THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Thursday, March 21, 1996 TAG: 9603210365
SECTION: LOCAL PAGE: B3 EDITION: FINAL
SOURCE: BY ALETA PAYNE, STAFF WRITER
DATELINE: VIRGINIA BEACH LENGTH: Medium: 61 lines
Mordecai L. Smith resigned as the schools' director of budget development because district administrators made it impossible for him to do his job, according to his attorney, Timothy P. Sceviour.
``The threat of indictment had absolutely zero to play in our decision,'' Sceviour said Wednesday. ``He wasn't able to be effective in his job due to his treatment by the administration.''
He declined to elaborate. Smith's wife said he was unavailable for comment Wednesday.
School superintendent Timothy R. Jenney said he was not aware of any problems between Smith and district administrators. Jenney said he met with Smith nine days ago and the issue was never raised.
``I'm not sure what Mr. Smith's referring to,'' Jenney said.
Both sides declined to release the terms of Smith's separation from the district until all work was completed on an agreement.
``There's a little catch on something,'' Sceviour said.
Smith had been a central figure in the district's ongoing financial crisis. He was placed on paid administrative leave in September but was reinstated as the district's director of budget development in February. He was placed on probation and demoted from the position of chief financial officer.
His reinstatement clearly angered members of a special grand jury investigating the district's finances. The seven board members who voted to return Smith were called before the jury to explain themselves even though six of them had already testified.
The jury's report, released late last month, called for the resignations of Smith and seven of the nine sitting board members. Five of the board members have stepped down or announced their intentions to do so, although all have denied malfeasance and have been highly critical of some portions of the report. Two have said they will remain on the board and fight.
Also in the wake of the report, former superintendent Sidney L. Faucette resigned his job in Gwinnett County, Ga.
Sceviour said there had been no negotiations between the district and Smith for a quiet resignation.
``Mr. Smith and I had been discussing our options. We wanted to see how it went for him on the job. But the administration there made it virtually impossible for him to do his job,'' Sceviour said.
However, Joseph L. Lyle Jr., the attorney who has represented the board in matters relating to the district's finances, said the resignation did not happen suddenly.
``(Tuesday) night wasn't our first discussion about this subject,'' he said. ``This subject didn't just generate itself yesterday.''
Lyle said Smith's decision worked out well for both sides.
``I think harmony is more likely to prevail. From here on in (the district's leaders) can get on with business.''
Sceviour described his client as being in good spirits. ILLUSTRATION: Mordecai L. Smith
KEYWORDS: BUDGET VIRGINIA BEACH SCHOOL BOARD by CNB