Wed
Nov 15 2006
06:41 pm

Following up on their Sunday package about issues surrounding management of Empowerment Zone funds, the KNS today alleges there are racial problems in the City of Knoxville department that oversees it. The KNS has documents relating to the complaints here, here, and here.

Number9's picture

This is difficult to fisk

This is difficult to fisk through. Although three weeks has gone by from the original complaint I get nervous when Mayor Haslam cautions against a "rush to judgement". The Sentinel after being AWOL on the story is now all over it. Well seemly all over it since the first column was on Sunday. Tying older somewhat related columns in on the right hand side is suspicious.

Words like a "climate of fear" and questions of "retaliation" spice today's newspaper column.

Hayes Hickman is a neutral writer and one of the best in this town. There is something that is setting off alarms but I can not but my finger on it. Is it just me, or is something not right here?

Bbeanster's picture

I don't know a lot about

I don't know a lot about this, but it appears that Bill Haslam is envious of all the publicity Ragsdale's been getting lately.

Hayes started this story several months ago, but soon thereafter, his mother became suddenly, and terminally ill, I have heard. This put the whole project on hold for a good long while.

The supporting documents that are online in PDF -- the reports of the civil service complaints and the results of the investigation -- are hideous to read. This is tough for me, because Sam Anderson is an old friend of my family, and one of his brothers is close as my own brother to me. I have historically regarded Sam as a hero, because he has done some heroic stuff. These documents, however, are scary, and there are issues that must be resolved. Haslam's foot-dragging ill serves us all.

Kesler, whom I do not know personally, appears to be allowed to be running amok. If half the allegations here are half-true, it sure doesn't say much for Haslam's management skills. Either way, I'd say the city of Knoxville is about to be served.

Rachel's picture

The supporting documents

The supporting documents that are online in PDF -- the reports of the civil service complaints and the results of the investigation -- are hideous to read.

The story in this morning's paper was bad - but Bean is right, the documents are just plain hideous.

I've heard folks from organizations outside the City administration complain about Kesler ever since she got hired.  I've barely met her, so I wasn't sure how to take those.  Looks like they probably were right.

To misuse a cliche, where there's smoke, there isn't always fire.  However, this much smoke is pretty hard to ignore.

'Twill be interesting to see what Haslam does.  And how it will affect his political relationships with the African-American community.

R. Neal's picture

Gemini, re. smoke and fire,

Gemini, re. smoke and fire, looks like I was crossposting and we were on the same wavelength.

Bbeanster's picture

Big, big difference between

Big, big difference between this and the Perez situation:
Every Perez misstep -- real, imagined or set-up -- was on the rumor mill and often as not leaked to the media, toot sweet. It was obvious that Haslam caved early on to the GOBs who wanted to get rid of Charlie Perez, and he never stood up for him, except when the GOB racism bubbled over into public view and he was forced to denounce it.
It's just the opposite with Kesler. When did you ever hill Mayor Bill caution people not to rush to judgment on the Chief, even when the accusations against him were as patently ludicrous as those of the bikini fireman?

R. Neal's picture

That's a good point, Betty.

That's a good point, Betty. At one point I was beginning to wonder if all of this was being orchestrated out of the mayor's office for some reason, but I couldn't figure out what they could possibly have to gain by it. The differences you note in how it's playing out in the media so far (other than the deja vu of setting them up on Sunday and knocking them down on Wednesday) seem to suggest otherwise.

Anonymous's picture

Copies what was said by the

Copies what was said by the 35 or so city employees interviewed for this investigation have been getting passed around like candy by city employees.

There are lots of issues outside of what is in the summaries. Supposedly the summaries on the paper's web site are real tame to what's in the the whole she-bang. It is job security for reporters for months.

Not addressing issues swiftly and firmly as big as these is a great way to find an election opponent.

R. Neal's picture

Thanks for the

Thanks for the unsubstantiated insight, 'anonymous'.

Not addressing issues swiftly and firmly as big as these is a great way to find an election opponent.

Hmmm, the plot thickens?

Rachel's picture

At one point I was beginning

At one point I was beginning to wonder if all of this was being orchestrated out of the mayor's office for some reason, but I couldn't figure out what they could possibly have to gain by it.

Nothing.

Haslam owes his victory in part to the support of the African-American power structure (e.g.  Sam Anderson, Mark Brown, Joe Armstrong et al.).  One would think that the African-American wards were a natural constituency for Rogero - but she & Haslam broke essentially even there.

This entire deal puts the Mayor in a very awkward situation. As I said earlier, it will be interesting to see how he handles it.

And yeah, Randy, I noticed great minds think alike.  Or at least with the same cliches.

Toad In The Hole's picture

Coupled With Scott West and Market Square Laundry Bar

seems that more money given away or the more deals the City guarantees, the more games get played.

Haslam does not need a racial scandal to blow up in his administration, particularly one where black people are being given preference for positions, promotions, and eventually loans in the empowerment district.

All the more reason to hope out of the empowerment zone game and if downtown can't redevelop itself, we can do without drug dealers on Market Square Mall and without racial issues bubbling out of needless government employment.

shortstuff's picture

Political Privilege

The person who seems to stay under the radar is Sam Anderson. Renee Kesler worked at the direction of Sam Anderson. Because of many complaints from the Community Development Department and the community itself, the Mayor finally had the courage to separate Sam and Renee. Renee now reports to the newly hired Larry Martin. T.C. Carter is nothing more than a puppet for Sam Anderson. The next time Haslam seeks votes he should carefully assess with whom he is dealing. Character and integrity do count.
For those who may not know, Renee Kesler is also the same person that sat on KCDC's board and made a big stink when she was asked to resign because she lives in the County. One of KCDC's requirements to serve on its board is to live inside the City. Renee knew this and kept it to herself. When the board found out and asked her to resign, she cried fowl. The Mayor was asked to resolve this, but he wouldn't step up to the plate and make a decision. KCDC Board finally took action. Guess what???? Mayor Haslam later hires Renee as Director of Community Development. Haslam is clearly not a good judge of character.
For more than a year many folks from the community have tried to get City Council to ask for an outside investigation of Empowerment Zone Funds. This is not a new thing. This big fight is over the the $3 million remaining of Empowerment Funds through the Economic Ventures Program and control of City grant funds. At the direction of Sam Anderson this team has been put together to gain control of City funding and Empowerment Zone Funds for family and friends.
Renee Kesler and Kevin Dubose who previously held the same position set about trying to shut down organizations such as, Knox Housing Partnership, Center for Neighborhood Development and Economic Ventures to divert the funds to PNI. The focus for this group was going to be Five Points.
All of a sudden you had preachers turn builders from the Five Points community getting on board to pluck funds from the money tree. They even started having fights between themselves over who was going to be the main builder and recieve the funding. Guess what??? David Walker, cousin of Mark Brown was the big winner. David Walker also, is a good friend of Renee's brother and both David and Renee's brother were coached by Sam Anderson. This has been an environment described best....as a kid in a candy store.
This story is deeper and darker than anyone can describe. Many folks that have served this community with honor and integrity have been hurt by the "move over or we'll run over you" mentality of this group. Renee Kesler is only part of the problem.
Correction for the News Sentinel....Renee Kesler was not an Executive with Am South bank. Renee never held a job in her banking career that she had more than one or two people under her. Her position with AmSouth was Community Development. Not all banks even have this position. Renee was not qualified for the position with the City and nearly doubled her salary when she went to the City. What was Haslam thinking??????????

watcher's picture

What was he thinking???

Somebody's got something BIG on somebody/ies!

watcher's picture

Amends

PNI will get the contract to "make amends" for Renee's job. Just watch...

R. Neal's picture

My jury is still out too.

My jury is still out too. The first thing that came to mind was KFD Chief Carlos Perez. But who knows? The Five Points grocery deal seems like something that should be of concern to taxpayers. But so did the Market Square and Worlds Fair Park deals.

Administration of the Empowerment Zone funding as reported by the KNS raises some questions, although the fact that 3/4 of the business loan funding has not been advanced is puzzling. If someone is trying to run it as an ATM to dispense free federal funding it doesn't seem to be working. But neither does the program.

Some of the rest of it sounds like inside baseball and political infighting by people we don't know anything about and whose agenda may not be crystal clear.

I note that there's only one minority head of a major city department (now that Perez is gone) and he's the guy under the microscope, along with some of his staff. Presumably the departments run by white people are squeaky clean?

Lots of weirdness about where all this is coming from and why. Regardless, it appears there are legitimate issues that the mayor should be dealing with to get them settled one way or another. But one theory advanced to me is that they aren't being dealt with because of the racial overtones and fear of political backlash in the minority community. The civil service complaints do not seem like something the administration can ignore, though. The mayor probably needs to resolve that before it goes federal, or worse, drags into next year's election. (/sarcasm)

Either way, it's a puzzling situation. But where there's smoke there is frequently fire. If there really is a fire, hopefully the administration didn't lose so much credibility in the Perez situation such that they can't deal with a real problem because of political calculus.

Hopefully time will tell and it will all be worked out.

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