The Texas Rangers on Wednesday arrested a former San Marcos city staffer and charged him with theft by a public servant, according to San Marcos city officials.
Jason Pence worked as the city’s former construction manager from May 2014 to December 2019, when he was placed on administrative leave. He was terminated Jan. 27.
“A December news article detailed concerns and prompted other individuals to come forward with information about potential improprieties,” the city of San Marcos said in a statement. “As a result, a criminal investigation was requested by the city of San Marcos and initiated by the Texas Rangers with assistance from the San Marcos Police Department.”
Community Impact Newspaper first reported on the matter in December. The newspaper quoted a city employee who said that Pence acted improperly on a project by bypassing the legally required competitive bidding process through the use of change orders.
The employee — director of the San Marcos Convention and Visitor Bureau Rebecca Ybarra — took her concerns to the city manager, who directed staff to conduct an audit on the project, according to a city statement.
“Due to the serious nature of the allegations brought forth regarding financial improprieties, the city immediately began both a criminal and an internal investigation,” San Marcos City Manager Bert Lumbreras said. “Both of these are still ongoing and we are committed to following through and ensuring that all criminal activity is prosecuted to the full extent of the law.”
The city has contracted with legal firm Deloitte & Touche LLP to evaluate the internal procurement process controls and maintenance and construction contracts that Pence oversaw since 2015, city officials said.
“I’ve committed to our City Council and to this community to fully investigate this situation,” Lumbreras said. “We’ve put many new controls and measures in place, including an internal procurement workgroup to ensure compliance with state law, and we will continue to diligently improve our operations as stewards of the city’s finances.”
Officers arrested Pence on Tuesday and booked him into the Comal County Jail, where he posted a $10,000 bond. The investigation is ongoing, and detectives could file additional charges against him in the future, city officials said.
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