Fri
Jun 8 2007
09:10 am

UPDATE: WBIR has a copy of the credit card statement.

The Knoxville News Sentinel files this report on yesterday's Knox County budget hearing.

Perhaps because it was public, it sounds as though Commission Chair Scooby Moore created some political theater by focusing Commission's ire on Mayor Ragsdale's travel and entertainment spending.

The article mentions restaurant tabs ranging from, gasp, $187 to $351 at various upscale restaurants. So what? There are a couple of business related dinner tabs for over $500 on my books. Big deal. T&E is a cost of doing business. And I'm not even in charge of a $600+ million operation serving 400,000+ customers.

The county cars plus travel bonuses issue is at least a legitimate concern. But it sounds like there was an inordinate amount of time spent on what are essentially rounding errors in a $600+ million budget with urgent mega-funding needs for education, employee benefits and raises, and the new pension looming on the horizon.

Scooby says they may have to pass a continuation budget because they just don't understand the budget proposal and need more time to get answers. Perhaps if he could put aside his animus towards Ragsdale long enough to take care of the County's business there would be plenty of time to debate and pass a budget.

And with only a few exceptions, Knox County Commission would not seem to have much moral authority at this point to be suggesting ethical lapses in other county government functions.

That's not to say that the Mayor's office or any other department should get a free pass on budget oversight, but County Commission would seem to have bigger fish to fry than a $187 dinner tab at Club LeConte.

UPDATE: On the other hand, WATE and WBIR both have reports of county employee credit card charges for Comcast Cable and Waste Connections. If employees are charging personal expenses on the taxpayer's dime then it's something that definitely ought to be looked in to. But it shouldn't necessarily hold up the county budget process and sounds like something that needs to be dealt with as a personnel issue.

UPDATE: See Bill Young's comments. This was not all that was discussed at the meeting as you might be led to believe by the media reports.

UPDATE: A couple of things I failed to mention.

Read more...

The KNS article about the credit card controversy says that the charges involve "expenses that totaled $715,537.51 over a period of less than three weeks."

That is definitely a surprising number for such a short period of time. I wonder if it's because they are nearing the end of the budget year so they are using up all the allocated funds before the clock runs out so next year's budget won't get reduced. A better idea might be to give the money back and apply it to next year's budget.

Regarding the expensive dinners, it has been suggested that I'm out of touch. I still say travel and entertainment, including expensive dinners at fancy restaurants, are a cost of doing business and not that big of a deal. The number and purpose of such dinners in such a short period of time, though, should be looked in to.

The newspaper would do better to focus more on the Comcast and garbage service charges mentioned in the TV reports. This seems a lot more serious and suggests there may be abuse of taxpayer funds going on, as I mentioned.

And as I mentioned, the "travel pay", especially for employees who also get county cars, sounds like a policy that needs serious review.

I don't think credit cards are a big deal as a way to manage small expenditures and track expenses (better than handing out cash or filling out a lot of forms and vouchers to get a check cut) but it sounds like they have a lot of them and it does open up the potential for abuse.

I agree with Commission that employees ought to be on a per-diem for out-of-town travel and I would go further that fancy dinners for business related purposes should be approved ahead of time, and that excesses and abuses should not be allowed and should be punished when they occur. And really, isn't it the Mayor's job to enforce that? If so, it doesn't sound like he's doing a very good job if the reports are to be believed.

But my point is that I also think politics play a part in the scrutiny and the media circus, and it holds up the process for something that can be handled administratively, or by simply saying OK, we're not going to approve any of that stuff in the budget and we'll get back to you with supplemental funding once you explain it. And as I said before, County Commission has a duty of oversight, and nobody should get a free pass.

ANOTHER UPDATE: Of course, it would be a lot easier to just take the standard and more sensational "boy, they spend a lot of taxpayer money on expensive stuff that normal people can't afford" approach.

YET ANOTHER UPDATE: WBIR has a response from the Mayor's office. As I suspected, the restaurant charges in Nashville were related to the Mayor lobbying for BEP. Also as a commenter noted here earlier, the Comcast and garbage pickup charges were for a senior center. The charge at the Apple Store was apparently personal and has been paid back. There's no mention of the Smoothie King charge. (UPDATE to the update: WATE has more. the Smoothie King was purchased for "breakfast on the way to Nashville.")

So, there's no smoking gun and my original instinct that this is a politically motivated manufactured "controversy" fueled by sensational journalism.

But it does raise important issues regarding use and audit of county credit cards. There's too much potential for abuse if it isn't watched carefully. People making personal charges, whether they are paid back or not, should flat out not be allowed. Why can't they user their own personal credit cards? In fact, maybe the policy should be that employees can't carry the credit cards, but instead have to request that they be checked out to them when they need to make an authorized purchase.

bill young's picture

Went to meeting

I went to the public hearing;it lasted for 31/2 to 4 hours.There was alot talked about;stormwater,schools,tennis courts,libraries,non profits,jail overcrowding.This did not come up till the end.If it's what the N-S focused on,thats fine.But it was not the only thing talked about.

Commissioner Pinkston was looking into the what the Ragsdale folks admit was a mistake,the travel pay
line item.He had a report of all the credit card receipts for the last month;per the folks working for Ragsdale.

The bone of contention was it appeared that folks were
misusing the county credit cards for personal use;not county bidness ie using the card to buy lunch for themselves & friends while in town;for example;Arms bought Pinkston lunch @ Riverside Tavern.Treating themselves @ Smoothie King.Charges on Sunday;buying computer stuff @ the Apple store.The beat kept going on & on.

No matter what one thinks of the present make up of commission;this aint good & needs to be looked into.
The Mayor's office CAN NOT...CAN NOT be using the TAX PAYERS
MONEY for PERSONAL USE...period!!!

R. Neal's picture

This did not come up till

This did not come up till the end.If it's what the N-S focused on,thats fine.But it was not the only thing talked about.

I wondered about that. Thanks. The paper and TV news reports make it sound like that was all that was discussed. I guess it's the most newsworthy/sensational.

The Mayor's office CAN NOT...CAN NOT be using the TAX PAYERS MONEY for PERSONAL USE...period!!!

I think everyone would agree on that.

R. Neal's picture

Here are some previous

Here are some previous budget questions posted here by Mark Harmon (and one from me):

(link...)

(link...)

(link...)

(link...)

Were any of these discussed? Maybe Mark Harmon will have time to update us on the rest of the story...

CBT's picture

Randy, the difference in

Randy, the difference in what's on your bills and the county's is it's your money and not mine (and that of every other taxpayer). I'm peeved over this whole travel money mess. Please note that not only does every dime turned in get reimbursed (or just charged to a county credit card and paid), but a number of employees also get 'travel pay' of anywhere from a few thousand to as much as $20,000. This appears to be nothing more than play money. According to John Werner he used his for cigars.

I don't mind a reasonable county vehicle for those on county business. I don't mind reasonable and necessary travel expenses (with documentation). I don't even mind a small stipend to cover local travel expenses so employees don't have to turn in every 10 mile trip to Halls. But, this travel pay which increases local salaries to some of the highest in the state (in some cases more than the Governor himself) should not be passed over as business as usual.

R. Neal's picture

CBT, as I said in the post,

CBT, as I said in the post, I agree about the "travel pay", especially if they are already getting a county car.

The other stuff is nickel and dime, and a cost of doing business, but it certainly sounds like there is some abuse and mismanagement.

And it does sound like there was a lot of it in a very short period of time. Were they trying to use up their budget before the clock ran out on it?

Cable TV and garbage pickup bills on a county credit card are awfully suspicious, too....

bill young's picture

Before update

I was writing the comment before posting,I re read the front
page so edited out the cable bill because I thought I had
"gotten pumped up & misread the orginal post" I didnt want to rant & do a "never mind".

The thing is the commission is charged with the appropriation of all monies spent.Like deep throat said
Follow the money.Commissioner Pinkston did.Said that if these folks worked for him they would be fired.

Its not good.

bill young's picture

Commissioner Mark Harmon

Commissioner Mark Harmon left before the credit card turmoil hit the fan.I'm sure he watched on TV.

Mark Harmon's picture

Some other items discussed

Bill Young is correct. I left after two hours to attend a district event. Here are some other things that came up during the meeting:

Ginna Mashburn of Friends of the Library made an impassioned and eloquent plea for greater funding of library acquisitions. I have been working on this one as well. A couple commissioners also recognized this need (though Lumpy bristled at her mention of a tax increase and suggested she just donate money to the library). Mashburn does (on a limited senior income), and lots of time, too. Mike Arms announced $150,000 had been found in other places to increase library acquisitions. I'm concerned some of the other places are elsewhere in the skimpy library budget, but slow progress is being made on this one. At least one, and possibly more, commissioners may follow my example and donate some discretionary money to Friends of the Library.

Another citizen speaker got Scott Moore to pledge in public that he would not cut funds from the Great Schools Partnership.

Gloria Ray gave some long answers to simple questions about the Tourism and Sports Corporation, but appears to be cooperating with a citizen who suggested improvements to tennis facilities as a way of attracting tournaments.

I agree that travel money and casual misuse of credit cards are important (and we should not see abuse), but let's also keep a focus on overall priorities. Right now I'm looking at whether school-based immunizations have been cut.

Mark Harmon

R. Neal's picture

The KNS article says "The

The KNS article says "The credit card expenses dominated the commission's agenda during a public hearing on the budget..."

Which is probably where I got the idea that's all they talked about.

bill young's picture

Dont like;cant stand

As Randy knows,I've got the political jones & unlike Al
I'm not in recovery.

What I dont like & cant stand is after hitting up folks for money tellin 'em its about us not me;campaigning for more than a year telling voters that it's not about me;its about the people.On election night,thanking folks for giving up their time to help in the cause of good government

Then after a few years starting whining about how much they could make if they worked in the real world.I'm not getting paid market value.

When you hear that start looking for schemes to get more money.They feel its their right because working for the people is costing them money.

In the real world the pay check dont come if you dont make money.You cant just spend money wily nily.

In the gubmint world the check comes every two weeks.
No matter what you do.

Gubmint work is good if you can get it.

Rachel's picture

Here's my thing - I'm glad

Here's my thing - I'm glad Commission is scrutinizing the budget. I agree that the travel pay thing needs attention.

But I hate that they're doing primarily to beat up on Ragsdale. And as well as looking for things to "gotcha" Ragsdale with (and the travel pay item is certainly a legitimate "gotcha") they should be looking hard at priorities (e.g. why is the library aquisitions budget roughly 1/4 of what it was just 3 years ago?).

In other words - cut the political posturing and do real work too.

bill young's picture

Night rider

I've heard alot of talk about public hearings.
Give the devil its due,the commission held one that lasted a long time.Matter of fact it lasted so long I caught the Night rider bus to get home.

If one wanted to talk about anything;you could have last night.

I dont know if we've got to the bottom of it or just scratch the surface of this credit card turmoil.If a supplemental will meet the needs of the county & pass muster for the sheriffs employees pension
& school construction bond;it maybe whats needed.

Andy Axel's picture

Out of curiosity -- what are

Out of curiosity -- what are city/county ethics guidelines for picking up tabs?

The reason that I ask is because it really depends on the context of the payment.

As a professional who does a considerable amount of trade with the State gov, I can't pay for so much as a stick of gum for a state employee. The Tennessee ethics code is unequivocal on that. It's all about "appearance of impropriety," and my corporate policy is even stricter than the states. I have a friend who works for an agency that regulates my business (and we became friends prior to her employment there), and she just had a baby. Technically, my wife isn't allowed to give her anything at this child's shower.

The same rule probably doesn't apply to government officials out with other government officials, but I'm unclear as to what a government official would be doing picking up the tab for a vendor or a lobbyist.

I go out for dinner maybe once a month with my wife and another couple, and we easiy drop $300 or $400, depending on the venue and depending on the quality and quantity of the wine consumed. I've been on business dinners before and had vendors pick up tabs which I know had to exceed $1000 (after dinner, drinks, and outings are considered). Anyone shocked that a business dinner for 4 can exceed $300 probably hasn't ever done business worth much. Those expenses are normal & customary.

That said, it's not simply a question of the amount. The context in which those payments were rendered is key. On that basis, I'd say that the meal charges are "not enough info to discuss."

____________________________

I'm a guy in a Reagan mask -- and I'm running for President!

R. Neal's picture

That said, it's not simply a

That said, it's not simply a question of the amount. The context in which those payments were rendered is key. On that basis, I'd say that the meal charges are "not enough info to discuss."

Yes, I agree that county officials should not be picking up the tab for vendors, or the other way around.

But I would think that some community/business development situations require wining and dining site selection consultants or business executives to put out the red carpet and discuss what a great place this would be to relocate.

Another legitimate scenario might be "employee appreciation" dinners/parties for department staff.

But I don't know what the guidelines are, or what the circumstances are for the various charges being scrutinized, and apparently neither does anybody else. So definitely more info is needed.

KC's picture

As a professional who does a

As a professional who does a considerable amount of trade with the State gov, I can't pay for so much as a stick of gum for a state employee. The Tennessee ethics code is unequivocal on that. It's all about "appearance of impropriety," and my corporate policy is even stricter than the states. I have a friend who works for an agency that regulates my business (and we became friends prior to her employment there), and she just had a baby. Technically, my wife isn't allowed to give her anything at this child's shower.

The same rule probably doesn't apply to government officials out with other government officials, but I'm unclear as to what a government official would be doing picking up the tab for a vendor or a lobbyist.

I go out for dinner maybe once a month with my wife and another couple, and we easiy drop $300 or $400, depending on the venue and depending on the quality and quantity of the wine consumed. I've been on business dinners before and had vendors pick up tabs which I know had to exceed $1000 (after dinner, drinks, and outings are considered). Anyone shocked that a business dinner for 4 can exceed $300 probably hasn't ever done business worth much. Those expenses are normal & customary.

That said, it's not simply a question of the amount. The context in which those payments were rendered is key. On that basis, I'd say that the meal charges are "not enough info to discuss."

It's nice to hear that someone who "trades" with the government has so much money to throw around. I don't know which is more enraging: R. Neal's "the cost of doing business" cliche, or "it's not simply a question of the amount," comment.

Perhaps you would both do well to ask any of your working class friends, if you have any, how many groceries $300 or $200 would buy.

And perhaps R.Neal could answer what business is he talking about when he says "the cost of doing business?"

Besides, we're not talking about business, this is supposed to be about public service. Or is it only about public service when you're criticizing Bush, Cheney, Rumsfield, and Haliburton or the opposition?

Bbeanster's picture

Knox County, far as I know,

Knox County, far as I know, has no ethics rules re these kinds of things. Before last month's MPC meeting, I saw a member of Ragsdale's administration lunching with a controversial developer at the Bistro. I'm betting the developer picked up the tab.

R. Neal's picture

And perhaps R.Neal could

And perhaps R.Neal could answer what business is he talking about when he says "the cost of doing business?"

In terms of the local government, already did in my comment just before yours.

In the business world, it is not uncommon for four or five executives to sit down for a three or four hour dinner at a nice restaurant to continue discussing a deal, sometimes after a long day of negotiations. Trust me, it is grueling and not as much fun as it sounds. And it's expensive.

When someone flies hundreds or thousands of miles at their own expense to sit down to discuss a deal that could make both of you hundreds of thousands of dollars, it's not usually good form to insult them by taking them to McDonald's, regardless of how much you'd rather be at home with your shoes off enjoying a pizza and a beer, nor would you expect to be treated that way if you go to their city.

Or maybe I AM out of touch and that's not the way people do business any more. But Club LeConte does still seem to be in business (not that I've ever been there)....

Andy Axel's picture

It's nice to hear that

It's nice to hear that someone who "trades" with the government has so much money to throw around. I don't know which is more enraging: R. Neal's "the cost of doing business" cliche, or "it's not simply a question of the amount," comment.

In case you didn't know, the government does business with a lot of private concerns. And they're not my only customer, Gary. I do business with accounting firms, manufacturers, retailers, hospitals, and even churches and civic organizations.

Perhaps you would both do well to ask any of your working class friends, if you have any, how many groceries $300 or $200 would buy.

Let's see: Whole chicken is about $2.99/lb. Cutups are about $3.49/lb. Breast meat (skinless) is a real premium at around $4.99/lb. A half gallon of milk is $1.49 or so, but my wife likes the organic stuff and drinks it a lot more than I do. Mozzarella cheese is around $3.99/lb but Kroger is running a 2/$5 special with the customer card. Ramen noodles are 6/$1 (if you like Top rather than Maruchan). Bread is around $2.49 a loaf for the more dense stuff that I like. Peaches are coming into season now, and those are about $1.49/lb. Vidalia onions are in season, too, and are they ever good.

I'd say that if I were making a quarter of what I make now, I could make do for a month on $200. Even when I was making $10/hr (which was back in 1992, so inflation takes a pretty good bite) I was spending at least $50 a week, if not more.

And perhaps R.Neal could answer what business is he talking about when he says "the cost of doing business?"

Do you have any earthly idea how many $50 steaks and $300 dinners that your taxes fund, Gary?

Business meals are TAX DEDUCTIBLE EXPENSES. You pay that. You. Your tax dollars make it possible for the chairman of the local bank to be wined and dined by people competing for his janitorial business, and I'll guarantee you, they're not typically going Dutch at O'Charley's and each having a glass of water with lemon apiece with their two-fer special.

Do you really not have the concept of how business is conducted in this country? A single Fortune 500's T&E is easily into the millions, annually. That comes out of everyone's pocketbook.

____________________________

I'm a guy in a Reagan mask -- and I'm running for President!

R. Neal's picture

So, Gary, I take it you are

So, Gary, I take it you are opposed to the State of Tennessee giving Nissan $200 million to relocate their U.S. headquarters here.

Or the City of Knoxville giving TIFs to any developer who drives a stake in the ground downtown, or giving restaurants free rent on high-dollar riverfront property?

Or Knox County giving $400K or so in TIFs to get the Crimson Bldg. rebuilt? Or funding for Jobs Now!, the Chamber Partnership, and various PILOT programs?

bill young's picture

guidelines

Commissioner Trammel brought that up,last night.

I believe its the Chamber's role to wine & dine
prospective bidness not the gubmint OR EMPLOYEES
of the gubmint.

Arms said on WBIR that when he picked up the tab he wrote down folk's names on the back of the bill.That dont get it & it's how it came to pass that he had bought Commissioner Pinkston's lunch @ Riverside Tavern.The Commissioner was not amused.

Andy said it best "even the appearence of impropriety" is what you have to have as THE GUIDELINE!!

Ennui's picture

Gentlemen, gentlemen

Gentlemen, gentlemen please.

Both the mayor's office and the commission suck. It's not either or in my opinion.

KC's picture

So, Gary, I take it you are

So, Gary, I take it you are opposed to the State of Tennessee giving Nissan $200 million to relocate their U.S. headquarters here.

Or the City of Knoxville giving TIFs to any developer who drives a stake in the ground downtown, or giving restaurants free rent on high-dollar riverfront property?

Or Knox County giving $400K or so in TIFs to get the Crimson Bldg. rebuilt? Or funding for Jobs Now!, the Chamber Partnership, and various PILOT programs?

If it gives a return on the investment, no. If it doesn't, or it's not expected to, yes.

I realize that it's a gray area. No doubt about it. What concerns me is the apparent ease in which the credit cards are used. When public officials are alledgedly using public funds for personal use, it's a problem.

If the wining and dining is to attract private business development to the county, then there should be a fund set up to draw upon when the outing concerns economic development. The funds need to be authorized and allocated from a specific source, rather than just charging it to the county. That way, there wouldn't be the perception that has developed since last night that in addition to a decent salary, a county employee has a county credit card with very few strings attached.

Tamara Shepherd's picture

"Re-loadable" debit cards?

This musing just slightly off-topic: I was in some store the other day, maybe Walgreens, and saw a product for sale that was news to me. Other might already be familiar, but I had never heard of a "re-loadable" debit card, marketed at this location as an ideal way to keep one's out-of-town college-age children "financed."

Wonder if this sort of tool is ever used in either government or private business settings? I would think it would be more convenient than either carrying cash or waiting for reimbursements by check, yet offer the issuer more control over limits, especially if cards were "loaded" only after approval of the related travel/entertainment expenditure?

(Disclaimer: I've been out of the work force for seven years now. If I have suggested something numbingly stupid, please be kind ;-)

R. Neal's picture

Gary, I pretty much agree

Gary, I pretty much agree with all of that. And that everyone should be on per-diem for out-of-town travel, and any dinners/entertainment should be pre-approved. And if employees are abusing county credit cards for personal use, they should have to pay it all back and not be allowed to have credit cards.

Bill Young brings up an interesting point that the C of C is supposed to be doing the wining and dining. Is that the rule?

So back to Betty's question (and yours, and Andy's), what ARE the rules and the legitimate reasons for a county employee to charge meals on a county credit card, especially locally? If there aren't any it sounds like there should be.

CBT's picture

I've been to Mortons, the

I've been to Mortons, the Palm, Ruth's Chris and a number of other Nashville joints. Same for Memphis and other cities. I know those places cost money. But, it's the total scenario. $45,000 loaded SUV's on the government's tab (when a Impala or Taurus would suffice), Werner saying he bought expensive cigars with his money and now the questions over the county credit cards. And on top of all that Knox County taxpayers are being asked to fund close to a half million dollars in just 'play money' in addition to reimbursing every dime spent (at Morton's, the Lunchbox, hotels...whatever and whenever).

First we hear, well we shouldn't have seperated it, we'll just lump it into salaries. Huh? Folks, it doesn't matter what dress you put on this pig, it's still a pig.

I don't care who's on the 6th floor. This is wrong. Any Commissioner who votes for this without change shouldn't be allowed to manage the public's money.

R. Neal's picture

lump it into

lump it into salaries

Indeed, wonder what Ragsdale's tax returns show for that $20K travel allowance?

R. Neal's picture

WBIR has the credit card

WBIR has the credit card statement in question:

(link...)

(Apparently this is only 10 pages of 80)

Ennui's picture

That comcast charge reeks to

That comcast charge reeks to high heaven.

Ennui's picture

And what about the recurring

And what about the recurring charges made to the Chamber for $125 a pop?

KC's picture

Who wines and dines

R. Neal-

If you're asking if government officials should be wining and dining prospective industry... I think it's a tough question. Relatively speaking, I think we have to compete with Alabama or Greenville Co., South Carolina for major industry, and I think that includes government leaders doing the lobbying, along with the C of C.

In the perfect world, I'd rather it not be done, but I'm not against it in the real world. It's like the conservatives call for smaller government. It's illogical to think government can downsize, as the public it serves increases in size, both locally and nationally.

My opinion on both government operations and campaign financing is full disclosure. Admit it when mistakes are made. Reimburse where necessary, and simply restrict the use of credit cards. The abuse of credit cards in government is a recurring theme. The DOD and FEMA in Louisiana just to name a couple of instances. Just limit their use.

lotta's picture

employee handbook

R. Neal's picture

OK, have just scanned

OK, have just scanned through it. 99% of it looks legit to me.

The highly publicized Nashville dinners are I bet lobbying by Ragsdale for one thing or another. There's been some hot issues, BEP, AT&T bill, etc. I'd bet there's no rule against Ragsdale wining and dining a legislator, or even a lobbyist.

Some of these small amounts for lunch look fishy. Not sure why people can't buy their own lunch. Maybe people had to work through lunch and the boss sent out? Who knows. That probably needs to be explained.

Local hotel stays and dinners probably need explaining, too.

The Beverly Hills Hilton charge has already been explained in the paper, I believe.

The Comcast charge needs to be explained.

The huge amount for one statement period doesn't sound all that unreasonable, because it looks like they are running just about every minor expenditure (and a couple of major ones) and travel expenses through a credit card account instead of a complicated accounts payable/reimbursement system. Nothing wrong with that, is there? They get good records. Seems like smart business. As long as it's managed and controlled of course.

Not sure there is any big smoking gun here, but I could be wrong...

Ennui's picture

To me, the small things are

To me, the small things are just as aggregious. That demonstrates(again to me) willful disregard for the public. It's like saying "No one will notice if I put this smoothie on the card."

Also, once a person who spends other people's money for a living gets used to small excesses, that makes it easier the next time, then on to a larger purchases and so forth. Before long it's out of control.

Andy Axel's picture

Re: the Comcast... Does the

Re: the Comcast...

Does the city promote telework at all? Some employers will pay for cable/DSL subscriptions.

Just a thought.

____________________________

I'm a guy in a Reagan mask -- and I'm running for President!

Sandra Clark's picture

Money Man

Folks: Larry Van Guilder has cracked the code! The fellow drinking that $7.67 Smoothie King on April 12 was none other than the Finance Director himself -- John Werner. He's also the one who spent $54.63 at the Apple Store in the mall on a Sunday -- when the county uses only PCs. -- s.

Knox Insider 007's picture

The

Comcast charge is to pay for internet service at the Senior Citizen Centers. The Waste Management charge is for trash pick-up at one of the Senior Citizen Center.

The $719,000.00 over 5 weeks is for charges on all county cards.Last night Mike Reeves of Knox County said there are hundreds of cards, most have limitations for purchases. Of the most recent monthly activity included items like the Health Department purchasing needed medication for Knox County citizens.

Some charges included purchasing dog food at Wal-Mart for the drug K-9 dogs.

It cost nearly 5 times as much to purchase needed supplies for Knox County citizens using the P.O. system -vs- the cards.

R. Neal's picture

See? I figured there would

See? I figured there would be explanations for a lot of this.

What you don't see with a credit card statement is all the journal entries of how the stuff gets categorized against what budget, which approvals, inter-departmental settlements, etc.

But all these lunches (and Smoothies) still need to be explained.

And I haven't read the employee handbook yet on what the rules are.

P.S. And the other point is, that there has probably been better airing of all this and more information discussed here today than the sensational piece in the paper based on "explosive!" (Terry Frank) documents "leaked" to the press.

But then again, county credit cards, gas cards, travel accounts, etc. should not be taxpayer funded perks and free lunches for county employees.

But once that .01% of the budget abuse is thoroughly investigated, then maybe they can move on to the $6 million shortfall in the school budget and what results the Great Schools project gets with the money instead, just as one example.

Rachel's picture

But once that .01% of the

But once that .01% of the budget abuse is thoroughly investigated, then maybe they can move on to the $6 million shortfall in the school budget and what results the Great Schools project gets with the money instead, just as one example.

That's what I was saying. Yup, some of the expenses stink (the "travel pay" most especially), but when Commission is through beating the Ragsdale administration over the head with those, it would be nice if they'd move on to a serious discussion about other fiscal priorities.

I'm not holding my breath.

And I'm not defending the administration. Just saying.

spratt's picture

The .01%

might not amount to much of the budget, but as far as I'm concerned it represents an awful lot of the culture that's spending the rest of the budget.

I think this whole debate over whether or not it's OK to wine and dine sort of sums up the problem with government these days, be it GOP or Dem--it's the folks that own both groups that call the shots. The little guy has only a token voice (and that voice is used to add credibility to whatever when it is convenient to the machine). It's the money that calls the shots. Sad.

spratt's picture

Comcast

and the others should be providing free service to government facilities as a part of their local franchise agreements. Then the credit cards wouldn't come into question. Guess we forgot to wine and dine them?

bill young's picture

Interesting point

The chamber's job is to talk up knoxville/knox county.
When prospects come to town;show em around;put on the Ritz.
Sure the Mayor & the elected folks should be at the party.

But the real job of the city,the county & the state is to get the infra structure package together.Because when the rubber meets the road;prospects arent swayed by a free lunch
they are swayed by what this community can offer them for the future of their company.

CBT's picture

I don't care if the county

I don't care if the county uses credit cards. It probably has it's place. But, that doesn't explain close to $500,000 in extra 'travel money'. When you combine that 'play money' with reimbursing every single item of travel expense (and/or paying the charges on the cards) it stinks.

Expensive meals, cigars, luxury SUV's, thousands in 'travel money' to spend as you wish...I'm glad Knox County taxpayers are able to keep our government officials in the lifestyle to which they have grown accustomed.

Throw out all the travel money (heck, Commission could send the half mil over to the schools). Set a small local travel stipend for those who travel as part of their regular duties. Out of county travel has to be documented. And, set a reasonable budget for purchasing county employee vehicles.

It's clear the 'spin' is that there may be an innocent mistake here or there or it's just a few dollars. Look at the forest, not the trees. It's the whole picture of how county money is being spent.

R. Neal's picture

WBIR has a response from the

WBIR has a response from the Mayor's office:

(link...)

See my updated commentary at the end of the original post.

Knox Insider 007's picture

R.Neal (aka SKB)

I have been impressed with your ability to manage your reaction to this story.

Certainly, individuals (S.Clark and CBT) that dislike the Mayor and have a political ax to grind with him and his administration were trying to pour gas on the flames of a non story. If anything is/was not right, the Mayor and Mr. Arms will fix it and if any people acted inappropriately with their county issued cards, they will be dealt with.

R. Neal's picture

Well, I hate to get caught

Well, I hate to get caught defending a politician, and that's not the intent. The bottom line is politicians can't be trusted with taxpayer money, even Democrats! That's why there has to be oversight, and unfortunately it seems there's always politics involved.

bill young's picture

$644 ergo $12,000,000 NOT

I don't buy the argument that a $644 dinner gets you
$12,000,000 in additional school funding for Knox County.

The BEP originated from a ruling of the lower courts;upheld by the Supreme Court concerning"rural school equity issues."
It became known as the large school/small school suit.

The rural/small schools felt the funding formula,based on situs sales tax collection(where the tax was collected ie West Towne vs downtown Sneedville),was inherently unfair becuse of the constitutional requirement that state monies spent,on education,be spent for the "equal benifit of all the people."
The courts ruled for the small schools.

This suit lead to the '92 BEP school funding package & has been in litagation ever since.As time went on,the Senate & the House,in reaction to court mandates piled quick fix upon quick fix.The quick fixes were,well quick fixes,that did not remedy the funding problem.In fact the burden of the equity issue shifted to the large schools ie Knox County.

People,all across the state,after 15 years,said enough of these lawsuits lets get our house in order.Senator Woodson was & is a leader in this effort.

The reformed BEP passed with monies from a cigarette tax to fund it.

I don't think an expensive dinner had anything to with it.

The way I see it,the free lunch crowd down in Nashville got to eat good on the Knox County tax payers dime.

It's time to put an end to the free lunch crowd in Nashville
& Knox County!!

ultron's picture

"If anything is/was not

"If anything is/was not right, the Mayor and Mr. Arms will fix it and if any people acted inappropriately with their county issued cards, they will be dealt with."

Whew! I feel better already :)

CBT's picture

Insider Hornback...I don't

Insider Hornback...I don't dislike the Mayor. I've contributed to his campaigns (want to compare donations?), appeared on radio and TV and praised many of the Mayor's initiatives, among other support. I have had some disagreements, mostly with one or two in the Mayor's office. Of course, that does affect the Mayor, but that's largely beyond my control.

You wouldn't understand and at least one in the Mayor's office doesn't get it, but with me it's about right and wrong, not politics. Harber...wrong. Threatening me...wrong. "Travel money" (aka 'play money') given without any accountability and paying the highest salaries in the state...also wrong, I don't care who's in the Mayor's office. Remove your nose and maybe you can get some perspective.

CBT's picture

Someone ought to compare the

Someone ought to compare the city travel expenditures. What you will find is amazing. If the KNS would do it's job, it'd be on the front page tomorrow.

CBT

bill young's picture

Do the Math

what is .04% x 715,537.51??
Is that how much lunch money the Mayor's staff gets?

Just asking per Sunday N-S.

R. Neal's picture

$286?(I agree there should

$286?

(I agree there should be no free lunch unless they are on out-of-town travel.)

CBT's picture

Lower? Try almost zero.

Lower? Try almost zero. They charge few meals and let the paid lobbyist do the work they pay him for in Nashville.

CBT's picture

I received a threatening

I received a threatening email from Hornback, complete with copy to Mike Arms. Hornback claims he's not 007 and doesn't post on Knoxviews. If he's not, I should apologize. But, it certainly seems 007 knows how to get the message to Hornback.

I won't post his email or my...terse...response. But, as I recall, the KNS has no qualms about pubishing private emails.

Bbeanster's picture

Ahhhh, the infamous

Ahhhh, the infamous Hornbackian threatening email.
You're in good company, CBT.
He spews those things around like valentines.

Rachel's picture

It's probably not Hornback -

It's probably not Hornback - he wouldn't have written "S. Clark", he would have written "tabloid editor girl."

What a loser he is.

Knox Insider 007's picture

As the

commenting goes off topic and begins to center on Hornback. Maybe the anti Hornback crowd should start a permanent thread bashing the only former Republican Chairman to win every race except for Mark Harmon's victory.

R. Neal's picture

All IP addresses are

All IP addresses are logged...

Cletus's picture

Knox Insider said: As the

Knox Insider said: As the commenting goes off topic and begins to center on Hornback. Maybe the anti Hornback crowd should start a permanent thread bashing the only former Republican Chairman to win every race except for Mark Harmon's victory.

Isn't that the same "only former Republican Chairman" who inherited over $30,000 in the GOP account and left around $300 when he left?

And Knox Insider, if he's the "former Republican Chairman," then why on his website does he claim to still be the Chairman?

spratt's picture

Is that you, Dwight?

Who could 007 be?

Bbeanster's picture

Whoever it is, it's

Whoever it is, it's Hornback's biggest fan.

bill young's picture

This aint about Hornback

It's about being honest

Bbeanster's picture

It's gotta be tough to be

It's gotta be tough to be Hornback --
Watching guys like Werner, who did less politically for Ragsdale, earning big bucks and eating Smoothies on the county's dime while all Hornback gets is no respect, no job except for an unpaid chairmanship nobody else wants and now, plenty of time for selling candy.

Knox Insider 007's picture

Being Chairman

was a job that three people actually fought for in March to take the Chairman position. Hornback announced in 2005 that he would only serve 1 term to get the party back in a winning position during elections. He affirmed that decision in December 2006 in announcing that he would not seek and if selected would not serve.

The eventual winner of teh contested Chairman election was aware of the budget and money on hand as she held the position of First Vice-Chair. She was on the Committee that accepted the lowest bid for the printing of the roster book in 2005, however, the rumor circulating presently is that she did not accept the low bid this year. She is awarding the job to a higher bidder, which is contrary to statements that she made to Sandra Clark at the Halls meeting.

bill young's picture

County budget

The budget should be passed Thursday.

1.End all credit cards & travel allowances for the Mayor & staff.

2.Create a fund to cover all monies formerly spent in this regard.For compensation,The Mayor & staff must show receipts to the finance committee for approval.

3.Mayor or staff can't pick up the tab,for meals, on the county dime.

I have sent an e-mail to all county commissioners reflecting this post

Sandra Clark's picture

Good job, Bill

Your suggestions are correct. These folks are making enough money to afford their own breakfast and lunch. -- s.

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