Dagley described to the council a series of identical payments made by the county and the WSSC, and he told the council that legal agreements among the government agencies and the developer were inconsistent.
“There are discrepancies in legal documents that are unexplained,” he said.
The WSSC, working off an agreement that predated the 2004 policy change, applied additional cash payments to the projects in 2006 totaling $1.87 million and credits totaling $1.1 million, finding that the projects were worth about $3 million, not the $3.7 million Montgomery had paid, the report said.
WSSC officials raised questions several times with Montgomery officials, suggesting that the county, not the developers, should receive WSSC credits, the report said.
The report said the inspector general’s office contacted law enforcement officials to examine the findings, which Berliner also questioned.
“I have a responsibility as the county’s inspector general to take any preliminary evidence . . . of possible criminal violations and report those . . . to the law enforcement community so they can use their expertise,” Dagley said. “I have done that on a number of occasions in the past six years, and that is the case here.”
In the fall, the council killed a special tax district in Clarksburg Town Center, saying it wasn’t working correctly. County staff members had found the possibility that the developer there could collect twice — from the county and the WSSC — for a water and sewer project, among other irregularities.
The county is looking at other ways to help developers finance roads, sewers and other infrastructure they need to build communities. As for the possibility of double payments, Ervin, Navarro and Elrich said they are working on legislation to prevent them and hope to introduce it soon.