Previous Associated Student Government leaders paid Patty Marinakis, the lawyer they fund, more than they budgeted for, resulting in a deficit of almost $4,000 this year, said ASG president Patrick Keenan-Devlin, a Music senior.
ASG executive board members discovered mismanagement of funds used to provide students with free legal counsel, they announced at the Senate meeting Wednesday night.
Marinakis is available two days per week to advise individual students on legal matters, ranging from charges of possessing a fake ID to arranging sublet contracts.
This comes after last year’s ASG administrations were criticized for being secretive about their finances and spending excessive amounts on activities for ASG members. A Daily investigation in the spring found they had spent more than $700 on a dinner for 18 people.
Several members of the 49-person Senate questioned Keenan-Devlin and ASG treasurer Ivy LeTourneau for clarification of the mismanagement. Keenan-Devlin has said one of his goals is to make ASG’s finances more transparent. The information about the mismanagement would never have been disclosed under previous administrations, he said.
“What we’re trying to show to the student body is we’re committed to righting past wrongs,” Keenan-Devlin said. “I think ASG is on a new track, and this administration is full of good people who are committed to being open and honest.”
ASG budgeted $27,000 for Student Legal Services during the 2003-04 year, said LeTourneau, a Weinberg sophomore. The allocation was meant to cover all costs relating to Marinakis’ services, including her salary, legal database fees, and office supplies.
But LeTourneau said the president at the time created a contract in which her salary alone exceeded the $27,000 allocated to cover the costs of all of Student Legal Services, LeTourneau said. Marinakis also received a $50 in crease in her weekly salary in 2003, which had not been included in the budget.
Because this exceeded the $27,000 originally allotted, ASG ended the 2003-04 year with a deficit of slightly more than $2,000.
ASG allocated $29,250 for Student Legal Services in 2004-05. When then-treasurer John J. Hughes III, a former Daily Forum editor, created the budget for the 2005-06 school year, he raised the allocation to $36,300. While LeTourneau said she could not speak for Hughes, she suggested at the meeting he overbudgeted for the lawyer to cover up and correct the deficit.
Keenan-Devlin spoke with Marinakis about giving her a raise, and he said he had told her it would be possible because they budgeted $36,300 for her position. But the money that would have paid for the raise promised to Marinakis will now be used to pay down the deficit, LeTourneau said.
Keenan-Devlin said he discussed the issue with Marinakis, and that the situation was unfair to her.
If the money that would have gone to Marinakis’ raise isn’t enough to cover the deficit, LeTourneau said she would have to pay it off with money from ASG’s account. The money would come from ASG’s “outside income,” not money for student groups from the Student Activities Finance Board. Instead it is from sources such as the copy machine ASG lets student groups use.
LeTourneau said she started taking a closer look at the Student Legal Services expenses. She noticed money was deducted from the account for Marinakis’ paychecks and other costs, and it was quickly approaching the allotted amount.
“I was like, ‘How many more charges are going to come up over the summer, are we going to come up short?” she said.
Because Marinakis is paid through the College and University Financial System accounting system, it can take months for the payments to show up on ASG’s account. LeTourneau waited until the end of the summer before she could determine the extent of the deficit. During the last few weeks, LeTourneau and Keenan-Devlin examined old financial records to figure out what happened.
Keenan-Devlin and LeTourneau said the deficit went unnoticed because previous administrations did not communicate well. The delay in the College and University Financial System made it harder to spot, LeTourneau said. This year ASG will create better records and guidelines for future administrations, Keenan-Devlin said.
He announced his discovery as soon as he knew the details of the mismanagement, he said.
“I decided that I had no choice,” Keenan-Devlin said. “I had to make (the announcement) tonight because I made a promise I would be open and honest.”
Reach Diana Samuels at [email protected].