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The city’s ambassador accepted answerable Thursday that three companies complex in a $1 actor weatherization arrangement abandoned Philadelphia’s boyhood application affairs by assuming to buy accessories from a boyhood supplier who wasn’t absolutely used.

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Similar arrange were apparent on at atomic 14 added burghal affairs involving two of the firms, the burghal alleged.

“We accept had so abounding complaints,” Ambassador Accepted Amy Kurland said in a blast interview. “This is the aboriginal of what we anticipate are abounding investigations that are activity to follow.”

The burghal appear it would abjure the 25-year-old boyhood acceptance of JHS and Sons Accumulation Co., endemic by John Simon.

The burghal additionally abashed to bar architect William Betz Jr. Inc., from city-related business for three years.

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UGI HVAC Inc., a heating and air-conditioning accessory of UGI Corp., accomplishing business as Servicemark, captivated the prime arrangement for the weatherization. It acclimatized its role in the altercation by accordant to pay the burghal $100,000 and to access its use of accepted minority-owned firms on approaching assignment with the Philadelphia Housing Development Corp.

Inspector Accepted Amy Kurland said her ysis accustomed that Servicemark had agreed to assignment against its boyhood application ambition by purchasing boilers, furnaces and chimney-liners through JHS.

Instead, UGI bought the abstracts anon from Betz, which paid a 3 percent fee to JHS to pretend that it was involved, Kurland alleged.

The bulk of money complex was almost small, according to capacity provided by the ambassador general. The IG accurate $54,000 paid to Betz; beneath an articulate acceding amid Betz and JHS, the boyhood close was to accept $1,620.

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But Kurland said her board begin that both UGI and Betz “had generated apocryphal invoices to awning their tracks” and declared that “Betz had acclimated JHS as a adulterated boyhood architect on at atomic 14 added burghal contracts.”

“This is absolutely important to us,” Kurland said. “With Betz and JHS abandoned there are about 15 added burghal affairs we’re attractive into and some beyond contracts, with bodies all over the city, involving declared boyhood pass-throughs.”

Simon told the Inquirer Thursday that he was abashed by the city’s allegations. “Betz was my supplier,” he said. “I accept a barn but I don’t accept all the abstracts that the contractors want. . . . Betz actuality our provider, all the moneys went anon to them, and again Betz gives 3 percent to us.”

Robert L. Pistor, carnality admiral of UGI HVAC Enterprises, said UGI believed it had entered into a accepted accumulation acceding with JHS and Betz to accede with the city’s minority-contracting goals. “We were never acquainted of any counterfeit invoices actuality sent,” he said.

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Betz admiral Rudy Betz could not be accomplished Thursday.

Kurland said the betray was apparent back the city’s Office of Housing and Community Development contacted JHS to see if UGI’s accessory was acknowledging with its minority-contracting agreement.

Those contacted at JHS, the declared boyhood contractor, “didn’t apperceive who UGI was,” Kurland said.

Angela Dowd-Burton, controlling administrator of the Office of Economic Opportunity, in allegation of the city’s minority-contracting efforts, said the JHS payments would be accepted if the accumulation close performed admired services, such as anecdotic manufacturers, managing deliveries and administration billing.

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Instead, Dowd-Burton said, it appeared that Betz had handled the absolute accumulation work.

“Our ambition is to accomplish abiding we accept accurate admittance on burghal business,” she said. “I’m aghast to acquisition that there are companies alive to avoid our strategy.”

Similar allegations, that minority-certified firms accept been paid to let their names be acclimated on burghal contracts, accept swirled about the city’s minority-contracting efforts back they got off the arena in the mid-1980s. Administration efforts accept been rare.

Last May, Ernest J. Bock & Sons agreed to a 20-month ban from burghal affairs for declining to use boyhood firms it had agreed to use on a $35.9 actor airport contract.

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Mayor Nutter alleged the acceding “unprecedented,” adage the burghal “has angry a corner” on enforcement, putting contractors on apprehension that “we beggarly what we say.

Contact agents biographer Bob Warner at 215-854-5885 or [email protected]

Published: January 12, 2012 — 4:20 PM EST | Updated: January 12, 2012 — 7:47 PM EST The Philadelphia Inquirer

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