An Alamo Area Council of Government committee has recommended that the agency fire its top two officials.
Executive director Dean Danos and Deputy Executive Director Michael Quinn have been on paid suspension, but on Monday the executive committee of the AACOG board voted unanimously to recommend to the full board that the two be fired.
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Danos and Quinn are accused of bringing in the Tri-Hm Foundation, which promised millions of dollars in grants for AACOG and promised to pay thousands of dollars to lease space in the AACOG building.
The foundation has not provided grant money or paid lease money to AACOG.
Board chairman Kevin Wolff said it was clear rules were broken.
"We felt very strongly (that) there were a number of policy and procedure violations that we needed to take action on," Wolff said.
He said because of what's happened with the foundation, AACOG's image has suffered.
"I think it was a pretty tough decision regardless of evidence, etc.," Wolff said. "I think it was touch because AACOG does provide some really good services and this is a black eye to the organization as a whole."
Danos and Quinn attended the session.
Afterward, Danos said he will still wait for the full board's action.
"My thought is there's still a pending investigation going," Danos said.
"They have not come to a conclusion and you saw the recommendation to the board. We'll have to wait to see how that comes out."
Attorney Adam Poncio represented Quinn, who did not speak to the media.
Poncio said Quinn, who had a lengthy law enforcement career before taking the AACOG job, is hoping for the best for the community, but feels Monday's action came too quickly.
"He just wished the investigation had been completed before they made a determination," Poncio said. "It's pretty early in the game to make a jump to a decision."
The full board will consider that recommendation on Wednesday.