I was surprised to see on page 17 of the April 24 Council packet that there’s a letter (separate PDF here) from Northfield attorney David Hvistendahl to the CPA firm of Abdo, Eick & Meyers in which he’s telling them to not disclose any financial info about the Northfield Rescue Squad Association to the City of Northfield:
Remember your firm’s fiduciary duty owed to the Association on the basis of your professional services to the Association. We assume you will honor that duty and not disclose any information pertaining to the Association without our written consent.
Unless the city has a written agreement with the Association that gives them the power to request such an audit, or unless a Minnesota statute grants the authority to a municipality to compel an audit, the city lacks the standing to request an audit.
The Northfield Rescue Squad Association (NRSA) is separate from the Northfield Fire Relief Association (NFRA). The NRSA runs the bingo and duck race fundraisers during DJJD. I don’t know the history on why there’s a need for two organizations. I don’t understand how the gambling/pull-tab revenue is handled.
But regardless, why is it important that the City not know the Northfield Rescue Squad Association financials?
So Hvistendahl has found another place to wet his beak.
You ask a good question, “Why is it important that the City not know the Northfield Rescue Squad Association financials?”
If Hvistendahl’s motivation was to keep the financials from getting known, his submitting a memo like that just really backfired. I agree, why would these financials be such a secret??? And why did the NRSA hire a lawyer to keep the financials under wraps??? If on the other hand business is slow and he was looking to create some more billable hours, then writing memos could be a way to do that. Guess it’s all just speculation from what we know at this point in time.
Curt/Robert,
There’s a summary of the Rescue Squad on Page 21 of the 2009 NFD report to the City.
It doesn’t mention that there’s a Rescue Squad Association.
The last paragraph states:
So I’m guessing the City wants to know just how much revenue is brought in by this service to Elko plus the bingo and duck race, and what it’s being spent on. I’d like to know, too.
Posted to Northfield News at 1pm:
Ethical questions arise over Northfield Fire Relief Association expenses
Props to the newspaper and Suzy Rook for mentioning LoGro twice in the story:
Hvistendahl’s strange request for omerta from the Rescue Squad’s auditors doesn’t seem so strange today, after Suzy Rook’s NFN article:
http://www.southernminn.com/northfield_news/news/article_140da8f7-ac82-57c4-8cc4-8382b3d59b40.html