WHO'S BEHIND THE P-3 "PARTNERSHIP" PASSED BY THE BISD?

By Juan Montoya
On Tuesday, when Ramiro Garza, of RG Economic Advisors, addressed the board of the Brownsville Independent School District to urge them to approve seeking financing for district construction through the Texas Facilities Commission P-3 private-public partnerships program, he left many things unsaid.

He neglected to tell them that he was a former member of the Edinburg Economic Development Council and a former city manager of that city.

He also neglected to tell the board that he was a partner of Noble Texas Builders, a building contractor who has Eddie Lucio III as its legal counsel. (That's Garza second from the left on the photo above and NTB President Rene Capistran on the far right.)

Lucio III is a state representative and also the son of Sen. Eddie Lucio Jr., who supported the legislation to establish the P-3 program in 2015.
Garza has since moved into the private sector as a consultant and economic development advisor. His company is RG Economic Advisors.

Among Garza's partners on the board of NTB Capistran, its president, who landed the multi-million renovation of the old Wells Fargo Bank bought by Cameron County on Levee Street. NTB was also awarded the multi-million contract to upgrade the county's Isla Blanca Park, amphitheater, and pavilions and RV Park there.

Capistran is also a member of the Lone Star Bank Advisory Board, which is interested in participating in the $120-million facilities construction plans of the BISD.

Capistran, by the way, is the brother-in-law of Cameron County Treasurer David Betancourt who is married to Blanca (nee Capsitran), who just happens to be the executive secretary to Pete Sepulveda, the former Cameron County Judge and now full-time executive director of the Cameron County Regional Mobility Authority.

Blanca is Rene Capistran's sister. Her and the county treasurer's son, David Adolfo Betancourt, works for his uncle Rene Capsitran at NTB as a "Project Expeditor."

The participation of these well-connected individuals and the BISD majority's approval of allowing BISD Esperanza Zendejas to seek other "options" leaves many unanswered questions. In fact, BISD board counsel is none other than Baltazar Salazar. His sister Melba is married to Joe Lucio, Sen. Lucio's brother. He,too, is family. Is it any wonder he has been able to snag that $280,000 gig even after he failed to expunge three felony convictions and was hired by the BISD anyway?

Those voting for BISD to see "optional" funding from the private sector are longtime Lucio Jr. supporters Joe Rodriguez, Cesar Lopez, and Phil Cowen who were joined by Laura Perez-Reyes. Cowen's brother Paul used to be Sen Lucio's administrative assistant. In fact, Lopez was sworn into office by the elder Lucio. (See graphic at right.)

Capistran, president of NTB, said he and his partners wanted to pool their knowledge to create what Capistran refers to as a “cradle to grave” process. He also was a major sponsor of a recognition banquet given in honor of Zendejas.

“It is the sum of all our parts that makes us unique,” Capistran, who previously was president of the SpawGlass South Texas Division, told RGVision Magazine. “We build and maintain for the long term. We will be there for anything from changing light bulbs to building an addition.”

Other partners at NTB are Pat Williams, former president of the SpawGlass Austin Division; Alfredo Garcia, former SpawGlass; and Garza.  Williams is vice president and Garcia serves as Director of Operations. Garza has come on board as president.

NTB is the contractor, Capistran has said, while NTB Development handles the up-front economic studies and development process. “The game-changer in what we’re doing is we identify people and we help them with the whole process,” Capistran said. “If someone is contemplating a project, we want to help walk him through the process, help him decide when to do what.”

Under Garza’s leadership, NTB Development identifies projects and developers and works with them to solidify the concept, conduct economic impact studies and research financing options, including tax abatements and other financial incentives that may be available.

“Ramiro comes in and does the economic impact,” Capistran said, noting Garza’s experience as Edinburg city manager where he worked on economic development and negotiated with private companies to locate in that community.

“We have assessed needs around the Valley,” Garza said. “We’re always looking for performance under the umbrella of what we do, advising on the best use of property, financing, building and maintenance.”

Once the groundwork is complete and the project gets a green light, Capistran told the magazine, NTB Development steps in to handle the actual design and building phases, as well as provide maintenance for the facility once construction is complete.

As the project is ready to break ground, the other Noble Texas partners will build on Garza’s expertise to shepherd the project through the construction and maintenance stages. “We offer a good foundation because of everyone’s experience,” Garza said. “A lot of years in multiple disciplines, that’s what we bring to the table.”

Garza told the magazine that NTB group is exploring many other aspects of the Valley economy for opportunities, including the medical and educational fields.

Now that the board majority has give Zendejas and BISD CEO Lorenzo Sanchez carte blanche to enter into construction and financial agreements with Garza and Capsitran, is it so far-fetched to think that Noble Texas Builders and Lone Star National Bank will not have a role in the $120 million in construction and financing of the facilities construction made possible by 11.25-cent increase in property taxes by the BISD board?