"As you know the Department of Personnel Administration (DPA) objected strenuously to my decision to recognize each employee with a monetary award. Over the past several months we have tried very hard to resolve this issue with DPA, but it is clear that if State Fund proceeds with a monetary award then we could be subject to a legal challenge including an action to seek reimbursement from individual employees," Frank said in this e-mail.
We broke the news of Frank's intention to give all her employees an Encore Award in this July post. It would have cost the State Fund about $2 million. (The money wouldn't have come from the state's general fund, since State Fund operates with premiums collected from its clients.)
A couple weeks later, we caught wind that State Fund and the DPA had gotten sideways with each other about Frank's plan. We reported their disagreement in this Aug. 6 post.
Then Frank announced she would be leaving State Fund at the end of this month and we told you last week that her departure lent urgency to resolving the award issue.
Fund spokeswoman Jennifer Vargen declined to add any comment to this morning's e-mail. We've asked DPA spokeswoman Lynelle Jolley if the administration has anything to chip in. She's checking.
IMAGE: Jan Frank / State Compensation Insurance Fund