A recently surfaced email from Corpus Christis city attorney is raising new questions about a $2 million incentive granted to a downtown hotel project and whether city leaders were fully informed about key details before approving the funds.
At the center of the controversy is an altered screenshot of a FEMA application, submitted as part of a developers application for Type B funding for the Homewood Suites project at 301 N. Chaparral Street. The screenshot allegedly misrepresented the timing of FEMA floodplain changes making it appear the changes had just recently taken effect.
The discrepancy was first flagged by rival developer Ajit David, who later filed a civil lawsuit against the city, alleging the document was used misleadingly in the application process.
Now, an internal email obtained by KRIS 6 News appears to directly contradict sworn testimony given under oath by City Manager Peter Zanoni.
Just one day after KRIS 6 aired its initial investigation, City Attorney Miles Risley emailed council members stating that he and the city manager informed the entire Council about the altered screenshot during an executive session in April 2023.
According to At-Large Councilman Roland Barrera, the meeting did include some discussion of the document. Barrera says he asked Risley directly whether any of this was illegal, and was told it was not. He also noted that two different screenshots were presented at the meeting and they were not identical further adding to the confusion.
But during a sworn deposition, Zanoni testified that no such collective or individual briefing ever occurred.
I didnt sit down with all council members, either individually or collectively, to let them know, Zanoni said. Because executive sessions are confidential under Texas law, city officials are limited in what they can publicly confirm or deny about what was discussed behind closed doors. Still, the email adds a new layer of apparent contradiction to the public record.
Mayor Paulette Guajardo addressed the matter publicly during a Sept. 9 City Council meeting.
I was never told the document was not legal. No one has said that any document was fraud no one, Guajardo said at the time.
Despite the growing scrutiny, Barrera maintains that the $2 million award was justified because the Type B Board recommended the funding, citing the hotel as an economic catalyst. He says the councils vote was not about an altered screenshot and that no one on the dais had the law enforcement expertise to determine whether fraud had occurred.
Barrera also questioned the motives of whistleblower Ajit David.
I didnt think Mr. David was credible, Barrera said. He has a vested financial interest in the success and/or failure of the competing hotel. Barrera further noted that Davids business partner is now in line to receive a $2 million incentive of his own for a separate development project on Padre Island. David is not directly involved in that project, but the proposed incentive is scheduled for a City Council vote on Tuesday.
Its the same circumstances, Barrera said. This is going to be a catalyst for the area and we want to go ahead and support it.
As emails, depositions, and public statements continue to surface, the dispute has turned into a broader debate over transparency and accountability at City Hall. City leaders remain divided not just on the facts of the incentive, but on who knew what, and when.
