The New Mexico State Auditor’s Office has taken a special interest in two of the companies Española School District officials hired to provide services and equipment during the current fiscal year, ending June 30.
New Mexico Public Education Department School Budget and Finance Analysis Division Director David Craig forwarded the District’s service agreements with School Equipment Inc., and Benchmark Wood Floors, Inc., and other paperwork investigators requested, to the Office for review.
“I would like to have any related contract award documents if they are located in places other than the FY 17 (Fiscal Year 2017) vendor file,” Craig wrote in a Feb. 3 email to contract Business Manager Maria Fildalgo. “We are being asked to produce information on bid awards, purchase order amounts and any other related information.”
Additionally, Craig instructed the District’s contract Business Manager Maria Fildalgo to stop doing business with the companies until after the Auditor’s Office completed their investigation.
“Also, can we please halt any purchase requests on these vendors’ purchase orders until the OSA (Office of State Auditor) has concluded their review?” Craig asked. “Until the OSA clears the contracts in their investigation, I don’t want to be issuing payments while they are under review.”
The Office’s Deputy Chief of Staff Justine Freeman confirmed her colleagues are investigating the contracts as part of the District’s Fiscal Year 2016 audit. The audit, which is seven months overdue, should have been submitted to the Office for review by the Nov. 15, 2016 deadline.
“The State Auditor’s Office has an open case regarding various matters involving Española Public Schools,” she said. “The issues are being reviewed as part of the annual audit cycle and any findings will be made public when the reports are complete.”
District officials paid Bench Mark to repair gym floor tiles and paint the Century Bank logo at Española Valley High School in July 2016.
Altogether, the repairs and the paint job cost the District about $7,500.
The Albuquerque company is owned by a Kevin Mullaney. Representatives from the company didn’t respond to requests for comment as of press time.
School Equipment, Inc., billed the District nearly $597,305, with the majority of that money, $372,000, going to the construction of press boxes. The boxes were part of the $2.1 million high school track and field project.
Representatives from School Equipment did not return phone calls seeking information as to why they think the Auditor’s Office would be looking into contracts they entered into with the District.
The District’s work with School Equipment, Inc., attracted negative attention from members of the public and press after it became known the company hired former basketball coach Richard Martinez during his brief suspension from the high school. He was employed during the summer of 2016 to install playground equipment at Alcalde Elementary School.
The fact the company hired Martinez after doing business with the District, created questions and raised concerns for some Board members.
Current Board President Ruben Archuleta said he thought the contractor probably should have refrained from hiring the embattled former coach.
“I didn’t think it was right, personally,” he said. “People wanted to know what was behind it. All of a sudden we were spending money on basketball chairs and picnic tables, when the District had more pressing needs.”
An unidentified School Equipment representative was present during the October 2016 meeting, when the Board awarded the $372,000 press box contract. He offered a “no comment” when asked if someone from the District promised to award his company contracts if he agreed to hire Martinez.
Former Board president Pablo Lujan said this is the first time he has heard about the Office’s investigation into School Equipment and Bench Mark flooring, but he doubts the inquiry will lead to anything, considering there was no impropriety.
He said the Office has looked into other contracts the District entered into with various vendors, but didn’t uncover any wrongdoing.
“The auditor last time requested additional information and found nothing wrong,” he said. “We have not been told anything.”