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(Fri., Aug. 6, 2010)—Acting Mayor Kirk Caldwell today announced that the State Procurement Office has concluded a review of City contract awards and found no violations of the State Procurement Code, as had been publicly alleged in May by former Governor Ben Cayetano and others Cayetano has declined to name.


Caldwell said the time spent addressing the allegations had wasted taxpayer money by needlessly initiating a detailed official review at a time when public employees are being furloughed because of budget restrictions.


“We’re very pleased that the State Procurement Office found nothing to substantiate the allegations regarding City contracting,” said Caldwell. “It was very clear from the start that this complaint was not based on fact.”


Cayetano acknowledged in a May 6 newspaper article that he initiated a complaint to the State Attorney General’s Office, suggesting 72 possible violations of the law governing the procurement of design professional services contracts. Cayetano declined to identify others who joined him in filing the complaint.


In an August 4, 2010, memorandum (attached) to the Attorney General, State Procurement Office Administrator Aaron Fujioka, said a review of the allegations “did not find any violations of (the state contracting code) occurred in the awards.”


Caldwell noted that an attorney working on behalf of Cayetano and the unnamed others had forwarded a written description of their complaint to a member of the City Council as an official communication, thus ensuring that a public document containing the unfounded allegations would be brought to the attention of news media.


“Public contracting is serious business, not a political game,” Caldwell said. “This complaint impacted the good work of those dedicated City employees who work hard day in and day out on the City’s procurement contracts. Fortunately, the State’s review was swift and well-managed. We should all be grateful for that.”


To see the City’s May 6 news release in response to the complaint, go to:




Media contact: Bill Brennan, Mayor’s Office, 768-6928