City Manager Doug Schulze Exposed As Serial Deadbeat And Tax Dodger

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6/4/19 – He proclaims to be an “expert” on running multi-million dollar budgets.

But public record shows that City Manager Doug Schulze seems to be a complete loser when it comes to managing his own money.

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TWO PERSONAL BANKRUPTCY FILINGS

City Manager Doug Schulze has a documented history of being a habitual serial deadbeat and a tax dodger

Documents obtained by the Banning Informer show that Doug Schulze and his wife Lisa filed for bankruptcy not once, but twice.

The first bankruptcy filing was in June of 1999, with the bankruptcy being dismissed in April of 2001, (case # 9907762 – Western Seattle Federal Court). The second bankruptcy filing was in October of 2002, with the bankruptcy being discharged in June of 2004 (case # 0222952 – Western Seattle Federal Court).

Schulze filed for both bankruptcies while gainfully employed as City Manager of the City of Medina, WA.

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IRS LIEN

Public record also shows that Schulze failed to pay his personal taxes. A Federal tax lien of over $11,000 was filed against him by the IRS. It took Schulze over 2 years to pay the IRS.

Again, it doesn’t appear that Schulze fell on particularly hard times and just couldn’t afford to pay his taxes : the lien was filed while Schulze was gainfully employed as City manager of the City of Medina, WA.

Source: King County,WA Recorder’s Office

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THREE FORECLOSURE FILINGS

A review of public filings with King County, WA shows us that, on three different occasions, foreclosure proceedings were initiated against Doug Schulze and his wife Lisa. All three filings were made by different lenders.

Foreclosures were filed against Doug Schulze on the following dates:

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  • January 8, 1998 – creditor: Susan J. Robinson / GE Capital Mortgage (view filing)

 

  • April 7, 1999 – creditor: North Pacific Trustee / First Mortgage Corp. (view filing)

 

  • July, 3, 2002 – creditor : First Mortgage Corp. (view filing)

 

Note that there is something VERY unusual about the third foreclosure filing, initiated on July 3, 2002. This particular document mentions that Schulze had executed the underlying Promissory Note only five months earlier, on February 1, 2002.

It therefore appears that Doug Schulze may not have made even a single payment after signing the Promissory Note. How else can you explain a foreclosure filing only 5 months after loan documents were signed?

This would indicate that Doug Schulze may have acted in bad faith towards the lender, possibly even with the intent to defraud.

So, is Doug Schulze really a man of integrity who just couldn’t pay his mortgage, despite being employed during the entire time? Or is Doug Schulze just another mortgage scamming con-artist who tried to beat the system for his personal financial gain? Decide for yourself.

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TOTAL FAIL : BANNING’S BACKGROUND CHECK

It goes without saying that Doug Schulze did not disclose any of the ugly truth about himself when he applied for the job in Banning.

However, the City of Banning’s HR (Human Resources) Department is supposed to run a full background check on any employee the City hires. But, under the direction of interim City Manager Rochelle Clayton at the time, HR miserably failed at doing their job – because none of the above issues were caught.

As a result of this incompetency, this pathetic loser could sail right through the hiring process, no questions asked, and is now in charge of our City’s multi million dollar budget.

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CONCLUSION

Is it any wonder that City Manager Doug Schulze spends money that the City doesn’t have? Should we be surprised by him hiring an overpriced, sleeping Police Chief, for an unprecedented, obscene salary?

No, we shouldn’t. Now that Doug Schulze’s deceptive smoke screen has been lifted, we can see this self absorbed “expert” for who he really is: a habitual serial deadbeat, a tax dodger and maybe even a mortgage scammer.

No matter which way you slice it: Doug Schulze has shown to be incapable of managing his own money. Let’s not gamble on Banning’s future by putting a habitual serial deadbeat in charge of our tax dollars. It is time for Banning to rid itself of this unelected schmuck.

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