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HomeMy WebLinkAbout1189 SowaIn Re: Stanley Sowa, Jr. File Docket: X -ref: Date Decided: Date Mailed: Before: Daneen E. Reese, Chair Louis W. Fryman, Vice Chair John J. Bolger Frank M. Brown Susan Mosites Bicket Donald M. McCurdy 99- 051 -C2 Order No. 1189 2/26/01 3/12/01 This is a final adjudication of the State Ethics Commission. Procedurally, the Investigative Division of the State Ethics Commission conducted an investigation regarding a possible violation of the Public Official and Employee Ethics Law, Act 9 of 1989, P.L. 26, 65 P.S. §401 et seq., by the above -named Respondent. At the commencement of its investigation, the Investigative Division served upon Respondent written notice of the specific allegation(s). Upon completion of its investigation, the Investigative Division issued and served upon Respondent a Findings Report identified as an "Investigative Complaint." An Answer was filed and a hearing was waived. The record is complete. A Consent Agreement and Stipulation of Findings were submitted by the parties to the Commission for consideration. The Consent Agreement was subsequently approved. Effective December 15, 1998, Act 9 of 1989 was repealed and replaced by Chapter 11, Act 93 of 1998, which essentially repeats Act 9 of 1989 and provides for the completion of pending matters under Act 93 of 1998. This adjudication of the State Ethics Commission is issued under Act 93 of 1998 and will be made available as a public document thirty days after the mailing date noted above. However, reconsideration may be requested. Any reconsideration request must be received at this Commission within thirty days of the mailing date and must include a detailed explanation of the reasons as to why reconsideration should be granted in conformity with 51 Pa. Code §21.29(b). A request for reconsideration will not affect the finality of this adjudication but will defer its public release pending action on the request by the Commission. The files in this case will remain confidential in accordance with Chapter 11 of Act 93 of 1998. 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. Confidentiality does not preclude discussing this case with an attorney at law. Sowa, 99- 051 -C2 Page 2 I. ALLEGATION: That Stanley Sowa, Jr., a public official /public employee in his capacity as a member of the Luzerne County Conservation District, violated Sections 1103(a); 1103(f) and 1104(a) of the State Ethics Act (Act 93 of 1998) 65 Pa.C.S. § §1103(a), 1103(f) and 1104(a) when he used the authority of his office for the private pecuniary benefit of himself and a business with which he is associated by participating in discussions and actions of the Conservation District to approve contracts with Clough Harbour & Associates in excess of $500 without an open and public process; when he participated in approving payments to the company; and when he failed to file a Statement of Financial Interests for the 1996, 1997 and 1998 calendar years. II. FINDINGS: 1. Stanley Sowa has served as a member of the Luzerne County Conservation District Board of Directors since 1995. 2. Local Conservation District's were created by Act 217 and are overseen by the State Conservation Commission and the Department of Environmental Protection. a. Local Conservation Districts receive state funding for a portion of the salaries of the manager, technical assistants and administrative staff. b. Funding is also provided from the county and private contributors. 3. The Luzerne County Conservation District is operated by a nine (9) member board of directors. a. Director positions include five (5) farmers, three (3) public directors and a county commissioner. b. Director positions are appointed by the Luzerne County Commissioners. c. Directors are appointed to serve for four (4) year terms. 4. Members of the Luzerne County Conservation District Board of Directors serve without compensation. a. Expense reimbursements are made to board members for out of pocket expenses incurred while conducting Conservation District business. 5. Professionally, Sowa has been employed by the engineering firm of Clough, Harbour & Associates (CHA) since May 24, 1993. a. Sowa has been employed by CHA as the office manager of CHA Northeastern Pennsylvania Office, 1 Montage Mountain Road, Suite 100, Moosic, PA 18507. b. Sowa is a salaried employee of CHA. 6. CHA maintains a general job description for the position of office manager. a. Typical duties include, in part, being responsible for overall results of the office; monitor and evaluate office efficiency and effectiveness; recommends and monitors budgets and profitability targets for the office; ensures that all contracts for the office are negotiated to provide profitability consistent with overall corporate objectives; approve all project schedules Sowa, 99- 051 -C2 Page 3 and contract budgets for the office; ensure contract budgets are updated and estimates to complete are updated as conditions change; review all plans, reports and other work products generated by the office which requires a duly authorized signature with the professional who is authorized to sign such documents; develops new business, new work opportunities and diversification for the office consistent with overall CHA; marketing goals and develops appropriate marketing plans. 7 On August 11, 1982, the Pennsylvania Department of General Services (DGS) transferred 4.8 acres to the Pennsylvania Department of Environmental Resources (DER) for management purposes. a. This 4.8 acre tract formerly was part of the State Correctional Institute at Dallas. b. DER's stated intent with the property was to permit the Luzerne County Conservation District to develop the property into an outdoor environmental laboratory for the community. 8. During 1995, the Conservation District board began the process to construct a new office on the 4.8 acre tract. Board member Stanley Sowa and District Manager Robert Yonker were the main participants planning the project. 9. Discussions regarding the building project occurred during the District's September 14, 1995; October 12, 1995; November 9, 1995; December 14, 1995; and July 11, 1996, board meetings. a. Sowa was present for the September 14, 1995; December 14, 1995; and July 11, 1996, meetings. a. b. Sowa provided building status reports to the board. 10. On November 9, 1995, the Conservation District Board took action authorizing Manager Robert Yonker to handle all matters regarding the building project. a. Sowa was not present for this meeting. 11. Prior to the November 9, 1995, board action authorizing Yonker to handle all aspects of the project, Yonker entered into a contract with Clough, Harbour & Associates for professional engineering services related to the project. a. Sowa negotiated the contract on behalf of Clough, Harbour. b. This contract was negotiated by Manager Yonker two (2) months prior to being formally authorized to handle the building project by the board. 12. On August 28, 1995, Stanley Sowa, on behalf of Clough, Harbour & Associates, entered into a no -bid contract with the Luzerne County Conservation District to provide professional surveying services. a. This contract was signed by Stanley Sowa representing CHA and Robert Yonker, District Manager on behalf of the Conservation District. b. Contract terms were for a lump sum payment in the amount of $2,000.00 for the agreed upon services. Sowa, 99- 051 -C2 Page 4 13. The contract for the professional surveying services was not publicly advertised. 14. The August 28, 1995, contract between LCCD and CHA provided for the following professional services: a. Perform record research at the Luzerne County Courthouse. Record research will include the following: 1. Copies of tax maps 2. Deed and record map search and copies. b. Perform deed and map analysis and prepare a working drawing which will be used to help the survey crew in finding any pertinent boundary information. c. Make a site reconnaissance (visual inspection) of the property with our survey crew chief to familiarize ourselves with the site and secure permission, where necessary, from adjoiners. d. Perform a field boundary retracement survey which will include the following: 1. Run a field traverse around the property in order to locate (by angle and distance) existing evidence called for in the record information (iron pins, etc.) 2. Field locate structures associated with the property (highway pavement, access roads, power lines, utility poles, inlets, railroad beds, lines of occupation, etc.). 3. Perform boundary computations and determine, by calculation, angles and distances for setting the property boundaries. 4. Establish property corners in the field, marking each with iron pins (where possible) and place stakes to mark the new dividing side -line. 5. Prepare a Legal Description. 6. Prepare a Survey Plat. 15. The contract between LCCD and CHA was not submitted to the Conservation District board for approval. 16. On April 26, 1996, Sowa, on behalf of Clough, Harbour & Associates, entered into a supplemental work contract with the Conservation District. a. This contract was signed by Stanley Sowa representing CHA and Robert Yonker, District Manager, on behalf of the Conservation District. b. Contract terms were for an additional $2,800.00 for a storm water retention basin design, grading, stalking and layout for contractor. c. The supplemental contract contained a clause for additional work to be provided on an "as- needed basis." d. The supplemental contract was not approved by the LCCD board of directors. Sowa, 99- 051 -C2 Page 5 17. None of the services agreed upon in either the August 28, 1995, contract or April 26, 1996, supplemental contract were put out for competitive bidding. a. Both contracts called for services in excess of $500.00. b. The total agreed upon cost associated with both contracts was $4,800.00. 18. CHA submitted three (3) invoices totaling $5,718.43 to the district for services providing relating to the building project. a. These invoices totaled $918.43 more than was agreed upon as part of the August 28, 1995, and April 26, 1996, contracts. b. The additional charges related to site layout work not specifically included as part of either contract. c. The conservation district board did not authorize the additional service related to site layout. d. The additional charges were not put out for bids. 19. CHA invoiced the conservation district on January 29, 1996, ($5,084.84); May 16, 1996, ($405.00); and June 14, 1996, ($228.59) for building project services totalling $5,718.43. Individual invoiced services were as follows: a. January 29, 1996: Service Provided Hours Rate Total Project Supervisor 16.0 $65.00 $ 1,040.00 Project Manager 15.0 $62.00 $ 930.00 Project Engineer 6.0 $55.00 $ 330.00 Senior Engineer Tech 25.0 $40.00 $ 1,000.00 Crew Chief 30.0 $30.00 $ 900.00 Instrument Person 32.5 $25.00 $ 812.50 Technical Typist 1.5 $20.00 $ 30.00 Mileage 146 miles $ .29 /mile $ 42.34 Total $ 5,084.84 b. May 16, 1996: Service Provided Hours Rate Total Project Manager 6.0 $65.00 $ 390.00 Technical Typist 0.5 $30.00 $ 15.00 Total $ 405.00 c. June 14, 1996: Service Provided Hours Rate Total Project Supervisor 2.0 $70.00 $ 140.00 Engineer 0.5 $45.00 $ 22.50 Instrument Person 1.0 $30.00 $ 30.00 Technical Typist 1.0 $30.00 $ 30.00 Mileage 21 miles $ .29 /mile $ 6.09 Total $ 228.59 20. The Luzerne County Conservation District issued four (4) checks to Clough, Sowa, 99- 051 -C2 Page 6 Harbour and Associates for services related to the building project totalling $8,518.43 as follows: Check No. 3650 1005 1006 1032 Date 03/19/96 05/24/96 05/25/96 11/01/96 Amount $5,084.84 $2,800.00 $ 405.00 $ 228.59 Signatures Brian Redmond Robert Yonker Brian Redmond Robert Yonker Brian Redmond Robert Yonker Brian Redmond Robert Yonker 21. No invoice was ever received from Clough, Harbour and Associates by the LCCD for the payment of $2,800.00 (Check No. 1005). a. Check No. 1005 was never cashed by Clough, Harbour. b. Check No. 1005 is in the possession of the LCCD. 22. The payments issued to CHA by LCCD were included as part of district bill lists. a. Meeting minutes do not specifically identify individual bills to be paid. 1. The bill lists did not identify specific payments to CHA. b. Board members voted to approve total monthly bill amounts. c. Board members were not provided with itemized bill listings during 1996. d. Board members relied upon bill payment totals provided to them by district staff. 23. District meeting minutes reflect Sowa participated in the following board actions approving bills resulting in payments to CHA: a. Check No. Check Date Meeting Date Vote 3650 03/19/96 03/14/96 1005 05/24/96 05/09/96 1006 05/24/96 05/09/96 1032 11/01/96 11/14/96 $5,084.84 $2,800.00 $ 405.00 $ 228.59 Deposit Information Clough, Harbour Deposit Stamp (None - Check Not Negotiated) Clough, Harbour Deposit Stamp Clough, Harbour Deposit Stamp Amount Action Motion/Vote 7 -0 Vote 6 -0 Vote 6 -0 Absent 5 -0 b. Check No. 1005, dated 05/24/96 in the amount of $2,800.00 was never negotiated. c. Checks issued to CHA were signed by District Manager Robert Yonker and Board Chairman Brian Redmond. d. Sowa did not sign the front side of any district checks issued to CHA. e. These payments were not specifically identified on bill lists submitted in the Treasurer's Report. 24. Sowa participated in board actions taken to approve two (2) payments totaling Sowa, 99- 051 -C2 Page 7 $5,489.84 issued to CHA. a. Sowa voted to approve check no. 3650 dated 03/19/96 in the amount of $5,084.84 and check no. 1006 dated 05/24/96 in the amount of $405.00. b. Sowa also voted to approve check no. 1005 which was not negotiated by CHA. 25. As a salaried employee of CHA, Sowa did not receive commissions or bonuses from work provided the district. a. Part of Sowa's responsibility as branch manager for CHA included generating new business for the firm. b. CHA's services to the district constituted new business. 26. Clough, Harbour and Associates' proposal information for Luzerne County Conservation District dated August 25, 1995, lists S. Sowa as the client liaison. a. The project description was identified as surveying services, Smith Pond Road, Jackson Township, Luzerne County with a proposal number of 29WSU- 051 -95. b. Sowa was listed as project engineer and project manager for surveying services and project management. c. The Revisions No. 1 and No. 2 are approved by S. Sowa. 27. Clough, Harbour's proposal estimated the following fees: Site Engineer - $1,300.00 Surveying Services - $3,785.00 Site Engineer (EWA #1) - $1,040.00 Surveying Services (EWA #1) - $1,200.00 Project Management (EWA #1) - $ 560.00 Total $7,885.00 a. Not all of these fees were billed to the LCCD. 28. CHA invoiced the district for $5,718.43 of the $7,885.00 estimated project costs. a. Sowa has estimated a loss of $2,166.57 on the building project. b. Sowa's loss calculation is based on the $5,718.43 actually received by CHA minus the $7,885.00 cost estimates. 29. CHA made a $1,000.00 donation to the district building fund on or about April 30, 1996. a. This donation was done at the request of Stan Sowa. 30. CHA records include a purchase requisition completed by Sowa for the $1,000.00 donation on April 24, 1996. CHA's purchase requisition included the following information: a. CHA check payable to: " Luzerne County Conservation District Building Fund" — as a tax deductible contribution for a new environmental education Sowa, 99- 051 -C2 Page 8 center building. Note: CHA is currently providing personal services to the Conservation District on the new environmental education center site (CHA #5132) and I serve as a board member. See copy of fund raising campaign cocktail party ticket listing state representative Jarolin as speaker. b. This donation was made in conjunction with a building fund cocktail party held on April 26, 1996. 31. As a member of the Luzerne County Conservation District Board, Sowa filed Statements of Financial Interests as follows: a. Calendar Year: Filed: Positions: Creditors: Direct /Indirect Income: All other Financial Interests: b. Calendar Year: Filed: Positions: Creditors: Direct /Indirect Income: All Other Financial Interests: c. Calendar Year: Filed: Position: Creditors: Direct /Indirect Income: All other Financial Interests: d. 1999 03/09/00 on SEC form 1/00 Board Member Mellon Bank, 12.9% Clough, Harbour & Assoc., WNEP -TV16 None 1998 05/xx/99 on SEC form 1/99 Not listed Mellon Bank, M &T Bank Clough, Harbour & Assoc.; WNEP -TV16 None 1995 08/09/96 on SEC form 1/96 Director None Clough, Harbour & Assoc.; WNEP -TV16; Citizen's Voice Newspaper None Calendar Year: 1994 Filed: 03/09/95 on SEC form 1/95 Position: District Director Creditors: None Direct /Indirect Income: Clough, Harbour & Assoc; WNEP -TV16; WARM 590 All other Financial Interests: None e. Forms filed by Sowa are retained by the LCCD. 32. Statements of Financial Interests for calendar years 1996 and 1997 for Sowa were not on file with the LCCD prior to September 1, 2000. 33. Sowa filed Statements of Financial Interests forms for the calendar years 1996 and Sowa, 99- 051 -C2 Page 9 1997 with the State Ethics Commission on September 1, 2000. Statements of Financial Interests filed by Sowa included the following information: a. Calendar Year: Filed: Position: Creditors: Direct /Indirect Income: All Other Financial Interests: b. Calendar Year: Filed: Position: Creditors: Direct /Indirect Income: All Other Financial Interests: 34. LCCD files were missing some financial records for calendar years 1996 and 1997. a. It is believed that some of these records are in the custody of the Pennsylvania State Police. b. Statements of Financial Interests initially filed by Sowa for calendar years 1996 and 1997 may be with these records. III. DISCUSSION: At all times relevant to this matter, the Respondent, Stanley Sowa, Jr., hereinafter, Sowa, has been a public official subject to the provisions of the Public Official and Employee Ethics Law, Act 9 of 1989, Pamphlet Law 26, 65 P.S. §401, et seq., as codified by the Public Official and Employee Ethics Act, Act 93 of 1998, Chapter 11, 65 Pa.C.S. §1101 et seq., which Acts are referred to herein as the "Ethics Act." The issue is whether Sowa violated Sections 3(a)/1103(a), 3(f)/1103(f) and 4(a)/1104(a) of the Ethics Act when, as a member of the Luzerne County Conservation District, he participated in discussions and actions of the Conservation District to approve contracts in excess of $500 with Clough, Harbour and Associates, a business with which he is associated, without an open and public process; when he participated in approving payments to Clough, Harbour and Associates; and when he failed to file a Statement of Financial Interests for the 1996, 1997 and 1998 calendar years. Section 3/1103. Restricted activities (a) Conflict of interest. — No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 P.S. § 403(a)/65 Pa.C.S. §1103(a). 1996 08/28/00 on SEC Form 1/96 Director None Clough Harbour & Assoc.; WNEP -TV16; Citizens Voice None 1997 08/28/00 on SEC Form 1/97 Director None Clough Harbour & Assoc.; WNEP -TV16; Citizens Voice None The term "conflict of interest" is defined under Act 9 of 1989/Act 93 of 1998 as follows: Sowa, 99- 051 -C2 Page 10 Section 2/1102. Definitions "Conflict" or "conflict of interest." Use by a public official or public employee of the authority of his office or employment or any confidential information received through his holding public office or employment for the private pecuniary benefit of himself, a member of his immediate family or a business with which he or a member of his immediate family is associated. "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 of his immediate family or a business with which he or a member of his immediate family is associated. 65 P.S. §402/65 Pa.C.S. §1102. Section 3(a)/1103(a) of the Ethics Act prohibits a public official /public employee from using the authority of public office /employment or confidential information received by holding such a public position for the private pecuniary benefit of the public official /public employee himself, any member of his immediate family, or a business with which he or a member of his immediate family is associated. Section 3(f)/1103(f) of Act 9 of 1989/Act 93 of 1998 provides: Section 3/1103. Restricted activities (f) No public official or public employee or his spouse or child or any business in which the person or his spouse or child is associated shall enter into any contract valued at $500 or more with the governmental body with which the public official or public employee is associated or any subcontract valued at $500 or more with any person who has been awarded a contract with the governmental body with which the public official or public employee is associated, unless the contract has been awarded through an open and public process, including prior public notice and subsequent public disclosure of all proposals considered and contracts awarded. In such a case, the public official or public employee shall not have any supervisory or overall responsibility for the implementation or administration of the contract. Any contract or subcontract made in violation of this subsection shall be voidable by a court of competent jurisdiction if the suit is commenced within 90 days of the making of the contract or subcontract. 65 P.S. §403(f)/65 Pa.C.S. §1103(f). Section 3(f)/1103(f) of Act 9 of 1989/Act 93 of 1998 specifically provides in part that no public official /public employee or spouse or child or business with which he or the spouse or child is associated may enter into a contract with his governmental body valued at five hundred dollars or more or any subcontract valued at five hundred dollars or more with any person who has been awarded a contract with the governmental body with which Sowa, 99- 051 -C2 Page 11 the public official /public employee is associated unless the contract is awarded through an open and public process including prior public notice and subsequent public disclosure. Section 4/1104. Statement of financial interests required to be filed facts. Public official or public employee. Each public official of the Commonwealth shall file a statement of financial interests for the preceding calendar year with the commission no later than May 1 of each year that he holds such a position and of the year after he leaves such a position. Each public employee and public official of the Commonwealth shall file a statement of financial interests for the preceding calendar year with the department, agency, body or bureau in which he is employed or to which he is appointed or elected 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 or public official shall file a statement of financial interests with the governing authority of the political subdivision by which he is employed or within which he is appointed or elected no later than May 1 of each year that he holds such a position and of the year after he leaves such a position. Persons who are full -time or part -time solicitors for political subdivisions are required to file under this section. 65 P.S. § 404(a)/65 Pa. C. S. §1104(a). Section 4(a)/1104(a) of the Ethics Act quoted above requires that each public official /public employee must file a Statement of Financial Interests for the preceding calendar year, each year that he holds the position and the year after he leaves it. Having noted the issues and applicable law, we shall now summarize the relevant Sowa has served as a member of the Board of Directors of the Luzerne County Conservation District (Conservation District) since 1995. The Conservation District consists of nine members appointed by the Luzerne County Commissioners. Conservation District Directors serve without compensation. In his private capacity, Sowa is employed as Office Manager by the engineering firm of Clough, Harbour and Associates (CHA). One of Sowa's responsibilities as Office Manager is to develop new business and work opportunities for CHA. In August 1982, the Department of General Services transferred 4.8 acres of land to the Department of Environmental Resources (DER) for management purposes. It was DER's intent to permit the Conservation District to develop the property into an outdoor environmental laboratory for the community. In 1995, the Conservation District began the process of developing the 4.8 acre tract. Sowa and the Conservation District Manager were primarily responsible for planning the project. On August 28, 1995, the Conservation District entered into a $2,000 contract with CHA for professional surveying services. Sowa, acting as "client liaison," negotiated and signed the contract on behalf of CHA while the District Manager negotiated and signed the contract on behalf of the Conservation District. The contract was neither publicly advertised nor approved by the Conservation District Board of Directors. Sowa, 99- 051 -C2 Page 12 After the contract was signed, the Conservation District engaged in discussions about the building project at its Board meetings on September 14, 1995, October 12, 1995, November 9, 1995, December 14, 1995, and July 11, 1996. Sowa was present at the meetings on September 14, 1995, December 14, 1995 and July 11, 1996 and provided building status reports to the Board. On April 26, 1996, the Conservation District entered into a supplemental contract with CHA for additional work. Sowa signed the contract on behalf of CHA while the District Manager signed the contract on behalf of the Conservation District. As per the supplemental contract, the Conservation District agreed to pay CHA $2,800 for a storm water retention basin design, grading, stalking, and layout. The contract contained a clause for additional work to be provided on an as needed basis." The supplemental contract was neither publicly advertised nor approved by the Conservation District Board of Directors. CHA submitted three invoices to the Conservation District for services rendered in relation to the building project. The total amount of the invoices, $5,718.43, exceeded the combined amounts of the August 28, 1995 and April 26, 1996 contracts. The additional costs were for services that were not authorized by the Board or subject to public bid. The Conservation Board approved all three invoices and issued checks to CHA totaling $5,718.43. Sowa participated in Board action on March 14, 1996 and May 9, 1996 to approve payments to CHA totaling $5,489.84. On September 1, 2000, Sowa filed a Statement of Financial Interests for calendar years 1996 and 1997. In May 1999, Sowa filed a Statement of Financial Interests for calendar year 1998. Sowa filed a Statement of Financial Interests for calendar year 1999 on March 9, 2000. The stipulated facts indicate that some financial records are missing from the Conservation District's files and may be in the custody of the Pennsylvania State Police. Statements of Financial Interests initially filed by Sowa for calendar years 1996 and 1997 may be among the missing files. Having summarized the above relevant facts, we must now determine whether the actions of Sowa violated Sections 3(a)/1103(a), 3(f)/1103(f) and 4(a)/1104(a) of Act 9 of 1989/Act 93 of 1998. The parties have submitted a Consent Agreement together with a Stipulation of Findings wherein they propose to resolve the case by finding a technical violation of Section 1103(a) of the Ethics Act in relation to Sowa's participation in Conservation District meetings and actions regarding the development of 4.8 acre tract, where said development involved CHA, a business with which Sowa is associated, and in relation to Sowa's participation in Board actions to pay invoices submitted by CHA; no violation of Section 1103(a) of the Ethics Act in relation to the Conservation District's award of a professional engineering services contract to CHA, where such contract was awarded through the Conservation District's District Manager; an unintentional violation of Section 1103(f) of the Ethics Act in relation to Sowa's participation in the Conservation District's award of a professional engineering services contract to CHA, where such contract was not awarded through an open and public process; no violation of Section 1104(a) of the Ethics Act in relation to Sowa's failure to file a Statement of Financial Interests for calendar years 1996, 1997 and 1998, due to insufficient evidence; and a payment of $200 by Sowa in settlement of this matter within 30 days of the issuance of this Order through this Commission to the Commonwealth of Pennsylvania. As to Section 3(a)/1103(a) of the Ethics Act, it is clear that there were uses of authority of office on the part of Sowa as to matters involving CHA. But for the fact that Sowa was a Conservation District Director, he could not have participated in discussions and meetings related to the building process, which ultimately lead to the selection of CHA Sowa, 99- 051 -C2 Page 13 for engineering services, and in Board actions to approve bill lists resulting in payments to CHA. Such actions were uses of authority of office. See, Juliante, Order 809. The uses of authority of office resulted in pecuniary benefits to CHA, a business with which Sowa is associated, consisting of payments made to CHA for engineering services rendered to the Conservation District. Accordingly, Sowa technically violated Section 3(a)/1103(a) of the Ethics Act when he participated in discussions and meetings related to the building process which lead to the selection of CHA for engineering services and participated in Board actions to approve bill lists resulting in payments to CHA. We find that Sowa did not violate Section 3(a)/1103(a) of the Ethics Act with regard to the Conservation District's award of the two contracts to CHA in that the Stipulated Findings reflect that the District Manager negotiated and signed the contracts on the Conservation District's behalf. Regarding Section 3(f)/1103(f) of the Ethics Act, a review of the Stipulated Findings reflect that there was not an open and public process as to the contracts of August 28, 1995 and April 26, 1996 between the Conservation District and CHA. In that the contracts were both worth $500 or more, said contracts should have been awarded through an open and public process. Further, the Stipulated Facts reflect that Sowa's activities as "client liaison," contravened Section 3(f)/1103(f)'s prohibition against a public official /public employee having any supervisory or overall responsibility for the implementation or administration of contracts with the governmental body. Accordingly, we find that Sowa unintentionally violated Section 3(f)/1103(f) of the Ethics Act when the contracts between the Conservation District and CHA, a business with which he is associated, were worth $500 or more, and not awarded through an open and public process. As to Section 4(a)/1104(a) of the Ethics Act, the Stipulated Facts reflect that some financial records are missing from the Conservation District's files and may be in the custody of the Pennsylvania State Police. Statements of Financial Interests initially filed by Sowa for calendar years 1996 and 1997 may be among the missing files. The record reflects that in May 1999, Sowa filed a Statement of Financial Interests for calendar year 1998 and in March 2000, Sowa filed a Statement of Financial Interests for calendar year 1999. Accordingly, we find that Sowa did not violate Section 4(a)/1104(a) of the Ethics Act for failing to file Statements of Financial Interests for the calendar years 1996, 1997 and 1998, due to insufficient evidence. As to the Stipulation of Findings and Consent Agreement, we believe that the Consent Agreement is the proper disposition of this case based upon our review as reflected in the above analysis and the totality of the facts and circumstances. Accordingly, Sowa is directed to make a payment of $200 within 30 days of the issuance of this Order through this Commission to the Commonwealth of Pennsylvania. Compliance with the foregoing will result in the closing of this case with no further action. Noncompliance will result in the institution of an order enforcement action. IV. CONCLUSIONS OF LAW: 1. Sowa, as a member of the Board of Directors of the Luzerne County Conservation District, is a public official subject to the provisions of Act 9 of 1989/Act 93 of 1998. 2. Sowa technically violated Section 3(a)/1103(a) of the Ethics Act when he participated in discussions and meetings related to the building process which lead to the selection of CHA for engineering services, and participated in Board actions to approve bill lists resulting in payments to CHA. 3. Sowa did not violate Section 3(a)/1103(a) of the Ethics Act with regard to the Conservation District's award of two contracts to CHA in that the Stipulated Findings reflect that the District Manager negotiated and signed the contracts on the Conservation District's behalf. Sowa, 99- 051 -C2 Page 14 4. Sowa unintentionally violated Section 3(f)/1103(f) of the Ethics Act when the contracts between the Conservation District and CHA, a business with which he is associated, were worth $500 or more and not awarded through an open and public process. 5. Sowa did not violate Section 4(a)/1104(a) of the Ethics Act for failing to file Statements of Financial Interests for the calendar years 1996, 1997 and 1998, due to insufficient evidence. In Re: Stanley Sowa, Jr. ORDER NO. 1189 File Docket: 99- 051 -C2 Date Decided: 2/26/01 Date Mailed: 3/12/01 1 Sowa, as a member of the Board of Directors of the Luzerne County Conservation District, technically violated Section 3(a)/1103(a) of the Ethics Act when he participated in discussions and meetings related to the building process which lead to the selection of CHA for engineering services, and participated in Board actions to approve bill lists resulting in payments to CHA. 2. Sowa did not violate Section 3(a)/1103(a) of the Ethics Act with regard to the Conservation District's award of two contracts to CHA in that the Stipulated Findings reflect that the District Manager negotiated and signed the contracts on the Conservation District's behalf. 3. Sowa unintentionally violated Section 3(f)/1103(f) of the Ethics Act when the contracts between the Conservation District and CHA, a business with which he is associated, were worth $500 or more and not awarded through an open and public process. 4. Sowa did not violate Section 4(a)/1104(a) of the Ethics Act for failing to file Statements of Financial Interests for the calendar years 1996, 1997 and 1998, due to insufficient evidence. 5. As per the Consent Agreement, Sowa is directed to make payment of $200 within 30 days of the date of issuance of this Order through this Commission to the Commonwealth of Pennsylvania. a. Compliance with the foregoing will result in the closing of this case with no further action by this Commission. b. Non - compliance will result in the institution of an order enforcement action. BY THE COMMISSION, DANEEN E. REESE, CHAIR