07/26/2008

Questions surround grant in Clifton Heights

By: Dawn Mitchell , Times Correspondent

CLIFTON HEIGHTS - Residents and some council members questioned the transfer of
$825,000 in grant money to the Clifton Heights Economic Corp., a nonprofit entity
that council has no control over, at a recent council meeting.

"I don't know how we authorized this corporation when we never got papers on this
corporation," said Councilman Mario Alpini. A listing for the corporation at nonprofit
compendium Guidestar.org could not be found.

Council President Anthony Casadei, answering a question from the audience,

revealed state Rep. Nicholas Micozzie, R-163, of Upper Darby, "took care of allowing
money to go to the corporation," but said he did not know who established the
corporation or who is in it.

According to a document disclosed at the meeting - which one council member

insisted each member of council had received during a caucus meeting the previous
Thursday - former council president James Salmon is listed as president of the
nonprofit.

Salmon was running for another term on council last year, but was forced to step
down for violating the federal Hatch Act because of his employment with the
Department of Defense. Under the act, federal employees cannot hold elected
office.

Other nonprofit board members include: Clifton Heights Business Association

President Rich Angelucci, owner of Full Cycle Ink Jet; Vice President Joe Lombardo,
owner of M.F. Williams Funeral Home; and Financial Secretary Russ Jirik, owner of
Family Matters Adult Day Care, according to that document.

Also on the Clifton Heights Economic Corp. board is retired Clifton Heights police
chief Ronald Berry, whose wife, Betsy, is a Clifton Heights council member. He is
currently deputy director of the county Juvenile Detention Center in Lima.

Angelucci and Jirik each made contributions totaling $300 to Micozzie in 2005 and
2006, while Lombardo has contributed at least $850 to Micozzie and $2,500 to the
Delaware County Republican Finance Committee between 2002 and 2006,
according to the Pennsylvania Department of State. "Ron and Betsy Berry" have
also contributed at least $795 to Micozzie since 2000, according to state records.

In late June, council voted 5-3 to return $300,000 and $525,000 in grants issued last
spring by the Pennsylvania Department of Economic Development. Alpini and fellow
council members Robert Penjuke and Harris Resnick opposed the motion.
But minutes at the meeting show council instead voted to redirect the funds to the
private entity, which was formed June 16. Some council members now allege
minutes were interpreted wrong, altered or even deleted.

The grants were to facilitate the purchase of the adjacent Mac and Sam property
and to redevelop borough hall. They were not set to expire until 2010 and 2011,
respectively.

According to Casadei, criteria specified in the grants were problematic and would
have cost taxpayers $7 million to $8 million.

Penjuke disagreed in a phone interview Thursday, saying the plan was to purchase
property in stages, as money became available. He had anticipated having a
community center.

"We were originally told it wouldn't cost the borough anything for the revitalization
project," said Penjuke. "Micozzie didn't think we had a good enough plan ... that we
were not moving fast enough."

"Personally, I'm not ready to give up $825,000," said Alpini, who opposed returning
the funds since it was first discussed in May. "It's too much money and too hard to
get to walk away that quickly."

Penjuke also questioned the Clifton Heights Economic Corp.'s handling the
borough's money.

"We have no control over the corporation," he said. "As council, we're going to still
be held accountable because we started the ball rolling. I just want to improve
things in Clifton Heights and build it back up to a cute little town."

Staff Writer Alex Rose contributed to this report.