Former New York budget chief fined for lobbying ties linked to $11 M COVID contract
Sandra Beattie, ex-deputy budget director, admitted breaching state ethics rules after socializing with lobbyist Michael Balboni while his firm profited from an $11 million pandemic contract, resulting in a $5,000 fine.
Former Deputy Budget Director Sandra Beattie acknowledged violating New York’s ethics statutes after she cultivated a personal relationship with lobbyist Michael Balboni, who was later named president of Adelphi University. The two, along with Balboni’s spouse, spent four days together in Florida, during which Beattie facilitated Balboni’s involvement in the state’s $11 million Excelsior Pass contract, a COVID-era health-passport system overseen by the Office of Information Technology Services.
The project, subcontracted to Deloitte, ran over budget several times and generated significant earnings for Balboni’s firm Red Land Strategies. In a settlement with the Commission on Ethics and Lobbying in Government, Beattie accepted a $5,000 fine, while Balboni was referenced only as an anonymous lobbyist and faced no charges. The case also implicated former IT chief Rajiv Rao, who had previously settled ethics violations related to the same lobbying network.
Why it matters
The settlement highlights potential conflicts of interest in state contracting and raises questions about oversight of pandemic-era spending.
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