City councilman faces new questioning on ties to garbage company

Friday, Jan. 28, 2000 | 12:11 p.m.

The agency set a March hearing to consider conflict-of-interest allegations.

McDonald is accused of failing to disclose his ties to certain Silver State employees before a July 12 vote on a company contract, then misrepresenting his relationship with one of the employees.

Following a closed-door 3 1/2 -hour meeting Thursday, McDonald maintained his innocence.

"Now I get to tell my side of the story," McDonald said. "This is democracy at its finest."

Former City Councilman Steve Miller brought the complaint against McDonald, who has twice defeated Miller for the city council seat.

Miller said he was satisfied with the commission's decision for a full hearing.

McDonald voted last July to approve a 15-year franchise extension for Silver State. The city contract, combined with one granted by the Clark County Commission, extended Silver State's monopoly in handling residential and commercial garbage until 2021. The contract is worth an estimated $100 million per year.

The extension drew criticism since Silver State already had a contract running through 2006.

Before the July vote, McDonald made a reference to Silver State's campaign contributions to his re-election campaign. He received $36,800 from the company and its related entities.

McDonald did not mention his friendships with Silver State President Steve Kalish, who hosted a February fund-raiser for McDonald, and with General Counsel Robert Groesbeck, the former mayor of Henderson.

McDonald also did not reveal his dating relationship with Jennifer Simich, who performs community relations work for Silver State. In a letter signed by his attorney, Louis Palazzo, McDonald claimed that he dated Simich for two months ending in February 1999.

But McDonald has been seen with Simich in various public appearances since February.