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Knox County Finance Director John Werner resigned Thursday amid a furor over the improper use of purchasing cards by employees in County Mayor Mike Ragsdale’s office. Ragsdale took the opportunity to shake up his staff, transferring one employee who used her purchasing card to pay for a cruise and creating a new position responsible for making sure employees follow proper procedures when spending taxpayer dollars. “I’m disappointed and frustrated at recent events,” Ragsdale said.
“I’ve made it clear that the misuse of public dollars will not be tolerated.” Ragsdale said taxpayers expect his administration to handle money responsibly. “I am confident this will happen going forward,” he said.
Ragsdale wouldn’t say whether he asked Werner to resign. “I accepted his resignation,” the mayor said twice when directly asked if he demanded that Werner quit. Werner, who is on vacation and was unavailable for comment Thursday, has yet to submit a written resignation letter.
“The letter is a mere formality,” Ragsdale spokeswoman Lorna Norwood said. Ragsdale said Werner “has contributed greatly to positive county initiatives. His debt refinancing plan has saved taxpayers over $13 million.
” “He has directed a Finance Department during my administration that has allowed us to go over eight years without a property tax increase.” Ragsdale also noted that Werner played a key role in developing a financing plan for a voter-approved pension program for the Knox County Sheriff’s Office. John Troyer, who’s been the county comptroller for six years, will take over for Werner, effective immediately.
A certified public accountant, Troyer previously was finance director for the city of Bartlett, Tenn., and Blount County. “I am proud of what John Troyer has done and will do, and I have an enormous amount of confidence in his abilities and reputation,” Ragsdale said.
Werner will stay on board until Sept. “He’ll be working with Troyer during that time to ensure a smooth transition,” Norwood said. Norwood said Werner would not receive a severance package but would be paid for any unused leave he has accumulated.
Troyer’s position won’t be filled. Instead, Ragsdale created a new job — comptroller and chief compliance officer — to oversee spending in the executive branch. Troyer had reported to the finance director; the comptroller and chief compliance officer will report directly to Ragsdale, the mayor said.
Margie Loyd, Ragsdale’s executive administrative assistant, will be transferred to the Community Services Department. Loyd had to reimburse the county for charging a $900 cruise to her county-issued purchasing card last year. Ragsdale said Loyd would work with seniors and on special projects in her new role.
He said the transfer had nothing to do with her making personal purchases on her card. “She hasn’t had a (purchasing) card in nearly a year,” Ragsdale said. “We’re moving her to a position where she can use her talents to better serve our citizens.
” Ragsdale said the duties for Loyd’s new position haven’t been finalized, so officials haven’t arrived at a salary for the job. “That will be determined when we define the position,” he said. Werner is the second person in Ragsdale’s executive offices to resign since the misuse of purchasing cards came to light.
Administrative assistant Requitta Bone resigned after reimbursing the county $3,202.46 for personal charges made to her card. In all, records released last week by the Ragsdale administration show that the mayor and his top aides had reimbursed taxpayers $6,461.
02 for improper expenses on their purchasing cards. Werner reimbursed the county $2,256.86, with many of the charges going toward work-related meals that included the purchase of alcoholic beverages at official events and conferences.
Ragsdale also reprimanded Bone’s supervisor, Community Services Director Cynthia Finch, for failing to control employee spending. Ragsdale suspended all but 12 of the 170 purchasing cards June 25. Knox County Auditor Richard Walls is conducting a review of the executive branch’s use of the cards and is expected to issue a report in the coming weeks.
Scott Barker may be reached at 865-342-6309.
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