January 24, 2023 MEMORANDUM RE: Chief Matthew Libby This memorandum is to record the various instances of misconduct and violation of City and Police policies by Police Chief Matthew Libby. | have sent emails and had conversations with him over these matters. The role of Police Department Chief requires the ability to work in conjunction with the City Manager, including the communication of key departmental affairs which impact the City as a whole. In recent weeks, this lack of communication has been egregious and documented. The recent attempt to promote multiple members of the Police Department to senior leadership positions prior to candidate interviews for the Director of Professional Standards clearly appears retaliatory and political in nature, as well as an effort to establish current employees to a rank either equal fo or above the incoming Director of Professional Standards position. Your response and explanation was insufficient, additionally showing you were working on a restructure without Input or authorization for some time. In addition, the purchasing card issued to you was used last month to purchase software for $19,500, which is above your authorized purchase limit and a clear violation of multiple city policies. This purchase was not budgeted nor was it discussed with Finance or Technology Department nor myself as the City Manager. The purchase was for software for Professional Standards which we have been planning, organizing and developing in collaboration for months, yet you made this Purchase without discussion. In your response, you admitted to this egregious violation. Going farther back, with respect to your P-card usage, it has been found that you not only made the above-mentioned $19,500 purchase on your P-Card but there were four other purchases over the last 6 months that were also violations plus two expenses that are a split purchase which is also a violation of policy. © $8,726.08 — August 5, 2022 — Uline Ship Supplies $6,437.31 - September 9, 2022 - Davis Tire Services $3,830.40 - September 14, 2022 - Yeti $3,120.00 - September 15, 2022 - Yeti $12,060.90 - October 24, 2022 - SQ Recon Power Bikes $12,969.00 - November 9, 2022 - www. Grayshit $19,500.00 - December 8, 2022 - Cl Technologies o00000Further, it was found that you had booked a conference in Las Vegas with lavash rooms which would reflect poorly of the city. Again, with no communication with executive management. Below are listed the violations of the Human Resource Policy Manual: 11.10.1 Failure to perform to an acceptable level of competence. 11.10.2 Violation of City ordinance, policies, or departmental rules. 11.10.10 Misconduct — a forbidden act; a dereliction of duty; unlawful behavior or improper or wrong behavior. 11.10.12Conduct reflecting discredit on the City or department 11.10.21 Any action that is detrimental to the City. 12.2.5 Inefficiency, carelessness, negligence or incompetence in the performance of duties; insubordination. 12.28 Violation of City ordinances, administrative regulations or departmental rules. January TIMELINE Libby January 2023 Issues Timeline January 3 ~ | return from New Year's Holiday January 3~| receive December Statement for BOA P-Cards January 3- It is discovered that Chief Libby made a purchase for $19,500 on his P- Card and has a travel booked to Las Vegas at expensive and exclusive resort January 3 - | receive a folder with a Payroll Form for a new hire for Police Clerk * Ashley Libby is the new hire, Chief Lioby's daughter + Letter accompanying form from Major Sherrod stating she isn’t in his chain of command + Employment Offer Letters also included Please note there was no prior discussion with HR, Finance or the City Manager * Additional Police Clerk position wasn't authorized January 4~ CFO Tom Kilmartin meets with Chief Libby about $19,500 purchase * Violation of P-Card policy * Violation of Purchasing Policy * Exceeds Chief's authorized limit * No discussion with Technology Director, Finance or the City Manager* Purchase was for new division being created by City Manager which wasn't consulted January 4~ City Man libby * Violation of Nepotism policy which precludes family members in same department regardless of chain of command * 20 minutes following this meeting Mayor texts City Manager requesting meeting meets with Major Sherrod and denies the hiring of Ms. January 5 - City Manager meets Mayor * Mayor complains about Libby's daughter not being hired * Mayor wants Libby's daughter hired and demands Cily Manager find her something * City Manager explains the policy to Mayor, Ms Libby permitted to work for city but not Police * City Manager explains to Mayor the lack of communication and the deterioration of Chief Libby's aititude and communication with management * City Manager informs Mayor of Chief Libby’s financial violations January 5- Mayor meets with Libby + Mayor discusses financial violations with Chief Libby * Chief Libby said he didn't know and apologized to Mayor and said it wouldn't hoppen again January 5 ~ City Manager meets with CFO and HR Director to discuss open positions «There are no current openings for basic administrative assistants * City Manager discusses possibilities of creating a new position in different departments Janvary 6 - Chief Libby restructures entire command staff with multiple promotions = City Manager receives email late in the day on Friday notifying him of promotions * Chief Libby had no discussions or authorization from Finance, HR or the City Manager * Chief Libby made promotions immediately + ltappeared Chief Libby was trying to make promotions in advance of hiring new Director of Professional Standards to ensure existing command out ranked or matched his rank Payroll Change forms were emailed to City Manager Payroll forms were incomplete Payroll forms lacked any details or justification All promotions came with pay increases© City had given 5% COLA in FY23 budget July 2022 © City had given 7.5% Mid Year Adjustment November 2022 © City gave longevity pay of $150 per year of service in December 2022 * Major Sherrod promoted to Assistant Chief © City Manager had wondered why this wasn't done before * CPT Chamberlain promoted to Major of Administrative Service/Commander of North Precinct © Chamberlain has been over Code Enforcement © North Precinct is new and City Manager was placing new Director of Professional Standards over North Precinct © New job description for Admin Services including personnel which was included in the City Managers job description for Director of Professional Standards * CPT Jentzen to Major of Patrol Division * LT Brown to Captain of Criminal Investigation Division + Corporal Detective Rahn to Sargeant © Corporal Rahn started employment in Sept 2021 © Promoted 5/22 to Detective 5% pay increase © Promoted 8/22 10 Corporal 10% pay increase © Inaddition to COLA and Mid-Year Adjustment increases this promotion was coming with another 5% increase January 6 - Chief Libby claims fraud on his P-Card + Chief changes card without notifying CFO or City Manager — this isn’t discovered until later ‘© This purges old statements for online BOA service January 9 - City Manager sends email fo Chief Libby suspending promotions and the following * City Manager suspends promotions pending additional information * City Manager cancels trip to Las Vegas * City Manager suspends Chief Libby's use of P-Card * City Manager requests list of non-GPSTC travel for whole department * City Manager requests better and more open communication from the Chief * City Manager discusses reasoning behind Chief Libby's daughter hiring denial + Cily Manager requests promotion ceremony to be coordinated with new Director of PS January 10- Chief Libby responds to email * Chief gives a brief explanation for each promotion * Chief apologizes for financial violations and says it won't happen again © Chief again doesn''t inform City Manager about fraud on his card+ Chief ignores the Las Vegas issue in his response + Chief ignores his daughters hiring * Chief lists some upcoming non-GPSTC training for department January 11 - Chief Libby sends legal 5-year contract for Probation * No discussion with City Manager on this service or whether we wanted to rebid January 12- Professional Standards Interviews * Chief Libby added Field Training as precursor for new Director of Professional Standards without discussion with City Manager or City Attorney January 12- City Manager requested review of Chief Libby's P-Card activity * CFO Kilmartin can't retrieve statements online as he finds out Libby reported Fraud + CFO has BOA restore the statements and review is done ©. Itis determined that Chief Libby has violated his authorization limit § times "$8,726.08 - August 5, 2022 - Uline Ship Supplies = $6,437.31 - September 9, 2022 — Davis Tire Services * $12,060.90 October 24, 2022 - SQ Recon Power Bikes = $12,969.00— November 9, 2022 - www.GrayShift.com = $19,500.00 - December 8, 2022 - Cl Technologies © Chief Libby also split purchased from Yeti for $3,830.40 on 9/14/22 and $3,120.00 on 9/15/22.