Franklin County Judge Joe Powell announced Wednesday that he plans to resign March 1, then return to office to finish his term, though he didn’t explain how this would be accomplished.
Powell, who has served as Franklin County judge since 1977, said in a letter Friday that he will be required to resign “and remain out of office 90 days” because of his decision in 2006 to enroll in the Arkansas Public Employees Retirement System Deferred Retirement Option Plan.
Powell said in the letter, which begins “Dear Friends,” that he “mistakenly thought” he could serve out the twoyear term he was elected to in November without losing retirement benefits. Having learned otherwise, he wrote, “The people of this county have always been good to me. You have elected me to office each time I’ve asked. I’m asking for your support one last time in allowing me to finish my last full term serving the people of Franklin County.”
Powell did not return messages left Wednesday at his county office in Ozark.
According to the retirement system’s website, public employees who have accrued at least 28 years of service may enroll in the deferred retirement program, which deposits an employee’s retirement benefits intoa high-interest savings account while he continues to work at his regular rate of pay. Enrollees in the deferred retirement program must terminate their employment within seven years of enrolling or lose the balance deposited in their deferred account. The practice of “retiring” temporarily without vacating an elected government post drew heavy scrutiny from politicians, Arkansas Public Employees Retirement System officials and the media in the summer of 2009 and during the 2010 election season. Those employees attempted to collect retirement pay by going “off the payroll” without terminating their employment.
The Legislature passed a law to curb that practice in 2009. Act 657 of that year requires most state employees and officials who retire and receive benefits from the Arkansas Public Employees RetirementSystem to wait six months before returning to work for an employer covered by the system. Previously, the minimum separation period had been 30 days for state, county and city employees, and 90 days for elected officials, according to Arkansas Democrat-Gazette archives.
Because of when he enrolled in the system, 2006, Powell falls under a minimum separation of 90 days, said Chris Villines, executive director of the Arkansas Association of Counties.
The code, Arkansas Code Annotated 24-4-520, was amended in 2009 and againin 2011 to say employees who enter the deferred retirement program must wait a full year before returning to public employment, Villines said,
According to Arkansas Code Annotated 14-14-1310, members of the Franklin County Quorum Court will be required to appoint someone to fill the county judge vacancy. Anyone appointed to fill the position is ineligible to run for re-election in the term immediately after his interim appointment.
Although Powell’s letter does not state how he intends to return to office, he says he hopes to finish his current term.
“The benefit to me is twofold, I could finish mylast full term of serving the people of my county. I believe our county would benefit in other ways; those citizens who wish to run for the office would have an open seat with no incumbent to contest in the 2014 race, as an outgoing judge I could work with whomever the people elect to see that a smooth transition occurs with the new administration.”
Franklin County Attorney James Mainard said Wednesday that his office had not examined the issue.
Justice of the Peace Mary Jane Cains, a District 6 Democrat, said she had worked closely with Powell on several issues since her election in 1998.
“He’s good to discuss things with,” Cains said. “He has a good understanding of things going on in the county. I’ve always been able to be upfront and honest with him. At times we’ve disagreed, but we’ve generally been able to come to an agreement we can live with.”
Cains said she was dismayed at the prospect of Powell being effectively forced to resign against the wishes of his constituency.
“He’s spent almost 40 years in this capacity,” Cains said. “People like him. I don’t know how you can put it any other way - he wouldn’t stay in office if they didn’t.” Information for this article was contributed by Charlie Frago of the Arkansas Democrat-Gazette.
Northwest Arkansas, Pages 7 on 02/07/2013