About William Gjebre


Website: http://www.floridabulldog.org
William Gjebre has written 21 articles so far, you can find them below.


Hallandale freezes payments for city development, jobs programs citing waste & fraud

By William Gjebre, FloridaBulldog.org 

Hallandale Beach City Manager Roger Carlton

Hallandale Beach City Manager Roger Carlton has ordered what could be a multi-million dollar freeze on all payments under two city jobs and business development programs, saying they “have lost their way.”

Carlton acted about what he said was “waste” and possible fraud weeks before a report by county investigators became public last week that accused City Commissioner Anthony Sanders of failing to disclose payments he received from a local community group awarded city funds, including money under the two programs, with his backing.

In a June 5 memorandum obtained by Florida Bulldog, Carlton, who was appointed city manager by a new reform-minded city commission majority, expressed outrage about the flawed city programs and public apathy about them.

“I am angry about this situation,” Carlton wrote. “… It is extremely disappointing that there is no outrage in the community about these programs. No demands for reform have been publicly made to date. No complaints regarding the fact that public funds, which should have been utilized effectively to build capacity of local contractors, or help individuals find work can be found.”

In a preliminary July 7 report, the Broward Inspector General’s office said Commissioner Sanders “engaged in a pattern of misconduct” when he “failed to disclose payments” made to him, other family members and his church, Higher Vision Ministries, by a jobs development group, Palms Community Action Coalition (PCAC) during a three-year period. Sanders voted to give PCAC three grants and backed seven funding agreements under the Community Benefit Program (CBP), resulting in the PCAC receiving a total of $893,320 from 2013 through 2015, according to the report.

Carlton’s directive was aimed at the CBP and the Hallandale Opportunity Project (HOP), the city’s administrative arm created to monitor job development, including placement and training, and the purchase and use of local subcontractors and residents, by firms that won contracts. Those gaining contracts under the program pledged a percentage of the contract to hire residents and subcontractors and/or earmark funds to train and create jobs for residents.

“It’s not a pretty outcome,” Carlton said in a brief interview with the Florida Bulldog, adding “millions of dollars” are at stake. The city manager also said the city will “recover as much as possible” of any misused funds.

“I have directed the Finance Department and the Capital Improvement Division to cease making any payments to consultants, contractors, design/engineering firms and/or individuals under the CBP/HOP program until a complete review … can be completed,” Carlton said in his memo.

Exception to freeze for a handful

“The only exception to this payment freeze,” he wrote, “will be to those individuals and firms who are doing actual physical work or are in a verifiable training program at a job site, and who are qualified participants due to their employment and residency status.”

Jeremy Earle, assistant city manager, has been placed in control of the troubled programs and was directed to reform them. The city’s review of the programs, Carlton’s memo said, “will include an analysis of waste, fraud and abuse.” It added, “Without equivocation, there has been waste. Fraud and abuse will be determined.”

“If necessary,” Carlton stated, “the results of our review will be brought to the appropriate authorities for their determination.”

In his memo, Carlton said the city must retool the programs – not terminate them — and make them effective by using “best practices across the country… We must also eliminate providers that are not contributing to program goals.”

The new controversy surrounding the Hallandale’s CBP is similar in some aspects to that involving the city’s troubled Community Redevelopment Agency, which came under investigation by the Broward Inspector General Office five years ago. The findings: The city’s CRA lacked effective city oversight, agency funds were mixed with city funds, a good deal of spending lacked documentation, and policies changed frequently or were not adhered to. The IG found $2.2 million in questionable CRA expenditures from 2007 to 2012, including inappropriate loans and grants to local businesses and nonprofits.

The IG’s new probe – as reported by Florida Bulldog in June 2016 – was already underway when Carlton took over as city manager on Feb. 6, 2017.  He didn’t like what he found surrounding the CBP and HOP.

“During the past six years, the CBP and the HOP programs have lost their way for a complex variety of reason,” Carlton said in the memo. Successful bidders for city contracts “have contributed to the CBP and HOP at a rate which has grown so rapidly since the recovery of the Great Recession, that there are not enough small contractors of unemployed/underemployed workers in the city of Hallandale Beach to feed into the program.”

The programs ran afoul, he stated, because:

  • Program personnel for both the city and companies awarded contracts were hired often without a competitive process or without demonstrating the ability met the goals of the programs.
  • City monitoring staffers were not given “uniform standards or criteria… to follow” and were not included in negotiations to understand CBP provisions of each contract; and sanctions for failing to comply were less severe than the cost of complying.
  • “City administrators did not demand the excellence and fair-dealing required for the effective use of public funds. That is our fault, and the city administration will resolve these issues going forward.”
  • “The city commission also needs to shoulder some of the responsibility for the difficulties in this program. The rumors, confrontations, accusations and innuendos regarding abuses in the CBP/HOP are not new. When my predecessor brought a series of reforms on October 19, 2016, these reforms were approved by the city commission in a 3/2 vote…, but were not made a priority. The turmoil that swirled around city hall at the time, in part, allowed the need to implement the reforms as a priority of the organization to go unmet.”

In its July 7 report, the Broward IG also stated that Commissioner Sanders solicited and received contributions from developments seeking to do business with the city under the CBP program during the period of the investigation.

The IG report revealed some possible payment discrepancies that could receive closer review by the city:

  • PCAC had an agreement to pay $1,000 a month to Higher Vision to transport job trainees to Sheridan Technical College in Hollywood, with payments totaling $31,000. But the report said no services were provided after May 16, 2015. It also said the city provided free bus passes to the trainees to get to the school.
  • The city provided $17,000 from October 2014 to September 2015 for PCAC to send 10 women to Sheridan Technical to receive training as nurse aides. But six of them dropped out.

Report: Hallandale commissioner Anthony Sanders “engaged in pattern of misconduct”

By William Gjebre, FloridaBulldog.org 

Hallandale Beach Commissioner Anthony Sanders and Jessica Sanders

A preliminary report by the Broward Inspector General’s Office says Hallandale Beach City Commissioner Anthony Sanders “engaged in a pattern of misconduct” when he “failed to disclose payments” made to him and other family members by a community group which Sanders voted to give thousands of dollars in city grants and other funding.

The July 7 report obtained by Florida Bulldog also said that Palms Community Action Coalition Inc. (PCAC) made contractual payments to Higher Vision Ministries, where Sanders is the pastor and the only paid full-time employee. The report adds that Sanders solicited and received contributions for the church from developers seeking to do business with the city.

PCAC is a Hallandale Beach-based nonprofit organization that provides job training and community development services to local residents.

The various payments occurred during a three-year period in which Sanders voted in favor of PCAC, according to the report.  “Commissioner Sanders continued taking a salary from his employer, continued accepting significant payments from PCAC on behalf of his employer, failed to abstain from voting, failed to disclose the voting conflicts to the voting body either verbally or in writing, directly and indirectly solicited developers to give contributions to his employer, and accepted those contributions on behalf of his employer,” the IG report stated.

The report said the Inspector General plans to refer the office’s findings about Sanders to the Florida Commission on Ethics and the Hallandale Beach city commission “for whatever action those entities deem appropriate.”

“We are filing against Commissioner Sanders an ethics complaint charging a violation of the Broward code of ethics to be tried by an administrative hearing officer,” the report said.

If sustained, the allegations would violate provisions of state, county and municipal codes that prohibit elected officials from receiving anything of value to influence their vote, take any action that provides undue benefit to family members and require refraining from voting to avoid conflict and disclosures in such cases.

The report apparently stems from an investigation opened by the IG’s office, as reported by the Florida Bulldog in June 2016, involving the city’s Community Benefit Program (CBP). The program requires contributions from private developers vying for city projects over $1 million to help fund recruitment, training and hiring of city residents and purchasing from local vendors.

PCAC partnerships

According to the IG documents, it was Sanders who “initially promoted the idea that local workers should be included in city development.” The city requirements made it difficult for developers to win a city contract without a program partner, which had to be named in bidding documents. The IG said PCAC was frequently designated as “partner” in bid documents.

The Bulldog story said investigators were looking for voting conflicts in their review of city commission and Community Redevelopment Agency (CRA) minutes. The inquiry came three years after the IG found the city “grossly mismanaged” millions of dollars in CRA funds. Sanders was investigated and cleared of any wrongdoing in the IG probe four years ago, but did not escape criticism in the latest probe.

Sanders did not return calls seeking comment on the Inspector General’s latest assertions.

The new investigation of Hallandale Beach covered a period from January 2013 through December 2015. During that time city commissioners, including Sanders, approved direct grants to PCAC three times and development contracts that included the group as a “benefit plan partner” seven times, according to the report.

The city requires companies seeking contracts above $1 million to set aside funds for things like job training programs.

The 10 grants and development contracts ultimately “benefited PCAC a total of approximately $893,320,” the report said. Funds collected from successful bidders were later transferred to PCAC, amounting to $695,870; the balance came from city grants.

The report outlined the connection between the commissioner and the community group. “The OIG [Office of Inspector General] substantiated that PCAC made contractual payments to Higher Vision Ministries…, that PCAC employed his [Sanders’] son; and that PCAC also made other consulting and employment payments to the commissioner’s wife and another son.”

Payments to Sanders’s wife

According to the report, PCAC paid Sanders’ wife, Jessica, for consulting and grant writing and paid two of Sanders’ adult sons for part-time employment. Jessica Sanders had been involved with PCAC in 2011. “We found that PCAC directly paid the commissioner’s immediate family a total of approximately $7,588 between January 2013 and December 2015,” the report stated.

In addition, the report said that PCAC made monthly $1,000 payments to Higher Vision Ministries to transport job trainees to classes. But, it added, neither the church nor PCAC documented any rides. The IG said it determined PCAC paid Higher Vision approximately $27,000 for 613 miles of transportation service – or about $44 for “each accountable mile” under the agreement.

“In all,” the report said, “PCAC paid Commissioner Sanders’s employer and immediate family a total of approximately $38,688 during this three-year period.”

“Following one of Commissioner Sanders’s votes in November 2013 for a Hallandale Beach multi-million public workers project that included PCAC as a community benefit plan partner, PCAC paid an extra (that is, over and above $1,000 per month) $2,000 to Higher Vision Ministries with a memo notation of Donation/Pastor’s Appreciation,” the report stated.

In another instance, the report said, “…following city commission approval for direct city funding to PCAC between October and November of the following year [2014], it [PCAC] made extra payments totaling another $2,100 to Higher Vision Ministries.”

“As described in this report,” the IG report stated, “the commissioner was well aware of the nature of these conflicting relationships and their bearing on the propriety of his voting. Yet, Commissioner Sanders admitted that he did not disclose these relationships or payments to the public at any time during the period he voted to benefit PCAC.”

The IG report said investigators “also established that, while they were at city hall for a commission meeting involving one of the development votes, Commissioner Sanders solicited one of the project awardees to make a direct contribution to the Higher Vision Ministries church, who then asked a second developer to do the same. Their companies’ two donations to the church totaled $1,100.”

 

Miami-Dade Schools gives fat, multi-year lobbying contract to Trump-connected lobbyist

By William Gjebre, FloridaBulldog.org 

Lobbyist Brian Ballard

Seeking an edge in Republican-dominated Washington politics, Miami-Dade public school officials awarded a federal lobbying contract to an influential Florida firm whose chief officer played a significant role in the election of President Donald Trump last fall.

On the recommendation of Superintendent of Schools Alberto Carvalho, the Miami-Dade School Board on Wednesday awarded a contract that could pay Ballard Partners up to $540,000 over five years beginning July 1. The initial three-year contract pays up to $324,000 and can be extended for two years and pay up to an additional $216,000.

The firm, which earlier this year opened an office in Washington D.C., will “provide federal legislative consulting services to assist in advocating the Board’s interest before the South Florida Congressional Delegation, federal legislative committees, and the Executive Branch, including the Secretaries of Education, Commerce, Health and Human Services and Justice,” according to the school board’s agenda item on the matter.

Brian D. Ballard, president of the firm, was a key factor in the awarding of the contract, especially with his link to Trump. He has represented Trump on business matters in the state – on and off – for at least 10 years.

Ballard declined to discuss business matters in which he represented Trump. “I don’t talk about my clients’ ” business, he said.

“I think his relationship with the administration is value added,” said Iraida Mendez-Cartaya, MDCPS associate superintendent, Intergovernmental Affairs, Grants Administration and Community Engagement. Her office requested the issuance of proposals for firms interested in representing the school district in Washington.

“You know it’s about relations and who can open doors … and this specific firm outlined expertise,” Mendez-Cartaya said.

Asked about the role his relationship with Trump played in the selection, Ballard said in an earlier interview that he’d leave speculation for others to address. But he added, “I think it can prove to be value added. I think I can work with this administration.”

The Trump connection

Ballard Partners’ website spells out the connection, especially its most recent involvement leading to Trump’s election. “Brian’s political portfolio includes significant roles in presidential campaigns including the historic election of President Donald J. Trump. He was an integral player in the President’s successful Florida campaign serving as Chairman of the Trump Victory and leading the campaign’s finance efforts in Florida.

Brian Ballard is listed as Trump’s Florida Finance Chairman in this campaign fundraiser announcement

“Brian also had the honor of serving as a member of the Electoral College casting his vote for President Trump. The President-elect appointed Brian to serve as Vice Chairman of the Inaugural Committee and as a member of the Presidential Transition Finance Committee.”

Ballard’s other presidential campaigns involved John McCain in 2008 and Mitt Romney in 2012 when he chaired the Florida Finance Committee for those two Republican Party nominees.

The selection of Ballard by the Miami-Dade school district marks its reentry into the national political scene with a lobbying firm to represent it. The district has been without a federal lobbying firm for nearly 10 years, having cut the expenditure due past fiscal hardships; district staffers took on the work during that time.

Ballard Partners beat out four other firms for the contract. Ballard Partners has offices around the state, including Tallahassee, Coral Gables, Tampa, Jacksonville, Orlando and West Palm Beach.

Speaking of representing the Miami-Dade and its new Washington offices, Ballard said, “It’s exciting for us.” Representing Miami-Dade schools, he said, “can be an important public service.”

“We have a track record of success and expect to be successful,” Ballard said. Aside from ties to Trump, Ballard said many of the Washington legislators served in Tallahassee, adding, “We have a relationship [with them].”

While the company will be a new player, Ballard’s Washington staffers are veterans of Florida and Washington politics. They include Sylvester Lukis, with more than 40 years of experience in representing clients in Florida and Washington; Otto Reich, former ambassador to Venezuela; Susie Wiles, who was a key player in Trump Florida campaign; Dan McFaul, who has been involved in Washington politics for 20 years, including serving as a staffer on Trump’s transition team; and Robert Wexler, who served as a Democratic member of Congress from 1997-2010 and in the Florida Senate for six years.

Miami-Dade Schools, union push costly private loan program for lowest paid workers

By William Gjebre, FloridaBulldog.org 

Terry Haynes, senior vice president of Local 1184 of the American Federation of State, County and Municipal Employees

A union representing the lowest-paid Miami-Dade Public Schools employees has endorsed a proposed private loan program for its members that would charge 24 percent interest with the school district collecting loan repayments by deducting them from employee paychecks.

The proposal, which did not go before the Miami-Dade School Board for public discussion and approval or review, has drawn criticism from an outspoken union official who will seek to become president of the American Federation of State, County and Municipal Employees, Local 1184, in a May election.

“The interest rate is high” for the union employees and “puts them in harm’s way,” said controversial Local 1184 Senior Vice President Terry Haynes. Haynes was suspended by the loca’s executive board last month but reinstated March 28 by AFSCME’s national headquarters in Washington, D.C. following an investigation.

Critical of the union and the school district for backing a contract change that allows for a private company to set up the loan program, Haynes said, “If they want to do something, why not something more manageable” than 24 percent interest? “If we have people going out for those loans,” he said, “it means they are not being paid enough.”

The loan program proposal arises from a modification to the labor contract that was agreed to by the school district and the union Jan. 31. The change allows for the union to have another payroll deduction slot for “other economic services” to be used by “entities or businesses” as designated, with the school district being held harmless under the plan.

Vicki Hall, Local 1184 president who signed the agreement on behalf of the union, Hall did not respond to requests for comment, including a question about what benefits the union might receive for backing the BMG loan program. Union draft documents about the program, however, state that BMG would provide financial literacy training to union workers; support union membership drives and make an unspecified contribution to the union.

But Tom McCormick, chief growth officer for BMG Money Inc., said in an email, “We do not plan on offering any incentives to AFSCME based on any milestones.”

Two school district officials — Vivian Santiesteban-Pardo, assistant superintendent in charge of Labor Relations and Compensation, and Jose Dotres, Chief Human Resources Officer, who signed the “Memorandum of Understanding” on behalf of the district – also failed to return calls for comment.

A new payroll slot

But in a district email response, Santiesteban-Pardo said that in September the union had requested the payroll department to “add a payroll slot for Loans at Work, a program offered through BMG Money… The Union has not presented the District with the agreement in order to begin the program. The terms and conditions of the program are subject to the agreement between BMG and AFSCME. At this time, no other union in M-DCPS has requested a payroll slot for BMG Money.”

A draft letter from AFSCME Local 1184 backing the BMG loan program states: “Sometimes when savings aren’t available and neither banks nor credit unions can help, these expenses can create true financial hardships in our lives…

“Though the interest rate is somewhat higher than what our more fortunate members might pay, 23.99%, it is definitely reasonable in comparison to payday loans that charge anywhere from 200%-400% APR… The availability of the [BMG] LoansAtWork program is in the best interest of our members – another tool in times of need.”

Haynes, however, said there is something wrong when only the lowest-paid employees are being offered the loan program at what he considers a high rate. The union should not be a party to this, he said, adding he told Hall it was not good for union employees.

The school district will, in effect, become a “collection agency” because loan repayments will be made through the district’s payroll deduction system, said Haynes.

BMG’s McCormick declined to comment on any talks with the district and Local 1184, but did discuss his company’s program.

“BMG Money’s LoansAtWork program is a fixed-rate, fixed-payment employee emergency loan program,” McCormick stated. “When facing an expected expense, too many good people with good jobs are left with few options except predatory payday lenders… Payday lenders in Florida offer short-term loans with absurdly high interest rates of 265% and repayment terms that make the loans exceedingly burdensome on borrowers.”

But a Tallahassee-based consumer group that strongly opposes predatory payday lending says BMG’s 23.99 percent interest, while considerably lower, is no bargain, either.

“I would say it is a pretty high interest rate,” said Alice Vickers, director of the Florida Alliance for Consumer Protection. “I certainly would call it not very risky [for BMG] with an interest rate that high and guaranteed repayment through paycheck deduction…I advocate they lower the rate.”

BMG Money

BMG Money Inc., incorporated in September 2009 in Delaware, began operations in Florida in 2010 and has an office on Brickell Avenue. The company’s majority shareholder is an affiliate of Banco BMG S.A. of Sao Paulo, Brazil, according to bid documents it presented to Broward County government, where the company is under consideration for establishment of a loan program for county employees.

Banco BMG S.A., according to Bloomberg Private Business Information, “provides commercial and credit, financing, and investment products and services primarily in Brazil.” It also provides “salary account deductible loans … personal direct debit loan accounts for civil servants, retirees … and pensioners,” according to Bloomberg.

In its short time in Florida, BMG has been busy. In its documents to Broward County government, BMG stated it has 42 governmental or public entity clients, all in Florida, and has issued “over $107 million of loans to employees who otherwise would have fallen victim to predatory payday loans.”

Among the 42 clients are Broward County Public Schools and the cities of Fort Lauderdale and Miami Beach. The loan programs with these other government agencies were offered to all employees working for those agencies after being reviewed and or authorized by the governing bodies.

BMG’s bid documents to Broward County give a glimpse of how the loan program operates: Loans do not compound, do not require credit reports, do not require fees, will be “unsecured” (not require the backing of homes, cars or savings as collateral), will be in amounts from $500 to $5,000, will be repaid through payroll deductions over six to 24 months, and can be paid back early without penalty. BMG also provides financial literacy training for borrowers.

The controversy involving the loan program is another sharp difference between Haynes and Hall. Led by Hall, Local 1184’s executive board on March 7 suspended Haynes from his duties as Senior Vice President, but on March 28 he was reinstated by AFSCME’s headquarters after an investigation.

Haynes said he was told by Hall that he was suspended for talking to a reporter for the FloridaBulldog. In an article appearing one day before his March 7 suspension, Haynes questioned why Hall received a huge annual pay hike from the school district two months before the School Board began approval of two contracts totaling $1.8 million, over a five-year period, to outsource lawn service normally done by union employees. Haynes linked the pay boost to the two contracts that the union failed to challenge at the time of School Board approvals.

Union ousts top officer for talking to reporter about union president’s big pay hike

By William Gjebre, FloridaBulldog.org 

A top union official has been suspended by his union for speaking out to a Florida Bulldog reporter and raising questions about the Miami-Dade school administration giving a huge pay hike to the union’s president two months before the School Board began approval of two contracts that outsourced lawn maintenance usually done by union workers.

That was one of the new developments spawned by the controversy. Others include new information that Union President Vicki Hall’s combined district and union salary is nearing $100,000; the school district administration is seeking to distance itself from the matter; some union members are considering addressing their concerns to the School Board at a public hearing on Wednesday, March 15.

On March 7, Hall, president of the American Federation of State, County and Municipal Employees, Local 1184, persuaded the local’s executive board to back her move to suspend and remove Terry Haynes as the local’s senior vice president.

Members of the executive board, aside from Hall, who voted for the removal were Vannie Brown, Joan Jones, Charles Hepburn, Helen Huls, Michael Norman, Tanya Page, Sabrina Small, Theresa Storr and Bryon Houghtaling, according to Haynes.

The suspension came one day after Haynes, in story by the Florida Bulldog, questioned a district-approved $16,000 pay increase that raised Hall’s salary to $42,000 from $26,000; Haynes linked the hike to the two contracts that went unopposed by the union. The Miami-Dade County Public School Board approved the contracts on Nov. 18, 2015, and Feb. 3, 2016, totaling up to $1.8 million over five years for private firms to perform lawn service at district property.

Hall did not return calls for comment. Just before the meeting where Haynes was suspended, Hall called the Florida Bulldog to ask for an email address, saying she planned to respond to the article. She did not respond, nor did she respond to additional calls for comment on the last Tuesday’s suspension.

“She suspended me for talking to you about union matters without going through” her, Haynes said. Haynes maintained, however, that Hall had given him permission to speak to the media for a prior story about the controversy—and he continued to do so, questioning the pay increase and its relationship to the two contracts.

A testy meeting

The meeting at the union’s Miami Springs office got a little testy. Haynes said when he tried to remove his personal items, Hall insisted that he leave right away and then placed a call to Miami Springs police to make sure he left. Haynes said he left before any police officers arrived.

The suspension, Haynes said, requires him to refrain from involvement in his duties as a union official.

On the evening of the suspension, Haynes said he did not receive any written statements outlining the reasons for his removal. But on the following Friday he received certified mail at his Miami Gardens home. “As you were notified, you are no longer a Local 1184 Sr. Vice President and you can no longer handle any cases that involve AFSCME Local 1184.” Hall asked that Haynes return to the union all case documents he has in his possession by the end of Wednesday March 15. If not returned by then, the “property will be considered stolen” and the union will consider legal action to recover the material, Hall’s letter stated.

Hall also sent a letter notifying the school district that Haynes, who had been released from his district job duties as a custodian to perform full-time work on union business, should be returned to his district job responsibilities.

The suspension, however, might violate the union’s constitution, which requires the presentation of formal charges that specify recognized reasons for removal. Haynes said no such charges were presented. He also said the union’s constitution has a “bill of rights” that protects freedom of speech.

“I didn’t violate any rules,” Haynes said.  “I don’t think she has the authority [to suspend me].” Furthermore, he said he was planning to file an appeal to the national AFSCME union in Washington, D.C. and to reach union members to explain his actions.

Haynes said he will challenge Hall in May when the union presidency is up for grabs.

Meanwhile, it was learned that Hall’s salary from the union for 2016 was about $50,000. Her annual school district salary currently is $43,000 annually, which the union reimburses to the district, along with benefit costs. Union dues pay for her union salary.

Top district officials, including Superintendent Alberto Carvalho, Human Resources Chief Officer Jose Dotres and Assistant Superintendent Vivian Santiesteban-Pardo, in charge of Labor Relations, did not  return calls from the Florida Bulldog requesting comment regarding the outsourcing stories.

Santiesteban-Pardo told The Miami Herald that Hall was promoted from a 10-month to a 12-month bus driver when elected “in order to provide parity with the 12-month position of the previous union president.”

‘Unheard’ of pay hike

“That’s nonsense,” Haynes said, adding that he never heard of that occurring before. The union-school district contract provides that Hall’s salary should have been hiked by only $1,700 upon going from a 10-month to a 12-month bus driver, he said.

After being assigned to head Labor Relations in July, 2016, Santiesteban-Pardo told The Herald she began working to resolve grievances related to the outsourcing, with a settlement being reached in January “to ensure contractual procedures for outsourcing would be followed by all district entities.”

The settlement, Haynes said, provides what is already in the contract – provisions that were observed for many years – that the district notify the union when considering outsourcing, outline the scope of the work and give the union time to respond.

The school district followed these contract provisions for many years, until it ignored them in the awarding of the two contracts, Haynes said. “That’s not a settlement at all,” Haynes added. Haynes’ suspension may prevent him from pursuing two grievances he filed in connection with the outsourcing contracts that he maintained were not covered by the recent settlement signed by Hall.

“The District’s action and resolutions are unrelated and this issue may reside more appropriately under the union’s domain,” Santiesteban-Pardo told The Herald.

After school district officials helped create the problem by outsourcing contracts without notice to the union as required, Haynes said, they are now trying to push back from the controversy. “They are trying to get the heat off the district,” Haynes said. “They can’t distance themselves from this. This came from top management, backed by Carvalho.”

There has been talk, Haynes said, that some union members may attend the school board meeting this Wednesday to speak on the controversy and related issues.

Miami-Dade schools gave union boss fat pay hike before outsourcing work

By William Gjebre, FloridaBulldog.org 

Miami-Dade Superintendent of Schools Alberto Carvalho and AFSCME, Local 1184 President Vicki Hall at a meeting in November 2016.

The Miami-Dade public schools administration gave a 60 percent pay hike to the president of the union that represents the district’s lowest-paid employees months before the school board approved one of two contracts that outsourced lawn maintenance work traditionally performed by union workers.

A top official of the American Federation of State, County and Municipal Employees Local 1184 is questioning why president Vicki Hall got such a large pay increase and linked it to the two contracts that went unchallenged by the union before they were approved. The raise brought Hall’s annual school district salary from $26,141 to $42,000, records show.

“Why would they change her pay status … and give her a $16,000 increase? I tie it to the two contracts,” said union senior vice president Terry Haynes, adding that Hall’s pay raise exceeded promotion provisions of the labor contract by more than $14,000.  “She cut deals” related to the district’s outsourcing contracts, he said.

AFSCME officials have complained that the outsourcing, which could pay private firms up to $1.8 million over five years, violates the union’s labor agreement with the district and will result in loss of work for employees represented by the union. The controversy has exposed sharp differences between Hall, who was elected president of the local in May 2015, and Haynes, the local’s second in command.

Hall was asked to comment on her salary hike and how it came about. “You want me to incriminate myself,” she said before hanging up.

Re-contacted again a few days later, Hall declined to comment.

In an earlier interview several months ago,  Hall maintained that “no deals” were made and that she was “still a bus driver.” She also said that her annual salary increase was only from $36,000 to $42,000 – numbers different than those provided by the school district.

The union also provides Hall a separate salary stipend for her service as president, and reimburses the school administration for her school district salary so she can carry out union duties full time. The union represents about 7,900 employees, including custodians, bus drivers, cafeteria workers, maintenance employees and some staffers at WLRN, the public radio and TV station whose license is owned by the Miami-Dade School Board.

A comparison

By way of comparison, Haynes said the district never gave longtime union president Sherman Henry a large pay increase or a better pay grade. Instead, Haynes said, Henry got the same increases negotiated for all union employees. Henry retired from the school district two years ago after serving as union president for 24 years.

Superintendent of Schools Alberto Carvalho, who union officials say backed the two outsourcing contracts, did not respond to a call for comment. School Board Attorney Walter Harvey did not return calls for comment, or to an email asking him whether the outsourcing contracts violated the union’s labor agreement with the district, as union representatives contend. Chief Human Resources Officer Jose Dotres also would not comment.

School district Chief Communications Officer Daisy Gonzalez-Diego, however, maintained that the outsourcing contracts don’t violate the board’s contract with AFSCME, and that an agreement has been reached with the union to clarify outsourcing procedures. She added that the settlement resolves all grievances filed about the two contracts that outsourced lawn service.

The settlement, signed by Hall and district officials, calls for the district to do what the district’s labor agreement called for it to do: give notice to the union when it plans to outsource work, outline the scope of work and allow the union time to decide if it wants to challenge.

Union officials complained that had not been done. “I think downtown is in control’’ of the union, said Haynes, who disagreed with both the settlement and any claim that it resolves two grievances he filed about district outsourcing work.

School district officials refused to provide Hall’s annual salary on Jan. 1, 2015 and on July 1, 2015 when she and union members received a union-district negotiated pay increase. Andrea Williams, executive director in the Office of Labor Relations, said the district only provides hourly rates for 10-month school bus drivers; Hall’s official job with the district on those dates was that of a 10-month bus driver.

An analysis of school district information, however, shows that as of July 1, 2015, Hall’s salary was $26,141 a year. Three months later, Hall’s annual salary jumped 60 percent to $42,000 after the administration changed her status to a 12-month school bus driver. The change put Hall on a more lucrative salary schedule.

According to Haynes, Hall’s salary should have increased only by about $1,600 a year under promotion provisions in the district’s labor contract with AFSCME.

Outsourcing followed union president’s big raise

In November 2015, two months after Hall’s salary hike to $42,000, the first of the two lawn maintenance outsourcing contracts was approved by the School Board. The five-year contract authorized 11 companies to provide lawn services totaling up to $1 million. The type of work includes tree, palm and shrub trimming, pruning and stump removal, according to board records.

The contract was approved two days after the union withdrew a related previous grievance and a request for arbitration. The union filed the grievance in June 2014 after discovering that a private firm was doing lawn service work at Krop Senior High School in North Dade.

According to documents provided by the school district, the district paid about $273,000 to the companies it contracted with to outsource lawn services. the district contacted with as of Nov. 29, 2016. The union did not file a grievance at the time the contract was approved.

The other contract, for up to five years, was approved by the School Board on Feb. 3, 2016. Thomas Maintenance Service will be paid up to $800,000 to mow vacant lots and clear fence lines.

According to documents provided by the school district, nearly $82,000 was paid to Thomas Maintenance as of last November. The union did not file a grievance at the time that contract was approved, either.

Haynes accuses Hall of failing to take a strong stance against the district’s efforts on outsourcing. “It’s her responsibility to watch board items” and guard any actions detrimental to employees represented by the union, he said.

Haynes criticized the union’s withdrawal of the Krop High grievance. “She ordered the grievance pulled in a deal cut with Labor Relations,” he said.

“I told her not to pull it because it can result in a pattern,” Haynes said.”The grievance should never have been pulled because they may try to do it again.” And they did, he added.

In the interview months ago, Hall had a different version. She said that in November 2015 she ordered the Krop grievance withdrawn because she was given assurances from an official in Labor Relations that the union would be notified in the future of any outsourcing proposals.

It was “based on a good faith” promise, Hall said.

Hallandale Beach halts advertising in local newspaper where mayor is a columnist

By William Gjebre, FloridaBulldog.org 

A column by Hallandale Beach Mayor Joy Cooper in the Sun Times

Hallandale Beach city commissioners have pulled the plug on city advertising in the local Sun Times newspaper featuring articles by Mayor Joy Cooper that drew fire from commission colleagues as “propaganda” for the mayor.

Cooper used the platform regularly before and after the weekly newspaper received a favorable — and controversial — $50,000 loan from the city’s Community Redevelopment Agency (CRA). The Sun Times, according to city documents, has been paid nearly $400,000 in city advertising to publicize events since 2003, most of the money coming after the loan was made during the 2008-2009 budget year.

The Florida Bulldog published a story about the loan, which later became a matter of interest to the Broward Inspector General’s Office in its 2012 probe. While the IG stated the Hallandale Beach CRA had “grossly mismanaged” millions of dollars, tallied $2.2 million in questionable expenditures and made inappropriate loans and grants to local businesses and non-profits, there was no finding of wrongdoing in the city’s Sun Times loan.

“The whole thing is a propaganda paper for the mayor,” said Commissioner Michele Lazarow, who moved at the Dec. 7 meeting to halt funding immediately.

While not voted on, the measure gained consensus support from the new majority of the five-member commission, and city staff said it would not place any more advertisements in the newspaper. Cooper had left the meeting before the item came forward.

In the past, the newspaper had the support of Cooper and commissioners who backed her. Lazarow, Vice Mayor Keith London, a long-time Sun Times critic, and newly elected Commissioner Anabelle Taub successful pushed the item to halt further advertising.

“The Sun Times is the mayor’s pulpit or podium for her to spin the truth,” Lazarow said at the meeting. “It has become a political rag during the political season.” Making matters worse, she added, the newspaper was unfair by not accepting or allowing “rebuttal.”

“I’m appalled that city funds go to the Sun Times,” Taub said at the meeting. “We should not fund the mayor’s political propaganda and personal vendettas and attacks.”

Taub said she was incensed during her recent election campaign when the Sun Times printed personal information about her that “could be used to commit fraud on me.”

“They have a one-sided view of city hall,” said London, adding that a reporter from the newspaper rarely attends a city commission meeting.

Mayor: ‘I will continue writing’

“They are entitled to their opinion,” Cooper told a reporter in response to the criticism from her commission colleagues. “I report on city business. I will continue writing. Everything I write is edited by an editor and it’s their choice to use it.”

Cooper began writing for the Sun Times in 2003, the year she became mayor. Her opinion piece last week was about Dr. Martin Luther King and political protest.

 

Sun Times officials said they were unfazed by the funding cutoff. “The commission has every right to do so,” said Craig Farquhar, president of the South Florida Digest, which publishes the Sun Times. As for the accusation that the newspaper has been a forum for the mayor’s propaganda, he said, “That’s their political opinion.”

The money paid by the city to the Sun Times, Farquhar added, “was to promote city events.”

City records showed that between 2003 and 2008, the city paid the Sun Times about $32,000 for advertising – an average of about $6,400 a year. But the relationship changed the following year.

That’s when the Sun Times became the first city business to receive a loan under a new program, funded through the CRA, to retain and to assist firms having financial difficulties. It received a 10-year $50,000 loan, with half of it forgiven, to be paid at two percent interest; the loan balance of approximately $7,500 is expected to be paid off in July 2019.

What raised questions about the newspaper’s financial problems was that Farquhar and another official of the newspaper, Cecile Hines, were each paid an average of over $200,000 in 2007 and in 2008, the years before the Sun Times received the city loan.

City advertising in the Sun Times, after the loan approval, also began to escalate. From 2008-2009 until the end of 2016, the city paid the newspaper $362,929, averaging more than $45,000 yearly during the past eight years, according to city documents.

 

New majority on Hallandale commission wants to know: Where did CRA millions go?

Update: Jan. 23 – Hallandale Beach city commissioners Monday night gave initial approval to hiring an accounting firm to conduct a forensic audit of the city’s long troubled Community Redevelopment Agency.

Sitting as directors of the CRA, the commission designated the firm of Stanley I. Foodman, CPA & Advisor, to work with newly appointed City Manager Roger Carlton to determine the audit’s scope and cost. Carlton will present their proposal to commissioners for approval at a meeting next month.

Vice Mayor Keith London, who presented the item that won unanimous approval, said the audit will determine the CPA fund balances dating back to 2012, when a CRA fund was first established. The audit will also review prior land purchases by the CRA that forced $7.4 million in cuts from the CRA budget.

By William Gjebre, FloridaBulldog.org  

The Hallandale Beach City Commission. From left to right: Anthony Sanders, Anabelle Taub, Mayor Joy Cooper, Vice Mayor Keith London, Michele Lazarow

The new majority on the Hallandale Beach City Commission will seek the first-ever forensic audit of all expenditures by its troubled Community Redevelopment Agency for the past five years, including finding out why $7.4 million had to be cut to balance the agency’s budget this fiscal year.

Current Vice Mayor Keith London and Commissioner Michele Lazarow had been frustrated in seeking such an audit by the previous commission majority headed by Mayor Joy Cooper.

The November city commission election resulted in London and Lazarow gaining the backing of new City Commissioner Anabelle Taub. Cooper was reelected, but failed to gain another commissioner to back her and her ally, Commissioner Anthony Sanders. They’re expected to vote on the audit, aimed at determining whether any wrongdoing occured, later this month.

“Let’s see where the money went,” London said. “We are going to get to the bottom of this.”

The new commission trio already has flexed its power in a remake of city hall.

It was responsible for the ousters of City Manager Daniel Rosemond and City Attorney Lynn Whitfield, and replacing them with long-time South Florida government administrator, Roger Carlton, and a new city attorney, Jennifer Merino. Merino was general counsel for the Broward Inspector General’s Office, which investigated and severely criticized the spending practices of the city’s CRA four years ago.

“It’s time to clean house of the city manager and the city commission … the collusion,” Lazarow said.

Now the new commission majority will be seeking answers about the spending of the much-troubled CRA.

‘We need to find out’

“We need a full forensic audit [of the CRA],” London said. “We need to find out about the $7.4 million, and we need to know what we have left.”

London was referring to last August when city commissioners, who are also directors of the CRA, were forced to cut $7.4 million from the proposed $25.9-million CRA budget for this year after being told by the city administration that the agency had counted land purchases by the agency as cash.

At that meeting, then City Manager Rosemond said an “adjustment” had to be made — the city commission had no choice but to approve the budget cut.

Prior to that, London said the city manager had given commissioners assurances that cash was available to the CRA, only to learn that the value of the city-purchased land by the CRA cannot be counted as cash.

Both London and Lazarow lobbied for a forensic audit of expenditures at that time, but lacked a third vote. The commission instead voted to seek a forensic audit that delved only into CRA land purchases.

Making matters worse, London said, Rosemond later came back and told commissioners that he was unable to engage any firm willing to conduct the forensic audit of land purchases — and, therefore, no firm was hired.

That all changed, however, with the November city commission election. Lazarow was reelected, along with newcomer Taub. London was not up for reelection.

Now in the majority, London said he wants audit to cover CRA spending back to 2012, the first year city commissioners established a separate funding account for the agency.

“We need to know what we have,” he said.

“We have to inquire about the $7.4 million,” said Lazarow, adding she plans to back London’s request for a forensic audit when he brings it up for a commission vote. Taub, who was not available for comment, is also expected to back the request.

City co-mingled CRA funds

Prior to 2012, the city had co-mingled CRA funds with city funds. That practice started in 1996, when the CRA was established under state law. The agency has been funded through property tax increases in the CRA boundaries.

It was only when the Broward Inspector General’s Office began its probe and issued a scathing report that some changes were made, including separating CRA-collected funds from other city tax revenues. Florida Bulldog had reported about questionable loans to local businesses and land purchases through the CRA nearly a year before IG investigators descended on city hall in April, 2012 seeking records and questioning officials as the probe became public.

After a 14-month investigation, the Inspector General’s Office in 2013 stated the Hallandale Beach CRA had “grossly mismanaged” millions of dollars in funds between 2007 and 2012. It found $2.2 million in questionable expenditures by the CRA, including inappropriate loans and grants to local businesses and non-profits, as well as the improper use of bond proceeds.

Before and after that report, London asked for a forensic audit of agency funds, but was outvoted by his commission colleagues.

Mayor Cooper denied the city had done anything wrong. The city commission majority at that time then ousted the agency’s recently appointed CRA executive director, Alvin Jackson, who won praise by the Inspector General for efforts to improve the CRA.

The city commission, over the objections of London, placed the agency once again under the direct management of the city manager. Except for Jackson’s short tenure, city managers have had full control of the CRA since 1996, during which the agency failed to keep adequate records, including changing loan and grant policies in violation of existing rules.

Both London and Lazarow said they are pleased with the new appointees, in particular Merino, 36.

“She has knowledge of our city,” said London, referring to Merino’s work with the agency that investigated the city’s CRA.

“Merino has a history [with the city],” Lazarow said. “She has been watching our meetings.”

Carlton, 69, has held several key positions with public agencies, among them: Miami Beach city manager (1992-1995), executive assistant Miami-Dade county manager (1977-1981).

Miami-Dade union leaders fear more outsourcing of members’ work at district schools

By William Gjebre, FloridaBulldog.org   

Miami-Dade Public Schools Superintendent Alberto Carvalho Photo: NBC6 South Florida

The Miami-Dade School Board has agreed to spend up to $1.8 million to outsource lawn service maintenance long done by unionized workers, and union leaders now say they fear Superintendent Alberto Carvalho is eyeing more privatization that could lead to additional work cuts for its members.

The two, five-year outsourcing contracts stand to eliminate tasks generally assigned to maintenance workers and custodians represented by the American Federation of State, County and Municipal Employees (AFSCME), Local 1184.

“It’s work the employees are supposed to be doing,” said AFSCME local president Vicki Hall. AFSCME workers are generally the lowest-paid union members working for the school district; they include custodians, maintenance employees, bus drivers and food service personnel.

“It weakens the union when they outsource and take away jobs from the employees who should be doing the work,” said Terry Haynes, the AFSCME local’s senior vice president. He estimated the two contracts cost 10 to 15 school district jobs.

Both pointed the finger at Superintendent Carvalho for the outsourcing. “He’s aware of it; all falls under him,” Haynes said, adding the superintendent “backed the first two” contracts.

“I believe this is the start of outsourcing of all of lawn service,” Haynes said.

“He’s trying to outsource lawn service. He’s trying to privatize,” said Hall.

District officials did not respond to calls for comment on the issue, so reasons for the outsourcing were unknown, including whether they claim it was for cost reasons. Carvalho also would not discuss the matter when a reporter attempted to talk with him at the Dec. 14 board meeting.

A day after the meeting, however, district spokeswoman Daisy Gonzalez-Diego released this statement: “Recently, there was misunderstanding regarding the District’s procedures for contracting out. In an effort to provide clarity, the District and the Union are working on an agreement to ensure that all parties understand the process and protocols to be followed.”

Outsourcing a management right?

Union officials Hall and Haynes complained that in recent years district officials have taken the position that outsourcing is a management right that can be invoked unilaterally and they do not have to confer with the union.

But Haynes said the district is overlooking a ruling in a case years ago in which the union prevailed in arbitration. The ruling in that matter stated the district had to notify the union if it sought to outsource work that could be performed by union employees and the parties had to negotiate the impact of the proposed work. If the parties did not come to an agreement, the union could move ahead with arbitration.

After that case, the district generally followed that ruling, until recently, Haynes said, adding the two contracts are indicative of the district’s changing policy.

The first of the two contracts was approved by the School Board on Nov. 18, 2015 for up to five years for 11 companies to provide lawn service totaling up to $1 million. The type of work includes tree, palm and shrub trimming, pruning and stump removal, according to board records.

The contract was approved two days after the union withdrew a grievance and the request for arbitration. The union had filed the grievance in June 2014 after discovering that a private firm was doing lawn service work at Krop Senior High School in North Dade.

According to documents provided by the school district, approximately $273,000 has been paid to the companies as of Nov. 29, 2016. The union did not file a grievance at the time the contract was approved, according to Haynes.

The other contract, for up to five years, was approved by the School Board on Feb. 3, 2016. Thomas Maintenance Service will be paid up to $800,000 to mow vacant lots and clear fence lines.

According to documents provided by the school district, nearly $82,000 was paid to Thomas Maintenance as of Nov. 21, 2016.

Haynes said the union filed a grievance related to the Thomas Maintenance contract in April regarding work done at the district’s North Dade maintenance facility. Two more grievances were filed in September after the union learned about other outsourced lawn work at a high school and an elementary school, both in the northwest section, Haynes added. All three grievances remain pending.

New Miami-Dade School board member: Let’s focus on fixing failing schools

Update: The Miami-Dade School Board Wednesday unanimously approved a new plan to improve failing schools in predominantly African-American neighborhoods.

The proposal, introduced by board member Steve Gallon, also gained the backing of residents and community leaders in the northwest section of the county. School Board Chair Larry Feldman said he hoped the strong showing of support by the board and the community will result in an initiative that will become “blue print” for the improvement of failing schools everywhere.

By William Gjebre, FloridaBulldog.org 

Photo:CBS4Miami

Photo:CBS4Miami

 

Newly elected Miami-Dade School Board member Steve Gallon is proposing to focus the district’s attention on improving failing schools in some of the county’s poorest locations, often in predominantly African-American neighborhoods.

Gallon, who campaigned on a promise to throw a spotlight on failing schools, has an item on Wednesday’s School Board agenda to address schools that have received repeated “F” ratings as well as those that have received a “D” under the state’s rating system.

The new school improvement proposal for failing schools is reminiscent – on a much smaller scale – of an initiative undertaken while Rudy Crew was superintendent of schools in Miami-Dade more than a decade ago.

Crew’s effort, which began in the second half of the 2004-2005 school year, entailed a large number of schools, with substantial district funding, during a period of intensive state scrutiny of failing schools. Known as the School Improvement Zone, the plan was abandoned after several more years with questionable results.

Gallon’s proposal, which makes no mention of specific funding support, calls on the Miami-Dade School Board to actively monitor the progress of the undertaking through the review of plans and programs, and other actions to bring about improvement.

While acknowledging that “the district as a whole has done well,” Gallon said in an emailed response to questions about his proposal, “there remain pockets of persistent underperformance in certain sectors of the community.”

He said his item was not “to indict the District for past performance” but “seeks to serve as a renewed call for action” for improving “F” and “D” schools.

A number of those failing schools are in District 1, which Gallon represents, and District 2, represented by board member Dorothy Bendross-Mindingall.

Gallon pointed to the following schools needing attention: Carol City Middle which has received five consecutive “F” grades; Brownsville Middle, which has received three “F” grades in a row, and North Dade Middle, which has received two consecutive “F” grades.

He listed four other schools with “F” grades: Skyway/Dr. Frederica S. Wilson Elementary; Poinciana Park Elementary, and Earlington Heights Elementary.

All seven schools are in School Board Districts 1 and 2.

“There needs to be a sense of urgency around addressing the needs of these schools in the areas that were enumerated and must include strategies that are inclusive of parents and stakeholders in the broader community,” Gallon said in his written response.

“This item is not simply about District 1 and 2,” said. “This item is about the collective responsibility and commitment of a united School Board that is charged with educational oversight of a unified school district. The approval of this item will further bolster the Board’s conversation and commitment to all schools and all children irrespective of voting districts or zip codes.”

Gallon called for a “review of the resource allocations in schools to ensure equity and the support structure to ensure effectiveness and impact.”

The School Board, he said, should “play a role” in monitoring the initiative “because what gets monitored gets done.”

Gallon’s item, which seeks board support for enactment, calls for the Superintendent to:

*Provide a status update, at the Feb. 15, 2017 School Board meeting, on the Districts’ F schools, including improvement planning, intervention and support, leadership, teacher quality and support, professional development, curriculum, resource allocation, technology and parental and community partnerships;

*Provide monthly status updates to the School Board on the progress of the F school improvement plan; and

*Initiate a framework and process to establish a District Advisory Board to provide input and support to the schools that earn two or more consecutive letter grades of F based on the annual state assessment.

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