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Audit Finds New Mexico State Contracts Lack Competition

Tim Keller, Albuquerque Mayor

  SANTA FE, N.M. (AP) — An audit of New Mexico state procurement practices has found that roughly $6.5 billion in annual outside contracts bypass the competitive bidding process.

New Mexico State Auditor Tim Keller says current exemptions to competitive bidding practices were designed to save the state time or money. But Keller says they have ended up reducing accountability in government and fairness to outside businesses.

A special audit released on Tuesday by Keller's office found that state agencies spent $56 million on sole-source contracts during the fiscal year ending in June 2016, including circumstances that are not permitted by law.

Auditors estimated another $105 million in contracts were exempt from competition under emergency provisions.

The report also highlights gaps in the tracking of political campaign contributions from contractors hired by state agencies.