Personnel cabinet questions hiring, raises in Miller's former office

By Ryan Alessi
RALESSI@HERALD-LEADER.COM

FRANKFORT -- The state Personnel Cabinet is questioning hiring-related moves of one of Gov. Steve Beshear's new cabinet secretaries, who the new governor promised would tread carefully in the politically sensitive area of state employment.

Former state Treasurer Jonathan Miller -- Beshear's recently named Finance and Administration Cabinet secretary -- must clean up several mistakes his treasury office made in the hiring of a state merit worker and the awarding of raises to at least one of his aides.

Brian Crall, who ended his tenure this week as Personnel Cabinet Secretary, referred both matters to the Personnel Board.

The board opted yesterday not to act yet on either issue so that state treasury officials could try, first, to fix the mistakes.

This comes just days after Beshear, a Democrat, said in his inauguration address that "one of my first official acts as governor will be to require all my top appointees to take extensive training in laws relating to ethics and the merit system."

Miller acknowledged that "unintentional" personnel-related errors in his office occurred, but said he was confident that they could be fixed without the Personnel Board intervening with an investigation or hearing.

"It's a matter of procedural mistakes and is an example of how it is important for us to provide the kind of training that Governor Beshear is talking about," he said.

At issue are the October 2006 hiring of merit employee Michael Bates, who works in the treasury's printing department and two salary increases in 2004 to Rebecca Brooke Parker, who most recently served as Miller's deputy treasurer.

Crall, who left office on Monday when Republican Gov. Ernie Fletcher's term expired, cited Bates' hiring earlier this fall as an instance of improper "pre-selection."

Rob Jones, a lawyer for the Kentucky attorney general's office who has represented the state treasurer, said Bates' hiring needs to be fixed, but "it was not a political hire." Bates is a Republican.

Meanwhile, the Personnel Cabinet and attorneys for the state Treasury have so far failed to resolve paperwork problems with two salary increases, amounting to a total of $566.92 a month, awarded to Parker in June 2004.

On his way out of state government on Monday, Crall asked the Personnel Board to step in.

Because the division director post that Parker held in 2004 was a "graded non-merit position" and not an appointed post, any raises must follow specific legal guidelines.

"Upon review of Ms. Parker's file, there was no written justification for this salary increase," Crall wrote in his Dec. 10 referral letter to the Personnel Board. "A thorough investigation of Ms. Parker's job duties and her employment through her tenure at the Treasurer's Office is justified."

Crall noted that her raises amounted to $25,000 over the last three years.

Miller said three other employees at the time received similar bumps in pay. But none of those three worked in state government in 2007.

Dan Egbers, a longtime state personnel expert who was consulted by Crall on the questioned raises, said yesterday that it appeared Miller's office improperly tried to reward Parker for taking on new duties as chief of staff in addition to division director responsibilities.

"I think it was an innocent mistake on the part of the treasury to send it over that way," Egbers said. "And someone at personnel should have raised an eyebrow and not let it go through."

Overall, Parker saw her salary rise from $21,000 a year when Miller hired her out of college as a secretary in 2000 to $78,981 a year this year as deputy state treasurer. That's an increase of nearly 380 percent in seven years.

Miller denied any suggestion that he gave Parker undue favorable treatment but said he has relied on her input regarding "personal business" matters such as future job opportunities.

For instance, Parker accompanied Miller on a trip to Las Vegas between May 14 and 17, just after Miller dropped out of the Democratic primary for governor.

Miller said in an interview in September that he flew to Las Vegas in May for a trip that was "personal or personal business" in nature.

"No state government work," he said. "I'm kind of looking at my own job opportunities after I'm treasurer and also it's a nice place to relax."

State expense records show that Miller didn't use any state funds for that trip.

When asked about the trip at a follow-up interview in October, Miller said he couldn't remember whether Parker went with him. "I've got to look at my schedule before I can talk about that," he said. "I travel a lot with different people, but I can talk to you about that tomorrow."

Vince Gabbert, who was assisting Miller in his other role as Democratic Party chairman, called the next day to confirm that Parker did go on the trip with Miller.

Miller said it is not unusual for him to take his chief of staff with him on such trips.

"We had business meetings," he said. "On trips where I'm trying to look to my future and to develop my future business contacts, yeah, she would have been involved in that kind of activity."

Parker's attorney, Michael R. Mazzoli of Louisville, said yesterday that Parker hopes to "stay in state government" in the Beshear administration and rejects any notion that she received special treatment from Miller.

"Any suggestion that Brooke was not qualified to carry out the duties she was given or that she was overpaid for the work she was doing, or that she was given any favorable treatment, is simply false," Mazzoli said.

Comments

First Miller says the Vegas trip was personal and then he says Ms. Parker went along on the trip because they had business meetings. So, which is it? There's much more to this story and Mr. Alessi knows it. How about printing the entire story instead of beating around the bush. No pun intended.

I am disgusted. This bag of poo writes a book about what an expert he is on morality and values, while at the same time having a relationship like this with a subordinate who gets her salary quadrupled?

I'm a Beshear supporter, but this is just disgusting. Miller must not be allowed to engage in this kind of conduct on the public dime under the Beshear administration.

[Chuck Muncie]

This is a slime job. Ryan was not at the yesterdays personnel board meeting. At that meeting Brian Crall agreed that all that needed to be done concerning Parker's raises is to file the appropriate paper work, and Egbers said the fact there was no written justification for the raise in the file didn't violate any existing personnel regulation or policy. So Crall's statement that that justified looking into this just does not square with reality. This investigattion by Crall was nothing but an attempt by an outgoing Secretary to slime the incoming administration. Ryan's editors should get the tape of that meeting and decide whether their reporter is doing the necessary homework on his stories.

Chuck, I respectfully but strongly disagree -- that is not all that needs to be done. It is not an acceptable - a right and correct - function of government for someone's salary to increase 380 percent while they are taking out of state trips with a governmental official who is also their employer.

Please. Leave aside the narrow question of whether personnel regulation paperwork was properly filed. I am saying this as someone who has personally purchased and read Miller's book, who has personally contributed to his past campaigns, and who is 1,000 percent behind the Beshear administration. It is wrong for public funds to be used in employment where personal and private relationships even appear to be rewarded with public funds.

...

This is NOT something that we should look at as a "slime job". If there is slime, the source of that slime is not Alessi. Such behavior completely undermines the special promises we have made.

Ernie Fletcher repeatedly responded to wrongdoing by saying "well, we haven't been told it's illegal". That never has been the point. The voters and the public told Ernie in no uncertain terms that "We don't care if you've been told it's illegal, it's still WRONG". And now that it is a new day in Kentucky, I just hope we leave that Unbridled Arrogance of Fletcher behind.

[Philip]

Where is the Attorney General? Where are the search warrants? Where are the indictments? Oh, I see, with Democrats, it is just an "honest mistake", but with Republicans it is a "crime"! What a joke! What a double standard! The hypocrisy of the media and many politicians is nauseating! Thank goodness Ernie and Glenna are on a cruise and don't have to deal with the lies and distortions and abuse of power by their opponents any more!

To all of you who smeared Ernie Fletcher: he is a better man than any of you! He was treated so unfairly by so many hateful, partisan people, including many in the media! Why would any decent person run for public office, only to be subjected to constant libelous attacks?!

A "new day" in Kentucky?! Baloney! It is back to the same ole sheninigans, with the good ole boys back in charge, running the show by their rules, and getting a pass by their allies in the press! Heaven help us!

The same old games in Frankfort. Everyone in Frankfort talks of reform but plays the same old political patronage games everyday. Where are the new changes at Transportation, Insurance, and other critical agencies that were promised new leadership and reform? Jonathan and Steve are looking more like par for course.

Miller should do the the same thing Osborne did; not accept this appointment until the ethical issue is resolved. Governor Brehear should withdraw this appointment if Miller is not willing to step aside until the matter can be settled and AG Stumbo should look into this just like he would, had it occured under Fletcher.

[John Stamper]

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The problem i have with this as a state employee is find me another person who in seven years went from college to a Division Director in state government.

[Chuck Muncie]

You have put your finger on the problem with this story 9:43. You have jumped to the conclusion Ryan wanted you to by reporting unrelated events as if they were related. This whole story implys an inappropriate relationship exists but note it does not say so. If it did the paper would get sued because they have no proof of an inappropriate realtionship.

The fact is anyone who has risen through the ranks in state government over a 7 year period is going to have received significant % raise in their salary. This is because entry level positions in government pay very little. The fact is she rose to the No. 2 position in the Treasury, and for a person holding the No. 2 position to a constitutional officer, $78,000 per year is actually a very low salary.

Reporting her salary in the misleading manner chosen and juxtaposing it with the reporting of a trip that took place 4 years after the raise which was questioned by the personnel cabinet (which Ryan claims is the basis of the story) meets the definition of a slime job.

I agree with 9:43, and I will add that it is extremely dangerous for an elected official to have an intimate relationship with a direct subordinate, as it opens the State up to potential liability in a quid pro quo sexual harassment lawsuit. These relationships never end in a "happily ever after," and the subordinate is usually the person shoved to the curb...and that's when the lawsuits start flying.
Putting aside the morality issue, a relationship like this one risks taxpayer dollars...and that should piss us all off.

Thank goodness the good ol boys left with the Fletcher administration. Now it's time to bring both parties together.

[recycle]

innocent mistake and the press buys it.....Miller should do the right thing and resign...recycle ole state workers living off taxpayers

[Big Sandy]

Ryan Alessi is doing a good job of turning the Herald-Leader into the political version of US Weekly.

[foolio]

Chuck, you're way off.

It is not simply an issue that they didn't file the proper paperwork. It's that they preselected her for the job and didn't even interview anyone else as required by the law.

The reason they didn't "file the proper paperwork" is because they didn't have any because she was illegally promoted.

The HL crucified a democrat that had 26 years of goverment experience for receiving a promotion and a salary increase of 44% under the Fletcher administration I would think it was wrong for Fletcher to do that and I also think what Miller did is wrong and the HL shoul treat this incident the same as the other was treated.

I'm a yellow-dog, and proud of it, but I'm not proud now.

Miller is wrong as rain on this, and needs to go.

Nothing more than a hit job by slimeball Brian Crall. Crall is history so let's move on...

[Kelsey]

You guys are missing the point, as usual. If state funds were not used on the LV trip for rest and play than it is none of your business. Now what is new is that the Republican run ethics commission cleared all of Beshears Cabinet Secs of ANY conflict of interest. That means that old whats his name and his criminals approve of all the new cabinet.. Amen to that and pass the potatos. Kelsey.

Kelsey, you must remember that Miller wrote a book on the 10 Commandments.

One of those commandments is "Thou shalt not commit adultery."

In my reading of the Decalogue I have never seen the commandment, "What happens in Vegas stays in Vegas."

It's been well-known across the state that Miller and Parker took this trip to Vegas. The rooming arrangements have been the source of much speculation.

I worked for a newspaper years ago. The publisher there had a philosophy of "just print the facts and let the public make up their own minds." This seems to be a perfect example of this, although I have no evidence that Alessi and my ex-employer knew each other.

It's just a shame this didn't come out before the election.

This has been the hottest political story in months. For anyone to insinuate that Ryan Alessi has conducted a hit job is way off base.

Treasurer Miller should be thanking his lucky stars that Alessi didn't report everything he knows.

[kylawyer]

A personal relationship between a state official and a subordinate can not and must not be ignored because of the potential liability of a sexual harassment suit. If the public or press choose to look the other way, then the door will be opened to this type of dangerous behavior.

Miller was an elected official. Who went on this trip other than the subordinate? Why the differing statements? Did the subordinate take vacation time, or did the state pay for this personal time?

I am also concerned about the subordinate's desire to continue employment in the current admin. Will she be given a job because of her relationship with Miller (personal or public)? Will she be given a position to keep her quiet rather than because of her qualifications?

These issues are relevant whether this a Democratic or Republican admin.

"Former Treasurer."

Has Miller officially resigned as treasurer? Has anyone been appointed to fill the vacancy between now and the first of the year when the new officers will assume their positions?

If Miller officially resigned as treasurer, I missed that bit of news.

[honestabe]

Like it was posted before...this is old news...The Herald Liberal and Communist Journal held this story for months, to effect the outcome of an election....my honest opinion anyhow

May 14-17 .... a Monday through Thursday.

Did Ms. Parker take those days off as annual leave or compensatory leave?

Her leave request forms or other means of leave request (e-mails, memos, etc.) and her timesheets for those days are a matter of public record.

[Kelsey]

I dont care about any book he wrote. He was not on state time nor did he use any state money. This is an issue between him and his wife and kids. You Republicans have used the 10 commandments long enough to get elected, quite trying to mix church and state. If you check who got a divorce and who did not and why they got it(cheating,money,etc) half of all the new appointments would have to step down. That is just hard data. The current trend is on DUI, if you got that it is worse than being a wife beater. Now my old lady likes me to put the handcuffs on her from time to time but not on another woman. There will be plenty for you Republicans too write about in the future. How many of Ernies criminals stepped down like my close friend Mr Osbourne did to protect the administration? NONE, Forgy and that builder guy from Lawrenceburg slipped thru that hidden door we all paid for to get in and get there nasty deeds done. Kelsey.

Ryan...yet again you rule the newspapers! Dems think you went too far, Pubs think you didn't go far enough. That means you did your job. You knew there was a story there, you presented the facts...and it seems everyone on this blog drew the same conclusion. And to those who would have this story buried...don't shoot the messenger! Hold responsible the man who put your Governor, his Party and his office in a very bad position. My bet is Beshear is ready to tear Miller a new one...

[Lyndon Combs]

So this man gets the chance to change the hirings, and no problems??? Wheres the attacks like the ones on Fletcher. If it was wrong for Fletcher it is wrong for Miller. Indictments Stumbo wheres the political hit team. Democrats where is the piss and vinegar. If this man broke the law like Fletcher he should be driven from Frankfort get your pitch forks everyone send him on the raod like Ernie. King Johnny is corrupt. Oh wait there is a different standard here I forgot. The issue of the book? He has spoke out like many republicans have just to be caught with his hand in a cookie jar. BUt Miller is different he gets a pass because he ehlped the weasel. Yeah ethics there is going to be no change.

Stumbo, you still have a few more days as AG, send your deputies in with warrants, collect the evidence and take the correct action, if you find wrong doing. I challange you to prove to everyone you were not on a witch hunt in the merit hireing scandle, this is the only way you can squash the spectulation that you were only out to get Fletcher.

Stumbo, you still have a few more days as AG, send your deputies in with warrants, collect the evidence and take the correct action, if you find wrong doing. I challange you to prove to everyone you were not on a witch hunt in the merit hireing scandle, this is the only way you can squash the spectulation that you were only out to get Fletcher.

Miller is the former treasurer. He resigned and Todd Hollenbach was appointed to fulfill his term.

Once again, let's stop the defense mode simply because he's a Democrat. This clearly stinks. If it were in fact an official "business" trip as Miller indicates then it would have been paid for by the state. Clearly, this was a personal trip and Ms. Parker went along for personal reasons. There is a cloud above Miller and if Beshear is serious about having ethical people that citizens can trust then he should fire Miller or at a minimum demand his resignation afterall, he got elected by hammering Fletcher for personnel abuses. While it may not be political, it is clearly a personnel abuse for an elected official to raise someone's salary 380% let alone questionable travel. If this story was about Fletcher and a young woman in his office you folks would be shouting from the highest roof tops and demanding impeachment. Once again, admit it, you are ok with corruption if it's Democrat corruption!

Earlier post points out legitimate questions. Did both Miller and his "friend" take time off for this trip? Did either use state time or claim work hours during this trip? If so, it's fraud on timesheets.

Also, are their expenses for two hotel rooms or one?

[John]

I have said it before: Hiring abuses/errors occur in every administration. That's why we have a Personnel Board. So Miller is allowed to fix his "mistake" while Fletcher was crucified?! Does not everyone see the hypocrisy and unfairness of it all?! Stumbo is the person who abused his office with his gross, partisan over-reaction to minor abuses. And if it wasn't partisan, he should at least be consistent and be seizing emails, computers, and documents from Miller's office right now! Where is the outcry from the Herald-Leader?!

Either Fletcher was treated VERY unfairly, or Miller is getting a pass, and Stumbo is a partisan hypocrite! Actually, I believe both are true!

Kelsey, I expect you'd be a fun guy to hang out with on a Friday night. Now, you can call me everything but a milk cow, but don't you EVER call me a Republican.

Five years ago Paul Patton had an inappropriate relationship with someone the state regulated and it cost us the governor's mansion for the first time in forty years.

Bill Clinton did it with an intern and it cost us the presidency.

As others on here have rightfully pointed out, it is about the inappropriate relationship when the subordinate is being paid with public funds, and gets a 380 percent increase in her wages. I'm a Democrat, and I want our party to prosper. Things like this absolutely positively sink our party, and you know as well as I do that's been true as recently as with Patton.

Furthermore, now if you look over on the WHAS11 blog link, there's this related statement about the story from Mark Hebert:

[Miller Gave Female Employee Gigantic Raises

Ryan Alessi of the Lexington Herald-Leader has been working on a story on Jonathan Miller for some time.

Today, the paper printed the results of his investigation. Keep in mind as you read it that often times reporters have more information than they can substantiate as fact and feel comfortable putting in stories.]

What else is there to this story that Hebert is referring to? There is something more. And even if there wasn't, this stinks, and I as a yellow dog am not going to let my leaders hurt our party with abuses of the public trust like this.

Kelsey, all of your comments should come with the disclaimer "Made for entertainment purposes only." Because you are, if nothing else, entertaining. And I see you have not spent any time on spelling or grammar. You always bring a smile to my face with your posts which have an utter lack relevance or do anything to further the discussion. Keep up the good work!

With regard to the Miller issue there are a number of things that come to an unbiased mind.

1) If this was Fletcher or a Fletcher appointee this would be a MUCH bigger story. There were many much less salacious stories that received much more ink.

2) There is no evidence (so far) of any wrongdoing, just the appearance of impropriety. We should hold off on judging Miller until the proof appears.

3) If Beshear knows about the evidence than he MUST ask for Miller's resignation, regardless of their (proper usage Kelsey) relationship.

4) This story is not going away. It's got too much intrigue, drama, sex??, and bad timing to just disappear.

5) HORRIBLE timing for Beshear. Would have been worse before the election. Coincidence? I think not.

6) Kelsey, you're an idiot. They're, oops, I mean their, or, I don't really know but this is the only other choice, there, I've said it. I eagerly await you're (whoops!), your response.

If the Lexington Herald is unbiased in it's reporting then it will dig into this and report it's findings to us. If the Lenington Hearld fails to to this, then it will be "proof positive" they were part of a plan to get rid of Fletcher. Here's an opportunity for the Lexington Herald to show it's readers how inbiased and professionl they really are.

Here's a puzzle...why does Parker have an attorney speaking for her? Who is paying that bill? If there was nothing inappropriate, then why lawyer up?

Crall is in a feud with Miller, he is trying to burrow himself into the $235,000 KRS Ex.Dir job and Miller is trying to stop him

http://www.ralphlong.com/2007/11/crall-creep.html

Kelsey, Your old lady just been rubbing that oil on my feet again and told me she is done thinking that your wrong on this one.

She done told me shes thinking Parker got those raises because of her personal relationship with Miller.

If your old lady is right and if Parker got extra taxpayer money (raises) because of a fling with Miller then that does make the fling our business.

I knowed you friends with Miller and all, so was Mark Nickolas. Heck fire I remember when Miller was secretly whispering in that guys ears too. Anyways alls I'm trying to say is just because you and Miller are friends don't make that be the reason to look the other way if Miller been given out extra taxpayer money to Parker.

Wait a minute ... HOLD THE PONY!!!

Jonathan Miller illegally hired his long time friend, Michael Bates. What Miller said about the illegal hire in October is not the same as what he is saying now.

Here's the facts of how this came donw:

Democratic Auditor Crit Luallen's office forwarded a complaint it received regarding Jonathan Miller's breaking state merit laws with the illegal hire of Jonathan's long-time good friend Michael Bates. Crit thought the facts swirling the hire warranted futher investigation & send it to the proper govt agency for investigation.

Regardless of Michael Bates political affiliation, Bates has been a good friend to Miller & many of Miller's friends during Bates' tenure in the State Police Dept.

On October 4Th, 2007 legal services for the Personnel Cabinet sent a letter to Kentucky State Treasurer Jonathan Miller advising him that his office illegally hired an individual to a merit position in the Treasurer's office last October.
The complaint against Miller was investigated by the state Inspector General's office.

Miller was been told to release the individual or the Personnel Cabinet would begin the process to de-certify him from the payroll.

Treasurer Jonathan Miller's office failed to follow state personnel laws because the agencies didn't give enough consideration to internal candidates who were seeking those jobs.

Treasurer Miller's office felt that the Personnel Cabinet's "report is without merit due to the fact that it's been over a year since this employee was hired," said Sari Kirschenbaum, spokeswoman for the treasurer's office. [That's a new twist to explain breaking state merit laws.]

Personnel Cabinet secretary Brain Crall's Oct. 4 letter to Treasurer Miller said the time line of the hiring process for Bates' job reveals that "a strong presumption of pre-selection exists."

Now Miller's got people saying, "this wasn't a political hire." Maybe not, but it sure was a FREIND CRONY hire.

What puzzles me is Crall told Miller all he had to do was "release" the employee.

Miller said no - because it had been a year.

Does Miller think there is a statute of limitations on breaking state merit laws?

Now, today what Miller says is different from what I posted above. Now Miller is saying it wasn't a political hire.

SHEESH ... it's ok to break state merit laws if its for a friend so long as the friend is registered a different party.

SHEESH

Is Miller going to tell the Personnel Board, "no I won't fix it because I illegally hired Bates a year ago" - like he told Crall?

Or, is Miller going to get rid of Bates and in doing so - be admitting he (Miller) broke state merit laws but refused to correct his illegal ways when Crall asked him to?

Hmmm.... Miller knew he broke the law when Crall told him to release Bates & correct the mistake. Miller said NO to Crall.

Miller didn't much care that he broke the law cuz ifen he did he would have said, "Oh man, I had no idea I was suppose to interview other people and not just my long time friend for the job ... gee, I've got to let Bates go bec. I am a man who follows ALL state laws."

5:33, there's a big difference here. Are you so dumb that you haven't figured it out yet?

oj wasn't the only one having fun in vegas

Miller should be held to the same standards he demands of others. Looks as if he applies a different standard to his conduct. Miller should resign from whichever position he now holds. Ryan needs to look into political threats being made by Larry Clark who claims he can help or hurt someone because he controls 3 votes in House leadership. Who are the other two he "controls" and why does Larry usually lose internal fights within the House leadership? Maybe Larry Clark needs to get out as well!

There are many reporters who know the truth. They hold fast to an old money making policy, which is: I will hold the story until after the election. Miller and Grayson had many skeletons, but their dollars protected them.

This whole issue with Brooke Parker is why support for Miller in the Primary election was pulled. Miller needs to refuse the position in order to not subject Beshear to any further embarrassment.

Welcome back to power Democrats! Not as fun as it used to be, though, is it???