KARNES CITY - A check for $2 million in Karnes County funds was recently written to purchase a 30-day interest bearing certificate of deposit.

At the request of the Commissioners Court, County Treasurer Nancy Duckett agreed to take $2.3 million of the county’s $2.6 million in its general fund and place it in a CD, leaving $300,000 to pay the county’s outstanding bills.

The funds had not been invested during five of the preceding 12 months, costing the county an estimated $60,000 in interest.

County Judge Alger Kendall Jr. said he stood in the treasurer’s office while a check for $2 million was written to purchase the CD.

"That’s not to say more can’t be added to it," Kendall said by telephone late Monday afternoon. "But a check has been written for $2 million."

During a special session of the Commissioners Court on November 6, the failure to invest the county’s funds and the loss of interest income was one of the main topics of discussion.

"John Q. Public doesn’t really care why," said Precinct 4 Commissioner Isidro "Stormy" Rossett. "What they are worried about is the $60,000 they didn’t earn."

Precinct 2 Commissioner Jeffery Wiatrek agreed.

"The public wants answers now. The bottom line is the dollar figure," Wiatrek said. "It’s burning money in the public’s opinion. If we didn’t earn it, we lost it."

Precinct 1 Commissioner Darrel Blaschke said, "We’ve got to get the office working properly and get CDs earning interest. Whatever needs to be done, let’s do it."

Office assistance

The meeting began with Kendall telling the commissioners - Precinct 3 Commissioner James Rosales was absent - that he had contacted Goliad County auditor Phyliss Foulds who offered her assistance to the treasurer’s office.

"She has worked in the Victoria County treasurer’s office, she was county auditor in DeWitt County, and now she’s the county auditor in Goliad. If the commissioners court feels as if it would be appropriate, I’d like to see us try that," said Kendall. "She said she would be able to give us some hours a couple of days a week for a few months. I see this as help from someone who has training in this area."

Some commissioners expressed concern that Foulds might not be familiar with the software used by Karnes County.

"I know she’s capable and could pick it up very quickly," said the county judge. "If Nancy is willing to allow someone to come in and help some. Whatever we do has to be done with her consent. A person like this could help reconcile the bank statements, get the reports done, and make sure the CDs are put out in a timely manner. With two and a half million dollars sitting there, it seems like we could have put $2 million out there without having to worry about an overdraft."

Duckett agreed to the assistance.

"Sending the lady over from Goliad, that will be fine with me," she said. "We may not need her too long. We’ll have to see."

The court eventually voted 3-1, with Rossett voting against, to hire Foulds on a contract basis at a salary to be negotiated between $15 and $20 an hour through January.

Foulds, contacted by telephone, said her first obligation is to Goliad County.

"I am the full-time auditor for Goliad County," Foulds said. "I am willing to lend assistance to Karnes County on a part-time, after hours basis. I won’t neglect my post in Goliad. This is a full-time job. For example, Friday is a holiday in Goliad County (Veteran’s Day observance) so I am free to go to Karnes County where it isn’t a holiday."

Foulds also pointed out that as a salaried employee appointed by a district judge, she can determine when her work in Goliad is completed on any specific day and possibly give Karnes County an hour or two on those occasions.

"My first responsibility is Goliad County," Foulds emphasized. "But, I am looking forward to working with the Karnes County treasurer’s office."

Health concerns

Commissioner Rosset expressed concern about the treasurer’s health.

"I am more concerned about your health than what you do in that office. Your job is very important and can be stressful," the commissioner said. "I wonder if you need a little time off. I think you are very stressed out."

Duckett responded.

"I have been to the doctor, and that’s part of the problem. It will take some time," she said. She admitted the problem was stress related and she was being treated for it, but never specified her condition.

"I’m not myself. I’m not OK. But, I don’t think that means I have to step down. I am not going to turn my office over to someone else."

Kendall said, "No one has asked you to step down. That’s not what any of us want. If you need time off to get physically better, we have no problem with that."

Rossett reiterated, "My main concern is her health. She needs to stay away from (her job), and get in a more relaxed atmosphere. It’s hard for the person going through it and hard on the family."

Kendall reminded the commissioners, "As far as Nancy taking vacation or medical leave, she has to do that voluntarily. We can’t force it on her. Maybe after her help has been here awhile and things are back up to speed, she’d feel comfortable taking some time off."

Duckett quickly squashed that suggestion.

"I don’t want to leave the office," she said. "I do the best I can. Let me do my job."

The blame game

"I’ve had some phone calls blaming the commissioners court and the county judge for this situation," said Rossett. "If an elected official doesn’t do her job, it’s not our fault. If we don’t do something about it, then it’s our fault. That’s why we have a judge and four commissioners. We’ve been raked over the coals, even more after the Victoria Advocate came out with its write-up."

Rossett continued.

"I’m not going to be intimidated by anyone. I’m here to do my job," he said. "If any department thinks they can blame us, they better be very careful. This issue is more than hiring that lady. I think she needs more help than that."

Wiatrek also weighed in.

"Nancy did a wonderful job straightening out an office that was in shambles," he said. "But we have to do something. We’re under fire."

Blaschke added, "I don’t like being in this situation."

County auditor Lajuana Kasprzyk then reminded the commissioners that "this situation has been brought to your attention for several months."

Assistant county auditor Michelle Salais added, "All we are guilty of is doing our job. I don’t want to get blamed for someone else not doing their job."

Not personal

It’s the auditor’s office doing its job that may be causing some of Duckett’s stress.

During the discussion, Duckett said she felt like she was inundated by memos from the auditor’s office.

"There are things I know that are problems," Duckett said. "I don’t need to be hounded about things that don’t get done. I need some space right now."

Kasprzyk replied, "Part of the responsibilities of the auditor’s office is to catch errors. We have implemented a system of memos for documentation. If it’s there, it has to be alerted."

Audience member Charlene Blaschke, the commissioner’s wife who served as Karnes County treasurer from 1975 until 1994, addressed the commissioners court.

"These two offices have to work together," she said. "They’ve got to communicate."

The problem

Duckett continued to maintain that the problem rests with not knowing how much money to set aside to pay the county’s bills.

"My main problem is when I try to put out a CD, I don’t know what the bills will be from one time to the next," Duckett said. "If we changed the time we paid the bills and had some late fees, that wouldn’t be as bad as not having the CD."

Kendall said he has suggested looking at the previous year’s bills for the same month and adding 10 percent to estimate the bills.

"I’m trying to get things back on track," said Duckett.

Blaschke, the former treasurer, didn’t understand the problem.

"If the bank statements are reconciled, why can’t a CD be put out?" she asked. "I’m confused. I used to estimate the bills. It’s communication. You ask the commissioners, ‘are you going to have anything big this month?’ Then go from there."

The auditor was in agreement.

"You don’t have to be exact in bills estimation," Kasprzyk said. "There is no way to ever be precise. Nothing is going to be exact month to month.

Duckett also expressed concern that she had asked for additional personnel during the budget process, but was denied.

She has one clerk.

Before being elected to the office in 2000, Duckett was first appointed interim county treasurer by the commissioners court after former treasurer Sandra Garza was convicted of theft by a public servant. Duckett is unopposed for re-election in today’s election.