By Joe F. Rodriguez
I will preface my essay by stating that it is directed at the fiscal and not the academics of Board of Trustees responsibility.
Per the Texas Association of School Boards (TASB), School boards are elected locally to ensure that the schools in that community are governed and operated properly—both fiscally and academically.
Since school districts rely on public funding, school boards are accountable to the public for how they
spend district funds. All action conducted by the board is public record.
“Transparency and Openness” in all forms of government is what strengthens our democracy. They
both promote accountability and provide the taxpayers a vehicle to see where and why our tax dollars
are being spent.
I viewed the “Finance Committee Meeting – April 3, 2019” online to review Agenda Item #6 “Consideration/Discussion of Renewal of Agreement between San Benito CISD and Absolute
Business Consulting Group for the 2019-2020 School Year” Videoof Finance Committee Meeting – April 3, 2019 https://tinyurl.com/y6y64ys3
Below is a verbatim question and answer between Trustee Mendez and Superintendent Dr. Carman
re Agenda Item #6.
Trustee Mendez question:
“Do we have a letter of Agreement or Memorandum of Understanding (MOU) that depicts what they
are doing for us? What is the tangible product and benefit to the district?”
Superintendent Dr. Carman response:
“Yes, we do have an MOU I don’t see it attached to this measure if they did sent one for next year, We have one for the current year. “
Later on Trustee Mendez requested to Superintendent Dr. Carman:
“Please bring in the “Engagement Letter” or the “MOU” so that we can really look at it and see what ind of services are being provided and that way we can be transparent on that part.”
Superintendent Dr. Carman response to Trustee Mendez request:
“Yes I will make sure by the time the board book goes out for Tuesday’s (April 9, 2019) meeting that
the MOU and “Engagement Letter” are in there. It will be in there.”
Having heard that verbal exchange between Superintendent Dr. Carman and Trustee Mendez, on
Thursday April 4, 2019 I submitted via email a Texas PIA request as follows: “Current Memorandum
of Understanding (MOU) in relation to the current contract between San Benito CISD and Absolute
Business Consulting Group expiring on April 10, 2019.
On Monday April 8, 2019 I received the following response from the Interim PR Director: “There is no documentation responsive to your request.”
Needless to say, “Where is the openness and transparency? and What are they hiding?
“Do we have a letter of Agreement or Memorandum of Understanding (MOU) that depicts what they
are doing for us? What is the tangible product and benefit to the district?”
Superintendent Dr. Carman response:
“Yes, we do have an MOU I don’t see it attached to this measure if they did sent one for next year, We have one for the current year. “
Later on Trustee Mendez requested to Superintendent Dr. Carman:
“Please bring in the “Engagement Letter” or the “MOU” so that we can really look at it and see what ind of services are being provided and that way we can be transparent on that part.”
Superintendent Dr. Carman response to Trustee Mendez request:
“Yes I will make sure by the time the board book goes out for Tuesday’s (April 9, 2019) meeting that
the MOU and “Engagement Letter” are in there. It will be in there.”
Having heard that verbal exchange between Superintendent Dr. Carman and Trustee Mendez, on
Thursday April 4, 2019 I submitted via email a Texas PIA request as follows: “Current Memorandum
of Understanding (MOU) in relation to the current contract between San Benito CISD and Absolute
Business Consulting Group expiring on April 10, 2019.
On Monday April 8, 2019 I received the following response from the Interim PR Director: “There is no documentation responsive to your request.”
Needless to say, “Where is the openness and transparency? and What are they hiding?
As the SB News has reported, the San Benito CISD Board of Trustees approved a new contract between the San Benito CISD and Absolute Business Consulting Group (ABC Group) at their Regular Board Meeting on Tuesday April 9, 2019.
On April 16, 2019, I submitted via email a Texas PIA request for the following: “Current Memorandum of Understanding (MOU), Letter of Engagement, and signed Contract between San Benito CISD and Absolute business Consulting Group (ABC Group) approved by The Board on April 9, 2019.”
On April 29, 2019 I received the following response in regards to my request for the “Current
Memorandum of Understanding (MOU)” and “Current Letter of Engagement” stating “There is no
documentation responsive to your request”.
This shocked me because as documented above that at the April 3, 2019 Finance Committee
Meeting Superintendent Dr. Carman is on record saying “Yes, we do have an MOU I don’t see it
attached to this measure if they did sent one for next year, We have one for the CURRENT YEAR. “
Dr. Carman is also on record saying ““Yes I will make sure by the time the board book goes out for
Tuesday’s (April 9, 2019) meeting that the MOU and “Engagement Letter” are in there. It will be in
there.”
There are two possible conclusions here; (1) I am being lied to about “there is no documentation
responsive to your request” and/or (2) Trustee Mendez and the rest of the Finance Committee were
lied to about an existing “Letter of Engagement” and/or Memorandum of Understanding (MOU) for the contract expiring on April 10, 2019.
In regards to the amended two-year and approved contract (link below) on May 9, 2019, there are some interesting contract items that attracted my attention. https://tinyurl.com/y4z74coc
I am not an attorney but have had enough experience negotiating contracts (with legal assistance)
that I do have some knowledge of contracts. What gained my attention were the following Sections of
the Contract.
SECTION V TERMINATION OF CONTRACT………“In order to terminate this agreement prior to the contractual expiration of the contractual period, both parties must mutually agree to do so, in writing executed by both “ABC GROUP” and “DISTRICT.” If agreement is terminated prior to the contractual expiration of the contractual period, the remaining monthly fee as specified in Section IV shall be paid in full for the total number of months that remain for the contract period.”
In layman terms, I am interpreting that “Section V Termination of Contract” allows ABC GROUP to be paid the entire contractual period (24 months) amount if both parties agree, in writing, to terminate the contract before the end of the contractual period.
In plain English, the taxpayers pay ABC GROUP the remaining total number of months in the 24 month contractual period total of $216,000 even if the contract is mutually terminated any time before the end of the 24 month contractual period. It’s a good deal for the vendor but not so much for the taxpayer.
SECTION III TERM OF CONTRACT…….”This contract shall be for a period of two (2) years,
beginning on the Approval Date by the Authorized Representative of the “DISTRICT” and the
Execution by Signature of this agreement by all parties and ending two (2) years from that date.
Unless prior to ninety (90) days before the Expiration Date, “DISTRICT” or “ABC GROUP” notifies the other in writing that it does not wish to continue this Agreement beyond its initial term, this Agreement shall be automatically extended in its entirety without the necessity of any further action by either party.
In the absence of any such ninety (90) day notice by either “DISTRICT or “ABC GROUP,” this
Agreement shall continue to automatically renew in its entirety.”
Basically, this means that if the DISTRICT does not notify in writing prior to 90 days before the two (2) year contract expires, the two (2) year contract is automatically extended with no action required by the Board of Trustees.
None of these terms or the entire contract in general was discussed in detail by either the Finance
Committee or the Board of Trustees. It makes me wonder if the Board of Trustees even knew what
they were approving. My impression from the questions asked was that it would be a one year
contract renewal.
FYI, the motion to approve the renewal of the contract with Absolute Business Consulting Group and
the SB CISD was made by Board President Michael Vargas and seconded by Trustee Orlando Lopez.
The time has come for every level of Texas government – state, counties, cities, and school districts –
to fully reveal themselves to those footing the bill. Taxpayers deserve, and should demand, more
authority in how government spends tax dollars. Only then can we return the reins of power back to
rightful owner: the taxpayer.
Again, “Where is the openness and transparency?” and “What are they hiding?”
One-Year Contract approved April10, 2018 https://tinyurl.com/y6m53b5t
On April 16, 2019, I submitted via email a Texas PIA request for the following: “Current Memorandum of Understanding (MOU), Letter of Engagement, and signed Contract between San Benito CISD and Absolute business Consulting Group (ABC Group) approved by The Board on April 9, 2019.”
On April 29, 2019 I received the following response in regards to my request for the “Current
Memorandum of Understanding (MOU)” and “Current Letter of Engagement” stating “There is no
documentation responsive to your request”.
This shocked me because as documented above that at the April 3, 2019 Finance Committee
Meeting Superintendent Dr. Carman is on record saying “Yes, we do have an MOU I don’t see it
attached to this measure if they did sent one for next year, We have one for the CURRENT YEAR. “
Dr. Carman is also on record saying ““Yes I will make sure by the time the board book goes out for
Tuesday’s (April 9, 2019) meeting that the MOU and “Engagement Letter” are in there. It will be in
there.”
There are two possible conclusions here; (1) I am being lied to about “there is no documentation
responsive to your request” and/or (2) Trustee Mendez and the rest of the Finance Committee were
lied to about an existing “Letter of Engagement” and/or Memorandum of Understanding (MOU) for the contract expiring on April 10, 2019.
In regards to the amended two-year and approved contract (link below) on May 9, 2019, there are some interesting contract items that attracted my attention. https://tinyurl.com/y4z74coc
I am not an attorney but have had enough experience negotiating contracts (with legal assistance)
that I do have some knowledge of contracts. What gained my attention were the following Sections of
the Contract.
SECTION V TERMINATION OF CONTRACT………“In order to terminate this agreement prior to the contractual expiration of the contractual period, both parties must mutually agree to do so, in writing executed by both “ABC GROUP” and “DISTRICT.” If agreement is terminated prior to the contractual expiration of the contractual period, the remaining monthly fee as specified in Section IV shall be paid in full for the total number of months that remain for the contract period.”
In layman terms, I am interpreting that “Section V Termination of Contract” allows ABC GROUP to be paid the entire contractual period (24 months) amount if both parties agree, in writing, to terminate the contract before the end of the contractual period.
In plain English, the taxpayers pay ABC GROUP the remaining total number of months in the 24 month contractual period total of $216,000 even if the contract is mutually terminated any time before the end of the 24 month contractual period. It’s a good deal for the vendor but not so much for the taxpayer.
SECTION III TERM OF CONTRACT…….”This contract shall be for a period of two (2) years,
beginning on the Approval Date by the Authorized Representative of the “DISTRICT” and the
Execution by Signature of this agreement by all parties and ending two (2) years from that date.
Unless prior to ninety (90) days before the Expiration Date, “DISTRICT” or “ABC GROUP” notifies the other in writing that it does not wish to continue this Agreement beyond its initial term, this Agreement shall be automatically extended in its entirety without the necessity of any further action by either party.
In the absence of any such ninety (90) day notice by either “DISTRICT or “ABC GROUP,” this
Agreement shall continue to automatically renew in its entirety.”
Basically, this means that if the DISTRICT does not notify in writing prior to 90 days before the two (2) year contract expires, the two (2) year contract is automatically extended with no action required by the Board of Trustees.
None of these terms or the entire contract in general was discussed in detail by either the Finance
Committee or the Board of Trustees. It makes me wonder if the Board of Trustees even knew what
they were approving. My impression from the questions asked was that it would be a one year
contract renewal.
FYI, the motion to approve the renewal of the contract with Absolute Business Consulting Group and
the SB CISD was made by Board President Michael Vargas and seconded by Trustee Orlando Lopez.
The time has come for every level of Texas government – state, counties, cities, and school districts –
to fully reveal themselves to those footing the bill. Taxpayers deserve, and should demand, more
authority in how government spends tax dollars. Only then can we return the reins of power back to
rightful owner: the taxpayer.
Again, “Where is the openness and transparency?” and “What are they hiding?”
One-Year Contract approved April10, 2018 https://tinyurl.com/y6m53b5t
6 comments:
This is all perpetrated by Orlando “Papas” Lopez and Michael Vargas. They are the same board members that selected ex Hidalgo County Commissioner, Joseph Palacios as the project manager for the 40 million in bond projects at SBISD. Orlando Lopez and Michael Vargas also have Board Atty. Tony Torres at SBISD... and yes, he is also from Weslaco! Tony Torres was drunk as a skunk cursing at other lawyers who would come talk to SBISD board member because he feels threatened that his cushy job is coming to an end. Michael Vargas was hired at Pharr as their incentives coordinator... at a 200k a year salary.... Joseph Palacios got him that job! They guy he voted to make the project manager for the bond projects! FBI... where are you?!
In this case it is the administration doing the shenanigans and at BISD it is the board that controls everything - well, actually, only one dictator who controls everyone.
Here is a point of Information. During the 2018 School District Trustee Election, Incumbent Board Member Michael Vargas was UNOPPOSED.
According to his CANDIDATE/OFFICEHOLDER CAMPAIGN FINANCE REPORT, Mr. Michael Vargas CANDIDATE/OFFICEHOLDER CAMPAIGN FINANCE REPORT, Mr. Michael Vargas received Total Political Contributions of $8,199
100% of the political contributions were from OUTSIDE of San Benito (Edinburg, Weslaco, Austin, and an out-of-state PAC called LEE-TX.)
One of the most interesting political contributions was a $2,000 contribution from “Ortegon Insurance Co., LLC in Weslaco, TX 78596”.
As the articles states, the current Insurance Agent of Record for Health Insurance is “Ortegon Insurance Agency”.
The article also states that “SBCISD Board of Trustees President Michael Vargas said he was not sure why the item was on the agenda to being with.”
Board President Michael Vargas also proposed to table the agenda item #4 to “Request Approval of RFQ (Request for Qualifications) for Insurance Agent of Record”.
There is nothing illegal about making political contributions, but it sure makes you go “hmmmm” !
I did public comment against the trustee vote approving the hiring of this public relations company back in April 2018. ABC was placed on agenda by supt. I do have a copy of 2018-19 Professional Service Contract where it states the district will pay them $9000.00 per month. ABC will provides media and consulting services on an as-needed basis.
As per Dr. Carmen, ABC was placed on the regular board agenda on April 10, 2018 by him due to ongoing observations that the Public Relations Dept. performance was significantly lacking. He interviewed ABC prior to April 2018 Board meeting.
Nobody gives a shit about san bene Freddy is no longer there.
EL PUERTO SIGUE TODOS PA FUERA CORUPCION SE TIENE QUE PARAR YA BASTA!!!!
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