Wednesday, March 22, 2006
Posted by The Dean of Cincinnati
This survey provides background for this column we published Monday.
We all know the familiar mantra: “Those who don’t know history are destined to repeat it.” Thanks to online resources like Newsbank, some history is easy to acquire. (The database requires a public library card to access.) Newsbank only goes back to 1999 with issues of The Enquirer, but all the way back to 1990 for The Post. That’s the year of Richard Weiland’s involvement in the DeCourcy scandal.
The following are relevant excerpts from just a sample of articles published in 1990, mostly by The Post, one by the Dayton Daily News. They shed light on the past work of Richard Weiland. Also, the connections to some contemporary stories are uncanny (or, as Freud would have said, “un-heimlich").
For example, the story features Weiland and backroom deals for the sake of manipulating property taxes. The Cincinnati Beacon has long questioned Phil Heimlich’s motivations in leveling levies with his real estate business partner Chris Finney.
Noteworthy, also, is the appearance of City Councilmember Chris Bortz’s father, Neil Bortz, and Towne Properties’ involvement with Chris Bortz’s political rival Phil Heimlich’s friend Richard Weiland. Sound confusing? Oh, the tangled webs we weave…
From “CINCINNATI OFFICIALS SAY AUDITOR CHEATED SCHOOLS,” Dayton Daily News (OH), February 18, 1990
City and education officials reacted angrily to a published report that reduced property valuations Hamilton County Auditor Joseph L. DeCourcy Jr. granted some property owners cost local governments more than $1 million in revenues since 1988.
“He’s cheating school children,” said Tom Mooney, president of the Cincinnati Federation of Teachers. “For many of these kids, this is their best, if not only, chance to break out of the cycle of poverty, and he’s doing it because of corrupt political considerations.”
The Cincinnati Post reported Friday that DeCourcy reduced the assessed values of more than 1,000 properties since early 1988.
DeCourcy said that for 20 years, he has reduced assessments on some properties whose owners complained about tax increases. The auditor said he relied on a 1972 opinion by then-Hamilton County Prosecutor Simon Leis Jr. that said he had authority to change valuations at any time.
From “TAX COMPLAINTS HIT $152 MILLION,” The Cincinnati Post, April 3, 1990—by RANDY LUDLOW, POST STAFF REPORTER
The vast majority of the city’s complaints cite improper reductions by DeCourcy and his staff as the reason for the appeals, but city lawyers also seek some increases on the basis of recent sales and questionable valuations.
For tax purposes, the assessed value of properties is set at 35 percent of their market value.
From a proposed $4.8 million increase in the assessed value of Federated Department Stores’ downtown headquarters to a proposed $1,400 increase in a vacated alley in Over-the-Rhine owned by Cincinnati City Council Member John Mirlisena and his family, the city aggressively filed complaints.
“We feel we’ve done everything we can up to now to protect our interests and as events unfold, we’ll evaluate where things stand,” said Assistant City Solicitor Nancy Simmons.
The city also has asked the board of revision to investigate DeCourcy’s practices and potentially collect property taxes for the past five years on properties found to have been improperly valued, Ms. Simmons said.
The largest increase in assessed value sought by a complaint is $56.3 million for Kenwood Towne Centre, filed by the Indian Hill Board of Education. The mall is valued at $54 million and the auditor’s office proposes to increase it to $93 million, but the school board believes it still would be undervalued by $17.3 million.
From “INSIDERS REMOVED FROM DECOURCY AUDIT,” The Cincinnati Post, October 12, 1990—by RANDY LUDLOW, DAN HORN AND MOLLY KAVANAUGH, POST STAFF REPORTERS
References to an acquaintance of Ohio Auditor Thomas E. Ferguson and the law firm of Ohio Senate President Stanley Aronoff were removed from a draft of the state audit that found former Hamilton County Auditor Joseph L. DeCourcy vastly undervalued some property in the county.
A draft audit by Ferguson’s office obtained by The Cincinnati Post linked Cincinnatian Richard Weiland of Richard Consulting Corp. and the law firm of Aronoff, Rosen & Stockdale to a voided property tax increase on the Alms & Doepke Building. The draft said that Weiland and Aronoff’s firm were paid about $40,000 to arrange the tax break on the building. However, none of that information appeared in the final audit of questionable property valuation practices of DeCourcy released by Ferguson May 15…
A draft audit, with a written notation that it was the “latest” version as of last March 23, stated Weiland and Aronoff’s law firm were paid about $40,000 to handle the taxes on the downtown building. An increase in its value was approved by the county auditor’s office, but later was voided and “whited out” on permanent tax records with correction fluid.
The audit said unjustified action deprived the county and other governmental units of $44,000 in taxes. If the audit had not detected the voided tax increase, which has been appealed to the board of revision, the property owners could have saved $44,000 annually.
The tax treatment of the Alms & Doepke Building apparently is among those being investigated by the FBI and Ohio Special Prosecutor Thomas R. Smith…
After receiving notice the property taxes were to be increased, “Powers stated he then contacted the building owner’s law firm of Aronoff, Rosen & Stockdale and was informed that Dick Weiland could help…
“Powers stated that he first gave Weiland a check for $14,000 and later when Weiland asked for more money, he (Powers) gave him another check for $8,000. In total, he said he paid Weiland and the law firm of Aronoff, Rosen & Stockdale about $40,000,” the draft audit said.
On Thursday, however, Powers denied being interviewed by state auditors, saying it was a “complete untruth.” Powers said he was interviewed by the FBI and the special prosecutor about the building’s tax treatment.
Documents also show that a reference to Weiland in connection with tax cuts awarded to the Evergreen Retirement Community appeared in the draft audit, but was not included in the final version…
Weiland also helped form the invitation list for a reception for Ferguson last summer when the state auditor was considering seeking the Democratic gubernatorial nomination. The reception came three months after state auditors began investigating DeCourcy’s office.
The reception aboard the yacht of developer Neil Bortz - while not a fundraiser - later led to campaign contributions for Ferguson, a four-term Democrat and former Cincinnatian seeking re-election this fall…
Weiland also has worked for Bortz’ Towne Properties, which received tax cuts from DeCourcy’s office. Towne Properties is a partner in the Kenwood Towne Centre, cited in the audit as being vastly undervalued by the auditor’s office. Bortz contributed $250 to Ferguson on Nov. 26, 1989.
Bortz, who said he did not attend the reception, said he was unaware his yacht was used. He said he often lends it to charities and business associates. Weiland said he did not know who organized the reception.
Weiland also is an acquaintance of Buck, Ferguson’s regional administrator. Buck did not return calls from The Post.
From “AUDITOR MESS REACHES INTO LOCAL POWER ELITE,” The Cincinnati Post, October 19, 1990—by DAN HORN, POST STAFF REPORTER
For most of his career, Richard A. Weiland has been an invisible man behind Cincinnati’s movers and shakers.
Charity groups called him when they needed help soliciting donations. Politicians asked him to organize fund raisers. And wealthy property owners hired him to get their taxes cut by the Hamilton County auditor.
Although such high-profile activities earned him a reputation as “a big player,” Weiland usually remained in the shadows while those he worked to support basked in the public spotlight.
All that changed, however, when he became mired in a political debacle that forced the resignation of Auditor Joseph L. DeCourcy Jr. and prompted a grand jury probe into the methods used to reduce property values.
Weiland, president of Richard Consulting Corp., now has emerged as a key figure in the controversy because references to his role in some tax cuts were removed from an audit prepared by the office of Ohio Auditor Thomas E. Ferguson.
His link to Ferguson, one of several politicians he has supported, is part of an extensive network of connections that Weiland has built over the years from his office in Cincinnati to the statehouse in Columbus.
“Everyone knows Dick Weiland,” said Alfred Cohen, a long-time friend who went to high school with him. “He’s one of those guys who always gets the job done . . . he’s a hard worker"…
Among those he has supported: State Sens. Richard Finan and William Bowen; Cincinnati City Council Members Pete Strauss and David Mann; Mayor Charles Luken; former council members Arn Bortz, Sally Fellerhoff and Jerry Springer and former council candidate Roxanne Qualls.
He also contributed to DeCourcy’s 1986 re-election campaign and has handled real estate matters for Ohio Senate President Stanley Aronoff’s law firm…
It was a remarkable rebirth for a man once imprisoned after a housing fraud scandal in the mid-1970s.
At the time, Weiland was president of a company that put together urban development projects funded by the Federal Housing Authority. He ran into trouble when federal officials accused him of improperly claiming $9,245 in connection with one of the projects he was handling.
“The idea was, ‘Let’s see what we can do to make ghettos better,’ “ said Robert Jewell, president of a Dayton-based firm that put some investors in touch with Weiland. “But I think maybe the money began to take precedent over the social aspects of it. Then greed took over.”
Weiland eventually served four months of a one-year prison sentence in Lexington, Ky., and gave up his law license for life after pleading guilty to making a false statement to the government…
In some cases, Weiland’s connection to influential Cincinnatians dates back more than 40 years, when he attended Walnut Hills High School with Aronoff, U.S. Rep. Willis Gradison, R-Cincinnati, and developers Neil Bortz and Philip Meyers Jr.
He represented Bortz’s Towne Properties and Meyers’ Evergreen Retirement Center when they received tax cuts from the county auditor ...
From “HIGHER-UPS ALTERED AUDIT, MEMO SAYS,” The Cincinnati Post, October 24, 1990—by RANDY LUDLOW, MOLLY KAVANAUGH AND DAN HORN, POST STAFF REPORTERS
The state auditor’s top official in Cincinnati was pressured by superiors to remove references to Richard Weiland - a supporter of Ohio Auditor Thomas E. Ferguson - from a report on the Hamilton County Auditor’s office, according to a memorandum obtained by The Post.
The memo written by Michael Geoghegan, who supervised the audit as district manager of Ferguson’s Cincinnati office, questions Weiland’s treatment in the audit of the practices of former county Auditor Joseph L. DeCourcy Jr.
References to Weiland - a Ferguson campaign contributor and acquaintance whose clients received some of the largest property tax cuts granted by DeCourcy - were removed from the final audit that found the cuts improper, The Post reported previously.
Geoghegan wrote, “. . . Every time I had put a reference to Weiland’s activities in the report, it was taken out” ...
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