The case of a former manager at the Minnesota Department of Public Safety who left her state job for a position with a government contractor is spurring new calls for reform at the State Capitol. 

Sandi Stroud quit her job as Minnesota’s 911 Program Manager earlier this year as 5 INVESTIGATES was asking questions about her remote work agreement. It allowed Stroud to manage the state’s Emergency Communication Networks (ECN) while living full-time on the East Coast. 

Just days after leaving her role in state government, Stroud was named the new Director of Public Safety for 1Spatial, a software company receiving taxpayer money to develop Minnesota’s “Next Gen 911” system. 

As recently as last year, Stroud represented the state in contracts with her future employer, according to records obtained by 5 INVESTIGATES through the Minnesota Government Data Practices Act. 

Stroud is not accused of breaking the law, but her prior relationship with 1Spatial is renewing concerns among government ethicists and lawmakers about a lack of regulations on what some call a ‘revolving door’ between state government and the private sector. 

“In government, it’s not just whether you have a real conflict of interest, it’s the perception of it,” said David Schultz, political science professor at Hamline University. 

‘Discussed this for years’

Public Safety Commissioner Bob Jacobson and Assistant Commissioner T. John Cunningham declined multiple interview requests, but in a statement, the agency said it is “confident in the processes” it has in place for “procuring outside services.”

Records show Stroud flagged a potential conflict of interest in March, disclosing to DPS that she had been “approached” by 1Spatial “about a potential job opportunity.” As a result, Stroud took herself out of the most recent talks to extend the company’s current contract with the state. 

However, Stroud’s name appeared frequently in previous contracts between 1Spatial and the State of Minnesota. 

In 2021, Minnesota IT Services listed Stroud as the “project sponsor” for a contract with 1Spatial to aggregate data from 911 locations throughout the state. 

In 2023, Stroud was listed as the state’s authorized representative in a contract with 1Spatial for training related to the company’s software. 

In a social media post announcing Stroud’s hire in May, 1Spatial USA CEO Sheila Steffenson wrote, “I am so excited to be teaming up with Sandi! We have discussed [sic] this for years…”

“This now suggests that what? That there’s been a parallel conversation going on,” Schultz said. “At the same time she’s talking to them about negotiating a contract, everything looks like they’re talking to her and saying, ‘Come over to our side, come over and work for us.’”

Stroud and 1Spatial declined requests for comment.

No ‘cooling-off’ period in Minnesota

State Rep. Kristin Robbins (R-Maple Grove) says details of the case uncovered by 5 INVESTIGATES highlight the need for a “culture change” in state government. 

“It matters because taxpayers are footing the bill,” Robbins said. “They don’t want people to individually benefit from their tax dollars. It’s very important that we have clean, transparent government.”

A 2021 analysis of “revolving door prohibitions” by the National Conference of State Legislatures (NCSL) found more than 40 states require “cooling off” periods before lawmakers or other public officials can leave their jobs and come back as lobbyists or government contractors.

Minnesota has “no mandatory waiting period,” according to the NCSL analysis. 

Larry Jacobs, a political science professor at the University of Minnesota, says the state lawmakers should consider making changes. 

“I think the big takeaway here is what happens in the future,” Jacobs said. “Unless Minnesota has clearer rules about the time and the permissibility of senior state officials jumping from government into a private sector job, it opens up really a can of worms.”