Former Senior Policy Advisor to Austin City Official Sentenced for Federal Conspiracy
Former Austin Policy Advisor Sentenced for Federal Fund Misuse and Record Falsification
Frank Rodriguez, a former senior policy advisor to an Austin city official, has been sentenced to three years of probation and ordered to pay $21,375 in restitution for conspiring to misapply federal funds and falsify records during a federal investigation. The sentencing was announced by U.S. Attorney Jaime Esparza for the Western District of Texas.
Rodriguez, 73, of Dripping Springs, pleaded guilty to the charges, admitting his involvement in the conspiracy. According to court documents, in April 2015, Rodriguez began serving as a senior policy advisor. Prior to this role, he was the executive director of a local nonprofit and a member of a city advisory commission.
In June 2015, while employed by the city, Rodriguez submitted an application to the U.S. Centers for Medicare and Medicaid Services on behalf of the nonprofit for federal Affordable Care Act navigator grant funding. In the application, he falsely claimed to be the nonprofit’s “Chief Development Officer” and “Authorized Representative.” As a result, the nonprofit was awarded a federal grant in September 2015.
Shortly after the grant was awarded, Rodriguez emailed a nonprofit employee to ensure they were “on the same page with respect to [his] fee” for the grant, which was “10% of the grant.” In December 2015, he sent a draft “consulting agreement” to the nonprofit employee, indicating it was designed to address “any issue that someone might have that the payments are for navigator grant work.” Between December 2015 and December 2016, Rodriguez received more than $20,000 in “consulting fees” from the nonprofit, which were, in fact, a commission for his work on the grant application.
While employed by the city, Rodriguez continued to support the nonprofit by providing confidential city information, advocating for the nonprofit’s funding, and undermining its competitors for city funding. His actions prompted an investigation by the Austin City Auditor’s Office in 2017. During this investigation, Rodriguez drafted and submitted a letter containing false statements about his relationship with the nonprofit. In June 2019, he falsely testified under oath at a city ethics hearing, claiming the payments he received were reimbursements for previous expenses incurred on the nonprofit’s behalf.
Rodriguez pleaded guilty to one count of conspiracy to misapply federal funds and falsify records. He was sentenced to three years of probation and ordered to pay $21,375 in restitution. He faced a maximum penalty of five years in prison, but the federal district court judge considered the U.S. Sentencing Guidelines and other statutory factors in determining the sentence.
U.S. Attorney Ashley C. Hoff of the Western District of Texas and FBI Special Agent in Charge Christopher Combs made the announcement. The FBI and the U.S. Department of Health and Human Services Office of Inspector General investigated the case. Assistant U.S. Attorneys Gabriel Cohen, Keith Henneke, and Alan Buie prosecuted the case.
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