Ethics review serves purpose

Frew Nations Group appears to be a good choice to oversee construction of the Cedar Rapids Event Center and U.S. Cellular Center arena upgrade - an important project in this community's post-flood economic growth.

Still, we welcome the state ethics board's decision to investigate the city's deal with the company owned by John Frew. If the board finds no ethical violations, as is likely, it would clear lingering clouds of controversy that might hinder the project. If there were violations, those should be addressed promptly.

Ed Failor Jr., president of Iowans for Tax Relief, raised questions last week about the contract process and timing. Charlie Smithson, director of the state ethics board, said Thursday that Failor's formal request will prompt an investigation, even though Smithson earlier had said Frew's actions appeared to be aboveboard.

“But we need to do our due diligence now that someone has formally raised the issue,” Smithson told The Gazette. We agree.

Failor said Frew's decision to resign as Gov. Chet Culver's chief of staff after eight months and immediately accept a $3.8 million contract for his company to oversee the $67 million project “does not pass the smell test” for Iowa taxpayers.

We appreciate Failor's concern on how Iowans' tax money is used - especially when the top office in the state is involved. But where's the smell?

The $15 million state grant toward the Event Center project was approved a month before Frew joined the governor's staff. Both Frew and Mayor Ron Corbett have insisted that Frew, an Iowa native, had nothing to do with the city's application for the grant. When asked if he negotiated the contract on state time using state resources, Frew said discussions were conducted on his days off and he used his personal phone and computer during the negotiations.

Frew did acknowledge that, during this year's legislative session, he helped the governor secure $8 million to help renovate two flood-damaged Cedar Rapids public buildings - but his company won't be involved in those projects.

One other question that may be out there is whether Frew's assistance in those other projects might have improved his company's chances with the city to land the Event Center contract. More likely, the mayor and council were simply impressed with the firm.

The Frew Nations Group appears well qualified for the Event Center job. Cities can hire professional services without seeking proposals from other companies, which is what the council did in this case. Yet allowing only a day for public scrutiny of the contract before the council voted was not enough time. It raises suspicions among residents.

Yes, we want the project to keep moving ahead. We urge the state ethics board to resolve the Frew contract as quickly as possible. But be sure the public trust is not compromised along the way.

-- The Gazette Editorial Board