Page
57
In addition to a retroactive housing allowance, KSU records show the University paid nearly $4,000 towards the former President’s home utilities including electric, water, sewer, classic and preferred cable services, digital equipment, data equipment and services, and home security service. These costs were for services provided to the former President’s new private residence off campus beginning June 10, 2019. Emails retained by KSU document the former EVP for Finance requested the first bill from the local utility on August 1, 2019 and then forwarded it to his assistant advising her that the cumulative bill, totaling $3,242, needed to be paid. After inquiry as to the budget from which this expense should be charged, the former EVP for Finance advised to charge it to Facilities’ budget, though this bill was associated with the former President’s personal residence, not a KSU owned facility.
The second utility invoice paid by KSU for service provided to the former President’s personal residence was made on December 12, 2019, in the amount of $510. KSU email correspondence from the former EVP for Finance’s Senior Executive Assistant to the former Controller and former Accounts Payable Director, dated December 11, 2019, stated “The President gave this to EVP Allen as it has not been added to the general KSU account and has not been paid… As per EVP Allen, payment must be made today.” The document submitted for payment was a past due notice from the local Utility for $535, advising that the account was “subject to disconnect on or after” December 18, 2019. While KSU paid the bill, again coding it to the KSU Facilities budget, it does not appear that the University paid the associated $25 late charge.
The former Board Chair advised that she called the former General Counsel and former EVP for Finance once she became aware of KSU paying utility bills associated with the former President's personal residence. The former Board Chair stated that the former EVP for Finance had pulled the former President's employment contract and noted that it did not say utilities were not to be
The former Board Chair stated that the former President and former EVP for Finance should have known better. paid. The former General Counsel noted that it was an oversight and that the contract should have been amended so KSU did not cover utilities. The former General Counsel and former EVP for Finance were referring to contract revisions the Board had approved in June 2019, including striking a portion of the contract's Article IV, Section 4.7, which required the former President to live at Hillcrest. Though part of this was struck from the contract, the remaining portion of the original contract terms remained, including KSU paying for utilities at the President's residence. The former President's contract was revised to strike Section 4.7 officially on March 6, 2020. The former Board Chair stated that the former President and former EVP for Finance should have known better.
paid. The former General Counsel noted that it was an oversight and that the contract should have been amended so KSU did not cover utilities. The former General Counsel and former EVP for Finance were referring to contract revisions the Board had approved in June 2019, including striking a portion of the contract’s Article IV, Section 4.7, which required the former President to live at Hillcrest. Though part of this was struck from the contract, the remaining portion of the original contract terms remained, including KSU paying for utilities at the President’s residence. The former President’s contract was revised to strike Section 4.7 officially on March 6, 2020. The former Board Chair stated that the former President and former EVP for Finance should have known better.
Finally, KSU payroll records identified another unusual payment to the former President made in December 2018, presented as a one-time payment of $12,500. However, KSU was unable to provide support and lacked institutional knowledge of the transaction to provide any explanation for the payment.