South Lake Tahoe mayor resigns after admitting to stealing from church
South Lake Tahoe’s Mayor Tamara Wallace stepped down from her post Monday after revealing Oct. 5 she stole from a church, bowing to pressure from political leaders and residents seeking her removal.
Wallace sent a succinct resignation letter 10:55 p.m. Monday to the City Clerk’s office, according to an email provided by a city spokesperson. She also called for Mayor Pro Tem Cody Bass to leave his position following his arrest on suspicion of verbal and physical abuse.
“I am submitting my resignation to you, effective immediately,” Wallace said in her letter to City Clerk Susan Blankenship. “I urge Mayor Pro Tem Cody Bass to resign as well.”
Shock reverberated statewide last week after Wallace wrote in two local news organizations about her theft from the Lake Tahoe Community Presbyterian Church, where she served as a bookkeeper. She also wrote in her letter about attempting suicide following a series of traumatic events, according to her remarks published in SouthTahoeNow.com and the Tahoe Daily Tribune newspaper.
“Sorry is not a strong enough word to explain the depths of my regret and shame” Wallace wrote Oct. 5 in her letter. “I do not think anyone can be as angry at me as I am at myself.”
Bass, in an emailed statement, maintained his innocence and rebuffed Wallace’s suggestion to step down, writing he will not resign. He expressed gratitude for Wallace’s decision.
“I am unable to speak to or understand the motives behind former Mayor Wallace’s request for my resignation,” Bass wrote. “She has serious challenges ahead, and I hope she continues to receive help for her mental health issues.”
El Dorado County Supervisor Brooke Laine, who represents the area and served on the City Council with the former elected official, also previously called for Wallace’s removal. City Councilmember Scott Robbins, in a letter published on SouthTahoeNow.com prior to Wallace’s resignation, wrote her stamp on any city business “would raise legitimate ethical doubts about corruption in a city that now faces a serious lack of public trust.”
“The nature of her crimes is incompatible with the inherent trust that communities must place in their elected leadership, and her admission leaves no question about her guilt,” Robbins wrote in the letter calling for Wallace to vacate her seat.
Wallace said she hopes to pay back the church every cent she’s taken and help others in a mental health crisis. She said she aimed to use the money to help her dead son’s three children.
Wallace stole more than $300,000 from the Lake Tahoe Community Presbyterian Church, said Philip Dunn, an attorney representing the house of worship to the San Francisco Chronicle. Dunn has not responded to an interview request from the Bee, but the church’s board members wrote that the congregation “suffered an extensive loss” in a statement last week.
The El Dorado County District Attorney’s Office is investigating the theft.
City Manager Joe Irvin declined an interview last week. In a video published on social media, he reassured South Lake Tahoe residents the continuity of city services amid the turmoil. He also said individual city council members do not have access to the city’s finances, and its coffers are managed by himself and the city’s finance director.
“The city remains committed to be transparent,” Irvin said in the video published Oct. 7.
The City Council is scheduled to meet Oct. 21. On the agenda includes reorganizing the City Council to select a new mayor and address vacancies on several boards and commissions after Wallace’s resignation, said Sheree Juarez, a spokesperson for the city of South Lake Tahoe.
The City Council can either call for a mayoral special election or appoint a person to the seat.
This story was originally published October 14, 2025 at 12:15 PM.