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HomeMy WebLinkAbout09-582 Confidential ADVICE OF COUNSEL December 22, 2009 09-582 This responds to your letter dated November 4, 2009, by which you requested a confidential advisory from the Pennsylvania State Ethics Commission. Issue: Whether the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq., would present any prohibitions or restrictions upon a township supervisor serving on a three-member board of supervisors with regard to: (1) voting to appoint himself to a compensated position with the township such as treasurer, secretary, or roadmaster; or (2) seconding a motion to appoint the township supervisor’s A as the B for the township, where the other two township supervisors would have opposing views, and then voting to break a tie if the other two supervisors would cast opposing votes. Facts: You have requested an advisory from the Pennsylvania State Ethics Commission based upon submitted facts that may be fairly summarized as follows. You were elected in 2009 as a Supervisor for [name of township] (“the Township”). Your term of office will begin in January 2010. The Township Board of Supervisors (“Board”) consists of three Members. Based upon the above submitted facts, you pose the following specific questions: 1. Whether any provision of the Ethics Act, and in particular Section 1112 of the Ethics Act, would prohibit you from voting to appoint yourself to a compensated position with the Township such as Treasurer, Secretary, or Roadmaster; and 2. Whether Section 1103(j) of the Ethics Act would permit you to second a motion to appoint your A as B for the Township, where the other two township supervisors would have opposing views, and then vote to break a tie if the other two supervisors would cast opposing votes. Discussion: It is initially noted that pursuant to Sections 1107(10) and 1107(11) of the Ethics Act, 65 Pa.C.S. §§ 1107(10), (11), advisories are issued to the requester based upon the facts that the requester has submitted. In issuing the advisory based Confidential Advice, 09-582 December 22, 2009 Page 2 upon the facts that the requester has submitted, the Commission does not engage in an independent investigation of the facts, nor does it speculate as to facts that have not been submitted. It is the burden of the requester to truthfully disclose all of the material facts relevant to the inquiry. 65 Pa.C.S. §§ 1107(10), (11). An advisory only affords a defense to the extent the requester has truthfully disclosed all of the material facts. Upon taking office as a Township Supervisor, you would become a “public official” subject to the provisions of the Ethics Act. See, 65 Pa.C.S. § 1102; 51 Pa. Code § 11.1. Sections 1103(a) and 1103(j) of the Ethics Act provide: § 1103. Restricted activities (a)Conflict of interest.-- No public official or public employee shall engage in conduct that constitutes a conflict of interest. (j)Voting conflict.-- Where voting conflicts are not otherwise addressed by the Constitution of Pennsylvania or by any law, rule, regulation, order or ordinance, the following procedure shall be employed. Any public official or public employee who in the discharge of his official duties would be required to vote on a matter that would result in a conflict of interest shall abstain from voting and, prior to the vote being taken, publicly announce and disclose the nature of his interest as a public record in a written memorandum filed with the person responsible for recording the minutes of the meeting at which the vote is taken, provided that whenever a governing body would be unable to take any action on a matter before it because the number of members of the body required to abstain from voting under the provisions of this section makes the majority or other legally required vote of approval unattainable, then such members shall be permitted to vote if disclosures are made as otherwise provided herein. In the case of a three-member governing body of a political subdivision, where one member has abstained from voting as a result of a conflict of interest and the remaining two members of the governing body have cast opposing votes, the member who has abstained shall be permitted to vote to break the tie vote if disclosure is made as otherwise provided herein. 65 Pa.C.S. §§ 1103(a), (j). The following terms related to Section 1103(a) are 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 Confidential Advice, 09-582 December 22, 2009 Page 3 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. "Authority of office or employment." The actual power provided by law, the exercise of which is necessary to the performance of duties and responsibilities unique to a particular public office or position of public employment. "Immediate family." A parent, spouse, child, brother or sister. 65 Pa.C.S. § 1102. Pursuant to Section 1103(a) of the Ethics Act, a public official/public employee is prohibited 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. In each instance of a conflict of interest, the public official/public employee would be required to abstain fully from participation. The abstention requirement would not be limited merely to voting, but would extend to any use of authority of office, including, but not limited to, discussing, conferring with others, and lobbying for a particular result. Juliante, Order 809. Subject to certain statutory exceptions, in each instance of a voting conflict, Section 1103(j) of the Ethics Act requires the public official/public employee to abstain and to publicly disclose the abstention and reasons for same, both orally and by filing a written memorandum to that effect with the person recording the minutes. In applying the above provisions of the Ethics Act to the instant matter, you are advised that your A is a member of your “immediate family” as that term is defined in the Ethics Act. Pursuant to Section 1103(a) of the Ethics Act, in your public capacity as a Township Supervisor, you generally would have a conflict of interest in matters that would financially impact you, your A, or a business with which you or your A is associated. Section 1112 of the Ethics Act provides as follows: § 1112. Conflict of law Except as otherwise provided in Chapter 13 (relating to lobby regulation and disclosure), if the provisions of this chapter conflict with any other statute, ordinance, regulation or rule, the provisions of this chapter shall control. 65 Pa.C.S. § 1112. Your specific questions shall now be addressed. The following provisions of the Second Class Township Code are relevant to your first specific question: Confidential Advice, 09-582 December 22, 2009 Page 4 § 65602. Organization meeting; appointment of secretary and treasurer (a) . . . With regard to boards of supervisors which are designated as three-member boards, any supervisor who is to be considered by the board for any appointed township position or for employment by the township as authorized by law shall not be excluded from voting on the issue of such appointment or employment. Action taken by a supervisor shall be deemed to be within the scope of authority as a supervisor and shall not be deemed to constitute an illegal or an improper conflict of interest. … (c) The board of supervisors may appoint a supervisor to be employed as roadmaster, laborer, secretary, treasurer, assistant secretary, assistant treasurer or in any employe capacity not otherwise prohibited by this or any other act. … 53 P.S. § 65602(a), (c). It is clear from the face of the above provisions of the Second Class Township Code that a supervisor serving on a three-member board is not excluded from voting on the issue of his own appointment/employment to a position that is authorized by law, such as treasurer, secretary, or roadmaster. (See, Calvert, Order 1514 at 19). Accordingly, you are advised that because the Board consists of three Members, you would not have a conflict of interest under Section 1103(a) of the Ethics Act with regard to voting to appoint yourself to a compensated position with the Township that is authorized by law, such as Treasurer, Secretary, or Roadmaster. See, Crosswell, Advice 03-572; Lightner, Advice 07-602. However, in the event that you would have a conflict of interest in a matter before you in such position(s), you would be required to abstain fully from participation and in each instance of a voting conflict, to abstain fully and to satisfy the disclosure requirements of Section 1103(j) of the Ethics Act. You are further advised that Section 1112 of the Ethics Act would not be applicable since there is no conflict between Sections 1103(a) and 1103(j) of the Ethics Act and the above-quoted provisions of the Second Class Township Code. In response to your second specific question, you are advised as follows. You would specifically have a conflict of interest in matters pertaining to the appointment of the Township B where your A would be considered, or would be among those considered, for said position. Subject to the voting conflict exceptions of Section 1103(j) of the Ethics Act, you would be required to abstain fully from participation in each instance of a conflict of interest. The exception for breaking a tie vote despite a conflict is available exclusively to members of three-member governing bodies who first abstain and disclose their conflicts as required by Section 1103(j) of the Ethics Act. See, Garner, Opinion 93-004; Pavlovic, Opinion 02-005. In Garner, supra, the Commission considered the issue of whether, under Section 1103(j) of the Ethics Act, a township supervisor serving on a three member board would be permitted to second a motion despite a conflict where the two remaining supervisors would have opposing views or where one of the remaining two members would be absent from the meeting. Citing Juliante, supra, the Commission first noted Confidential Advice, 09-582 December 22, 2009 Page 5 that seconding a motion is a use of authority of office. See, Garner, supra. The Commission then stated: However, the General Assembly in enacting Section [1103(j)] would not have allowed a public official/employee on a three member board who has a conflict to be able to vote unless a second to the motion could be made so that the matter would be in the posture for a vote. Thus, we believe that since there is a need for a second to a motion in order to make Section [1103(j)] of the Ethics Law operative, the General Assembly intended as to three members [sic] boards for the public official with a conflict to be allowed to second so that if the other supervisors became deadlocked, the public official could then vote provided the disclosure requirements are satisfied. Garner, Opinion 93-004 at 6. The Commission concluded that Section 1103(j) of the Ethics Act would allow a township supervisor serving on a three-member board to second a motion despite a conflict where the two remaining supervisors would have opposing views or where one of the other two supervisors would be absent. The Commission emphasized that its ruling was expressly limited in its application to three member boards and to the question of seconding a motion. In applying Garner to the instant matter, you are advised as follows. Because the Board consists of three Members, you would be permitted to second a motion to appoint your A as B for the Township where the other two Township Supervisors would have opposing views. Allowing you to second the motion under such circumstances would put the matter in a posture for a vote. As long as you would initially: (1) abstain from the vote; and (2) fully satisfy the disclosure requirements of Section 1103(j) of the Ethics Act, you would then be permitted to vote to break the tie if the other two Township Supervisors would cast opposing votes. However, you could not otherwise use the authority of office, such as by advocating your view, in the matter. Lastly, the propriety of the proposed course of conduct has only been addressed under the Ethics Act. Conclusion: Upon taking office as a Member of the three-Member Board of Supervisors (“Board”) of [name of township] (“the Township”), you would become a “public official” subject to the provisions of the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq. Your A is a member of your “immediate family” as that term is defined in the Ethics Act. Pursuant to Section 1103(a) of the Ethics Act, in your public capacity as a Township Supervisor, you generally would have a conflict of interest in matters that would financially impact you, your A, or a business with which you or your A is associated. Because the Township Board of Supervisors consists of three Members, you would not have a conflict of interest under Section 1103(a) of the Ethics Act with regard to voting to appoint yourself to a compensated position with the Township that is authorized by law, such as Treasurer, Secretary, or Roadmaster. However, in the event that you would have a conflict of interest in a matter before you in such position(s), you would be required to abstain fully from participation and in each instance of a voting conflict, to abstain fully and to satisfy the disclosure requirements of Section 1103(j) of the Ethics Act. You would specifically have a conflict of interest in matters pertaining to the appointment of the Township B where your A would be considered, or would be among those considered, for said position. Subject to the voting conflict exceptions of Section 1103(j) of the Ethics Act, you would be required to abstain fully from participation in each instance of a conflict of interest. Because the Board consists of three Members, you would be permitted to second a motion to appoint your A as B for the Township where the other two Township Supervisors would have Confidential Advice, 09-582 December 22, 2009 Page 6 opposing views. Allowing you to second the motion under such circumstances would put the matter in a posture for a vote. As long as you would initially: (1) abstain from the vote; and (2) fully satisfy the disclosure requirements of Section 1103(j) of the Ethics Act, you would then be permitted to vote to break the tie if the other two Township Supervisors would cast opposing votes. However, you could not otherwise use the authority of office, such as by advocating your view, in the matter. Lastly, the propriety of the proposed conduct has only been addressed under the Ethics Act. Pursuant to Section 1107(11) of the Ethics Act, an Advice is a complete defense in any enforcement proceeding initiated by the Commission, and evidence of good faith conduct in any other civil or criminal proceeding, provided the requester has disclosed truthfully all the material facts and committed the acts complained of in reliance on the Advice given. This letter is a public record and will be made available as such. Finally, if you disagree with this Advice or if you have any reason to challenge same, you may appeal the Advice to the full Commission. A personal appearance before the Commission will be scheduled and a formal Opinion will be issued by the Commission. Any such appeal must be in writing and must be actually received at the Commission within thirty (30) days of the date of this Advice pursuant to 51 Pa. Code § 13.2(h). The appeal may be received at the Commission by hand delivery, United States mail, delivery service, or by FAX transmission (717-787-0806). Failure to file such an appeal at the Commission within thirty (30) days may result in the dismissal of the appeal. Sincerely, Robin M. Hittie Chief Counsel