In furtherance of OPA’s independence, Pai said he is “solely and specifically authorized to enter into employment contracts as he or she deems necessary.”
The source of funds to pay the services for OPA attorneys Brian McMahon and Joseph Przyuski “is held in a special account separate from the general fund to prevent any attempt to compromise or interfere with the activities of OPA by threats to its funding,” Pai said in response to Buckingham’s April 6, 2011 memorandum.
Pai said Buckingham’s memorandum “does not identify the legal vehicle to be utilized should you undertake further action; or, specifically identify the legal issues created by these contracts.”
According to Pai, OPA is “an independent agency, statutorily mandated to audit and investigate all other government agencies and departments.”
To protect OPA’s independent nature, Pai said the public auditor is “removable only ‘for cause’ and thus is protected from political removal for mere honest and aggressive performance of official duties.”
“You appear to take issue with this,” Pai told Buckingham, referring to Przyuski’s contract.
Pai said he has the “authority to change an employee’s duty stations if he finds such reassignment to be in the best interest of government.”
Pai said OPA “is and has been well aware of Mr. Przyuski’s whereabouts.”
Przyuski’s employment contract, Pai added, was modified “to reflect the fact the he no longer needed a housing stipend in Saipan.”
“It is OPA’s position that Mr. Przyuski’s duty station is in Saipan, as that is where his legal services are utilized,” Pai told Buckingham.
“It is important to note that the cost to the government for Mr. Przyuski’s legal services on an employee basis is an exceedingly low hourly rate, particularly in the light of the independent contract attorney costs other agencies of the CNMI are facing.”
“The contract you are ‘reviewing’ is a no cost change order extension of that original contract,” Pai told Buckingham, referring to McMahon’s contract originally executed in Dec. 2008.
In closing, Pai told Buckingham, “the very necessary statutory and constitutional independence guaranteed to OPA works to protect its employees and contractors.”
Pai said “the two contracts in question were executed according to practices, regulations and law that have been in place for many years. Without further clarification as to the statutory basis for the review and proposed action, OPA can say little more than that these are legally enforceable contracts executed by OPA pursuant to law.”
In the lawsuit filed in Superior Court, Buckingham and Finance Secretary Larissa Larson, through Assistant Attorney General W. Allen Hazlip, sought declaratory judgment on the contracts of Przyuski and McMahon who were hired by OPA.
The complaint described “that a controversy exists with respect to the validity of certain official actions that threaten an imminent waste of public funds.”
Upon request by numerous citizens, OPA through Przyuski investigated Buckingham’s hosting of a partisan “meet and greet” party at the residence of Gov. Benigno Fitial for the administration’s delegate candidate last year.
