Audit finds $4.5 million in Sun Bowl Game account

EL PASO, Texas (KVIA) -- A recent audit from the City of El Paso's Internal Audit Department found a balance of more than $4.5 million in a WestStar Bank account established for payments of college football teams participating in the annual Sun Bowl Game.

Back in 2001, the city authorized the Sun Bowl Association to withdraw funds from the Motor Vehicle Tax Venue Project Fund into the escrow account at WestStar Bank.

ABC-7 plans to speak with Sun Bowl Association Executive Director Bernie Olivas later today to discuss his thoughts on the findings. Hear what Olivas says during tonight's evening newscasts.

The City of El Paso's Financial Oversight and Audit Committee (FOAC) held a meeting on Tuesday, September 17, where they deleted 4 agenda items in reference to multiple internal audits conducted by the City's Internal Audit Department--one of which was the Sun Bowl Audit.

Chairman of FOAC Brian Kennedy said the items were deleted because they will seek approval from City Council to have an outside expert help the Committee with processes and procedures on audits. Kennedy said the audits will be discussed as soon as a new process is in place.

“We want to see what other people are doing. What are the other cities doing? What are the other governmental entities in the state and even beyond that are doing? We want to find the best process possible and we want to implement that," Kennedy said on Sept. 17.

The Sun Bowl Audit was published and is available for the public to view:

The city announced the audit of the Sun Bowl Association, the first in over 25 years, back in May.

The contract between the City of El Paso and the Sun Bowl includes specific language on how the funds can be used; the contract stipulates that the tax funds must be used for the game itself, no other events hosted by the association.

This is an excerpt from the contract sent to ABC-7 by the Sun Bowl Association in May:

"The Association's payment request shall be supported by valid invoices and other supporting documentation, including but not limited to employee timesheets, invoices, or other information reasonably requested by the Director.

"'Qualified Expenditures' is defined as all costs, amounts, charges, and expenses that are associated with the Athletic Event, including the costs of planning, acquiring, establishing, developing, advertising, promoting, conducting, sponsoring or otherwise supporting the Athletic Event…"

The process for this new audit's creation began after El Paso Mayor Oscar Leeser sent a letter to the City's Financial Oversight and Audit Committee (FOAC) requesting the audit of the Sun Bowl Association. That letter was dated Feb. 2024.

The Mayor's Letter to FOAC stated in full, "After a conversation with the City Manager and Chief Financial Officer that led to questions surrounding the contract between the City of El Paso and the Sun Bowl Association, I feel it would be appropriate and long overdue for the City's Internal Audit Department to conduct a review of said contract that details the parameters of the use of the Rental Car Tax collected by the City, as well as audit as appropriate the use of these funds intended for payment to the teams for participating in the Annual Sun Bowl Game. Thank you for your consideration."

Leeser told ABC-7 in May that there has not been an audit into the Sun Bowl since 1998, and that the audit is not about accusing anyone of wrongdoing.

"We need to know where the money is going and make sure it's going in the right place. Not that there's anything wrong, but we want to make sure that everything is right," Leeser said.