The Office of the State Auditor (OSA) has concluded its investigation into the Camino Real Regional Utility Authority (CRRUA). The probe was initiated at the request of the New Mexico Environment Department (NMED) on March 14, 2024. The focus was on potential fraud, waste, and abuse concerning $5.3 million in public funds awarded by the Water Trust Board in June 2013 for constructing and operating the Santa Teresa Arsenic Community Treatment Plant.
During the investigation, OSA sought clarification from NMED about the specific funds in question. NMED identified funding provided by the Water Trust Board for constructing the plant. They stated that improper operation and maintenance of the system from 2021 to 2024 raised concerns regarding fund usage or misuse, alleging that “…the money was not spent for the purpose it was granted, or it was not spent at all…”
OSA reviewed documentation from both the New Mexico Finance Authority (NMFA) and CRRUA. The review confirmed that all disbursements related to the $5.3 million were allocated specifically for construction costs of the Santa Teresa Arsenic Community Treatment Plant between August 2015 and July 2017. All draw requests and requisitions made by CRRUA to NMFA were approved by NMED at disbursement time, with no evidence supporting allegations of misuse by CRRUA. Additionally, OSA clarified that it has no oversight role in this water treatment plant's operations.
Although OSA’s investigation did not cover NMED’s specified period of concern (2021-2024), their findings indicate that allegations regarding misuse of Water Trust Board funds are unsubstantiated because all funds were disbursed for designated construction costs between 2015-2017.
The Office of the State Auditor aims to improve government transparency and accountability in spending, inform policy choices, and address fraud, waste, and abuse. OSA is an independently elected executive agency responsible for examining public dollar use in New Mexico.