At the conclusion of our Sun Valley City Council meeting today, Mayor Briscoe read the following statement to the public:
“The forensic auditor’s report to the City was received today, August 24th, by the Mayor and City Council. Because the report addresses specific conduct by current and past City employees and City representatives and upon the advice of our Attorney Clay Gill, the report will not be released until further proceedings are held.”
Sun Valley and the entire State of Idaho lost a great friend this week. Jim Cimino was a friend to our community and state. I was fortunate to have had the honor to know him and especially enjoyed our numerous talks at the Post Office where we would see each other almost weekly. Jim let me take this photo of him on September 3, 2010 at none other than Memory Park during the Wagon Day’s Grand Marshall Ceremony for Clint Stennett. He will be greatly missed.
The City of Sun Valley received word this week that it’s insurance carrier, ICRMP, has settled and paid another claim against former City Administrator Sharon R. Hammer and Former Mayor Wayne Willich, this time for actions against City Treasurer Michelle Frostenson.
Greg Moore at the Idaho Mountain Express provided coverage of this story in today’s paper which you can read at this link: “Sun Valley settles another tort claim.”
Please see the details below in the formal press release issued by the City on June 27, 2012 and at the City’s website at this link: “City of Sun Valley Press Release.”
PRESS RELEASE
FINANCE MANAGER/TREASURER’S DRAFT TORT CLAIM NOTICE SETTLED
On June 27, 2012, the City of Sun Valley’s insurer, Idaho Counties Risk Management Program (ICRMP), reported to Mayor Dewayne Briscoe and City Council that it has settled any potential claim against the City of Sun Valley and its officials in response to a draft tort claim notice (“Notice”), which was submitted to ICRMP counsel from the attorney for City Finance Manager/Treasurer Michelle Frostenson. After full consideration of the matter, ICRMP settled the potential claim for a payment to Treasurer Frostenson of $84,127, of which $13,519 was for attorneys’ fees and costs. As in the recent settlement of City Clerk Kelly Ek’s tort claim notice, neither the Mayor nor the City Council were involved in the negotiations or ICRMP settlement with Treasurer Frostenson.
The basis of the draft Notice was the violation of the protections afforded in the State of Idaho’s “Whistleblower” laws. Treasurer Frostenson’s draft Notice states, “During the course of Mrs. Frostenson’s employment with the City of Sun Valley, it became known to Mrs. Frostenson that Ms. Hammer and other employees of the City had abused their respective positions and had thereby misappropriated City assets in various ways, which include, but are not limited to, the following: a) Misappropriating funds of the City; b) Use of the City’s motor vehicle and other City assets for personal benefit; c) Use of City-issued credit cards for personal benefit, other than City business; d) Misrepresentation of paid time off; e) Approval of fraudulent timecards of certain “special employees,” thereby allowing these “special employees” to receive benefits(s) to which they were otherwise not entitled; f) Creation of a hostile work environment by misusing positions of authority; g) Failure to comply with the anti-nepotism statutes, ordinances and/or rules which were in effect and were to be abided by individuals employed by the City.”
The draft Notice continues, “Mrs. Frostenson communicated in good faith the suspected illegal conduct and waste to Mayor Willich on or about October 5, 2011, and to the City Council on or about November 11, 2011. Following the communication, Mayor Willich forwarded a certain Notice of Advice Regarding Investigation to Mrs. Frostenson, which provided that ‘should you believe that any action or conduct by co-workers or supervisors is in any way intimidating or retaliatory to you as a result of your involvement with any employment investigation you are to notify your supervisor or the City’s outside counsel………’
Notwithstanding, on or about December 28,2011, and at various times thereafter, the City, its Council and specifically Ms. Hammer and Mayor Willich himself retaliated against Mrs. Frostenson by placing her on unpaid leave, by subjecting Mrs. Frostenson to offensive behavior and words, and by disparaging Mrs. Frostenson to fellow employees.”
Mayor Dewayne Briscoe informed of the settlement of this claim stated: “Many difficult issues have arisen before the City since the November election. The settlement of this claim, now following settlement of the City Clerk’s claim earlier this month, allows the City to move forward. None of these outcomes are easy. The next key step will be the completion of the City wide forensic audit. With City Council, I will continue to work vigorously to address and to resolve all matters, so the citizens of Sun Valley can trust that its officials and employees are engaged in the day-to-day business of good government.”
Sun Valley City and City officials deny any wrongdoing that is alleged in the draft Notice.
Mrs. Frostenson has tendered her resignation, which Mayor Briscoe has accepted. During the transition period to find and train a successor, Mrs. Frostenson will provide payroll and payable services, and assist with other duties required of the Finance Manager for the City, as an independent contractor.
The complete draft Tort Claim Notice is available on the City of Sun Valley’s website at www.svidaho.org.
Press Release approved for publication and posting by Mayor Dewayne Briscoe, June 27, 2012.
Participants Wanted: Steering Committee for 2012 Comprehensive Plan Update:
The City of Sun Valley is recruiting its citizens to participate on a Steering Committee to review and update the City of Sun Valley Comprehensive Plan, which was adopted in 2005. The Comprehensive Plan is a guide for the future growth and development of the City and its area of impact.
Steering Committee meetings will begin in August, with eight to 10 meetings expected in the following months to complete the review. Interested persons are encouraged to submit a statement of interest to Mayor Dewayne Briscoe by July 12th. Appointment of the committee is expected on July 19th, at our City Council’s regular monthly meeting. Letters can be submitted either in person or mailed to Sun Valley City Hall, 81 Elkhorn Road, P.O. Box 416, Sun Valley, ID 83353 or by email to dshay@svidaho.org.
The City of Sun Valley received word this week that it’s insurance carrier, ICRMP, has settled and paid former City Clerk Kelly Ek to resolve her claims against former City Administrator Sharon R. Hammer and Former Mayor Wayne Willich for their actions against her.
Please see the details below in the formal press release issued by the City on June 11, 2012.
FROM: Mayor Dewayne Briscoe, City of Sun Valley
DATE: June 11, 2012
Re: Sun Valley’s City Clerk Tort Claim Notice Settled
On April 20, 2012, City Clerk Kelly Ek filed a tort claim notice alleging that, “Ms. Hammer (City Administrator) and Mayor Willich retaliated against Ms. Ek both directly by their offensive behaviors as well as disparaging her to fellow employees.” Ms. Ek’s tort claim notice cited a violation of Idaho’s “Whistle Blower” statute and other federal and state protections.
The tort claim notice included that “Ms. Hammer and Mayor Willich, in an effort to discredit Ms. Ek’s position, influenced Ms. Ek’s co-workers to criticize, shun, disrespect, and reject Ms. Ek’s effort in carrying out her responsibilities as City Clerk.” The tort claims the “malicious and unfounded retaliation” was a result of Ms. Ek bringing matters to the attention of the City Council concerning Ms. Hammer’s administration, which “violated her position of authority as Sun Valley City Administrator.”
The City of Sun Valley’s liability insurance carrier Idaho Counties Risk Management Program (ICRMP) provided coverage for the tort claim notice. The Mayor and City Council were not parties to the negotiation and had no role in the settlement.
ICRMP has reported to the City that it has resolved all claims relating to this tort claim notice. ICRMP will pay Ms. Ek $65,000, plus $7,000 for attorney’s fees to resolve the matter. Ms. Ek tendered her resignation, effective June 8, 2012, which Mayor Briscoe has accepted.
Mayor Briscoe, informed of the resolution, stated:
This is another step in resolving the difficult issues, which were brought to City Council and me just after the November 5th election. It is my responsibility with City Council to guarantee to our citizens that all City officials and employees consistently meet the highest standard of integrity and comply with federal and Idaho state laws. We will continue in this endeavor as ongoing issues are resolved in the months ahead.
At the beginning of our City Council meeting today, Mayor Briscoe made the following public statement concerning the forensic audit about to commence:
“The City Treasurer is not the target of the forensic audit and any statements to the contrary by current or past City officials or staff is unauthorized and unsanctioned by the City of Sun Valley.”
We have a series of special City Council meetings scheduled this month in our effort to initiate the forensic audit, search for a new City Administrator, review the Lane Ranch North applications and, of course, conduct our normal monthly business. Here is the current schedule:
April 9, 2012 – City Council Special Meeting – 11:00 a.m. – City Hall, Sun Valley – Forensic Audit
April 10, 2012 – City Council Special Meeting – 1:00 p.m. – City Hall, Sun Valley – Lane Ranch North / City Administrator Search
April 16, 2012 – City Council Special Meeting – 5:30 p.m. – Ketchum City Hall, Ketchum - SV Marketing Alliance Quarterly Report
April 18, 2012 – City Council Special Meeting – 11:00 a.m. – City Hall, Sun Valley – Forensic Audit
April 19, 2012 – City Council Regular Meeting – 1:00 p.m. – City Hall, Sun Valley
April 23, 2012 – City Council Special Meeting – 4:00 p.m. – City Hall, Sun Valley – Continuation of 4/19/12 Meeting
