SaveWCAL has a new, improved website now located at:

The Northfield News featured an article by reporter David Henke on the recent Rice County District Court Order and SaveWCAL's continuing efforts titled "SaveWCAL members appeal to attorney general" in their July 2 issue.

The audio files for the interview with SaveWCAL President Ruth Sylte on KYMN 1080 AM's "The Wayne Eddy Affair" are now available for download.

On June 25, the Mississippifarian blog featured an entry titled "What? Does ONLY Brian Lambert Get It?".

The title refers to a 19 June 2008 blog entry by Brian Lambert titled "MPR Uber Alles" about MPR's recent purchase agreement signed with Horizon Christian Fellowship for the purchase of at least eleven translator stations, including two that are not in Minnesota.

Among other items, the Mississippifarian blog entry also touched on MPR's recent fund-raising appeals and the recent court order regarding WCAL.

On Tuesday, June 24, 2008, SaveWCAL President Ruth Sylte was the guest on "The Wayne Eddy Affair" on Northfield's radio station, KYMN AM 1080 from 9-11 a.m.

The interview is available in two downloadable audio files of one hour each:
The Wayne Eddy Affair, 24 June 2008, Part 01 [MP3, 1 hour]
The Wayne Eddy Affair, 24 June 2008, Part 02 [MP3, 1 hour]

Sometimes audio interview requests don't give SaveWCAL time to notify our supporters by e-mail. For those who are interested in faster updates, SaveWCAL offers the following:

• SaveWCAL feed
• SaveWCAL Twitter feed
  

Let us know if there's another way of communicating with you that you'd appreciate. You can reach us at SaveWCAL@hotmail.com

On the morning of June 20, SaveWCAL attorney Michael McNabb sent the following email to Minnesota Attorney General Lori Swanson:

Dear Attorney General Swanson:

The Associated Press reports that Minnesota Public Radio asserts that it acted in good faith in acquiring the assets of the WCAL charitable trust. The legal conclusion about the St. Olaf-MPR transaction is not affected by the role of MPR. Even if the actions of MPR had been completely innocent, the transaction is still void.

St. Olaf did not have the lawful authority to assign or sell the assets of the charitable trust because (1) it was a breach of its fiduciary duty as trustee for St. Olaf to create the circumstances that rendered it impossible to honor the intention of the donors and (2) St. Olaf failed to obtain the authorization of the Court to terminate the charitable trust as required by the Charitable Trust Act.

Of course, the facts are that MPR was a co-conspirator in the breach of trust and the conversion of the assets of the trust.

Again, SaveWCAL urges you to honor your statutory duty and your oath of office to enforce the Charitable Trust Act.

Michael W. McNabb
Attorney at Law

On 19 June 2008, Minneapolis-Saint Paul Magazine columnist and blogger Brian Lambert published a blog entry titled "MPR Uber Alles" about MPR's recent purchase agreement signed with Horizon Christian Fellowship for the purchase of at least eleven translator stations, including two that are not in Minnesota.

Lambert's blog entry includes reports a conversation with MPR spokesperson Margaret Hennen.

" (MPR's associate spokeswoman, Margaret Hennen, called back. On the 'sail trimming', she explained that this end-of-the-year campaign (one of MPR's three nine-day campaigns each year) is designed to "maintain a balanced budget" and that MPR is always looking at the cost of programming, etc. in relation to its revenue flow. She then encouraged me to pony up.)

The story on the Horizon deal, according to Hennen, is that the Christians approached MPR (gladiatorial imagery intended) earlier this spring, and since "translators become available only occasionally, we needed to act now rather than wait" until the books looked better and there was less danger of collateral 'sail trimming'."

Why do MPR's claims sound suspiciously familiar? Could it be that WCAL, WGTS and WMCU listeners/donors have heard this before? Did listeners to the Horizon stations donate to preserve the broadcasting programming? If so, are they now in the same situation as the listeners to the other stations? And will the Minnesota Attorney General do her job regarding charitable trusts and investigate this situation?

SaveWCAL President Ruth Sylte was interviewed on Northfield's radio station, KYMN AM 1080 at 7:40 a.m. on Wednesday, June 18, 2008.

One of Northfield's LocallyGrown.org Triumvirate, Griff Wigley, has posted now the audio file of the interview. Look for it at Comment #20.

Anyone may comment on the blog. However, individual commenters must identify themselves completely and honestly and comments are held until the author's identity can be verified. LoGroNo also has some comment guidelines of which commenter should be aware.

Sometimes (as in this case) audio interview requests don't give SaveWCAL time to notify our supporters by e-mail. For those who are interested in faster updates, SaveWCAL offers the following:

• SaveWCAL Atom feed
• SaveWCAL FOAF feed
  
• SaveWCAL RSS feed
• SaveWCAL Technorati feed
• SaveWCAL Twitter feed
  

Let us know if there's another way of communicating with you that you'd appreciate. You can reach us at SaveWCAL@hotmail.com

On June 13, St. Olaf College posted an entry on their News web site, titled "Rice County judge rules on St. Olaf petition regarding WCAL endowment-like funds".

We note that St. Olaf carefully refers to the WCAL "endowment-like funds" in the headline and first paragraph. Despite the fact that the court Order determined that there is a WCAL charitable trust endowment, St. Olaf refuses to use the terminology. Why? Because to do so would implicitly admit the true status of the WCAL charitable trust -- and St. Olaf's illegal sale of the WCAL charitable trust assets. Oh, what a tangled web...

St. Olaf also apparently issued a similar press release to press sources because the Associated Press (AP) office in Minnesota reported using the St. Olaf press release and Minnesota Public Radio's (MPR) press release as the basis for their initial press release, titled "St. Olaf Moves Forward With Radio Station Money". The AP has since issued a second press release with a different perspective, titled "Group Asks AG To Challenge WCAL Sale To MPR."

St. Olaf's press release began:

"JUNE 13, 2008 — In December 2006 St. Olaf College filed a petition in Rice County District Court requesting that the court provide guidance on what should be done with a collection of endowment-like funds that had originally been donated in support of the college's radio station, WCAL. The station was sold to Minnesota Public Radio in November 2004."

St. Olaf didn't "seek guidance" by posing an open question to the court. Instead, on December 28, 2006 St. Olaf filed their original court Petition seeking a release of ALL restrictions on two categories of gifts in the “WCAL charitable trust endowment” — and that is what they called it. St. Olaf claimed that the endowment held $1.36 million and that the College should have unrestricted access to approximately $860,000 of that amount with approximately $500,000 restricted to “Core WCAL Activities.”

At the time of the 2004 sale, the WCAL endowment was approximately $2.9 million. Where did the rest of the money go? Also, the Special Master’s investigation requested by SaveWCAL and ordered by the Court found that the WCAL charitable trust has assets in excess of $5 million — far more than amount St. Olaf originally claimed to the court — and recommended that the use of those assets should be restricted to “Core WCAL Activities”.

It's interesting to note that while the original St. Olaf College Petition is dated October 6, 2007, the original Petition [PDF, 66 pages] was not filed until December 28, 2007.

October 6, 2006 was an important date in St. Olaf history. It was the day that David R. Anderson '74 became the 11th president of St. Olaf College. During his years as a St. Olaf student, Anderson worked at WCAL as an engineer, an announcer and a producer. On this same day, attorneys from Gray Plant Mooty on behalf of St. Olaf College, completed and dated the original Petition.

Finally, on December 28, 2006 St. Olaf College filed the Petition [PDF, 66 pages] in Rice County District Court requesting the court to approve St. Olaf’s plans to repurpose the funds that it acknowledged it holds in the WCAL charitable trust.

So why the long wait between when the Petition was prepared and when it was submitted? One possible explanation may be contained in the correspondence accompanying the submission of the Petition.

In the letter to the Court accompanying the original Petition, St. Olaf attorney Michael R. Cunningham of Gray Plant Mooty, basically "dis-invites" the other parties (the Minnesota Attorney General and the US Bank National Association, the trustee for one of the estates in question) by writing at the end of his cover letter:

"The hearing on the Petition is scheduled for Tuesday, January 16, 207 at 2:15 p.m. in Rice County District Court. You may, but are not required, to appear. [Emphasis added by SaveWCAL.]"

When one looks at the language of the letter and the timing of the filing of the Petition (during the holiday period), it appears the St. Olaf was not interested in having anyone else interested in this matter.

At some point after the Petition had been filed, the Minnesota Attorney General's office contacted SaveWCAL attorney Michael McNabb to inform him of the filing and, on February 27, 2007, McNabb filed a Letter Memorandum with the court summarizing the issues related to St. Olaf's Petition.

On March 6, 2007, just seven days after McNabb contacted the court, St. Olaf College suddenly submitted an Amended Petition that completely removed St. Olaf's previous assertions of the WCAL charitable trust funds as a "charitable trust". Also removed was one exhibit previously submitted by St. Olaf after an heir of the donor notified the Attorney General and Court that what St. Olaf had presented in its Petition was not the wishes of the donor.

Further information on the case can be found in the Rice County District Court topic.

The press release continues:

"In its petition, the college asked the court to determine that certain restrictions had lapsed; to allow in other circumstances donated funds to be used as suggested by surviving family members as to what their relatives would have wanted done with the gifts they donated to the college; and to permit St. Olaf to use a good portion of any remaining restricted funds to support activities that carry forward many of the core attributes of WCAL programming."

St. Olaf's request was to release ALL restrictions on the funds so that they could use them as they desired.

“Core WCAL Activities” is a euphemistic phrase made up by St. Olaf College in an attempt to assemble activities for which the college thinks it should be allowed to use WCAL charitable trust funds and is trying demonstrate to the court that it is still “honoring” the WCAL trust. In other words, the College had to find a way to convert those endowment funds to “related” purposes now that WCAL no longer exists (which brings up other issues related to charitable trust law). BTW, the original concept of “core WCAL activities” was put together by a senior St. Olaf administrator who admitted under oath that he was not a regular WCAL listener!

Of course, the whole purpose, the true “core activities” of the original WCAL charitable trust was running a radio station — and that is clearly the purpose for which St. Olaf had solicited gifts/contributions and the intent with which the donors gave their money. Period. Which is why the judge did not lift all of the restrictions.

Again, the press release continues:

"These activities could include the live Internet broadcasting of daily chapel and worship services from campus, the recording and dissemination of classical musical performances, and the production of the Sing For Joy program of religious music."

These are exactly activities that WCAL used to provide for the College!

Note that "these activities could include...". Even in the recent press release, St. Olaf does not want to tie itself down to any particular activities. Irony of ironies. The court has basically required St. Olaf to continue the WCAL trust — even though the college no longer has WCAL. St. Olaf must now use the majority of the funds in the WCAL trust to…produce the same kind of services WCAL was providing to St. Olaf at no direct financial cost to the college at the time of the sale, due to the generosity of WCAL donors — but without the station, staff, etc. and the donor stream that supported WCAL. The rest it must keep in trust for an entity that no longer exists. (Whose bright idea was it to sell the station?)

St. Olaf has lost the benefits of the jewel that was WCAL, a 24/7 radio broadcasting presence to the region, built and maintained by WCAL donors that was “the voice of St. Olaf College” for over eight decades. And let’s not forget that WCAL had already made early forays into internet broadcasting as early as the late 1990s.

From the press release:

"A ruling on the petition was issued by Judge Gerald Wolf on June 9, 2008. In the ruling, four of the six specific recommendations put forward by St. Olaf were approved. St. Olaf had asked for guidance from the court and the ability to begin using some of the funding for WCAL-related activities at the college and the ruling generally provided that. The funds, amounting to approximately $2.5 million and the annual endowment disbursements drawn there from, can now be used in a productive and responsible manner."

The final statement in this paragraph is erroneous.

The Court granted the request to use the restricted endowment funds (Exhibit A). The value of the gifts in that category is approximately $460,000 (when the Eckberg donation is included). The ruling also allows St. Olaf to use the Munck bequest of $150,000 and the distribution from the Turbis trust of $100,000. The total of these donations is approximately $710,000. The use of these funds is limited to supporting the "core WCAL activities" to which we referred above.

The Court denied the Petition with respect to two of the major gift categories -- the restricted non-endowment gifts (Exhibit B) and the undocumented gifts (Exhibit C). The value of the gifts in Exhibit B is approximately $657,000. The value of the gifts in Exhibit C is approximately $370,000. This is a total of $1,027,000. So the value of the gifts in the denied categories is substantially greater than the value of the gifts in the allowed categories.

In addition, the Court restricted the use of the $1 million donation by Senior [Emeritus] Regent Leonard Hoeft solely to "core WCAL activities." St. Olaf did not include the Hoeft donation in its Petition or Amended Petition. The College had represented to the Court that it had Hoeft's consent to withdraw his donation from the WCAL endowment and claimed there were therefore no restrictions on the use of the donation. When the Special Master determined that Hoeft had never given his consent, the Court decided -- on its own -- to include the restriction in its ruling.

Finally, the St. Olaf press release concludes with:

"While some attention has been given to the judge's observations on the original transfer of WCAL's license to Minnesota Public Radio, Judge Wolf stated in his order that the sale of the station was not a matter before the court."

What spin!! "Some attention"?? Rice County District Court Judge Wolf's "observations" regarding the the illegality of the sale of the WCAL assets has been a topic of discussion within the Minnesota legal community this week.

More importantly, the Order showed that the Court agrees with SaveWCAL that the station was a charitable trust and that St. Olaf sold the major assets of the trust without notice and without approval of the Court as required by law.

St. Olaf attempt to give short shrift to the Judge's recognition of St. Olaf's illegal sale of the WCAL charitable trust assets and his stinging rebuke of the Minnesota Attorney General is understandable. However, they are actually the most startling parts of the Judge's Order.

SaveWCAL President Ruth Sylte will be interviewed on Northfield's radio station, KYMN AM 1080 at 7:40 a.m. on Wednesday, June 18, 2008.

Sometimes (as in this case) audio interview requests don't give us time to notify our supporters by e-mail. For those who are interested in faster updates, SaveWCAL offers the following:

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Let us know if there's another way of communicating with you that you'd appreciate. You can reach us at SaveWCAL@hotmail.com

On June 16, MinnPost.com ran an article by reporter Brian Voerding titled "Court gives slap to AG's office, back-patting material to SaveWCAL."

Voerding's article is a good "snapshot" view of some of the major highlights of the Order handed down by Rice County District Court Judge Gerald Wolf.

At the conclusion of the article, Voerding writes:

"In any case, the ruling is definitely back-patting material for SaveWCAL, the organization fighting to restore the former classical music station, or, at the very least, ensure that donations once earmarked for it are used correctly or returned rather than funneled toward another purpose.

It's the first definitive piece of evidence that the group — which hasn't always been taken seriously, as many startup watchdog groups initially aren't — claims are very real and deserve investigation, if not legal action."

SaveWCAL obviously appreciates Voerding's take on the legitimacy of our cause -- and notes that evidence has long been available to the general public here on the SaveWCAL web site/blog. The court Order -- and the court's agreement with SaveWCAL analysis of WCAL's status as a charitable trust -- is yet another legal legitimization of our efforts.

On June 15, a Minnesota Attorney General spokesperson made statements to the Saint Paul Pioneer Press that directly contradict the official position of the Attorney General regarding the WCAL charitable trust as expressed to the Rice County District Court. SaveWCAL immediately sent the AG the following letter:

June 15, 2008

Hon. Lori R. Swanson
Minnesota Attorney General
102 State Capitol
St. Paul, Minnesota 55155

Re: Petition of St. Olaf College No. 66-CV-06-2518

Dear Attorney General Swanson:

The Saint Paul Pioneer Press reports today that your spokesman, Ben Wogsland, states that your office does not agree with the ruling of Judge Wolf that St. Olaf held the WCAL assets in a charitable trust. This astounding statement is the direct opposite of the official position you expressed to Judge Wolf in your Memorandum of Law of June 20, 2007:

"In its April Memorandum St. Olaf attempts to circumvent charitable trust requirements for lifting restrictions on its assets by characterizing certain of its assets as not "literally" being charitable trusts and thus not subject to charitable trust principles. St. Olaf's assets, however, are undoubtedly either charitable trusts or held in charitable trust and thus subject to charitable trust principles."

Memorandum of Attorney General of June 20, 2007 at 2 (emphasis added).

"Not only would charitable gifts donated to St. Olaf be received in trust, but St. Olaf's status as a charitable nonprofit corporation also necessitates that assets it holds are impressed with a charitable trust."

Memorandum of Attorney General of June 20, 2007 at 4.

"Further in response to Respondent's [SaveWCAL] arguments that the WCAL assets that St. Olaf sold and the proceeds from that sale are held in charitable trust, St. Olaf erroneously argues that because the Minnesota Attorney General's Office did not require WCAL to separately register as a charitable trust, that St. Olaf did not hold those funds in charitable trust. . . . It is undisputed that St. Olaf has been registered with the Attorney General as a charitable trust since the Charitable Trust Act's enactment in 1989 and that St. Olaf's trust registration encompasses all of its assets reported in its financial statements, which presumably includes restricted outright charitable gifts. St. Olaf's inclusion of such gifts in its trust registration reporting to this Office contravenes its position that such gifts are not subject to the Charitable Trust Act. In fact, St. Olaf's filing for the year ending May 31, 2003 specifically discusses WCAL and identifies funds that were raised by WCAL memberships and donated services and materials."

Memorandum of Attorney General of June 20, 2007 at 5.

Your spokesman also states that under Minnesota law the transfer of assets from one non-profit corporation to another does not require notice to and approval of the Attorney General. This is a reference to Minn. Stat. § 317A.811. First, we disagree about the application of that statute for the reason described by Philip Voxland of SaveWCAL in his enclosed correspondence to your office in February 2007. Second, you recognize that another section of the Non-Profit Corporation Act does apply to this transaction:

"St. Olaf's reliance on its apparent lack of gift instruments for these donations [the undocumented gifts listed in Exhibit C] is misplaced. St. Olaf's argument ignores a very basic tenet of charitable trust law, that an organization can subject itself to restrictions by soliciting for a specific purpose. See, e.g. Minn. Stat. § 501B.35 subd 3 (2006)("Charitable trust" means a fiduciary relationship with respect to property that arises as a result of a manifestation of an intention to create it, and subjects the person by whom the property is held to equitable duties to deal with the property for a charitable purpose.) See also, Minn. Stat. § 317A.671 (2006) (Except as provided in section 501B.31, when a corporation . . . transfers its assets . . . assets of the corporation . . . may not be diverted from the uses and purposes for which the assets have been received and held, or from the uses and purposes expressed or intended by the original donor.)

Memorandum of Attorney General of July 17, 2007 at 5 (emphasis added). Third, this transaction involves both a charitable trust and a non-profit corporation, St. Olaf College, that serves as the trustee. It is the Charitable Trust Act that requires notice to the Attorney General and approval of the Court to terminate a charitable trust. Minn. Stat. § 501B.41 subd. 2.

Finally, your spokesman refers to the FCC approval of this transaction. As I pointed out in my correspondence of October 5, 2004 to Attorney General Hatch:

"The proceedings before the FCC and the CPB involve the application of federal law and will not provide a forum for a determination of compliance with the provisions of state law on charitable trusts."

Correspondence of October 5, 2004 at 3.

You have formally expressed your conclusion in words in your Memorandum of Law that St. Olaf held the WCAL assets in charitable trust. Judge Wolf came to the same conclusion. There is no legal reason for you to fail to act. SaveWCAL urges you to honor your duty as Attorney General to enforce the Charitable Trust Act.

Sincerely yours,

Michael W. McNabb

SaveWCAL notes a Minneapolis StarTribune story reprinted in the June 4, 2008 Rochester Post-Bulletin, titled ""Attorney general's first year doesn't impress everyone", quotes Minnesota Attorney General Lori Swanson as saying, "Justice trumps finality under the law." She was also quoted as saying, "I'm not here to make friends. I'm here to do my job and to look after the citizens, and if some people get feathers ruffled, that's OK with me."

SaveWCAL expects that her opinion hasn't changed in the last couple of weeks...and we expect her to ruffle the necessary feathers in the case of the WCAL charitable trust.

On June 13, The Minnesota Independent published an article by reporter Chris Stellar titled ""Donors' group demands AG act to void deal that created MPR's The Current." The article also ran in the Twin Cities Daily Planet.

Among the interesting items:

"St. Olaf spokesman [Director of Communications] Steve Blodgett had no comment on SaveWCAL's letter, but said the school was satisfied that Judge Gerald J. Wolf left restrictions in place for only two of six categories of contested station funds that the college controls. He said St. Olaf would not appeal the ruling.

While it appears that St. Olaf has gotten "what it wants", this is not quite true -- and we will be commenting on this soon. One of the reasons that St. Olaf will not appeal the ruling is that any further litigation will cause more information to come out about the trust, the sale and other information that would likely not be beneficial to St. Olaf College.

The article also reported this interesting fact:

The attorney general's office did not return calls for this story. Deputy Attorney General Ann Biemdick Kinsella, who oversaw the office's charitable trust responsibilities, is no longer employed there, a staffperson said.

SaveWCAL was unaware of Kinsella's departure from the AG's office, which may be a recent development.

We encourage readers to take a look at the comments that have been appearing on Stellar's article. Many online newspapers and blogs, including ours, allow readers to submit comments and responses. Some of them, including ours, allow readers to do this anonymously. SaveWCAL reminds readers that while we acknowledge that people have strong opinions and express them in different ways, we prefer that all engage in respectful and constructive dialog, whether on the SaveWCAL blog or in other forums.,

On June 14, 2008 the Saint Paul Pioneer Press published an article by reporter Emily Gurnon, titled "Rice County / Judge says radio station was in trust"

Gurnon interviewed Ben Wogsland, a spokesperson for the Attorney General's office who made several comments regarding the case that were in direct contradiction to positions that the AG took before the Rice County District Court regarding the St. Olaf College Petition and Amended Petition.

As a result of Wogsland's comments to the Pioneer Press, SaveWCAL attorney Michael Mcabb fired off a letter to Attorney General Lori Swanson that same day in which he uses the written words of the AG in legal documents submitted to Rice County District Court to refute the AG spokeperson's comments to the press.

The response of the AG's spokesperson raises plenty of questions about the running of the AG's office.

On June 13, MinnPost.com included a brief mention of the Rice County District Court Order and press reaction in its "Daily Glean":

..."Ah, perspective. A judge criticized St. Olaf — and strongly rebuked the Attorney General's office — for classical music station WCAL's 2004 sale to MPR, writes Minnesota Independent's Chris Steller. But MPR's story ignores any collegiate shortcomings for the positive: "Judge clears way for St. Olaf to use some WCAL donations." MPR wasn't party to the suit, and WCAL's successor, the Current, isn't in danger. Given the A.G. slapdown, why hasn't either daily done the story?"

SaveWCAL thinks that's an excellent observation and question...

On June 13, Northfield's LocallyGrown.org blog featured a posting by one of the LoGroNo Triumvirate, Griff Wigley, titled "SaveWCAL wins another round; Judge Wolf scolds MN Attorney General’s office."

It has been an interesting discussion, one in which SaveWCAL President Ruth Sylte has been actively participating.

Anyone may comment on the blog. However, individual commenters must identify themselves completely and honestly and comments are held until the author's identity can be verified. LoGroNo also has some comment guidelines of which commenter should be aware.

On June 10, Rice County District Court Judge Gerald Wolf issued an Order [PDF, 22 pages] regarding the St. Olaf College Petition and Amended Petition. The court ruled that former listener-supported public radio station WCAL -- sold by St. Olaf College to Minnesota Public Radio (MPR) in fall 2004 -- is a charitable trust.

Today, the organization designated to represent the WCAL donors, SaveWCAL, submitted the following official letter to the Minnesota Attorney General demanding that she do her duty to the citizens of Minnesota and protect the WCAL charitable trust, and all charitable trusts, by enforcing Minnesota state law.

June 12, 2008

BY COURIER
Hon. Lori R. Swanson
Minnesota Attorney General
102 State Capitol
St. Paul, Minnesota 55155

Re: Petition of St. Olaf College
No. 66-CV-06-2518

Dear Attorney General Swanson:

In light of the Order issued in this matter SaveWCAL hereby renews its demand, first made in correspondence on October 5, 2004, that the Attorney General honor her statutory duty to enforce the WCAL charitable trust. Judge Wolf does not mince words in his Order:

The [Court] is absolutely mystified as to why the State Attorney General did not become involved in a sale of trust assets valued at $12 million when it is its statutory obligation to do so.

Order at 5 (emphasis added). The consequence of a sale of assets of a charitable trust without notice and without approval of the Court is clear:

Where the trustees of a charitable trust have no power under the trust instrument or under an order of a court of equity to convey such property, a deed made of such property is void and subject to cancellation upon application of proper parties.

15 Am. Jur. 2d Charities § 95 (emphasis added). Therefore, the Attorney General has a legal responsibility to the 80,000 listeners-beneficiaries of the WCAL trust to commence a proceeding requesting the Court to declare that the sale of the assets of the charitable trust to Minnesota Public Radio is void.

The doctrine of unclean hands prevents St. Olaf College from asserting the equitable defense of laches (timeliness) due to its breach of its fiduciary duty to the beneficiaries of the trust and due to its failure to seek the approval of the District Court to terminate the charitable trust. Gully v. Gully, 599 N.W.2d at 825 (Minn. 1999). The doctrine of collateral estoppel prevents St. Olaf from attempting to re-litigate the judicial finding of a charitable trust.

The same legal principles apply to Minnesota Public Radio. MPR induced St. Olaf's breach of trust with its multi-million dollar offer, and MPR was (obviously) in privity of contract with St. Olaf. Crossman v. Lockwood, 713 N.W.2d at 62 (Minn. App. 2006). (In addition, SaveWCAL served the Order appointing the Special Master upon the president and the vice president-general counsel of MPR and upon the chairman of its Board of Trustees together with a formal Notice that MPR had the opportunity to intervene in the proceeding. See the enclosed Notice.)

As Judge Wolf observes about your office:

The office as an institution has a duty to the people of Minnesota to serve as guardian of all [charitable] trusts created and operated in this state. The Minnesota Attorney General's Office failed in its duty in this case.

Order at 5 (emphasis added). This is your opportunity to redeem your office and to honor your duty to serve the people of our state.

This year we are celebrating the Minnesota sesquicentennial. WCAL, the first listener-supported station in the nation, is Item No. 141 in Minnesota 150--the People, Places and Things that Shape Our State, the main exhibit now showing at the Minnesota History Center. The Order in this case provides the legal basis (the existence of a charitable trust) for the restoration of this Minnesota treasure. What is required now is your action.

Sincerely yours,

Ruth M. Sylte
President, SaveWCAL

encl.:
Correspondence to Minnesota Attorney General (October 5, 2004)
Notice of Filing Orders and Affidavit of Service by Mail (October 23, 2007)

SaveWCAL encourages SaveWCAL supporters, WCAL donors and listeners and others concerned about the protection of charitable trusts to contact the Minnesota Attorney General's office immediately and register their support of our demand that the AG do her duty to the citizens of Minnesota and enforce Minnesota state law.

On June 12, Minnesota Public Radio's (MPR) news service published an article by legal affairs reporter Elizabeth Stawicki titled, "Judge clears way for St. Olaf to use some WCAL donations."

SaveWCAL notes with interest that Stawicki seems to have completely missed the lede/lead -- the most important structural element of a story -- for the article. That is, the stinging rebuke issued to the Minnesota Attorney General by Rice County District Court Judge Gerald Wolf concerning its handling (or, more precisely, its lack of handling) of the WCAL trust issue/case.

Indeed, the sharp words are rapidly making their way around Minnesota's legal community, but MPR found it worth of only one sentence in the middle of a short article.

Instead, Stawicki concentrated on emphasizing St. Olaf's limited point of view, that certain funds had been released.

Stawicki also wrote:

After purchasing the station, Minnesota Public Radio reformatted the station into The Current. MPR was not a party to the case, and some legal sources say it is highly unlikely that a court would consider reversing a good faith sale that occurred four years ago.

We suppose that it depends upon one's definition of "good faith"... More to the point, "good faith" has no relevance when a sale has been conducted illegally. It's unfortunate that apparently neither St. Olaf College or MPR conducted due diligence regarding the sale -- but perhaps they were too busy trying to close the deal quickly before anything (like legalities) could interfere.

While SaveWCAL has been contacted by a number of local, regional and national reporters/news outfits as the Rice County District Court case has progressed, Minnesota Public Radio has been singularly uninterested in the story and never contacted SaveWCAL until after the Judge's Order had been released.

Stawicki contacted SaveWCAL attorney Michael McNabb first and pressed him several times to tell her "what SaveWCAL's next steps will be." She was told that an announcement would be made within 24 hours -- as it was. Stawicki also attempted to contact SaveWCAL President Ruth Sylte by phone after McNabb referred Stawicki, but unfortunately Sylte was not available to return calls at the time.

Not that it would have mattered. SaveWCAL has never gotten (nor expected) serious journalistic interest in our story from MPR -- for reasons that should be obvious.

On June 11, the Minneapolis-Saint Paul City Pages blog, The Blotter, published a post by reporter Jonathan Kaminsky titled "Judge in WCAL case to AG's office: Shame on you!".

Kaminsky reported on the introductory legal analysis in the recent Order handed down by Rice County District Court Judge Gerald Wolf's Order regarding the St. Olaf College Petition and Amended Petition:

"After many months of fact-finding, Rice County Judge Gerald Wolf issued an order on Tuesday lambasting the sale of WCAL in the harshest of terms. After implicitly calling the sale illegal, Judge Wolf unleashed his fury on the Attorney General's office, which is bound by law as the watchdog for all charitable trusts in the state.

Finding in unambiguous terms that WCAL was indeed a charitable trust, Judge Wolf declared himself 'mystified' as to why the AG's office didn't intervene in the sale when it was legally required to do so. While Wolf pointed out that the shameful inaction occurred on the watch of then-AG Mike Hatch, he insisted that the beleaguered Lori Swanson's office nonetheless 'is tainted with this lapse of duty.' "

Kaminsky noted that the ruling is vindication for SaveWCAL's efforts.

...in a ruling peppered with genuine anger, Judge Wolf praised [SaveWCAL attorney Michael] McNabb's efforts. SaveWCAL, the judge wrote, has been 'the only watchdog looking out for the interests of the trust.' "

This is most certainly true...

Kaminky's entry was also quote in a post on The Periodic Table blog praising SaveWCAL attorney Michael McNabb.

On June 11, the Modesto Bee (California), published an Op/Ed piece by Frederic Fransen, titled "Grateful Dead, ungrateful recipients". Fransen is the executive director of the Center for Excellence in Higher Education, a nonprofit organization seeking to improve higher education through effective philanthropy.

The article focuses on the creation and/or donation of valuable gifts and collections to U.S. colleges and universities. Fransen notes the risks of giving such gifts:

"While donors may consider such gifts - everything from land and art to first edition books, historical maps, artifacts and papers - straightforward and safe, and may even receive substantial tax benefits from donating appreciated assets, tangible gifts have special risks. One of the greatest risks some have learned is that the recipient institution and presumed steward of the gift will sell it."

Fransen notes a trend in higher education for recipients (institutions) to benefit from these gifts by divesting themselves of the gifts by selling them and then pocketing the cash -- in spite of or in direct contradiction of donor intentions.

He specifically cites two institutions currently involved in court cases regarding the sale of trust assets belonging to their listener-supported radio stations, St. Olaf College (WCAL) and Trinity International University (WMCU) to, respectively, Minnesota Public Radio (MPR) and its parent company, American Public Media Group (APMG).

Fransen notes:

"In the end, philanthropists should be wary of giving away the family jewels. And when they do choose to donate personal or real property they need to protect themselves.

The best way to do that, for the benefit of donors and recipients alike, is to include clear language in all gift agreements spelling out the stewardship obligations of the recipient institution, circumstances under which the gift would have to be returned or repaid, and giving a third party legal standing to sue if the agreement is violated."

We couldn't have said it better ourselves.

Fransen's piece has begun to attract attention in the press and blogosphere:

• Active Rain

On June 11, 2008 the Minnesota Independent published an article by reporter Chris Steller, titled "Judge finds WCAL-FM, station now 'The Current,' was St. Olaf trust". The article reports on the excerpt from Rice County District Court Judge Gerald Wolf's Introduction to the legal Analysis portion of the Order he issued on June 10 regarding the the St. Olaf College Petition and Amended Petition.

On June 10, Judge Gerald Wolf of the Rice County District Court issues an Order [PDF, 22 pages] regarding the St. Olaf College Petition and Amended Petition.

Judge Wolf's Introduction to the legal Analysis portion of the Order reads as follows:

The Court recognizes that the sale of WCAL is neither before the Court at this time nor has it ever been before the Court. However, it is almost impossible to discuss the issues raised by St. Olaf's Petition without first discussing the sale of WCAL and its aftermath.

St. Olaf sold WCAL over the objections of a group of donors (hereafter call SaveWCAL) and without first obtaining Court approval. The sales aftermath has created a host of problems for St. Olaf regarding what can the college do with the restricted donations given to support WCAL and its activities when it no longer owns WCAL.

St. Olaf continues to assert that the donated restricted funds it holds are endowments. However, under the applicable law, these donated restricted funds are actually a trust and St. Olaf is the trustee of the trust. Therefore, St. Olaf will need to comply with the legal requirements to which it is held as the trustee of the funds gifted to it for use by WCAL, regardless of the fact that St. Olaf no longer owns WCAL.

The Minnesota Attorney General is the watchdog of all trusts throughout the state of Minnesota. Deplorably, when St. Olaf made the decision to sell WCAL, no one from the Attorney General's Office intervened to safeguard the trust. The Attorney General's Office was notified by SaveWCAL of the pending sale yet they failed to do anything. The undersigned is absolutely mystified as to why the State Attorney General did not become involved in a sale of trust assets valued at $12 million when it is its statutory obligation to do so. Let's hope this type of activity never happens again.

The undersigned does recognize that there is a newly elected Attorney General who was not in office at the time of the sale. However, the office is painted with the same brush. Her office is tainted with this lapse of duty even though she did not hold her present position at the time. Regardless of who was serving as Minnesota Attorney General at the time of the sale, the office as an institution has a duty to the people of Minnesota to serve as guardian of all trusts created and operated in this state. The Minnesota Attorney General's Office failed in its duty in this case.

The only watchdog looking out for the interests of the trust in this case was the Respondent, the non-profit organization SaveWCAL. SaveWCAL raised the alarm when they first learned of the sale of WCAL by St. Olaf, but neither St. Olaf nor the Minnesota Attorney General's Office paid any heed to SaveWCAL's warning.

Now, the Court is faced with a plethora of issues to unravel in the aftermath of St. Olaf's unapproved sale of WCAL and the Minnesota Attorney General's Office's breach of its duties in this case.

SaveWCAL will be releasing more information about the Order and our actions in response to the Order over the course of the next few days.

On June 10, the Twin Cities Daily Planet had an article by Rich Broderick, titled "Signal Interference: Tuning into the definition of 'Corporate Media' ".

In the article, Broderick considers Minnesota Public Radio (MPR) as a "corporate" rather than "independent" media entity:

...By the same token, MPR, though a non-profit organization, clearly fits the definition of “corporate media.”

I have no particular grudge against MPR. But when it comes to “corporate media,” consider the organization‘s 35-year record of non-stop growth, its efforts to stymie low-power FM, its earlier efforts to stymie KFAI, its acquisitions, like the purchase of WCAL, that have been dogged with controversy, its appetite for corporate welfare, as demonstrated by its thankfully unsuccessful attempt to convince St. Paul to fork over public money to help build a transmission tower as part of the WCAL deal. These dollars were to come from a special city fund earmarked for economically depressed neighborhoods – which seems a far cry from underwriting an organization with a $150 million endowment. Meanwhile, the last I heard MPR does not feel the public has the right to know what its top people earn.

While Broderick notes the unsuccessful attempt by MPR to use Saint Paul's HRA bonds for the WCAL purchase, he is apparently unaware that -- just a few months later -- MPR successfully petitioned for and received Saint Paul Port Authority Bonds for that same purpose. SaveWCAL has documented this in our section on Saint Paul Bonds.

On May 29, 2008 an article by reporter Chris Stellner appeared in the Minnesota Monitor, titled "Hatch's lack of concern for charitable trusts predated WCAL dustup".

In the article, Stellner refers to the two-part article about the Minnesota Attorney General's office that appeared in the Minnesota Post and pointed out the comments attached to the article seem to provide anecdotal evidence of Hatch's approach to charitable trust issues that predates the WCAL debacle.

Stellner noted that the latest Minnesota Attorney General's submission to the Rice County District Court suggested that the court might want to continue its investigation of St. Olaf College's handling of the WCAL Charitable Trust.

The Minnesota Attorney General, St. Olaf College and SaveWCAL continue to await instructions or a decision from the judge in the case.

On May 28 and 29, 2008, the MinnPost ran a two part series by reporter Eric Black on the Minnesota Attorney General's office and included information on former Minnesota Attorney General Mike Hatch. The articles were titled:

• May 28: "An explanation for recent agonies in attorney general's office: Mike Hatch's traumatic reign" and comments.
• May 29: "They will come after you" and comments.

The article on May 28 included an particularly interesting comment by Thomas Olsen in which he said:

"In 2002 or 2003 Hatch was invited to speak to a conference of the Minnesota Planned Gifts Council. The AG's office has significant oversight responsibilities for charitable trusts and wills as well as for solicitation practices and other matters. I recall that our audience of perhaps 250 or more were eager to hear from Mike on many current issues. When Mike got up to speak he introduced his Assistant AG in charge of charitable matters--a 30 second dismissive intro--and then launched into a diatribe about the health insurance business. It was all about Mike and all about politics. Most of us shook our heads and wondered why we'd invited him and I venture to say he made no friends that day. To me, as an complete outsider to the AG's office, all that is now being revealed rings true. Thanks for your great reporting."

We remind SaveWCAL blog readers of Hatch's response to the pleas of SaveWCAL to defend WCAL donors in 2004 -- which we have documented -- and the marked difference in the recent attention of the Florida Attorney General in a similar case regarding the sale of independent, listener-supported station WMCU to AMPG/MPR.

On April 17, 2008, SaveWCAL learned that the Attorney General of the State of Florida, Bill McCollum, has commenced a charitable trust investigation into the sale of listener-supported independent radio station WMCU by its trustee, Trinity International University, to APMG/MPR.

We note the distinct difference in the Florida AG's response to the pleas of WMCU donors when compared to the Minnesota Attorney General's response to WCAL donors in 2004.

----- Original Message -----
From: "Sandi Copes" <Sandi.Copes@myfloridalegal.com>
To: [Recipient]
Sent: Thursday, April 17, 2008 9:46 AM
Subject: re: Attorney General's visit on Saturday

[recipient]

I wanted to get you some information in advance of the Attorney General's visit on Saturday. As I'm sure you're very aware, our office is looking into the issue of a sale of a local radio station, WMCU. The AG will be mentioning the status of our review on Saturday and I thought I'd go ahead and send you the information as well as the letters we have sent to both sides. Please feel free to distribute to your members as you see fit.
Thanks!

- A potential charitable trust issue could exist over whether the proceeds of the sale represent the money donated over the years to support Christian broadcasting, which the sale of the station would end.

- Our office has corresponded with lawyers on both sides and we have requested numerous financial documents from the lawyer for Trinity International University.

- We are currently reviewing the pending litigation and will review documents to be received from TIU to determine if we have a role to play in the matter due to our long-standing tradition of supporting charitable trusts.

- Our office's concern would be that the station’s programming format has been changed in a way that is inconsistent with the charitable purposes for which donations were sought and received.

(See attached file: LetterToAlexanderAlfano04-14-08.pdf [PDF,1 page])
(See attached file: LetterToDaleLynFriedman04-14-08.pdf [PDF, 2 pages])

Sandi Copes
Press Secretary
Office of the Attorney General
The Capitol, PL-01
Tallahassee, FL  32399-1050
-----------------------------------

Recently, Edison Media Research and Arbitron released the latest in their series of annual Infinite Dial studies, titled The Infinite Dial 2008: Radio's Digital Platforms,  that "[explores] the digital audio platforms (online radio, satellite radio, HD Radio, and podcasting among others) that expand the radio market, their impact on AM/FM radio, and implications for advertisers and media planners."

It is interesting to note that the report -- four years after the sale of WCAL assets -- clearly continues to refute a number of the contentions that the St. Olaf College leadership and Board of Regents have tried to use to justify and defend the sale of WCAL. Among the interesting findings:

• AM/FM radio continues to have a big impact on people's lives.
  
  In fact, 94% of the population 12 years old and above still own and use an AM/FM radio. More than one out of five (21%) surveyed said that AM/FM radio has a big impact on their lives. Local AM/FM Radio ranked second only to mobile phones.
  
  This is in direct contradiction to public statements made by members of the St. Olaf leadership and Board of Regents that AM/FM radio technology had a questionable future. These statements did not address the obvious point that MPR would not buy WCAL or make offers -- as it did, to the tune of approximately $45 million dollars, in the fall of 2007 -- for additional stations, if MPR believed it was investing in a technology whose time had past!
  
  
• There has been no growth in awareness of Hybrid Digital (HD) radio in the past year.
  
  Only approximately 25% of the population are aware of this broadcasting platform. HD radio is the one of the "new technologies" that members of the St. Olaf College leadership and the Board of Regents claimed would eventually (soon?) replace AM/FM radio and were "too expensive".  It looks as if that wasn't quite true.
  
  But it wouldn't have mattered. St. Olaf College had cut off all direct funding support for WCAL as of July 1, 2004 and the WCAL donors had met the needs of the station, so the College had no reason to be concerned about the cost of any "new technologies" affecting the station.
  
  Furthermore, the College neglected to mention that WCAL had already received major federal grant funding to proceed with converting the station to “new technologies” that the College leadership claimed were “too expensive.” On August 20, 2004 -- just after the announcement of the sale of  WCAL assets -- St. Olaf College/WCAL was awarded two (2) United States Department of Commerce National Telecommunications and Information Administration 2004 PTFP Grants totaling $72,800 -- approximately 50% of the total costs -- towards a $145,760 project to improve the origination system of the station by purchasing a digital console, audio router, CD player, production console, audio server, and sound cards. This is in addition to the CPB grant WCAL received on April 15, 2004. WCAL’s share of the CPB grant may amount to about $66,000 or more. WCAL would probably have needed to raise approximately $7,000 to complete this particular project.
  
  The historic record of the generosity of WCAL donors leaves little doubt that, once again, the WCAL donors (and not St. Olaf College) would have met that need.
  
  
• Radio remains the leader for learning about new music...as the Internet gains.
  
  Did you know that WCAL broadcast could be heard on the Internet around the years 1999-2001, perhaps longer? SaveWCAL supporters report listening to the WCAL Internet broadcast stream at all times of day from locations all over the globe -- perhaps the longest reach of the station's broadcasts in its history. In one case, a SaveWCAL supporter reported surprising the "Favorites On Friday" crew by phoning in a request from Silicon Valley in California. Later, WCAL abandoned the Internet effort for a number of reasons including concerns about copyright royalties that had yet to be worked out and concerns about eventual costs.
  
  These costs have a more direct effect on St. Olaf College these days as St. Olaf College has now assumed the expense of very limited Internet broadcasting of a tiny fraction of some of the events that WCAL used to produce and broadcast on regular radio frequencies to a potential listening audience of more than three (3) million people at little to no cost -- but great benefit -- to the College.
  
  It's almost a repetition of what happened to WCAL when FM technology was introduced. On January 18, 1949 the Federal Communications Commission announced that Channel 239, a frequency of 95.7 megacycles, had been assigned to St. Olaf College (as the trustee of the WCAL license), and that the college was authorized to proceed immediately with the establishment of a frequency modulation station. WCAL embarked on a strategy for full-time operation.
  
  However, for some reason WCAL eventually decided that FM was not worth the effort and St. Olaf College decided to let the license go. By the time they recognized this massive error, they were fortunate that a license and frequency (89.3) were available and in 1967 WCAL recommitted to FM broadcasting with vigor -- and in the nick of time.
  
  The study also shows that online radio also has the most developed measurement to make the medium more accountable and easier to plan and buy.
  
  
• Digital radio users do not spend less time with AM/FM radio than regular listeners.
  
  Both spend an average of at least 2.75 hours each day listening to AM/FM radio. The report concludes that "AM/FM radio remains vital with consumers" and that "many may overestimate the impact of digital platforms on AM/FM listening." It really makes us wonder whose so-called "professional" and/or "independent" advice and counsel the St. Olaf College leadership and Board of Regents paid for, listened to and/or followed -- like proverbial lemmings to the sea! -- when making the hasty, ill-informed and likely illegal decision to sell major assets of the WCAL charitable trust.
  
  
• The majority of “Digital Radio” audience expects to listen the same amount to AM/FM radio in future as they do now.
  
  So more than 75% of those who listen to online (Internet) radio, podcasts and satellite radio believe that they will continue to listen to the same amount of AM/FM radio in the future as they do now -- even when they consider possible advancements in technology.
  
  
• The use of iPods and MP3 players will continue to grow.
  
  The implication is that WCAL would have needed to develop a podcast and iPod/MP3 player strategy -- something that a number of NPR stations are now doing. It would also have been a good idea to develop video as well as audio content. This would not have been a problem as St. Olaf is now doing this, in part (and, we note, ironically) as an attempt to assuage alumni and WCAL listeners who were angry at the loss of WCAL broadcasts of chapel services, concerts and other campus events. We note that St. Olaf now has to pay significantly for the employees, facilities, equipment and technology that produce these broadcasts when they potentially could have been covered, at little to no direct cost to the College, by the generosity of WCAL and its donors  -- just as had been done for the college as a radio station for 82 years.
  
  
• And finally..
  
  One of the important points of the report is that "radio has to reinvigorate its image as a destination to discover new music" and asks "Why aren’t the best music discovery sites coming from AM/FM radio?" WCAL had historically been a station where new music was discovered. It is likely that it could have been a leader with these new technologies in helping the audience discover new music had it not been summarily deprived of that opportunity by the St. Olaf College leadership and Board of Regents whose institution had benefited mightily from the station's outreach to the world since 1922.

On April 9, 2008, St. Olaf College filed a Letter Memorandum [PDF, 9 pages], by hand delivery, with Rice County District Court. The Memorandum was in response to the March 31, 2008 filings of the Minnesota Attorney General and SaveWCAL.

Note that the Attorney General has suggested to the Court  that the Special Master's investigation may be extended.

In a footnote, St. Olaf addresses SaveWCAL's contention that the College has made at least two secret submissions to the Special Master's investigation. Among the St. Olaf's startling arguments to the court, the College contends:

 "[there was] no expression of intent by these [WCAL] donors that St. Olaf use their gifts to help it acquire and maintain a license"

SaveWCAL is flabbergasted that the attorneys representing St. Olaf College would stoop to saying this. It is as if St. Olaf College were to say to its own donors that donations to the College "contained no expression of intent that St. Olaf use their gifts to help it acquire and maintain its accreditation."

But this tells us the situation in which St.Olaf's legal team finds itself. St. Olaf is desperate to stop any further investigation because it knows that its position becomes ever more untenable as additional facts are discovered.  As Stephen Colbert of Comedy Central's The Colbert Report notes "Remember kids! In order to maintain an untenable position, you have to be actively ignorant."

On March 31, 2008, SaveWCAL submitted, by hand delivery, a Letter [PDF, 3 pages] to Rice County District Court Judge Gerald Wolf and an Objection To and Motion To Modify Report of Special Master [PDF, 12 pages] with Exhibits [PDF, 5 pages].

On the same day, the Minnesota Attorney General mailed a Letter Memorandum [PDF, 3 pages].

All documents filed were in response to both the Special Master's Report and St. Olaf College's submission to the Court of March 27, 2008.

Among the highlights of the AG's Letter Memorandum:

1. "Due to the extensive submissions that have been provided in this case, however, the State is not commenting specifically on all the findings and conclusions that may be contrary to its previous arguments, but rather is specifically addressing a few issues for which further discussion may be beneficial to the Court."
   
2. "Thus, neither Ms. Lassila's letter nor GAAP support a finding that the Restricted Nonendowment Gifts are unrestricted funds."
   
3. "The State respectfully submits that, similar to the Special Master's findings with respect to the Undocumented Gifts, restrictions on the sale proceeds should not be lifted simply because a determination cannot be made as to funds used to purchase the assets and that further factual findings to support any ruling regarding the sale proceeds is warranted. . .The Court may wish to refer the matter back to the Special Master for further findings regarding the sale proceeds."

Thus, the AG is suggesting that the Court may wish to do further investigation, which SaveWCAL supports.

In response to the Special Master's Report, St. Olaf College filed a Letter Memorandum [PDF, 9 pages], dated March 27, 2008, with Rice County District Court.

SaveWCAL President Ruth Sylte was interviewed on the KFAI Evening News at 6 p.m. on Wednesday, March 26, 2008. KFAI, one of Minnesota's Independent Radio Stations (and therefore a sister station to WCAL), is located in the Twin Cities and can be found at 90.3 FM in Minneapolis and 106.7 FM in Saint Paul.

Depending on your computer's configuration, you may need the free Real Media Player to hear the broadcast. The Real Media audio stream of the broadcast is available directly at:
http://helix.kfai.org/ramgen/replay/KFAIEveningNews/KFAIEveningNews(2008-03-26).rm
or on the KFAI web site archives.

The interview with Sylte is near the end of the broadcast, approximately at the 20:00 mark. Take a listen!

As with all media that cover our efforts, we appreciate KFAI's continuing interest in the WCAL story. Please let them know if you do, too.

Sometimes (as in this case) audio interview requests don't give us time to notify our supporters by e-mail. For those who are interested in faster updates, SaveWCAL offers the following:

• SaveWCAL Atom feed
• SaveWCAL FOAF feed
  
• SaveWCAL RSS feed
• SaveWCAL Technorati feed
• SaveWCAL Twitter feed
  

Let us know if there's another way of communicating with you that you'd appreciate. You can reach us at SaveWCAL@hotmail.com

On March 26, 2008 the City Pages posted an article by Matt Snyder titled "The Current shrinks its playlist". The article focused on how Minnesota Public Radio (MPR) is using the 89.3 spectrum, WCAL's original frequency, for its "alternative" music station, The Current. Due to flagging ratings, which the article reports as:

the average number of quarter-hour listeners has dropped 24 percent, while cumulative listeners have dropped 15 percent, according to Arbitron, a radio ratings service...

MPR has called in a consultant to "tighten" the station's playlist, meaning that the playlist has diminished. This has led to criticism that The Current is engaging in behavior that is similar to that of Clear Channel commercial stations that keep a limited number of tunes in high rotation. The changes have led to the departure of at least one DJ, who quit over the new controls on what the on-air announcers can play.

On March 12, 2008 Northfield's LocallyGrown.org blog featured a posting by one of the LoGroNo Triumvirate, Griff Wigley, titled "An update on SaveWCAL."

It has been an interesting discussion, one in which SaveWCAL President Ruth Sylte has been actively participating.

Anyone may comment on the blog. However, individual commenters must identify themselves completely and honestly and comments are held until the author's identity can be verified. LoGroNo also has some comment guidelines of which commenter should be aware.

SaveWCAL’s goal has always been to preserve the WCAL trust in order to continue the mission and purposes of WCAL according to the intentions of donors and the requirements of Minnesota law. Our preferred outcome is a voiding of the sale and the restoration of the station and we continue to advocate for that legal remedy. If that is not possible, we want to assure that the trust is used for the intent of the donors as closely as possible. Of course, the intent of the WCAL donors was to run a radio station...

In response to the Special Master's investigation report, SaveWCAL has now filed a Letter Memorandum [PDF, 9 pages], Letter Memorandum Exhibits [PDF, 6 pages], Postscript [PDF, 9 pages] and Postscript Exhibits [PDF, 18 pages] with the Rice County District Court. We urge readers to take the opportunity and time to read these, especially the Letter Memorandum and Postscript.

These documents are important to understanding exactly how St. Olaf College has treated donors and the assets that those donors have created, built and maintained.

We also draw your attention to the SaveWCAL blog posting regarding the "Tears of an 87-year-old Ole", which received very strong comments from readers, including:

"[This] should be forwarded to as many people as possible to show where St. Olaf is intentionally putting their money and their mouths."

We agree. The document referenced in the blog entry, which the St. Olaf attorneys titled "Forever Is A Very Long Time" is an 11-page Letter Memorandum submitted by St. Olaf College to the Rice County District Court Special Master as a part of the investigation into the WCAL charitable trust. It lays out some very illuminating official St. Olaf legal opinions regarding how the college views donors and their gifts.

SaveWCAL's reply to this Memorandum as well as all other documents submitted to the Special Master by the Minnesota Attorney General, St. Olaf College and SaveWCAL are available at http://savewcal.livejournal.com/104585.html

We also note the comment recently posted to Jonathan Kaminsky's City Pages Blotter article by a '69 St. Olaf grad:

"...I only heard of the WCAL sale/story on a recent visit to the Twin Cities."

This is a good reminder that there are probably many St. Olaf alumni and supporters, especially those outside the greater Twin Cities and Rochester regions, who are not aware of the WCAL sale at all -- much less the way in which it was handled.

We also believe that there are major issues of accountability, transparency and governance that St. Olaf needs to face and changes that the St. Olaf community needs to demand of the the College's leadership.

On March 20, the current court case regarding St. Olaf College's Petition and Amended Petition attracted the attention of and was featured on the web site blog of CharityGovernance.com in an article titled "Around and around and around the dial: St. Olaf College sells radio station and is challenged by a listeners group".

The blog belongs to Charity Governance Consulting LLC, a consulting service that includes attorney and CPA Jack B. Siegel. Siegel is the author of the book, A Desktop Guide for Nonprofit Directors, Officers, and Advisors: Avoiding Trouble While Doing Good, published by the highly respected John Wiley & Sons, Inc..

On March 17 at 7:30 p.m., someone posted to the following heartbreaking comment to the SaveWCAL blog:

With tears of sadness, an 87 year old Ole remembers getting up Sunday mornings at 4 a.m. to practice the hymns to be sung by the choir at the Norwegian and Swedish worship services. He regrets the day St. Olaf gave away a big part of its heritage.

SaveWCAL's March 12, 2007 press release on the Rice County District Court Special Master's Report has begun to spark interest in the local media and on the blogosphere. We are aware of other stories in non-local publications that are in the work and will post them as they are available.

Among the articles of which we are currently aware:

• "Investigator releases WCAL Report" (Northfield News)
• "Likely $5 Million Victory for SaveWCAL" (City Pages)
• "SaveWCAL group wins one battle in ongoing dispute with St. Olaf" (MinnPost.com)

The story has also been featured on some blogs including:

• Higher Education Law Prof
  
• City Pages Blotter
• Locally Grown Northfield

Many blogs, including ours, allow readers to submit comments and responses. Some of them, including ours, allow readers to do this anonymously. SaveWCAL reminds readers that while we acknowledge that people have strong opinions and express them in different ways, we prefer that all engage in respectful and constructive dialog, whether on the SaveWCAL blog or in other forums.

These blogs also allow SaveWCAL the opportunity to, on occasion, clarify points or correct misunderstandings, as SaveWCAL President Ruth Sylte has been doing on the Locally Grown Northfield blog.

We're also happy that so many SaveWCAL supporters and blog readers have weighed in with their opinion (anonymously or not) on the SaveWCAL blog. The press release posting on SaveWCAL's blog has, as of this morning, generated more than 30 comments, including further information from SaveWCAL.

12 March 2008

Contact:
SaveWCAL@hotmail.com
http://SaveWCALLiveJournal.com

SaveWCAL Wins a Victory for Public Radio Supporters and WCAL Donors

Northfield, Minn.—A Special Master report submitted on March 7, 2008 to the Rice County (Minn.) District Court is an important victory for supporters of and donors to public radio station WCAL and St. Olaf College, according to Ruth Sylte, the president of SaveWCAL, an organization representing the donors to WCAL.

“It is a very good day for supporters of public radio and thousands of SaveWCAL supporters!” said Sylte. “The report confirms that listener donations and support do matter.”

WCAL 89.3 FM was the first listener-supported radio station in the U.S. and a founding member of National Public Radio (NPR). Until its controversial sale, the station broadcast for more than 80 years from the St. Olaf campus in Northfield, Sylte explained. WCAL’s major assets—a 100k watt C-1 FM license, Rosemount broadcasting tower and translator station KMSE 88.7 in Rochester—were sold on November 21, 2004 over the objections of thousands of donors and listeners for a reported $10.5 million by its trustee, St. Olaf College, to Minnesota Public Radio (MPR).

The Special Master’s Report, containing more than 130 separate Findings of Fact and making Recommended Conclusions of Law on the subject of the Petition and Amended Petition filed by St. Olaf College regarding the WCAL charitable trust, includes the following highlights:

• The report recognizes that the WCAL donors created a charitable trust throughout more than 80 years of support to the station. This is exactly the position that SaveWCAL has advocated since the beginning of the current proceeding and, indeed, since October 5, 2004 when the organization specifically asked the Minnesota Attorney General to intervene in the sale of the trust's assets and the Attorney General declined. In fact, Special Master Judge Gary J. Meyer (ret.), specifically noted in his Memorandum that:
  

"The [Minnesota] Attorney General notes that St. Olaf has not formally petitioned the court regarding the proceeds of the sale of WCAL assets to MPR. But St. Olaf takes the position that none of the proceeds of the sale are subject to any restriction and that St. Olaf is entitled to use the proceeds for any purpose it desires. Thus, it is unlikely that St. Olaf would ever bring a petition asking for direction from the court regarding these funds. Although the Attorney General clearly could have, and perhaps should have, brought a petition to the court, they have not done so. Instead, the court is left with the current petition, which, in the interests of justice, must be expanded to include additional funds not specified in the petition." [Emphasis added by SaveWCAL.]

• The report also finds that the assets that currently comprise the trust are far greater than what St. Olaf College had represented to the court in its Petition and Amended Petition. St. Olaf claimed that it held $1.36 million in the WCAL endowment and that it should have unrestricted access to approximately $860,000 of that amount with approximately $500,000 restricted to "Core WCAL Activities." The Special Master has found that the WCAL charitable trust has assets in excess of $5 million and that the use of those assets should be restricted to "Core WCAL Activities."
  

• The Special Master did not include the value of WCAL's FM license as an asset of the trust claiming that "it is impossible to discern from the record what assets were purchased with which funds or, most likely, combination of funds."
  
  Sylte pointed out that the report fails to recognize the fact that the license itself would have been lost long ago but for the support of WCAL donors. In order to renew its license, St. Olaf had to demonstrate to the FCC that the station was serving the public interest. It was able to do so, Sylte asserted, only because of the magnificent support of the WCAL donors. Indeed, the Special Master's Findings of Fact states:

"WCAL and St. Olaf had agreed on a goal of decreasing the St. Olaf cash contributions to WCAL and of eliminating them by 2005. From 1993 to 2004, St. Olaf's contributions to WCAL decreased from $350,000 (which was 21% of the 1993 WCAL operating budget) to $130,000 (which was 5% of the 2004 WCAL operating budget)."

As another example, Sylte related that the station would have been completely lost in 1924 if supporters had not raised the money to save WCAL after the College announced that it did not have the funds to operate the station. The station would have been lost a number of times without the donations of listeners, without which there simply would have been no license and therefore no assets for St. Olaf to sell in 2004.

Sylte also pointed out that St. Olaf College attorneys, in an attempt to prevent information that SaveWCAL supporters (or any member of the general public) might find from reaching the Court and the court-appointed Special Master, have been denying unrestricted public access to the college's archives, in direct conflict to the college's stated policy, since December 7, 2007.

• The report also does not address the trust status of the building in which WCAL was housed that was built, not with funds from St. Olaf College, but solely from the donations of WCAL listeners. 

The submission of the Special Master’s report is yet another step—a large one—in SaveWCAL’s lengthy and continuing journey of more than three and a half years to obtain justice on behalf of the tens of thousands of WCAL donors, living and deceased, who gave millions of dollars to build and maintain a "unique and priceless public radio station" for more than eight decades, said Sylte. "The process is still continuing. We will continue to advocate that the WCAL charitable trust also includes the proceeds from the sale of the broadcast license. "

“Our efforts remain grounded in a deep affection for the college.” added Sylte. SaveWCAL's primary goal has been to preserve the WCAL station and/or its charitable trust, preferably to spiritually, financially and educationally benefit its historical home institution, St. Olaf College, she said. “What we have achieved thus far,” Sylte continued, “benefits St. Olaf by assuring its donors that they have a right to be heard and that their intentions should continually be honored.”

The parties now await instructions from Rice County District Court Judge Gerald Wolf regarding how the hearing on the St. Olaf Petition and Amended Petition will proceed. Judge Wolf, who is presiding over the case, has the authority to accept or modify the Findings of Fact, Conclusions of Law and proposed Order. A hearing is expected to be scheduled soon.
 
BACKGROUND / TIMELINE

Note: The links in this section lead to blog entries with additional details regarding the events and, in some cases, downloadable PDFs of relevant documents.

• In August 2004 St. Olaf College suddenly announced that its Board of Regents had decided to sell the 100K watt C-1 license and Rosemount broadcasting tower of WCAL 89.3 FM radio station—the first listener-supported radio station in the USA—and its translator station, Rochester’s KMSE 88.7, to MPR for a reported $10.5 million. In spite of strong opposition, including a petition to St. Olaf with more than 5,000 signatures and unsuccessful pleadings before the FCC, the station was sold to MPR and ceased broadcasting as WCAL/KMSE on November 21, 2004–just three days after the 82nd anniversary of the station’s official founding.

• At the time, St. Olaf College was holding at least $2.9 million in endowment funds for the benefit of WCAL radio station.

• On December 28, 2006 St. Olaf College filed a Petition in Rice County (Minn.) District Court seeking a release of all restrictions on two categories of gifts in the WCAL charitable trust endowment that it now classified as the restricted non-endowment gifts and the undocumented gifts. When the gifts were made, the College placed the gifts in both categories in the WCAL endowment. It asserted in its Petition that the donors of the gifts in the first category did not specifically direct St. Olaf to place their gifts in the WCAL endowment. As for the second category, St. Olaf claimed that it was not able to find documents to explain the decision the College made to place the gifts in the WCAL endowment. The College asserted that total market value of the gifts in both categories as of April 30, 2006 was approximately $961,000.00.  [This leaves at least $1,939,000 of the WCAL charitable trust endowment funds listed in 2004 still unaccounted for.]

• On January 12, 2007 the Minnesota Attorney General's office responded to the filing in a letter to St. Olaf College, raising some technical questions about the Petition. This caused St. Olaf to request a continuance of the scheduled hearing and the hearing was rescheduled for March 8, 2007.

• On February 27, 2007 SaveWCAL attorney Michael W. McNabb sent a five page Letter Memorandum to the Rice County District Court to inform the Court of issues related to the Petition filed by St. Olaf. The letter stated:

"A thorough investigation will reveal that the court has the facts and the law to declare that the assignment of the license for 89.3 FM to MPR is void on the grounds that (1) it was a breach of its fiduciary duty as trustee for St. Olaf to create the circumstances which rendered it impossible to honor the intention of the donors and (2) St. Olaf failed to obtain the authorization of the court to terminate the charitable trust as required under Minn. Stat. 501B.41 subd. 2 and therefore St. Olaf did not have the lawful authority to assign or sell the assets of the WCAL charitable trust. In the alternative, the court could declare that the WCAL endowment fund (all $2.9 million) and the $10.5 million received from MPR constitute part of a continuing charitable trust and that pursuant to Minn. Stat. 501B.31 subd. 2 the trust must be administered to accomplish as nearly as possible the intention of the donors. "

• On March 6, 2007, just seven days after McNabb sent his Letter Memorandum to the Rice County District Court, St. Olaf College suddenly submitted an Amended Petition which completely removed St. Olaf's previous assertions of the WCAL charitable trust funds as a "charitable trust". Also removed was one exhibit previously submitted by St. Olaf after an heir of the donor notified the Attorney General and Court that what St. Olaf had presented in its Petition was not the wishes of the donor.

• On March 8, 2007 SaveWCAL attorney McNabb received the permission of the court to participate in the hearing. Additional hearing sessions were held on April 13 and May 25.
  

• On October 16, 2007 Rice County District Court Judge Gerald J. Wolf issued two Orders. The first Order and Memorandum indicated that the Judge is reserving a decision on the St. Olaf Amended Petition pending the result of a full investigation by a special master appointed by the second Order to, among other things, "investigate and determine the amount of assets and donations that are attributable to WCAL...” without limitation. The order also confirmed the standing of SaveWCAL as a representative of the WCAL donors. It should be noted that SaveWCAL was the only party in the case to request that a special master be appointed and that a full investigation take place.

• On October 22, 2007 Judge Gary J. Meyer (ret.) accepted the appointment of Judge Wolf as Special Master for the St. Olaf College Petition. The Special Master was instructed to report his findings and his recommendation to the Court within 60 days of his appointment. The Special Master was also instructed that he could request additional time in order to complete the investigation. On December 17, 2007 Judge Wolf issued an Order extending the deadline for the Special Master to submit his report and recommendations to February 15, 2008. On February 15, 2008 Judge Wolf signed another Order extending the deadline for the Special Master's report to March 15, 2008.

Documents submitted to the Rice County District Court Special Master by the various parties (Minnesota Attorney General, St. Olaf College and SaveWCAL) are available for download in PDF format at: http://savewcal.livejournal.com/104585.html

# # # #

SaveWCAL is a 501(c)(3) non-profit organization that grew out of St. Olaf College's decision to sell essential and irreplaceable assets of the WCAL charitable trust, thus destroying the first listener supported public radio station in the USA—a founding member station of National Public Radio (NPR) and a leading member of AMPERS (now Minnesota Independent Public Radio).

Since 2004, St. Olaf has been attempting to dismantle the trust and repurpose millions of dollars in funds given to the WCAL charitable trust by tens of thousands of donors over the course of more than 80 years.

SaveWCAL is made up of WCAL donors and listeners, St. Olaf College students, alumni, staff, faculty, parents and friends who care deeply about the station and its service to the college and the community. Our intention has always been to save the station to benefit the college—spiritually, historically, financially and educationally. More than 5,000 individuals signed the SaveWCAL petition in 2004.

For further information, see http://SaveWCAL.LiveJournal.com

The Rice County District Court-appointed Special Master has submitted his report to the court regarding his investigation for the hearing on the St. Olaf Petition and Amended Petition

All documentation submitted to the Special Master during his investigation by the Minnesota Attorney General, St. Olaf College and SaveWCAL is now available for download at http://savewcal.livejournal.com/104585.html

THE RICE COUNTY DISTRICT COURT SPECIAL MASTER'S REPORT

• Findings of Fact [PDF, 40 pages]
• Recommended Conclusions of Law [PDF, 7 pages]
• Exhibits [PDF, 21 pages]
• Memorandum [PDF, 12 pages]
• Recommended Order [PDF, 2 pages]

As part of our continuing investigation, SaveWCAL will soon be commenting on specific information contained in the the Special Master's Report that has brought to light or confirms information that we have -- or have long suspected -- about the handling of the WCAL charitable trust assets by St. Olaf College.

SaveWCAL has issued a Press Release (with Background / Timeline information).

The parties now await instructions from Rice County District Court Judge Gerald Wolf regarding how the hearing on the St. Olaf Petition and Amended Petition will proceed. Judge Wolf, who is presiding over the case, has the authority to accept or modify the Findings of Fact, Recommended Conclusions of Law and Recommended Order. A hearing is expected to be scheduled soon.

SaveWCAL has received confirmation that the Rice County District Court-appointed Special Master has submitted the report of his investigation to the court.

SaveWCAL is now able to release the documentation submitted to the Special Master by the Minnesota Attorney General, St. Olaf College and SaveWCAL.

SaveWCAL has issued a Press Release (with Background / Timeline information).

DOCUMENTS SUBMITTED TO THE RICE COUNTY DISTRICT COURT SPECIAL MASTER INVESTIGATION

Downloadable PDFs of the documentation submitted to the Special Master by the Minnesota Attorney General, St. Olaf College and SaveWCAL are below, in order of submission:

As SaveWCAL awaits--along with the Minnesota Attorney General and St. Olaf College--the result of the Rice County District Court-appointed Special Master's investigation, some of our readers have asked what normally comprises a Special Master's Report.

We expect that the Special Master's Report may have three (3) components:

• Findings of Fact
• Recommended Conclusions of Law
• Recommended Proposed Order

The Special Master will make Findings of Fact based on his investigation and the record developed during the hearings in court. The Special Master will recommend Conclusions of Law and include a proposed Order.

The report, therefore, sets forth the facts ("Findings of Fact") that the Special Master found to be true and the Conclusions of Law he reached regarding those facts. This documentation allows all parties and the public to understand how and why the Special Master reached his recommended conclusions and proposed Order.

Rice County District Court Judge Gerald J. Wolf, who is presiding over the case, has the authority to accept or modify the Findings of Fact, Conclusions of Law and proposed Order.

On March 7, 2008 the Associated Press sent out a brief article by Erik Schelzig, titled "Judge: Fisk U. to Keep O'Keeffe Donation":

NASHVILLE, Tenn. (AP) — A judge has ruled that Fisk University broke the terms of a donation from painter Georgia O'Keeffe but shouldn't lose its art collection to a New Mexico museum.

Nashville Chancellor Ellen Hobbs Lyle placed a permanent ban on Fisk selling the 101-piece collection and set a deadline for the historically black university to retrieve the artwork from storage and put it on display.

Lyle had rejected several previous attempts by the cash-strapped school to sell artworks, including O'Keeffe's signature 1927 oil painting "Radiator Building — Night, New York."

The Georgia O'Keeffe Museum in New Mexico sued to gain control of the collection because of the school's attempts to sell paintings and because they weren't on display.

A longer revised version of the article appeared later on Yahoo! News.

The judge's ruling included the following:

It is not just the interests of Fisk which the Court must consider. In the case of a charitable gift, the law requires the Court to take into account the public interest....By allowing the Collection to remain displayed at an educational institution in this part of the country where it can be viewed by students, residents of the area and visitors, the public interest is served.

The decision is being covered in various press stories and blogs;

• "Fisk Violated Donor's Terms but Should Keep Art Collection, Judge Rules" (Chronicle of Higher Education)
• "Court Decision: Fisk Can Keep Stieglitz Collection, Subject to No-Sale and Must-Exhibit Stipulations" (CultureGrrl Blog)
• "Fisk Hangs on to Art for Now" (Nashville Public Radio WPLN 90.3 FM 1430 AM Blog)
• "Fisk violated O’Keeffe wishes but can keep art, judge rules" (Nashville Tennesseean)
• "Fisk ruling pleases O'Keeffe museum" (Nashville Tennesseean)
• "Fisk University Keeps Its O'Keeffes" (New York Times)
  
• "Fisk Can Keep Georgia O'Keeffe Art Collection Despite Violating Gift Terms" (Nonprofit Law Prof Blog)
• "Fisk Loses in Court Battle Over Stieglitz Collection" (Diverse Issues in Higher Education)

The article in Diverse Issues in Higher Education included the following:

In a final memorandum and order that was critical of Fisk attorneys and university President Hazel O’Leary, Tennessee Chancery Court Judge Ellen Hobbs Lyle found Fisk had “breached” the covenants governing its possession of the 101-piece Stieglitz Collection. The infractions have not risen, however, to a level that would warrant a court order that Fisk forfeit the works to the Georgia O’Keeffe Museum of Santa Fe, N.M., Lyle ruled.

To ensure they don’t, Lyle imposed a “permanent, mandatory injunction” against Fisk with three key provisions. The order prevents Fisk from ever selling the Stieglitz. It gave Fisk an October 6, 2008 deadline to completely remove the collection from storage and return it to display in the Carl Van Vechten Gallery on the Fisk campus. The court also imposed “notice requirements” on Fisk regarding loans of the collection and Fisk’s ability to care for it over the long term.

“Noncompliance with the injunction carries a threat of finding of contempt punishable by fines, payments of damages and attorneys fees, and forfeiture of the collection,” Lyle wrote in her 21-page decision. She noted that one of the “practical effects” of her injunction is that it provides parties who suspect Fisk has again “breached” the conditions “a much shorter and straightforward proceeding” to take the collection from the school.

The Georgia O'Keeffe Museum, located in Santa Fe, N.M., represents the estate of artist Georgia O'Keeffe who donated  the collection to Fisk University. Their attorney commented:

The ruling is entirely fair and appropriate, said Saul Cohen, a Santa Fe attorney who is president of the museum's board. "I think the ruling was very sensible. It follows the law, and when a court follows the law, we all win."

A SaveWCAL supporter just sent us the link to a February 24, 2008 New York Times article by Peter Applebome, titled "Looking for Music, but Not ‘Celebration,’ to Remember Castro? Put the Radio On" [http://www.nytimes.com/2008/02/24/nyregion/24towns.html?_r=1&emc=eta1&oref=login]. (Readers will need to have or create a NYTimes.com ID in order to read the article.)

The article celebrates the 50th anniversary of WFMU, an independent and noncommercial listener-supported station whose frequency now covers areas of northern New Jersey and southern New York.

Life wasn't always easy for the station, which began as the voice of St. Olaf College's sister institution, Upsala College, but WFMU clearly had a mission:

Since its beginning as the radio station at a now-defunct Lutheran college in New Jersey, WFMU-FM has managed to carve out a niche for itself as perhaps the longest-lived and most admired practitioner of free-form radio programming.

And the station remained consistent in its purpose:

“It’s the little engine that could,” said Vin Scelsa, the longtime New York radio figure now at WFUV-FM, who was there for the creation of WFMU’s current form as a student at Upsala in 1968. “They’ve always remained true to their vision of letting the person on the air be the creator, weaving whatever elements he or she wants to put together.”

Applebome tellingly notes:

WFMU is probably around for two reasons, both linked to Ken Freedman, its general manager since 1985. First, when Upsala went bankrupt, the staff members were prepared to buy the license, make the station independent and later find a new permanent home in a building they bought in Jersey City. The station has a $1.2 million budget, six full-time workers and about 200 volunteers, including almost all the D.J.’s.

Second, and most important, WFMU, to use this year’s political coinage, embraced change in a big way. It put up its Web site (wfmu.org) in 1993, before most of us knew what a Web site was. It began streaming its shows full time in 1997. Instead of being a dinosaur medium eaten up by new technology, it managed to create an international niche brand. So Mr. Abramson occasionally works as a D.J. at weddings in places like Japan and Tucson for people who listen to him on WFMU.

And WFMU, its trustees, employees and supporters clearly recognize that what they have is special and unique:

“This is the kind of place that shouldn’t exist but somehow does,” said Tom Scharpling, whose show is modestly titled “The Best Show on WFMU.”

“I keep thinking the bad guys will win in the end and take it all away, but somehow it all seems to keep working.”

Congratulations to a WCAL sister station, WFMU, on 50 years of broadcasting!

We recently received a call from a SaveWCAL supporter who was concerned because this person had heard that the SaveWCAL.org domain had "been sold" -- and thought that we had disappeared!

Far from it!

SaveWCAL purchased and used the domain of SaveWCAL.org during the fall of 2004, when we were in the thick of our very public efforts. However, once those efforts had moved to more behind-the-scenes efforts, we decided that it was a better stewardship of the funds that had been entrusted to our organization by our donors to let the SaveWCAL.org URL and formal web site go. So we did.

Meanwhile, blogging began to be a major force on the Internet and we quickly saw that it might be a good idea for us to look at blogging for a few reasons.

• To create an historical record of WCAL as a station and our efforts.
• To be able to feed our "news" into the blogging and news streams on the Internet with greater ease.
• To be able to easily link to past postings to help readers understand some of the ways
• To allow our readers the opportunity to comment.

So that is why we turned to utilizing a SaveWCAL blog through LiveJournal at http://SaveWCAL.LiveJournal.com. You'll still easily find us by typing "savewcal" into any major search engines. We've been very pleased with the results and we've heard from many of you that you appreciate it, too.

The domain is now apparently owned by a "domain name squatter" as the records show:

Domain ID:D149605259-LROR
Domain Name:SAVEWCAL.ORG
Created On:30-Oct-2007 21:47:08 UTC
Last Updated On:30-Dec-2007 03:49:00 UTC
Expiration Date:30-Oct-2008 21:47:08 UTC
Sponsoring Registrar:Wild West Domains, Inc. (R120-LROR)
Status:CLIENT DELETE PROHIBITED
Status:CLIENT RENEW PROHIBITED
Status:CLIENT TRANSFER PROHIBITED
Status:CLIENT UPDATE PROHIBITED
Registrant ID:DABO-02219620
Registrant Name:Stephen Roberts
Registrant Organization:3D Acquisitions
Registrant Street1:P.O. Box 122
Registrant City:Reading
Registrant State/Province:MA
Registrant Postal Code:01867
Registrant Country:US
Registrant Phone:+1.6178352712
Registrant Email:3dacquisitions@gmail.com
Admin ID:DABO-22219620
Admin Name:Stephen Roberts
Admin Organization:3D Acquisitions
Admin Street1:P.O. Box 122
Admin City:Reading
Admin State/Province:MA
Admin Postal Code:01867
Admin Country:US
Admin Phone:+1.6178352712
Admin Email:3dacquisitions@gmail.com
Tech ID:DABO-12219620
Tech Name:Stephen Roberts
Tech Organization:3D Acquisitions
Tech Street1:P.O. Box 122
Tech City:Reading
Tech State/Province:MA
Tech Postal Code:01867
Tech Country:US
Tech Phone:+1.6178352712
Tech Email:3dacquisitions@gmail.com
Name Server:NS1.SEDOPARKING.COM
Name Server:NS2.SEDOPARKING.COM

SaveWCAL has had a number of requests asking about former WCAL employees. In this posting, we report on the whereabouts of former WCAL employees of which we are aware. There were approximately two dozen WCAL non-student employees at the time of the sale of WCAL assets in 2004.

So where are they now? We have not yet been able to locate all of them and will be happy to add others as they become available. Here are the former 2004 WCAL non-student employees, in alphabetical order, whose names we know and/or for whom we have been able to find some information:

1. Susan Shirk Beeby -
   
2. Stephen Davis -
3. Sarah Entenmann - Freelance editor in Northfield, MN
4. Heather Ferguson -
5. John Gaddo - Southwest Regional Manager at Wisconsin Public Radio in La Crosse, WI
   
6. Karl Gerke - Producer and Arts Reporter at Minnesota Public Radio (MPR) in Saint Paul, MN
   
7. Penny Hillemann - Senior Communications Counselor at Neuger Communications Group in Northfield, MN
8. Bill Morelock - Classical Music Host at MPR in Saint Paul, MN
9. Tom Nelson - Engineering Supervisor at American Public Media Group (parent organization of MPR) in Saint Paul, MN
10. Jeffrey O'Donnell - Executive Producer of Sing for Joy at St. Olaf College in Northfield, MN
11. Melissa Ousley - Classical Music Host, MPR, Saint Paul, MN
    
12. Marty Pelikan - Nonprofit Organizational Management Consultant in Northfield, MN
    
13. Michael Rathke - Director of Programming at WOSU (Ohio State University) in Ohio
14. Doug Rowe - Broadcast Engineer at MPR in Saint Paul, MN
15. Jennifer Rowe -  Sonography student in Minneapolis, MN
16. Steve Staruch - Classical Music Host at MPR in Saint Paul, MN
    
17. Becky Strand -
    
18. Deborah Ward - Manager of Individual Giving at Children's Theatre Company in Minneapolis, MN
19. Stephanie Wendt - Evening Announcer and host of the Sunday morning show, Sacred Classics, on the Classical Public Radio Network (CPRN),
20. and beyond: Unknown

Out of approximately 24-26 WCAL employees who worked at the station in 2004, we are aware of only six individuals (approximately 25%) who now work at APMG/MPR. Of those six, we are not sure if they are part-time or full-time employees of APMG/MPR.

SaveWCAL is making public a letter that SaveWCAL attorney Michael McNabb sent to St. Olaf College attorney Michael Cunningham on November 13, 2007 with a question that McNabb specifically asked Cunningham to communicate to St. Olaf College President David R. Anderson '74 and the St. Olaf College Board of Regents.

As of this date, SaveWCAL has received no response  and has had no indication that either Anderson and/or the Regents have seen this letter.

The letter is just one more effort a long series of attempts that SaveWCAL has made since 2004 to reach out and constructively engage the St. Olaf College leadership in a dialogue about the WCAL charitable trust.

SaveWCAL is making public the fact that St. Olaf College has been deliberately obstructing (since April 5, 2007) and eventually denying (since December 5, 2007) unrestricted public access to WCAL records in the St. Olaf archives. St. Olaf is doing this an attempt to prevent information that SaveWCAL supporters (or any member of the general public) might find from reaching the Rice County District Court and the court-appointed Special Master currently investigating the handling of the WCAL charitable trust.

Prior to this time, various SaveWCAL supporters had visited the St. Olaf College archives on a number of occasions since 2004 to do research regarding WCAL and the WCAL charitable trust. Until the spring of 2007, there had never been any issues raised by St. Olaf College about this access. Suddenly, in the midst of the Rice County District Court hearing on the St. Olaf College Petition (including St. Olaf's Amended Petition) and as factual information regarding St. Olaf College's handling of the WCAL charitable trust began to be a part of the public record, St. Olaf College moved to limit access to the college archives and to information about the WCAL charitable trust.

A court decision needs to be based on documented information. St. Olaf naturally has unrestricted access to historical records in its own archives -- archives that, according to St. Olaf's stated policy, are open to the public. SaveWCAL has been handicapped in pursuing documents about WCAL by St. Olaf's actions.

SaveWCAL believes that justice is not served when information is obstructed and/or withheld that would prevent the Special Master and the court from reaching a fully informed decision.

Further information on what has occurred is found in the posting for December 5, 2007.

Since SaveWCAL's founding and incorporation on September 2-3, 2004, our organization has been blessed with a Board of Directors that has given wise advice and tirelessly put each individual's considerable skills and expertise at our disposal for our efforts. As with many organizations, we've undergone transitions and, at this point, we acknowledge the extraordinary service of the following individuals who have cycled off the board between 2005-2008:

• Danny Eitingon, Ph.D.
• Benjamin Henry-Moreland '07
• Janna Holm '07
• Kristofer Layon '93 (ex-officio)
• Clarance Smith
• Carl Schroeder '05

SaveWCAL is also pleased to acknowledge the service of our continuing board members and announce our newest board members, all of whom have supported our efforts since 2004. Brief introductory items are included for our two newest board members. The current SaveWCAL board is:

• W. B. (Skip) Chapin, Jr. '68 CPA, Treasurer
• David Keyes
• David Molvik '70
• Mark Sulander '79
• Ruth Sylte '82, President
• Charles Umbanhowar, Ph.D.* 
• Phil Voxland '66
• Gerald I. (Jerry) Williams '50 **
  

* St. Olaf College Professor Emeritus of Political Science (law) and former WCAL Board member
** Founder of Williams Sound Corporation, former WCAL student employee and longtime generous WCAL and St. Olaf College donor

We are grateful for the service of all our board members, especially those who have served since our organization's founding in 2004. There are many things that these board members have done and continue to do to save WCAL -- some of which cannot be made public at this time.

We also take this opportunity to thank the many SaveWCAL supporters who have been essential in our efforts and who deserve recognition -- some of whom cannot be publicly identified. You know who you are! Thank you!!

The SaveWCAL board is pleased that we can continue to honestly say in 2008 what was said at the WCAL Service of Thanksgiving in the fall of 2004:

"If SaveWCAL was certain that every possible effort had been exhausted, we would tell you that openly and honestly. We once again say to you, 'It is not over, and there is still work to be done.' "

We continue to await the Special Master's Report. Stay tuned! Fram! Fram!

On February 21, 2008, St. Olaf College announced that it had "had met its goal of raising $33 million for new science and mathematics facilities." The article appeared on the St. Olaf College web site article titled "St. Olaf College reaches science campaign goal, names building" [http://fusion.stolaf.edu/news/index.cfm?fuseaction=NewsDetails&id=4208]

SaveWCAL is happy that the College has reportedly had a successful campaign and that this wonderful facility will now be available to new generations of St. Olaf students.

However, we sincerely hope that the new name is only a "placeholder" as the college waits for a better name. Why?

• For more than 100 years, the St. Olaf Board of Regents consistently chose to name buildings after St. Olaf professors, employees and leaders who have actually "done something" that directly impacts the lives and educations of generations of St. Olaf students. These names are easily seen in the names of many campus buildings and features: Boe, Ade Christenson, Christiansen, Dittmann, Ellingson, Flaten, Granskou, Hilleboe, Holland, Hoyme, Kittlesby, Kildahl, Larson, Mohn, Rand, Rolvaag, Mabel Shirley, Thorsen, Ytterboe and, yes, Skifter (the founder of WCAL). The college's history and core values are reflected in the names of those buildings.
  

• In the past few decades or so, the St. Olaf Regents have begun to engage in a policy of naming buildings after major donors to each of these building projects: Skoglund, Buntrock, Tostrud (all previous St. Olaf Regents) and now, the Regents as a whole. This "new" policy has been roundly decried by many in the St. Olaf community: students, faculty, staff, alumni and others.
  

• In light of this change in policy, it would seem that the building's new name indicates that the Regents themselves have donated a large portion of the funds for the Science building. Indeed, this later point is confirmed by St. Olaf's press release:
  

"Among the milestones in the Beyond Imagination campaign were a matching gift program through the 3M Foundation that raised more than $784,000 by encouraging employees and retirees of 3M with St. Olaf connections to become involved; a Regent's challenge to current and former members of the St. Olaf Board of Regents, led by the Boldt family, O. Jay '58 and Pat Tomson '59, and Jerry '60 and Alleen Tostrud '61, that brought in $6 million; a faculty, staff and emeriti challenge that garnered nearly $925,000; and a December 2007 challenge gift by an anonymous donor that was fulfilled and resulted in an additional $3.5 million."

Why might this have occurred?

Among the possible reasons for the new Science Center's name and Regent donations is that the St. Olaf Board of Regents is attempting to build itself up in the eyes of the St. Olaf community and the general public. And perhaps they need to "step up to the plate" financially. After all, the Regents decided to embark on this project at the same time they were destroying the most successful physics experiment that St. Olaf College had ever produced with a result that had endured for more than 80 years -- WCAL Radio.

The destruction of the WCAL trust has seriously impacted and perhaps even impaired St. Olaf's ability to raise money. Even the latest "annual report" mailed out by the college -- which trumpets the "success" of their fundraising -- conveniently skirts and avoids a number of pertinent questions regarding the nuts and bolts of their efforts and alumni giving response.

We find it rather distasteful (as, we imagine, do many other St. Olaf alumni and friends of the college ) that the governing board of St. Olaf would seek to "honor" itself by naming a building after itself -- particularly since the Regents' service and work, while important, has a fraction of the impact that the service of devoted St. Olaf faculty and staff have upon generations of students. This "self-elevation" is quite the opposite of the values that many of us experienced through St. Olaf and WCAL.

We can think of a number of St. Olaf professors and leaders who could (and probably should) have been honored by naming the building for their substantial and critical work in educating generations of St. Olaf College science students.  Among them would be Professor Emeritus of Chemistry (and former Dean of the College) Albert Finholt, Ph.D.

We can understand the college's desire (and right) to put the best possible spin on its financial position and fundraising efforts. Every organization seeks to do so. However, we sincerely hope that the college is not being deliberately disingenuous.

SaveWCAL notes with interest that the St. Olaf press release indicates that the total cost for the building will be at least $63 million, indicating that the entire campaign is far from over.

We also note that if you add up the amount of the "Regents Challenge", the "Faculty, Staff and Emeritii Challenge" and the "Anonymous Donor Challenge" listed in the St. Olaf College press release, it just about equals --- $10.5 million! If that amount looks familiar, it should. It is the reported price that St. Olaf College received for the sale of WCAL charitable trust assets.

Today (February 20, 2008), Twin Cities reporter and media critic Brian Lambert ran an entry on his Minneapolis-Saint Paul Magazine blog, Lambert to the Slaughter, titled "Radio Anywhere...but Local", once again decrying the lack of local content and control in terrestrial (AM/FM) radio broadcasting. We strongly encourage you to read Lambert's complete blog entry (and the very interesting reader comments/replies) --- and offer some highlights here.

Lambert writes:

"Although I am skeptical anything will change soon, your FCC is currently soliciting comments—from  taxpayers such as you—about the crazy-ass notion that radio license holders should both locate their main studios in the towns they serve and also staff them round-the-clock with, you know, actual trained human beings. (The ink above allows you to say whatever you'd like about real localism, etc. If you need more than seventy characters, just hit return and keep on keeping on.)"

Lambert goes on to write;

"...the current FCC has held public meetings around the country throughout the past couple years and been told—reamed out might be a more accurate description—that it has done a lousy job monitoring the public airwaves. Citizen input on the question of how good a job broadcasters, such as Clear Channel, are doing serving local interests has been overwhelmingly negative."

SaveWCAL supporters may remember the comments presented to the FCC at the December 9, 2004,  FCC Forum held at Hamline University on media consolidation, an issue directly related to broadcast localism. On that evening, we do not recall even one single statement of support for radio consolidation -- not even in support of the non-comm consolidation this region has experienced with APMG/MPR! Many WCAL listeners spoke against consolidation, joined by listeners of other stations such as KFAI, KAXE, KMSU, etc.

We encourage all SaveWCAL supporters/blog readers to take a few moments to comment to the FCC [the correct proceeding number is already entered]. The FCC web site has a downloadable "fact sheet" on broadcast localism at http://www.fcc.gov/localism/Localism_Fact_Sheet.doc Keep AM/FM radio local!