CHARLOTTE, N.C. — Charlotte Mayor Vi Lyles says she's confident in the executive director who was chosen to oversee the Mayor's Racial Equity Initiative, despite the new hire being the subject of a requested criminal investigation linked to her former job in Ohio.
Mayor Lyles mentioned the controversy at Monday's Charlotte City Council meeting, setting the record straight for the public.
"I, nor the Charlotte City Council, or any council member had any role in the hiring of the [Charlotte Regional Business] Alliance staff," Lyles said, reading from a prepared statement.
Lyles was talking about Kimberly Henderson, who the Charlotte Regional Business Alliance hired as executive director of the Employer Office of Inclusion and Advancement. That office, which she'll manage, will help "operationalize and directly support" the Mayor's Racial Equity Initiative -- a partnership of public and private funds.
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Hendersconceon previously worked for the Ohio Department of Job and Family Services.
Last week, WCNC Charlotte's Nate Morabito was the first to report that an Ohio state audit identified a "lack of controls" within that agency that resulted in $3.8 billion worth of unemployment fraud and overpayments during the pandemic.
Since then, community members like Charlotte activist and attorney Larry Shaheen have grown concerned about the new hire.
"The fact that this hasn't been answered correctly really should give some folks pause on how things are being conducted down there," Shaheen said.
Shaheen pointed out the initiative is named after the mayor and uses more than $80 million in public funds, much of which is COVID-19 relief money.
He's worried about Henderson overseeing some $250 million in public and private money after questions were raised at her former job in Ohio.
"The fact that there was a question of it and they [Charlotte Regional Business Alliance] hired her despite of it -- means that they need to now clear that higher bar of credibility and restore trust and faith in this initiative for the people of Charlotte," Shaheen said.
Mayor Lyles did not answer a question on if she knew about the audit, or calls for an investigation into Henderson, but made it clear the city was not part of the hiring process.
"That process completely went through the alliance," Lyles said.
In a statement sent to WCNC Charlotte, Charlotte Regional Business Alliance CEO Janet LaBar stood by her new hire:
"I was aware that the Ohio Department of Job and Family Services, formerly led by Kim Henderson, was the subject of a now-completed audit and request for investigation which dates back to May 2021. I factored this into consideration, as well as her capabilities for the role of executive director of the Employer Office of Inclusion and Advancement, and I made the decision to hire her. The Employer Office of Inclusion and Advancement is one of four priorities comprising the Mayor’s Racial Equity Initiative, the implementation and efficacy of which will be supervised by two oversight boards. There is tremendous work to be done for our community, and we’re ready to get going.”
Mayor Lyles said she is confident in Henderson if the alliance is.
"I'm not concerned if her leadership and the people who hired her - if they're not concerned," Lyles said. "Because what I'm going to look for -- is the bottom line of work. And if the work is done, then we're good."
Contact Hunter Sáenz at hsaenz@wcnc.com and follow him on Facebook, Twitter and Instagram.