No deal: Spokane Valley rejects Merkel’s offer, citing taxpayer risk

(The Center Square) – Coming after one of its own, the Spokane Valley City Council rejected a settlement proposal from Councilmember Al Merkel on Tuesday after the council sued over his social media posts.

The council voted to sue Merkel on Feb. 4 after his peers alleged that he was using a personal Nextdoor account to discuss city business. Council members say it prevents staff from archiving his posts, opening the door to other lawsuits amid dozens of records requests from the media and others.

An independent investigator and hearing examiner agreed, finding that Merkel “more likely than not” violated the Public Records Act, or PRA, and the city’s Governance Manual. However, the freshman politician has repeatedly denied this, maintaining that his posts are not public records.

“This is not governance, it’s chaos,” Councilmember Jessica Yaeger said on Tuesday. “The settlement does not protect the city. It exposes us to even greater legal and financial liability.”

Merkel’s proposal asked his peers to dismiss their lawsuit with prejudice, meaning the council could never refile the charges. Merkel also wanted the city to reimburse all his legal fees and pay an “independent master” to determine which of his posts are and aren’t public records.

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If approved, the city would’ve had to bear all the costs, ultimately falling on the taxpayer. Yaeger was the one who filed complaints last summer and said on Feb. 4 that the lawsuit could cost as much as $250,000. The Valley spent over $235,000 on issues related to Merkel last year.

Just last week, his peers raised the stakes again, amending the 2025 budget to cut public safety funding by $350,000 to offset estimated legal costs tied to Merkel. Their lawsuit isn’t asking him to pay them for damages; it’s to force Merkel to comply with the PRA and preserve all his posts.

“I desperately urge you to turn down this settlement because it does not hold him accountable. He’s slimy like water,” resident Joseph Ghodsee testified before asking to retract that last part of his comment. “What do you do with water? You cannot nail it to a wall. You can’t hold it accountable. The only thing you can do is put it in a bag. You guys have him in a bag.”

Mayor Pam Haley asked Merkel to recuse himself from the discussion and had staff turn off his microphone after he refused. A few of Merkel’s supporters and critics went back and forth with each other, with even Merkel’s peers stepping in to call out his group for disrupting testimony.

Resident Mike Dolan rose in support of Merkel and accused the others on the dais of holding a grudge against him. He said a group of Merkel’s supporters is looking forward to seeing them all in court, hoping their council member secures a win and levies a counter-suit against the city.

“Now I ask that you spare us your unhinged rants about Councilman Merkel,” Dolan said. “It has gotten so old. Stick to the actual matter at hand and tell us whether or not you’re accepting the offer.”

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Merkel provided a statement to The Center Square after Tuesday’s council meeting.

“The council refused to even evaluate the financial impact of rejecting this settlement, choosing political spite over fiscal responsibility,” Merkel wrote. “Their reckless decision will inevitably lead to defunding our police again, just like last time. Taxpayers lose, public safety suffers, and all to protect a narrative built on lies.”

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