A forensic audit has accused a former school official of a northern New Mexico school district of funneling nearly $250,000 in school contracts to a fencing company he owned. The audit has triggered a broad ethics filing and fresh scrutiny over public procurement procedures.
At the center of the allegations is Robert Valencia, the former facilities director for Taos Municipal Schools. Investigators say he used his position for five years to direct district work to his company, All Around Fencing LLC, through what auditors called a procurement fraud scheme.
The forensic audit found that Valencia allegedly awarded fence installation, maintenance, and campus improvement projects to his fencing company, and subcontractors did much of the work. Auditors cited several projects, such as the construction of a back gate at Taos Middle School, landscaping fencing at Arroyos del Norte Elementary, and the repair of a portable building at Taos High School.
District officials said the findings exposed major gaps in oversight. “Anytime a district goes through a forensic audit, and you see the results from that of this magnitude, it will always be shocking,” Antonio Layton, superintendent of Taos Municipal Schools, said in an interview.
The audit also found that Valencia’s wife — who at the time served as the district’s assistant finance director — falsified tax documents to hide her husband’s involvement. District officials placed the couple on leave in 2022 after concerns emerged about financial irregularities.
Layton said district officials had referred the matter to authorities. The audit report highlighted irregularities, he said. “And once they brought that to the, I want to say the powers that be, but brought to the authorities.”
The New Mexico State Ethics Commission filed a 100-page complaint based on the audit findings. The filing comprises an enforcement action under New Mexico’s conduct and procurement laws. It declined, however, to comment publicly because the case remains pending.
Valencia also declined to comment on the accusations. His attorney advised him not to speak, he said. Court records in the case currently yield no legal representative for either Valencia or All Around Fencing LLC.
The case has heightened concerns over accountability in public school contracting, especially in smaller districts where employees may exercise significant authority over purchasing and vendor selection. Layton said the district has since modified the process, enhanced oversight, and adopted transparency measures to prevent similar abuses.
No criminal charges have been announced so far. But the ethics complaint may result in substantial civil penalties if the allegations are sustained.