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TWIN FALLS, Idaho (AP) — The national YMCA has put its Twin Falls chapter on probation after finding widespread financial mismanagement at the branch.
According to a February assessment conducted by the national YMCA, the nonprofit organization's local board asked for help after realizing that then-CEO Gary Ettenger was providing false financial information, reported The Times-News (http://bit.ly/1WiUOWY).
Ettenger stepped down in March. The Times-News could not reach him for comment.
The Twin Falls organization is at risk of losing its charter with the national YMCA and its nonprofit status if the problems aren't addressed. It owns two gyms and manages a city pool, serving about 7,000 Magic Valley residents.
Internal YMCA documents obtained by the Times-News indicate the branch is on the verge of insolvency and mismanaged hundreds of thousands of dollars from local donors. Its former director covered up the problems to keep board members from discovering the scope of the troubles, according to the documents.
"This is a serious situation," wrote Laura Mahan, a Meridian-based resource director for the national YMCA, in a February letter to board members. "These, along with several other issues, are a growing concern for your organization's ability to thrive."
The documents say the YMCA in 2014 misused $693,000 in donations tied to specific projects.
Also in 2014, $600,000 was donated by the Kyle family, which owns local McDonald's franchises, to transform a YMCA pool into an indoor water park. No construction has been done on the pool to date.
On Tuesday, Bill Kyle told the Times-News he's aware of the issues at the YMCA. His family's donation "didn't get handled in the appropriate fashion at the time, but it's my understanding that steps are being taken to get that resolved," said Kyle.
Mahan declined to comment on the issues on Monday. She said she can't disclose much information and referred all questions to the YMCA of Twin Falls, saying "it's their story to share."
Local board president Andy Barry confirmed the findings Tuesday. He declined to comment on misuse of money, saying the February assessment "explains it all."
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Information from: The Times-News, http://www.magicvalley.com
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