\t\t\t\t\tWhat’s at stake?<\/p>\n
The City of Fresno\u2019s announcement followed city officials\u2019 previous comments anticipating some Measure P arts grants recipients would see a \u201chaircut\u201d applied to their awards if the embezzled $1.5 million isn\u2019t recovered.<\/p>\n
New details of an ex-Fresno Arts Council employee\u2019s reported embezzlement of at least $1.5 million in public arts grants<\/a> \u2014 and the future of that grant program \u2014 were revealed in a joint statement from the Fresno City Council and Mayor\u2019s Office on Tuesday afternoon.<\/p>\n Those details covered timeline clarifications, including that the embezzlement of $1.5 million was first reported to the City of Fresno on Thursday, Feb. 5, by an unnamed member of the Fresno Arts Council\u2019s board of directors.<\/p>\n The statement followed a rare special city council meeting called with only 24 hours\u2019 notice and consisting of three closed session agenda items<\/a>.\u00a0<\/p>\n The sudden closed-door meeting followed an emergency community meeting Monday night<\/a> at Dulce Upfront in the Tower District where City Manager Georgeanne White took questions for more than an hour, providing some new details of the fledgling embezzlement case at the Fresno Arts Council.<\/p>\n The question of which pot of money the as-yet-unnamed ex-employee of the Fresno Arts Council had embezzled from became a point of confusion at Monday night\u2019s meeting.<\/p>\n Never miss the top stories in Fresno \u2014 sign up for our free, daily newsletter.<\/p>\n Tuesday\u2019s statement underscores that a percentage of funds specifically from round two of the grants is still owed, \u201cdue to having a shortage of funds as a result of the embezzlement.\u201d Some community members at Monday\u2019s meeting shared that they have received $0 as of yet in round two of the arts grant funding.<\/p>\n Following comments on Monday that some grant recipients may see their year-two grants receive a \u201chaircut\u201d if the $1.5 million in funds can\u2019t be recovered, Tuesday\u2019s statement adds that the city intends to use \u201cfuture Measure P funding to make those organizations whole who were owed money by the Arts Council.\u201d<\/p>\n \u201cHow that occurs,\u201d the statement continues, \u201cis yet to be determined.\u201d<\/p>\n As for the next grant cycle, the city doubled down on taking over and administering the third round of grant funding \u2014 a path that not all the artists dealing with one year after another of Measure P arts chaos<\/a> have expressed confidence in.<\/p>\n It wasn\u2019t immediately clear whether any further steps are required before the city takes over as administrator of the grant program. The Measure P ordinance tasks<\/a> \u201cthe Fresno Arts Council, or its successor local arts agency,\u201d with implementing the arts grant program.\u00a0<\/p>\n In the wake of the scandal, city officials haven\u2019t held back in saying full blame for the embezzlement rests with the Arts Council.<\/p>\n \u201cThe Mayor and members of the City Council are appalled by the lack of safeguards put in place by the Fresno Arts Council,\u201d the statement reads, \u201cwhich ultimately allowed this embezzlement to occur.\u201d<\/p>\n Tuesday\u2019s statement called the loss of $1.5 million in taxpayer dollars \u201cunacceptable\u201d and said the city would pursue \u201cevery available avenue,\u201d up to and including litigation, as well as a forensic financial investigation of the Arts Council.<\/p>\n