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HomeMy WebLinkAbout868 PacentaSTATE ETHICS COMMISSION 308 FINANCE BUILDING HARRISBURG PENNSYLVANIA 17120 In re: Anthony Pacenta : File Docket: 90 -024 -C : Date Decided: December 10, 1992 : Date Mailed: December 15, 1992 Before: James M. Howley, Chair Daneen E. Reese, Vice Chair Dennis C. Harrington Roy W. Wilt Austin M. Lee Allan M. Kluger The State Ethics Commission received a complaint regarding a possible violation of the State Ethics Act, No. 170 of 1978, P.L. 883. 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 waived. A Consent Order was submitted by the parties to the Commission for consideration which was subsequently approved. 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, however, 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 S2.38. The files in this case will remain confidential in accordance with Section 8(a) of Act 170 of 1978 during the fifteen day period and no one unless the right to challenge this Order is waived, may violate confidentiality by releasing, discussing or circulating this Order. However, confidentiality does not preclude discussing this case with an attorney at law. Any person who violates confidentiality of the Ethics Act 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). Pacenta, 90 -024 -C Page 2 I. ALLEGATION: That Anthony Pacenta, former Mayor of the City of Pottsville, Schuylkill County, violated the following provisions of the State Ethics Act (Act 170 of 1978), when he failed to file Statements of Financial Interests for the 1985, 1986 and 1987 calendar years: Section 4. Statement of Financial Interests required to be filed. (a) Each public employee employed by the Commonwealth shall file a Statement of Financial Interests for the preceding calendar year with the department, agency or bureau in which he is employed no later than May 1 of each year that he holds such a position and of the year after he leaves such a position. Any other public employee shall file a Statement of Financial Interests with the governing authority of the political subdivision by which he is employed no later than May 1 of each year that he holds such a position and of the year after he leaves such a position. 65 P.S. §404(a). II. FINDINGS: 1. Anthony Pacenta served as Mayor of the City of Pottsville from February, 1983 through December, 1989. a. Pacenta also served as a member of Pottsville City Council from January, 1981 until February, 1983. 2. While serving as a member of Council and Mayor, Pacenta filed Statements of Financial Interests as follows: a. February 24, 1981 - as a candidate for. Council. b. March 10, 1985 - as a member of Council and candidate for the office of Mayor. c. February 17, 1989 - as Mayor and candidate for the office of Mayor. 3. Records of the City of Pottsville confirm additional Statements of Financial Interests filed by Pacenta after leaving public office. a. April 20, 1990 - for the 1987 calendar year. b. April 20, 1990 - for the 1988 calendar year. Pacenta Page 3 4. The 20, 6. a . b. c . d. 5. On July 31, 198 Pacenta and Valerie Land, Pacenta's wife, received a $12,000 loan-from Edward Keese and Mary Keese. a . b. c . The a. . b. 90 -024 -C Statement of Financial Interests filed by Pacenta on April 1990 for the 1987 calendar year disclosed the following: 11.0 % 9.5 % Home Savings & Loan Merchants Bank, N.A. Schuylkill Haven Trust Co. Prime + 1 % Sources of Income: Self (DDS) - Office or Directorship or Employment in Any Business: None Financial Interest in. Any Legal Entity in Business for Profit: None Creditors: Edward Reese is an individual who had contracts with the city of Pottsville for the rental of police vehicles. The term of note was one (1) year at a rate of 13.6 % per annum. Installment payments were to begin on. September 1, 1986. 1) - Payments of $500 were due on September 1, 1986 and October 1, 1986. , 2) Beginning November 1, 1986, monthly payments were due in the amount of $1,190.22 until the balance was paid in full. loan was not repaid until 1987. A balance in excess of $5,000 was owed as of January 1, 1987. This loan balance was not reported by Pacenta on the Statement of Financial Interests filed on April 20, 1990 for. the 1987 calendar year. 7. There are no Statements of Financial Interests on file with the City of Pottsville for Anthony Pacenta for the 1985 and 1986 calendar years, the years he was serving as Mayor of the City of Pottsville. a. Pacenta has now filed amended Statements of Financial Interests for the calendar years 1986 and 1987 which lists the Keese loan. Pacenta, 90 -024 -C Page 4 8. There is no Statement of Financial Interests on file with the City of Pottsville for Anthony Pacenta for the 1989 calendar year which was due to be filed by May 1, 1990, the year after he left office. 9. On November 30, 1992, Pacenta filed 1988 and 1989 calendar year Statements of Financial Interests with this Commission. III. DISCUSSION: As the former Mayor of the City of Pottsville, Schuylkill County, Anthony Pacenta, hereinafter Pacenta, was a public official as that term is defined in the Ethics Act, 65 P.S. S402; 51 Pa. Code S1.1. As such, his conduct is subject to the provisions of the Ethics Act and the restrictions therein are applicable to him. Initially, it is noted that Section 9 of Act 9 of June 26, 1989, P.L. 26, provides, in part, as follows: "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 the effective date of this act if any elements of the violation occurred prior thereto." Since the occurrences in this case transpired prior to the effective date of Act 9 (June 26, 1989), we must apply the provisions of Act 170 of 1978, P.L. 883, to determine whether the Ethics Act was violated. Section 4(a) of the Ethics Act quoted above requires that each public employee and each public official (Kremer v. State Ethics Commission, 56 Pa. Commw. 160, 424 A.2d 968 (1981)) must file a Statement of Financial Interests for the preceding calendar year and each year that he holds such position and for the year after he leaves such position. The issue before us in this case is whether Pacenta as a Mayor of the City of Pottsville violated Section 4(a) of Act 170 of 1978 regarding his failure to file Statements of Financial Interests (FIS's) for the calendar years 1985 through 1987. Factually, Pacenta served as Pottsville Mayor from February, 1983 through December, 1989, and Council Member on Pottsville City Council from January, 1981 through February, 1983. Although Pacenta filed FIS's in the years 1981, 1985 and 1989 as a candidate Pacenta, 90 -024 -C Page 5 for office, he did not file FIS's and 1989. Pacenta did file FIS' years which 'are dated April 20 Pacenta filed FIS's for the 1985 for the calendar years 1985, 1986 s for the 1987 and 1988 calendar , 1990. On November 30, 1992, and 1989 calendar years. On July 31, 1986, Pacenta and his wife received a $12,000 loan from Edward and Mary Keese. The term of the loan was for a period of one year at the rate of 13.6% interest. Payments began on the loan on September 1, 1986 and continued until the loan was repaid in 1987. In the 1987 calendar year FIS filed by Pacenta, the loan was not listed on the category of creditors. However, Pacenta has now filed amended FIS's for the calendar years 1986 and 1987 listing the Reese loan. Pacenta has now filed FIS's for the calendar years 1985 and 1989. In applying the provisions of Section 4(a) of Act 170 of 1978 quoted above, we find a violation of Section 4(a) in that Pacenta did not file or timely file FIS's for the calendar years 1985, 1986 and 1987 based upon the findings above. In light of the fact that there is no evidence of record to indicate that the failure to file or the failure to list the loan was done intentionally or for the purpose of concealing financial interests, we will take no further action. IV. CONCLUSIONS OF LAW: 1. Anthony Pacenta as the Mayor of the City of Pottsville was a public official subject to the provisions of Act 170 of 1978. 2. Pacenta violated Section 4(a) of Act 170 of 1978 by failing to timely file Statements of Financial Interests for the calendar years 1985, 1986 and 1987. In re: Anthony Pacenta ORDER NO. 868 File Docket: 90 -024 -C Date Decided: December 10, 1992 Date Mailed: December 15, 1992 1. Anthony Pacenta as the Mayor of the City of Pottsville violated Section 4(a) of Act 170 of 1978 by failing to file or timely file Statements of Financial Interests for the calendar years 1985, 1986 and 1987. BY THE COMMISSION, JAMES M. HOWLEYR