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HomeMy WebLinkAbout944 MarchitelloIn re: Daniel Marchitello STATE ETHICS. COMMISSION 308 FINANCE BUILDING HARRISBURG, PENNSYLVANIA 17120 File Docket: 93- 061 -C2 Date Decided: 09/12/94 Date Mailed: 09/21/94 Before: James M. Howley, Chair Daneen E. Reese, Vice Chair Dennis C. Harrington Austin M. Lee Allan M. Kluger The Investigative Division of the State Ethics Commission conducted an investigation regarding possible violations of the State Ethics Law, Act 170 of 1978, P.L. 883, and Act 9 of 1989, P.L. 26. Written notice of the specific allegation(s) was served at the commencement of the investigation. A Findings Report was issued and served upon completion of the investigation which constituted the Complaint by the Investigation Division. An Answer was filed and a hearing was held. The record is complete. This adjudication of the Commission is hereby issued which sets forth the individual Allegations, Findings of Fact, Discussion, Conclusions of Law and Order. This adjudication is final and will be made available as a public document fifteen days after issuance. However, reconsideration may be requested which will defer public release of this adjudication pending action on the request by the Commission. A request for reconsideration does not affect the finality of this adjudication. A reconsideration request must be received at this Commission within fifteen days of issuance and must include a detailed explanation of the reasons as to why reconsideration should be granted in conformity with 51 Pa. Code §2.38 and /or 51 Pa. Code §21.29(b). The files in this case will remain confidential in accordance with Section 8(a) of Act 170 of 1978 and Act 9 of 1989, 65 P.S. §408(h). Any person who violates confidentiality of the Ethics Law is guilty of a misdemeanor subject to a fine of not more than $1,000 or imprisonment for not more than one year, 65 P.S. §409(e). Confidentiality does not preclude discussing this case with an attorney at law. Marchitello, 93- 061 -C2 Page 2 I. ALLEGATION: That Daniel Marchitello, a public official /public employee, in his capacity as a member of the North Versailles Sanitary Authority, violated provisions of the State Ethics Act (Act 170 of 1978) when he accepted increases for monthly meeting pay without the approval of the appointing authority; and when he increased his salary as board treasurer without approval of the board. Section 3. Restricted Activities. (a) No public official or public employee shall use his public office or any confidential information received through his holding public office to obtain financial gain other than compensation provided by law for himself, a member of his immediate family, or a business with which he is associated. 65 P.S. 5403(a). and that Daniel Marchitello, a public official /public employee, in his capacity as a member of the North Versailles Sanitary Authority, violated provisions of the State Ethics Act (Act 9 of 1989) when he accepted increases for monthly meeting pay without the approval of the appointing authority; and when he increased his salary as board treasurer without approval of the board. Section 3. Restricted Activities (a) No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 P.S. 5403(a). Section 2. 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. "Conflict" or "conflict of interest" 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 Marchitello, 93- 061 -C2 Page 3 employee, a member of his immediate family or a business with which he or a member of his immediate family is associated. 65 P.S. 5402. II. FINDINGS: 1. The North Versailles Township Board of Commissioners enacted Ordinance No. 503 on December 18, 1961 creating the North Versailles Township Municipal Authority (I.D. 11). a. The ordinance was passed pursuant to provisions of the Municipal Authorities Act of 1945 P.L. 382, as amended. b. The authority was created to acquire, hold, construct, improve, maintain, and operate, own, lease, either in the capacity of lessor or lessee, sewers, sewer systems or parts thereof, and sewage treatment works including works for treating and disposing of industrial waste. c. The ordinance authorized the appointment of seven board members. 2. The members of the North Versailles Township Sanitary Authority are appointed to the authority for five year terms by the North Versailles Township Board of Commissioners. 3. By -Laws for the North Versailles Township Sanitary Authority, have been in effect since the authority's inception in 1961. (See I.D. 1). 4. The By -Laws of the NVTSA, Article II, Section I specifies the following officer positions: a. Chairman. b. Vice - Chairman c. Secretary. d. Assistant Secretary. e. Treasurer. f. Assistant Treasurer. g. Controller. 5. Reorganizational Meeting minutes of the North Versailles Township Sanitary Authority include the appointment of board officers on the following occasions: Marchitello, 93- 061 -C2 Page 4 a. January 7, 1987: Present: Czekaj, Marchitello, Marszalek, Pribanic and Valicenti. The board members will serve as follows: Chairman Vice Chairman Secretary Assistant Secretary Treasurer Assistant Treasurer Roll call vote unanimous, motion passed. b. January 6, 1988: Present: Czekaj, Marchitello, D. Marszalek, McGuire, Mullen, Pribanic and Valicenti. The board members will serve as follows: Chairman Vice Chairman Secretary Assistant Secretary Treasurer Assistant Treasurer Board Member Roll call vote unanimous, motion passed. c. January Present: Mullen, 4, 1989: John Pribanic - A.J. Valicenti - Edward R. McGuire - Dorothy A. Marszalek Dan Marchitello Ted Czekaj. John Pribanic A.J. Valicenti Edward R. McGuire Dorothy A. Marszalek Dan Marchitello • Ted Czekaj - Lawrence Mullen Czekaj, Marchitello, D. Marszalek, McGuire, Reed and Valicenti. Chairman Vice Chairman Secretary Assistant Secretary Treasurer Assistant Treasurer Board Members A.J. Valicenti Ted Czekaj Edward R. McGuire - Dorothy A. Marszalek - Daniel Marchitello Ted Czekaj • John Reed, Larry Mullen d. January 3, 1990: Present: Czekaj, Marchitello, D. Marszalek, Mullen and McGuire. Marchitello, 93- 061 -C2 Page 5 Vice Chairman - Ted Czekaj, Secretary - E. McGuire, Treasurer - D. Marchitello, Assistant Secretary - D. Marszalek and Assistant Treasurer - Ted Czekaj. e. January 9, 1991: Mr. Ted Czekaj asked for nominations for Chairman for 1990. Mr. McGuire renominated A.J. Valicenti for Chairman. There being no other nominations, Mr. Czekaj declared nominations closed. Motion McGuire, second Mullen to have the secretary cast unanimous ballot. Mr. Marchitello made a motion asking that the Vice Chairman, Secretary, Treasurer, Assistant Secretary and Assistant Treasurer hold the same positions for the year 1990. Present: Czekaj, Marchitello, D. Marszalek, Petrus and Valicenti. Mr. Czekaj asked for nominations for Chairman. Dorothy Marszalek nominates A.J. Valicenti for Chairman. Since there were no other nominations Mr. Czekaj declared nominations closed. Motion D. Marszalek, second Marchitello that the secretary cast a unanimous ballot for Mr. Valicenti. Motion passed. Chairman Valicenti asks for nominations for Treasurer. Dorothy Marszalek nominated Dan Marchitello for Treasurer. Since there were no other nominations for Treasurer, Chairman Valicenti declared nominations closed. Motion Czekaj, second D. Marszalek that the secretary cast a unanimous ballot for Dan Marchitello. Motion passed. Chairman Valicenti asked for nominations for Secretary. Dorothy Marszalek nominated Ted Czekaj for Secretary. Since there were no other nominations for Secretary, Chairman Valicenti declared nominations closed. Motion Marchitello, second D. Marszalek that the secretary cast a unanimous ballot for Ted Czekaj. Motion passed. Chairman Valicenti asks for motion to hire present employees for 1991. Motion Marchitello to hire present employees and Mr. Edward McGuire, 3713 Bevan Road, North Versailles as Temporary Administrative Secretary due to need of his expertise on Authority Procedures and 23 years of experience as a member of this board which will be beneficial to all authority members. His duties as Temporary Administrative Secretary are identified in the job description. Duties on file in sanitary authority Marchitello, 93- 061 -C2 Page 6 office. Second, Czekaj. Roll call vote. Motion passed unanimously. f. January 8, 1992: Present: Marchitello, Czekaj, Dorothy Marszalek, Mullen, Petrus, Brown, Ziska and Administrative Secretary Edward R. McGuire. g- Dorothy Marszalek asked for nominations for Chairman. Marchitello nominates Ted Czekaj for Chairman. Since there were no other nominations, D. Marszalek declared nominations closed. Motion Marchitello, second Ziska that the secretary cast a unanimous ballot for Mr. Czekaj. Chairman Czekaj asks for nominations for Treasurer. Dorothy Marszalek nominates Dan Marchitello for Treasurer. Since there were no other nominations for Treasurer, Chairman Czekaj declared nominations closed. Motion Marszalek, second Petrus that the secretary cast a unanimous ballot for Dan Marchitello. Motion passed. Chairman Czekaj asked for nominations for Secretary. Marchitello nominates Dorothy Marszalek for Secretary. Since there were no other nominations for Secretary, Chairman Czekaj declared nominations closed. Motion Ziska, second Marchitello that the secretary cast a unanimous ballot for Dorothy Marszalek. Motion passed. Chairman Czekaj asks for motion to hire present employees for 1992. Motion Marchitello, second Petrus to hire all present employees including Adm. Sec. Edward R. McGuire. Motion passed. January 6, 1993: Present: Brown, Czekaj, Marchitello, Marszalek, Petrus, Tabb and Ziska. Board members served as follows: Chairman - Frank Ziska; Vice Chairman Paul Petrus; Secretary - Dorothy Marszalek; Treasurer - Emmett Tabb; Assistant Secretary - Paul Petrus; Assistant Treasurer - John Brown; Board members - Daniel Marchitello and Ted Czekaj. (I.D. 2) . 6. The North Versailles Township Commissioners set the compensation for members of the North Versailles Township Sanitary Authority. Marchitello, 93- 061 -C2 Page 7 7. On September 23, 1963, the township commissioners approved Ordinance #539, which authorized for the members of the sanitary authority a salary of $25.00 per meeting, and it was not to include more than fifteen meetings per year (I.D. 12). 8. The North Versailles Township Sanitary Authority took the following actions authorizing compensation for officers of the authority: a. September 26, 1963: Present: Leslie, Marszalek, Miller, Nesby, Paich, Triano, Zivkovich, Solicitor Gaydos, Bond Counsel McMillan, Fiscal Agent Lambing. Compensation of members and officers was discussed: The commissioners set a rate of $25.00 per meeting, up to 15 meetings a year for the board members. b. March 14, 1964: Present: Leslie, Marchitello, Marszalek, Nesby, Paich, Zivkovich, Solicitor Gaydos, Engineer Galie, Contractor (Botch). Motion Paich, second Marchitello authorizing the payment of a salary of $100.00 per month for the secretary of the authority, and $50.00 per month for the treasurer of the authority retroactive to January 1, 1964. On roll call vote all members present voted yea, and motion passes. c. October 5, 1965: The minutes do not indicate what authority members were present at this meeting. At their meeting of September 23, 1965, the Township Commissioners passed an Ordinance setting sewer rental rates effective for billings after April 1, 1965. They also passed an Ordinance approving budget for the calendar year 1965. In line with provisions of budget, motion Paich, second Marchitello that Secretary be paid $100.00 per month, and Treasurer $50.00 per month retroactive to January 1, 1965 for cost of reports. Motion passed. d. January 29, 1968: Present: Kukurin, Leslie, Marchitello, Marszalek, Nesby, Paich and Triano. Marchitello, 93- 061 -C2 Page 8 e. January 15, 1975: g. It is duly noted that many hours have been given in the past and with Phase II many more hours will be expended in the future. It is for this reason that it is moved by Marchitello, second by Kukurin, that the following monthly remuneration be made from Administrative Fund: Chairman - $50.00; Vice Chairman - $40.00; Secretary - $50.00; Assistant Secretary - $40.00; Treasurer - $50.00; Assistant Treasurer - $40.00; Controller - $40.00; and that monthly payments to Secretary and Treasurer for quarterly reports and office work in the amounts of $200.00 and $100.00 respectively, be paid from the Operating Fund retroactive to January 1, 1968. Upon roll call vote, all members voted yea. Motion passed. Present: Ketch, Marchitello, Marszalek, McGuire, Nesby, Pribanic, Triano, Engineer Neilan, Solicitor Hanes. Since it has been some time since Authority officers received a raise, motion Triano, second Nesby that the following raises be put in effect January 1, 1975; Chairman and Treasurer $10.00 per month; Secretary, $5.00 per month; Vice Chairman, Assistant Secretary, Assistant Treasurer and Controller, $15.00 per month from General Fund. Upon roll call vote, all members voted yea, and motion passed. f. December 1, 1977: Present: Ketch, Marchitello, McGuire, Marszalek, Nesby, Pribanic, and Triano. It was also noted that Authority officers had not received a raise in three years. Motion Marchitello, second Nesby to grant a $20.00 per month raise effective January 1, 1978 to the Chairman, Vice Chairman, Secretary, Assistant Secretary, Treasurer, Assistant Treasurer and Controller. Upon roll call vote, all members voted yea, and motion passed. December 15, 1983: Present: Marchitello, Marszalek, McGuire, Nesby, Pribanic, Triano, and Valicenti. Recommended by Chairman that the Treasurer's position should be increased by $20.00, due to extra amount of work. Motion McGuire, second Valicenti to increase Treasurer's pay. Roll call vote, motion passed. Increase will start in January, 1984. Marchitello, 93- 061 -C2 Page 9 9. The budgets of the North Versailles Township Sanitary Authority are approved by the members of the Authority. a. The budgets include the salaries and wages paid to the members of the sanitary authority as well as the employees. 10. Paul A. Homonai is a Township Commissioner for North Versailles Township, having served in that capacity for fifteen (15) years. a. Homonai never took action -- and was never called upon to take action -- as a Commissioner to set the salary for members of the NVTSA. (1) During his fifteen (15) years of service as a North Versailles Township Commissioner, Homonai has missed no more than three meetings. b. Homonai reviewed the minutes of the North Versailles Township Commissioners from 1980 forward. (1) Homonai did not find any action by the North Versailles Township Commissioners regarding the salary of the members of the NVTSA. c. The North Versailles Township Commissioners are ultimately responsible for approving the budget of the NVTSA. (1). The NVTSA is a "lease- back" authority. (2) North Versailles Township is legally responsible for the debts of the NVTSA. d. The North Versailles Township Commissioners never voted on the budget of the NVTSA as a separate matter. (1) The NVTSA budget was incorporated into the Township's budget. (2) The Commissioners passed on the Township budget but did not pass on the NVTSA budget individually. (3) Prior to 1991, Homonai did not know that the NVTSA submitted a budget to the Township. e. Each year the Chairman of the Township Commissioners would sign the NVTSA budget. (I.D. 3, pages 1 -6). (1) The only year that Homonai ever saw the NVTSA Marchitello, 93- 061 -C2 Page 10 budget was 1992, when he signed it as Chairman (I.D. 3, page 6) . f. Each year, for calendar years 1988 -1993, the budget of the NVTSA has been a one -page document which lists a lump sum for "salaries and wages" with no breakdown of that figure (I.D. 3, pages 1 -6). (1) There was no indication in the budget of how much the NVTSA members were receiving as officers or as members. (2) When Homonai signed the budget for the one year he served as Chairman, he was not given any breakdown for the figures on the budget. 11. Robert Vuyanich is a former Township Commissioner for North Versailles Township, having served in that capacity for thirty -two (32) years through 1991. a. Vuyanich served as Chairman of the Township Commissioners for approximately twenty (20) years. b. Vuyanich did not participate in any Township action to fix the compensation for NVTSA members other than when the compensation was originally set at $25.00. (1) There were no other meetings attended by Vuyanich where action was taken in relation to NVTSA member salaries. (2) In his thirty -two (32) years of service as a North Versailles Township Commissioner, Vuyanich missed no more than two meetings. c. During the thirty -two (32) years that Vuyanich served on the North Versailles Township Board of Commissioners, the NVTSA budget was not brought before the full board of Commissioners for voting and passage. d. Vuyanich signed NVTSA budgets as Chairman of the Township Hoard of Commissioners. (1) After signing the NVTSA budgets, Vuyanich gave them to the Township Secretary for her to review and file. (a) The Township Secretary is an employee and is not a Township Commissioner. (2) Vuyanich did not believe that the NVTSA budget had Marchitello, 93- 061 -C2 Page 11 e. Vuyanich was not aware of the salaries and wages were paid to the NVTSA members and officers. (1) Vuyanich was not given any information the breakdown of compensation given officers and members. (2) Vuyanich did not contact the NVTSA to breakdown of the salaries in its budget. The North Versailles Township budget does not list individual salaries. 12. Ruth Jones is employed as the head -clerk for the NVTSA, having been employed by the NVTSA on a part -time basis from 1972 to 1985, and on a full -time basis from 1985 to the present. f. anything to do with the Township budget. that regarding to NVTSA request a a. Until approximately 1993, the Treasurer of the NVTSA wrote the checks for the Authority. b. Marchitello prepares the payroll for the NVTSA. c. The NVTSA has two accounts, specifically the "operating fund" and the "general fund." (1) Jones stated that Board Members were paid from the "general fund." (2) Jones stated that Board Officers were paid from the "operating fund." (3) Jones was not involved in writing checks for the Authority. 13. Gregory Curran is employed as a Special Investigator for the State Ethics Commission. a. As part of the investigation of the Respondent, Curran reviewed the minutes of the meetings of the North Versailles Township Board of Commissioners from_. 1903 through 1992. (1) There was no action recorded in the minutes of the North Versailles Township Board of Commissioners to amend the original meeting salary set for NVTSA members of $25.00 per meeting for a maximum of fifteen (15) meetings. (See Finding 7; I.D. 12, page 1) . Marchitello, 93- 061 -C2 Page 12 b. Curran reviewed the payroll records and the minutes of the NVTSA. c. From 1978 forward, the vice - chair, assistant secretary, assistant treasurer and controller of the NVTSA all received monthly checks in the amount of $100.00. (1) The members of the NVTSA set the salaries for these offices at $40.00 per month effective January 1, 1968; $55.00 per month effective January 1, 1975; and $75.00 per month effective January 1, 1978 (I.D. 4, pages 7, 10, 11). (a) The initial salary of $40.00 per month was designated to be paid from the "Administrative Fund." (I.D. 4, page 7). (b) The $15.00 per month increase effective January 1, 1975 was designated to be paid from the "General Fund." (I.D. 4, page 10). (c) The $20.00 per month increase effective January 1, 1978 was not designated to be paid from a particular fund. (I.D. 4, page 11). (2) From 1978 forward, the salaries for these offices ($75.00 per month) added to the meeting pay ($25.00 per meeting) would equal $100.00 per month for those months where only one meeting was held. d. From 1978 through 1991, the Chair of the NVTSA received a single, monthly check in the gross amount of $105.00. (1) The members of the NVTSA set the salary for the office of chair at $50.00 per month effective January 1, 1968; $60.00 per month effective January 1, 1975; and $80.00 per month effective January 1, 1978 (I.D. 4, Pages 7, 10, 11). (a) The initial salary was designated to be paid from the "Administrative Fund." (I.D. 4, page 7). • (b) The $10.00 per month increase effective January 1, 1975 was designated to be paid from the "General Fund." (I.D. 4, page 10). (c) The $20.00 per month increase effective January 1, 1978 was not designated to be paid from a particular fund (I.D. 4, page 11). Marchitello, 93- 061 -C2 Page 13 e. State Ethics Commission investigations were not initiated against every member of the NVTSA who may have received excess compensation. 14. Robert Caruso is the Deputy Executive Director and Director of Investigations of the State Ethics Commission. a. The case involving Respondent was initiated by sworn complaint. (1) Investigative Division Exhibit 8 is a redacted copy of the sworn complaint against Respondent. b. Investigative Division Exhibit 16 is a chart prepared by Caruso summarizing action taken by the NVTSA to set compensation and increase compensation for its officers. (1) Caruso's interpretation of the minutes was based upon a review of all the minutes where salaries for officers were discussed by the members of the Authority. (2) Caruso's interpretation of the minutes was that when a raise was given there was specific mention of a raise. (3) In 1964, 1965 and 1968, where the minutes did not reference a "raise," Caruso concluded that the figures set forth in those minutes set or "reset" a salary rather than increased an existing salary. c. The NVTSA has a "general fund" and an "operating fund." (1) The NVTSA's "general fund" was at one time called the "administrative fund," but these terms referred to the same fund. d. According to Caruso's interpretation of the minutes of the NVTSA, as of January 1, 1978, the authorized compensation for the office of the Secretary was $275.00 per month (I.D. 16). (1) The salary of the Secretary was initially set at $100 per month effective January 1, 1964 (I.D. 4, page 3) . (2) Effective January 1, 1965, the Members of the NVTSA authorized a monthly payment in the amount of $100.00 to the Secretary for "costs of reports." (I.D. 4, pages 4 -5). Marchitello, 93- 061 -C2 Page 14 (a) Caruso interpreted these minutes as setting the same amount of compensation that had been set in 1964, rather than being in addition to it. (3) Effective January 1, 1968, the Members of the NVTSA authorized monthly "remuneration" to the Secretary in the amount of $50.00 per month from the Administrative Fund, and "monthly payments" to the Secretary in the amount of $200.00 from the Operating Fund for "quarterly reports and office work." (I.D. 4, page 7). (a) Caruso interpreted this as setting total remuneration for the Secretary at $250.00 per month, rather than being an increase to compensation set in 1965. (b) These minutes did not refer to an "increase" or "raise." (4) Effective January 1, 1975, the Members of the NVTSA authorized a $5.00 per month "raise" to the Secretary to be paid from the General Fund (I.D. 4, page 10) . (5) Effective January 1, 1978, the Members of the NVTSA authorized a $20.00 per month "raise" to the Secretary without designating the fund from which it was to be paid (I.D. 4, page 11). e. Caruso prepared Investigative Division Exhibit 18, which is a chart of the compensation received by McGuire from the NVTSA from 1988 - 1990, by reviewing the payroll records for McGuire. (I.D. 14) f. McGuire received compensation from the general fund and operating fund of the NVTSA in the following amounts from 1988 - 1990: MONTH 1988 January General Fund $ 100.00 Operating Fund $ 200.00 February General Fund $ 100.00 Operating Fund $ 200.00 1989 $ 100.00 $ 200.00 100.00 200.00 1990 $ 100.00 $ 200.00 $ 100.00 $ 200.00 Marchitello, 93- 061 -C2 Page 15 March General Fund Operating Fund April General Fund Operating Fund May General Fund Operating Fund June General Fund Operating Fund July General Fund Operating Fund August General Fund Operating Fund September General Fund Operating Fund October General Fund Operating Fund November General Fund Operating Fund December General Fund Operating Fund General Fund (Extra Meetings) (I.D. 18) g. $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 200.00 $ 100.00 $ 200.00 $ 100.00 $ 200.00 $ 100.00 $ 200.00 $ 100.00 $ 200.00 $ 100.00 $ 200.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 100.00 $ 100.00 $ 100.00 200.00 $ 200.00 $ 200.00 $ 100.00 $ 100.00 $ 100.00 $ 200.00 $ 200.00 $ 200.00 $ 300.00 $ 300.00 $ 300.00 TOTAL General Fund $1,500.00 $1,500.00 $1,500.00 Operating Fund $2,400.00 $2,400.00 $2,400.00 $3,900.00 $3,900.00 $3,900.00 Caruso's interpretation of the minutes of the NVTSA as to the authorized compensation for the Secretary comports with the amount actually received by McGuire from 1988- Marchitello, 93- 061 -C2 Page 16 1990, in every month but December when extra meetings occurred. (1) From 1988 -1990, in every month but December McGuire received a total of $300.00 (I.D. 14; L.D. 18). (2) Under Caruso's interpretation of the minutes, McGuire was authorized to• receive $300.00 per month for each of these months, consisting of $275.00 officer's pay and $25.00 meeting pay. h. According to Caruso's interpretation of the minutes of the NVTSA, as of January, 1984, the authorized compensation for the office of Treasurer was $200.00 per month (I.D. 16). (1) The salary of the Treasurer was initially set at $50.00 per month effective January 1, 1964 (I.D. 4, page 3) . (2) Effective January 1, 1965, the members of the NVTSA authorized a monthly payment in the amount of $50.00 to the Treasurer for "costs of reports" (I.D. 4, pages 4 -5). (a) Caruso interpreted this as setting the same amount of compensation as had been set in 1964, rather than being in addition it. (3) Effective January 1, 1968, the members of the NVTSA authorized monthly "remuneration" to the Treasurer in the amount of $50.00 per month from the Administrative Fund and "monthly payments" to the Treasurer in the amount of $100.00 from the Operating Fund for "quarterly reports and office work." (I.D. 4, page 7). (a) Caruso interpreted this as setting total remuneration for the treasurer at $150.00 per month, rather than being an increase to compensation set in 1965. (b) These minutes did not refer to an "increase" or "raise." (4) Effective January 1, 1975, the members of the NVTSA authorized a $10.00 per month "raise" to the Treasurer to be paid from the General Fund (I.D. 4, page 10) . (5) Effective January 1, 1978, and January, 1984, the Marchitello, 93- 061 -C2 Page 17 i. Caruso prepared Investigative Division Exhibit 17, which is a chart of the compensation received by Marchitello from the NVTSA from 1988 - 1993, by reviewing the payroll records for Marchitello. (I.D. 13). Marchitello received compensation from the general fund and operating fund of the NVTSA in the following amounts from 1988 - 1993: MONTH January General Fund Operating Fund February General Fund Operating Fund March General Fund Operating Fund April General Fund Operating Fund May General Fund Operating Fund June General Fund Operating Fund July General Fund $ 105.00 Operating Fund $ 120.00 August General Fund Operating Fund Members of the NVTSA authorized two $20.00 per month raises to the Treasurer without designating the fund from which these were to be paid (I.D. 4, page 11) . September General Fund $ 105.00 1988 1989 1990 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 $ 120.00 $ 120.00 $ 105.00 $ 105.00 Marchitello, 93- 061 -C2 Page 18 Operating Fund $ 120.00 October General Fund Operating Fund November General Fund Operating Fund $ 105.00 $ 120.00 $ 105.00 $ 120.00 December General Fund $ 105.00 Operating Fund $ 120.00 General Fund $ 315.00 (Extra Meetings) TOTAL General Fund $1,575.00 $1,575.00 $1,575.00 Operating Fund $1,440.00 $1,440.00 $1,440.00 $3,015.00 $3,015.00 $3,015.00 MONTH 1991 1992 1993 January General Fund Operating Fund February General Fund Operating Fund March General Fund Operating Fund 105.00 $ 105.00 $ 100.00 120.00 $ 170.00 $ $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 120.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 315.00 $ 105.00 $ 170.00 $ 105.00 $ 170.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 105.00 $ 120.00 $ 315.00 $ 100.00 100.00 April General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ May General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ June General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ July General Fund $ 105.00 $ 105.00 $ 100.00 Marchitello, 93- 061 -C2 Page 19 Operating Fund $ 120.00 $ 170.00 $ _ August General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ September General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ October General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ - November General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ December General Fund $ 105.00 $ 105.00 $ 100.00 Operating Fund $ 120.00 $ 170.00 $ General Fund $ 210.00 $ 315.00 $ 300.00 (Extra Meetings) TOTAL General Fund $1,470.00 $1,575.00 $1,500.00 Operating Fund $1,440.00 $2,040.00 $ $2,910.00 $3,615.00 $1,500.00 (I.D. 17). k. Caruso's interpretation of the minutes of the NVTSA comports with the amount actually received by Marchitello from 1988 through 1991, in every month but December when the extra meetings occurred. (1) From 1988 through 1991, in every month but December Marchitello received a total of $225.00 (I.D. 13; I.D. 17) . (2) Under Caruso's interpretation of the minutes, Marchitello was authorized to receive $225.00 for each of these months consisting- of $200-.00 officer's pay and $25.00 meeting pay. 1. The authorized monthly officer's pay for Secretary and Treasurer of the NVTSA is as set forth in Investigative Division Exhibit 16. (1) From 1988 through 1990, McGuire was authorized to receive $275.00 per month as secretary, for total officer's pay of $3,300.00 per year. Marchitello, 93- 061 -C2 Page 20 (2) From 1988 through 1992, Marchitello was authorized to receive $200.00 per month as Treasurer, for total officer's pay of $2,400.00 per year. (a) Marchitello did not serve as Treasurer in 1993. m. The maximum meeting pay which a member of the NVTSA was authorized to receive in a year was $375.00, calculated at $25.00 per meeting for a maximum of fifteen (15) meetings per year. (1) One meeting was held each month except in December when there were extra meetings held (See I.D. 13; I.D. 14) . n. Without regard to which fund the payments came from, the total monies to Marchitello from 1988 - 1993 exceeded the amount of money to which Marchitello was entitled. o. From 1988 through 1993, Marchitello accepted overpayments of compensation from the NVTSA in the total amount of $2,820.00, with $240.00 of this excess compensation being accepted by Marchitello prior to the effective date of Act 9 of 1989 (June 26, 1989), and $2,580.00 of this excess compensation being accepted by Marchitello after the effective date of Act 9 of 1989. (1) In 1988, Marchitello accepted overpayments of compensation totalling $240.00 (I.D. 19). (a) Marchitello was authorized to receive $2,775.00, consisting of $375.00 meeting pay and $2,400.00 officer's pay. (b) Marchitello actually received $3,015.00. (2) In 1989, Marchitello accepted overpayments of compensation totaling $240.00 (I.D. 19). (a) Marchitello was authorized to receive $2,775.00, consisting of $375.00 meeting pay and $2,400.00 officer's pay. (b) Marchitello actually received $3,015.00. (c) Marchitello received all of the total of $240.00 excess compensation after June, 1989. (1) Marchitello received total compensation of $1,350.00 from January through June, Marchitello, 93- 061 -C2 Page 21 1989 and $1,665.00 from July 1989 through December, 1989 (See Finding 14j). (2) Marchitello was authorized to receive total compensation of $1,350.00 from January through June, 1989, and $1,425.00 from July, 1989 through December, 1989. (a) Marchitello was authorized to receive $150.00 meeting pay from January through June, 1989 and $225.00 meeting pay from July, 1989 through December, 1989 (See Finding 14m) . (b) Marchitello was authorized to receive $1,200.00 officer's pay from January through June, 1989 and $1,200.00 officer's pay from July, 1989 through December, 1989 (See Finding 14 1 (2)) . (3) In 1990, Marchitello accepted overpayments of compensation totalling $240.00 (I.D. 19). (a) Marchitello was authorized to receive $2,775.00, consisting of $375.00 meeting pay and $2,400.00 officer pay. (b) Marchitello actually received $3,015.00. (4) In 1991, Marchitello accepted overpayments of compensation totalling $135.00 (I.D. 19). (a) Marchitello was authorized to receive $2,775.00, consisting of $375.00 meeting pay and $2,400.00 officer pay. (b) Marchitello actually received $2,910.00. (5) In 1992, Marchitello accepted overpayments of compensation totalling $840.00 (I.D. 19). (a) Marchitello was authorized to receive $2,775.00, consisting of $375.00 meeting pay and $2,400.00 officer pay. (b) Marchitello actually received $3,615.00. (6) In 1993, Marchitello accepted overpayments of compensation totalling $1,125.00 (I.D. 19). Marchitello, 93- 061 -C2 Page 22 P• 4- (a) Marchitello was authorized to receive $375.00 meeting pay. (b) Marchitello actually received $1,500.00. Without regard to which fund the payments came from, the total monies to McGuire from 1988 - 1990 exceeded the amount of money to which McGuire was entitled. From 1988 through 1990, McGuire accepted overpayments of compensation from the NVTSA in the total amount of $675.00, with $225.00 of this excess compensation being accepted by McGuire prior to the effective date of Act 9 of 1989 (June 26, 1989) and $450.00 of this excess compensation being accepted by McGuire after the effective date of Act 9 of 1989. (1) For each year from 1988 through 1990, McGuire accepted overpayments of compensation totalling $225.00 (I.D. 20). (a) McGuire was authorized to receive $3,675.00, consisting of $375.00 meeting pay plus $3,300.00 officer's pay. (b) For each year from 1988 through 1990, McGuire actually received $3,900.00. (2) In 1989, McGuire received all of the total of $225.00 excess compensation after June, 1989. (a) McGuire received total compensation of $1,800.00 from January though June, 1989 and $2,100.00 from July, 1989 through December, 1989 (See Finding 14f). (b) McGuire was authorized to receive $1,800.00 total compensation from January through June, 1989 and $1,875.00 from July, 1989 through December, 1989. (1) McGuire was authorized to receive $- 150 - .00 meeting pay from January, 1989 through June, 1989 and $225.00 meeting pay from July, 1989 through December, 1989 (See Finding 14m). (2) McGuire was authorized to receive $1,650.00 officer's pay from January through June, 1989 and $1,650.00 officer pay from July, 1989 through December, Marchitello, 93- 061 -C2 Page 23 1989 (See Finding 14 1(1)). r. The source of overcompensation to McGuire and one of the sources of overcompensation to Marchitello, was compensation for the extra meetings held in December of each year. (1) At some point prior to 1988, for reasons which are not known, Respondent and at least some of the other members of the NVTSA were being paid for the additional meetings in December at rates which included officer's pay plus the authorized $25.00 meeting pay. (2) For the years of 1988 - 1992, Marchitello received extra meeting pay at the rate of $105.00 per meeting (I.D. 13). (a) In 1993, when he was no longer serving as Treasurer, Marchitello received extra meeting pay at the rate of $100.00 per meeting (I.D. 13, page 17). (3) For the relevant years of 1988 - 1990, McGuire received extra meeting pay at a rate of $100.00 per meeting. s. Marchitello also received additional compensation in 1992 in the amount of an extra $50.00 per month officer's pay. (1) The minutes of the NVTSA do not reflect any authorization for this extra compensation. (2) Marchitello, McGuire, and Czekaj (another member of the NVTSA) gave statements to Special Investigator Curran that the extra compensation was discussed and voted on as part of the budget. t. Marchitello also accepted $100.00 per month in 1993 when he did not hold an officer position. u. Caruso focused upon the of the NVTSA for whom- the - Investigative Division had open cases, and he did not review payroll records for members of the NVTSA for whom the Investigative Division did not have open cases pending. 15. Donald Michael Glenn is the engineer for the NVTSA, having served in that capacity for approximately sixteen (16) years. a. Glenn attends the meetings of the NVTSA. Marchitello, 93- 061 -C2 Page 24 b. Glenn prepares the budget for the NVTSA, working in conjunction with the Treasurer. (1) Glenn has prepared the NVTSA's budget for the past sixteen (16) years. c. Investigative Division Exhibit 3 consists of the final budgets which were presented to the authority for approval each year from 1988 - 1993. (1) The lump sum figure listed for "salaries and wages" includes compensation for Board Members and officers, as well as employees. (2) Glenn states that he reports to the NVTSA on each item of the budget in detail. (3) Glenn states that he has supporting data for the budget figures. d. Glenn states that for each budget, there is a preliminary meeting, a "special meeting," and finally a regular meeting at which the budget is adopted. (1) The NVTSA holds a public workshop meeting to review the breakdown on salaries for the following year's budget, prior to the final budget meeting. (2) Glenn states that at the December meeting of the NVTSA when the budget is passed, each increase in salary is identified by the individual receiving it and the amount of the increase. e. The NVTSA budget is to be approved by the Township before the Authority passes it. (1) There is a lease -back agreement whereby the Township is responsible for the operation of the Authority. (2) The Township is responsible for the debts of the Authority. Each year that Glenn has been the Township Engineer, the NVTSA budget has been submitted to the Township for approval. (1) The only document which Glenn submitted to the Township was the one -page budget (See I.D. 3) which has no breakdown of the lump sum figure for "salaries and wages." Marchitello, 93- 061 -C2 Page 25 (2) Each year the NVTSA budget has been returned to Glenn signed by the Township Secretary and the Chairman of the Township Board of Commissioners. g. Glenn does not recall ever receiving a request from the Township for backup information on the NVTSA budget. h. In preparing the budget for 1992, Glenn worked with Marchitello, who was Treasurer at that time. (1) Marchitello gave Glenn the figures on the increases for the board members for the 1992 budget, before the preliminary meeting was held. (2) Glenn stated that at the public work session meeting, a $50.00 increase for Treasurer and a $25.00 increase for the Chairman were discussed and that there was an "agreement" by the Board to incorporate such increases in the budget. (a) Glenn stated that he incorporated these increases into the budget. i. The budget for 1992 was passed by the NVTSA at its meeting of December 18, 1991. (1) The minutes for the December 18, 1991 meeting do not indicate any discussion about authority officer salary increases. (2) Glenn did not recall a specific discussion on these increases. (3) Glenn stated that for every budget that was passed, each salary increase was announced to the Board to vote on. (4) It is Glenn's recollection that the 1992 salaries for the Treasurer and Chairman were raised not by a specific vote of the Board but through a line item on the budget. 16. Theodore Czekaj is a member of the NVTSA, having served on the Board since 1985. a. In 1991, Czekaj was Secretary of the NVTSA. b. Czekaj was Chairman of the NVTSA for one year, specifically 1992. (1) As Chair in 1992, Czekaj was paid $105.00 per Marchitello, 93- 061 -C2 Page 26 meeting plus $50.00 per month officer's pay. c. In 1993, Czekaj was not an officer, but was paid $100.00 per meeting. d. Czekaj stated that every year that he has been on the Board, there have been three meetings to process the budget: a finance meeting; a preliminary budget meeting, which is open to the public; and the final meeting at which the Board passes on the budget. e. Czekaj stated that at the preliminary budget meeting for the 1992 budget there was an "understanding" that the 1992 budget would include increases in the salaries of the chairman and treasurer in the amounts of $25.00 and $50.00 respectively. f. There was no separate motion or vote to increase these salaries of the Chairman and Treasurer for 1992. g. (1) Czekaj states that the increases were incorporated in the budget. The minutes of the meeting of December 18, 1991, at which the 1992 budget was passed, make no mention of any such increases in the chair's or treasurer's salaries. (I.D. 5, pages 13 -14). h. Czekaj had inconsistent recollections regarding the presentation of the 1992 budget. (1) Czekaj initially testified that at the meeting where the budget was passed, the treasurer explained the whole budget item by item. (2) After being asked to review the minutes of the meeting which reflect that the engineer presented the budget, and which do not reflect any commentary by the treasurer (I.D. 5, page 14), Czekaj stated that the engineer presents the budget but that if there are any questions they are explained by the treasurer. i. Czekaj made inconsistent declarations regarding the amounts of the salary increases to the Chair and Treasurer for 1992. (1) Czekaj testified that the increases for the Chair and Treasurer were $25.00 and $50.00 respectively. (2) Czekaj had previously given a sworn statement that Marchitello, 93- 061 -C2 Page 27 both of these officers were to receive an additional $50.00 per month. 17. Daniel Marchitello is a Member and Treasurer of the NVTSA. a. Daniel Marchitello has served as a member of the North Versailles Township Sanitary Authority ( NVTSA) since 1979. b. Marchitello was appointed to the Board of the NVTSA to fill the unexpired term of his father, who had passed away. (1) Any references to "Mr. Marchitello" in NVTSA minutes prior to Daniel Marchitello's service on the Board refer to his father. c. Respondent's Exhibit No. 1 consists of the NVTSA payroll records for Board Members for calendar years 1974, 1981, and 1988 -1993. d. Marchitello states that at the first NVTSA meeting he attended, in January of 1980, he was presented with a check for $100.00 and was told that that was his compensation for the month. (1) Marchitello recalls that he was probably the Assistant Treasurer at that time. (2) Marchitello was not given any breakdown for the compensation. (3) Marchitello continued to receive that amount of compensation until he became Treasurer at which time he received more. e. Marchitello served as treasurer of the NVTSA from 1982 through 1992 and again in 1994. (1) In 1993, Marchitello was not Treasurer, and he did not hold any office. (a) Emmett Tabb was Treasurer in 1993. (2) As Treasurer, Marchitello had custody of the payroll records and was the chief officer in terms of keeping books and records. (3) As Treasurer, Marchitello prepared monthly and quarterly tax forms, fund balances and the like for the meeting minutes, and various records for his Marchitello, 93- 061 -C2 Page 28 own use as Treasurer. f. Marchitello states that when he became the Treasurer, he prepared the payroll checks based upon the information and payroll records from the past two Treasurers. (1) Marchitello states that he just followed the records from 1978 forward, issuing checks for the various officers and members of the NVTSA in the exact amounts from the same accounts as had the prior Treasurer, and never made any changes until 1983 when there was a salary increase. (2) Prior to the State Ethics Commission investigation, Marchitello believed -- as he had been told -- that the monthly payments of $105.00 and $100.00 to the various members represented the salary as a Board Member. g- (3) After the State Ethics Commission investigation was initiated, Marchitello reviewed the meeting minutes as to salaries. (4) Until he actually reviewed the breakdown of the various officer's salaries, Marchitello was unaware of how the prior Treasurers had arrived at the figures they were paying the Board Members. (5) Until he reviewed the breakdown of officer's salaries, Marchitello was unaware of the breakdown of payments from the general and operating accounts. The North Versailles Township Commissioners set the meeting pay for members of the NVTSA at $25.00 per meeting. (1) Marchitello knows of no reference in the North Versailles Township Commissioner's meeting minutes to the NVTSA Member salaries other than the original salary set in 1963. h. Respondent's Exhibit Number 2 is a chart which Marchitello prepared giving his interpretation of the break down of the various officer's salaries for NVTSA members. (1) The chart distinguishes amounts from the general fund and the operating fund. (2) Marchitello interprets the minutes from the January Marchitello, 93- 061 -C2 Page 29 29, 1968 meeting (I.D. 4, page 7) as authorizing "an additional" $200.00 and "an additional" $100.00 to the Secretary and Treasurer respectively from the operating fund, "for quarterly reports and office work," which amounts Marchitello states were never taken. (a) Marchitello's interpretation of these minutes differs from Caruso's interpretation that these amounts were not in addition to compensation set in 1965 but were part of the total remuneration being set for the Secretary and Treasurer at that time. (See Finding 14h(3)) . (b) The compensation package which Marchitello received agreed with Caruso's figure of $275.00 per month officer's pay. i. Before Marchitello was on the Board, Board Members were receiving in excess of $25.00 for the extra meetings over and above twelve meetings per year. (R -1). (1) Marchitello was unable to find anything in the records indicating how and when this occurred. (2) From at least 1988, Marchitello received extra meeting pay of $315.00 per year for those years there were three extra meetings, while he was Treasurer. (3) When Marchitello received his extra meeting checks, he was not aware that he was receiving a combination of officer's pay and member salary in excess of the $25.00 authorized by the Township Commissioners. (a) Marchitello was not aware of this until the State Ethics Commission investigation began and Marchitello reviewed the minutes. (4) Marchitello stated that he had determined the amount he was to be paid by reviewing what prior treasurers had been paid back to 1974. (5) In 1993, when Marchitello was not an officer and had nothing to do with preparing payroll checks he received $100.00 per month. (a) $75.00 of each of these payments should not have been received. Marchitello, 93- 061 -C2 Page 30 j (b) At the time, Marchitello believed this to be the appropriate salary. Respondent's Exhibits 3, 4, 5 and 6 consist of some of the checks prepared by Marchitello and issued to Marchitello and McGuire from the general fund and the operating fund from 1989 through 1992. (1) As Treasurer, Marchitello made various notations on the checks issued from the general fund and the operating fund to indicate officer's pay, meeting pay, and pay for preparation of reports. (2) Each check bears two signatures, one of which is Marchitello's. (a) Most of the checks are also signed by Czekaj. (b) Checks could be signed by the chair, the secretary, the treasurer or assistant treasurer. k. Respondent's Exhibit 7 consists of some of the checks issued to Marchitello in 1993 by Emmett Tabb as Treasurer. (1) These checks referenced only the monthly meetings (Respondent's Exhibit 7). 1. Marchitello states that the checks in evidence as Respondent's Exhibits 3, 4, 5, 6, and 7 match up with the payroll records which are Respondent's Exhibit 1. m. Marchitello states that he does not know of anyone who was on the Board in 1968 who is still alive, other than McGuire. n. Marchitello states that among his duties as Treasurer was keeping track of the line items on the budget. (1) Marchitello states that from 1983 -1992, while he served as Treasurer, records were maintained on a monthly basis for the status of every line item on the budget. o. In 1983, there was a $20.00 per month increase in the Treasurer's salary that was by resolution and that was recorded in the minutes. p. In 1992, Marchitello received compensation of $170.00 per month for duties related to his position of treasurer. Marchitello,, 93- 061 -C2 Page 31 4 - (1) Marchitello received a total of $2,040.00 in 1992 for duties related to his position of treasurer. (2) This included an additional $50.00 per month officer's pay for which there was no recorded authorization in the minutes. Daniel Marchitello asserted the additional compensation the treasurer received in 1992, was approved by the board members at their budget meeting(s) in 1991. (1) Every year, prior to the passage of the budget, a preliminary budget meeting was held to review the budget, which meeting was open to the public. (a) There were no minutes kept of these meetings. (b) There was no official action taken at these meetings. (1) A recommendation would be made to the engineer to firm up the final budget. (c) These were meetings of the "finance committee," although any member of the Board could attend. (1) In 1991, Marchitello recalls that the members of the finance committee were Czekaj, Marchitello and Reed. (2) Marchitello states that at the preliminary budget meeting for the 1992 budget, salary increases were discussed for the Chairman and the Treasurer, in the amounts of $25.00 and $50.00 respectively. (a) Glenn testified that Marchitello gave Glenn the figures on the increases for board members for the 1992 budget, before the preliminary meeting was held (See Finding 15h(1)). (1) Marchitello stated that the Authority as a group, not Marchitello, told Glenn to put these salaries in. (b) There were no minutes taken for this meeting. (c) Although the meeting was public, Marchitello recalls that no members of the public attended. Marchitello, 93- 061 -C2 Page 32 (d) Marchitello states that there was an agreement to put these proposed increases into the budget. (e) There was no motion and vote to increase these salaries at this meeting. (f) All prior salary increases had been by motion and vote. (g) Marchitello states that he does not know why the procedures were different for 1992. (3) Marchitello states that every year he explained all of the raises and what made up the "salary" line item. (4) The 1992 budget was passed in December, 1991 (I.D. 5, page 14). (a) At that time, Marchitello did not know whether he would be retained as Treasurer in 1992. r. The additional $50.00 per month which Marchitello received in 1992 for the office of Treasurer was not authorized by the NVTSA Board (See Findings 14s, 15h -i, 16e -i, 17p -q) . s. The budget as submitted to the Township included all salaries, whether as officers or members of the NVTSA Board. t. Each year, the NVTSA proposed budget was signed by the Township Secretary and Chair before it was enacted by the NVTSA Board. u. Daniel Marchitello was present and participated in official action of the NVTSA to approve operating budgets during the following years. (1) December 17, 1986. (2) December 16, 1987. (3) December 21, 1988. (4) December 20, 1989. (5) December 21, 1990. (6) December 18, 1991. Marchitello, 93- 061 -C2 Page 33 (7) December 16, 1992. (8) All of the budgets were approved by unanimous vote. 18. Edward R. McGuire is Chairman of the North Versailles Township Board of Commissioners, having served as a Commissioner since 1982 and as Chairman since 1994. a. McGuire was a member of the NVTSA from May of 1968 until 1991. (1) In 1968, McGuire received $65.00 per month as a member of the NVTSA. (2) McGuire first became an officer of the NVTSA on or about 1971 when he became Chairman in place of the former Chairman who was removed, Mr. Leslie. (3) McGuire also served as Chairman of the NVTSA in 1978. (a) As Chairman, McGuire's compensation was $125.00 per month. (4) McGuire served as NVTSA Secretary in 1984. b. McGuire became a member of the NVTSA in May, 1968, after the January 29, 1968 meeting where salary increases for the officers had been approved. (1) McGuire was not present at the January 29, 1968 meeting of the NVTSA Board. (2) It is McGuire's opinion that at the January 29, 1968 meeting the $200.00 and $100.00 amounts for the Secretary and Treasurer were in addition to previously existing compensation, but McGuire states that these amounts were never taken by anybody. c. McGuire states that he was present when the persons who were Secretary and Treasurer in 1968 -- Marszalek and Triano -- complained that they were not being paid the $200.0.0 and $100.00 amounts that had been approved. (1) McGuire states that the Chairman at the time, Mr. Leslie, would not give these amounts to Marszalek and Triano because they would be making much more than the Township Commissioners, and because the rates were already going to be raised for the new sewer system. Marchitello, 93- 061 -C2 Page 34 (2) McGuire states that after he became chairman, Marszalek and Triano approached him several times about this money and he would not give it to them either. (3) McGuire did not request the $200.00 for secretary when he became secretary. (a) McGuire stated that he was not concerned with getting paid from the NVTSA because he was a Township Commissioner. (b) McGuire states that in 1982, when he became a Township Commissioner, he returned nearly $12,000.00 to the Township, because he didn't feel he should be paid for both jobs. (4) McGuire states that there was never official action to rescind the approval of these payments to the secretary and treasurer. (5) McGuire states that Caruso's interpretation of the minutes of the January 29, 1968 meeting regarding these amounts (I.D. 4, page 7) is incorrect. d. McGuire testified inconsistently regarding the January, 1968 setting of salaries for officers. (1) McGuire initially proffered his opinion that the January 29, 1968 meeting minutes authorized an additional $200.00 for Secretary and an additional $100.00 for Treasurer over and above compensation set in prior years for these offices (See Finding 18b -c) . (a) Under this theory, in 1984, when McGuire became Secretary, he would have been entitled to $475.00 officer's pay plus $25.00 meeting pay for a total of $500.00 per month. (R -2). (b) Under Caruso's interpretation minutes, McGuire would have been $275.00 officer's pay plus $25.00 for a total of $300.00 per month. of these entitled to meeting pay (I.D. 16) . (2) McGuire subsequently testified that when he took the Secretary's job, the salary was set at $300.00 a month and that was what he got. (a) This amount to which McGuire testified conforms to Caruso's interpretation of the Marchitello, 93- 061 -C2 Page 35 g. January 29, 1968 minutes. e. McGuire began receiving pay for extra meetings in 1969, which pay exceeded $25.00 per meeting. (1) McGuire did not receive pay for extra meetings in 1968, because he started in May. (2) In 1969, McGuire received $65.00 per month plus pay for extra meetings at $65.00 per meeting. (a) This practice never changed except that as there was additional compensation for officers, McGuire started receiving more money. (3) The members were paid the same amount of money for each extra meeting as they were paid on a monthly basis for the other months. (4) There was never any discussion or acknowledgement as to how this practice took place, but it was already being done when McGuire came on the Board. (a) Triano was the Treasurer when McGuire came on the Board. (b) Triano was a CPA. f. McGuire first became aware that there was a problem in terms of the pay he received for meetings when the State Ethics Commission investigation was initiated. (1) McGuire did not check the minutes to see how much he should be getting until after the initiation of the State Ethics Commission investigation. (2) The meeting pay set by the NVTSA Commissioners was $25.00 per meeting. (a) The NVTSA members were receiving pay for extra meetings that exceeded $25.00 per meeting. (b) McGuire acknowledges that he may have received excess compensation even if unintentionally. McGuire did not play any role in establishing the books and records for the NVTSA or in keeping its payroll records, checking account or the like. h. The funds which McGuire received were as a result of Marchitello, 93- 061 -C2 Page 36 someone else giving him a check. i. In 1991, the NVTSA tape recorded its meetings. (1) McGuire was no longer on the NVTSA Board by December, 1991, but he was the Administrative Secretary. III. DISCUSSION: (2) McGuire was not at the meeting on the 1992 budget. (3) McGuire prepared the minutes for the December, 1991 meeting at which the budget was passed. (4) McGuire states that when he had custody of the tapes he kept them in a locked drawer. (5) McGuire states that he could not find the tape for the December, 1991 meeting at which the 1992 budget was passed. (a) McGuire states that this was the only tape that was missing. (6) McGuire states that more tapes are missing now, since he has left the NVTSA. 19. Respondent has raised through counsel, the legal argument of selective prosecution. a. Respondent states that the State Ethics Commission only instituted proceedings against three of the members of the NVTSA. b. From 1978 forward, there were at least seven members of the NVTSA. Initially, it is noted that the allegations in this case relate to both Act 9 of 1989 and Act 170 of 1978. In this regard, Section 9 of Act 9 of 1989, P.L. 26, provides in part as fo This amendatory act shall not apply to violations committed prior to the effective date of this act, and causes of action initiated for such violations shall be governed by the prior law, which is continued in effect for that purpose as if this act were not in force. For the purposes of this section, a violation was committed prior to Marchitello, 93- 061 -C2 Page 37 the effective date of this act if any elements of the violations occurred prior thereto. Under both Act 170 of 1978 and Act 9 of 1989, as a member of the North Versailles Sanitary Authority, Daniel Marchitello, hereinafter Marchitello is a public official /employee as that term is defined under both acts. See also 51 Pa. Code. As such, his conduct is subject to the provisions of both laws and the restrictions therein are applicable to him. Under Section 3(a) of Act 9 of 1989 quoted above, a public official shall not engage in conduct that constitutes a conflict of interest. The term "conflict of interest" is defined under Act 9 of 1989 as follows: 65 P.S. §402. Section 2. 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. "Conflict" or "conflict of interest" 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 or his immediate family or a business with which he or a member of his immediate family is associated. Under Section 3(a), of Act 170 of 1978 quoted above, this Commission has determined that use of office by a public- offici.al to obtain a financial gain for himself or a member of his immediate family or a business with which he is associated which is not provided for in law transgresses the above provision of law. Thus, use of office by a public official to obtain financial gain which is not authorized as part of his compensation is prohibited by Section 3(a): Hoak /McCutcheon v. State Ethics Commission, 77 Pa. Commw. Ct. 529, 466 A.2d 283 (1983); Yacobet v. State Ethics Commission, 109 Pa. Commw. Ct. 432 531 A.2d 536 (1987). Similarly, Section 3(a) of the Ethics Act would prohibit a public Marchitello, 93- 061 -C2 Page 38 official /employee from using public office to advance his own financial interests; Koslow v. State Ethics Commission, 116 Pa. Commw. Ct. 19, 540 A.2d 1374 (1988). The issues before us are whether Marchitello violated Section 3(a) of Act 170 of 1978 and /or Section 3(a) of Act 9 of 1989 by accepting increases for monthly meeting pay without the approval of the appointing authority or by increasing his salary as Board Treasurer without approval of the NVTSA Board. Factually, the North Versailles Township Sanitary Authority (NVTSA) was created by the North Versailles Township Board of Commissioners in 1961. In 1963, the Township Commissioners set the salary for NVTSA members at $25.00 per meeting for a maximum of 15 meetings per year. This authorized "meeting salary" was never increased. The NVTSA Board Members set officer's pay for officers of the NVTSA at various meetings from 1963 forward. The Investigative Division and the Respondent disagree in their interpretations of the minutes, and thus disagree as to the amount of compensation which was authorized for Marchitello as Treasurer during the relevant period. The NVTSA held monthly meetings, except that in December of each year, any "extra meetings" (taking the total number of meetings up to a maximum of fifteen) would be held. For reasons which are not known, at some point prior to Marchitello coming onto the board of the NVTSA, Members were being paid for each of these extra meetings at the amount they received in other months for meeting pay and officer's pay combined. Marchitello has served as a Member of the NVTSA from 1979 to the present. Marchitello has served as Treasurer of the NVTSA from 1982 through 1992 and again in 1994. In 1993, Marchitello was a Member but did not hold any office with the NVTSA. In 1992, while serving as Treasurer, Marchitello began receiving an extra $50.00 per month officer's pay for which there is no recorded authorization. There is testimony that an increase was discussed at a preliminary budget meeting for the 1992 budget. There is also testimony that it was "understood" or "agreed" that this increase would be part of that budget. No minutes were taken at the preliminary budget meeting and no formal action was taken there either. The minutes of the meeting at which the 1992 budget was approved do not in any way reference such an increase. In 1993, when Marchitello was a member but not an officer of the NVTSA, he received compensation in the amount of $100.00 per month plus $300.00 total for the extra meetings in December. At the time, Marchitello believed that this was the appropriate Marchitello, 93- 061 -C2 Page 39 salary. Finally, it is noted that the NVTSA was a "lease back" authority and submitted its one -page proposed budget each year to the North Versailles Township Board of Commissioners for approval before enacting same. The Township Board of Commissioners did not vote or consider the budget as a separate matter. The NVTSA budget was incorporated into the Township's budget. The Commissioners passed on the Township budget but did not pass on the NVTSA budget individually. The budget would be signed by the Chairman of the Township Commissioners and the Township Secretary. One Commissioner testified that for many years he did not know that the NVTSA submitted a budget to the Township and that he never saw an NVTSA budget until he signed one as Chairman. The NVTSA budget contained a line item labelled "salaries and wages" listing a lump sum which included the salaries and wages of members, officers, and employees without any breakdown of the figure. Having highlighted the facts and the issues, we preliminarily address legal issues raised by Respondent through Counsel. First, Respondent argues that he has been selectively prosecuted because investigations were not initiated against every member of the NVTSA who may have received excess compensation. It is clear that this investigation was initiated as the result of the receipt of a sworn complaint against Respondent which the Investigative Division was duty bound to review. The fact that the Investigative Division did not embark upon a "fishing expedition" as to other persons for whom no sworn complaint had been received does not exonerate Respondent and does not mandate the dismissal of these proceedings. There is nothing on the record to indicate selective prosecution, and Respondent's argument is rejected. Next, Respondent claims that the Investigative Division has failed to meet its burden of proof under Act 170 and under Act 9. We disagree. Based upon our analysis of the evidence below, we find that the Investigative Division has met its burden of proof as to each Act. Third, Respondent claims that the receipt of compensation does not constitute a use of office under Act 170 of 1978 or a use of authority of office under Act 9 of 1989. We have held that it does. Domalakes, Opinion 85 -010; Juliante, Order No. 809; Hessinger, Order No. 931; Wasiela, Order No. 932. As for Respondent's claim that the compensation was issued and accepted based upon a prior practice of the NVTSA in existence before Respondent came on the Board, this evidences Respondent's lack of intent to violate the Ethics Law, but intent is not a requisite element for a violation of Section 3(a) of Act 170 or Act 9. Marchitello, 93- 061 -C2 Page 40 Fourth, Respondent claims that NVTSA members' and officers' salaries were approved through the approval of the budget by the North Versailles Township Board of Commissioners and by the NVTSA. We must reject this argument. It is eminently clear that the NVTSA budget was not separately considered or approved by the Township Board of Commissioners but was at best incorporated within the Township's own budget. (See Findings 10, 11). Furthermore, it is incontrovertible that the budget presented to the Township merely had a line item labelled "salaries and wages" listing a lump sum which included the salaries of the NVTSA officers, members, and emvlovees without any breakdown as to what funds were for whom. While this may have been an acceptable practice for adopting a budget, it failed to give the Township Commissioners even a remote idea of the compensation that was being accepted by NVTSA officers /members. We find that the Township Commissioners did not approve compensation to NVTSA members through the mechanism of approving the NVTSA budget. We parenthetically note that although we do not have jurisdiction to make rulings under the Municipality Authorities Act, we doubt that any such practice would conform to its following requirements: B. Members . . . shall receive such salaries as may be determined by the governing body or bodies of the municipality or municipalities, but none of such salaries shall be increased or diminished by such governing body or bodies during the term for which the member receiving the same shall have been appointed. 53 P.S. §309B. As for the NVTSA, it approved salary increases by a separate motion and vote recorded in the minutes. Presumably with regard to Marchitello's alleged raise in 1992, Respondent argues that Pennsylvania law does not require a separate resolution or vote to increase a salary, nor does it require that each section of a budget be separately discussed and voted upon. Even if Respondent is correct in this regard such that a salary increase may be approved in the course of adopting a budget, as discussed below, that did not factually occur in this case based upon the best evidence before us. Turning to the merits of this case, we must determine whether the actions of Marchitello violated Section 3(a) of Act 170 of 1978 and /or Section 3(a) of Act 9 of 1989. By law, an authority member may only receive compensation for an authority meeting as authorized by the appointing authority. 53 P.S. §3098. The authority members set the compensation for authority officers. 53 P.S. §309C. Marchitello, 93- 061 -C2 Page 41 In this case, the Investigative Division attempted to identify particular payments to Marchitello as either "meeting pay" or "officer's pay" based upon the account from which the money was drawn. We do not feel that it is necessary or prudent to do so. First, it is clear from the authority meeting minutes that officer's pay in various amounts was authorized to come from both accounts. Second, conformance to Section 3(a) of the Ethics Law does not hinge upon the particular bookkeeping methods of the governmental body. Third, even if such an approach had any validity, there would be overpayments of meeting pay to be offset against underpayments of officer's pay. Our approach shall simply be to determine whether a private pecuniary benefit consisting of excess compensation was received by Marchitello. Marchitello was entitled to receive meeting pay in the amount of $375.00 per year (Finding 14m). As for officer's pay, we must interpret the minutes of the NVTSA to determine what compensation was authorized for Marchitello's office. Two interpretations have been proffered to us. The Investigative Division's interpretation is based upon Caruso's review of all the minutes where salaries for officers were discussed, and his determination that when a raise was given there was specific mention of a raise (Finding 14b). Respondent's interpretation is outlined on Respondent's Exhibit 2, as supplemented by the testimony of McGuire. The most significant point of contention between Caruso's interpretation and Respondent's interpretation is as to the minutes from the January 29, 1968 meeting which provide, in pertinent part, as follows: It is duly noted that many hours have been given in the past and with Phase II many more hours will be expended in the future. It is for this reason that it is moved by Marchitello, second by Kurkin that the following monthly remuneration be made from Administrative Fund: Chairman - $50.00; Vice - Chairman - $40.00; Secretary - $50.00; Assistant Secretary - $40.00; Treasurer - $50.00; Assistant Treasurer - $40.00; Controller - $40.00; and that monthly payments to Secretary and Treasurer for quarterly reports and office work in the amounts of $200.00 and $100.00 respectively be paid from the Operating retroactive to January 1, 1968. Upon roll call vote, all members voted yea and motion passed. Caruso interpreted this provision as setting total officer's pay, rather than providing for compensation in addition to that which previously existed. Caruso noted that these minutes do not reference an "increase" or "raise." (Finding 14h). Respondent interpreted this provision as authorizing an additional $200.00 and $100.00 to the Secretary and Treasurer Marchitello, 93- 061 -C2 Page 42 respectively over and above previously existing compensation, but claimed that this authorized compensation was never taken by anyone. (Findings 17h, 18b). Under Respondent's theory, the NVTSA still owes him money. Respondent's theory hinges upon the testimony of McGuire. McGuire was not present at the January 29, 1968 meeting and was not a member of the NVTSA board until shortly thereafter. (Finding 18b). However, McGuire stated that he was present when the Secretary and Treasurer at time complained that they were not being paid these amounts. We are asked to accept Respondent's interpretation of the minutes based upon McGuire's recollections of the actions of other individuals who presumably believed they were entitled to additional compensation in accordance with Respondent's interpretation. The actions of these other individuals do not compel us to conclude that Respondent's interpretation of the minutes is correct. Moreover, McGuire subsequently testified that when he became Secretary the salary was $300.00 a month -- which amount would comport with Caruso's interpretation of these particular minutes. (Finding 18d). We do not fault McGuire for this inconsistency: to the contrary, we recognize that neither Caruso, McGuire, nor Marchitello attended the January 29, 1968 meeting or had any first -hand knowledge of what was in the minds of the members of the NVTSA at that time. Respondent fails in his attempt to bolster his interpretation of the minutes by stating that the amounts received by the Secretary and Treasurer in 1981 are consistent with his interpretation of the minutes (Closin State of Responden at 28 -29). The amounts received by Respondent himself conform to the Investigative Division's interpretation of the minutes. Respondent cannot selectively invoke this sort of evidence only when it is to his benefit. We rely upon the "best evidence" which is before us, specifically the official minutes of the January 29, 1968 meeting. On their face, the minutes set "monthly remuneration" for each officer, and provide for "monthly payments" to the Secretary and Treasurer for "quarterly reports and office work," which we interpret to be a complete compensation package in place of any prior compensation. These amounts are not characterized as additional remuneration or additional payments. There is no mention of a "raise." We cannot help but note, as did Caruso, that in certain other minutes where officer's salaries were "raised," the term "raise" was used, so that it is clear that the NVTSA knew how to designate a raise to an existing salary where it so intended. Furthermore, the language "quarterly reports and office work," encompasses all of the types of reports, meeting preparation, balancing of accounts and the like that these officers Marchitello, 93- 061 -C2 Page 43 did. It is clear that, as of January 29, 1968, the total officer's pay for Secretary was $250.00 per month and the total officer's pay for Treasurer was $150.00 per month, such that through subsequent "raises" -- which were specifically denoted as "raises" or "increases" -- for 1975, 1978, and 1984, the total officer's pay authorized for the Secretary as of January 1, 1978 was $275.00 per month and the total officer's pay for Treasurer as of January, 1984 was $200.00 per month (See Finding 14d, h). With regard to the extra $50.00 per month officer's pay received in 1992 by Marchitello, Marchitello asserts that this extra officer's pay was approved by the NVTSA Board Members at the preliminary budget meeting and final budget meeting in 1991. (Respondent's Answer to Investigative Complaint at paragraph 22). Without doubting Respondent's good faith belief that this was so, we find that this extra $50.00 per month received by Marchitello in 1992 was excess compensation which was not authorized. Any discussions which may have taken place at the preliminary budget meeting had no legal effect. Preliminary budget meetings were not even meetings of the NVTSA Board but were only meetings of a finance committee. (Finding 17q). Furthermore, Marchitello acknowledges that no official action was taken at preliminary budget meetings (Finding 17q(1)). Official action was taken at the December 18, 1991 meeting at which the budget for 1992 was adopted, but that official action did not include authorizing a salary increase for Marchitello. Our conclusion is based upon the "best evidence" which consists of the NVTSA minutes. The NVTSA minutes do not include any mention of such an increase let alone any authorization for such an increase. Even NVTSA Engineer Glenn did not recall a specific discussion of these raises at the December 18, 1991 meeting (Finding 15i). The inconsistent recollections of Authority Member Czekaj (Findings 16h -i) and the testimony of Marchitello that every year he explained the raises and what made up the "salary" item in the budget are simply no match for the official minutes of this particular meeting (I.D. 5, pages 13 -14). Furthermore, as discussed above, such a salary increase was not approved by mere passage of the budget, either by the North Versailles Township Board of Commissioners or by the NVTSA. We find that in 1992, the total authorized officer's pay for Treasurer was $200.00 per month. Having so found and given that the amounts actually received by Respondent are not in dispute, it is clear that regardless of which fund the payments came from, the monies received by Marchitello from 1988 through 1993 exceeded the amount of money to which he was entitled. The excess compensation accepted by Marchitello prior to the effective date of Act 9 of 1989 was $240.00. This excess compensation was not authorized and therefore constituted financial gain other than compensation provided by law (Act 170 of 1978). The excess compensation accepted by Marchitello after the effective date of Act 9 of 1989 was in the amount of Marchitello, 93- 061 -C2 Page 44 $2,580.00. (Finding 14 o). This excess compensation was not authorized and therefore constituted a private pecuniary benefit (Act 9 of 1989). A portion of this excess compensation consisted of the excess pay for extra meetings and the unauthorized extra officer's pay discussed above. Another source of excess compensation to Marchitello consisted of overpayments to Marchitello in 1993. In 1993, when Marchitello was not an officer, he received $100.00 per month plus $300.00 for the extra meetings in December, which at the time he believed was the appropriate salary. The compensation to which Marchitello was actually entitled in 1993 was $25.00 per meeting for a maximum of $375.00 (Finding 14 o(6)). Based upon our application of Act 170 of 1978 and Act 9 of 1989 to the facts in this case, we find that Marchitello violated Section 3(a) of Act 170 of 1978 and Section 3(a) of Act 9 of 1989 when he accepted excess compensation which was not authorized as "meeting pay" by the appointing authority or as officer's pay by the NVTSA. Additionally, Marchitello violated Section 3(a) of Act 9 of 1989 (but not Act 170 of 1978) when he increased his salary as Board Treasurer in 1992 without approval of the Board. The acceptance by a public official /public employee of compensation to which he is not entitled is a use of office under Act 170 of 1978 and a use of authority of office under Act 9 of 1989. See, Domalakes, Opinion 85 -010; Juliante, Order No. 809; Hessinger, Order No. 931; Wasiela, Order No. 932. Marchitello further used the authority of his public office in his capacity as Treasurer of the NVTSA by preparing and signing the checks by which he received the excess compensation. The excess compensation itself is the prohibited financial gain (Act 170 of 1978) or private pecuniary benefit (Act 9 of 1989) . Obviously, Marchitello did not intend to violate the Ethics Law. Most of the excess compensation which he received resulted from an erroneous practice which started before he even came on the Board. Likewise, the excess officer's pay Marchitello received in 1992 appears to have been the result of the mistaken belief that it had been properly authorized. Although intent is not a requisite • element for a violation of Section 3(a) of either Act, the violations in this case were clearly unintentional. We will now consider the issue of restitution. For cases or issues that are controlled by Act 170 of 1978, there is currently a question as to whether the Commission has the power to impose restitution. Commonwealth Court in Rebottini et al v. SEC, _ Pa. Commw. Ct. , 634 A.2d 743 (1993), held that this Commission has no statutory power to impose restitution under Act 170 of 1978. A petition for allocatur from that decision is currently pending in Marchitello, 93- 061 -C2 Page 45 the Pennsylvania Supreme Court. Of course, under Act 9 of 1989, the statutory authorization for restitution is clear and explicit. 65 P.S. 5407(13). Given the current uncertainty as to the status of restitution power under Act 170 of 1978 and considering the totality of the facts and circumstances of this case, we will exercise our discretion and not impose restitution as to the violation which occurred under Act 170 of 1978 but will impose restitution for those violations that are governed by Act 9 of 1989. Marchitello is ordered to make timely restitution through this Commission payable to the order of the North Versailles Township Sanitary Authority in the amount of $2,580.00. Failure to make restitution will result in the institution of an order enforcement action. Finally, it is parenthetically noted that our decision in Czekai, Order 930, is not controlling in this case for the reason that it was a consent decree and for other reasons noted therein. IV. CONCLUSIONS OF LAW: 1. Daniel Marchitello, as a Member of the North Versailles Township Sanitary Authority ( "NVTSA ") was and is a public official subject to the provisions of Act 170 of 1978 and Act 9 of 1989. 2. Marchitello violated Section 3(a) of Act 170 of 1978 when he accepted excess compensation which was not authorized by the appointing authority or by the NVTSA Board. 3. Marchitello violated Section 3(a) of Act 9 of 1989 when he accepted excess compensation which was not authorized by the appointing authority or by the NVTSA Board. 4. Marchitello violated Section 3(a) of Act 9 of 1989, but not Section 3(a) of Act 170 of 1978, when he increased his salary as NVTSA Treasurer in 1992 without approval of the NVTSA Board. 5. The "financial gain other than compensation provided by law" received by Marchitello as a result of his violation of Section 3(a) of Act 170 of 1978 was in the amount of $240.00. 6. The private pecuniary benefit to Marchitello from his violation of Section 3(a) of Act 9 of 1989 was in the amount of $2,580.00. In re: Daniel Marchitello File Docket: 93-061-C2 Date Decided: _12112194 Date Mailed: 09/21/94 ORDER NO. 944 1. Daniel Marchitello, as a Member of the North Versailles Township Sanitary Authority ( "NVTSA ") violated Section 3(a) of Act 170 of 1978 when he accepted excess compensation which was not authorized by the appointing authority or by the NVTSA Board. 2. Marchitello violated Section 3(a) of Act 9 of 1989 when he accepted excess compensation which was not authorized by the appointing authority or by the NVTSA Board. 3. Marchitello violated Section 3(a) of Act 9 of 1989, but not Section 3(a) of Act 170 of 1978, when he increased his salary as NVTSA Treasurer in 1992 without approval of the NVTSA Board. 4. The "financial gain other than compensation provided by law" received by Marchitello as a result of his violation of Section 3(a) of Act 170 of 1978 was in the amount of $240.00. 5. The private pecuniary benefit to Marchitello from his violation of Section 3(a) of Act 9 of 1989 was in the amount of $2,580.00. 6. Marchitello is directed within thirty (30) days of the date of issuance of this order to submit restitution in the amount of $2,580.00 to this Commission payable to the order of North Versailles Township Sanitary Authority. 7. Failure to comply with Paragraph 6 will result in the institution of an order enforcement proceeding. By THE COMMISSION, JAMES M. HOWL