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A small plane crash Monday night killed a Louisiana businessman whose private prison services company, Premier Management Enterprises, was at the center of a public corruption investigation that last year forced the resignation of Bexar County Sheriff Ralph Lopez. Patrick LeBlanc, 53, died with the pilot while trying to land in rough weather in Lafayette, La., according to a family friend and local press reports. LeBlanc and his brother, Michael LeBlanc, co-owned Premier and LCS Corrections Services, which build or service prisons in several states, including in three South Texas counties. The brothers' company remains the subject of an ongoing FBI investigation into "contracting irregularities," a bureau official confirmed. "He had great integrity and honor, unlike what some of you guys tried to do to him," said Ron Gomez, a close friend and partner in a small weekly newspaper that published its first edition last week. Gomez said LeBlanc went into the news business as a response to negative publicity about his company's role in a Bexar County corruption probe that caused him to lose a race last fall for state legislative office. Premier Management Enterprises, which has operated jail commissaries in Texas, was at the center of a Bexar County district attorney's investigation involving a foreign vacation gift to Lopez and cash payments to the sheriff's top aide, John Reynolds, before, during and after the company was given commissary contracts. The LeBlanc brothers have repeatedly denied all wrongdoing and have not been indicted or formally accused of any crime related to the Bexar County jail commissary contract. But Lopez resigned and pleaded guilty to reduced misdemeanor charges for accepting a Costa Rica golf vacation from the LeBlancs, while Reynolds last month was sentenced to 10 years for demanding thousands of dollars in "consulting fees" and charitable donations from Premier. The FBI took over from state authorities, and over the last several months, agents have interviewed Lopez and Reynolds as part of their respective plea deals. FBI Special Agent Erik Vasys said the bureau was well aware of LeBlanc's death but declined to discuss whether the tragedy might affect the investigation.
A Bexar County judge has agreed to dismiss a libel lawsuit brought against the San Antonio Express-News by Premier Management Enterprises, a Louisiana-based company that formerly ran Bexar County Jail's commissaries. In the lawsuit, filed in February 2006 against Hearst Newspaper Partnership, the San Antonio Express-News and reporter Elizabeth Allen, Premier's principals, Patrick and Michael LeBlanc and Ian Williamson, claimed the newspaper published two stories and one editorial containing “false and misleading statements” accusing them of conduct that was “unethical, incompetent and, in some cases, illegal.” On Thursday, Judge David Berchelmann of the 37th District Court signed an order after both parties agreed to dismiss the suit with prejudice, meaning it cannot be brought again. As part of the agreement, the newspaper acknowledged three errors that ran in Allen's stories and in a subsequent editorial in December 2005: LCS Correction Services is not Premier's parent company. Michael LeBlanc had no past legal problems at the time the articles were printed. Charges against Patrick LeBlanc, Michael LeBlanc's brother, in connection with a charitable bingo operation on an American Indian reservation were dismissed. The 5th U.S. Circuit Court of Appeals later affirmed the dismissal. Since Allen's stories, Premier has phased out its commissary operations at the jail. Former longtime Sheriff Ralph Lopez resigned in August as part of an agreement with prosecutors regarding his dealings with Premier. It included that Lopez plead no contest to three misdemeanor charges, and pay a $10,000 fine, resulting from an all-expenses-paid golfing and fishing trip to Costa Rica that Premier gave him in August 2005. Lopez's plea deal also shielded his wife, Nancy, from any potential state charges. Lopez's longtime campaign manager and friend, John Reynolds, also pleaded guilty to one felony count of theft related to his dealings with the company. Reynolds was Lopez's appointee to the Benevolent Fund board, which awarded and oversaw the commissary contract. According to court documents, Reynolds told Premier to contribute to Lopez's campaign and give charitable donations through Reynolds in exchange for operating the commissary. Premier attorneys have insisted that there was no wrongdoing in the way the company landed the contract. Reynolds is awaiting sentencing.
A new commissary company started this week in Kleberg County Jail after Premier Management Enterprises and the county mutually ended Premier's contract. Premier was investigated in Bexar County for buying a trip to Costa Rica for former Sheriff Ralph Lopez. Lopez resigned and pleaded no contest to three charges related to the trip. Premier, based in Lafayette, La., also operated in Kleberg County since former Sheriff Tony Gonzalez signed the contract in fall 2004. Sheriff Ed Mata said last month he wanted to end Premier's contract because of the Bexar investigation and because of performance issues. Keefe Commissary Network, based in St. Louis, began providing commissary services Monday to the Kleberg County Jail. The one-year contract gives the county 24 percent of net sales, defined as gross sales minus non-commissioned items such as stamps. Keefe was chosen over Swanson Sales Corp., which said in a proposal it could offer up to 30.25 percent of net sales. Commissaries, which supply snacks and some toiletries, are considered privileges for inmates. Texas law gives sheriffs sole discretion over the contracts. A county's proceeds must be spent on items or activities that contribute to inmates' well-being, such as education, libraries, writing materials, clothing and hygiene items, according to state law. Kleberg Chief Deputy Willie Vera said Keefe offered the better overall package despite the lower commission. Some items will be marked up to make up part of the difference. Plus, the company offered a one-year contract, while Swanson initially wanted five, then agreed to three, Vera said. Premier had signed a five-year contract with Gonzalez, and Vera said the current sheriff isn't willing to sign such a long contract. "We have a year to evaluate this company," Vera said. "If he needs to go out and search for another company the door is still open." Keefe also recently began service to the Nueces County Jail, making it easier for the company to add Kingsville to its routes, Vera said. Keefe made the transition smoothly and the Kleberg County Jail was never without commissary services, he said. Premier ran the Nueces County Jail commissary under a contract signed by former Sheriff Larry Olivarez until Nueces County Sheriff Jim Kaelin terminated the agreement after taking office in January, citing performance issues. Keefe gives Nueces County a commission of 39 percent of net sales. Mata and Kaelin have said their staffs told them their predecessors, Gonzalez of Kleberg County and Olivarez of Nueces County, went on that trip to Costa Rica in August 2005. Neither Mata nor Kaelin has documentation corroborating the reports. Gonzalez left office in 2004 after losing an election to Mata, and Olivarez resigned in January 2006 to run for county judge. Gonzalez and Olivarez have not responded to requests for interviews. Premier's principals, Patrick and Michael LeBlanc, also own LCS Correctional Services, which is building a private prison to house federal inmates near Robstown.
Two local sheriffs are distancing themselves from their predecessors' decisions to award jail commissary contracts to a company involved in a criminal investigation in Bexar County. Kleberg County Sheriff Ed Mata said last week officials are researching ways to end that county's five-year agreement with the company, Premier Management Enterprises. Nueces County Sheriff Jim Kaelin gave Premier a 30-day termination notice on Jan. 24, after taking office. Former Bexar County Sheriff Ralph Lopez resigned and pleaded no contest to accepting a trip to Costa Rica from the principals of Premier. The Lafayette, La., based company runs the county jail commissary. Neither Kaelin nor Mata has documentation corroborating what their staffs have told them -- that their predecessors, Larry Olivarez of Nueces County and Tony Gonzalez of Kleberg County, went on that August 2005 trip. Neither Gonzalez nor Olivarez has responded to requests for comment. There is no known investigation in Nueces or Kleberg counties. "At this point no case has been submitted to me," Kleberg County District Attorney John Hubert said. "If something is submitted to me, I take every case on its own merits. I don't have any information other than what I've read in the papers and -- no offense to anybody -- that's not really evidence." Nueces County District Attorney Carlos Valdez was out of the office late last week, and the Bexar County District Attorney's Office did not respond. The FBI would not comment. Olivarez signed a contract with Premier five months after the Costa Rica trip involving the former Bexar County sheriff. Gonzalez signed a contract in September 2004. Premier's principals, Patrick and Michael LeBlanc, also own LCS Correctional Services, which is building a private prison to house federal inmates near Robstown. A receptionist at Premier referred all questions to the company's chief executive officer, Chris Burch, who did not respond. An attorney for the company, Tonya Webber of Corpus Christi, said her clients have not been commenting because of the open investigation in Bexar County. She said she would check with her clients for comment on the local contracts but did not respond after that. Kaelin and Mata both cited performance issues with Premier as reasons for terminating the contract. Mata said the Bexar investigation also played a part. "What I'm trying to do is just protect this county," Mata said. "I'm not trying to pass any judgment if something was done wrong." Kaelin said his decision was based solely on Premier's performance. He met with Premier officials about complaints before ending the agreement, according to correspondence the Caller-Times obtained under the Texas Public Information Act. Kaelin and Premier also tangled over payments. A new contract, with Keefe Supply, also is potentially more lucrative for the county. The Premier contract gave the county $130,000 or 31 percent of net sales, whichever was greater. The new contract gives a minimum of 39 percent with the possibility of 41 percent after the first year. Texas law gives sheriffs sole discretion over commissary contracts. Commissaries supply snacks, such as chips, candy bars and soda, as well as certain toiletries, for inmates. Friends and family put money in an inmate's account to spend on commissary items. A county's proceeds must be used for commissary staff, social needs of inmates (such as education or counseling), libraries, writing materials, clothing, hygiene items or other programs that contribute to inmates' well-being, according to state law. Kaelin said he uses commissary profits to buy newspaper subscriptions, televisions and uniforms. Kaelin said inmates frequently complained about Premier's service. Under that system, inmates would order items to be packed into bags, shipped from San Antonio and handed out the next day. Kaelin said his office received numerous complaints about items being damaged or wrong. Keefe stores items at the Nueces County Jail McKenzie Annex and brings items around on a cart twice a week so inmates can choose and receive items immediately, Kaelin said. Premier's accounting system also allowed inmates to buy on credit, and as a result some inmates would leave custody owing money to Nueces County, Kaelin said. Keefe's system charges inmates' accounts directly by scanning a bracelet inmates wear. An inmate can't buy items unless there is enough money in the account.
The longtime campaign manager and friend of resigned Bexar County Sheriff Ralph Lopez pleaded guilty to one felony count of theft Tuesday that could bring him up to a decade in prison and a $10,000 fine. John Reynolds' plea stemmed from his demands that Premier Management Enterprises give charitable donations, campaign contributions and other money "so you can take care of us," in exchange for contracts to operate the jail and jail annex commissaries, which were under the control of Lopez. According to the plea deal, Reynolds ended up diverting the Premier money — $32,000 — for his personal use. 'You're killing me' -- Premier's Texas point man at one time was Ian Williamson, who no longer works for the company. Now a cooperating witness, Williamson told Bexar County investigators that Reynolds "asked for certain things" in exchange for awarding Premier the commissary business. Specifically, Reynolds told Premier to pay the equivalent of 1 percent of commissary sales to Lopez's campaign fund and give three payments of $7,500 each that Reynolds said were donations to the Optimists, when, in fact, the money went into his own bank accounts. Williamson testified that he called Reynolds this past spring, as the investigation was heating up, and asked him for receipts for the three $7,500 donations. "Williamson said there was dead silence until John Reynolds stated, 'You're killing me; you're killing me,' at which time Ian Williamson claimed it was then that he realized that John Reynolds had never delivered the donations," according to court documents. At one point, Williamson stated, Reynolds demanded a consulting fee of $5,014. When Williamson asked why he shouldn't write a check for a round $5,000, he said Reynolds replied: "that $5,000 looked too funny." Other filings by the district attorney's office have shown checks made out to Reynolds' accounts and signed by Michael LeBlanc, who is an owner of Premier along with his brother Patrick, and by Chris Burch, who replaced Williamson as Premier's CEO. Burch said in a recent interview that he believed Reynolds' representations that the checks were for legitimate charities. Premier's lawyers have denied any wrongdoing. After the scandal broke, Premier mutually agreed with the Sheriff's Office to prematurely end its Bexar County commissary contracts. Recently, Lopez pleaded no contest to taking a gift from Premier — an all-expense paid trip to Costa Rica for golf and fishing. He was forced to resign and fined $10,000; his interim replacement, Roland Tafolla, was sworn in last week. Lopez claims he was ignorant of how Reynolds was running his campaign finances. By pleading guilty to third-degree theft, Reynolds will be going to prison, First Assistant District Attorney Cliff Herberg said. Under the parole rules, the 10-year sentence would make him eligible for early release in 2.5 years. That is much less than the potential sentence he could have faced had he been indicted. District Attorney Susan Reed's office had threatened to indict Reynolds as a repeat offender because of Reynolds' previous conviction for falsifying a furniture damage claim while he was in the military. That would have made Reynolds' minimum sentence 15 years, the Express-News confirmed. Reynolds entered his plea before 399th District Judge Juanita Vasquez-Gardner on Tuesday afternoon and was released on a $10,000 bond. As part of his plea, Reynolds will have to tell all he knows to federal authorities before his Jan. 4 sentencing as part of an FBI investigation that may — or may not — continue for some time. "The investigation is very fluid at the moment and to comment on the direction just wouldn't be prudent right now," said Special Agent Erik Vasys, a spokesman for the San Antonio-based FBI office. Goals met -- Reynolds' plea effectively brings to a close Reed's public corruption investigation of the lucrative jail commissary contracts, granted in 2005 and 2006 by the board of the Benevolent Fund that was controlled by Lopez and chaired by Reynolds. "Our goal was to go after the public officials that we believe engaged in wrongdoing," Herberg said. "And with John Reynolds' and the sheriff's plea, we believe we've accomplished our goal." Also caught in the investigation was the ex-sheriff's wife, Nancy Lopez, who kept her own close ties to Reynolds and whose signatures were found on thousands of dollars worth of campaign checks that Reynolds allegedly deposited into his private accounts. She was given immunity from state prosecution. Reynolds will be required to talk with federal investigators about "all transactions. This includes but is not limited to, all of his experiences, whether illegal or not, with the Bexar County Sheriff's Office, the BCSO Benevolent Fund, Michael LeBlanc, Patrick LeBlanc, Premier Management Enterprises, LCS, Louisiana Corrections Systems, and affiliated persons and entities," states a letter from Reed to Reynolds' lawyer, outlining the plea deal. Louisiana-based Premier and the prison-building company called LCS Corrections Inc., which is also owned in part by Michael and Patrick LeBlanc, operate in five South Texas counties, Louisiana and Alabama. Lopez and Reynolds weren't the only one to benefit from their ties to Premier. The Express-News has reported that Premier also gave a contract for temporary staffing to John E. Curran III, who, like Reynolds, is a friend of Lopez's and a member of the Bexar County Benevolent Fund board. Premier gave Curran the staffing business after he'd voted to give Premier an initial commissary contract. He later recused himself from further votes about Premier. In summer 2006, Reynolds, in a desperate attempt to cover up the real reason he'd taken money from Premier, handed out envelopes full of cash to his friends, purportedly college scholarships for their children. District attorney investigators said Reynolds concocted the Optimists scholarships as a disguise. One of the students whose parent received the $7,500 told investigators "he did not know the name of the organization that awarded him the scholarship money, he didn't know about an organization named Optimist, nor does he know what the word 'optimist' means." In fact, Reynolds' affiliation with the Optimists had ended years earlier, investigators found.
Bexar County Sheriff Ralph Lopez and some of his friends weren't the only ones in South Texas who enjoyed the benefits of helping Premier Management Enterprises secure lucrative jail commissary contracts, according to interviews and records examined by the San Antonio Express-News. Like Lopez, the sheriffs of two other counties awarded contracts to the Louisiana jail services company, and either they or their associates reaped financial benefits. Those sheriffs, now out of office, also boasted to their staffs about going on a golf and fishing trip to Costa Rica with Premier officials, the same trip that last week forced Lopez to resign. Here in Kleberg County, then-Sheriff Tony Gonzalez, a close friend of Lopez, gave Premier a contract to run his jail commissary when he was in office in 2004 and has been paid by the company for consulting work of an unknown nature. "I've done some consulting for them here and there," Gonzalez told the Express-News during a brief interview at his ranch-style home on the outskirts of Kingsville, declining to elaborate. "I'm just down here keeping my nose clean." In Nueces County, one associate of former Sheriff Larry Olivarez, another Lopez friend, reaped rewards after helping Premier win a jail commissary contract there in 2005. The associate, a commercial real estate broker who was appointed by the sheriff to an ad hoc committee that awarded the contract, later earned a commission from the sale of 56 acres where LCS Corrections Services Inc., another company owned in part by Premier's principals, is building a private detention center, the Express-News has learned. In addition, the former sheriff's chief deputy won political backing from LCS when he ran as a candidate to replace Olivarez, who had stepped down to run for county judge. Premier, which has come up repeatedly in an ongoing public corruption investigation in Bexar County for doing favors for influential people in a position to help the company, has denied any wrongdoing. That investigation, so far, has narrowly targeted only individuals in Bexar County, such as Lopez and his longtime campaign manager, John Reynolds, and Reynolds' financial relationship with the sheriff's wife. Lopez, Reynolds and at least one of their associates helped Premier land the local jail food commissary contract in 2005. As part of an immunity deal with Bexar County District Attorney Susan Reed, the sheriff resigned, effective Sept. 19, and pleaded no contest Tuesday to three misdemeanor charges, two of which were related to the Costa Rica golf outing he accepted from Premier. The deal protected him from further state prosecution; his wife wasn't indicted. Reynolds, who played a key role in awarding the contract to Premier, is suspected by Reed of bribery, extortion, theft, money laundering and campaign finance violations. He also went on the Costa Rica trip and received checks totaling more than $30,000 from Premier and one of its owners for consulting and donations to fake charities Reynolds set up. An associate of both Reynolds and the sheriff, John E. Curran, voted with Reynolds on a jail board to give Premier the commissary contract, then won a contract himself from Premier to provide temporary workers for the operation. Largely unexamined is the broader picture of how Premier, its owners, Patrick and Michael LeBlanc, and LCS conducted a business expansion with local government partners throughout South Texas. A closer look at some of those operations reveals similarities in conduct with local officials that have drawn none of the law enforcement or media scrutiny seen in Bexar County. Nueces County Sheriff Jim Kaelin, who succeeded Olivarez, is among those who have been watching the news from San Antonio with keen interest because LCS is about to open an 800-bed prison in his county. So far, no law enforcement agency has contacted him, Kaelin said. Close relationships -- LeBlanc-run companies Premier and LCS operate jail-related businesses in five South Texas counties. The first started in Brooks County in 2000. They have embarked on an aggressive expansion in recent years that has capitalized on tighter federal immigration control policies. In addition to the work at Bexar County Jail, the companies also operate jails, commissaries or full-scale prisons in Brooks, Kleberg, Hidalgo and Nueces counties. They also run four jails in the LeBlancs' home state of Louisiana and one in Alabama. Current Texas law makes sheriffs key gatekeepers for contracts such as those sought by Premier and to a certain extent by the prison-building LCS. Under current law, Texas sheriffs have almost unchecked authority to contract management of their commissaries with no competitive bidding. County commissioners must approve deals to build private prisons but often keep their sheriffs closely in the loop as resident overseers and advisers. Premier, LCS or sometimes both arrived in counties served by sheriffs who maintained close personal relationships with one another and with Bexar County's Lopez, according to interviews with personnel in several offices. Lopez's office calendar for the past few years shows he often traveled to visit Kleberg's Gonzalez on weekends for golfing and that Gonzalez traveled to San Antonio. The calendar also shows a number of trips to visit Olivarez in Corpus Christi, where he still lives in a house near a golf course. At the Kleberg County Sheriff's Office, Gonzalez's former staffers say the three were often joined in golfing and hunting outings by other sheriffs and elected officials in counties where Premier or LCS are doing business today. Among them was Balde Lozano of Brooks County, who did not return three calls for this story. "He kept a close-knit circle of friends," said Yvonne Barbour, Gonzalez's former office administrator. "I know Tony was a big golfer." Those relationships would later prove mutually beneficial for the Louisiana companies and the sheriffs or their friends. Gonzalez, for instance, used his relationships in Nueces County to help Premier and LCS gain entrance there. Assistant Deputy Chief Peter B. Peralta, who worked in the office when LSC first began courting county business, remembered that it was Gonzalez who made the introductions. Later, Gonzalez approved giving Premier a food commissary contract for his jail during his final weeks in office. At some point either before or after Gonzalez left office in late 2004, he accepted private consulting work from Premier's owners, he and a company official acknowledged. When Gonzalez transferred the commissary contract to Premier, two lifelong Kingsville residents, brothers who run a small local grocery, felt the pain. Betos Community Grocery had held the contract since the 1970s and had come to rely on the modest commissary revenue as competition from large grocery stores cut into Betos' bottom line. They were told they should only bid for the contract if they had a sophisticated computer system. "We didn't even get one computer until last year," said Juan Garza, who co-owns the grocery with his brother Albert and supported Gonzalez's last failed re-election bid. "It hurt." It remains unclear what kind of consulting work Gonzalez did for the company or when it started. But former five-term Brooks County Judge Joe B. Garcia recalled one occasion — after Gonzalez lost his election — that he came calling, apparently after hearing that Garcia had begun agitating for Brooks County to renegotiate better terms from its LCS detention center contract. It was during this time that Gonzalez phoned Garcia wanting to meet for lunch and talk about local LCS operations. "I've known Tony for a while. But I didn't want to talk to him about my contract with LCS," Garcia said. Garcia remembered another story he found disturbing, when Michael LeBlanc himself showed up at his office, accompanied by the man Garcia had just beaten in the election. That LeBlanc would travel to South Texas was not unusual; he often has personally tended to his business affairs. But Garcia said what he heard made him feel uncomfortable. "They said if I had a campaign debt, they would contribute to my campaign," Garcia said. He said he told them he had no campaign debt to pay off and wouldn't have accepted the offer even if he did. "A lot of people try to do those type of things," Garcia said. "I've always been the type who, hey, I've worked hard for my education. I don't have fancy cars, no ranches." Attorneys for LCS and Premier have declined all requests for interviews regarding the ongoing investigation in Bexar County or for this report. Last year, the LeBlancs sued the Express-News, alleging they were libeled in articles the paper published in late 2005. The lawsuit is pending. But Chris Burch, chief executive officer of Premier, acknowledged that Gonzalez had done some consulting work for the company under an arrangement with a predecessor, Ian Williamson, who is no longer with the company. Burch said he was not privy to any details about that work. Gonzalez still may be working for the company as a paid consultant, Burch said. "I do know he has done some consulting work, but I'm not the one who put this together." Benefits and campaign -- Like Gonzalez, then-Nueces County Sheriff Olivarez helped Premier land a commissary deal in his jail during his final days in office in late 2005. He then quit, as required, to run for county judge. During his time as sheriff, LCS had a "pass through" contract with Nueces to refer federal prisoners to its other Texas facilities, and it advanced a proposal to build the 800-bed detention center, now nearing completion. The project is expected to generate $800,000 for the county in inmate transfer payments, plus $350,000 to $400,000 in taxes. The Express-News has learned an ally of Olivarez benefited financially from LCS' effort to build the detention center — after helping the sheriff give the jail commissary contract to Premier. Corpus Christi commercial real estate broker and developer Tim Clower served in late 2005 on an ad hoc selection committee the sheriff appointed to examine bids for the commissary management job, according to the office of Kaelin, the current sheriff. In February 2006, several months after Clower voted for the commissary contract, he brokered a real estate purchase of 56.6 acres on behalf of LCS for the $20 million detention center. The property's seller, Patricia Ann Bernsen, said Clower's company approached her and brokered the purchase of her farmland for $4,000 an acre, or $225,000. "He did get a commission, that's for sure," Bernsen said, declining to say how much. "It was a good commission." On average, commercial real estate agents earn between 6 percent and 10 percent, according to one South Texas commercial real estate broker. At the time of the sale, the 2006 sheriff's primary race was heating up. Clower co-signed for a $20,000 campaign loan to Olivarez's former chief deputy, Jimmy Rodriguez, whose opponent at the time was publicly criticizing him for helping bring LCS to town. LCS went to Rodriguez's aid by lambasting his opponent. At one point in the campaign, LCS went public with a threat to halt construction of its detention center if Rodriguez did not win the Democratic primary. "We're not going to work with or for someone who doesn't respect our company," Michael LeBlanc was quoted in the Corpus Christi Caller-Times as saying about Rodriguez's opponent. "If Mr. (Pete) Alvarez wins, we're out of Nueces County — plain and simple," LeBlanc said. Rodriguez won the primary but lost the general election. Last week, he insisted that he was paying off the $20,000 bank loan he said Clower co-signed. "He's been a friend for a long time," Olivarez's former chief deputy said of Clower. "He had a long history with the department before we even got there." Clower did not return repeated calls seeking comment about the loan or his commission on the LCS land purchase. Traveling together -- The Express-News could not substantiate or refute comments from those in the Sheriff's Office that Olivarez, while he was sheriff, went on the same Costa Rica trip in August 2005 with Lopez, Reynolds and Premier officials. Olivarez did not return numerous phone calls or respond to a message left during a visit to his home. Kaelin said Olivarez boasted of the Costa Rica trip and a separate hunting trip to employees who remain on staff. Kleberg's Gonzalez, while in office, also told some of his staff of going on the same Costa Rica trip, said Kleberg Sheriff Ed Mata, who beat Gonzalez in the 2004 election. Mata conceded that he can't prove the story, but he wondered why no one has investigated as in Bexar County. Gonzalez, during the recent interview at his home near Kingsville, was asked several times if he would deny going on the trip. He declined each time. The Costa Rica trip was not the only reputed benefit Kaelin heard about in regard to Olivarez. Shortly after taking office, Kaelin said, a staff person phoned him to report that Olivarez had appeared with a small group of businesspeople seeking to tour the detention center project. Kaelin said he was told that Olivarez had represented himself as an "unpaid spokesperson for LCS." Kaelin called LCS officials to inquire as to whether Olivarez might have been hired to run the detention center, a prospect Kaelin worried would undermine his office's working relationship with it. But he was told Olivarez had no known connection to the company or employment prospects. Bexar Sheriff Lopez's office calendar indicates he planned to attend the detention center groundbreaking with Olivarez on Feb. 23, 2006, after Olivarez had left office to run, unsuccessfully it turned out, for judge. Today, Olivarez works as a manager for the Corpus Christi branch of CGT Law Group International, according to a woman who answered the phone there. Richard Harbison, a vice president in charge of LCS' Texas operations, is certain that Olivarez has had no financial relationship with LCS. As he was preparing to take his own vacation to Costa Rica, Harbison also said by phone that he was unaware of any paid trips involving sheriffs in Texas and the LeBlancs. Burch, of Premier, said he was not working for the company at the time of the August 2005 trip. In Bexar County, where the public corruption investigation has been in high gear lately, District Attorney Susan Reed has said she is mainly interested in prosecuting local individuals such as Reynolds, whom she called "rotten fruit." None of Premier's San Antonio offices have been searched, Reed acknowledged. "I'm not finished, so I'm not ready to make any definitive determination yet" about Premier, she said. The FBI and Texas Rangers, which have been involved in the Bexar County investigation, aren't commenting. Patrick LeBlanc, who last week formally became a candidate for the Louisiana Legislature, is running in part on a message that he will fight against political corruption that "robs us of our confidence in government." Last week, he told the Lafayette Advocate that he has been cooperating with investigators in Bexar County but couldn't elaborate. "We haven't done anything wrong," he told the newspaper. "I would never, ever risk my integrity over selling candy bars and potato chips."
September 1, 2007 San Antonio Express-News With an indictment hanging over his head, Sheriff Ralph Lopez resigned Friday in a deal struck with prosecutors that guarantees him no jail time in exchange for a no contest plea and $10,000 fine, a source familiar with the negotiations told the San Antonio Express-News. Lopez's brief resignation letter marked the end of his 15-year reign as Bexar County sheriff. The letter was faxed to District Attorney Susan Reed at 5:36 p.m., following what the Express-News confirmed were ongoing negotiations about resolving his criminal case. Lopez faces misdemeanor charges stemming from an investigation into a jail commissary contract awarded to a Louisiana private jail services company called Premier Management Enterprises. "I, Rafael Lopez, hereby resign my position as Sheriff of Bexar County, Texas, effective at 5:00 p.m. on August 31, 2007," Lopez's resignation letter said. Reed turned the resignation letter over to Commissioners Court, whose members plan to meet Tuesday to begin choosing a successor. A new sheriff could be named by Sept. 19. The resignation was the product of a deal Lopez and his attorneys struck with Reed's office, a source familiar with the agreement confirmed. Under the undisclosed terms, Lopez agreed to plead no contest to all three misdemeanors, and to pay a $10,000 fine. A review by the Express-News of the court's records Friday showed no plea agreement was filed, and judges who could have formalized the deal had left the building by the time Lopez's resignation was made public. Sources familiar with the negotiations, however, confirmed the sheriff will formalize the proposed deal in front of a judge, possibly as early as next week. Reed declined to comment. So did Lopez's lawyer, Mike McCrum: "I cannot comment about anything regarding his pending case," he said. After formally resigning, Lopez retreated to the privacy of his Leon Valley home, which raided last week by investigators, and did not answer calls from the media. Through other officials, he requested to be left alone. County Commissioner Paul Elizondo said Lopez may issue a public statement in the coming days. The indictments against Lopez, issued just as the statute of limitations was about to expire, are part of a broader ongoing investigation into just how Premier Management Enterprises came to win the jail commissary contract. Lopez faces three misdemeanor counts: accepting a gift, accepting an "honorarium," and failing to disclose the gift and honorarium in his finance reports to the county. The alleged gifts were in the form of a golfing and fishing trip to Costa Rica in August 2005, at a time when Premier's contract was in jeopardy. Key questions remain unanswered. Chief among them is whether Lopez or his wife, Nancy Lopez, still might be subject to charges in the public corruption investigation. She has been named as a suspect in bribery, money laundering and campaign finance law violations. Also unknown is whether Lopez and his wife will become cooperating witnesses against others who have been named as suspects or who have been called before the grand jury. The grand jury's term was extended until late September. "The sheriff clearly wants to spend more time with his family, and he's confident that his department is being left in capable hands," said McCrum, who declined to comment on Nancy Lopez's status or any possible deal involving Lopez himself. "He's proud of the Bexar County Sheriff's Office and that it is in capable hands. Because of a lot of different factors, he's decided to resign to spend more time with his family." County officials called a news conference late Friday afternoon to announce the resignation. Bexar County Judge Nelson Wolff described a calm, professional interaction with the sheriff during which Lopez disclosed his intention to resign. Wolff said he didn't ask Lopez any questions. "He did say he's going to take some time with his family and wanted some privacy," Wolff said, later adding: "The last two or three weeks have obviously been difficult. I think at least I feel relieved in the sense that it's come to a conclusion, and we now know a timeline in which we will take action. It's never good when any elected official has legal problems." Elizondo and Commissioner Tommy Adkisson also expressed regret. "It is sad for a person who came in with great aplomb and reception ... to come to this juncture," Adkisson said. "I had a very good relationship with the sheriff, and I always really respected him," Elizondo said. "He's had an outstanding career in law enforcement and he's done a lot to modernize and upgrade the Sheriff's Office during his career. It's sad that it comes to this juncture." Wolff said he had no successor in mind for Lopez. Sheriff's Deputy Al Damiani, president of the Bexar County Sheriffs Deputy Law Enforcement Officer's Organization, long considered a Lopez ally, expressed dismay over the resignation. The union, known as LEO, has had its records subpoenaed, along with some of its top members, and long has retained longtime Lopez campaign manager John Reynolds as a political consultant. The investigation into the jail commissary contract also has encompassed Reynolds, who served on the nonprofit board. "If this hadn't have come up, they would have been naming buildings after Ralph Lopez," Damiani said. "He took our organization from the dark ages to a situation where we're a viable modern law enforcement organization." Damiani, who only recently became LEO's president, said he has ordered a full 10-year audit of the organization's books that will focus on any dealings involving Reynolds. He also urged Commissioner's Court to appoint an interim sheriff who knows the department well and isn't currently a declared candidate for the office. He said the office has been in "absolute turmoil." "We want someone who can stabilize things and get us back to the business of serving the public," Damiani said. Premier took over management of the jail food commissary contract at the urging of Lopez, who used close associates on a nonprofit corporate board overseeing the jail commissary to push the contract through when a majority of other board members were prepared to vote it down. Through their attorneys, Ralph and Nancy Lopez and Reynolds have denied any wrongdoing.
Bexar County Sheriff Ralph Lopez was indicted Thursday on three misdemeanor criminal charges related to benefits he allegedly took from a jail contractor, but the four-term officeholder avoided the indignity of getting booked into his own jail. The indictments accused Lopez of accepting and failing to report a gift and an "honorarium" — both involving the same 2005 all-expenses paid golfing/fishing trip to Costa Rica — from a company he helped get the contract to run his jail's food commissaries. In particular, the indictments allege that he solicited and accepted food, lodging, transportation and entertainment, including golfing and fishing, from two officials of Louisiana-based Premier Management Enterprises, which now runs the commissaries. One indictment labels the trip as a gift to a public servant; the other an "honorarium," or informal payment, that "was in consideration for services that the defendant would not have been requested to provide but for defendant's official position and duties." The third charges that he failed to report the gift on his personal financial disclosure form. Lopez remains in office, as allowed by law for an official under indictment, but if found guilty, Lopez would be automatically disqualified for service and could end up behind bars. Despite warrants issued for his arrest Thursday, Lopez never had to join his prisoners. After reporting to a judge, he was allowed to remain free on a personal recognizance bond. The charges are the first to surface as part of a wider-ranging public corruption probe that District Attorney Susan Reed said focuses on the relationship between Premier, Lopez, his longtime campaign manager John Reynolds, members of a nonprofit board the sheriff set up and appointed to run the jail commissaries, and others. Attorneys for Premier did not respond to requests for comment Thursday. After testifying under subpoena for 45 minutes before the grand jury Thursday morning, Lopez said, "I've done nothing wrong." A Democrat who recently announced he would run for re-election next year, Lopez called the 18-month investigation by Republican Reed "a political witch hunt." Jason Davis, one of Lopez's attorneys, said, "We are looking forward to our day in court." In previous interviews, Lopez has acknowledged accepting the trip to Costa Rica for an undisclosed business purpose, a kind of favor to friends, but has insisted it had no bearing on his decision to help Premier take over the jail commissaries. He maintains he has never received any form of payment from Premier for his help. Reed characterized the indictment of Lopez as merely a stepping-stone in an investigation that is far from over, involving the FBI and Texas Rangers. She said the misdemeanor indictments against Lopez were presented Thursday only because the legal time limit for filing such charges would have ended on Monday. Reed dismissed the sheriff's accusation that the investigation was political, noting that it began long before Lopez declared he would run for re-election. "That is a fairly typical response from any politician who has been indicted. In fact, I can't remember anyone not claiming that," she said. "The sheriff has run for office before and I have kept my distance. I didn't even support the candidates who were running. I made no public endorsements. I felt I needed to work with him. He's the sheriff." The charges against Lopez fall short of more penalty-heavy public corruption or bribery, which challenge prosecutors to present evidence that meets a more stringent standard. Instead, the two charges characterizing the trip as a payment or benefit, if proved, each carry up to a year in prison, a $4,000 fine, or both. A third charge accusing Lopez of failing to report it as required on financial disclosure statements carries a penalty of up to 180 days in jail and a $2,000 fine. Jail business -- The sheriff's Costa Rica trip came at a time when Premier's prospects of getting the jail business was in jeopardy, and he wasn't the only one who benefited from a relationship with the company. Until the fall of 2005, the county's two jail commissaries were being run and managed directly by the sheriff's office through the nonprofit Benevolent Fund. By most accounts, the commissaries were run efficiently and had some $2 million a year in revenue. But starting earlier in 2005, the sheriff began pushing hard for his appointed board members to hand over management to Premier, on grounds that a private company could run the commissaries more professionally. Premier's principals were brothers Michael LeBlanc and Patrick LeBlanc, as well as CEO Ian Williamson. But some of Lopez's own staff and appointed Benevolent Fund board members strongly objected to the change. A background check turned up information about Premier that was generally critical of the company and cited specific examples where another company run by the LeBlancs, a private prison firm, had faced legal challenges to their operations. A majority of board members were prepared to vote against the project. Even Lopez momentarily withdrew his support, but he was soon pushing for it again. A key meeting that broke the logjam occurred in August 2005, when Reynolds became chairman of the board and pushed the Premier contract forward, minutes show. In a recent court filing seeking to force Reynolds to give up handwriting samples, the district attorney's office accused him of accepting more than $27,000 in unreported "donations" to "shell" charities and "consulting" fees from Premier during the time that Reynolds was also helping the company win the jail commissary business as a sheriff-appointed member of the Benevolent Fund board. He is a target of the investigation, subpoenaed at least three times by the grand jury. Neither Reynolds nor his attorney has returned phone calls. He has invoked the Fifth Amendment right against self-incrimination all three times. It was also later that month, from Aug. 20-23, that Lopez accompanied Michael LeBlanc and Ian Williamson to Costa Rica, according to the sheriff's calendar and the indictments. Investigators have interviewed a number of other current and former Benevolent Fund board members. Among them is John E. Curran III, a longtime political and business associate of both the sheriff and Reynolds. The Express-News reported July 29 that Curran runs a temporary worker company that got a contract to staff Premier's commissary operations after he helped the Louisiana company overcome Benevolent Fund board opposition to gain a footing at the jail during the summer of 2005. Curran said he fully disclosed his contract, worth an estimated $15,000 annually, to the sheriff and fellow board members and abstained from further voting as a board member on Premier business.
In the summer of 2005, a determined effort by Bexar County Sheriff Ralph Lopez to privatize the county jail commissary stores — which generated some $2 million a year in gross sales — was on the verge of foundering. In Texas, elected sheriffs enjoy wide leeway and independence in managing and operating county jails, including the jail commissary, where inmates can purchase everything from snacks to toiletries. But Lopez had met strong resistance from several board members of a nonprofit "Benevolent Fund" corporation that he had established several years earlier to run the commissaries. They saw no good reason to contract out the operation to a private vendor of Lopez's choice, Premier Management Enterprises, or any other business. The deal seemed all but dead when Premier's fortunes took an abrupt turn for the better. Some board members, including the chairman who staunchly opposed the deal, resigned. The new leaders of the board along with a new member, all allies of Lopez, would push the Premier contract through the rough patch. Within weeks of the contract approval by the sheriff's Benevolent Fund board in August 2005, Lopez, an avid golfer known to travel the country playing at elite resorts, was visiting Costa Rica, where he spent time on the greens with Premier officials at the expense of Premier's principal owners, Patrick and Michael LeBlanc. Later, less than a month after the contract was officially inked, board Chairman John Reynolds was allegedly depositing the first of four checks totaling $27,500 from Premier into accounts named for charities that were "shells" and "fronts," according to court documents filed by a district attorney investigator. And within four months, board Vice Chairman John E. Curran III was preparing to cut his own financial side deal with Premier. Curran's temporary worker company, PersoNet, now provides the very commissary employees that Premier uses to carry out the contract Curran helped along as vice chairman. In a recent interview, Curran said his own ongoing business with Premier, based in Louisiana, to supply the jail commissaries with about a dozen temporary workers is worth between $12,000 and $15,000 a year to him. Curran said he did nothing criminally or ethically wrong, and that he verbally disclosed the relationship with Premier to the sheriff and abstained on relevant votes once his company had Premier's business in April 2006. "I had the sheriff's permission prior to doing any business with Premier, and I asked the board's permission. Both granted it," Curran said. "I wanted to be sure there was no conflict of interest. I did not want anyone to find out in the newspaper, or any other way, that one of my clients was Premier." The sheriff did not reply to several telephone messages last week. Neither Reynolds nor his attorney returned messages requesting comment for this article. Even if no laws were broken, disclosures about Premier's generosity toward elected and appointed officials who have helped it win lucrative contracts have left — at the least — a public perception of wrongdoing in how the sheriff and his allies conduct business. "Ugh," Bexar County Judge Nelson Wolff groaned when told of Premier's arrangement with Curran's company. "This thing's worse than it already has been. This is not good at all. Nothing about it looks good. Whether you've violated a criminal act or an ethics issue, or neither, it's still not appropriate behavior. It looks bad." District Attorney Susan Reed's public corruption investigators, joined by the FBI and the Texas Rangers, are conducting interviews and have sought grand jury subpoenas regarding Reynolds. On several occasions, he's invoked his Fifth Amendment right against self-incrimination in response to subpoenas, according to court documents. First Assistant District Attorney Cliff Herberg said his office would not discuss the investigation. Curran acknowledged that investigators have questioned him about PersoNet's relationship with Premier. Asked if he had ever shared any of the Premier revenue with Reynolds or anyone else, Curran replied: "I'm not sharing my revenue with anyone but my kids. My staff is not donating to anybody. There's just nothing there." One of Premier's attorneys, Tonya Webber of Corpus Christi, wrote in an e-mail reply, in part, that: "Temp-to-hire services are a prudent business practice. This was an arms-length transaction documented in writing with an experienced temp-to-hire company." Webber said she wasn't at liberty to respond to specific e-mailed questions, such as why Premier chose a Benevolent Fund board member's company, rather than more than a dozen other area licensed temp worker companies. Created in 2002 by Lopez, the Benevolent Fund appears to be the only one that exists in the state for the purpose of running a jail commissary. Sheriffs in other counties have contracted the job directly with private companies in line with state laws that allow them to do so without competitive bidding. Because of the Benevolent Fund's unique existence and function, said Lauri Saathoff, a spokeswoman for the Texas attorney general's office, the question of how the state's conflict of interest law might apply has never come up. "We don't have any previous attorney general's opinions for a board like this," Saathoff said in response to an Express-News request. Three-way alliance -- Curran's ties to the sheriff and Reynolds date to the late 1990s when Curran worked as a senior analyst in the Bexar County Personnel Division. Close alliances were built among the three over the years, each assuming positions of potential benefit to the others. Lopez and Reynolds have known each other for at least 15 years; Lopez has hired Reynolds as his campaign manager for years and once made Reynolds his chief of staff. Curran began serving on various boards alongside Reynolds, doing business with a deputies' union considered aligned with Lopez, and working on the sheriff's campaigns that Reynolds managed. While Reynolds was chairman of the West San Antonio Chamber of Commerce, which he helped found, Curran was treasurer. Reynolds also nominated Curran in 2004 for appointment to the Alamo Workforce Development board, one of 28 such boards across the state that spend Texas Workforce Commission funds to help the unemployed find work. Curran and Reynolds also share a connection through the Bexar County Sheriff's Deputies Law Enforcement Organization's union. The fact that LEO routinely hires Reynolds as its paid lobbyist has led to the perception among some deputies that Lopez wields some influence over the organization. LEO also has given consulting contracts to Curran to conduct salary surveys the union uses to justify pay raise requests, he said. And Lopez's wife, Nancy, served at one time with Reynolds on a now-defunct nonprofit fundraising arm of LEO. Curran, for his part, said he has donated PersoNet's "time and energy" to man phone banks soliciting past Lopez election campaign contributors and will again for the sheriff's 2008 re-election campaign. When Lopez founded the Benevolent Fund, Curran was among the first whom the sheriff asked to serve on it. The alliance between Curran, Reynolds and the sheriff would come into play at a critical moment during the summer of 2005, in ways that would yield fruit for more than just Premier. Opposition to proposed contract -- Starting in early 2005, when commissary revenues were approaching record highs of $2 million under Benevolent Fund board management, Lopez began pushing for Premier to run the jail annex commissary, the smaller of two, on a six-month trial basis. If that worked out, the contract would be expanded to the main jail commissary. Rather than contract out the commissary at first, Lopez had opted to set up a Benevolent Fund with a seven-member board to do the job in-house. He has authority to nominate and appoint members. Lopez said last month that he later wanted to switch to Premier because the commissary operations were outgrowing the limited expertise of board members and it was time for professional management. "None of us had experience," Lopez said. "Running a jail is not just putting guys in jail. It's detention ministries; it's banking and other services. It's all comprehensive." Some of the sheriff's subordinates on the board immediately opposed the change. But the endeavor did not run into serious trouble until the eve of a scheduled board vote on the pilot contract June 22, 2005. The chairman at the time, Deputy Chief Amadeo Ortiz, released the results of a background investigation of Premier that he had quietly commissioned from the Houston law firm McFall, Sherwood & Breitbeil. The report was generally critical of Premier and cited specific examples where another company in which the LeBlancs also were shareholders, LCS Corrections Services Inc., had faced legal challenges to their operations. The background report — and a financial analysis projecting an initial revenue loss of $103,790 if Premier took over — raised sufficient concern for Reynolds to table the Premier contract that day, according to meeting minutes and two former board members. Ortiz, who resigned from the board shortly after that meeting and is running for sheriff against Lopez, said he believes he knows why. "It would have failed a vote at that time," said Ortiz, guessing the board would have voted 4-2 against Premier. "My fellow board members didn't like the contract because there was nothing wrong with the way the commissary was being run." Even the sheriff momentarily wavered in his support for Premier because of the background report. But Lopez was soon pushing again. And in the sheriff's corner, Ortiz and another board member said, were the only two who had supported the proposal all along and who would go on to break the stalemate: Curran and Reynolds, "the two Johns," as Ortiz and other board members sometimes referred to them. Doing 'business with friends' -- On Aug. 9, 2005, Reynolds and Curran called a special meeting. Ortiz had by then resigned, and the two other board members were out of town, at least one of whom was firmly opposed. Reynolds and Curran were joined by Dr. Bert Cecconi, a 71-year-old dentist and occasional candidate for local political office who had recently been added to the board. Only weeks earlier Reynolds has asked him to join the board as a favor to the sheriff, Cecconi recalled in an interview last week. He said he'd gotten to know Reynolds and Lopez over the years at Saturday morning community breakfast meetings downtown. The three, enough for a quorum, elected Reynolds the new board chairman and Curran the new vice chairman. Lopez put in a brief but rare appearance at the meeting. Then, according to meeting minutes, the trio "approved and unanimously recommends implementation immediately" of the Premier annex commissary tryout program. Curran acknowledged the purpose of that Aug. 9 special meeting. "That meeting was called to help get things going forward," he said. "We were just trying to coordinate it to get things up and going." Cecconi, who described himself as a "passive member" of the board, said he served for just four meetings, dropping off shortly after signing the Premier contract. Cecconi was given to believe the Premier deal was a routine matter requiring little scrutiny. "To me, I thought it was like a machine with Cokes coming out of it or something. I didn't know it was a major deal," Cecconi said last week about transferring the $2 million a year jail commissary operations to Premier. "I probably just said, 'OK.' I didn't give it much thought, for better or for worse." Later that month, from Aug. 20-23, the sheriff, who frequently played golf with Premier's owners, traveled to Costa Rica, his office calendar shows. Lopez recalled last month that the LeBlancs paid all of his expenses to Costa Rica for an undisclosed business trip, unrelated to county affairs, that included tee time. Lopez still refuses to fully disclose the business purpose of the trip, only that it involved a favor to his Premier friends, a foreign ambassador and a senator, neither of whom he would name in deference to a confidentiality agreement he said he struck with all involved. He also said he was not paid. "The LeBlanc people paid for the Costa Rica trip," the sheriff said. "I was over there carrying my resume with me for credibility for part of the trip." From August on, Lopez and Premier would encounter no more dissent. After several resignations, the board, under the guidance of Chairman Reynolds and Vice Chairman Curran, would reconstitute itself with new members who would continue clearing the path for Premier's pilot six-month contract. On Oct. 19, 2005, Cecconi, as board secretary, signed the contract with Premier for the pilot program, a copy of the agreement shows. A short time later, Cecconi dropped off the board. He told the Express-News his dental practice had gotten too busy. About three weeks after the contract was signed, Premier wrote a $5,014 check for "consulting" to Systems Analysts Inc., described as Reynolds' "alter ego," according to allegations by district attorney investigators. Three more Premier checks, totaling another $22,500, to Reynolds-controlled accounts would follow, according to court filings. Webber, Premier's attorney, said last month when asked about the checks that there is no evidence of Premier being connected to any alleged wrongdoing. Curran's firm gets hired Once Premier had its signed the pilot contract, Curran said a company official asked him for advice about staffing the limited operation. Premier was going to need only four of its own workers. Curran said he offered to let Premier conduct interviews in the offices of PersoNet, free of charge, as a favor. As vice chairman, Curran continued to consider and discuss Premier's status until about February 2006, by which time the tryout period was more than half over, and it was clear to board members that Premier would secure a five-year contract to run both jail commissaries. Curran confirmed that was about when Premier first broached the topic of his company getting paid to provide commissary workers for the anticipated expansion. He said he tried to refer the business elsewhere but that the company insisted on PersoNet. "They said, 'We need employees,'" Curran recalled. "I recommended a couple of different avenues for them because I am in the business, and they chose not to follow those, so ..." While there are a dozen licensed temporary staffing companies in the greater San Antonio area, Curran said Premier preferred to do business with him because "I guess it's all networking. You like to do business with friends." During the February 2006 board meeting, minutes show, Reynolds disclosed Curran's pending business relationship with Premier. The sheriff, Reynolds announced, had requested that Curran's company "bid" on work to supply Premier with workers. Curran's fellow board members then approved a motion that he recuse himself "from voting on matters that may create a conflict of interest with the (Benevolent) Fund's activities," according to the minutes. When the time came for the Benevolent Fund to extend the contract in April 2006, Curran abstained. PersoNet had penned its deal with Premier. Once Premier had all the commissary business, the Benevolent Fund no longer needed to employ the 13 commissary workers. Some were laid off; others were encouraged to reapply to Premier for their old jobs, at substantially lower pay and with no benefits, according to two former employees. PersoNet handled the initial reapplication process, bringing some of the old commissary employees into PersoNet's fold as temporary workers. It also became the equivalent of Premier's human resources department, outsourced. Curran said he hopes his company grows with Premier, which has contracts elsewhere in South Texas. "We want them to do well, both as a board member and as a client," Curran said. "Their success — just like all my other clients' success is — if I can help them be more successful, then I'm successful. "That's business."