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One of the first news conferences of Mayor Adrian Fenty LL ever covered was last summer when he announced that he was firing his director of the Office of Risk Management after the city discovered that it might have to pay $6 million in life insurance premiums the city collected from disabled employees but didn’t actually pay to insurance companies.
What struck LL at the time was how little talking Fenty did at the presser, and how Attorney General Peter Nickles seemed to be the one in charge. (It didn’t take a reporter new to the city beat to discover that Nickles actually was the one in charge.)
Anyway, the D.C. auditor has now released a report detailing just how bad things were at Office of Risk Management, which handles workers comp claims for D.C. government employees.
Among the many strong-worded findings in the report is the auditor’s assertion that ORM’s former director, Kelly Valentine, “violated District law by allowing vendors to provide services without a valid contract.”
The auditor’s report also details how the District had to reprogram or supplement ORM’s budget by $12.6 million to cover the agencies screw ups. Money was reshuffled from a number of agencies, including $50,000 from the Office of Campaign Finance, $583,409 from the Office on Aging, and $350,000 from D.C. Public Libraries.
There’s plenty of more in the report, but be forewarned that it’s a dry read.
The auditor notes that’s there’s been some reform since Valentine was canned and new management was put in place. In January, Gray named Phillip A. Lattimore III as the new director of ORM. At the news conference announcing the appointment, Gray acknowledged that ORM is “a mess.”