MILLINOCKET -- Having requested, and been denied an accounting of how public
funds have been spent by the Katahdin Cultural Center, Millinocket Councilor
David Cyr vows to demand financial accountability from the organization.
Guilds Hollowell, representing the Katahdin Cultural Center, received $30,000
in funds from the town's 2005 budget, which was to have been used to renovate
the facade of the old Newberry's building, which has long been an eyesore in
Millinocket's downtown district. This was not done, and Hollowell has thus far
refused to provide a satisfactory accounting for his use of public funds.
Additionally, the town recently signed on to administrate the distribution of
another $40,000 in state funds, for the installation of a lift leading to the
building's basement.
Cyr wrote to the town manager a couple of days ago, asking that Hollowell be
asked to give a public accounting of his expenditures thus far. The manager
passed the request along to Hollowell and David Nelson, the council
chairman.
Hollowell replied with an email, stating that, on the advice of his attorney,
he would not publicly disclose this information.
He then went on to blame the Magic City Morning Star for having "twisted and
contorted" previous numbers that he had provided, accusing the Morning Star of
having stalled the project last year.
Cyr replied, copying it to the entire council, as well as the legitimate
media, as follows (published here verbatim):
Gene,
As you have been designated as the keeper of the public records, I will
direct this through you. I find Mr. Hollowell’s recent response to my request
for financial information completely unacceptable.
When Guilds first came to the Council last year, he requested and
received $30,000 from the citizens of Millinocket through the Town Council. As
part of the reason for requesting the funding, Mr. Hollowell stated that the
storefront façade of the old Newberry’s building would be renovated with the
help of the town. Clearly, this did not happen.
Again this year, the citizens of this town were asked to become involved
in this questionable venture by supporting a $40,000 grant application that
would fund the installation of a handicap lift into the basement of the
structure. As the support of the grant application itself will not cost the
taxpayers of Millinocket a dime, it is still taxpayer money.
I am still not pleased with the involvement of the Town of Millinocket
acting as the administrator of the funding for this project, as it will require
a great deal of time and energy from our Town Manager and his staff. The
potential this has for embarrassment and liability to the town when future
claims made by Mr. Hollowell may fail to happen as promised are
unacceptable.
The concerns raised by three town councilors at this meeting were very
real and have been totally ignored. When Mr. Hollowell received $30,000.00,
there were no strings attached to it. The public however, has attached strings
to the Town Council they have elected. They expect us, as councilors, to be
responsible while using their money.
Three councilors asked for an accounting for money spent more than a year
ago, and frankly, as a construction professional, having performed demolition
contracts for amounts in excess of $150,000.00, I fail to see where even one
third of that amount could have been expended on that project to date.
When Mr. Hollowell came to the public for financial assistance and
administrative support for his grant proposal, he in turn owes that public an
accounting of the funds he has used.
The resistance of Mr. Hollowell to willingly provide a public accounting
of the use of public funds gives that public the appearance of improper use of
taxpayers’ money. As an elected official who is directly responsible for the use
or misuse of the citizens’ money, I am no longer asking for an accounting from
Mr. Hollowell, I am demanding it.
I am further insulted by the assertions of Mr. Hollowell that the Magic
City Morning Star is in some way responsible for his failure to bring this
project to a conclusion last year. Numbers which were supposedly twisted and
contorted as part of a fictitious agenda of the MCMS as Mr. Hollowell states,
were in fact provided by him in a brochure that was circulated throughout the
area.
The stalling of this project last year can be directly attributed to Mr.
Hollowell’s intentionally false assertions in the brochure claiming KAT-TV and
the Historical Society as anchor tenants paying a combined rent of $900.00 a
month to the Katahdin Cultural Center. As these assertions made their way into
print in several news articles in the local print media, The Board of Directors
of both of these non-profit groups became aware of Mr. Hollowell’s plan for
their relocation to the Katahdin Cultural Center.
Now, because I serve as a board member on both the Historical Society and
KAT-TV, I can say with 100% certainty, that neither board has ever agreed to or
proposed to move into that center. All lies, false assertions, twisted, and
contorted numbers have been presented in the brochure, S. Guilds Hollowell
himself provided.
I am requesting that our Manager bring this matter to the attention of
the Council for discussion and consideration of the Council for possible further
council action at the 8/24/06 meeting.
David P. Cyr
Editor's Note: All financial statistics used in news
articles published by the Magic City Morning Star were provided by S. Guilds
Hollowell himself, either directly or through literature that he had circulated
to potential investors.
When taxpayer funds are in play, it is the right and
the duty of both the public and the press to ask for an accounting of these
expenditures. We suggest that if Mr. Hollowell is unwilling to be held
accountable to the public, he should not expect the public to fund his
ventures.