Denver City Attorney Cole Finegan rebuked the city auditor Tuesday for blaming $1 million in overpayments to city employees on the mayor’s office, suggesting that the auditor instead look in his own backyard.
“In case you were not aware, all city agencies and departments are required to submit detailed separation requests to your office for review and approval before any final payments are made,” Finegan wrote in a Tuesday letter to City Auditor Dennis Gallagher.
“As we work to improve our systems, I would suggest that one of your recommended changes focus on the window … in which your auditors review and approve final payments for employees leaving the city.”
The admonishment comes after Gallagher – who is responsible for the city payroll – blamed city departments under Mayor John Hickenlooper for not keeping appropriate tabs on employee leave.
Auditor spokesman Denis Berckefeldt said that the office has “never approved an overpayment” and that city departments erred in calculating sick and vacation leave for some employees.
“It’s their pay technicians who are responsible,” Berckefeldt said.
The overpayment problem has plagued the city for years.
Over the past 13 years, the city has overpaid $1 million in accrued sick and vacation time to employees leaving the city, according to the auditor’s office. Last year, the amount was more than $75,000.
Gallagher wants the city attorney’s office to track down some of the uncollected money. Finegan says he wouldn’t have to do that if Gallagher was completing separation audits in a timely manner and not approving payments that later turn out to be wrong.
Currently, the auditor’s office authorizes payment after reviewing payroll and other records.
“I’m sure you would agree that it is easier and more cost-efficient to prevent overpayments in the first place rather than attempt to track down recipients many months or years later,” Finegan wrote to Gallagher.
Staff writer Karen Crummy can be reached at 303-820-1594 or kcrummy@denverpost.com.
