A recently released audit has revealed significant irregularities in the Nassau County Attorney's Office's handling of outsourced legal work, including bypassing standard bidding processes and a substantial increase in legal fees. Commissioned by the Nassau Interim Finance Authority (NIFA), the county's state-appointed fiscal watchdog, the audit by NawrockiSmith LLP found that spending on law firms hired by circumventing the county's procurement process surged by 225%, from $1.4 million in 2023 to $4.5 million in 2024. The total amount paid for outsourced legal services saw an 80% increase, rising from $8 million to $14.7 million in the same year.

The 11-page report criticized the county attorney's office for often ignoring its policy of soliciting proposals from law firms on its panel, instead directly selecting specific firms. This practice was sometimes justified as necessary for quickly initiating cases, yet auditors found a lack of documentation explaining why particular firms were chosen. Furthermore, the office violated its own policy for streamlined competitive bids in time-sensitive situations. Auditors noted, "There is no management document that tracks outside counsel assignments and the reason/justification for using outside counsel," a point the county attorney's office did not dispute.

NIFA chairman Richard Kessel expressed strong concerns, stating the audit made it "abundantly clear" that policies were circumvented "to hire preferred firms." The audit's findings were based on questioning senior employees within the county attorney's office and the Office of Management and Budget, as well as reviewing relevant documents, including policies, RFPs, and bid packets.

Adding to the concerns, a separate review found that Nassau County awarded over $8 million in contracts to outside attorneys in a six-month period, often allowing them to commence work months before receiving final approval from the Nassau County Legislature's Rules Committee. This practice poses a risk, as lawyers cannot be paid until contracts are legislatively approved. Examples of such delayed approvals include a $2.5 million contract for defending the county's lease award to Las Vegas Sands, a $5,000 agreement for trademarking a county slogan, and multiple contracts for personal injury cases, challenging the state's even-year elections law, and red light camera fee lawsuits.

Officials from the Nassau County Attorney's Office have defended their actions, citing the need for flexibility in selecting outside counsel due to factors like "time constraints, vendor capacity, expertise, relation to other matters or issues determined to be in the best interest of the County." Chris Boyle, a spokesman for County Executive Bruce Blakeman, claimed that outsourcing legal work saved taxpayers over $700 million by hiring specialized attorneys. Brian Libert, deputy Nassau County attorney, explained that vetting vendors and disclosure requirements contribute to delays in contract approvals, despite efforts to submit them sooner.

However, critics, such as Legis. Arnold Drucker (D-Plainview), argue that the rising cost of outside attorneys represents "an obscene amount of taxpayer dollars wasted," believing talented in-house attorneys could handle more legal work. The audit recommended that the county attorney's office conduct a cost-effectiveness analysis to determine if hiring more in-house attorneys for non-specialized cases would be beneficial. Legislators like Minority Leader Delia DeRiggi-Whitton (D-Glen Cove) called the frequent delayed approvals "a regular practice" and criticized "exorbitant" hourly fees. Conversely, Legislative Presiding Officer Howard Kopel (R-Lawrence) argued that the legal system's faster pace often necessitates contracts being in place before the legislative process can catch up, especially to protect the county's legal position.

NIFA Chairman Kessel warned that the state board, which must approve county contracts valued at $50,000 or more, would begin rejecting contracts if approval delays persist. He emphasized NIFA's clear authority to approve or disapprove contracts. Furthermore, disclosure forms related to the largest late contracts revealed significant political contributions from five law firms, largely to Republican campaigns or committees in Nassau County. Professor Jocelyn Johnston of American University underscored the importance of procurement laws to prevent political influence and ensure transparency, stating that such practices, if not properly approved and transparent, "raise questions about the whole procurement process: Is something awry?" The audit ultimately recommended developing a tracking system for outsourced cases and performing post-litigation reviews of law firm performance to improve oversight and accountability.