By Cindy Ramirez
El Paso Times
EL PASO, Texas — The attorney for the county’s Emergency Services District No. 2 -- a quasi-governmental taxing entity that oversees the area’s volunteer fire departments -- has been working for the district with a suspended law license for more than two years.
Teresa Garcca was first hired by the district, ESD, as its lawyer in December 2009 -- three months after being suspended by the state bar -- under a contract that stipulated her fee at $200 to $250 an hour. In the past seven months alone, she has billed the ESD for more than $110,500, according to documents obtained by the El Paso Times. In comparison, the El Paso Independent School District’s chief counsel charges $185 an hour.
According to the State Bar of Texas, Garcca was suspended in September 2009 for nonpayment of dues and occupational taxes.
“I thought it had been taken care of previously,” Garcca said Friday.
She said she had sent in a payment to the state bar, but couldn’t remember the amount, what the payment was for or when she sent it. She said she was aware of her suspension when she was hired by the ESD. Garcca said she is committed to pay any fees she may still owe.
“That’s all I have to say about that,” said Garcca, who had previously worked as an attorney for both the city and county.
It is a disciplinary rule violation for a lawyer to practice law while on an administrative suspension, state bar officials said. Sanctions for lawyer misconduct include a private or public reprimand, suspension of the lawyer’s license or disbarment. A suspension can be probated, officials said. The dues to practice in Texas range from $68 to $235 a year, and the occupation tax is about $200.
Members of the ESD board, who are appointed by El Paso County commissioners, said they were unaware of Garcca’s suspended license.
“I’m disappointed that she let it lapse,” said ESD No. 2 Vice President Bill Adler, who serves as the fire chief of the West Valley Volunteer Fire Department in Vinton. “But as far as the job she has done for us, she has been more than satisfactory.”
On April 9, the ESD renegotiated Garcca’s contract, capping her salary at $60,000 a year, plus additional fees for any major projects that the board may ask her to undertake, effective May 1. A final contract has not been signed, ESD officials said.
The Emergency Services District is one of two in the county and operates with about $5 million annually which it collects in property and sales taxes. The ESD collects property taxes only in the county, not within the city limits. Another district, ESD No. 1 contracts with the Horizon City Fire Department to oversee its operation. The two districts are not tied together.
Complaints under investigation
The issue of Garcca’s contract and license arose following a “personnel matter” regarding ESD No. 2 board president Carlos Sandoval that was discussed behind closed doors during the June 4 County Commissioners Court meeting. Neither Sandoval nor commissioners would provide details of the executive session discussion.
At the same meeting, county commissioners adopted a resolution that allows the court to remove an appointed ESD board member for incompetency, official misconduct or misconduct after notice and a hearing.
Sandoval, a local businessman and former Ysleta Independent School District trustee, said he was not removed from the ESD board.
Garcca and Adler confirmed there has been a complaint filed with the Sheriff’s Office regarding ESD board members, but neither would comment further.
What appears to be at issue is whether Sandoval followed proper procedures by allegedly approving the sale of an ESD vehicle to former ESD member Robert M. Ostrenga. The fire chief of the Montana Vista Volunteer Fire Department for 24 years, Ostrenga resigned as a board member of the ESD No. 2 on May 29. He said he resigned because serving on the board “was too much time and hassle,” and felt he was being unfairly targeted.
Ostrenga said he hasn’t been contacted by anyone about the complaint and is still trying to figure out what’s being alleged. He confirmed only that he recently purchased a vehicle from ESD No. 2 as has been “past, acceptable practice for 20 years” and that there were no “criminal acts or intents.”
The vehicle in question has been returned to the ESD, though it’s unclear who has the title and who’s name it’s under.
Sandoval said he has never purchased a vehicle from the ESD, but said he believes it had been common practice for the public -- including ESD board members and volunteer firefighters -- to purchase vehicles from the districts. He said he couldn’t provide details of the alleged sale to Ostrenga, but maintains neither did anything wrong.
According to the May 17 special ESD meeting agenda, the board was to take action on the “reimbursement amount to the district by Mr. Ostrenga for accessories and services provided on the vehicle purchased from the district.”
Today, county commissioners are expected to appoint two new board members -- Jerry Knotts and Pamela A. Padilla -- to the ESD No. 2 to fill the positions left vacant by Ostrenga and Jose Lara, who resigned shortly after being reappointed to the board in February.
Sandoval maintains that the allegations against him and Ostrenga are a form of retaliation by Garcca for having her salary cut.
“I can only say the timing of this is questionable,” Sandoval said.
Garcca responded that “those issues are absolutely not related.”
According to the documents obtained by the El Paso Times, Garcca’s reported activity for the past seven months -- submitted in handwritten form on yellow notepad paper -- includes numerous half-hour billings for calls to district staff, half-hour reviews of district meeting agendas, 15-minute texts and emails to district officers, and numerous hours of “reviews” of policies, procedures, statutes, bidding issues and “transfers of property as criminal violations.” Among her billed work were two hours on April 10 to “draft new representation agreement.”
The original contract, drafted by Garcca, stipulates that she is to submit monthly written reports that “shall be kept confidential to the extent allowed by law.”
Sandoval said he was “in shock but not surprised” this week after being told that Garcca had been suspended by the bar just months before her lucrative contract with the ESD.
“Oh my God,” Sandoval said. “No wonder she gave us her billing statements on yellow legal pads and in handwriting rather than documenting it on a computer.”
Reform needed
The composition of the county’s two emergency districts was recently restructured by the County Commissioners Court so its board members are better qualified, have no conflicts of interest and serve staggered terms.
Members of the ESD boards are volunteers responsible for budgeting, financing and investing the district’s resources. The districts are government entities that oversee the volunteer fire departments and the emergency medical services for the unincorporated areas of the county.
ESD board members, or commissioners, receive a $3,000 annual compensation for their service.
The ESDs, governed by the Texas Health and Safety Code, collect taxes from property owners in the county to run the services. County commissioners set the ESDs’ tax rate of 10 cents per $100 property valuation -- the maximum allowed under state law.
ESD No. 2 collected nearly $2.7 million in property taxes, as well as $2.5 million in state sales taxes. Its current operating budget is $5 million.
The district encompasses the areas around Vinton, Canutillo, Socorro, Clint, San Elizario, Fabens and Montana Vista. It oversees 11 volunteer fire departments and more than 220 volunteers who respond to about 2,800 calls a year.
The other district, ESD No. 1, contracts with the Horizon City Fire Department to provide services to that city and the 150-square-mile area surrounding it. The department has about 40 volunteers who respond to about 1,800 calls a year. The ESD runs on a budget of about $1 million a year.
County Judge Veronica Escobar said she plans to lobby the Legislature to change the county’s role in the ESDs.
“If we’re going to appoint the commissioners, then I believe we should have some oversight of their budget and their capital expenses at the very least,” Escobar said. “The ESDs are in need of reform, greater transparency, oversight and accountability.”
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