HomeMy WebLinkAbout89-525 LyonsSTATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 1 71 08 -1 470
TELEPHONE (717) 783 -1610
ADVICE OF COUNSEL
April 6, 1989
Mr. William F. Lyons, III 89 -525
400 Davis Street
Harrisburg, PA 17109
Re: Former Public Employee; Section 3(e), Research Analyst,
House Republican Caucus
Dear Mr. Lyons:
This responds to your letter of March 3, 1989, in which you
requested advice from the State Ethics Commission.
Issue: You ask whether the Ethics Act presents any restrictions
upon your potential employment following your termination of
service with the Republican Caucus of the House of
Representatives.
Facts: You state that you have resigned your position as
Research Analyst with the Republican Caucus of the House of
Representatives, hereinafter the House, to take a position with
the firm of Milliron and Associates. As to the specific duties
and responsibilities in your position with the House, you note
that you served as an Analyst for the House Finance Committee
wherein you performed legislative analysis and research and
worked on constituent correspondence. You advise that you
reported to Otis W. Littleton, Director of Research and
Representative Peter R. Vroon, the Republican Chairman of the
Finance Committee. After stating you now report to John
Milliron, the president of Milliron and Associates, you note that
you will be performing various functions including lobbying of
legislators, legislative analysis and research and contacting
other trade associations. You conclude by requesting an advisory
opinion as to what activities you may engage in without
transgressing the Ethics Act.
Discussion: As a Research Analyst for the House, you are to be
considered a "public employee" within the definition of that term
as set forth in the Ethics Act and the regulations of this
Commission. 65 P.S. S402; 51 Pa. Code §1.1. This conclusion is
Mr. William F. Lyons, III
April 6, 1989
Page 2
based upon your job description, which when reviewed on an
objective basis, indicates clearly that you have the power to
take or recommend official action of a non - ministerial nature
with respect to contracting, procurement, planning, inspecting or
other activities where the economic impact is greater than de
minimus on the interests of another person.
Consequently, upon termination of this employment, you would
become a "former public employee" subject to Section 3(e) of the
Ethics Act. Section 3(e) of the Ethics Act provides that:
Section 3. Restricted activities.
(e) No former official or public employee
shall represent a person, with or without
compensation, on any matter before the
governmental body with which he has been
associated for one year after he leaves that
body. 65 P.S. 5403.
Initially, to answer your request the "governmental body"
with which you were associated while working with the House must
be identified. Then, the scope of the prohibitions associated
with the concept and term of "representation" must be reviewed.
In this context, the Ethics Commission has previously ruled that
the "governmental body" with which an individual may be deemed to
have been associated during his tenure of public office or
employment extends to those entities where he had influence,
responsibility, supervision, or control. See Ewing, Opinion 79-
010. See also Kury v. Commonwealth of Pennsylvania, State Ethics
Commission, 435 A.2d 940 (1981).
From the description and analysis of your duties and
responsibilities and based upon the facts outlined above, your
jurisdiction, responsibility, influence and control appears to
have been with the Republican Caucus, the Finance Committee and
Representative Vroon's Office, hereinafter collectively referred
to as the Offices. Thus, the "governmental body" with which you
have been "associated" upon the termination of your employment
would be the Offices. Therefore, within the first year after you
would leave the House, Section 3(e) of the Ethics Act would apply
and restrict your "representation" of persons or new employers
vis -a -vis the Offices.
The Ethics Act would not affect your ability to appear
before agencies or entities other than with respect to the
Offices. Likewise, there is no general limitation on the type of
employment in which you may engage, following your departure from
the House. It is noted, however, that the conflicts of interest
Mr. William F. Lyons, III
April 6, 1989
Page 3
law is primarily concerned with financial conflicts and
violations of the public trust. The intent of the law generally
is that during the term of a person's public employment he must
act consistently with the public trust and upon departure from
the public sector, that individual should not be allowed to
utilize his association with the public sector, officials or
employees to secure for himself or a new employer, treatment or
benefits that may be obtainable only because of his association
with his former public employer. See Anderson, Opinion 83 -014;
Zwikl, Opinion 85 -004.
In respect to the one year representation the Ethics
Commission has promulgated regulations to define "representation"
as follows:
Section 1.1 Definitions.
Representation - -- Any act on behalf of any
person including but not limited to the
following activities: personal appearances,
negotiating contracts, lobbying, and
submitting bid or contract proposals which
are signed by or contain the name of the
former public official or public employee.
51 Pa. Code S1.1.
The Commission, in its opinions, has also interpreted the
term "representation" as used in Section 3(e) of the Ethics Act
to prohibit:
1. Personal appearances before the governmental body or
bodies with which you have been associated, (that is the
Offices), including, but not limited to, negotiations or
renegotiations on contracts with the Offices;
2. Attempts to influence the Offices;
3. Participating in any matters before the Offices over
which you had supervision, direct involvement, or responsibility
while employed by the House;
4. Lobbying, that is representing the interests of any
person or employer before the Offices in relation to legislation,
regulations, etc. See Russell, Opinion 80 -048 and Seltzer,
Opinion 80 -044.
The Commission has also held that preparing and signing a
proposal, document or bid, or listing your name as the person who
will provide technical assistance on such proposal, document, or
Mr. William F. Lyons, III
April 6, 1989
Page 4
bid, if submitted to or reviewed by the Offices, constitutes an
attempt to influence your former governmental body. See
Kilareski, Opinion 80 -054. Therefore, within the first year
after you leave the House, you should not engage in the type of
activity outlined above. The Commission, however, has stated
that the inclusion of your name as an employee or consultant on a
"pricing proposal," even if submitted to or reviewed by the
Offices, is not prohibited as "representation." See Kotalik,
Opinion 84 -007.
You may, assist in the preparation of any documents
presented to the Offices so long as you are not identified as the
preparer. You may also counsel any person regarding that
person's appearance before the Offices. Once again, however,
your activity in this respect should not be revealed to the
Offices. Of course, any ban under the Ethics Act would not
prohibit or preclude you from making general informational
inquiries of the Offices to secure information which is available
to the general public. See Cutt, Opinion 79 -023. This, of
course, must not be done in an effort to indirectly influence
these entities or to otherwise make known to the Offices your
representation of, or work for your new employer.
Finally, the Commission has concluded that if you are
administering an existing contract as opposed to negotiating or
renegotiating a contract, your activities would not be prohibited
by the Ethics Act. See Dalton, Opinion 80 -056 and Beaser, Advice
81 -538.
Additionally, it is noted that Section 403(b) of the State
Ethics Act would prohibit any public employee or public official
from accepting a position of employment if said position has
been offered based upon the understanding that the official
conduct of the employee or official, while working for his former
governmental body, was influenced by such offer. See 65 P.S.
§403(b).
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: As a Research Analyst, you are to be considered a
"public employee" as defined in the Ethics Act. Upon termination
of your service with the House, you would become a "former public
employee" subject to the restrictions imposed by Section 3(e) of
the Ethics Act. As such, your conduct should conform to the
requirements of the Ethics Act as outlined above. Your
Mr. William F. Lyons, III
April 6, 1989
Page 5
governmental body for the purpose of the one year representation
restriction is the House.
Further, should you terminate your employment or service, as
outlined above, you are reminded that the Ethics Act also
requires you to file a Statement of Financial Interests for the
year following your termination of service. Lastly, the
propriety of the proposed conduct has only been addressed under
the Ethics Act.
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 requestor has disclosed
truthfully all the material facts and committed the acts
complained of in reliance on the Advice given.
such.
This letter is a public record and will be made available as
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 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 S2.12.
Sincerely,
ovtID
Vincent J. Dopko,
General Counsel
Mr. William F. Lyons, III
c/o Robert Mills,
Kevin J. Frederick
Mc.Nees, Wallace & Nurick
100 Pine Street
P. 0. Box 1166
Harrisburg, PA 17108 -1166
STATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 1 71 08 -1 470
TELEPHONE (717) 783 -1610
SUPPLEMENTAL ADVICE OF COUNSEL
May 16, 1989
89 -525 -S
Re: Former Public Employee; Section 3(e), Research Analyst,
House Republican Caucus; Supplemental Advice of Counsel
Dear Mr. Lyons:
This responds to your Counsel's letter of April 17, 1989, in
which additional advice was requested of the State Ethics
Commission.
Issue: You asked for clarification as to the restrictions upon
your potential employment following your termination of service
with the Finance Committee in the House of Representatives and
with Representative Vroon's office.
Facts: In your letter you express two major concerns as to a
statement on page 5 of the advice which indicates that the
governmental body would be the House and secondly a concern
regarding the governmental body with which Mr. Lyons is
associated. In particular, you note in the advice on page 2,
paragraph 3 that Mr. Lyons' governmental body would be the
Republican Caucus, the Finance Committee and Representative
Vroon's office which are collectively referred to as the Offices.
You then note that the foregoing is contradicted by page 5
of the opinion wherein it provides that Mr. Lyons' one year
restriction relates to the House. Secondly, you request
clarification as to the designation of the governmental body as
the "Offices ". After noting that the opinion is limited by the
facts which were originally presented, you state that the
original letter did not sufficiently explain and emphasize that
Mr. Lyons' did not report to the entire Republican Caucus of the
William F. Lyons
May 16, 1989
Page 2
House of Representatives, but rather that Mr. Lyons' only
reported to Otis W. Littleton who was Director of Research and to
Representative Peter R. Vroon who is the Republican Chairman of
the Finance Committee. In this regard you state that Mr. Lyons'
did not have any duties directly associated with the Caucus but
was restricted in his activities to Representative Vroon and Mr.
Littleton. Because of the foregoing clarification, you request
additional advice as to the proper scope of the one year
restriction upon Mr. Lyons concerning the governmental body with
which he is associated. Additionally, you cite Lyden, Advice 88-
562; Babin, Advice 87 -656; and Dessen, Advice 87 -534. In the
cited advices you indicate that under virtually identical
circumstances to Mr. Lyons, you state that the is no substantive
differences in the position formerly held by those individuals or
in the new positions that they will be holding from the former
and present position of Mr. Lyons. On this point you conclude
that in all other advices the governmental body in which the
individual was associated was the committee and the office of the
state representative involved. You then reiterate that Mr. Lyons
holds virtually an identical position as to these other
individuals and that he had no direct reporting responsibilities
to the Republican Caucus whereupon the appropriate representation
restriction for Mr. Lyons in your view should be limited to the
Finance Committee and the Offices of Peter Vroon. You conclude
by setting forth your understanding that a request for a
supplemental advice tolls the appeal which would not begin to
run anew until the issuance of the supplemental advice.
Discussion: In Lyons Advice 89 -525 which is incorporated herein
by reference, you were advised that Mr. Lyons as a former public
employee would be subject to the restrictions imposed by Section
3(e) of the Ethics Act quoted therein. Additionally, after
reciting the definition of representation as contained in the
regulations of the Commission, you were advised of its
application to situations involving personnel appearances before
the former governmental body, attempts to influence the former
governmental body or participating, lobbying or representing the
interest of any person or employer before the former
governmental body. Finally, several opinions of the Commission
were cited which set forth certain parameters of interpretation
as to the applicability of the restrictions of Section 3(e) of
the Ethics Act. Finally, the advice set forth the restrictions
of 3(b) of the Ethics Act and noted that the advice was limited
in its applicability town interpretation of the Ethics Act.
After reviewing the request for supplemental advice, it
appears the letter of March 3, 1985 did not sufficiently explain
the extent of Mr. Lyons jurisdiction, responsibility, influence
and control relative to his employment with the House.
William F. Lyons
May 17, 1989
Page 3
and responsibilities of Mr. Lyons relative to the entire file, it
appears that the "governmental body" with which Mr. Lyons
associated is limited to the Finance Committee and Representative
Vroon's office, hereinafter collectively referred to as the "two
offices."
In light of the above, Lyons Advice 89 -525 is hereby
modified to the extent that the representation is not applicable
to the term "Offices" as defined in Advice 89 -525 but rather to
only the "two offices" as defined in the Supplemental Advice.
Additionally, Advice 89 -525 is also modified to the extent that
the phrase "house" on page 5 is deleted and in the phrase
"two offices" is inserted therein.
Conclusion: Advice of Counsel No. 89 -525 is modified in two
regards. The governmental body with which Mr. Lyons is
associated is limited to the "two offices" defined as the Finance
Committee and Representative Vroon's office. Secondly, the word
"house" on page 5 of the Advice is deleted and the phrase "two
offices" is substituted therein.
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 requestor 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 in writing
and must be received at the Commission within 15 days of the date
of this Advice pursuant to 51 Pa. Code S2.12.
Sincerely,
Vincent . Dopko,
General Counsel