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HomeMy WebLinkAbout1487 SipperIn Re: John Sipper, Respondent File Docket: X -ref: Date Decided: Date Mailed: Before: Louis W. Fryman, Chair John J. Bolger, Vice Chair Donald M. McCurdy Paul M. Henry Raquel K. Bergen Nicholas A. Colafella 07 -056 Order No. 1487 9/22/08 10/10/08 This is a final adjudication of the State Ethics Commission. Procedurally, the Investigative Division of the State Ethics Commission conducted an investigation regarding possible violation(s) of the Public Official and Employee Ethics Act ( "Ethics Act "), 65 Pa.C.S. § 1101 et seq., by the above -named Respondent. At the commencement of its investigation, the Investigative Division served upon Respondent written notice of the specific allegation. Upon completion of its investigation, the Investigative Division issued and served upon Respondent a Findings Report identified as an "Investigative Complaint." An Answer was filed and a hearing was requested. A Stipulation of Findings and a Consent Agreement waiving an evidentiary hearing were subsequently submitted by the parties to the Commission for consideration. The Stipulated Findings are set forth as the Findings in this Order. The Consent Agreement has been approved. This adjudication of the State Ethics Commission is issued under the Ethics Act and will be made available as a public document thirty days after the mailing date noted above. However, reconsideration may be requested. Any reconsideration request must be received at this Commission within thirty days of the mailing date and must include a detailed explanation of the reasons as to why reconsideration should be granted in conformity with 51 Pa. Code § 21.29(b). A request for reconsideration will not affect the finality of this adjudication but will defer its public release pending action on the request by the Commission. The files in this case will remain confidential in accordance with the Ethics Act. Sipper, 07 -056 Page 2 I. ALLEGATION: That John Sipper, a public official /public employee in his capacity as a Commissioner of Hanover Township, Luzerne County, violated Section 1103(a) of the State Ethics Act (Act 93 of 1998), 65 Pa.C.S. §1103(a), when he used the authority of his office for private pecuniary gain by participating in actions of the Township Board of Commissioners resulting in the amendment of Township ordinances which enabled him to be selected to the position of Township Manager. II. FINDINGS: 1. John Sipper served as a Hanover Township Commissioner from approximately 1990 until December 30, 2006. a. Hanover Township is a First Class Township governed by a seven member Board of Commissioners. 2. Professionally, Sipper was employed by the Luzerne Wyoming Counties Transportation Department as Manager of Administration from September 8, 1986, until December 30, 2006. a. Sipper submitted a letter of intent to retire to Frank DeSanto, Director, Luzerne Wyoming Counties Transportation Department, 2009 Wyoming Avenue, Forty Fort, PA 18704, dated December 12, 2006. 1. The effective date of Sipper's retirement was December 30, 2006. 2. Sipper's retirement request was accepted by the Luzerne County Board of Commissioners on January 17, 2007. b. Sipper had twenty (20) years of County service as of September 8, 2006. 3. While employed as Manager of Administration for the Luzerne Wyoming Counties Transportation Department, Sipper had a job description which outlined the following job responsibilities. a. Supervise the work of the administrative unit. Assign tasks to personnel. Supervise the operations of the computer equipment and establish operating procedures. Coordinate all software and hardware acquisitions and vendor schedules regarding maintenance and training. Supervise the preparation of invoices. Follow -up on collections. Receive payments and record discrepancies. Investigate discrepancies and correct billing. Enter corrections into the computer. Prepare time sheets. Process all accounts payable invoices. Prepare special reports for director. Prepare program budgets and department budgets. 4. Sipper received compensation totaling $41,781.59 from Luzerne County during 2006 - his last year of employment with the County. Sipper, 07 -056 Page 3 5. During the latter part of 2006, then Hanover Township Manager Ronald Wydo was experiencing health issues eventually resulting in his retirement from the Township effective December 11, 2006. a. Wydo was on extended medical leave from approximately October 11, 2006, until his official retirement date of December 11, 2006. b. Wydo had served as Township Manager from approximately June 2000 until December 11, 2006. c. Wydo submitted a request for a disability retirement on November 6, 2006, which was granted by the Board of Commissioners on December 11, 2006. 6. During the fall of 2006, Sipper took an active role in reviewing Township finances, budget preparation for 2007, and overseeing the day to day operations of the Township in Wydo's absence. a. Sipper continued to serve as a Hanover Township Commissioner at the time. b. Sipper still was employed full -time by the Luzerne Wyoming Counties Transportation Department while assisting with this work. c. Hanover Township did not employ an assistant Manager under Ronald Wydo to fill in for Wydo in his absence. 7 The position of Hanover Township Manager is governed by Township Ordinance under the general supervision of the Board of Commissioners. a. Since 1999, Hanover Township enacted and /or amended three (3) Ordinances governing the position of Township Manager. b. Enacted Ordinances were 007 -1999, 004 -2000 and 09 -2006. 8. Hanover Township Ordinance Number 007 -99, enacted May 12, 1999, established the office of Township Manager. Relevant provisions of the Ordinance include: a. The position of Manager is appointed by a majority vote of the Board of Commissioners. b. No Township Commissioner shall be appointed as Township Manager during the term for which he /she was elected Commissioner, (or) not within one year after the expiration of said term. c. The Township Manager shall receive an annual salary as fixed by salary resolution of the Board of Commissioners. d. The Township Manager shall be the chief administrative officer of the Township with powers and duties relating to the general management of all Township business not expressly, by statute or ordinance, imposed or conferred upon other Township officers. 9. Hanover Township Ordinance #004 -2000, enacted March 23, 2000, amended Ordinance #007 -99. Changes included modifications to minimum qualifications and powers and duties. a. Qualifications: Sipper, 07 -056 Page 4 1 Added was a requirement of two years administrative experience involving a thorough knowledge and expertise in budgeting, accounting, purchasing, personnel, community relations, contract experience, and a minimum of a Bachelor's Degree in Business Administration or two years in a position which requires such knowledge and /or a minimum of two years experience in one or more of the following areas: accounting, business administration, economics, finance, management, office management, business law, or marketing. 2. Maintained was the requirement that no Township Commissioner shall be appointed as Township Manager during the term for which he /she was elected Commissioner, or within one (1) year after the expiration of said term. 10. In or around September 2006, Sipper participated in Board action to amend the Manager Ordinance to permit members of the Board of Commissioners to be employed as the Township Manager. 11. On September 11, 2006, Sipper participated in Board action taken to direct the Solicitor to amend the position of Manager Ordinance. a. This action passed by a 7 -0 vote. b. The purpose of the amendment to the Ordinance was to eliminate the one year restriction on Township Commissioners from being employed as Township Manager. 1. Under the Ordinance in place at the time, 004 -2000, Sipper was prohibited from being employed as Manager within a year of leaving the position of Commissioner. 12. Hanover Township Solicitor Robert Davison, Esquire, was directed to amend the Manager Ordinance deleting the one (1) year service restriction on former Township Commissioners. a. The sole purpose for this change was to enable the Board of Commissioners to appoint Sipper Manager without being in conflict with Ordinance numbers 007 -1999 and 004 -2000. b. No other significant changes were made to the Ordinance. 13. The Hanover Township Board of Commissioners amended Ordinance numbers 007 -1999 and 004 -2000 on November 13, 2006, to eliminate any hiring restrictions on the Board. a. Commissioner Sipper oversaw the day -to -day operations of the Township, without receiving compensation, also beginning on November 13, 2006. 14. Hanover Township Ordinance #009 -2006, enacted November 13, 2006, amended Ordinance numbers 007 -99 and 004 -2000. a. Minimum qualifications remained the same with the exception of the restriction placed on Township Commissioners, that they were prohibited from serving as Manager during their term of office or within one (1) year of leaving office, which was eliminated. Sipper, 07 -056 Page 5 b. Powers and duties for the position remained the same. c. The Ordinance was approved by unanimous vote with Sipper participating. 15. On December 11, 2006, during the Board of Commissioners regular meeting, actions were taken to approve Wydo's resignation, accept Sipper's resignation as a Township Commissioner, approve Sipper's hiring as Manager, and approve the 2007 budget which included Sipper's salary. a. Sipper voted with the majority to approve Wydo's resignation. b. Sipper's resignation from the Board of Commissioners became effective December 30, 2006. c. Sipper abstained on the motion appointing him Township Manager. d. Sipper voted to approve the 2007 budget, which included his salary as Township Manager. 16. Hanover Township did not advertise for the position of Manager in 2000 when Ronald Wydo was hired or 2006 when John Sipper was hired. a. Hanover Township does not advertise for professional positions such as Manager, Solicitor, Engineer, or Consultants as a matter of standard business practices. b. Applications are accepted for Township positions. c. Advertisements are run for help on an as- needed basis. 17. Sipper notified his employer that he would be resigning his County position one day after the Township took actions to appoint him Township Manager. 18. By eliminating the one (1) year service restriction on former Commissioners, Ordinance #009 -2006 facilitated the immediate hiring of John Sipper as Manager upon his resignation as Commissioner on December 11, 2006, effective December 30, 2006. a. Sipper's prior experience as a Township Commissioner and employment with the Luzerne Wyoming Counties Transportation Department was sufficient to fulfill the other job requirements for the position of Township Manager. 19. The Hanover Township Board of Commissioners did not advertise or conduct any formal search process for candidates for the position of Township Manager. a. Township Commissioners were satisfied with the services provided by Sipper in Wydo's absence and requested that he consider taking the position. b. The Hanover Township Board of Commissioners did not consider anyone other than Sipper for the position. 20. Minutes from the Hanover Township Board of Commissioners meetings include the following chronology of events culminating in the hiring of Sipper as Manager and the approval of the 2007 budget.* Sipper, 07 -056 Page 6 a. 9/11/06- Authorization to prepare ordinance amendment motion by Watkins, second McDermott that the Solicitor be and is authorized tg prepare an ordinance amending ordinance #007 -99 enacted on the 12 day of May 1999 amended on the 23 day of March which established the office of the township manager and the secretary be and is authorized to advertise same. On the motion the following voted yes: Bagusky, Burns, McDermott, Sipper, Sorber, Watkins, and Hummer motion carried. b. 10/9/06- September 11, 2006 meeting minutes approved as filed. c. 11/13/06-Ordinance #09 -006 Commissioner Burns presented the following ordinance. Ordinance #009- 2006 an ordinance of the Township of Hanover, Luzerne County, Pennsylvania amending ordinances Nos. 007 -99 and 004 -2000 which established the office of the township manager clarifying the duties and responsibilities of the township manager. Motion by Burns, second McDermott that the ordinance be approved as advertised. On the motion the following voted yes: Bagusky, Burns, McDermott, Sipper, Sorber, Watkins and Hummer. Motion carried. Resolutions #007 -06 Proposed budget presented by Commissioner Burns. "Commissioner McDermott thank Commissioner Sipper, the township secretary and others for their work on the budget." "Motion by Watkins, second Burns that during the Township Manager's absence on extended sick leave the board authorized Commissioner John J. Sipper, without any additional pay or benefits, to oversee the day to day operations of the township. This authorization shall automatically terminate upon the Board's appointment of a new Township Manager or at midnight on December 31, 2006 whichever occurs first. On the motion the following voted yes: Burns, McDermott, Sorber, Watkins and Hummer. Voting no: Bagusky. Abstain: Sipper. Motion carried. d. December 11, 2006 Meeting - Question about advertising Manager position . Solicitor stated there is no advertising requirement for this position. 11/13/06- Minutes approved without change. Ordinance #018 -2006 Appropriations ordinance 2007 "Motion by Sipper, second by Burns that the Appropriations ordinance allocating expenditures and expenses for the fiscal year 2007, approving specific sums from the fund equities revenues and other financing services be adopted as advertised. On the motion the following voted yes: Bagusky, Burns, McDermott, Sipper, Sorber, Watkins and Hummer. Motion carried. Resolution #008 -2006; Budget Resolution 2007 7 -0 vote, approved. Bagusky, Burns, McDermott, Sipper, Sorber, Watkins and Hummer. Date Event Sipper's official action 2006 Former Manager Wydo health issues N/A 9/11/06 Solicitor directed to amend Manager Ordinance Voted 7 -0 Fall 2006 Sipper assists in the preparation of the 2007 budget Sets Manager wages along with Board of Commissioners 11/13/06 Ordinance #09 -006 approved. No one year employment restriction Voted 7 -0 Fall 2006 Private discussions about Sipper becoming Manager Participated 11/13/06 Sipper thanked by Commissioner McDermott for his work on the budget N/A 11/13/06 Sipper appointed "temporary Manager," non - compensated while former Manager Wydo was on extended sick leave Abstain 6 -0 -1 November 2006 Discuss with Commissioners re: becoming Manager Participated Sipper, 07 -056 Page 7 009 - 006 - Salary Compensation Resolution which ratified salaries and benefits for all township employees. 7 -0 vote, approved. Bagusky, Burns, McDermott, Sipper, Sorber, Watkins and Hummer. Appointed Eileen Valunas as Budget Director effective January 1, 2007. 7 -0 vote, approved. Accept Township Manager Wydo retirement 7 -0 vote, approved. Appointment of Township Manager "Motion by Watkins, second Burns that the Board of Commissioners appoint John J. Sipper to the office of Township Manager effective December 30, 2006 pursuant to ordinance number 009 -2006. On the motion the following voted yes: Bagusky, Burns, McDermott, Sorber, Watkins and Hummer. Abstain: Sipper. Motion carried. Prior to voting Commissioner Watkins stated that he feels this is an excellent appointment and he is a money person; diligent and meticulous especially on his budget preparation this year. Sipper resigned as Commissioner as of 12/30/06. 7 -0 vote. 5 Commissioners applauded the move appointing Sipper Manager. * [The above excerpts from minutes contain various typographical errors, which are not individually noted.] 21. The following chart summarizes Sipper's participation in the official process resulting in his hiring as Manager outlined in the previous Finding. November 2006 Continued to work on 2007 budget Participated 12/11/06 2007 appropriation Ordinance passed, Ordinance #018 -2006 Motion Voted 7 -0 12/11/06 2007 budget approved Voted 7 -0 12/11/06 Manager Wydo resignation accepted. Voted 7 -0 12/11/06 Sipper appointed Manager effective 12/30/06 Abstain 6 -0 -1 12/11/06 Sipper resigns as Commissioner effective December 30, 2006 Voted 7 -0 12/12/06 Sipper submitted retirement notice to Luzerne County effective December 30, 2006 N/A Sipper, 07 -056 Page 8 22. During the same time frame when he was participating in amending the Manager Ordinance, Sipper also participated in developing the Township budget for 2007. a. The Budget included an increase in salary for the Township Manager for 2007. 23. Sipper was one of the Hanover Township officials who was most involved in the preparation of the Township's 2007 budget. 24. Sipper used the 2006 budget as a framework for the 2007 budget. 25. Sipper created the 2007 budget in his official capacities as Township Commissioner and "temporary Manager." a. Sipper shared drafts of the budget with the entire Board of Commissioners between October 2006 and December 2006. b. Commissioner Robert Burns also privately assisted Sipper with budget preparation. 26. By the Commissioners' November 13, 2006, meeting, the Board was aware of Ronald Wydo's intentions to retire. a. Wydo submitted his retirement request letter to the Township on or about November 6, 2006. b. Sipper continued working on the 2007 budget after learning of Wydo's intent to retire. 27. Funding for the position of Township Manager is included in the budget as a specific line item. a. $56,380.00 was budgeted for the position of Township Manager for 2007. b. $43,296.63 was budgeted for this position for 2006. c. With approval by the Board of Commissioners, the salary line item for Township Manager was determined by Sipper while creating the 2007 Sipper, 07 -056 Page 9 budget. d. Hanover Township did not have a budget director in 2006. 28. Hanover Township budgets for calendar years 2006 and 2007 include specific line items for Manager, Secretary, Clerk Secretaries, Solicitor and Legal. a. Budgeted salary increases for the positions of Secretary, Clerk/Secretaries and Solicitor saw increases from 2006 to 2007 of approximately 4 %, 3% and 4% respectively. b. No budget increase was given for legal. c. When Sipper worked on the budget for 2007, the Manager's position received an increase of approximately 30% or $13,083.37. 1. Sipper included the increased Manager salary in the 2007 budget at a time when he was being considered for the position. 29. The following chart details budgeted amounts and approved increases for the Hanover Township positions and budget line items of Manager, Secretary, Clerk/Secretary, Solicitor, and Legal from 2006 to 2007. * [All percent increases are approximate as noted in Fact Findings 28a and c.] 30. The salary of $56,380.00 established for Sipper as Manager for 2007 was $14,598.49* more than his salary of $41,781.59 with the Luzerne Wyoming Counties Transportation Department for 2006. * [sic]. [There is an eight cent discrepancy in the calculation, which does not affect the outcome of this case.] a. The salary was $13,083.37 more than Wydo received as Township Manager in 2006. b. This resulted in a 30% increase.* c. Township employees received a 4% pay increase* in 2007. * [All percent increases are approximate as noted in Fact Findings 28a and c and 29.] 31. Financial records of Hanover Township confirm Sipper has received biweekly gross compensation during 2007 in the amount of $2,168.46 as Township Manager. 32. John Sipper participated in Board discussions and decisions that lead to the amending of Ordinances so that he could be eligible to be appointed Township Manager, and then assisted in setting the salary for the Manager position when preparing the 2007 budget by increasing the salary by $13,083.37 and engaged in discussions with Board members about his appointment to the position. 2006 Budget 2007 Budget Increase % Increase* _Position Manager $43,296.63 $56,380.00 $13,083.37 30% Secretary $33,085.09 $34,408.49 $1,323.40 4% Clerk/Secretaries $161,288.20 $165,973.14 $4,684.94 3% Solicitor $11,200.45 $11,648.00 $447.55 4% Legal $20,000.00 $20,000.00 None None Sipper, 07 -056 Page 9 budget. d. Hanover Township did not have a budget director in 2006. 28. Hanover Township budgets for calendar years 2006 and 2007 include specific line items for Manager, Secretary, Clerk Secretaries, Solicitor and Legal. a. Budgeted salary increases for the positions of Secretary, Clerk/Secretaries and Solicitor saw increases from 2006 to 2007 of approximately 4 %, 3% and 4% respectively. b. No budget increase was given for legal. c. When Sipper worked on the budget for 2007, the Manager's position received an increase of approximately 30% or $13,083.37. 1. Sipper included the increased Manager salary in the 2007 budget at a time when he was being considered for the position. 29. The following chart details budgeted amounts and approved increases for the Hanover Township positions and budget line items of Manager, Secretary, Clerk/Secretary, Solicitor, and Legal from 2006 to 2007. * [All percent increases are approximate as noted in Fact Findings 28a and c.] 30. The salary of $56,380.00 established for Sipper as Manager for 2007 was $14,598.49* more than his salary of $41,781.59 with the Luzerne Wyoming Counties Transportation Department for 2006. * [sic]. [There is an eight cent discrepancy in the calculation, which does not affect the outcome of this case.] a. The salary was $13,083.37 more than Wydo received as Township Manager in 2006. b. This resulted in a 30% increase.* c. Township employees received a 4% pay increase* in 2007. * [All percent increases are approximate as noted in Fact Findings 28a and c and 29.] 31. Financial records of Hanover Township confirm Sipper has received biweekly gross compensation during 2007 in the amount of $2,168.46 as Township Manager. 32. John Sipper participated in Board discussions and decisions that lead to the amending of Ordinances so that he could be eligible to be appointed Township Manager, and then assisted in setting the salary for the Manager position when preparing the 2007 budget by increasing the salary by $13,083.37 and engaged in discussions with Board members about his appointment to the position. Sipper, 07 -056 Page 10 III. DISCUSSION: As a Township Commissioner for Hanover Township ( "Township "), Luzerne County, from approximately 1990 to December 30, 2006, Respondent John Sipper ( "Sipper ") was at all times relevant to these proceedings a public official subject to the provisions of the Public Official and Employee Ethics Act ( "Ethics Act "), 65 Pa.C.S. § 1101 et seq. The allegation is that Sipper violated Section 1103(a) of the Ethics Act when he, as a Township Commissioner, used the authority of his office for private pecuniary gain by participating in actions of the Township Board of Commissioners ( "Board of Commissioners ") resulting in the amendment of Township Ordinances which enabled him to be selected to the position of Township Manager. Pursuant to Section 1103(a) of the Ethics Act, a public official /public employee is prohibited from engaging in conduct that constitutes a conflict of interest: § 1103. Restricted activities (a) Conflict of interest. —No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 Pa.C.S. § 1103(a). The term "conflict of interest" is defined in the Ethics Act as follows: § 1102. Definitions "Conflict" or "conflict of interest." Use by a public official or public employee of the authority of his office or employment or any confidential information received through his holding public office or employment for the private pecuniary benefit of himself, a member of his immediate family or a business with which he or a member of his immediate family is associated. The term does not include an action having a de minimis economic impact or which affects to the same degree a class consisting of the general public or a subclass consisting of an industry, occupation or other group which includes the public official or public employee, a member of his immediate family or a business with which he or a member of his immediate family is associated. 65 Pa.C.S. § 1102. Section 1103(a) of the Ethics Act prohibits a public official /public employee from using the authority of public office /employment or confidential information received by holding such a public position for the private pecuniary benefit of the public official /public employee himself, any member of his immediate family, or a business with which he or a member of his immediate family is associated. As noted above, the parties have submitted a Consent Agreement and Stipulation of Findings. The parties' Stipulated Findings are set forth above as the Findings of this Commission. We shall now summarize the relevant facts as contained therein. Sipper served as a Township Commissioner from approximately 1990 until December 30, 2006. Sipper also served as Manager of Administration for the Luzerne Sipper, 07 -056 Page 11 Wyoming Counties Transportation Department from September 8, 1986, until December 30, 2006. The position of Township Manager is governed by various Township Ordinances including Township Ordinance numbers 007 -1999 and 009 -2006. The Township Manager is appointed by a majority vote of the Board of Commissioners and is under the general supervision of the Board of Commissioners. The office of Township Manager was established by Township Ordinance number 007 -1999, enacted May 12, 1999. Township Ordinance number 007 -1999 provides that no Township Commissioner shall be appointed Township Manager during the term for which he /she was elected Township Commissioner or within one year after the expiration of the Township Commissioner's term, and that the Township Manager's salary is fixed by salary resolution of the Board of Commissioners. In the fall of 2006, then Township Manager Ronald Wydo ( "Wydo ") was on medical leave due to health issues. In Wydo's absence, Sipper took an active role in reviewing Township finances, preparing the budget for 2007, and overseeing the day -to -day operations of the Township. On September 11, 2006, Sipper participated in actions of the Board of Commissioners to direct the Solicitor to amend the Township Ordinance(s) relating to the position of Township Manager. The purpose of such amendment was to eliminate the restriction that a Township Commissioner could not be appointed Township Manager within one year after the expiration of the Township Commissioner's term, so that Sipper could be appointed Township Manager. On November 6, 2006, Wydo submitted a request for a disability retirement. On November 13, 2006, the Board of Commissioners, including Sipper, voted unanimously to approve Township Ordinance number 009 -2006, eliminating the restriction that a Township Commissioner could not be appointed Township Manager within one year after the expiration of the Township Commissioner's term. At the time of this vote, the Board of Commissioners was aware of Wydo's intent to retire from the position of Township Manager. Commencing November 13, 2006, Sipper began overseeing the day -to -day operations of the Township. Sipper also participated in developing the Township's 2007 budget, which included an increase of approximately 30% in the Township Manager's salary from $43,296.63 in 2006 to $56,380.00 in 2007, while the Secretary, Clerk/Secretaries and Solicitor received salary increases of approximately 4 %, 3 %, and 4 %, respectively. At the time Sipper was developing the Township's 2007 budget, Sipper was being considered for the position of Township Manager. At its December 11, 2006, regular meeting, the Board of Commissioners, including Sipper, approved Wydo's resignation from the position of Township Manager. The Board of Commissioners also approved Sipper's resignation as a Township Commissioner effective December 30, 2006, appointed Sipper to the position of Township Manager, and approved Sipper's salary. Sipper abstained from voting on his appointment to the position of Township Manager, but voted to approve the 2007 budget which included his salary as Township Manager. On December 12, 2006, Sipper submitted a letter of intent to retire from his position with the Luzerne Wyoming Counties Transportation Department with an effective retirement date of December 30, 2006. Township financial records confirm that Sipper, as Township Manager, received Sipper, 07 -056 Page 12 biweekly gross compensation during 2007 in the amount of $2,168.46. Having highlighted the Stipulated Findings and issues before us, we shall now apply the Ethics Act to determine the proper disposition of this case. The parties' Consent Agreement sets forth a proposed resolution of the allegations as follows. 3. The Investigative Division will recommend the following in relation to the above allegations: a. That a technical violation of Section 1103(a) of the Public Official and Employee Ethics Act, 65 Pa.C.S. §1103(a) occurred when Sipper participated in actions of the Township Board of Commissioners in relation to his appointment to the position of Township Manager. 4. Sipper agrees to make payment in the amount of $5,000.00 in settlement of this matter. Said settlement amount is to be made in monthly payments of $833.33 per month for six (6) months, made payable to the Commonwealth of Pennsylvania and forwarded to the Pennsylvania State Ethics Commission, with the first payment due [within] thirty (30) days of the issuance of the final adjudication in this matter. 5. The Investigative Division will recommend that the State Ethics Commission take no further action in this matter; and make no specific recommendations to any law enforcement or other authority to take action in this matter. Such, however, does not prohibit the Commission from initiating appropriate enforcement actions in the event of Respondent's failure to comply with this agreement or the Commission's order or cooperating with any other authority who may so choose to review this matter further. Consent Agreement, at 1 -2. In considering the Consent Agreement, we shall accept the recommendation of the parties that a technical violation of Section 1103(a) of the Ethics Act occurred when Sipper, as Township Commissioner, participated in actions of the Board of Commissioners in relation to his appointment to the position of Township Manager. Such actions included: (1) directing the Township Solicitor to amend the Township Ordinance(s) relating to the position of Township Manager to eliminate the restriction that a Township Commissioner could not be appointed Township Manager within one year after the expiration of the Township Commissioner's term; (2) voting to approve Township Ordinance number 009- 2006 eliminating such restriction; (3) developing the Township's 2007 budget, which included a salary increase of approximately 30% for the Township Manager, at a time when Sipper was being considered for the Township Manager position; (4) approving Wydo's resignation from the position of Township Manager; and (5) voting to approve the 2007 budget, which included Sipper's salary as Township Manager. All such actions were uses of authority of office. The resulting private pecuniary benefit to Sipper consisted of compensation to Sipper as the new Township Manager. See, Fact Findings 11, 12, 15, 22, 27, 28c, 29, 30, 31, and 32. Accordingly, we hold that a technical violation of Section 1103(a) of the Ethics Act occurred when Sipper participated in actions of the Board of Commissioners in relation to his appointment to the position of Township Manager. Cf., Snyder, Order 1371; Marcolini, Order 1188; Crile, Order 1182. Sipper, 07 -056 Page 13 As part of the Consent Agreement, Sipper has agreed to make payment in the amount of $5,000.00 in settlement of this matter as follows: monthly payments of $833.33 per month for six (6) months, with said payments to be made payable to the Commonwealth of Pennsylvania and forwarded to this Commission, and with the first such payment due within thirty (30) days of the issuance of this adjudication and Order. We determine that the Consent Agreement submitted by the parties sets forth the proper disposition for this case, based upon our review as reflected in the above analysis and the totality of the facts and circumstances. Accordingly, per the Consent Agreement, Sipper is directed to make payment in the amount of $5,000.00 as follows: monthly payments of $833.33 per month for six (6) months, with said payments to be made payable to the Commonwealth of Pennsylvania and forwarded to this Commission, and with the first such payment to be forwarded to this Commission by no later than the thirtieth (30 day after the mailing date of this adjudication and Order. IV. CONCLUSIONS OF LAW: 1. As a Commissioner for Hanover Township ( "Township ") from approximately 1990 to December 30, 2006, John Sipper ( "Sipper ") was at all times relevant to these proceedings a public official subject to the provisions of the Public Official and Employee Ethics Act ( "Ethics Act "), 65 Pa.C.S. § 1101 et seq. 2. Sipper technically violated Section 1103(a) of the Ethics Act when he participated in actions of the Township Board of Commissioners in relation to his appointment to the position of Township Manager. In Re: John Sipper, Respondent ORDER NO. 1487 File Docket: 07 -056 Date Decided: 9/22/08 Date Mailed: 10/10/08 1 John Sipper ( "Sipper "), a public official in his capacity as a Commissioner for Hanover Township "Township ") from approximately 1990 to December 30, 2006, technically violated Section 1103(a) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1103(a), when he participated in actions of the Township Board of Commissioners in relation to his appointment to the position of Township Manager. 2. Per the Consent Agreement of the parties, Sipper is directed to make payment in the amount of $5,000.00 as follows: monthly payments of $833.33 per month for six (6) months, with said payments to be made payable to the Commonwealth of Pennsylvania and forwarded to the Pennsylvania State Ethics Commission, and with the first such payment to be forwarded to this Commission by no later than the thirtieth (30 day after the mailing date of this Order. 3. Compliance with paragraph 2 above will result in the closing of this case with no further action by this Commission; non - compliance will result in the institution of an order enforcement action. BY THE COMMISSION, Louis W. Fryman, Chair