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In Re: Michelle Densberger,
Respondent
0ry
STATE ETHICS COMMISSION
FINANCE BUILDING
613 NORTH STREET, ROOM 309
HARRISBURG, PA 17120 -0400
File Docket:
X -ref:
Date Decided:
Date Mailed:
FACSIMILE: 71 7- 787 -0806
WEBSITE: www &thics. a. ov
18 -012
Order No. 1752
516119
5110119
Before: Nicholas A. Colafella, Chair
Mark R. Corrigan, Vice Chair
Roger Nick
Melanie DePalma
Monique Myatt Galloway
Michael A. Schwartz
Shelley Y. Simms
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 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.
ALLEGATIONS:
That Michelle Densberger, a public official /public employee in her capacity as a
Member and Chairperson of the Madison Township Board of Supervisors, violated
Sections 1103(a), 1104(a), 1104(d), 1105(b)(5), 1105(b)(8), and 1105(b)(9) of the State
Ethics Act (Act 93 of 1998) when she utilize dd tthe authority of her public position for the
private pecuniary benefit of herself, member(s) of her immediate family, and /or a business
with which she /members of her immediate family are /were associated when she:
Participated in discussions and actions of the Township Board of
Supervisors, Including but not limited to initiating, seconding and /or voting on
official motions of the Township to borrow, transfer, and /or invest public
funds of the Township with First Columbia Bank & Trust, a business with
which she is associated;
Participated in discussions and actions of the Township Board of
Supervisors, including but not limited to motioning, seconding and /or voting
on official motions of the Township to appoint, confirm, approve, etc., the
hiring of her husband, Robert Densberger, as an employee of the Township
for calendar years 2014, 2015, and 2017;
Failed to file a calendar year 2013 Statement of Financial Interests with the
Township;
Densber, er, 18 -012
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• Failed to identif the Township as a source of income for calendar years
2012, 2014, 20Y5, and 2016;
• Failed to list her office, directorship or employment held with First Columbia
Bank & Trust for calendar year 2016; and
• Failed to list her office, directorship or employment held with R.L.
Densberger Hauling Company for calendar years 2012, 2013, 2014, 2015,
and 2016.
IL FINDINGS:
1. Michelle Densberger ( "Densberger ") has served as a Supervisor for Madison
Township ( "Township "), Columbia County, Pennsylvania, since January 2012.
a. Densberger [has at times] served as Chairperson of the Madison Township
Board of Supervisors ( "Board ") ....
b. Densberger [has at times] served as Vice Chairperson of the Board ....
2. Densberger has served as the Madison Township Planning Commission Secretary
( "Planning Commission Secretary") from 2010 to the present.
a. The Planning Commission Secretary is appointed by the Board each year
during a reorganization meeting.
b. The Planning Commission Secretary's duties include attending meetings,
recording meeting minutes, maintaining records, and other duties as
required.
3. Densberger participated in voting to approve her appointment as the Planning
Commission Secretary from 2012 through 2016.
a. Densberger abstained from voting to approve her appointment as the
Planning Commission Secretary in 2017 and 2018.
b. Densberger did not accept compensation as the Planning Commission
Secretary.
4. The Board is comprised of three Members and is charged with general governance
of the Township and corporate powers of the Township.
5. The Board holds one regular meeting on the second Monday of each month.
6. Board Members receive average yearly gross compensation of $1,200.00 for
attending monthly meetings.
a. Board Members are compensated $100.00 per meeting attended.
b. Actual attendance at the meeting is required to receive compensation.
7. Voting at Board meetings occurs in a roll call fashion after a motion is made and
properly seconded.
a. All objections and/or abstentions cast are specifically noted within the
meeting minutes.
b. The Board does not utilize abstention forms to memorialize abstentions.
Densber, eerr, 18 -012
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C. Densberger had no abstention memos filed with the Township.
8. Minutes of Board meetings are prepared by the Township Secretary.
a. Board Members are given the opportunity to review the meeting minutes for
accuracy prior to the following meeting.
b. The Board votes to approve the accuracy of the minutes at each subsequent
meeting.
9. The Board votes to approve bill lists at each monthly meeting.
a. The bill lists include all bills received as well as monthly Township payroll.
10. Signature authority over financial accounts rests with the Board.
a. Any deposit, account opening, withdrawal, endorsement, transfer of funds,
approval of payees, or delegation of authority requires the signatures of two
Board Members.
b. The Board does not utilize signature stamps; all signatures are live
signatures.
THE FOLLOWING FINDINGS DETAIL DENSBERGER'S EMPLOYMENT WITH FIRST
COLUMBIA BANK & TRUST.
11. First Columbia Bank & Trust was founded in 1899 as Bloomsburg National Bank.
a. First Columbia Bank & Trust has fourteen current branch locations that serve
Columbia, Northumberland, Union, Snyder, and Montour Counties of
Pennsylvania.
12. Professionally, Densberger has been employed as a Mortgage Originator with First
Columbia Bank & Trust since May 8, 2006.
a. Densberger was promoted to Vice President and Mortgage Originator with
First Columbia Bank & Trust on March 13, 2013, however, the title of Vice
President is a nominal title at First Columbia Bank & Trust.
13. Densberger's job duties as a Mortgage Originator include mortgage origination,
development of external business related to mortgages, preparation of mortgage
documents, development of loan products, and participation in training
requirements.
14. Densberger is compensated through mortgage origination commission and yearly
bonuses.
a. Densberger receives yearly bonuses based on overall bank performance.
b. Yearly bonuses are determined by the First Columbia Bank & Trust Board of
Directors.
15. Densberger's employment with First Columbia Bank & Trust is not predicated on the
generation of new business for First Columbia Bank & Trust.
a. Densberger's production goals are strictly for mortgage origination only.
Densber, er, 18 -012
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THE FOLLOWING FINDINGS DETAIL ACTIONS TAKEN BY DENSBERGER TO
DESIGNATE FIRST COLUMBIA BANK & TRUST AS THE FINANCIAL DEPOSITORY
FOR THE TOWNSHIP.
16. First Columbia Bank & Trust has been used as a depositary by the Township since
1991.
a. The Township had one depository account with First Columbia Bank & Trust
starting in 1991.
17. Densberger abstained from voting to approve First Columbia Bank & Trust as the
financial depository for the Township during the January 3, 2012, January 4, 2016,
January 3, 2017, and January 2, 2018, Board reorganization meetings.
a. Densberger abstained from voting to approve First Columbia Bank & Trust
as the financial depository for the Township because she is an employee of
First Columbia Bank & Trust.
18. Densberger voted to approve First Columbia Bank & Trust as the financial
depositoryry for the Township during the January 14, 2013, January 6, 2014, and
January 5, 2015, Board reorganization meetings.
19. During a June 25, 2018, investigative interview, Densberger confirmed that she
voted to approve First Columbia Bank & Trust as the Township financial depository
for 2013, 2014, and 2015.
a. Densberger explained at her first Township meeting on January 7, 2012, that
she abstained because she worked for First Columbia Bank & Trust and
wanted everyone to know she was employed there.
THE FOLLOWING FINDINGS DETAIL DENSBERGER'S ACTIONS BETWEEN 2013
AND 2017 TO SECURE FINANCINGILOANSILEASES FOR TOWNSHIP VEHICLES AND
EQUIPMENT FROMITHROUGH FIRST COLUMBIA BANK & TRUST.
20. Prior to Densberger taking office as a Supervisor in January 2012, the Township did
not seek financing for vehicles or equipment.
a. Needed vehicles and equipment were paid for in full out of the Township's
General Fund.
b. Between 2013 and 2017, the only financial institution utilized for Township
vehicle /equipment financing was First Columbia Bank & Trust.
21. The Township's heavy equipment inventory consisted of aged and underpowered
equipment.
a. Discussions were held among the Supervisors about the need to purchase
new /updated equipment.
22. Between 2013 and 2017, Densberger participated in actions of the Board to
purchase vehicles with the knowledge that her employer, First Columbia Bank &
Trust, would be used to finance the purchases.
Purchase of 2006 Sterling _Dump Truck:
23. In a First Columbia Bank & Trust internal email dated June 20, 2013, Densberger
contacted First Columbia Bank & Trust Vice President of Commercial Lending,
Brandon Ortman ( "Ortman ").
Densberger, 18 -012
age
a. Densberger's email stated "Brandon, we are looking to purchase a newer
truck for the township. I need to know if we spend approx. $45,000.00 on it
what portion can the township borrow and what terms would we be looking
at? Hoping to make a decision at the July meeting if we get any bids on the
ad we are running."
b. Ortman replied to Densberger on June 20, 2013, that First Columbia Bank &
Trust lends to municipalities and a six -year loan would be a 2.95% interest
rate. Ortman recommended a municipal lease because it would not count
toward the Township's debt ceiling.
24. On July 8, 2013, following her email correspondence with Ortman, Densberger
motioned and participated in voting to approve the purchase of a 2006 Sterling L-
7500 Single Axle Dump Truck ( "Sterling Dump Truck ") for $40,000.00.
Densberger introduced Resolution #07082013A that authorized small
borrowing for capital purposes at $1 0,000.00, for five ears, with an annual
payment due in May with First Columbia Bank & Trus
1. Densberger participated in voting to approve Resolution #07082013A.
2. Densberger participated in signing Resolution #07082013A.
The meeting minutes reflect [that the Board] authorized /approved financing
the purchase of the Sterling Dump Truck through First Columbia Bank &
Trust.
25. Meeting minutes from July 8, 2013, record the following action:
OPENING OF BIDS (truck)
One bid was received from Auto Wholesalers Used Trucks & Parts for
a 2006 Sterling L -7500 Single Axle Dump Truck in the amount of
$40,000.00. Claire Swartz stated they did look over the truck and it
seems to have everything we are looking for at a very reasonable
pprice. He did have some concerns about an automatic transmission.
He has spoken to other townships that have the automatic
transmission and they have no problems. Most of the newer trucks
are now coming with automatic. Nancy Welliver questioned the
automatic for plowing snow. Michelle Densberger noted you can shift
an automatic. Nancy Welliver asked if anyone around here is using it.
Claire Swartz said Penn Dot and HRI in Bloomsburg are using them.
He doesn't think the automatic transmission will be any problem.
Michelle Densberger noted that an automatic transmission is now a
$30,000.00 update on new vehicles. Gary Williams asked if it has
been serviced. Michelle Densberger did a car fax on the truck and
nothing showed up for repairs or accidents. We will take it
immediately to have it serviced. Nancy Welliver questions how we will
pay for the truck. Michelle Densberger reported Brandon Ortman,
from First Columbia Bank and Trust, is working with us on a loan at
2.95% that will not change. Nancy Welliver asked why we don't use
the Liquid Fuel Reserve, noting we probable aren't getting much
interest on that money. Claire Swartz said we have other equipment
that is old and will be needing repairs and they would like to have
some reserve money for emergencies. Nancy Welliver questioned
how many hours are put on the Grader. Why not hire someone to do
the grading or look into renting one. Michelle Densberger noted there
Densber, eerr, 18 -012
Page 6
aren't many peo le out there that can do the grading, or at the time
we need them. Glenn Titman stated they use the grader three to four
days every week, especially in the summer. Claire Swartz said we
can't find one to rent. Michelle Densberger said to rent a new one it is
$200.00 an hour. Pine Township will help us with their grader and
driver, and then we will help them at some time.
Michelle Densberger made a motion to accept the bid or $40, 000.00
to purchase the 2006 Sterling L -7500 Single Axle Dump Truck from
Auto Wholesalers Used Trucks & Parts. Glenn Titman seconded the
motion. Motion carried.
Michelle Densberger introduced Resolution #07082013A authorizing
Small Borrowing For Capital Purposes at a rate of $90, 000.00 forfive
years, with an annual payment in May. Glenn Titman seconded the
motion. Motion carried.
26. Following the Township meeting and enactment/passage of Resolution
#07082013A, Densberger emailed Ortman the next day (July 9, 2013) through First
Columbia Bank & Trust's internal email to inform Ortman of the following:
Brandon, the Township agreed by resolution last night to purchase
the truck and finance $40,000.00 at 2.95% for 5 years with 1 annual
payment per year due in May or June of each year (not sure what you
can do). I have the specs below, please let me know what you need
from us and how quickly we can sign in order to go pick it up. Price
was $43,900.00. We paid $3,900 for the deposit (snow plow) Borrow
$40,000 Peggy has a copy of the bid if you need it I can have her fax
it to you {what # }, the bid will only show the $40,000.00 as we already
gave them $3900.00 for the plow.
a. Ortman replied to Densberger on July 9, 2013, requesting a copy of the
Township Resolution for vehicle financing.
b. Ortman advised Densberger that the Township Resolution should include the
loan amount, term, interest rate, persons authorized to sign, and name of the
bank.
C. Ortman informed Densberger that he could have the documents prepared
within one day.
d. "Peggy" refers to Township Secretary Peggy Long.
27. On July 9, 2013, the Sterling Dump Truck was financed with First Columbia Bank &
Trust (loan number 502807039391) in the amount of $40,000.00, with an interest
rate of 2.95 %.
a. Yearly payments in the amount of $8,689.95 were scheduled in May for five
years.
28. On July 12, 2013, Densberger, as a Township representative, executed the lease
with option to purchase agreement regarding the Sterling Dump Truck between the
Township and First Columbia Bank & Trust.
a. On the same date, July 12, 2013, First Columbia Bank & Trust check no.
074922, in the amount of $40,000.00, was issued to the Township for the
purchase of the Sterling Dump Truck.
Densberger, 18 -012
agP _e7
29. At the time Densberger took action to enact Resolution #07082013A, she had
already contacted First Columbia Bank & Trust regarding financing and possessed
a reasonable expectation that financing would be through a business with which she
is associated.
Purchase of 2008 New Holland Tractor:
30. In June 2014, the Township sought to purchase a new tractorlbackhoe for use by
the Township road department.
Township meeting minutes of June 9, 2014, record the following:
Claire Swartz noted with the project we will be doing,
from the grant money received, we will need a better
Back Hoe that will be reliable. We have looked at a
couple, there are a lot available. Claire thinks we should
buy a used Back Hoe and sell the one we have.
Secretary has to have the ad in by June 12, 2014, a
second time on June 16, 2014, so we can meet and
open bids on June 27. Bob McWilliams asked if there is
money in the budget for the Back Hoe. Michelle noted
we did budget money for a payment. There was
$20,000.00 budgeted for equipment. Bob asked where
we would finance the purchase. Michelle called M & T
bank, but no one returned her call. She spoke to
Brandon Ortman, at First Columbia Bank, for a 3 yrs.
term it would be 2.3% fixed. Bob asked if the financing
has to be put out for bid. Michelle said not the financing,
but if the vehicle is over $18,500.00 for the vehicle, than
it would have to be bid. Glenn Titman asked at the
Credit Union, but they would only do it if he applied
personally for the loan. Michelle noted we financed the
truck with First Columbia. They did it as a municipal
lean instead of a loan. Which means it does affect any
future borrowing
Michelle Densbergermade a motion to advertise forbid
for a used New Holland Back Hoe to be opened at a
special meeting on June 27, 2094, at 3:00 PM at the
Jerseytown Community Center. Claire Swartz seconded
the motion. Motion carried.
Glenn Titman made a motion to advertise a Special
Meeting be help on June 27, 2094, 3:00 PM to oppen
bids or any other business. Glenn Titman secondedthe
motion. Motion carried.
31. In a June 4, 2014, First Columbia Bank & Trust internal email, Ortman informed
Densberger of the following "I didn't have time to put a proposal together but
wanted to get you the rates. They are lower than we have offered in the past 2.30%
fixed for 3 years or 2.50% fixed for 5 years. Let me know if you need anything
more."
a. [Ortman's email was sent to Densberger] approximately five days prior to the
Board meeting held June 9, 2014.
32. During the June 27, 2014, Board meeting, Densberger recommended financing a
2008 New Holland B95 Tractor ( "New Holland Tractor ") through First Columbia
Densberger, 18 -012
Page 8
Bank & Trust for $30,000.00.
a. Densberger seconded the motion to adopt Resolution #06272014,
authorizing the Township to enter into a lease with option to purchase
agreement for the New Holland Tractor with First Columbia Bank & Trust, at
a rate of 2.30 %.
b. At the time Densberger took official action regarding Resolution #06272014,
she was aware financing would be through First Columbia Bank & Trust, a
business with which she is associated.
33. On June 27, 2014, Densberger, as a Township representative, executed the
commercial loan application and lease with option to purchase agreement regarding
the New Holland Tractor with First Columbia Bank & Trust.
a. By executing the agreement(s), Densberger finalized the New Holland
Tractor financing with First Columbia Bank & Trust (loan no. 502807039645)
in the amount of $30,000.00, with an interest rate of 2.30 %, on June 27,
2014.
34. In a June 30, 2014, internal email from Ortman to Densberger, Ortman asked
Densberger if she had a Township Resolution.
a. Densberger replied to Ortman's email on June 30, 2014, and stated, "We will
have that on Wed morning to be signed by us and I can give you a copy then
if that works."
b. In addition to seconding the motion and voting to approve Resolution
#06272014, Densberger also signed Resolution #06272014, officially
enacting it.
35. On July 2, 2014, First Columbia Bank & Trust issued check no. 079218 in the
amount of $30,000.00 as payment to the Township for the purchase of the New
Holland Tractor.
a. The check was issued following Ortman's communications with Densberger.
36. At the time Densberger took action to enact Resolution #06272014, she had already
contacted First Columbia Bank & Trust regarding financing and possessed a
reasonable expectation that financing would be through a business with which she
is associated.
Purchase of 2004 Ford F660 Super Duty Truck:
37. Township meeting minutes from June 8, 2015, record the following:
Orange Township has a 2004 Ford F550 truck for sale. Supervisors
looked over the truck and feel it is in ood shape. They are asking
$15,000.00 but Michelle got them down to $14,000.00. We can us
the money from the sale of our old truck and there is $3,580.00 left in
our Major Equipment Budget we could use at the end of the year if not
needed.
Michelle Densbergermade a motion to purchase the 2004 Ford F550
Truck from Orange Township and use First Columbia for the financing
for 36 months @ 2.9 % tax exempt fixed rate. Glenn Titman seconded
motion. Motion carried.
Densberger, 18 -012
Page
Michelle Densberger made a motion to approve Resolution
#06082015E for a Lease with Option to Purchase with First Columbia
Bank. Glenn Titman seconded the motion. Motion carried.
Michelle Densberger made a motion to advertise forbids to purchase
the 1999 Ford F550 Dump Truck. No plow or spreader (they will go on
the 2004) bids to be open at July 13, 2015 meeting. Claire Swartz
seconded motion. Motion carried.
38. Densberger, during a June 8, 2015, Board the meeting, motioned and voted to approve
Resolution
err Duty through First iColumbia Bank & Trust fori$14,000.00. Ford
p Y 9
a. In addition to taking action by motion inglvoting on Resolution
#06082082015E, Densberger also signed Resolution #06082082015E into
law.
b. At the time Densberger took official action regarding Resolution
#06082082015E, she knew financing would be through First Columbia Bank
& Trust, a business with which she is associated.
39. On June 10, 2015, Densberger, as .a Township representative, executed the First
Columbia Bank & Trust commercial loan application and lease with option to
purchase agreement for the 2004 Ford F550 Super Duty Truck.
a. Densberger entered into a binding agreement between the Township and
First Columbia Bank & Trust that resulted in a First Columbia Bank & Trust
loan (no. 502807039911) for $14,000.00, with an interest rate of 2.10 %.
b. Regular payments in the amount of $4,867.06 were scheduled in June for
three years.
40. At the time Densberger took action to enact Resolution #06082082015E, she had
already contacted First Columbia Bank & Trust regarding financing and possessed
a reasonable expectation that financing would be through a business with which she
is associated.
Purchase of Peterbilt 335 Dump Truck:
41. In 2017, the Township had interest in purchasing a larger dump truck for use by the
Township road department.
a. Township meeting minutes from April 10, 2017, record the following:
New Business:
Terry requested permission to put truck out for bid.
Motion by Michelle Densberger 2nd by Terry Rider. Motion
carried
Motion: to advertise for truck bids with specs from Bradco or
comparative specs
b. Meeting minutes from May 8, 2017, record the opening of bids concerning
the dump truck:
Opening of Bids:
Dump Truck: Received one bid from Bradco in the amount of
$50,000
Den_ somber er, 18 -012
Page 10
Used 2009 Peterbilt Model 335 Dump Truck
Motion by Glenn Titman 2nd by Terry Rider to accept Bradco
bid $50,000 for 2009 used Peterbilt Dump Truck.
Discussion was held on the financing of the equipment being
purchased as approved earlier in the meeting. The tractor will
be paid for with funds from the Liquid Fuels account. The
dump truck will be purchased using a lease purchase. A rate
quote was received from First Columbia Bank and Secretary
Lutcavage will get rates from multiple other banks for both a 3
and 5 year lease purchase with no prepayment penalty.
42. In May 2017, Township Secretary Beverly Lutcavage contacted PNC Bank, M &T
Bank, First National Bank, and First Keystone Bank in an effort to obtain information
regarding loan interest rates.
a. Densberger contacted First Columbia Bank & Trust.
b. In a May 8, 2017, First Columbia Bank & Trust internal email to Ortman,
Densberger stated "Any Quotes for me?"
C. Ortman replied to Densberger on May 8, 2017, and provided her with First
Columbia Bank & Trust vehicle loan interest rates of 2.38% for a five -year
loan and 2.10% for a three -year loan.
43. On the same date Densberger contacted Ortman (May 8, 2017), during a Board
meeting, Densberger motioned and voted to approve financing a Peterbilt 335
Dump Truck ( "Peterbilt Dump Truck ") from the financial institution that provided the
best interest rate.
44. The Peterbilt Dump Truck was financed through First Columbia Bank & Trust (loan
no. 502807040497) on May 17, 2017, for $50,000.00, with an interest rate of 2.10 %.
a. Yearly payments of $17,381.69 were scheduled in May for three years.
45. On May 24, 2017, Densberger, as a Township representative, executed a
commercial loan application and lease with option to purchase agreement with First
Columbia Bank & Trust.
a. On the same date as the execution of the loan /lease agreement, First
Columbia Bank & Trust check no. 088445 in the amount of $50,000.00 was
issued to the Township for the purchase of the Peterbilt Dump Truck.
46. At the time Densberger took official action as a Supervisor, she was aware financing
would be through First Columbia Bank & Trust, a business with which she is
associated.
47. The chart below details all vehicle and equipment loans obtained through First
Columbia Bank & Trust and the total amount of interest paid to First Columbia Bank
& Trust.
Denber, err, 18 -012
Page 11
Loan No
Date of Loan
Veh. /E ui ment
Loan
Amount
Paid Interest
Balance
502807039391
12- Jul -13
Dump Truck
$40,000M
$2,839.60
$5.23
502807039645
2- Jul -14
Tractor
$30,000.00
$1,286.09
$0.00
502807039911
10- Jun -15
Ford F550
$14,000,00
$502.50
$0.00
502807040497
24-May-1 7
Dump Truck
$50,000.00
$1,064.58
$33,682.8Q
Total
$5,692.77
48. Densberger, as a Supervisor, utilized the authority of her public office when she:
a. Participated in Board discussions regarding financing vehicles and
equipment with First Columbia Bank & Trust;
b. Obtained interest rates and vehicle and equipment financing information
from her employer, First Columbia Bank &' rust;
C. Voted to approve financing vehicles and equipment with First Columbia Bank
& Trust between 2013 and 2017;
d. Signed Township Resolutions that authorized financing vehicles and
equipment with First Columbia Bank & Trust; and
e. Signed loan agreements with First Columbia Bank & Trust.
49. First Columbia Bank & Trust, a business with which Densberger is associated,
received interest and principal payments made by the Township to First Columbia
Bank & Trust, at a time when Densberger voted to approve payment of loans
outstanding to First Columbia Bank & Trust, as detailed above.
a. First Columbia Bank & Trust received payment of interest in association with
the financing arranged byy Densberger between the Township and First
Columbia Bank & Trust, thereb , First Columbia Bank & Trust realized a
pecuniary benefit as defined in the Ethics Act.
b. Densberger received no ascertainable pecuniary benefit from First Columbia
Bank & Trust, her employer, as a result of the Board approving and repaying
the outstanding loans detailed above.
THE FOLLOWING FINDINGS DETAIL THE HIRING OF DENSBERGER'S HUSBAND,
ROBERT DENSBERGER, AS A PART -TIME TOWNSHIP EMPLOYEE.
50. Robert Densberger ( "Mr. Densberger") is the husband of Densberger and a member
of her immediate family.
51. Mr. Densberger was hired as a part-time Township road worker in January 2012, at
or about the same time that Densberger took office as a Supervisor.
a. Mr. Densberger's hours of employment with the Township varied from year to
year based on the needs of the Township.
b. Mr. Densberger was hired based on his possession of a Commercial Driver's
License (CDL) and his experience in operating trucks and heavy equipment.
52. Mr. Densberger's duties included snow removal, operating heavy equipment, and
assisting with various Township road projects.
Densber, er, 18 -012
Page
53. Densberger did not lobby or participate in discussions regarding the hiring of Mr.
Densberger as a part -time road worker.
54. Each year during the Board reorganization meeting, the Board took action to
hirelrehire part -time road workers.
a. Densberger abstained from voting to approve Mr. Densberger's hiring as a
part-time laborer during the Board reorganization meetings for 2012, 2013,
2014, and 2016.
Although Densberger abstained from the vote, she did make the
motion to hire Mr. Densberger during the January 6, 2014, meeting of
the Board.
2. Meeting minutes reflect that Densberger abstained from the actual
vote because Mr. Densberger is her husband.
b. Densberger participated in voting for Mr. Densberger's hiringlrehiring by the
Township during the Board reorganization meetings for 20'115 and 2017.
C. Densberger claims that her votes during the 2015 and 2017 reorganization
meetings were taken as a group, and her votes /participation were an
oversight.
55. Densberger participated in voting to approve the pair rate for part -time road workers,
including Mr. Densberger, during the Board reorganization meetings in 2013 through
2017.
a. Mr. Densberger was compensated $12.25 per hour in 2013; $12.35 per hour
in 2014; $12.50 per hour in 2015; $13.50 per hour in 2016; and $14.50 per
hour in 2017, the same amount payable to all part-time workers in his class.
b. The Township employed the following number of part -time road /labor
employees per year, including Mr. Densberger, as detailed below:
Year
Number of
Part-time
Employees
2013
11
0
0
0
2017
3
C. Calendar years 2013, 2014, and 2015 include the appointment of all three
Supervisors as part-time/as-needed labor.
56. Densberger did not participate in discussions or take official action to obtain more
work hours or additional compensation for Mr. Densberger as a part-time Township
road worker.
a. Densberger voted and participated in the hiring/rehiring of Mr. Densberger in
2015 and 2017.
THE FOLLOWING FINDINGS DETAIL DENSBERGER'S ACTIONS BETWEEN 2013
AND 2017 TO TRANSFER TOWNSHIP FUNDS TO FIRST COLUMBIA BANK & TRUST.
Den�sber e�r, 18 -012
Page 13
57, Between 2013 and 2017, Densberger participated in discussions and actions of the
Board to open accounts with and/or transfer Township funds to First Columbia Bank
& Trust, which included purchasing certificates of deposit, transferring State Liquid
Fuels accounts, and moving Pennsylvania Local Government Investment Trust
accounts.
Purchase of Certificates of Deposit ( "CDs");
58. The Pennsylvania Local Government Investment Trust ( "PLGIT ") was created in
1981 to meet the short -term investment needs of local governments, school
districts, municipal authorities, and other governmental entities in the
Commonwealth of Pennsylvania.
a. PLGIT offers a wide array of investment options and cash management
services, including the following:
1. No minimum investment or balance requirements for PLGIT -Class
shares or PLGIT /PRIME;
2. Fixed -rate, fixed -term investment options, including FDIC - insured
CDs;
3. Unlimited number of accounts;
4. Unlimited checking;
5. Unlimited next -day transfers;
6. Up to two same -day transfers each month at no cost;
7. Direct deposit of subsidy payments and other revenues; and
8. Online account access, transactions, and online statements.
b. PLGIT serviced the majority of the Township's depository accounts until
August 2016.
1. In August 2016, the Board agreed to close any remaining depository
accounts with PLGIT and transfer the funds to First Columbia Bank &
Trust.
59. In June 2012, Densberger participated in a discussion of the Board concerning the
investment/reinvestment of Township funds in financial institutions other than
PLGIT.
a. Meeting minutes from the Board's June 11, 2012, meeting record the
following:
NEW BUSINESS:
"Michelle Densberger suggested pulling money from
PLGIT to get a CD for better rates. Bloomsburg Bank
Columbia Trust [First Columbia Bank & Trust] has a CD
that allows you to make one withdraw without a penalty.
We will do more checking to get as much interest as we
can. Table until next month.'
b. At the Board's July 9, 2012, meeting, the following action was taken by the
Board:
Denber, eerr, 18 -012
Page 14
NEW BUSINESS:
"Peggy Lang checked to see if State Funds can be put
into a CD. They encourage you to do so. Michelle has
rates from First Columbia Bank. Peggy will check with
M & T Bank. We need to have a flex CD in case we
have an emergency."
C. Long received investment rates from M &T Bank, which were presented to
the Board.
60. During the August 13, 2012, Board meeting, Densberger motioned and voted to
approve the transfer of funds from the Township PLGIT accounts to open two new
CD accounts with First Columbia Bank & Trust.
a. Minutes from August 13, 2012, record the following action by Densberger:
OLD BUSINESS:
"Michelle Densberger made a motion to set up two CDs,
one from General Fund and one from State Liquid Fuel
Fund in the amount of $50,000.00 each. Signature
cards will have to be signed at the bank, requiring a
signature of one of the three Supervisors, and one of
the secretary (same as on checks). Claire Swartz
seconded the motion. Motion carried."
b. First Columbia Bank & Trust CD accounts 80842 and 80843 were opened on
August 15, 2012, with an initial deposit of $50,000.00 to each account.
1. PLGIT check no. 6500 details a $50,000.00 payment to First
Columbia Bank & Trust from PLGIT account no. 15820191 on August
14, 2012.
2. PLGIT check no. 875 details a $50,000.00 payment to First Columbia
Bank & Trust from PLGIT account no. 15820357 on August 14, 2012.
3. The memo portion for each check details the check was allocated for
purchase of a CD.
C. Meeting minutes of the Township's September 10, 2012, meeting record the
Board's approval of the transfer of $50,000.00 into a First Columbia Bank &
Trust CD account as detailed below:
FINANCIAL REPORTS:
The financial statements and bills list were reviewed. Claire
Swartz made a motion to approve the financial reports and to
$a bills as presented. Bills paid from General Fund were
6$1.54. Bills paid from Liquid Fuel Fund were $12050.29 (but
hold check #880 $89.95 for now). Bills paid during the month
from the General Fund totaled $50331.15 ($50,000.00 into a
CD). Bills paid during the month from Liquid Fund were
$50,000.00 (into a CD). Michelle Densberger seconded the
motion. Motion carried.
d. First Columbia Bank & Trust deposit records confirm additional deposits
Densber. eerr, 18 -012
Page 15
totaling $95,000.00 were made to CD accounts 80842 and 80843 on May 15,
2013.
Deposits of $60,000.00 and $35,000.00 were made to CD accounts
80843 and 80842, respectively.
2. No vote was taken by the Board to approve the transfer of the
additional $95,000.00 of PLGIT funds to the First Columbia Bank &
Trust CD accounts.
e. Densberger's signature appears on a $35,000.00 PLGIT check (no. 940
representing a deposit into First Columbia Bank & Trust CD account 8084
dated May 9, 2013.
Densberger's signature on PLGIT check no. 940 was affixed as a
Township authorized signatory, authorizing deposit of check no. 940
into First Columbia Bank & Trust CD account 80842.
Densberger's signature is not affixed to PLGIT check no. 6808, dated May 9,
2013, representing the $60,000.00 transfer to First Columbia Bank & Trust.
The signatures of Supervisor Claire Swartz and Township Secretary
Peggy Long are affixed to check no. 6808.
61. During the August 8, 2016, Board meeting, Densberger participated in actions of the
Board by voting to approve closing First Columbia Bank & Trust CD accounts 80842
and 80843.
a. Densberger discussed moving the CD account funds to new Repurchase
Accounts at First Columbia Bank & Trust because the Repurchase Accounts
provided a better interest rate than the existing CD accounts.
A Repurchase Account is also referred to as a "sweep account" and is
an investment mechanism in which excess funds from a deposit
account (as set by the customer) are "swept" into a short -term
investment. Proceeds from the investment are deposited back into
the original deposit account.
b. First Columbia Bank & Trust deposit records reflect that $101,971.13 was
transferred from account 80842 to First Columbia Bank & Trust Repurchase
Account 761699 and that $112,295.45 was transferred from account 80843
to First Columbia Bank & Trust Repurchase Account 761556 on August 11,
2016.
C. Densberger, as a Township representative, signed the signature cards for
First Columbia Bank & Trust Repurchase Accounts 761699 and 761556.
Transfer of State Liquid Fuels Funds;
62. The Township receives State Liquid Fuels funds from the Pennsylvania Department
of Transportation yearly in March.
a. Township State Liquid Fuels funds were deposited into PLGIT account no.
1582035 until March 2016, at which time most Township PLGIT accounts
were closed and any remaining funds were transferred to First Columbia
Bank & Trust.
63. From .Tune 2013 until December 2013, Densberger participated in discussions
Densber, eerr, 18 -012
Page 16
pertaining to transferring State Liquid Fuels funds maintained by PLGIT accounts to
First Columbia Bank & Trust.
a. Minutes from the May 13, 2013, Board meeting confirm that Densberger
participated in discussions regarding transferring PLGIT -held Township
funds to accounts managed by First Columbia Bank & Trust, as detailed
below:
NEW BUSINESS:
Consideration of changing from PLGIT to First
Columbia Bank. The interest rates are not much
different, but the checks are very costly through PLGIT.
Michelle noted the first checks are free from First
Columbia Bank and then there would be a charge. The
difference would be that with First Columbia Bank you
can purchase your checks from an outside company for
way less cost. PLGIT does not allow that. Let's wait to
see what Pauline O'Brian from First Columbia Bank has
to say.
The Board tabled further discussion on the matter until August 12, 2013,
during which the following discussion took place:
OLD BUSINESS:
"Peggy received a proposal from Pauline of First
Columbia Bank. It was given to Michelle Densberger to
look over. Millville Borough did change over from
PLGIT to First Columbia Bank. Michelle explained the
Bank would sweep the funds over night, invest the
funds, and then put them back the next morning. We
would not notice what was happening. We would be
earning way more money with the repurchase program
than with PLGIT. Claire Swartz questioned what was,
"way more money ?" Michelle said when you get $.00 a
$1.00 is way more money. Claire Swartz said he did
not want to vote to change for a $1.00. Michelle
Densberger said with the repurchase program it is going
to be variable, you aren't going to know that for a while
because it will depend on how much is in the accounts
each night. No guarantee, but on the average it should
be at least .05 %. Gary Williams asked if it is
guaranteed we won't lose the principal. Michelle
Densberger technically we could lose, but the bank
agrees that its obligation shall be secured under
Federal Agencies. In the event of a default, the
depositor will have the right to direct the Bank to sell the
security and apply the proceeds in satisfaction of the
Banks obligation to the Depositor. The Bank would
have to give the money back. We would not be out the
money, but the Bank could be. Claire Swartz said he is
not sold. He would like to consider further before
putting all the eggs in one basket."
C. At the November 11, 2013, Board meeting, Densberger motioned and voted
to transfer funds from the PLGIT General Fund and State Liquid Fuels
Accounts to First Columbia Bank & Trust, as detailed below:
Densber, er, 18 -012
Page
OLD BUSINESS:
Michelle Densberger made a motion to move the funds
from PLGIT's General Fund and State Liquid Fuel
accounts to First Columbia Bank & Trust. Glenn Titman
seconded the motion. Motion carried. The State Liquid
Fund Plus Fund and the Municipal Authority Fund will
be left with PLGIT.
64. Following the Board's discussion /action on November 11, 2013, the Township
o ened Repurchase Account no. 0691552 at First Columbia Bank & Trust on
November 26, 2013, with an initial deposit of $25,000.00.
a. Densberger's signature is affixed to the signature card as a Supervisor.
b. A December 31, 2013, First Columbia Bank & Trust statement confirms a
deposit of $25,000.00 into Repurchase Account no. 0691552 on December
3, 2013.
C. PLGIT check no. 997 in the amount of $25,000.00 was deposited into
Repurchase Account no. 0691552 on December 3, 2013.
1. Densberger's signature as a Township official is affixed to PLGIT
check no. 997.
2. A memo on PLGIT check no. 997 details that the PLGIT funds were
moved to First Columbia Bank & Trust.
65. PLGIT Automated Clearing House (ACH) records confirmed that on March 2, 2014,
the Pennsylvania Treasury deposited $136,261.15 into the Township's PLGIT
account no. 1582015.
a. A Commonwealth State Liquid Fuels Allocation Report for calendar year
2014 details a $136,261.15 payment to the Township for Liquid Fuels for
calendar year 2014.
b. On March 5, 2014, $137,769.87 was transferred from the Township's PLGIT
account no. 1582035 to First Columbia Bank & Trust Repurchase Account
no. 0691552.
C. The memo on the check details moving funds from PLGIT to First Columbia
Bank & Trust.
66. On July 21, 2014, a $50,000.00 deposit was made as a result of the Board voting
on November 11, 2013, to approve transferring funds from PLGIT General Funds to
First Columbia Bank & Trust.
a. During the November 11, 2013, meeting, Densberger motioned and voted to
approve transferring funds from PLGIT to First Columbia Bank & Trust.
b. Glen Titman and Peggy Long signed check no. 7294 for $50,000.00.
C. PLGIT check no. 7294 in the amount of $50,000.00 was deposited into First
Columbia Bank & Trust account no. 2700880814.
67. On March 5, 2015, a $150,008.30 transfer was made from the Township's PLGIT
account no. 1582015 to First Columbia Bank & Trust Repurchase Account no.
Dens�berc er., 18 -012
Page 18
0691552.
a. The source of the $150,008.30 was a deposit made into the Township's
PLGIT account no. 1582015 on March 2, 2015, from the Pennsylvania
Treasury in the form of a State Liquid Fuels allocation.
b. The State Liquid Fuels allocation report for calendar year 2015 reflects a
$150,008.30 payment to the Township for Liquid Fuels for calendar year
2015.
68. From March 2016 until March 2018, Township State Liquid Fuels funds were
electronically deposited into First Columbia Bank & Trust Repurchase Account no.
0691552.
2n16.
• The Township was allocated $175,074.24 for the 2016 calendar year from
State Liquid Fuels.
• A March 31, 2016, First Columbia Bank & Trust statement for Repurchase
Account no. 0691552 confirms a $175,074.24 deposit on March 1, 2016,
from the Pennsylvania Treasury.
2017:
• The Township was allocated $183,089.05 for the 2017 calendar year from
State Liquid Fuels.
• A March 31, 2017, First Columbia Bank & Trust statement for Repurchase
Account no. 0691552 reflects a $183,089.05 deposit on March 1, 2017, from
the Pennsylvania Treasury.
2018:
• The TownshKwas allocated $191,880.17 for the 2018 calendar year from
State Liquid els.
• A March 31, 2018, First Columbia Bank & Trust statement for Repurchase
Account no. 0691552 details a $191,880.17 deposit on March 1, 2018, from
the Pennsylvania Treasury.
69. Between March 2014 and March 2018, a total of $836,312.91 of State Liquid Fuels
funds was transferred or electronically deposited to First Columbia Bank & Trust.
a. Densberger participated in Board actions which resulted in these transfers.
Closure of PLGIT Accounts:
70. Between April 2016 and August 2016, Densberger participated in discussions of the
Board regarding closing PLGIT accounts and #ransferring most of the remaining
PLGIT -held Township funds to First Columbia Bank & Trust.
71. At the April 11, 2016, Board meeting, Densberger inquired as to how much interest
the Township was receiving from PLGIT.
a. Densberger advised the Board that she would inquire into possibly taking
$45,000 from the PLGIT account and opening a Repurchase Account with
First Columbia Bank & Trust.
Densber, eerr, 18 -012
Page 19
b. Minutes of the April 11, 2016, Board meeting record the following action:
Michelle questioned how much interest we are getting
from PLGIT on the plus. Michelle will check to see if we
could put the $45,000.00 into the First Columbia
Repurchase account. We may have to add $5,000.00 to
make it $50,000.00 and list as a separate account.
Nancy asked how much interest we are getting for the
CDs. Michelle said it is close to the repurchase but not
as good. The reason we have the CDs was to have
untouched money. Nancy said all money should be
listed.
Gary Williams heard on news there is some legislation
so the tax payers know exactly what is going on in the
townships. Michelle said we are not hiding anything it
probable -ust got missed putting them on the report.
We've onlly had them for two years. Michelle asked do
we want to put the PLGIT Plus into the repurchase
account.
Township Secretary Beverly Lutcavage contacted First Keystone, M &T Bank,
and PNC Bank between June and July 2016 to obtain interest rates for
Repurchase Accounts.
d. Densberger coordinated obtaining interest rate information from First
Columbia Bank & Trust.
72. During the Board's July 11, 2016, meeting, Densberger informed the Board that she
was discussing with First Columbia Bank & Trust "wording changes" for the
Repurchase Agreement.
73. During the August 8, 2016, Board meeting, Densberger motioned to close PLGIT
accounts and CD accounts and transfer the funds to Repurchase Accounts at First
Columbia Bank & Trust.
Densberger participated in voting to approve the closure of the PLGIT
accounts and CD accounts and to transfer the funds to First Columbia Bank
& Trust. (Vote 3 -0).
At the time Densberger took action regarding the transfer of Township PLGIT
monies, she was aware that First Columbia Bank & Trust was a business
with which she is associated.
74. Following the August 8, 2016, vote of the Board, including Densberger, to close all
of the Townships remaining PLGIT accounts and transfer the funds to First
Columbia Bank & Trust, two transfers were made from the Township's PLGIT
accounts to First Columbia Bank & Trust Repurchase Account no. 0691552.
a. First Columbia Bank & Trust deposit records reflect that on August 26, 2016,
$50,000.00 was transferred from PLGIT to First Columbia Bank & Trust
Repurchase Account no. 0691552.
On December 13, 2016, Township PLGIT account no_ 1582035 was closed
and $61,133.07 was transferred to First Columbia Bank & Trust Repurchase
Account no. 0691552.
Densber, er, 18 -012
Page
First Columbia Bank & Trust Repurchase Account no. 0691552 was
opened on November 26, 2013.
C. On December 13, 2016, Township PLGIT account no. 1582019 was closed
and $46,544.31 was transferred to First Columbia Bank & Trust Repurchase
Account no. 2700880814.
75. From August 2012 until December 2016, Densberger participated in Board actions
resulting in $715,455.55 of Township funds held in PLGIT accounts, including Liquid
Fuels monies, being transferred to First Columbia Bank & Trust.
76, First Columbia Bank & Trust realized a pecuniary benefit as a result of the transfer
of public monies of the Township to First Columbia Bank & Trust, a business with
which Densberger is associated.
a. The transfer of public monies of the Township to First Columbia Bank &
Trust had not, as of the date of the Consent Agreement [(April 5, 2019)],
caused a pecuniary detriment to the Township.
77. Densberger did not receive any personal pecuniary benefit from the Township's
transfer of public monies to First Columbia Bank &Trust.
THE FOLLOWING FINDINGS RELATE TO THE ALLEGATIONS REGARDING
DENSBERGER'S STATEMENT OF FINANCIAL INTERESTS FORMS FOR CALENDAR
YEARS 2012 THROUGH 2016.
78. On March 6, 2018, a Statement of Financial Interests compliance review was
conducted at the Madison Township Office by a State Ethics Commission
Investigator.
a. The purpose of the compliance review was to review the Statement of
Financial Interests forms that were completed and on file for all Township
officials /employees who were required to file.
79. The compliance review revealed that Densberger failed to file a Statement of
Financial Interests for the 2013 calendar year.
a. Densberger filed a Statement of Financial Interests with the Township for
calendar year 2013 on June 4, 2018.
80. Densberger failed to include her office, directorship or employment, namely her
position as Vice President of First Columbia Bank & Trust, on her 2016 filing.
81. Densberger received $100.00 for attendance at each meeting of the Board.
a. Any fluctuation in yearly compensation was due to additional Board
meetings.
82. Densberger received the following Supervisor salary from the Township as reported
on W -2 Wage and Tax Statements for calendar year 2013:
a. 2013: $1,100.00.
83. Densberger neglected to include income in excess of $1,300.00 received from the
Township on Statements of Financial Interests filed for calendar years 2012, 2014,
2015, and 2016.
84. On June 4, 2018, Densberger filed amended Statements of Financial Interests for
Densber, eerr, 18 -012
Page 21
calendar years 2012 through 2017.
85. Densberger, during a June 25, 2018, investigative interview, stated that her role in
R.L. Densberger Hauling Company is to assist with bookkeeping and as a cosigner
on the business checking account, used by her only to sign checks in the event that
Robert Densberger is unavailable to sign the same.
a. R.L. Densberger Hauling Company is owned by Densberger's husband,
Robert Densberger.
b. Densberger confirmed that she makes payments for the company and
balances the finances of the company.
C. Densberger stated that she receives no income from R.L. Densberger
Hauling Company.
86. No evidence was developed during the course of the investigation to suggest that
First Columbia Bank & Trust had knowledge of any conflict of interest as set forth
above.
87. No evidence was developed during the course of the investigation to suggest that
First Columbia Bank & Trust offered or provided any investment accounts or loans
to the Township at an rates, conditions, or terms that were not otherwise offered to
other local municipalities.
III. DISCUSSION:
As a Supervisor for Madison Township ( "Township "), Columbia Countyy,
Pennsylvania, since January 2012, Respondent Michelle Densberger, also referred to
hereinafter as Respondent, Respondent Densberger, and Densberger, has been 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 Densberger violated Sections 1103(a), 1104(a), 1104(d),
1105(b)(5), 1105(b)(8), and 1105(b)(9) of the Ethics Act:
(1) When she utilized the authority of her public position for the private
pecuniary benefit of herself, member(s) of her immediate family, and/or a
business with which she /members of her immediate family are /were
associated when she:
(a) Participated in discussions and actions of the Township Board of
Supervisors, includin but not limited to initiating, seconding and /or
voting on official mo�ions of the Township to borrow funds from,
transfer Township funds to, and /or invest Township funds with First
Columbia Bank & Trust, a business with which she is associated; and
(b) Participated in discussions and actions of the Township Board of
Supervisors, including but not limited to initiating, seconding and /or
voting on official motions of the Township to appoint, confirm,
approve, etc., the hiring of her husband, Robert Densberger, as an
employee of the Township for calendar years 2014, 2015, and 2017;
(2) When she failed to file a calendar year 2013 Statement of Financial Interests
with the Township;
(3) When she failed to identify the Township as a source of income for calendar
years 2012, 2014, 2015, and 2016;
Debera�r, 18 -012
Page 22
(4) When she failed to list her office, directorship or employment with First
Columbia Bank & Trust for calendar year 2016; and
(5) When she failed to list her office, directorship or employment with R.L.
Densber er Hauling Company for calendar years 20'12, 2013, 2014, 2015,
and 2016.
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 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.
Section 1104(a) of the Ethics Act provides that each public official/public employee
must file a Statement of Financial Interests ( "SFI ") for the preceding calendar year, each
year that he holds the position and the year after he leaves it.
Section 1104(d) of the Ethics Act provides that no public official shall be allowed to
take the oath of office, or enter or continue upon his duties, nor shall he receive
compensation from public funds, unless he has filed an SFI as required by the Ethics Act.
Section 1105(b) of the Ethics Act and its subsections detail the financial disclosure
that a person required to file the SFI form must provide.
Densber, er, 18 -012
age
Subject to certain statutory exceptions not applicable to this matter, Section
1105(b)(5) of the Ethics Act requires the filer to disclose on the SFI the name and address
of any direct or indirect source of income totaling in the aggregate $1,300 or more.
Section 1105(b)(8) of the Ethics Act requires the filer to disclose on the SFI any
office, directorship or employment in any business entity.
Section 1105(b)(9) of the Ethics Act requires the filer to disclose on the SFI any
financial interest in any legal entity en aged in business for profit. The term "financial
interest" is defined in the Ethics Act as "fa]ny financial interest in a le al entity engaged in
business for profit which comprises more than 5% of the equity of t9e business or more
than 5% of the assets of the economic interest in indebtedness." 65 Pa.C.S. § 1102.
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.
Background
Densberger has served as a Township Supervisor since January 2012. Densberger
has at times served as Chairperson or Vice Chairperson of the Township Board of
Supervisors ( "Board "). The Board consists of three Members. Township Supervisors are
compensated $100.00 per meeting attended.
Signature authority over financial accounts rests with the Board. Any deposit,
account opening, withdrawal, endorsement, transfer of funds, approval of payees, or
delegation of authority requires the signatures of two Supervisors. The Board does not
utilize signature stamps.
Densberger has been employed as a Mortgage Originator with First Columbia Bank
& Trust (the "Bank ") since May 8, 2006. Densberger was promoted to Vice President and
Mortgage Originator with the Bank on March 13, 2013. Densberger is compensated
through mortgage origination commission and yearly bonuses that are based on overall
bank performance.
The Township has used the Bank as a depository since 1991. Densberger
abstained from Board votes that approved the Bank as the financial depository for the
Township for 2012, 2016, 2017, and 2018. Densberger participated in Board votes that
approved the Bank as the financial depository for the Township for 2013, 2014, and 2015.
Re: Bank Financing for the Purchase of Township Vehicles/Equip ment
Prior to Densberger taking office as a Supervisor in January 2012, the Township did
not seek financing for vehicles or equipment. Needed vehicles and equipment were paid
for in full out of the Township's General Fund. The Township's heavy equipment inventory
consisted of aged and underpowered equipment, and the Supervisors discussed the need
to purchase new /updated equipment.
In an internal Bank email dated June 20, 2013, Densberger asked the Bank's Vice
President of Commercial Lending, Brandon Ortman ( "Ortman "), what the Bank's terms for
financing would be with regard to the Township's potential purchase of a newer truck for
approximately $45,000.00. Ortman replied that the interest rate for a six -year loan would
be 2.95 %.
At the July 8, 2013, meeting of the Board, Densberger made a motion and voted to
approve the purchase of a 2006 Sterling L-7500 Single Axle Dump Truck ( "Sterling Dump
Truck ") for 40,000.00. Densberger then introduced, voted to approve, and signed
Resolution #07082013A, which authorized financing used to purchase the Sterling Dump
Densberger, 18 -012
age
Truck through the Bank.
On July 12, 2013, Densberger, as a Township representative, executed a lease with
option to purchase agreement with the Bank for the Sterling Dump Truck. The Bank loaned
the Township the amount of $40,000.00, at the interest rate of 2.95% for five years, to
purchase the Sterling Dump Truck.
In June 2014, the Township sought to purchase a new tractorlbackhoe for use by
the Township road department. In a June 4, 2014, internal Bank email, Ortman informed
Densberger of the fixed interest rates for three -year and five -year loans. During a Board
meeting on June 27, 2014, Densberger recommended financing the purchase of a 2008
New Holland B95 Tractor ( "New Holland Tractor ") for $30,000.00 through the Bank.
Densberger seconded the motion to adopt Resolution #06272014, which authorized the
Township to enter into a lease with option to purchase agreement with the Bank for the
New Holland Tractor. Densberger also voted to approve and signed Resolution
#06272014.
On June 27, 2014, Densberger, as a Township representative, executed a
commercial loam application and lease with option to purchase agreement with the Bank for
the New Holland Tractor. The Bank loaned the Township the amount of $30,000.00, at the
interest rate of 2.30 %, to purchase the New Holland Tractor.
At the Board's meeting on June 8, 2015, Densberger made a motion and voted to
approve Resolution #06082082015E, which authorized the purchase of a 2004 Ford F550
Super Duty Truck ( "Ford Truck") with financing b the Bank. Densberger also signed
Resolution #06082082015E. On June 10, 2015, Densberger, as a Township
representative, executed the Bank's commercial loan application and lease with option to
purchase agreement for the Ford Truck. The Bank loaned the Township the amount of
$14,000.00, at the interest rate of 2.10% for three years, to purchase the Ford Truck.
In 2017, the Township had interest in purchasing a larger dump truck for use by the
Township road department. On May 8, 2017, Densberger contacted Ortman by an internal
Bank email, and he provided her with interest rates for three -year and five -year vehicle
loans. Also on May 8, 2017, during a Board meeting, Densberger made a motion and
voted to approve financing the purchase of a Peterbilt 335 Dump Truck ( "Peterbilt Dump
Truck ") through the financial institution that provided the best interest rate.
On May 24, 2017, Densberger, as a Township representative, executed a
commercial loan application and lease with option to purchase agreement with the Bank for
the Peterbilt Dump Truck. The Bank loaned the Township the amount of $50,000.00, at
the interest rate of 2.10% for three years, to purchase the Peterbilt Dump Truck.
Re; The Transfer of Township Investments and Depository_ Accounts to the Bank
The Pennsylvania Local Government Investment Trust ( "PLGIT ") offers investment
options and cash management services to local governments in Pennsylvania. Until
August 2016, PLGIT serviced the majority of the Township's depository accounts.
In June 2012, Densberger participated in a Board discussion concerning the
investment/reinvestment of Township funds with financial institutions other than PLGIT. At
the August 13, 2012, meeting of the Board, Densberger made a motion and voted to
approve the transfer of funds from the Township's PLGIT accounts in order to open two
new certificate of deposit ( "CD ") accounts in the amount of $50,000.00 each with the Bank.
On August 15, 2012, two CD accounts were opened with the Bank, and a PLGIT check in
the amount of $50,000.00 was deposited into each CD account. On May 15, 2013,
additional deposits totaling $95,000.00 were made to the two CD accounts. Densberger's
signature as an authorized Township signatory was affixed to a PLGIT check in the amount
of $35,000.00 that was deposited into one of the CD accounts on that date.
Densberger, 18 -012
Page
During the August 8, 2016, Board meeting, Densberger discussed moving the funds
in the two CD accounts at the Bank to new accounts at the Bank that would provide a
better interest rate, and she voted to approve closing the two CD accounts. On August 11,
2016, the amounts of $101,971.13 and $112,295.45 were transferred from the two CD
accounts to two new accounts at the Bank. Densberger, as a Township representative,
signed the signature cards for the two new accounts.
In March of each year, the Township receives State Liquid Fuels funds from the
Pennsylvania Department of Transportation. In May 2013 and August 2013, Densberger
participated in Board discussions with regard to transferring Township State Liquid Fuels
funds from accounts maintained by PLGIT to accounts managed by the Bank. At the
Board's meeting on November 11, 2013, Densberger made a motion and voted to transfer
funds from the Township's PLGIT General Fund Account and State Liquid Fuels Account
to the Bank.
On November 26, 2013, the Township opened Repurchase Account no. 0691522
(the "Repurchase Account ") at the Bank. Densberger's signature as a Supervisor was
affixed to the signature card for the Repurchase Account. Densberger's signature as a
Supervisor was also affixed to a PLGrf check in the amount of $25,000.00 that was
deposited into the Repurchase Account on December 3, 2013. As a result of the Board's
vote on November 11, 2013, the amount of $50,000.00 was subsequently deposited into a
different account that the Township had with the Bank.
In March 2014 and March 2015, the Pennsylvania Treasury deposited State Liquid
Fuels funds that were allocated to the Township into Township PLGIT account no.
1582015 ( "PLGIT Account 1582015 "). The State Liquid Fuels funds were then transferred
from PLGIT Account 1582015 to the Repurchase Account at the Bank. In March 2016,
March 2017, and March 2018, the Pennsylvania Treasury electronically deposited State
Liquid Fuels funds that were allocated to the Township into the Repurchase Account.
Between March 2014 and March 2018, State Liquid Fuels funds totaling $836,312.91 were
transferred to or electronically deposited into the Repurchase Account.
Between April 2016 and August 2016, Densberger participated in discussions and
actions of the Board with regard to closing all remainin Township PLGIT accounts and
transferring the funds to the Bank. At the April 11, 216, Board meeting, Densberger
inquired as to how much interest the Township was receiving from PLGIT, and she advised
the Board that she would inquire into whether the Township could take $45,000.00 from a
PLGIT account and open an account with the Bank.
During the Board's August 8, 2016, meeting, Densberger made a motion and voted
to close the Township's PLGIT accounts and transfer the funds to accounts with the Bank.
Between August 26, 2016, and December 13, 2016, the amounts of $50,000.00,
$61,133.07, and $46,544.31 were transferred to Township accounts at the Bank, and two
Township PLGIT accounts were closed.
Re: The Hiring of Densberger's Husband as a Part -time Township Employee
Robert Densberger ( "Mr. Densberger ") is Densberger's husband. Mr. Densberger
was hired as a part-time Township road worker in January 2012, at or about the same time
that Densberger took office as a Supervisor. Densberger abstained from voting to approve
Mr. Densberger's hiring as a part -time Township road worker for 2012.
Each year during the Board's reorganization meetin in January, the Board took
action to hire/rehire part-time road workers. Densberger abs ?ained from voting to approve
Mr. Densberger's hiring /rehiring as a part-time road worker for 2013. During the Board's
January 6, 2014, reorganization meeting, Densberger made a motion to hire/rehire Mr.
Densberger for 2014, but she abstained from the Board's vote that approved Mr.
Dente, 18 -012
Page 26
Densberger's hiring /rehiring for 2014. Densberger voted to approve her husband's
hiringlrehiring for 2015, abstained from voting to approve his hiringlrehiring for 2016, and
voted to approve his hiring/rehiring for 2017.
Mr. Densberger's duties as a part-time Township road worker included snow
removal, operating heavy equipment, and assisting with various Township road projects.
Mr. Densberger's hours of employment with the Township varied from year to year based
on the needs of the Township.
Re: Densberger's SFIs
On March 6, 2018, a State Ethics Commission Investigator conducted an SFI
compliance review at the Township Office. The compliance review revealed that
Densberger failed to file an SFI for calendar year 2013. Densberger neglected to include
income in excess of $1,300.00 that she received from the Township on her SFIs for
calendar years 2012, 2014, 2015, and 2016. Densberger failed to include her position as
Vice President of the Bank on her SFI for calendar year 2016.
On June 4, 2018, Densberger filed an SFI for calendar year 2013 and amended
SFIs for calendar years 2012 and 2014 through 2017 with the Township.
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:
The actions of Densberger participating in
discussions and actions of the Township Board
of Supervisors, which resulted in the Township
utilizing First Columbia Bank & Trust as a
banking /financial institution, constituted a conflict
of interest pursuant to Section 1103(a) of the
Public Official and Employee Ethics Act, 65
Pa.C.S. § 1103(a), as First Columbia Bank &
Trust is a business with which she is associated
as an officerlemployee.
The actions of Densberger participating in
discussions and actions of the Township Board
of Supervisors, which resulted in the
appointment/reappointment of Robert
Densberger as an as-needed/part-time
employee of the Township for calendar year
2015, constituted a technical conflict of interest
pursuant to Section 1103(a) of the Public Official
and Employee Ethics Act, 65 Pa.C.S. & 1103(a),
as Robert Densberger is her husban (member
of her immediate family.
i. That no violation of Section 1103(a) of the
Public Official and Employee Ethics Act,
65 Pa.C.S. § 1103(a), occurred in relation
to Densberger participating in discussions
and actions of the Township Board of
Densber, eer,, 18 -012
Page 27
Supervisors, resulting in the hiring of her
husband, Robert Densberger, as an as-
needed /part -time employee of the
Township for calendar year 2014, as she
took no action resulting in her husband's
appointment/reappointment.
ii. That no violation of Section 1103(a) of the
Public Official and Employee Ethics Act,
65 Pa.C.S. § 1103(a), occurred in relation
to Densberger participating in discussions
and actions of the Township Board of
Supervisors, resulting in the hiring of her
husband, Robert Densberger, as an as-
needed/part-time employee of the
Township for calendar year 2017, as any
gain realized by her husband ($152.25) is
deemed de minimis.
That a technical violation of Section 1104(x) of
the Public Official and Employee Ethics Act, 65
Pa.C.S. § 1104(a), occurred by Densberger not
having a 2013 calendar year Statement of
Financial Interests filed with the Township.
d. That a technical violation of Section 1105(b)(5)
of the Public Official and Employee Ethics Act,
65 Pa.C.S. § 1105(b)(5), occurred by
Densberger neglecting to include the Township
as a source of income upon Statements of
Financial Interests filed for the 2012, 2014, 2015,
and 2016 calendar years.
That a technical violation of Section 1105(b)(8)
of the Public Official and Employee Ethics AAct,
65 Pa.C.S. § 1105(b)(8), occurred by
Densberger neglecting to include her
employment with First Columbia Bank & Trust
upon her 2016 calendar year Statement of
Financial Interests.
That no violation of Section 1105(b)(9) of the
Public Official and Employee Ethics Act, 65
Pa.C.S. § 1105(b)(9), occurred regarding the
allegation due to insufficient clear and convincing
evidence.
Densberger agrees to make payment in the amount of
$4,000.0-0 in settlement of this matter payable to the
Commonwealth of Pennsylvania and forwarded to the
Pennsylvania State Ethics Commission within thirty (30) days
of the issuance of the final adjudication in this matter.
To the extent she has not already done so, Densberger agrees
to file complete and accurate amended Statements of
Financial Interests with Madison Township, through the
Pennsylvania State Ethics Commission, for calendar years
Densber, er, 18 -012
Page 28
2012, 2013, 2014, 2015, and 2016 within thirty (30) days of the
issuance of the final adjudication in this matter.
6. Densberger agrees to not accept any reimbursement,
compensation or other payment from Madison Township
representing a full or partial reimbursement of the amount paid
in settlement of this matter.
7. 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 2 -3.
It ap ears that the Investigative Division in the exercise of its prosecutorial discretion
has electeTto no pros those portions of the allegations pertaining to: (1) Section 1104(d)
of the Ethics Act; and (2) Densberger's failure to list her office, directorship or employment
with R.L. Densberger Hauling Company for calendar years 2012, 2013, 2014, 2015, and
2016. We therefore need not address those particular allegations.
In considering the Consent Agreement, we accept the recommendation of the
parties for a finding that Densberger's participation in discussions and actions of the Board,
which resulted in the Township utilizing the Bank as a banking/financial institution,
constituted a conflict of interest pursuant to Section 1103(a) of the Ethics Act, as the Bank
is a business with which she is associated as an officer /employee.
The Bank is a business with which Densberger is associated in her capacity(ies) as
an officer /employee (Vice President and Mortgage Originator). From 2013 through 2017,
Densberger repeatedly used the authority of her public office as a Supervisor in matters
related to the Township's utilization of the Bank for the provision of various financial
services. Densberger's uses of office included: (1�ownship participating in Board votes that
approved the Bank as the financial depository for the for 013, 2014, and 2015;
R ) making or seconding motions, participating in Board votes, signing Township
esolutions, and executing commercial loan applications and /or lease wi h option to
purchase agreements pertaining to financing the purchase of Township vehicles and
equipment through the Bank; (3) participating in a Board discussion pertaining to moving
the funds in two CD accounts at the Bank to new accounts at the Bank, voting to approve
closing the two CD accounts, and signing, as a Township representative, signature cards
for two new accounts at the Bank; (4) participating in Board discussions with regard to
transferring Township State Liquid uels funds from accounts maintained by PLGIT to
accounts managed by the Bank, making a motion and voting to transfer funds from the
Township's PLGIT General Fund Account and State Liquid Fuels Account to the Bank, and
signing the signature card for an account at the Bank into which State Liquid Fuels funds
were subsequently transferred or electronically deposited; and (5) making a motion and
voting to close the Township's PLGIT accounts and transfer the funds to accounts with the
Bank.
Based upon the Stipulated Findings and the Consent Agreement, we hold that
Densberger's participation in discussions and actions of the Board, which resulted in the
Township utilizing the Bank as a banking /financial institution, constituted a conflict of
interest pursuant to Section 1103(a} of the Ethics Act, 65 Pa.C.S. § 1103(a), as the Bank is
a business with which she is associated as an officer /employee.
Dens29 ber, er, 18 -012
agP a
We accept the parties' recommendations with regard to Densberger's participation
in the hiring/rehiring of her husband, Robert Densberger, as a part -time Township
employee for 2015 and 2017.
The Stipulated Findings reflect that Densberger participated in the Board vote that
approved her husband's hiring /rehiring for 2015. Although the Stipulated Findings do not
=rger's the private pecuniary benefit realized by Mr. Densberger as a result of
participation in his hiring /rehiring for 2015, based upon the Consent
Agreement, it appears that the parties are in agreement that such private pecuniary benefit
was greater than de minimis.
The Stipulated Findings further reflect that Densberger participated in the Board
vote that approved her husband's hiring/rehiring for 2017. However, based upon the
Consent Agreement, the parties are in agreement that any gain realized by Mr. Densberger
as a result of Densberger's participation in his hiring/rehiring for 2017 (i.e., $152.25) was
de minimis.
Based upon the Stipulated Findings and the Consent Agreement, we hold that
Densberger's participation in discussions and actions of the Board, which resulted in the
appointment/reappointment of Robert Densberger as an as- needed /part-time employee of
the Township for 2015, constituted a technical conflict of interest pursuant to Section
1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), as Robert Densberger is her husband /a
member of her immediate family.
We further hold that no violation of Section I I 03(a) of the Ethics Act, 65 Pa.C.S. §
1103(a), occurred in relation to Densberger's participation in discussions and actions of the
Board, which resulted in the hiring of her husband, Robert Densberger, as an as-
neededlpart-time employee of the Township for 2017, as any gain realized by her husband
($152.25) is deemed to be de minimis.
The parties have recommended a finding that no violation of Section 1103(a) of the
Ethics Act occurred in relation to the allegation that Densberger participated in discussions
and actions of the Board, which resulted in the hiring/rehiring of Mr. Densberger as a part-
time Township employee for 2014, for the proffered reason that she took no action
resulting in her husband's appointment/reappointment. However, the Stipulated Findings
establish that although Densberger abstained when the Board voted to approve Mr.
Densberger's hiring /rehiring for 2014, she made a motion to hire /rehire Mr. Densberger for
2014, which constituted a use of the authority of her office as a Supervisor. Nevertheless,
we recognize the "give and take" that is involved in the negotiation of a Consent
Agreement, as well as the prosecutorial discretion of the Investigative Division. Therefore,
we will treat the parties' recommendation for a finding of no violation of Section 1103(a) of
the Ethics Act as a "non pros" by the Investigative Division.
Accordingly, we hold that no violation of Section 1103(a) of the Ethics Act, 65
Pa.C.S. § 1103(a), occurred in relation to Densberger's participation in discussions and
actions of the Board, which resulted in the hiring of her husband, Robert Densberger, as an
as- neededlpart-time employee of the Township for 2014, based upon a non pros by the
Investigative Division.
Turning to the allegations regarding Densberger's SFIs, we hold that: (1) a technical
violation of Section 1104(a) of the Ethics Act, 65 Pa.C.S. § 1104(a), occurred in relation to
Densberger not having an SFl for calendar year 2013 on file with the Township; (2 a
technical violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b} 5),
occurred in relation to Densberger neglectingg to include the Township as a source of
income upon SFIs filed for the 2012, 2014, 20'I5, and 2016 calendar years; a technical
violation of Section 1105(b)(8) of the Ethics Act, 65 Pa.C.S. 1105(b)(8�3) , occurred in
relation to Densberger neglecting to include her employment with the Bank upon her SFI
Denber, eerr, 18 -012
Page 30
for the 2016 calendar year; and (4) no violation of Section 1105(b)(9) of the Ethics Act, 65
Pa.C.S. § 1105(b)(9), occurred based upon an insufficiency of evidence.
As art of the Consent Agreement, Densberger has agreed to make payment in the
amount of $4,000.00 payable to the Commonwealth of Pennsylvania and forwarded to this
Commission within thirty (30) days of the issuance of the final adjudication in this matter.
Densberger has further agreed to not accept any reimbursement, compensation or other
payment from the Township representing a full or partial reimbursement of the amount paid
n settlement of this matter. Finally, to the extent she has not already done so, Densberger
has agreed to file complete and accurate amended SFIs with the Township, through this
Commission, for calendar ears 2012, 2013, 2014, 2015, and 2016 within thirty (30) days
of the issuance of the final' adjudication in this matter.
We determine that the Consent Agreement submitted by the parties sets forth a
proper disposition for this case, based upon our review as reflected in the above analysis
and the totality of the facts and circumstances.
Accordingly, per the Consent Agreement of the parties, Densberger is directed to
make payment in the amount of $4,000.00 payable to the Commonwealth of Pennsylvania
and forwarded to this Commission by no later than the thirtieth (30ffi) day after the mailing
date of this adjudication and Order.
Per the Consent Agreement of the parties, Densberger is directed to not accept any
reimbursement, compensation or other payment from the Township representing a full or
partial reimbursement of the amount paid in settlement of this matter.
To the extent she has not already done so, Densberger is directed to file complete
and accurate amended SFIs for calendar years 2012, 2013, 2014, 2015, and 2016 with the
Township, through this Commission, by no later than the thirtieth (30th) day after the
mailing date of this adjudication and Order.
Compliance with the foregoing will result in the closing of this case with no further
action by this Commission. Noncompliance will result in the institution of an order
enforcement action.
IV. CONCLUSIONS OF LAW;
1. As a Supervisor for Madison Township ( "Township' Columbia County,
Pennsylvania, since January 2012, Respondent Michelle Densberger
( "Densberger ") has been a public official sub'ect to the provisions of the Public
Official and Employee Ethics Act ( "Ethics Act "q, 65 Pa.C.S. § 1101 et seq.
2. Densberger's participation in discussions and actions of the Township Board of
Supervisors, which resulted in the Township utilizing First Columbia Bank & Trust as
a banking /financial institution, constituted a conflict of interest pursuant to Section
1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), as First Columbia Bank & Trust is a
business with which she is associated as an officer /employee.
3. Densberger's participation in discussions and actions of the Township Board of
Supervisors, which resulted in the appointment/reappointment of Robert
Densberger as an as-needed/part-time employee of the Township for 2015,
constituted a technical conflict of interest pursuant to Section 1103(a) of the Ethics
Act, 65 Pa.C.S. § 1103(a), as Robert Densberger is her husbandla member of her
immediate family.
4. No violation of Section 1103(a) of the Ethics Act, 65 Pa.C.S. § '1103(a), occurred in
relation to Densberger's participation in discussions and actions of thhe Township
Board of Supervisors, which resulted in the hiring of her husband, Robert
Densber, er, 18 -012
age
Densberger, as an as- neededlpart -time employee of the Township for 2014, based
upon a non pros by the Investigative Division.
5. No violation of Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 11 03 a , occurred in
relation to Densberger's participation in discussions and actions o t e Township
Board of Supervisors, which resulted in the hiring of her husband, Robert
Densberger, as an as-needed/part-time employee of the Township for 2017, as any
gain realized by her husband $152.25) is deemed to be de minimis.
6. A technical violation of Section 1104(a) of the Ethics Act, 65 Pa.C.S. § 1104(a),
occurred in relation to Densberger not having a Statement of Financial Interests for
calendar year 2013 on file with the Township.
7. A technical violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. §
1105(b)(5), occurred in relation to Densberger neglectin g to include the Township
as a source of income upon Statements of Financial Interests filed for the 2012,
2014, 2015, and 2016 calendar years.
8. A technical violation of Section 1105(b)(8) of the Ethics Act, 65 Pa.C.S. §
1105(b)(8), occurred in relation to Densberger neglecting to include her employment
with FFirst CColumbia Bank & Trust upon her Statement of Financial Interests for the
2016 calendar year.
9. No violation of Section 1105(b)(9) of the Ethics Act, 65 Pa.C.S. § 1105(b)(9),
occurred based upon an insufficiency of evidence.
In Re: Michelle Densberger, : File Docket: 18 -012
Respondent Date Decided: 516119
Date Mailed: 5110119
ORDER NO. 1 752
The participation of Michelle Densberger "Densberger ") —as a Supervisor for
Madison Township ( "Townshi "), Columbia County, Pennsylvania —in discussions
and actions of the Township Board of Supervisors, which resulted in the Township
utilizing irst Columbia Bank & Trust as a banking /financial institution, constituted a
conflict of interest pursuant to Section 1103(a) of the Ethics Act, 65 Pa.C.S. §
1103(a), as First Columbia Bank & Trust is a business with which she is associated
as an officerlemployee.
2. Densberger's participation in discussions and actions of the Township Board of
Supervisors, which resulted in the appointment/reappointment of Robert
Densberger as an as-needed/part-time employee of the Township for 2015,
constituted a technical conflict of interest pursuant to Section 1103(a) of the Ethics
Act, 65 Pa.C.S. § 1103(a), as Robert Densberger is her husbandla member of her
immediate family.
3. No violation of Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103�a), occurred in
relation to Densberger's participation in discussions and actions o thhe Township
Board of Supervisors, which resulted in the hiring of her husband, Robert
Densberger, as an as- needed /part -time employee of the Township for 2014, based
upon a non pros by the Investigative Division.
4. No violation of Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), occurred in
relation to Densberger's participation in discussions and actions of the Township
Board of Supervisors, which resulted in the hiring of her husband, Robert
Densberger, as an as-needed/part-time employee of the Township for 2017, as any
gain realized by her husband $152.25) is deemed to be de minimis.
5. A technical violation of Section 1104(a) of the Ethics Act, 65 Pa.C.S. § 1104(a),
occurred in relation to Densberger not having a Statement of Financial Interests for
calendar year 2013 on file with the Township.
6. A technical violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. §
1105(b)(5), occurred in relation to Densberger neglecting to include the Township
as a source of income upon Statements of Financial Interests filed for the 2012,
2014, 2015, and 2016 calendar years.
7. A technical violation of Section 1105(b)(8) of the Ethics Act, 65 Pa.C.S. §
1105(b)(8), occurred in relation to Densberger neglecting to include her employment
with FFirst CColumbia Bank & Trust upon her Statement of Financial Interests for the
2016 calendar year.
8. No violation of Section 1102)(9) of the Ethics Act, 65 Pa.C.S. § 1105(b)(9),
occurred based upon an insufficiency of evidence.
9. Per the Consent Agreement of the parties, Densberger is directed to make payment
in the amount of $4,000.00 payable to the Commonwealth of Pennsylvania and
Densberc e,r, 18 -012
Page 33
forwarded to the Pennsylvania State Ethics Commission by no later than the thirtieth
(30th) day after the mailing date of this Order.
10. Densberger is directed to not accept any reimbursement, compensation or other
payment from the Township representing a full or partial reimbursement of the
amount paid in settlement of this matter.
11. To the extent she has not already done so, Densberger is directed to file complete
and accurate amended Statements of Financial Interests for calendar years 2012,
2013, 2014, 2015, and 2016 with the Township, through the Pennsylvania State
Ethics Commission, by no later than the thirtieth (30th) day after the mailing date of
this Order.
12. Compliance with paragraphs 9, 10, and 11 of this Order will result in the closing of
this case with no further action by this Commission.
a. Noncompliance will result in the institution of an order enforcement action.
BY THE COMMISSION,
, � a