Presenter
Presented by Mr. Hertzberg
AS AMENDED
Title
Resolution directing that the Mayor and the City Solicitor immediately contact the Intergovernmental Cooperation Authority in writing to request that the Authority conduct its own internal investigation inquiries of allegations made by Fairmont Capital Advisors against Mr. Henry Sciortino, Executive Director of the ICA, and report their findings within 15 days.
Body
Whereas, the City of Pittsburgh ('the City") and the Pittsburgh Intergovernmental Cooperation Authority ('the Authority") have entered into an agreement to assist the City eliminating its structural deficit while providing essential services; and
Whereas, the historically unprecedented role of state oversight of Pittsburgh's difficult fiscal challenges places the Authority, its employees and its vendors in a position of significant influence over public policy in the City and the region; and
Whereas, one of the provisions of the agreement between the City and the Authority is that the City will pay that portion of the Authority's operating expenses not paid for by state appropriations by the Commonwealth of Pennsylvania; and
Whereas, Henry Sciortino of West Chester, Chester County, has been hired by the Authority as the Executive Director of the Authority at a monthly fee of $14,000; and
Whereas, as the principal employee of the Authority, Mr. Sciortino is intimately involved in all matters concerning the Authority, including highly sensitive information concerning budgets, personnel, collective bargaining, pensions, investments, and other matters; and
Whereas, the success of the mission of the Authority in its oversight of the City's fiscal affairs is heavily dependent on the credibility and professional reputations of all of the principles and staff involved in the work of said contract; and
Whereas, recent news reports have surfaced which describe court documents involving a dispute between Mr. Sciortino and his former firm, Fairmount Capital, which contain serious allegations regarding Mr. Sciortino's professional conduct and reputation; and
Whereas, these documents accuse Mr. Sciortino of "slipping out of the office and transferring $244,492.68 from one Fairmount account to a newly created account that only he could access" and subsequently writing checks from the newly created account totaling $210,000, and
Whereas, these court documents contain an affidavit by an employee of his former firm which alleges that the "total of Sciortino's misappropriation of funds from the companies was in excess of $500,000"; and
Whereas, the City fully recognizes that allegations in a civil proceeding do not constitute evidence of wrongdoing much less proof; and
Whereas, the City Council of the City of Pittsburgh, as a party to the agreement between the Authority and the City and in its role as a partial underwriter of the expenses of the Authority, is nonetheless concerned about any prospective impediment to the successful completion of the shared mission of the City and the Authority; and
Whereas, the citizens and taxpayers of the City and the Commonwealth of Pennsylvania are entitled to affirmative assurances that all of the employees of the Authority conduct themselves according to the highest ethical standards.
Be it resolved by the Council of the City of Pittsburgh as follows:
Section 1. That the Mayor and the City Solicitor are hereby immediately directed to contact the Intergovernmental Cooperation Authority in writing to request that the Authority conduct its own internal investigation inquiries of the allegations made by Fairmont Capital Advisors against Mr. Henry Sciortino, Exeutive Director of the ICA, and report their findings within 15 days.