SDN: July 17, 2025

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July 17, 2025

Former city mayor cleared of any wrongdoing

City council publicly sets the record straight

(Marion) -- After months of scrutiny and speculation, a former mayor’s name has been cleared, restoring both his reputation and public trust.

At the most recent meeting of the Marion City Council, Mayor Danny Loyola formally cleared former Mayor Victor Contreras of any wrongdoing related to city finances, bringing closure to a controversy that has lingered for more than a year.

Backing up those findings was City Auditor Phil Vaughan, of Armstrong, Vaughan & Associates.

Loyola, while also acknowledging the hard work of Mayor Pro Tem Kerry Gutierrez -- says thanks to the results of this comprehensive audit, the city affirmed that all funds were accounted for.

“My big thing was with Mr. Contreras, I did tell him at one point, ‘I’ll look at it and if I don’t see anything or the auditor doesn’t see anything, then like, yeah, I’ll just (clear) your name. I don’t have an issue with that at all. (I said) you got put in a real bad situation. And I was like the allegations are crap. As much as myself and Kerry were in the bank account and just looking at everything -- the finances, we didn’t see anything suspicious. But then when you have a party that comes in -- a neutral party that comes in -and he looks at those, all of the accounts, and again, back to 2022 looking at some the 2021-22 (figures), he said the same thing – ‘nothing was found, nothing suspicious was found,’” said Loyola.

Loyola says he felt it was necessary to take the

moment during the public hearing to formally clear Contreras’ name and make things right.

“And I stated to Phil, ‘So, what I’m reading here is that nobody did anything. Nothing suspicious was found. Nothing at all whatsoever.’ And he said ‘nothing.’ So, I was like, okay. And I said, I don’t know if my attorney is going to like this comment or not, but I’m like, I just have a right to declare Mr. Conteras his name. I had said another word; I don’t think I can use it on the radio (or in the paper). But I had said another word, about the allegations being really crappy and that you pretty much ruined somebody’s life for allegations that were untrue. Now, he won’t get his life back from the past few years, but now, people will know that

nothing was taken at all whatsoever,” said Loyola.

During the meeting, Mayor Loyola also read directly from a financial representation letter used in the audit process, which stated the city’s leadership had “no knowledge of any fraud or suspected fraud that affects the entity,” including any communicated by employees, vendors, or regulators.

The document serves as a formal affirmation of clean financial practices from both management and staff involved in internal controls.

Despite earlier confusion and missing documentation that raised public concern, officials now say the discrepancies were the result of recordkeeping errors, not fraud.

“All I know is that in 2021 or late 2020, they ended up getting a software called Frey. (Under FREY, the modules include) BUCS (accounting) (CHIPS, payroll) and Cubic (utilities). And those are either your payroll services that we use internally or your utility services. Well, with the turnover rate going on, we found out that there was very little training on the system. So, somebody would work on it and six months (later), they would leave. Somebody would come in, but they wouldn’t get the training for it. They were just kind of guessing at what would be done. With it, we did figure out the bank, like certain things were repaid out of other accounts, which we had already established, and we knew that,” said Loyola.

Mayor, pg. 3

Local flood victims sound off at Seguin City Council meeting

(Seguin) -- The Seguin City Council is getting an earful from residents who were flooded out of their homes during the recent rainfall in the area.

Several flood victims publicly spoke during Tuesday night’s meeting of the Seguin City Council.

All of the residents live in areas along Baxter Street north of the railroad tracks, and in another area along Leonard Lane west of the HEB shopping center.

Veronica Sauceda lives on Baxter Street and says the water came up into her home. She told the council they don’t have money to make repairs and questioned future help.

“Will Guadalupe County be on the FEMA list so that we can get help?” said Sauceda.

Melissa De La Garza spoke on behalf of her parents who live on Leonard Lane. De La Garza says this is a problem that has been years in the making. She says they have long complained that the storm drains in the area were not being properly maintained.

“We were devastated when we received a call from our neighbors stating that the water was quickly rising and it had already entered our homes. We had only been gone for about 36 minutes when we received the phone call. I’m sure for some, this may have come as a surprise, but for my husband and I, it was something we prayed would never happen because when we shared concerns with high water in our area, we were made to feel as if our concerns didn’t matter,” said De La Garza.

Shayna Flores also lives on Leonard Lane. She says they understand that the rainfall was heavy that day, but she says the problem was made worse because water had nowhere to go and because the drains were not properly maintained.

“We have kept being told this is an act of God. The act of God is the rain, but the act of God is not the negligence of the maintenance of these drains, and that has now caused flooding in our home. I have lived in the same home for over 40 years. This has never happened – ever. Has our home flooded? It has come up the backyard. It has been reported. Nothing has ever been done. Those drains are never maintained,” said Flores.

Armando Rodriguez is also one of the neighbors who lives on Leonard Lane. He was out of town during the storm but returned to find his home flooded.

“We had over a foot of water inside of our house, and we were out of town at the time. We have a miniature Dachshund and a Chihuahua that were trapped inside the house, and we had to get them rescued. Luckily, we had some really good friends that went in there and got them. They didn’t know if they were going to get electrocuted or anything else -- if it would have made it up to the sockets and everything on the walls,” said Rodriguez.

City Manager Steve Parker says the city has already requested help from the federal government, and they hope

that assistance will soon be on the way to help people recover from that flooding.

“We are trying desperately to get a federal designation for, flood relief so we can get these homes repaired, because it is very important to us,” said Parker.

Parker says they are also trying to be proactive when it comes to drainage problems across the city. He says they have dedicated staff to work on drainage maintenance projects. He says it will take some time, but they are actively working to improve the overall drainage in the city.

“We’ve been in the process of developing a drainage utility. Before, there was no funding available for drainage projects, and over the last two years, we’ve been developing that plan. We’re working on drainage master plan projects and then there’s got to be that cost benefit analysis --which projects with the amount of money that we have do we do first? Then actually having maintenance personnel (to do the job). Right now, we’re pulling people off other teams, street maintenance and so forth to go fix drainage (issues). We are going to have teams that are actually dedicated (to the work), and that’s all they do is work on drainage utility projects in the future and make sure they’re maintained,” said Parker.

Parker says even if all the drainage systems are functioning, there may still be times when they could be overwhelmed by Mother Nature.

“Unfortunately, it is a major rain event that happened. Not much water probably coming in as you know, compared to Kerrville. They said there was so much water coming over, (like) Niagara Falls in an entire day. Those things happen. Sometimes, it just happens in the wrong spot at the wrong time. No drainage infrastructure can guarantee that you’re not going to ever flood, but we’re going to make sure, we do our best to make sure that we’re going to minimize that to the best degree possible, “said Parker.

City of Seguin and Guadalupe County officials have requested state and federal help for people who suffered damage during the Fourth of July weekend flood events.

The council took no formal action Tuesday night, because the item was not on the agenda. Staff said it will continue to work to find solutions to help those people affected by the flooding.

Darren Dunn

Mayor, continued.

While submerged in the audit process, Loyola says much of the public’s suspicion lied in the inability to account for COVID relief or ARPA funds.

But as this paper trail unfolded, Loyola says it became clear that there was no fraud.

“One of the things that we also needed was the big one -- the ARPA funds, the Covid fund. Where did those go? Well, I ended up going in there, to the city secretary’s office figuring out what I needed for the ARPA funds. And it was like, okay, I need to really figure this out because we’re missing those funds. (And we) might have to end up paying those funds back if we can’t find that money. I remember going into the filing cabinet, grabbing a folder that read Cares Act, and somebody above me must have been looking to take care of me because I saw a piece of paper fall out, and it was something that Victor put together, and it had said ARPA funds, and it had a word document that he created on his own. And it had when (and where) he spent the money, how much was deposited and who we spent it with. And it was like, oh boy, look at that! Of all the papers that fell out, that one paper fell out. So, I ended up writing a 66-page report that I gave to the incoming councilman in December. Come to find out, we still had some remaining (dollars and) we were able to use it not too long ago. We’re compliant with reporting with the government,” said Loyola.

Contreras, who was on vacation at the time of the meeting, told the Seguin Daily News that he would just let the facts speak for themselves.

He says he always knew that the facts were on his side. Meanwhile, Loyola credited a now united city council, along with a team of CPAs and bookkeepers for providing the answers that they needed.

He says they all sorted through two years of backlogged records.

He emphasized that this effort not only restored Contreras’ reputation but also justified his own actions that had come under scrutiny following his election.

He says he is pleased that they were able to come together over a relatively short period of time to bring closure to the unfounded claims that were made more than a year ago.

“We had to reach out to him (auditor). We’re like, hey, we’re going to need to do an audit. What do you need from us to do the audit? We’re so far behind. What do you need? So, he gave us, I don’t know how many pages of documentation that we needed. He said you could get 2022 done. Once you get 22 done, (then) 2023 and ‘24 should be easily done. It sounds pretty simple, but it wasn’t as easy as that because there were a lot of records that were not there, financial records that weren’t there. We just had to go out and get them. That’s all we had to do. We just had to roll our sleeves up and say, ‘hey, can I get this invoice? I need this bank statement.’ We had to just do some research on the computer. And everybody was very helpful with that. And they sent us invoices. They were sending us all kinds of information, whatever Phil needed. That’s what we gave him,” said Loyola.

The mayor acknowledged the city had no dedicated financial director during the time in question, which contributed to the issues.

However, the city has since implemented new accounting procedures and a financial “safety net,” with plans for ongoing cross-training to prevent future lapses.

“I do get to go around, and I do get to see the other cities, how they operate. And they don’t have a financial director. And if they do, it’s somebody that charges quite a bit. So, they only use them very little. They’re just lucky if somebody has a finance background. I think that’s what helps with our council is that I have certain individuals that do have backgrounds that do help. But they understand it. They understand a lot better than I do, but they’ve been doing it for a little bit. I mean, I have a guy that’s in the water (business). I have a person that’s in business. I have another one that worked with the bank or did work at the bank, but they have budgeting experience and they have a financial background. So that definitely helped with a lot of this stuff,” said Loyola.

Not only was it necessary to clear former Mayor Contreras’ name, but Loyola says it necessary -- in the end -- for the city to also balance its books and take steps to move forward on a path towards fiscal responsibility.

In fact, he says last year it showed that the city of Marion was under budget, and the council had already allocated some funds for future projects.

Getting the city’s finances in order is just one step in addressing the broader challenges Marion has faced in recent years.

Before the most recent election, the town was marred by internal conflicts and political infighting during both Contreras’ and Loyola’s terms.

These issues led to unfilled vacancies on the council, a string of resignations, and a city council that struggled just to meet or take any action for months.

The lack of consistent council meetings also left the city without proper oversight, compounding administrative and operational issues such as its overall financial picture.

But now with things back in order, Loyola says he anticipates a much stronger and resilient city of Marion.

VITAL STATISTICS

Arce

Lilia “Lilly” Mireles Arce, a devoted mother, grandmother, and woman of faith, passed away peacefully on July 5, 2025, surrounded by her loving children. She was 89 years old.

Born in San Ygnacio, Texas, on October 18, 1935, Lilia lived a life of strength, love, and quiet determination. After the passing of her husband in 1977, she took on the role of both mother and father, raising her three children — Cindy Arce Shaddix, Alfredo Arce and Rene Arce — with courage, sacrifice, and unwavering dedication.

Lilia built a strong career as a bank teller, working tirelessly to provide for her family. Her work ethic and resilience were an inspiration to all who knew her.

A devoted Catholic, Lilia lived her faith daily and raised her children with the same values that guided her: kindness, compassion, humility, and strength. Her deep belief in God sustained her through life’s challenges and was evident in the way she loved and cared for others.

Preceding her in death is her husband, Alfredo Arce, her daughter, Diana Arce, her parents, Vivana (Gutierrez) and Francisco Mireles, her brothers, Ricardo Mireles, Francisco Mireles, and Adrian Mireles, and sister, Angelina M. Wise.

She is survived by her three children, Cindy Shaddix and husband, Tom, Alfredo Arce and wife Vickie and Rene Arce; her cherished grandsons: Xan Arce, Quinton Arce, and Gavin Shaddix; numerous nieces, nephews, other loving family members and close friends; and her beloved pets, Chico and Sophie. Her legacy of love, faith, and perseverance lives on in them.

Barnett

James Roy Barnett, age 72 of Selma, passed away on May 29, 2025. Roy was born on February 16, 1953 in Beebe, Arkansas to Virginia (Ferguson) and Forrest Barnett.

Roy grew up in San Antonio and graduated from Roosevelt High School Class of 1971. He has owned and operated the Deer Crossing Saloon in Selma since 1997. Roy was a past member of the Evolution Motorcycle Club in Schertz. Currently he enjoyed “Vintage Cars”.

Her warm smile and infectious laughter brought comfort to friends and family alike, and her home was always a welcoming place filled with care, conversation, and the aroma of homemade meals.

Often found with a cup of coffee in one hand and a cigarette in the other, Lilia continued to nurture those around her with wisdom, encouragement, and unconditional love. The lives she touched will forever be enriched by her kindness and the example she set of faith, generosity, and quiet strength. Though she will be deeply missed, her spirit endures in every act of compassion and every echo of laughter shared in her memory.

Lilia will be remembered not only for her gentle spirit and steady presence but also for the sacrifices she made and the lives she shaped with grace and quiet dignity.

Visitation will be held on Monday, July 21, 2025 from 5 to 7 p.m. at Tres Hewell Mortuary Chapel with remarks at 6 p.m. Visitation will resume on Tuesday, July 22, 2025 at our Lady of Guadalupe Catholic Church at 10 a.m. followed by the Mass of Christian Burial at 10:30 a.m. Interment will follow at St. James Catholic Cemetery.

Serving as pallbearers will be Xan Arce, Quinto Arce, Gavin Shaddix, Bobby Wise, Francisco Mireles, and Lark Miller.

A reception will be announced.

The family would like to thank Maria Mancinas, Norma Garza and Advanced Hospice for their loving care.

In lieu of flowers, donations may be made to the Community Foundation of the Texas Hill Country, https://www.communityfoundation.net.

You are invited to sign the guest book at www.treshewell.com. Arrangements are under the direction of Tres Hewell Mortuary, 165 Tor Dr., Seguin, Texas, 78155, 830-549-5912.

He is preceded in death by his parents and his brother Steve.

He is survived by his niece Jennifer Long and husband Joshua Hanson; nephew, Joshua Barnett and wife Lacey; five great nieces and nephews; life partner, Janis Hawthorne; business associate and friend, Kristy Reinhard; other loving family members and a host of friends.

A celebration of his life will be held on Saturday, July 19, 2025, beginning at 10:30 a.m. at the Deer Crossing Saloon, 4810 FM 1518, Selma, Texas, 78154.

Memorial contributions may be made to the charity of one’s choice.

You are invited to sign the guest book at www.treshewell.com. Arrangements are under the direction of Tres Hewell Mortuary, 165 Tor Dr., Seguin, Texas, 78155, 830-549-5912.

VITAL STATISTICS

Gunter

Marjorie Dell Whitt Gunter, age 90 of Seguin, died peacefully under the care of GRMC Hospice on July 4, 2025. Marjorie was born in Goldthwaite on October 17, 1934 to Edith (Stark) and Austin Whitt. She was raised in Big Valley, Texas.

On December 31, 1955 she married Bill Gunter. Their daughter Martha was born in Bryan, Texas while Bill attended Texas A & M University. Bill’s career was in soil conservation services and as a result they lived in several communities throughout Texas including Dalhart, where son Bob was born, also Wheeler, and Liberty and moved to Seguin in 1977. For twenty years Marjorie worked at Guadalupe Regional Medical Center in Seguin, completing her time there as the Business Office Manager. Marjorie and Bill were members of the New Braunfels Church of Christ.

She is preceded in death by her loving husband of 48 years, Billy Joe Gunter, her grandson, Randal Kyle Atkinson, her parents, her sister, Eleanor “Ruth” Sides and husband Louvelle, and her brother, William “Bill” F. Whitt.

Survivors include her daughter, Martha Gunter Atkinson; son, Robert Whitt Gunter and wife Alicia; grandchildren, Darryn Atkinson, Jacob Gunter and wife Sharon, Caleb Gunter and wife Hillary, Rebekah Gunter Mesa and husband Tobey, Joseph Gunter, Rachel Gunter, Daisha Gunter, Sarah Gunter, Michael Gunter and Daniel Gunter; thirteen great-grandchildren; sister-in-law, Joy Whitt; nieces, nephews, other loving family members and friends.

A memorial service celebrating Marjorie’s life will be held on Saturday, July 26, 2025 at 1 p.m. at the Goldthwaite Church of Christ with Mr. Marvin Whitt officiating. A reception will follow. Private interment will be held in the Goldthwaite Memorial Cemetery.

Marjorie loved her family with all of her heart, and did her best to spoil each and every grandchild and great-grandchild. She was loved and will be missed by many.

Memorial contributions may be made to Cherokee Home for Children, 13355 TX-16, Cherokee, Texas, 76832, or Guadalupe Regional Medical Center Hospice Services, 1215 E. Court St., Seguin, Texas, 78155.

You are invited to sign the guest book at www.treshewell.com. Arrangements are under the direction of Tres Hewell Mortuary, 165 Tor Dr., Seguin, Texas, 78155, 830-549-5912.

Medical Debt To Stay On Credit Reports

(Plano, TX) -- Medical debt will remain on credit reports after a federal judge vacated a Biden-era rule. The Consumer Financial Protection Bureau rule would have removed the debt, however, the judge found that the rule exceeded the bureau’s authority under the Fair Credit Reporting Act. An estimated 49-billion-dollars in medical bills would have been removed from the credit reports of about 15 million people. It would have also banned lenders from using certain medical information in loan decisions.

Flesh-Eating Bacteria Claims Life In Florida

(Tampa, FL) -- Florida health officials are reporting four deaths this year from a rare, but dangerous flesh-eating bacteria found in a mixture of warm seawater and river water, water and raw seafood. Officials say the bacteria can infect open wounds or be contracted through undercooked shellfish. The state has confirmed eleven cases so far in 2025, and while infections are uncommon, they can become life-threatening if not treated quickly. Last year, the Tampa Bay area saw a spike in cases following Hurricane Helene -- with 82 infections and 19 deaths statewide.

Kennedy: U.S. Ice Cream Makers Eliminating Bad Dyes

(Washington, DC) -- Major ice cream makers in the U.S. are eliminating artificial food dyes from their products by 2028. Health and Human Services chief Robert F. Kennedy Jr. is thanking the manufacturers for getting on board with his latest push to eliminate “bad” dyes from food production. Kennedy says he’s a big fan of the dairy industry and will soon be announcing new dietary guidelines promoting whole milk, cheese and yogurt. He said those items have been unfairly “attacked” over the past decades.

Accidental Nicotine Ingesting Increasing

(Washington, DC) -- A dramatic spike is being reported in the number of young children accidentally ingesting nicotine. A new study in the journal Pediatrics says that since 2020, there’s been a 736 percent increase in young kids ingesting nicotine pouches like Zyn. Doctors write that children who get a hold of pouches are two times more likely to be admitted to the hospital compared to other forms of nicotine. The chemical increases heart rate and blood pressure, and could lead to nausea, vomiting or even coma.

July

CMA Summer Strings and Vocal Arts Camps

The TLU Community Music Academy will be hosting its Summer Strings and Vocal Arts Camps on July 14–18 at the TLU Schuech Fine Arts Center. The Strings Camp will run from 9:00 a.m. to 12:30 p.m. and includes instruction in violin, cello, and orchestra (no guitar). The Vocal Arts Camp will take place from 1:30 to 5:00 p.m. Both camps are open to students in grades 2–6 and welcome beginners. Registration is open from April 21 to July 14, and the fee is $125 with discounts available. For more information and to register, visit www.tlucma.org.

Gabe Galvan Band

The Silver Center will be hosting Gabe Galvan Band at 7:30 p.m. on July 25th at the Crystal Chandelier Ballroom. Doors open at 6:30 p.m. Presale tickets are $10 by calling 830-303-6612. Tickets are $15 at the door.

Celebration of Life Rally and Family Fun Day

The Precious Life organization will be hosting the Celebration of Life Rally and Family Fun Day from 12 p.m. to 2 p.m. on July 26 at the Seguin Elks Lodge, located at 1331 C. H. Matthias Jr. Admission is free, and the event will feature free games, entertainment, and door prizes for the first 100 children. Vendor opportunities are available at no charge. For more information, call 830-3725980.

Texas Women of Influence Conference Slated for July 31

The Seguin Area Chamber of Commerce will be hosting the 2025 Texas Women of Influence Conference on July 31 at Geronimo Oaks Weddings and Events Venue, located at 1377 Dietert Road in Seguin. Organized by the Chamber’s Women’s Conference Planning Committee, the event aims to celebrate and empower women leaders across Texas. Further details, including registration and programming, will be announced closer to the date.

August

No Sew Mini Art Quilt Class at Seguin Art League

The Seguin Art League will be hosting a No Sew Mini Art Quilt class at 1 p.m. on August 2 at the Seguin Art League. The class runs until 4 p.m. and is open to individuals aged 14 and older, with a maximum of five students. The $40 fee includes prepared cloth, background, and a template provided by the instructor. Students will complete and take home a framed Dragonfly Art Quilt. Participants should bring their own sharp scissors; an iron is optional. For more information, visit 104 S. Austin Street in Seguin or call 830-305-0472.

Beginning Watercolor Class at Seguin Art League

The Seguin Art League will be hosting a Beginning Watercolor class at 1 p.m. on August 12 at the Seguin Art League. The class runs until 4 p.m. and will focus on mixing colors and color theory. Students will create and take home a watercolor color wheel for future reference and receive instruction on brush care, gradient washes, and basic watercolor techniques. The class is limited to five students and costs $35, with all supplies included. For more information, call 830305-0472 or visit 104 S. Austin Street in Seguin.

Singo Fundraiser: Music Through the Decades

The Seguin Sunrise Lions Club will be hosting the Singo Fundraiser at 4 p.m. on August 9 at the Silver Center. Themed “Music Through the Decades,” the event will feature five rounds of music bingo highlighting hits from the 1950s through the 2010s. Tickets will be sold in advance for $20.

Gabe Galvan Band

The Silver Center will be hosting Gabe Galvan Band at 7:30 p.m. on August 22nd at the Crystal Chandelier Ballroom. Doors open at 6:30 p.m. Presale tickets are $10 by calling 830-303-6612. Tickets are $15 at the door.

September

Bimbo

The Silver Center will be hosting Bimbo at 7:30 p.m. on September 12th at the Crystal Chandelier Ballroom. Doors open at 6:30 p.m. Presale

tickets are $10 by calling 830-303-6612. Tickets are $15 at the door.

Gabe Galvan Band – September 26

The Silver Center will be hosting Gabe Galvan Band at 7:30 p.m. on September 26th at the Crystal Chandelier Ballroom. Doors open at 6:30 p.m. Presale tickets are $10 by calling 830-3036612. Tickets are $15 at the door.

October

The Merles

The Silver Center will be hosting The Merles Band at 7:30 p.m. on October 10th at the Crystal Chandelier Ballroom. Doors open at 6:30 p.m. Presale tickets are $10 by calling 830-303-6612. Tickets are $15 at the door.

Gabe Galvan Band

The Silver Center will be hosting the Gabe Galvan Band at 7:30 p.m. on October 24th at the Crystal Chandelier Ballroom. Doors open at 6:30 p.m. Presale tickets are $10 by calling 830-3036612. Tickets are $15 at the door.

Riverside Cemetery Tour

Representatives of the Seguin Women’s Clubs will be hosting the Riverside Cemetery Tour on Saturday, October 26. This year’s tour highlights the stories of women who lived and worked alongside the men who established the Seguin community. Guests will meet historical figures among the shady Live Oaks at their gravesites and hear firsthand accounts of life along the Guadalupe River, from early days to recent history. Ticket proceeds benefit the Delphians, Seguin Study, and Shakespeare clubs, supporting the upkeep of their historic meeting house built in 1903.

To ensure non-profit organization’s meetings and events appear in this calendar, send information to: communitycalendar@kwed1580.com, or drop off the information at the Seguin Daily News/KWED offices located at 609 E. Court St. in Seguin. For best results, submit information at least two weeks prior to the event.

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