Houston Airport System Controversies: Diaz, Contracts, and Nepotism Unveiled

The Houston Airport System (HAS) is on the lookout for a new Director of Aviation, following the sudden departure of Mario Diaz. Mayor John Whitmire’s administration confirmed the change, emphasizing the need for improved operations and reduced inconvenience for citizens. In light of these developments, Jim Szczesniak, the current Chief Operating Officer, has been appointed as the Interim HAS Director.

Controversies Surrounding Mario Diaz

Diaz, who assumed the role in 2010, has been under scrutiny for various issues, including controversial hires and mismanagement. KPRC 2 Investigates uncovered a series of incidents dating back to 2018.

Major Construction Projects Overspending

In 2018, an investigation revealed the overspending on the Mickey Leland International Terminal Project. Initially projected at $700 to $900 million, Diaz listed the estimated cost at $1.3 billion, eventually soaring to $1.7 billion. Former Mayor Sylvester Turner claimed to have reduced costs by $500 million, but the current projected cost is $1.43 billion, almost double the original amount.

Questionable Job Creation

In October 2019, KPRC 2 Investigates exposed a below-the-radar job creation for a $95,000-a-year intern named Marvin Agumagu. Former Mayor Turner initially denied knowing Agumagu, but city records showed his involvement in creating the position. Diaz admitted to personal involvement in creating a position for his girlfriend, Maricela Kruseman, who misled the city with false credentials.

Involvement with Concessionaire Controversy

In September 2022, emails revealed Diaz’s involvement with airport concessionaire Jason Yoo and former City Council Relations Director William-Paul Thomas. Thomas was convicted of conspiracy tied to cash bribes in 2022. Emails showed Thomas deliberately working against the city to assist Yoo in eliminating fines, and Diaz eventually canceled nearly $761,000 in fines.

Controversial “Hobby Food Fight” Concessions Contract

In March 2023, KPRC 2 Investigates exposed a controversial concessions contract known as the “Hobby Food Fight.” The winning bid made false claims, and the Areas Group, despite issues, won the contract, leading to a lawsuit filed by the Pappas Family against the City of Houston and Areas.

Nepotism Allegations

Further investigations uncovered airport employee Roger Hebert, son-in-law of City of Houston Chief Development Officer Andy Icken, with ties to Diaz. Despite having thousands of employees, Diaz admitted to knowing Hebert and approved contracts involving Parsons, the company Hebert worked for.

Creation of MCDAero LLC

In the summer of 2023, KPRC 2 Investigates identified Diaz creating his private limited liability corporation, MCDAero LLC, in November 2022. Despite concerns, the Turner administration saw no issue with Diaz maintaining a private LLC while serving as the publicly funded Director of Aviation.

Calls for Transparency and Accountability

The controversies surrounding Diaz’s tenure at HAS raise concerns about transparency and accountability within the Houston Airport System. As the search for a new Director of Aviation begins, stakeholders hope for a leader who can address these issues and restore public trust in the airport’s management.

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