Saturday, February 7, 2015

SO WHO SIGNED OFF ON THE BISD $3.3 MILLION INSURANCE CONTRACT WITHOUT THE BOARD'S APPROVAL?

By Juan Montoya
Former Brownsville Independent School District board president Otis Powers swears he didn't sign the $3.3 million, windstorm, hail, boiler machinery insurance policy with current insurer McGriff and Seibels and Williams of Houston, Texas.
And supporters of new BISD board president Minerva Peña say she hadn't taken office when the contracts were awarded to the company through the BISD administration.
What we do know is that the lucrative insurance award was made to McGriff after Chief Financial Officer Lucio Mendoza took it upon himself to exercise his "fiduciary" responsibility to protect the district.
He sent Superintendent Carl Montoya that opinion in a memo.
That justification, in turn, was approved by Superintendent Carl Montoya and he sent Mendoza an email approving his action.
Based on those decisions, Purchasing director Rosario Peña issued the Purchase Order P238491for made out for $3,277,604.54.
Now, Mendoza, Montoya and Peña all knew that the board of trustees had instructed them to rebid the contact and come back to them for their approval.
Instead, Mendoza – acting, we have heard, on BISD counsel Miguel Salinas' advice – said that since the insurance was set to lapse on January 31, he was countermanding the wishes of the trustees to approve the renewal of the contract o McGriff.
Now we have learned that no less than BISD General Counsel Baltazar Salzar had expressed his opinion that the BISD-McGriff arrangement
constituted a monopoly. Mendoza said that there was no possibility that the district could secure stopgap coverage because McGriff claimed no one could offer anything less than a full year's coverage.
However, a letter sent to the district by the  Klement Agency – one of the bidders who was left out of the running – indicates that McGriff's claim was questionable.
In their missive to the district, Klement tells the district they could secure a stopgap 90 day policy to protect the district while they rebid. Why didn't Mendoza, Montoya and Peña call for a special meeting of the board before January 31 and give them the option? Technically, the bidding process wasn't over because the trustees chose to extend it to give them more options.
Did the BISD administrators and legal counsel who approved the renewal without board action violate the law?
The opinion of most local observers, former board members and other elected officials is that they did and may have amounted to a crime.
Now we hear that Cameron County District Attorney Luis Saenz will not act on the matter unless he has a complaint from a law enforcement agency. In the case of former Cameron County Auditor Mark Yates, who renewed a county insurance company, that resulted in the filing of charges and termination after commissioners questioned why there was no signature on that contract.
Will Saenz follow precedent and do the same? Or have things changed for some reason?


16 comments:

Anonymous said...

Of course things have changed. Yates made a mistake though I think no one thought he did other then act in the counties interest as he saw it but he had pissed off the wrong people and he had no political capital so he paid the price. I haven't a clue what the motivation in this deal was but I don't think it will pass the smell test. Brownsville sure seems a long way from God.

Anonymous said...

If they had gone with the 90 day interim offer, the current agent that administration apparently wanted would have lost the business.

Anonymous said...

Supt. pistol packing Monty Python and Lucio have greased their Palms taking lessons from the local Gypsies. The pesetas will come from the company' s (agent's) commissions. Recording technology does wonders in fighting white collar criminals.

Anonymous said...

Two burglars at work !

Anonymous said...

what is going to happen nothing.
we need a change at BISD!!!!

Anonymous said...

Too many want to be chiefs. Unfortunately, they dont realize that they are nothing more than little indians. (No leaders, just followers).

Anonymous said...

Castro, la sombra de Tonio Tormenta, el fanfarrón del municipio.

Anonymous said...

It was the janitor who gave the order, according to Mendigo Mendoza.

Anonymous said...

According to the NACO Security Agence (NSA .) Supt. Montoya is a fugitive at large. He is moving to San Antone to the Judson ISD. He received a grease bonus from the insurance company. Away he will say his farewells happily running to the bank. Mendigo Mendoza is no where to be seen. Rumors are that he joined Isis. He does look like a Camel Jocky .

Anonymous said...

If Mendoza and Cesar Lopez had something to do with this, we would like to know how much of commission are these two corrupts getting from $3.3+ million?? Cesar is the #1 culprit being that he works with TASB Buyboard/co-op.

Anonymous said...

The rumor is that the Feds are after Sucio Mendoza and Baboso Lopez since they both along with the Escobedo brothers have a conflict of interest since Mercedes ISD. Lopez is in the Buy Board greasing his palms with the ten percent mordida?

Anonymous said...

Are the feds still investigating Lopez, Powers and Sucio Mendoza for a conflict of interest? Who's palms were greazed with the bribes?

Anonymous said...

And you are still stupid ! Get help pendejo .

Anonymous said...

He attended Pendejo High Scool. The Naco was a Pendejo drop-out. After serving in the Marine Corp the Pendejo received his Ph.D. He has written a book about the Pendejo Cult .

Anonymous said...

MendigoMendoza looks like Honest Juan in the pic.

Anonymous said...

Dr. Zendejas named interim supt. She will proceed with a positive agenda and improve the school district.

rita