LAWRENCE COUNTY Official: Treasurer inflated figures for Ellwood office

One commissioner calls it another example of the treasurer's chicanery.
By LAURE CIOFFI
VINDICATOR NEW CASTLE BUREAU
NEW CASTLE, Pa. -- It appears Lawrence County Treasurer Gary Felasco has inflated tax revenue figures from his Ellwood City satellite office to make it appear more profitable than it was, the county controller said.
County Controller Mary Ann Reiter had a list of all payments processed through the Ellwood City office in May after learning Felasco had claimed through a recent news release that the office had collected $247,202 more in county taxes so far this year than in all of 2003.
Records show that in May, the Ellwood City office collected $267,225.91. The majority of that money came from outside the Ellwood City area, the records show.
Reiter speculates that checks mailed to the county courthouse in New Castle were taken to Ellwood City and processed.
"I'm sure people from the second ward of New Castle aren't taking their payments to Ellwood City," Reiter said.
What records show
Records given to Reiter showed that only $50,670.12 was collected from people living in the southern end of the county in Ellwood City, Ellport and Wampum boroughs, Perry and Wayne townships.
The largest chunk of payments collected that month in Ellwood City came from Neshannock Township, located in the northern end of Lawrence County, with 78 payments totaling $78,437.79. There were payments recorded from just about every other municipality in the county on the May records.
Treasurer's contention
Felasco admits that mail sent to the Lawrence County Courthouse was processed in the Ellwood City office, but contends it is done every year.
"Last year was done no differently than this year," Felasco said. He said opening the mail in that office gave the person in the office something to do during slow periods.
Lawrence County commissioners also contend Felasco did it to inflate the profitability of that office.
The office has been a matter of contention between Felasco and county commissioners in the last few months and was shut down this month by commissioners to save money.
"It just serves as another example of the treasurer's chicanery. It's not a true fiscal account of the office," Commissioner Steve Craig said.
Commissioner Dan Volger said he was concerned that some of the mail could have been lost in transit putting tax revenue in jeopardy.
"I realize it's far-fetched, but what if the employee's car was broken into or they had an accident and the mail went flying," he said. "It put that revenue somewhat at risk."
Commissioner Ed Fosnaught said he did not want to comment on the matter.
Closed Tuesday
The treasurer's satellite office in Ellwood City closed with little fanfare Tuesday afternoon.
The office was staffed from 9 a.m. to 4 p.m. Tuesdays and Thursdays by Felasco's mother, Helen, who is an employee of the county treasurer's office. The office has been operating on Fifth Street for about four years.
Helen Felasco said she had about 10 transactions as of 3 p.m. Tuesday that included tax payments and dog licenses.
Norman McCreary of Wayne Township was one of those stopping in to pay his 2004 county property taxes. McCreary said he just learned that the office existed because someone told him it was closing.
"I like this. I wish I had known it was here. I hate going to the courthouse," McCreary said.
Felasco said among the purposes for establishing the satellite office was to gain a presence in the southern end of the county, but also to alleviate parking at the courthouse and long lines at his office during peak taxpaying seasons.
cioffi@vindy.com