Sunday, July 22, 2007

Godfrey Opposes People Asking Questions About Ogden City Hall

Shadowy secret Godfrey-controlled "private foundation" fails the "duck test" - "Quack"

By Curmudgeon

No, that wasn't the headline on the front page lead story in the Standard Examiner. But it could, and maybe should, have been. The headline actually is "Foundation, City too close?"

From the story by Mr. Schwebke:
OGDEN — A local foundation is being scrutinized by the state because a lawmaker who is also a mayoral candidate believes it may be too closely tied to the city.
State Rep. Neil Hansen, D-Ogden, questions whether the Ogden Community Foundation’s February sale of the American Can complex in downtown Ogden was appropriate. He has asked for a state audit of the $3 million sale to Colorado developer Jon Peddie and investors.
Hansen is also questioning whether the foundation is a quasi-branch of city government, since five municipal officials, including Godfrey, serve on its 13-member board....
"There is nothing nefarious going on," he said. "It’s a separate legal entity." However, Hansen believes the city and foundation enjoy a much closer relationship. He questioned why the foundation’s articles of incorporation filed with the state in 2003 list its address as Godfrey’s office at 2549 Washington Blvd., Suite 910.
"If it’s run out of the mayor’s office, then it should be a public foundation and its financial books should be open so the public can see how money is being spent," he said.
Godfrey said the use of his office in the incorporation filing was a formality to get the foundation registered.
The foundation also seems to be a public entity because its bylaws require the mayor and city council chairman to serve on its board, Hansen said.
City Council Chairman Jesse Garcia said he doesn’t sit on the board and wouldn’t serve if asked because elected officials and municipal employees shouldn’t be involved. “I don’t think it’s right,” he said.
Johnson said the foundation is in the process of changing the makeup of its board and hasn’t closely followed some provisions of its bylaws.
Several things worthy of note in all that. First, that the Mayor has not denied that the official address of the supposedly "separate legal entity" is his office in the Municipal Building. Second, the Mayor's staff has admitted that the Foundation has... well, has not followed its own bylaws. Third: well, yes, the Mayor is required by the by-laws to be the Foundation's head, and yes, the chair of the Council is required to be on the board, and yes, a handful of other Godfrey administration officials are on the board as well. But no, it's not a public body?

This fails the duck test. [If it looks like a duck, waddles like a duck, and quacks like a duck... it's a duck.]

Note also the Mayor's response to a state representative simply asking questions about how the city used state granted funds, and whether the matter was handled properly: the Mayor charges political motives. Hell, the Mayor always charges political motives. As I recall, that was part of his [you should excuse the expression] "defense" when he was nabbed following a city employee's wife around downtown to learn if her husband was involved in opposing his policies. "Political motivation" is the perennial claim of elected officials who are caught with their hands in the public's cookie jar. [Charges against Congressman Duke Cunningham --- now a guest of the public in a federal penitentiary --- were called, by him, politically motivated at first. Former Rep. Ney of Ohio --- now a guest of the public in a federal penitentiary as well --- claimed charges against him were "politically motivated" too....]

A mayor with nothing to hide would have replied: "I welcome Rep. Hansen's questions and the State Auditor's audit. We've done nothing wrong and I'll be glad to have this cleared up once and for all."

But he didn't. Instead he began whining immediately "it's politically motivated." Seems Our Mayor thinks it is not fair or reasonable for people to ask questions about how he has acted in office. Apparently he wishes us to accept as a given that "the mayor can do no wrong." We used to live under a government based on the premise that "the king can do no wrong." But in most places, Americans believe we threw that system over in 1776. But then, most Americans don't live in Ogden.

The Mayor does have, however, I think one legitimate complaint, though not against Rep. Hansen, but against the Standard Examiner. In Calvin Grondahl's political cartoon this morning, the Mayor is depicted on the right identified as a wing nut, with that bit of hardware on his head as a hat. I'd be miffed about that too if I were mayor. [Sorry Mr. Grondahl. Couldn't resist....]

Finally, this morning's Std-Ex has a lead editorial explaining that the Std-Ex will, this election, break with tradition and recommend specific candidates, by name, in various races. The editors seem to think this will be a controversial decision. Can't understand why. Most major newspaper endorse candidates at election time. Looks to me like the Std-Ex simply catching up, at last, with the competition. For whatever reason, a good decision.

63 comments:

Anonymous said...

A few things the article does not mention:

The Articles of Incorporation require that the Bylaws can only be changed with the written consent of the Mayor.

The list of Board members in the article includes names of members of the community. The additional members have only been added in the last few weeks after criticism of the exclusion of any citizen except for Mr. Browning of Bank of Utah. The other members were the Mayor, John Patterson, David Harmer and Mark Johnson up until that time.

The Bylaws require an annual audit with the auditors to be chosen by the Board and Ogden City.

How much closer can you get to an extension of Ogden City government

Anonymous said...

Right or wrong it seems that Neil Hansen will turn every stone over in this city until there is not one building or development project left. All stones will be toppled and again we will be left in a big dust bowl. I do think that this move is a politcal assault on the Mayor for Hansen to appear to be on the offense. I know all of you on this blog hate the Mayor and have pretty much endorsed Hansen all along but I wonder what his motivation is as well. It has already passed State review. I am not defending the Mayor so much as wondering what the benefit of pushing away investors and developers does for our city. I am voting for Susie VanHooser anyway. She is right in the middle of these two extremists. What is the value of always tearing down?

Anonymous said...

Turn:

It's pretty simple, really. If the City did not properly handle the allocation of $3,000,000 in state and federal grants in re: the American Can building, we [the public and the state] need to know that. Mis-handling grants can make it difficult to get more of them in the future.

So far as I know, Mr. Hansen has asked for a state audit, at the request of a constituent. The Mayor's objection seems to be that anyone is asking the Auditor to look into it.

And if the initial post above on this thread is correct, then it does seem the Mayor has been scrambling of late to make the Foundation appear to be less of an Ogden City operation than, apparently, for most of its existence, it was. This suggests to me that the Mayor is aware that at the least the Foundation, of which he is head by right of his being Mayor, has not handled everything as it should have. [Please note we have the admission of one of the Mayor's staff that the Foundation has not followed its own by-laws.]

I don't know if there were serious problems in the handling of the grant funds or not. I've posted here, several times, hoping that all was done appropriately and that Ogden will not have to refund any of the money or pay any other penalty. I still hope that is so. But I'm damned if I can see what's wrong with asking whether it was properly done and asking the Auditor to check it out.

For example, why didn't the Foundation, headed by the Mayor, voluntarily relesase the minutes of the meetings that were refused under the GRAMA request? "No, we don't have to" hardly seems a sufficient reply. Inevitably, the question arises "what does the Foundation not want to the public to know it is doing?"

Nor sure how asking the state auditor to look into the city's handling of grant money constitutes "pushing away investors and developers."

I've not talked to Ms. Van Hooser about this matter, but from what I've seen of her work on the Council, she seems to be a strong advocate of open government and public accountability. I doubt therefor she'd object to people asking whether the city is handling its finances properly. I could be wrong about that, but I doubt it.

Why don't you ask her?

Anonymous said...

Ogdenites have lived for so long within mayor Godfrey's secrecy bubble that many of us have completely forgotten what it's like to have open, honest government. Godfrey's approach is not normal American style government.

I, for one, and very curious to know how this shadowy foundation wound up in the chain of title to the American Can sale.

Kudos to Rep. Hansen. He's asking the kinds of questions that our own city council should have been answering for years.

I haven't made up my mind who'll get my vote, but it's nice to see Hansen putting his money where his mouth is. So far he seems to be the only candidate who isn't completely intimidated by Mayor Godfrey.

And where did you get the idea that Hansen is out to destroy every "building or development project", turn the cheek? If you believe in open and honest government your comment makes no sense.

I think it would be wise for all of us withhold our support from any single one of these challenger candidates, until we've had a chance to hear their platforms.

Anonymous said...

John S:

You wrote that it would be wise not to decide who to vote for "until we've had a chance to hear the... platforms" of the "challenger candidates."

Sage advice. It's early days yet. The filing date for candidates has just passed.

But you also wrote: I haven't made up my mind who'll get my vote, but it's nice to see Hansen putting his money where his mouth is. So far he seems to be the only candidate who isn't completely intimidated by Mayor Godfrey.

I agree, it's good to see Hansen standing up on this. [Local Democrats who stand up on local issues are not thick upon the ground in Ogden City.] But it's very early days to conclude that he's the only challenger candidate who'll do so. We need to give Godfrey's other opponents a chance to weigh in on the issue too, to be fair. I'll be interested to hear what they have to say on this. I wish the SE article had gotten their reactions too.

Anonymous said...

I'd like to know what Van Hooser thinks about all this. I was surprized that Scott Schwebke didn't have something from her.

Anonymous said...

Thanks to Scott Schwebke for finally doing an article with some meat about what has been going on in the Ogden City Mayor's office.

He still has a lot more work to do if he is going to tell the true story of Da Vinci Academy/Riverside Technology High School and the convuluted transfers of the American Can property.

His article states that Wadman contributed their ownership percentage of American Can LLC to the Ogden Community Foundation.

What isn't disclosed is that David Wadman came out with a $3 million plus historical tax credit from being involved in the deal.

That $3 million historical tax credit comes out the pockets of all taxpayers nationwide.

And the ownership donated by Riverside Technology is the ownership that rightfully belongs to Da Vinci Academy/Riverside Technology High School because of the terms of the Utah grant for the $900,000.00.

Instead, Da Vinci has been paying monthly rent of around $17,000.00.

That figure varies when the student load varies as Utah taxpayers pay for the number of students attending the Charter School.

Ironic that Da Vinci pays rent for a facility that the school was meant to own.

Riverside Technology has been used for 3 years as the name for a corporate non-qualified 501(c)3 Foundation called Riverside Technology Non-Profit Foundation which used Da Vinci's Federal I.D. number.

This leads us back to the question of why doesn't Da Vinci Academy own the American Can property instead of the Ogden Community Foundation?

And the answer is "big bucks" and deliberate manipulation of the property by Ogden City big guns including the Mayor.

If anyone has been playing politics with the American Can property it is Mayor Matthew Godfrey and his assorted employees.

And this is the truth based on documented facts.

Anonymous said...

The person running for mayor should have more experience in Ogden City government than Ms. Van Hooser.

She needs a few years on the City Council to get a feel for what is and has been going on.

Even the Council members like Garcia and Safsten who have been on the Council for a lot of the time that shenanigans have been going on didn't have a clue about the Ogden Community Foundation until it surfaced in January when it acquired and sold the American Can property.

Elect some one who has some municipal experience and not just because you happen to like them.

Anonymous said...

Scott Schwebke's article states that "the aim of the foundation is to accept financial contributions to provide funding for education, health, safety, recreation and cultural enrichment programs to benefit Ogden residents".

The actual wording from the Amendment to the Ogden Community Foundation Articles of Incorporation (Non-Profit) dated March 3, 2005 amended ARTICLE III (CORPORATE PURPOSES)with the following text:

"Said corporation is organized exclusively for charitable, religious, educational, and scientific purposes, including, for such purposes, the making of distributions to organizations that qualify as exempt organizations under Section 501(c)3 of the Internal Revenue Code, or corresponding section of any future federal tax code."

Mr. Schwebke's article must have been quoting someone in Ogden City when he states that it covers "education, health, safety, recreation and cultural enrichment programs to benefit Ogden residents".

It would seeem that Mayor Godfrey and the Board of the Ogden Community Foundation have ignored their own bylaws in several instances.

We need a Mayor who will dot the "i's" and cross the "t's" and not make up their own rules as things progress.

I find this circumvention of the bylaws as bordering on the illegal.

I have been told that the standard answer when an Ogden City employee suggests that something is not quite right that they are to go ahead and do it anyway and straighten it out later.

The straighten out time has arrived.

Elect a new Mayor.

OgdenLover said...

I've been very much impressed with Susan Van Hooser as a CC member, especially with how she hit the ground running and has asked some good questions. I think she might well make a fine mayor one day, however, like "an old observer of politicians", I think she needs more time in city government first. That was a fine start, but being one of many CC members is different from running the whole shebang.

It helps to have a sense of history, have made friends and connections, and know where the bodies are buried before taking over a situation like the one Godfrey will leave to his replacement.

Anonymous said...

Ogden lover...
Your right. Susie is good, very inexperianced when it comes to how the city is being run. I understand that Hansen has 21 years of working for the city and now 10 years of being in the house of representatives. Even godfrey can.t match that and I might also add it seems that Hansen does his home work and is only asking questions that the city council should have asked along time ago. So where was susie in all this?

Anonymous said...

Curm,

I disagree with you regarding newspaper editorial boards endorsing candidates. I know it's a lengthy American tradition, and I know that most major papers do so. But I think it compromises objectivity and it's too meddlesome with the democratic process, especially in a small town such as Ogden, which only has one major paper.

I say this complete with the expectation that the SE will endorse Van Hooser or Hansen over Godfrey. And actually, I suspect that the poor and divisive performance of Godfrey is partially the reason the paper has decided to throw thier influence into the race: to save Ogden.

They still ought not to.

Anonymous said...

It is interesting that Schwepke is withholding or ignoring vital info as it pertains to this scam.

Every one seems focused on the $900 Grand initial grant from the State, and the other Million or so also from the State.

What is missing, and what Schwepke is fully aware of, is that there was also two seperate RDA TIF schemes in the middle of this deal. One is for $4,200,000 that was ear marked for the parking structure which appears to have been built, although I sure don't see $4 million bucks sitting there.

The other is for $4,100,000 that was supposed to go into renovating the building. Where is that money? It sure as hell doesn't look like it has been spent on the bldg.

These two TIF bonds are now part of Ogden's $100 million dollar debt. Both are due to be paid off by 2017, ten years from now, out of property tax increment funds. (a scam if there ever was one!) These bonds were issued in 2004, and so far I do not believe that there has been anything paid on them yet.

Bottom line is that over $10 to $11 million dollars of public money has gone down this secret rat hole of the Mayor and Scott Brown's. The only thing to show for it is the decrepit bldg itself, the questionable parking structure and the very small part of the overall complex that is occupied by the Academy.

So the real questions, the ones the Standard has so far avoided, is:

"Where is the money?" and what is the justification for them having it?

Who really has benefitted from these scams?

What is the connection between this guy in Colorado and Scott Brown and/or the Mayor's other cronies?

What are the terms of his agreement that apparently has the city carrying the contract for this guy?

Yes Mr. Mayor, it sure seems that it is all just an innocent set of circumstances that the bully Hansen is crassly using for dirty politics. Oh, that and the Sun really does revolve around the Earth.

Anonymous said...

Native:

You wrote: I say this complete with the expectation that the SE will endorse Van Hooser or Hansen over Godfrey.

I wish I was as sure about that as you are.

But that aside [ignoring for the moment the question of who that paper editorially supports], you're right: we'll just have to agree to disagree on this one.

Be interesting to see who they do back, and how it all turns out. They do [as today's editorial noted] have a problem in that they are a regional paper... most of their circulation is outside Ogden City... and so will be covering a passle and a half of council and mayoral elections from very small places to Ogden.

I gather they will not be taking stands in the primary elections, but only in the final elections. Hard to see the logic of making recommendations in the latter but not the former.

Also, their opening quote:

"Tradition ... is the democracy of the dead." -- G.K. Chesterton (1874-1936)

was... unfortunate? Do they really want to denigrate "tradition" as "the democracy of the dead?" Interesting POV for a Top of Utah paper to take two days before Pioneer Day, que no? Wonder how all their Conservative readers will take to the attack on the dead hand of tradition? Poor old Edmund Burke must be spinning in his grave. [But then, the Neo-Conservatives of Utah don't read much Burke these days I gather.]

Going to be an interesting election season I think, Native. I'm looking forward to it. Hope you are too, whoever you like on the early line. And should it come to pass that the SE, incredibly, endorses someone I do not, you can remind me of my earlier insistence that paper endorsements are good things. [I suspect I may be rethinking my position on that if the SE choose badly....]

Anonymous said...

LOGIC 101
by Mathew Godfrey
Mayor and Business Tycoon

"If it is on your front lawn,
and if it looks like Dog Crap,
and if it smells like Dog Crap,
it is really a Tootsie Roll"

Anonymous said...

Van Hooser was out stumping this morning getting all chummy with the local crowd at Grounds for Coffee. I hope she works on her approach a little bit....the "I love Ogden" approach lacks inspiration and her predictions of Ogden in the future seemed less than reality based. If I were to decide today I'd have to pass on her based on what heard this morning. I hope she sharpens her message.

Anonymous said...

A story earlier this week in the SL Trib about the State Auditor looking into the City's handling of grant money has a few more quotes from the Mayor that are... or could be... significant. For example, the Mayor seems to have adopted the Alberto Gonzales defense [well, after all, he is a Republican] --- i.e., he doesn't remember:

At times the foundation has met in public rooms at City Hall, but Godfrey denies that it operates out of his office.
Minutes are kept by a board member elected as secretary, Godfrey said. Whether that individual is a city employee - which Hansen suspects - was unknown Friday. Godfrey, who said he sits on 22 boards, said he could not remember the secretary's name.


In the article, Rep. Hansen notes that

after attending a council work session where members of the Ogden Community Foundation gave a presentation, Hansen filed a government-records request for meeting minutes. His request was denied. "If it's all on the up and up; why be so secretive?" Hansen said.

Exactly. But then, Mayor Godfrey's preference for keeping the public, and even the Council, in the dark about what is happening at City Hall is by now well established.

Here' how I think my mayor... presuming he had noting to hide or worry about that is... should have replied when told the GRAMA request had been denied:

"The city attorney assures me that the Ogden City Foundation is a private organization, not a public one, and that therefor its records are not subject to GRAMA requests.

"Nevertheless, I and the other members of the Foundation Board want the public to be absolutely certain that the Foundation has acted, and is acting, in the public interest. And so, the Board has decided to make the minutes asked for in the GRAMA request public voluntarily. The Foundation has nothing to hide; there is nothing we have done that the public shouldn't know about.

"And so the Foundation is having its Board meeting notes copied... using Foundation not public money in case Rep. Hansen is wondering. Since the Foundation is a private body, we can't make them available at City Hall, but Mr. X {some board member] has kindly offered to make the notes available at his company's offices on X Street. Copies will be available there beginning at one PM tomorrow to anyone who would like to see them.

"It is unfortunate that someone involved in a political campaign thinks the way to win is to raise unfounded doubts about the propriety of men who donate their time and efforts to better Ogden on the Ogden City Foundation. The best way to clear away such unfounded implications is to make the Foundation's records available to the press and public, and so we are doing that now.

"Any questions?"


Didn't do that, did he.

The full SL Trib story can be found here.

Anonymous said...

In the SLTrib article, Godfrey says he sits on 22 boards (of directors.) I find that a remarkable assertion. Can anybody confirm that?

As far as the Ogden Community Foundation we have cash changing hands; all directors are Godfrey's city underlings or cronies, real estate is being transferred, millions of dollars of city, private, and federal money are involved and intermingled, Godfrey says he can't remember what is going on, and he refuses all public oversight.

This is the stuff that can make a reporter's career take off. Will there be one to investigate this tenaciously?

Kudos to Hansen. Keep looking. We want to know. We need to know. We deserve to know.

Anonymous said...

To all of you that doubt Ms. Van Hooser as a viable candidate because of her lack of involvement in city politics to this point in time or because she hasn't been a city council member for that long, I have just a few observations.

First, our current mayor had no experience in politics and was fired by the city prior to running for mayor. Yet he was elected and most likely by some of you that post here. Some times new blood is a good thing.

Second, I think that both Ms. Van Hooser and Mr. Hansen are both marked improvements over what we current have in office today. Both have the best interests of Ogden in mind, both believe in open government and both have their strenghts and weaknesses.

I say lets see what the two have to say before we start judging them based on some precieved deficience that may or may not be there. Just because someone hasn't been on the council for years does not mean that they are not capable. They very well may have picked up the needed skills in other positions within other organizations.

Lets listen to what they both say before we draw any conclusions. There is still plenty of time before the primaries.

Anonymous said...

Keep in mind that all this shaky stuff was initially coordinated by Scott Brown(since disappeared) through a bogus foundation illegally using someone elses Tax ID number. By the appearance of the newly establishished Ogden Community Foundation,2005, lying little matty and cabal must have known they were pushing their luck, and tried to look legit. Also pretty funny would be that suddenly a new player burst on the scene, as president of the bogus Riverside Technology Foundation, he signed away the property to the Ogden Community Foundation.He seems to have joined as president and also reappears as a new( make it look good) newly added board member of lying little matty's new non city controlled foudation, POTATO NOSE.
I must wonder if when it all comes to light, lying little matty hasn't tossed him under the bus again.

Anonymous said...

Danny

You said:

"As far as the Ogden Community Foundation we have cash changing hands; all directors are Godfrey's city underlings or cronies, real estate is being transferred, millions of dollars of city, private, and federal money are involved and intermingled, Godfrey says he can't remember what is going on, and he refuses all public oversight."

And I say:

Bravo, this is the best summary of this particular fiasco yet!

Anonymous said...

I have an idea.

Why wait for the Trib and the SE to do the story of the Ogden Foundation American Can affair? Does everyone remember that the Bootjact story broke here, on the WCF, before the local papers picked it up and started covering it?

With what Dorothy and Bill C. already know, why not simply write the story here?

As Albert said, above, some find my tiresome ramblings to be entertaining - I would be happy to punch up the draft before it goes out if Dorothy and Bill C would send me what they know. Or, Curm or Rudi could provide the service.

What do you think Ms. Littrell and Mr. C? Remember, if you want something done right . . .

Rudi has my email address if you want to try it.

Anonymous said...

Danny Boy, I just happen to have a CD, it's got almost anything you can imagine on it. You're welcome to have a look, download it and go where ever you want with it. Part of my effort has been to get it in as many hands as possible. Same goes for the articles of Incorporation and by-laws od Ogden City Foundation and the lease of the rec center. All Quite unbelievabe.

Anonymous said...

Ozboy, funny how so many tax dollars can go thru a property and be sold for less than a third of that ammount. Where has all that money gotten off to?

Anonymous said...

The more I think about the terms of the Junction lease the more it appears that poor old Ogden's downslide was used quite conveniently as justification for the way the tenant was courted and lease awarded to a select individual without any attempt to reach out for better terms favoring the city.

Much thre same way the mystery WMD's were used as justification for war. These neocons are most adept at steering oversight away from their pet projects so that they may operate in complete freedom. Nielsen/Gold's are our local equivalent to Halliburton, enjoying the closest of relationships and getting the plums as they drop.

Anonymous said...

While the Godfrey team was singling out naysayers they were actually the one's driving away at the desperation card telling us all that no one would touch downtown without these off the scale incentives. All in the interest of rushing to build matty's legacy.

Anonymous said...

One fired employee who is really getting ticked in the teeth by Ogden is Lewis Reese, the ex-principal of Da Vinci Academy.

Da Vinci was created by the Utah Legislature at the request of the State School Board with a $900,000.00 grant lobbied for by Mayor Godfrey to acquire the American Can property for a High Tech Center anchored by Da Vinci Academy.

It is the role of the Utah State School Board to have their own separate audit done on Da Vinci Academy each June 30th.

That Auditor found certain discrepancies in the June 30, 2006 audit and instructed Lewis Reese, then principal, to take the issues to the FBI.

Lewis Reese did as they suggested and was fired for doing so.

He was not only fired but he has been blackballed by Ogden so that when he applies for a job and the prospective employer asks for a reference from Ogden the reference is couched to keep him from getting the job. Because of being blackballed he and his family are out on the street and have since lost their home. Their circumstances are becoming dire.

In early 2007 Da Vinci had their annual required audit of procedures and curriculum and passed with such high marks that they will not have to have another such audit for six years.

This was shortly after Lewis Reese was terminated after he had been responsible for the school until that time so it appears he had been doing his job very well.

His big mistake was in doing what the State Board of Education auditor told him to do.

I am bringing this information to light because everyone in Ogden needs to know how vicious and ugly Mayor Godfrey fights anyone who interferes with one of his plans.

You are going to ask what he has to do with Da Vinci Academy and the answer is "everything".

Scott Brown was the guiding hand behind Da Vinci from the day it became a plan in order to acquire the American Can property.

Da Vinci was created as a Charter School. A charter school usually fails within the first 3 years of operation. It was the Mayor's plan for it to fail so that Ogden would own all the property.

It would have failed except for the President of the Da Vinci School Board borrowing $100,000.00 in her own name to save the school in 2005. This was the year Lewis Reese became the principal who also helped save the school.

If you are going to vote for the next Mayor of Ogden please do your homework and know who and what you are really voting for.

Are they what they appear to be??????

Anonymous said...

This is interesting:

Ex-N.J. mayor indicted on corruption charges

"Updated: 4:14 p.m. MT July 12, 2007
NEWARK, N.J. - Former Newark Mayor Sharpe James was indicted Thursday on corruption charges involving land sales...

The federal grand jury’s 33-count indictment charges James with fraud for allegedly facilitating and approving the cut-rate sales of city-owned land to a female companion....

The woman accused of buying the bargain-priced city land, Tamika Riley, also was charged with fraud and was to appear in court. Riley, a 38-year-old publicist and former clothing store operator in Newark, allegedly made more than $500,000 from the land sales, authorities said...

In a handwritten letter to The Associated Press, dated June 16, he said he never had the power to broker land deals or set prices by himself.

'No, no, no, the mayor is not a boss or a lord or can give away municipal land,' he wrote."

The indictment charges that James improperly steered properties to Riley, and that she, with James’s help, quickly resold at least seven properties at much higher prices. Riley was able to buy the properties though she lacked real estate and construction experience and the financial ability to rehabilitate the properties, the indictments alleges."

Anonymous said...

I'd just like to point out that, thanks to Rep. Hansen, the state auditor is looking into how Ogden handled its grants, in particular I gather, in how it used the grants to acquire property and the subsequent transfers involving that public property. Seems to me the course of prudence to wait upon the results, or the development of other information, before alleging, even by implication, that crimes have been committed. Even if the Auditor concludes the grants were not properly handled, criminal conduct will not necessarily have occurred. And the remedy may be the sort that results from civil cases, not criminal ones. And it may end up that the Auditor concludes that things were done properly, as the Mayor claims.

The Mayor's problem in all this so far, as the investigation goes forward, is in my view, his evident annoyance that anyone is daring to even ask what he his administration has done. It's of a piece with the administration's hissy fit when the Council dared to ask who was actually buying the Bootjack property the city was selling. The administration's position was "it's none of the Council's business. How dare they ask!" And that's the Mayor's problem on the grants and American Can matters too: his preference for secrecy, his ill-disguised contempt for open accountable government, his irritation that the papers, the public or anyone else dares to ask questions.

This morning's SE has an editorial here rightly taking the Big Sky Conference's athletic commissioner to task for his asking the press not to ask coaches whether they had any complaints about the officiating in the game just finished, because the Conference does not want such questions asked.

Got me thinking.... Should Hizzonah the Mayor be unsuccessful in his re-election bid, perhaps he can find work in the front office of the Big Sky Conference. They don't like people asking questions either. He'd fit right in.

Anonymous said...

The one true talent lying little matty has displayed in his 7+ years at the helm, is his desire and ability to put tax dollars in the hands of private individuals.
Even when some have disaggreed with him, like Woodburry, he paid them off with your money, plus interest.

Anonymous said...

Neil Hansen's actions are politically motivated (let's not suggest that they aren't). I'm not saying he (or anybody else for that matter) shouldn't be asking these questions, the issue has been brought up on this forum for months, but Neil bringing them up at this point in time are clearly motivated by politics, just as a lot of what the Mayor is doing now is politically motivated.

Anonymous said...

Jill:

Well, by that standard nearly everything in a political year is politically motivated. Every announcement by the Mayor, every policy decision, every press release. If "politically motivated" means likely to have a political impact, I'm hard put to think what wouldn't be.

The usual standard applied, I think, to decide whether the "politically motivated" charge is valid or not, is whether what is being alleged is true or not. Sen. Vitter [Family Values Republican -- Louisiana] claimed when it was first alleged that he was frequenting prostitutes that the charges were "politically motivated" by which he meant "false." Turned out, the charges were true, so I don't think they could fairly be called dismissed as politically motivated.

When charges are made that turn out to be false [e.g. that Bill and Hillary Clinton were engaged in bank fraud in the Whitewater matter for example --- millions of dollars of federal tax money spent investigating the matter over four years, and no criminal conduct by them discovered and no charges brought] then I think we can fairly claim the charges were "politically motivated."

The other point I'd make is this. If Rep. Hansen were not running for Mayor, is it probable he would still have asked the state Auditor to look into this matter? I think the answer is probably, "yes, he would have in his capacity as state Representative." But you might then reply he was doing it to improve his chances of re-election as a Representative. And I'd agree. But again, by that standard, almost everything a public official does is politically motivated. Term doesn't mean a whole lot, seems to me, if we apply that loose a definition.

Anonymous said...

You almost got it right, Curm, when you edged into a discussion of 'right' and 'wrong'.

Hansen did the 'right' thing by forwarding a constituent complaint to the proper authority, the State Auditor, even knowing he might take political flack from Godfrey, his supporters, and other cynics.

It would have been 'wrong' (and self serving) for Representative Hansen to have buried the whole thing, even in an election year.

His highest duty is owed to his constituents, and his own political self interest ranks about last place.

There are also several other things we need to keep in mind:

1. Godfrey "blew the whistle" on himself in this instance. The ongoing audit would have been entirely private and confidential if Godfrey hadn't decided to run to the press to complain. If anyone is playing politics with this story it's Mayor Godfrey.

2. Hansen has also carefully avoided making any accusations.

I find it refreshing in this age of political 'wilyness' that there's at least one Ogden politician who is willing to do the 'right thing.' Rep. Hansen gives me hope for the bright future of Ogden.

Anonymous said...

Let's talk about the "right thing," Laszlo. I am not a big fan of Mayor Godfrey and I'm a constant critic. I will give him credit where credit is due, though. Same with Hansen. I'll give him credit where credit is due. But he does not always do the right thing, either. Wasn't there a newspaper article not too long ago detailing gifts he received from lobbyists? This pales in comparison to some of the things Godfrey has done, but I do hold my politicians to a high standard, and a wrong is a wrong (if we don’t call them out for it, who will?). Maybe I'm just young and naïve, but seems to me if a politician is campaigning at least partly on "integrity" then accepting gifts from lobbyists may not have been the wisest choice.

Anonymous said...

Jill,
Define for me political? Isn't this the time we get the Mayor out of the Ivory tower and He nows has to answer
to the public, of course it is all political, duh, duh.
Now also answer this question. what is the first job of a politicain?

Anonymous said...

Is anybody really surprised that Mayor Godfrey's arrogance appears to vastly exceed his so-called integrity? A mayor with real integrity, as compared to Mr. Godfrey's self-announced integrity, would foster public awareness and "open the doors to sunshine" regarding any questionable matters that concern his administration.

A mayor with true integrity would not have a habitual policy of keeping constituents, and council members, "in the dark." One can't help but wonder what our mayor keeps trying to hide. Perhaps he's been attempting to hide the "tip of the iceberg."

Please excuse the cliches. It's lunchtime, and I'm hungry.

Anonymous said...

junctionwhatisyerfunction,
the only differance between godfrey and hansen in the gift area is this, hansen has reported his and godfrey has not, so i'm with hansen because he is open and all the public knows, with godfrey know one knows.

Anonymous said...

In today's paper there is an ad for "The Mile Race" sponsored by none other than the Ogden Community Foundation. They say it's the fourth year this race has been held and yet it's the first I've ever heard of it.They list a web page "www.themilerace.com" that you can go to for more info and registration.

At the bottom of the page there is a listing of the website designer, V I S I O N A R Y D E S I G N, LLC. If you click on that link it takes you to the companies home page. If you click on their listing of portfolios, you'll see where this is the company putting together Godfrey's re-election web page (which is under construction).

Could this mean that foundation money is financing the mayor's bid for re-election through the back door? Who knows, but knowing Godfrey I wouldn't rule it out.

Anonymous said...

to junctionwhatisyerfunction,

I was one of those concerned citizens that talked to Hansen about the Foundation. Who do you suggest that I turn to if the mayor isn't talking? Hansen is in a position to elevate this issue to someone that might get to the bottom of the matter. If that's political because he's trying to assist his constituents then all I can say is I hope his type of politics takes control of the leadership of this city.

Anonymous said...

ozboy,

An official Ogden document dated 10/1/02 TARGETED INDUSTRY APPLICATION which was the official application for a Utah Industrial Fund Grant in the amount of $900,000.00 states under paragraphs 7 and 12:

Paragraph 7. Have you applied for or received any other governmental funding?

- See Attachment A: Source of Funds
- Ogden City applied for and was granted a Supplemental Brownfields Grant Award for Environmental Assessment in the amount of $200,000.00. Some of the funds will be used for site assessment of the site and surrounding area.
- Ogden City has also submitted a pre-application to the Economic Development Administration for a grant of $2 million. The funds will be used for the acquisition and rehabilitation of the property.
- Ogden City will also contribute tax increment to the project in the amount of approximately $2.1 million. The remaining funds will come from a private investor/developer.

Paragraph 12. List other city/county, federal, and private incentives offered (if any). List incentives offered by competetive out-of-state alternatives.

- Tax increment incentives (estimated $2.1 million)
- Historic tax credits (estimated $3.5 million)

This is how Ogden City comes up with the figure of $4.1 million cost of the parking structure.

The $2.1 million tax increment hasn't happened yet and may never come about if the property never generates that much in property tax.

Evidently the $200,000.00 Brownfields Grant went to purchase the American Can property along with the $900,000.00 Utah IAF Grant to make up the $1,100,000.00 paid the Hatch brothers for the American Can property.

The $2 million Economic Development Grant went into consturction of the parking structure. This is why none of us can see the structure being valued at $4.1 million because the $2.1 million tax increment was a giveaway of taxpayer funds that we would have received in the future but now we won't get them.

I have not come across any RDA loan proceeds or where they may have gone in the American Can reconstruction.

It is possible that the Riverside Technology Non-Profit Foundation which had to do with Da Vinci Academy could have received those funds.

I have not been able get any information on the Riverside Technology Non-Profit Foundation from the IRS because it never qualified as a true 501(c)3 non-profit foundation but is considered a public foundation.

As a private foundation their records are not available.

That is why the Ogden Community Foundation, a qualified 501(c)3 corporation, is the key component in the whole picture in order for it to wind up owning the American Can property so that the $3.5 million in historical tax credits can go to the Wadman Historical Foundation.

Only qualified 501(c)3 non-profit entities can transfer or acquire historical tax credits.

Anonymous said...

Dorothy

My information on the two seperate RDA TIF bonds for the American Can Property comes directly from a Memorandum from Richard McConkie to the City Recorder dated December 13, 2004. It is in response to a GRAMA request for records submitted by that great patriot, and wonderful man, James R. Briley.

The memorandum lists all "projects that have been approved and are moving forward", and includes these two $4 million plus TIF bonds due in 2017.

Did these bonds not get issued and spent as reported by the city?

If that is the case, it only points out once again how the citizens cannot trust what the city puts out, even on a GRAMA request. That is why we are so fortunate to have you in the game Dorothy. You are a true bonafied truth ferret!

Anonymous said...

Has anyone looked up the actual owners of the OGDEN COMMUNITY FOUNDATION address? They are, according to the Weber County GIS (property tax information site):

Mark L & WF Gayle A Johnson
1660 22nd Street Ogden, Utah 84401

John C Patterson is the registered agent.

If this has already been mentioned, please disregard. You can find this information by
going to the Weber County website. Click the property tax info link on the left, and type in the address.

-glaringlynx

Anonymous said...

Isn't there also a conflict of interest issue here? If the mayor is using his office to conduct private foundation business isn't in itself illegal? I know that I would not be allowed to do that from my office. But maybe the city has no law against such a thing, like there is with the state.

Anonymous said...

"FOUNDATION, CITY TOO CLOSE"

A thousand points of light!

REVELATION!

Earth shaking news!

Baloney....Relax people. All this Hansen exposed stuff is merely campaign/pre-election politics. The cost of the ink to print the story is more significant.

Anonymous said...

Polster, do you have any rebuttal, though, to the information put forth in both the article and on this blog? Simply claiming that this is nothing is not enough. There seems to be quite a bit of smoke here. Can you respond to any of it?

Anonymous said...

ozboy -

If you have the time please call Mr. McConkie about these bonds.

I am looking at the Ogden City June 30, 2006 Audit Report pages 65 and 66 which list all Tax Increment Revenue Bonds.

No bonds listed mature in 2017. Evidently the ones you are concerned about have either been paid or refinanced in some other bonding.

Anonymous said...

glaringlynx -

The address you currently are checking belongs to the Chair of the Board, Mark Johnson.

Prior to a few weeks ago it was the Mayor's address.

The address was changed when more Board members were added recently to give the appearance of respectability and of being arms length from Ogden City.

Anonymous said...

The person calling themselves "POLSTER" is blowing smoke if they think what is being put on this blog is a bunch of baloney.

Anonymous said...

Polster:

Please note that Rep. Hansen simply asked the State Auditor to look into the matter and he agreed to do so. Kind of hard put, I am, to understand why Godfreyistas are in such a hissy fit over a simple request to have the Mayor's actions looked at.

I also note that the audit would probably not have been necessary had the Administration adopted as a matter of policy open government and full accountability for its actions. But it didn't.

As for the Audit being pre-election politics: well, my own view is that the Mayor's complaining that the audit is just politics on Hansen's part is just politics on Godfrey's part.

Settle back, Polster, and let's see what, if anything, the audit turns up. It may give Hizzonah a clean bill of health, after all. Unless you know for a fact that that is not likely....

Do you?

Anonymous said...

Since the question of accepting gifts from lobbyists has come up again, let me state again, briefly, two points:

1. My preference is that NO Democratic legislator, Hansen included, ever accept anything from a lobbyist. Not so much as a cup of coffee. I think that ought to be a law applicable to all legislators. Not a cup of coffee. I agree entirely with the SL Trib which says election to public office entitles you to exactly NO perks not available to other citizens [with the exception of a reserved parking place at the capital]. If legislators want to see the Jazz play, they can buy their own damn tickets just like the rest of us. If they want to eat high on the hog, they can pay for their own damn meals just like the rest of us. If they want to tee the ball up, they can pay their own damn greens fees just like the rest of us.

2. That said, I long ago gave up expecting candidates I support to be perfect or to agree with me on all matters [though of course they would be wise to do so]. The question I ask is this: on balance, is this candidate (a) better than the alternative available and (b) likely to do more good in office for the people of Utah than bad? If the answers are yes to both, he gets my support. Even if he's on the Jazz Ticket List of some lobbyist... though he shouldn't be.

Anonymous said...

"B. GEIGER, POLSTER [SIC] ARE SAME PERSON"

Revelation!

A thousand urban gondolas!

Relax, Polster, it's just one of many nefarious Mayor Godfrey schemes that will come to light as the primary approaches.

Anonymous said...

Pulled the following off the net. The story is about the corrupt Mayor of Newark who is now under investigation. It is amazing how close this is to the manipulations of our very own Mayor Godfrey.


"In 2004, James (mayor of Newark) introduced a law that when passed gave him more power over the sale of city land..."

James of course then apparently proceeded to deal out city land to his cronies at very low prices, just like Godfrey has with Peterson!

Maybe Godfrey took lessons from this guy seeing that he passed an ordinance in 05 that gave himself total power over disposing of city land. So far he has stayed true to form by dealing out some prime city owned land to Peterson at a very favorable price?

And Polster, you seem just about as smart and honest with your head in the sand, trust the Mayor no matter what stance, as the average dumb assed Godfreyite and/or lump on a log! Any one who attacks the messenger instead of addressing the message is really pretty stupid. It is obvious you don't want to know the truth and are dumb, fat and happy with the potential corruption at city hall.

Anonymous said...

from the NJ mayor story I read,

“The allegations in this indictment are stark examples of the greed and arrogance of unchecked power,”

Isn't this just what Rep. Hansen is checking into, is the unchecked Power?
I always thought this is called a check and a balance. and if our city council is not going to do that, I guess that some one with some knowledge of the system will. I'm glad that there is someone that will at least find the answers.

Anonymous said...

the Weber foundation is also a example of not having anyone check the scams of those that are in power.
Lets all do what is right. For the people.

Anonymous said...

right on:

The audit is under way. Nothing has yet been concluded by it. Might be prudent to wait for the results before jumping to conclusions.

Anonymous said...

Some time ago, on this blog, there was some discussion about the dog food plant in Ogden, the smell-o-meters the city had bought to monitor odors, and so on.

Well, my latest High Country News arrived today, and I came across an article titled "The Aroma of Tacoma" by Karen Mockler. Here's a line from it:

I prefer a town whose freshness date has expired, one with a slight funk, a little grit, a mysterious stench wafting on the breeze. Such towns dot our great country, and I’ve lived in a few.

An interesting take on mid-sized cities with old industry within. You can find the entire article on line here. [The link will take you to the HCN homepage. You have to scroll down about one screen-length to find the article.]

It's a different take on the aromatic signature of certain cities. So to speak.

Anonymous said...

I have to confess, in reading some of these posts, to having:

1. A sense of awe at the degree of information in the hands of some of you: Bill C, Dorothy Littrell, Ozboy.

2. A sense of confusion in what to make of the information.

I reiterate my suggestion that this needs to be all distilled and written up into a chronological, narrative format so the average person can read it, get a good sense of it, and be entertained by it to the extent of coming back for more.

The standard schtick here at the WCF is to comment on the day's newspaper clippings. What we need is a multi-part series on the "Godfrey Files" that will draw people day after day as the story is slowly revealed, and will draw in the local press as the Bootjack revelations did.

I just don't know how to pull it all together to do it with anonymous posters, like me.

Anonymous said...

Danny:

I believe that what has been going on in Ogden city government is so convoluted that a condensed version can never provide the average citizen with enough information to understand the process that has been used.

Scott Brown of the Ogden RDA was involved with Da Vinci Academy from its inception with one of the more sophisticated schemes.

It covers everything from tax schemes to character assassination to deliberate violation of the truth and the law.

Adherence to the law has been ignored in several instances. Federal Grant monies received by Da Vinci to be used to provide low income jobs were not used to provide those jobs.

An Ogden City employee borrowed a very large sum of money in his own name for use in one or more City projects without approval by the Ogden City Council and on which the Mayor never signed off.

It seems to be a common practice for the Mayor to call female employees into his office to berate them so that they leave in tears.

The only way to get to the real truth will be for a Grand Jury to be called to investigate.

The next meeting of the 5-member Grand Jury Panel of District Judges will be held in Ogden October 11 starting at 8:00 a.m.

Call the District Court Administrator at 801-578-3971 to get your name on the list to appear to ask that a Grand Jury be called to get to the bottom of abuse in Ogden.

The Panel meets for one day with thirty minute appointments for persons wishing to appear.

The Panel wants to hear felony and criminal cases and does not like to get involved in Civil Law cases.

However, if a Civil Law case involves collusion between one or more city employees and/or elected officials then it becomes a felony and the Grand Jury Panel will get involved.

The porn on City computers should come under the collusion provision as Scott Brown was not the only one aware that there was porn that nothing was done about.

It is up to all of us to help get to the bottom of the abuse in Ogden.

This is not about politics. I am not running for anything but it is time that certain truths come out.

Anonymous said...

It seems our state lawmakers are looking at revising the eminent domain property seizure rules in Utah. Interesting story on what they're thinking about in the SL Trib recently. Full text here.

Some legislators have noted the disadvantage property owners, particularly homeowners, are at if they challenge the supposedly "fair market value" for their property offered by a municipality or the state under eminent domain procedures. Some are considering having municipalities pay a figure above "fair market value," presumably to cover inconvenience, costs associated with moving, etc. which are not factored into determining "fair market value."

But Mr. Mike Ostermiller who "heads the Weber/North Davis Association of Realtors doesn't much like that idea, and he told the legislators so recently. "We should stick to the closest thing we have to science, and that's the appraised value."

From the article:

Ostermiller said the core of the problem is the disparity in bargaining power between the condemning authority and the landowner. "Often times the landowner is an average citizen," he said, "with limited means and limited sophistication."

On the other hand, the government group - be it the Utah Department of Transportation working to expand a road or a city hoping to redevelop a blighted area - has staff attorneys to navigate the legal process when negotiations reach an impasse. Ostermiller suggested reimbursement of the landowners' legal fees - if they prevail in court - could help level the playing field.


But:

Taz Biesinger, executive vice president for the Utah Home Builders Association, pointed out that fair-market value usually involves two willing parties. "In eminent domain, the seller is not willing and that must be factored in," Biesinger said. "As you know, the appraisal business is not a pure science."

Mr. Biesinger made a point I'd never considered before. "Fair market value" for eminent domain procedures is set using "comps" [what comparable properties in nearby locations have sold for recently]. But those prices were established by a willing seller selling to a willing buyer. In eminent domain proceedings, invariably you have a willing buyer but an unwilling seller. What "value" can be/should be added to the property's presumed "fair market value" to reflect the owner's unwillingness to sell at all? That's a really interesting question, and the manifest unfairness of treating the home or business owner as if he were a willing seller to establish fair market value seems beyond dispute to me.

Chewy article. [Another good one from Ms. McKitrick.]

Anonymous said...

If the Standard Examiner is going to break from their age old tradition, and recommend candidates. I hope that rather than using private interviews, to make their determination, they would sponser 3 or 4 public forums around town with public questions as well as their own.
I would also like that to happen before the primary to give all the candidates some exposure.
I realize their reccommendation won't come till after the primary, but with their newfound civic dedication and more than observer interest, this may be a way to stimulate more voter participation.
I hope other groups will also provide similar forums as well. Folks have been apathetic for far too long.

Anonymous said...

bill c.

That's a good idea regarding public forums for the candidates. Could perhaps be done on the stage at the weekly Farmer's Market.

Anonymous said...

caddy:

Farmers Market organizers are adamant about "nothing controversial" happening at the Market, I think. Not sure it would be a good venue anyway [imposing politicking on innocent bystanders out for some fresh tomatoes, squash and maybe an ear or corn or two]. I know, I know... if people can get corn from the farmer's trucks, why should they be able to get it from the stage as well?

But in any case, I doubt the FM organizers would go for it. Couldn't hurt to ask, I guess, if the candidates were willing.

But a lot of the people who come to the market are not Ogden residents. Probably a venue that would draw only people who can vote in the contest might be more appropriate.

Anonymous said...

How about the amphitheatre? Stage, Mics and seating.Also the two high schools. Maybe even the polical scinence dept. at WSU could host one.

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