Somervell County Employee gets 50 percent of gross receipts for the Squaw Valley Club House Somervell County Salon-Glen Rose, Rainbow, Nemo, Glass....Texas


Somervell County Employee gets 50 percent of gross receipts for the Squaw Valley Club House

7 November 2013 at 1:42:58 PM

Here's the management contract signed by Duff Cunningham and Mike Ford on or about October 1 2013

One of the commissioners told me it was his understanding that turning over the golf course to Somervell County meant that the county got 100 percent of the revenues. Not according to this agreement.

I don't know about what was promised but I do believe this. Duff Cunningham is now a county employee with an $80,000 salary and at least 2 years of $90,000 a year to buy out the contract he previously had. And now we see that his company also has a contract that gets him 50 percent of GROSS receipts from the club (Somervell County gets the other half). The commissioner I spoke with did not believe there had been a bid to open it up for all companies that might choose to offer terms for operating the club. He said there would have had to have been an RFP. I have asked him to confirm whether in fact there was an RFP but it doesn't look like it.Confirmed - no RFP

The commissioner told me that Somervell County owns 100 percent of the golf club and 100 percent of the revenues and owns the entity Squaw Valley Club Inc. But the Texas SOS (I just looked again 5 minutes ago) shows the owners as Duff and his wife, not Somervell County. Also, it wouldn't make sense for there to BE a contract between Cunningham and Ford unless, perhaps, the TABC had a requirement that there had to be a 3rd party entity to actually handle the liquor license. And it's not Somervell County. If it were, then why isn't the information updated on the SOS site to show Somervell County as the owner? As a 3rd party company, what controls would be in place to ensure that 50 percent of the receipts were actually coming to Somervell County? Is Cunningham as registered agent in process of updating the information? Is Somervell County? They need to show the proofs that they did.  IF there is a requirement that a 3rd party entity do the liquor, then why wasn't it put out for an RFP instead of giving it to Cunningham? And IF the reason is that there is no money to be made (ie, the management agreement is a bogus shell agreement that represents no actual money to Cunningham) by Cunningham becasue really, wink wink, Somervell County owns it, and THAT's why it wasn't put out for an RFP, then why the heck is Somervell County in the business of owing a golf course anyway? What makes people here so averse to just SELLING It and then, gasp, COLLECTING PROPERTY TAXES!

I'll tell you what I find really offensive about this. Jesse Schoessow was laid off, and 3 other people all other employees except one supervisor who got a raise,  had their wages cut 40 percent. (According to one person I talked to, those other 3 others had a contract that specified what they were supposed to be paid). I believe those 3 people probably quit or moved on because, you know, you have to be able to put food on the table. Duff Cunningham sure isn't going to have to worry about that, is he? What a sweet under the table deal to continue to get the proceeds, plus get buyout  money, plus be a county employee. Want to point the finger at someone for the unfairness of this? Point it at Mike Ford, whose signature is on that document.

P.S. You'll notice that the contract looks a little goofy. Apparently both parties were in such a rush to sign it, they didn't actually READ it to make sure it made sense. Look under the paragraph for "Management Services", If it is meant to be this way, comes back to wondering why Somervell County simply doesn't have its own liquor license

P.P.S. For those who are unable or unwilling to actually open up the PDF link at the top of this post and read it, here's a pic of the Management contract, which is to manage, as the title of this post says, the club  (I have no idea and did not ask if Cunningham has anything to do with the pro shop anymore). Note that paragraph 4 says that Squaw Valley Club would be managing the day to day operations of the Club.I believe the part under Management Services probably needs to be flipped as in error, but whoever did this, it's clear it refers to Squaw Valley Club, Inc which is an independent corporation to manage the club house inc food and drink FOR Somervell County.

P.P.S. Was thinking about this. TABC says that Somervell County can have its own liquor license. That being so, then why didn't they just get their own instead of using Cunningham's? Since Cunningham is already an employee of the county, his JOB would be to manage the club house.

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1 - concernedcitizen   7 Nov 2013 @ 2:49:42 PM 

Is it worth the paper it's written on?  Did not go through proper proceedings. Could be challenged easily!

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2 - Not a conspiracy theorist   7 Nov 2013 @ 3:19:33 PM 

Your link at the beginning of the article does not direct you to a management contract but an agreement for liqour sales.  Do your homework before you post untruths!

3 - salon   7 Nov 2013 @ 3:28:22 PM 

@notaconspiracetheorist-Let me help you out.

Latest Blog Post by salon -Video- Somervell County Commissioners Court Special Sessions (2) Dec 23 2019
4 - Not a conspiracy theorist   7 Nov 2013 @ 4:12:49 PM 

That's what conspiracy theorists do.  They don't read the entire article and make assumptions based on a few words or phrases.  Below your red circle is the the acronym TABC (Texas Alcoholic Beverage Commision)  This agreement only specifies liqour sales.  The term "club" is in the TABC language to denote a private facility that sells alcohol for onsite consumption only.  This agreement has nothing to do with anything other than alcohol sales. 

5 - salon   7 Nov 2013 @ 4:31:16 PM 

You apparently do not get the point of what I'm saying. Let me be clear

Cunningham is now an employee of Somervell County. As such he gets an $80,000 salary plus benefits. He further had his previous management contract bought out by the county and, according to the commissioner I spoke with, will be getting, also,  $90,000 a year for the next year or so (I have asked for a copy of both contracts). It is very clear if you read the contract I got today from Mike Ford and Andrew Lucas that there is another management contract between Duff Cunningham and Mike Ford. It definitely pertains to alcohol sales and the club house and says that Cunningham gets 50 percent of gross revenues. There is nothing in my commentary to indicate the revenue is for anything else, you must have read into it past what the MANAGEMENT AGREEMENT says. Anyone who doesn't get that needs to READ THE DOCUMENT. The commissioner I spoke with said that he thought there was zero monies after some required procedures TABC has in place that would to to Cunningham's company. I told him I wondered how he will know, since this is a contract with a 3rd party, whether he is actually getting 50 percent of revenues (which again will come from the club house sales, etc).

The issues to me are; Why is Somervell County entering into a contract which looks like it strictly to use the TABC license, with an employee who no longer has an overall management contract to run the golf course? I actually agree with the idea that, assuming a county cannot sell alcohol, they would have to have an agreement with a 3rd party entity to run the part about selling the booze. What is missing here is there should have been an RFP to put it out for bid for ANY company that wants to manage the club house (and has a liquor license, permit, whatever). There was not. And it's also hugely unseemly to treat one now-employee of Somervell County with such favoritism while treating others differently.

If you call me a conspiracy theorist or some other attack again, your comment won't be posted, but certainly continue to comment if you wish to discuss without ad hominem attacks.

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6 - anonymous   7 Nov 2013 @ 10:06:46 PM 

there is one thing wrong with statement jesse did lose his career but not only 3 empolyees get the 40 percent cut All golf course workers got it the only one spared was the golf course SUPERINTENDENT JH which recieved a RAISE!!! The three employees u speak of have left  which leaves 4 full time employees 2 assisents and the superintendent. also ive heard the county has tryed to deny the 3 workers that left and jesse there unemployment, just one more thing to think about ford has informed all county department heads that if the plant files bankruptcy and furlows there property taxes the golf course will be first thing closed, so does that mean duff will still b payed his big salery? my guess is he will get a huge amount of severence pay on top of the pile hes getting now! sure seems like everyones sleeping in the same bed!

7 - concernedcitizen   8 Nov 2013 @ 7:55:15 AM 

The State of Texas has laws in place to circumvent this sort of corruption. When individuals believe they are above the law or they "are the law" problems begin!  Judges are not exempt from prosecution. The ethics board of the state is really going to have a "field day" with this!  Just what OUR county does not need. Probably the Judge needs to go ahead and step down before he gets "slapped" down and indicted for fraud, deceptive acts, etc.  The Judge placed himself in this position!  The Judge has his own agendas.   The commissioners had nothing to do with it. 

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8 - salon   8 Nov 2013 @ 8:43:32 AM 

@anonymous. Oh, you're right. Don't mean to give short shrift to the people still working there at all. On EFH/Comanche Peak, here is audio from the Commissioners meeting where the possibility of Luminant not paying their property taxes was discussed by John Curtis. Curtis doesn't think it's likely they would not pay their taxes, but if they do, it wouldn't be just the golf course, it could be EVERYTHING except for a specific list of things the county MUST supply. I think it's prudent to tell everyone this possibility exists but doubt it would happen- what a black eye this would be for Luminant all over the state. IF the golf course closed and there is a contractual agreement to keep giving Duff the buyout money, then he would theoretically keep getting it, not sure about salary.

@concernedcitizen. I agree with you about corruption. People do run for office and get elected that have agendas, unfortunately. It's just a shame that the 14.4 million dollar agenda Mike Ford had is a monkey on citizen's backs

Latest Blog Post by salon -Video- Somervell County Commissioners Court Special Sessions (2) Dec 23 2019
9 - concernedcitizen   8 Nov 2013 @ 8:53:14 AM 

Yes, Judge Ford was saying the hospital dissolution would "crush county". When in fact his agenda and actions on the $14.4 million is the "fiasco" that has placed this county in such a vulnerable position!  His finger pointing is a ruse to cover up his blunders (and blunders as a nice word----his is so ugly there is no word!)

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10 - wake up   8 Nov 2013 @ 12:01:11 PM 

the citizens of glen rose really needs to get involved not sure if everyone knows what could happen so here it is when plant files and prolongs taxes all county facilites will be closed ur police dept will be cut in half ur teachers wil b cut in have the staff at court house will to it will also effect the shape of ur county roads and maintance of county building and the big kicker is the property taxes will rise to 80 cents on the dallor max allowable by law from 30 cents now this is no little thing this is the next BIG change in somervill 

11 - concernedcitizen   8 Nov 2013 @ 2:57:49 PM 

Thank you "wake up" .  You are so right, this IS a BIG thing!  The hospital district is nothing but a middleman trying to lease premises to another agency. They get a cut for administration fees and secure their positions (they hope for years), but it is about self-preservation for us taxpayers. We don't need to spend more money, we need to down size and save money. Remember the first election for hospital district was defeated by a landslide, then Judge Ford (he was active but silent) and company re-filed another petition and it passed by merely 2 votes. Now our biggest taxpayer (bankrupt?)--- it affects ALL of us. We need  our elected officials doing the right things, making "sound" decisions (not signing bogus contracts with employees) and defending/protecting our county!!!! Not having their own agendas (Ford are you reading this?!!!!)

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12 - concernedcitizen   10 Nov 2013 @ 10:19:34 PM 

Someone please "wake up" Ford!  Thanks

Latest Blog Post by concernedcitizen -Williams convicted of Capitol murder--now awaiting sentencing
13 - concernedcitizen   10 Nov 2013 @ 10:35:10 PM 

Comment #10.  Wake up.  Sounds just like "wake up" Ford!  Fear monger!  Doing anything to help his precious hospital district!

Fear mongering (or scaremongering or scare tactics) is the use of fear to influence the opinions and actions of others towards some specific end. 

Latest Blog Post by concernedcitizen -Williams convicted of Capitol murder--now awaiting sentencing
14 - concernedcitizen   16 Nov 2013 @ 10:28:43 AM 

Must read this post/comments!  See what Judge Ford did!  Click on this comment--it will take you there!

Latest Blog Post by concernedcitizen -Williams convicted of Capitol murder--now awaiting sentencing
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