COEUR d’ALENE — A former treasurer for the city of Hauser and former finance director for the city of Rathdrum is on probation for embezzling money from a youth sports league and taking city funds.

Melissa A. Taylor, of Hauser, pleaded guilty in July to three counts of Idaho state income tax evasion and two counts of grand theft. 

First District Judge Scott Wayman sentenced Taylor to eight years in prison but suspended the sentence and placed her on supervised probation for four years. Taylor must also pay nearly $32,000 in restitution and complete 200 hours of community service. 

“What you did is inexcusable,” Wayman said before handing down the sentence. “But you know that. What you've done after that is commendable. You have paid restitution, taken rehabilitative steps and been very serious and diligent about it. By all outward appearances, you are doing much better than you were before any of this took place.”

Between 2019 and 2021, Taylor used her position as volunteer treasurer for the Lakeland Junior Tackle Football program to embezzle funds, according to the Idaho State Tax Commission. She reportedly wrote unauthorized checks from the league’s bank account to herself for cash and to make payments on her personal auto and home equity loans. 

To conceal the theft, authorities said, Taylor presented altered financial reports and account statements to fellow board members at monthly meetings.

Police began investigating the matter in 2022, after officials with the football program reported that they had discovered about $17,500 missing from the general fund. Before the discovery was made, Taylor had reportedly refused to provide bank statements and gave implausible excuses about why she could not produce any.

Taylor stole funds from the football program and from the city of Hauser, where she was employed, according to court records. Prosecutors sought restitution in the amount of $19,697 for Hauser and $11,106 for Lakeland Football Junior Tackle, as well as $1,161 in restitution for the Idaho State Tax Commission.

The city of Rathdrum conducted an audit amid the criminal investigation and found “no significant losses,” court records said.

By failing to report embezzled funds, Taylor willfully evaded taxes on her 2019, 2020 and 2021 Idaho individual income tax returns, according to the Idaho State Tax Commission. 

“Intentionally providing false or incomplete information on a tax return constitutes fraud,” Tax Commission Chairman Jeff McCray said in a news release. "Taxpayers must accurately report all income on tax returns, regardless of the income source.” 

Before receiving her sentence, Taylor apologized for her actions and said she embezzled the funds amid a personal crisis.

“I love my community,” she said. “I like helping people. I just ruined all that with my selfishness and poor choices, not being able to ask for help. That’s what I regret a lot.”