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HomeMy WebLinkAbout13-556 ADVICE OF COUNSEL August 6, 2013 13-556 This responds to your letter dated July 1, 2013 (postmarked July 1, 2013, and received July 8, 2013), 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 impose restrictions upon an individual who, following retirement from the Commonwealth of Pennsylvania, has provided services to Commonwealth Agency A as an annuitant under the 95-day “return to state service” provision at 71 Pa.C.S. § 5706(A.1), with regard to engaging in interactions with Commonwealth Agency A and its Bs and employees that would not involve promised or actual compensation. Facts: You request a confidential advisory from the Pennsylvania State Ethics Commission regarding the post-employment restrictions of the Ethics Act. You have submitted facts that may be fairly summarized as follows. You state that you recently retired from your employment as C of Commonwealth Agency A. Following your retirement from the Commonwealth, you returned to work with Commonwealth Agency A as an annuitant under the 95-day “return to state service” provision at 71 Pa.C.S. § 5706(A.1) (“the 95-day Annuitant Program”), providing services to Commonwealth Agency A in the role of C. Your period of service as an annuitant with Commonwealth Agency A under the 95-day Annuitant Program was to conclude on [date]. You express your understanding that pursuant to Section 1103(g) of the Ethics Act, you would be prohibited from engaging in representation before Commonwealth Agency A for promised or actual compensation for one year following the termination of your annuitant status. You seek guidance as to whether Section 1103(g) of the Ethics Act would impose restrictions upon you with regard to engaging in interactions with Commonwealth Agency A and its Bs and employees that would not involve promised or actual compensation. In particular, you ask whether the Ethics Act would restrict you from discussing with Bs and employees of Commonwealth Agency A: (1) ongoing projects undertaken by Commonwealth Agency A while you served as C; (2) your Confidential Advice, 13-556 August 6, 2013 Page 2 recollection of past actions; or (3) your opinion on some future course of action, where such discussion(s) would not involve promised or actual compensation. Discussion: 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 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. It is initially noted that this advisory is limited to addressing the specific question(s) posed under Section 1103(g) of the Ethics Act. There is nothing in the submitted facts that would suggest the applicability of other restriction(s) of the Ethics Act to your specific inquiry. It is clear that when an individual who has retired from Commonwealth employment returns to Commonwealth service as an annuitant to perform services falling within the Ethics Act’s definition of “public employee” (see, 65 Pa.C.S. § 1102), the individual becomes a “public employee” subject to the Ethics Act. See, Graves, Opinion 00-009; McGlathery, Opinion 00-004. When you commenced providing services to Commonwealth Agency A as an annuitant in the role of C, you became a “public employee” subject to the Ethics Act and the Regulations of the State Ethics Commission. See, 65 Pa.C.S. § 1102; 51 Pa. Code § 11.1; Graves, supra; McGlathery, supra. Consequently, when you would cease providing such annuitant services, you would become a "former public employee" subject to Section 1103(g) of the Ethics Act. While Section 1103(g) does not prohibit a former public official/public employee from accepting a position of employment, it does restrict the former public official/public employee with regard to “representing” a “person” before “the governmental body with which he has been associated”: § 1103. Restricted activities (g)Former official or employee.-- No former public official or public employee shall represent a person, with promised or actual compensation, on any matter before the governmental body with which he has been associated for one year after he leaves that body. 65 Pa.C.S. § 1103(g) (Emphasis added). The terms “represent,” “person,” and "governmental body with which a public official or public employee is or has been associated" are specifically defined in the Ethics Act as follows: § 1102. Definitions "Represent." To act on behalf of any other person in any activity which includes, but is not limited to, the following: personal appearances, negotiations, lobbying and submitting bid or contract proposals which are signed by or contain the name of a former public official or public employee. Confidential Advice, 13-556 August 6, 2013 Page 3 "Person." A business, governmental body, individual, corporation, union, association, firm, partnership, committee, club or other organization or group of persons. "Governmental body with which a public official or public employee is or has been associated." The governmental body within State government or a political subdivision by which the public official or employee is or has been employed or to which the public official or employee is or has been appointed or elected and subdivisions and offices within that governmental body. 65 Pa.C.S. § 1102. The term "Person" is very broadly defined. It includes, inter alia, corporations and other businesses. It also includes the former public official/public employee himself, Confidential Opinion, 93-005, as well as a new governmental employer. Ledebur, Opinion 95-007. The term "represent" is also broadly defined to prohibit acting on behalf of any person in any activity. Examples of prohibited representation include: (1) personal appearances before the former governmental body or bodies; (2) attempts to influence; (3) submission of bid or contract proposals which are signed by or contain the name of the former public official/public employee; (4) participating in any matters before the former governmental body as to acting on behalf of a person; and (5) lobbying. Popovich, Opinion 89-005. Listing one's name as the person who will provide technical assistance on a proposal, document, or bid, if submitted to or reviewed by the former governmental body, constitutes an attempt to influence the former governmental body. Section 1103(g) also generally prohibits the inclusion of the name of a former public official/public employee on invoices submitted by his new employer to the former governmental body, even if the invoices pertain to a contract that existed prior to termination of service with such governmental body. Shay, Opinion 91-012. However, if such a pre-existing contract does not involve the unit where a former public employee worked, the name of the former public employee may appear on routine invoices if required by the regulations of the agency to which the billing is being submitted. Abrams/Webster, Opinion 95-011. A former public official/public employee may assist in the preparation of any documents presented to his former governmental body. However, the former public official/public employee may not be identified on documents submitted to the former governmental body. The former public official/public employee may also counsel any person regarding that person's appearance before his former governmental body. Once again, however, the activity in this respect should not be revealed to the former governmental body. The Ethics Act would not prohibit or preclude making general informational inquiries to the former governmental body to secure information which is available to the general public, but this must not be done in an effort to indirectly influence the former governmental body or to otherwise make known to that body the representation of, or work for, the new employer. Section 1103(g) only restricts the former public official/public employee with regard to representation before his former governmental body. The former public official/public employee is not restricted as to representation before other agencies or entities. However, the “governmental body with which a public official/public employee is or has been associated” is not limited to the particular subdivision of the agency or Confidential Advice, 13-556 August 6, 2013 Page 4 other governmental body where the public official/public employee had influence or control but extends to the entire body. See, Legislative Journal of House, 1989 Session, No. 15 at 290, 291; Sirolli, Opinion 90-006; Sharp, Opinion 90-009-R. Under the facts that you have submitted, when you would cease providing services to Commonwealth Agency A in your annuitant position, you would become a “former public employee” subject to Section 1103(g) of the Ethics Act, and the one-year period of applicability of Section 1103(g) would commence. The governmental body with which you would be deemed to have been associated upon termination of the aforesaid service would be Commonwealth Agency A in its entirety. Therefore, until the expiration of a full one-year period following termination of your service as an annuitant with Commonwealth Agency A, or until you would resume providing services to Commonwealth Agency A under the 95-day Annuitant Program in a position falling within the Ethics Act’s definition of “public employee,” whichever would come first, Section 1103(g) of the Ethics Act would apply and restrict “representation” of a “person” before Commonwealth Agency A with promised or actual compensation. Having set forth the restrictions of Section 1103(g) of the Ethics Act, you are advised as follows. When Section 1103(g) of the Ethics Act would be applicable to you, Section 1103(g) would not prohibit you from engaging in interaction(s) with Commonwealth Agency A and its Bs and employees, including discussing with Bs and employees of Commonwealth Agency A: (1) ongoing projects undertaken by Commonwealth Agency A while you served as C; (2) your recollection of past actions; or (3) your opinion on some future course of action, subject to the condition that you would engage in such interaction(s)/discussion(s) without promised or actual compensation. Lastly, the propriety of the proposed conduct has only been addressed under the Ethics Act; the applicability of any other statute, code, ordinance, regulation, or other code of conduct other than the Ethics Act has not been considered in that they do not involve an interpretation of the Ethics Act. Conclusion: When you commenced providing services to Commonwealth Agency A as an annuitant under the 95-day “return to state service” provision at 71 Pa.C.S. § 5706(A.1) (“the 95-day Annuitant Program”) in the role of C, you became a “public employee” subject to the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq., and the Regulations of the State Ethics Commission, 51 Pa. Code § 11.1 et seq. When you would cease providing services to Commonwealth Agency A in your annuitant position, you would become a "former public employee" subject to Section 1103(g) of the Ethics Act. The governmental body with which you would be deemed to have been associated upon termination of the aforesaid service would be Commonwealth Agency A in its entirety. Until the expiration of a full one-year period following termination of your service as an annuitant with Commonwealth Agency A, or until you would resume providing services to Commonwealth Agency A under the 95-day Annuitant Program in a position falling within the Ethics Act’s definition of “public employee,” whichever would come first, Section 1103(g) of the Ethics Act would apply and restrict “representation” of a “person” before Commonwealth Agency A with promised or actual compensation. The restrictions as to representation outlined above must be followed. When Section 1103(g) of the Ethics Act would be applicable to you, Section 1103(g) would not prohibit you from engaging in interaction(s) with Commonwealth Agency A and its Bs and employees, including discussing with Bs and employees of Commonwealth Agency A: (1) ongoing projects undertaken by Commonwealth Agency A while you served as C; (2) your recollection of past actions; or (3) your opinion on some future course of action, subject to the condition that you Confidential Advice, 13-556 August 6, 2013 Page 5 would engage in such interaction(s)/discussion(s) without promised or actual compensation. Based upon the facts that have been submitted, this Advice has addressed the applicability of Section 1103(g) of the Ethics Act only. There is nothing in the submitted facts that would suggest the applicability of other restriction(s) of the Ethics Act to your specific inquiry. 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