August 1, 2014

Audit released on double dipping

State auditors say the agency that runs the public employee pension system is not sufficiently enforcing certain rules.

The Legislative Audit Bureau found that 2,800 UW employees retired, were later rehired from 2007 through last year, and collected both a pension and a paycheck. The audit said the Department of Employee Trust Funds does not have the ability to determine when and where the system’s being abused. And the auditors suggested written procedures to perform investigations when needed.

The law lets retirees return 30 days after they leave, but the rehiring must not be planned in advance. The audit found four cases of abuse. The practice drew heavy criticism last year, when it was learned that a UW Green Bay vice-chancellor retired from a $131,000 a year job, and came back a month later and got both his salary and a large pension. It was all prearranged, and that led to allegations of double-dipping. It was also the case that triggered the audit and today’s findings.