Acting supervisor appointed
Acting supervisor appointed
By JOHN PEPIN Journal Munising Bureau
Kay Wampler, current Burt Township clerk, was tapped for the role of succeeding former Supervisor Lee Durrwachter.
Durrwachter was a board member for more than seven years who resigned Tuesday along with township Treasurer James Seibert in the wake of a scandal involving late payments to the government of federal payroll taxes.
“I don’t have a problem with it (being appointed),” Wampler said. “It’s only until we can appoint someone and just so we can have somebody acting as supervisor in case any legal issues come up.”
The board has posted openings for the supervisor and treasurer positions on its Web site. So far, there have been no applicants.
Durrwachter’s resignation became effective immediately and the township plans to appoint a replacement within the next month who will serve until the next election.
A June 24 report from an Ad Hoc Committee on the Management and Accounting of Township Finances primarily blamed numerous problems over the past five years involving late or underpayment of withheld federal payroll taxes on former township Clerk Lori Savage, who resigned in March.
But the committee also said board members did not pay close enough attention to the township’s fiscal situation, which ultimately resulted in the township facing a nearly $90,000 debt to the Internal Revenue Service.
Wampler was one of the three authors of the report.
Seibert’s last day on the job will be Aug. 31. A board member for the past 14 years, Seibert said he had previously planned to resign at the end of the year, but decided on an earlier date.
He said he hoped his departure would help satisfy a Grand Marais community demanding resolution and perhaps better the debt and penalty negotiation stance of the township board with the IRS.
Durrwachter did not link his resignation to the fiscal difficulties, but in a brief public statement said he has “tried to carry out the duties of supervisor to the best of my ability. I know I’ve made mistakes, but I have always tried to do what was in the best interest of all of the citizens of Burt Township.”
Some citizens had circulated a petition seeking Durrwachter’s resignation, condemning him for allowing a loan without voter approval used to pay part of the IRS debt.
Savage said the report is “somewhat misleading” in fixing the blame for the problems on her. She says the IRS and auditors from Anderson, Tackman and Co. never alerted the township about accruing fines.
She said the township routinely paid bills late, because of limited funds, with a policy in place of paying “when funds become available.”
Seibert said warning letters from the IRS went directly to the clerk and she didn’t share them with anybody.
Annual audit reports showed payroll tax problems from 2001 through 2003. The auditor told the committee meetings were held where he “verbally identified and described the problems to the entire board.”
Seibert told to committee he had no recollection of such meetings.
Savage said, “The townspeople all feel we weren’t watching closely enough and we all feel like we’ve been lied to by the auditor and the IRS.”
The committee said no evidence was discovered of any embezzlement of any funds, with any shortage of money likely spent on other township expenses.
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