LAWRENCE COUNTY Panel probes bounced checks



Commissioners want to see bank statements for the past two years.
By LAURE CIOFFI
VINDICATOR NEW CASTLE BUREAU
NEW CASTLE, Pa. -- Although First Commonwealth Bank doesn't seem to be concerned about county pension checks' bouncing, Lawrence County commissioners say they want to know more.
County Commissioner Dan Vogler met Wednesday morning with bankers, who didn't seem to concerned.
"We have no issues or problems," said Barbara Nichols, manager of the branch of the bank.
But last week commissioners said the bank had threatened to assess the county fees for nearly 70 pension checks because there wasn't enough money to cover them in county accounts.
Treasurer held checks
Commissioners said the bank accounts were short because Treasurer Gary Felasco waited more than 10 days to deposit a check meant to cover pension expenses.
Vogler said he believed Wednesday's meeting with the bankers was to talk about that matter.
"I'm concerned, as one of three commissioners, that what did happen won't happen again," Vogler said.
Nichols said the bank waived fees for bounced checks and cashed the retirees' checks because of the "length of the relationship" with the bank.
She said the bankers met earlier Wednesday with Felasco, but did not talk about the matter. The trip was mainly to announce her retirement and introduce county officials to their new contact, Jon Kosior, marketing manager for First Commonwealth.
Commissioner Steve Craig said he has asked for bank records for the past two years to determine if checks are being held on a regular basis by the treasurer's office.
Craig said he knows of two instances in which checks were held at least 10 days by the treasurer's office.
He said a $311,000 check from the pension fund was given to the treasurer on March 19 but not deposited until March 29. The second check for $200,000 was given to the treasurer on April 23 and wasn't deposited until May 4.
Commissioners are considering having pension money transferred electronically to the bank and bypassing the county treasurer's office.
Felasco denies blame
Treasurer Gary Felasco said last week he hadn't seen this month's bank statements. He said there have been problems in the past, but they weren't the fault of his office. He would not say who was to blame.
Felasco first came under fire in February when it was discovered he had not paid property taxes on his Cunningham Avenue home since 2000.
Pennsylvania State Police are investigating the matter, as well as Felasco's use of county cellular telephones for personal use.
The Pennsylvania Auditor General is also investigating a transfer of nearly $1 million Felasco made from the county liquid fuels fund to the county general fund last year.
cioffi@vindy.com