Thursday, August 21, 2014
Inquirer Daily News

Contractor to reimburse PGW $2M for overcharged work

A suburban contractor found to have overbilled the city for road work is forking over $2 million to the city and PGW, the mayor’s office announced today.

Contractor to reimburse PGW $2M for overcharged work

The neighborhood office of Philadelphia Gas Works at 5230 Chestnut St in West Philadelphia. (Alejandro A. Alvarez / Staff Photographer)
The neighborhood office of Philadelphia Gas Works at 5230 Chestnut St in West Philadelphia. (Alejandro A. Alvarez / Staff Photographer)

A suburban contractor found to have overbilled the city for road work is forking over $2 million to the city and PGW, the mayor’s office announced today.

An Inspector General investigation into all PGW and city paving contracts spurred a red flag, and Danella Companies, Inc., of Plymouth Meeting, signed a no-fault agreement with the city to settle claims it over charged for construction materials for paving jobs.

“We were happy to work closely with PGW to ensure that contractors meeting their obligations,” said Inspector General Amy Kurland, in a news release.

“At a time when every dollar matters, it’s important that companies that have the privilege of doing business with the city and city-related agencies bill only for the work they have properly completed.”

The Inspector General’s investigation took a look Danella’s invoices and found that they provided an insufficient amount of concrete and asphalt for specified paving contracts and had overbilled PGW about $1.75 million.

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Chris Brennan, a native Philadelphian and graduate of Temple University, joined the Daily News in 1999. He has written about SEPTA, the Philadelphia School District, the legalization of casino gambling, state government, the mayor, the governor, City Council and political campaigns. E-mail tips to brennac@phillynews.com
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Jenny DeHuff is a 2005 graduate of the University of Rhode Island, where she cut her teeth in journalism. A South Philly transplant from New England, she joined the Daily News City Hall Bureau in 2013. For the past several years, she has worked as an investigative reporter exposing corruption in suburban politics, covering sometimes ghastly criminal court cases and following the people’s money and how its spent. In addition to being a dogged news hound, she enjoys reading and writing about travel, animals, Irish whiskey and aviation. E-mail tips to dehuffj@phillynews.com
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Sean Collins Walsh is from Bucks County and went to Northwestern University. He joined the Daily News copy desk in 2012 and now covers the Nutter administration. Before that, he interned at papers including The New York Times, The Dallas Morning News and The Seattle Times. E-mail tips to walshSE@phillynews.com
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