THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Thursday, August 15, 1996 TAG: 9608150330
SECTION: FRONT PAGE: A12 EDITION: FINAL
SOURCE: BY ALETA PAYNE, STAFF WRITER
DATELINE: VIRGINIA BEACH LENGTH: 61 lines
Almost a year to the day after he sat in the School Board's meeting room and heard the worst financial news in the division's history, D. Linn Felt sat in a city courtroom and heard news of a different sort.
The former board vice chairman was present as two of his former colleagues were acquitted of malfeasance charges related to a $12.1 million shortfall in the school system's finances.
``I'm absolutely delighted,'' Felt said later from home. ``The verdict was not just for the two people (on trial), but for all of us.''
Although Tim Jackson and Ferdinand V. Tolentino refused to step down from their posts, five of the board members harshly criticized in a special grand jury's report, including Felt, reluctantly resigned their positions late last winter.
All denied malfeasance, however, and several said Wednesday evening they feel as publicly vindicated as they'd felt publicly wronged by the report in February.
``I am very grateful to Tim and Ferdie that they took this on for us,'' said former board chairwoman June T. Kernutt. ``I think it's a vindication for all of us. It gives me renewed faith that the system works.''
Former board member Elsie M. Barnes said the special grand jury report and ensuing fallout were the most painful experiences in her life next to the death of her father. She greeted the acquittals with elation but said she had no regrets about her decision to step down.
``The situation was so painful and so explosive throughout the community, I think if all of us had stayed, it would have done irreparable harm to the community,'' she said.
City Council members - who had used the shortfall to push for consolidation of some city and school division financial services - greeted the news with less enthusiasm.
Council member Harold Heischober expressed surprise at the jury's verdict.
``The state code is very clear,'' he said. ``I wonder then what is the value or intent of the statute? I was under the impression that if it happened it was a fact.''
Heischober said the jury obviously believed the defense attorneys when they said that School Board members were not aware of the overspending or were led to believe there was not overspending.
``If there's a message here,'' Heischober said, ``it's that the state legislators have to go into more definition of the statute.
``I think that's where the remedy is. It needs to be addressed.''
Council member Nancy K. Parker said the lines between city and school money were blurred during the trial casting doubt in the public's mind about whether the board actually overspent its budget.
She said the public should begin discussing whether the board should be granted taxing authority.
``From the public's perspective, there needs to be clearly defined lines of authority.'' Parker said. ``While the general public may not be ready for that (taxing authority), they need to begin thinking about it.''
Mayor Meyera Oberndorf said the trial should remind officials of the importance of their duties.
``I just hope we've all learned that whoever is in an appointed or elected office - they have the responsibility to protect the public purse,'' Oberndorf said. MEMO: Staff Writer Paul Clancy contributed to this story. by CNB