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The San Francisco Chronicle
State Prison Analyst Tells of Retaliation/Whistle-Blower Says he Refused to Fudge Data

DATE: March 23, 2004
Mark Martin

Sacramento -- A computer analyst at the state's Department of Corrections first sounded the alarm in 1998: Sick leave and overtime costs at state prisons were spiraling out of control.

But instead of working to contain the costs, corrections officials asked the analyst, Richard Krupp, to revise his numbers to show expenses decreasing. When he refused, the analyst found himself in occupational hell: He was switched from job to job, ending up in a do-nothing position Krupp said required just one hour of work a week -- and where he read more than 200 books just to pass the time.

"I studied economics, mathematics, criminal law," as he earned $72,000 a year, Krupp said Monday at a state Senate hearing convened to look at the disciplinary process for state corrections employees.

Charging the state with unfair treatment, Krupp offered damning testimony that underlined the difficulties whistle-blowers face and the financial woes roiling California's vast prison system.

It was the third legislative hearing in less than a year in which a corrections employee complained about facing punishment instead of praise for trying to right a wrong.

When Krupp first warned about sick leave and overtime costs, those expenses were growing from $50 million a year to $75 million a year. Those expenses now have ballooned to more than $250 million annually in a $5 billion department that has perennially overspent its budget.

The state's prison system faces mounting criticism over everything from the way it investigates problem employees to the way it treats young offenders at the California Youth Authority.

On Monday, Krupp offered a behind-the-scenes account of how corrections officials responded to the issue of personnel costs. That response was blasted by state Sen. Jackie Speier, D-Hillsborough, who led Monday's hearing and is advocating widespread reform in state prisons.

Krupp, who began working in corrections in 1972, told lawmakers Monday that he discovered growing overtime and sick leave costs in early 1998. He delivered presentations on his findings to top officials in the department, including then-director Cal Terhune and Ed Alameida, who later replaced Terhune as director.

But after state auditors began investigating the rising costs, Krupp said, several corrections officials wanted to change projections to show decreasing costs.

Calling it a deliberate attempt to deceive auditors, Krupp said he refused to fudge the numbers.

"If we convinced the BSA (Bureau of State Auditors) the numbers were going down, how could we address the problem?" Krupp said.

Soon Krupp was taken off his job and moved to other positions, despite continuing to earn a manager's salary.

The state Personnel Board and the Office of the Inspector General, another state agency that acts as an independent watchdog over state prisons, have investigated Krupp's complaints and sided with him.

Jeanne Woodford, who was appointed to become the director of corrections last month by Gov. Arnold Schwarzenegger, said at the hearing Monday she was unfamiliar with Krupp's case and would look into it.

But the corrections department has launched a legal fight against the Personnel Board decision in favor of Krupp.

Speier called on the department to settle with Krupp.

"This is ridiculous," Speier said. "This man has read 200 books earning $72,000 a year at taxpayer expense."

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