By Staff Reports
Martinsville Mayor LC Jones said he is concerned about the direction the city is heading as a forensic audit is completed, legal fees rise, and tensions on the city council continue to grow.
“I think we are heading down a very dangerous path,” Jones said in an interview in which he discussed the federal complaint filed by former city manager Aretha Ferrell-Benavides, the release of a report prepared by the city’s legal counsel, and now, the audit that was ordered in July.
Jones said it is his understanding that the forensic audit was to be completed and presented at the city council’s next meeting on Dec. 16. However, as of Dec. 9, confirmation had not been received.
“I received an invoice on the audit for $20,000. I just met with the City Manager (Rob Fincher) to try to figure out if this is a new charge they’re requesting, or is this finished and they’re just requesting the $20,000 for services rendered. We’re trying to figure that part out, but based off of the last conversation with the attorneys, they are supposed to have something available for us at the next meeting, but I haven’t got a confirmation or anything yet,” he said.
Even without having seen it, Jones believes the audit should be made available to residents.
“I think everything needs to be released to the public because we’re up to what, $300,000 plus for this investigation and this audit. We’ve made decisions, and we’re being asked to make decisions based off of information that we’re not being able to thoroughly go through, and then the public has no feedback or understanding why or what’s happening,” he said.
However, if there’s anything in the audit that could be defamatory to any employee or anyone that would sue based on its results, Jones believes the city’s attorneys need to explain that to the public.
“I just don’t see how we’ve been able to spend this kind of money, and really, we’re not being held responsible for it. It’s like the public is out of the loop and not knowing what’s going on and we’re just using attorney-client privilege and saying we can’t release this information,” Jones said, adding he believes residents have a right to know how taxpayer funds are being spent.
Jones said the audit is full of gossip, according to a comment made by council member Julain Mei during an open session meeting.
“If that’s the case, then what type of investigation was this? Because it was supposed to be a financial investigation and verifying and validating the claims of the whistleblower. So, what kind of investigation did they do that costs us $300,000 that now we can’t release to the public,” he asked.
Paul Goldman
Paul Goldman, a member of Ferrell-Benavides’ legal team, wrote in an email that he has not been contacted to provide input as is customary under similar circumstances.
“The issuance of an audit report aimed at a current or former public official without first reaching out to that public official is strongly frowned upon by professional standards. The reasons are known to all such professionals. A refusal raises the most serious concerns regarding fairness, due process, and impartiality,” he wrote. “Accordingly, we wrote to the auditors last month…. They have not replied.”
Goldman later concluded, “we will give the financial auditors the benefit of the doubt for the moment. Perhaps there is a benign reason for their irregular procedure. We will therefore not discuss these matters publicly for now. But wait to see if they are reflected in the audit results.“
Jones also questioned why the report completed earlier this year — which reportedly contributed to Ferrell-Benavides’ termination — has not been made public.
“Is the report so bad and full of gossip that would put the city at risk, because I want it out just as bad as everybody else?” Jones asked. “Is it that bad that it puts the city at risk, that they can’t put it out? Did they get a report from hearsay with no real evidence, credible evidence? The question has to be answered.”
In August, the city council authorized its attorney, Sands Anderson, to share pertinent information with Commonwealth’s Attorney Andrew Hall for possible criminal proceedings. A special prosecutor was appointed in September to review the document. An unredacted copy has not been released.
Jones has raised repeated concerns about the legal costs associated with those issues. Last month, he noted that four months into the fiscal year, attorney fees had already surpassed the $250,000 allocated.
Although Fincher said general fund dollars would fill the gap, Jones said the legal issues confronting the city remain serious.
Kathy Lawson
“The attorney fees are outrageous, and we cannot continue down this pathway. We need an in-house attorney for our day-to-day things,” Vice-Mayor Kathy Lawson said. While the city uses specialized attorneys as needed, she said it typically does not retain one regularly.
“For day-to-day, we just need an in-house attorney (to) review contracts, review agendas, things of that nature,” she said. “We have to pay three hours and travel every time Mr. Durbin (Sands Anderson) comes to a council meeting because he’s from Christiansburg.” She added that the city is still searching for a new attorney and council must be “prudent” with taxpayer funds.
Aaron Rawls
Councilmember Aaron Rawls said the council’s legal fees stem from its own actions.
“Bad behavior in public government costs the public big money. These costs exist regardless of who we pay for the service,” he said. “I advocate that refraining from illegal behavior is the only common-sense approach.”
During the council’s last closed session meeting, Rawls said members were briefed on preliminary findings while the audit was being finalized.
“We were told that the finalized report was still in the works and would be available in December or January. I don’t know that they guaranteed December, and I don’t know that they set a definite date, so I can’t definitely say that it’s done, but it is nearly done if it’s not,” he said.
Like Jones, Rawls believes the entire forensic audit should be made available for residents.
“I think it should all be released to the public. All investigations,” Rawls said.
