Corruption and Political Crisis in Coral Gables: A Divided City

Corruption and Political Crisis in Coral Gables: A Divided City. A Look at the Network of Political and Business Interests. A City Hall Under Suspicion

Coral Gables, one of the most exclusive cities in Miami-Dade County, has become the epicenter of a corruption scandal involving public officials and businessmen with deep connections in the real estate and urban development sectors. Recent reports point to a web of political favors, arbitrary decisions, and the misuse of public resources.

A City Hall Under Suspicion

Over the past two years, Coral Gables has experienced an escalating political crisis marked by the division between two factions within the City Commission. On one side stand Mayor Vince Lago and Vice Mayor Rhonda Anderson; on the other, Commissioners Ariel Fernández, Melissa Castro, and Kirk Menéndez. This division has led to governance challenges, accompanied by multiple allegations of corruption and abuse of power.

Corruption in Coral Gables: Chronology of a Political Scandal

The city of Coral Gables, known for its Mediterranean charm and high standard of living, has faced a series of controversies in recent years that have cast doubt on the transparency of its local government. Below is a chronological account of key events revealing patterns of conflicts of interest, opacity in financial decisions, and power struggles.

The Wawa Case and the Disputed Land

One of the most emblematic episodes of corruption in Coral Gables is the dispute over a plot of land at Grand Avenue and US-1, originally granted in 2003 by Miami-Dade County to the L.B.W. Homeowners Foundation of Coral Gables under the condition that it be used for affordable housing.

In 2007, this organization sold the land to Bahamian Village LLC for $10, raising suspicions of a potential scheme to fraudulently transfer public land to private interests.

In 2020, plans to build a Wawa gas station on the site sparked a citizen lawsuit against the city.

In 2022, a judge ruled that the approval process had been “blatantly illegal,” forcing Wawa to withdraw its project.

The land, valued at $12 million, remains in dispute, with suspicions that it may have been used to benefit developers linked to the City Commission.

Key Points of the Case:

• Doubtful Transfer of the Land:

• In 2003, Miami-Dade granted the land to the L.B.W. Homeowners Foundation of Coral Gables, under the condition that it be used for community benefit.
• In 2007, the organization transferred it to Bahamian Village LLC for just $10, a symbolic price that raised suspicions.
• Connection with Developers:
• Documents reveal that REDEVCO Management, a real estate firm with strong political ties, had plans for the land.
• The disclosure of a contract to install a gas station on the site sparked citizen protests and legal challenges.
• Lawsuit and Judicial Ruling:
• The community filed a lawsuit against the City of Coral Gables, alleging the Wawa project was approved irregularly and without public consultation.
• In 2022, a judge ruled that the approval process was “blatantly illegal,” leading to the cancellation of the contract with Wawa.
• Financial Crisis of L.B.W. Homeowners Foundation:
• The foundation, responsible for the land, shows $650,000 in debt in its financial statements, raising questions about the use of funds.
• Lack of Transparency and Future of the Land:
• Despite the court ruling, the future of the land remains uncertain, with the possibility of the county reclaiming ownership still on the table.

The Wawa case is just one piece in Coral Gables’ corruption puzzle. The involvement of local politicians, ties to REDEVCO, and opacity in managing public funds reflect a troubling pattern in the city’s governance.

September 2023: Self-Approved Salary Increases

The commission split into two factions:

• Menéndez, Fernández, and Castro: Approved salary increases and blocked electoral reforms.
• Lago and Anderson: Advocated for transparency and moving elections to November to boost voter turnout.

In a controversial vote, commissioners Kirk Menéndez, Ariel Fernández, and Melissa Castro approved a compensation package that included:

• 78% salary increase for commissioners (from 36,488 to 65,000 annually).
• Doubling of expense allowances ($9,600 annually).
• Monthly car allowance of 703 equivalent to 8,446 annually.

Mayor Vince Lago and Vice Mayor Rhonda Anderson voted against the measure, calling the process “non-transparent.” The increases were included in the budget without prior public debate, sparking criticism over conflicts of interest. Menéndez defended the move, arguing it would enable less affluent individuals to participate in local politics, but residents and media questioned the excessive raise (Source 1, Source 2).

The 78% salary hike approved for commissioners Menéndez, Fernández, and Castro was secretly added to the budget, bypassing public discussion or transparency. Lago and Anderson refused to accept the increase.

Commissioners also received expanded discretionary funds and car allowances, which Castro used to purchase a 2023 Maserati and Fernández a Cadillac XT6. This scandal, dubbed “Raisegate”, has sparked widespread outrage in the community.

Polarization and Elections

In September 2023, Menéndez reversed his stance and voted against moving elections to November, citing a lack of public consultation. Critics argued he aimed to benefit his faction, as April elections historically have lower voter turnout and are easier to influence (Source).

October 2023: Censure of Mayor Lago

After opposing the salary increases, Lago was censured by Menéndez, Fernández, and Castro following his criticism of his colleagues in Spanish-language media, accusing them of “living off their wives” and acting with “hands in the taxpayers’ pockets.” Lago and Anderson unsuccessfully attempted to reduce their own salaries, but the majority forced them to accept the money and donate it, resulting in double taxation (Source 3).

April 2024: Proposed Forensic Audit

Lago proposed a forensic audit amid corruption allegations, including irregularities in the use of municipal purchase cards. While an initial review found no embezzlement, Fernández pointed to questionable expenses, such as $12,000 in gift cards and decorative items. The measure aimed to clean up the city’s image but deepened divisions within the commission (Source).

July 2024: Rejection of an Inspector General Office

The commission rejected creating an inspector general office to investigate irregularities, voting 3-2 against (Menéndez, Fernández, and Castro). Lago and Anderson denounced the move as perpetuating a lack of accountability (Source).

August 2024: Defamation Lawsuit Dismissed

A judge dismissed Lago’s lawsuit against radio station Actualidad 1040 AM, which linked him to an ethics investigation over conflicts of interest in the annexation of “Little Gables.” The ruling emphasized that criticism of public figures is protected under free speech (Source).

The Menéndez Case and Property Sales

One of the most controversial points revolves around Commissioner Kirk Menéndez, who sold two properties at 323 and 325 Malaga Avenue to developer Trammel Crow in 2022 for $1.85 million each. Shortly after, the area was rezoned from 40 to 77 feet, enabling the development of a mixed-use project.

Internal City Hall sources claim that Menéndez allegedly promised other developers assistance with the rezoning process in exchange for money and properties. Additionally, two city employees informed former City Manager Peter Iglesias that Menéndez pressured them to secure approval for the project.

Corruption in the Commission?

The same Menéndez who in 2024 declared that “Coral Gables is mired in a swamp of corruption” has been singled out as one of the primary beneficiaries of this political chaos.

Meanwhile, he, Fernández, and Castro voted against creating an independent Inspector General to investigate potential irregularities. Despite ongoing complaints, the lack of an external audit has prevented clarity on the extent of abuses.

Additionally, Commissioner Melissa Castro has been accused of a conflict of interest, as her permit expediting company, M.E.D. Expeditors, worked on projects linked to developers benefiting from Menéndez’s property sales. Despite a 2024 warning from the County Ethics Commission, her company continued operating under a new name to maintain its business.

The company of Commissioner M.E.D. Expeditors specializes in: Comprehensive Permit and Legal Process Management. Is it too convenient?

M.E.D. Expeditors is a firm specializing in streamlining administrative, legal, and technical processes for commercial, residential, and industrial projects. Its primary focus is simplifying complex procedures, ensuring regulatory compliance, and optimizing timelines for clients.

Specialties:

• Clerk of Courts Recording: Filing and tracking documents with courts or public records.
• Permits and Legalizations:
  • Construction Permits and Revisions: Management of applications, renewals, or modifications of construction permits.
  • Expired Permits: Regularization of projects with expired permits.
  • Tree Permits: Procedures for pruning, removal, or transplantation of trees, complying with environmental regulations.
  • Public Works Permits: Authorizations for interventions in roads, sewers, or municipal infrastructure.
• Certifications and Approvals:
  • TCO (Temporary Certificate of Occupancy): Obtaining temporary approval for space use prior to full completion.
  • CO (Certificate of Occupancy) and CU (Certificate of Use): Final legalization of properties for commercial or residential use.
• Licenses and Commercial Management:
  • Alcohol Licenses (Beer & Wine / Liquor License): Advisory for obtaining or renewing licenses for alcohol sales.
• Inspections and Compliance:
  • Coordination of technical and municipal inspections to ensure compliance with construction and safety codes.
• Project Management:
  • Planning, supervision, and comprehensive execution of projects, from initial paperwork to final delivery.
• Legal and Administrative Services:
  • Personal Representatives: Support in probate procedures or estate management.

The Dismissal of the Municipal Administrator

January 2025: Third Administrator in One Year

Amos Rojas, the city administrator, resigned after less than a year in office. Menéndez, Fernández, and Castro appointed Alberto Parjus as his replacement, ignoring calls for a transparent process. Critics noted Parjus lacked municipal management experience and alleged the appointment reflected favoritism (Source).

In 2024, Menéndez’s faction ousted Peter Iglesias, a city administrator with 35 years of experience, replacing him with Amos Rojas Jr., a former U.S. Marshal with no public administration background. The decision was made without an open selection process and faced heavy community criticism.

Rojas resigned less than a year later amid negligence allegations, rumors of absenteeism, and plummeting staff morale. The new administrator was hastily appointed without a national search, with Menéndez negotiating his contract.

February 2025: Scrutiny of Menéndez

Investigations revealed alleged mismanagement by Menéndez at the nonprofit War Memorial Youth Center, which lost its tax-exempt status in 2020. His personal debts and potential conflicts of interest—appointing family members to financial roles—were also flagged (Source).

March 2025: Fraudulent Signatures Investigation

State authorities probed fake signatures in a failed 2024 recall effort against Lago. Fire unions allied with Menéndez funded the campaign using “dark money,” reinforcing accusations of election manipulation (Source).

A Government in Crisis

The events in Coral Gables expose a pattern of opacity, conflicts of interest, and power struggles. From self-approved raises to alleged election rigging, the lack of ethical oversight has eroded public trust. With key elections in April 2025, residents demand transparency and leaders prioritizing the common good. The question remains: Can Coral Gables restore its reputation as “The City Beautiful,” or will scandal define its legacy?

Controversies Include:

• Contentious decisions on city budgets.
• The dismissal of the city administrator.
• Secretive salary increases.
• A real estate scandal tied to Menéndez’s property sales to developers linked to Castro’s business.

Commissioner Kirk Menéndez and allies Ariel Fernández and Melissa Castro have been accused of orchestrating a power-abuse scheme diverting municipal funds for personal gain.

Key irregularities include:

• A 78% salary increase for commissioners, accompanied by an increase in their expense accounts and the allocation of a new vehicle allowance.
• Menendez, in particular, has been accused of selling properties to a developer, who subsequently hired Castro’s firm to expedite building permits.
• The dismissal of the City Manager and his replacement with an inexperienced figure, followed by another shadowy removal.
• The refusal to allow an independent audit by an inspector general, suggesting a systematic cover-up.

Despite these allegations, Menéndez refused to declare properties in his 2025 financial report, though his 2024 filing listed a net worth of 1.18 million, including nearly 913,000 in investments.

Political and Economic Implications

Toward Greater Accountability?

Ongoing investigations and public pressure have increased scrutiny over Coral Gables’ real estate projects. However, the absence of an independent oversight body leaves room for similar schemes to persist.

Meanwhile, the community continues to await clear answers and concrete measures that guarantee transparency and the proper use of public resources.

Change or More of the Same?

Coral Gables’ crisis is not just political infighting but a case study in how corruption and cronyism can paralyze a city—a pattern not unique to Miami-Dade County.

Voters now face a choice: retain these officials or elect new representatives. The lack of budget transparency, misuse of public funds for special interests, and refusal to address ethical breaches underscore the urgent need for reform.

The community awaits clear answers and concrete actions to ensure transparency and proper stewardship of public resources.