Wednesday, June 18, 2008

City is not a charitable trust


At the May 29 council workshop, Sun Valley City Council devoted three hours attempting to finesse the intent and legality of the use option tax receipts. The state of Idaho Summary Report on Innovative Financing and Revenue Options clearly states that existing LOT receipts are intended to mitigate the increased cost of city services resulting from resort activity by providing property tax relief.

It is not possible to mitigate the increased cost of resort activity if all of the receipts from the LOT are used to promote more resort activity.

The Constitution of the State of Idaho states that no town shall raise money for or make a donation to any association. The contract for services with the YMCA as well as other organizations is a donation masquerading as a contract for services. Any citizens can receive these same services merely by joining the YMCA. Finding a clever attorney to circumvent the law does not negate the immorality of breaking the law.

During the past four years, the city treasury has been managed like a charitable trust from which money was handed out randomly to any who asked. In November, the voters said "whoa" and elected Wayne Willich mayor. Mr. Willich is carrying out the mandate of those who e1ected him, a rare happening in American politics.

The council is presently addressing a complete review of misuse of LOT receipts. In his blog dated May 16, Councilman Nils Ribi has come to grips with the situation. He states: "In several cases certain contributions were made in direct violation of city policy as they were never approved by the City Council; rather, they were approved and paid administratively by senior staff and the former mayor." This charge, by Mr. Ribi, should be thoroughly investigated and those contributions identified.

Franz Suhadolnik

Sun Valley




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