In response to allegations that caught the attention of Pittsburgh's city administration earlier this year, Deputy Mayor Jake Pawlak has now shared the outcome of an investigation regarding the use of a city Purchasing Card (P-Card) by Parks & Recreation Director Kathryn Vargas. Mayor Ed Gainey prompted an investigation by the Office of Municipal Investigations (OMI), the details of which Pawlak outlined, validating some concerns while dispelling others, as reported by the City's press release.
Despite initial claims suggesting a breach of the city’s p-card policy linked to payments to a contractor by Vargas' department, OMI found that the services rendered were classified as non-professional, thus sidestepping that particular rule, which specifically prohibits p-card use for professional services the investigation did unmask other procedural failings, including a breach of the city's mid-year position request policy and excess in payments that surpassed the annual threshold established by city code, which typically would require explicit council authorization.
OMI also put to rest any notions that Vargas's decision to hire the contractor was influenced by prior relationships, stating there was no foundation for such claims. Following these findings, the city’s administration has imposed specific corrective measures on Vargas, such as mandatory retraining on the p-card policy and the statement of one year during which the department’s p-card transactions will go through additional scrutiny by the Office of Management & Budget, these details, along with the full OMI report, will be documented in Vargas' personnel file to be referenced in the event of future policy violations, though they have decided against termination.
"I know the passion, empathy and thoughtfulness that Director Kathryn Vargas brings to the job each and every day. I know she regrets her error in judgement and is doing everything necessary to ensure that her actions and processes align with city policy’s. Kathryn is a valuable member of the city staff and will continue her dedicated service to the people of Pittsburgh," Mayor Gainey stated, indicating his support for Vargas to remain in her role. In the ensuing reaction, Vargas has complied with the directives, attending the necessary retraining and submitting to the enhanced review process for all p-card transactions executed by her department, according to the City's press release.
