inquiry to ethics commission re miami beach commissioner deede weithorn

8/14/2019 Inquiry to Ethics Commission re Miami Beach Commissioner Deede Weithorn

1/8

MIAMI MIRROR TRUE REFLECTIONS

Page 1of 2

5 November 2013

Michael Murawski, Advocate

MIAMI DADE COUNTY COMMISSION ON ETHICS AND PUBLIC TRUST

Press Inquiry: Does Commissioner Deede Weithorn have a Conflict of Interest?

Dear Sir:

Deede Weithorn, a commission for the City of Miami Beach and a certified public accountant employed

by a public accounting firm, signed the 2012 federal income tax return of Green Square, Inc., a

Subchapter S corporation whose manager and one-third partner is her brother-in-law, Victor Weithorn.

Green Square has held a periodically contract for the management of the citys tennis facilities for over a

decade.

Commissioner Weithorn has recused herself from public discussions and voting on the renewal of the

contract, asserting that she had obtained an opinion that to do so would not be prohibited by formalethical standards. I have not seen such an opinion, and understand that a relative may be a brother-in-

law by definition in certain ethical regulations.

Green Square has been negligent or willful in not filing the financial statements required by the contract

with the city, and the city negligent or willful in tolerating that and other breaches of the contract, to the

extent that the doctrine of laches implies that there is really is no contract with the city, but that the

documented and undocumented employees and officers of Green Square are in effect employees at will

of the city.

A commission meeting was held on 11 September 2014 to consider bids on the contract. Green Square

was 4thor last on the list of bidders, and its proposal was defective while the others were not defective.

All the bids were rejected as defective in what Commissioner Gngora characterized as a sneaky move

to keep the contract with Green Square on a month-to-month basis and then return to waive the

procurement process or rig it in favor of Green Square. Commissioner Exposito spuriously argued that all

the bids were defective, and his vote was crucial in effecting the rejection of all bids. He later said

(hearsay) that he cast his vote as he did because he was afraid that if he went against the Green Square

faction then Commissioner Weithorn would not endorse his candidacy for commissioner. He did not say

(hearsay) that he held her express proxy. She later acknowledged her endorsement of Commissioner

Exposito.

Now, then, Commissioner Weithorns behavior may very well have been ethical. She has already saidthat even if she did not recuse herself from considering Green Square matters, she has an opinion that

her conduct would be ethical. Problematic here is her engagement as the contractors tax accountant,

and whether or not county and state law is prohibitive.

112.313 Standards of conduct for public officers, employees of agencies, and local

government attorneys.


2/8


3/8

DepartFlentm the TI13aSW)Internal: ReY8I1ue 5eMce

U.S. Income Tax Return for an S Corporation Do not nle this form unless the e o ~ t t o n has flied or Isattaching Form 2553 to elect to 6 an S corporatJon.

Information about Form 11208 and tt8 separl-te Instructions Is at wwwJrs govlfonn112 s ~ 1 2

3

F c I ndar 2012

H Ched< if: (1)Binal return (2)BName change (3) 0 Addres, change4) Amended retum 6) S election termination or revocation

I Enler the number of shareholders who were sharehokfers durfng any part of the tax year . . . . . . . ....

or ae year or 8xyear tnnmg enA S elocllon 6fTectlve date Name o ~ o y e r l d e n t W c a l l o n numberO S / 2 4 / 2 0 0 2 TYPlO GREEN SOUARE INC 0 2 0 5 4 8 7 1 5B Business acUYlly COde Number. street. and room or suite no. If a P.O. box, see Instructions. E Date Incorporated

' 8 ' n 9 ' 9 ~ I ' ' ' ) OR 8 2412 1PRJNT P . O . BOX 615C Check it' Sen. M-3 City or town, state, and ZIP cooe F Totel assets see Instructiona)at ad n MTl .MT I>O ( ,U PI. l l lQ 3 777G Is the corporation electing to be an S corporation begInning with thIs t a x ~ a r ? UVes LxJNo If Yes. atlach Form 2553 i not already filed

Clutlon Include only trade or busIness Income and expenses on lines 1a through 21 See the instructions for more information

Fonn 11205 (2012)

1a Gross receIpts or sales 00 1. 7 0 6 3 6 6 .b Returns and allowances lb 6 3 0 0 E c Balance. Subtract line 1bfrom line 1a o 1c 705 7 3 6 .2 Cost of g O ~ d S sold attach Form 1125-A) 2 91 9 4 9 .0 3 Gross profit. Subtract Une 2 from line 1c. 3 613 7 8 7 .~ o 4 Net gain (Io.s) from Form 4797, line 17 (aUach Fonn 4797) . 45 Other Income loss) see Instructions - attach statement) 5

6 Total Income loss\. Add line. 3throuoh 5 ~ 6 613 7 8 7 .7 Compensation of officers . o 7 Salaries and wages leas emptoyment Cfedlts) . 8 56 0 3 4 .80 o 9 Repairs and maintenance 9 3 7 8 3 .', 10 Bad debts 10,g 11 Rents 11 4 7 . 9 9 2 .12 Taxes and licenses l r \ - r ~ ~ ~ t l r ). 12 32 720.o 13 Interest 13 5 6 3 3 .' 14 Depreciation not claimed on Form 1125-A or elsewhere on relum attach Form 4562). 14' Depletion Do not deduct oU and gaa depkrtion.) 16 16 AdvertisIng 16 4 2 9 .16 o

: 17 Pension, profit-sharing, etc., plans. 170 .; 0 18 Employee benefit programs. 18 ~ i ' i : l . i ' ~ M ~ N i ' : 454 19 Other deduction, (attach statement) Sl :l :. :l. 19 459' 20 Total deductions. Add lines 7 through 19 20 601 0 5 0 .e 21 Ordinary buslno fncome {loss . Subtract line ro line 8 21 12 7 3 7 .

2;: iii EAcess net pasiilvt1 Im:mma Di i cr.pi'Ui tax (5ce \ j ' l ~ i n . i d \ v l o ) lZe.b Tax from Schedule D Form 11208) 22bl 122cJ l c Add lines 22a and 22b see instructions for additional taxes). c

23 a 2012 estimated tax payments and 2011 overpayment credited to 2012 23aE b Tax deposited with Form 7004 , - 23b -' -ll c Credit for federal tax paid on fuels attach Form 4135) 23' . c d Add lines 23a through 23c . 3d 24 Estimated tax penalty see Instructions). Check if Form 2220 is attached . 24 26 Amount owed. If line 23d I ~ : i ~ ~ tolal of line' 22c and 24, enter amount owed 2626 Overpayment If line 23d Is large otal of lines 22c and 24, enter amount overpaid . 2627 Enter amount from line 26 Cr 13 estimated tax .... M.efunded .... 27Under pana:tIes or perjury, ~ i f I G tV h8:\ 9 axamined this Tatum, Indudhg accompanying achedules artd statements. Blld to the bas or my knowledge and belief, is true,

Sign 'rr.... 1 ,,,,01)I.b , , ~ o ~ _ 01w,, on, owl I May the IRS liscusa this retuon wllhHem ~ Al\ . . ~ ~ PRESIDENT th P ~ r f 1 ~ n (l g ~ Date TIUe ~ , , , ' ) 1 X V' No e preparer a nama rrenCi lLature I ~ J U / ( ) I h o c k U ~ rNPaid EEDE WEITHORN lL qp self-employed P00388522Preparer Firm name . . BERKOWITZ PO:CLACK BRANT LLP IF . EIN . 0 9 2 7 4 2 3 1 4Use Only 200 S . BISCAYNE BLVD. , SIXTH FLOOR ' -

F I ~ . addteo MIAMI FL 3 3 1 3 1 I p h ~ e n n 3 5 3 7 9 7 0 0 0For Paperwork Reduction Act Notice, see 8eparate tnstruellons.J A

2.00068903U 3307 0 2 / 2 5 / 2 0 1 3 2 1 : 0 3 : 0 9 V 1 2 3 . 1 F 0 2 0 5 4 8 7 1 5


4/8

Name of Corportltlon QI) Employer Identification Number(If , vi ll) Country ofIncorporation tv Percentage of St lOwnedv Percentage/n Iv) Is 100 , Enter theDate if any) 8Qualified Subchapter S

Subllidiary E\action WasMade

>: ' 'c., b Own directly an interest of 20% or more, or own, directly or indirectly, an interest of 50% or more in the profit, loss, or :


5/8

.--.GREEN S Q U A R E , , - - , , . , . l ~ . l . C , - , - . u02= 0_5A.8 7 .1; ..5

Page 3. Shareholders' Pro Rata Share Items Total amount1 Ordinary business Income (loss) (page 1, line 21) 1 12 737.2 Net renlal real estate Incane (loss) (attach Foon 8825) , :i ~ a I ' 23 a Other gross rental income (loss) . ~ ~ l ~E>


6/8

~

Total amountGREEN S O U A R E - - . L u S , , - , C ~ .. ~ ,o.2=0.5AB_7-l.S

p Shareholders' Pro Rata Share Items (continued)

Form 1120 S (2012) ; ; ; : = = = = - - ; : ; - : : : : - ; : : : = - ; : - - - : - ~ ~ : - : - - - - - - - - - - r - - - : ; = : - : - : = = :17 a Investment Income

b Investment expensese Dividend distributions paid from accumulated aamlngs and profitsd Other Items and amounts (attach statement)

18 Income/loss reconciliation. Combine the amounts on lines 1 through 10 In the far rIghtcolumn. From the result, subtract the sum of the amounts on lines 11 through 12d and 141

17a17b17e

18 12 737

3 77. .,NO75 SO

End of tax year

r 1_S_3_0-l, .Ca

2 .21

28 Trade notes and acoounlB recelvable.b Less allowance for bad debts

3 inventories4 U.S. governmentobl igat ions 6 Tax-exempt securities(S69lnstruetklnsj 6 Olnar CUmflt a 8 l ~ l i (atlaC:h llIalamenl). I _7 Loans to sharuholders.8 Mortgage and real estate loans9 Other Investments (attach statement)

108 Bulldingsandolhsrdepreclablaessats. r.--- .,-jl. .- t . ::b Lest accumulated depreciation. , , ( - - - - - - - - - - - ) b - - - - - - - - - - , f ( L . - - - ~ - - - - ~ ) t _ - -__17 : 7 -77 - .

11a Depletablessssts. f-: -,1, -; ._ -. , .. .. f ; ; i .. .. . .;; ,:Cjy-;>:, : . . ; . y - ~ ~ :b Le eceumuleted deplellcn i ( )

12 Land (net of any amortilatlon) , :. - < --::. :- ~ . : ; f . . - - __- __13 a IntangIble assets (amortizablE only) f - ;------------;- l l :-. - ...>

b Less accumulated amort izat ion f L - - - - - - - - _ 4 \ - - - - - - - - - - ~ - - - - . . _ - - _ - . L j l:: ~ ~ : ~ : : : ~ 8 . ( a r t a c h 8 t a t e m ~ n : ) . 1-------=1-S=-=3 O:-l.. . - - .> :: -.


7/8

Fonn 11205 2012mmmD Reconciliation of Income (Loss) per Books With Income (Loss) per ReturnNote Schedule M-3 required instead of Schedule M-1 if total assets are 10 million ormore - see InstructionsGREEN SQUARE ~ N 02-0548715 Pag.

AnalysIs of Accumulated Adjustments Account, Other Adjustments Account, and ShareholdersUndistributed Taxable Income Previously Taxed (see instructions)

1 Net Income Iou per bookI 12 737. 6 Income on- this year not included2 Incetne Induded on c:hedlAe K. inN 1. 2, c 4, on Schedule Klioos 1 through 10 (itemize}:6e. 6. 7. 68. 9 a ld 10 not recon:ted on boc*5 L lIs a Tax-oxemptintere t

y ~ ~ ~ ----------------------------3 Ellpenaes recorded on bOOks this year not Deductlono lnduded on Schedule K,Include6 on Sc.'ledule K, I1ne. 1 through 12 linea 1 through 12 and 141, not chargedand 141 (Itemtze): aoalnSl book income lhls y (Itemize): Depreciation a DeprecIation b Travel and entertaInment -------------------------------------------------- 7 Add linea 5 and 6 4 Add flnea 1 through 12 737 Income (lOBS) (Schedufe K,lIne 18). Une4 los Iina 7 12 737Schedule M-2 .

(a) Accumulatedadjustments aceotInt (b)Other adJuatme.,tsaccount (e) Sharenoklers' undlst1butedtaxable Income previously taxed

-86

1 Balance at beginning of tax year 2 Ordinary Income from page 1, fine 213 Otheraddlions 4 Loss from page 1, Ilne21 6 Other reductions. . 6 Combine I lnes 11tlrough 5 7 Olstributlons olher fIlan dividend dlstributlons 8 Balance al end of tax year. Subtrectline 7 from Hne 6

-99 460.f- -- 1..' - ' - . 7 ~ 3 ' _ 1 7 . w . ' t - = ' : . - ; ~ : : : : - j I ] : : : : ; :. .-:..,~ . ; : ~ i ~ ~ l - ~ ~ ~ . ~ . : , ~ - ~ > . . : ~ : ~ ~ , - . : . - . / - : - , . 2oo ~ - - - - - - - - - - ) ~ I ~ ; ~ ~ - ~ ' ; ; ~ ' ? ' , > ' , , - , ; ~ \ i ; ~ ; ' - ~ : : j ; . ' l i ; ~ ~ ~ 1 y - ~ ~723.

Fonn 1120S 201

SA 1.000 68903U 3307 2 25 2 13 21:03:09 V12-3.1F 02-0548715


8/8

Form n ZS: A Cost ofGoods Sold ev. DOc6mber2012) OMS No. 5 4 5 ~ 2 2 2 5Departm nt of the Treasury Attach to Form 1120. 1120C, 1120F, 11208, 1065, or 1065B.Internal Revenue Sef\lice Information about Form 1125.A and its Instructions Is at www lrs govHorm 26aNam. Employer kftnQftcation number

GREEN SOOARE INC. 02 05487151 Inventory at begInningof year . . .. . . .. . . . . .. 1 1 530.2 Purchases . . . . 2 4n 7 013 Cost of labor. . .. . . . . . 34 Additional section 26:lA costs (attach schedu ,). . .. ... . . 45 Other costs BltllC/1 schedule) . . . . . . . . . . .. sEE Sl I\l EtolENl .3. 5 51 6 Tolal. Add IInas 1 through 5 . . . ................ 6 93 479.7 Inventory at end of yea- . 7 1 ~ 3 n8 Cost of goods old. Subtract l ine 7 from line 6. Enter here and on Form 1120, page 1, l ine 2 or theappropnate line of your tax return (see Instructions) ... . . . ................ 8 91 949.9a Check all methodS used for valuing closing InventOlY

0 qCost6 t lower cosl marketiT other (Speclty method used and attach BJqllanBtlon) ab Check If there was a wrltedown of subnormal goods. . . . . . . . . . . . . . . . . . . . ....

c Check If the LIFO Inventory method wss adopted thiS tsx year for eny goods (If

inquiry to ethics commission re miami beach commissioner deede weithorn

Documents