Loading...
HomeMy WebLinkAbout84-556 KrausMr. Gary Lee Kraus Courthouse Ridgway, PA 15853 STATE ETHICS COMMISSION 308 FINANCE BUILDING HARRISBURG, PA 17120 TELEPHONE: (717) 783 -1610 April 26, 1984 ADVICE OF COUNSEL 84 -556 RE: County Commissioner; Lease Agreement; Regional Planning and Development Commission Dear Mr. Kraus: This responds to your letter of February 3, 1984, in which you requested advice from the State Ethics Commission. Issue: You ask whether any conflict of interest exists where, as assignee of a lease agreement, you rent property to the North Central Pennsylvania Regional Planning and Development Commission. Facts: You are a County Commissioner for Elk County. In early January, 1984, you and a Ms. Susan Schutz purchased a commercial property located at 122 Center Street, Ridgway, Pennsylvania. Upon execution of all necessary documents involved in the purchase, a lease agreement between the former owner and the North Central Pennsylvania Regional Planning and Commission (RPDC) was properly transferred to you and Ms. Schutz. The lease will expire at the end of July, 1984 and will not be renewed. Mr. Sherwood Anderson, Board Chairman of RPDC, wrote to you to request that you request advice from the State Ethics Commission concerning the situation. Mr. Anderson expressed concern that, in light of the nature of RPDC's Incorporation, specifically, RPDC was formed by resolution of six counties including Elk County, and Mr. Anderson was concerned that there might be a conflict of interest involved in RPDC renting office space from such a County Commissioner. You have, therefore, requested advice from the State Ethics Commission as to the propriety of the situation which you have described. Discussion: As an elected County Commissioner for Elk County, hereinafter, the County, Mr. Lesko is a "public official" as that term is defined in the • State Ethics Act, 65 P.S. 402. As such, his conduct must conform to the requirements of the State Ethics Act. Mr. Gary Lee Kraus April 26, 1984 Page 2 Specifically, the Ethics Act requires that if Mr. Lesko or a member of his family or a business with which he is associated were to enter into—a_ lease with the governmental body with which he is associated, the requirements of an open and public process contained in Section 3(c) of the Ethics Act would be imposed. See 65 P.S 403(c). However, for purposes of this Advice, the Ethics Commission assumes that while Mr. Lesko is a County Commissioner, the RPDC as a separate and distinct entity from the County, does not constitute a "governmental body with which he is associated." Thus, even though he is associated with the County, Mr. Lesko would not be prohibited from contracting with the RPDC, nor would this situation give rise to the application of the open and public process requirements under Section 3(c) of the Ethics Act. Although Section 3(c) of the Ethics Act is apparently inapplicable in this situation, Mr. Lesko should be aware that Section 3(a) of the Ethics Act prohibits any public official from using his public office or any confidential information received through his holding public office to obtain financial gain for himself or a business with which he is associated. See 65 P.S. 403(a). In this regard, the Ethics Commission notes that as an assignee of the lease with RPDC it is apparent that RPDC entered into the lease agreement prior to Mr. Lesko's obtaining the property. It is, therefore, apparent that Mr. Lesko did not violate Section 3(a) of the Ethics Act in entering into your current business relations with the RPDC. However, should Mr. Lesko secure any confidential information as County Commissioner, he could not use this information in the future to his advantage with respect to this RPDC lease or otherwise. Likewise, should Mr. Lesko, as County Commissioner, ever, in the future, be required to review or vote on any matters relating to the RPDC lease on this property in particular, he should abstain from such discussions, votes, and record the reason for same on the public record. You should also be aware that Section 3(b) of the Ethics Act provides that no person shall offer or give to a public official or a business with which he is associated, and no public official shall solicit or accept, any thing of value based on any understanding that the official action of the public official would be influenced thereby. In this regard, the Ethics Commission notes that you have stated that the lease is to expire at the end of July, 1984, and will not be renewed. The Commission, thus, forsees no possibility of abuse of Section 3(b) of the Act by either Mr. Lesko or the RPDC regarding the lease renewal. We state that we add this reference to Section 3(b) in an effort to be complete and not to, in any way, indicate that any such activity was, is, or may be involved. Conclusion: In light of the fact that the RPDC is not the governmental body with which Mr. Lesko is associated, that the lease with RPDC pre- existed Mr. Lesko's purchase of the property, and in light of the fact that the lease, which expires at the end of July, 1984, will not be renewed, the Ethics Commission is of the opinion that no conflict of interests exists in the situation described in your request for advice. Mr. Gary Lee Kraus April 26, 1984 Page 3 Pursuant to Section 7(9)(ii), this 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, providing 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 request that the full Commission review this Advice. A personal appearance before the Commission will be scheduled and a formal Opinion from the Commission will be issued. Any such appeal must be made, in writing, to the Commission within 15 days of service of this Advice pursuant to 51 Pa. Code 2.12. CW /rdp Sincerely, S.ndra S. hr'stianson General Cou el