At least three of Odessa’s city council members are second-guessing their decision to allow City Manager John Beckmeyer to sign an agreement with TGAA, a nonprofit organization whose mission is to help government agencies be more transparent.
Council members Steve Thompson and Gilbert Vasquez said they were not aware Beckmeyer has a long-term relationship with Matt Armstrong, who emails show helped negotiate the interlocal agreement between the city and TGAA and who is also helping out on the re-election campaigns of Mayor Javier Joven and council members Denise Swanner and Mark Matta.
None of the candidates have signed conflict of interest statements although Beckmeyer confirmed earlier this month Armstrong was involved with their campaigns as early as March. Beckmeyer and TGAA haven’t signed conflict of interest statements either.
Beckmeyer insisted last week that Armstrong is not employed by TGAA so no conflict of interest exists. However, in an email obtained by the Odessa American, Armstrong sent Beckmeyer the interlocal agreement in March while noting two paragraphs had been removed “dealing with what we discussed.”
The city council did not give Beckmeyer the authority to negotiate and execute a contract with TGAA until April.
Beckmeyer also wondered how anyone could object to holding the city to higher standards.
Thompson and Vasquez said it wasn’t until an editorial in the Sept. 21 issue of the Odessa American that they learned about Armstrong’s relationship with Beckmeyer and their fellow council members.
Thompson noted the irony in the fact TGAA and the city are touting a new era of transparency.
“Isn’t that a conflict of interest? Everything we’re doing is hypocritical,” Thompson said about the undisclosed relationships. “You know when things like this happen, what’s the old saying? Follow the money. There’s got to be something there. It’s not for the hell of it.
“There’s got to be a financial (motive). There’s got to be money involved somewhere. Somebody’s getting paid somewhere. I hate to be cynical, but this stinks to high heaven.”
Thompson said council members were told Odessa was “joining all of these other cities” when only one other city had signed a contract with TGAA at the time Beckmeyer signed the contract. He also didn’t know the organization didn’t elect its officers until a week after the contract was signed.
“I was misinformed. That’s all there is to it,” Thompson said. “I was totally misinformed about the quality of this organization and what it represented and everything it’s supposed to represent. This is the whole bottom line.”
Vasquez said he feels as though details are often kept from certain members of the city council.
Until he read Saturday’s editorial, Vasquez said he didn’t know about the relationships or the full details of the contract.
“I’m assuming that others on the council, maybe even including the mayor, may have known about all of this, but I certainly didn’t,” Vasquez said.
“At the time (of the vote) I thought that our city manager was just presenting something to us that might be beneficial for the community, for all of us, for citizens, but now that I’m learning about the connection between (Beckmeyer) and this Matt Armstrong guy, I’m really concerned. I don’t know where this is going to go,” Vasquez said.
Councilmember Chris Hanie went one step further.
“I’m going to admit something that few elected officials ever say: I made a mistake,” Hanie said via email adding “To be honest, I didn’t read this agreement as carefully as I should have. I mistakenly relied upon information I received from other people involved in this agreement.”
Hanie also said he believes based on Texas law the agreement is null and void.
“Since this agreement was passed as an interlocal agreement … the current contract is null and void. You see, under Texas law interlocal agreements can only be executed between governmental agencies such as other cities, or the county, or school district. Since TGAA is a private corporation that masqueraded as a government agency then I will be asking our City legal department to void this contract.”
Hanie said if he had “done my homework, I would have realized that TGAA is not a governmental agency as it was presented. I would have realized that basically everything that TGAA is promoting is already covered by Texas law. I would have understood that, once signed, the contract makes it almost impossible to cancel without a large effort and expensive effort by the taxpayers…Let me say it again: I made a mistake and I ask for the forgiveness of Odessa voters and I vow to be more diligent, more skeptical, and more questioning in the future.”
Although meeting minutes show council members were told the contract cannot be canceled unless a special election is held, Thompson and Vasquez said they could not recall being told that.
“Those were details I had not had a chance to know about and that’s very upsetting to me,” Vasquez said.
Nor do they recall being told the contract’s $24,000 annual fee can go up after the fifth year and no limit was set.
“Those are the kinds of things that I wish had been presented to us as part of the presentation for us to consider and that wasn’t done,” Vasquez said. “I do not recall any of that being that descriptive.”
The meeting minutes state: “The cost was $24,000 based on population. The first-year fee was waived.”
City Attorney Dan Jones, who has faced some criticism on social media for allowing the contract to go through, said via email he would have to research Hanie’s assertion the contract is null and void adding “Councilman Hanie may be on to something.” Jones also emailed the following statement:
“Please let your readers know that I am flattered they have given me so much power as City Attorney. The power to have complete control over all things for the City of Odessa, if it were only true. However, it is not true. My job as City Attorney is to simply offer my legal advice, that legal advice is sometimes followed and sometimes disregarded. I do not set policy; my job is to limit the liability for the City of Odessa.”
Meanwhile, Thompson said he’s not sure what to do about the situation, but he’s mulling options.
“I’m embarrassed. I will tell you this, I’m embarrassed to be a part of this council because I’ve been played. I’ve tried to work with all those guys. I’ve said it 1,000 times, I’ve tried to work with everybody and not be ugly, but this is over the top,” Thompson said.
His relationship with Beckmeyer is now being tested, Thompson said.
“Now I’m having a hard time believing whatever he says. He’s got to show me in black and white now because he sure didn’t explain that TGAA contract very well,” he said.
According to the interlocal agreement signed by Beckmeyer:
- Every city must conduct an outside audit every three years to look for fraud, find ways to save money and identify revenue possibilities, and they must post the audit for citizens to read.
- Every city vendor must disclose conflicts of interest with city officials.
- Every city must list every elected and city officials’ wages, salary, overtime and benefits.
- Every city must create a searchable database of its vendors and the amount of their contract.
- Every city official must post their conflicts of interest on the city website.
- If the City doesn’t abide by the agreement, the City can be sued by citizens to enforce its compliance.
At least two other council members are standing behind their decision to allow Beckmeyer to sign the contract.
“The desire for transparency and ethical standards embodies the character of John Beckmeyer, our City Manager. It is no wonder this has attracted his attention for the city. In my interactions with him, both informally and through his public statements, I consistently witness his commitment to integrity and a genuine drive to enhance the standards of our city government,” Greg Connell said via email.
As far as the relationships between Armstrong, Beckmeyer, Joven, Matta and Swanner, Connell said he wasn’t aware of them, but has no issue with them.
“I recognize the value of good, ethical relationships and connections. For instance, Councilman Steven Thompson’s extensive network of relationships, has significantly contributed to funding for the Sports Complex. Building positive relationships with citizens and various levels of government is an invaluable asset, as these connections foster opportunities for beneficial initiatives within our community,” Connell wrote.
Neither Matta or Swanner addressed their relationship with Armstrong or the conflict of interest question when responding to an email seeking comments. Matta faces Eddie Mitchell in the November election while Swanner faces Meals on Wheels Executive Director Craig Stoker.
However, on her Facebook re-election page, Swanner asked “What is wrong with stepping up to increase standards of transparency, accountability and higher ethics, not only now, but for future councils?”
Matta asked the exact same question when he responded to the OA’s email.
Matta, in his email, and Swanner, on her Facebook page, also asked “Would an oil and gas company not want to achieve the highest compliance and safety ratings? Would a bank not want to have the highest standards of conduct and accountability?”
Matta also questioned, “Why wouldn’t the media want this? It makes their job easier with everything readily accessible, greatly reducing public information requests,” Matta wrote. “Seems to me that some people in Odessa want to go back to the way things used to be where insiders were rewarded with favorable contracts and department heads used their budget as slush funds.”
As far as the $24,000 annual fee, Matta pointed out it’s just .007% of the city’s budget. That fee, however, can go up per the contract.
“It’s unfortunate that some council members didn’t do their homework by reading the contract and fully understanding what was in the contract. We are put in this position to get all the information so we can make the best decision for our citizens,” Matta wrote.
Swanner, too, criticized Thompson and Vasquez.
“It is the responsibility of every council member to read the information presented to us and to make great decisions. We all had plenty of time to review the agreement and ask any questions. The vote was unanimous 7 to 0,” Swanner said via email. “I read the agreement thoroughly, and was happy to see that it would take complete transparency to leave this good government association. It appears as if the political insiders in Odessa are afraid of maximum transparency and accountability and high standards of ethics.”
Joven did not respond to an email seeking comment. Joven faces attorney Cal Hendrick in November for the mayor’s seat.
