Ex-Northport Treasurer Not Entitled to Overtime, says Judge

A Federal judge dismissed claims made by ex-Treasurer Mary Claire Krumholz against the Village of Northport earlier this month, ruling that she was not entitled to overtime pay because she was a salaried administrative official.

Krumholz paid herself $115,900 in overtime beyond her regular salary of around $60,000 and had the Village pay $33,600 in tax withholdings between 2007 and 2009. Krumholz said she was properly compensating herself for accumulated comp. time, and believed she had been given permission to draft checks payable to herself.

The Village confronted her about the payments on March 3, 2009, at which point she claims she was wrongfully terminated, though the Village claims she quit. After conducting an investigation at the request of village officials in Aug. 2009, the Suffolk County District Attorney declined to bring any charges.

The judge dismissed the lawsuit's claim that the Village violated the Federal Fair Labor Standards Act, however, he declined to exercise jurisdiction over the remaining state claims. The State Supreme Court in Suffolk County must now decide Krumholz’s wrongful termination claim under the New York State Public Officers Law, and the question of fact must be resolved by a jury in State Court as to whether the comp. time payments were authorized by the Village, as she  maintains.

The Village said they are actively pursuing a claim through their insurance provider to retrieve the full $149,500 once a judgement is made.

The full federal judgement is attached as a PDF.