IN THE MATTER OF RICHARD BONAMARTE

COIB CASE NO. 2002-782

FEBRUARY 15, 2005

SUMMARY: The Board concluded a settlement with former Human Resources Administration (“HRA”) Agency Chief Contracting Officer (“ACCO”) Richard Bonamarte. While Mr. Bonamarte served as ACCO at HRA, he was involved in every stage of awarding to Wildcat Services Corporation (“Wildcat”) an Employment Services Placement contract with HRA. He left HRA to serve as a Vice President at Wildcat; and, as a Wildcat employee, he worked on issues concerning the same contract that he had worked on as ACCO at HRA. In addition, Bonamarte contacted HRA on behalf of Wildcat within one year of leaving City service. Mr. Bonamarte acknowledged that he violated the New York City Charter’s post employment provisions and was fined $3,000. COIB v. Richard Bonamarte, COIB Case No. 2002-782 (2005).

STIPULATIONAND DISPOSITION

Respondent Richard M. Bonamarte states the following:

  1. I was employed by the New York City Human Resources Administration (“HRA”) as its Agency Chief Contracting Officer (“ACCO”) from November 11, 1996, to November 4, 2001.
  1. As ACCO, I was responsible for the direction of all aspects of contract administration, including approval of all contracts, contract modifications, and contract registration with the Comptroller’s Office.
  1. During my tenure as ACCO, I was involved in each stage of awarding to Wildcat Services Corporation (“Wildcat”) an Employment Services and Placement (“ESP”) contract, the term of which was December 1, 1999, to November 30, 2002. For example, I signed documents related to the pre-solicitation for the ESP contract and documents related to the recommendation for award of the ESP contract to Wildcat. I also signed an ESP contract between HRA and Wildcat on behalf of HRA.
  1. As ACCO, I was involved in each stage of awarding to Wildcat a School-to-Work contract, the term of which was August 8, 2000, to July 31, 2003. As ACCO, I signed a pre-solicitation report for the School-to-Work contract, and I signed a recommendation for award of the School-to-Work contract to Wildcat. I also signed a School-to-Work contract between Wildcat and HRA on behalf of HRA.
  1. In a letter addressed to the Board dated August 9, 2001, I requested an opinion as to whether, consistent with the conflicts of interest provisions of Chapter 68 of the New York City Charter (the “Charter”), I could work for Wildcat after leaving my position as ACCO at HRA.
  1. In a letter dated September 20, 2001, the Board’s staff advised me: “it would not violate Chapter 68 of the City Charter for you to work for Wildcat, provided that you do not appear before HRA prior to the date that is one year from the date you leave City service . . . that you do not work on any particular matter on which you worked in your City job, which would include any HRA/Wildcat contract which you reviewed and signed ….” (Emphasis in original.)
  1. I began my employment as Executive Vice President at Wildcat on or about November 5, 2001. I was responsible for Wildcat’s program development, general operational management, finance, budget, logistics, and public affairs.
  1. In the fall of 2002, the subcontractors on Wildcat’s ESP contracts with HRA complained that Wildcat did not pay promptly for services rendered. These subcontractors were mostly not-for-profit organizations that needed prompt payments to keep running. As Executive Vice President, I was responsible for finance issues, including payment issues. Thus, from about September 2002 to November 2002, I attended at least three meetings amongst Wildcat and its ESP subcontractors to determine the cause of the payment issues.
  1. In or about January 2003, I had discussions with Wildcat’s Senior Vice President of Administration and Wildcat’s Chief Financial Officer to encourage them to determine whether the cause of the payment delays on the ESP contract originated at HRA or at Wildcat. I encouraged them to develop a plan to resolve the payment issues on Wildcat’s ESP contracts.
  1. Also, in or about October, 2002, I made at least one phone call to an Executive Deputy Commissioner at HRA regarding money that HRA owed to Wildcat on the School-to-Work contract that I signed while I was HRA’s ACCO.
  1. I freely and voluntarily admit that my conduct constituted a conflict of interest in violation of Sections 2604(d)(2) and (d)(4) of the Charter in that I communicated, for compensation, with my former agency (HRA), within a period of one year after termination of my service with the City, and, as a Wildcat employee, I worked on issues relating to a contract that I participated in personally and substantially as a public servant.

Section 2604(d)(2) provides, in pertinent part, that:

“No former public servant shall, within a period of one year after termination of such person’s service with the city, appear before the city agency served by such public servant.”

Section 2604(d)(4) provides that:

“No person who has served as a public servant shall appear, whether paid or unpaid, before the city, or receive compensation for any services rendered, in relation to any particular matter involving the same party or parties with respect to which particular matter such person had participated personally and substantially as a public servant through decision, approval, recommendation, investigation or other similar activities.”

  1. Although I sought and received advice from the Board concerning my employment with Wildcat, I did not understand that I was prohibited from working on the payment issues between Wildcat and its ESP subcontractors. I now realize that the payment issues involved contracts on which I worked personally and substantially as an HRA employee, and I was prohibited from rendering any services relating to those contracts.
  1. In recognition of the foregoing, I agree to pay a fine of $3,000 (Three Thousand Dollars) to the Conflicts of Interest Board upon signature of this Disposition, by money order or by cashier, bank, or certified check, made payable to the “New York City Conflicts of Interest Board.”
  1. I agree that this statement is a public and final resolution of the charges against me. Furthermore, I agree to provide a copy of this Disposition to any City agency where I apply for employment upon the request of such agency or in response to any inquiry calling for such information.
  1. I knowingly waive on my behalf and on behalf of my successors, any rights to commence any judicial or administrative proceeding or appeal before any court of competent jurisdiction, administrative tribunal, political subdivision, or office of the City or the State of New York or the United States with respect to this proceeding of the Conflicts of Interest Board and to contest the lawfulness, authority, jurisdiction, or power of the Conflicts of Interest Board in imposing the penalty which is embodied in this agreement, and waive any right to make any legal or equitable claims or to initiate any legal proceedings of any kind against the Board or any members or employees thereof relating to or arising out of this matter.
  1. Any material misstatement of the facts of this matter, including of the Disposition, by Respondent or Respondent’s attorney or agent, shall, at the discretion of the Conflicts of Interest Board, be deemed a waiver of confidentiality of this matter.
  1. I confirm that I have entered into this agreement freely, knowingly, and intentionally, without coercion or duress, and that I have had a full opportunity to consult with counsel of my choice; that I accept all terms and conditions contained herein without reliance on any other promises or offers previously made or tendered by any past or present representative of the Conflicts of Interest Board; and that I fully understand all the terms of this Disposition.
  1. This Disposition shall not be effective until all parties below have affixed their signatures below.
  1. The New York City Conflicts of Interest Board accepts this Disposition and the terms contained herein as a final disposition of the above-captioned matter only, and, accordingly, affirmatively states that other than as recited herein, no further enforcement action will be taken by the Conflicts of Interest Board against Respondent based upon the facts and circumstances set forth herein, except that the Conflicts of Interest Board shall be entitled to take any and all actions necessary to enforce the terms of this Disposition.

______/s/______Richard M. Bonamarte

Respondent

______/s/______

Steven B. Rosenfeld, Esq.

Chair

NYC Conflicts of Interest Board

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