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HomeMy WebLinkAbout14-501 Shirk ADVICE OF COUNSEL January 27, 2014 Kenelm L. Shirk, III, Esquire Shirk & Mejia, LLP 115 South State Street Ephrata, PA 17522-2412 14-501 Dear Mr. Shirk: This responds to your letter dated November 25, 2013 (postmarked November 29, 2013, and received December 3, 2013), by which you requested an 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 prohibitions or restrictions upon a township supervisor with regard to participating in discussions or votes by the township board of supervisors pertaining to a project that would involving paving and/or making other improvements to the gravel portion of a road, where the township supervisor’s son owns one of three residential homes located along such gravel portion. Facts: As Solicitor for the Township of Bart (“Township”), you have been authorized by Township Supervisor F. Edward Weidman (“Mr. Weidman”) to request an advisory from the Pennsylvania State Ethics Commission on his behalf. You have submitted facts which may be fairly summarized as follows. The Township is governed by a three-Member Board of Supervisors (“Board of Supervisors”). The Township currently provides road maintenance for a road named “Heyberger Road.” Heyberger Road includes a gravel portion, which is hereinafter referred to as “the Gravel Road.” There are three residential homes located along the Gravel Road, one of which is owned by Mr. Weidman’s son. The Gravel Road is accessible to the public at large, and Mr. Weidman, who lives approximately 1.5 miles from the beginning of the Gravel Road, uses the Gravel Road. The Township is considering a project that would involve paving the Gravel Road and/or making other improvements to the Gravel Road (“the Gravel Road Project”). The length of the proposed paving is less than 500 feet, and the estimated cost for such paving is approximately $21,000.00. You state that under the Second Class Township Code, the Board of Supervisors would need to decide whether the improvements to the Gravel Road would be assessed against the owners of the three residential homes located along the Gravel Road. Shirk, 14-501 January 27, 2014 Page 2 Based upon the above submitted facts, you pose the following questions: (1) Whether the Ethics Act would permit Mr. Weidman to participate in discussion(s) and/or vote(s) by the Board of Supervisors on the Gravel Road Project, including the financing of the Gravel Road Project; and (2) If Mr. Weidman would have a conflict of interest with regard to voting on the Gravel Road Project, whether he would be permitted to vote to break a tie if the other two Township 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 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. As a Township Supervisor, Mr. Weidman is a public official subject to the provisions of the Ethics Act. 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 are defined in the Ethics Act as follows: Shirk, 14-501 January 27, 2014 Page 3 § 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. "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. The use of authority of office is not limited merely to voting, but extends 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. In each instance of a conflict of interest, a public official/public employee would be required to abstain from participation, which would include voting unless one of the statutory exceptions of Section 1103(j) of the Ethics Act would be applicable. Additionally, the disclosure requirements of Section 1103(j) of the Ethics Act would have to be satisfied in the event of a voting conflict. It is noted that the above statutory definition of "conflict" or "conflict of interest" contains two exclusions, referred to herein as the "de minimis exclusion" and the "class/subclass exclusion." The de minimis exclusion precludes a finding of conflict of interest as to an action having a de minimis (insignificant) economic impact. Thus, when a matter that would otherwise constitute a conflict of interest under the Ethics Act would have an insignificant economic impact, a conflict would not exist and Section 1103(a) of the Ethics Act would not be implicated. See, Kolb, Order 1322; Schweinsburg, Order 900. In order for the class/subclass exclusion to apply, two criteria must be met: (1) the affected public official/public employee, immediate family member, or business with which the public official/public employee or immediate family member is associated must be a member of a class consisting of the general public or a true subclass Shirk, 14-501 January 27, 2014 Page 4 consisting of more than one member; and (2) the public official/public employee, immediate family member, or business with which the public official/public employee or immediate family member is associated must be affected "to the same degree" (in no way differently) than the other members of the class/subclass. 65 Pa.C.S. § 1102; see, Kablack, Opinion 02-003; Rubenstein, Opinion 01-007. The first criterion of the exclusion is satisfied where the members of the proposed subclass are similarly situated as the result of relevant shared characteristics. The second criterion of the exclusion is satisfied where the individual/business in question and the other members of the class/subclass are reasonably affected to the same degree by the proposed action. Kablack, supra. In applying the above provisions of the Ethics Act to the instant matter, you are advised as follows. Mr. Weidman’s son is a member of his “immediate family” as that term is defined in the Ethics Act. Pursuant to Section 1103(a) of the Ethics Act, Mr. Weidman generally would have a conflict of interest in matters before the Board of Supervisors that would financially impact him, a member of his immediate family such as his son, or a business with which Mr. Weidman or a member of his immediate family is associated. In response to your specific questions, you are advised as follows. Based upon the submitted fact that Mr. Weidman’s son owns one of the three residential homes located along the Gravel Road, Mr. Weidman would have a conflict of interest under Section 1103(a) of the Ethics Act in discussion(s) and/or vote(s) pertaining to the Gravel Road Project unless the class/subclass exclusion would be applicable. In the instant matter, the submitted facts do not enable a conclusive determination as to whether Mr. Weidman’s son would be a member of an appropriate subclass or whether Mr. Weidman’s son would be affected by the improvements made by the Gravel Road Project "to the same degree" as other members of such a subclass. Accordingly, you are generally advised that in order for the class/subclass exclusion to apply, there would have to be at least one other owner of real estate along the portion of the Gravel Road to be improved by the Gravel Road Project: (1) who would be similarly situated to Mr. Weidman’s son as the result of relevant shared characteristics, so as to qualify with Mr. Weidman’s son as a member of a subclass; and (2) who would be reasonably affected to the same degree as Mr. Weidman’s son would be affected by Mr. Weidman’s action as to such matter. Kablack, supra. Subject to the voting conflict exceptions of Section 1103(j) of the Ethics Act, Mr. Weidman 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. Because the Board of Supervisors consists of three Members, Section 1103(j) would permit Mr. Weidman to vote to break a tie if the other two Township Supervisors would cast opposing votes on the Gravel Road Project, provided that Mr. Weidman would initially: (1) abstain from the vote; and (2) fully satisfy the disclosure requirements of Section 1103(j) of the Ethics Act. However, in voting to break a tie vote, Mr. Weidman could not otherwise use the authority of office, such as by advocating his view, in the matter. 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. Specifically not addressed herein is the applicability of the Second Class Township Code or the Rule of Necessity. Shirk, 14-501 January 27, 2014 Page 5 Conclusion: As a Supervisor for the Township of Bart (“Township”), F. Edward Weidman (“Mr. Weidman”) is a public official subject to the provisions of the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq. Based upon the submitted facts that: (1) the Township is governed by a three-Member Board of Supervisors (“Board of Supervisors”); (2) The Township currently provides road maintenance for a road named “Heyberger Road”; (3) Heyberger Road includes a gravel portion, which is hereinafter referred to as “the Gravel Road”; (4) there are three residential homes located along the Gravel Road, one of which is owned by Mr. Weidman’s son; (5) the Gravel Road is accessible to the public at large, and Mr. Weidman, who lives approximately 1.5 miles from the beginning of the Gravel Road, uses the Gravel Road; (6) the Township is considering a project that would involve paving the Gravel Road and/or making other improvements to the Gravel Road (“the Gravel Road Project”); (7) the length of the proposed paving is less than 500 feet, and the estimated cost for such paving is approximately $21,000.00; and (8) under the Second Class Township Code, the Board of Supervisors would need to decide whether the improvements to the Gravel Road would be assessed against the owners of the three residential homes located along the Gravel Road, you are advised as follows. Mr. Weidman’s son is a member of his “immediate family” as that term is defined in the Ethics Act. Pursuant to Section 1103(a) of the Ethics Act, Mr. Weidman generally would have a conflict of interest in matters before the Board of Supervisors that would financially impact him, a member of his immediate family such as his son, or a business with which Mr. Weidman or a member of his immediate family is associated. Based upon the submitted fact that Mr. Weidman’s son owns one of the three residential homes located along the Gravel Road, Mr. Weidman would have a conflict of interest under Section 1103(a) of the Ethics Act in discussion(s) and/or vote(s) pertaining to the Gravel Road Project unless the class/subclass exclusion would be applicable. The submitted facts do not enable a conclusive determination as to whether Mr. Weidman’s son would be a member of an appropriate subclass or whether Mr. Weidman’s son would be affected by the improvements made by the Gravel Road Project "to the same degree" as other members of such a subclass. In order for the class/subclass exclusion to apply, there would have to be at least one other owner of real estate along the portion of Gravel Road to be improved by the Gravel Road Project: (1) who would be similarly situated to Mr. Weidman’s son as the result of relevant shared characteristics, so as to qualify with Mr. Weidman’s son as a member of a subclass; and (2) who would be reasonably affected to the same degree as Mr. Weidman’s son would be affected by Mr. Weidman’s action as to such matter. Subject to the voting conflict exceptions of Section 1103(j) of the Ethics Act, Mr. Weidman would be required to abstain fully from participation in each instance of a conflict of interest. Because the Board of Supervisors is a three-member board, Section 1103(j) of the Ethics Act would permit Mr. Weidman to vote to break a tie if the other two Township Supervisors would cast opposing votes on the Gravel Road Project, provided that Mr. Weidman would initially: (1) abstain from the vote; and (2) fully satisfy the disclosure requirements of Section 1103(j) of the Ethics Act. However, in voting to break a tie vote, Mr. Weidman could not otherwise use the authority of office, such as by advocating his 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 . Shirk, 14-501 January 27, 2014 Page 6 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