In an email sent to city officials Monday night, including the city manager and city attorney, Wallace submitted her resignation and called on Mayor Pro Tem Cody Bass to also step down due to his own ongoing legal issues.
Wallace’s resignation comes as the El Dorado County District Attorney’s Office investigates her conduct involving funds taken from the Lake Tahoe Community Presbyterian Church, where she worked as an administrator. She has publicly acknowledged taking the money, expressed deep guilt, and said she sought mental health treatment. Wallace also stated her intention to repay the church.
City officials say government operations will continue as normal. The South Lake Tahoe City Council is scheduled to meet on Oct. 21 to select a new mayor and determine how to fill Wallace’s open council seat.
