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HomeMy WebLinkAbout1207 BurchfieldIn Re: David Burchfield 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 00- 052 -C2 Order No. 1207 8/23/01 9/7/01 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 Act, Act 9 of 1989, P.L. 26, 65 P.S. §401 et seq.,as codified by Act 93 of 1998, Chapter 11, 65 Pa.C.S. §1101 et seq., by the above -named Respondent. At the commencement of its investigation, the Investigative Division served upon Respondent written notice of the specific 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 Effective December 15, 1998, Act 9 of 1989 was repealed and replaced by Chapter 11 of Act 93 of 1998, 65 Pa.C.S. §1101 et seq., which essentially repeats Act 9 of 1989 and provides for the completion of pending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 Act 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. Burchfield, 00- 052 -C2 Page 2 I. ALLEGATION: That David E. Burchfield, Sr., a public official in his capacity as supervisor for Blair Township, Blair County, violated Sections 3(a)/1103(a), 4(a)/1104(a) and 3(f)/1103(f) of the Ethics Act (Act 93 of 1998, 65 Pa.C.S. §1101 et seq.) when he used the authority of his office for a private pecuniary benefit of himself and /or a business with which he is associated by participating in discussions and actions of the board of supervisors resulting in purchases being made from his business; by approving payment of invoices from businesses owned and operated by him; and when contracts were entered into between the Burchfield Organization, and its affiliates, Burchfield Auto & Truck Salvage and Burchfield Towing & Auto Sales, a company with which David Burchfield is associated in excess of $500 without an open and public process, including public disclosure of all bids received; and when he failed to file a Statement of Financial Interests for the 1997 calendar year. II. FINDINGS: 1. David E. Burchfield, Sr., has served as a Blair Township Supervisor since January 1998. a. Burchfield has served as a Supervisor in Charge of Police Department since January 1998. b. Burchfield has served as the township Treasurer since November 1999. 2. The Burchfield Organization was incorporated in December 1994 with its principle place of business at 713 Route 764, Duncansville, PA 16635. a. Burchfield, his wife and two sons are employed by The Burchfield Organization. 3. Burchfield and his family members hold corporate officer positions in the Burchfield Organization as follows: a. David E. Burchfield, Sr. — Chief Executive Officer b. Linda L. Burchfield, Burchfield's wife — Secretary c. David E. Burchfield, Jr., Burchfield's son — Vice President d. Richard E. Burchfield, Burchfield's son — Treasurer 4. The Burchfield Organization, Inc., was incorporated for the purpose of performing and providing services and materials for auto and truck sales and repairs, truck and equipment salvage and other related activities. 5. The Burchfield Organization, Inc., encompasses several Burchfield businesses including Burchfield Towing & Auto Sales and Burchfield Auto & Truck Salvage. 6. The Burchfield Organization, Inc., stock certificates were issued to Burchfield and members of his immediate family as follows: 82% - David E. Burchfield, Sr. and Linda L. Burchfield 10% - David E. Burchfield, Jr. 8% - Richard E. Burchfield 7 The Blair Township road department performs minor repairs and service on the road department vehicles. Burchfield, 00- 052 -C2 Page 3 a. Road department vehicles include two one -ton trucks, two five -ton trucks, a backhoe, and a tractor with mower attachment. b. The road department does not service or maintain the police vehicles. 8. Arrangements for major vehicle repairs are generally handled by the Road Foreman. a. Lance Dick has served as road foreman since 1993. 1. Dick reports directly to the township supervisor in charge of the road department. b. Prior to David Burchfield's service as a township supervisor, Dick utilized the services of Russell's Garage, Stuckey Ford, Allegheny Trucks and Crescent Motors for the repair of road department vehicles. c. Dick had not used the Burchfield Organization, Inc. for service and repair of road department vehicles prior to Burchfield taking office. d. Prior to David Burchfield's service as a township supervisor, the township did use the Burchfield Organization for the repair of police vehicles on several occasions. 9. Two months after Burchfield took office in 1998, a discussion took place which included Solicitor Frederick Gieg, Jr., as to whether Burchfield Towing & Truck Sales could continue to repair township vehicles after Burchfield became supervisor. a. Gieg recommended to the township secretary that three bids be obtained in addition to Burchfield's and Burchfield's business could be used if it provided the lowest bid. 1. Gieg made this recommendation even though he believed that none of the bids would reach the bidding unit required by the Second Class Township Code. 10. Gieg confirmed this recollection in a letter to Burchfield's attorney, Darlee Sill, dated January 5, 2001. a. In his letter Gieg also related that around the middle of 2000 when he became aware of Section 9(i) of the Second Class Township Code and recommended to Burchfield that he should discontinue doing work for the township. 11. Sometime after January 1998 David Burchfield, Sr., advised Dick that his sons operated the businesses comprising The Burchfield Organization. 12. After assuming office as a township supervisor in 1998, Burchfield discussed with Road Foreman, Lance Dick, issues regarding the use of The Burchfield Organization, Inc., for repairs in excess of $500.00 on two occasions. 13. In 1998, the township's 1992 International dump truck needed repairs to the hydraulic system. 14. Road Foreman Lance Dick had obtained an estimate for the replacement of the hydraulic system on the 1992 International truck from Brumbaugh's Body Company Burchfield, 00- 052 -C2 Page 4 of approximately $3,500.00. a. The estimate included the replacement of the existing system with central hydraulics. b. Dick believed the central hydraulics would be the best choice for the type of work that the road crew used the truck. 15. Dick discussed the repairs with Treasurer George Harley who advised that Burchfield might know someone who would be able to do the repair. 16. Dick subsequently discussed the repairs with Supervisor Burchfield who advised Lance Dick, as well as other individuals, both inside and outside of the Township, that his sons repaired vehicles of the type in question and provided estimates for repairs. 17. After discussion with Burchfield, Lance Dick took the 1992 International truck to The Burchfield Organization, Inc., so that Burchfield's sons could look at the vehicle. a. Dick took the vehicle to the Burchfields believing that the Burchfields would only provide an estimate of the repairs. b. Dick did not authorize the Burchfield's to repair the hydraulics. 18. The Burchfield Organization repaired the hydraulics on the 1992 International dump truck. a. Dick was not consulted and did not authorize the repairs by The Burchfield Organization. b. Dick did not question the invoice or the repairs that had been prepared. 19. The Board of Supervisors did not approve the repair of the hydraulics by The Burchfield Organization, Inc., prior to the work being completed. 20. The replacement of the hydraulic system on the 1992 International truck costing in excess of $500.00 was not publicly advertised and bid. 21. Burchfield Organization invoice no. 11129, dated October 23, 1998, totaling $3,317.73 detailed the repairs. 22. The signature area of Invoice No. 11129 references Per Phone Call (Lance)." a. No other signatures appear on the invoice. 23. Payment to The Burchfield Organization was made by Blair township General Fund Check No. 13792, dated 11/18/98. a. The check was deposited into Burchfield Auto & Truck Sales account at Mellon Bank. b. Burchfield's signature does not appear on the front of the check authorizing payment. c. The check included the payment of five other invoices from The Burchfield Organization. d. The payment was approved by unanimous vote of the board of supervisors, Invoice Date Company Name Equipment Parts Description Parts Labor Total Check Number 10/21/98 TBO Twp. '92 Int Truck Bulb Inspection $ .55 $20.00 $20.55 13762 Burchfield, 00- 052 -C2 Page 5 including Burchfield, on December 8, 1998. 24. In or about September 1999 the township's 1992 International Truck was in need of clutch repairs. 25. Burchfield discussed with road foreman Lance Dick the repair of the clutch. a. Lance Dick informed Burchfield that the road crew had attempted to adjust the clutch and realized that a replacement was needed. b. Burchfield thought only an adjustment was needed and directed that the truck be taken to his business so that his sons could "adjust" the clutch. c. The clutch was subsequently replaced while the truck was at The Burchfield Organization. d. The road foreman did not authorize the repairs. 26. The Board of Supervisors did not approve the repair and replacement of the clutch by The Burchfield Organization, Inc. prior to the repairs being made. 27. The repairs to the clutch in excess of $500.00 were not publicly advertised and bid. 28. Invoice No. 13271, from Burchfield Organization to the township dated September 10, 1999, in the amount of $782.37, details the repair of the clutch on the 1992 International truck. a. No signature authorizing the work is present on the invoice. 29. Payment for the clutch replacement was made by Blair Township General Fund check no. 14403, dated September 29, 1999, to The Burchfield Organization, Inc. a. The payment was unanimously approved by the board of supervisors, including Burchfield, on October 12, 1999. b. Burchfield's signature appears on the front of the township check along with two other signatures authorizing payment. c. The check was deposited into the Mellon Bank account in the name of Burchfield Auto & Truck Sales. d. The check included payment of six invoices from the Burchfield Organization. 30. In addition to the clutch replacement and hydraulic repairs, The Burchfield Organization also billed Blair Township for other vehicle repairs, including inspections and minor repairs. 31. Repairs and service of Blair Township Road Department vehicles performed by The Burchfield Organization, Inc., between 1/98 — 9/00 and payments are outlined as follows: 10/23/98 TBO Twp. '92 Int. Truck Rugby hoist with lift kit, mounting kit, pump & hinges Install hoist/pump assembly compatible with bed size; install new hangers, hoses & hardware $2,857.73 $400.00 $3,317.73 13762 01/20/99 TBO Twp. '95 Int. Truck - Inspection - $20.00 $20.00 - 01/14/99 TBO Twp. '95 Int. Truck Water pump, thermostat, overflow tank, brackets (4), nut, bolt, cap, washer Replace water pump, gasket, thermostat, brackets and overflow tank $267.30 $120.00 $405.30 13985 01/27/99 TBO Twp. '85 Ford Truck Fuel tank, straps kit Pick up - - $163.80 13985 09/10/99 TBO Twp '92 Int. Truck Clutch plate and disc bearing Replace clutch assembly, drive shaft, PTO drive shaft, transmission assembly, fuel crossover, air tanks, exhaust system, flywheel, bearing $370.37 $352.00 $782.37 14403 09/18/99 TBO Twp. '92 Int. Truck U- joint, bulb Inspection, replace PTO shaft and u- joint $10.47 $60.00 $70.47 14403 10/07/99 TBO '92 Int. Truck PTO seal Ck for oil leak, replace PTO output seal and shaft $15.75 $40.00 $55.75 14515 TOTALS $3,522.17 $1,012.00 $4,835.97 Burchfield, 00- 052 -C2 Page 6 Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. 01/15/98 TBO Police '91 Caprice Wiper blades Replace wiper blades, fill washer fluid $21.29 - $21.29 13275 01/20/98 TBO Police '91 Caprice Smog pump Oil filter Air filter Replace smog pump; change oil & filter & grease; replace air filter; ck lights, tires, belts & fill fluids $67.05 $94.60 $161.65 - Burchfield, 00- 052 -C2 Page 7 32. The Burchfield Organization has also performed repairs to the township police vehicles. a. The company performed some repairs to police vehicles prior to Burchfield's service as a township supervisor. 33. Subsequent to Burchfield taking office in January 1998, the frequency of township vehicle repairs and service performed by The Burchfield Organization, Inc., doubled from the previous year. 1996 - 0% 1997 - 19% 1998 - 37.5% 1999 - 30% 2000 - 26.5% a. The frequency of Township vehicle repairs and services performed by Burchfield Organization fluctuates from year to year, based upon the needs and requirements of the Township. b. Subsequent to August 2000 The Burchfield Organization was no longer used for vehicle service and repair. c. The percentages are based on a review of the bill lists, (number of payments versus number of invoices), and include service and repairs of the township vehicles by 12 other businesses. 34. Blair Township police officers generally had the vehicle assigned to them serviced or repaired at the business of their choice. a. Service and repair businesses were chosen based on proximity to an officer's residence. b. Vehicles under warranty were taken to dealerships. 35. In 1998 and 1999 Blair Township Police Department vehicles not under warranty were regularly taken to The Burchfield Organization, Inc., for service and repairs. a. No appointment was necessary. b. Vehicles were generally repaired or serviced immediately. c. Service was available for late night emergencies. 36. Blair Township police vehicles serviced, repaired and towed at The Burchfield Organization, Inc., between January 1998 and September 2000, were as follows: Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. 02/09/98 TBO Police '95 Caprice Wire circuit breakers, used adapter hook, term end Install bar light; drill hole & run wires; install switches; tapped two circuit breakers; adjust light and install hold downs; run hot wire to battery & install end $36.60 $304.00 $340.60 13307 02/10/98 TBO Police '95 Caprice Thermost at, 0- Ring Inspection; drain radiator; replace thermostat & seal, refill coolant & road test $20.46 $54.98 $80.43 - 02/13/98 TBO Police '91 Caprice Rebuilt alternator , battery Remove & replace alternator; replace battery; ck wiring & chrg. system $262.33 $47.50 $329.83 - 02/23/98 TBO Police Crown Victoria Wiper blades Install wiper blades $38.54 N/C $38.54 13329 02/27/98 TBO Police '95 Caprice Hubcaps, bolts, washers Install front hubcaps, install lock tire on bolts $95.06 $9.50 $104.56 13350 03/11/98 TBO Police '95 Caprice Oil filter Fill fluid; ck lights; change oil, filter & grease - $30.00 $30.00 - 03/21/98 TBO Police '95 Caprice Tailpipe, resonator , grommet Replace tailpipe; replace resonator; install grommet $112.18 $38.00 $150.18 13404 03/28/98 TBO Police '94 Ford Front brakes, oil filter Inspection; replace front brakes; clean slides; change oil & filter & grease; fill fluids; ck belts, hoses & air pressure in tires $47.28 $84.98 $132.26 13384 04/25/98 TBO Police '91 Caprice - Flat tire service call after hours $5.00 $20.00 $25.00 13451 05/07/98 TBO Police '91 Caprice Oil filter, center link, front brakes Replace brakes & ck rotors; replace center link; change oil, filter & grease; ck lights & repair brake light; fill fluids; ck belts & hoses $194.92 $106.00 $300.92 - 05/24/98 BTS - - Towing - - $20.00 - 05/26/98 TBO Police '91 Caprice Rebuilt starter Replace starter; check electrical system $81.22 $49.40 $130.62 13483 06/19/98 TBO Police '94 Crown Victoria Wiper blades Install new wiper blades $26.69 - $26.69 13527 06/29/98 TBO Police Circuit Replace circuit breaker, ck $14.49 $38.00 $52.49 13572 Burchfield, 00- 052 -C2 Page 8 Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. '95 Caprice breaker for circuit breaker not holding & relocate to a cooler area 07/03/98 TBO Police '91 Caprice Brake light switch Replace brake light switch $12.33 $12.33 - 07/15/98 TBO Police '98 Ford - Application for title & registration for '98 Ford Sedan - - $25.00 - 07/23/98 TBO Police Crown Vict. Paint/mat Repair & ref. If. ft. door $45.00 $200.00 $245.00 13595 07/30/98 TBO Police '95 Caprice Oil filter Repair wiring to switch for dash lights; ck switch for bar lights, test wiring & lights; replace street thunder controller; change oil, filter & grease; clean air filter; fill fluids. - $125.00 $135.00 13628 08/12/98 TBO Police '91 Caprice Inspection - $16.98 $16.98 - 08/18/98 TBO Police '95 Caprice Gasket seal Ck for & find oil leak; remove oil filter adaptor; install gasket & o'rings; reinstall adaptor and oil filter $2.77 $76.00 $81.22 - 08/25/98 TBO Police '95 Caprice Fan motor Replace fan motor and wiring $80.30 $152.00 $257.30 13663 10/19/98 TBO Police '91 Caprice Oil filter, trans. filter, air filter, bulb Replace air filter; replace trans. filter & fluid; ck belts & hoses; change oil, filter & grease, ck antifreeze $30.71 $70.00 $112.71 13792 10/26/98 TBO Police '95 Caprice Brakes, trans. filter Replace front & back brakes; change oil, filter & grease; clean air filter; fill fluids; change transm. filter & fluid $173.81 $150.00 $333.81 - 11/05/98 TBO Police '94 Crown Vic. Oil cooler Replace oil cooler; refill radiator; install inspection cover $216.67 $80.00 $304.67 - 01/19/99 BTS Police - Towing - - $20.00 13922 02/10/99 TBO Police '91 Caprice Exhaust pipe, muffler, clamps (2), hanger Replace exhaust pipe, muffler, clamps & hanger $95.22 $40.00 $135.22 - Burchfield, 00- 052 -C2 Page 9 Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. 03/22/99 TBO Police '95 Chevrolet Idler arm, oil filter Inspection; replace idler arm; change oil, filter & grease; fill fluids $38.39 $76.98 $115.37 14069 Burchfield, 00- 052 -C2 Page 10 Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. 04/01/99 TBO Police '91 Caprice Oil filter, air filter, trans. filter, kit Change transmission filter & fluid; fill fluids; check belts; change oil, filter & grease $29.25 $70.00 $121.75 14128 05/05/99 TBO Police '91 Caprice Bulb Replace bulb; clean car inside; scrub & silicone; wash outside $1.62 $20.00 $21.62 14152 05/17/99 TBO Police '94 Crown Vic. - Replace vascar module wire under dash - $20.00 $24.00 14194 06/04/99 TBO Police '95 Chevrolet Front rotors, fuel filter, oil filter Repair bar light, remove switch & relay panel & send out for repair; replace fuel filter; oil & filter change; grease; clean air filter; fill fluids; replace front rotors $336.26 $132.00 $468.26 - 07/12/99 BTS Police - Tow - - $20.00 14296 07/29/99 BTS Police '92 Chevrolet - Tow - - $20.00 - 08/09/99 TBO Police '95 Caprice Lamp (2) Ck light bar, wiring and lights; install new control box, remote wiring and bulbs $22.75 $80.00 $102.75 14339 08/17/99 TBO Police '95 Caprice wig wag switch, filter Remove switch panel from car 823 and install in 822; replace wig wag module $56.39 $110.00 $166.39 14360 08/20/99 TBO Police '95 Caprice - Remove decals, bar lights; switch panel & wiring, radios, antennae and power amp; buff, wax and clean inside and outside and wash; deliver car to auction - $220.00 $220.00 - 09/06/99 BTS Police '95 Caprice - Towing - - $40.00 14403 09/07/99 TBO Police '95 Caprice Catalytic converter s (2) Ck car for starting problems; ck fuel pressure, sparkplugs, compression, exhaust restrictions; replace catalytic converters $367.02 $80.00 $447.02 - 09/13/99 TBO Police '94 Crown Vic. Front rotors, front brakes Replace front rotors and front brakes $206.69 $68.00 $274.69 - 09/21/99 TBO Police '95 Caprice Sparkplu g wires, Replace sparkplug wires, battery, exhaust manifold $214.38 $264.00 $548.38 - Burchfield, 00- 052 -C2 Page 11 Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. battery, exhaust gask., flange gasket gasket; remove two broken bolts from head; tap holes to clean threads 09/30/99 TBO Police '94 Crown Vic. Battery Replace battery $98.99 $8.00 $106.99 14484 11/23/99 TBO Police '94 Ford Sedan Rear rotors, rear pads Replace rear rotors and break pads $223.79 $48.00 $271.79 14614 11/26/99 TBO Police '95 Caprice Tail pipe clamp Replace LR tailpipe $26.55 $30.00 $56.55 - 12/24/99 BTS Police - Jump Start - - $20.00 509 12/27/99 TBO Police '94 Ford Sedan Rebuilt starter Replace starter system $190.66 $40.00 $260.66 508 01/11/00 TBO Police '94 Ford Sedan Oil filter Service (oil change, etc.) - $30.00 $30.00 542 01/20/00 TBO Police '95 Caprice Wiper blades, oil filter Replace wiper blades; service (oil change, etc.) $38.54 $30.00 $68.54 569 02/12/00 TBO Police '95 Caprice Rotors (2), ft. pads Inspection; replace front rotors and brake pads $358.87 $92.58 $451.45 592 02/12/00 TBO Police '95 Caprice Rf. caliber Replace right front brake caliber; bleed brakes; test drive $66.51 $42.00 $108.51 - 03/29/00 TBO Police '95 Caprice Oil filter, compress or accumula tor orifice Service (oil change, etc.); replace compressor; orifice tube, accumulator; evacuate & recharge air conditioner system $427.78 $189.60 $636.13 702 03/31/00 TBO Police '95 Caprice Starter Cylnoid Replace starter cylnoid & install starter assembly $26.95 $54.60 $81.55 681 04/27/00 TBO Police '95 Caprice Rear Brakes, rear rotors, wheel nuts Replace brake pads & rotors $242.86 $71.40 $314.26 713 Burchfield, 00- 052 -C2 Page 12 Invoice Date Co. Name Equipment Parts Description Parts Labor Total Check No. 06/22/00 BA& TS Township Used desk, typewriter desk, filing cabinet - metal, filing cabinet - wood mats $375.00 - $375.00 802 06/26/00 TBO Police '95 Caprice Blaner Motor Service; replace heater motor under dash, remove covers $104.46 $72.00 $176.46 802 Burchfield, 00- 052 -C2 Page 13 *TBO The Burchfield Organization, Inc., *BTS Burchfield Towing Service *BA &TS Burchfield Auto & Truck Salvage 37. From at least January 1998 until September 1999 township bill lists were approved by the board of supervisors during regular board meetings. 1. Bill lists were then voted on during the meeting. a. After September 1999 Burchfield replaced George Harley as Treasurer and bills were paid prior to a vote of the board. 1. Bill lists were provided to the board and voted on after the fact. b. In April 2000, Resolution #2000 -17 was approved by the Board of Supervisors which authorized payment of bills on the approved vendor list without prior board approval. 1. Bills in excess of $500.00 from vendors not on the approved vendor list were not paid until approved by the board. 38. The Blair Township general fund account requires three signatures on checks. a. All three supervisors and Secretary George Harley had signature authority on the account between 1/98 and 9/00. 39. Burchfield signed checks and voted to approve payments as follows to his business, The Burchfield Organization, Inc., between January 1998 and September 2000. Check Check Check Meeting Date Amount Signed Number Date Vote 02/09/98 $ 182.94 Yes 13275 03/10/98 2/0 02/24/98 $ 750.86 Yes 13307 03/10/98 2/0 03/16/98 $ 38.54 No 13329 04/14/98 3/0 Burchfield, 00- 052 -C2 Page 14 03/23/98 04/06/98 04/23/98 05/19/98 06/15/98 07/03/98 07/18/98 07/31/98 08/24/98 09/12/98 10/29/98 11/18/98 Total Check Date 01/31/99 02/25/99 03/31/99 04/27/99 05/21/99 06/16/99 08/04/99 08/25/99 09/01/99 09/29/99 10/14/99 10/26/99 12/17/99 Total 01/04/00 01/14/00 01/24/00 02/08/00 03/02/00 04/17/00 04/25/00 05/05/00 07/05/00 Total $ 134.56 Yes 13350 04/14/98 3/0 $ 132.26 No 13384 05/12/98 3/0 $ 150.18 No 13404 05/12/98 3/0 $ 325.92 No 13451 06/09/98 3/0 $ 130.62 Yes 13483 07/14/98 3/0 $ 26.69 No 13527 08/11/98 3/0 $ 89.82 No 13572 08/11/98 3/0 $ 245.00 No 13595 08/11/98 3/0 $ 233.20 No 13628 09/08/98 2/0 $ 257.30 No 13663 10/13/98 2/0 $ 20.55 No 13762 11/10/98 3/0 $ 4,236.92 No 13792 12/08/98 3/0 $6,955.36 Check Check Meeting Amount Signed Number Date Vote $ 40.00 Yes 13922 02/09/99 2/0 $ 704.32 Yes 13985 03/09/99 3/0 $ 115.37 No 14069 04/15/99 3/0 $ 121.75 No 14128 05/11/99 2/0 $ 21.62 Yes 14152 06/08/99 2/0 $ 492.26 Yes 14194 07/13/99 2/0 $ 40.00 Yes 14296 09/14/99 3/0 $ 102.75 Yes 14339 09/14/99 3/0 $ 386.39 Yes 14360 10/12/99 3/0 $ 2,162.93 Yes 14403 10/12/99 3/0 $ 106.99 Yes 14484 11/09/99 2/0 $ 55.75 Yes 14515 11/09/99 2/0 $ 328.34 Yes 14614 01/04/00 3/0 $ 4,678.47 $ 260.66 $ 20.00 $ 30.00 $ 68.54 $ 559.96 $ 81.55 $ 636.13 $ 314.26 $ 551.46 $ 2,522.56 Road Department Vehicles Police Department Vehicles (including towing) Yes Yes Yes Yes Yes Yes Yes No Yes 00508 00509 00542 00569 00592 00681 00702 00713 00802 02/08/00 02/08/00 02/08/00 03/14/00 04/13/00 05/09/00 05/09/00 06/15/00 08/08/00 2/0 2/0 2/0 3/0 3/0 3/0 3/0 2/0 2/0 40. The total amount of payments made to The Burchfield Organization, Inc., for township related automobile repairs for service between January 1998 and September 2000, was $13,693.39. $4,835.97 $8,857.42 41. Burchfield, in his capacity as a township supervisor signed the front of 23 checks payable to his business between January 1998 and September 2000. (See Finding Burchfield, 00- 052 -C2 Page 15 No. 47 [sic] [39] ). 42. As Treasurer, Burchfield signed eleven of twelve checks payable to his business between October 1999 and September 2000. 43. In 1999 and 2000, Township Secretary George Harley sent letters of Requests for Proposals to several vehicle service and repair businesses. a. Harley selected businesses that the township had dealt with in the past. b. Burchfield reviewed Harley's selection and provided input regarding the firms to be selected. c. The Burchfield Organization, Inc. was one of four businesses selected. d. Other businesses included: John Stuckey Ford, Zeigler Chevrolet - Oldsmobile and Allegheny Trucks. e. Three regularly used service and repair businesses were not solicited. f. No proposals were solicited in 1998. 44. Proposals received in response to George Harley's Letter of Request are as follows: 44. Admitted. John Stuckey 1999 Ford Lube, Oil & Filter Maintenance Light & Medium Duty Heavy Duty Spec. System Repair Comp. Diagnostic Service Body Repair Lube, Oil & Filter Maintenance Light & Medium Duty Heavy Duty Spec. System Repair Comp. Diagnostic Service Body Repair Light Diesel The Burchfield Organization, Inc. $20.00 $25.00 /hr $30- $35 /hr $35- $42 /hr $ 21.00 $ 25.00 /hr $ 30- $35 /hr $ 35 -42 /hr Zeigler Chevrolet Oldsmobile $20.95 $38.00 /hr $46- $50 /hr $45- $48 /hr $50- $53 /hr $50- $53 /hr $40.00 /hr $43.00/hr $53- $68 /hr $36.00 /hr $ 42.00 /hr $ 47.00 /hr $ 55.68/hr $ 38 /hr $ 50 /hr Allegheny Trucks 2000 The Burchfield Organization, Inc. John Stuckey Ford 45. The proposals received were not reviewed or approved by the board of supervisors. a. Stuckey Ford has been utilized for police cruisers because the township purchased Fords. b. No specific vendor was approved for truck repairs. 46. The township records contained no Statement of Financial Interests for calendar Burchfield, 00- 052 -C2 Page 16 year 1997 for Burchfield. a. There is evidence to indicate that a Statement of Financial Interests was filed by Burchfield but later misplaced. b. Burchfield subsequently filed a Statement of Financial Interests for calendar year 1997 on March 2, 2001. 47. The Burchfield Organization, Inc., was paid total labor costs of $4,648.10 for repair of township vehicles from 1997 through 1999. a. Police vehicles: $3,636.10 Trucks: $1,012.00 Total $4,648.10 48. David E. Burchfield, Sr. believed that he was, at all times, acting appropriately based upon the advice that had been given by the township solicitor. a. The solicitor never advised Burchfield that he should abstain from voting to approve bill lists, signing checks or discussing repairs with township employees. III. DISCUSSION: At all times relevant to this matter, the Respondent, David Burchfield, hereinafter Burchfield, 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 allegations are that Burchfield violated Sections 3(a)/1103(a), 4(a)/1104(a) and 3(f)/1103(f) of the Ethics Act when he participated in discussions and actions of the board of supervisors resulting in purchases being made from his business; when he approved the payment of invoices from businesses owned and operated by him; when the Burchfield Organization, and its affiliates, a company with which David Burchfield is associated, entered into contracts with the township in excess of $500 without an open and public process; and when he failed to file a Statement of Financial Interests (FIS) for the 1997 calendar year. Pursuant to Section 3(a)/1103(a) of the Ethics Act, a public official /public employee is prohibited from engaging in conduct that constitutes a conflict of interest. The term "conflict of interest" is defined under Act 9 of 1989/Act 93 of 1998 as follows: 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 Burchfield, 00- 052 -C2 Page 17 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 the Ethics Act imposes certain restrictions as to contracting. 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. §1104(f). Section 3(f)/1103(f) of Act 9 of 1989/Act 3 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 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. (a) 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 Burchfield, 00- 052 -C2 Page 18 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 an FIS for the preceding calendar year, each year that he holds the position and the year after he leaves it. As noted above, the parties have submitted a Consent Agreement and Stipulation of Findings. The parties' Stipulated Findings are reproduced above as the Findings of this Commission. We shall now summarize the relevant facts as contained therein. Burchfield has served as a township supervisor and supervisor in charge of the police department since January of 1998 and as township treasurer since November 1999. In a private capacity Burchfield, along with his spouse and two sons, are employees and corporate officers of the Burchfield Organization which performs services as to auto and truck sales and repairs, and truck and equipment salvage. Although the township road department performs minor repairs and services on road department vehicles, major vehicle repairs are generally handled by the road foreman who utilizes the services of private garages. Prior to Burchfield taking office as the supervisor, the township used the Burchfield Organization on several occasions to repair police vehicles, but not for the repair or service of road department vehicles. After Burchfield took office, the solicitor reviewed the relationship between the township and one of Burchfield Organization's affiliates. The solicitor recommended that as to the repairs of township vehicles, the township's secretary should obtain three bids and award the contract to the lowest bidder. Thereafter, the solicitor reviewed the Second Class Township Code and recommended to Burchfield that he discontinue working for the township. In 1998, when the township's dump truck needed repairs, the road foreman took the vehicle to the Brumbaugh Body Company which provided a repair estimate of $3,500. After the road foreman discussed the matter with Burchfield, the truck was taken to the Burchfield Organization so that Burchfield's sons could look at the vehicle. Although the foreman did not authorize Burchfield to repair the vehicle, the repairs were done by Burchfield Organization at a cost of $3,317.73. The repairs for the dump truck were not publicly advertised or bid. Thereafter, on December 8, 1998, the board of supervisors, in a unanimous vote with Burchfield participating, approved payment for the truck repair services provided by the Burchfield Organization. In another instance when a township vehicle had clutch problems, the road crew attempted to adjust the clutch. Burchfield suggested that the truck be taken to the Burchfield Organization for a clutch adjustment. However, the clutch was replaced while the truck was at the Burchfield Organization. The road foreman did not authorize such repairs nor did the board of supervisors approve the repair and replacement of the clutch by the Burchfield Organization prior to the repairs actually being made. Such repairs were in excess of $500 but were not publicly advertised or bid. Subsequently, the board of supervisors, with Burchfield's participation, unanimously approved the payment for the Burchfield, 00- 052 -C2 Page 19 clutch replacement. In addition, Burchfield's signature along with the two other supervisors appeared on the front of the township check for payment. There were a number of other repairs performed by the Burchfield Organization as to township road department vehicles as delineated in Fact Finding 31. The township police vehicles were also serviced, repaired by the Burchfield Organization as delineated in Fact Finding 36. From at least January 1998 through September 1999, township bills lists were approved by the board of supervisors during regular board meetings. However, from April 2000, the board approved the payment of bills without prior board approval, that is, the board voted to approve bills after they had been paid. However, bills in excess of $500 from vendors not on the approved vendor list were not paid until approved by the board. As for the actual payment of bills, the township requires three signatures on checks and all three supervisors as well as the township secretary have signature authority. The actions by Burchfield as to signing checks or voting to approve payments as to his business, the Burchfield Organization, between January 1998 and September 2000 are delineated in Fact Finding 39. During that time, the township paid the Burchfield Organization a total of $13,692.39 for repairs to the township road department or police department vehicles. The labor costs paid to Burchfield Organization for the repair of township vehicles from the period of 1997 through 1999 totaled $4,648.10. The township records contain no FIS for the calendar year 1997 for Burchfield although there is evidence to indicate that the FIS was filed by Burchfield but subsequently misplaced. Burchfield subsequently filed an FIS for the calendar year 1997 on March 2, 2001. Lastly, Burchfield believes that he acted appropriately based upon the advice that he received from the township solicitor. Having highlighted the Stipulated Findings and issues before us, we shall now apply the Ethics Act to determine the proper disposition of this case. The parties' Consent Agreement sets forth a proposed resolution of the allegations. The Consent Agreement proposes that this Commission find: 1. Burchfield unintentionally violated Section 3(a)/1103(a) of the Ethics Act in relation to his participation in township actions including discussions with township employees, approving payment of invoices, and signing checks relating to the repair of township vehicles by businesses with which he was associated; 2. Burchfield technically violated Section 3(f) /1103(f)of the Ethics Act on five (5) occasions when services were rendered regarding the repair of township vehicles by Burchfield Organization and its affiliates, Burchfield Auto & Truck Salvage and Burchfield Towing & Auto Sales, companies with which David Burchfield is associated, when such repairs and services were in excess of $500 and when no open and public process was utilized in accord with the above provisions of the Ethics Act; 3. Burchfield did not violate Section 4(a)/1104(a) of the Ethics Act regarding his FIS for the calendar year 1997 based on an insufficiency of evidence; and 4. Burchfield agrees to make payment of $2,500 through this Commission to Blair Township within 30 days of the date of issuance of this Order. In applying the provisions of the Ethics Act in the instant matter, there were uses of the authority of office on the part of Burchfield as to the repairs and servicing of township vehicles by Burchfield Organization, a business with which Burchfield is associated. But for the fact that Burchfield is a supervisor, he would not have been in a position to Burchfield, 00- 052 -C2 Page 20 participate in township actions, have discussions with township employees, approve the payment of invoices, and sign certain checks as to the repair or servicing of township vehicles by Burchfield Organization. Such actions were uses of authority of office. See, Juliante, Order 809. The uses of authority of office resulted in private pecuniary benefits to Burchfield Organization consisting of the profits that business received as to the services and repairs provided to the township. Lastly, the private pecuniary benefits inured to the Burchfield Organization, which is a business with which Burchfield and his immediate family are associated as that term is defined under the Ethics Act. Accordingly, Burchfield unintentionally violated Section 3(a)/1103(a) of the Ethics Act when he engaged in various actions with the township board and employees, approved the payment of invoices, and signed checks for the repairs or servicing of township vehicles by the Burchfield Organization, a business with which he is associated. Turning to Section 3(f)/1103(f) of the Ethics Act, there were several instances where the Burchfield Organization contracted with the township to perform repairs or services on township vehicles. The contracts were not awarded through an open and public process, even though some of the contracts were in excess of $500. Accordingly, Burchfield technically violated Section 3(f)/1103(f) of the Ethics Act in those instances when services or repairs were performed by the Burchfield Organization as to township vehicles when the contracts were in excess of $500 and were not awarded through an open and public process. Finally, Burchfield did not violate Section 4(a)/1104(a) of the Ethics Act regarding his FIS for the 1997 calendar year based upon an insufficiency of evidence. In this regard, the record reflects that the FIS was filed by Burchfield but was later misplaced. We determine that the Consent Agreement submitted by the parties sets forth the proper disposition for this case, based upon our review as reflected in the above analysis and the totality of the facts and circumstances. Accordingly, Burchfield is directed to make payment of $2,500 within 30 days of the issuance of this Order through this Commission to Blair Township. Compliance with the foregoing will result in the closing of this case with no further action by this Commission. Noncompliance will result in the institution of an order enforcement action. IV. CONCLUSIONS OF LAW: 1. Burchfield, as a supervisor in Blair Township, is a public official subject to the provisions of Act 9 of 1989/Act 93 of 1998. 2. Burchfield unintentionally violated Section 3(a)/1103(a) of the Ethics Act when he engaged in various actions with the township board and employees, approved the payment of invoices, and signed checks for the repairs or servicing of township vehicles by the Burchfield Organization, a business with which he is associated. 3. Burchfield technically violated Section 3(f)/1103(f) of the Ethics Act in those instances when services or repairs were performed by the Burchfield Organization, a business with which he is associated, as to township vehicles when the contracts were in excess of $500 and were not awarded through an open and public process. 4. Burchfield did not violate Section 4(a)/1104(a) of the Ethics Act regarding his Statement of Financial Interests for the 1997 calendar year based upon an insufficiency of evidence. In Re: David Burchfield ORDER NO. 1207 File Docket: 00- 052 -C2 Date Decided: 8/23/01 Date Mailed: 9/7/01 1 Burchfield, as a supervisor in Blair Township, unintentionally violated Section 3(a)/1103(a) of the Ethics Act when he engaged in various actions with the township board and employees, approved the payment of invoices, and signed checks for the repairs or servicing of township vehicles by the Burchfield Organization, a business with which he is associated. 2. Burchfield technically violated Section 3(f)/1103(f) of the Ethics Act in those instances when services or repairs were performed by the Burchfield Organization, a business with which he is associated, as to township vehicles when the contracts were in excess of $500 and were not awarded through an open and public process. 3. Burchfield did not violate Section 4(a)/1104(a) of the Ethics Act regarding his Statement of Financial Interests for the 1997 calendar year based upon an insufficiency of evidence. 4. Per the Consent Agreement of the parties, Burchfield is directed to make payment of $2,500 within 30 days of the issuance of this Order through this Commission to Blair Township. 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