Chester receiver alleges dangerous governance at stormwater authority

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Chester’s state-appointed receiver, Michael Doweary, on Tuesday accused the Stormwater Authority for the Metropolis of Chester (SAC) of conducting an unauthorized board enlargement,  stonewalling officers, and paying board salaries with out authorization.

These latest allegations are amongst many cases of dangerous governance and wrongdoing that the receiver has made public in regards to the SAC.

Doweary, who’s tasked with rescuing metropolis funds, and his chief of employees, Vijay Kapoor, mentioned these transgressions quantity to a failure to stick to Pennsylvania’s Municipal Authorities Act (MAA).

“We have now an obligation. I’ve an obligation to finish our due diligence and have a look at each side of metropolis operations,” Doweary mentioned on the month-to-month Municipal Monetary Restoration Advisory Committee assembly.

SAC officers didn’t instantly reply to a request for remark.

Citing the stormwater authority’s articles of incorporation, Kapoor mentioned the October 2016 doc establishes the authority’s creation beneath the MAA — and permits for under 5 board members. Nonetheless, latest conferences present the board has grown to 9 members.

SAC by no means amended its articles of incorporation — outdoors of latest makes an attempt via improper channels. Kapoor mentioned the authority is violating its personal guidelines. Moreover, the MAA states that board salaries should be “decided by the governing physique of the municipality.”

The receiver’s workplace requested metropolis solicitor Ken Schuster to seek out information of metropolis council approving or establishing board salaries. The solicitor was unable to seek out any report. Kapoor mentioned that’s “vital.”

“These board members who improperly acquired salaries could need to pay the salaries again as restitution, as a result of the stormwater authority was by no means legally approved to compensate its board members,” Kapoor mentioned.

As a result of the receiver remains to be investigating and has but to obtain the required documentation from SAC, Doweary mentioned it might be “too early to invest” any punishment.

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