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Abrupt DJJ Resignation Could Alter Dispute With Escambia, Santa Rosa, 23 Other Counties

A key player in the dispute between the state and counties over juvenile-detention costs abruptly resigned last week, leaving counties to wonder how his departure will affect the high-stakes negotiations. Escambia and Santa Rosa are among 25 counties involved in the dispute.

Jason Welty, who worked as chief of staff at the Florida Department of Juvenile Justice, turned in his resignation last Wednesday. The move came two days after he told The News Service of Florida that Gov. Rick Scott believes counties should pay to detain a certain category of offender.

“It’s going to take the Legislature to resolve whether or not the counties pay for new law violations or not,” Welty said in a July 7 interview that was published on NorthEscambia.com. “We believe that they should be. The governor believes that they should be. And we believe that the Legislature believes that they should be. But (the counties) obviously don’t.”

After the story was published, however, the governor’s office took issue with Welty’s statement. Frank Collins, Scott’s communications director, said in an email that the statement did not reflect the governor’s position on the issue.

Welty, who had 10 years of state government experience, did not explain his reasons for leaving in a resignation letter submitted to department Interim Secretary Christy Daly. He also could not be reached for comment by the News Service.

“We appreciate Jason’s service to the agency,” department communications director Heather DiGiacomo wrote in an email. “Fred Schuknecht is currently serving as interim chief of staff.”

Welty’s resignation came amid a renewed legal fight between the department and counties about how to split up juvenile-detention costs.

The dispute centers on a 2004 law that requires counties to pay to detain juveniles who are waiting for their cases to be resolved in court. The state pays for “post-disposition” costs — that is, after the cases have been decided. But the two sides are far apart on which costs are “pre-disposition” and which are “post-disposition.” As an example, one of the issues involves who should pay for detaining youths whose cases have already been resolved and then, while on probation, commit new offenses that violate terms of their probation — circumstances that are the “new law violations” cited last week by Welty.

In June 2013, the 1st District Court of Appeal upheld an administrative law judge’s ruling that the Department of Juvenile Justice had shifted more responsibility for the costs to the counties than the law required: 75 percent for the counties, 25 percent for the department.

The dispute then moved to the 2014 Legislature, where a bill that would have mandated a 50-50 split died on the last day of the session. All parties had accepted the equal division of costs going forward, but the counties also held out for $140 million they said they had overpaid the state, which the Senate refused.

With the failure of the bill, the state decided to use a formula by which the counties will pay 57 percent of juvenile-detention costs, while the state pays 43 percent. The department then held a rule hearing with the counties on June 6, but it ended in impasse and sent the counties back to the Division of Administrative hearings, where counties have won two earlier legal battles on the issue.

In the aftermath of Welty’s resignation, some people questioned how his departure will affect the cost-sharing dispute.

Florida Association of Counties spokeswoman Cragin Mosteller said in an email that the group “appreciated Mr. Welty’s open lines of communication and hope to have the same going forward. FAC hopes to work with the governor and the department to find a solution to DJJ’s unfair and incorrect billing so that we can put our full attention to the children who so desperately need our help.”

Roy Miller, president of the Children’s Campaign, an advocacy group, called Welty “a thoughtful worker on behalf of children needing a better direction in life.”

“Welty is known by stakeholders for being trusted for what he says and does,” Miller said. “The fight between the state and counties over detention costs has led to very bad outcomes for children, and it’s long past time to bring an end to it. Welty did his best to listen to all sides and report it accurately and without bias.”

In an email, department spokeswoman DiGiacomo wrote, “The agency has had a collaborative relationship with the counties and we are committed to maintaining open lines of communication.”

While Scott’s office took issue with Welty’s comments last week, it has not publicly spelled out a detailed position for resolving the dispute with the counties.

“The 21 cost-shared juvenile centers across Florida work to ensure that Florida’s children and families are kept safe until legal proceedings can take place.” Scott spokesman John Tupps said in an email. “After a careful review of the district court ruling this past year, the Department of Juvenile Justice worked to develop an adjusted county cost share. The Legislature adopted the DJJ’s recommendation which results in a reduction in costs to the counties. We’re open to working with the counties to find a path forward that will benefit Florida’s children and families.”