HomeMy WebLinkAbout1686 GibbsIn Re: Susan Gibbs, File Docket: 14 -025
Respondent X -ref: Order No. 1686
Date Decided: 1/20/16
Date Mailed: 1/29/16
Before: Nicholas A. Colafella, Chair
Mark R. Corrigan, Vice Chair
Roger Nick
Kathryn Streeter Lewis
Maria Feeley
Melanie DePalma
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 allegations. 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 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.
ALLEGATIONS:
That Susan Gibbs, a public official /public employee in her capacity as Tax Collector
for Coopersburg Borough, Lehigh County, violated [Sections 1103(a), 1104(a), 1105(b)(1),
1105(b)(5), 1105(b)(8), and 1105(b)(9)] of the State Ethics Act (Act 93 of 19988 when she
used the authority of her public position to increase her compensation as Tax ollector by
charging real estate tax certification fees, which were not approved by the Coopersburg
Borough Council; and when, as Coopersburg Borough Tax Collector and Coopersburg
Borough Municipal Authority Treasurer, she failed to file a Statement of Financial Interests
( "SFI ") form by May 1, 2011, reporting information for the 2010 calendar year; failed to
report all direct/indirect sources of income in excess of $1,300 on SFIs filed for calendar
years 2009 through 2014; failed to report her office, directorship, oremployment in Miller&
Gibbs on SFIs filed for calendar years 2009 through 2013; failed to report her financial
interest in Miller & Gibbs on SFIs filed for calendar years 2010 through 2013; failed to
identify the correct calendar year (box #7) and her "Status" (box #3) on an SFI dated
01/10/2015; and when she failed to include complete and accurate information for "Public
Position or Public Office" (box #4) and "Governmental Entity" (box #5) on SFIs filed for
calendar years 2009 through 2014.
II. FINDINGS:
Susan Gibbs ( "Gibbs ") has served as the elected tax collector for Coopersburg
Borough ( "Borough ") since approximately 1994.
Gibbs, 14 -025
Page 2
a. The Borough is located in Lehigh County, Pennsylvania, and as of the 2010
U.S. Census, it maintained a population of approximately 2,400.
b. As the Borough Tax Collector, Gibbs is responsible forcollecting Boroughand
Southern Lehigh School District real estate taxes from Borough residents.
C. Gibbs does not collect county taxes, as Lehigh County performs tax
collection services for county owed taxes.
d. As Tax Collector, Gibbs has performed her duties from her residence
2. Gibbs' responsibilities as Tax Collector are limited to the collection of real estate
taxes due from Borough residents for the Borough and the Southern Lehigh School
District, forwarding said collections to the appropriate taxing body, and reporting
del inquentaccounts.
3. In addition to being Tax Collector, Gibbs also was employed as the Treasurerfor
the Coopersburg Borough Municipal Authority ( "Borough Municipal Authority ")
from at least 2008 through 2014.
a. Gibbs received compensation from the Borough Municipal Authority in the
amount of $450.00 per annual quarter.
4. In addition to being the elected Tax Collector for the Borough and the Treasurer for
the Borough Municipal Authority, Gibbs was also a 50% partner in the accounting
firm of Miller & Gibbs.
a. Miller & Gibbs maintained a principal location of business of 3037 South
Pike Avenue, Allentown, Pennsylvania 18103, and operated as a partnership
between Gibbs and Robert C. Miller, Jr.
b. The Miller & Gibbs partnership existed from approximately February 8,
1993, until October2013, when ownership was sold to StoudtPoole, PLLC.
C. Gibbs provided bookkeeping functions while at Miller & Gibbs.
5. Gibbs received compensation from the Borough as Tax Collector, which was
annually set by Borough Council through a Salary Ordinance. Since 2009, this
compensation was set at $13,905.00 annually.
a. The annual Salary Ordinances did not provide for the receipt of fees for
the issuance of real estate tax certifications.
b. Compensation approved by annual Salary Ordinance is as follows:
Year
Ordinance #
Term
Amount
2009
608 of 2008
01/01/09 —
12/31/09
$13,905.00
2010
617 of 2009
01/01/10 —
12/31/10
$13,905.00
2011
627 of 2010
01/01/11 —
12/31 /11
$13,905.00
2012
634 of 2011
01/01/12 —
12/31/12
$13,905.00
2013
638 of 2012
01/01/13 —
12/31/13
$13,905.00
2014
644 of 2013
01/01/14 —
12/31/14
$13,905.00
2015
647 of 2014
01/01/15 —
12/31/15
$13,905.00.
6. Gibbs' compensation from the Southern Lehigh School District was based on a
Gibbs, 14 -025
Page 3
fixed rate per bill sent.
a. The annual rate per tax bill, up to the first 2000 bills, is as follows:
2009:
$2.00 perbill
2010.
$2.25 perbill
2011.
$2.32 perbill
2012.
$2.39 perbill
2013.
$2.46 perbill
2014.
$2.56 perbill
2015.
$2.64 perbill.
b. Gibbs' compensation from the Southern Lehigh School District, as
detailed above, was approved by the Southern Lehigh School District
Board of School Directors on January 26, 2009, and again on January 27,
2014.
C. The January 26, 2009, approval established compensation for calendar
years 2010 through 2013.
d. The January 27, 2014, approval established compensation for calendar
years 2014 through 2017.
7. In addition to the compensation authorized as outlined above, Gibbs was
authorized to collect a $10.00 fee per real estate tax certification issued pursuant to
Borough Resolution #1 -92.
a. During the course of the investigation of this matter, the Investigative
Division of the State Ethics Commission was not provided with a copy of
Borough Resolution #1 -92, despite requests for any documentation
authorizing collection of a real estate tax certification fee.
8. Gibbs annually collected tax payments due the Southern Lehigh School District
from approximately 900 Borough residents.
a. At no time did Gibbs exceed the 2000 bill mailing threshold to receive a
higher per bill compensation rate from the Southern Lehigh School District.
9. Real estate tax certifications are generally required by title /abstract companies as
partof real estate settlements.
a. Closing companies generally pay the fees charged by tax collectors for real
estate tax certifications as a cost of doing business.
b. Closing companies often pass these fees along to their customers as partof
settlement costs.
10. Since at least 2009, Gibbs, in her capacity as the Borough Tax Collector, has charged
and collected real estate tax certification fees in varying amounts that at times
exceeded the fee of $10.00 per real estate tax certification authorized by Borough
Resolution #1 -92.
a. Instead, Gibbs charged a fee of $15.00 per real estate tax certification.
11. During an interview with an investigator from the State Ethics Commission on
August 27, 2014, Gibbs confirmed that she generally charged a fee in the amount of
Gibbs, 14 -025
Page 4
fifteen dollars ($15.00) per real estate tax certification issued by her
a. Gibbs further confirmed that she did not receive any verbal or written
approval to charge a $15.00 fee from Borough Council, the governmental
entity she is the elected Tax Collector for, during the past five (5) years.
b. Gibbs represented that she did not maintain any records detailing the actual
number of real estate tax certifications issued by her, or the total
compensation she received and retained as a result of [issuing such
certifications].
12. Deed transfer and mortgage filing records for properties located within the
geographical boundaries of Coopersburg Borough, Lehigh County, are maintained
by the Lehigh County Clerk of Judicial Records, Recorder of Deeds Division.
13. Prior to 2015, Gibbs did not provide the Borough or the Southern Lehigh School
District with any information documenting the amount charged or the additional
compensation she received as a result of issuing real estate tax certifications.
14. Deed and mortgage records on file with the Lehigh County Recorder of Deeds
Office were reviewed and analyzed in order to determine the minimum number of
real estate tax certifications which would have been issued by Gibbs since
September 25, 2009.
a. The September 25, 2009, date was selected as it is five (5) years prior to the
[date of the] Notice of Investigation sent by the State Ethics Commission to
Gibbs.
b. Real estate tax certifications are generally required by lenders as part of all
real estate transactions and /or mortgage financing and /or refinancing.
C. The estimated number of real estate tax certifications issued by Gibbs was
calculated by determining the number of real estate transactions occurring in
Lehigh County between September 25, 2009, and March 19, 2015.
d. To avoid duplication, deeds and mortgages, or multiple mortgages filed for
the same name and /or address, on the same day, or in close proximity of the
same day were only included once. An estimated 596 transactions were
identified.
e. The estimated number of real estate tax certifications issued by Gibbs was
multiplied by $5.00to determine the financial gain received by Gibbs as the
result of [charging] real estate tax certification [fees] in excess of the amount
authorized by the taxing bodies.
15. Based on a fee of $5.00 per real estate tax certification issued (assuming that Gibbs
issued a real estate tax certification for each of the transactions identified by the
method outlined in paragraph 14 supra), Gibbs would have received an excess of
payments totaling approximately $2,980.00 as the result of 596 real estate tax
certifications issued by her between September 25, 2009, and March 19, 2015.
16. Payments received by Gibbs for the issuance of real estate tax certifications were
retained as cash, cashed if in the form of a check, or deposited into financial
accounts Gibbs maintained at Lafayette Ambassador Bank and /or Merrill Lynch.
a. Gibbs maintained an account at Lafayette Ambassador Bank ([account
number redacted]) into which she deposited some of the real estate tax
Gibbs, 14 -025
Page 5
certification fees she received.
This account was also the tax collection account she utilized as the
Borough Tax Collector.
b. Gibbs additionally deposited a portion of the real estate tax certification fees
she received into the Merrill Lynch account ([account number redacted]).
17. Between October 1, 2009, and October 1, 2014, Gibbs made no less than sixty -six
(66) deposits, totaling $2,528.00, into her Tax Collector account at Lafayette
Ambassador Bank, which Gibbs confirmed to a State Ethics Commission
Investigator were associated with the issuance of real estate tax certifications.
a. Deposited items identified by Gibbs as being associated with real estate tax
certifications were in amount of $3.00, $10.00, and /or $15.00, with the
majority being [in the amount of] $15.00.
18. Between September 10, 2012, and February 13, 2013, Gibbs deposited 168 checks
totaling $2,633.00, which she had received as the result of issuing real estate tax
certifications, into the investment account she maintained at Merrill Lynch ([account
number redacted]).
19. Around January or early February 2015, Gibbs sent an undated letter to Borough
Council President Dr. Jack Felch, seeking Borough Council's approval for a
Resolution authorizing her to collect a fee of $15.00 for the issuance of a real estate
tax certification.
a. Gibbs did not previously report the receipt of the additional compensation to
Borough Council.
b. Gibbs submitted this letter to Borough Council after receiving the initial
Notice of Investigation dated September 25, 2014.
20. Gibbs' request was discussed by Borough Council during its February 17, 2015,
and March 17, 2015, meetings.
21. Gibbs represented to Borough Council on February 17, 2015, that she charges
$15.00 per real estate tax certification issued and that she issues approximately 50
real estate tax certifications annually.
22. Further discussion and official action regarding the collection of real estate tax
certification fees occurred during Borough Council's March 17, 2015, meeting.
a. Minutes from that meeting indicate a lengthy discussion on the matter,
resulting in Borough Council acknowledging that Gibbs was collecting a fee
for real estate tax certifications and requiring her to report the number of real
estate tax certifications issued pursuant to Borough Resolution 2015 -8.
b. Borough Council further stated it will include a real estate tax certification fee
beginning in2016.
23. Borough Resolution 2015 -8, enacted by Borough Council on March 17, 2015,
confirmed Borough Council's knowledge that the Borough Tax Collector was
charging a fee of $15.00 per real estate tax certification and retaining the funds, but
did not direct Gibbs to cease collecting a fee or to return any monies to the
Borough.
Gibbs, 14 -025
Page 6
24. Between October 1, 2009, and February 13, 2015, Gibbs realized a pecuniary
benefit as the result of her utilizing the authority of her office as the Borough Tax
Collector to collect a fee in excess of that authorized forthe issuance of real estate
tax certifications.
a. The ascertainable pecuniary benefit realized in violation of the Public Official
and Employee Ethics Act, 65 Pa.C.S. § 1101 et seq., equates to
approximately $1,825.00.
THE FOLLOWING FINDINGS RELATE TO ALLEGATIONS THAT GIBBS, AS THE
BOROUGH TAX COLLECTOR AND THE BOROUGH MUNICIPALAUTHORITYTREASURER,
FAILED TO FILE COMPLETE AND ACCURATE STATEMENT OF FINANCIAL
INTERESTS FORMS FOR THE 2009 THROUGH 2014 CALENDAR YEARS.
25. Gibbs, in her official capacity as the Borough Tax Collector, was annually required
to file a Statement of Financial Interests form by May 1, reporting information forthe
prior calendar year.
26. Statement of Financial Interests forms on file with the Borough includethe following
filings by Gibbs:
a. Calendar Year: 2014 (wrong year listed in box #7, 2015 reported)
Calendar Year: 2013
Calendar Year: 2012
Calendar Year: 2011
Calendar Year: 2010 (filed 10/14/14 after receiving Notice of Investigation)
Calendar Year: 2009.
27. The following summarizes Statement of Financial Interests filing deficiencies
contained on forms filed by Gibbs, in her official capacities as the Borough Tax
Collector and the Treasurer for the Borough Municipal Authority:
a. Gibbs failed to file a Statement of Financial Interests form by May 1, 2011,
for the 2010 calendar year.
1. Gibbs filed a Statement of Financial Interests form dated 10/14/14 for
the 2010 calendar year ....
b. Gibbs failed to provide a response to box #3, Status, on her Statement of
Financial Interests form dated 01/10/15 intended forthe 2014 calendaryear.
C. Gibbs provided a deficient response to box #7, Calendar Year, on her
Statement of Financial Interests form dated 01/10/15 intended for the
2014 calendar year. Gibbs reported 2015 as the calendar year.
d. Gibbs provided deficient responses to box #4, Public Position or Public
Office, on Statement of Financial Interests forms filed for the 2009
through 2014 calendar years.
e. Gibbs provided deficient responses to box #5, Governmental Entity, on
Statement of Financial Interests forms filed for the 2009 through 2014
calendar years.
f. Gibbs provided deficient responses to box #10, Direct/Indirect Sources of
Income, on Statement of Financial Interests forms filed forthe 2009 through
2014calendar years.
Gibbs, 14 -025
Page 7
Gibbs failed to report her partnership and employment in Miller & Gibbs in
box #13, Office, Directorship, or Employment in any Business, on Statement
of Financial Interests forms filed for the 2009 through 2013 calendar years.
Gibbs failed to report her 50% partnership in Miller & Gibbs in box #14,
Financial Interest in any Business, on Statement of Financial Interests forms
filed for the 2010 through 2013 calendar years.
DISCUSSION:
As the Tax Collector for Coopersburg Borough ( "Borough ") since approximately
1994 and as the Treasurer for the Coopersburg Borough Municipal Authority ( "Borough
Municipal Authority ") from at least 2008 through 2014, Respondent Susan Gibbs, also
referred to hereinafter as "Respondent," "Respondent Gibbs," and "Gibbs," has been a
public official /public employee subject to the provisions of the Public Official and Employee
Ethics Act ( "Ethics Act "), 65 Pa. C.S. § 1101 et seq.
The allegations are that Gibbs violated Sections 1103(a), 1104(a), 1105(b)(1),
1105(b)(5), 1105(b)(8), and 1105(b)(9) of the Ethics Act: (1) when, as the Borough Tax
Collector, she used the authority of her public position to increase her compensation by
charging real estate tax certification fees, which were not approved by Borough Council;
and (2) when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, she failed to file a Statement of Financial Interests ( "SFI ") form by May 1, 2011,
reporting information for the 2010 calendar year; failed to report all direct/indirect sources
of income in excess of $1,300 on SFIs filed for calendar years 2009 through 2014; failed to
report her office, directorship, or employment in Miller & Gibbs on SFIs filed for calendar
years 2009 through 2013; failed to report her financial interest in Miller & Gibbs on SFIs
filed for calendar years 2010 through 2013; failed to identify the correct calendaryear (box
#7) and her "Status" (box #3) on an SFI dated 01/10/2015; and failed to include complete
and accurate information for "Public Position or Public Office" (box #4) and "Governmental
Entity" (box #5) on SFIs filed for calendar years 2009 through 2014.
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
Gibbs, 14 -025
Page 8
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.
Section 1104(a) of the Ethics Act provides that each public official /public employee
must file an SFI for the preceding calendar year, each year that he holds the position and
the year after he leaves it.
Section 1105(b) of the Ethics Act and its subsections detail the financial disclosure
that a person required to file the SFI form must provide.
Section 1105(b)(1) of the Ethics Act requires the filer to disclose on the SFI his
name, address, and public position.
Subject to certain statutory exceptions not applicable to this matter, Section
1105(b)(5) of the Ethics Act requires the filer to disclose on the SFI the name and address
of any direct or indirect source of income totaling in the aggregate $1,300 or more.
Section 1105(b)(8) of the Ethics Act requires the filer to disclose on the SFI any
office, directorship or employment in any business entity.
Section 1105(b)(9) of the Ethics Act requires the filer to disclose on the SFI any
financial interest in any legal entity engaged in business for profit. The term "financial
interest" is defined in the Ethics Act as "[a]ny financial interest in a legal entity engaged in
business for profit which comprises more than 5% of the equity of the business or more
than 5% of the assets of the economic interest in indebtedness." 65 Pa.C.S. § 1102.
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.
Gibbs has served as the Borough Tax Collector since approximately 1994. In
addition to serving as the Borough Tax Collector, Gibbs was employed as the Borough
Municipal Authority Treasurer from atleast 2008 through 2014. Gibbs furtherwas a fifty
percent partner in the accounting firm of Miller & Gibbs, which existed from
approximately February 8, 1993, until October 2013.
As the Borough Tax Collector, Gibbs is responsible for collecting real estate taxes
from Borough residents for the Southern Lehigh School District and the Borough. From
2009 through 2015, Gibbs' compensation as the Borough Tax Collector was set in the
amount of $13,905.00 per year by Borough Council through annual salary ordinances.
The annual salary ordinances did not provide for the receipt of fees forthe issuance of real
estate tax certifications. In addition to the aforesaid compensation, Borough Resolution
#1 -92 authorized Gibbs to collect a $10.00 fee for each real estate tax certification that she
issued.
Since at least 2009, Gibbs, in her capacity as the Borough Tax Collector, charged
and collected real estate tax certification fees in varying amounts that at times exceeded
Gibbs, 14 -025
Page 9
the $10.00 fee authorized by Borough Resolution #1 -92. Gibbs generally charged a
$15.00 fee for each real estate tax certification that she issued. Gibbs had not received
any verbal or written approval from Borough Council to charge a $15.00 fee for issuing a
real estate tax certification.
Prior to 2015, Gibbs did not provide the Borough with any information documenting
the additional compensation that she received as a result of issuing real estate tax
certifications. Around January 2015 or early February 2015, Gibbs sent an undated letter
to the Borough Council President, seeking Borough Council's approval for a resolution
authorizing her to collect a $15.00 fee for the issuance of a real estate tax certification.
Borough Council discussed the collection of real estate tax certification fees at its
meetings on February 17, 2015, and March 17, 2015. At the Borough Council meeting on
February 17, 2015, Gibbs represented to Borough Council that she charges a $15.00 fee
for each real estate tax certification that she issues. At its meeting on March 17, 2015,
Borough Council enacted Borough Resolution 2015 -8, which confirmed Borough Council's
knowledge that Gibbs was charging a $15.00 fee for each real estate tax certification
issued and retaining the funds. Borough Resolution 2015 -8 did not direct Gibbs to cease
collecting a fee or to return any monies to the Borough.
The parties have stipulated that between October 1, 2009, and February 13, 2015,
Gibbs realized a pecuniary benefit in the amount of approximately $1,825.00 as the result
of utilizing the authority of her office as the Borough Tax Collector to collect real
estate tax certification fees in excess of the fee that was authorized by Borough
Resolution #1 -92.
With regard to Gibbs' SFIs for calendar years 2009 through 2014, the parties have
stipulated that:
• Gibbs failed to file an SFI for the 2010 calendar year by May 1, 2011, and she filed
her SFI for the 2010 calendar year on October 14, 2014, after receiving the Notice
of Investigation issued to her in this matter;
• Gibbs provided a deficient response to block number 7 (Calendar Year) on her SFI
dated 01/10/2015, which was filed for the 2014 calendar year, by reporting 2015 as
the calendar year;
• Gibbs failed to provide a response to block number 3 (Status) on her SFI for the
2014 calendar year;
• Gibbs provided deficient responses to block number 4 (Public Position or Public
Office) on her SFIs for the 2009 through 2014 calendar years;
• Gibbs provided deficient responses to block number 5 (Governmental Entity) on her
SFIs for the 2009 through 2014 calendar years;
• Gibbs provided deficient responses to block number 10 (Direct/Indirect Sources of
Income) on her SFIs for the 2009 through 2014 calendar years;
• Gibbs failed to report her partnership and employment in Miller & Gibbs in block
number 13 (Office, Directorship, or Employment in any Business) on her SFIs for
the 2009 through 2013 calendar years; and
Gibbs, 14 -025
Page 10
Gibbs failed to report her fifty percent partnership in Miller & Gibbs in block number
14 (Financial Interest in any Business) on her SFIs for the 2010 through 2013
calendar years.
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:
The Investigative Division will recommend the following in
relation to the above allegations:
That a violation of Section 1103(a) of the Public
Official and Employee Ethics Act, 65 Pa.C.S. §
1103(a), occurred in relation to Gibbs utilizing
the authority of her public position to increase
her compensation as Tax Collector by charging
real estate tax certification fees in excess of [the
fee that] was approved by the Coopersburg
Borough Council;
That a violation of Section 1104(a) of the Public
Official and Employee Ethics Act, 65 Pa.C.S. §
1104(a), occurred when, as Coopersburg
Borough Tax Collector and Coopersburg
Borough Municipal Authority Treasurer, Gibbs
failed to timely file a Statement of Financial
Interests ( "SFI ") form by May 1, 2011, reporting
information for the 2010 calendar year;
C. That a violation of Section 1105(b)(5) of the
Public Official and Employee Ethics Act, 65
Pa.C.S. § 1105(b)(5), occurred when, as
Coopersburg Borough Tax Collector and
Coopersburg Borough Municipal Authority
Treasurer, Gibbs failed to report all
direct/indirect sources of income in excess of
$1,300 on SFIs filed for calendar years 2009
through 2014;
That a violation of Section 1105(b)(8) of the
Public Official and Employee Ethics Act, 65
Pa.C.S. § 1105(b)(8), occurred when, as
Coopersburg Borough Tax Collector and
Coopersburg Borough Municipal Authority
Treasurer, Gibbs failed to report her office,
directorship, or employment in Miller & Gibbs on
SFIs filed for calendar years 2009 through 2013;
That a violation of Section 1105(b)(9) of the
Public Official and Employee Ethics Act, 65
Pa.C.S. § 1105(b)(9), occurred when, as
Coopersburg Borough Tax Collector and
Coopersburg Borough Municipal Authority
Treasurer Gibbs failed to report her financial
Gibbs, 14 -025
Page 11
interest in Miller & Gibbs on SFIs filed for
calendar years 2010 through 2013; and
That a violation of Section 1105(b)(1) of the
Public Official and Employee Ethics Act, 65
Pa.C.S. § 1105(b)(1), occurred when, as
Coopersburg Borough Tax Collector and
Coopersburg Borough Municipal Authority
Treasurer Gibbs failed to identify the correct
calendar year and [her] "Status" on an SFI dated
01/10/2015; and when she failed to include
complete and accurate information for "Public
Position or Public Office" and "Governmental
Entity" on SFIs filed for calendar years 2009
through 2014.
4. Gibbs agrees to make payment in the amount of $1,825.00 in
settlement of this matter payable to the Commonwealth of
Pennsylvania and forwarded to the Pennsylvania State Ethics
Commission within thirty (30) days of the issuance of the final
adjudication in this matter.
5. Gibbs agrees to file complete and accurate amended
Statements of Financial Interests with Coopersburg Borough
through the Pennsylvania State Ethics Commission, for the
2009, 2010, 2011, 2012, 2013 and 2014 calendar years within
thirty (30) days of the issuance of the final adjudication in this
matter.
6. Gibbs agrees to not accept any reimbursement, compensation
or other payment from Coopersburg Borough representing a
full or partial reimbursement of the amount paid in settlement
of this matter.
7. 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 2 -3.
In considering the Consent Agreement, it is clear that as the Borough Tax Collector,
Gibbs violated Section 1103(a) of the Ethics Act in relation to her utilization of the authority
of her public position to increase her compensation as the Borough Tax Collector by
charging real estate tax certification fees in excess of the fee that was approved by
Borough Council.
Pursuant to Borough Resolution #1 -92, Gibbs, as the Borough Tax Collector, was
authorized to collect a $10.00 fee for each real estate tax certification that she issued.
Nevertheless, since at least 2009, Gibbs generally charged a $15.00 fee for each real
estate tax certification that she issued. Gibbs used the authority of her office as the
Borough Tax Collector when she charged real estate tax certification fees that exceeded
Gibbs, 14 -025
Page 12
the $10.00 fee authorized by Borough Resolution #1 -92. The parties have stipulated that
between October 1, 2009, and February 13, 2015, Gibbs realized a pecuniary benefit in
the amount of approximately $1,825.00 as the result of utilizing the authority of her
office as the Borough Tax Collector to collect real estate tax certification fees in
excess of the fee that was authorized by Borough Resolution #1 -92.
Based upon the Stipulated Findings and the Consent Agreement, we hold that as
the Borough Tax Collector, Gibbs violated Section 1103(a) of the Ethics Act, 65 Pa.C.S. §
1103(a), in relation to her utilization of the authority of her public position to increase her
compensation as the Borough Tax Collector by charging real estate tax certification fees in
excess of the fee that was approved by Borough Council. Cf., Ahner, Order 1564; Walter,
Order 1429; Trexler, Order 1353.
Turning to the allegations regarding Gibbs' SFIs, we hold that: (1) a violation of
Section 1104(a) of the Ethics Act, 65 Pa.C.S. § 1104(a), occurred when, as the Borough
Tax Collector and the Borough Municipal Authority Treasurer, Gibbs failed to timely file an
SFI form by May 1, 2011, reporting information for the 2010 calendar year; (2) a violation
of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b)(5), occurred when, as the
Borough Tax Collector and the Borough Municipal Authority Treasurer, Gibbs failed to
report all direct/indirect sources of income in excess of $1,300 on SFIs filed for calendar
years 2009 through 2014; (3) a violation of Section 1105(b)(8) of the Ethics Act, 65
Pa.C.S. § 1105(b)(8), occurred when, as the Borough Tax Collector and the Borough
Municipal Authority Treasurer, Gibbs failed to report her office, directorship, or
employment in Miller & Gibbs on SFIs filed for calendar years 2009 through 2013; (4) a
violation of Section 1105(b)(9) of the Ethics Act, 65 Pa.C.S. § 1105(b)(9), occurred when,
as the Borough Tax Collector and the Borough Municipal Authority Treasurer, Gibbs failed
to report her financial interest in Miller & Gibbs on SFIs filed for calendar years 2010
through 2013; and (5) a violation of Section 1105)(1) of the Ethics Act, 65 Pa.C.S. §
1105(b)(1), occurred when, as the Borough Tax Collector and the Borough Municipal
Authority Treasurer, Gibbs failed to identify the correct calendar year and her "Status" on
an SFI dated 01/10/2015, and when she failed to include complete and accurate
information for "Public Position or Public Office" and "Governmental Entity" on SFIs filed
for calendar years 2009 through 2014.
As part of the Consent Agreement, Gibbs has agreed to make payment in the
amount of $1,825.00 payable to the Commonwealth of Pennsylvania and forwarded to this
Commission within thirty (30) days of the issuance of the final adjudication in this matter.
Gibbs has also agreed to not accept any reimbursement, compensation or other payment
from the Borough representing a full or partial reimbursement of the amount paid in
settlement of this matter. Gibbs has further agreed to file complete and accurate amended
SFIs for the 2009, 20107 20117 20127 2013, and 2014 calendar years with the Borough,
through this Commission, within thirty (30) days of the issuance of the final adjudication in
this matter.
We determine that the Consent Agreement submitted by the parties sets forth a
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 of the parties, Gibbs is directed to make
payment in the amount of $1,825.00 payable to the Commonwealth of Pennsylvania and
forwarded to this Commission by no later than the thirtieth (30th) day after the mailing date
of this adjudication and Order.
Per the Consent Agreement of the parties, Gibbs is further directed to not accept
any reimbursement, compensation or other payment from the Borough representing a full
or partial reimbursement of the amount paid in settlement of this matter.
Gibbs, 14 -025
Page 13
To the extent she has not already done so, Gibbs is directed to file complete and
accurate amended SFIs for the 2009, 2010, 2011, 2012, 2013, and 2014 calendar years
with the Borough, through this Commission, by no later than the thirtieth (30t) day afterthe
mailing date of this adjudication and Order.
Compliance with the foregoing will result in the closing of this case with no further
action by this Commission. Noncompliance will result in the institution of an order
enforcement action.
IV. CONCLUSIONS OF LAW:
As the Tax Collector for Coopersburg Borough ( "Borough ") since approximately
1994, and as the Treasurer for the Coopersburg Borough Municipal Authority
"Borough Municipal Authority ") from at least 2008 through 2014, Respondent
usan Gibbs ( "Gibbs ") has been a public official /public employee subject to the
provisions of the Public Official and Employee Ethics Act ( "Ethics Act "), 65 Pa.C.S.
§ 1101 et seq.
2. As the Borough Tax Collector, Gibbs violated Section 1103(a) of the Ethics Act, 65
Pa.C.S. § 1103(a), in relation to her utilization of the authority of her public position
to increase her compensation as the Borough Tax Collector by charging real estate
tax certification fees in excess of the fee that was approved by Borough Council.
3. A violation of Section 1104(a) of the Ethics Act, 65 Pa.C.S. § 1104(a), occurred
when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to timely file a Statement of Financial Interests ( "SFI ") form
by May 1, 2011, reporting information for the 2010 calendar year.
4. A violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b)(5),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to report all direct/indirect sources of income in excess of
$1,300 on SFIs filed for calendar years 2009 through 2014.
5. A violation of Section 1105(b)(8) of the Ethics Act, 65 Pa.C.S. § 1105(b)(8),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to report her office, directorship, or employment in Miller &
Gibbs on SFIs filed for calendar years 2009 through 2013.
6. A violation of Section 1105(b)(9) of the Ethics Act, 65 Pa.C.S. § 1105(b)(9),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to report her financial interest in Miller & Gibbs on SFIs filed
for calendar years 2010 through 2013.
7. A violation of Section 1105(b)(1) of the Ethics Act, 65 Pa.C.S. § 1105(b)(1),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to identify the correct calendar year and her "Status" on an
SFI dated 01/10/2015, and when she failed to include complete and accurate
information for "Public Position or Public Office" and "Governmental Entity" on SFIs
filed for calendar years 2009 through 2014.
In Re: Susan Gibbs, File Docket: 14 -025
Respondent Date Decided: 1/20/16
Date Mailed: 1/29/16
ORDER NO. 1686
As the Tax Collector for Coopersburg Borough ( "Borough "), Susan Gibbs ( "Gibbs ")
violated Section 1103(a) of the Public Official and Employee Ethics Act ( "Ethics
Act "), 65 Pa.C.S. § 1103(a), in relation to her utilization of the authority of her public
position to increase her compensation as the Borough Tax Collector by charging
real estate tax certification fees in excess of the fee that was approved by Borough
Council.
2. A violation of Section 1104(a) of the Ethics Act, 65 Pa.C.S. § 1104(a), occurred
when, as the Borough Tax Collector and the Coopersburg Borough Municipal
Authority ( "Borough Municipal Authority ") Treasurer, Gibbs failed to timely file a
Statement of Financial Interests ( "SFI ") form by May 1, 2011, reporting information
for the 2010 calendar year.
3. A violation of Section 1105(b)(5) of the Ethics Act, 65 Pa.C.S. § 1105(b)(5),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to report all direct/indirect sources of income in excess of
$1,300 on SFIs filed for calendar years 2009 through 2014.
4. A violation of Section 1105(b)(8) of the Ethics Act, 65 Pa.C.S. § 1105(b)(8),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to report her office, directorship, or employment in Miller &
Gibbs on SFIs filed for calendar years 2009 through 2013.
5. A violation of Section 1105(b)(9) of the Ethics Act, 65 Pa.C.S. § 1105(b)(9),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to report her financial interest in Miller & Gibbs on SFIs filed
for calendar years 2010 through 2013.
6. A violation of Section 1105(b)(1) of the Ethics Act, 65 Pa.C.S. § 1105(b)(1),
occurred when, as the Borough Tax Collector and the Borough Municipal Authority
Treasurer, Gibbs failed to identify the correct calendar year and her "Status" on an
SFI dated 01/10/2015, and when she failed to include complete and accurate
information for "Public Position or Public Office" and "Governmental Entity" on SFIs
filed for calendar years 2009 through 2014.
7. Per the Consent Agreement of the parties, Gibbs is directed to make payment in the
amount of $1,825.00 payable to the Commonwealth of Pennsylvania and forwRrded
to the Pennsylvania State Ethics Commission by no later than the thirtieth (30t ) day
after the mailing date of this Order.
8. Per the Consent Agreement of the parties, Gibbs is further directed to not accept
any reimbursement, compensation or other payment from the Borough representing
a full or partial reimbursement of the amount paid in settlement of this matter.
Gibbs, 14 -025
Page 15
9. To the extent she has not already done so, Gibbs is directed to file complete and
accurate amended SFIs for the 2009, 2010, 2011, 2012, 2013, and 2014 calendar
years with the Borough, though the Pennsylvania State Ethics Commission, by no
later than the thirtieth (30th ) day after the mailing date of this Order.
10. Compliance with paragraphs 7, 8, and 9 of this Orderwill result in the closing of this
case with no further action by this Commission.
a. Non - compliance will result in the institution of an order enforcement action.
BY THE COMMISSION,
Nicholas A. Colafella, Chair