County shouldn't repay illegal 'loans'

The county used the solid waste fund as a bank to finance the courthouse remodel project, which the voters never approved, and the juvenile detention center, which the voters rejected.

These transactions violated several Idaho statutes and the Idaho Constitution as follows:

1. There is no statutory authority for accumulating money in the solid waste fund. IC 31-870 states that fees “shall not exceed the actual cost of the service being rendered” and Article 7, Section 15 of the Constitution states, “All moneys in the county treasury at the end of the fiscal year, not needed for current expenses, shall be transferred to (a) warrant redemption fund.”

2. The Idaho Attorney General and county bond counsel agree that the ‘loans’ violated IC 31-1508, which prohibits inter-fund transfers.

3. The “loans” also violated the election requirements of Article 8, Sec. 3 of the Idaho Constitution and, therefore, they are “void.”

In Deer Creek v. Doumecq (37 ID 601) the ID Supreme Court said, “It is elementary that there can be no recovery on a void contract”. Some, however, still think the county is “morally” obligated to repay the “loans.” I think the county has a legal and moral obligation to the taxpayer and our taxes should not be increased to repay void loans.

Furthermore, if the “loans’ are repaid, and the money is, once more, illegally accumulated in the solid waste fund, future boards may again use it to circumvent constitutional election requirements.

LOU GOODNESS

Sandpoint