June 5, 2007,
1:06AM
Toll road picnic footed by vendor$
By PAIGE HEWITT and RAD SALLEE
Copyright 2007 Houston
Chronicle
www.chron.com/disp/story.mpl/front/4861910.html
NO PICNIC
Two Harris County Toll Road
Authority officials retired or quit out over
the funding for an employee picnic.
• What: A picnic for
authority employees was planned for July 14
at Splashtown USA.
• Accusation: Letters
signed by Toll Road Authority officials were
to be sent to 29 companies that had at least
$100,000 in annual business with the county.
• Details: Vendors were
to be classified as bronze-, silver-, gold-
and platinum-level contributors for gifts
ranging from $500 to $5,000.
Contractors doing business with the county paid thousands of
dollars for a picnic for Harris County Toll Road Authority
employees last year and were about to be asked to do so
again, officials with the county and district attorney's
office said Monday.
Details, including plans to recognize
vendors as gold- or platinum-level donors based on how much
money they contributed to this year's picnic, were confirmed
Monday in response to questions about the abrupt retirement
of Toll Road Authority Executive Director Mike Strech last
Thursday.
Strech, who headed the agency
for six years, and his executive assistant Diana Wilcox,
quit after being confronted about the planned solicitation,
Harris County Public Infrastructure
Department Director Art Storey said.
The annual event was held last year at
SplashTown in Spring and was scheduled there for mid-July
until county officials canceled it. Storey described the
party as a long-standing event typical of the authority's
"culture."
"If
somebody who hasn't been part of that culture
observed things that were perceived to be normal there,
they might say, 'Gee that looks
bad — that's questionable, that's borderline illegal,' "
Storey said. "It's not people knowingly acting wrong.
It's people who don't know any better,
and we're going to fix that."
Strech, 67, who worked for the Toll Road
Authority for 16 years, declined to comment Monday, except
to say the picnic was a tradition and that he planned to
"enjoy my retirement."
Wilcox could not be reached for comment.
Harris County District Attorney
Chuck Rosenthal said an investigation by his office found no
criminal wrongdoing.
"It would
be a violation if the vendors were being solicited to do
this in order to get contracts for the toll road,"
Rosenthal said.
"Nobody that we talked to felt
arm-twisted to make any contributions," he said. "We looked
into a bunch of records and found ... that there was nothing
criminal that could be proven."
However, Rosenthal added, the
county auditor's office is looking into the matter.
"If the auditors find something, I'm
sure they'll come back to us," he said.
Storey said he consulted County Attorney
Mike Stafford after toll road staff called his attention to
an in-house e-mail from Wilcox about the upcoming event.
Storey said he had told Strech
last year not to accept vendor gifts for the next picnic,
then learned that this was apparently planned. Storey said
that when he asked Strech about it, the director showed him
a draft of a letter to be sent to vendors.
District attorney's investigator
Dan McAnulty said vendors were classified as bronze-,
silver-, gold- and platinum-level contributors for gifts
ranging from $500 to $5,000.
Similar letters signed by Strech
were to be sent to several companies,
each doing at least $100,000
in annual business with the county,
McAnulty said.
He and Storey declined to name the
companies, but Storey said most are
engineering firms that are
hired on the basis of credentials
instead of the sealed bids
used for construction contracts.
Storey emphasized
that Strech neither had nor claimed
any authority to award contracts, which
are
approved solely by vote of Commissioners Court.
McAnulty said
donations were placed in a Bank of
America account in the name of the
Toll Road Authority Celebration
Committee, which he described as a "social committee"
set up last year.
Such an account is "clearly
improper because it was off the county's books" and
would not be noticed in a county audit, County
Attorney Mike Stafford said.
About $15,000 was in the account,
apparently left over from last year's party at SplashTown,
for which $60,000 had been collected — and $45,000 spent —
from 29 contributors, McAnulty said.
He said
about 1,400 people attended that event, including HCTRA
employees and guests of vendors, who received tickets based
on their contributions.
Although the Texas Penal Code
forbids gifts to a public servant,
the recipient would need to
"exercise discretion in regards"
to contracts or purchases for that to apply.
Storey said neither Strech nor the celebration committee
members had that power.
Precinct 3 Commissioner Steve
Radack said huge parties by the Toll Road Authority and its
vendors were nothing new.
When the Sam Houston Tollway was
completed, he said, there was a large crowd "rocking" to a
band on one of the towering ramps, and some observers "got
to worrying that the thing would collapse."
Before 2006, McAnulty said,
the annual picnic was held at a local
ranch, with vendors writing checks directly to the
ranch. But last year, he said, the committee's bank account
was opened to receive contributions.
It was not immediately known how much
SplashTown may want from the county for booking, then
canceling, the event. Storey
said he understands the county will contend that the
contract is invalid because Strech lacked the authority to
sign for the county.
Storey said he has named
Gary Stobb, the infrastructure
department's director of planning and operations, to
serve as interim director of HCTRA.
In previous years he also assigned two
other infrastructure officials, Ronald Krafka and
Peter Key, to jobs at the toll
authority.
Storey said he sent out a
message addressed to "vendors, suppliers, consultants and
sales executives."
It advises them, among other things, to
"never make a monetary gift"
without his permission, to any of the agency's staff
"for any purpose whatever, no matter how worthy the purpose
intended."
Chronicle reporter Bill Murphy
contributed to this story.
paige.hewitt@chron.com;
rad.sallee@chron.com;
bill.murphy@chro n.com