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  • NM House Ed Committee Tables Martinez Mandatory Retention.
ISPAC Investigation into the Racino Contract and the Martinez Administration
ISPAC Releases Investigative Report into the Corruption Behind the Racino Contract
January 22, 2012


Independent Source Pac has just released the most extensive investigation to date into the Martinez Administration’s actions in awarding the billion dollar-plus racino contract to the Downs at Albuquerque.

This investigation reveals conduct by the administration that not only exposes Susana Martinez’s proclamations of ethical governance as a farce, but may violate the law. The investigation indicates that awarding the contract to the Downs was a done deal, long before an RFP was issued. It appears that the administration only issued the RFP to conceal this predetermined outcome and to keep the legislature out of the equation.

Martinez cannot shirk the responsibility for the wrongdoing exposed in this investigation. She cannot misdirect the blame to the previous administration. Martinez, through her actions has taken full ownership of this deal. 


Martinez handpicked Charles Gara to serve as the lead bid evaluator. Gara has substantial political ties to Jay McCleskey, who directs Martinez extensive political operation. Gara gave the Downs at Albuquerque bid a perfect score of 300 points for “managerial experience” despite extensive and widely known management problems. Gara also has a history of gaining an appointment to a task force in order to manipulate the outcome of that task force.


Martinez received contributions from the two Louisiana-based majority owners of the Downs. One of these contributions, of $5,000, was made just two days after the previous administration voted to leave the negotiations for the Downs lease to the incoming Martinez Administration. Martinez received another $5,000 from the two out-of-state owners and then put the Downs lease on the call for the 2011 Special Session. These contributions were delivered through a company owned by the two from Louisiana, but they were not identified as being owners or officers.


Most State Fair Commissioners were denied access to critical documents and told they could only vote yes or no on the contract, while a favored commissioner, was appointed by Martinez after giving $8500 to her campaign, was given full authority to alter the contract in order to change his vote from no to yes.
Loyal Republicans who voiced concern about the process leading to the contract award were personally warned by Martinez and her staff not to oppose the deal. 

Martinez, despite promising full disclosure, has kept many of the documents pertaining to the deal hidden from state fair commissioners and the public.

This report clearly points to the need for a criminal investigation.  The contract should be voided and a fair and transparent bidding process initiated.
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