Report orders Wausau fire chief to reimburse department funds

No criminal charges will be filed unless money not paid back

WAUSAU — Despite allegedly spending more than $6,000 of fire department funds for personal use and on family and friends, the State Attorney’s Office determined not to pursue charges against Sam Rudd.

“He has been given an opportunity to give the money back,” said Asst. State Attorney Greg Wilson, section chief of Washington, Holmes and Jackson counties.

Rudd, the Wausau Volunteer Fire Department chief, used $6,170.09 in fire department funds to pay for cell phone service for friends and family members, according to a State Attorney’s Office (SAO) investigation completed in February.

Wilson said Rudd has not been given special treatment. He said the decision not to pursue charges was based on the possibility funds were missing because of “poor accounting” and the fact oversight improvements had been implemented by the city.

“He has until Labor Day” to pay back the money, Wilson said. “If he doesn’t pay it, charges (of grand theft) will be filed.”

The accusations of misconduct originated from Wausau resident Lynn Gothard, the report said, who suspected members of the fire department were using funds for personal use. Gothard brought her allegations to the Wausau City Commission, but reportedly received “little or no response.”

Records show Rudd paid a total of $8,203.08 toward cell phone use in 2007, but bank records reveal only $2,095.99 had been paid by users of the service. The fire department picked up the remainder of the tab, the report said, noting “all cell phone accounts were being used by only Chief Rudd’s family members and friends.”

According to the report, Rudd admitted to Florida Ethics Commission investigators to knowingly making the payments with fire department funds, and said he did not pursue collection from service users because he did not want to bother people who might be having financial problems. Rudd also claims to have deposited some cash payments into the general volunteer fund, Wilson said.    

“The bottom line is this: There was extremely poor accounting at the fire department and a general lack of oversight,” Wilson said.

The cell phone allegations are not the lone instance of questionable spending or “poor accounting” at the fire department. The investigation also found fire department personnel were using fuel for purposes other than official business.

“It is obvious that Fire Department personnel have been purchasing fuel for reasons not related to consumption of Fire Department vehicles. However, due to the protocol in place at the time of the purchases, it is impossible to identify the specific person or persons making the fuel purchases,” Investigator Rick Carleton of the 14th Judicial Circuit State Attorney’s Office said in his official report.

Wilson acknowledged the public could perceive the SAO’s decision not to pursue charges as a public official receiving favoritism, but said the course taken is in the public’s interest. He added the city has instituted book-keeping reforms to help prevent future spending transgressions.   

“When utilizing taxpayer money you have to be able to account for that money. To Ms. Gothard’s credit, she has brought this issue to the public’s attention,” Wilson said.

Wausau Mayor Roger Hagen confirmed Rudd remains chief of the Wausau Volunteer Fire Department. Hagan told the Washington County News that the city attorney would review the findings and bring a report to city council.