A prominent New Mexico lawmaker is at the center of an ethics inquiry following claims that he improperly contacted state transportation officials on behalf of a highway contracting firm operated by his sons. State Sen. George Muñoz, a Gallup Democrat who serves as the powerful chairman of the Senate Finance Committee, is facing scrutiny over whether his interactions with the New Mexico Department of Transportation breached state ethics standards.
Muñoz has strongly pushed back against the allegations, maintaining that his actions were fully aligned with official guidance he proactively sought from the State Ethics Commission. He insists that he maintains no financial stake in the business and has committed no ethical infractions in his legislative or personal capacities, stating clearly that he receives no financial compensation from his family’s enterprise.
The formal ethics complaint was submitted by Jacob Candelaria, an Albuquerque-based attorney and former state senator. Candelaria’s filing targets not only Muñoz but also the New Mexico Department of Transportation and three specific agency personnel, accusing them of potential violations of state rules governing official conduct and conflicts of interest.
At the core of the dispute is Prestigious Paving, a Gallup-headquartered business founded in 2019 by Muñoz’s two sons. Public records reveal that the relatively young construction company has experienced rapid commercial growth, securing more than $18.8 million in state government payments over the course of the past four-plus years.
The complaint heavily references internal transportation department communications, specifically highlighting a November 2022 email authored by NMDOT district engineer Lisa Boyd Vega. In the correspondence sent to a higher-ranking department official, Boyd Vega documented receiving a phone call directly from Muñoz concerning project striping, noting that the company was pursuing official sign-off for alterations to planned road painting contracts.
Subsequent internal records highlighted in the complaint indicate that transportation officials ultimately approved the requested modifications. Along with authorizing the revised project scope, the department granted an additional $175,000 in funding to cover the road striping operations along U.S. 550.
Although the complaint stops short of alleging criminal conduct, it directly questions whether the interactions breached the state Governmental Conduct Act. The legal filing asks regulators to scrutinize provisions that govern nepotism, specifically regarding how public contracts are awarded to businesses connected to lawmakers' immediate families and the strict limitations placed on legislators advocating for third parties before executive agencies.
Muñoz addressed the historical context of his connection to the firm, explaining that when he consulted the State Ethics Commission in 2022, he disclosed having leased storage facilities to his sons’ enterprise. However, the lawmaker stressed that he intentionally stepped away from any lingering business ties before Prestigious Paving began competing for and receiving state-funded contracts.
Addressing the specific communications referenced in agency records, Muñoz maintained that he has no memory of initiating the telephone conversation documented by the transportation engineer. He reaffirmed that he has remained separated from the operational and contracting matters of his sons' company.
Candelaria, however, publicly challenged the senator’s defense, asserting that claims of not remembering such a communication strain credibility. The former lawmaker also argued that the company’s swift rise to becoming a major recipient of lucrative state infrastructure awards demands rigorous independent scrutiny.
In response to the controversy, transportation department officials defended the integrity of their procurement system. NMDOT spokeswoman Kristine Mihelcic explained that while the agency does not operate a formal database tracking the personal or familial relations of contractors and lawmakers, staff members may sometimes be aware of such ties. Mihelcic emphasized that the department maintains strict adherence to the Governmental Conduct Act and procurement protocols without extending preferential treatment to any vendor.
The controversy surrounds one of the most consequential leaders in New Mexico state government. Muñoz, a five-term veteran of the state Senate, assumed the leadership of the Senate Finance Committee in 2021. In that role, he exercises vast authority over the state’s fiscal policy, including the stewardship of the current $11.1 billion annual state budget.
During recent legislative terms, Muñoz has played a central role in advancing major legislative priorities alongside Gov. Michelle Lujan Grisham’s administration. His key legislative work includes helping to shepherd through measures that established universal childcare programs in state statute and restructuring the delivery of behavioral health services across New Mexico.
Beyond the filing with the State Ethics Commission, Candelaria has expanded his legal and oversight push by forwarding the case materials to New Mexico Attorney General Raúl Torrez and First Assistant U.S. Attorney Ryan Ellison for potential examination. Additionally, Candelaria’s legal firm has initiated litigation against the state General Services Department, alleging a failure to provide public records concerning Prestigious Paving’s bidding history and state contract files.
The allegations have also triggered sharp political fallout at the Roundhouse, with Senate Republican floor leader William Sharer of Farmington using the complaint to criticize the legislative majority. While Sharer noted that Muñoz is entitled to a fair and comprehensive investigation into the matter, he claimed the episode reflects broader systemic issues regarding self-dealing within state government.
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