The designers of a new web page representing the Evergreen Legacy Fund (ELF)(https://greaterdeed.wordpress.com/ ) have represented the fund as a provider of assets for something other than the purpose for which the fund was originally created.
The re-branding and conversion of purpose by these public statements appear to be a classic case of “Charity Fraud” deserving of an investigation by the JEFFCO Sheriff and the Colorado Secretary of State.
The ELF as originally created is not :
- A new building fund
- A new construction fund
- A capital investment fund
- A County road improvement fund for area 80439
The ELF charity as originally created is :
- A restoration fund for downtown Evergreen infrastructure of storefronts decks and stairs
- A renovation fund for downtown Evergreen infrastructure of storefronts decks and stairs
- A preservation fund for downtown Evergreen infrastructure of storefronts decks and stairs
- A legacy fund to maintain and pass to future generations the look and feel of a historic front range Colorado mountain business and community center in down town Evergreen. ( See the charity fraud complaint below for public statements about “downtown infrastructure improvements.”)
What is lost by the business community and the people of Evergreen if the ELF charity is fraudulently converted to a new construction fund and its assets are depleted by the DEED and the JEFFCO BOCC?
1. Integrity of the people of Evergreen
2. Truth in advertising of the Evergreen business community
3. Trust in the people of Evergreen
4. Reputation of the Evergreen community
5. Destiny definition by the people of Evergreen
6. Self determination of the people of Evergreen
7. $400,000 in contributions to the ELF to benefit the people of Evergreen
- Evergreen, in spite of not having a democratic government, has a culture of volunteerism and charity. People in Evergreen “pay it forward.”
- Evergreen business collect the donations and explain to customers the promised legacy benefits provided by the ELF charity. When the assets of the ELF are diverted to pay for something other than originally originally intended, truth in advertising suffers..
- Lies uncovered damage trust once earned. The ELF has been earning assets and trust since 2008,.
- The reputation of the ELF as an honest charity adds or detracts from the reputation of Evergreen and its business community depending on the application of the ELF’s assets being dispensed truthfully to the promise made to donors.
- The ELF provides resources to maintain and pass on to future generations a cultural heritage, a mountain town business center. With the addition of a capital investment fund to regulate the appearance of new structures and reinforce the existing “look and feel” of downtown Evergreen, The Evergreen community is on its way to defining its own destiny.
- To achieve a vision of destiny that the ELF supports Evergreen will have to win self determination.
- The new agreement between the DEED and the BOCC will quickly deplete the assets of the ELF. A 1% – 2% sales tax will then replace donations. The $400,000 will be gone, the ELF will be history, and there will be no legacy to pass on to our progeny.
Charity fraud is a felony, and since I do not know who created the new ELF website, there are no suspects. So I have reported the possible commission of a crime to the County Sheriff.
The complaint below has been registered with the Secretary of State, and is under review. A copy of the complaint is provided below for your review.
So, MR. Michael A. Watkins (MichaelWatkins2@SOS.STATE.CO.US) would simply like to know the names of other people who can contribute information regarding the ELF charity. (“The reason I asked for contact information is in case I have questions or need additional information.”)
So, you can help save the Evergreen ELF by sending a short email to MR. Michael A. Watkins at (Michael.Watkins2@SOS.STATE.CO.US), with your name and a short statement that you are willing to describe your understanding of the ELF charity should he have any questions.
Thank you for your support.
THE COMPLAINT
The Evergreen Legacy Fund (ELF) charity was designed and advertised as a means to acquire donations to be used in support of a very simple mission expressed as “Infrastructure Improvements” in downtown Evergreen.
The charity acquired revenue from customer donations to local business from a voluntary surcharge on the cost of products and/or services. This acquisition has been occurring for several years,and the assets of the charity are about to be allocated to pay for a purpose other than that for which the charity was originally intended.
NARRITIVE
Evergreen is an unincorporated area in Jefferson County (JEFFCO) Colorado. It is a Census Designated Place (CDP) in zip code 80439.
I am a resident of, and property owner in Evergreen and a donor to a local charity in Evergreen named The Evergreen Legacy Fund (ELF). The fund was created by members of an organization calling itself the Downtown Evergreen Economic District (DEED). The DEED organization is not incorporated in Colorado (search of Secretary of State records) or any where else and therefore is not authorized to do business in Colorado.
The DEED created the ELF in 2008 for the explicit and limited purpose of funding “infrastructure Improvements” in downtown Evergreen. This clearly means improvements to existing structures and not construction of new structures. Hence the name Legacy. So the fund has been collecting a voluntary 1% contribution on sales of products and services to patrons for several years. Former Jefferson County (JEFFCO) Commissioner Libby Szabo stated the fund’s value was at $330,000. The DEED has never registered the fund as a charity in Colorado and to my knowledge has never established a grant funding application process for local business to apply for funds so they could accomplish “infrastructure improvements”, like structure modifications for ADA compliance, while still maintaining the mountain business community storefront appeal.
Purpose of the ELF
There are several public statements of the fundamental objectives of the ELF. One is the following news report found on the website of the Evergreen Downtown Business Association (https://downtownevergreen.com/evergreen-legacy-fund/ ).
“Evergreen Legacy Fund
Downtown Evergreen’s 1% Solution
Voluntary contribution from customers designed to generate funds for improvements
By Sandy Barnes of the Canyon Courier – November 6, 2012
After exploring options to raise funds for improvements and amenities in the downtown area, Dean Dalvit and other members of the Downtown Evergreen Economic District have devised a plan to collect voluntary contributions. Downtown Evergreen is in need of infrastructure improvements that a voluntary contribution can help fund. DEED is asking for a 1 percent donation on sales of products and services at businesses through the organization’s Evergreen Legacy Fund. Customers contribute to the fund on a voluntary basis.”
In addition to the above assertion that “Downtown Evergreen is in need of infrastructure improvements”, another statement of purpose appears on the DEED website. “Our mission is infrastructure improvements,” Dalvit said. “It doesn’t cost retailers anything. Business owners understand the need.” (https://downtownevergreen.com/evergreen-legacy-fund/ )
And the latest assertion of the need for “infrastructure improvements” is this : “Right now Evergreen is at risk from over-use and under-repair. Our infrastructure doesn’t reflect the investments we have made as residents and business owners. The disrepair even collides with the natural beauty that surrounds us.
It’s time our current infrastructure lives up to the exceptional quality of life that brought us all here.” (http://www.evergreenlid.org/ )
Fraudulent Change of Purpose
Recently, ELF assets have been applied to several projects that do not qualify as “infrastructure improvements.”
With the money collected by ELF, projects such as the Evergreen Lake connector trail and the development of the Evergreen Trails Master Plan were made possible as well as providing matching funds for the North Lake Trail reconstruction and Leadership Evergreen’s new drinking fountain downtown.
(http://www.evergreenlid.org/voter-guide/ the money)
While reconstruction of the North Lake Trail would qualify as an “infrastructure improvement”, a new Evergreen Lake connector trail and Leadership Evergreen’s new drinking fountain would not qualify because they are infrastructure creation projects and not “infrastructure improvements”, and the Evergreen Trails Master Plan is not infrastructure at all.
The DEED has established a pattern of fraudulently applying ELF assets in partnerships with others making them complicit in fraudulent actions. For example : “Also, DEED was seeking a Great Outdoors Colorado grant for the project, but the state asked who the government partner was. With help from Liz Cohen, who works with the Evergreen Park and Recreation District in grant acquisition, DEED was able to combine the project with the park district. “She made it happen,” Dalvit said.
To solve the long-term problems of becoming a legitimate government partner and generating a revenue stream, DEED members decided to create the legacy fund. “We create a recurring cash flow over the course of two years, and can partner with Jeffco and EPRD,” Dalvit said.
(https://downtownevergreen.com/evergreen-legacy-fund/ )
These misappropriations of ELF assets are charity fraud incidents that have recently taken place. However, with the County district creation event occurring on 10/27 a new fraud action is about to occur. Payments will be made to JEFFCO from the ELF that will exhaust the assets of the ELF charity all together.
Background
During 2017 and thereafter Mr. Dalvit and other members of the DEED participated in discussions with JEFFCO Commissioners and employees to identify 17 JEFFCO Road&Bridge new construction projects that were required in the Evergreen area (13 of the 17 projects are ADA compliance projects and the other 4 are also transportation related projects. Review the projects at the JEFFCO Transportation & Engineering (T&E) website. JEFFCO has paid for these types of projects in the past (325 ADA ramps installed for about $1.7 million in 2018) with Highway Users Tax Fund (HUTF) dollars.
The JEFFCO department of Transportation & Engineering (T&E) produced an inflated cost estimate of $3.4 million for the projects, while an independent analysis estimated a 1.9 million cost for the 17 projects (See spreadsheet at evergreensafetywatch.com/ADA in Evergreen).
So an agreement was reached between JEFFCO Commissioners Lesley Dahalkemper and Casey Tieghe and the DEED members.
Under the agreement JEFFCO Commissioners would create a County Local Improvement District (ELID) containing the 17 authorized new construction projects and Road&Bridge would perform the projects over a ten year period. However, the County would not pay for the projects. Instead, the DEED, using the ELF dollars, would pay the County the cost of the projects and Road&Bridge would construct the projects. In addition, when ELF dollars were exhausted, both parties would pitch, to electors in the district, the need to vote for business to charge an additional 1% – 2% sales tax on products and services to pay for the projects.
Current Status
On 10/27 Commissioners Lesley Dahalkemper and Casey Tieghe voted in favor of a resolution to create the district. Since then it has been reported in the Canyon Courier that DEED board member, Mr. Dalvit , began meeting with Road&Bridge employees.
The only information about the location and status of the fund is in the following news reports:
“Dalvit said. To date, the fund has received $8,000 in contributions, which are held in an account at Evergreen National Bank.” (https://downtownevergreen.com/evergreen-legacy-fund/ )
“Just one business, the Highland Haven Creekside Inn, has collected more than $89,000 from our guests over the years for ELF.” (Mrs. Gail Riley, Letters, Canyon Courier ,10/21/20)
“Coupled with the ability to seek grant funding, today, ELF already has the minimum cash match typically required by most grants to fund all of the projects on the list.” (http://www.evergreenlid.org/voter-guide/)
“the ELID could use the $330,000 in the Evergreen Legacy Fund to pay for improvements without a need for a county-created local-improvement district.”(Libby Szabo, Canyon Courier 10/28/20)
The originators of the Legacy Fund charity copied a good idea, but they have lost their way having strayed from the original concept of “Infrastructure Improvements” by entering into an agreement with JEFFCO to use all the ELF assets to pay for construction of new ADA features and other public works projects. The new website (https://greaterdeed.wordpress.com/) Shows how JEFFCO has expanded the scope of the ELF beyond downtown Evergreen and is using the DEED as a proxy front to operate a private charity to acquire funds that can be used to pay for County public works projects without ever telling the private donors that their donations are paying for infrastructure creation and are not being used to pay for infrastructure improvements and preserving the heritage legacy of Evergreen.
JEFFCO receives about $1 million a month in HUTF funding from the State Treasurer. These are the JEFFCO “fuel tax” funds that should be used to pay for construction of new ADA features and County road modifications. All 17 ELID projects are on County roads, and the responsibility for ADA compliance belongs to JEFFCO not the unincorporated Evergreen community, and certainly should not be paid for by using a scam to capture private charity funds.
However, JEFFCO buys something else by using $400,000 in private charity funds to pay for county road improvements in Evergreen. JEFFCO saves $400,000 HUTF dollars from being spent on 17 county road improvement projects in Evergreen. The saved $400,000 HUTF dollars can be used to pay for any other JEFFCO operations because JEFFCO has never installed a HUTF tracking system that is required to prove compliance with the very specific spending requirements detailed in C.R.S. 43-4-207(1).
Persons/Charity/Other Interests Injured by the Charity Fraud
evergreensafetywatch : 35year Evergreen resident/property owner, donor to ELF and Public safety advocate at evergreensafetywatch.com.
Evergreen property owners in 80439: The economic health and cosmetic appeal of the downtown Evergreen business center is vital to maintaining property values in the entire 80439 area. This is why so many residents have donated to the ELF cause.
Evergreen Legacy Fund (ELF) : While the fund originators had a good idea, they have not demonstrated good husbandry of the fund. They have collected assets, to be sure, but they have never safeguarded the fund by registering the fund with the secretary of state. Also they have never created an application process whereby the assets of the fund could be judiciously dispensed to grantees to accomplish the good work for which the fund was originally intended.
Donors to ELF: The promise of the fund has never been realized and now its assets are threatened to be squandered on new construction that is the responsibility of JEFFCO to build and for which there are millions of HUTF fund dollars available for payment. The donors have been scammed.
Evergreen Business community infrastructure owners : These first in line beneficiaries will loose essential benefits in the form of grants to upgrade establishment entryways in compliance with ADA requirements. Lack of funds to comply with ADA requirements has not been a legal defense in court.
Evergreen Business Establishment Donation Collectors : These parties are first in the chain of the bucket brigade that takes a risk to collect donations by making themselves a little more costly and a little less competitive to customers. Often times they must explain the need for the charity donation without appearing as beggars. They make a selfless contribution to bring assets to the fund and deserve respect for their efforts that only the fund can deliver by keeping the promise of the fund.
Person/Organizations Engaging or Complacent in Charity Fraud Actions
Downtown Evergreen Economic District (DEED) : An unincorporated volunteer group that created the ELF, never incorporated itself, never registered the ELF charity, deposited donations, did not create a grant application process, never dispensed funds for “infrastructure improvements”, completed an agreement with JEFFCO Commissioners to pay for project materials and new infrastructure construction (ADA features) using ELF assets, has never issued transparency reports on disbursements of funds or assets accumulated.
The organizers are:
Dean Dalvit, EVstudio; Gail Riley, Highland Haven; Bob Cardwell, Stillwater Partners; Kathleen Davis, Evergreen Players; Eric Gill, Bearpaw Management; Rachel Emmer, Detritus Group; Jim Sherwood, Evergreen Clothing Company; John Seevers, Valentine Seevers and Associates; Legal Council: Richard Toussaint, Toussaint Nemer & Coaty, PC (https://downtownevergreen.com/evergreen-legacy-fund/ )
Evergreen Local Improvement District (ELID) : JEFFCO district created 10/27/20 in Evergreen with 17 T&E designed projects estimated to cost $3.4 million dollars to be paid for with ELF assets and subsequent sales tax. The district is not needed to do the projects (see Comissiomer Libby Szabo comment below). But, it is needed to fool the Evergreen public into believing that they must use ELF assets to pay for new “Public Safety” projects.
Commissioner Lesley Dahlkemper : Lead point person in creation of ELID and agreement with DEED organization members to consume ELF assets to pay for 17 ELID new county roadway modification and ADA “Public Safety” construction projects.
JEFFCO Employees Directed by Commissioners : Jeanie Rossillon (jrossill@co.jefferson.co.us)To:you + 1 more Details Slideshow
“Good Afternoon Mr. West I hope I am able to answer your questions to your satisfaction. All of the ELID projects (with the exception of the JC73 project, which is much larger project with County and federal funding), including the associated ADA ramps, will be constructed with Evergreen Legacy Fund dollars. HUTF or other County dollars will not be spent on these projects.” (Her response to my email)
Former commissioner Casey Tighe : Term limited commissioner siding with Dahlkemper to create a BOCC majority vote for creation of the ELID.
Commissionaire Kerr : Newly elected JEFFCO commissioner. Complicit in the ELID agreement and district having not acted to correct the prior actions by the BOCC majority.
Commissioner Tracy Kraft-Tharp : Newly elected JEFFCO commissioner. Complicit in the ELID agreement and district having not acted to correct the prior actions by the BOCC majority.
It should be noted that Commissioner Libby Szabo is not complicit with the charity fraud because she voted against the resolution to create the ELID. She was wrong in saying that the ELF funds could be used. But she did not vote for the mechanism to capture the funds.
Here is the reasoning she offered: “Szabo voted against the proposal because she said the Evergreen Economic District — formerly called the Downtown Evergreen Economic District — that spearheaded the ELID could use the $330,000 in the Evergreen Legacy Fund to pay for improvements without a need for a county-created local-improvement district.
“It brings confusion to me about why we are doing this when we don’t have to,” Szabo said. “I think it’s a great idea, but for today, I’m a no. I hope they can get the projects done. “ (Canyon Courier 10/28/20)
Request
My objective, as a property owner and a donor, is to have the ELF registered as a Colorado charity and have its assets protected to insure the granting of funds to local business establishments for the express purpose of improving their establishments structurally, physically, visually, historically, and in compliance with ADA requirements. The charity should be managed by a qualified incorporated local entity intent on management of the fund in accordance with the fund’s original fundamental objectives.
I am not a lawyer, but it appears to me that ELF assets cannot be donated or otherwise paid to JEFFCO by the DEED for several reasons:
- The DEED is not incorporated in Colorado and therefore is not authorized to do business in Colorado. I believe that the DEED cannot legally collect or spend or disburse the funds it collects.
- The ELF is not a registered charity in Colorado and its assets cannot be disbursed.
- Even if 1 or 2 above are corrected the assets of the ELF can only be used to pay for the original goal for which it was created and promised to donors. That was and still is “infrastructure improvements.” New construction does not qualify.
So, I am requesting that you investigate the case of charity fraud that I have described herein and prosecute violators.
Section 6-16-111 – Violations – rules
(1) A person commits charitable fraud if he or she:
(i) Represents or causes another to represent that a contribution to a charitable organization will be used for a purpose other than the purpose for which the charitable organization actually intends to use such contribution;
Thank you for your professional attention to this matter.
Regards,
evergreensafetywatch
12/29/20