 of early voting. Jeff said he would check with the state and get back with me. When I didn't hear anything for several days, I called the state Division of Elections to more fully explain the situation and to request their interpretation of 100' from "entrances to the building in which the election (takes place)."

Today, I called the state Division of Elections again to see what the final decision was.  It is my understanding that the state has advised the local election commission to establish a 100' boundary from the door(s) into the old part of the Courthouse.  In marking off a new, correct 100' boundary, Epps-Buchanan's "news"paper rack ad was found to be in violation of the 100' campaign-free boundary as was suspected.

Joe Swann, Chair of the local Election Commission, and Jeff Gardner, local Administrator of Elections, assured me that Epps-Buchanan's ad would be removed from the rack and that no political ads would be allowed on the rack at its current location.

I am grateful to state Election Division attorney Beth Henry-Robertson for her work in helping to determine  the proper 100' campaign-free boundary.  I also thank Swann and Gardner for going back and establishing  a new and proper 100' boundary for Primary Election Day tomorrow.

Good luck to all the candidates. Win or lose, all those who campaigned tirelessly for the past several months are to be congratulated.

April 15, 2010 Taxes, Taxes, Taxes

April 15. Federal income tax returns for 2009 are due today.

If you haven't pulled all that paperwork together, you can apply for an Automatic Extension of Time To File U.S. Individual Income Tax Return by filing Form 4868 (by paper or electronically) today.

An automatic extension of time to file is not an automatic extension of time to pay your 2009 federal taxes. 
With an extension, you estimate your total tax liability for 2009, subtract 2009 tax payments, and then pay the estimated balance of your 2009 taxes along with your Form 4868.

Later on, when you have all your financial information and file your return, you may owe more taxes to the IRS plus penalties and interest (if you underestimated/underpaid your 2009 tax liability with Form 4868) or you might end up with a refund (if you overestimated/overpaid your 2009 tax liability with Form 4868). 

For complete information and forms, check with your tax preparer or go to www.irs.gov

April 13, 2010 Planning Commission Sends Controversial Sign Ordinance To City Council for Approval or Rejection

The Morristown Planning Commission met this afternoon. Members are (Mayor) Sami Barile, Jim Beelaert, Katy Tindall Klose, Homer Harrell, Kelley Hinsley, Jack Kennerly, (Councilmember) Frank McGuffin, Rose Parella, and Bill Thompson.

The big item that brought a crowd to the city council chambers was discussion of a new sign ordinance for the City of Morristown. Despite a crowd in attendance, Chairman Beelaert stated that he would limit public comments to 10 people at 3 minutes each for a total of 30 minutes.

No one spoke in favor of the sign ordinance.  Numerous businessmen, including Steve and Jerry Isaacs, Steve Mills, Richie Broyles, Greg Hurst, Martin Daniel, and Nick Davenport spoke against the ordinance or parts of the ordinance.  Some commented that they had only recently learned that there was a new sign ordinance under consideration, and several of those pleaded for the commission to hold off on a vote until there could be more time for input from business people and the community.

There were business people who noted that signs were the lifeblood of their business--providing product and price information to draw customers in.

There were comments about the size and height of signs that are allowed.

Realtors and auctioneers expressed concerns about being unable to place signs in public rights-of-way as is allowed under the current sign ordinance with posting of a bond and placement of stickers on the signs.

Constitutional issues were raised.  Attorney Mary Ferrara, who drafted the ordinance, stated that constitutional issues prohibit government from allowing some signs in rights-of-way but not others. Government signs that are geared to public safety (traffic signs) or governmental actions (zoning notices) are, of course, permitted in rights-of-way.

Several speakers claimed that the new sign ordinance is overly restrictive and unfriendly to business. 

Sami Barile made the motion to approve the new sign ordinance and to send it on to City Council for consideration. Barile's motion included a provision that the ordinance would not be enforced until January 2011.

Here's the vote: Barile: YES
                        Beelaert: NO
                        Klose: NO          
                        Harrell: YES
                        Hinsley: YES
                        Kennerly: YES
                        McGuffin: NO
                        Parella: NO
                        Thompson: YES
             
The last time there was a vote on this issue, there was a 4-4 tie vote (Close was absent). With Close present and voting NO today, many thought that her NO vote would kill the new sign ordinance.  However, Kelley Hinsley apparently changed his previous NO vote to a YES vote today, resulting in approval and recommendation of the new sign ordinance to the city council.

Prior to casting her vote, Katy Klose made some very good points about getting more citizen and business input first and not being in such a hurry, particularly since the new sign ordinance will not take effect or be enforced until January 2011. Klose's suggestions echoed the sentiment of most of the business people in attendance, but they fell on deaf ears.

April 12, 2010 Burzell Appeals Termination To Civil Service Board

As I thought would happen, Ernie Burzell filed a complaint/appeal with the Civil Service Board over his termination as a deputy under the Civil Service Act. See previous post here. Burzell wrote a letter to the Civil Service Board (Joel Seal, Scott Purkey, and Tim Horner) on March 23, 2010, stating that he wants to "appeal" his termination by Sheriff Esco Jarnagin. He asks the Board to advise Jarnagin not to fill any positions opened as a result of "Sheriff Jarnagin's interpretation of the law regarding deputies running for Sheriff."

I can understand that Burzell and the other deputies (Rucker and Kitts) are upset. This whole matter has been a mess. 

But for Burzell to say that he or the other deputies were fired as a result of "Sheriff Jarnagin's interpretation of the law" is ridiculous. 

It was the STATE attorney general's interpretation of the law--as found in three different opinions--that said deputies who are covered under civil service can not run for sheriff.  The STATE AG also noted that the federal Hatch Act may also prevent deputies from running for sheriff.

It was HAMBLEN COUNTY'S attorney Rusty Cantwell who, after the third STATE attorney general's opinion came out, told Jarnagin that he (Jarnagin) had no choice but to dismiss the deputies (Burzell, Kitts, and Rucker) who were running for sheriff.

Civil service gives deputies protection from political firings BUT, according to the STATE AG, there is a trade-off for this job protection. The STATE AG has opined that deputies, who are covered under civil service, are not allowed to run a political campaign for Sheriff.

Prior to the adoption of Civil Service in Hamblen County, deputies could be hired without any detailed testing standards and could be fired for just about any reason or for no real reason.  

Prior to teh adoption of Civil Service in Hamblen County, there was no civil service board with whom a grievance could be filed when an adverse job action occurred. 

Prior to the adoption of Civil Service in Hamblen County, deputies could and were required or "strongly encouraged" by Otto Purkey and other incumbent sheriffs to campaign for their boss.

Not every county in Tennessee has adopted the 1974 Civil Service Act.  Hamblen County deputies, however, pushed for civil service in Hamblen County. During his last term in office (2002-2006), Sheriff Otto Purkey joined the deputies in asking the County Commission to adopt Civil Service and the Commission subsequently voted Civil Service in.

Now the deputies are seeing the flip-side of civil service. The STATE AG has interpreted the civil service act as requiring that a deputy resign or be terminated prior to announcing a run for Sheriff. The COUNTY ATTORNEY, after the third AG Opinion was released, advised the current Sheriff to dismiss the deputies running for office if they refused to resign.

Burzell is within his right to appeal his termination. He is flat out wrong, however, when he refers in his appeal to the terminations being "a result of Sheriff Jarnagin's interpretation of the law."  He should have said he wants the civil service board to review actions taken "as a result of three STATE AG opinions and as a result of the advice of County Attorney Rusty Cantwell."

Read the STATE AG's interpretation of the civil service act and deputies running for office here, here, and here.  Read County Attorney Rusty Cantwell's advice to Jarnagin here.