Bayfront Park Trust seeks fund-handling investigation

Allegations of financial mismanagement and misuse of public resources dominated Tuesday’s Bayfront Park Management Trust meeting, as new leaders pledged transparency and reform.

In a tense emergency session on May 20 at Miami City Hall, residents and former board members raised concerns about improper handling of public funds and assets during former Commissioner Joe Carollo’s seven-year tenure, with Commissioner Miguel A. Gabela replacing him this year amid the controversy.

Mr. Gabela called the meeting to share what he said were newly discovered items identified during the initial review of the organization and to advise the board that additional issues may surface. The first hour was devoted to public comment, where longtime residents and former trust insiders described systemic dysfunction.

Speakers cited questionable fund transfers, opaque accounting and routine misuse of trust staff and equipment for political events. Filmmaker and activist Billy Corben criticized the $5.5 million park fountain renovation, alleging it was rushed for New Year’s Eve without safety railings and was awarded without competitive bidding, claims corroborated by Mr. Gabela.

Former board member Cristina Palomo alleged a $4 million transfer to the city’s general fund under false pretenses, which led to security cuts forcing resident associations to hire private guards. She also criticized a $1 million no-bid public art contract for the dog and cat walkway in Bayfront Park that prompted her 2021 resignation.

Former executive director Jose Suarez alleged staff were pulled from park duties to work at political events in Little Havana, often on overtime, straining the budget. Other issues included poor procurement, safety risks and lack of oversight. Many called for a forensic audit and tighter controls.

At the end of the public comment period, Mr. Carollo rebutted comments sharply, calling the meeting a “kangaroo court” and defending his record. Mr. Gabela cut him off, emphasizing the purpose of the meeting was transparency, not theatrics.

Mr. Gabela then detailed what he described as mismanagement and misuse of funds, presenting photos, documents and records. He accused the previous administration of using overtime to assemble food bags branded with Mr. Carollo’s commission district logo, using park vehicles for unrelated events and spending $1 million on public art without contracts or invoices.

Mr. Gabela also flagged missing records, unexecuted contracts and questionable payments such as a $150,000 payment to América TV for a New Year’s Eve broadcast, which he described as an unusual arrangement since broadcasters typically pay the venue for such rights, not the other way around.

Operationally, the trust lacked basic oversight, with outdated infrastructure, and even the Miami Police Department was unable to access the park after repeated requests for the keys, according to Mr. Gabela. 

An expanded financial audit pointed to serious control weaknesses in recent years, with examples cited from January and February 2022. These included missing documentation and lack of management approval for journal entries and bank reconciliations, creating risks of inaccurate records and potential misuse of funds.

Furthermore, as recently as January 2024, payroll records were found to be poorly maintained, with insufficient documentation for salary increases, raising concerns about unauthorized pay changes and regulatory compliance.

“This is just the beginning,” Mr. Gabela said. “We’ll let the chips fall where they may.” The emergency meeting ended without further comment from other trust members.

In a separate media release sent out the day of the meeting, Mr. Gabela announced the trust has formally asked the Miami-Dade County Inspector General’s Office to conduct a thorough investigation into waste, fraud and abuse.

“Our main goal is to keep the public’s trust and make sure taxpayer money is handled properly,” he said. “The weaknesses we found in our financial controls, along with the seriousness of the past allegations, demand a comprehensive and unbiased review. We believe that a thorough investigation by the Inspector General’s Office is the best way to get to the bottom of these issues and give the public confidence in our financial operation.”

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