From: Roland, Rebecca
Sent: Monday, January 29, 2007 1:25 PM
To: Yajure, Wagner
Cc: Enterline, Greg
Subject: broward dunes

Wagner

 

I’ve been meaning to talk to you about your verification on the Broward Co. dune funding request.  Greg and I had the pleasure of meeting with Mr. Setti at the conference and his presentation of the project was significantly different than his funding request (and the information you provided).  It was also brought to light that his management of grants has recently been questioned.

 

Becky Roland

Environmental Manager

850-922-7857

3900 Commonwealth Blvd, MS 300

Tallahassee, FL  32399

[Broward Soil & Water] Fiscal oversight lax, chief says

Administrator paid $467,000 from grants

By Buddy Nevins, South Florida Sun-Sentinel

Posted January 28 2007

 

 

An obscure countywide environmental group persuaded voters in November to consider expanding its powers and profile. But even its chief supervisor concedes the agency's financial oversight is lax and "we haven't had all the checks and balances we should have."

 

"We are going to improve," Supervisor Henry Graham, chairman of the Broward Soil & Water Conservation District, said Monday.

 

A key concern centers on payments to the group's administrator Russell Setti, a real estate broker who oversees grants for the state-created public agency. The state and federal grants are used for irrigation conservation programs, beach restoration and other projects.

 

Since 2000, Setti has paid himself more than $467,000, using money from the grants even though he had no written agreement allowing him to do so, according to documents obtained by the South Florida Sun-Sentinel.

 

Setti, who contracts his services to the district on a part-time basis, said he didn't get a salary but instead took a portion of the grants. Under an informal arrangement he had with the group's five elected supervisors, he said he both paid himself an administration fee and collected money left over from the grants.

 

The arrangement was an incentive to be more cost efficient, he said.

 

The district has no guidelines on how much or how little he gets paid from each grant.

 

"There are no maximums or minimum payments ... I'm like a general contractor. I make all the decisions on the job," said Setti, who couldn't say how many hours a week he worked for the group.

 

The Soil & Water Conservation District was created in the 1970s after real estate investors asked the Legislature for more control over conservation programs affecting their land. Last November, when the district asked countywide voters in a nonbinding referendum to expand its powers, more than 70 percent approved.

 

One day before the election, Setti signed a contract with the district, formalizing his agreement. He did so after Supervisor Brian Lewis began questioning the informal arrangement.

 

Setti said there were no abuses under the old arrangement. He said Graham signed all checks written to him since 2000.

 

Graham conceded Monday he and the board had too few financial controls and said he would suggest a series of measures at next month's meeting to tighten the oversight.

 

Auditors working for the district in 2005 criticized the agency, citing a lack of safeguards over the writing of checks and the payment of bills.

 

Despite the call for new procedures, nothing changed, said Setti and supervisors.

 

Setti, a Cooper City mayor in the mid-1970s, said he paid himself from grants because "I'm not paid a salary. This is the only money I got paid, and many years I get nothing."

 

According to district documents, Setti was paid between $71,902 and $235,973 a year for 2000, 2001, 2002 and 2004. Three other years -- 2003, 2005 and 2006 -- he was not paid.

 

But Lewis said: "I'm sick of his sob story that he works for free and then I find out he gets money on the other side."

 

County commissioners have been critical of the district, and some commissioners said they hadn't heard of the district before November's referendum. Commissioner Kristin Jacobs said on Monday she fears that an expanded district would compete for grants and duplicate what is already being done by other agencies.

 

Jacobs wouldn't criticize Setti's arrangement with the district, but pointed out that county water resource experts "are salaried employees who do grant duties as part of a long list of other responsibilities."

 

Setti defends his deal with the district.

 

"There are no guarantees. If I don't get a grant, I don't get money," Setti said. "I challenge any grant writer in the county to see if they can do it cheaper and more efficient than me."

 

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