By Every day the final days of the Biden Administration appear to look more like a fallen dictator whose staff looked to get as much money out the door as possible. The Trump administration has launched a formal review of a $50 million federal grant awarded in the final months of President Joe Biden’s tenure, citing concerns over potential financial mismanagement and conflicts of interest. The funding, distributed by the Department of Energy under the Inflation Reduction Act, was designated for the Tribal Energy Consortium, a New Mexico-based nonprofit with little financial history.
Established just two years ago, The Washington Examiner wrote, the organization operates out of the Jemez Pueblo reservation and reported annual revenues of less than $50,000 in both 2022 and 2023. Despite its limited financial background, it was chosen to receive substantial federal funding for a methane reduction initiative on tribal lands. Given its relatively untested history, the grant has come under scrutiny, prompting officials to reassess whether the funds should be distributed. A Department of Energy spokesperson confirmed that the agency is conducting a broad review of existing grants and loans to ensure alignment with the Trump administration’s fiscal priorities.
A major factor driving the investigation is the involvement of Roger Fragua, who serves as the principal officer of the Tribal Energy Consortium while also directing another federally funded nonprofit, the Flower Hill Institute. Flower Hill has previously faced financial oversight challenges, particularly after securing over $10 million in grants from the U.S. Department of Agriculture. A financial audit identified weaknesses in internal controls, including concerns over contracts awarded primarily to businesses affiliated with its board members.
One contract involved Cota Holdings, a company operated by Fragua, which received nearly $300,000 from Flower Hill in 2022. Public records indicate that Cota Holdings shares an address with both the Tribal Energy Consortium and the Flower Hill Institute, raising further concerns about potential financial entanglements. Ethics experts warn that such overlaps can erode trust in federally funded initiatives. Laurie Styron, CEO of Charity Watch, emphasized that nonprofits should avoid these types of arrangements unless the services provided are uniquely specialized and significantly discounted. Otherwise, she noted, the situation creates an appearance of impropriety.
The U.S. Department of Agriculture’s previous review of the Flower Hill Institute revealed instances of overbilling, including an overpayment of $186,089 under a contract for a communications and grants technical manager. Following this finding, the organization was required to implement corrective measures to ensure compliance with federal procurement standards. Patrick Sternal, a former IRS tax law specialist, stressed the importance of rigorous oversight in awarding federal grants, particularly when past audits have raised red flags.
While the Tribal Energy Consortium maintains that its methane reduction initiative aligns with federal climate goals, the outcome of the ongoing review will determine whether the grant is ultimately revoked. As the Trump administration reassesses Biden-era spending priorities, this case could set a precedent for further scrutiny of other grants awarded under the previous administration.
This isn’t the only time that Biden staffers have been caught shoveling money out the door during the addled president’s final days. EPA Administrator Lee Zeldin announced the recovery of $20 billion in federal climate money that was hastily sent out during the final days of the Biden administration. These funds, distributed through the Greenhouse Gas Reduction Fund and other “green” organizations, had been managed by a financial institution in a process Zeldin criticized for its lack of proper oversight. The EPA plans to terminate the financial agent agreement and return the money to the U.S. Treasury.
A Project Veritas investigation revealed that EPA official Brent Efron admitted to aggressively disbursing over $100 billion in climate-related grants under Biden’s Inflation Reduction Act. Efron described this effort as an “insurance policy” against a potential Trump presidency, aiming to ensure the persistence of Biden’s climate policies. He likened the rapid allocation of funds to “throwing gold bars off the Titanic,” suggesting that these nonprofits would act as a buffer against future policy changes. In response, Zeldin has pledged to investigate the matter further, signaling a significant shift in environmental policy under the current administration.
[Read More: EPA Director Finds ‘Titanic Gold’]
