Vericella owes $400
for more movies
paid by state funds
The former chief of the
visitors bureau will get six
months' severance
Tony Vericella, erstwhile head of the Hawaii Visitors & Convention Bureau, will reimburse the organization for another $400 in hotel room movies paid for with state funds.
The expense, for a total of 40 movies in 2000 and 2001, is in addition to the $359 that Vericella charged for movies in 2002, for a total of $759, said Tony Guerrero, chairman of the bureau. He said the expenses were the result of unintentional sloppiness, and that the bureau's president should have the highest standards.
Vericella, who resigned Monday from the bureau, was a frequent traveler who worked long hours, but the bureau in 2002 adopted a policy that hotel in-room movies were not reimbursable. Vericella, who is aiding in the bureau's management transition, could not be reached for comment yesterday.
The bureau's chief financial officer, Terry Hee, has been going through the past three years of Vericella's personal expenses to check for other inappropriate expenses. A state audit released July 1 first disclosed that Vericella had used state funds to pay for the movies, as well as $137 in parking and speeding tickets and $174 for family travel expenses.
Vericella has publicly apologized for the inappropriate use of state funds, and paid back $670 to the bureau, a private nonprofit organization funded mostly by taxpayer dollars. A top bureau director must approve every expense report from now on, in response to the audit.
Vericella has resigned, saying it was in the best interest of the island community. Today, the state Hawaii Tourism Authority board meets to decide the fate of the contract to market Hawaii to the world. The authority has the option of breaking up the contract and awarding parts or all of it to the bureau or other organizations. A decision is expected to be announced tomorrow morning.
Vericella, who served as the bureau's president and chief executive for the past six years, will receive six months' severance pay, per his contract. The bureau is calculating Vericella's exact severance, and expects to have the amount finalized by tomorrow, Guerrero said. "It's gonna be fair," he said.
Vericella's base salary was $252,000, though his total 2001 compensation, including bonus and benefits, was $391,310.
Meanwhile, the bureau is preparing to pay the state back $17,000 in legal fees that HVCB spent last year to research a state law that forced it out of marketing the Hawaii Convention Center. SMG of Philadelphia, a private company, took over the marketing duties at the beginning of this year.
Guerrero said the bureau's executive search committee is planning to sit down next week to talk about finding Vericella's permanent successor. Les Enderton, executive director of the bureau's Oahu island chapter, is serving as interim president and has expressed interest in becoming the permanent replacement.
Guerrero said the bureau is looking for a good leader with collaborative abilities.
Enderton, who joined the Oahu Visitors Bureau in 1997, said his immediate goal is to keep things running smoothly at HVCB's corporate office, while maintaining its marketing momentum during turbulent times.