More stupidity and sloppiness while Carol Olson and Mike O'Brien were Pres. of the BOE. It appears that Klaus made his own contract changes and Iverson typed them up and Olson and Evans just signed the contract. Why other BOE members thought this was acceptable I simply don't know. We are long overdue for a decision and report about all of this from the BOE.
Maria
Updated: 7/1/2008 11:47:02 PM
Ron Heilmann, the new Eau Claire school district superintendent seen on his first day at work Tuesday, said any alterations to his contract would be handled by the Personnel Department. "I would think that's how it should be done," he said Tuesday.
Staff photo by Dan Reiland
Report: School chief oversaw changes to his contract
By Julian Emerson
Leader-Telegram staff
During his nine-year tenure as Eau Claire schools superintendent, Bill Klaus was the only district employee who personally oversaw changes to his contract.
According to Leader-Telegram interviews with district officials and a 400-page report detailing the Eau Claire Police Department's recently concluded investigation into Klaus' contract alterations, Klaus was alone among district workers whose contract alterations weren't made directly by the Personnel Department.
Instead, Klaus routinely supervised changes before his contract was filed with that department, prompting questions about when alterations were made in 2007 that would have allowed Klaus to receive his retirement stipend earlier than previously stated.
In her interview with police, Klaus' former executive assistant, Patti Iverson, said she doesn't recall changing the stipend eligibility age from 55 to 53 but conceded, "I have a feeling that I did."
Klaus directed changes to his contract, Iverson said, by writing alterations in the contract's margins. He then asked her to make those changes via her computer, she noted.
The timing of Klaus' contract changes has sparked controversy. At issue is whether the board decided that Klaus could begin receiving his $267,209 retirement stipend payments at age 53 rather than the previously stated 55, and whether those changes occurred before the contract was approved on Feb. 5, 2007. Klaus turned 53 last July.
Klaus' contract became an issue after an April 19 Leader-Telegram story detailed how former school board President Carol Olson, at Klaus' request, signed and backdated a document last summer to allow Klaus to receive his stipend payments while he was still working as Northstar Middle School principal. The situation prompted police and school board investigations.
Board members surprised
Several board members said they were surprised by alterations to Klaus' contract and don't recall changes being approved. But Klaus contends changes to his contract - wording reducing his stipend eligibility age from 55 to 53 and a provision allowing him to retire as superintendent but continue working in the district - were made prior to board approval.
Disagreement about changes to Klaus' contract could be due to a simple matter of procedure. Iverson told investigators that not all board members saw Klaus' contract before it was adopted, a practice the longtime district employee said has been the case "as long as I can remember."
Olson and JoAnne Evans, board members at that time, apparently viewed the contract because it bears their signatures.
Personnel Director Jim Kling told police that giving Klaus direct oversight of his contract "might not have been a good idea." However, Klaus was allowed to maintain the power to revise his contract because the superintendent is the only district employee who negotiates his or her contract terms directly with the board, Kling said.
Incoming Superintendent Ron Heilmann, whose first day in that job was Tuesday, said he hasn't maintained direct oversight of his file in past superintendent jobs and doesn't plan to do so in Eau Claire.
While superintendents negotiate their own contracts with school boards, any contract alterations should be typed by the Personnel Department as is done with all other district employees, Heilmann said.
"I would think that's how it should be done," Heilmann said.
Contract disputed
Minutes of closed-session school board meetings on Jan. 8, Jan. 22 and Feb. 5, 2007, where Klaus' contract was discussed and ultimately approved, don't specifically denote discussion of Klaus' stipend payments. Current board President Carol Craig said that is because the board never approved that change.
"The board minutes are accurate," she said. "Providing for early payment of Dr. Klaus' stipend was not brought before the full board for consideration; thus, it is not in the minutes."
Police investigation notes also reveal the board's apparent failure to formally approve the early retirement stipend. In his interview with police, Klaus said there was no specific board motion to approve those payments. Instead, Klaus said, "It was me bringing the issue up."
Typically the board must make and approve motions for changes in board policy, including contract changes, to take effect.
Conflicting accounts
Board members gave police conflicting accounts of their interpretation of whether Klaus' contract allowed early stipend payments.
Craig, Brent Wogahn and Trish Cummins said Klaus' contract that the board approved on Feb. 5, 2007, included a provision allowing Klaus to switch from the superintendent job he'd held since 1998 to work as Northstar Middle School principal at age 53 instead of the previously listed 55.
However, the contract never allowed Klaus to receive his stipend early, especially given that he didn't retire, they said.
Three former board members who voted on Klaus' contract - Olson, Evans and Michael O'Brien - dispute that. They said it was the board's intent to grant Klaus his stipend early and claim the term "district retirement" that was inserted into Klaus' contract meant he was "retiring" from his superintendent job and moving to the Northstar position.
The other board member who voted on Klaus' contract, Mary Kneer, first told the Leader-Telegram she didn't remember whether the board approved the early stipend payment. She later said the board didn't vote for Klaus to receive his stipend early.
No criminal charges
Eau Claire County District Attorney Rich White said board members' confusion about what happened and a lack of complete records precluded his filing criminal charges related to the case.
Klaus ultimately didn't receive his retirement stipend payments after the school board decided Oct. 22 against paying them until Klaus turns 55 and retires. The board did agree that those payments would go to Klaus' family in the event he dies before his retirement.
Klaus wouldn't have been the first district administrator to receive stipend payments while working for the district. But others getting the payment, most notably Deputy Superintendent Gregg Butler, officially retired from the district for 30 days before restarting employment, as required by state law.
However, Klaus didn't leave the district and has told the Leader-Telegram he didn't plan to retire for a couple of years.
Emerson can be reached at 830-5911, 800-236-7077 or julian.emerson@ecpc.com.
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2 comments:
Someone told me to expect a big story
on the Klaus issue on the 2nd. This can't be it.
I found nothing new in the story. The fact that Klaus edited his own contract was one of the main points that the DA considered in his memo about the situation.
The DA was concerned about the procedure used, as I'm sure we all are but couldn't find anything illegal unless the contract did not reflect the board desires as expressed in the several January and Feb '07 meetings that considered Klaus's status or that Klaus used some kind of trickery to get the signatures on that Feb 5 contract (not the backdated one- that was another paragraph) He decided he couldn't prove either beyond a reasonable doubt mainly because of the differences in testimony of the board members involved.
What I did get from the story was a sense that my timeline needs to be moved back at least to January when on the 8th the board evaluated his performance and found it "very satisfactory." At least I think those were the words I found tucked away in one of the board minutes.
Any evaluation with the word "satisfactory" in it must be disappointing to a person who has served 9 years in a job.
In some district web sites you can go back and view the video of past board meetings (not the closed ones, of course)That would be helpful here if one is doing meticulous research.
But I digresss. If nothing else comes of all this, the BOE does a job structuring procedures to prevent
future incidents like this one,
Another digression I found was in the LT's use of the new superintendent to highlight the story, It remined me that the current status of Dr. Klaus
as being on paid adminstrative leave was an administrative decision by Supt Leary and not a board action. Who is responsible for maintaining or changing that?
I think I may browse back through board minutes for several years to see where my timeline really should start.
This is my last post on the Klaus situation, It is based on all of the information made public so far and my own speculation.
I believe it all started with the two things:
Dr. Klaus's desire to step down from his superintendent position based on personal reasons that are none of my business
and the board evaluation of his work in January of 2007.
My speculation is that both parties agreed that the change would be a desirable move and since a position was opening as principlal of Northstar the move was arranged. Due to misunderstandings on the part of both parties and faulty procedures pursued by both the move was not handled well. The board at that time did not communicate well internally or externally with either the public or Dr. Klaus. Dr, Klaus did not feel comfortable communicating with the full board and erred in not doing so.
All of these are unfortunate and costly circumstances. There was no criminal intent or conspiracy.
The good news is that the current board is dedicated to more open internal and external communication and rectifying the faulty procedures. The bad news is that it will(has) cost the district valuable resources and public trust.
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