Apr 20, 2003 By Paul Sunyak 3 min read

Fayette County Commission Chairman Vincent A. Vicites said he has instructed all pertinent offices to look into tightening up the system when problems with employee health insurance premiums were brought to his attention in 2002. Vicites said he told controller Mark Roberts, treasurer Bob Danko, former human resources director Rita Wolinski and former benefits consultant Beverly Morgan to work toward plugging any coordination cracks in the system.

“When it was brought to my attention, I took action,” said Vicites, who added, “I know for a fact that Rita Wolinski uncovered and corrected $10,000 worth (of such problems.”

Vicites made his comments at Thursday’s meeting after Democrat controller candidate John “Toots” Croftcheck questioned the commissioners about the findings by Select HR, the current human resources firm, that included county payment of more than $50,000 in health insurance premiums for employees who had quit working for the county as far back as 1998.

With that money, said Croftcheck, the county could have given its union workers an additional 3 percent raise, based on Vicites’ prior claim that a 1 percent increase would cost the general fund $15,000.

Croftcheck also said that “these big bucks went through” the system unchecked, while incumbent controller Mark Roberts earlier in the current administration issued false warnings about the county not being able to meet payroll. Croftcheck also noted that Vicites had trouble getting reimbursement for small $12 or $15 sums back in 2000 because Roberts wanted receipts above and beyond the approved policy.

The Select HR report also uncovered $8,388 erroneously paid for health insurance for deceased retirees, and $13,139 erroneously paid in duplicate benefits or uncollected premiums from retirees.

In the aftermath of the Select HR report, Roberts released a memorandum that he authored back on May 16, 2000. Sent to the commissioners, the memo questions the wisdom of having health insurance premium payment responsibilities split between his and Danko’s offices.

“As you know, the treasurer’s staff calculates the premiums and forwards the totals due from each office and fund (to my office),” wrote Roberts. “Splitting this responsibility between two offices unnecessarily allows too great an opportunity for errors.

“In addition, I do not believe any responsibility for processing them should fall to the treasurer (Danko), as he has no statutory responsibilities – actual or implied – other than having his signature affixed to checks.”

Concluded Roberts, “Because fiscal management is your (the commissioners’) responsibility, I can only recommend you change this procedure; therefore, I am recommending, strongly, that you do so.”

Commissioner Sean M. Cavanagh on Thursday defended Select HR’s findings as a job well-done, one that he and Commissioner Ronald M. Nehls charged the firm with undertaking upon its hiring. Cavanagh reiterated his belief that long-time consultant Felice Associates, whom Vicites supported retaining, was not “cutting the mustard.” Cavanagh said that Select HR has demonstrated its proficiency with the timely and thorough report. Nehls added, “We have defined some inefficiencies in Fayette County government (with the Select HR report). I guarantee you there are more.”

Vicites said that back in 2002 when he became aware of the problem, he internally called for a health insurance “open enrollment” that could have caught errors because it would have required submission of new application forms.

“I pushed for an open enrollment, but I’m only one commissioner,” said Vicites.