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25 Investigates: MassDOT overtime scandal and the pension question

BOSTON — Following a 7-month investigation by 25 Investigates into overtime billing discrepancies at the Massachusetts Department of Transportation (MassDOT), many have asked if the employees who resigned in the fallout will keep their state-funded pensions?

A source inside the agency told Investigative Reporter Ted Daniel that six employees based at a MassDOT depot in Charlestown quit on the same day they were scheduled for hearings required for termination. Among them is Zack Fuller, who collected $240,000 in pay last year, or three times his base salary, according to state payroll records.

Because the workers resigned rather than being fired, a pension ban is not automatic.

However, MassDOT tells 25 Investigates the agency is addressing that.

“MassDOT will take all possible action to recover taxpayer dollars that were misused,” an agency spokesperson stated in response to inquiries regarding the status of the former employees’ benefits.

Under Massachusetts law, state employees must be vested with at least ten years of service to qualify for a pension. For those who qualify, the state has the ability to seek “forfeiture determination.”

This legal process allows the state to reduce or revoke retirement benefits if an employee is found to have committed work-related misconduct, such as theft. A criminal conviction can also trigger this process.

MassDOT has confirmed to 25 Investigates that it has formally requested the State Retirement Board to withhold any pension payments or refunds of contributions for these individuals, pending a formal forfeiture determination.

Paul Craney, Executive Director of the government watchdog group Massachusetts Fiscal Alliance, argued the state must do everything it can to restore public trust.

“They should be making the biggest example possible, but then also putting out guidelines for ensuring that this just won’t happen again,” Craney said.

Governor Maura Healey weighed in on the broader scandal on May 21, telling reporters, “I hope whatever the investigation yields, know that they’re going to be prosecuted to the fullest extent of the law.”

MassDOT continues to withhold full disclosure regarding the specific identities of all employees who resigned. When 25 Investigates requested the full list of names, the agency directed us to submit a formal public records request, which gives the agency at least ten business days to respond.

25 Investigates has also requested details regarding the ongoing third-party investigation into the payroll discrepancies, specifically who is conducting the probe and the cost to taxpayers.

As the fallout from the “Clocking Out and Cashing In” investigation continues, 25 Investigates will continue to track the Healey administration’s response.

This is a developing story. Check back for updates as more information becomes available.

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