Idaho
New revelations, new wrinkles in Idaho Supreme Court hearing on Phoenix sale • Idaho Capital Sun
This story was originally posted on IdahoEdNews.org on June 13, 2024.
(UPDATED, 3:56 p.m., with comment from Trudy Fouser, the State Board’s lead attorney.)
An Idaho Supreme Court justice Thursday floated a new and confounding question about the proposed University of Phoenix acquisition: Did the State Board of Education pay $1.5 million for consulting before greenlighting the deal?
State Board officials were quick to say they never paid for due diligence work, which would have been covered through tax dollars.
The due diligence question came up during oral arguments, as the Supreme Court took up an open meetings lawsuit against the State Board. Attorney General Raúl Labrador has argued that the board broke state law when it held three closed-door meetings to discuss the University of Idaho’s $685 million plan to purchase Phoenix. The State Board gave the purchase the go-ahead in an open meeting on May 18, 2023.
Labrador’s lawsuit — rejected in an Ada County district court — has nonetheless thrown a monkey wrench into the bid for Phoenix, a giant for-profit online university serving some 85,000 students nationally. And if the Supreme Court sides with Labrador and against the State Board such a decision would further imperil the deal.
The Supreme Court took the case under advisement after a 70-minute hearing. It’s unclear when the court will rule.
Did the Idaho State Board of Education pay for due diligence?
It sounded that way, at least in Thursday’s hearing.
During a line of questions, Supreme Court Justice Gregory Moeller clearly suggested that the State Board had spent $1.5 million on due diligence. And he said the spending indicated that the Phoenix talks had progressed beyond the “preliminary negotiations” that can be held in a closed meeting.
Moeller’s questions also seemed to draw a distinction between the State Board’s due diligence and the U of I’s consulting contracts, which have been a matter of public record for months. The U of I has spent roughly $11 million on Phoenix-related consulting — and as Idaho Education News reported in February, $7.3 million of this work went to U of I President C. Scott Green’s former employer, Hogan Lovells, an international law firm.
So did the State Board spend $1.5 million?
During Thursday’s hearing, the State Board’s outside attorney did not dispute Moeller’s claim, and said the magnitude of the Phoenix deal justified due diligence.
“(It’s) not an unreasonable action,” Stephen Adams said.
When State Board spokesman Mike Keckler was reached for comment Thursday morning, he questioned Moeller’s version of the facts.
“Neither the board nor the board office spent funding on due diligence,” Keckler said in an email. “Given that we are in a board meeting today we weren’t able to listen to this morning’s oral arguments, so we can’t comment any further on Justice Moeller’s line of questions.”
The board has been meeting in Pocatello since Tuesday for a previously scheduled meeting running through today. No board member or State Board staff member attended Thursday’s Supreme Court hearing.
The lead attorney representing the State Board, which operates as the U of I’s governing board of regents, corroborated Keckler’s account. In an email Thursday afternoon, Trudy Fouser said the board never paid for consulting or due diligence.
Familiar — and less familiar — legal arguments
Thursday’s legal arguments revolved around two snippets in the open meetings law, pertaining to the negotiations process and competition.
The State Board justified its closed meetings under a little-used piece of the law, covering “preliminary negotiations … in which the governing body is in competition with governing bodies in other states or nations.”
Negotiations. Chief Justice Richard Bevan seemed to set the tone for Thursday’s hearing with the court’s first question to Joshua Turner, Labrador’s constitutional litigation and policy chief: “When do preliminary negotiations cease and final negotiations begin?”
For much of the hearing, the justices grilled Turner and Adams about this question. Not surprisingly, the two attorneys saw the issue differently.
Turner argued that the preliminary talks end — and the public debate must begin — when there is an offer on the table. And Turner suggested that this must have happened sometime during the board closed meetings, in March, April and May 2023.
Adams said preliminary negotiations don’t end with an offer; they end when the parties begin work on a contract. And he said the preliminary phase ended with the State Board’s open meeting on May 18, 2023; that’s when the board agreed to pursue a contract, setting a $685 million purchase price.
Competition. This was the centerpiece in the Ada County trial in January, when District Judge Jason Scott ruled in the State Board’s favor. Scott said board members had reason to believe the U of I was vying against other public suitors, such as the University of Arkansas. (However, Arkansas’ board of trustees voted down a Phoenix purchase in April 2023, almost a month before the State Board endorsed a U of I-Phoenix affiliation.)
But this turned out to be a secondary issue Thursday, as the court and the competing attorneys spent relatively little time discussing competition.
Adams defended State Board members, saying they worked diligently to make sure their closed meetings were legal. And he said everything the board heard in private confirmed the U of I was in the middle of a competitive bidding process.
Meanwhile, Turner took a jab at Scott. By focusing on whether board members had reason to believe the U of I faced competition — rather than proof of actual competition — Scott used a subjective measure. As a result, Turner said, Labrador’s team had no choice but to spend hours deposing individual board members for their read on the market for Phoenix.
Transparency vs. competitive advantage
The State Board’s May 2023 vote blindsided Idahoans who knew nothing about a potential Phoenix purchase, Turner said. And that preempted the process the open meetings law is designed to protect. “The public wants to be able to enter the conversation and have a seat at the table.”
In response, Adams said the board was not trying to shut out the public. Instead, he said, the board was working “to get the best deal possible for the people of the state of Idaho.”
On Thursday, the court publicly wrestled with this question of balance.
Justice Colleen Zahn said the Legislature made its objectives known, with a law designed to allow the government to negotiate behind closed doors. “It’s clearly got to be to provide the state a competitive advantage.”
Moeller acknowledged that closed-door negotiations are a great way to run a private business. “The debate I’m having internally is, is this a good way to run a state?”
The case, in broader context
The case before the Supreme Court is legally narrow: an open meetings dispute.
Its implications run deeper.
Labrador’s lawsuit, filed nearly a year ago, has prevented the U of I from financing a Phoenix purchase. The Supreme Court appeal has also kept bonding on hold.
As long as the lawsuit is active — and on Thursday, justices floated the possibility of kicking the case back to district court for another hearing — the Phoenix purchase remains in limbo.
And as EdNews first reported in May, Phoenix’s owner, Apollo Global Management, has said it now wants to talk with other prospective buyers. The U of I could receive “breakup fees” from Apollo if its Phoenix purchase falls through.
More reading: Click here for more in-depth, exclusive Phoenix coverage from Idaho Education News.
Idaho
‘Land back’ gift to Boise Valley tribes celebrated during annual Return of the Boise Valley People
BOISE, Idaho — A celebration of culture, healing and history took on new meaning Friday as descendants of the Boise Valley’s original Indigenous inhabitants gathered at Eagle Rock Park to honor a three-acre land gift that tribal leaders say will preserve their heritage for generations.
The announcement was celebrated during the 15th annual Return of the Boise Valley People gathering, an event that reunites descendants of the Boise Valley’s original tribes to reconnect with their ancestral homeland while sharing their history, traditions, and culture with the public.
WATCH | New land gift gives Boise Valley tribes a future home for cultural education
Land gift to Boise Valley tribes celebrated during Return of the Boise Valley People
“We honor the relationship between this land and the generations of the original Boise Valley people, their ancestors, their descendants, and those yet to be born,” organizers said during the ceremony.
Among those celebrating was Lance Dick Jr., a member of the Shoshone-Paiute Tribes Tribal Council who grew up on the Duck Valley Reservation. He joined the Duck Valley Singing Group as tribal members marked the return of the land.
“It feels good to come and connect with the people and come back and reclaim ourselves here in the Boise Valley,” Dick said.
He said the land represents more than property—it represents a renewed connection to the Boise Valley.
“It just feels good knowing that there’s people willing to contribute back to our people and give that land, and being able to reclaim ourselves here in the valley,” he said.
The property, located near the Boise Foothills in the North End, will remain home to the Keener family during their lifetime. Afterward, it will become a cultural gathering place where future generations can learn about the Indigenous peoples whose ancestors lived throughout the Boise Valley for thousands of years.
Lori “BirdWing” Edmo, co-founder of the Return of the Boise Valley People gathering, said the vision extends beyond preserving the land.
“Our plan is to use it as a place to educate about our people, our version of our history, and also to educate everyone,” Edmo said. “We’ll grow our traditional foods and have a walking path with information about the original Boise Valley people.”
Ed Keener said his family’s decision to return the land followed years of building relationships with members of the Shoshone-Paiute and Shoshone-Bannock tribes.
“I’ve been working to get to know Native people for 20 years, particularly people from Duck Valley,” Keener said. “I thought this would be really good for folks whose ancestors were here to begin with and had always been here.”
The Return of the Boise Valley People gathering continues through the weekend. Friday’s public cultural celebration featured tribal booths, songs, language demonstrations and educational exhibits. Saturday’s activities include a walk and run at Eagle Rock Park before tribal events move to Gowen Field, while the weekend concludes Sunday with a sunrise ceremony for participating tribes.
The Keener family says they hope their gift inspires other landowners to consider ways to help preserve Indigenous history and strengthen connections between communities.
Idaho
Mountain Home neighbors kickoff Juneteenth celebrations as Idaho marks 25 years of recognition
MOUNTAIN HOME, Idaho — Mountain Home neighbors are coming together this weekend to honor Juneteenth, commemorating the end of slavery in the United States.
June 19 marks the day enslaved people in Galveston Bay, Texas, were freed — more than 2 years after President Abraham Lincoln issued the Emancipation Proclamation.
WATCH | Mountain Home marks 25 years of Juneteenth Celebrations—
Mountain Home celebrates Juneteenth with a weekend of community events
The Mountain Home Juneteenth Committee hosts an annual Juneteenth 5K to honor the holiday. Saturday’s festivities continue at noon at Carl Miller Park with food, live music, games, and more.
Committee Vice President Dylisaly Reed said this year’s event marks an important milestone. 25 years ago, efforts led by former Mountain Home Mayor Joe B. McNeal helped Idaho become one of the first states to officially observe Juneteenth — though the holiday did not become an official state and federal holiday until 2021.
“It took the help and the foresight and the running, and the legacy of Dirk Kempthorne and Joe B. McNeil, who did what they had to do in order to make this happen for us,” Reed said.
RELATED | Idaho Black History Museum commemorates Juneteenth
Many neighbors said they only learned about Juneteenth a few years ago. Purvis Cowens, who attended the Mountain Home Juneteenth 5K, said awareness remains a challenge.
“We don’t talk about it in school. A lot of people of color are really not familiar with it,” Purvis Cowens said. “So it’s a good deal to get it out there and get it in the community.”
To help change that, the committee uses money raised through its events to fund 5 scholarships for local high school seniors, who write essays about what Juneteenth means to them.
Charlotte Cowens, who hosts the Mountain Home Juneteenth 5K, said understanding history is essential.
“It’s nice to know history because you got to know your history to know where you’re going. So if you don’t know where you came from, you never know where you’re going,” Charlotte Cowens said.
Reed said the scholarship has already made a meaningful impact.
“This was a young Caucasian gentleman, and he won, and he said when he did the research for his essay, he found out so many things he absolutely just never knew. And that’s all we want,” Reed said.
The committee said these events and the scholarship funds wouldn’t be possible without their sponsors, including Freer Foundation, Mountain Home Black History Committee, St. Luke’s, A Taste of Texas, and many more local businesses and churches.
To learn more about the Mountain Home Juneteenth Committee and this weekend’s events, click here.
This story was initially reported by a journalist and has been, in part, converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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Idaho
Idaho Targets Japanese Beetle in Caldwell to Protect Agriculture
POCATELLO, Idaho — Idaho agriculture officials are taking aggressive action after five Japanese beetles, a highly destructive invasive pest, were detected in Acequia near Rupert, according to information provided by the Idaho Farm Bureau Foundation.
The Idaho Farm Bureau Federation reports the Japanese beetle, a non-native insect that feeds on more than 300 species of agricultural and ornamental plants, poses a significant threat to Idaho agriculture. In response to the discovery, the Idaho State Department of Agriculture (ISDA) has deployed about 800 traps in the Rupert area to determine the extent of the infestation.
“We take an aggressive approach to make sure we don’t see those numbers boom before we can actually handle the situation,” said Vene Stewart, an ISDA pest survey and detection specialist helping lead eradication efforts.
Stewart said Japanese beetles are not selective feeders.
“They eat about 300 different types of flowering plants. Pretty much anything that flowers, they would love to demolish,” Stewart said.
The ISDA is also conducting eradication efforts in Caldwell and Pocatello. Last year, the department detected 160 Japanese beetles in Caldwell and 12 in Pocatello. Residents in those areas, as well as Acequia, may notice the yellow traps used to monitor the pest’s presence.
“We will be treating all three of those areas this year,” Stewart said.
Caldwell, like Acequia, is located in a major agricultural region. About 700 traps have been placed throughout the Caldwell area.
“The Caldwell infestation isn’t moving at all,” Stewart said. “In fact, where we are finding the beetles is getting to be a smaller and smaller area. You like to see that.”
The department has also placed approximately 550 traps in the Pocatello area.
Stewart said eradication efforts require ongoing monitoring and treatment.
“It’s unfortunately not something that we can just treat one time and assume everything’s going to be (OK) the following year,” she said. “It’s something we’re going to have to keep up on.”
According to a recent University of Idaho study, agriculture accounts for one in every nine jobs in Idaho, 17% of total sales and 12% of the state’s gross domestic product.
ISDA officials have worked to eliminate Japanese beetles wherever they appear in Idaho. About 15 years ago, large numbers of the beetles were detected in the Boise area. Officials say the state’s eradication campaign there resulted in no detections in Boise for several years. According to ISDA officials, the effort became the largest documented Japanese beetle eradication in U.S. history.
“We definitely want to protect our agriculture, especially in Caldwell where it is such an agriculture-(rich) area,” Stewart said. “It’s definitely important to the residents and the farmers out there to make sure that we keep our eye on it and make some progress.”
Stewart said the department’s eradication efforts have received support from farmers, local residents and city officials.
Adult Japanese beetles are about a half-inch long with metallic green bodies and copper-colored wing covers. The insects can skeletonize leaves and leave holes in plants while feeding.
Officials warn that if the beetle were to establish a permanent presence in Idaho, it could lead to reduced crop production, increased pesticide use and potential market restrictions through quarantine measures.
Native to Japan, the beetle was first detected in the United States in 1916 and is now found throughout most states east of the Mississippi River.
Although Idaho has preventative measures in place to reduce the risk of introduction from infested states, ISDA officials believe the beetles still arrive by hitchhiking with people moving from affected areas.
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