Federal and state agencies said Friday that they have not yet decided whether they will ask Santa Fe County to pay back grant money that might have been used to purchase bulletproof vests and other items later sold on eBay by former Sheriff Greg Solano.

At a Santa Fe County Commission meeting on Tuesday, County Manager Katherine Miller reported that the county might have to pay back about $37,000 in federal and state grants used to buy law enforcement equipment.

"Our agency is reviewing the matter and we are considering available options," Tim Korte, spokesman for the state's Department of Finance and Administration, wrote in an email. "We are hoping to meet with county officials in the next week as we determine the next steps."

Elizabeth Martinez with the U.S. Department of Justice said the agency cannot comment on the matter at this time.

Solano has been charged with 251 counts of embezzlement and one felony fraud count. He resigned in November saying he had been selling used vests to families of people working in the Middle East as a way to help make his mortgage payment. A plea hearing is scheduled Wednesday in state District Court.

At Tuesday's meeting, Commissioner Daniel Mayfield asked County Manager Katherine Miller this question: "Were there items purchased with federal funds and how are we going to deal with that? How are we going to report that to the feds? Is there money that this county needs to pay back?"

Miller responded with the following: "Madame chair, Commissioner Mayfield, there actually were, and we were awaiting results of the audit. We will need to notify the respective grant or agencies of the theft uncovered, to the following: The federal Department of Justice, $2,119; the state traffic safety DOT, $2,099; and DFA, the Law Enforcement Protection Fund, $32,888. So those, we will notify those agencies and we'll have to deal with that."

Two messages left with Miller on Tuesday after the meeting — one on a personal cellphone, one on a county cellphone — seeking clarification of her statement were not returned. County Public Information Officer Kristine Mihelcic did respond and cited the specific dollar amounts and the agencies involved.

She has since said she does not think the reporter asked about whether the money was owed to these agencies.

After The New Mexican published an article Thursday reporting that the county manager said the county will have to pay back the money, Mihelcic demanded in an email that the paper print a retraction or correction because Miller never specifically said the county owes those agencies the money.

Asked Friday to further clarify the matter, Mihelcic wrote: "Santa Fe County absolutely feels the grant money should be accounted for and repaid as directed by the agency or outlined in the agreement."

But she emphasized that Miller is not saying the county owes them the money. Those agencies have not yet said whether they agree.

Contact Geoff Grammer at 986-3076 or ggrammer@sfnewmexican.com. Read his blog at SantaFeCrime.com.