Favortism at Elk Grove City Hall? Organization led by former mayor given pass on documentation for taxpayer money

According to documents acquired by an Elk Grove citizen through a public record request shows an organization headed by a former Elk Grove mayor was given access to taxpayer money while not in compliance with city and state requirements.

The document is related to the recent Elk Grove Hall of Fame event sponsored by the Elk Grove Community Council organization. The nonprofit group is headed by former Elk Grove Mayor Gary Davis.

According to the documents, on March 19, 2021, the EGCC applied for funding of $5,000 and the free use of city facilities, in this case, the District56 hall from the city's Event Sponsorship Grant Program FY2021-22. As part of the application questionnaire, the applicant must be current and acknowledge compliance of good standings with the California Attorney General's Registry of Charitable Trusts and the California Secretary of State. 

A review of the Attorney General and Secretary of State websites shows that, as of today, the EGCC is not in compliance.    

With the Attorney General, the EGCC is listed as a Charity Registration and last filed on September 26, 2019. The organization was listed as delinquent effective May 20, 2020.

The Secretary of State's website lists the EGCC as a domestic nonprofit led by Davis. The current status is FTP [Franchise Tax Board] suspended (see images below).

Question 45 of the grant (see grant application below), the applicant acknowledges that the entity must be in good standing to qualify. Additionally, the requestor certifies the information contained in the application that their good standing status "is true and accurate to the best of my knowledge."

According to correspondence between the citizen and Elk Grove city manager Jason Behrmann, the city provided free use of the District56 facilities valued at $1,330, and the EGCC will receive reimbursement when they comply with state filings. The Hall of Fame event was on November 18. 

Behrmann did not respond to an email question asking if the EGCC received preferential treatment because Davis was the former mayor. Also, there was no response by Behrmann to the question of whether the EGCC would receive monetary reimbursement given at the time of the grant application they were, by city standards, ineligible.

Davis did not respond to an email question asking if there was a reason why the group was not in compliance with state and city requirements as it sought taxpayer funds.  

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D.J. Blutarsky said...

There seems to be a lot of "no comments" in this story. Kudos to the citizen who uncovered this mess. It is either favoritism or incompetence at City Hall--either one or both is unacceptable.

By signing the document, Mr. Davis certified it "is true and accurate to the best of his knowledge"--doesn't say much about his knowledge or his character does it?

I'm waiting for the other shoe to drop now. His much ballyhooed new business venture, Mail & More, better not have received a City economic development grant or COVID Cares grant!

Seems like his shoes have worn out their welcome at City Hall, but somehow I suspect he will soon be high-stepping it to the City Clerk's office to file his papers for City Council. Good luck with that Mr. Davis!

Unknown said...

Either the people in EG are oblivious to the things happening in their city or they just don't care

I am sure this isn't the first and obviously won't be the last.

Renegade said...

The city was either negligent or an compliant to Gary Davis's fleecing of our tax payer dollars. Either adjective is unacceptable behavior by those who we pay our hard earned tax money to police and monitor those funds. The city manager and mayor are ultimately responsible as this was done on their watch.
It's time to expect more from our leaders; it's time they do their jobs and it's time we hold them responsible when they fail. This city hierarchy has not once taken responsibility for their misdeeds. They have taken a play out of the Republican playbook; deny, deny, deny.
Gary Davis had his opportunity to lead this city and he failed miserably. Now he's again proven he's untrustworthy essentially bilking funds illegally from other worthy non-profits in our area that could have put that money to good use. It's time for him to fade into the sunset, not run again for public office.
Wake up out there people! We're getting fleeced by corrupt or negligent city leaders.

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