Day 2 of Ron Wolff trial: Memories differ as former town officials testify in felony misconduct case

APPLETON – Testimony during the second day of trial for a Grand Chute town supervisor accused of illegally benefiting from a public contract became complicated, reflecting the yearslong saga of events that have unfolded related to issues in the town.

Ron Wolff, 64, is charged with having private interest in a public contract, a Class I felony, for accepting a landscaping contract with Grand Chute while serving as a member of the town board.

If convicted, he could face up to 3½ years in prison, a fine of $10,000, or both.

While the trial began Wednesday with few people in the Outagamie County courtroom, more than two dozen onlookers filled gallery seats for Thursday's testimony.

Prosecutors, who argue Wolff ignored ethical obligations he had in office in order to profit off the contract, called the last of their witnesses Thursday afternoon. The defense began presenting witnesses Thursday afternoon. The trial will wrap up Friday.

What crime is Wolff accused of?

In June 2021, Grand Chute hired Wolff's business, Lakeshore Cleaners Inc., to do work on a prairie around a pond at the Champion Center, at 5000 W. Champion Drive.

Wolff was elected and sworn in as a town supervisor in April 2021. He submitted a quote for the Champion Center pond restoration project on May 11, 2021, after engineering firm McMahon Associates, Inc, which is employed by Grand Chute and had prior approval to hire a contractor for the Champion Center project, reached out to Wolff directly.

In March 2022, state agents conducted a search warrant on Wolff's house. Over a year later, in July 2023, Wolff was charged with the felony.

Wisconsin law limits the amount of money a person in public office can make in a private contract to $15,000 in a year.

At the trial, Assistant Attorneys General Nathaniel Adamson and Robert Kaiser Jr. argue Wolff willfully ignored ethical obligations he had in office, while Wolff's defense attorney, Nathan Otis, says Wolff acted in good faith and is not liable for any crime.

Part of the central issue is whether or not Wolff has a valid "good faith" defense if he did not seek advice of an attorney regarding the legality of accepting the Champion Center project.

A 12-person jury is expected to reach a verdict Friday.

What did witnesses testify about Thursday?

Much of the testimony from both prosecution and defense witnesses addressed timelines and their understanding of municipal law.

Among testimony Thursday was the following:

• Employees of McMahon Associates Inc. testified that Lakeshore Cleaners was the only company, out of two who were solicited, to submit a bid for the Champion Center project in May 2021.

• The Grand Chute Town Chair Jason Van Eperen testified that he was unaware of any concerns related to Wolff's conflict of interest as owner of Lakeshore Cleaners and as a town supervisor. He said no one brought concerns about it up to him at any time in 2021.

• Van Eperen, Wolff and Town Supervisor Jeff Ings were signed up to attend a multi-day virtual training for new town employees in May 2021. Part of that training addressed ethics and specifically, the legal issue of having private interest in a public contract. Van Eperen said he attended the sessions, while Ings said he did not recall attending any of them, because they interfered with his work schedule.

• On June 1, 2021, the day of the town board voted to approve Lakeshore Cleaners' bid for the Champion Center project, both Wolff and his fellow supervisor and Lakeshore Cleaners employee, Jeff Ings, abstained from the vote.

• No one in attendance at the meeting brought up concerns about Wolff's conflict of interest with the contract, including an attorney from the law firm employed by the town to address legal issues that arise.

• The former director of Grand Chute's Department of Public Works, Katie Schwartz, said the department only discussed one concern with an attorney regarding the contract — that there was only one bid, and it was slightly above the estimate provided by McMahon.

• Charles Koehler, a lawyer from the firm who serves as outside counsel for the town of Grand Chute, testified that he heard of no concerns about a conflict of interest with a project contractor and a town board member. Koehler said he was asked legal advice about the Champion Center project regarding there only being one bid, but did not learn about the issue with Wolff until he received subpoenas for the trial.

• Koehler said Wolff did not reach out to him about the issue either, although he said "it's fairly rare that we get contacts directly from the board members or supervisors of our municipal clients."

• Former Grand Chute Town Administrator Jim March said that he when learned possible complications existed with the Champion Center project — that there was only one bid, it was over the estimate, and it was submitted by a company owned by a town supervisor — he asked the deputy director of public works to explain the situation to Koehler and get a written opinion.

• When Koehler, who testified that he did not know about the potential conflict of interest with Wolff being the owner, advised the town move forward with the contract, March said that was adequate for him, and he was no longer concerned about that project.

• March testified he talked to Wolff about the Champion Center project after it was approved. March told Wolff he did not want Wolff to submit any more bids for town projects, because it was bad for optics and created legal complications. But March said he did not have concerns about the legality of the Champion Center project after receiving the go-ahead email from the town-employed attorney.

• March spoke to Special Agent Jay Yerges with the Wisconsin Department of Justice Division of Criminal Investigation in October 2021. He testified that he answered Yerges' questions, but never said he was concerned the Champion Center project was illegal. March said he believed state agents were "looking into other things."

At the end of the day, after the jury was excused from the courtroom, Outagamie County Circuit Court Judge Mark McGinnis told attorneys March's testimony was "completely different than what you guys told me the facts of the case were." The attorneys agreed, and there was discussion about how the rest of the trial would proceed Friday.

A timeline of the case and related legal battles

While there are a few accusations and lawsuits tied to the case, McGinnis has barred attorneys from bringing up most details about anything beyond the Champion Center issue.

• March 22, 2022: Agents from the Wisconsin Department of Justice Division of Criminal Investigation executed search warrants on Wolff, a residence in Grand Chute, a residence in Nichols and Lakeshore Cleaners Inc., to search for evidence of misconduct in public office.

• March 30, 2022: Wolff and his wife, Karri Wolff, filed a federal lawsuit alleging their civil rights were violated when their properties were raided.

• May 2023: Former Town Administrator Jim March filed a federal lawsuit against Grand Chute, Town Chair Jason Van Eperen and supervisors Jeff Ings and Wolff, alleging March was fired in retaliation for cooperating with the state investigation into Wolff. The case is ongoing.

• July 2023: Wolff was charged with having private interest in a public contract.

• October 2023: Wolff's federal lawsuit was dismissed. U.S. District Judge William Conley ruled the investigators' actions were protected under the doctrine of qualified immunity.

• December 2023: Wolff filed a counter-lawsuit to March's lawsuit, alleging March set him up to be charged with a crime for the Champion Center landscaping project. Wolff claims March planned to entrap Wolff either so Wolff would need to leave the Grand Chute Town Board or so that Wolff would abandon his political platform of abolishing Grand Chute's use of special assessments to pay for public improvements. The case is ongoing.

• Feb. 28-March 1, 2024: Wolff goes to trial.

RELATED: Grand Chute Town Supervisor Ron Wolff's trial begins today. Here's what to know

This article originally appeared on Appleton Post-Crescent: Day 2 of Ron Wolff trial involves testimony from former town officials