Lawrence Mayor Deb Whitfield Credit: City of Lawrence

It’s been a rocky start for Lawrence Mayor Deb Whitfield.

Celebrated by Indiana Democrats after taking office this year, her administration is now facing scrutiny from local Republican leadership — and some members of the all-Democratic city council — over concerns about how her administration is spending money.

The Lawrence Township GOP chair and a group of 24 residents submitted a petition to the council last month accusing the Whitfield administration of misusing taxpayer dollars, withholding financial documents and failing to budget to pay back certain debts — all while submitting a budget that includes a 15.3% property tax increase.

The petitioners also requested detailed financial reports for costs related to purchasing a new vehicle and remodeling the mayor’s office, as well as receipts and explanations for other purchases made using city credit cards, including for travel and subscriptions.

It’s unclear what the remodeling may have entailed or what vehicle the mayor drives. Whitfield, who is not accused of criminal wrongdoing, declined Mirror Indy’s interview request through a city spokesperson.

In a statement to Mirror Indy, she noted that the 2025 budget was the first annual spending plan developed by her administration and said she is “confident the lessons learned this year will yield a more efficient process in future years.”

It’s been quite the reversal for Whitfield, who is the first Black female mayor ever elected in Marion County. A former deputy mayor who also served on Lawrence city council, Whitfield led a Democratic sweep of elected offices in Lawrence in 2023.

“I don’t take this opportunity lightly,” she said following her victory on election night, according to reporting by Current Publishing.

What else is Deb Whitfield’s administration accused of?

The petitioners accuse the administration of failing to post the proposed budget prior to a scheduled public hearing, which is required by Indiana law.

They also criticized a nearly 90% increase in the mayor’s office budget — from $720,000 this year to $1.35 million in 2025 — calling it “fiscally irresponsible in the current economic climate.”

It’s not just the petitioners that have expressed grievances.

A dispute over funding in the Department of Public Works’ stormwater budget led councilor Kristie Krone to call for city controller Humphrey Nagila to be fired.

Humphrey Nagila (left), city controller for Lawrence, during a meeting Oct. 16, 2024, at the Lawrence Government Center. Credit: Doug McSchooler for Mirror Indy

It started when Nagila told Lawrence officials that $1.3 million wasn’t included in the stormwater budget, because the department didn’t provide a list of projects for the funding.

Then Chris Wilburn, the department’s director, accused Nagila of lying at an Oct. 10 meeting of the stormwater board, saying his department did provide that list.

“They’re outright lies. They’re lies,” Wilburn told the board. “This is not about a financial misstep.”

Nagila, who was hired as a financial analyst in 2020 by former Lawrence Mayor Steve Collier’s administration, did not respond to Mirror Indy’s request for comment. Collier, a Republican, served as mayor from 2016 to 2023 and did not run for reelection.

Wilburn said he found out about the funding discrepancy when Zach Cramer, a first-term Democratic councilor, read through the proposed 2025 budget.

“I’m still a little unclear on actually where the money is,” Cramer told Mirror Indy.

Cramer has other questions, too, like whether Whitfield decided to spend money to remodel her office, purchase a new vehicle and allocate $20,000 toward a travel budget.

“It’s just hard to justify that, especially given how tight the budget is,” Cramer said.

Zach Cramer, a Lawrence city council member representing district 5, during a meeting Oct. 16, 2024, at the Lawrence Government Center. Credit: Doug McSchooler for Mirror Indy

Meanwhile, Zach Brown, who was Whitfield’s campaign manager, resigned as Whitfield’s chief of staff earlier this month.

When asked for comment, Brown referred Mirror Indy to his resignation letter, which cited “irreconcilable and substantive leadership differences regarding good governance.”

Is Lawrence in financial trouble?

It’s unclear, in part because the administration has declined to answer specific questions or provide certain financial documents to councilors.

Lawrence city council voted unanimously Oct. 16 to adopt a budget despite lingering concerns about the city’s financial picture. They noted that they faced a Nov. 1 deadline to submit a 2025 spending plan to the state. Otherwise, they would have had to operate on their 2024 budget, a process known as “reversion.”

In a statement prior to the vote, Council President Betty Robinson, a Democrat, said the council intends to amend the budget due to remaining questions about city finances.

“The council would like to spend the time necessary to be thoughtful, to address those questions and make sure departments are included in those conversations,” Robinson said. “The council may prepare budget reductions it finds to be appropriate in 2025 to ensure long-term fiscal sustainability for 2025 and beyond.”

Betty Robinson, a Lawrence city council member, during a meeting Oct. 16, 2024, at the Lawrence Government Center. Credit: Doug McSchooler for Mirror Indy

Matt Huckleby, chair of the Lawrence Township GOP and one of the organizers of the petition, expressed disappointment with how the budget process has played out.

“I’m glad to hear that they’re going to review the budget and make some changes,” he told Mirror Indy following the Oct. 16 vote. “But, you know, I would rather see them do it through the regular budget process, as opposed to doing it later.”

A 2023 audit by the State Board of Accounts found that the city, at the time Collier was mayor, lacked sufficient “internal controls,” which are intended to prevent accounting errors and fraud.

How has the administration responded?

The administration provided a lengthy written response to the petitioners’ objections during an Oct. 16 council meeting.

In response to allegations that it failed to produce financial documents in a timely manner, the Whitfield administration said it has implemented a corrective action plan to ensure that budget documents and financial reports are published in a timely manner.

When asked by petitioners to produce documents detailing a breakdown of costs of her office renovations, vehicle purchases and credit card and other expenses, the administration declined to provide that information saying it’s unrelated to the 2025 budget or tax rate. The administration essentially suggested they should file a public records request.

Lisa Chavis (right), a Lawrence city council member, talks with Michael Allen, a partner at Frost Brown Todd Attorneys, during a meeting, October 16, 2024, at the Lawrence Government Center. Credit: Doug McSchooler for Mirror Indy

Regarding the increase in the mayor’s office budget, the administration explained it was due to the budgets of public relations employees being moved from the controller’s office to the mayor’s office, along with an increase in the mayor’s budget for professional services.

The administration dismissed concerns about unfunded debt obligations, saying that 2025 debt obligations “have all been budgeted for.”

Their responses did not answer other questions, such as whether city funds were used to purchase new vehicles for the mayor or to remodel the mayor’s office.

What happens now?

The city has hired a financial advisor, Indianapolis-based Stone Municipal Group, to take a closer look at the city’s finances.

Cramer isn’t convinced that will solve the city’s issues.

“I don’t think a financial advisor will necessarily get rid of the problem because I don’t think the problem is with the council,” Cramer said. “I feel like unless we have a new controller we’re going to continue to have the same issues.”

Peter Blanchard covers local government. Reach him at 317-605-4836 or peter.blanchard@mirrorindy.org. Follow him on X @peterlblanchard.

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