Las Vegas Sun

April 19, 2024

Fallout over housing authority contract continues

The upstart public relations company awarded a profitable contract by the Las Vegas Housing Authority won the bid over more established, heavy-hitting firms, according to records obtained by the Sun.

Tribeca Media won the contract from a field of nine other firms, including the well-known public affairs company Faiss Foley Merica, whose representatives Wednesday called the process a "fire drill."

The contract also drew criticism from housing authority board members, who had no knowledge that Executive Director Frederick Brown awarded the $84,000 agreement or that Tribeca Media split it with Clark County Commissioner Dario Herrera.

Brown said he brought in Herrera to provide governmental affairs experience that Tribeca Media did not have. But at least two of the firms Tribeca Media beat out for the contract had extensive experience in that field, and one had even worked for the housing authority since 1993.

Tribeca Media incorporated with the state on the last day that companies could pick up requests for proposals for the contract, April 20, 2001, according to the Nevada Secretary of State.

Tribeca Media owner Lucie Melchert, a former Las Vegas Neighborhood Services spokeswoman, said that though she incorporated just last year, she has had a Henderson business license since 1999 and worked part time on weekends and evenings from her home.

Tribeca Media and Herrera Communications Group this week backed out of the contract, but the fallout continues.

Housing authority board member Dewain Steadman called for a police investigation after the FBI decided not to pursue the case, and affordable housing resident Amelia Coulston has filed an state ethics complaint against Brown after the city ethics panel said it didn't have jurisdiction.

On Wednesday Brown said he planned to sue Steadman for what he termed"slanderous" comments Steadman made to the media after the FBI dropped his complaint.

"I'm seeking a lawyer to sue Mr. Steadman," Brown said Wednesday, declining further comment.

The board member said he still believed Brown should be investigated for "fraud and mismanagement."

The board should have been notified of the contract, especially because of the amount of money involved, Steadman said. Also, Brown, a member of Herrera's congressional exploratory committee, should have disclosed that the housing authority was paying Herrera, Steadman said.

Herrera, who made $3,500 a month after the contract was signed in November, never responded to the housing authority's request for proposals and was hand-picked by Brown.

Tribeca's rates were the lowest of all 10 companies that applied. Faiss Foley, KPS/3 and Mojave Moon's fees were highest.

Three evaluators -- whose names were blacked out on copies of the evaluations -- reviewed the proposals, and each ranked Tribeca highest.

Tribeca outscored Faiss Foley Merica, MassMedia and Paragon in the category of "past experience and performance" and "technical and professional qualifications."

Linda Faiss said she was not familiar with the housing authority's process, but added that her firm "is not a cheap date."

Faiss Foley officials also noted that government affairs is the firm's strength. Faiss is a former spokeswoman for Las Vegas, and Helen Foley is a former state legislator and a registered lobbyist. At the time the firm also included Rose McKinney James, a former chief of staff of intergovernmental affairs for Las Vegas and former project manager for the Nevada Economic Development Corp.

Susie Black, account manager for Faiss Foley, said her office learned from the housing authority last spring that the agency was making an award for the contract.

The next Black heard from the housing authority came via a fax, which said the contract was awarded to Tribeca.

"After I got the fax -- what a fire drill this was," Black said. "We didn't have experience going after a government contract, so we didn't know whether that was the procedure.

"We learned a lot from this; we're sticking with private industry."

Mojave Moon and Sue Abbatangelo also tried for the contract, noting the firm's previous experience on housing authority projects.

Abbatangelo said she has been doing public relations work for the housing authority since 1993.

The firm "worked with housing authority staff to plan, manage and execute the grand opening of the Ernie Cragin Terrace," its proposal said. That was the same event Herrera said he planned and marketed.

Herrera was out of town Wednesday and could not be reached for comment.

Abbatangelo earned $1,950 last year from the board, but said she charged a minimal fee because the agency needed its funding to house lower income residents and senior citizens. Abbatangelo said she was surprised by the agency's decision.

"I thought I had a good working relationship with them," she said.

Other firms that pursued the contract were Paragon; Purdue, Benjamin and Dunn; Allegra Consulting Inc.; Marydean & Associates; and Newman Verill.

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