The McKeesport Area School Board's vote to hire a former school director as construction manager has touched off a debate among board members.

Some say it's "good business;" others worry that nepotism is at work.

The board voted 6-3 last week to hire Pennsylvania Project Managers, Inc., which is owned by former school director Gerald Tedesco, to handle the district's $50 million plan to construct two new schools. The plan was delayed by the board's termination of the previous architect and construction manager.

School directors Joseph Chiaverini, Steven Kondrosky, Joe Lopretto, Wayne Washowich, James Brown and Christopher Halaszynski voted to hire PPM. Dave Donato, Barbara Stevenson and board President Lori Spando voted against the motion.

In his pitch to the district, Mr. Tedesco originally proposed that the district pay him 3.5 percent of the total construction cost, which was higher than four of the seven construction management firms. He also asked that 15 percent of his fee be paid up front, before any work was done, which none of the other firms requested.

Mr. Tedesco later lowered his fee to 3.1 percent of the total construction cost.

Mr. Donato expressed concern that Mr. Tedesco, unlike the other bidders, failed to provide information on people who would be working on the project.

"I think it's important for the district to get this information," Mr. Donato said.

But Mr. Tedesco is the only construction manager that works for his firm, he pointed out in an interview, and said he would be the only person doing the work, unlike other firms, who might have several construction managers working on the project piecemeal. He said he provided his resume to Business Manager Dave Seropian.

The startup fee also concerned Ms. Spando, who asked Mr. Seropian whether it was normal for the district's contractors to request payment before work has been done. Mr. Tedesco, in his proposal, said the startup fee could be $195,000 to $232,000.

"I would say it's not typical," Mr. Seropian responded.

Ms. Spando called the board's decision to hire Mr. Tedesco's firm when he was asking for the fee and had not provided all of the information the district requested "absolutely outrageous."

Mr. Tedesco said he asked for the fee to provide some stability and to discourage the district from switching managers mid-project.

Those who voted for Mr. Tedesco's company defended their decision to hire someone they knew even if its bid wasn't the lowest. Mr. Kondrosky considered Mr. Tedesco's relationship with the district and the fact he was well-known in the community to be good things.

"I feel that this guy can do a pretty good job for us," Mr. Kondrosky said, adding that Mr. Tedesco often comes out to construction sites he's managing. "He's sure as heck not going to want to make himself look bad in front of all his neighbors."

Other board members said they wanted to keep the money in the community and hire a local firm.

Ms. Stevenson agreed, but she supported hiring another local company, S.P. Smith Construction Services, of White Oak, whose proposal came in around $700,000 less than PPM, Inc.'s proposal.

But Mr. Chiaverini said S.P. Smith was too small and did not have a large enough staff to handle the district's multimillion-dollar project.

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