Loading...
HomeMy WebLinkAbout1782 PagePHONE: 717-783-1610 TOLL FREE: 1-800-932-0936 In Re: Eric Page, Respondent FACSIMILE: 717-787-0806 WEBSITE: Wwwethics.pa.90 File Docket: 20-006 X-ref. Order No. 1782 Date Decided: 3/29/21 Date Mailed: 4/1/21 Before: Nicholas A. Colafella, Chair Mark R. Corrigan, Vice Chair Roger Nick Melanie DePalma Michael A. Schwartz Shelley Y. Simms This is a final adjudication of the State Ethics Commission. Procedurally, the Investigative Division of the State Ethics Commission conducted an investigation regarding possible violation(s,) of the Public Official and Employee Ethics, Act C'Ethics Act"), 65 Pa,C.S. § I 101 et sq., by the above -named Respondent. At the commencement of its investigation, the Investigative Division served upon Respondent written notice of the specific allegations. Upon completion of its investigation, the Investigative Division issued and served upon Respondent a Findings Report identified as an "Investigative Complaint." A Stipulation of Findings and a Consent Agreement were subsequently submitted by the parties to the Commission for consideration. The Stipulated Findings are set forth as the Findings, in this Order. The Consent Agreement has been approved. 1. ALLEGATIONS: That Eric Page, a public official/public employee in his capacity as a Member and President of Oakland Borough Council, Susquehanna County, violated Sections 1103(a), 1103(f), 1104(a), 1105(b)(1), 1105(b)(2), 1105(b)(5), 1105(b)(8), and 1105(b)(9) of the State Ethics Act (Act 93 of 1998) when he utilized the authority of his public position for the private pecuniary benefit of himself and/or a business with which he is associated, namely Pages Custom Cabinetry, when he selected/contracted and/or otherwise authorized Pages Custom Cabinetry to perform carpentry/maintenance/repair/renovation work at the Borough municipal building for remuneration; when he and/or Pages Custom Cabinetry entered into agreements/contracts with the Borough for goods/services valued in excess of $500.00 absent an open and public process; when he participated in actions of Borough Council to approve and issue payment to himself and/or Pages Custom Cabinetry; and when he filed deficient Statements of Financial Interests when he failed to provide a complete response to "Address" and to correctly identify his "Public Position" Page, 20-006 Page 2 upon filings made for the 2014 through 2017 calendar years, failed to provide a response to "Occupation" upon filings made for the 2016 and 2017 calendar years, failed to report "Direct/Indirect Income" upon filings made for the 2014 through 2018 calendar years, and failed to report any "Office, Directorship or Employment" and any "Financial Interest" in Pages Custom Cabinetry upon filings made for the 2014 through 2018 calendar years. II. FINDINGS: 1. Eric Page ("Page") served as a Member of Council for Oakland Borough ("Borough"), Susquehanna County, from at least 2012 until his resignation on March 14, 2019. a. Borough Council consists of seven Members and a Mayor. b. Borough Council Members serve without compensation. 2. Professionally, Page owns and operates Pages Custom Cabinetry. a. This business entity is not known to be registered with the Pennsylvania Department of State Corporation Bureau. b. The business address for Pages Custom Cabinetry is the same as Page's reported home/business address on Statement of Financial Interests forms filed with the Borough and his address on his operator's license with the Pennsylvania Department of Transportation. 3. Around 2015, the Borough formed a Building Committee comprised of at least Page and Borough Codes Enforcement Officer Shane Lewis ("Lewis"). a. Page served on the Building Committee as a Member of Borough Council. b. Page was appointed to the Building Committee based on his professional experience in the building industry. c. Members of the Building Committee did not receive any compensation for their service on the Building Committee. 4. The Building Committee was formed to explore locations and options for the construction of a Borough municipal building. a. The Borough did not own a municipal building at that time. b. Borough Council meetings were held at the Lanesboro Community Center. C. The Borough Secretary/Treasurer, Florence Brush ("Brush"), worked out of her home. Page, 20-006 Page 3 5. Building options considered by Page and the Borough included searching for new land to construct a building and/or using currently owned Borough real estate as a construction site. a. The primary location being considered was a portion of property that the Borough owned and was using as a public park. 6. Throughout 2015, Page routinely updated Borough Council on efforts the Building Committee took to identify contractors, obtain price estimates, develop construction drawings, and determine the scope of work. a. The Borough's initial intent was to engage in construction of a Borough municipal building. b. No consideration was given to purchasing an existing building during 2015. C. Page provided Borough Council with his updates during most meetings under the category "Building Committee Report." 7. As a Borough Council Member/Building Committee Member, Page supplied Borough Council with drafts of floor plans for the intended construction during Borough Council's December 10, 2015, meeting. a. Borough Council did not take any action concerning the floor plans. 8. In January 2016, Brush contacted the Pennsylvania State Association of Boroughs ("PSAB") to inquire about bidding thresholds for Borough public works/construction projects. a. Brush's inquiry was to determine if the Borough was required to obtain bids for any portion of the construction being considered. 9. On January 11, 2016, Shelly Houck of PSAB provided Brush with bidding criteria applicable to Borough public works projects. a. Brush was informed that "if over $25,000.00 -- need three bids. Two in newspaper, one by notice posted in public place, i.e. Library, post office, etc. This sounds like you will have to have this open to general bidders. We will have to craft a very solid detailed bid document. This sounds like you will have to have this open to general bidders. We will have to craft a very solid detailed bid document. It should also be imbedded into the plans. If over $25,000.00 must pay prevailing wage (PA Labor & Industry sets amt) budget bulletin. If loan is needed — more than $125,000.00 — check Local Government Unit Debt Act. (LGUDA) Builder must be bonded." Page, 20-006 Page 4 b. Brush forwarded the information received from PSAB to Thomas Campbell ("Campbell"), the project designer and drafter of the building plans. 10. Campbell included the bid information and building plans in an email to both the Borough's email account (oaklandboropechoes.net) and Eric Page's email ([email address redacted]) on January 15, 2016. Campbell thanked Brush for the bidding research she conducted and requested of Borough Council that "any changes to the plans done immediately. We really cannot add much and hope to be close to our budget." 11. By way of the January 15, 2016, email, Page was made aware of bidding and prevailing wage requirements associated with public building projects. a. Borough Solicitor Myron DeWitt ("DeWitt") was not requested to provide Page or the Borough with any legal advice on project bidding or conflicts of interest. b. DeWitt did not regularly attend Borough Council meetings and was only consulted on an "as needed" basis. 12. Around March of 2016, the Borough's intent to engage in construction changed when Borough Council received information regarding an existing building located in the Borough that was being offered for sale. a. Floyd J. Stout ("Stout") offered to sell the Borough a building he owned that was located at 380 State Street, Oakland Borough (the "State Street Building"), for $98,000.00. b. The two-story building was formerly used for an insurance business. C. Borough Council Members were familiar with the State Street Building based on its location within the Borough. 13. During Borough Council's March 10, 2016, meeting, Page reported that "he, Shane Lewis, and Mr. Chad Crawford had inspected the insurance building and have determined that it is [a] sound structure and is suitable for the Borough's needs." a. Chad Crawford was a former Borough Council Member and was/is employed in the construction trade/business. b. Page further reported that the State Street Building had been offered to the Borough at a cost of $98,000.00. Page reported to Borough Council that Building Codes Officer Lyndon Wormuth had also inspected the State Street Building and his findings were that the building Page, 20-006 Page 5 would pass code requirements, but the parking lot must be revised to eliminate the slope to comply with handicap accessibility standards. d. Page further reported that the cost to make repairs/renovations would not require bidding and the previous problem with the sewer freezing had been corrected. 1. Mr. Dibble (Borough Council Member) noted the basement of the State Street Building and the adaptability to house police vehicles. 14. Following Page's report at the March 10, 2016, meeting, a motion was made by Council Member Rhone, seconded by Dibble, to purchase the State Street Building, pending Mr. Dibble's inspection of a wall. a. The Building Committee was also granted authority to contact the bank to initiate obtaining financing. b. The motion passed unanimously. C. Page, as a Borough Council Member, voted in favor of purchasing the State Street Building. 15. Borough Council held a special meeting on April 4, 2016, to approve a Resolution authorizing the purchase of the State Street Building from Stout at the asking price of $98,000.00. a. Page made the motion to approve the Resolution, which was passed by Borough Council with four Members present. 1. The vote tally was not recorded in the minutes. 2. Votes by Borough Council Members are considered affirmative unless otherwise noted in the minutes. b. Following the vote to purchase the State Street Building, Page then seconded the motion to approve obtaining financing to purchase and renovate the State Street Building and to consolidate other Borough debt. 16. The improvements to be financed that were discussed during Borough Council's April 4, 2016, meeting were identified as follows: a. Purchase Price: $ 98,000.00 Re -surface parking area: $ 16,300.00 Handicap accessibility: $ 23,700.00 Police alteration & other: $$ 29000.00 Total: $167,000.00 Page, 20-006 Page 6 b. Borough Council consolidated a balance owed on an existing garage loan with the purchase financing by securing a 20-year loan in the amount of $197,000.00 from Peoples Security Bank and Trust Company. 17. During Borough Council's April 14, 2016, meeting, Page provided an update on the State Street Building acquisition as part of his Building Committee report. Meeting minutes included the following: a. "Building Committee Chairman, Eric Page informed council that events to finalize the offer made by Mr. F Joseph Stout for purchase of the insurance building at a cost of $ 98,000.00 are moving quickly. Solicitor Myron DeWitt is conferring with the bank regarding the loan and paperwork is progressing in all areas. Mr. Stout made an offer for furnishings as follows: 7 metal file cabinets = $350: 1 solid wood desk and credenza = $1,000: 3 wooden bookshelves = $100: 15 pictures and artwork = $900: 9 guest chairs = $270: inter -office cubicle system = $2,000 to total $4620.00. Council voted to purchase all items with the exception of the pictures and artwork for a total of $3,720 on a motion made by Mr. Rhone, seconded by Mr. Dibble." 18. The Building Committee determined the specifics of the work needed to make the State Street Building suitable for Borough use. a. Page was the only Borough Council Member on the Building Committee. b. Although renovations/repairs were estimated to exceed $25,000.00, the Borough did not seek any bids even though advised to do so by PSAB to comply with the Borough Code and prevailing wage legal requirements. C. Page was aware of bidding thresholds and prevailing wage requirements applicable to public works projects by no later than January 15, 2016, when he received information from Campbell regarding the Borough's then pursuit of constructing a building. 19. Page did not provide Borough Council with a detailed estimate of renovation costs. a. Page determined that the project did not need to be bid based on his interpretation of the bidding information he was provided with by Brush contained in the email he received on January 15, 2016. b. Brush informed Borough Council informally, after -the -fact, that bidding did not need to occur since the work was being done in-house by the Building Committee. 1. The decision not to bid the work was not recorded in meeting minutes. 20. Page determined the nature and scope of the interior renovations to be done. Page, 20-006 Page 7 a. Page did not provide Borough Council with an itemized estimate of anticipated costs for the interior portion of the project for which he was responsible. b. The $29,000.00 that was budgeted for this work was part of the overall financing obtained by the Borough for the project. 21. Estimates were prepared by Page for improvements to the State Street Building, including making the State Street Building handicap accessible, building alterations for the Police Department, and miscellaneous other items. a. Page secured an estimate for parking lot paving. b. The estimates were verbally presented to Borough Council. C. There were no written estimates submitted to Borough Council for this project. d. There was no vote of Borough Council at a public meeting approving the estimates. 22. The $29,000.00 budgeted amount was determined by Page based on his experience in the construction industry. a. This budgeted amount included estimated materials and labor for the interior renovations predicated on the labor being performed by Page and Lewis. b. The $29,000.00 budgeted amount exceeded the $25,000.00 bidding threshold Page was provided with on January 15, 2016, by $4,000.00. 23. Also budgeted was $16,300.00 to resurface the parking area and $23,700.00 for handicap accessibility. a. The estimated costs for these items were below $25,000.00 and not bid. 24. Page, as a Member of Borough Council and the sole Borough Council Member on the Building Committee, oversaw the State Street Building renovation project which included: a. The constructing of office areas for the Secretary/Treasurer and Police Department; and b. Renovations to be compliant with ADA regulations. 25. Page, as Borough Council representative of the Building Committee, was responsible for selecting contractors to perform the repair and renovation work for the State Street Building. a. Page did not seek quotes from any vendors other than for the parking lot improvements. Paae, 20-006 Page 8 b. Page selected himself and/or his business, Pages Custom Cabinetry, to complete repairs/renovations for the project that included office construction, changing locks, installing exit signs, restroom repairs, gutter cleaning, entry and garage door repairs, tree removal, and various other work. 1. Page did not seek quotes from any other contractors for these services. C. None of the work performed by Page was the result of any bid process. 26. Borough Council did not take any formal action to authorize or approve Page or Pages Custom Cabinetry to perform any labor on the State Street Building prior to Page initiating work. a. Borough Council meeting minutes of February 9, 2017, and March 9, 2017, reference the Building Committee's progress on renovations to the building. b. Although Page/Pages Custom Cabinetry are not referenced/specified within the meeting minutes, Borough Council was aware that renovation work was being completed by Page/Pages Custom Cabinetry. 27. Page selected laborers and contractors needed to assist him on the project, including Borough Codes Enforcement Officer, Shane Lewis. a. Lewis was paid $12.00 per hour by the Borough for labor. 1. The type and scope of work performed by Lewis was determined by Page. 28. Lewis' recollection is that work to be performed by Page and himself was discussed with Borough Council President Brian Rhone in 2016, prior to any work being performed. a. Lewis recalled accepting an invitation from Page to work on the project at an agreed -upon rate of $12.00 per hour. b. Lewis recalled Page informing Rhone that Page would work for either $30.00 or $35.00 per hour. 1. Rhone had no recollection of this discussion. C. Lewis believed that the work was approved by Borough Council. 29. Borough Council meeting minutes do not have any recorded discussions or official actions taken on either hiring or hourly rate. a. Borough Council Members serving at the time do not independently recall these actions occurring. Page, 20-006 Page 9 30. From March 10, 2016, through July 12, 2018, Page routinely participated in discussions and decisions of Borough Council concerning the State Street Building renovation/repair progress. a. Page provided monthly Building Committee Reports which included information on the renovation progress, financing, inspections, and work still outstanding which was necessary to comply with applicable codes. b. Meeting minutes do not record any disclosure by Page that Pages Custom Cabinetry had an ongoing role in the renovation work. C. No votes of Borough Council are recorded approving the scope of work or Page as the contractor. 31. Although no formal vote was taken to approve Page as the contractor, Borough Council was aware that Page was performing work regarding the repair/renovation. a. Borough Council took no action to set a wage or hourly rate that Page would be compensated for work performed. 32. From September 2, 2016, through September 11, 2018, Pages Custom Cabinetry submitted nine invoices, totaling $11,860.00, for no -bid work performed at the State Street Building. a. All but one of the invoices exceeded $500.00. b. Four invoices ranged between $1,250.00 and $2,650.00. 1. Page charged between $40.00 and $80.00 per hour for labor/work he completed. 33. Invoices submitted by Page were primarily for labor, with only two containing any charges for materials. a. The invoice dated January 6, 2016 [presumably January 6, 2017], included a fee of $250.00 for materials. b. The invoice dated June 1, 2017, included a $50.00 fee for disposal services. 34. The following chart summarizes the invoices Page submitted to the Borough for work performed at the State Street Building. Invoice Date Amount Hours of Pee Other than Labor Hourly Description of Work Labor Labor Rate Claimed 10-13-2016 $750.00 15 - $50.00 -2-2016 — 2 hours changing locks -19-2016 — 18 hours exit signs -20-2016 — 5 hours miscellaneous 12-8-2016 $750.00 15 - $50.00 12-7-16 — 9 hours no further description) Page, 20-006 Page 10 12-8-2016 — 6 hours no further description) 1-6-2017 $600.00 7 $250.00 $50.00 12-14-2016 -- cut tree down materials: 1/9/2017 work inside projects "lightbulb, door mats and inside window" 2-13-2017 $1,250.00 25 - $50.00 -9-2017 -- 8 hours (no further description) -10-2017 — 8 hours (no further description) -13-2017 — 9 hours no further description) 2-21-2017 $2,650.00 53 $50.00 -21-2017 — 7 hours (no further description) 3-09-2017 -24-2017 — 8 hours (no further description) -2-2017 — 4 hours (no further description) -3-2017 — 2 hours (no further description) -6-2017 -- 8 hours (no further description) -7-2017 — 8 hours (no further description) -8-2017 -- 8 hours (no further description) -9-2017 -- 8 hours no further description) 3-24-2017 $2,500,00 50 - $50.00 -13-2017 — 7 hours (no further description) -16-2017 — 5 hours (no further description) -20-2017 — 8.5 hours (no further description) -21-2017 — 7.5 hours (no further description) -22-2017 — 8.5 hours (no further description) -23-2017 — 9.5 hours (no further description) -24-2017 — 4 hours no further description) 4-13-2017 $2,380.00 59.5 $40.00 -30-2017 — 4 hours (no further description) -3-2017 — 9. hours (no further description) -4-2017 -- 6 hours (no further description) -7-2017 — 2 hours (no further description) -10-2017 — 8.5 hours (no further description) -11-2017 — 9 hours (no further description) -12-2017 — 9 hours (no further description) -13-2017 — 4 hours (no further description) -14-2017 — 8 hours no further description) 6-1-2017 $450.00 8 $50.00 $50.00 -30-2017 — 8 hours (no further description) disposal fee 9-11-2018 $560.00 7 $80.00 No Date --- toilet repair; RFC install; gutter cleaned; garage door repair and main door repair a. Borough Council did not take any action setting or approving an hourly rate to be paid to Page. 1. Page invoiced the Borough for his services at an hourly rate he set and approved. 2. Page did not utilize prevailing wage rates for his labor even though the project exceeded the prevailing wage cost amount. 35. Invoices for completed work were submitted by Page for payment to Brush. a. Brush confirmed that payments to Page for the renovation, which Borough Council had budgeted, were paid by her in advance of a Borough Council meeting. 1. Non -budgeted expenditures were held by Brush until approved by Borough Council during the next meeting. Page, 20-006 Page 11 b. Brush did not maintain any itemized lists of interior projects. 36. Page/Pages Custom Cabinetry invoices were included on monthly Borough bill lists/Treasurer's reports which were voted on in their entirety by a single motion. a. Monthly bill lists/Treasurer's reports were approved by Borough Council after payment was already issued by Brush via Borough check. b. Page participated in votes of Borough Council to approve financial reports which included approval of payments to himself and/or Pages Custom Cabinetry. 37. During eight meetings between October 13, 2016, and October 11, 2018, Page participated in Borough Council action to approve nine payments, totaling $11,860.00, which were made to Page and/or Pages Custom Cabinctry. a. The following chart details payments made to Page and/or Pages Custom Cabinetry, as well as Page's participation as a Borough Council Member in approving the payments: Meeting Date Check Date Check No. Amount Page's Action Vote/Talley Signed Account No. 10/13/16 10/13/16 5 $750.00 Vote 6-0 Brush 2462816 01/12/17 12/09/16 106 $750.00 Vote 5-0 Brush 2462816 02/09/17 01/09/17 113 $600,00 Vote 6-0 Brush 2462816 03/09/17 02/14/17 119 $1,250.00 2nd, Vote 4-0 Brush 2462816 04/13/17 03/16/17 128 $2,650.00 2nd, Vote 6-0 Brush 2462816 04/13/17 03/30/17 134 $2,500.00 Included Included Brush 2462816 05/11/17 04/14/17 4409 $2,380.00 Vote 6-0 Brush/Rhone 2369778 07/13/17 07/03/17 4460 $450.00 Motion, Vote 6-0 Brush/Rhone 2369778 10/11/18 09/17/18 47!q$:11,860.00 $530.00 Vote 5-0 Brush/Rhone 2369778 38. All nine checks issued to Page were signed by Brush. a. Check numbers 4409, 4460 and 4748 also were signed by Borough Council President Brian Rhone. b. These checks were drafted on two separate Borough accounts held at Peoples Security Bank and Trust Company. 39. The backside of each check contained endorsement(s) by Pages Custom Cabinetry/Eric Page. a. No deposit information is contained on the checks. Page, 20-006 Page 12 40. During the time that the Borough was renovating the State Street Building, at least two other municipal renovation projects were occurring in Susquehanna County. a. Projects included the Lennox Township Building addition and renovation (project # 16-05535) and the Union Dale Municipal Building project (project # 18-06475). b. Both projects paid prevailing wages. C. Both projects had a designated prevailing wage category for carpenter, drywall hanger, framer, instrument men, lathers, and soft floor layers. 41. Prevailing wages paid for these projects were as follows: a. Lenox Township Building addition and renovation: 05/01/16: $28.53 per hour labor + $16.08 fringe benefits = $44.61 per hour total. b. Union Dale Municipal Building: 05/01/17: $28.88 per hour labor + $16.78 fringe benefits = $45.66 per hour total. 06/01/18: $29.53 per hour labor + $17.43 fringe benefits = $4696 per hour total. 42. Prevailing wage rates from the nearby projects reflect the hourly rate of pay Page should have received if the prevailing wage structure was followed for the Borough's State Street Building renovations/repairs. a. The hourly rates Page should have been paid if prevailing wage rates had been followed, as detailed in the previous finding, would have been $44.61 per hour for work invoiced from 2016 to May 1, 2017; $45.66 per hour froze May 1, 2017, until May 1, 2018; and $46.96 per hour after May 1, 2018. 43. The following chart identifies the hourly rate Page invoiced the Borough for labor and the prevailing wage rates for other municipal projects in Susquehanna County between 2016 and 2018. a. This comparison confirms that Page was paid $881.05 in excess of the prevailing wage rates for similar projects. b. The $881.05 in excess payments is determined as follows: Check Amount Labor Above/ Invoice No. Hours Hourly Prevailing below Date rate Wage PW PW/Hr. Total Gain 10/13/16 5 $750.00 15 $50.00 $44.61 $5.39 $80.85 12/08/16 106 $750.00 15 $50.00 $44.61 $5.39 $80.85 Paine, 20-006 Page 13 01/09/17 1 113 $600.00 7 $50.00 $44.61 $5.39 $37.73 02/13/17 119 $1,250.00 25 $50.00 $44.61 $5.39 $134.75 03/09/17 128 $2,650.00 53 $50.00 $44.61 $5.39 $285,67 03/24/17 134 $2,500,00 50 $50.00 $44.61 $5.39 $269.50 04/13/17 4409 $2,380.00 59.5 $40.00 $44.61 -$4.61 -$274.30 06/01/17 4460 $450.00 8 $50.00 $45.66 $4.34 $34.72 $530.00 7 $80.00 $46.96 $33.04 $231.28 ff!1`���$11,860.00 1 $881.05 THE FOLLOWING FINDINGS RELATE TO ALLEGATIONS THAT PAGE FILED DEFICIENT STATEMENTS OF FINANCIAL INTERESTS WITH THE BOROUGH. 44. Borough public officials, including Page, were provided with a blank Statement of Financial Interests ("SFI") form to complete each January. a. The blank SFI packet provided to Borough officials included a blank SFI form, instruction page, and toll -free number for the State Ethics Commission to address any questions. b. Completed SFI forms are maintained by the Borough Secretary/Treasurer as a public record. 45. SFI forms that Page filed with the Borough for calendar years 2014 through 2018 contained the following deficiencies: a. Page failed to provide a complete response to Box # 2, Address, on SFIs filed for the 2014 through 2017 calendar years; b. Page failed to provide a response to Box # 3, Status, on SFIs filed for the 2014 through 2017 calendar years; C. Page failed to provide a response to Box # 5, Governmental Entity, on SFIs Bled for the 2014 and 2015 calendar years; d. Page failed to provide a response to Box # 6, Occupation, on SFIs filed for the 2016 and 2017 calendar years; C. Page reported no Direct/Indirect Income in excess of $1,300.00 in Box # 10 on SFIs filed for the 2014 through 2018 calendar years; f. Page failed to report his employment with Pages Custom Cabinetry in Box # 12, Office, Directorship or Employment in any Business, on SFIs filed for the 2014 through 2018 calendar years; and g. Page failed to report his ownership interest in Pages Custom Cabinetry in Box # 13, Financial Interest in any Business for Profit, on SFIs filed for the 2014 through 2018 calendar years. Page, 20-006 Page 14 III. DISCUSSION: As a Member of Council for Oakland Borough ("Borough"), Susquehanna County, Pennsylvania, from at least 2012 until March 14, 2019, Respondent Eric Page, also referred to herein as "Respondent," "Respondent Page," and "Page," was a public official subject to the provisions of the Public Official and Employee Ethics Act ("Ethics Act"), 65 Pa.C.S. § 1101 et seq. The allegations are that Page violated Sections 1103(a), 1103(f), 1104(a), 1105(b)(1), 1105(b)(2), 1105(b)(5), 1105(b)(8), and 1105(b)(9) of the Ethics Act: (1) when he utilized the authority of his public position for the private pecuniary benefit of himself and/or a business with which he is associated, namely Pages Custom Cabinctry, when he selected/contracted and/or otherwise authorized Pages Custom Cabinetry to perform carpentry/maintenance/ repair/renovation work at the Borough municipal building for remuneration; (2) when he and/or Pages Custom Cabinetry entered into agreements/ contracts with the Borough for goods/services valued in excess of $500.00 absent an open and public process; (3) when he participated in actions of Borough Council to approve and issue payment to himself and/or Pages Custom Cabinetry; and (4) when he filed deficient Statements of Financial Interests ("SFIs") when he failed to provide a complete response to "Address" and to correctly identify his "Public Position" upon filings made for the 2014 through 2017 calendar years, failed to provide a response to "Occupation" upon filings made for the 2016 and 2017 calendar years, failed to report "Direct/Indirect Income" upon filings made for the 2014 through 2018 calendar years, and failed to report any "Office, Directorship or Employment" and any "Financial Interest" in Pages Custom Cabinetry upon filings made for the 2014 through 2018 calendar years. Pursuant to Section 1103(a) of the Ethics Act, a public official/public employee is prohibited from engaging in conduct that constitutes a conflict of interest: § 1103. Restricted activities (a) Conflict of interest. ---No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 Pa.C.S. § 1103(a). The term "conflict of interest" is defined in the Ethics Act as follows: § 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. Page, 20-006 Page 15 The term 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 Pa.C.S. § 1102. Subject to the statutory exclusions to the Ethics Act's definition of the term "conflict" or "conflict of interest," 65 Pa.C.S. § 1102, pursuant to Section 1103(a) of the Ethics Act, a public official/public employee is prohibited 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 1103(f) of the Ethics Act imposes certain restrictions as to contracting: § 1103. Restricted activities (t) Contract. —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 Pa.C.S. § 1103(f). Section 1103(f) of the Ethics Act provides in part that no public official/public employee or his spouse or child or business with which the public official/public employee or his 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 Page, 20-006 Page 16 including prior public notice and subsequent public disclosure of all proposals considered and contracts awarded. Section 1104(a) of the Ethics Act provides that each public official/public employee must file an SFI for the preceding calendar year, each year that he holds the position and the year after he leaves it. Section 1105(b) of the Ethics Act and its subsections detail the financial disclosure that a person required to file the SFI form must provide. Section 1105(b)(1) of the Ethics Act requires the filer to disclose on the SFI his name, address, and public position. Section 1105(b)(2) of the Ethics Act requires the filer to disclose on the SFI his occupation or profession. Subject to certain statutory exceptions, Section I I05(b)(5) of the Ethics Act requires the filer to disclose on the SFI the name and address of any direct or indirect source of income totaling in the aggregate $1,300 or more. Section 1105(b)(8) of the Ethics Act requires the filer to disclose on the SFI any office, directorship or employment in any business entity. Section 1105(b)(9) of the Ethics Act requires the filer to disclose on the SFI any financial interest in any legal entity engaged in business for profit. The term "financial interest" is defined in the Ethics Act as "[a]ny financial interest in a legal entity engaged in business for profit which comprises more than 5% of the equity of the business or more than 5% of the assets of the economic interest in indebtedness." 65 Pa.C.S. § 1102. As noted above, the parties have submitted a Consent Agreement and Stipulation of Findings, The parties' Stipulated Findings are set forth above as the Findings of this Commission. We shall now summarize the relevant facts as contained therein. Page served as a Member of Borough Council from at least 2012 until his resignation on March 14, 2019. Borough Council is comprised of seven Members and a Mayor. Around 2015, the Borough formed a Building Committee to explore locations and options for the construction of a Borough municipal building. The Borough did not own a municipal building at that time, and Borough Council meetings were held at the Lanesboro Community Center. Page, who owns and operates Pages Custom Cabinetry, served on the Building Committee as a Member of Borough Council. Page was appointed to the Building Committee based on his professional experience in the building industry. The Borough's initial intent was to construct a Borough municipal building. The building options that were considered included using currently owned Borough land as a construction site or searching for new land to be used as a construction site. Throughout 2015, Page routinely Page, 20-006 Page 17 updated Borough Council on the Building Committee's efforts to identify contractors, obtain price estimates, develop construction drawings, and determine the scope of work. Around March 2016, the Borough's intent to engage in construction changed when Floyd J. Stout offered to sell the Borough a two-story building that was located at 380 State Street in the Borough (the "State Street Building"). During Borough Council's March 10, 2016, meeting, Page reported that he and two other individuals had inspected the State Street Building and had determined that it was sound and suitable for the Borough's needs. At a special meeting of Borough Council on April 4, 2016, Page made a motion and voted to approve a resolution that authorized the purchase of the State Street Building for the amount of $98,000.00. Page then seconded a motion to approve obtaining financing to purchase and renovate the State Street Building and to consolidate other Borough debt. The Building Committee determined the specifics of the work needed to make the State Street Building suitable for Borough use. Page determined the nature and scope of the interior renovations to be made to the State Street Building. Page, who was the only Borough Council Member on the Building Committee, did not provide Borough Council with a detailed estimate of the costs for the interior renovations. Page determined a budgeted amount of $29,000.00 for materials and labor for the interior renovations predicated on the labor being performed by Page and Shane Lewis, who was the Borough Codes Enforcement Officer. Based upon the budgeted amount of $29,000.00, the renovation work was subject to prevailing wage rate requirements. Page, as a Member of Borough Council and the sole Member of Borough Council on the Building Committee, oversaw the State Street Building renovation project, and he was responsible for selecting contractors to repair and renovate the State Street Building. Page selected himself/Pages Custom Cabinetry to complete work for the State Street Building renovation project that included constructing offices, changing locks, installing exit signs, cleaning gutters, removing trees, and repairing restrooms and doors. Page did not seek quotes from any other contractors for the repair and renovation work, and Borough Council did not take any formal action to authorize Page/Pages Custom Cabinetry to perform any work at the State Street Building. Borough Council did not set a wage or hourly rate that Page would be compensated for work performed at the State Street Building. From March 10, 2016, through July 12, 2018, Page routinely participated in discussions and decisions of Borough Council concerning the State Street Building renovation project. Page provided monthly Building Committee Reports that included information on the renovation progress, financing, inspections, and work still outstanding which was necessary to comply with applicable codes. Borough Council was aware that work was being performed at the State Street Building by Page/Pages Custom Cabinetry. From September 2, 2016, through September 11, 2018, Page/Pages Custom Cabinetry submitted nine invoices totaling $11,860.00 to the Borough Secretary/Treasurer for work performed at the State Street Building. Other than a charge of $250.00 for materials and a charge of $50.00 for a disposal fee, all of the charges on the invoices were for hours of labor that Page claimed for work completed at the State Street Building. Page did not utilize prevailing wage rates for his labor, and he charged between $40.00 and $80.00 per hour for his labor. Between October Page, 20-006 Page 18 13, 2016, and October 11, 2018, Page participated in multiple votes of Borough Council to approve monthly bill lists/Treasurer's reports that included nine payments totaling $11,860.00 which were made to Page/Pages Custom Cabinetry. During the time that the Borough was renovating the State Street Building, at least two municipal renovation projects in Susquehanna County were paying prevailing wage rates that ranged between $44.61 and $46.96 per hour. Based upon the prevailing wage rates for the two municipal renovation projects, the parties have stipulated that Page was paid $881.05 more than he would have been paid if prevailing wage rates had been utilized for the State Street Building renovation project. With regard to Page's SFIs, Page: (1) failed to provide a complete response to "Address" and a response to "Status" on his SFIs for calendar years 2014 through 2017; (2) failed to provide a response to "Governmental Entity" on his SFIs for calendar years 2014 and 2015; (3) failed to provide a response to "Occupation or Profession" on his SFIs for calendar years 2016 and 2017; (4) reported no "Direct or Indirect Sources of Income" on his SFIs for calendar years 2014 through 2018; and (5) failed to report his employment with and his financial interest in Pages Custom Cabinetry on his SFIs for calendar years 2014 through 2018. 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 as follows: 3. The Investigative Division will recommend the following in relation to the above allegations: a. That a violation of Section 1103(a) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1103(a), occurred in relation to Eric Page utilizing the authority of his public office when he selected/contracted and/or otherwise authorized Pages Custom Cabinetry to perform carpentry/maintenance/repair/renovation work at the Borough municipal building for remuneration; and when he subsequently participated in actions of Borough Council to approve and issue payment to himself and/or Pages Custom Cabinetry. b. That, as part of a negotiated settlement agreement, no violation of Section 1103(f) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1103(f), occurred in relation to Eric Page and/or Pages Custom Cabinetry entering into agreements/contracts with the Borough for Page, 20-006 Page 19 goods/services valued in excess of $500,00 absent an open and public process. C. That a technical violation of Section 1105(b)(1) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § I I05(b)(1), occurred when Page neglected to provide a complete response to "Address" and to correctly identify his "Public Position" upon filings made for the 2014 through 2017 calendar years. d. That a technical violation of Section 1105(b)(2) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1105(b)(2), occurred when Page neglected to provide a response to "Occupation" upon Filings made for the 2016 and 2017 calendar years. e. That a technical violation of Section 1105(b)(5) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1105(b)(5), occurred when Page neglected to report "Direct/Indirect Income" upon filings made for the 2014 through 2018 calendar years. f That technical violations of Sections 1105(b)(8)(9) of the Public Official and Employee Ethics Act, 65 Pa.C.S. §§1105(b) (8),(9), occurred when Page neglected to report any "Office, Directorship or Employment" and any "Financial Interest" in Pages Custom Cabinetry upon filings made for the 2014 through 2018 calendar years. 4. Page agrees to make payment in the amount of $881.05 in settlement of this matter payable to the Oakland Borough Council, Susquehanna County and forwarded to the Pennsylvania State Ethics Commission within thirty (30) days of the issuance of the final adjudication in this matter. 5. Page agrees to file complete and accurate amended Statements of Financial Interests with the Oakland Borough Council, Susquehanna County through the Pennsylvania State Ethics Commission, for calendar years 2014, 2015, 2016, 2017 and 2018 within thirty (30) days of the issuance of the Final adjudication in this matter. 6. Page agrees to not accept any reimbursement, compensation or other payment from the Oakland Borough Council, representing a full or Pam, 20-006 Page 20 partial reimbursement of the amount paid in settlement of this matter. 7. The Investigative Division will recommend that the State Ethics Commission take no further action in this matter; and mare no specific recommendations to any law enforcement or other authority to take action in this matter. Such, however, does not prohibit the Commission from initiating appropriate enforcement actions in the event of Respondent's failure to comply with this agreement or the Commission's order or cooperating with any other authority who may so choose to review this matter further. Consent Agreement, at 2-3. It appears that the Investigative Division in the exercise of its prosecutorial discretion has elected to nolle pros the portion of the allegations pertaining to Section 1104(a) of the Ethics Act. We accept the recommendation of the parties for a finding that a violation of Section 1103(a) of the Ethics Act occurred in relation to Page utilizing the authority of his public office when he selected/contracted and/or otherwise authorized Pages Custom Cabinctry to perform carpentry/maintenance/repair/renovation work at the Borough municipal building for remuneration; and when he subsequently participated in actions of Borough Council to approve and issue payment to him and/or Pages Custom Cabinetry. Page utilized the authority of his public office as a Member of Borough Council when he selected himself/his business, Pages Custom Cabinetry, to complete repair and renovation work for the State Street Building, which the Borough purchased to serve as the Borough municipal building. Page further utilized the authority of his public office when, between October 13, 2016, and October 11, 2018, he participated in multiple votes of Borough Council to approve monthly bill lists/Treasurer's reports that included nine payments totaling $11,860.00 which were made to Page/Pages Custom Cabinetry. Based upon the Stipulated Findings and the Consent Agreement, we hold that Page violated Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), in relation to his utilizing the authority of his public office when he selected/contracted and/or otherwise authorized Pages Custom Cabinetry to perform carpentry/maintenance/repair/renovation work at the Borough municipal building for remuneration; and when he subsequently participated in actions of Borough Council to approve and issue payment to him and/or Pages Custom Cabinctry. We accept the parties' recommendation, and we hold, that as part of a negotiated settlement agreement, no violation of Section 1103(f) of the Ethics Act, 65 Pa.C.S. § 1103(f), occurred in relation to Page and/or Pages Custom Cabinetry entering into agreements/contracts with the Borough for goods/services valued in excess of $500.00 absent an open and public process. Turning to the allegations regarding Page's SFIs, we hold that: (1) a technical violation of Section 1105(b)(1) of the Ethics Act, 65 Pa.C.S. § 1105(b)(1), occurred when Page neglected to Page, 20-006 Page 21 provide a complete response to "Address" and to correctly identify his public position upon SFI filings made for the 2014 through 2017 calendar years; (2) a technical violation of Section 1105(b)(2) of the Ethics Act, 65 Pa.C.S. § 1105(b)(2), occurred when Page neglected to provide a response to "Occupation or Profession" upon SFI filings made for the 2016 and 2017 calendar years; (3) a technical violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b)(5), occurred when Page neglected to report "Direct or Indirect Sources of Income" upon SFI filings made for the 2014 through 2018 calendar years; and four (4) technical violations of Sections 1105(b)(8), (9) of the Ethics Act, 65 Pa.C.S. §§ 1105(b)(8), (9), occurred when Page neglected to report any "Office, Directorship or Employment" and any "Financial Interest" in Pages Custom Cabinetry upon SFI filings made for the 2014 through 2018 calendar years. As part of the Consent Agreement, Page has agreed to make payment in the amount of $881.05 payable to Oakland Borough Council, Susquehanna County, and forwarded to this Commission within thirty (30) days of the issuance of the final adjudication in this matter. Page has agreed to not accept any reimbursement, compensation or other payment from Borough Council representing a full or partial reimbursement of the amount paid in settlement of this matter. Page has further agreed to file complete and accurate amended SFIs for calendar years 2014, 2015, 2016, 2017, and 2018 with Borough Council, through this Commission, within thirty (30) days of the issuance of the final adjudication in this matter. We determine that the Consent Agreement submitted by the parties sets forth a proper disposition for this case, based upon our review as reflected in the above analysis and the totality of the facts and circumstances. Accordingly, per the Consent Agreement of the parties, to the extent he has not already done so, Page is directed to make payment in the amount of $881.05 payable to Oakland Borough Council, Susquehanna County, and forwarded to this Commission by no later than the thirtieth (30"') day after the mailing date of this adjudication and Order. Per the Consent Agreement of the parties, Page is directed to not accept any reimbursement, compensation or other payment from Borough Council representing a full or partial reimbursement of the amount paid in settlement of this matter. To the extent he has not already done so, Page is directed to file complete and accurate amended SFIs for calendar years 2014, 2015, 2016, 2017, and 2018 with Borough Council, through this Commission, by no later than the thirtieth (301h) day after the mailing date of this adjudication and Order. 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: As a Member of Council for Oakland Borough ("Borough"), Susquehanna County, Pennsylvania, from at least 2012 until March 14, 2019, Respondent Eric Page ("Page") Page, 20-006 Page 22 was a public official subject to the provisions of the Public Official and Employee Ethics Act ("Ethics Act"), 65 Pa.C.S. § 1101 et seMc . 2. Page violated Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), in relation to his utilizing the authority of his public office when he selected/contracted and/or otherwise authorized Pages Custom Cabinetry to perform carpentry/ maintenance/repair/renovation work at the Borough municipal building for remuneration; and when he subsequently participated in actions of Borough Council to approve and issue payment to himself and/or Pages Custom Cabinetry. 3. As part of a negotiated settlement agreement, no violation of Section 1103(f) of the Ethics Act, 65 Pa.C.S. § 1103(f), occurred in relation to Page and/or Pages Custom Cabinetry entering into agreements/contracts with the Borough for goods/services valued in excess of $500.00 absent an open and public process. 4. A technical violation of Section 1105(b)(1) of the Ethics Act, 65 Pa.C.S. § 1105(b)(1), occurred when Page neglected to provide a complete response to "Address" and to correctly identify his public position upon Statement of Financial Interests ("SFI") flings made for the 2014 through 2017 calendar years. 5. A technical violation of Section 1105(b)(2) of the Ethics Act, 65 Pa.C.S. § 1105(b)(2), occurred when Page neglected to provide a response to "Occupation or Profession" upon SFI filings made for the 2016 and 2017 calendar years. 6. A technical violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b)(5), occurred when Page neglected to report "Direct or Indirect Sources of Income" upon SFI filings made for the 2014 through 2018 calendar years. 7. Technical violations of Sections 1105(b)(8), (9) of the Ethics Act, 65 Pa.C.S. §§ 1105(b)(8), (9), occurred when Page neglected to report any "Office, Directorship or Employment" and any "Financial Interest" in Pages Custom Cabinetry upon SFI filings made for the 2014 through 2018 calendar years. In Re: Eric Page, File Docket: 20-006 Respondent Date Decided: 3/29/21 Date Mailed: 4/l/21 ORDER NO. 1782 Eric Page ("Page"), as a Member of Council for Oakland Borough ("Borough"), Susquehanna County, Pennsylvania, violated Section 1103(a) of the Public Official and Employee Ethics Act ("Ethics Act"), 65 Pa.C.S. § 1103(a), in relation to his utilizing the authority of his public office when he selected/contracted and/or otherwise authorized Pages Custom Cabinctry to perform carpentry/ maintenance/repair/renovation work at the Borough municipal building for remuneration; and when he subsequently participated in actions of Borough Council to approve and issue payment to himself and/or Pages Custom Cabinetry. 2. As part of a negotiated settlement agreement, no violation of Section 1103(f) of the Ethics Act, 65 Pa.C.S. § 1103(f), occurred in relation to Page and/or Pages Custom Cabinetry entering into agreements/contracts with the Borough for goods/services valued in excess of $500.00 absent an open and public process. 3. A technical violation of Section 1105(b)(1) of the Ethics Act, 65 Pa.C.S. § 1105(b)(1), occurred when Page neglected to provide a complete response to "Address" and to correctly identify his public position upon Statement of Financial Interests ("SFI") filings made for the 2014 through 2017 calendar years. 4. A technical violation of Section 1105(b)(2) of the Ethics Act, 65 Pa.C.S. § 1105(b)(2), occurred when Page neglected to provide a response to "Occupation or Profession" upon SFI filings made for the 2016 and 2017 calendar years. 5. A technical violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b)(5), occurred when Page neglected to report "Direct or Indirect Sources of Income" upon SFI filings made for the 2014 through 2018 calendar years. 6. Technical violations of Sections 1105(b)(8), (9) of the Ethics Act, 65 Pa.C.S. §§ 1105(b)(8), (9), occurred when Page neglected to report any "Office, Directorship or Employment" and any "Financial Interest" in Pages Custom Cabinctry upon SFI filings made for the 2014 through 2018 calendar years. 7. To the extent he has not already done so, per the Consent Agreement of the parties, Page is directed to make payment in the amount of $881.05 payable to Oakland Borough Council, Susquehanna County, and forwarded to the Pennsylvania State Ethics Commission by no later than the thirtieth (301h) day after the mailing date of this Order. Pale, 20-006 Page 24 8. Per the Consent Agreement of the parties, Page is directed to not accept any reimbursement, compensation or other payment from Borough Council representing a full or partial reimbursement of the amount paid in settlement of this matter. 9. To the extent he has not already done so, Page is directed to file complete and accurate amended SFIs for calendar years 2014, 2015, 2016, 2017, and 2018 with Borough Council, through the Pennsylvania State Ethics Commission, by no later than the thirtieth (30"') day after the mailing date of this Order. 10. Compliance with paragraphs 7, 8, and 9 of this Order will result in the closing of this case with no further action by this Commission. a. Non-compliance will result in the institution of an order enforcement action. BY THE COMMISSION, P;44/4) Nicholas A. Colafella hair