The YMCA has put the YMCA Magic Valley chapter in Twin Falls, Idaho, on probation after discovering financial mismanagement.
YMCA Magic Valley allegedly misappropriated nearly $700,000 in donations and failed to complete routine audits, according to the Twin Falls Times-News, which first reported the story. The Y's local board asked for help when it realized former CEO Garry Ettenger provided "false financial information" to the board, according to the Times-News report.
The Times-News obtained documents outlining the chapter's financial struggles and noted the chapter is on the verge of insolvency.
“The director was doing a good job," YMCA Magic Valley board President Andy Barry told the Times-News. "Everything looked good to us. But he got himself into a behind situation on bills. He wasn’t transparent about it, so we thought things were great.”
YMCA internal documents cited by the Times-News showed short-term debt of $521,000 and about $1 million in long-term debt in a February assessment; failure to pay $126,000 in payroll taxes to the federal government and a repayment plan with the federal government; failure to pay national YMCA dues since August 2015; and failure to submit financial audits for several years since 2008.
YMCA Magic Valley owns two gyms in Twin Falls. It also manages the YMCA/Twin Falls City Pool under a contract with the city, according to the Times-News.
Additional details regarding Magic Valley YMCA financials are available in the Times-News report.