Colorado Behavioral Health Agency Hired Deputy Commissioner Accused of Stealing $99K from Nonprofit Without Conducting Reference Check
Why It Matters
Colorado’s troubled Behavioral Health Administration — already under scrutiny after losing two commissioners amid mismanagement allegations — faces fresh questions about oversight failures after hiring a senior official who was already under state investigation for alleged financial fraud. The case raises serious concerns about due diligence at a taxpayer-funded agency responsible for the state’s mental health and substance abuse programs.
The hiring lapse exposes potential weaknesses in state government vetting procedures and has prompted political fallout for Gov. Jared Polis, whose administration is now under pressure to explain how a person accused of stealing nearly $100,000 from a children’s advocacy nonprofit was placed in a high-ranking government role.
What Happened
Lindsay Salas was hired in November as deputy commissioner of administration at the Colorado Behavioral Health Administration — a position she began on November 17 — without the agency contacting her previous employer or discovering she was under investigation by the state Attorney General’s Office.
According to Colorado Attorney General Phil Weiser’s office, Salas allegedly doctored tuition reimbursement records to steal $99,000 while she was serving as head of CASA of Adams and Broomfield Counties, a nonprofit that trains volunteers to advocate for abused and neglected children in the court and foster care system. The scheme allegedly exploited a major donor who had agreed to fund Salas’ tuition at the University of Denver.
Salas agreed to a civil settlement requiring her to return $66,000 of the money. The civil judgment does not preclude further legal action against her. Salas’ attorney did not respond to requests for comment.
CASA first identified the irregularities internally in January 2025. The nonprofit’s board launched a review, hired a forensic accounting firm, and placed Salas on leave during the investigation. She resigned from CASA in May 2025, and CASA turned its findings over to the Attorney General’s Office in July 2025 — three months before Salas was hired by the state agency.
Governor Polis’ office confirmed Friday that Salas had been fired and that the governor “has directed a full review to confirm that best hiring practices were followed.” The BHA had placed Salas on administrative leave Wednesday, the same day the agency learned of the investigation.
No Reference Check With Nonprofit
CASA spokesperson Cathy Lucas confirmed the nonprofit had no communication with the BHA regarding Salas’ job performance during the hiring process. The agency did not reach out for a reference check, according to Lucas.
BHA spokesperson George Laumeyer said the agency followed standard state hiring policies, including a background check that “did not reveal anything concerning.” He did not respond to a question about whether the agency called CASA as part of a reference review. All hiring decisions were made by the BHA commissioner, Laumeyer said.
The Attorney General’s Office noted that its investigations are confidential and that it is not standard practice to notify employers if someone is under investigation. Spokesman Lawrence Pacheco referred all questions about Salas’ state employment to the BHA.
By the Numbers
$99,000 — the amount Salas allegedly stole through a fraudulent tuition reimbursement scheme.
$66,000 — the amount Salas agreed to return under the civil settlement.
3 months — the gap between the Attorney General’s Office receiving CASA’s findings in July 2025 and the state hiring Salas in November 2025.
12 years — the length of time Salas worked at the CASA nonprofit before her resignation.
2 commissioners — the number of BHA leaders who departed before Salas was hired, reflecting the agency’s ongoing leadership instability.
Zoom Out
The BHA has faced persistent turbulence since its founding four years ago. Its first commissioner, Dr. Morgan Medlock, departed after approximately one year and later sued Gov. Polis and other state officials, alleging racial discrimination and conflicts with members of the governor’s cabinet. The second commissioner, Dannette Smith, stepped down in February after a 35-year career in behavioral health, with current and former staff describing a toxic workplace environment.
The pattern of leadership failures at Colorado’s behavioral health agency mirrors challenges seen in other states attempting to stand up new bureaucratic entities without adequate accountability structures. Government watchdog advocates have long warned that rapid agency expansion — especially in behavioral health — can outpace institutional safeguards, leaving taxpayers exposed to mismanagement and fraud. Colorado’s broader government accountability record continues to draw scrutiny across multiple agencies.
What’s Next
Governor Polis has ordered a full review of the BHA’s hiring practices. The civil settlement against Salas has been finalized, but the Attorney General’s Office has not ruled out additional legal proceedings. CASA of Adams and Broomfield Counties has established a financial controls subcommittee and updated internal policies to strengthen accountability. The BHA has yet to name a permanent replacement for Salas or clarify how it plans to reform its vetting process for future senior hires.