State Sen. Vince Illuzzi, the Republican candidate for state auditor, issued a detailed plan to prevent state employee timesheet fraud on Tuesday.
The proposals come in the wake of an overtime pay scandal. Former Vermont State Police Trooper James Deeghan was recently accused of padding his timesheets and fabricating response calls. The state is reviewing timesheets submitted by Deeghan and other troopers who belong to the Williston barracks.
Last month, Tom Salmon, the current auditor, told reporters he would hire an outside firm to conduct an analysis of timesheets submitted by employees across state government.
Other allegations of timesheet fraud have not been made against other individuals in the Department of Public Safety or in other state agencies. DPS has said it will examine timesheets across the agency over a three-month period.
Illuzzi said in a statement that as auditor he would work with agencies and departments to implement “uniform standards that can be spot checked at any time to ensure compliance with applicable overtime guidelines.”
“Throughout my 32 years of service in state government, I find almost every state employee is honest, diligent and hard-working,” Illuzzi said in a statement. “But we all do a better job when there is proper oversight. The greatest deterrent to fraud is creating the perception that people will have their work reviewed, and that is the climate I will foster regarding state finances as State Auditor.”
The longtime state senator made three recommendations, including: developing a system of checks and balances; requiring written authorization for all non-emergency overtime; and ensuring state equipment is only used on the job.
Illuzzi says supervisors must approve timesheets before payroll is prepared and must have direct oversight of the employees. Non-emergency overtime, he says, should be pre-approved and reviewed to determine “the appropriateness of overtime hours incurred.” Supervisors should also “regularly evaluate” funding for overtime.
In addition, state supervisors should ensure that vehicles, cell phones, equipment, and other agency resources are used only for official business.
“The tone begins at the top,” Illuzzi wrote. “Each agency secretary or commissioner must provide regular review and oversight of controls over timesheets and payroll documents, with the Secretary of Administration ultimately assuring that each agency and department has established and follows adequate policies.”
His rival in the race, Democrat Doug Hoffer, an independent policy analyst, countered with a statement Tuesday evening alleging that the “core elements” of Illuzzi’s recommendations are already enshrined in the state’s Human Resources Policy Manual.
“The auditor has an important role to play ensuring compliance with policies and procedures,” Hoffer said. “But any recommendations should come after conducting the necessary research, not before. In this case, Mr. Illuzzi admitted that he had ‘not yet had the opportunity to assess agency by agency and department current controls that may be in place.’ He should have done his homework. The overtime issue is important and deserves a thorough review. That’s what Vermonters can expect from me.”
Hoffer cites the following pages from the manual:
Employees must complete a time sheet for each pay period and submit it to their supervisor in order to process final pay. (p.153)
The appointing authority shall ensure that all overtime earned and used is recorded on the employee’s time sheet as it occurs. (p.175)
Employees may not authorize their own overtime without permission from management. (p.174)
Employees shall be given two (2) weeks’ notice of scheduled overtime. However, in emergency situations, the employer shall give the maximum notice practical under the circumstances. (p.174)
Telework: Requests for overtime must be authorized in advance in accordance with the provisions of state policy, any local procedures and applicable collective bargaining agreement. (p.192)
