First America refund still on hold

An organization that has become a flashpoint for controversy in St. Augustine, the now defunct First America Foundation, Inc., who Historic City News reported brought an “olive branch” in the form of a $150,000 payment through their Chairwoman Christine Chapman, has stalled in their promise to turn over records and the remaining cash on hand.

City Manager John Regan told Historic City News on June 22, 2011, that Chapman, who stepped into her position after the resignation of Foundation Chairman and incorporator Donald W. Wallis, was returning “what is left” of the advance lump-sum payment of $275,000, plus a $25,000 check due the City from Bridge of Lions contractor Tidewater-Skanska.

City Attorney Ron Brown told Historic City News today that it was his understanding that the City had received another $25,000.00 from First America Foundation –“and that will be the last monies refunded”.

Wallis, an attorney with Upchurch, Bailey and Upchurch, worked out a deal with the City to provide planning and coordination of the 450th Commemoration of St. Augustine’s founding in 2015, to plan a 200-year anniversary of the 1812 Spanish Constitution, a 500th celebration of the 1513 landing of Ponce de Leon and a 50-year anniversary, in 2014, commemorating the 1964 signing of the Civil Rights Act.

What, to this day, remains unanswered, is why the City pre-paid the entire cost of the four-year service contract to Wallis; especially given the fact that Wallis had only incorporated the foundation with whom the City contracted only days before.

“$150,000 pales in comparison to the $300,000 the City gave them — considering the fact that we didn’t receive anything of value in return,” said one local attorney who has worked for government clients for over forty years.

Later today, Assistant City Manager Tim Burchfield informed Historic City News that last week he spoke to First America Foundation, Inc., Treasurer, Matt Baker; who is president of the local insurance firm, ThompsonBaker Agency.

“Baker said he still had two checks that needed to clear and then had a few small assets that needed to be sold,” according to Burchfield. After that could be accomplished, “then they would be ready to remit the final check.”

Birchfield told Historic City News that Baker estimated the final check “would be between $23,000 and $25,000”.

We asked Birchfield, Brown and Regan about Chapman’s promise to turn over files, project and sponsor data, forms and plans, institutional knowledge and programs already in development. Birchfield responded, “As for the records, I have not seen any records and have not discussed this issue with Matt Baker.”

After e-mail correspondence was published by Historic City News that cast compelling doubt over Wallis and 24 year-old former Heritage Tourism employee, Jamie E. Alvarez, regarding their ability to deliver the services required under the agreement, Regan made clear in a public workshop held May 23rd, that the City of St. Augustine is “moving forward” with commemoration plans for signature events and marketing — with or without First America Foundation.

We are told that the Mayor and City Commissioners would have to decide if any legal action would be taken against First America Foundation, Inc., its founders and blue-ribbon Board of Directors, or if they would be asked to be accountable for the six-figure conversion of public funds.

One Historic City News reader, who currently is employed at the City of St. Augustine and asked that we not use her name, said, “The Mayor and Commissioners are the ones that should be held accountable — they are the ones that agreed to pay all the money up front.”