SE Texas Record

Sunday, October 13, 2019

Settlement agreement shows Hidalgo County received $668K for construction defect suit, fails to show congressman’s cut

By David Yates | Oct 9, 2019


Gonzalez

McALLEN – A settlement agreement obtained by The Record reveals that Hidalgo County was issued a check for more than $668,000 for a construction defect lawsuit – a case that entitles a sitting member of Congress to a cut of the action.

As previously reported, U.S. Rep. Vicente Gonzalez, a Democrat representing Texas’ 15th Congressional District, signed a modified contingency fee on Dec. 7 to represent Hidalgo County in the construction defect suit. 

The contract, which was obtained from the Texas Comptroller’s Office, shows the congressman is entitled to 25 percent of the total amount of attorney’s fees recovered from the case.

The settlement agreement shows The Snapka Law Firm, the firm that primarily handled the case, issued a check to the county for $685,992.81 on July 9.

However, the agreement does not breakdown how much the county’s attorneys received in fees and expenses – making it unclear if Gonzalez was paid for his work on the case.

The House Ethics Manual clearly states members “are prohibited from engaging in professions that provide services involving a fiduciary relationship, including the practice of law.”

A spokesperson for Gonzalez previously told The Record that all of the work the congressman did on the case was performed before he took office in 2017.

Gonzalez was elected on Nov. 8, 2016. The original contract he signed with Hidalgo County was on Oct. 25, 2016.

Records show the comptroller’s office never approved the 2016 contract but that the document was green-lighted by the Hidalgo County Commissioners’ Court, paving the way for a lawsuit to be filed on Dec. 28, 2016 – just days before Gonzalez took office.

According to documents obtained by The Record, when Hidalgo County received a public information request for the settlement agreement, it sought a decision from Texas Attorney General Ken Paxton.

On July 23, the AG’s Office concluded the county could not withhold the information. 

The released records show Hidalgo County signed off on the settlement agreement on April 16.

The suit, which was filed over the Mario E. Ramirez, Jr. Juvenile Justice Center, named 17 defendants.

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COUNTY OF HIDALGO U.S. HOUSE OF REPRESENTATIVES