Pittsburgh mayor’s office responds to investigation into P-card payment made to nonprofit

PITTSBURGH — The mayor’s office is responding to questionable purchase card transactions paid to a local nonprofit organization.

PREVIOUS COVERAGE >>> 11 Investigates: P-card controversy in City of Pittsburgh….again?

Chief Investigator Rick Earle broke the story and he got the response from Deputy Mayor Jake Pawlak, who is defending the transactions.

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Earle: Questions [were] raised by the council about those payments made to her through a P-Card. Are they justified?

Pawlak: They are absolutely legitimate.

Deputy Mayor Jake Pawlak is defending two purchase card payments for $3,500 each to 412 Justice, run by Angel Gober, who led Mayor Ed Gainey’s transition team.

Two more payments are outstanding for a total of $14,000.

Pawlak says they provided administrative and logistical support for community listening sessions, funded by a Bloomberg Philanthropies grant.

Pawlak: They helped arrange the space and the materials necessary for those convening. That is a legitimate non-professional expense.

After a P-Card controversy last year, City Controller Rachel Heisler said the latest transactions with invoices stating the payments were for research, engagement and consultation appeared to be a professional service, requiring a contract through her office.

Heisley: It’s ridiculous. These are easy problems to avoid.

Pawlak now says the invoices were mislabeled, leading to confusion.

Pawlak: I think the misunderstanding comes from the fact that it was labeled on the documentation submitted to council as consultation, which was in reference to those convening being called community consultations, so we were consulting with the public, not 412 Justice. I admit that could be confusing, but there is nothing untoward there.

The controller wants changes.

11 investigates obtained a letter she sent to the council, saying future payments to this vendor should be routed through her office and issued by check.

She also said there was no written agreement and no work product provided.

Pawlak is offering this explanation:

There’s nothing that they produced to provide.

Earle: Was that worth $14,000?

Pawlak: I’m not personally involved in all the details, but what I know is they were purchasing materials that were used in the consultation. So they did not provide a professional work product in the form of a report.

The controller sent that request to the council. She’s waiting to see if they will take further action.

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