- Part 2 -

Texas Lottery
An Open Records Nightmare!
What is the Texas Lottery Hiding?

2019

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brought to you by
The Lotto Report

lottoreport@lottoreport.com

Originally Posted: 08/11/19
Revised: 08/12/19 - Minor clarity changes

----------------

- A Must Read -
Complaint Letter to Governor Abbott
Posted 11/9/19 - Click here
Exhibits to letter:
Exhibits A - D - Click here
Exhibits E - J - Click here

- The Perks Of Running A Lottery -
Part 1 - Aug 11, 2019 - Texas Lottery Lacks Transparency
Part 2 - Aug 11, 2019 - An Open Records Nightmare - Below
Part 3 - Aug 21, 2019 - Running A Red Light To Travel
Part 4 - Oct 21, 2019 - Investigative Reporting -
Director Grief's Favorite Pastime, Traveling
Part 5 - To Come

----------------------------

Opinions and Editorial
by
Dawn Nettles, The Lotto Report

Allegations I've attempted to verify or toss out ....

1) Excessive travel and travel expenses incurred by Director Grief

2) Questionable Sponsorships, Advertising Expenses

3) Questionable Instant Ticket Licensing Expenses

4) I heard Mr. Grief was out of the office alot

Here's some of my actual Open Records Requests
and the responses I received from the Texas Lottery

I tried to obtain Griefs Credit Card
statements so I could verify his travel expenses ...

One June 5, I requested:
I would like to receive copies of Grief's state issued credit
card statements for the past two years. I assume he gets one
bill per month which means there should be 24 statements all total.

(Understand that a non state employee would think this
request would provide the information one was
seeking. I was seeking travel costs.)

On June 20, 2019, the TLC wrote
You requested: “I would like to receive copies of Grief's
state issued credit card statements for the past two years.”
Attached are documents responsive to your request.
Please note the statements from 2017, July and
August 2018 and April 2019 are not available.

On June 20, 2019, I wrote
Just curious, why are statements for 2017 not available?

On July 7, 2019 I wrote
When you sent GG credit card statements on June 20th,
you stated that some were not available. I wrote
back immediately and asked why. You never
did answer. As you will see, documents not
provided was the whole year of 2017, July
and August 2018 and April 2019.

I would like to obtain those credit card statements.
Including 2016 that I think I've requested. But I
wouldn't swear to it.

Also, does Gary have two state issued credit cards?
I ask because I noticed only hotels expenses are
shown on those you did send. If it is necessary for
me to request those showing airline expense/travel
on them, then let this serve as my request for
2016, 2017, 2018 and 2019 Citibank statements.

On July 16, the TLC wrote:
You requested: “let this serve as my request for
2016, 2017, 2018 and 2019 Citibank statements
(for Gary Grief) ... you may redact all
personal information.”

Attached are documents responsive to your request.
[They sent one - the July3, 2019 - Citibank statement]
Older statements have already been provided to your
June 5, 2019 request for “I would like to receive copies of
Grief's state issued credit card statements for the past two years”
There are no responsive documents to your request for
2016, 2017, July and August 2018 and April 2019 statements.

On July 16, 2019 I wrote back ...
In reading your summary of my July 8, 2019 request, it
appears to me that you took my statement out of
context by summarizing, "let this serve ..." The sentence
in that request starting with "let this serve ..." was made
in the event Mr. Grief had two credit cards.

In my July 8th request, I made it perfectly clear that
I was asking again about your response that some
documents were "not available" in an earlier
response - specifically no statements for 2017,
July and Aug 2018 and April 2019.

It has occurred to me that maybe I am
misunderstanding what was meant when
you replied, "Please note the statements
from 2017, July and August 2018 and
April 2019 are not available."

Are you saying that there were no charges
therefore there are no statements? If so,
I would understand that.

Are you saying that 2017 is past the retention date?

My interpretation was that these statements
were simply "not available."

This is the 3rd time I'm asking what was meant
about no CC statements for all of 2017, July and
August 2018, and April of 2019.

I guess for the record, I need to know the
retention time for retaining credit card statements.

- FYI -

As I write this, the TLC has not answered my question
pertaining to Mr. Grief having two credit cards to use.

The answer that I should have received was that
there are three types of state issued credit cards
available to the Texas Lottery Commission.
1) PURC - Procurement Card
2) TRL - Travel Card
3) IBT - Individually Billed Travel Account

As it turns out, Mr. Grief uses the "TRL" card
more than his IBT card yet they didn't provide
those statements to me per my request.

Because the TLC refused to answer my questions
regarding using more than one credit card, here's
Citibank travel charges. It will give you and idea
just how much travel there was. I did NOT obtain
this info from the Texas Lottery. However, do
know, this is ONLY the Citibank charges. It
is NOT all travel expenses incurred.

Also, I have no answer with regards to the retention time
for retaining credit card statements. I've asked 3 times
and they have not answered. But I think I figured
out WHY which is extremely disturbing.

I think the reason they haven't sent Mr. Griefs credit card
statements is because they removed the retention time
from their retention schedule. This could mean that
they don't have to retain state issued credit card
statements at all. I say this because I contacted
the TX State Library and this is what they said ...

A 7/17/19 response from the Texas State Library
and Archives Commission (TSLAC)
"State issued credit card statements" does not
appear as a record series title or in the description
of any record series on Texas Lottery Commission's
records retention schedule. For questions about how
Texas Lottery Commission currently classifies and handles
"state issued credit card statements," you must
contact Texas Lottery Commission."

But no matter what, the bottom line is that they have not answered my
question about the retention time for state issued credit card statements
nor have they answered my question regarding Mr. Grief having
or using two (2) different credit cards for travel.

I'm not certain if his travels will be the first, second or
third story in my series because the truth is, I'm dying
to tell you about a scratch ticket! How's that for a tease?

I requested Griefs travel "expense reports" ...

My May 12, 2019 Request
I would like to obtain a copies of Griefs travel
expense reports for the past 3 years. Please
be sure to include all international travel.

Also, I'd like to receive a copy of
Gary Grief's calendar for 2018.

TLC Response 10 days later on May 29, 2019
The responsive documents are voluminous and will
require four email. The final email will be noted. Attached
are documents responsive to the 2018 calendar request.

Please see the attached cost estimate for the travel
documents. (They say there's over 1000 pages! WOW)

My response to their costs of May 29, 2019
I didn't know Gary traveled so much that it would be necessary
to charge for the records. Therefore, let me revise the 3 years
of travel expense reports to just one year - 2018.

TLC Response on June 4, 2019
You requested: 2018 travel expenses for Gary Grief.
Please see the attached correspondence regarding
your request. (Another bill but for less money)

My response to the revised cost
for 2018 Travel Reports - June 4, 2019
I'll get back to you tomorrow on your cost estimate.
I will say, I have requested this exact information
from a number of state agencies and so far without
exception, everyone has provided the data to me. One
agency sent me a message this morning that they
are mailing me "hundreds of pages" at no charge.
There was too much to send by email.

Guess Gary does more travel than any other
director?????? Huh????? Anyway, I've got
to leave and will get back to you tomorrow.

On June 5, 2019 I wrote
You do know that I'm only requesting Gary's expense
reports/vouchers submitted after he traveled on state
business? Right? I am not wanting to see all of his
receipts that he would have attached to his reports.
I can't imagine 300 pages involved in Gary travel for 2018.
Please reply before I reply to your cost estimate.

TLC Response on June 7, 2019
Staff requires clarification regarding three of
your requests for travel expense documents.

The requests include: 2018 travel expenses for Gary Grief,
excluding receipts. Copies of travel reports for any/all director
level staff that went to Florida in 2018. Copies of Griefs
travel expense reports for the year 2017

As indicated in your email, you do not wish to request
receipts associated with the travel expenses. Staff
has provided a list of the type of documents that are
included in a travel voucher.

State of Texas Travel Form
Travel Authorization Memo
Airfare
Hotel Receipt
Car Rental (if applicable)
Incidentals such as Baggage, Taxi, Parking
Per Diem documentation
Point to Point Mileage
MUSL Reimbursement (if applicable)
Audit Review documentation

I responded on June 7, 2019
For each of the 3 requests referenced below, I would like
to receive the State of Texas Travel Form, the Travel
Authorization Memo and the MUSL Reimbursement
if applicable. I doubt the MUSL Reimbursement would
apply to the Florida travel.

I am assuming that the travel form will
show all costs associated with each trip -
at least that's my logical thinking. (Boy was
I ever wrong when I wrote this!!!!)

After I receive these vouchers, then I may
request more details but I doubt it. I just need
to confirm what I've already obtained elsewhere.

TLC Writes June 7, 2019
Thank you for your email. Based on your clarification,
you do not want any supporting documents?

My afterthoughts after what happens next
In hindsight, I should have been
suspicious at this point!

June 11, 2019, I write
Can you please tell me the status of my request
for Grief's travel expenses and the Florida travel
expenses. In reviewing our communications, I'm
not sure where we stand. When can I expect to
see and documents responsive to these requests.

TLC Writes on June 11, 2019
I can assure you that we are diligently working
on your requests. Currently, staff is locating the
information related to the last clarification on
June 7, 2019 for the three request for travel
information. With clarification, the deadline is
June 24, 2019. You can expect a response on
or before that date. Again, we are processing
your requests as promptly as possible.

FYI - May 12 through June 25, 2019 For Two Years
I received the 2018, 2017 travel reports
on June 25, 2019. But they failed to include air
fare costs. I'm still waiting on it. Read on ...

On July 7, 2019 I wrote ...
"So far I've received only FY 2017 and FY 2018
Grief travel vouchers. In my review of those
documents, I discovered that I'm missing the
following "Current Document Numbers."

#11801278, #11801397, #11801872
#11803207, #11803455, #11803707
#11803858, #11803804, #11803509
#11804344, #11804464, #11804785
#11804904, #11700255, #11702077
#11702592, #11703331, #11703699,
#11704031

I would appreciate it if you could get
those to me as quickly as possible.

On July 9, 2019, I wrote:
(pertaining to the altered documents)
"But please do not delete factual information from
the documents as this has been done by someone
on other documents sent to me. I believe altering
documents is a felony.

If by chance the TLC feels documents need
to be re-sent, then here's the TLC's opportunity
to correct wrongdoing."

On July 11, 2019, the TLC wrote:
The remaining vouchers noted in your email are not responsive
to any of your previous public information requests as these vouchers
are payments made directly to vendors and not submitted by staff.

We will consider your email as a new public information
request and process the request in the standard method.

On July 18, the TLC wrote:
This email is in response to your Public Information
Request received July , 2019.

You requested: “Travel voucher - #11801397, #11801872,
#11803207, #11803707, #11803858, #11803804,
#11803509, #11804344, #11804464, #11804904, #11700255,
#11702077, #11702592, #11703331, #11703699, #11704031”

Please see the attached correspondence regarding
your request. (This is a bill for $261)

One August 2, 2019, the TLC wrote:
This email is in response to your Public Information
Request narrowed July 19, 2019.

You requested: “Request narrowed to : travel vouchers
#11801397, #11801872, #11803207 & #11803707”

Please see the attached correspondence regarding
your narrowed request. (This is a bill for $59)

(On July 22, I requested four more reports and
on July 29, I requested another 4. Bottom line, I made
3 open records requests all total - each for 4
of the missing travel reports.

(On August 5th, I received a bill for $193 to obtain the
next 4 missing reports, then on Aug 9th, I received
a bill for $59 for the next 4 missing reports.)

Obviously, they don't want me to see
the travel expense reports. Needless to say,
I quit requesting the missing reports.

Hmmmm ....

- FYI -
Most of the missing reports expenses are shown
in this Citibank travel charges. I did NOT obtain
this info from the Texas Lottery. Missing reports not
shown in this file are shown in another file I possess.
Do know, this one file does NOT show all monies
spent on travels - this is ONLY the Citibank charges.

Question?
Why do you think it has taken this much time
and back and forth to obtain travel records
for the Executive Director of the Texas Lottery?

The Amount of Money Spent on His Travels
When this story is written, I believe you will find that Mr. Grief's
travel expenses for the past five years to be questionable and not
consistent with the typical travel for a state government employee.

- A Disturbing Expense Pertaining to a Licensed Property Game -

Scratch ticket players really need to pay attention to this one ...

My May 20, 2019 Request
Please provide me with whatever document the TLC has that would show
which scratch games were "licensed property games" since Jan 1, 2013.

Please include the amount paid to license the game; to who or what
organization received the money, the cost of the ticket and the game number.

On June 4, 2019, the TLC wrote:
We are processing your request for information and would like to know if you would
be willing to accept documents with third party proprietary information redacted?
Please let me know how to proceed.

On June 5, the TLC wrote:
This email is in response to your Public Information Request received May 20, 2019. You requested:
“Please provide me with whatever document the TLC has that would show which scratch games were
"licensed property games" since Jan 2013. Please include the amount paid to license the game; to who
or what organization received the money, the cost of the ticket and the game number.”

We are still processing your request and require additional time to review the documents.
I am certifying in writing that you will receive documents on or before close of business June 12, 2019.

One June 13, 2019, the TLC wrote
The information was too large to email you. I dropped it in
the mail on June 11, 2019 to your P.O. Box.

- FYI -
The envelope was postmarked with a Pitney Bowes date of
June 14, 2019. I received it on June 18, 2019. Nearly one
(1) month from the date of request. They sent a disk.

Information Not Provided
The disk did not include the specific information I
requested and needed so I've had to obtain other
documents (NRA's) in an attempt to obtain the data.

I received some NRA's (Needs & Risks Assessments)
(This request began on May 20, 2019 - ended July 18, 2019)
The requests for NRA's began after I finally received the data they
sent. Fortunately for me, I already had NRA's on games the
TLC had destroyed as per their records retention
schedule and couldn't provide to me.

I Heard Grief Was Out of the Office Alot

So I reviewed his calendars and found that there was
something to this. I also realized he was out almost
every Friday but had permission to "telecommute."

So I made an Open Records requests.

TLC responses to my requests

1.
This email is in response to your Public Information
Request received July 9, 2019.

You requested: “I would like to receive copies
of Gary Grief's time sheets for FY19. I would also
like to receive Griefs paychecks stubs or statements
specifically for these months: June 2019, Jan 2018,
Dec 2018, Jan 2017, Dec 2017, Jan 2016 and Dec 2016.”
Attached are some documents responsive to your request.
Please see the attached correspondence regarding
the remaining documents.

They sent the FY19 time sheets, click here

They filed for an AG opinion to keep
his paycheck stubs from being
released, click here

2.
This email is in response to your Public Information
request received July 29, 2019.

You requested: “I would like to receive Gary Griefs
time sheets for FY18 and FY17.” Attached are documents
responsive to your request (FY17 & FY18 time sheets).

Let me try to explain why this is important ...
When you work for the state, there are special
benefits afforded to state workers. And they are
certainly entitled to it. But some workers take
advantage of it and this is the determination
I'm trying to make regarding Mr. Grief.

Workers earn comp time when they work extra hours.
They also receive vacation and sick time. Sick time
and vacation time carries forward and if NOT used,
is added to the employees "service time" meaning
that when he retires, he will have more time
accured ultimately meaning more MONEY.

In Mr. Griefs case, the were no notations
on his calendars that he was ever on vacation
or even out sick. But he was out alot so
I wanted to find out how much comp time
he had earned and used. That's why I
requested his paycheck stubbs - they
would provide this very information.

Employees can use comp time for
vacations and sick time if they have it.
And if it's not used, it's lost each year.

The infomation I requested is public
information so I was taken back with
the filing for an AG opinion. I "think"
they will try to claim that they don't have
to release family medical leave or sick leave
but I didn't want that information. It could
have been easily redacted which is what
I believe the AG will tell them.

Under no circumstances would I want
to infringe in any ones right to privacy
concerning medical as rightfully protected
under federal law and decency.

At any rate, having said all this, you can
look at this time sheets and you CAN count
his comp time earned and his comp time used.

You'll find it quite amusing. (You state workers can
add up his comp time and tell me if it's excessive!)

- Contracts & Invoices -
Sponsorships, Promo's, Advertising Expenses

In my humble opinion, the TLC
really doesn't want this one exposed ...

May 20, 2019 Request
I would like to receive copies of any contracts the TLC has with
Legends, Dallas Cowboys, ARK Group.

Additionally, I'd like to receive copies of any
contracts and invoices related to the Star At Frisco,
Cowboys U, ARK Group, Legends, Toyota Music
Factory, Texas Lottery Plaza.

Their Response on May 31, 2019
Regarding your request for invoices, please see the
attached cost estimate for documents from fiscal years 2016
through 2019. Please note that documents from fiscal
year 2014 and fiscal year 2015 have been destroyed
in accordance with our Records Retention Procedure.

As for the contracts with the Legends, Dallas Cowboys, ARK Group Contracts -
They sent these links:

Ark Group of Irving -
https://contracts.lbb.state.tx.us/PDFDisplay.aspx?aid=362&cid=2017-0011&amdid=0&att=1

Pro Silver Star –
https://contracts.lbb.state.tx.us/PDFDisplay.aspx?aid=362&cid=2016-0001&amdid=0&att=1

Amendment One -
https://contracts.lbb.state.tx.us/PDFDisplay.aspx?aid=362&cid=2016-0001&amdid=%202&att=1

Amendment Two -
https://contracts.lbb.state.tx.us/PDFDisplay.aspx?aid=362&cid=2016-0001&amdid=%203&att=1

Frisco Management -
https://contracts.lbb.state.tx.us/PDFDisplay.aspx?aid=362&cid=2016-0002&amdid=0&att=1

Amendment One -
https://contracts.lbb.state.tx.us/PDFDisplay.aspx?aid=362&cid=2016-0002&amdid=%202&att=1

--------------------------------------

As a result of the costs to obtain
the invoices, I revised my request ...

On June 5, 2019 I wrote:
You may pull this request and I will submit a revised request.

On June 5, 2019 I wrote:
I'd like to receive copies of any invoices related
to the Star at Frisco for the past 3 years.

On June 5, 2019 I wrote:
I'd like to receive copies of any invoices related to
the Toyota Music Factory for the past 3 years.

June 20, 2019 - The TLC wrote
This email is in response to your Public Information Requests
received June 5, 2019. You requested: “I'd like to receive
copies of any invoices related to the Star at Frisco for the
past 3 years.” and “I'd like to receive copies of any invoices
related to the Toyota Music Factory for the past 3 years.”

Please see the attached correspondence regarding these requests.
(Another bill for $61.90. I screwed up and sent two requests
for invoices on the same day so I had to start all over again
for these two.)

On June 6, 2019 I wrote:
I'd like to receive copies of any invoices related to the
TX Lottery Plaza for the past 3 years.

On June 21, 2019, the TLC wrote:
“I'd like to receive copies of any invoices related to the
TX Lottery Plaza for the past 3 years.” There are no
invoices specifically for Texas Lottery Plaza. Any
responsive documents related to Texas Lottery Plaza
would be included in our response to your request for
Toyota Music Factory invoices.

On June 7, 2019 I wrote:
I'd like to receive copies of any invoices related to the
Cowboys U for the past 3 years.

TLC replied: No documents responsive ...

On June 8, 2019 I wrote:
I'd like to receive copies of any invoices related
to the ARK Group for the past 3 years.

One June 25, 2019, the TLC wrote:
This email is in response to your Public Information
Request received June 5, 2019 and June 10,2019.
You requested: “I'd like to receive copies of any
invoices related to the Toyota Music Factory for the
past 3 years.” And “I'd like to receive copies of any
invoices related to the ARK Group for the past
3 years.” Attached are documents responsive to
both of your requests.

(I'm posting the responsive invoices for a couple
of interested newspaper reporters. Though
I'm not certain these are all the documents
I'm expecting at this point - An unbelievable
amount of money! The TLC is a state agency,
NOT AT&T, Dr. Pepper, Coors, etc! )

On June 9, 2019 I wrote:
I'd like to receive copies of any invoices related
to the Legends for the past 3 years.

On June 25, 2019, the TLC wrote
“I'd like to receive copies of any invoices related to
the Legends for the past 3 years.” And “I'd like
to receive copies of any/all invoices related to
the Star at Frisco for the past 3 years.”

The documents responsive to both these requests
is too voluminous to email and unfortunately, the
mail has already been picked up from our office.
This email is certifying that the documents will be
placed in the mail first thing tomorrow morning.

I received the invoices plus other documents for the
Legends/Star at Frisco by US mail about a week later.
Again, as I write this, I'm not really certain that I have all
documents to support the monies paid out.

----------------

Complete details will appear in the investigative series titled,
"Lottery is Benefiting The Wealthy More Than The Poor."

Imagine .... For These Requests For Information,
There Were No Documents Responsive ....

I'm including this tidbit just for your information. After
having such a hard time in obtaining documents needed
regarding expenses - I decided to just ask them for a simple
spreadsheet showing certain costs. Look what I got ...
(Only going to show a few of these requests at this time)

I feel it's important to say that they DO have this data -
they just have to extract it from their data bases.

TLC Wrote ....

1.
This email is in response to your Public Information
Request received July 11, 2019. You requested:

“I'd like to request a spreadsheet from the Controller
office that would simply show all travel expenses
paid to either vendors or Grief himself for his
travels since calendar year 2013.”

There are no documents responsive to your request.

2.
This email is in response to your Public Information
Request received July 9, 2019.

You requested: “I would like to receive a spreadsheet
showing any/all supplemental pay paid to Gary Grief,
Kathy Pyka and Nelda Trevino for calendar years
2017, 2018 and 2019.”

There are no documents responsive to your request.

3.
This email is in response to your Public Information
Request received July 8, 2019. You requested: “Since the
travel vouchers/records for 2015 are past the retention date,
then I'd like to request an excel spreadsheet from the
Controllers office showing all travel expenses paid to or for
Gary Grief in the calendar year 2015. This would include
payments made directly to GG and payments made to his
credit cards (Citibank, airlines, hotels) or direct billed.”

There are no documents responsive to your request.

There Were No Delays On This One!

Out of Office Signature Authority

May 20, 2019 Request
I would like to obtain Gary Grief's out of office signature authority emails
for the past 6 months. I believe this will come from Shelia's email -
though I could be wrong!!!!

On May 31, 2019 the TLC responded
"Attached are documents responsive to your request."

Interestingly it was only for two dates yet he's
gone all the time - he's either traveling or off
on extensive comp time "earned" because
he's traveling!

In conclusion ...

Now you've seen some the requests I've made in an attempt
to obtain documents to support my upcoming story. At least
you should understand why it's taken me so long and
I believe you will have the same question I have ....

What are they hiding?

I'm going to share that answer with you.

Attention Reporters

I have excel spreadsheets to support the allegations
regarding unbelievable travels and colossal expenses.

Because the TLC refused to answer my questions
regarding using more than one credit card, I posted
Citibank travel charges that will give you and idea
just how much travel there was. I did NOT obtain
this info from the Texas Lottery. However, do
know, this by no means shows all monies spent on
travels - this is ONLY the Citibank charges.

I also have spreadsheets showing exactly how much
money has been spent for promo's and sponsorships in
area's that are not in the best interest of the state of TX.
Call me and I'll send them to you. Or if you prefer,
I will have them posted for all to see as I post
each one of these stories. (972) 686-0660

Back

---------------------------------------

- A Must Read -
Complaint Letter to Governor Abbott
Posted 11/9/19 - Click here
Exhibits to letter:
Exhibits A - D - Click here
Exhibits E - J - Click here

--------------------

Texas' Fun 5's Scratch Ticket Lawsuits