City of Hoover explains what they say caused payroll issues for city employees

HOOVER, Ala. (WBRC) - An update to a payroll Issue in Hoover. The City of Hoover is shedding light on how they were rectifying payroll issues impacting city employees, including police officers and firefighters who were underpaid or overpaid for months.

City attorney Alan Rice told WBRC the city overpaid more than 100 city employees in excess of $100,000 over several pay periods.

He said the issue was already on the mend.

“The errors are becoming fewer and farther between,” Rice said.

Rice explained the issue began in July 2022, when the city switched to new software, Tyler Munis Technologies, a financial management system.

“The software that we are replacing is over 25 years old. Now we’re trying to go from something that is several generations old, to something that is brand new and the latest product out there, and it doesn’t translate very well,” Rice said.

He said the switch has led to computation issues that continued into November.

Rice said most employees who were underpaid were immediately given the difference on payday.

Those who were overpaid, he said some by double, were giving the money back in installments.

Money, the city must recoup, he said.

“The law says very clearly that any employer has the right to recover overpaid fines, even if it was an error. So, certainly a governmental entity that’s dealing with taxpayer money, we not only have a right to do it, we have an obligation to do it,” Rice explained

Rice said the software manufacturer was working to correct the issue.

He added that the city also hired a third-party auditor to double check their records, “to be sure everybody is paid on time and accurately.”

Rice said the majority of employees self-reported payroll overpayments to the city for which they were grateful.

He said the city will continue to be diligent about preventing the issue from occurring again.

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