MoCo Office of Inspector General Annual Report FY 2020: MCPS Preselected Vendor and Relied on Criminal Conspirators for Contract Vetting

The County learned about a vendor’s criminal conviction and other adverse information after entering into a Memorandum of Understanding (MOU) with the Montgomery County Public Schools (MCPS) to take over responsibilities related to a contract for the operation of the School Bus Safety Camera Program. The County learned that the vendor’s Chief Executive Officer and others associated with the contractor were convicted of crimes related to the operation of a similar camera program in another state. We found that MCPS used a “bridge contract” to facilitate the award of a contract to a preselected vendor. 

We found that County officials relied, at least in part, on information provided by one of the criminal conspirators in initially vetting the vendor and the program and continued to rely on vendor supplied information to determine the viability of the program. We also established that the County and vendor had not entered into an expected revenue agreement.

In response to our report, the CAO stated that the County would amend administrative procedures to require comprehensive vetting, more detailed work descriptions, and metrics. After our report was issued, the County entered into a revenue-sharing agreement with the vendor where they will obtain forty percent of all fines collected. Additionally, the vendor agreed to pay MCPS an additional $1.6 million in revenue-sharing. [Publication Number OIG-20-002: Montgomery County Police Department/Montgomery County Public Schools: Memorandum of Understanding Regarding the School Bus Safety Camera Program]...

https://www.montgomerycountymd.gov/OIG/Resources/Files/PDF/FY20_AnnualReport.pdf