STATE TREASURER DENNIS MILLIGAN BEGS FOR MONEY FOR OVERDUE LEGAL BILLS - LEGISLATORS SAY NO

WILL ARKANSAS STATE TREASURER DENNIS MILLIGAN HAVE TO RESORT TO PANHANDLING?

Lawmakers Wednesday declined to review a request to allow more state money to be spent on $170,000 worth of outstanding legal fees incurred by Arkansas Treasurer Dennis Milligan's office.

Senate President Pro Tempore Jonathan Dismang, R-Searcy, said Milligan's office should have gone to legislative leaders months ago to discuss a legal bill that in total tops $330,000, related to lawsuits filed by a former employee.

JONATHAN DISMANG

 

Officials from the treasurer's office had asked lawmakers to approve shifting $205,000 within the treasurer's budget to pay off the $170,000 in outstanding legal fees -- which the office does not have the spending authority to pay -- and to pay outside legal counsel to help implement legislation approved earlier this year on how the office invests money.

The legal bills from the Mitchell Williams law firm are the result of litigation filed in federal and state courts by the treasurer's former outreach manager, David Singer. Arkansas Attorney General Leslie Rutledge's office, which serves as general counsel for state offices and officials, had a conflict of interest and declined to defend Milligan's office.

"I feel like I'm missing something because you've incurred debt to a law firm that you didn't have the money to pay, and now you're coming before us and asking to pay the bill," Dismang said during the Arkansas Legislative Council's Performance Evaluation and Expenditure Review Subcommittee meeting Wednesday.

Sen. Bruce Maloch, D-Magnolia, a co-chairman of the subcommittee, raised similar concerns.

 

BRUCE MALCOH

"Our issue is the fact that when you know you're getting close to running out of money, you come and get appropriation before you spend the money," he said. "You put yourselves in a legal limbo of spending money without appropriation. You put the Legislature in a bind."

Rep. DeAnn Vaught, R-Horatio, asked whether it would be a better use of taxpayer funds to settle the case or to use in-house legal counsel.

DEANN VAUGHT

In response, Chief Deputy Treasurer Jason Brady said he had known since January that a retrial was coming up that would increase legal fees. Because of the legislative session going on earlier this year, Brady said, Wednesday's subcommittee meeting was the first available time to handle the request.

 

JASON BRADY - CHIEF DEPUTY TREASURER

Brady said he did not speak to legislative leaders about the mounting legal fees. He apologized to lawmakers and said he took responsibility for not doing so.

In response to a question from Rep. Kim Hammer, R-Benton, about whether the office was trying to hide something, Chief Deputy Treasurer Grant Wallace said: "There was no attempt to hide these charges. You're in the midst of a legal battle and you're doing what you can to protect the interest of the state at that time."

KIM HAMMER

 

GRANT WALLACE - ANOTHER CHIEF DEPUTY TREASURER

Brady said the office received an offer to settle the case for $1 million, but he did not believe that amount would cost taxpayers less than going to court.

He also pointed out that Milligan had prevailed in federal court, though a state case is ongoing. A jury trial is scheduled for July 12.

T.J. Fowler, chief legal counsel for the treasurer's office, added that the ongoing litigation is too complex for one person to handle.

 

T.J. FOWLER - TREASURER'S OFFICE CHIEF LEGAL COUNSEL

The treasurer's office request was initially approved in a voice vote, but after several lawmakers asked for a roll call, that vote was overturned.

During the roll call, five members of the subcommittee voted in favor of review. Maloch said 14 of the 20 members were present and that a majority was needed for review.

Sen. Jason Rapert, R-Bigelow, who voted to approve the request, was the sole lawmaker to defend the office Wednesday.

 

JASON RAPERT

"I doubt the treasurer at all enjoyed being sued," he said. "We cannot control, any of us, the fact that somebody sued you,especially frivolously sued you, and you did your part to defend yourself."

Singer filed a complaint that the treasurer violated the state's whistleblower law when he fired Singer in April 2015.

In the original state lawsuit filed against Milligan and his then-chief of staff, Jim Harris, in September 2015, Singer's attorney said Singer had complained about "using public funds to engage in political activities and harassment," although the complaint offered no details.

An updated complaint also alleges that Milligan illegally transferred funds within his office to pay a Washington, D.C., company for a program offering financial literacy instruction to elementary school students.

The federal lawsuit ended in February when a jury cleared Milligan of a discrimination claim and Harris of a defamation claim.

Singer alleged that Harris defamed him by writing in an interoffice memo to the deputy chief of staff that Singer had "mental problems." Singer also alleged that Milligan fired him because the treasurer believed, based on viewing the memo, that Singer suffered from a mental disability.

Singer contended his firing violated the Americans with Disabilities Act, which prohibits terminating someone on the basis of a disability, real or perceived.

Wednesday's meeting was the second time the treasurer's office has asked to shift funds to pay for the lawsuits. In March 2016, the Arkansas Legislative Council voted to shift $50,000 to cover the office's legal fees.

At the time, Wallace said the treasurer's office had paid $36,229.16 in legal fees to the Mitchell Williams firm, but the office had enough spending authority remaining to pay $10,000.

He said half of the $50,000 shift would be used to hire a bond attorney.

State records show that the treasurer's office paid the Rose Law Firm, which was hired as the bond attorney, $20,063 in fiscal 2016 and $7,080 in fiscal 2017. It paid Mitchell Williams, which represented the office in the state and federal lawsuits, $60,256 in fiscal 2016 and $83,653 in fiscal 2017.

After Wednesday's meeting, Dismang said he expected the treasurer's office to return to the subcommittee with more information about the request.

"I expect that they will try to bring it back up, but I don't know what their timeline is for doing that," Dismang said. "They were obviously OK with not having paid their bills and Mitchell Williams was OK not being paid, knowing that the funds were not sitting there for their legal fees."

Stacy Peterson, a spokesman for the treasurer, said the office was still formulating its next steps but that it expected to go back before lawmakers at a future date.

 

STACY PETERSON - MOUTHPIECE FOR TREASURER'S OFFICE

If the money isn't appropriated, she said, the law firm could go to the state Claims Commission, which adjudicates claims against the state.

"We don't really feel like that's necessary when the money's there," Peterson said. "We have the money. It's just not in the right line item so we can spend it."

Maybe Milligan can use some of those coins he purchased with public funds (to use while campaigning) to pay down his mounting debt.

DEPARTMENT OF HUMAN SERVICES WORKER SEXUALLY ABUSED 4 YEAR OLD FEMALE IN FOSTER CARE - DHS FAILS IN SPIN ATTEMPT

Read the story on our Bad Arkansas Department of Human Services blog - 
 http://badarkdhs.blogspot.com/2017/05/dhs-worker-sexually-assaulted-foster.html

ARKANSAS STATE HIGHWAY & TRANSPORTATION DEPARTMENT "AIN'T GOT TIME" TO FOLLOW ADA REQUIREMENTS

The Arkansas Highway & Transportation Department appears to have little concern for individuals with disabilities that might want to visit Dickey-Stephens Park to see a ballgame.

As part of their replacement of the Broadway Bridge, they are redoing the traffic signals and crosswalks. 

Once the project is complete, the maintenance of the traffic lights will be handed over to the City of North Little Rock.

Apparently our telephone calls to make inquiries with engineers with the City of NLR and AHTD about the sidewalk blockage was the first notice of the bonehead move by the AHTD contractor.

Stay tuned for updates. 

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UPDATE - 05/15/17 

The AHTD is putting the blame on the contractor for putting the poles before the sidewalk.

JONESBORO POLICE OFFICER RESIGNS AFTER BEING ARRESTED FOR AGGRAVATED ASSAULT IN POCAHONTAS

MUGSHOT OF GARRETT THOMASON, A JONESBORO POLICE OFFICER

Garrett Thomason, a Jonesboro police officer has resigned after being arrested while off duty in Pocahontas for allegedly pointing a gun at a motorist.

A Jonesboro Police Department spokesman says Thomason gave his resignation — effective immediately — to Police Chief Rick Elliott Friday night.

Randolph County Sheriff Gary Tribble told The Jonesboro Sun that Thomason was arrested Thursday, May 8th on an aggravated assault complaint after a motorist reported a gun was pointed at him by another driver.

The motorist provided a license plate number and the car was stopped with Thomason driving and carrying a gun.

Thomason said the other motorist was speeding and following too closely and that he pointed at him and pulled out his weapon, but did not point the gun at the motorist.

Arkansas Code Annotated  §5-13-204, Aggravated assault, defines the crime as follows:

(a) A person commits aggravated assault if, under circumstances manifesting extreme indifference to the value of human life, he or she purposely:

(1) Engages in conduct that creates a substantial danger of death or serious physical injury to another person;

(2) Displays a firearm in such a manner that creates a substantial danger of death or serious physical injury to another person; or

(3) Impedes or prevents the respiration of another person or the circulation of another person's blood by applying pressure on the throat or neck or by blocking the nose or mouth of the other person.

(b) Aggravated assault is a Class D felony.

We have requested additional information from the Randolph COunty Sheriff's Department. Stay tuned for updates.

NLR POLICE OFFICE ADMITS HE BROKE LAW IN ACCEPTING GIFT FROM JONES - JONES SET FOR A FULL HEARING BEFORE ETHICS COMMISSION

 

PARTNERS IN CRIME - GIBBONS & JONES

North Little Rock Detective and President of their Fraternal Order of Police, Michael Gibbons, admitted in an agreement with the Arkansas Ethics Commission that he (and by implication the other NLR police officers that accompanied him) violated the law by accepting an illegal gift from Jerry Jones and the Dallas Cowboys.

**CLICK HERE TO READ OUR POST ABOUT THE ETHICS COMMISSION FINDING THAT JONES ALSO VIOLATED THE LAW**

Gibbons and 120 NLRPD officers and family members (400 total) were gifted tickets to a Dallas Cowboy game, travel and luxury accommodations by Jerry Jones.  An added bonus was a swag bag for each that contained various team merchandise items.

Gibbons arranged the illegal gift when he was attending a game (free ticket again) with Catherine Dolan, a former Pulaski County Deputy Prosecuting Attorney he arrange to spend some time with while in Dallas for a work related meeting. Dolan is now a staff attorney with the Cowboy organization.

The acceptance of the illegal gift by Gibbons and the other 102 NLRPD officers and the fact that Gibbons has admitted that he violated the law places the reputation of Gibbons and the 102 officers in jeopardy.

In any criminal case in which they are involved, they are subject to being asked by a defense attorney if they have ever accepted a gift that would be prohibited under Arkansas law.  These defense attorneys can ask Gibbons and the 102 officers if they "self reported" violations of Arkansas laws.  See where this is going?  Gibbons and the other 102 officers have placed their honesty, credibility and trustworthiness in severe jeopardy.  

If that is not enough, these defense attorneys can produce documents and photos to substantiate allegations of a "payoff"  and make Gibbons and the 102 other officers looks like corrupt police officers. 

As we reported in a previous post, the Ethics Commission sent Gibbons and Jones an Offer of Settlement letter.  Gibbons did the only thing he could do and take the offer.  It appears that Jones did not. A hearing (Final Adjudication) has been set for May 19, 2017 at 9:00 a.m. for Jones.

Based on what transpired last month at the probable cause hearings, the Ethics Commission will find that Jones violated the law with his gift and give him a written warning  letter. The Commission has done this in the past in similar cases.

In fact, their report used at the probable cause hearing states what will happen if they found probable cause that Jones violated the law - which they did at that hearing in April.

While the Ethics Commission dismissed the complaints against the NLR Mayor and aldermen, it is extremely clear that the Commission determined that their resolution was a failed attempt to legitimize an illegal gift to a public employee.

Even though the Commission dismissed the complaints against the mayor and aldermen, the can refer the complaints to the appropriate law enforcement agency for further action.  We doubt that the Pulaski County Prosecuting Attorney has the balls to go after them.  That's how the Good Ole Boy System operates.

We expect there to be some issues with state and federal tax collection agencies for Gibbons and the 102 officers over the value of the benefit of the gift the city alleges it obtained from Jones. We must point out that FOI requests for documents from the mayor resulted in no documents to indicate any contact whatsoever between city officials and the Cowboys organization.  It was all handled between Gibbons and the Cowboys before the city got involved.

Ark. Code Ann. §7-6-218(b)(3)(C) provides that all records relevant to an investigation and upon which the Ethics Commission has based its decision, except working papers of the Commission and its staff, shall be open to public inspection thirty (30) days after any final adjudication in which the Commission makes a finding of a violation.

  

Based on previous experience with the Ethic Commission, there are four records which they will provide to us in 30 days: (1) the written offer of settlement, (2) the final action letter, (3) the public letter of caution, and (4) the probable cause report. 

We will post an update when we receive the material the Ethics Commission is permitted to provide to us. 

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It was not the intent of the publisher of this blog in his complaints to the Ethics Commission to punish the NLR Police Officers. If that was the case he could have filed complaints against all the officers and filed an injunction against the city of North Little Rock and the officers to stop them from accepting the illegal gift.