I shouldn’t have been surprised, but I was. On Saturday, the Vermont Democratic Party’s state committee held its first meeting since the full extent of the Brandon Batham embezzlement came to light. But there seemed little taste for confrontation or tough questions. The majority seemed content with party leadership’s promises to tighten up financial and management controls and generally lock the barn door after they’d lost a horse.
Recapping the basics: In July, party officials discovered that Batham had paid himself nearly $3,000 for apparently nonexistent expenses and mileage. Batham resigned on the spot. A couple weeks later, party leaders discovered another $15,500 in extra paychecks Batham apparently cut to himself. The matter was referred to the Montpelier Police Department for investigation. The incident also raised questions about financial and managerial oversight, or the lack thereof.
At Saturday’s meeting, party chair Terje Anderson gave a thorough, convincing case that Things Would Be Different From Now On. An outside firm, Political CFOs, has been hired to do all the VDP’s accounting and financial reporting. (The firm has submitted the VDP’s overdue August financial report to the Federal Elections Commission and filed the September report on time.) At least two people must approve every check issued from party funds. Anderson has been communicating with donors and party officials, and offered to meet with any activist, county committee or donor in an effort to “regain trust.”
(Keeping the books had been an internal staff function, and the quality of the work depended on the person responsible. Former staffer and financial whiz Selene Hofer-Shall “ran a very tight ship,” said Anderson. “After she left, there were a lot of internal struggles to keep it on track.”)
One more big thing: Anderson said he’d pored over every expense for the past two and a half years, and found about $850 in transactions with insufficient documentation. Whether that’s a matter of theft or mere sloppiness, Anderson’s review seems to rule out additional large-scale embezzlements. (He did admit, however, that there was no way to retroactively vet requests for mileage reimbursements.)
Anderson also took full responsibility for the matter. “I wish it hadn’t happened. I wish I’d caught it sooner,” he told the state committee.
In the process of being as transparent as possible, Anderson revealed a couple of disturbing facts about party administration.
First, Anderson said, Batham was able to cut himself checks without oversight or review because, somehow, Batham had become “the only person with access to our bank information.”
Yeah, that’s kind of a setup for embezzlement.
Second, Anderson acknowledged that the VDP’s staff hiring process was… well… not a process at all. “We have a history in this party of hiring people with no process,” he said. “No interview, no checking of references.”
Yeah, that’s kind of a setup for hiring embezzlers. Anderson promised that things had changed.
This level of mismanagement should be embarrassing at least — and perhaps disqualifying — for those who exercised authority during this time. But most state committee members were in a forgiving mood. Many praised the hard work of party officials and applauded the new reforms. A couple of members blamed the media for publicizing the case — which, c’mon, folks. If embezzlement strikes a prominent Vermont organization, then reporters are gonna report.
Honestly, if the party was this badly managed and organized, Democrats ought to be thanking the media for shining some light in the dark corners instead of thanking leadership for having the decency to clean up its own messes.