Dobelle's managment of funds cited by regents
By Johnny Brannon
Advertiser Staff Writer
Concern about how ousted University of H awai'i president Evan Dobelle managed money from a special protocol fund was among the key factors that led the UH Board of Regents to fire him, a board member has acknowledged.
"It was certainly an important part of our discussion and consideration," vice chairwoman Kitty Lagareta said. "It was one of several significant things that the regents considered."
Dobelle
The regents say legal concerns prevent them from publicly stating exactly why they fired Dobelle. But regents and auditors had sharply questioned how Dobelle spent money from the fund, and whether he made reimbursements for personal expenses.
Dobelle maintains that he paid back money when necessary. He says he has not been told why he was dismissed.
Lagareta, who led a regents panel that evaluated Dobelle, said he was well aware questions had been raised about his leadership and spending habits. No new information was to be unveiled at the meeting in which he was fired, which he did not attend, she said.
Dobelle had been privy for weeks to reports by a consultant and an auditing firm that the regents reviewed for his evaluation, she added.
"This meeting we were going to have this time around was just to finalize our assessment based on all of that information and our own perceptions," Lagareta said. "All of those pieces were significant. All of them were presented and discussed with Dobelle."
As part of the fallout from the firing, the university's chief financial officer — J.R.W. "Wick" Sloane — has been placed on paid leave through the end of his contract in mid-December. The pay for the time he will not be returning to work will amount to nearly half of his $227,000 annual salary. UH associate vice president Carolyn Tanaka said the decision on Sloane was made Thursday by regents and acting president David McClain.
Tanaka said there was no particular incident that led to the move beyond Dobelle's firing Tuesday.
Dobelle's assistant, Kristin Blanchfield, was put on two days of administrative leave this week before a scheduled vacation. She had resigned from the position before Dobelle was fired and will not be returning.
Dobelle's executive assistant, Prescott Stewart, was also put on administrative leave and subsequently resigned.
Tanaka said Dobelle's termination and the resignation of two of Dobelle's top aides set the stage for Sloan's termination. "It was an administrative decision," she said.
Lagareta yesterday said the decision was made to put Sloane on paid leave so that McClain and the university could move forward and find a replacement for Sloane. "That's one area where the university needs to move on; needs to find a replacement and do that rather soon."
Sloane said he thought it was time to go.
"I agreed it's not appropriate to go back into the office," Sloane said. "It's time to get out of the way and let President McClain get on with doing his job."
Lagareta said buying out the rest of the contract allows UH to begin to find a replacement for Sloane. She said the regents believed that Sloane had relinquished some of his duties after the board announced it would not renew his contract in December. "Evan had told the board some time ago that (UH chief of staff) Sam Callejo was doing a lot of the duties of the CFO at the time," Lagareta said.
Dobelle had been criticized for appointing Sloane and other associates at salaries much higher than those paid to comparable posts in the past. Of those working under Dobelle, Sloane's salary was the second highest after McClain's $260,000 a year.
Lagareta said the regents and McClain acted within the rules of Sloane's contract in placing him on paid leave with six months left in his contract. "No, we don't like to do that," she said.
Also yesterday, Hilo businessman John K. Kai was appointed to the Board of Regents by Gov. Linda Lingle.
Kai is president and co-founder of Pinnacle Investment Group. The nomination must be confirmed by the state Senate. Kai will serve on an interim basis until then.
The appointment completes the 12-member board — for now. Lingle will have two more selections to make when the terms of Charles Kawakami and Walter Nunokawa, two appointees of former Gov. Ben Cayetano, expire on June 30.
Kai is the eighth regent Lingle has appointed since taking office in December 2002. Of the 10 regents who made the decision on Dobelle, six are Lingle appointees and four are holdovers from Cayetano's time.
On Thursday, Andres Albano Jr. was sworn-in as the 11th regent. Albano is a director and vice president of CB Richard Ellis Hawaii.
Advertiser staff writers Robbie Dingeman, Beverly Creamer and Gordon Pang contributed to this report. Reach Johnny Brannon at 525-8070, or e-mail at jbrannon@honoluluadvertiser.com.
