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City of Davenport trying to block state auditor from records in settlement agreement investigation

Iowa State Auditor Rob Sand announced earlier this year that his office would be looking into three separation agreements the City made with former employees.

DAVENPORT, Iowa — Editor's note: The video attached originally aired on Jan. 24.

The City of Davenport has filed a motion to block certain records from being obtained by the state auditor's office, court documents show. 

Iowa State Auditor Rob Sand told News 8 earlier this year that his office would be investigating three settlement agreements made with former Davenport city employees totaling almost $2 million. Court documents show the auditor issued a subpoena on Feb. 7 for the following items:

  • Meeting minutes and recordings for the closed session meetings on Sept. 27, Oct. 4, Oct. 25, Dec. 6 and Dec. 14
  • Any communication discussing the settlement agreements (i.e. emails, memorandums, payments, documents)
  • Employment agreements for the three employees 
  • The signed settlement agreements involving the three employees 

On Feb. 15, the City filed a motion to modify the subpoena to exclude recordings for four of the closed session meetings (Oct. 4, Oct. 25, Dec. 6 and Dec. 14). According to court documents, the City and its attorneys discussed litigation during those sessions and argued giving them to the auditor would violate attorney-client privilege under Iowa Code. 

Sand filed an application to enforce the subpoena four days later on Feb. 19, arguing he does have the authority to request them in an authorized audit. A hearing has been set for March 25, court documents show. No other filings have been made as of publication. 

One of the separation agreements was with former City Administrator Corri Spiegel following her departure from the role on Nov. 16. In a Nov. 22 news release from the City containing Spiegel's separation agreement, it was announced that the city would be paying Spiegel a lump sum payment totaling $1.6 million for "emotional pain and suffering."

RELATED: Corri Spiegel receiving $1.6M from City of Davenport after alleged harassment

The auditor's office confirmed to News 8 that it had received a request on Dec. 28 to look into the settlements. In it, an elected Davenport city official expressed several concerns, including the process and timing of settlement agreements reached with three former city employees. The official also wrote about the potential violation of open meetings laws, a concern also raised by the Iowa Freedom of Information Council in December.

Sand said back in January that his office is following procedure with this investigation.

"We can't just dive in at the local level anytime we want," Sand said. "If we see something that looks fishy, we have to first have a qualifying request that gives us the legal ability to do so. But in this situation for these settlements that were paid out by the City of Davenport, we've had a qualifying request come in."

Read the City's motion and corresponding documents below

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