Just days after Gov. Kevin Stitt sued Swadley’s Bar-B-Q restaurants over questionable spending, an investigative story uncovered another problematic contract that has attracted federal auditors.
A list is forming of trouble-plagued state vendor contracts, especially those tied to the pandemic. It includes $5.4 million for PPE that never arrived, $2.6 million for hydroxychloroquine that remained shelved, and a pandemic center with a rocky and late opening.
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In this episode, Ginnie Graham and Bob Doucette talk about how the midterm election filings ended with some crowded races, fewer than one-third of the 125 legislative offices up for election in November will be contested. Also discussed: Rep. Sean Roberts fought to be known as Sean “The Patriot” Roberts on the ballot for Labor Commissioner. The Oklahoma State Election Board denied the request. The U.S. Supreme Court is unlikely to reverse its McGirt decision. The latest on tribal and state jurisdiction. Citing safety concerns, local officials floated the need for a roughly $5 million extension of the new Tulsa County Family Center for Juvenile Justice and funding for more staffing to solve a problem created by a federal policy change. Remember when Tulsa tried to get Tesla? The latest on Elon Musk, Twitter and free speech Oklahoma ranks No. 8 in the rate of euthanizing dogs and cats in shelters, according to the Best Friends Animal Society. Last year, nearly 90,000 dogs and cats entered Oklahoma's shelters, and about 11,560 were euthanized. Remembering the late Joe Worley, former Tulsa World executive editor and an advocate for open records in Oklahoma. Join us Aug. 2 as we honor the best in area high school sports at the annual All-World Awards banquet, presented by Bill Knight Automotive. Get your tickets here.
Journalism nonprofits Oklahoma Watch and The Frontier published a story this week examining the spending of the Governor’s Emergency Education Relief fund, which came from the federal CARES Act.
Stitt had about $40 million and created five programs. One, called Stay in School, put $10 million toward private school vouchers. Another was Bridge the Gap to provide $8 million to low-income families for school supplies, tutoring, technology or curriculum.
At the time, we disagreed with Stitt’s decision to shore up private education, which benefited about 0.02% of all Oklahoma school-age students. It remains an ineffective use of funds intended for a greater reach.
Now it appears that Bridge the Gap was fraught with problems. The journalism nonprofits found that more than half a million dollars was spent on items like car stereo equipment, televisions, coffeemakers, pressure washers, exercise gear and smartwatches.
In addition, $3 million was returned to the federal government because it wasn’t spent in time.
A federal report says there was a lack of oversight on spending and possible violations of federal grant and state purchasing requirements. Auditors are now investigating how Stitt’s administration awarded the contract and issued the money.
Some of those answers are known. The no-bid, single-source contract with Florida-based ClassWallet to oversee the Bridge the Gap distribution was secured by Ryan Walters in the months before he was appointed by Stitt as secretary of education.
Walters was executive director of the nonprofit Every Kid Counts Oklahoma. The funds were supposed to flow through the nonprofit to the contractor due to a federal rule prohibiting states from giving money directly to families. That pass-through didn’t happen, according to the story.
As education secretary, Walters oversaw the project. When the vendor asked for clarification on approved items, an email from Walters said to give “blanket approval with vendors on your platform.” That was a lost opportunity to provide guidance and supervision.
In response to the story, Stitt has notified ClassWallet that he intends to pursue damages for any contractual or legal failings, pledging to recoup misused funds. The contractor blames state officials for not setting limits.
Stitt shows that he will go after vendors for misappropriated money, and that’s good. But it’s always more difficult to recover funds after the damage is done.
Oklahoma may get back some or all of the funds. But a pattern is emerging that shows a need to bolster oversight and hold responsible the state officials who fail to do that.
