Airport Authority review reveals procurement and approval discrepancies under former CEO

The Albany Law Committee and Multimodal Transit and Pedestrian Access Committee convened on April 1, 2025, to discuss various topics related to ongoing projects and compliance issues within the Albany County infrastructure. The meeting began with a review of the current construction project, where committee members addressed budgetary concerns and potential enhancements to the project scope.

The first significant topic of discussion involved the project's financial management. Committee members noted that savings from reduced project scope could allow for the addition of an exterior sign package. The design of the project has been a point of contention, with members expressing a desire to maintain a balance between modern aesthetics and traditional colonial elements. Specific architectural features, such as exposed red brick columns, were highlighted as important to preserving the area's historical character.

Following this, the committee turned its attention to the condition of the north garage, where staining on the exterior walls was identified. While cleaning this area was not included in the current project budget, it was confirmed that plans for maintenance would be implemented in the upcoming spring and summer.

The meeting then transitioned to a presentation by Tom Smith from EFPR Grama, who provided an overview of compliance issues related to procurement and time attendance records from January 2022 to December 2024. Smith outlined several key findings, including instances where the former CEO approved purchases without necessary board approval and the division of invoices to circumvent approval thresholds. Notably, the committee learned that significant airline incentive programs totaling approximately $1.5 million lacked board oversight.

Smith emphasized the importance of adhering to procurement policies, particularly regarding purchases exceeding $50,000, which require both CEO and board approval. He noted discrepancies in payments to vendors, including instances where payments were broken into smaller amounts to avoid triggering approval requirements. Recommendations were made to improve internal controls, including ensuring that all change orders receive board approval and maintaining a comprehensive list of vendors with required documentation.

The meeting concluded with a commitment to implement the recommended changes to enhance compliance and oversight in future procurement processes. The committee expressed a collective goal of ensuring transparency and accountability in managing public funds as they move forward with ongoing and future projects.