Audit finds county deals alarming

GALLUP, N.M. (KRQE) — A New Mexico businessman is doing hundreds of thousands of dollars in construction business with a county that he is also a county commissioner of.

Now State Auditor Hector Balderas says what  is happening in McKinley County is alarming and may be illegal.

Balderas says he spent eight months going over the books in McKinley County. He says that audit found major  issues with County Commissioner David Dallago. 

Dallago owns the Dallago Corporation, a contracting and engineering company. 

Balderas says since Dallago took office as a county commissioner in 2005, his business went from $25,000 a year with the county for contracting work, to more than $250,000 a year. 

“I’m very disturbed," Balderas said. "I mean any elected official should not be profiteering on the backs of taxpayers,”

Balderas says Dallago’s company frequently beat out other contractors for county business because of a questionable bidding process. He says in one case, Dallago’s company was awarded more than $100,000 without approval from the two other county commissioners. 

Balderas is now turning over his findings to the D.A. in McKinley County, as well as the Attorney General and the Secretary of State. 

KRQE News 13 contacted Mr. Dallago. He did not want to do an interview, but said he did not break any laws and says he won county contracts with what he says were fair bids. 

The McKinley County manager told KRQE News 13 when he took office last year, he noticed right away the county’s bidding process and financial oversight were in shambles. He says he is one of many people who requested a state audit. 


Copyright 2014 KRQE TV. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


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New Mexico (change)

New Mexico is located in the southwestern region of the U.S. Inhabited by Native American populations for many centuries, New Mexico has also been part of Imperial Spain, part of Mexico, and a U.S. territory.
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Governor: Susana Martinez
Lieutenant Governor: John Sanchez
Attorney General: Gary King
Secretary of State: Dianna J. Durán

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