YOUNGSTOWN Legislation panel to discuss bonds for city officials

The bonds are needed to recoup money in cases where city funds are used illegally.
By DAVID SKOLNICK
CITY HALL REPORTER
YOUNGSTOWN -- City council's legislation committee was to meet today with the law director to discuss what should be done before the city acquires individual faithful performance bonds for certain city officials.
The meeting came at the request of Law Director Iris Torres Guglucello.
The Vindicator published a story Tuesday disclosing that the most city officials required to have the bond that financially protects city residents are serving without them, and have done so for years.
The bonds are needed to recoup money in cases where city officials do anything illegal with city funds.
Discovery of problem
Maggy Lorenzi, a community activist and 2005 mayoral candidate, discovered the problem when she requested to get copies of the insurance bonds for the city officials. The law director informed Lorenzi that Bozanich was the only one with a performance bond.
Councilman Mark Memmer, D-7th and chairman of the legislation committee, and Councilman Paul Pancoe, D-6th and the committee's vice chairman, said until they read the article they had no idea that city council members needed the bonds.
"We should have a check list for new council members when they come in so you know what you're responsible for," Memmer said. "When I was sworn in, I got a cell phone, letterhead and business cards. I should have also received a form to sign to be bonded."
City and state law requires the mayor, law director, finance director, city council president and council's seven members to have performance bonds.
Finance Director David Bozanich has a $100,000 performance bond. The rest won't have bonds for about two more weeks, Guglucello said.
A law requiring those city officials to have performance bonds was first adopted by city council in 1971, amended a year later, and received a minor tweak in 2001.
City pays
The city ordinance calls for the city to pay the premiums on the officials in question for individual bonds. The bonds are to be prepared by the law director with the amount determined by council, city law states. Council never set an amount for the bonds.
Because Bozanich's bond amount is $100,000, Guglucello said in Tuesday's article she would use that same amount for the other city officials.
Guglucello also said earlier this week that there wasn't time to ask council members if $100,000 was enough for each bond, and if they wanted an increase later on, it could be done.
On Wednesday, Guglucello said she rethought that position and decided it would be better to speak to council members at the legislation committee meeting about the bond amounts.
Memmer said he wants to look at the performance bond amounts for cities of comparable size to Youngstown to determine how much the bond amount should be here. Memmer also said Bozanich's $100,000 amount is too low.
Guglucello had said she, Bozanich and then-Mayor George M. McKelvey were covered through the city's insurance policy canceled about a year ago. She acknowledges the three didn't have individual bonds but said the policy was as good as a performance bond.
Proposal delayed
Meanwhile, Pancoe said a proposal he wanted on council's meeting next Wednesday will be delayed for a few weeks.
Pancoe's proposal would require those interested in seeking elected office in Youngstown to undergo criminal history checks before filing as candidates. The legislation also would make it illegal for convicted felons to run for office in the city.
Pancoe asked for the delay so city officials could meet with Mahoning County Sheriff Randall Wellington and Thomas McCabe, county elections board director, to discuss the legislation's details.
skolnick@vindy.com