JEFFERSON CITY — Missouri’s top gambling regulator is leaving the job May 1, saying his attempts to cut spending at the “bloated†agency faced fierce resistance.
David Grothaus, who took over as executive director of the in March 2019 after decades in state and federal law enforcement, said in a letter Monday that some members of the Missouri Highway Patrol assigned to work at the state’s 13 casinos engaged in “guerrilla warfare†in an attempt to block his plans to replace them with lower paid civilian employees.
“It now seems that there is more interest in protecting the assignments of highway patrol officers than in ensuring a sound, proactive, technically competent, top-notch regulatory MGC effort,†Grothaus wrote in the letter obtained by the Post-Dispatch.
People are also reading…
His departure comes as the state’s 13 casinos sit idle because of concerns about the spread of COVID-19.
The decision is costing the state an estimated $1 million per day in tax revenue from gamblers.
In his letter, Grothaus said “it has become obvious that the direction of the commission under my leadership is incompatible with the vision of certain commissioners.â€
In particular, he said he was seeking to comply with a directive from Gov. Mike Parson to find ways to make the agency “more efficient and accountable.â€
He said the agency’s workforce is “fraught with much waste because of a bloated patrol gaming division and the use of highly paid law enforcement officers in positions more suited for civilian technicians.â€
For example, he said fringe benefits for patrol officers are much higher than civilian employees. And, he said there are “excessive vehicle expenditures that are not needed for the job they perform.â€
“I sense that much of the criticism of my management is in direct response to my effort to seek accountability for these expenses,†Grothaus wrote.
Grothaus, who is paid an estimated $128,000 annually, took over as the seventh executive director after the retirement of William “Bill†Seibert.
He is a former supervisory agent with the Bureau of Alcohol, Tobacco, Firearms & Explosives and served in ºüÀêÊÓƵ, Wyoming and Washington, D.C.
His career spans 44 years and includes both Army and Air Force military service from 1976 until 2017 when he retired from the United States Army Reserve.
Grothaus also is a former state highway patrol officer.
Commission Chairman Mike Leara, a former Republican member of the Missouri House from south ºüÀêÊÓƵ County, said relations were strained between the highway patrol and commission leaders.
“There was tension there. I don’t know who’s to blame. There’s differences of opinions all over the place. I just think the executive director had a different view of the direction of the commission,†Leara said.
“I think he had some very valid concerns. I think some of those will be addressed in the future. But we’ve got to get through this coronavirus issue first,†Leara added.
Commission member Pat Conway, a former Democratic state lawmaker from St. Joseph, said he hadn’t made up his mind about Grothaus’ proposal to lower operational costs.
“I really hadn’t formed an opinion. I wanted to hear from the patrol side about what they felt were their responsibilities,†Conway said.
In a statement Tuesday, the Department of Public Safety said, “For more than 25 years, the Missouri Gaming Commission and the Missouri State Highway Patrol have partnered to keep crime out of the gaming industry and ensure casino customer safety. DPS is committed to assisting in that mission and has complete confidence in both the Missouri Gaming Commission and the Missouri State Highway Patrol.â€
In a separate letter to gaming commission employees, Grothaus said, “I have had a full career and MGC has been a great way to end it.â€
But, he added, “I have many more important things in my life that need attention and the pandemic and other things have made me realize that I need to refocus my energy to higher level goals.â€
His pending departure comes as state lawmakers also are grappling with the spread of thousands of unregulated and potentially illegal gaming terminals at gas stations, restaurants and truck stops.
Senate President Pro Tem Dave Schatz, R-Sullivan, is pushing for legislation to ban the machines, but that effort also is on hold because of the coronavirus crisis. The House and Senate are expected to return to action next week, but are likely only going to act on budgetary matters.
Leara said Grothaus’ departure was not related to any concerns about how to regulate the illegal terminals, many of which are owned by a company that has contributed $20,000 to Parson’s bid for a full, four-year term.
Updated with a statement from the Department of Public Safety