The San Diego Association of Governments (SANDAG) has been cleared of any federal criminal charges by the U.S. Attorney's Office for the Southern District of California and the FBI following a federal investigation into the agency's contracting activities. In a statement, SANDAG relayed its commitment to improving policies and internal controls and ensuring that future procurement practices will uphold fair and competitive principles.
However, an internal audit report obtained by Hoodline has cast a shadow over the agency, revealing mismanagement by former officials, including negligence in overseeing a $28 million contract and the mishandling of toll collection systems on state Route 125, potentially impacting revenue data. The report also notes Deloitte's engagement in a tolling contract that was criticized for a procurement process that neglected to meet the agency's financial needs and system requirements.
Despite these oversights, SANDAG's current CEO, Mario Orso, reasserted the agency's commitment to change, stating, "We cooperated fully with the Office of the Independent Performance Auditor on these investigations and the latest findings are consistent with what we have been implementing and telling the Board about," in a sentiment that SANDAG Chairwoman Nora Vargas backed, stressing the audit's role in directing future agency operations to ensure the effective utilization of taxpayer money.
With the SANDAG board of directors set to hold a meeting amidst this developing story, the community, and stakeholders look ahead to what measures will be taken to reinforce accountability at the agency, especially following the departure of the former executives implicated in these missteps. As this unfolds, the public and other onlookers are left weighing the significance of these events and how they may shape SANDAG's ability to regain and maintain the trust placed in it by the region it serves.