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The Honolulu Advertiser

Posted on: Friday, April 22, 2005

Director of city agency replaced

By Gordon Y.K. Pang
Advertiser Capitol Bureau

The director of an agency embroiled in a police investigation was removed last month, city officials confirmed yesterday.

Meanwhile, a police spokes-man said that a federal agency is also investigating allegations involving the O'ahu Workforce Investment Board, a city agency that contracts for job training and employment services using federal grant money.

Christine McColgan's contract as the board's executive director was terminated on March 7, about three months before it was to be completed, said Debbie Kim Morikawa, acting director for the Department of Community Services, which has administrative oversight over the agency.

"We ended her contract because we felt it was in the best interest of the city," Morikawa said.

McColgan could not be reached yesterday.

John Sabas, who had been deputy director of the community services department, replaced McColgan on a temporary basis on Jan. 19 and was given the executive director's post permanently on March 10, Morikawa said.

Morikawa said she is confident that the agency is being well managed under Sabas, noting that he was assistant to the director of the state Department of Labor and Industrial Relations when the Workforce Investment Act was being implemented by the state.

The executive director's job pays between $61,932 and $87,252. Sabas previously made $94,392 as a deputy director, a post he held since former Mayor Jeremy Harris appointed him in 2001.

McColgan had been on administrative leave since late December, when police raided the board's Kapi'olani Boulevard offices and seized computers and boxes. The investigation is focused largely on overtime costs and the legitimacy of certain travel spending, officials said.

Police have since returned records that they had retrieved, Morikawa said.

Capt. Frank Fujii, Honolulu police spokesman, said the investigation is ongoing. He added that the federal Department of Labor has also joined the investigation, although he provided no further details.

Federal labor officials could not be contacted late yesterday.

Morikawa said that while the city also had heard federal officials were looking into the situation, her department has not been formally notified about an investigation.

The city also is investigating the matter internally. Morikawa said that effort is being headed by Aaron Fujioka, her special adviser. "We are anticipating another six to eight weeks to complete the investigation," she said.

Mayor Mufi Hannemann also wants to move forward with the agency's work, beginning with the naming of new members to the 27-member board.

"The mayor is in the process of appointing new members to the board to provide representation from the industries that are reflective of our labor market needs," she said.

Reach Gordon Y.K. Pang at 525-8070 or gpang@honoluluadvertiser.com.