Ford City Hires Special Legal Counsel for EDA Discussions
Ford City Mayor Marc Mantini disagrees with Borough Manager Eden Ratliff about some details Ratliff read in a several-chapter statement in regards to the Borough’s history with the Economic Development Administration.
by Jonathan Weaver
A Pittsburgh-based attorney was hired by Ford City Borough Council last night to potentially resolve its unpaid financial debt with the Economic Development Administration.
Council members voted 5-0 to hire sole practitioner Bill Bercik during a special meeting last night at the Latin American Club. Councilman Josh Abernathy was absent.
Bercik will be compensated $175 per hour with a $5,000 retainer – which he affirmed would be refunded if not necessary.
Bercik, a litigator for 25 years, said this would be his first case representing Ford City Borough.
“I’m aware that it’s a matter of great contention and great importance for this community,” Bercik said. “Even though it has been a matter of great contention, it does appear to me that Council has been able to meet with each other and the community to discuss alternative resolutions and have made a number of reasonable alternative proposals to the EDA, none of which were accepted.
“It does not mean that the matter is completely un-resolvable.”
There is no litigation pending, he said, and he hoped to keep it that way.
“There is no legal issue right now and hopefully there is no litigation. I believe the situation can be resolved if everybody is interested and willing to do so,” Bercik said. “Resolution of a problem is always better than litigation – if you can do it on reasonable terms, you should do that.”
Bercik has consulted with council members previously at no expense.
While Borough Manager Eden Ratliff read a document chronicling the initial reason for the grant award, communication between Borough and Council officials past and present and Interim Regional Director Tonia Williams’ request for full payment to satisfy the debt via an August 28 letter, he stated Mayor Marc Mantini and other elected officials first met with Bercik on December 4, 2014.
“(Bercik) was not interested in filing suit, but was very interested in defending the Borough should EDA ever pursue the issue,” Ratliff read in the letter.
Council members also considered collaborating with a private resident in forming a legal complaint under the False Claims Act in March after the resident contacted Pittsburgh-based law firm WBK - with Ratliff delivering 30 boxes of documents to the law firm March 30 in preparation for a possible case to be filed in June or July.
“Our motivation was to plan a legal strategy that would hold people accountable for past actions and put the Borough in a better position,” Ratliff read. “It was expected that the filing of this case could stop any further action in the EDA’s request for payment. Unfortunately, WBK recently informed us that the case may not be viable due to statute of limitation issues and that no case will be filed under the False Claims Act at this time.”
Ratliff also answered a question he and other council members expected to hear from the approximately-50 residents in attendance– answering why they didn’t take the $116,000 offer made by then-Regional Director Willie Taylor.
“The violation occurred a long time ago – there are still unresolved issues, facts are not fully-known at this time and there remains conflicting legal advice on how to best handle this moving forward,” Ratliff read. “It is easy to see the circumstance and Council’s action as a missed opportunity, but that is not the case. An early opportunity is not necessarily a missed opportunity.”
He suggested the issue might go away with time under certain circumstances, proving Council’s obligation to turn down the initial $116,000 offer.
“Council must make sure a fair and equitable solution is found,” Ratliff concluded.
Councilman Gene Banks said he did not want to turn down that offer.
“The next thing I know, nothing was being talked about (in relation to) the subject,” Banks said. “Eden made the statement that all of us were in agreement of not paying – we weren’t. It never came to the table for us to vote on. Never.”
Still, Banks was glad local residents are now more informed than before.
Resident Tonya Gladysiewski, of 5th Avenue, was one of a handful of residents that asked questions on the topic, and suggested Council plead negligence and ask the EDA for the $116,000 payment option again.
“It is embarrassing our town is going through all this,” Gladysiewski said.
Pittsburgh litigator William Bercik (standing) speaks on the EDA repayment issue beside Council before Council unanimously voted to hire him to potentially resolve the issue if need be.
By jorn jensen, September 29, 2015 @ 7:14 AM
Well, in the end, let’s see how wise it was to turn down the $116k settlement. The the defense spending start.
Gene Banks - you need to raise some heck with these people if you’re not in agreement.
By Flamingo1, September 29, 2015 @ 10:21 AM
Ford City needs a permanent solicitor. Bercik may be a nice guy, but he seems to have no experience in this type of litigation. A personal bankruptcy attorney is not the same as one with experience in governmental bankruptcies. If FC thinks about 30 hours or billable hours makes sense they underestimate the problem.
By mad-2010, September 29, 2015 @ 11:10 PM
I hear you Flamingo, Amen…
By cementmixer, September 30, 2015 @ 12:03 AM
What a huge disservice this council and especially Ratliff are doing to this community. In Ratliff Ford City got an immature, inexperienced intern contracted to do the bidding of his mentor Miklos all the while costing the Borough credibility and three quarters of a million dollars before this is all over. If anyone really thinks Ratliff wrote the diatribe about the loan et.al., I’ve got some land on the lower Allegheny currently under water I’ll sell at a hell of price. Seriously is the entire town in some sort of daze allowing this charade to continue? Actually this community better wake up before it’s too late. What am I saying-it already is-no school, no fulltime police, a debt that grows by the day. And don’t be fooled by the gambit that “gee the school district should give us the parking lot. Then council could sell it or use it as equity to pay back the loan. Watching this council in action is like watching a parody of “Blazing Saddles”.