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Cambria seeking ethics probe

County wants to investigate possible conflict of interest involving War Memorial Authority official

EBENSBURG — Cambria County commissioners, through their solicitor, have asked the state Ethics Commission to investigate a possible conflict of interest related to a War Memorial Authority official.

The request for an investigation involving Dean Gindlesperger, Cambria County War Memorial Authority board chairman, comes after a reporter from Somerset County’s Daily American/Our Town newspapers raised questions about the board member’s business ties to a management company at the arena.

On Thursday, Gindlesperger denied any intentional wrongdoing and said he only hoped to save taxpayers money.

“I don’t work that way. I’m very honest and upfront,” he said. “I think we are getting a bad rap for this.”

Gindlesperger voted earlier this year to extend a contract with SMG — a convention venue management company — to continue operating the 1st Summit Arena at Cambria County War Memorial, Our Town reported.

From September 2016 to October of this year, SMG has paid a total of $16,890.22 to companies owned by Gindlesperger and his son, Ryan, according to the paper.

“Gindlesperger did not abstain from this vote or publicly disclose his financial ties to SMG, according to meeting minutes,” the paper reported.

On Thursday, the Cambria County commissioners shared a letter sent by their solicitor, Bill Barbin, to the state Ethics Commission.

That letter was a response to “important questions and concerns” that were raised by Our Town, President Commissioner Tom Chernisky said.

“It was decided that we would refer the questions and concerns to the Pennsylvania Ethics Commission,” he said.

In the letter, Barbin explains that SMG has paid Gindlesperger rental payments of $600 per month to store equipment at the arena, and that “it appears” the company has contracted with Gindlesperger’s son for advertising services.

“The commissioners recognized that private companies are not bound by the same rules that cover government officials,” the letter reads. “There are many questions about this situation, which the commissioners have not been made aware of.”

Addressing the ethics commission, Barbin called the possible conflict a “matter of public importance, which warrants your review.”

Gindlesperger later called accusations of wrongdoing “ridiculous” and said his business dealings with SMG are intended to save money.

The storage deal began when SMG found itself unable to quickly and affordably find a place to store “$80,000 worth of product” during an improvement project, Gindlesperger said, explaining he offered cheap storage — $600 per month — at his Hornerstown warehouse.

That price is drastically lower than other nearby storage facilities, Gindlesperger said, noting he was keeping taxpayers in mind.

This year, $182,000 was allocated by the commissioners to the arena, county records show.

The initial storage deal worked well, and an SMG leader approached Gindlesperger about an extension, hoping to store other equipment, he said.

“He said, ‘Hey that worked out pretty well, and the price is great,'” Gindlesperger said, remembering the conversation. “That’s how it continued. We didn’t even think anything of it.”

Gindlesperger said he immediately notified both the commissioners and his fellow board members when an Our Town reporter contacted him about the possible conflict.

“Then they knew about it,” Gindlesperger said.

At the Thursday meeting, Barbin warned those in attendance against making “knee-jerk” judgments about the situation and applauded Gindlesperger and SMG for their contributions to the arena. Gindlesperger said a contract extension with SMG and the low-cost storage has saved taxpayers well over $100,000.

That opinion also factored into Barbin’s letter.

“In the last two years, the authority and SMG put facility operations in the black,” it reads. “Operations prior to management by SMG required continued cash infusion from the county.”

On Thursday, the commissioners voted unanimously to appoint Aimee Willett to the War Memorial Authority board for a four-year term beginning Jan. 1 and to reappoint Marty Kuhar to the board for a four-year term beginning on the same date.

Gindlesperger’s term on the authority expires at the end of this year. Commissioners did not take action on his reappointment at the Thursday meeting.

“A determination will be made after the Pennsylvania Ethics Commission comes to a conclusion,” Chernisky said.

In the meantime, Gindlesperger will remain in the role until that conclusion is revealed, Barbin said, explaining rules allow his continued involvement even after the expiration of his current term.

Gindlesperger later said the his storage agreement with SMG will continue until he receives the results of the ethics investigation.

“If the Ethics Commission tells me to not do that anymore, then that’s fine,” he said, explaining he also will be more cautious when it comes time to vote on future SMG-related business. “I will check with my solicitor because I don’t want to do anything wrong.”

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