August 21, 2026
Next week: Newsletter No. 100!! A special newsletter awaits you—one that every resident will want and need to read. So invite your friends. Here are the topics covered in this issue:
- Update—The council chair continues to refuse to publish the land agreement regarding the Lange complex in the historic town center; apparently, there’s something to hide from the residents.
- A brief explanation of where the council’s funds earmarked for residents come from and where they go.
- Underground trash bins—many complaints, problematic management
- Update—The council head continues to refuse to publish the land agreement regarding the Lange complex in the center of the historic settlement; it seems there is something to hide from the residents
📄 What has happened so far?
A few weeks ago, an agreement was signed at a festive ceremony whereby the Open University transfers the leasehold rights to 40 dunams in the Lange complex to the council.
The land itself apparently remains the property of the Israel Land Authority.
By law, any real estate agreement entered into by the council must be approved by the full council—yet this agreement was not brought up for discussion at all (In the past, the Supreme Court has already ruled to invalidate an agreement signed by the treasurer and the current council chair because it had not been approved by the full council).
❗ This is the council’s official response to my request to obtain the agreement:
“Given that there are ongoing proceedings with the tax authorities that have not yet been completed, the agreement cannot yet be made public.”
⚠️ However—if there are tax proceedings underway—this is precisely the time when council members need to see the agreement.
It appears this is an excuse intended to prevent the agreement from being made public.
🚧 Why is this concerning?
The refusal to disclose the agreement heightens concerns that this is a move that is not in the best planning interests of the town center.
In the past, a plan by the landowner—the Israel Land Authority—to build 130 housing units on the parking lot where the Maccabi Purim festival is held was already rejected—is the plan being revived?
⚠️ Additionally: I’ve heard a rumor that the agreement also includes the construction of a hotel with about 70 rooms on the Beit Daniel complex grounds. This is a large hotel that will significantly impact traffic, parking, and public space in the center of the town.
🧭 Zichron Ya’akov residents have a right to know:
- What is going to be built on the Lenga complex
- What has been added to the academic center announced by the council head
- How the project will affect the town center and transportation in the area
- Are there ongoing maintenance costs for the complex?
Hiding the agreement undermines transparency and public trust—especially when it comes to a massive project in the heart of the town.
👀 I continue to demand that the agreement be made public—and you have the right to know as soon as possible what is planned for the town center.
Many of you are asking where the council’s funds come from and how we know where they go. In practice, there are two separate “funds” that finance operations in the community—and each works differently:
🟦 1. The Council’s Annual (Operating) Budget
This budget enables the council’s day-to-day operations across all areas of life and activity, ranging from employee salaries and payments for garbage collection and street lighting to education, social services, and culture. The operating budget is fixed and finalized once council members approve it and the Ministry of the Interior subsequently approves it after reviewing it—council members have no access to or ongoing oversight of this budget. We can request information—but we do not receive it or a status update. I have requested it in the past and was rebuffed.
Responsibility for managing the budget throughout the year lies with the treasurer, who acts as the guardian of public funds and works in the best interests of the residents—not in the interests of the council chair.
🟩 2. Special-Purpose Funds (Extrabudgetary Funds)
Here, council members play a significant role. Most council meetings throughout the year deal with special budgets—that is, the transfer of funds between projects in accordance with changing needs. Any change to an extraordinary budget (budget increase, change of purpose, change of funding source) requires additional approval from council members.
🟧 Important Update on the Budget Shortfall in Development Funds
The council chair sent us an urgent request to transfer funds just 24 hours before the last meeting in order to generate a budgetary source of approximately 1.5 million NIS.
❗This urgency stems from a troubling situation: Although just a month ago (June 23, 2026), we approved 1 million NIS for summer renovations—the development funds simply have no money. This is the inevitable conclusion, since we have not been regularly updated on the status of the development funds, the implementation of approved capital projects, or the Ministry of the Interior’s approval.
Therefore, at the last meeting, we were required to close approved budget items or reduce other budget items to enable the implementation of the urgent projects:
- Summer renovations at educational institutions
- Completion of the drainage project from Azrieli Street toward Halomot Square
🔺Regarding these special budget allocations: In my estimation, the council treasurer worked with the council chair to ensure that these projects would not be carried out without a budgetary source, and he systematically secured a budgetary source for the necessary work. If he did so, he deserves praise.
🔺Regarding the annual budget, the picture is different: Unfortunately, I am accumulating evidence of illegal transfers between budget line items. And I do not know whether the annual budget framework is being adhered to throughout the year or whether there are already deficits.
🧾 A recurring issue regarding the money: Who is supposed to provide answers?
At every meeting where I direct a question to the treasurer—the council chair rushes to answer in his place.
When I send written questions to the treasurer—Deputy Mayor Tzila Reshef is the one who responds, usually with a refusal, claiming that I’ll only be able to see the document if I schedule a meeting with her.
But I’m asking for a professional explanation from the treasurer himself, or from someone in the treasury department. Presenting a document “on the fly,” without the option to photograph it—as if it were state secrets—is not public transparency.
🔍 Why is this troubling?
The residents of Zichron Ya’akov have a right to know how public funds are managed.
When professional answers are withheld, council members are denied readily available access to basic documents, and their ability to obtain information is hindered and their time is wasted — it undermines transparency, public trust, and the ability of elected officials to oversee the integrity of the administration.
For those who want to delve deeper, I’ve prepared a table outlining the difference between the two.
|
Topic |
Regular Operating Budget |
Special Budget |
|---|---|---|
|
Source of Funds |
The authority’s operating revenues: property taxes, fees, levies, revenue from services, regular government subsidies, rental income from council-owned properties, one-time grants, etc. |
Earmarked Sources for Projects: Betterment and development levies on construction, levies mandated by municipal by-laws, authorizations from government ministries, development loans, donations. |
|
Primary Objective |
Day-to-day operation of the authority |
Projects primarily involving public construction, procurement of equipment, development of public facilities and buildings, and renewal of public infrastructure. |
|
Examples of Use |
Employee salaries, cleaning, maintenance, ongoing education, culture, services for residents, senior citizens, social services, schools, landscaping, etc. |
Construction of public buildings such as schools, kindergartens, and parks; road paving; renovation of public buildings; and purchase of equipment for projects. |
|
Flexibility in Use |
Relatively flexible—funds can be transferred between budget items (subject to rules and plenary approval) and priorities can be adjusted |
Almost no flexibility—each special budget is a “closed box” intended for a single purpose only. |
|
Can it be used to cover a deficit? |
Yes, within the framework of the current budget |
No—special-purpose funds may not be used to cover a deficit or for current needs, except with written approval from the Ministry of the Interior |
|
Can the purpose be changed? |
Yes, through internal decisions by the local authority up to a certain percentage; beyond that, plenary approval is required. |
Only by a council resolution to amend the reserve fund |
|
Management of the funds |
Part of the approved annual budget |
is managed in designated funds, with separate accounting for each project until its completion |
|
Frequency |
Renewed annually |
Opened whenever a project begins and remains active as long as the project is in progress or the special-purpose fund is being utilized |
🚨3. Underground trash bins – numerous complaints, problematic management
In recent weeks, I have been receiving inquiries from residents in various neighborhoods regarding malfunctions, a lack of transparency, and inconsistent handling by the council regarding underground trash bins.
The complaints raised include:
⛔ Entering private property without permission to remove an underground trash bin
⚠️ Placement of bins based on the preferences of those with connections rather than the public interest
🚫 Plans to install bins in violation of zoning regulations and construction plans
🧪 Serious sanitation issues resulting from poor placement and operation
🔍 A complete lack of transparency in the management of the system
Important to note:
No comprehensive plan on this issue was presented to council members; there was no genuine public consultation; summaries of the Environmental Quality Committee’s discussions were not published; and there is no clear policy on the council’s website regarding trash collection via underground bins.
👀 I continue to closely monitor this issue