Tuesday, December 23, 2008

Report: Retiree rigged jobs, raises at DMV

From The Raleigh News & Observer:

Dan Kane - Staff Writer

Internal investigative files released Friday say that Greene County patronage boss Eddie Carroll Thomas had "long-standing and widespread" influence over personnel decisions in one of the state Division of Motor Vehicles' largest sections -- Driver and Vehicle Services.

Need a job? Send an application to Thomas. Want a troublesome colleague transferred? Talk to Thomas. Need someone to get you a new DMV job assignment? Thomas is "the man," employees told investigators.

All this is considerable influence for a 73-year-old man who is no longer a state employee. Thomas was once a Transportation Department maintenance supervisor, but he abruptly retired five years ago after state records showed dozens of calls from his work phone being made to top officials across state government. State and federal investigations looked into two state contracts connected to Thomas' business partners and Thomas' role as a conduit for jobs and appointments at other state agencies.

"I personally was shocked and offended by what was contained in the investigative report," DMV Commissioner Bill Gore said. "And I was offended not only as an administrator but as a citizen."

Gore turned over the investigation to Wake County District Attorney Colon Willoughby on Nov. 4. A month later, Willoughby wrote that he would not pursue it.

Part of Thomas' influence stems from his role as a political fundraiser. He raised money for both former Gov. Jim Hunt and current Gov. Mike Easley. An internal Easley campaign document from 2000 showed Thomas had been tapped to raise $40,000 from Greene County, among the state's poorest counties.

Employees told investigators that Thomas had the ear of the section's head, Wayne Hurder, who became the DMV's second-in-command in August 2007. In numerous instances, the files say, Hurder backed what Thomas wanted.

Hurder, 61, was fired Oct. 31 for using his position "to exert improper influence in personnel matters," Transportation Secretary Lyndo Tippett said in a letter that authorized release of the investigative files. Hurder has denied any wrongdoing and is suing to get his job back.

Hurder said that Thomas, who he acknowledges is a friend, held no influence over him. Hurder joined the DMV in 1993 and made $101,867 a year. Hurder told investigators he met Thomas five years ago.

"Nobody speaks for me," Hurder said. "The district supervisors and others on my staff know that nobody can speak directly for me."

Thomas could not be reached for comment.

Costs to taxpayers

The personnel moves cost taxpayers, Gore said. Employees who shifted to other offices -- without their direct supervisors' approval, or in some cases without their knowledge -- cost the state at least $80,000 unnecessarily. Hurder said the moves were made to combat manpower shortages.

When it came time to interview job candidates for positions in the eastern part of the state, Hurder called upon Thomas' nephew, Danny Thomas, to drive from Morganton, 200 miles west of Raleigh, where he was a district supervisor. Records show those trips cost the state thousands in travel expenses.

Thomas and another DMV supervisor, Mike Salisbury, handled much of the examiner interviews for jobs in the eastern part of the state. Salisbury, Danny Thomas, Hurder and other DMV employees would regularly join Eddie Carroll Thomas for dinner. Danny Thomas told investigators that his uncle and Hurder would discuss personnel matters.

The files show an instance in which interviews for two examiner jobs in eastern North Carolina were supposed to be handled by Danny Thomas, but inadvertently got assigned to another supervisor, Nadine Barnes. She did not pick a person recommended by Eddie Carroll Thomas. Hurder ordered the paperwork redone to show the person Thomas recommended was one of the top two choices for two positions.

DOT playing favorites? Some think so

From WRAL.com :

Raleigh, N.C. — Are state leaders playing favorites when it comes to allocating funding for highway projects in some cities?

A Charlotte transportation official and a Wake County commissioner seem to think so.

In a Dec. 5 letter to President-elect Obama, R. Lee Myers, chairman of the Mecklenburg-Union Metropolitan Planning Organization, asks the incoming administration to freeze all federal funding to North Carolina for highway projects, saying an investigation into the state's Board of Transportation and transportation officials is needed.

Myers accuses Department of Transportation Secretary Lyndo Tippett and Democratic majority leader Sen. Tony Rand, D-Cumberland, of showing favoritism in a recent decision to allocate $275 million in funding over the next six years for the future Interstate 295 outer loop in Fayetteville.

Both Tippett and Rand are from the Fayetteville area.

In comparison, Charlotte received $104 million over the next six years for the Interstate 485 loop, and Raleigh received $5 million for the Interstate 540/N.C. Highway 540 loop.

I-295 is projected to have about 30,000 vehicles per day traveling on it by 2020, Myers said.
Traffic on the completed portion of I-485, is "unbelievably congested" at 120,000 vehicles a day, Myers said. The uncompleted portion, he said, is projected to have approximately 130,000 vehicles a day by 2030.

Myers said the decision is political and, although legal, is far from being a "systematic distribution of funding."

"The failure to require a more just and fair system is the fault of the North Carolina Legislature," Myers writes. "However, insofar as federal funding is concerned, this is your opportunity to bring about a significant change in the way the federal government does business."

Wake County Commissioner Joe Bryan agrees.

"We've got to start prioritizing in this type of economic situation we're in now," Bryan said. "I have no idea of their personal involvement in this. That's a decision by the Board of Transportation. Whatever the case is, I think the public can figure it out for themselves."

Rand denies any favoritism, saying funding has been distributed fairly.

Through 2008, I-485 received $1.05 billion, and I-540 received $757 million. I-295 received $66 million.

"When you look where the money's spent, it's obvious we haven't taken advantage of the situation in any improper way," Rand said. "It's obvious we waited in line."
To complete Raleigh's loop, the DOT says toll roads are necessary.

DOT says that because of Fort Bragg's growth, Fayetteville needs and deserves the funding.
"It's going to challenge our schools, challenge every bit of infrastructure we have, and highways are a huge part of that," Rand said.

It's unclear how Obama will respond.

As for the state's new administration, Governor-elect Beverly Perdue says one of her top priorities is to transform the Board of Transportation.

"I do not want them approving individual roads," Perdue said. "I want to depoliticize how roads and bridges and maintenance is done in the state."