“What about Dale and John’s reputations?” said Mark Jarvis, a city resident. “What about legal fees? Council had the taxpayers of Xenia pay for their legal fees. I feel the people responsible for this witch hunt should be ashamed of themselves.”
Some residents recalled how the state ethics investigation and the city inquiry divided the community.
“It caused animosity between friends,” said Billie Carrico, a Xenia resident. “It caused animosity at workplaces … I think the city of hospitality was ripped apart by our city council.”
Caupp and Louderback said the ethics probe hurt their personal and professional lives. They’ve spent about $80,000 in legal fees to to clear their names.
“I personally lost a broker relationship and five accounts over the inquiry process and media attention,” Caupp said. “This is real lost income to my family for the reckless actions of this council.”
Thursday’s meeting came about two weeks after the Ohio Ethics Commission sent a Aug. 9 letter to Zashin & Rich, the legal firm representing the city in this matter, stating there was “insufficient evidence to support violations of any ethics laws.”
“The investigation found that Louderback and Caupp did not accept the positions offered by Creative Entertainment Concepts,” wrote Julie Korte, the Ohio Ethics Commission chief investigative attorney. “In addition, the investigation developed no evidence that Caupp and Louderback participated, as council members, on matters CEC may have had before the city during the time the parties discussed potential employment.”
The ethics commission also determined Louderback paid for a trip to South Carolina to view a CEC venue.
“The only thing we’re guilty of is trying to invest in our community,” Louderback said. “Had the city council not went on a witch hunt, city management also, I honestly believe there would be an entertainment center over there … Then after that a movie theater would’ve followed..”
There are no plans for the council to issue an apology, said Xenia City Council President Michael Engle.
“We do not consider an apology relevant at this point, because we believe the findings from our independent inquiry stand as they were judged last year,” he said.
The city inquiry was initiated on Aug. 19, 2015. The council approved the ethics hearing after Caupp and Louderback disclosed, in February, they planned to invest money and accept jobs with a developer who was planning to build an entertainment center in the city. The councilmen disclosed their involvement with the developer during a time when the city was working on a deal to sell land it owned — where the entertainment center would be located — to the developer.
The proposed entertainment center would have included a bowling alley, laser tag arena and sports bar. The project also included plans to convert the former Kmart building into a movie theater.
In September, fellow council members determined at the conclusion of a public ethics inquiry hearing that Caupp and Louderback, who planned to invest in a entertainment center deal, violated the city charter. The council voted 5-0-2 on the charter violations and public reprimand. Caupp and Louderback abstained from the vote.
The city charter prohibits council members from having an “interest” in any contract, job, work or service related to the city. Any city contract where a council member has an interest or becomes interested could be voided by the council.
The state ethics commission also launched an investigation, and on Aug. 1 commission members reviewed the results of its probe during a confidential executive session.
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