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City Attorney says mayor has conflict in key program

By Lynn Zerschling Journal staff writer | Posted: Friday, June 13, 2008
SIOUX CITY -- City Attorney Andrew Mai said Thursday Mayor Mike Hobart has a conflict of interest in his proposed "key to the city" program because his wife has a financial interest in the organization that would provide the artwork.

In a memo to the City Council, Mai wrote Iowa law "generally forbids the mayor from engaging in an activity which is in conflict with his official duties or responsibilities." He said state law "defines a conflicting activity to include use of one's office to give a member of the person's immediate family an advantage or pecuniary benefit that is not available to other similarly situated members or classes of members of the general public."

Mai looked into the matter at the request of the other members of the City Council.

Last Friday, Hobart announced the program and unveiled art work created by the Siouxland Artists group, which would be sold to businesses or individuals wishing to purchase the pieces as part of a key to the city presentation.

Under the plan, the artists would receive 90 percent of the fees from those sales, while the artists group would use the other 10 percent to finance its community service programs.

When asked why students or other artists were not included in the program, Hobart explained the organization has been in existence since the 1930s and is open to anyone. He said anyone wanting to submit art for the program could join Siouxland Artists for $20 a year.

Hobart's wife, Shari, a retired art educator and artist submitted a black-and-white collage drawing as one of the items to be included in the key program. Hobart also is a member of the organization, although he said he is not an artist.

The program would use the mayor's office to endorse the artwork to be sold, the city attorney stated.

"Such endorsement likely gives the artwork an advantage over other artwork, which is not endorsed," Mai stated. "This advantage likely will provide an advantage or pecuniary benefit to Siouxland Artists. The mayor's wife has a financial interest in Siouxland Artists. Due to these circumstances, this activity likely creates a conflict of interest."

After concerns about the program surfaced last Friday, Hobart said his wife would withdraw her artwork from consideration because the intent was not for them to make money. Mai said the mayor still would have a conflict of interest because the Siouxland Artists would receive part of the money from sale of the artwork.

"The mayor has indicated his willingness to suspend the program due to the issues presented," Mai said. "He has indicated the possibility of exploring other avenues for the program. Any new avenues will require independent analysis and there may be other issues unrelated to a conflict of interest."

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Story Comments

wow. wrote on Jun 13, 2008 7:48 PM:

" ha. wow. everyone needs to grow up. "

Steve wrote on Jun 13, 2008 4:09 PM:

" This is both ridiculous and sad. While the presentation of a piece of Siouxland Art is a good idea, restricting the offerings to those associated with the Mayor's group is not. The City may very well also decide to move forward with this project as presented, but that decision needs to be made by the council with Mayor Hobart abstaining from the vote due to his conflict of interest. "

Steve wrote on Jun 13, 2008 4:09 PM:

" When I saw this story in the paper this morning, I wondered why they were bringing this up yet again. Now that I see the mayor has reintroduced the program, and expanded it, at his Friday news conference I can only conclude that the Journal knew or suspected this announcement was coming. I wish the mayor would just move on and obey the law. Its painfully obvious that a conflict of interest exists. Even if the mayor doesn't make a dollar personally off of this, his group will still stand to benefit from additional sales and exposure it would not have without this abuse of the mayor's position. He is also stating that he will present the awards purchased upon request. This is clearly an official act. Think about it this way, if you were having someone present a key to the city, who would you want a mayor or a realtor? Clearly this is being done under his capacity as mayor. This creates the conflict of interest. I say this not as someone bitter over the election, I voted for Hobart. "

Sad wrote on Jun 13, 2008 3:51 PM:

" Geeze, you'd think anything that would get local artists recognized would be a GOOD thing... I wish the Council would quit bickering and move on to real issues. "

Brian wrote on Jun 13, 2008 1:32 PM:

" I'm not a lawyer but I knew immediately there was a conflict of interest, and yes, it is important for that issue to be addressed.
I am wondering why Mr. Hobart doesn't discuss his ideas w/ the council B4 he makes such suggestions @ his weekly press release.
This isn't just the first time. "

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