Former Fresno Arts Council Employee Investigated in Alleged $1.5M Measure P Embezzlement

Federal and local investigators are probing an alleged $1.5 million misappropriation of Measure P taxpayer funds tied to a now-former employee of the Fresno Arts Council, and City Manager Georgeanne White has moved to end the council’s role in administering the voter-approved arts grant program.

The Fresno Arts Council acknowledged the problem in a late-night statement from Executive Director Lillia Chavez. Chavez said, “The Fresno Arts Council has been the victim of unauthorized financial transactions resulting in the loss of agency funds. We have reported this to the proper authorities including the city, law enforcement, and agency partners. This is a personnel issue that is currently under investigation.” Fresno Police Department investigators and agents from the FBI are reported to be involved in the inquiry.

City Councilmember Annalisa Perea described the councilmember and city response as immediate and personal. Perea said, “The actions of this Fresno Arts Council employee are extremely reprehensible. When we found out about it, our hearts were broken. We can do better than this, and we will.” Perea added that City Manager Georgeanne White notified the Fresno Arts Council that the city would terminate the contract to administer Measure P arts grants, and that the termination was to take effect Feb. 20.

Measure P, approved by Fresno voters in 2018 as a 30-year parks tax, was designed to fund park maintenance and creation as well as recreation, community and arts programs. Under the city agreement, the Fresno Arts Council had been delegated administration and distribution responsibilities for the Measure P arts grant program. With the contract terminated, responsibility for administering the arts grants would likely revert to city officials while the city reviews how Measure P funds were managed.

Local arts leaders and organizations said transparency concerns had surfaced before the alleged embezzlement came to light. Omé Lopez of Dulce Upfront said, “A community of artists, arts-based organizations and cultural organizations has been aware of the lack of transparency for quite some time when it comes to the Fresno Arts Council.” Lopez added a cautious note of optimism: “I have hope for our community of artists and cultural bearers to be able to find commonality in this desire for seeing Fresno as a vibrant city.”

Key questions remain unanswered. No criminal charges have been publicly announced, the identity of the employee under investigation has not been released, and officials have not detailed the timeframe or mechanics of the alleged unauthorized transactions. It also remains unclear if any of the reported $1.5 million will be recovered.

For Fresno residents who voted for Measure P and local artists that rely on its grants, the investigation raises immediate concerns about funding continuity and oversight. City officials have signaled a review of contracts and administration. Expect further announcements from City Manager Georgeanne White, the Fresno Police Department and federal investigators as the inquiry develops and the city moves to restore trust and stabilize grant operations.