AND UPDATE ITS POLICIES. THE NEW MEXICO ENVIRONMENT DEPARTMENT CATCHING KIDS AFTER STATE AUDITOR JOSEPH MEJIA SAYS CAUGHT THEM OUT FOR MISUSE OF TAXPAYER FUNDS. THIS LETTER SENT TO ENEMY D, ALLEGING CABINET SECRETARY JAMES KENNEY AND HIS DIVISION DIRECTOR, MISSPENT PUBLIC FUNDS ON TRAVEL EXPENSES TO SYDNEY, AUSTRALIA, BACK IN OCTOBER, BOTH TAKING PART IN THE PUBLIC ANNOUNCEMENT BY STAR SCIENTIFIC AND AUSTRALIA BASED HYDROGEN RESEARCH AND DEVELOPMENT COMPANY SELECTING NEW MEXICO AS ITS LOCATION TO OPEN A US CAMPUS. PAUL GUESTING WITH RIO GRANDE FOUNDATION, CITING WITH THE STATE AUDITOR I THINK THAT’S A VERY, VERY SIGNIFICANT PRICE DIFFERENTIAL AND ONE THAT I’M GLAD THE AUDITOR CALLED THEM OUT ON THE INVESTIGATION, INDICATING ENEMY D INAPPROPRIATELY PAID TO UPGRADE THEIR AIRLINE SEATING CLASS FROM ECONOMY COACH TO BUSINESS CLASS. THE LETTER, CITING THE DEPARTMENT ABUSED ITS AUTHORITY BY FAILING TO CONSIDER THE SIGNIFICANT AND EXCESSIVE COST DISPARITY WHEN ELECTING TO UPGRADE AIRFARE SEATING THE LEAST EXPENSIVE ECONOMY CLASS RATE COSTING SLIGHTLY OVER $2,000 PER SEAT COMPARED TO A BUSINESS CLASS RATES OF NEARLY. $15,000 PER SEAT. IT’S FAIRLY CLEAR THAT THIS ADMINISTRATION IS NOT A FRUGAL, UH, USER OF THE TAXPAYER DOLLARS WHEN IT COMES TO THEIR OWN PEOPLE TRAVELING, THEY ARE HAPPY TO USE AS MANY CO2 TWO EMISSIONS AS NECESSARY AND TRAVEL HALFWAY ACROSS THE GLOBE. UH, IN RELATIVE LUXURY AT THE TAXPAYERS EXPENSE. THIS RESULTING IN OVER A 600% INCREASE IN COST TO ENEMY D FROM JUST OVER $4,000 FOR TWO SEATS TO THE COST OF NEARLY. $30,000 IN TOTAL. ALSO, BE A GOOD STEWARD OF THE TAXPAYER DOLLAR AND IT STRIKES ME AS THAT’S AN UNREASONABLE DIFFERENCE, ESPECIALLY ONCE THAT TICKET FOR THE LOWER PRICE HAD ALREADY BEEN BOOKED. ENEMY D SAYS THEY UPGRADED TO BUSINESS CLASS FOR EXTENDED INTERNATIONAL AIR TRAVEL TO ALLOW FOR A FULL AND PRODUCTIVE WORK DAY. UPON ARRIVAL, TELLING US IN A STATEMENT, QUOTE, THE ENEMY D ACKNOWLEDGES THE NEED FOR STRONGER INTERNAL CONTROLS AND THE DEPARTMENT OF FINANCE AND ADMINISTRATION WILL REPLACE THIS INTERIM TRAVEL POLICY WITH THE FINA
New Mexico auditor alleges taxpayer funds wasted by Environment Department
OSA states NMED upgraded airline seating from economy to business class totaling to nearly $30,000 for two seats to Sydney, Australia
Updated: 10:10 PM MDT Jun 14, 2024
Video above: The Office of State Auditor conducted an investigation into allegations of misuse of taxpayer funds from the New Mexico Environment Department on Thursday, June 13. View full letter from Office of State Auditor, here.State Auditor Joesph Maestas sent NMED a letter alleging Cabinet Secretary James Kenney and its division director “misspent or misused public funds” on a trip to Sydney, Australia, to attend the Asia Pacific Hydrogen Summit to take part in a public announcement by Star Scientific—an Australia-based hydrogen research and development company in October 2023. Star Scientific selected New Mexico as the location to open a U.S. campus.The letter reads, “NMED inappropriately paid to upgrade their airline seating class from economy/coach to business class.” It also states, “NMED management appears to have abused its authority by failing to consider the significant and excessive cost disparities when electing to upgrade the airfare seating class for much higher priced business class rate of $14,922.50 per seat. The resulting over 600% increase in costs to NMED, from an initial cost of $4,117.30 to a cost of $29.845.00, appears to be a clear case of waste of public resources.” Stay up-to-date: The latest headlines from KOAT Action 7 NewsAccording to OSA, airline flights to Sydney, Australia, cost $2,058.65 per seat via economy class rates, the least expensive, as opposed to $14 922.50 per seat via business class rates.Gov. Michelle Lujan Grisham also attended the Asia Pacific Hydrogen Summit to make an economic development announcement around clean hydrogen. According to OSA, she traveled separately with staff and security. In response to OSA’s allegations, NMED management stated to OSA, “It was not feasible to travel to Sydney a day or two earlier via economy class due to scheduling and to accompany the governor, which resulted in not adhering to existing travel cost controls.” However, OSA states the actual airline flight taken by the department secretary and division director, was at a different time, and on a different airline, than that utilized by the governor’s party and security. In addition, “an extra day in a hotel to recover from the time difference, a day during which the Department Secretary and Division Director could attend meetings remotely or work online, could have saved NMED thousands of dollars.”Recommendations from OSA to NMEDNMED take immediate and proactive steps to strengthen its internal controls, and update its relevant policies, regarding official travel outside the state by department employees, both within and without the continental United States. NMED include review and consideration of cost disparities and cost control measures as part of its travel approval processes, like those requirements necessary for any other expenditure of public funds for the purchase of goods or services, to address and limit any future waste of public funds by NMED.New Mexico Environment Department Statement“The New Mexico Environment Department (NMED) upgraded to business class for extended international air travel to allow for a full and productive workday upon arrival. This was essential for effective participation in the Asia Pacific Hydrogen Summit, where the Governor and NMED secured and announced a $100M investment in Albuquerque by Australian-based Star Scientific. The NMED acknowledges the need for stronger internal controls, and the Department of Finance and Administration will replace its interim travel policy with a final travel policy for state employees next month.” — Jorge Armando Estrada, Public Relations CoordinatorStay updated on the latest news updates with the KOAT app. You can download it here.
Video above: The Office of State Auditor conducted an investigation into allegations of misuse of taxpayer funds from the New Mexico Environment Department on Thursday, June 13.
View full letter from Office of State Auditor, here.
State Auditor Joesph Maestas sent NMED a letter alleging Cabinet Secretary James Kenney and its division director “misspent or misused public funds” on a trip to Sydney, Australia, to attend the Asia Pacific Hydrogen Summit to take part in a public announcement by Star Scientific—an Australia-based hydrogen research and development company in October 2023. Star Scientific selected New Mexico as the location to open a U.S. campus.
The letter reads, “NMED inappropriately paid to upgrade their airline seating class from economy/coach to business class.”
It also states, “NMED management appears to have abused its authority by failing to consider the significant and excessive cost disparities when electing to upgrade the airfare seating class for much higher priced business class rate of $14,922.50 per seat. The resulting over 600% increase in costs to NMED, from an initial cost of $4,117.30 to a cost of $29.845.00, appears to be a clear case of waste of public resources.”
Stay up-to-date: The latest headlines from KOAT Action 7 News
According to OSA, airline flights to Sydney, Australia, cost $2,058.65 per seat via economy class rates, the least expensive, as opposed to $14 922.50 per seat via business class rates.
Gov. Michelle Lujan Grisham also attended the Asia Pacific Hydrogen Summit to make an economic development announcement around clean hydrogen. According to OSA, she traveled separately with staff and security.
In response to OSA’s allegations, NMED management stated to OSA, “It was not feasible to travel to Sydney a day or two earlier via economy class due to scheduling and to accompany the governor, which resulted in not adhering to existing travel cost controls.”
However, OSA states the actual airline flight taken by the department secretary and division director, was at a different time, and on a different airline, than that utilized by the governor’s party and security.
In addition, “an extra day in a hotel to recover from the time difference, a day during which the Department Secretary and Division Director could attend meetings remotely or work online, could have saved NMED thousands of dollars.”
Recommendations from OSA to NMED
- NMED take immediate and proactive steps to strengthen its internal controls, and update its relevant policies, regarding official travel outside the state by department employees, both within and without the continental United States.
- NMED include review and consideration of cost disparities and cost control measures as part of its travel approval processes, like those requirements necessary for any other expenditure of public funds for the purchase of goods or services, to address and limit any future waste of public funds by NMED.
New Mexico Environment Department Statement
“The New Mexico Environment Department (NMED) upgraded to business class for extended international air travel to allow for a full and productive workday upon arrival. This was essential for effective participation in the Asia Pacific Hydrogen Summit, where the Governor and NMED secured and announced a $100M investment in Albuquerque by Australian-based Star Scientific. The NMED acknowledges the need for stronger internal controls, and the Department of Finance and Administration will replace its interim travel policy with a final travel policy for state employees next month.” — Jorge Armando Estrada, Public Relations Coordinator
Stay updated on the latest news updates with the KOAT app. You can download it here.
