Interim Valley Metro CEO: Lavish spending out, ethics in

• "600-a-night hotel room is now off the table" — interim CEO
• Valley Metro employees will receive ethics training
• $364,650 travel budget will be reduced

Big-time spending is out and ethics are in at Valley Metro, following a scandal that cost the chief executive his job and has led to a criminal investigation.

Eric Anderson, the acting CEO, told the two boards for Maricopa County's transit district on Thursday that all out-of-town travel will be scrutinized and Valley Metro employees will receive ethics training.

"A $600-a-night hotel room is now off the table," Anderson said, referring to an expense filed by outgoing CEO Stephen Banta.

Banta resigned last month amid an investigation by The Arizona Republic that found questionable expenses he made that were reimbursed with tax dollars. He no longer is working at the bus and light-rail system; his official last day is Jan. 4. The Attorney General's Office has begun a criminal probe.

Anderson also told board members, composed of elected officials throughout Maricopa County, that he would reduce Valley Metro's travel budget, which is $364,650 for the current fiscal year.

New probe of Valley Metro's Stephen Banta: Attorney general investigating

Banta had budgeted $67,300 for his office, and he routinely took out-of-state or out-of-country trips as Valley Metro's CEO.

Among the questionable expenses were first-class flights, pricey hotels, and local and out-of-town dinners costing hundreds of dollars each in which he reported to have entertained clients.  Several of those clients later told The Republic that they never attended the engagements.

Anderson also said Valley Metro employees no longer can accept dinners from vendors who do business with the transit agency, saying the practice was "bad business."

He also reiterated that there would be no Valley Metro funds spent on alcohol, which Banta had done despite a Valley Metro policy he adopted that prohibited the practice. Banta previously told The Republic that the no-alcohol purchase policy did not apply to him.

And, Anderson said Valley Metro employees would not be reimbursed for business meals unless they submitted itemized receipts, something Banta routinely did not do, according to The Republic's investigation. 

Thelda Williams, a Phoenix City Councilwoman who is on both transit boards, said she was impressed with the changes that Anderson has implemented since taking over a few weeks ago.

"I have good vibes. They (Valley Metro staff) are listening, and trying to put things into place and move forward," Williams said. "I don't think they had good training previously. The whole system they had was pretty poor."

The boards also unanimously voted to keep Anderson as acting chief executive until Jan. 31. He's also the transportation director at the Maricopa Association of Governments.

The boards also voted to have Valley Metro's general counsel and chief financial officer report to them instead of the chief executive in order to have greater independence.

Valley Metro CEO Stephen Banta to take $265,000 annuity when he leaves Jan. 4