Waste, Fraud & Mismanagement:
Your Tax Dollars at Work

UC Berkeley Broke Rules by Rehiring Police Chief After Giving $2.1 Million Payout, Paper Reports. University of California at Berkeley officials granted improper perks last year to Police Chief Victoria Harrison, who retired with a $2.1 million severance deal and was immediately rehired to the same position at a higher salary, the Contra Costa Times reported April 23.

Ms. Harrison also will receive $552,000 over the next 10 years from a deferred compensation plan, and she was allowed to keep 61 weeks of accrued sick time when she was rehired. She declined to answer direct questions from the newspaper, but said that when she took the $2.1 million payout, she gave up guaranteed monthly retirement pay and lifetime health insurance and other benefits.

The newspaper reported that its investigation revealed that "campus administrators broke or bypassed University of California and federal rules while rehiring Harrison, including some that were reinforced after the university's 2006 executive-compensation scandal." For example, UC guidelines say rehiring should occur only when "exigent circumstances" make it particularly difficult to replace an employee, but the university made no attempt to try to replace the police chief. Ms. Harrison also was offered a new contract before she retired, which is a violation of UC and federal rules that prohibit employees younger than 60 from discussing rehiring before retirement. (Source: Contra Costa Times, April 23.)

Cal-Taxletter April 25, 2008

© 2008 California Taxpayers' Association. All Rights Reserved.