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Lisa Rein
Reporter covering federal agencies and government management in the Trump administration
The White House is increasingly worried about allegations of wrongdoing against Secretary of the Interior Ryan Zinke, according to two senior administration officials. President Trump asked his staff for more information on a land agreement in Montana under the control of the Department of Justice.
Trump told his aides that he feared that Zinke was breaking the rules while he was secretary of the interior and worried about the referral to the Justice Department, officials said. who requested anonymity because of the sensitivity of the case. But the president did not say he was going to fire former members of the Navy SEAL and Congress and asked for more information, officials said.
This week, the Office of the Inspector General of the Interior sent the investigation – one of many inquiries into the conduct of the secretary – to the Department of Justice to determine whether a criminal investigation was warranted. This reference relates to Zinke's participation in a land development agreement in Whitefish, Mount Royal, supported by David J. Lesar, president of the oil services company Halliburton.
The commercial and commercial park, known as 95 Karrow, would be located near parcels owned by Zinke and his wife, Lola. The Inspector General reviews Zinke's discussions with Lesar and others about the situation, which could indicate that he was using his office to enrich himself.
The interior played no role in the Montana project, but congressional Democrats called for an inquiry in June because the ministry was issuing rules on oil and gas development with financial implications for companies such as Lesar.
No decision on Zinke's mandate has been made, officials said. But the change in the West Wing shows how the position of the Secretary of the Interior has deteriorated in recent months.
The White House and Interior refused to comment on Thursday. Zinke said he was planning to stay at his post, according to a person who had spoken to him recently and who would have spoken under the guise of anonymity to be able to discuss a conversation. private.
The confidence of White House officials in Zinke, 57, a staunch supporter of the president's desire to expand coal, oil and gas production in the United States, has begun. erode early in the year after his trip to Florida to meet Governor Rick Scott (right) announced that he would exempt the state from the new plan of administration to allow drilling off the coast of the state. This operation, which was uncoordinated with West Wing politicians, exposed the five-year leasing plan to legal difficulties and failed governors in other states.
But the concerns of the administration officials intensified with the proliferation of allegations against Zinke, who denied having committed wrongdoing. In October, the Interior Monitoring Unit issued a report stating that Zinke's travel practices and efforts to designate his wife as a volunteer in the department had attracted the attention of interior ethics officials on the red flags.
Zinke is the second Trump Cabinet member to be scrutinized by the Department of Justice. Earlier this year, the Inspector General of the Environmental Protection Agency referred to federal prosecutors a deal about the lease with lobbyist Steve Hart, who was director of the board, Steve Hart. , and his wife, Vicki. This investigation appears to have lost momentum following Pruitt's resignation in July, according to two people informed of the investigation who reportedly spoke on condition of anonymity because of the sensitivity of the case.
A referral to the Department of Justice means that prosecutors will investigate whether a criminal investigation is warranted. The Inspector General of an agency refers cases to the Department of Justice only after determining that there may be a criminal offense and does so regularly before completing its own investigation.
Secretary of the Interior, Ryan Zinke, testifies at Capitol Hill on May 10, 2018, about a request for funding for the 2019 fiscal year and a budget justification for the Department of l & # 39; Interior. (Yuri Gripas / Reuters)
The New York University public service professor, Paul C. Light, who wrote a book on inspectors general, said in an interview that he regularly informed prosecutors of potential wrongdoing within agencies they monitor. But he said that it is much less common for them to dismiss cases involving a Cabinet member.
"It's unusual," Light said. "A Cabinet member, it's a big problem."
Acting Inspector General Mary L. Kendall leads at least three separate probes connected to Zinke. One of these concerns his decision not to grant authorization to two Connecticut tribes to jointly run a casino, while his career staff had recommended the move after MGM Resorts International lobbied against him. . Another is whether the interior authorities have redefined the boundaries of the Grand Staircase-Escalante National Monument for Utah's representative, Mike Noel (right), who owns the property in the area. region.
The Montana project is another. When the Washington Post announced Tuesday the referral to the Department of Justice, it was still difficult to determine which of the investigations had been handed over for the purpose of a possible criminal investigation.
A senior White House official said the White House understood that the investigation was to determine whether the secretary was "using his office to help himself."
Last year, Lola, Zinke's wife, signed an agreement authorizing the development of 95 Karrow to use the land belonging to the Zinkes Foundation, the Great Northern Veterans Peace Park Foundation, as a parking lot. The proposed hotel, retail and microbrewery site is located near several properties owned by the Zinkes.
The details of the land transaction have been reported for the first time by Politico.
Zinke stepped down as president of the foundation after joining Trump's cabinet, and his wife took office in that position. But federal records show that the Interior Secretary has continued to discuss the project with Lesar and his son, as well as local developer Casey Malmquist.
On August 3, 2017, according to documents released under the Freedom of Information Act, Zinke met the three men in his office in Washington, took them on a private tour of the Lincoln Memorial, and had dinner with them. Next month, Malmquist e-mailed Zinke the development plans and sought his advice.
"I want you to know that, no matter what assistance you need to protect and promote your park vision, let me know and I will make sure it is communicated and executed," Malmquist wrote. in an exchange that Zinke passed on to his assistant.
The Zinkes own two companies, Continental Divide International and Double Tap, which own several parcels of land near the proposed project. According to Zinke's latest statement of financial position, he received between $ 15,001 and $ 50,000 in rent or royalties from Continental Divide International and between $ 5,001 and $ 15,000 from Double Tap.
Zinke left his management positions in both companies in March 2017.
The assessed value of the Continental Divide properties for 2018 was $ 858,160, while the property value of Double Tap properties was $ 467,400.
In an interview Thursday, Whitefish urban planner David Taylor said the secretary's involvement in the project was limited to the parking and access agreement signed by his foundation with the developers.
In the past, Zinke had expressed interest in opening a brewery in Whitefish, but the 95 Karrow site plan did not say who would run the microbrewery.
"They never said who would become the owner of the brewery," Taylor said.
For now, the Peace Park – whose land is valued at just over $ 501,000, according to the foundation's 2017 tax returns – is used primarily for winter tobogganing. There is no way to get directly into the park because the Zink have installed a barrier to the demand of neighbors living along Murray Avenue, said Taylor, so as not to disrupt them with additional traffic.
"It seemed like" we'll help you do that if you help us do it, "Taylor said, noting that the extra parking would benefit visitors to the foundation's development and park.
Investigations into Zinke's conduct take place while he is looking for someone whom the president can appoint inspector general of the department. Kendall has been in office since early 2009.
In a Wednesday phone interview, Kendall declined to discuss ongoing investigations, but said she supported the idea that Trump designates someone to sit on a permanent position.
"In the end, I think the organization needs a duly appointed and confirmed IG," Kendall said. "The time has come. It may have been just some time ago.
Magda Jean-Louis, Alice Crites and Ashley Parker contributed to this report.
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