The West End Project's Fraudulent Financing Scheme

[XLFD]

The Ludington Torch recently received the complete application that our city leaders sent out to the Michigan DNR Trust Fund in order to secure $300,000 in financial assistance in order to redo the West End of Ludington Avenue.  A comprehensive analysis of the application prepared by City Manager John Shay and Community Development Director (and Grant-writing Specialist) Heather Venzke Tykoski, will soon be prepared, pointing out some inaccuracies, omissions, and exaggerations contained therein, but this article will cover only one, that illustrates the corrupt forces within Ludington City Hall.

There is compelling evidence to support the assertion that not only was the wool pulled over the public's eyes but also the eyes of our city councilors.  But first, a background on the basics.  For the fifth year in a row, the city has eyed getting $300,000 from the Michigan DNR Trust Fund (DNRTF) in order to put in a walkway between the terminus of Ludington Avenue and the north breakwall, and to otherwise landscape and reconfigure the road end away from parking and into a reconfigured plaza to hold events. 

Public response has been tepid and mostly against the project at the required public hearings on the project over those five years.  That response has reached a crescendo this year with currently over 150 citizens and visitors submitting a petition against it.  The other side had only city officials advocating for it this year, particularly the two officials already mentioned.  These two also held a major secret from all of us, councilors included.

City Manager Shay created a false narrative at the first public hearing on this project back on March 7, 2016.  The meeting minutes has him make the following claim (highlighted from March 7 meeting minutes)

In the March 7 2016 LCC Packet (p.6) the memo from Shay to the council claims there will be no money coming from city coffers and recommends the councilors pass a resolution to apply for the grant.  In the March 21-2016 LCC p.13, in a follow-up memo, an amended version of the project is presented to the council, but Shay once again says money will come from donations.  This is the meeting where they would pass such a resolution, but it was a late addition to the agenda, since somebody left it off after the public hearing. 

Near the end of the meeting Mayor Cox states (1:35:45 in):  "Entertain a motion to submit an application to the natural resources trust fund for improvements to the west end of Ludington Avenue."  There is no other amendment to that resolution which was passed unanimously, such as committing financial resources of the city to the project.

March 21, 2016 Ludington City Council from Mason County District Library on Vimeo.

But when the meeting minutes were made for this meeting (March 21, 2016 LCC Minutes), this resolution became something quite different.  Recall there is no form of this resolution in either of the two meeting's packets, and the resolution was made solely to submit an application.  But in these minutes and in the one sent to the state, the resolution included language committing the city to match that $82,800 (ResolutionforStearnsBeachRecreationareaMNRTFgrantapplication2016.pdf) namely the clause:

This point was clearly made in the application as well, signed by Heather Tykoski:

If you missed the point, here it is.  City Manager Shay expressly told everyone there would be no commitment of city money to this project, even the councilors.  With the packet they had and the information they received, along with Shay's assertions, they should have had no idea that when they voted to submit the application, they were also voting to financially commit $82,800 of the people's money to this project.  This has been properly done on prior applications.

It was left off everything, except for the meeting minutes especially created for the benefit of the DNR Trust Fund to look at and infer that the City of Ludington has committed that money to the project.  This misrepresentation to the public and the city council is fraud established and perpetrated by the two city officials not only on the citizens of Ludington, but especially the Ludington City Council too.  That resolution as created is a legal instrument that allows these corrupt officials to meet the local match by dipping into the city's coffers for the $82,800, clearly in violation of the processes defined in Section 8.7 of the Ludington Charter. 

The question that should be asked is whether the city council was aware that they were part of this fraud, or whether they are victims like you and me.  They seem to have plausible deniability at this point.

[Willy]

That's funny Aquaman, I also have been wondering about the LDN's debate calendar for the Council elections. I wouldn't be surprised if there were no debates. LDN would be providing a public forum for all the information that X  has revealed regarding the corrupt underbelly of Ludington's politics. Not only would such debates show how the CIty officials have been duping the public but will also reveal LDN's complicity in keeping the public in the dark by printing misinformation, have truths and lies. People will wonder why the truth has been withheld by the politicians and the news media. I believe any debates that include X would make those in charge scurry back under their rocks. If the debates were to be part of the campaign information then I believe they would be some of the most important events ever held in Ludington, that is, if the people are even interested.

[XLFD]

The point I was trying to make with the self-serving comment was that I didn't want to come in and overwhelm the agenda of the Concerned Ludington group and take some of the grass roots feel of it away by posting peripheral issues.  One way the city could try to de-legitimize the group is that they could say it is another prong of my media presence, when it is not.  It was a totally independent effort made by citizens who value breathable air. 

The sad thing is that the group's participation in all likelihood will dissipate away if the odors do the same.  That's too bad, because I believe Shay has once again told another whopper when dealing with this crisis.

[AQUAMAN]

X, I think your point about the group's participation may already have come true. I've looked the last few days, and no one is commenting anymore. The "sour fumes" seem to have dissipated or else the wind is in the city's favor for now. Keep an eye on it for a while, the smell is bound to return in the more humid and hot days ahead I'm sure. The public announcement from city hall did not indicate whom made a press release, but you can bet it's the main culprit in charge. And did not give the name of the contractor, nor the amount of the contract for this work. That would be an interesting FOIA if they refused to give that info..