SHOWDOWN BETWEEN PUB AND THE CITY: CITY WILL PROBE CEO BRUCIAK, PUB BOARD'S COVER-UP OF $1.3 MILLION THEFT

Special to El Rrun-Rrun

Today, at 3 p.m., the board of directors of the Brownsville Public Utilities Board will meet in executive session to deliberate on how to keep the truth from the public over the theft of $1.3 million in public funds stolen from under the noses of under CEO John Bruciak and PUB CFO Fernando Saenz.


The board is scheduled to meet through teleconference which conveniently keeps the public out of the loop except for someone who may somehow penetrate the circle of secrecy and ask a question. But since the item is to be discussed in executive session, they don't have to answer anyone's questions.

Information made available through leaks from informed sources at both PUB and Texas Noble Constructors indicate that a bogus email and  letter bearing the Noble letterhead directed PUB Finance to deposit $1.3 million in payroll to Noble to a Bank of America account, which PUB Finance did.

Later, when Noble inquired about the payroll payment, it was discovered that the email and letter was bogus and that the $1.3 million never got to the construction firm's account at Lone Star National Bank. Since then, Bruciak, Fernandez and the PUB have been mum on the missing $1.3 million.

After Bruciak learned of the missing $1.3 million payment to Noble, he issued another $1.3 milion to the company using the authorization for the first $1.3 million payment from the PUB board as justification to authorize the second $1.3 million payment.

As the drumbeat of questions has increased, Bruciak and PUB counsel have fought to keep the public in the dark.

At today's meeting, the board is expected to give Bruciak yet another blank check to keep the PUB ratepayers - who footed the bill for his ineptness - in the dark over where the money is, who is responsible, and what will be done to correct and punish those responsible.

Still, since the item on  the meeting between the board and their legal counsel will he held in executive session, the public is not allowed to know what was said behind closed doors.

The item was approved by PUB board chair Anna O'Quin who has turned out to be of a mind to give away the store just as she gives away snow cones at her restaurant.The item to be considered by the board in private reads:

In other words, legal counsel will advice Bruciak, O'Quin and the board on how to continue stonewalling the public so they will never know who's responsible for the theft of their money or who to hold accountable. We understand that the PUB administration is claiming that the loss was covered by insurance and would be happy to leave it at that.  Fat chance.

An internal audit by PUB has been kept secret from the public, the PUB board members, and the city commission. Bruciak has used the COVID-19 catastrophe as a justification to keep the audit secret and withhold it from the public. But that may not be a done deal.

Just last night, at the City of Brownsville Commission meeting, a majority of the commissioners authorized the city administration to " to obtain the records, reports, books of account and other data of the Brownsville Public Utilities Board (BPUB) to conduct oversight of the agency to ensure its proper management and operation, and to conduct any inspections, audits and investigations..."

The item read thus:

B) Consideration and appropriate ACTION, to authorize City of Brownsville officials, agents and personnel to obtain the records, reports, books of account and other data of the Brownsville Public Utilities Board (BPUB) to conduct oversight of the agency to ensure its proper management and operation, and to conduct any inspections, audits and investigations deemed necessary pursuant to City Charter Articles I, II, V and VI. (City Manager’s Office)

It would seem that the commission, which appoints PUB members, has the authority to investigate and exercise oversight into PUB's management and operations.

Surprisingly, former PUB member and current city commissioner Nurith Galonsky voted against it and said that administration and city commission should allow the utility's and other boards to decide issues for themselves.

"It has been less than two months since the incident in question happened and the BPUB Board has decided to wait until the FBI investigation is concluded," she stated.

"Meanwhile, BPUB’s internal auditor has done her own audit and given recommendations on what policies and procedures should be adopted to avoid the same situation happening again," she wrote.

"Consequently, it is my opinion that having the City Commission initiate its own audit and/or investigation at this time is premature or duplicative."

In other words, accept the audit findings conducted by staff auditor under the direction of the CEO who has the last say in their employment.

The motion was made by commissioner Ben Neece and only the vote by City Mayor Trey Mendez provided the fourth vote necessary to authorize the city to audit the utility.