RECORD SOUTH WHIDBEY
WEDNESDAY, SEPTEMBER 28, 2011 | Vol. 87, No. 78 | WWW.SOUTHWHIDBEYRECORD.COM | 75¢
INSIDE: Hometown Hero, Community, A8
County faulted for lax oversight on Freeland bills
Getting into the swing of things
Criticism centers on costs for sewer project BY BRIAN KELLY South Whidbey Record
Brian Kelly / The Record
Children’s Day Aaliyah Kois Jacob, 5, gives a music demonstration at the Island Strings booth at the Children’s Day celebration at South Whidbey Community Park on Saturday. Hundreds of kids and their families enjoyed a festival complete with games, bouncy houses, clowns, interactive booths and free food. At right, Ruby Bond, 6, gets things moving at the Hula Hoop station.
Arraignment pushed back for murder suspect BY BRIAN KELLY South Whidbey Record
COUPEVILLE — The arraignment of Peggy Sue Thomas on a charge of first-degree murder was pushed back by four weeks Monday at the request of her lawyer. Island County detectives allege that Thomas is an accomplice in the murder of Russel Douglas of Langley, who was found shot dead south of Freeland on Dec. 27, 2003. Craig Platt, one of Thomas’ attor-
neys, asked for a delay in the arraignment. He told Island County Superior Court Judge Alan Hancock that Island County Prosecutor Greg Banks had been advised of the request. “Mr. Banks and I have been discussing this matter. There have been some developments that we need to deal with,” Platt said. “Without going into a huge amount of detail, the date that would be most appropriate at this point would be Oct. 24,” he added.
Platt said Banks had agreed to not oppose the continuance. “I don’t have a strong objection at this time,” Banks said. “I realize there are some issues.” Banks said he would not be as supportive if further delays are sought in the future. “We do need to get the case progressing,” Banks said. Hancock granted the request. SEE SUSPECT, A24
Island County has done a poor job of monitoring the spending of the Freeland Water and Sewer District on its $40 million sewer project, state officials said in a recently released audit of Island County. The Washington State Auditor’s Office released its annual audit of the county Monday, and state auditors faulted county officials for not keeping a closer eye on the sewer district’s compliance with a 2009 contract that funneled $2.5 million in grant funds from the county to the Freeland sewer project. The state auditor’s office criticized the county for paying $24,654 in expenditures that were not allowable under the agreement — including $15,530 that was spent before the contract between the county and the sewer district was even signed — as well as for approving thousands of dollars in airline tickets and travel costs for local officials and Chet Ross, president of the Freeland Chamber of Commerce. State officials also said the county authorized $23,580 in payments to the sewer district that were not properly documented. County officials bristled at the dreadful audit, which also faulted the county for poor internal controls over cashhandling and off-kilter bank statements in the clerk’s office. Budget Director Elaine Marlow stressed the county had taken corrective steps
“We continue to be good stewards of public funds. We identified the deficiencies and we took steps to correct the action.” Elaine Marlow, Island County Budget Director
well before the audit ever began. Marlow recalled that an internal audit of the reimbursements to the Freeland sewer district was launched in early 2011. She also noted that all new payments to the sewer district — including reimbursements that total nearly $400,000 — were put on hold. Public money was not at risk, Marlow said. “It’s important for everybody to understand that the state auditors came in after the fact,” Marlow said. “The county already had taken proactive steps and by withholding that $368,000 payment for the sewer district, there was zero risk to the county,” she said. Marlow added that the amount called into question represents less than 1 percent of the total grant funds allotted to the sewer district. “We continue to be good stewards of public funds,” Marlow said. “We identified the deficiencies and we took steps to correct the action.” Others in county SEE BILLS, A3