Port of Miami CEO Resigns Amidst Audit Findings of Mismanagement and Misuse of Funds
Cranes at the Heart of the Issue
The cargo side of PortMiami, and its multibillion-dollar impact to the South Florida economy, would be nothing without its cranes. The port relies on a non-profit company, Port of Miami Crane Management Inc. (PMCM), to manage and maintain these cranes, which are essential for off-loading containers. However, a recent audit has revealed that PMCM has been mismanaged, with issues including misused funds, poor procurement practices, and inadequate maintenance of the cranes.
Audit Findings
Two county audits conducted in the summer revealed a range of problems, including:
- PMCM’s failure to procure goods and services in a competitive and transparent manner
- Mismanagement of a $1.45 million expenditure on technology that was supposed to track crane movements and usage in real-time
- Lack of a effective maintenance program for the cranes
- CEO Aguedo "Ed" Bello’s use of personal business credit cards for purchases and travel, resulting in personal benefits and rewards
CEO’s Resignation
In response to the audit findings, CEO Bello submitted his resignation to the board of directors, effective January 31. His resignation comes just one day after NBC6 Investigates was set to conduct an interview with the chair of the board, Frederick Wong.
Board’s Response
The board of directors has taken steps to address the issues raised in the audit, including eliminating credit cards, modifying policies and procedures, and implementing a new procurement process. Wong, the chair of the board, expressed confidence in the new management structure and assured that preventative measures are in place to prevent similar issues in the future.
Questions and Concerns
- What is the impact of the crane issues on the port’s operations and revenue?
- The decline in container volume has resulted in a $4 million loss in revenue.
- How will the port address the crane maintenance and repair issues?
- The port is currently soliciting bids for a crane repair and refurbishment project.
- What is the future of Port of Miami Crane Management Inc. (PMCM)?
- The board of directors has announced plans to restructure and reorganize the company.
Conclusion
The resignation of CEO Bello and the board’s response to the audit findings mark a new chapter for Port of Miami Crane Management Inc. (PMCM). The port is taking steps to address the issues raised in the audit, including improving procurement practices, modifying policies and procedures, and implementing a new maintenance program. The future of PMCM remains uncertain, but the port is committed to ensuring the continued smooth operation of its cranes and the continued growth of its cargo business.
