(WXYZ) — The probe into a controversial Oakland County IT contract has now been sent to the Michigan State Police.
Last summer, the $450,000 ZaydLogix LLC contract was awarded to a then-current county employee, a move that county officials say broke state law and county policy.
Top-ranking officials in County Executive David Coulter’s administration have said publicly they did not see a need to refer this matter to law enforcement, but other county leaders said it should be up to the police to decide what to investigate.
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That’s why Oakland County Commission Minority Caucus Chair Michael Spisz (R-Oxford) filed a police report with the Oakland County Sheriff’s Office in October.
“How does it make government any different than anybody else if we don't investigate our own? Investigate those within government that are making decisions every day on behalf of the taxpayers? I mean, that's not a good look,” Spisz told 7 Investigator Heather Catallo in October. “Why would you not do some type of investigation to make sure that you're keeping Oakland County at that high level of standard that we expect.”
On Thursday, the Oakland County Sheriff’s Office confirmed to the 7 Investigators they have referred the complaint to the Michigan State Police for investigation.
The Courts and Law Enforcement Information System (CLEMIS) computer network is an essential tool used to help fight crime. The County’s Information Technology department has been in charge of CLEMIS for years. The contract in question was a CLEMIS staffing contract. CLEMIS has now been turned into an independent authority.
After a whistleblower sent an email to county leadership last summer alleging “government employees were using their position for personal gain,” county officials spent $17,836 on an outside law firm, Miller, Canfield, Paddock & Stone, to investigate.
The contract was cancelled before any money was paid, but Miller Canfield found that awarding the contract to a current county employee broke state law and violated county rules.
County Executive David Coulter’s legal team has only released a summary of the Miller Canfield report; they have so far refused to release the actual investigation to both the 7 Investigators and to County Commissioners. Coulter refused WXYZ’s repeated requests and appeals to obtain the Miller Canfield report under the Freedom of Information Act, claiming the investigation into how the contract was awarded was “attorney work product.”
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“The fact that that report has not been published is concerning,” Oakland County Commissioner Kristen Nelson (D-Waterford) said previously. “Absolutely we should be moving forward with an investigation by law enforcement, 100 percent… Michigan law was broken and yet we are not doing anything or going to pursue a further investigation via law enforcement regarding this? That doesn't sound right. That sounds very suspicious.”
The employee who received the contract retired from the county and received a four-week suspension of pay. A CLEMIS supervisor resigned from the county and was suspended without pay for four weeks. A county official also said the department director was suspended without pay for three days, and the evaluator who reviewed the ZaydLogix bid was suspended without pay for two days.
Oakland County Public Information Officer Bill Mullan sent this statement to the 7 Investigators after the initial referral to the Sheriff’s Office:
“Residents and taxpayers of Oakland County have a right to transparency and accountability in county operations. An independent investigation by Miller Canfield found that while the ZaydLogix contract was improperly awarded, there was no effort to defraud the county, the county suffered no financial loss and county administration acted immediately and transparently once the issue came to light. The county stands by the findings of the independent investigation, has implemented corrective measures and remains fully committed to cooperating with any further review law enforcement may undertake.”
