January 20, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
Findings from the New Castle school district's preliminary state audit haven't been publicly disclosed, but hard feelings have been unleashed.
The district's message to state Rep. Frank LaGrotta: Keep your comments to yourself.
LaGrotta's response: I hope I'm wrong, but I'm not.
On Jan. 18, the Ellwood City legislator claimed the audit would disclose potential significant and unexplained overpayments to Laidlaw Transit, the district's bus company. The audit covers the school years 2002-2003 and 2003-2004.
LaGrotta said his information came from inside the Pennsylvania Auditor General's Office.
"The district is disappointed that Mr. LaGrotta chose to comment on matters which apparently reflect his own speculation and conjecture," district solicitor Charles Sapienza said Jan. 19. "Furthermore, these comments were made prior to district officials having any opportunity to meet with state auditors."
Sapienza also noted a representative of the auditor general's office had advised him that no one from that department was authorized to discuss the audit with LaGrotta.
"Moreover, (the auditor general's office) explained that releasing information prior to the completed audit is a violation of the auditor general's policy."
In two separate meetings Jan. 19, auditors met with Superintendent George Gabriel, business manager Joseph Ambrosini and special programs coordinator Stan Magusiak. The second session involved the school board, which had five members in attendance.
"We were given nothing," Gabriel said. "We didn't even receive notes from them. It was a discussion."
The state did not permit the public to attend. Kevin Barwin, a regional supervisor with the state's school audit team, said Jan. 18 the meeting was not covered under the state's Sunshine Law.
"The things they talked about today may or may not be included in any report," Sapienza said. "We're not and cannot talk about what the exit audit was all about."
LaGrotta, however, was not bound by the auditor's restrictions.
"Their objection to my effort to keep the taxpayers fully informed are definitely noted," LaGrotta said Jan. 19. "The only relative issue is, did the New Castle Area School District overpay its transportation provider? Was the contract bid and what were the reasons for any such overpayment?"
The focus of LaGrotta's charges is the district's assistant superintendent, Nick DeRosa, and Laidlaw.
DeRosa and his business partner, John Orlando, sold four properties to Affordable Housing of Lawrence County, a nonprofit agency started by the Lawrence County Housing Authority.
Karen DeCarlo, a Laidlaw manager, is a former Affordable Housing board member. During her tenure on the board, DeCarlo voted in favor of purchasing the properties.
DeRosa has directed the district's transportation program since 1989, when he became assistance superintendent. In 1996, Laidlaw won the contract to bus the district's students. It has serviced the district ever since.
DeCarlo, a city councilwoman, said she does not take part in Laidlaw's negotiations with the district.
In the 2004-2005 school year, New Castle spent approximately $1.2 million on transportation costs. Of that amount, the district was reimbursed $679,068 by the state.
In January, the school board voted to put the transportation contract up for bid.
"Everything that has happened in Lawrence County - from the Gary Felasco affair to New Castle school board members and their trip to New Orleans - has raised a tremendous veil of mistrust among the taxpayers," LaGrotta said.
"No one hopes that I am wrong more than I do."
Copyright (c) 2006, New Castle News
Thursday, August 23, 2007
HUD keeping eye on Conti's troubles
January 20, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
The plea agreement by a Lawrence County Housing Authority board member has the interest of a federal agency.
Donald "Ducky" Conti, of 308 E. Home St., entered into a plea agreement Jan. 18 involving charges of illegal gambling devices and illegal sale of liquor. The charges, filed in 2004 by the state police, resulted from a raid on the former Vita Nuova Club/Family and Friends of Italy at 630 E. Washington St.
"We are in contact with the (Lawrence County District Attorney's) office, and we're requesting a report," said Maria Bynum, a regional public affairs officer for the U.S. Department of Housing and Urban Development.
HUD is the only source of funding for the housing authority, which is located in Region III. That area covers Pennsylvania, Delaware, Washington, D.C., Maryland, Virginia and West Virginia.
"Once we get that report, we'll review it and act accordingly," she said.
HUD took action against a housing authority board member on Nov. 29, when it suspended Gary F. Felasco.
The federal housing agency cited criminal charges against Felasco in his role as county treasurer as reason for the suspension. HUD said it is required to protect the public's interest and maintain integrity.
Copyright (c) 2006, New Castle News
PAT LITOWITZ
plitowitz@ncnewsonline.com
The plea agreement by a Lawrence County Housing Authority board member has the interest of a federal agency.
Donald "Ducky" Conti, of 308 E. Home St., entered into a plea agreement Jan. 18 involving charges of illegal gambling devices and illegal sale of liquor. The charges, filed in 2004 by the state police, resulted from a raid on the former Vita Nuova Club/Family and Friends of Italy at 630 E. Washington St.
"We are in contact with the (Lawrence County District Attorney's) office, and we're requesting a report," said Maria Bynum, a regional public affairs officer for the U.S. Department of Housing and Urban Development.
HUD is the only source of funding for the housing authority, which is located in Region III. That area covers Pennsylvania, Delaware, Washington, D.C., Maryland, Virginia and West Virginia.
"Once we get that report, we'll review it and act accordingly," she said.
HUD took action against a housing authority board member on Nov. 29, when it suspended Gary F. Felasco.
The federal housing agency cited criminal charges against Felasco in his role as county treasurer as reason for the suspension. HUD said it is required to protect the public's interest and maintain integrity.
Copyright (c) 2006, New Castle News
LaGrotta offers glimpse into city schools audit
January 19, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
State Rep. Frank LaGrotta provided the New Castle school district a glimpse into its audit meeting set for Jan. 19.
The words "significant" and unexplained" will be part of the conversation, the legislator suggested Jan. 18.
"Sources inside the Auditor General's Office have informed me that a preliminary audit of the New Castle school district's transportation contract has revealed potential significant and unexplained overpayments to the transportation company."
Superintendent George Gabriel, business manager Joseph Ambrosini and school board members will learn about the audit findings from state officials. While it was expected the findings would center on Laidlaw Transit, the district's transportation provider, the severity and dollar amount are unknown to school officials.
Gabriel said he could not comment on LaGrotta's statements because he had not seen the audit.
The superintendent had agreed to open the meeting to the media, but the auditor general's office refused.
Kevin Barwin, a regional supervisor with the state's school audit team, said the meeting is not covered under the state's Sunshine Law. He said ideally, the report should be available to the public within 90 days.
"Obviously, I would like it to be as timely as possible," he said of the report's release.
LaGrotta said he had approached the auditor general's office regarding the district's transportation contract. He cited "allegations of an improper relationship between the school district and Lawrence County Affordable Housing."
The mission of the nonprofit agency, spun off from the Lawrence County Housing Authority, is to provide reasonably priced housing for handicapped individuals and senior citizens. The group has come under scrutiny for its purchasing practices involving real estate and the mass exodus of its board members.
Additional questions regarding its laundry contract and dwindling finances have left Affordable Housing's viability in doubt.
The school district itself has no relationship with the agency. However, Nick DeRosa, assistant superintendent, entered into four real estate transactions last month with Affordable Housing.
Karen DeCarlo, a manager with Laidlaw Transport, is a New Castle city councilwoman and a former Affordable Housing board member. During her tenure on the board, DeCarlo voted in favor of purchasing the properties from DeRosa and his business partner, John Orlando.
DeCarlo said last month she was not told DeRosa had a role in the sale.
The potential for conflict comes into question because DeRosa negotiated the district's transportation contract with Laidlaw. DeCarlo had stated previously she played no role in obtaining the contract with the school district.
"In light of the perceptions of impropriety created by the news stories on Affordable Housing and its activities, I thought it was very important that taxpayers receive assurance from the state that their tax dollars were being properly utilized," LaGrotta said.
At the time LaGrotta approached the state for its assistance, he was advised an audit already had taken place.
The school district has been addressing issues about its transportation program since 1992.
Previous audits have cited the district for insufficient documentation, ineffectual internal control and lack of board policy regarding the program.
Copyright (c) 2006, New Castle News
PAT LITOWITZ
plitowitz@ncnewsonline.com
State Rep. Frank LaGrotta provided the New Castle school district a glimpse into its audit meeting set for Jan. 19.
The words "significant" and unexplained" will be part of the conversation, the legislator suggested Jan. 18.
"Sources inside the Auditor General's Office have informed me that a preliminary audit of the New Castle school district's transportation contract has revealed potential significant and unexplained overpayments to the transportation company."
Superintendent George Gabriel, business manager Joseph Ambrosini and school board members will learn about the audit findings from state officials. While it was expected the findings would center on Laidlaw Transit, the district's transportation provider, the severity and dollar amount are unknown to school officials.
Gabriel said he could not comment on LaGrotta's statements because he had not seen the audit.
The superintendent had agreed to open the meeting to the media, but the auditor general's office refused.
Kevin Barwin, a regional supervisor with the state's school audit team, said the meeting is not covered under the state's Sunshine Law. He said ideally, the report should be available to the public within 90 days.
"Obviously, I would like it to be as timely as possible," he said of the report's release.
LaGrotta said he had approached the auditor general's office regarding the district's transportation contract. He cited "allegations of an improper relationship between the school district and Lawrence County Affordable Housing."
The mission of the nonprofit agency, spun off from the Lawrence County Housing Authority, is to provide reasonably priced housing for handicapped individuals and senior citizens. The group has come under scrutiny for its purchasing practices involving real estate and the mass exodus of its board members.
Additional questions regarding its laundry contract and dwindling finances have left Affordable Housing's viability in doubt.
The school district itself has no relationship with the agency. However, Nick DeRosa, assistant superintendent, entered into four real estate transactions last month with Affordable Housing.
Karen DeCarlo, a manager with Laidlaw Transport, is a New Castle city councilwoman and a former Affordable Housing board member. During her tenure on the board, DeCarlo voted in favor of purchasing the properties from DeRosa and his business partner, John Orlando.
DeCarlo said last month she was not told DeRosa had a role in the sale.
The potential for conflict comes into question because DeRosa negotiated the district's transportation contract with Laidlaw. DeCarlo had stated previously she played no role in obtaining the contract with the school district.
"In light of the perceptions of impropriety created by the news stories on Affordable Housing and its activities, I thought it was very important that taxpayers receive assurance from the state that their tax dollars were being properly utilized," LaGrotta said.
At the time LaGrotta approached the state for its assistance, he was advised an audit already had taken place.
The school district has been addressing issues about its transportation program since 1992.
Previous audits have cited the district for insufficient documentation, ineffectual internal control and lack of board policy regarding the program.
Copyright (c) 2006, New Castle News
Solicitor had concerns about Affordable Housing
January 13, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
The county housing authority's solicitor had concerns dating back to 2004 about the operations of a nonprofit spinoff agency.
It was that year, attorney Louis Perrotta said, that he sent letters to Robert Evanick, the Lawrence County Housing Authority's executive director, regarding Affordable Housing of Lawrence County.
That agency was started in August 2003 by the housing authority.
In the April correspondence, Perrotta requested that five areas be addressed.
They were contracts, segregation of funds, conflicts of interest, board appointments and collateral. He recommended an outside law firm examine those issues.
In October 2004, he reiterated his request.
Perrotta also sought a meeting with the solicitor of Butler County's affordable housing agency.
"I had some questions on the relationships and how it worked," Perrotta said Jan. 12.
That meeting never took place.
"No one ever got back to me on it," he said.
Evanick said he could not recall those particular letters.
"I receive correspondence from him all the time," he said of Perrotta.
The housing authority hired Perrotta as its solicitor in 2003. Jan. 12, at the housing authority's meeting, the board accepted his resignation.
Perrotta gave his notice to Evanick early this month. At the time, Evanick said the attorney's contract was due for renewal, adding, "He indicated to me that he was thinking about it in December."
Copyright (c) 2006, New Castle News
PAT LITOWITZ
plitowitz@ncnewsonline.com
The county housing authority's solicitor had concerns dating back to 2004 about the operations of a nonprofit spinoff agency.
It was that year, attorney Louis Perrotta said, that he sent letters to Robert Evanick, the Lawrence County Housing Authority's executive director, regarding Affordable Housing of Lawrence County.
That agency was started in August 2003 by the housing authority.
In the April correspondence, Perrotta requested that five areas be addressed.
They were contracts, segregation of funds, conflicts of interest, board appointments and collateral. He recommended an outside law firm examine those issues.
In October 2004, he reiterated his request.
Perrotta also sought a meeting with the solicitor of Butler County's affordable housing agency.
"I had some questions on the relationships and how it worked," Perrotta said Jan. 12.
That meeting never took place.
"No one ever got back to me on it," he said.
Evanick said he could not recall those particular letters.
"I receive correspondence from him all the time," he said of Perrotta.
The housing authority hired Perrotta as its solicitor in 2003. Jan. 12, at the housing authority's meeting, the board accepted his resignation.
Perrotta gave his notice to Evanick early this month. At the time, Evanick said the attorney's contract was due for renewal, adding, "He indicated to me that he was thinking about it in December."
Copyright (c) 2006, New Castle News
Authority revokes laundry operation
Date: January 13, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
The financial health and future of Affordable Housing of Lawrence County appear to be in jeopardy.
The Lawrence County Housing Authority yesterday gave the nonprofit agency 60 days to return the coin-laundry operation to the authority's control.
Chairman Robert Heath led the move to return the funds to the housing authority. The vote was 3-1, with Heath, Ernestine Wise and new board member William Betz supporting the action. Donald "Ducky" Conti voted no.
This was Heath's second effort to cancel the laundry contract, which covers 20 washers and 19 dryers. His first was last May.
"You're taking money from Affordable Housing, which is part of their income to pay back their loan," said Conti, who also is Affordable Housing's secretary.
"The last time I made that motion you said that," Heath responded. "In the meantime, you bought houses. Now, you get an income. Am I correct?"
ASSISTANCE
On Nov. 13, 2003, the housing authority helped the fledgling group by turning over its laundry operations at Lawrence Manor, Skyview Towers and McGrath Manor in New Castle and Crescent Place in Ellwood City. Affordable Housing also received a $200,000 no-interest loan from the authority.
In December, Affordable Housing bought seven properties for $327,500. As part of the purchase, the agency secured a $250,000 mortgage through First Commonwealth Bank. On June 29, Affordable Housing used a property it owns on Cunningham Avenue to obtain a $40,000 loan at First Commonwealth Bank.
Bill Bonner, a bank official at First Commonwealth, is Affordable Housing's chairman. Bonner has said he excused himself from any business dealings involving Affordable Housing and the bank.
"The only income we had at the time was the laundry," Conti said in reference to the mortgage loan application.
"They factored that money in with what we're getting from our rent. That's the reason we got into that mortgage, because we had the money."
DIFFERENCES
Records obtained by the New Castle News show a discrepancy in the amount collected from the coin laundry operations by the housing authority and what Affordable Housing pulled in.
According to housing authority information, the authority collected $17,480 from January to December 2003. That averages about $1,457 per month.
From September 2004 to August 2005, Affordable Housing received $11,830 from the coin-operated machines. That averages about $986 a month.
The difference collected between the two agencies is an average of $471 monthly.
Figures from January 2004 to August 2004 were not made available to The News.
"I can't explain it," Evanick said of the drop. "Mr. Conti and Mr. Jon Librandi handled that."
Librandi, who had been Affordable Housing's treasurer, died in October 2005 of injuries suffered in a motorcycle accident.
Inconsistencies in the reporting of coin-laundry revenue also extend to Affordable Housing's reports to the Internal Revenue Service. Because Affordable Housing is recognized as a nonprofit entity, it must file a Form 990 annually. The annual "Report of Organization Exempt From Income Tax" must be made available for public inspection.
In its 2003 filing, Affordable Housing reported it made $8,000 from coin-laundry income.
However, Affordable Housing took over control of laundry operations on Nov. 14, 2003.
Based on housing authority numbers - an average of $1,456.6 collected monthly in 2003 - November and December 2003 should have generated $2,913. That figure is nearly $5,100 less than what Affordable Housing reported to the IRS.
NO MONEY?
In its 2004 IRS filing, Affordable Housing reported no income from its laundry operations.
Evanick was the nonprofit group's chairman in 2003 and 2004. He resigned in December.
"I don't know who did it," he said of the 2004 IRS filing. "I never saw it."
Evanick signed the form in 2003, while Conti's signature appears on the 2004 form.
Conti acknowledged the $985.83 monthly average Affordable Housing collects appears to be correct. He said he would need to check the agency records.
Conti, who joined the board in 2004, said he could not comment on the 2003 filing. As for 2004, he said, "I have no clue on this stuff."
Conti added that Librandi was responsible for collecting money from the washers and dryers. Upon his death, a county deputy sheriff handled the task.
A STRAIN
The housing authority's action will further strain Affordable Housing's resources, according to Conti.
He said the agency has $13,000 in operating revenue, in addition to rent payments and the final two months of laundry collections.
The planned purchase of six more properties in early March will be reviewed, he said.
"We're still going to look at doing that."
In the meantime, Evanick is showing little sympathy.
"What they do with it now, it's up to them," he said. "We're not liable for Affordable Housing."
As for Conti, he said, "These guys down here (at the housing authority) have no backbone. As soon as their names hit the paper, they want to fly. They're scared.
"There is nothing to hide."
Copyright (c) 2006, New Castle News
PAT LITOWITZ
plitowitz@ncnewsonline.com
The financial health and future of Affordable Housing of Lawrence County appear to be in jeopardy.
The Lawrence County Housing Authority yesterday gave the nonprofit agency 60 days to return the coin-laundry operation to the authority's control.
Chairman Robert Heath led the move to return the funds to the housing authority. The vote was 3-1, with Heath, Ernestine Wise and new board member William Betz supporting the action. Donald "Ducky" Conti voted no.
This was Heath's second effort to cancel the laundry contract, which covers 20 washers and 19 dryers. His first was last May.
"You're taking money from Affordable Housing, which is part of their income to pay back their loan," said Conti, who also is Affordable Housing's secretary.
"The last time I made that motion you said that," Heath responded. "In the meantime, you bought houses. Now, you get an income. Am I correct?"
ASSISTANCE
On Nov. 13, 2003, the housing authority helped the fledgling group by turning over its laundry operations at Lawrence Manor, Skyview Towers and McGrath Manor in New Castle and Crescent Place in Ellwood City. Affordable Housing also received a $200,000 no-interest loan from the authority.
In December, Affordable Housing bought seven properties for $327,500. As part of the purchase, the agency secured a $250,000 mortgage through First Commonwealth Bank. On June 29, Affordable Housing used a property it owns on Cunningham Avenue to obtain a $40,000 loan at First Commonwealth Bank.
Bill Bonner, a bank official at First Commonwealth, is Affordable Housing's chairman. Bonner has said he excused himself from any business dealings involving Affordable Housing and the bank.
"The only income we had at the time was the laundry," Conti said in reference to the mortgage loan application.
"They factored that money in with what we're getting from our rent. That's the reason we got into that mortgage, because we had the money."
DIFFERENCES
Records obtained by the New Castle News show a discrepancy in the amount collected from the coin laundry operations by the housing authority and what Affordable Housing pulled in.
According to housing authority information, the authority collected $17,480 from January to December 2003. That averages about $1,457 per month.
From September 2004 to August 2005, Affordable Housing received $11,830 from the coin-operated machines. That averages about $986 a month.
The difference collected between the two agencies is an average of $471 monthly.
Figures from January 2004 to August 2004 were not made available to The News.
"I can't explain it," Evanick said of the drop. "Mr. Conti and Mr. Jon Librandi handled that."
Librandi, who had been Affordable Housing's treasurer, died in October 2005 of injuries suffered in a motorcycle accident.
Inconsistencies in the reporting of coin-laundry revenue also extend to Affordable Housing's reports to the Internal Revenue Service. Because Affordable Housing is recognized as a nonprofit entity, it must file a Form 990 annually. The annual "Report of Organization Exempt From Income Tax" must be made available for public inspection.
In its 2003 filing, Affordable Housing reported it made $8,000 from coin-laundry income.
However, Affordable Housing took over control of laundry operations on Nov. 14, 2003.
Based on housing authority numbers - an average of $1,456.6 collected monthly in 2003 - November and December 2003 should have generated $2,913. That figure is nearly $5,100 less than what Affordable Housing reported to the IRS.
NO MONEY?
In its 2004 IRS filing, Affordable Housing reported no income from its laundry operations.
Evanick was the nonprofit group's chairman in 2003 and 2004. He resigned in December.
"I don't know who did it," he said of the 2004 IRS filing. "I never saw it."
Evanick signed the form in 2003, while Conti's signature appears on the 2004 form.
Conti acknowledged the $985.83 monthly average Affordable Housing collects appears to be correct. He said he would need to check the agency records.
Conti, who joined the board in 2004, said he could not comment on the 2003 filing. As for 2004, he said, "I have no clue on this stuff."
Conti added that Librandi was responsible for collecting money from the washers and dryers. Upon his death, a county deputy sheriff handled the task.
A STRAIN
The housing authority's action will further strain Affordable Housing's resources, according to Conti.
He said the agency has $13,000 in operating revenue, in addition to rent payments and the final two months of laundry collections.
The planned purchase of six more properties in early March will be reviewed, he said.
"We're still going to look at doing that."
In the meantime, Evanick is showing little sympathy.
"What they do with it now, it's up to them," he said. "We're not liable for Affordable Housing."
As for Conti, he said, "These guys down here (at the housing authority) have no backbone. As soon as their names hit the paper, they want to fly. They're scared.
"There is nothing to hide."
Copyright (c) 2006, New Castle News
New Castle schools pick Pepsi
January 13, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
The New Castle School Area School District has accepted the Pepsi Challenge.
However, the $65,000 deal left a sugary aftertaste in the mouths of two school board members.
The board approved a vending contract with Pepsi and DenVend that covers a 10-year period. Starting with the current school year, the district will receive $6,500 a year for 10 years. The district also will earn a 35 percent commission on total sales, which will be paid monthly.
The vote Jan. 11 night was 6-2, with Philip Conti and Donna Donati opposed and Allan Joseph absent.
"I think you send a mixed message to students when you install Pepsi machines," Conti said.
"It's bad business," said Conti, a former consumer education teacher. "I would have been screaming at those kids for buying Pepsi from that machine.
"It's not in their best interest."
Proceeds from the machines will be used to fund student activities throughout the district.
"Every little bit will help, but I don't want to sacrifice the kids' health," district business manager Joe Ambrosini said.
He said drinks other than carbonated beverages may be placed in the machines.
Board member Charlotte Sheffield said students will also have the choice of bottled water, fruit juices and milk.
Donati argued the length of the contract was too long.
She also explained that after July 1, school districts participating in the national school lunch program must have wellness policies in place.
According to the Pennsylvania Department of Education, districts must provide nutrition guidelines for all foods available on the school grounds during the school day; goals for nutrition education, physical activity and other school-based activities; a plan to measure implementation; and oversight responsibilities.
The state will implement its guidelines over the next three years starting this year. By 2008, the state recommends that only water, fruit juice and low-fat or skim milk be served.
"If we're teaching our children to eat well, why is it necessary to have soda in the machine?" Donati asked. "It's not going to hurt children to not have a Pepsi for seven hours."
Copyright (c) 2006, New Castle News
PAT LITOWITZ
plitowitz@ncnewsonline.com
The New Castle School Area School District has accepted the Pepsi Challenge.
However, the $65,000 deal left a sugary aftertaste in the mouths of two school board members.
The board approved a vending contract with Pepsi and DenVend that covers a 10-year period. Starting with the current school year, the district will receive $6,500 a year for 10 years. The district also will earn a 35 percent commission on total sales, which will be paid monthly.
The vote Jan. 11 night was 6-2, with Philip Conti and Donna Donati opposed and Allan Joseph absent.
"I think you send a mixed message to students when you install Pepsi machines," Conti said.
"It's bad business," said Conti, a former consumer education teacher. "I would have been screaming at those kids for buying Pepsi from that machine.
"It's not in their best interest."
Proceeds from the machines will be used to fund student activities throughout the district.
"Every little bit will help, but I don't want to sacrifice the kids' health," district business manager Joe Ambrosini said.
He said drinks other than carbonated beverages may be placed in the machines.
Board member Charlotte Sheffield said students will also have the choice of bottled water, fruit juices and milk.
Donati argued the length of the contract was too long.
She also explained that after July 1, school districts participating in the national school lunch program must have wellness policies in place.
According to the Pennsylvania Department of Education, districts must provide nutrition guidelines for all foods available on the school grounds during the school day; goals for nutrition education, physical activity and other school-based activities; a plan to measure implementation; and oversight responsibilities.
The state will implement its guidelines over the next three years starting this year. By 2008, the state recommends that only water, fruit juice and low-fat or skim milk be served.
"If we're teaching our children to eat well, why is it necessary to have soda in the machine?" Donati asked. "It's not going to hurt children to not have a Pepsi for seven hours."
Copyright (c) 2006, New Castle News
Wednesday, August 22, 2007
Group to purchase more houses
January 10, 2006
PAT LITOWITZ
plitowitz@ncnewsonline.com
Affordable Housing of Lawrence County plans to build on its recent purchase of seven homes.
The nonprofit group intends to spend $242,000 in early March to buy six properties on Morton, Court, Phillips and Lathrop streets and Maryland Avenue.
The move is meant to increase the availability of handicapped-accessible housing to county residents, according to Robert Ratkovich, the group's construction consultant.
He would not disclose the owners of those six properties.
"I don't think there's no places in the city of New Castle or even Lawrence County that an apartment or maybe a home is already handicapped accessible (that) somebody is renting out," Ratkovich said.
In addition to being New Castle City Council president, Ratkovich is maintenance supervisor for the Lawrence County Housing Authority.
A NICHE
A conversation with the housing authority's Section 8 coordinator, Gene DiGennaro, revealed a niche that Affordable Housing could take advantage of, Ratkovich said.
"Basically I asked him, 'What are the needs of Section 8?"
Housing for the handicapped was DiGennaro's answer, Ratkovich said.
Section 8 is a federal program that provides vouchers to low-income families in need of housing.
Affordable Housing's goal is to outfit the first floor of each house to meet the demands of disabled individuals. Ratkovich said $7,500 to $20,000 will be spent during a three-year period on each building.
The seven properties purchased in December feature 18 apartments. Homes on Cascade Street and Dewey and Frank avenues cannot be converted to meet the needs of disabled residences, Ratkovich said.
However, they still can be used by Section 8-eligible renters.
Four first-floor apartments have tenants. Renovations to those facilities will be done in stages. That leaves one site on Croton Avenue available for a handicapped tenant. Work at that location is expected to begin this month.
"We don't want to displace anybody," Ratkovich said. "We will work with current residents while renovating properties."
An eighth Affordable Housing property, at 1114 Cunningham Ave., was purchased March 8 for $12,500. The county assessor's office values the property at $26,700, while the state's assessed value is $29,276.
RENOVATIONS
Ratkovich said that home was gutted and $18,000 spent for renovations. He said the resident is leasing the house with an option to buy.
Donald "Ducky" Conti, Affordable Housing's secretary, said the group's efforts are helping the community. He questions those who criticize the project.
"The (New Castle News is) putting out that we're not doing something good - like we're hurting something."
Ratkovich, a certified building code inspector, handled negotiations for the seven properties. He said DiGennaro provided leads on three locations and Ratkovich learned of the others through word of mouth.
"I had asked him if he had known of any landlords that would like to sell their properties that were Section 8 landlords at one time," he said. "I went out and started looking to see what fit into our criteria."
GOOD DEAL
Ratkovich said he was happy with his bargaining strategy. Although some county officials criticized Affordable Housing for paying inflated prices, Ratkovich said Affordable Housing spent less than projected.
For example, Affordable Housing paid $72,000 for a triplex at 1806 Highland Ave. The county and state assessed the property at $49,400 and $54,167, respectively.
"You have to look at the income stream you're going to make off the property," Ratkovich said.
He said former owners Nick DeRosa, assistant superintendent of New Castle school district, and John A. Orlando originally wanted $79,900. Ratkovich set a ceiling of $75,000.
"Some of them, I didn't need to negotiate with them," he said. "It was basically, 'How much do you want for it?' I already had an idea in my head, and when they hit it, it was like, 'OK, no problem.'"
Funding for the purchases came from a $250,000 loan from First Commonwealth Bank and grant money.
Affordable Housing wanted to purchase 13 houses at first, Ratkovich recalled. He said officials at First Commonwealth Bank rejected the effort.
Money for purchase of next six houses will come through a different funding source, Ratkovich said, either First National Bank or Sky Bank.
"We haven't got a bank yet," Conti said.
Copyright (c) 2006, New Castle News
PAT LITOWITZ
plitowitz@ncnewsonline.com
Affordable Housing of Lawrence County plans to build on its recent purchase of seven homes.
The nonprofit group intends to spend $242,000 in early March to buy six properties on Morton, Court, Phillips and Lathrop streets and Maryland Avenue.
The move is meant to increase the availability of handicapped-accessible housing to county residents, according to Robert Ratkovich, the group's construction consultant.
He would not disclose the owners of those six properties.
"I don't think there's no places in the city of New Castle or even Lawrence County that an apartment or maybe a home is already handicapped accessible (that) somebody is renting out," Ratkovich said.
In addition to being New Castle City Council president, Ratkovich is maintenance supervisor for the Lawrence County Housing Authority.
A NICHE
A conversation with the housing authority's Section 8 coordinator, Gene DiGennaro, revealed a niche that Affordable Housing could take advantage of, Ratkovich said.
"Basically I asked him, 'What are the needs of Section 8?"
Housing for the handicapped was DiGennaro's answer, Ratkovich said.
Section 8 is a federal program that provides vouchers to low-income families in need of housing.
Affordable Housing's goal is to outfit the first floor of each house to meet the demands of disabled individuals. Ratkovich said $7,500 to $20,000 will be spent during a three-year period on each building.
The seven properties purchased in December feature 18 apartments. Homes on Cascade Street and Dewey and Frank avenues cannot be converted to meet the needs of disabled residences, Ratkovich said.
However, they still can be used by Section 8-eligible renters.
Four first-floor apartments have tenants. Renovations to those facilities will be done in stages. That leaves one site on Croton Avenue available for a handicapped tenant. Work at that location is expected to begin this month.
"We don't want to displace anybody," Ratkovich said. "We will work with current residents while renovating properties."
An eighth Affordable Housing property, at 1114 Cunningham Ave., was purchased March 8 for $12,500. The county assessor's office values the property at $26,700, while the state's assessed value is $29,276.
RENOVATIONS
Ratkovich said that home was gutted and $18,000 spent for renovations. He said the resident is leasing the house with an option to buy.
Donald "Ducky" Conti, Affordable Housing's secretary, said the group's efforts are helping the community. He questions those who criticize the project.
"The (New Castle News is) putting out that we're not doing something good - like we're hurting something."
Ratkovich, a certified building code inspector, handled negotiations for the seven properties. He said DiGennaro provided leads on three locations and Ratkovich learned of the others through word of mouth.
"I had asked him if he had known of any landlords that would like to sell their properties that were Section 8 landlords at one time," he said. "I went out and started looking to see what fit into our criteria."
GOOD DEAL
Ratkovich said he was happy with his bargaining strategy. Although some county officials criticized Affordable Housing for paying inflated prices, Ratkovich said Affordable Housing spent less than projected.
For example, Affordable Housing paid $72,000 for a triplex at 1806 Highland Ave. The county and state assessed the property at $49,400 and $54,167, respectively.
"You have to look at the income stream you're going to make off the property," Ratkovich said.
He said former owners Nick DeRosa, assistant superintendent of New Castle school district, and John A. Orlando originally wanted $79,900. Ratkovich set a ceiling of $75,000.
"Some of them, I didn't need to negotiate with them," he said. "It was basically, 'How much do you want for it?' I already had an idea in my head, and when they hit it, it was like, 'OK, no problem.'"
Funding for the purchases came from a $250,000 loan from First Commonwealth Bank and grant money.
Affordable Housing wanted to purchase 13 houses at first, Ratkovich recalled. He said officials at First Commonwealth Bank rejected the effort.
Money for purchase of next six houses will come through a different funding source, Ratkovich said, either First National Bank or Sky Bank.
"We haven't got a bank yet," Conti said.
Copyright (c) 2006, New Castle News
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