Official says Aviation Hall’s reputation hurt by Turner probe

Dayton Republican says goal to develop long-term financial plan.

The president of the National Aviation Hall of Fame has denied a congressman’s allegations of “mismanagement and misappropriation” of resources and assets, and is worried the inquiry could impact a three-year $5 million fundraising campaign for the nonprofit.

NAHF President and Vice Chairman Michael J. Quiello said the nonprofit’s immediate focus is dealing with U.S. Rep. Mike Turner’s pledge to investigate the organization’s finances through a locally appointed “blue ribbon” panel and to restore the reputation of the Hall of Fame in the midst of the inquiry.

The Gates Foundation donated $600,000 to the Hall to hire a Washington, D.C., firm to organize a three-year “Come With Me” $5 million fundraising campaign to build an endowment and pay for more interactive exhibit space, NAHF officials said. The Aviation Hall of Fame is located inside the National Museum of the U.S. Air Force at Wright-Patterson Air Force Base.

Turner, R-Dayton, publicly announced Jan. 25 he would launch an investigation of the nonprofit, which has struggled financially in recent years. In a letter to NAHF chairman William R. Harris Jr., the congressman said his office had “received complaints of financial mismanagement and misappropriation of NAHF resources and assets.” Turner, who says he has worked with the board for years, did not reveal who made the complaints or present evidence to support the allegations.

In a statement released Monday, Turner called on the NAHF to work with the blue ribbon panel of financial, legal, accounting and experts “with the goal of developing a long-term financial plan” for the organization. Three former board members — Wolfgang Dalichau, Zoe Dell Nutter, and William Gunlock — would serve as advisers to the panel, Turner said.

U.S. Sen. Rob Portman, R-Ohio, and U.S. Rep. Rob Bishop, a Utah Republican and chairman of the House Natural Resources Committee, will both appoint liaisons to the panel, Turner said.

‘Struggling to understand’

In his first extensive comments since the allegations of mismanagement, Quiello pushed back and said the statements have harmed the reputation of the Hall, which had its first enshrinement ceremony in 1962.

“The Board of Trustees, who are all very distinguished individuals, are struggling to understand the intent of the letter that went from an investigation, to an inquiry to a now a panel and an investigation that’s finding things when no one has come to the Hall of Fame and looked at records,” he said.

Quiello said he would like the panel to “restore the reputation of the National Aviation Hall of Fame, its board members and its enshrinees and our volunteers” and to engage in the Dayton area to help the Hall with its mission.

“We will work very closely with them if that’s actually what they’re going to try to do,” he said.

Quiello said the all-volunteer NAHF board of astronauts, former generals, and business leaders is a “gold-standard board. We have the best of the best in the aviation business world,” he said.

The NAHF says three independent auditors and two local CPA board members have reviewed the organization’s finances. The organization also has received “outstanding ratings” with the Better Business Bureau and GuideStar, which track nonprofits’ financial data, NAHF says.

Still, the Hall has lost money for years, according GuideStar. In 2015, the organization reported an annual loss of more than $185,000.

Quiello says he is confident the Hall has a business strategy to put it on a path to financial stability. The fund-raising campaign had a vision to turn the Learning Center inside the Air Force museum into a destination location, or a “mecca for aviators,” he said.

Moving the enshrinement

Turner’s investigation follows a decision in December by the Hall of Fame board to move the enshrinement ceremony in October to the Fort Worth Alliance Air Show in Texas, for one year.

The decision followed nearly a year of analysis, which culminated Dec. 15 in a 15-12 vote, according to the NAHF. It will mark the first time the annual enshrinement ceremony will be held outside the Dayton region.

NAHF officials say the decision was meant to broaden the nonprofit’s national reputation while raising money for the organization.

At a closed-door Dec.1 NAHF trustees meeting, state and local officials urged NAHF trustees to keep the event in Dayton. A $100,000 private donation from an undisclosed local contributor to defray expenses was offered as an incentive to stay, documents show.

Ohio House Speaker Cliff Rosenberger also weighed in, both with a phone call during a Dec. 1 meeting and a pair of emails, which the Hall of Fame board released last week.

Quiello said Rosenberger told him in the phone call that if the Hall of Fame pulled the enshrinement ceremony out of Dayton, “you will not be welcomed back.” A spokesman in Rosenberger’s office said the speaker would not comment for this story.

In the two emails, Rosenberger references the $100,000 donation and said certain conditions would have to be met for “current and future financial and logistical support.” Among the conditions outlined in a Dec. 14 email were that NAHF designate Dayton as the permanent spot for the ceremony for at least five years, and provide 12 months notice before any relocation. It also asked for more Ohio and Dayton representation on the board of trustees.

In a second email, received shortly after midnight on Dec. 15, Rosenberger set out different conditions and asked that the ceremony be kept in Dayton in 2017, and at least a six month notice be given to local officials if it was moved in the future.

The board voted to move the ceremony later that day.

More money, bigger crowd

Organizers hope Fort Worth will draw a bigger crowd, attract more sponsors and bring in an additional $200,000, said David S. Brixey, vice president of enshrinement for the NAHF.

“We all have a great deal of allegiance to Dayton,” said Brixey, who lives in Waynesville. “This is where this event has occurred for 54 years and that’s not an easy decision to make that move.”

Brixey said the Hall of Fame could not continue to do the “the same thing over and over and expect different results.”

“This is a national organization, he said. “This is not a Dayton organization, and part of our mission is awareness and part of that is taking the organization to the people rather than the people coming to the organization.”

KEY DATES

Dec. 15: NAHF board votes 15-12 to move the enshrinement ceremony to Fort Worth, Texas.

Jan. 25: U.S. Mike Turner, R-Dayton, announces an investigation into the finances of the National Aviation Hall of Fame.

Jan. 30: Turner releases letters from two NAHF board members — Donald VanDerKarr and Katie McCallum — asking NAHF Chairman William R. Harris Jr., to release documents requested by Turner as soon as possible. In a press release that day, Turner says he has support from VanDerKarr and McCallum to conduct the investigation.

Feb. 1: VanDerKarr and McCallum write the board that they are concerned over what they say is a misunderstanding over their role in the investigation. "I was of the opinion that he was interested in the financial well being of the future for the NAHF and might be able to arrange some Congressional financial support. He did not say this, it was just my thought," VanDerKarr wrote. McCallum wrote: "My understanding of the conversation with Congressman Turner was that he wanted to obtain NAHF's financial records so that he might be able to help support the organization." VanDerKarr, a retired 88-year-old Air Force colonel who lives in Beavercreek, declined comment Monday. The NAHF declined a request for a response from McCallum, saying her letter stands on its own.

Feb. 2: Attorney David C Greer, the attorney for the NAHF, writes to Turner saying he should apologize to Hall officials and retract his "accusations," adding, "The reputation of the organization, its Board members and leaders does not deserve that kind of treatment."

Feb. 6: Turner announces that a blue ribbon will investigate the Hall's finances, and responds to Greer's letter. "A congressional inquiry is not a criminal investigation," Turner said in an interview with this news organization. "(The attorney) is well aware of that. If I believed anything criminal was happening at the Aviation Hall of Fame, I would be referring it to the sheriff."

Feb. 13: Turner releases statement saying the investigation will proceed and asks Hall of Fame officials to cooperate with the blue ribbon panel. Greer says in a letter to Turner that the NAHF welcomes his support and asks that any references to "Congressional investigation" be expunged. "I hope you will agree that the best way to support the mission of the National Aviation Hall of Fame and its place in Dayton's rich aviation history is to put to rest the acrimony reflected in your inquiry," Greer wrote.

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