Position Paper Executive Summary

The purpose of this position paper is to advocate for a change we feel is long overdue. Sun Valley and Ketchum are already one community deeply intertwined: Ketchum represents the downtown commercial and business center with year-round residents, 2nd homeowners and visitors. Sun Valley is home to the single biggest economic driver in the valley – The Sun Valley Resort as well as many year-round and 2nd homeowners. This paper will address the following items:

• Legal ramifications of city combinations
• Financial and economic development implications
• Health and safety service levels that are expected in the combined communities

Executive Summary
Sun Valley and Ketchum are deeply interdependent. Like the bow of a boat Ketchum is in that it is the place most people first see and experience when they arrive in the north Wood River Valley and where much of the local dollars are spent; Sun Valley is home to the economic engine of that boat.

For over two decades there have been discussions regarding a Ketchum and Sun Valley combination. Fiefdom protection from your city representatives (elected and appointed) has thwarted these efforts until now.

An ad hoc group of citizens, business leaders, non-profit leaders, 2nd homeowners and current and former elected officials agree that today’s economic challenges demand that we do what is best for everyone – have the municipal government reflect what is already reality. That is, we are one community that shares a common interest, downtown, economy, cultural activities and more. Now, more than ever, we need to pull together to not only address these challenges but also take advantage of the opportunities of combining our two cities that is available to us.

In today’s dollars, it is estimated that roughly $2MM per year in efficiencies could be realized by the merger of Ketchum and Sun Valley. This is a conservative estimate based upon an analysis of a proposed combined Ketchum and Sun Valley budget. The analysis was done by current and former elected officials as well as people with deep experience in city management both in the Wood River Valley and beyond. Savings come from headcount, operational and capital costs. Multiplied over the past 20+ years that is well over $40MM of squandered savings while city representatives have been protecting fiefdoms rather than acting for the greater good. Ketchum has just over 2000 voters and Sun Valley has fewer than 1000 voters; yet there is the full complement of duplicative municipal bureaucracy whose City Hall’s are separated by the distance of one mile.

This paper will answer many of the questions and concerns about consolidation. Those questions that are not addressed here will be in an open and transparent forum at the town hall meetings that will be organized to further seek community input. We invite you to engage with us to ask any questions we may have missed.

There are two ways of letting the citizens of Sun Valley and Ketchum decide to merge. The first is a simple council resolution where each City Council and Mayor votes to add a merger referendum to a ballot. The second is to organize a citizens’ petition. We feel that the citizen petition allows the broadest public involvement and transparency on this important issue.

Reaching out to members of the community, there have been several themes summarized below on the strong rationale for combining the two governments of Ketchum and Sun Valley:

• The current economic difficulties require decisive action on something that has been considered for decades – now is the time. We’ve already squandered millions of dollars in cost efficiencies in the 20+ years city consolidation has been discussed but not pursued. With our economy suffering, we can’t afford to squander more taxpayer money. Plus, this money could have been used to strengthen our cities infrastructure, reduce taxes and provide better health, safety and welfare to the citizens.
• There is over $2MM of recurring annual savings that could be realized as well as a one-time boost from duplicative real estate (i.e., two city halls).
• As a result of the merger, the redundant city hall could be used to house emergency services personnel (either directly or by leveraging the real estate value to locate housing elsewhere) while also providing an economic stimulus if new construction was needed (i.e., there was a better location).
• Those in opposition are driven by protecting fiefdoms rather than the good of the community. We can no longer let fiefdom protection thwart what is best for the community.
• Sun Valley voters would like a voice in “their” downtown and Ketchum voters would like a voice in what happens in Sun Valley since the success of the Sun Valley Company begets the success of Ketchum commerce and the area’s economy.
• The elected officials of each city have a fiduciary responsibility to analyze the pros and cons of a city consolidation for our mutual economic sustainability. If elected officials do support a merger, the measure should be placed on each city ballot. As public officials they need to clearly communicate their viewpoint and analysis prior to a vote. In the public interest, a responsible public official should not stand in the way of putting this issue on the ballot. Not giving citizens a vote on an issue is not consistent with our democratic government.

Tags: ketchum, one community one town, save sun valley, sun valley