Jason Clayworth

jclayworth@dmreg.com

Gov. Terry Branstad today said he didn't know what a dozen state agencies sacrificed to pay for some of the 24 secret settlement agreements that have dogged his administration for the last three weeks.

Branstad told reporters that the money come out of the different state budgets but then failed to answer direct questions about what was sacrificed to pay for the more than $500,000 in costs.

Instead, he repeated previous statements about what a mess the state's budget was in when he resumed office in January of 2011.

Iowa had a budget surplus of around $1 billion the fiscal year that Gov. Chet Culver left office, which has since grown.

"We couldn't continue with business as usual," Branstad said, noting that there was no money for salary increases. "We had to make dramatic changes."

Reporters redirected questions, noting a situation at the Iowa Veterans Home where a former pharmacy manager was paid $110,000 secret settlement and where that money came from.

"I don't know specifically," Branstad acknowledged.

A total of 24 secret settlements adding up to $516,245 have been uncovered since the Register first reported on six of the settlements March 16. The administration acknowledged 18 more a week ago.

State agencies bypassed a system where settlements are made public with the State Appeal Board.

The documents show that at least a dozen state agencies were involved in the confidential settlements with employees. Directors from eight agencies specifically signed some of the agreements and two assistant attorney generals also signed one of the documents, the records show.

Branstad has insisted he knew nothing of the settlements until reading about them in the Register.

He said today that he also doesn't know who was specifically responsible for the widespread use of the agreements in his administration but said he believes such settlements have been made in other administrations. Those records, he noted, are currently being searched by the Iowa Department of Administrative Services.

"There's no mastermind behind this," Branstad said. "These were mistakes that were made contrary to the policy and the commitment of this administration to openness and transparency."

The Iowa Attorney General's office has advised departments that confidentiality agreements are not generally enforceable in state employee settlements since, by law, the documents are to be public records. The U.S. Department of Justice has additionally frowned on such secrecy, saying it runs counter to open government.

Branstad signed an executive order a week ago mandating that no state agency use the confidentiality agreements in the future. He's also directed the administrative services department to post all employee settlements made since he took office in 2011.

Documents released Friday from the administration involving the last four secret settlements were heavily redacted. That's because of a public records exemption that allows an employee's personnel files to remain closed to the public.

There have been employees involved in abuse and sexual misconduct that have either been rehired or their records sealed so that future employers can't discover their past deeds. That's wrong, Branstad said.

Branstad today said he is urging state lawmakers this year to revise a public record law to help the public better understand what some of the secret settlements are about and to know why public employees are fired in the future.

"One of the concerns I have as the chief executive of the state is we do have state employees that have been guilty and involved in certain misconduct: Elder abuse. Child abuse. Sexual misconduct," Branstad said. "These things are presently confidential and not released to the public."

Branstad continued: "The danger in that is these individuals who may be dangerous or violent can then be rehired by another unsuspecting employer who doesn't know that information. The public has a right to know that."

OVERSIGHT HEARINGS THIS WEEK

WHAT: Hearings about secret settlements before the Legislature's Government Oversight Committee.

WHEN: Wednesday and Thursday, starting at 11 a.m. both days.

WHERE: Room 22 of the State Capital.

DETAILS: On Wednesday, multiple recipients of the secret settlements will speak. On Thursday, key Branstad appointees, including Mike Carroll, the director of the Department of Administrative Services, are expected to testify.