Latest news with #MikeFoley
Yahoo
11-07-2025
- Politics
- Yahoo
Unsealed court docs detail claims in Montgomery County Clerk of Courts case
Jul. 10—Newly unsealed records in the ongoing criminal case against Montgomery County Clerk of Courts Mike Foley allege discussions about issuing bonuses to employees based on their campaign contributions to Foley, as well as Foley's former campaign manager using county equipment for campaign work. State-appointed Judge Jonathan Hein this month issued an order saying some documents filed by state investigators and Foley's attorneys were improperly sealed in the court records maintained by Foley's office. The order unsealing those records came after Hein accepted Foley's plea withdrawal and reversal of his felony conviction last week. Court records show that Jon Paul Rion, representing Foley, in May subpoenaed former Montgomery County Clerk of Courts employee Tyler Starline for access to texts on his cellphone. Starline — a former Huber Heights city councilman — was interviewed by state investigators days after he was fired from the Montgomery County Clerk of Courts in 2022. Rion wants access to all conversations between Starline and Foley, as well as Starline's conversations with Montgomery County Treasurer John McManus and Second Appellate District Judge Mary Katherine Huffman. Rion also requested "any text messages about Michael Foley or the Montgomery County Clerk of Courts in (Starline's) capacity as the attorney for the Clerk of Courts," according to unsealed court records. Starline's attorney in June challenged this, arguing the subpoena was "unreasonable and oppressive" and would create "significant risk of undue disclosure of privileged attorney-client communications without a protective order." Starline did not immediately return a request for comment regarding his involvement in the case. County equipment, campaign finance Foley's attorneys last year asked the court to suppress information gathered during the state's raid of the Montgomery County Clerk of Courts office in 2022, arguing that misleading information led to search warrants being executed at the courthouse. The state's Nov. 11, 2024 response to that request became available for public view for the first time last week. Starline worked in management at the clerk's office and formerly worked as a defense attorney, according to court records. He told state investigators that while working at the clerk's office, he "observed (Foley's) administrative assistant, who is also his campaign treasurer ... doing campaign finance documents on the County computers where she was filling out his campaign finance report, asking him questions, he was answering from his corner office," according to court records. "Her cubicle's right outside. They're doing all of this on county equipment," Starline told state investigators, according to court records. Some of the 12 counts Foley faces are linked to the time theft of former employee Elle Sollenberger for the time she allegedly spent working on his campaign, soliciting political contributions and working on his private business, Dayton Daily News has previously reported. Sollenberger volunteered for Foley's campaign in 2018 and accepted an executive assistant job at his office when he won the election. She worked as his campaign treasurer through 2022, according to Montgomery County campaign finance forms. Starline told state investigators that he believes he was fired from the clerk's office for "what he knew was going on in the clerk's office," according to court documents. Bonuses for donations discussed? The newly unsealed records allege Foley in 2022 discussed with some managers giving employees higher bonuses if they contributed to his campaign. But the deputy chief clerk advised against this and it didn't happen, state investigators say. "It's important to remember that the State found no further evidence of the bonus-for-donation scheme contemplated by Mr. Foley," said Ohio Auditor of State investigator Thomas Anger in court documents. "There were several discussions in 2022 between Foley and some management employees where he indicated if the employee donates to his campaign, then they would get a higher bonus," court documents filed by Anger state. A filing by Foley's attorney includes an excerpt from an affidavit in support of the search warrant in the case. In it, state investigators allege Foley's chief deputy and the office manager for the municipal courts "went directly to employees on Foley's behalf soliciting donations to the Foley campaign," and employees "felt pressured" by this. The Montgomery County Clerk of Courts office declined to comment on the allegations against Foley, citing ongoing litigation. But a spokesperson for that office told this news outlet that bonuses depend on the availability of funds and are awarded on an annual basis. They are based on the recommendations of division managers in the office and are approved by the chief administrator there.
Yahoo
09-06-2025
- Business
- Yahoo
Nebraska auditor: Financial wrongdoing in local governments seems ‘increasingly commonplace'
The Nebraska State Auditor's Office is located in the State Capitol. (Paul Hammel/Nebraska Examiner) LINCOLN — After Nebraska State Auditor Mike Foley issued a recent statement exposing alleged financial improprieties involving several local governments, he said his office faced a surge of callers requesting probes of their towns, too. It's a common response, Foley said, after news hits of a small-town investigation by the auditor. 'The phone starts ringing,' he said, repeating a common refrain: ''Hey look at us. Look what's happening in my village or county too.'' While grateful for the interest, Foley said such complaints are 'disconcerting' in that they could signal rising misuse of public resources in smaller public entities across Nebraska. He said the alerts also 'distract' from one of his office's other main tasks, bird-dogging the 'mega agencies' of state government. 'How much time can you spend on the Decatur Housing Authority when you've got DHHS sitting over there with 40% of the state budget?,' Foley said, referring to the Nebraska Department of Health and Human Services. Nebraska State Auditor Mike Foley said he won't announce a decision on whether he will seek reelection in 2026 until late this year or early in the next. He told the Nebraska Examiner he's happy as auditor. 'I've got a great team, very dedicated, very talented people. Happy to be here,' said Foley, 71. Foley, a Republican, said he has enjoyed his auditor tenure — 'both times.' His most recent election in late 2022 had him sworn in Jan. 5, 2023. He also served as auditor from 2007 through 2015. In between, Foley served as Nebraska's lieutenant governor. Foley began the 2014 election cycle as a candidate for governor but was defeated in the primary by future running mate Pete Ricketts, who selected Foley as his lieutenant in September 2014. Ricketts is now a U.S. senator. Foley also previously served in the Legislature, serving a Lincoln-area district from 2000 to 2007. — Cindy Gonzalez In his most recent press release June 3, Foley grouped highlights of eight audit letters he sent local governments. His office's allegations ranged from a Decatur housing chief giving herself more than $18,000 in unsupported payments to a Nemaha County commissioner caught on camera using a county gas pump to fuel his personal truck. Not all caller alerts result in investigations, Foley said, particularly if the person complaining doesn't provide enough detail. When a probe of a local government entity is launched, he said, an auditor team typically spends weeks collecting and analyzing information. In many cases, he said, someone is fired or results are turned over to law enforcement. Foley said the Auditor's Office staff of nearly 50 is down from about 60 three decades ago — and has audit oversight of roughly 2,500 units of local government. Under their watch are state agencies, officers, boards, commissions, certain political subdivisions and federal funds under contract. While acknowledging state budget concerns and competing demands, he noted that the state spends about $200 to audit every $1 million in spending. 'That's not a very good ratio.' Standing out as troubling trends during auditor reviews, Foley said, are misuse of credit cards and government-owned vehicles. 'Credit cards are an enormous headache for auditors and for these agencies,' he said, adding that too many agencies allow too many credit cards to be in circulation and are too loose with controls. Agencies are starting to install GPS trackers on public vehicles, he said, which has led to improvements. Foley assembled those eight letters sent over six weeks to local governments as part of an effort to underscore his sense that there has been an 'uptick in improper financial practices in local governmental entities.' (He said the auditor's office, meanwhile, continues to do other work and conduct other reviews.) 'Unfortunately, these more recent eight examples of both accounting incompetence and apparent financial malfeasance at political subdivisions are not unusual,' said Foley. 'Based upon my office's ongoing work, especially over the past year or so, they seem increasingly commonplace — making heightened vigilance, by public servants and citizens alike, ever more crucial.' The examples cited: Decatur Housing Authority in Burt County: In addition to allegedly processing about $18,000 in excessive compensation and unsupported reimbursements to herself, the executive director reportedly mishandled cash rental payments resulting in roughly $8,000 in 'missing money.' She reportedly tried to delete hundreds of computer files. Furthermore, Foley noted that his office earlier this year had sent a separate audit letter to the woman's previous employer pointing to an alleged salary overpayment to herself of about $11,000. The auditor's report on the Decatur Housing Authority did not indicate an effort by the audit team to contact the housing director, who was reportedly terminated from her job in February. The report said it forwarded information to various law enforcement and government agencies. The housing authority board, in its response to the state, said it was implementing steps recommended by the auditing team. Cedar County: A former Cedar County commissioner allegedly used a county pickup truck for personal business — though the commissioner denied that a few photos included in the report represented him on unofficial business. The same commissioner, according to the auditor's report, allegedly allowed payment for county services with gift cards that were largely unaccounted for — something also denied by the commissioner. The auditor's report said the former commissioner didn't provide an explanation for a gift card that was produced during the review. The county also was accused of not following proper bidding procedures for nearly $1 million in contracts. Village of Pleasanton in Buffalo County: Public employees allegedly spent more than $20,000 on village business at Menard's over a two-year period, and one employee allegedly used about $2,000 in rebate coupons as well as several hundred dollars in store credit vouchers for personal purchases. Separate 'shoddy accounting' practices, according to the auditor, resulted in the village paying thousands of dollars of claims. Village of Farnam in Dawson County: The audit team, as part of its review, identified 22 months of utility and other services, or about $2,700, that the former Village Clerk did not bill to herself. At the time of the auditor's letter, she was on the Village Board. She was found guilty of official misconduct in May, paid $3,151 in restitution, and a sentencing is set for July. Nemaha County and Nemaha Rural Fire District 4: Auditors reported that a county commissioner was photographed March 24 using a fuel pump that can be accessed after hours by personnel with insider knowledge. Dundy County: A deputy county clerk who resigned from her position at the request of the Dundy County Board continued to work and was paid full-time wages despite a considerable drop in responsibilities. Custer County: Employees are able to clock in and out of work using mobile devices, and a county highway worker was alleged to be at home or at her kids' events when she was supposed to be at work. She resigned before she could be questioned, the auditor said. Village of Litchfield in Sherman County A Village Clerk, prior to resigning, allegedly paid herself at least $2,200 more than allowed and was paid $763 in 'suspicious' reimbursement. The village allegedly failed to withhold proper taxes from employee paychecks, opening the community to retroactive payments and penalties. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
14-05-2025
- Business
- Yahoo
Grassroots group hopes to save Stevenson Creek from development
The Brief The Stevenson Creek Advocacy Group opposes construction of a 9-slip dock along the creek. Neighbors believe the dock, if approved, would erase the work put into restoring the waterway. The developer, Valor Capital, has not responded to FOX 13's request for comment. CLEARWATER, Fla. - A grassroots group is in opposition to the construction of a 9-slip dock along the Stevenson Creek. Big picture view The 3.2-mile creek, part of the Pinellas County Aquatic Preserve, empties out to the Intercoastal. Right now, all the docks along it are owned by single-family homes. Valor Capital, a developer that's building a townhome complex along Sunset Point Road, is looking to build an accompanying 9-slip boat dock. What they're saying Neighbors who are part of the Stevenson Creek Advocacy Group believe, if approved, it would erase the work put into restoring the waterway. "Stevenson Creek used to be one of the most productive small estuaries anywhere. People used to flock here because it produced more fish," said Mike Foley, who has lived along the creek since 1977. He said over the years that wildlife and the vegetation slowly vanished, but that has recently changed. "Stevenson Creek is going through a restoration phase," Foley said. "The last big project was getting all of the urban much out of the estuary, where it had settled. It was about 3 or 4 feet thick. They got it out of here. It took a dredge." He said he can tell nature is healing itself, but fears the construction of the dock could disrupt that. Sherry Day, President of the Stevenson Creek Advocacy Group, said they are concerned about the wildlife, vegetation, and the new precedent approving the docks would set. The other side FOX 13 reached out to the developer, Valor Capital, but was unable to get in contact with a spokesperson. Follow FOX 13 on YouTube The Source Information for this story was gathered by FOX 13's Jennifer Kveglis. STAY CONNECTED WITH FOX 13 TAMPA: Download the FOX Local app for your smart TV Download FOX Local mobile app: Apple | Android Download the FOX 13 News app for breaking news alerts, latest headlines Download the SkyTower Radar app Sign up for FOX 13's daily newsletter
Yahoo
29-04-2025
- Business
- Yahoo
Incentivizing jobs and growth drives Nebraska forward
Taxes are always a hot topic in Nebraka. (Getty Images) Nebraska stands at a critical juncture, with our economic future increasingly at stake. Recent criticism by State Auditor Mike Foley regarding the fiscal impact of business tax incentives is another troubling example in an alarming trend of attacks undermining economic development. The Greater Omaha Chamber believes strongly that strategic economic development programs, including robust business tax incentives, are not merely beneficial. They are essential. Foley's report casts doubt on the value of these incentives. It overlooked the careful and transparent consideration these programs have received. Nebraska's Legislature and the Nebraska Economic Forecasting Advisory Board consistently factor these incentives into revenue projections, thoroughly assessing both costs and returns. These are well-established 'pay-for-performance' incentives. Nebraska taxpayers incur no cost unless recipient businesses fulfill predetermined benchmarks including job creation and major capital investment. We currently over-perform in economic development wins with a very limited number of tools for this purpose. Thus, far from being fiscal liabilities, incentives tie to proven economic outcomes and benefits for our state. Unfortunately, the auditor's critique fuels a narrative that disregards the competitive nature of today's economic landscape. Nebraska now ranks 40th nationally in incentives awarded, according to Site Selection Group. This position places us well behind more aggressive neighboring states with targeted incentive programs. If we continue down this path, we risk falling further behind, jeopardizing not only potential economic opportunities but also the stability of existing businesses that drive our state's economy. Economic development is not an abstract luxury. It is the engine that powers every aspect of our quality of life in Nebraska, from job creation and infrastructure to education and property tax relief. Yet a disturbing climate at the State Capitol increasingly dismisses the importance of these development tools, labeling them as optional or expendable. This short-sighted view poses threats as companies weighing Nebraska for investment and expansion consider how supportive and stable the business environment is. Every day, the Greater Omaha Chamber and economic development organizations across Nebraska witness firsthand how economic incentives attract new businesses, encourage local expansions and create thousands of jobs for Nebraskans. These jobs provide economic security and stability for families, generate substantial new tax revenues and create vibrant communities capable of supporting quality public services and education. It is these opportunities that serve as plug in our brain drain challenge. Let us be clear: Transparent oversight and accountability for public funds are indispensable. No one disputes the importance of regularly assessing the effectiveness of economic programs. However, we strongly oppose political attacks that distort the record and ignore the essential role these incentives have played in Nebraska's growth. Nebraska's elected officials, business leaders and communities must rally around our proven economic development programs. We must recommit to a vision of strategic, forward-looking growth, ensuring Nebraska can effectively compete and thrive. Now is the time to bolster — not undermine — our state's competitiveness through strategic incentives that foster sustained economic growth. Our businesses and all Nebraskans deserve nothing less. Heath Mello is president and CEO of the Greater Omaha Chamber of Commerce and served in the Nebraska Legislature from 2009-2017, including as chair of the Appropriations Committee.
Yahoo
15-04-2025
- Business
- Yahoo
Nebraska auditor details ‘staggering' impact of corporate tax incentives on state budget options
The Nebraska State Capitol. (Aaron Sanderford/Nebraska Examiner) LINCOLN — Jumping into the discourse over Nebraska's budget shortfall, State Auditor Mike Foley sent a letter to state senators Monday alerting them of the financial weight of previously-passed business tax incentive laws. In a 20-page letter, he wrote that over the next four fiscal years, Nebraska companies stand poised to call in more than $1.5 billion in corporate tax incentives, an expense he said would significantly impact the availability of state general funds. The auditor's letter focuses on the Nebraska Advantage Act, adopted in 2005, and a newer version called the ImagiNe Nebraska Act of 2020. He also highlighted the state's 'steadily increasing delinquent tax balances,' which Foley noted were generally unrelated to business tax incentives but still could constitute 'hundreds of millions of tax dollars owed but not collected' by the Nebraska Revenue Department. 'When you combine over $1.5 billion in business tax incentives to be used over the next four fiscal years plus potentially hundreds of millions of dollars more in uncollected tax proceeds, the result is a staggering loss of revenue to the state — all of which must be counterbalanced in some way,' Foley said in a media statement. He added: 'The Legislature must be made aware of these facts in order to pursue sound fiscal policies.' Before he was auditor, Foley served as lieutenant governor under then-Gov. Pete Ricketts and before that was a state senator. He acknowledged that he supported economic development tax incentives. But with lawmaker turnover and the 'crush' of so many other policy matters and responsibilities, Foley said he suspects that 'many senators may not be fully informed of how yesterday's legislative decisions will most assuredly influence tomorrow's policy choices.' Regardless of how the credits are used to receive a tax benefit, the result is a reduction of the state's tax revenues. – State Auditor Mike Foley The auditor said he and his team recognize the benefit of business-focused economic incentive programs in that they can spur construction, investment and jobs to expand the tax base that helps pay for public services. Foley acknowledged data from the Nebraska Department of Revenue indicating that corporate tax incentives reportedly have led to more than $25 billion in qualifying capital investments since 2006 and helped create more than 33,000 new full-time Nebraska jobs. 'Whether the claimed benefits are accurate or not, the significant tax breaks now being paid to corporate taxpayers are real and measurable,' Foley said. The auditor's team concluded that the Nebraska Advantage and ImagiNE Acts appear to contain some 'operational inadequacies' that could result in the legislation becoming a 'drain' as opposed to a 'boon' to the state economy. Gov. Jim Pillen said he appreciated Foley's report. He said that when the 'current iteration' of tax incentives passed, Nebraska was a high tax state. He described Nebraska now as competitive from an income tax perspective. 'I am of the firm belief that we need to refocus our tax incentive strategy and make them more people-focused and less company-focused,' Pillen said in a statement. 'All Nebraska's tax credit and relief programs should be focused on working class Nebraskans, not Fortune 500 companies.' Foley said he does not mean to 'opine' on the merits of the tax incentives, but hoped that the information he compiled for lawmakers would 'prove worthy' of review in the Legislature's search for additional revenue sources. Lawmakers are starting to debate more fully on the floor different components of the two-year budget that by law must be balanced. The session ends June 9, and the latest projected shortfall is $289 million. Last week the Legislature advanced to a second round of debate a package that would help close the budget gap by about $71 million, partly by clawing back several business-focused incentives and other initiatives that had been previously approved by Pillen and the Legislature. The auditor's Monday letter is based on several sources, including financial data found in the state's accounting system and tax incentive reports, some dating back more than 25 years. Foley explained incentives under the two key laws, Advantage and ImagiNE: A qualifying company earns annual credits for meeting specific employment and investment benchmarks, and those credits may be used at a later date for any of the following benefits: credit refunds of sales and use taxes paid; credit refunds or offsets of income taxes paid, and credit refunds of real property taxes paid. Additional benefits include direct refunds of sales and use taxes and personal property tax exemptions. 'Regardless of how the credits are used to receive a tax benefit, the result is a reduction of the state's tax revenues,' said the letter. Under the Advantage Act, Foley said, participating companies have already qualified for $2.6 billion in tax credits, and about $1.4 billion remains unused. As of November, the letter said, requests by 57 businesses were pending to claim more credits. Foley said that over the next four years, the Revenue Department projects the state will cover more than $1.1 billion in tax credits and direct sales and use tax refunds. That amount, in addition to the $421 million for the ImagiNE program, accounts for the $1.5 billion expense that the auditor foresees over the next four fiscal years. He said the tax credits also impact other smaller political subdivisions. Said Foley: 'When qualifying businesses use credits earned to obtain a refund of prior tax payments, including local-option sales and use taxes levied by municipalities, those local communities are denied an important source of revenue.' He said that since 2005, nearly $163 million in local sales and use taxes have been refunded to qualifying companies, 'resulting in a direct reduction of tax revenues originally intended' for the municipalities. Foley pointed out 'serious deficiencies' in state processes that check on businesses using tax incentives. He said the Department of Revenue is supposed to perform an initial qualification audit and, after that, periodic audits to verify the information. He said those are the department's only mechanisms for ensuring that participating companies qualify for the benefits received. The audit team reported that 14 of 20 companies reviewed lacked a timely qualification audit and 17 of those 20 never had a maintenance audit. 'Without the proper and consistent performance of qualification and maintenance audits, the department is incapable of confirming the occurrence of reports for either qualified capital investments or increases in new jobs — both of which were expected when the (Advantage Act) was being promoted to the Legislature,' he said. The audit noted that the Advantage Act contained no limits on the amount of investment and compensation credits that companies may earn or use. The ImagiNE law did cap the total new annual tax incentives that can be granted. Bryan Slone, outgoing CEO of the Nebraska Chamber of Commerce and Industry, said the 2005 Nebraska Advantage Act served the state's economy through challenging economic times, and needed modernization. He described its successor, the ImagiNE Act, as a streamlined incentive program with 'more targeted incentive benefits and reasonable structural caps on the potential state budget effect.' In designing ImagiNE, Slone said, 'the Legislature helped avoid the same tax administrative delays and uncertainties that have plagued the Nebraska Advantage Act.' He said ImagiNE is 'relevant to today's economy, while fiscally constrained.' Slone said Nebraska should still review business tax incentives periodically, in part to measure competitiveness with other states. 'With all of the economic uncertainties these days and a slowing of the economy, we need now more than ever to continue to remain focused on jobs, people attraction and retention, business expansion in our communities and economic growth.' Heath Mello, president of the Greater Omaha Chamber of Commerce and former state senator, said his network remains steadfast in support of business tax incentives as 'critical tools' in attracting and retaining quality jobs and investment. Mello said a recent analysis from a site selection group ranked Nebraska 45th nationally in economic incentives. He called that a 'disappointing' indicator of Nebraska losing opportunities to other states, 'depriving' Nebraska of growth and tax revenue. 'The Chamber urges policymakers to stand firm in defense of Nebraska's economic competitiveness and ensure we are positioned to win in an increasingly competitive national marketplace,' Mellow said. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
