The city of Dupont, Wa. may lose more than $550,000 due to what auditors say was an incorrect pension paid to its fire chief, according to The Christian Science Monitor.
Greg Hull came on as the city’s fire chief following his retirement from working at a different fire station. Hull was labeled as an independent contractor leading to continued pension payments that would end up more than $550,000. The Department of Retirement Systems said he should have been classified as a regular employee which would have brought the payments to a halt.
"We feel the city is responsible for that overpayment," said Dave Nelsen, the Department of Retirement Systems’ legal and legislative services manager.
The $550,000 the state is requesting is not chump change for Dupont. It makes up about 33 percent of the money the city allots to its fire department each year.
Hull was told by state authorities that the pension payments would cease. City officials said earlier this week Hull is stepping down from his fire chief position for “personal reasons.” According to Nelsen, he will be able to apply again in June.
The DRS began analyzing DuPont after the Associated Press looked into how certain firefighters and police were getting a bump in pay later in their careers. This bump in pay aided in raising their pensions.
The retirement system officials continued to investigate another pay bump Hull received while he was working at the Lakewood Fire District 2 in 2010.
According to Nelsen, DuPont will have more credits for his time spent at Dupont but won’t be able to retain the adjustments for cost-of-living.
The officials are also asking the city for $45,000 for two additional workers they believe were incorrectly labeled as contractors.
According to a statement, the city holds that all workers were classified correctly.
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