HomeMy WebLinkAbout778 MarsicoIn re: Charles Marsico
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
: File Docket:
Date Decided:
: Date Mailed:
Before: Robert W. Brown, Vice
G. Sieber Pancoast
Dennis C. Harrington
James M. Howley
88 -066 -C
December 6, 1990
January 3. 1991
Chair
The State Ethics Commission received a complaint regarding a
possible violation of the State Ethics Act, No. 170 of 1978, 65 P.S.
401 et. seq. 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. 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, 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 52.38.
The files in this case will remain confidential in accordance
with Section 8(a) of the Ethics Act, 65 P.S. 408(a) 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).
ADJUDICATION
I. Allegation: That you, Chairman of the Beaver Falls Municipal
Authority, violated the following provisions of the Ethics Act, (Act
170 of 1978), when your company, Beaver Valley Travel Service, sold
airline tickets to the Authority:
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).
Section 3. Restricted activities.
(c) No public official or public employee or
a member of his immediate family or any business
in which the person or a member of the person's
immediate family is a director, officer, owner or
holder of stock exceeding 5% of the equity at fair
market value of the business ; shall enter into an
contract valued at $500 or more with a `
governmental body unless the contract has been
awarded through an open and public process,
including prior public =notice and subsequent := • :z
public disclosure of all proposals considered and
contracts awarded. Any contract made in
violation of this subsection shall be voidable by
a court of competent jurisdiction if the suit is
commenced within 90 days of making of the
contract. 65 P.S. 5403(c).
II. Findings:
1. You serve as a member of the Beaver Falls Municipal
Authority, Beaver Falls Pennsylvania.
a. You have served in this position since 1968, except for
the year 1985.
2. You are part owner and president of Beaver Valley Travel
Services, Inc.
a. You have been affiliated with this entity since 1949. ____.
b. You oversee the operation of this business.
c. You are compensated on a weekly basis.
Mr. Charles Marsico
Page 2
3. Beaver Valley Travel Services, Inc., is an all inclusive
travel agency handling various forms of travel and
accommodations including airline, steamships, trains,
hotels, car rental and sightseeing.
4. You are also a partner in the following companies:
a. Marsico Amusement Company which consist of video
vending machines.
b. Marsico Land Company which consists of real estate
holdings.
5. You have served as a director for First Federal Savings &
Loan since 1974.
a. In 1984 First Federal merged with Concord Liberty and
you remained on the Board until 1988.
b. You were compensated at $500.00 per month as a
director, and earned $300.00 extra per month in 1986 -
1988 for serving as secretary.
6. Minutes of the Beaver Falls Municipal Authority Board of
Directors reflect the following in relation to travel
expenses for board members:
a. April 16, 1980:
A motion by Lutton to increase the travel allowance of
board members 5 cents per mile (to 25 cents) was seconded by
Wogan and passed by vote of Sidney, Lutton, Alderette and
Wogan.
b. August 22, 1980:
The PMAA Convention was discussed. A motion was made by
Wogan to allocate $10.00 per day ($40.00) to board members
and officers attending the Convention to offset parking
expenses. Alderette seconded and the motion passed Marsico,
Lutton, Alderette, Taylor, Wogan.
7. The Authority acted on motions to place restrictions on
board members' expenses when attending conferences:
a. December 16, 1981:
Mr. Alderette stated that he would like to put forth a
motion to restructure the payment of expenses for
conferences, meetings, and seminars, etc., attended by
Mr. Charles Marsico
Page 3
Board Members, authorized by the Board and employees
authorized by the Board. Mr. Alderette moved as follows:
The group shall attend such functions as a delegation. The
changes and expenses shall be as follows:
From a flat per day payment and mileage allowance to actual
hotel expenses with reservations to be made by the Authority
Manager for all participants at the same hotel. This hotel
expense will be billed to and paid by the Authority.
The manager shall obtain a credit card in the Authority name
and shall arrange to pay for all meals of the delegations
attending such conference with such card. Transportation
will be arranged by the manager as follows:
Where air travel to the site is possible, the lowest coach
airfare shall be obtained. In lieu of the participants not
utilizing air transportation, reimbursement for actual
monies spent shall be made after presentation of paid
receipts. This reimbursement must be acted upon favorably
at the next regular meeting of the Board following the trip.
However, no more than the lowest coach air fare shall be
paid in_ any _ case. Local transportation and expenses will be
reimbursed by the Authority after presentation of paid
receipts in the above prescribed manner. Changes put
further in this motion will result in a cost savings to the
Authority. This motion was seconded by Mr. Lutton and a
roll call vote was called for with the following results:
Lutton -
Marsico
employee
4 to 1.
yes, Taylor - yes, Alderette - yes, Wogan - No,
- Yes. Where upon the new policy for Board and
expenses for conferences was approved by a vote of
b. February 4, 1982:
Mr. Verlihay reported to the Board that pursuant to the
motion made by Mr. Alderette at the December meeting of the
Board, Mellon Bank required a resolution by the Board of
Directors to accompany an application for mastercard /or
visa. Mr. Verlihay then read the resolution which is
attached hereto and made a part hereof of Exhibit B to the
Board. Mr. Alderette moved and the Board adopted said
resolution. Mr. Lutton seconded this motion and a roll call
vote was called for with the following results:
Lutton - yes, Taylor - yes, Alderette - yes, Wogan - No,
Marsico - Yes. Whereupon the motion was adopted by a vote
of 4 to 1.
Mr. Charles Marsico
Page 4
Mr. Lutton then moved that the Manager be the Beaver Falls
Municipal Authority pursuant to the resolution make
application with Melon Bank for a Mastercard and Visa card
and that the manager be the authorized signature on the
card. This motion was seconded by Alderette and a role call-
vote was called for with the following results:
Lutton - yes, Taylor - yes, Alderette - yes, Wogan - No,
Marsico - Yes. Whereupon the motion was approved by a vote
of 4 to 1.
Mr. Alderette was recognized and moved that the December
motion that he made with regard to reimbursements for travel
expenses be amended so that rather than an individual being
reimbursed for actual automobile expenses incurred that an
individual using his own motor vehicle be reimbursed travel
expenses at the stated authorized mileage reimbursement rate
plus expenses incurred for tolls and parking, and in no
case shall the reimbursement exceed the lowest comparable
coach air fare for transportation to the site, is available.
Mr. Lutton seconded this motion and a role call vote was
called for with the following results:
Lutton - yes, Taylor - yes, Alderette - yes, Wogan - No,
Marsico - yes. Whereupon the motion was approved by a vote
of 4 to 1.
c. April 1, 1982:
Mr. Alderette moved that he would like to amend the
previous Authority policy for reimbursement of travel
expenses and the motion being that those individuals
traveling on official business for the Authority have their
choice of transportation and that the manager audit any
expenses of the board with reference to travel.
This motion was seconded by Mr. Lutton and unanimously
approved.
d. April 21, 1983:
Mr. Lutton was then recognized in regards to the proposed
amendment to the Authority's travel reimbursement policy.
The motion being to amend the travel portion of the
Authority's expense policy and to pay those attending
conventions and conferences on behalf of the Authority and
in furtherance of the Authority's business, the Internal
Revenue Service rate of 20 cents per mile. This motion was
seconded by Mr. Wogan and unanimously passed.
Mr. Charles Marsico
Page 5
e. January 10, 1985:
A visitor was then recognized and asked whether or not it
was appropriate for the Authority to purchase airline travel.
tickets from Mr. Marsico. Mr. Andrews indicated to the
visitor that at one of the Pennsylvania Municipal Authority
Association Conventions attended by the Board members and
the manager, that PMAA Solicitor, Mr. Bill Marcus, had
reported that it would not be proper for the Authority
itself to make any direct contracts with a Board member and
that any such services between a Board member and the
Authority would be gratuitously rendered. Mr. Andrews also
pointed out that the Authority had not contracted with Mr.
Marsico or his company for the purchase of airline travel
tickets for Authority travel but that each individual member
of the Board traveling was paid their travel allowance
directly by the Authority and that it was the
responsibility of the individual to make his own travel
arrangements, and that, therefore, there was no violation of
any_ - EthicsUAct or Conflict of _:Interest with regard to the
manner in which travel arrangements are made by the
Authority.
8. Records of the Beaver Falls Municipal Authority indicate
that the Authority maintains a Mastercard /Visa account with
Mellon Bank.
a. Reference #116 744 380 0, Charged
8940, Wilmington, Delaware 19886.
Services, P.O. Box
Services, P. 0. Box
b. Reference #110 744 380 0, Charged
371322M, Pittsburgh, PA 15250.
9. Records of the Beaver Falls Municipal Authority reflect the
following checks issued to the Beaver Valley Travel
Services, Inc. by the Authority for airline tickets:
a. June 5, 1981, Check Number 14198, $138.00, Beaver
Valley Travel Service Invoice Number 04610, purpose -
round trip Pittsburgh - Harrisburg, C.M. Andrews, May
12 and 13, 1981.
b. July 9, 1981, Check Number 14389, 208.00, Invoice
Number 04949, round trip Pittsburgh - Louisville,
Andrews, May 27 & 28, 1981.
c. March 8, 1982, Check Number 15509, $296.00, Invoice
Number 09711, two round trip - Pittsburgh to
Washington, February 21 and 23, 1982.
Mr. Charles Marsico
Page 6
d. July 6, 1982, Check Number 16265, $266.00, Invoice
Number 11949, round trip Pittsburgh - Louisville,
Andrews, June 9 & 10, 1982.
e. November 5, 1982, Check Number 17324, $106.00, Invoice
Number 13458, round trip - Pittsburgh - Parkersburg,
Andrews, October 6 & 7, 1982.
f. October 5, 1984, Check Number 28250, $624.00, Invoice
Number 106535, one trip - Pittsburgh to Washington - 3
trips Washington to Pittsburgh, Andrews - Verlihay -
Wiley, September 19, 1984. *Agent listed as C.
Marsico.
November 7, 1984, Check Number 28506, $424.00, Invoice
Number 107149, two round trip Pittsburgh - Harrisburg,
Andrews &Richter (4X Project), October 22, 1984.
*Agent listed as C. Marsico.
h. June 17, 1986, Check Number 1465, $185.00, Invoice
Number unknown, round trip to Harrisburg, Tom.
i. November 7, 1986, Check Number 2487, $158.00, Invoice
Number 120273, round trip to Harrisburg, Andrews,
October 29, 1986.
May 15, 1987, Check Number 3633, $814.43, Invoice
Number 123838, round trip Pittsburgh - Boston, Andrews
and Marsico (April 25 & 26, 1987) Invoice Number
123839, round trip Pittsburgh - Boston, Alderette,
Massa, Verlihay. *Agent listed as C. Marsico. Check
Number 3633, $180.57, Invoice Number 502551, Refund -
round trip Pittsburgh - Boston, Verlihay.
k. October 9, 1987 check number 4737, $264.00, Invoice
number 127144 round trip Pittsburgh - Cincinnati, Tom
Humphrey, September 23 & 24, 1987.
1. December 4, 1987 check #5143 $204.00 Invoice Number
unknown, round trip Pittsburgh - Cincinnati, Pat
Signore, November 23, 1987.
m. October 14, 1988 $1,197.00 Invoice Number 134705,
round trip Pittsburgh - Orlando, Sherin, September 29
to October 2, 1988, also round trip Pittsburgh to
Orlando, both same dates, also round trip Pittsburgh to
Seattle, Signore, October 13 to 18, 1988, also round
trip Seattle to Oregon, Signore October 14, 1988.
g.
7
Mr. Charles Marsico
Page 7
10. Beaver Falls Municipal Authority made payments to Beaver
Valley Travel Service as follows. Beaver Valley Travel
Service realized commissions as a result of these payments:
11.
Year
1981
1982
1984
1986
1987
1988
1989
Marsico was
dates:
Amount Paid
$ 346.00
668.00
1,622.00
343.00
1,655.86
1,415.00
708.00
listed as agent
10/5/84 - $624.00
11/7/84 - 424.00
5117187 663.86
For the Year: 1983
Commission
$ 31.83
61.45
149.22
31.56
152.34
138.18
65.13
for sales on the following
The minutes of the Beaver Falls Municipal Authority reflect
that there were no votes taken by the Board to purchase air
tickets trom Beaver Valley Travel services, Inc. The
minutes also reflect no discussions in this regard.
12. Records of the Beaver Falls Municipal Office indicate the
following Statements of Financial Interest for you, on file
with City Clerk /Coordinator Perry C. Wayne, Jr.
a. Filing Date: March 26, 1984
Source of Income: Beaver Valley Travel Service,_
Inc.; Marsico Amusement Company; Marsico Land Company
Office or Directorship: Concord Liberty Savings &
Loan
Direct or Financial Interests in Any Business For
Profit: Beaver Valley Travel Service, Inc. - 50
Percent of Stock; Marsico Land Company - 50 Percent of
Partnership;'`` Marsico ` Company - 50 Percent of
Partnership
Real Estate Interests: Marsico Land Company
All Other Financial Interest Categories: None
Mr. Charles Marsico
Page 8
b. Filing Date: April 21, 1986
For the Year: 1985
Source of Income: Beaver Valley Travel Service, Inc.;
Marsico Amusement Company; Marsico Land Company
Office or Directorship: Beaver Valley Travel Service,
Inc. - President; Concord Liberty Savings & Loan -
Director
Real Estate Interests: Marsico Land Company,
Partnership - 50 Percent
All Other Financial Interest Categories: None
c. Filing Date: March 26, 1987
For the Year: 1986
Source of Income: Beaver Valley Travel Service,
Inc; Marsico Amusement Company; Marsico Land Company
Office or Directorship: Concord Savings & Loan
Association - director
All Other Financial Interest Categories: None
d. Filing Date: April 22, 1988
For the Year: 1987
Source of Income: Beaver Valley Travel Service, Inc.;
Marsico Amusement Company; Marsico Land Company
Office or Directorship: Beaver Valley Travel Service,
Inc. - President; Concord Liberty Savings & Loan -
Director
Financial Interest in Business For Profit: Beaver
Valley Travel Service, Inc; Marsico Land Company;
Marsico Amusement Company
Real Estate Interests: Marsico Land Company
All Other Financial Interest Categories: None
e. Filing Date: May 1, 1989
For the Year: 1988
Mr. Charles Marsico
Page 9
Source of Income: Beaver Valley Travel Service, Inc;
Marsico Amusement Company; Marsico Land Company
Office or Directorship: Beaver Valley Travel Service,
Inc., President - Director; Concord Liberty Savings &
Loan
Direct or Financial Interest in Business or Profit:
Beaver Valley Travel Service, Inc; Marsico Land
Company; Marsico Amusement Company
Real Estate Interests: Marsico Land Company - Partner
All Other Financial Interest Categories: None
13. Pat Signore has served as The Beaver Falls Municipal
Authority Business Manager since 1987.
a. He generally purchases airline tickets through Beaver
Valley Travel Service Inc., but such purchases are
billed to the authority charge account.
b. He was never told to purchase airline tickets from
Beaver Valley Travel Service, Inc.
14. Prior Authority policy was to allocate an allowance to board
members attending Conventions, meetings or conferences who
would then make their own travel arrangements.
15. The Beaver Falls Municipal Authority members do not
generally vote on the payment of individual daily operating
expenses of the Authority.
16. Charles Andrews the Municipal Authority Manager also made
travel arrangements for board members and employees.
17. Charles Marsico did not receive commissions on the sales of
airline tickets by Beaver Valley Travel Service to the
Beaver Falls Municipal Authority.
a. Marsico is a salaried employee of the company and
receives a weekly salary.
III. Discussion: As the Chairman of the Beaver Falls Municipal
Authority, Charles Marsico, hereinafter Marsico, is a public official
as that term is defined under the Ethics Act and the regulations of
this Commission. 65 P.S. S402; 51 Pa. Code 51.1. As such, he is
subject to the provisions of the Ethics Act and the restrictions
therein _are _ applicable to him.
Mr. Charles Marsico
Page 10
Initially, it is noted that Section 5 of Act 9 of June 26, 1989
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 October 4, 1978, P.L. 883 to determine whether the
Ethics Act was violated.
Under Section 3(a), quoted above, this Commission has determined
that use of office by a public official 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 a 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 official /employee from using public office to advance his own
interests; Koslow v. State Ethics Commission, 116 Pa. Commw. Ct. 19,
540 A.2d 1374 (1988). Likewise, a public official /employee may not
use the status or position of public office for his own personal
advantage; Huff, Opinion 84 -015.
Additionally, under Section 3(c) of the Ethics Act quoted above,
this provision of law provides, in part, that no public official shall
enter into a contract valued at $500 or more with his governmental
body unless the contract was awarded through an open and public
process.
In the instant matter, Marsico has, except for the 1985 year,
served as a member of the Beaver Falls Municipal Authority
(Authority), since 1968. Marsico as part owner and president of
Beaver Valley Travel Services, Inc. during this period and is
compensated on a weekly basis. The travel agency handles all forms of
travel and accommodations including airlines, steam ships, trains,
hotels, car rental and site seeing.
Mr. Charles Marsico
Page 11
In 1980 the Authority Board reviewed their practices relative to
travel expenses. Thereafter, in a December 16, 1981, Authority Board
meeting, restrictions were imposed upon expenses incurred by members
attending conferences. In addition to modifying the practices as to
attendance and changing from a flat per diem payment and mileage to
actual expenses, the Authority manager was directed to obtain a credit
card and arrange to pay for all meals and transportation within
certain parameters. In particular, transportation was to be at the
lowest coach airfare unless another means of motor transportation
would be utilized wherein reimbursement would be made for actual money
spent after presentation of receipts followed by favorable action by
the Board. A motion was made to finalize the above proposed action
and Marsico voted with the majority. In a February 4, 1982,
Authority Board meeting, one of the matters considered related to
reimbursement for travel expenses in situations where Authority Board
members utilized their own automobiles for travel. It was proposed
that instead of an Authority Board member being reimbursed for actual
automobile expenses, reimbursement should be made at an authorized
mileage reimbursement rate plus expenses for tolls and parking which
would not exceed a comparable coach airfare for transportation. A
motion was made in favor of the proposal and Marsico voted with the
majority to adopt the "proposal. The travel policy for - Authority Hd
members was modified thereafter in an April 1, 1982, meeting whereby
an individual traveling on official business could have choice of
transportation subject-to an audit of his expenses by the tanaq =�
This motion was passed unanimously. In an April 21, 1983 meeting a
motion was made and passed unanimously which would authorize Authority
Board members to receive the IRS rate of twenty cents per mile payment
for attending conventions and conferences on behalf of and in
furtherance of Authority business.
In a January 10, 1985, Authority meeting, a person inquired as to
propriety of the Authority purchasing airline tickets from Marsico.
The solicitor at that time responded that Marsico or his company had
not contracted with the Authority and that each individual Authority
Board member was paid his travel allowance directly by the Authority.
The records of the Authority reflect checks issued to the Beaver
Valley Travel Services, Inc. by the Authority for airline tickets. Of
the thirteen instances outlined in Fact Finding 9 relating to payments
to the Beaver Valley Travel Services, Inc., it is noted in ten of
those transactions the invoice amount is under the $500 threshold
limit of Section 3(c) of the Ethics Act quoted above. As to the
remaining three transactions, a payment of $624 was made on October 5,
1984, for an invoice covering one trip between Pittsburgh and
Washington and three other trips between Washington and Pittsburgh for
individuals by the name of Andrews, Verlihay, Wiley with Marsico
listed as the agent. Since that invoice covered four trips, an
individual break down on a trip basis would lower that amount below
the $500 contracting requirement. Another payment occurred on Nay 15,
Mr. Charles Marsico
Page 12
1987, in the amount $814.43 for two invoices covering a round trip
from Pittsburgh to Boston for Andrews and Marsico and a round trip
from Pittsburgh to Boston for all Alderette, Massa, Verlihay. By
making a break down on either an invoice basis or on an individual
trip basis, each particular purchase or invoice would be under the
$500 amount. Lastly, a check in the amount of $1,197.00 was issued on
October 14, 1988, for round trips between Pittsburgh and Orlando
between September 29, and October 2, 1988; a second round trip
between Pittsburgh and Orlando on the foregoing dates; a round trip
between Pittsburgh and Seattle between October 13, and October 18,
1988 and also a round trip between Seattle and Oregon on October 14,
1988.
Although the purchase of the above tickets through the Beaver
Valley Travel Service, Inc. generated commissions to that agency,
Marsico did not receive those commissions even for those transactions
where he was listed as agent since he received only a weekly salary.
The minutes of the Authority reflect that there were no votes
taken by Board members regarding the air tickets from Beaver Valley
Travel Services, Inc., nor were there any discussions in that regard.
In addition, the Authority Board members do not vote on the payment of
individual operating expenses of the Authority and it is the
responsibility of the Authority manager to make travel arrangements
for Board members and employees.
In applying the provisions of Sections 3(a) and 3(c) of the Ethics
Act to the instant matter, we do not believe that the activities of
Marsico in this situation transgress the provisions of Section 3(a)
quoted above. One of the requirements for finding a violation of
Section 3(a) of the Ethics Act necessitates a use of office on the
part of the public official to obtain a financial gain for himself, a
member of his immediate family or business with which he is
associated. It is true that Beaver Valley Travel Services, Inc. is a
business with which Marsico is associated and indeed that travel
agency did obtain a financial gain to the extent of the commissions it
received as to the airline tickets purchased for Authority members.
Likewise, such financial gain is not authorized in law because there
is no authorization in the Municipality Authorities Act which would
allow contracting by a business with which a board member is
associated. However, in this instance we do not find the requisite
use of office. In particular, we note that it was the responsibility
of the general manager of the Authority and not the Authority Board
members to make the travel arrangements. Further, we note that the
minutes of the Authority reflect that the Authority Board members did
not take votes or have any discussions regarding the purchase of air
tickets from the Beaver Valley Travel Services, Inc. In light of the
fact that there is no evidence to indicate a use of office, we find
that Marsico did not violate Section 3(a) of the Ethics Act.
Mr. Charles Marsico
Page 13
Our decision in this matter is distinguishable from Cappabianca,
Opinion 89- 014 -R, wherein we determined that there would be a use of
authority of office by a state representative in choosing his building
for a legislator office or choosing his travel agency for the purchase
of airline tickets which generated income to himself or his travel
agency. In the instant matter the evidence is devoid of any facts to
establish that Marsico engaged in any direct or indirect action as to"
the Authority manager selecting Beaver Valley Travel Service for
travel arrangements. Without such action by Marsico, we have no
factual basis for reaching a conclusion that there was a use of
office.
Turning to the matter of the 3(c) allegation, we find no violation
because the contracts in question were less than five hundred dollars
individually and there is no evidence to indicate that there was any
contract fragmentation under these facts. Commonwealth v. Rankin, 158
Pa. Supra, 12 (1945).
Although there is no allegation in this case regarding compliance
by Marsico as to the filing requirements for the Financial Interests
Statements, a review of those statements indicates that for the 1983
calendar year, Marsico did not list the Beaver Valley Travel Service,
Inc. under the category of Office or Directorship. In this regard we
note that Marsico is owner and president of that business. Marsico
also failed to list his ownership in the travel agency in the
category of Financial Interests and Business for Profit.
For the 1984 calendar year, Marsico failed to file a Financial
Interests Statement which is required by Section 4 of the Act for each
year that the public official or employee holds office as well as for
the year after he leaves such position. 65 P.S. §404(a).
As to the calendar year 1985 Financial Interests Statement Marsico
failed to list the travel agency in the category of Financial
Interests in Business for Profit.
In the 1986 calendar year filing Marsico failed to include the
travel agency both in the category of Office or Directorship as well
as in the category of Financial Interests in Business for Profit.
Turning to the 1987 calendar year Financial Interests Statement for
Marsico, his interests in the travel agency are property listed. In
light of the above, Marsico is directed to file a Financial Interests
Statement for the 1984 calendar year listing all of his financial
interests as well as file amended Financial Interests Statements for
the other years to correct the deficiencies as noted above. Failure
to comply with the above will result in appropriate action by this
Commission.
IV. Conclusions of Law:
Mr. Charles Marsico
Page 14
1. Charles Marsico is Chairman of the Beaver Falls Municipal
Authority is a public official subject to the provisions of the Ethics
Act.
2. Marsico did not violate Section 3(a) of the Ethics Act when the
general manager of the authority purchased airline tickets from the -
Beaver Valley Travel Service, Inc., a business with which Marsico is
associated, since there was no evidence to establish the requisite use
of public office to obtain that financial gain.
3. Marsico did not violate Section 3(c) of the Ethics Act as to
contracts to purchase individual airline tickets from Beaver Valley
Travel Service, a business with which Marsico is associated, since the
individual contracts were under $500 and there is no evidence to
indicate any contract fragmentation.
In re: Charles Marsico
ORDER No. 778
1. Charles Marsico as Chairman of the Beaver Falls Municipal
Authority did not violate Section 3(a) of the Ethics Act
when the general manager of the authority purchased airline
tickets from the Beaver Valley Travel Service, Inc., a
business with which Marsico is associated, since there was
no evidence to establish the requisite use of public office
to obtain that financial gain.
2. Marsico did not violate Section 3(c) of the Ethics Act as to
contracts to purchase individual airline tickets from Beaver
Valley Travel Service, a business with which Marsico is
associated, since the individual contracts under $500 and
there is no evidence to indicate any contract fragmentation.
3. Marsico is hereby directed within 30 days of the date of
this Order to file a Financial Interests Statement for the
calendar year 1984 as well as file amended statements for
the calendar years 1983, 1985 and 1986, which reflect a
listing of his interests in Beaver Valley Travel Service,
Inc. in all of the appropriate financial disclosure
categories. Failure to comply with the above will result in
appropriate action by this Commission.
Commissioner Robert W. Brown dissents.
: File Docket: 88 -066 -C
Date Decided: December 6, 1990
: Date Mailed: January 3. 1991
BY THE COMMISSION,
�. se .“.erns �a�tire.ca.4
G. SIEBER PANCOAST, COMMISSIONER
STATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 17108 -1470
TELEPHONE (717) 783 -1610
Mr. Charles Marsico
c/o Robert J. Masters
Attorney at Law
Hudacsek and Lewis Law Building
1126 Sixth Avenue
Beaver Falls, PA 15010
January 29, 1991
Re: Order 778, File No. 88 -066 -C
Dear Mr. Marsico:
On January 14, 1991, the State Ethics Commission received
the Statements of Financial Interests of Anthony Marsico for the
calendar years 1983, 1985 and 1986. On January 25, 1989, the
Financial Interests Statement for Marsico was received for the
1984 calendar year.
such.
JJC /emg
This letter will be part of the Order and a public record as
Sinc
1 o
xec tive Director