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HomeMy WebLinkAbout1565 Burchfield In Re: David Burchfield, Sr., : File Docket: 08-066 Respondent : X-ref: Order No. 1565 : Date Decided: 10/19/10 : Date Mailed: 10/26/10 Before: Louis W. Fryman, Chair John J. Bolger, Vice Chair Donald M. McCurdy Raquel K. Bergen Nicholas A. Colafella Mark Volk This is a final adjudication of the State Ethics Commission. Procedurally, the Investigative Division of the State Ethics Commission conducted an investigation regarding possible violation(s) of the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq., by the above-named Respondent. At the commencement of its investigation, the Investigative Division served upon Respondent written notice of the specific allegations. Upon completion of its investigation, the Investigative Division issued and served upon Respondent a Findings Report identified as an “Investigative Complaint.” An Answer was filed and a hearing was requested. A Stipulation of Findings and a Consent Agreement waiving an evidentiary hearing were subsequently submitted by the parties to the Commission for consideration. The Stipulated Findings are set forth as the Findings in this Order. The Consent Agreement has been approved. This adjudication of the State Ethics Commission is issued under the Ethics Act and will be made available as a public document thirty days after the mailing date noted above. However, reconsideration may be requested. Any reconsideration request must be received at this Commission within thirty days of the mailing date and must include a detailed explanation of the reasons as to why reconsideration should be granted in conformity with 51 Pa. Code § 21.29(b). A request for reconsideration will not affect the finality of this adjudication but will defer its public release pending action on the request by the Commission. The files in this case will remain confidential in accordance with the Ethics Act. Burchfield, 08-066 Page 2 I.ALLEGATIONS: That David Burchfield, Sr., a public official/public employee in his capacity as a Supervisor of Blair Township, Blair County, violated Section 1103(a) of the State Ethics Act (Act 93 of 1998), 65 Pa.C.S. § 1103(a), when he used the authority of his public position for private pecuniary gain, including but not limited to participating in actions of the Board of Supervisors to provide payments and/or donations to the Duncansville Blair Township Fire Department which said funds were used to pay rental on a facility owned by Burchfield. II.FINDINGS: 1. David Burchfield, Sr. served as a Supervisor for Blair Township, Blair County from approximately January 1998 until February 20, 2009. a. Burchfield resigned his position effective February 20, 2009. 2. Blair Township is designated a township of the second class and is governed by a three (3) member Board of Supervisors. a. David Burchfield, Sr., Arlene Bush, and Palmer Brown comprised the Blair Township Board of Supervisors during calendar years 2005 through 2007. b. Blair Township Supervisors are elected to six-year terms. 3. Professionally, David Burchfield, Sr. has business interests including but not limited to The Burchfield Limited Partnership, The Burchfield Organization, Inc., and Burchfield Auto Sales. 4. The Burchfield Organization, Inc., was incorporated in December 1994 with its principal place of business at 713 Route 764, Duncansville, PA 16635. a. Burchfield, his wife, and two sons are employed by The Burchfield Organization, Inc. b. Burchfield and his family members hold corporate officer positions in The Burchfield Organization, Inc., as follows: 1. David E. Burchfield, Sr. – Chief Executive Officer 2. Linda L. Burchfield (Burchfield’s wife) – Secretary 3. David E. Burchfield, Jr. (Burchfield’s son) – Vice President 4. Richard E. Burchfield (Burchfield’s son) – Treasurer 5. The Burchfield Organization, Inc., was incorporated for the purpose of performing services and providing materials for auto and truck sales and repairs, truck and equipment salvage, and other related activities. a. The Burchfield Organization, Inc., encompasses several Burchfield businesses including Burchfield Towing & Auto Sales and Burchfield Auto & Truck Salvage. 6. Records of the Pennsylvania Department of State Corporation Bureau include the following information on Burchfield-owned business entities: Burchfield, 08-066 Page 3 Entity Name Entity Number Officers Burchfield Auto Sales 1055269 David Burchfield Sr. (Fictitious Name) Burchfield Auto & 1055270 David Burchfield Sr. (Fictitious Name) Truck Salvage The Burchfield 2612090 David E. Burchfield, President Organization Inc. Linda Burchfield, Secretary Richard E. Burchfield, Treasurer David Burchfield, Jr., Vice-President The Burchfield Limited 556596 David E. Burchfield, Sr., General Partnership Partner Entity Name Filing Date Burchfield Auto Sales 09/15/1988 Burchfield Auto & Truck Salvage 09/15/1988 The Burchfield Organization Inc. 12/14/1994 The Burchfield Limited Partnership 10/25/2005 7. The Burchfield Limited Partnership was created on or about October 1, 2005, with its principal place of business at 713 Route 764, Duncansville, PA 16635. a. This is the same business address as that of The Burchfield Organization, Inc. b. Limited partnership applications for The Burchfield Limited Partnership were filed with the Pennsylvania Department of State on October 25, 2005. c. David E. Burchfield, Sr. is identified as the general partner. 8. David E. Burchfield, Sr. has had a 95% ownership interest in The Burchfield Limited Partnership since October 1, 2005. a. David E. Burchfield, Sr. has had a 95% ownership interest in The Burchfield Limited Partnership at all times relevant to this investigation. b. The remaining five (5) percent ownership interest is held by Burchfield’s wife, Linda Burchfield, and their children. 9. A Limited Partnership Agreement dated October 1, 2005, between David E. Burchfield, Sr. as general partner and members of his immediate family delineates partnership interests. a. Stated partners along with their ownership interests include: Linda L. Burchfield 1% David E. Burchfield, Jr. 1% Richard Burchfield 1% Tina Burchfield 1% Jody Reading 1% b. David E. Burchfield, Sr. as general partner has a 95% ownership interest in The Burchfield Limited Partnership. Burchfield, 08-066 Page 4 c. Exhibit 1 of The Burchfield Limited Partnership Agreement identifies David E. Burchfield, Sr. 713 Route 764, Duncansville, PA 16635, as the general partner with the same address being used as the registered office. d. The signature page of The Burchfield Limited Partnership Agreement includes the signature of David E. Burchfield, Sr. as the general partner with signatures for Linda L. Burchfield, David E. Burchfield, Jr., Richard Burchfield, Tina Burchfield, and Jody Reading as limited partners. 10. Burchfield’s powers and duties as general partner are outlined in Article 5, Section 2, of The Burchfield Limited Partnership Agreement: “The General Partner shall be authorized and empowered to carry out and implement any and all of the purposes of the partnership, in accordance with the terms of this agreement, applicable law and any policies established by the General Partner. Subject to the foregoing the Powers of the General Partner, which shall be exercised by it as a fiduciary on behalf of all partners shall include but not be limited to the following:” a. To engage personnel. b. To engage attorneys, accountants or such other persons as the general partner deems necessary or advisable. c. To receive, buy, sell, option, exchange, trade and deal otherwise with securities and other investments and other property of the partnership. d. To open, maintain and close bank accounts and brokerage accounts, and to draw checks and other orders for the payment of money. e. To borrow money and to make, issue, accept, endorse and execute promissory notes, drafts, bills of exchange and other instruments and evidences of indebtedness, all without limit as to amount, and to secure the payment thereof by mortgage, hypothecation, pledge or other assignment of or arrangement or security interests in all or any part of any property of the partnership. f. To take such actions and incur such expenses on behalf of the partnership as the general partner deems necessary or advisable in connection with the conduct of the affairs of the partnership. g. To enter into, make and perform such contracts, agreements and other undertakings as the general partner deems necessary or advisable for the conduct of the affairs of the partnership including but limited to contracts, agreements, undertakings and transactions with any partner or with any other person having any business, financial or other relationship with the general partner or any other partner. h. To compromise any claim due the partnership or submit to arbitration any dispute or controversy involving the partnership. 11. The general partner’s responsibility as identified under subsection (g) gave Burchfield, Sr. the authority to enter into agreements on behalf of The Burchfield Limited Partnership. a. Burchfield, Sr.’s 95% ownership interest in The Burchfield Limited Partnership gave him the authority to make any decision on behalf of The Burchfield, 08-066 Page 5 Burchfield Limited Partnership without any other partner’s consent. 12. Blair Township is primarily a rural township near the communities of Duncansville, Hollidaysburg, and Roaring Springs. a. Prior to 2006, the Township did not have any fire protection based within the geographical boundaries of the Township. b. The Township’s fire and emergency response needs were split among five volunteer fire companies from the surrounding communities and townships based on the location of the call. c. Five volunteer fire companies provided services to Blair Township residents, including The Duncansville Volunteer Fire Company (DVFC), Hollidaysburg (Phoenix), Geeseytown, Roaring Spring, and Freedom (Freedom Township). d. Of the five volunteer fire companies providing services within Blair Township, the DVFC received the most emergency calls. 13. Prior to 2006, Blair Township would contribute to all five volunteer fire companies which provided services to portions of the Township. a. The Township split State funding it received from the Fire Relief Association Fund for fire protection equally among the companies to cover the cost of workers’ compensation insurance. b. The Township also would make an annual donation of approximately $3,262.50 to four (4) of the five (5) volunteer fire companies serving the Township. 1. The Friendship Volunteer Fire Company received $1,450.00 annually based on a smaller coverage area. 14. Around April of 2005, discussions by the Board of Supervisors began regarding determining a primary and backup company for emergency calls within Blair Township. a. As of April 14, 2005, Blair Township did not have a primary volunteer fire company designated to be the first responder for fire emergency calls throughout the entire Township. b. Primary and backup responding companies were called based on the location of the incident. c. At that time, a 9-1-1 dispatcher would make the determination based on the location of the call with each company having designated call boxes covering specific portions of the Township. d. The Township was receiving complaints from the volunteer fire companies regarding the number of dispatch calls they were receiving and the amount of contributions being received from the Township. 15. The Duncansville Fire Company #1, d/b/a The Duncansville Volunteer Fire Company (DVFC) was receiving in excess of fifty percent of the emergency calls within Blair Township at the time based on coverage area. a. The DVFC was providing fire protection services to part or all of Burchfield, 08-066 Page 6 Duncansville Borough, Newry Borough, Blair Township, and Juniata Township at the time. th b. The DVFC primary station was located at 317 14 Street, Duncansville, Pennsylvania, at the time. c. The DVFC did not have a station or substation within the geographical boundaries of Blair Township in 2005. 16. Between January 2005 and December 2008, Burchfield, in his official capacity as a Blair Township Supervisor, oversaw and/or participated in official actions designating the DVFC as the Township’s primary emergency responder and establishing and awarding EMS and/or Local Services taxes or other funding to the DVFC. 17. Between January 2005 and December 2008, Burchfield, in his official capacity as a Blair Township Supervisor, participated in the following actions designating the DVFC as the Township’s primary emergency responder: a. May 11, 2006 Burchfield seconds a motion and votes (approved 3-0) to make the DVFC Blair Township’s primary fire company and forward a $29.00 portion of the EMS tax to it. b. May 10, 2007 Burchfield makes the motion and votes (approved 3-0) to approve Resolution No. 2007-09 designating the Blair Township/Duncansville Volunteer Fire Department as the primary fire company for Blair Township. c. January 7, 2008 Burchfield seconds a motion and votes (approved 3-0) to reappoint the Duncansville Volunteer Fire Company as Blair Township’s primary volunteer fire company. 18. Between January 2005 and December 2008, Burchfield, in his official capacity as a Blair Township Supervisor, participated in the following actions approving EMS tax/Local Services tax collections and awarding portions of them to the DVFC. a. January 3, 2006 Chairman Burchfield made a motion to set the EMS tax amount at $39.00 for persons employed in the Township earning $12,000.00 or more annually, and for persons earning less than $12,000.00 at $10.00 annually. Supervisor Bush seconded the motion. The motion passed with a minimum [sic] vote. b. February 9, 2006 Supervisor Burchfield made the motion and voted 2-1 [sic] to adopt ordinance number 2006-01 establishing the Emergency and Municipal Services tax and repealing the Occupational Privilege tax. c. May 11, 2006 Burchfield seconded a motion and voted (approved 3-0) to forward a $29.00 portion of the EMS tax collected to the DVFC quarterly. d. January 2, 2007 “Chairman Burchfield made a motion to reaffirm distribution of the EMS Tax; $10.00 is to be deposited in the General Fund Account and the remaining Burchfield, 08-066 Page 7 $29.00 is to be paid to Blair Township’s Primary Volunteer Fire Company. Supervisor Bush seconded the motion. The motion passed with a unanimous vote.” e. September 19, 2007 The Board discussed the Emergency and Municipal Services tax, to be known as the Local Services tax beginning on January 1, 2008. Supervisor Bush made a motion to approve an annual amount of $52.00 for persons earning over $12,000.00 and employed in Blair Township. Chairman Burchfield seconded the motion. This change would take effect on January 1, 2008. The motion passed with a unanimous vote. Supervisor Bush suggested that $30.00 be allocated to the Blair Township/Duncansville Volunteer Fire Department, $11.00 be allocated to the Blair Township Police Department, and the remaining $11.00 be allocated to the Blair Township Highway Department. Chairman Burchfield made a motion to approve the suggested distribution. Supervisor Brown seconded the motion. The motion passed with a unanimous vote. f. January 7, 2008 “Chairman Burchfield made a motion to reaffirm distribution of the EMS Tax; $11.00 is designated for the Police Department, $11.00 is designated to the Highway Department and $30.00 is to be paid to Blair Township’s Primary Volunteer Fire Company. Supervisor Bush seconded the motion. The motion passed with a unanimous vote.” 19. As a condition of receiving the EMS tax revenue from Blair Township, the DVFC was required to provide the Township with a detailed accounting of how the revenue was used. a. DVFC Treasurer David Skurnick, Sr. was responsible for submitting accounting reports to Blair Township. b. Funds provided by Blair Township were to be used for services provided by DVFC within the Township. 20. Records of the DVFC include the following total revenue and disbursements of funds received from Blair Township since 2006: 2006 2007 2008 Revenue Donations-Municipalities $62,843.00 $77,850.50 $40,088.89 Donations-General $ 0.00 $ 1,000.00 $ 0.00 Interest Income $ 338.07 $ 1,627.84 $ 944.28 Total Revenue $63,181.07 $80,478.34 $41,033.17 Disbursements General Supplies $ 1,451.66 $ 295.50 $ 143.22 Telephone $ 219.78 $ 365.65 $ 333.62 Administrative $ 79.28 $ 6.04 $ 1,950.00 Fire Equipment $ 3,318.12 $6,603.67 $ 0.00 Burchfield, 08-066 Page 8 Legal Services $ 0.00 $ 0.00 $ 2,548.94 Engineering $ 0.00 $ 0.00 $ 1,162.18 Property Taxes $ 0.00 $ 0.00 $ 116.71 Truck Repairs $ 0.00 $ 0.00 $ 4,118.06 Transfer to General Fund $ 0.00 $ 0.00 $45,000.00 Building Rent $14,000.00 $8,000.00 $ 0.00 Property/Maintenance $12,062.50 $6,000.00 $64,000.00 Utilities $ 609.09 $2,773.29 $ 594.85 Total Disbursements $31,738.43* $24,044.15 $119,967.58 * [sic]. [The noted calculation contains a discrepancy that does not affect the outcome of this case.] 21. Since 2006, the DVFC received income from fundraisers and donations in addition to funding provided by Blair Township as listed below: a. Municipal donations: Duncansville Borough, Juniata Township, Newry Borough, Blair Township. b. General Fund drive Truck fund drive General donations Grants Memberships/dues Program services Fundraising events Sale of assets Miscellaneous income Interest income 22. Since 2006, the DVFC has operated based on the following: Year Total Revenue Total Disbursements 2006 $219,857.32 $244,027.33 2007 $178,484.98 $107,122.05 2008 $192,056.58 $193,468.63 $590,398.88 $544,618.01 a. Of the $590,398.88 in total revenue received during this timeframe, approximately $200,601.09 was from Blair Township in the form of EMS taxes collected and general donations. 23. DVFC records confirm payments received from Blair Township as a result of the EMS/Local tax and general donations. Payments received occurred on the following dates: Blair Twp Date Amount Source Check # Signed 01/26/06 $31,349.00 EMS tax 4467 Bush, Robertson 11/27/06 $31,494.00 EMS tax 3101 Bush, Robertson 01/06/07 $ 3,262.50 EMS tax 3148 Bush, Robertson 05/05/07 $ 6,670.00 EMS tax 3355 Bush, Robertson 08/06/07 $59,102.00 EMS tax 3531 Bush, Robertson 11/23/07 $ 8,816.00 EMS tax 3717 Bush, Robertson 01/22/08 $ 3,262.50 General Donation 3811 Bush, Robertson Burchfield, 08-066 Page 9 06/11/08 $ 4,405.52 LST 1003 Bush, Robertson 06/11/08 $ 5,945.00 EMS tax 4102 Bush, Robertson 08/25/08 $25,141.87 LST 1005 Bush, Robertson 09/11/08 $ 1,334.00 EMS tax 4283 Bush, Robertson 12/30/08 $ 3,262.50 General Donation 4487 Bush, Robertson 12/31/08 $16,556.20 LST 1018 Bush, Robertson Total $200,601.09 24. Of the $200,601.09 received by the DVFC from Blair Township, $194,076.09 was a result of the EMS tax and Local Services tax collected. a. The remaining $6,525.00 was in the form of general donations. 25. Funding provided by Blair Township to the DVFC was approved by the Board of Supervisors as part of the routine payment of bills. a. Bill lists are voted on in their entirety by a single motion covering all disbursements for the previous month. b. Itemized bill lists detail the payee for each payment issued. c. Supervisors are provided with bill lists for review prior to voting by the Secretary/Treasurer. 26. Burchfield regularly participated in the approval of Township bill lists which included funding for the DVFC. a. Since July 13, 2006, Burchfield participated in ten (10) separate Board of Supervisors actions taken approving payments totaling $180,782.39 made to the DVFC. 27. The following chart details Burchfield’s role in approving Township payments totaling $180,782.39 to the DVFC. MeetingRecorded Check Date Check # Amount Date Action Vote 06/12/06 4467 $31,349.00 07/13/06 Vote 3-0 11/24/06 3101 $31,494.00 12/14/06 Motion, Vote 3-0 12/27/06 3148 $3,262.50 01/11/07 Motion, Vote 3-0 04/27/07 3355 $6,670.00 05/10/07 Vote 3-0 07/27/07 3531 $59,102.00 08/09/07 Motion, Vote 3-0 11/13/07 3717 $8,816.00 12/11/07 Motion, Vote 3-0 12/27/07 3811 $3,262.50 01/08/08 Motion, Vote 3-0 06/11/08 1003 $4,405.52 07/08/08 Vote 3-0 06/11/08 4102 $5,945.00 07/08/08 Included 08/25/08 1005 $25,141.87 09/09/08 Vote 3-0 09/11/08 4283 $1,334.00 10/14/08 Vote 3-0 12/30/08 4487 $3,262.50 01/13/09 Absent 2-0 12/31/08 1018 $16,556.20 01/13/09 Absent 2-0 28. In addition to the approval of individual payments issued to the DVFC, Burchfield participated in discussions and official actions taken approving annual operating budgets of the Township since 2006. a. Annual operating budgets were approved as follows: Burchfield, 08-066 Page 10 Calendar Year Date Approved 2006 December 8, 2005 2007 December 14, 2006 2008 February 12, 2008 b. Annual budgets included approval of allocations of tax monies to DVFC. 29. Blair Township operating budgets for calendar years 2006 through 2008 document income and projected expenditures relating to the Township’s EMS tax. The majority of the tax was provided to the DVFC to establish and maintain a substation within the geographical boundaries of Blair Township. a. The 2006 budget included $18,500 budgeted under category 411.00 (Fire), split $4,000 for workers’ compensation and $14,500 under grants, contributions and subsidies, and $31,500 budgeted under category 310.50 (Occupational Privilege tax), which was used to fund the DVFC Blair Township Substation. b. The 2007 budget has anticipated EMS tax revenues of $96,000 with projected fire expenses under category 411 of: fire and workers’ compensation $4,000; EMS tax payment to DVFC $66,000; and contributions, grants and subsidies of $14,500. c. The 2008 budget has anticipated revenue from the Local Services tax of $124,800.00, General Fund Fire contributions in the amount of $12,206.00, foreign fire insurance of $33,000.00, and budgeted payments to the volunteer fire company of $72,000.00. 30. The DVFC utilized a portion of the EMS tax/Local Services tax payments it received from Blair Township for the payment of rent for a fire substation within Blair Township. 31. The DVFC used property located at 1624 Old Route 220, Duncansville, Pennsylvania, to serve as a fire substation within Blair Township from approximately July 1, 2007, through December 13, 2008. a. This property was owned and under the direct control of The Burchfield Limited Partnership at all times relevant to this investigation. b. Respondent David E. Burchfield, Sr. is the general partner and holder of a 95% ownership interest in the Partnership. 32. Ownership of the property at 1624 Old Route 220, Duncansville, Pennsylvania, was transferred from David E. Burchfield and Linda L. Burchfield, husband and wife to The Burchfield Limited Partnership on December 19, 2005. 33. During the Supervisors May 11, 2006, meeting it was publicly announced that the DVFC had located a building to lease on a temporary basis. a. The building’s location (1624 Old Route 220, Duncansville, Pennsylvania) was discussed along with action by the Board of Supervisors to approve that $29.00 of the $39.00 EMS tax collected be given to the DVFC to establish a substation within the Township’s geographical boundaries. b. Burchfield addressed the Board, indicating that the property in question was owned by D.R.T.J. Partnership. Burchfield, 08-066 Page 11 1. Burchfield disclosed to the Board that this was a partnership of his family. 2. D.R.T.J. is a non-existent partnership. 3. Burchfield did not disclose that he had the majority ownership interest in the property to be leased to the DVFC. c. During this same meeting the DVFC was designated as the Township’s primary volunteer fire company for the purpose of locating a substation within the Township. 34. The DVFC wanted the financial support from Blair Township in order to locate a substation within the Township. a. The DVFC did not have sufficient financial resources to pay rent for a building without additional financial support from Blair Township or undertaking a large fundraising campaign. b. At the time of the property search, the DVFC had a commitment from the Township to support its efforts to locate a substation within the Township. 35. The D.R.T.J. Partnership referenced by Burchfield, Sr. during the May 11, 2006, meeting of the Board of Supervisors is not registered with the Pennsylvania Department of State Corporation Bureau. a. D.R.T.J. represents the first letters of the first names of four (4) of the five (5) one percent partners of The Burchfield Limited Partnership as noted below: (D) David E. Burchfield, Jr. (R) Richard Burchfield (T) Tina Burchfield (J) Jody Reading b. Excluded [were the first initials of] David Burchfield, Sr. and his wife Linda Burchfield. 36. Blair Township tax records confirm the property at 1624 Old Route 220, Duncansville, Pennsylvania, as being owned by The Burchfield Limited Partnership. a. This property is identified as tax parcel number 0400-03-26-2. b. Tax bills are sent to The Burchfield Limited Partnership, 713 Route 764, Duncansville, PA 16635. c. This property has never been owned by the D.R.T.J. Partnership. 37. According to the minutes of the May 11, 2006, Supervisors meeting, Burchfield did not publicly disclose that he is a 95% owner of The Burchfield Limited Partnership, the entity owning 1624 Old Route 220, Duncansville, Pennsylvania. a. Burchfield told representatives of the DVFC and the public that the property was owned by his children. b. Burchfield identified the family partnership of D.R.T.J. Burchfield, 08-066 Page 12 38. On August 18, 2006, the Township Solicitor at the time, Frederick B. Gieg, Jr., Esquire, rendered an opinion to the Township Supervisors stating as follows: “In that this Lease is between the Duncansville Volunteer Fire Company and not the Township, but with a corporate entity of the Burchfield family, I see no direct conflict. However, I have advised the Duncansville Volunteer Fire Company to have their own Solicitor directly review the Lease with the Burchfield entity so that there is no conflict of interest. In that Township monies will be paid to the Duncansville Volunteer Fire Company who will then possibly use some of those monies to pay the rent, I would want the Duncansville Volunteer Fire Company’s Solicitor to write an opinion that there is no conflict in an indirect manner. I enclose the conflict section that could indirectly be involved.” a. No written opinion was ever provided from the DVFC Solicitor as to whether a conflict of interest would exist with regard to the lease between the DVFC and The Burchfield Limited Partnership. 39. The DVFC did not execute a lease with Burchfield, Sr. d/b/a The Burchfield Limited Partnership or any other individual or entity for the building located at 1624 Old Route 220, Duncansville, Pennsylvania. a. All discussions and negotiations as part of the lease were handled between DVFC representatives and Burchfield, Sr. b. No other representative of The Burchfield Limited Partnership participated in any lease negotiations. c. No formal lease was ever signed. 40. Business records of The Burchfield Limited Partnership include an unsigned commercial lease agreement dated July 1, 2006, between The Burchfield Limited Partnership and the Duncansville Volunteer Fire Company d/b/a as Blair Township Fire Company for land and improvements known as 1624 Old 220 South, Duncansville, PA 16635, containing a 6,150 square foot concrete building with a flat roof. a. The lease term is July 1, 2006, through June 30, 2011, with a five-year renewal option. b. Rent is specified during the initial term as $24,000.00 annually, payable in monthly installments of $2,000.00 to the landlord at 713 Route 764, P.O. Box 178, Duncansville, PA 16635. c. Terms relating to repairs include the provision that “during the lease term, Tenant shall make, at Tenants [sic] expense, all necessary repairs to the lease premises. Repairs shall include such items as routine repairs of floors, walls, ceilings and other parts of the leased premises damaged or worn through normal occupancy, except for major mechanical systems or the roof, subject to the obligations of the parties otherwise set forth in the lease.” d. The landlord is identified as being responsible for all property taxes while the tenant, at the tenant's expense shall have the right, following landlord’s consent, to remodel, redecorate and make additions, improvements and replacements of and to all or any part of the leased premises from time to time as tenant may deem desirable, provided the same are made in a Burchfield, 08-066 Page 13 workman like manner and utilizing good quality materials. Tenant shall have the right to place and install personal property, trade fixtures, equipment and other temporary installations in and upon the leased premises, and fasten the same to the premises. All personal property, equipment, machinery, trade fixtures and temporary installations, whether required by tenant at the commencement of the lease term or placed or installed on the leased premises by tenant thereafter, shall remain tenant’s property free and clear of any claim by landlord. Tenant shall have the right to remove the same at any time during the term of the lease provided that all damage to the leased premises caused by such removal shall be repaired by tenant at tenant’s expense. 41. From July 2006 to December 2008, the DVFC utilized the property at 1624 Old Route 220, Duncansville, Pennsylvania, owned by the partnership in which Burchfield has a 95% ownership interest, to serve as a substation within Blair Township. a. The DVFC paid $2,000.00 per month for rent. 42. Blair Township was the source of funding used by the DVFC to pay rent to The Burchfield Limited Partnership for 1624 Old Route 220, Duncansville, Pennsylvania. a. Funding came as a result of the EMS tax and general donations from the Township. b. Funding to the DVFC was approved as part of annual Township budgets and approval of monthly bill lists which authorized funding. 43. Burchfield d/b/a The Burchfield Limited Partnership accepted rental payments from the DVFC during 2006 and 2007 while at the same time participating in Board actions to provide funding to the DVFC in the form of EMS/Local Services tax allocations. 44. The DVFC received invoices from The Burchfield Limited Partnership for the lease of the property at 1624 Old Route 220, Duncansville, Pennsylvania. a. From December 11, 2006, until April 2007, three (3) invoices totaling $22,000.00 were received. b. These invoices covered rent due from July 1, 2006, through April 2007. c. No invoices were received by DVFC from Burchfield after April 2007. 1. Burchfield’s actions as a Blair Township Supervisor in relation to approving funding to the DVFC became the subject of a State Ethics Commission investigation on or about July 12, 2007. d. No invoices were received from the D.R.T.J. Partnership. 45. Rental invoices were received by DVFC from The Burchfield Limited Partnership as follows: Date Amount Months a. 12/11/06 $9,000.00 July 1, 2006 – December 2006 12/11/06 $4,000.00 January 2007 – February 2007 04/11/07 $4,000.00 March 2007 – April 2007 Burchfield, 08-066 Page 14 b. The December 11, 2006, invoice in the amount of $9,000.00 reflected a $5,000.00 payment previously made by the DVFC. 46. Financial records of the DVFC confirm that a total of $22,000.00 in rental payments were made to The Burchfield Limited Partnership for the use of building #5, 1624 Old Route 220, Duncansville, Pennsylvania, between November 2006 and May 2007. Payments were made as follows: Date Ch. # AmountBank Endorsed a. 11/15/06 1010 $5,000 Susquehanna Bank Burchfield Ltd. Partnership 12/13/06 1008 $9,000 Reliance Bank Burchfield Ltd. Partnership 02/12/07 1016 $4,000 Reliance Bank Burchfield Ltd. Partnership 05/18/07 1025 $4,000 Reliance Bank Burchfield Ltd. Partnership Total $22,000 b. These funds were received by David Burchfield, Sr. d/b/a The Burchfield Limited Partnership. c. No rental payments were made to the D.R.T.J. Partnership. 47. All of the proceeds received from the DVFC for the rental of property at 1624 Old Route 220, Duncansville, Pennsylvania, were retained by David Burchfield, Sr. a. This income was included on joint tax returns filed by David Burchfield, Sr. along with his wife, Linda Burchfield. b. No portions of the rental payments were provided to any of the 1% partners of The Burchfield Limited Partnership. 1. Linda Burchfield does hold a one percent interest in The Burchfield Limited Partnership. 48. Burchfield disclosed income received from the DVFC on PA Schedule E of his federal [sic] tax return filed for 2006. a. PA Schedule E for three Burchfield properties identifies the properties: 1. Property A Commercial Rental Salvage Yard, 1628 Old Route 220, Duncansville, PA. 2. Property B Commercial Property Building 5, 1624 Old Route 220, Duncansville, PA. 3. Property C Residential Property at 169 Maple Hollow Road, Duncansville, PA. b. Burchfield reported income for Property B, Building 5, 1624 Old Route 220, Duncansville, PA of $19,000.00. He reported deductions for repairs in the amount of $196.00, utilities of $156.00, and depreciation expenses of $4,370.00 for total expenses of $4,722.00. Adjusted income of $14,278.00 was reported. c. Net gain of $14,278.00 was reported on form 8582AMT. d. The amount of $14,278.00 is also listed as a gain on Form 8582, Capital Gains/Losses. Burchfield, 08-066 Page 15 49. Burchfield disclosed income received from the DVFC on IRS form 4562, Depreciation and Amortization, filed by The Burchfield Limited Partnership for calendar year 2007. a. Form 4562 identifies four (4) properties for The Burchfield Limited Partnership. 1. Property E Commercial Property – Building 5; 1624 Old Route 220, Duncansville, PA. 2. Property F Residential Property, 169 Maple Hollow Road, Duncansville, PA. 3. Property G Commercial, Inlows Drive, Duncansville, PA. 4. Property H Residential Property, 152 Maple Hollow Road, Duncansville, PA. b. Burchfield reported income from Property E, Building 5, 1624 Old Route 220, Duncansville, Pennsylvania, of $8,000.00. He reported deductions for taxes in the amount of $2,224.00, utilities of $830.00 and depreciation expenses of $5,452.00. 50. Burchfield’s reported expenses on 1624 Old Route 220, Duncansville, Pennsylvania, exceeded gross rents by $506.00 for 2007. a. This was as a result of Burchfield ceasing to charge the DVFC rent as a result of being investigated by the State Ethics Commission. b. No rent was paid by DVFC after May 18, 2007, pending the State Ethics Commission investigation. 51. On or about July 12, 2007, the Investigative Division of the State Ethics Commission initiated an investigation regarding David Burchfield’s actions as a Blair Township Supervisor in approving the DVFC as the primary fire department for the Township and his role in approving funding to DVFC at a time when he was leasing property to the DVFC. a. The results of that investigation concluded with issuance of Order No. 1492, finding Burchfield in violation of Section 1103(a) of the Ethics Act. 52. Order No. 1492, decided by the State Ethics Commission on September 22, 2008, [approved a Consent Agreement submitted by the parties]. a. In Order No. 1492, the Commission held that David Burchfield, Sr. (“Burchfield”), a public official in his capacity as a Supervisor for Blair Township (“Township”) since approximately January 1998, violated Section 1103(a) of the Ethics Act when he participated in actions and deliberations of the Township Board of Supervisors to designate the Duncansville Volunteer Fire Company (“DVFC”) as the primary responding fire department/emergency responder for the Township; participated in actions and deliberations of the Board of Supervisors allotting funding to the DVFC from the Township’s Emergency and Municipal Services Tax; and then entered into a contract/agreement with the DVFC, in excess of $500.00, to lease property/building space owned by him and/or members of his immediate family through the “Burchfield Limited Partnership,” for use by the Burchfield, 08-066 Page 16 DVFC as a substation within the Township. b. The Commission further held that an unintentional violation of Section 1105(b) of the Ethics Act occurred when Burchfield failed to disclose, on Statements of Financial Interests (“SFIs”) filed for the 2002, 2003, 2004, 2005, 2006, and 2007 calendar years, direct/indirect sources of income in excess of $1,300; his office, directorship, or employment in any business entity; and his financial interests in any legal entity engaged in business for profit. c. Per the Consent Agreement of the parties, Burchfield was directed to make payment in the amount of $10,000.00, payable to the Commonwealth of Pennsylvania and forwarded to the Pennsylvania State Ethics Commission th by no later than the thirtieth (30) day after the mailing date of the Order. d. Per the Consent Agreement of the parties, Burchfield was further directed to file amended SFIs for the 2002, 2003, 2004, 2005, 2006, and 2007 calendar years, providing complete disclosure as required by the Ethics Act, and in particular, reflecting all direct/indirect sources of income in excess of $1,300.00 and fully disclosing his directorship or employment in any business entity and financial interest in any legal entity or business for profit, and to forward to the Commission copies of all of the aforesaid filings for th compliance verification purposes by no later than the thirtieth (30) day after the mailing date of the Order. e. Order No. 1492 was mailed to Burchfield’s attorney, Darlee Sill, Esquire on October 10, 2008. f. Burchfield maintains that he agreed to the terms of the Consent Agreement only so as to avoid the further expense and effort of resolving the matter through alternative means. 53. On October 28, 2008, Linda Burchfield issued check number 56192 in the amount of $10,000.00 from The Burchfield Organization, Inc. General Account (account ending 6324) at Reliance Bank, payable to the Commonwealth of Pennsylvania. a. This check was issued to pay the amount David Burchfield, Sr. was assessed in reference to State Ethics Commission case No. 07-089, Order No. 1492. 54. The DVFC did not pay any rent directly to Burchfield, Sr. or The Burchfield Limited Partnership after May 18, 2007, even though the fire company continued to occupy space in Burchfield’s building. a. Burchfield did not invoice the DVFC after May 18, 2007. b. The DVFC continued to occupy the property until approximately December 2008. 55. Between May 2007 and the time when the DVFC moved out of the property, nineteen months rent totaling $38,000.00 was owed on the property to Burchfield, d/b/a The Burchfield Limited Partnership. a. The $38,000.00 figure is based on the nineteen (19) month timeframe between May 2007 to December 2008 at $2,000.00 per month. b. Burchfield did not issue an invoice to the DVFC during the timeframe of the Burchfield, 08-066 Page 17 State Ethics Commission’s investigation of him. 56. After the issuance of Order No. 1492, Burchfield continued to participate in Board of Supervisors actions to issue payments to the DVFC. a. At the times of his votes, DVFC was continuing to occupy the property at 1624 Old Route 220, Duncansville, Pennsylvania. 57. Burchfield participated in the approval of four (4) payments to DVFC between June 2008 and September 2008--during three separate meetings--totaling $36,826.39, which were not included as part of the decision in State Ethics Commission case No. 07-089, Order No. 1492. Burchfield’s official action authorizing these payments was as follows: MeetingRecorded Check Date Check # Amount Date Action Vote 06/11/08 1003 $ 4,405.52 7/8/08 Vote 3-0 06/11/08 4102 $ 5,945.00 7/8/08 Included 08/25/08 1005 $25,141.87 9/9/08 Vote 3-0 9/11/08 4283 $ 1,334.00 10/14/08 Vote 3-0 $36,826.39 58. On September 22, 2008, Burchfield employee Lewis Moore provided an invoice to the DVFC in the amount of $34,000.00. a. Moore used the name of a fictitious real estate company, LEM Associates. b. The invoice contained the following items: “Assessment and Compensation Fee $30,000.00 Monthly Rental Fee for August 2008 $2,000.00 Monthly Rental Fee for September 2008 $2,000.00 Total amount due $34,000.00” c. The amount of the invoice is the same amount that would have been due for rent at that time for the DVFC’s use of the property owned by The Burchfield Limited Partnership. 59. Lewis E. Moore is an employee of The Burchfield Organization. a. Moore operates the Budget Rental Franchise of The Burchfield Organization. b. Information on the Burchfield Trucks website www.burchfieldtrucks.com identifies Moore as the person who “operates the Budget Franchise of the Burchfield Organization.” 60. Lewis E. Moore has shared a common residence with Tina M. Burchfield since at least July 19, 2004. a. Tina Burchfield is the daughter of Respondent David E. Burchfield, Sr. b. PennDOT driver’s license records reflect that both Moore and Tina Burchfield have resided at [address redacted] since approximately July 18, 2005. Burchfield, 08-066 Page 18 c. Both had 169 Maple Hollow Road, Duncansville, PA 16635 as a common address from July 19, 2004, to July 18, 2005. 61. Moore issued the invoice in the amount of $34,000.00 to the DVFC on or about the same day the State Ethics Commission approved the Consent Agreement finding David Burchfield, Sr. in violation of Section 1103(a) of the Ethics Act. 62. On or about September 22, 2008, Moore d/b/a LEM Associates Rental Properties gave Bill Lloyd, Chief of the DVFC, an invoice in the amount of $34,000.00 addressed to the Blair Township Fire Department, 1624 Old Route 220 South, Duncansville, PA 16635. a. Moore gave Lloyd the invoice during a visit that Lloyd made to Burchfield Truck Sales, 713 Route 264, Duncansville, PA 16635. 1. Moore gave Lloyd the invoice, conveying that the invoice was for unpaid rent owed to Burchfield. b. This invoice totaled the exact amount of rent owed by the DVFC for its use of 1624 Old Route 220 South, Duncansville, Pennsylvania, as of September 2008. c. Lloyd accepted the invoice, believing it was for back rent owed on 1624 Old Route 220 South, Duncansville, Pennsylvania. d. At that time, Moore did not provide any services to the DVFC which pertained to the $30,000.00 assessment and compensation fee line item identified in the invoice. 1. Lloyd believed the amount billed by Moore was back rent owed along with additional rental fees due for August and September 2008. 63. Lloyd was aware that Moore was an employee of David Burchfield, Sr. and in a relationship with Burchfield, Sr.’s daughter at the time. a. Lloyd did not make a distinction between Moore and Burchfield regarding ownership of 1624 Old Route 220 South, Duncansville, Pennsylvania. b. Lloyd believed Moore was acting as an agent of Burchfield, Sr. regarding the invoice Moore handed to him. 64. Lewis Moore did not register with the Pennsylvania Department of State Corporation Bureau to operate under the business names LEM Associates, LEM Associates Rental Properties, or Lewis E. Moore. a. Moore has done no business as LEM Associates other than submitting the invoice to the DVFC. 65. Lewis E. Moore individually or d/b/a LEM Associates/LEM Associates Rental Properties did not have any executed lease agreements with the DVFC for the DVFC’s use of 1624 Old Route 220 South, Duncansville, PA 16635. a. Moore also did not have any executed agreements with The Burchfield Limited Partnership to act as a rental agent or collection agency on behalf of The Burchfield Limited Partnership. Burchfield, 08-066 Page 19 b. DVFC was occupying the property owned by The Burchfield Limited Partnership. c. In September 2008, 1624 Old Route 220 South, Duncansville, Pennsylvania, was owned by Burchfield d/b/a The Burchfield Limited Partnership. 66. On September 26, 2008, Darlee Sill, Esquire, Counsel for both David E. Burchfield, Sr. and Lewis Moore, prepared an Article of Agreement between David E. Burchfield, Sr., general partner of The Burchfield Limited Partnership, and Lewis E. Moore for the sale of the property located at 1624 Old Route 220, Duncansville, Pennsylvania. a. The selling price is stated as $250,000.00 with interest at the rate of six percent per year, payable in twelve (12) consecutive monthly installments, including principal and interest, of $1,000.00 per month. The first installment th to be due on the 26 day of September 2008 and to continue regularly on th the 26 day of each month thereafter, for a total of twelve (12) consecutive months, the balance then due. b. Burchfield maintains that negotiations with regard to the sale of 1624 Old Route 220 South, Duncansville, Pennsylvania, had been ongoing prior to September 26, 2008. c. This transaction did not materialize. 67. The LEM Associates Rental Properties’ September 22, 2008, invoice in the amount of $34,000.00 submitted to the Blair Township Fire Department (DVFC) was dated four (4) days prior to the Article of Agreement between David Burchfield, Sr. d/b/a The Burchfield Limited Partnership and Moore. 68. Neither Lewis E. Moore individually nor d/b/a LEM Associates or LEM Associates Rental Properties had an ownership interest in 1624 Old Route 220 South, Duncansville, Pennsylvania, while the property was occupied by the DVFC. a. Neither Moore nor LEM Associates/LEM Associates Rental Properties had executed agreements to collect rent on behalf of David Burchfield, Sr. or The Burchfield Limited Partnership. b. Moore, as an employee of The Burchfield Organization/The Burchfield Limited Partnership, submitted the invoice to the DVFC in order to collect rent owed on property owned by The Burchfield Limited Partnership. 69. On October 1, 2008, David Skurnick, Treasurer of the DVFC, issued check No. 1002 in the amount of $34,000.00 to LEM Associates in payment of Moore’s September 22, 2008, invoice. a. In the memo portion of the check is written “rental-firehall.” b. This check was drafted on Reliance Bank account No. XXXXXX7744. c. The reverse side of this check was signed Lewis E. Moore, followed by LEM Associates. 70. The DVFC Reliance Bank account No. XXXXXX7744 was established to provide a specific accounting of EMS tax and Local Services tax revenues received from Blair Township. Burchfield, 08-066 Page 20 a. DVFC provided documentation to the Township confirming use of these funds within Blair Township. b. Internal DVFC accounting for this $34,000.00 payment to Moore was listed under the category of rent. c. This account was funded with Blair Township monies including general donations and EMS tax/Local Services tax revenues. 71. Prior to the receipt of check No. 1002 from the DVFC, Moore did not have any bank accounts for LEM Associates. a. On October 2, 2008, Lewis E. Moore, d/b/a LEM Associates, 710 Broad Ave Ext., Duncansville, PA 16635, opened a checking account at Reliance Bank, account No. XXXXX14484. b. This account was opened with an initial deposit of $34,000.00 from DVFC check No. 1002. c. Moore’s e-mail address on file with Reliance Bank at the time of the account opening was [e-mail address redacted]. 72. On October 4, 2008, Lewis Moore issued a starter check in the amount of $34,000.00 drafted on Reliance Bank account No. XXXXX14484 to Duncansville Fire Co. No. 1. a. In the memo portion of the check is written “return rent.” b. This check was debited from the account on October 10, 2008. c. After the issuance of the check to DVFC, a $100.00 balance remained in the LEM Associates account. 73. The $34,000.00 payment made by the DVFC to Moore was discussed during the Blair Township Supervisors October 14, 2008, meeting. a. Minutes of the October 14, 2008, meeting reflect that Supervisor Prendergast questioned the $34,000.00 expenditure for property rent on the DVFC financial report dated October 1, 2008. David Skurnick, Treasurer of the Duncansville Volunteer Fire Company, was present at the meeting and [the meeting minutes reflect that] “Mr. Skurnick stated that the expenditure was a mistake and was returned just this past week. Chairman Burchfield asked if financial records were received from the other Volunteer Fire Companies. Supervisor Bush commented that she spoke with each of them, but had only received the information from Duncansville VFC. Supervisor Prendergast asked where the $34,000.00 mistake went. Mr. Skurnick stated that it was a mistake between the Fire Company and the Burchfield Organization. Chairman Burchfield stated that the Burchfield Organization did not have anything to do with it. Mr. Skurnick clarified that the mistake was between LEM Associates and the Fire Company. Supervisor Prendergast asked who LEM Associates was. Mr. Skurnick stated he didn’t know. Supervisor Bush stated that LEM is Lewis E. Moore. Supervisor Prendergast asked Mr. Skurnick if Lewis Moore is affiliated with the Burchfield Organization, he stated honestly he didn’t know.” The Board also discussed revising the allocation for the Local Services tax. “Supervisor Prendergast proposed that the Blair Township Police Burchfield, 08-066 Page 21 Department and the Blair Township Highway Department each receive 30% of the LST money and that the Volunteer Fire Company receive the remaining 40%. Chairman Burchfield asked Dave Skurnick if the Fire Company could get along with less money. Mr. Skurnick responded that they have already made commitments based on the resolution that had been passed by the Township. Supervisor Prendergast confirmed the commitments as the property and the building. Supervisor Bush stated that by a unanimous vote a commitment was made; verifying the participants were Chairman Burchfield, past Supervisor Palmer Brown, and Supervisor Bush. She stated that based on that commitment that the Fire Company in turn has made commitments. Supervisor Bush stated that the Fire Company intends to build a Fire Hall in Blair Township. Supervisor Prendergast asked if the decision was made to support the VFC when the Township was operating on a budget surplus. Supervisor Bush reaffirmed that a commitment was made.” 74. On or before November 13, 2008, Moore again submitted an invoice to the Duncansville Fire Company Number 1, d/b/a Blair Township Volunteer Fire Company, 1624 Old Route 220 South, Duncansville, PA 16635. a. The undated invoice was in the amount of $38,000.00. b. This invoice listed educational services, supplies and equipment including: Equipment 100 Watt Radio Portable Radios Pagers and Chargers Hazmat Gear Backboards Disposal Supplies Oxygen Regulators Pediatric Spine Boards Medical Gloves Masks Trousers Educational Services CPR for Health Care Providers Basic Trauma, Life Support Emergency Vehicle Operators Course Infectious Control c. This invoice was on stationery for Lewis E. Moore, Health and Safety Instructor. 75. The DVFC had no written agreement for Lewis Moore to provide any training service or products prior to November 2008 or since. a. DVFC did not receive from Moore any of the equipment listed in his second invoice. b. The DVFC treated the invoice as a bill for the rent owed for the 1624 Old Route 220 South, Duncansville, Pennsylvania property owned by Burchfield. 76. Chief Lloyd considered the invoice as back rent owed for the 1624 Old Route 220 South, Duncansville, Pennsylvania, property. Burchfield, 08-066 Page 22 a. Moore gave Lloyd the second invoice while Lloyd was at Burchfield’s place of business, Burchfield Truck Sales. 1. Lloyd was getting a DVFC fire truck serviced. 2. Moore and Lloyd did discuss rent and Moore informed Lloyd that he had equipment available if needed by the DVFC. b. No written agreement was ever entered into between the DVFC and Moore for equipment and/or educational services. 77. The sole purpose of Moore’s November 13, 2008, invoice to the DVFC was to collect rent for the DVFC’s use of the property at 1624 Old Route 220 South, Duncansville, Pennsylvania. a. At the time of Moore’s invoice, the DVFC had not paid any rent since May 1, 2007. b. Total rent due, including rent for November, would have been $38,000.00. 78. On November 13, 2008, David Skurnick transferred $45,000.00 from the DVFC Reliance Bank account (ending in 7744) to a DVFC General Fund account (ending in 0781) at Omega Bank. a. This $45,000.00 transfer was comprised solely of funds the DVFC received from Blair Township. b. Skurnick moved the funds into the DVFC General Fund account so he would not have to account for the funds’ disposition to the Blair Township Board of Supervisors. 79. On November 13, 2008, Skurnick, in his official capacity as Treasurer of the DVFC, issued check No. 6210 in the amount of $38,000.00 from the Omega Bank account ending in 0781 to Lewis E. Moore. a. Nothing was written in the memo portion of this check. b. The check was made payable to Lewis Moore. c. Internal accounting records of the DVFC confirm this payment being made to Moore for rent. d. The only property the DVFC was renting at the time was 1624 Old Route 220, Duncansville, Pennsylvania, which was owned by The Burchfield Limited Partnership. 80. DVFC Treasurer David Skurnick issued the $38,000.00 payment as back rent owed for the 1624 Old Route 220, Duncansville, Pennsylvania, property. a. Skurnick calculated that the DVFC owed the $38,000.00 in rent covering the period from May 18, 2007, through December 13, 2008. b. Skurnick further believed that the $38,000.00 invoice was issued by Moore claiming monies owed for equipment and training so that the back rent owed to Burchfield could be paid while circumventing any ethics issues. Burchfield, 08-066 Page 23 c. The DVFC did not receive any of the items detailed on Moore’s invoice. d. The only reason Skurnick issued the $38,000.00 check was because he believed the DVFC owed rent to Burchfield pursuant to the prior rental agreement. 81. The DVFC did not receive any of the equipment, supplies or training detailed in Lewis E. Moore’s $38,000.00 invoice. a. Moore failed to comply with an Investigative Division subpoena requesting documentation of the acquisition costs of equipment and materials contained on his invoice to the DVFC. 82. In an effort to conceal that the payment was for rent owed to Burchfield, Lewis Moore opened a checking account at Mainline National Bank, 325 Industrial Park Road, P.O. Box 660, Ebensburg, PA 15931, on November 14, 2008. a. The account was opened one (1) day after Skurnick issued the $38,000.00 check to Moore. b. The $38,000.00 payment was credited to Moore’s account on November 18, 2008. 83. Between November 26, 2008, and December 17, 2008, Moore wrote four (4) checks for cash from this account totaling $23,500.00. These checks were cashed as follows: a. Ch# Date Amount Payee 1001 11/26/08 $3,000.00 Cash 1003 12/02/08 $7,500.00 Cash 1004 12/05/08 $7,000.00 Cash 1005 12/17/08 $6,000.00 Cash Total $23,500.00 b. A review of the bank transaction information contained on the back side of each of the checks cashed found that each was cashed, on the same day that the check was written, at Mainline National Bank. 84. As of January 26, 2009, the account balance in Moore’s account at Mainline National Bank was approximately $14,363.85. a. After being served with a subpoena by the Investigative Division of the State Ethics Commission on January 26, 2009, through December 2009, Moore did not withdraw any additional funds from his Mainline National Bank account. b. From December 2009 through May 2010, Moore made various small withdrawals and payments from his Mainline National Bank account. 85. In May 2010, Moore made the following cash deposits into his Mainline National Bank account: Date Amount 5/24/2010 $9,500.00 5/25/2010 $9,500.00 Burchfield, 08-066 Page 24 5/26/2010 $8,800.00 Total $27,800.00 86. On May 27, 2010, Lewis Moore issued check No. 1025 in the amount of $38,000.00 to the Duncansville [Volunteer] Fire Company. a. Accompanying the check was a letter from Moore’s attorney indicating that the funds were being returned because the DVFC would not be building a new fire station and it would therefore not need the training and equipment which was to be provided by Lewis Moore. 87. Lewis Moore maintains that he kept the $23,500.00 in cash withdrawals from November and December 2008 under a mattress in his home from the date he withdrew the funds until he deposited the cash back into his account at Mainline National Bank in May 2010. a. $4,300.00 more in cash was deposited into Lewis Moore’s Mainline National Bank account in May 2010 than was withdrawn from his same account in November and December 2008. 1. No explanation for the source of the additional $4,300.00 has been provided. 88. Lewis Moore, neither individually nor as LEM Associates, claimed as income on federal and state tax returns for 2008 any portion of the $38,000.00 he received from the DVFC. a. On September 2, 2009, Lewis Moore’s accountant, Tom Monahan, advised him as follows regarding reporting the $38,000.00 he received from the DVFC for tax purposes: "Good morning Lewis, I’ve reviewed and thought about the issue we discussed yesterday regarding the retainer you received from Blair Twp./Duncansville Fire Dept. Technically because you are a cash basis taxpayer you should have reported the income in the year you received it. We’re not going to amend the 2008 returns. Our argument is that you were paid however you had to wait for them to complete the building before training could begin. We will claim the income in 2009. We will also take any expenses you have paid for by the end of 2009. We suggest that if there are books/training materials that may need to be purchased in 2010, to pay for them in 2009. The in [sic] 2010 we should only have a few expenses (mileage, etc) to take against no income.” 89. All of the contacts relating to the invoices Moore gave to Lloyd occurred at Burchfield’s place of business, Burchfield Truck Sales. a. Lloyd was at Burchfield’s place of business on two occasions on DVFC- related business when given the invoices by Moore. b. Both invoices were in the exact amounts of the rent owed by the DVFC to Burchfield. c. When giving Lloyd the invoices, Moore never identified that he was operating independent of Burchfield. Burchfield, 08-066 Page 25 d. Moore made no distinction between himself and any of Burchfield’s various business entities. e. Moore never advised Lloyd or the DVFC that he was the landlord or that he would be billing the fire department for back rent. f. Moore systematically removed cash from the account where he deposited the $38,000.00 payment from the DVFC until being subpoenaed by the Investigative Division of the State Ethics Commission. 90. The following timeline highlights relevant events detailed [in the above Fact Findings]. Finding Date Event No. 1 January 1998 Burchfield, Sr. becomes Blair Township Supervisor 60 July 19, 2004 Lewis Moore and Tina Burchfield share common residence 6 12/14/94 Burchfield, Sr. President of The Burchfield Organization, Inc. 8,9 10/25/05 Burchfield, Sr. general partner/95% owner of The Burchfield Limited Partnership 54 May 2007 Burchfield, Sr. stopped invoicing the DVFC for rent 18 01/07/08 Voted to reaffirm the distribution of EMS tax 57 07/08/08 Voted to approve $4,405.52 payment to DVFC 57 07/08/08 Voted to approve $5,945.00 payment to DVFC 57 09/09/08 Voted to approve $25,141.87 payment to DVFC 52 09/22/08 SEC votes to accept Burchfield’s Consent Agreement 62 09/22/08 LEM Associates $34,000.00 invoice to DVFC 66 09/26/08 Article of Agreement between Burchfield, Sr. and Moore (never executed) 69 10/01/08 DVFC issues ch #1002 in the amount of $34,000.00 to LEM Associates 71 10/02/08 Moore opens a checking account at Reliance Bank in his name d/b/a LEM Associates and deposits the $34,000.00 payment 72 10/04/08 Lewis Moore issues a starter check in the amount of $34,000.00 from his Reliance Bank account back to the DVFC 52 10/10/08 SEC Order No. 1492 issued to Burchfield 73 10/14/08 The $34,000.00 payment discussed during the Blair Township Board of Supervisors meeting 57 10/14/08 Voted to approve $1,334.00 payment to DVFC 53 10/28/08 $10,000.00 payment from The Burchfield Organization, Inc. to Commonwealth of PA in settlement of State Ethics Commission case 07-089, Order No. 1492 74 On or before Moore submits $38,000.00 equipment and training 11/13/08 invoice to DVFC 78 11/13/08 Skurnick transfers $45,000.00 from DVFC’s Blair Township funds to DVFC General Fund account 79 11/13/08 DVFC ch #6210 in the amount of $38,000.00 issued to Lewis Moore 82 11/14/08 Moore opens checking account at Mainline National Burchfield, 08-066 Page 26 Bank 82 11/18/08 Moore deposits DVFC’s $38,000.00 check into his Mainline National Bank account 83 11/26/08 Moore writes ch #1001 to cash ($3,000.00) 83 12/02/08 Moore writes ch #1003 to cash ($7,500.00) 83 12/05/08 Moore writes ch #1004 to cash ($7,000.00) 83 12/17/08 Moore writes ch #1005 to cash ($6,000.00) 1 02/20/09 David Burchfield, Sr. resigns as Blair Township Supervisor 85 5/24/2010 Moore makes a cash deposit of $9,500.00 85 5/25/2010 Moore makes a cash deposit of $9,500.00 85 5/26/2010 Moore makes a cash deposit of $8,800.00 86 5/27/2010 Moore issues check No. 1025 totaling $38,000.00 to the DVFC III.DISCUSSION: As a Supervisor for Blair Township (“Township”), Blair County, from approximately January 1998 until February 20, 2009, Respondent David Burchfield, Sr. (hereinafter also referred to as “Respondent,” “Respondent Burchfield,” and “Burchfield”) was a public official subject to the provisions of the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq. The allegations are that Burchfield violated Section 1103(a) of the Ethics Act when he used the authority of his public position for private pecuniary gain, including but not limited to participating in actions of the Board of Supervisors to provide payments and/or donations to the Duncansville Blair Township Fire Department, which said funds were used to pay rental on a facility owned by Burchfield. Pursuant to Section 1103(a) of the Ethics Act, a public official/public employee is prohibited from engaging in conduct that constitutes a conflict of interest: § 1103. Restricted activities (a)Conflict of interest.— No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 Pa.C.S. § 1103(a). The term "conflict of interest" is defined in the Ethics Act as follows: § 1102. Definitions "Conflict" or "conflict of interest." Use by a public official or public employee of the authority of his office or employment or any confidential information received through his holding public office or employment for the private pecuniary benefit of himself, a member of his immediate family or a business with which he or a member of his immediate family is associated. The term does not include an action having a de minimis economic impact or which affects to the same degree a class consisting of the general public or a subclass consisting of an industry, occupation or other group which includes the public official or public employee, a member of his immediate family or a business with which he or Burchfield, 08-066 Page 27 a member of his immediate family is associated. 65 Pa.C.S. § 1102. Section 1103(a) of the Ethics Act prohibits a public official/public employee from using the authority of public office/employment or confidential information received by holding such a public position for the private pecuniary benefit of the public official/public employee himself, any member of his immediate family, or a business with which he or a member of his immediate family is associated. As noted above, the parties have submitted a Consent Agreement and Stipulation of Findings. The parties' Stipulated Findings are set forth above as the Findings of this Commission. We shall now summarize the relevant facts as contained therein. Burchfield served as a Township Supervisor from approximately January 1998 until February 20, 2009, when his resignation from said office became effective. The Township Board of Supervisors consists of three Members. Professionally, Burchfield has business interests in The Burchfield Organization, Inc. (“The Burchfield Organization”), The Burchfield Limited Partnership, and Burchfield Auto Sales. The Burchfield Organization was incorporated in December 1994. Burchfield has been President of The Burchfield Organization since approximately December 1994. Burchfield is also the Chief Executive Officer and an employee of The Burchfield Organization. Burchfield has had a 95% ownership interest in The Burchfield Limited Partnership since its creation on or about October 1, 2005. Burchfield’s wife and children hold the remaining 5% ownership interest in The Burchfield Limited Partnership. The limited partnership application filed with the Pennsylvania Department of State identifies Burchfield as the general partner of The Burchfield Limited Partnership. Prior to 2006, the Township did not have any fire protection based within the geographical boundaries of the Township. The Township’s fire and emergency response needs were split among five volunteer fire companies located in communities surrounding the Township, including the Duncansville Fire Company #1 d/b/a The Duncansville Volunteer Fire Company (“DVFC”). In 2005, DVFC did not have a station or substation within the geographical boundaries of the Township. In or about April 2005, the Board of Supervisors began discussing designating one of the volunteer fire companies as a primary first responder and one or more of the other volunteer fire companies as backup(s) for emergency calls within the Township. At the Board of Supervisors May 11, 2006, meeting, Burchfield seconded a motion, and the Supervisors unanimously voted, to designate DVFC as the primary fire company for the Township and to forward a portion of the Emergency and Municipal Services (“EMS”) tax collected by the Township to DVFC to establish a substation within the Township’s geographical boundaries. During the May 11, 2006, meeting, it was publicly announced that DVFC had located a building/property (hereinafter referred to as “the Property”) within the Township to lease on a temporary basis. The Property, located at 1624 Old Route 220, Duncansville, Pennsylvania, is owned by The Burchfield Limited Partnership. Burchfield addressed the Board of Supervisors and indicated that the Property was owned by D.R.T.J. Partnership, a partnership of his family. D.R.T.J. Partnership does not exist and has never owned the Property. Burchfield did not publicly disclose during the meeting that he was a 95% owner of The Burchfield Limited Partnership, the entity that owned the Burchfield, 08-066 Page 28 Property, but told representatives of DVFC and the public that the Property was owned by his children. All discussions and negotiations with regard to the lease of the Property were handled between DVFC representatives and Burchfield. Business records of The Burchfield Limited Partnership include an unsigned commercial lease agreement for the Property dated July 1, 2006, between The Burchfield Limited Partnership and DVFC d/b/a Blair Township Fire Company. The lease term is July 1, 2006, through June 30, 2011, with a five-year renewal option. Rent is specified during the initial term as $24,000.00 annually, payable in monthly installments of $2,000.00. No formal lease for the Property was ever executed between DVFC and The Burchfield Limited Partnership or any other entity or individual. From July 2006 to approximately December 13, 2008, DVFC used the Property to serve as a substation within the Township. Between December 11, 2006, and April 2007, DVFC received three invoices totaling $22,000.00 from The Burchfield Limited Partnership for the lease of the Property, covering rent due from July 1, 2006, through April 2007, at the rate of $2,000.00 per month. No invoices were received from D.R.T.J. Partnership. Between November 2006 and May 2007, DVFC paid $22,000.00 in rental payments to The Burchfield Limited Partnership for use of the Property. These funds were received by Burchfield, d/b/a The Burchfield Limited Partnership. No rental payments were made to D.R.T.J. Partnership. All of the proceeds received from DVFC for rental of the Property were retained by Burchfield and reported on Burchfield’s tax returns filed jointly with his spouse. DVFC used payments it received from the Township’s collection of the EMS/Local Services tax and general donations from the Township to pay the rent for the Property. During the relevant time period, Burchfield, as a Township Supervisor, participated in various actions of the Board of Supervisors pertaining to funding for DVFC, including: (1) discussions and actions regarding the approval of Township budgets containing allocations of funding to DVFC; (2) votes to reappoint DVFC as the Township’s primary volunteer fire company; (3) votes to reaffirm the distribution of portions of the EMS/Local Services tax collected by the Township to DVFC; and (4) votes to approve Township bill lists including payments to DVFC , as detailed in Fact Findings 17a-c, 18a-f, 26a, 27, 28. On or about July 12, 2007, the State Ethics Commission initiated an investigation regarding Burchfield’s actions as a Township Supervisor in approving DVFC as the primary fire department for the Township and his role in approving funding to DVFC at a time when he was leasing property to DVFC. In Burchfield, Order 1492, issued October 10, 2008, the State Ethics Commission approved a Consent Agreement between Burchfield and the Investigative Division of the Commission. The approved Consent Agreement resulted, inter alia, in a finding that Burchfieldviolated Section 1103(a) of the Ethics Act when he participated in actions and deliberations of the Township Board of Supervisors to designate DVFC as the primary responding fire department/emergency responder for the Township; participated in actions and deliberations of the Board of Supervisors allotting funding to DVFC from the Township’s EMS tax; and then entered into a contract/agreement with DVFC, in excess of $500.00, to lease property/building space owned by him and/or members of his immediate family through The Burchfield Limited Partnership, for use by DVFC as a substation within the Township. Per the Consent Agreement of the parties, Burchfield was directed to make payment in the amount of $10,000.00, payable to the Commonwealth of Pennsylvania. Burchfield’s spouse subsequently issued a check in the amount of $10,000.00 from the general account of The Burchfield Organization, Inc., payable to the Commonwealth of Pennsylvania. Even though DVFC continued to occupy the Property until approximately December 13, 2008, DVFC did not receive any invoices from Burchfield after April 2007 and did not Burchfield, 08-066 Page 29 pay any rent directly to Burchfield or The Burchfield Limited Partnership after May 18, 2007. Between May 2007 and December 2008, DVFC owed The Burchfield Limited Partnership rent totaling $38,000.00, based on nineteen months at the rate of $2,000.00 per month. Between July 8, 2008, and October 14, 2008, Burchfield participated in three separate actions of the Board of Supervisors to approve four payments totaling $36,826.39 to DVFC, as detailed in Fact Finding 57. Lewis E. Moore (“Moore”) is an employee of The Burchfield Organization, and he operates the Budget Rental Franchise of The Burchfield Organization. Moore has shared a common residence with Burchfield’s daughter, Tina M. Burchfield, since at least July 19, 2004. On September 22, 2008, Moore, d/b/a LEM Associates/LEM Associates Rental Properties (“LEM”), gave Bill Lloyd (“Chief Lloyd”), Chief of DVFC, an invoice in the amount of $34,000.00, during a visit that Chief Lloyd made to Burchfield Truck Sales for DVFC-related business. At that time, DVFC owed $34,000.00 in rent for its use of the Property. Moore/LEM did not have any ownership interest in the Property or any executed agreements to act as a rental agent or collection agency on behalf of Burchfield or The Burchfield Limited Partnership. Moore, as an employee of The Burchfield Organization, submitted the invoice to DVFC in order to collect rent owed on the Property. Moore conveyed to Chief Lloyd that the invoice was for unpaid rent owed to Burchfield. Chief Lloyd believed that Moore was acting as an agent of Burchfield regarding the invoice and that the invoice was for back rent owed on the Property. On September 26, 2008, Darlee Sill, Esquire, Counsel for both Burchfield and Moore, prepared an Article of Agreement between Burchfield as general partner of The Burchfield Limited Partnership and Moore for the sale of the Property. This transaction did not materialize. On October 1, 2008, David Skurnick (“Skurnick”), Treasurer of DVFC, issued a check in the amount of $34,000.00 to LEM Associates in payment of the September 22, 2008, invoice from Moore. In the memo portion of the check was written “rental-firehall.” The check was drawn on a DVFC account at Reliance Bank that was funded by Township monies, including EMS/Local Services tax revenues and general donations. DVFC provided documentation to the Township to confirm that such funds were used within the Township. On October 2, 2008, Moore, d/b/a LEM Associates, opened a checking account at Reliance Bank with an initial deposit of $34,000.00 from the DVFC check issued on October 1, 2008. On October 4, 2008, Moore issued a starter check to DVFC in the amount of $34,000.00, drawn on the newly opened checking account at Reliance Bank. In the memo portion of the check was written “return rent.” This check was debited to the Reliance Bank checking account on October 10, 2008. At the Board of Supervisors meeting on October 14, 2008, Skurnick, after being questioned about the $34,000.00 expenditure on the DVFC financial report dated October 1, 2008, initially indicated that the expenditure was a mistake between DVFC and The Burchfield Organization and that it had been returned. After Burchfield stated that The Burchfield Organization did not have anything to do with it, Skurnick stated that the mistake was between DVFC and LEM Associates. On or about November 13, 2008, Moore gave Chief Lloyd a second invoice while Chief Lloyd was at Burchfield Truck Sales getting a DVFC fire truck serviced. This undated invoice was on stationery for Lewis E. Moore, Health and Safety Instructor and was in the amount of $38,000.00 for equipment, supplies, and educational services listed Burchfield, 08-066 Page 30 on the invoice. DVFC had no written agreement with Moore for the provision of any equipment or educational services, and it did not receive from Moore any of the equipment, supplies, or educational services listed on the invoice. The sole purpose of the invoice was to collect rent owed for DVFC’s use of the Property, which at that time totaled $38,000.00 as DVFC had not paid any rent since May 1, 2007. Chief Lloyd considered Moore’s second invoice to be for back rent owed for DVFC’s use of the Property, and DVFC treated it as such. On November 13, 2008, Skurnick transferred $45,000.00 from the DVFC Reliance Bank account to a DVFC general fund account at Omega Bank. This $45,000.00 transfer was comprised solely of funds that DVFC received from the Township. Skurnick moved the funds into the DVFC general fund account so he would not have to account for the funds’ disposition to the Board of Supervisors. Skurnick believed that the $38,000.00 invoice issued by Moore claimed monies owed for equipment and training so that the back rent owed to Burchfield could be paid while circumventing any ethics issues. Skurnick calculated that DVFC owed $38,000.00 in rent covering the period from May 18, 2007, through December 13, 2008. On November 13, 2008, Skurnick issued a check payable to Moore in the amount of $38,000.00 drawn on the DVFC general fund account at Omega Bank. Nothing was written in the memo portion of this check. The check was issued as payment for rent owed by DVFC for use of the Property. In an effort to conceal that the payment was for rent owed to Burchfield, Moore opened a checking account at Mainline National Bank in Ebensburg, Pennsylvania, on November 14, 2008. The $38,000.00 payment from DVFC was credited to this account on November 18, 2008. Between November 26, 2008, and December 17, 2008, Moore made four cash withdrawals totaling $23,500.00 from the Mainline National Bank account. As of January 26, 2009, the balance in Moore’s account at Mainline National Bank was approximately $14,363.85. After being served with a subpoena by the Investigative Division of the State Ethics Commission on January 26, 2009, Moore did not withdraw any additional funds from his Mainline National Bank account until December 2009. From December 2009 through May 2010, Moore made various small withdrawals and payments from his Mainline National Bank account. In May 2010, Moore made three cash deposits totaling $27,800.00 into his Mainline National Bank account. Moore maintains that he kept the $23,500.00 in cash that he withdrew from his Mainline National Bank account in November and December 2008 under a mattress in his home until he deposited the cash back into the account in May 2010. No explanation has been provided for the source of the additional $4,300.00 in cash that Moore deposited into his Mainline National Bank account in May 2010. On May 27, 2010, Moore issued a check in the amount of $38,000.00 to DVFC. Accompanying the check was a letter from Moore’s attorney indicating that the funds were being returned because DVFC would not be building a new fire station and therefore, DVFC would not need the training and equipment which was to be provided by Moore. Having highlighted the Stipulated Findings and issues before us, we shall now apply the Ethics Act to determine the proper disposition of this case. The parties' Consent Agreement sets forth a proposed resolution of the allegations as follows: 3. The Investigative Division will recommend the following in relation to the above allegations: Burchfield, 08-066 Page 31 a. That a technical violation of Section 1103(a) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1103(a), occurred when Burchfield, in his capacity as a Blair Township Supervisor, approved payments and/or donations to the Duncansville Blair Township Fire Department which said funds were used to pay rental on a facility owned by a business with which Burchfield is associated. 4. Burchfield agrees that he will not seek or accept any consideration, in any form, from the Duncansville Fire Department, representative of unpaid rent for any of the months in which the Duncansville Fire Department occupied any buildings owned by Burchfield, the Burchfield Organization, the Burchfield Limited Partnership, past or present employees of Burchfield, or members of Burchfield’s immediate family. 5. Burchfield agrees that he will neither seek nor hold any position of public office or of public employment in the Commonwealth of Pennsylvania at any time. 6. Burchfield agrees, subject to paragraph 7 below, that any future contracts between the Duncansville Fire Department and Burchfield, a member of Burchfield’s immediate family, or any business with which Burchfield or a member of his immediate family is associated must be made at fair market value to be determined by an independent and disinterested party. 7. The foregoing is not intended to prohibit Burchfield, a member of Burchfield’s immediate family, or any business with which Burchfield or a member of his immediate family is associated from providing goods or services to the Duncansville Fire Department for less than fair market value as a gift or donation. 8. The Investigative Division will recommend that the State Ethics Commission take no further action in this matter; and make no specific recommendations to any law enforcement or other authority to take action in this matter. Such, however, does not prohibit the Commission from initiating appropriate enforcement actions in the event of Respondent’s failure to comply with this agreement or the Commission’s order or cooperating with any other authority who may so choose to review this matter further. Consent Agreement, at 1-2. In considering the Consent Agreement, we accept the parties’ recommendation for a finding of a technical violation of Section 1103(a) of the Ethics Act. Burchfield used the authority of his office when he participated in three separate actions of the Board of Supervisors between July 8, 2008, and October 14, 2008, to approve four payments totaling $36,826.39 to DVFC. Moore, an employee of The Burchfield Organization, submitted invoices to DVFC on September 22, 2008, and on or about November 13, 2008, in order to collect rent DVFC owed to The Burchfield Limited Burchfield, 08-066 Page 32 Partnership for DVFC’s use of the Property, which property was owned by The Burchfield Limited Partnership. Given Burchfield’s status as the general partner and 95% owner of The Burchfield Limited Partnership, The Burchfield Limited Partnership is a business with which Burchfield is associated as defined under the Ethics Act. See, 65 Pa.C.S. § 1102. In response to Moore’s invoices, DVFC issued two payments to Moore, one in the amount of $34,000.00, and the other in the amount of $38,000.00, for rent owed for DVFC’s use of the Property. Each payment was comprised of funds, including EMS/Local Services tax revenues and general donations, that DVFC received from the Township. Each payment was initially deposited into a bank account and then subsequently returned to DVFC by Moore. Based upon the totality of the circumstances, we accept the disposition proposed by the parties. We hold that a technical violation of Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), occurred when Burchfield, in his capacity as a Township Supervisor, approved payments and/or donations to the DVFC - Blair Township Fire Department, which said funds were used to pay rental on a facility owned by a business with which Burchfield is associated. Per the Consent Agreement of the parties, Burchfield is directed to neither seek nor accept any consideration, in any form, from DVFC, representative of unpaid rent for any of the months in which DVFC occupied any buildings owned by Burchfield, The Burchfield Organization, The Burchfield Limited Partnership, past or present employees of Burchfield, or members of Burchfield’s immediate family. Burchfield is further directed to neither seek nor hold any position of public office or of public employment in the Commonwealth of Pennsylvania at any time. Further, per the Consent Agreement of the parties, any future contracts between DVFC and Burchfield, a member of Burchfield’s immediate family, or any business with which Burchfield or a member of his immediate family is associated must be made at fair market value to be determined by an independent and disinterested party. This is not intended to prohibit Burchfield, a member of Burchfield’s immediate family, or any business with which Burchfield or a member of his immediate family is associated from providing goods or services to DVFC for less than fair market value as a gift or donation. Compliance with the foregoing will result in the closing of this case with no further action by this Commission. Non-compliance will result in the institution of an order enforcement action. IV.CONCLUSIONS OF LAW: 1. As a Supervisor for Blair Township (“Township”), Blair County, from approximately January 1998 until February 20, 2009, Respondent David Burchfield, Sr. (“Burchfield”) was a public official subject to the provisions of the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq. 2. A technical violation of Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), occurred when Burchfield, in his capacity as a Township Supervisor, approved payments and/or donations to the Duncansville Volunteer Fire Company - Blair Township Fire Department, which said funds were used to pay rental on a facility owned by a business with which Burchfield is associated. In Re: David Burchfield, Sr., : File Docket: 08-066 Respondent : Date Decided: 10/19/10 : Date Mailed: 10/26/10 ORDER NO. 1565 1. A technical violation of Section 1103(a) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1103(a), occurred when David Burchfield Sr. (“Burchfield”), in his capacity as a Supervisor for Blair Township (“Township”), Blair County, approved payments and/or donations to the Duncansville Volunteer Fire Company - Blair Township Fire Department (“DVFC”), which said funds were used to pay rental on a facility owned by a business with which Burchfield is associated. 2. Per the Consent Agreement of the parties, Burchfield is directed to neither seek nor accept any consideration, in any form, from DVFC, representative of unpaid rent for any of the months in which DVFC occupied any buildings owned by Burchfield, The Burchfield Organization, The Burchfield Limited Partnership, past or present employees of Burchfield, or members of Burchfield’s immediate family. 3. Per the Consent Agreement of the parties, Burchfield is further directed to neither seek nor hold any position of public office or of public employment in the Commonwealth of Pennsylvania at any time. 4. Per the Consent Agreement of the parties, any future contracts between DVFC and Burchfield, a member of Burchfield’s immediate family, or any business with which Burchfield or a member of his immediate family is associated must be made at fair market value to be determined by an independent and disinterested party. This is not intended to prohibit Burchfield, a member of Burchfield’s immediate family, or any business with which Burchfield or a member of his immediate family is associated from providing goods or services to DVFC for less than fair market value as a gift or donation. 5. Compliance with Paragraphs 2, 3, and 4 of this Order will result in the closing of this case with no further action by this Commission. a. Non-compliance will result in the institution of an order enforcement action. BY THE COMMISSION, ___________________________ Louis W. Fryman, Chair