LAWRENCE — A Methuen pizza shop owned by School Superintendent Wilfredo Laboy may stand in the way of Mayor Michael Sullivan voting tonight to put the embattled schools' boss on paid leave.
City Council President Patrick Blanchette wrote to the School Committee's lawyer and the state Ethics Commission late yesterday, stating Sullivan has a "serious conflict of interest" in Laboy matters because his brother Mark Sullivan represented the superintendent in setting up Empire Group Services LLC last November.
The company's purpose is "to develop, establish and operate restaurants and invest in other food services opportunities," according to documents posted on the secretary of state's Web site. It lists Laboy and his son Wilfredo Laboy II as managers of Empire, which owns a Sal's Pizza franchise at 163 Howe St.
"I believe that the Lawrence School Committee can no longer be chaired by Mayor Sullivan when discussing any and all issues surrounding Dr. Wilfredo T. Laboy," Blanchette wrote.
"A criminal investigation appears to be underway and our School Committee must act immediately. The question remains, however, if Mayor Sullivan should be allowed to participate in this discussion and if his past votes were tainted by conflict."
Blanchette also states in his letter that "Sal's Pizza is one of the largest vendors for the Lawrence Public Schools."
The mayor said Blanchette's complaint is politically motivated and "Blanchette is trying to get involved in an area where he shouldn't be. There's enough stress already." He vows he will be voting tonight, when School Committee members are expected to put Laboy on paid leave.
But Blanchette said the mayor has already gone too easy on Laboy, evidence of a potential conflict.
Since news broke of police raids on Laboy's office and home in recent days, Blanchette wrote Sullivan has been "rather indecisive" about taking disciplinary action against Laboy or members of his staff. Police have said the investigation focuses on "financial improprieties."
"This is rather unprecedented for Mayor Sullivan, as he has suspended other department heads for mere propaganda in the past," Blanchette wrote. "In local political circles, Mayor Sullivan is known to have a great track record voting in favor of the superintendent and his initiatives through the years. This includes, but is not limited to, employment contracts, extensions and personnel evaluations."
The mayor readily admitted that in the past, even during scandal, he has backed, and even praised, Laboy. He does believe that over the years, the superintendent has done great things for the school district and, "I stand by my words, actions and evaluations."
"I have always voted in the best interest of the city and the school kids," he said.
Tonight, when he votes to suspend Laboy, will be no different, he said.
"I'm able to look at the big picture. We have an issue that's affecting the city and we need to address it in the best interest of the city," Sullivan said.
The Sullivan connection
Blanchette said in his letter that the most important part about all this is that the mayor's brother is the registered agent for the Laboys' company. The Sullivan brothers are in business together too, Blanchette said.
"According to the Secretary of State Corporation Division, Michael J. Sullivan of Burlington Street in Lawrence was a listed manager of Sullivan Realty along with Mark D. Sullivan, the registered agent of Empire Group Services LLC," Blanchette said.
Mark Sullivan said he only did legal work for the Laboys.
"I set up their LLC," he said. "I just registered it online for them. Our legal work is totally separate from our (insurance) agency."
Mark Sullivan said there's no conflict of interest.
"It was just a very minor transaction," he said. "As any attorney will tell you, it takes five minutes to file an LLC."
Mayor Sullivan said he did not see a conflict of interest and notes he has not been involved nor worked at his family's realty and insurance agency since becoming mayor in 2001.
"My name isn't listed on anything right now," he said. "I haven't been connected with the Sullivan agency in eight years."
Sal's response
Sal Lupoli, CEO of Sal's Pizza, said Laboy borrowed money to buy the franchise inside the Howe Street Superette in Methuen for the younger Laboy in December. Lupoli said the younger Laboy was his employee for about four years prior, starting as a line cook and working his way up to head chef at Salvatore's Restaurant.
"His son is doing a terrific job and is a great representative, and I'm proud to have him as a franchisee," Lupoli said.
Lupoli declined to say how much the Laboys paid for the restaurant.
"I did sell it at a premium," he said. "Willie gave me the money prior to opening."
Lupoli said his company bids for the school pizza contract annually. They lost the bulk of their business with the Lawrence schools this year because another company out bid them, he said.
Documents showing how much the School Department pays Sal's were not available yesterday, but Anne Marie Stronach, director of nutrition services for Lawrence public schools, confirmed that Sal's Pizza holds one of the two school pizza contracts.
The second and larger contract is held by Express Pizza, she said.
Lupoli said pizza bids go through the city, not the School Department.
"We put our bid in, the purchaser opens up the bid, if we're the low bidder, we get it," he said. "The School Department doesn't weigh in on who gets a bid."
Lupoli said he doesn't think there's a conflict of interest between himself and the Laboys. He has been providing pizza to the schools for more than 10 years, before the Laboys came to town, he said.
A man who answered the phone at Sal's Pizza in Methuen said the younger Laboy wasn't working last night. The elder Laboy did not return calls seeking comment.
