Monessen will pull all of its money out of Citizens Bank because the institution plans to start charging the city $1,400 in fees on its accounts.
Council is expected to transfer its accounts from Citizens to Community Bank when it meets in regular session Sept. 28. City Clerk Holly Minno explained during council's agenda meeting Monday that Citizens Bank had waived these fees for all municipalities and school districts. But effective Oct. 1, those waivers will be eliminated.
Minno said she spoke with a representative of the bank who offered to discount the fees but otherwise would not discuss the issue.
Councilman Josh Retos said he spoke with Pat O'Brien, senior executive vice president and chief operating officer of Community Bank, about becoming the depositor for the city's accounts.
Retos said council prefers to keep city accounts in a Monessen-based institution and noted that Valley First Community Federal Credit Union does not handle government deposits.
“Don't be surprised if Citizens leaves Monessen eventually,” Mayor Lou Mavrakis said.
Meanwhile, Retos defended council's move to seek a second appraisal on the current city hall building before selling the former health center structure.
Last month, council approved the sale of the municipal complex as well at Eastgate 11, pending approval of a large sales agreement. Tejas Gosai and his father, Dr. Kamlesh Gosai, offered to buy Eastgate 11 for $40,000 and donate it to the city.
They would also buy the former health center building for $225,000.
At Monday's meeting, resident Ron Chiaravalle asked why council approved a second apparaisal on the municipal complex building just days after the last council session. He suggested they violated the Sunshine Law by not approving the $4,000 appraisal in a public session before it was contracted.
Councilwoman Lucille D'Alfonso said she was not comfortable with the first appraisal and asked council to approve a second one in an email dated Aug. 25, the day after the last public session.
Solicitor Gary Matta said the expenditure was normal practice among municipal governments. It requires, however, that the expenditure be approved in the next voting session.
It is on the Sept. 28 agenda.
Retos said he sought legal advice on the matter from Matta before council approved the appraisal. Mavrakis said he also received the email, but voted against the second appraisal.
Matta said the city is negotiating for the sale of the two buildings, but terms are still being hammered out.
Chris Buckley is a staff writer for Trib Total Media. He can be reached at cbuckley@tribweb.com or 724-684-2642.
