Posts tagged: Deborah Silver
Idaho state Treasurer Ron Crane’s Democratic challenger, Twin Falls CPA Deborah Silver, went on the attack in a televised debate between the two on Thursday night, charging that Crane should be fired as state treasurer for a fund transfer that auditors say cost state taxpayers at least $10 million. “In the business world, we know how this would end – the treasurer would be fired,” Silver declared. “The only way to fire this treasurer is with your vote. I am running to give Idaho taxpayers a choice for honest stewardship of their tax dollars.”
Crane protested that his office “vociferously disagreed with the findings of the legislative auditors,” and defended his actions in the transfer, which occurred after he said mortgage-backed securities the state had purchased in 2005, 2006 and 2007 were showing $70 million in losses as the housing market collapsed.
“I held those securities and rode out the storm, letting them come back in value toward par,” Crane said. “Last year, 2013, I had enough interest earnings and portfolio gains to wash out five of the seven securities and still show a profit of $122,000 for the general fund and $2 million for all the rest of the portfolios that I manage. I still have two of those securities in my portfolio. A year ago at this time, they were about $17.5 million underwater. Today, as of Friday, they are $9.6 million underwater. So they’re coming back, they’re moving in the right direction.”
Crane charged that legislative auditors wanted him to sell the securities at the time and realize the full $70 million in losses. But a critical state audit report didn’t suggest that; instead, it faulted him for transferring the securities from a local government investment pool to the investment fund for state money, shifting the losses to state taxpayers rather than local governments. You can read my full story here at spokesman.com.
Tonight on Idaho Public Television, state Treasurer Ron Crane and Democratic challenger Deborah Silver will debate at 8:30 as part of the “Idaho Debates,” co-sponsored by the Idaho Press Club and the League of Women Voters of Idaho. After tonight’s debate, the series continues with the candidates for state superintendent of schools on Oct. 21 at 7 p.m., lieutenant governor Oct. 30 at 8:30 p.m., and candidates for governor facing off Oct. 30 at 7 p.m.
The canceled debate in the Idaho state treasurer's race, originally set for tonight as part of the “Idaho Debates” on Idaho Public Television, has been rescheduled for next Thursday at 8:30 p.m. State Treasurer Ron Crane asked for the change, saying he'd lost his voice and couldn't debate tonight. Democratic challenger Deborah Silver reacted with suspicion, saying the cancellation came as Crane was resisting her public records requests for various information from his office, including communications with the state Attorney General. However, she agreed to the new date next week.
The debate will air statewide at 8:30 p.m., as part of a series of debates co-sponsored by the Idaho Press Club and the League of Women Voters of Idaho.
Idaho state Treasurer Ron Crane is pulling out of tomorrow’s scheduled statewide debate on Idaho Public Television because he’s lost his voice, but is working to get it rescheduled for next week. “He’s caught the crud that everybody else has had, and yesterday he was a little froggy but today his voice is practically completely gone,” said Crane’s campaign spokesman, Ken Burgess. He said Crane remains “absolutely committed” to debating his Democratic challenger, Deborah Silver, in the “Idaho Debates,” which are co-sponsored by the Idaho Press Club and the League of Women Voters and broadcast live statewide on Idaho Public TV.
Silver was skeptical. “I think he doesn’t want to answer some questions that we have out there right now,” she said. The first three alternative dates proposed conflict with major campaign events she has scheduled around the state next week, she said. “I’m ready to debate. I’m totally prepared to debate. So we’ll see how this works.”
The two also are scheduled to face off at Boise TV station KTVB on Monday; Burgess said Crane is hopeful he’ll be able to do that one. The treasurer’s debate in the “Idaho Debates” had been scheduled for 8:30 p.m. on Thursday.
Deborah Silver, the Twin Falls accountant who’s challenging four-term state Treasurer Ron Crane, is calling on Crane to release a full review of questioned investment transactions to state auditors. “What else does he have to hide?” Silver asked. “Idaho taxpayers deserve the truth from their state treasurer.”
Crane maintains he’s released all the information he can, but Idaho’s state auditor’s office, in an audit report released at the end of June, said it still hadn’t received documentation showing that Crane’s office has reviewed all potentially problematic transactions, after news of one surfaced in which a state investment pool lost millions when Crane’s office reallocated assets between it and a local government investment pool.
“While documentation of two specific reallocations was provided during the audit, no additional evidence supporting a full review of all potentially inappropriate reallocations was provided,” the late-June audit report said. Laura Steffler, Crane’s chief deputy, wrote in the office’s official response submitted for that report that the office had reviewed all securities lending transactions for reallocation of assets between investment portfolios directed by the office since July 1, 2008, and had already provided all the documentation.
“Short of just saying we did it, I don’t know how else we can prove … that we did it,” said Ken Burgess, spokesman for Crane’s re-election campaign. He said Crane’s office offered the auditors access to the full documentation for every one of the tens of thousands of transactions completed under its securities lending agreement since 2008, and the auditors declined that offer. “They said we don’t want all this stuff – we just want you to somehow prove that you did a full review,” Burgess said. “How do you prove that, short of taking our word that we did it?”
Silver responded, “That makes absolutely no sense. There are statements, with the allocations going back and forth reconciling the balance. … In my view, either he really does not understand what the auditors want, or he’s deliberately dodging.” You can read my full story here at spokesman.com.
In his 16 years as Idaho’s state treasurer, Ron Crane has built up the state’s credit rating, launched a popular college savings program and a free annual control-your-finances conference for women, and helped create a bond bank that lets local school bonds and other local-government debt take advantage of the state’s favorable interest rates, potentially saving property taxpayers millions. But he’s best known for a series of critical state audit findings over the past five years, the most recent suggesting that Crane made an inappropriate transfer between two funds that cost the state’s taxpayers more than $10 million.
Crane vigorously disputes the audit finding, contending his office did nothing wrong and made reasonable decisions based on what it knew at the time. “As to the charges of the audit, I maintain and will maintain that they were politically motivated,” Crane said in an interview. “We think there’s an excellent explanation for each one. When voters understand what the real explanation is, they will agree with our position.”
The audit findings have prompted a longtime Twin Falls CPA, Deborah Silver, to challenge Crane in this year’s general election. “I would absolutely follow the auditors’ suggestions, no argument, no excuses,” said Silver, a Democrat who taught accounting at the College of Southern Idaho for five years and has operated a CPA firm with her husband in Twin Falls for nearly three decades. “This is a job that I can do.”
The Spokesman-Review asked David Burgstahler, the Julius A. Roller Professor of Accounting at the University of Washington, to review the audit finding about the fund transfer and Crane’s detailed response. “I found the auditor’s conclusions pretty convincing,” Burgstahler said. You can read my full story here at spokesman.com.