Loading...
HomeMy WebLinkAbout84-545 MontgomeryJohn H. Montgomery, Jr. 900 Maplewood Drive Castle Shannon, PA 15234 Mating Address STATE ETHICS COMMISSION ApglimgMmum HARRISBURG, PAS TELEPHONE: (717) 783 -1610 April 5, 1984 ADVICE OF COUNSEL RE: Keystone Oaks School District, Insurance Agency Dear Mr. Montgomery: 84 -545 This responds to your letter of February 27, 1984, in which you requested advice from the State Ethics Commission. Issue: You ask whether, as an insurance agent and as an elected school director, you may vote on the payment of bills by the school district to merchants and husinesses which you may serve as an insurance agent or broker. Facts: You indicate that you are a newly - elected School Director for the Keystone Oaks School District, hereinafter, the District. You also serve as a full -time insurance broker and Vice - President of a general lines insurance agency, South Hills Insurance Agencies, hereinafter the Agency. As an insurance agent, the Agency provides insurance policies from merchants and businesses within the area. Some of these merchants and businesses have or may have dealings with the School District. You and the Agency receive commissions for providing and servicing the insurance needs of these merchants and businessmen. You ask whether you can cast votes and be recorded as a School Director on the issue of payment of bills presented to the District for work or services performed for the District by those merchants and businesses who may be insured by the Agency. Discussion: As a newly - elected School Director you are a "public official" as that term is defined in the State Ethics Act. See 65 P.S. 402 and Snider v. Thornburgh, 436 A.2d 593, 469 Pa. 159 (1981). As such, your conduct must conform to the requirements of the State Ethics Act. State Ethics Commission • 308 Finance Building • Harrisburg, Pennsylvania 11% ZD John H. Montgomery, Jr. April 5, 1984 Page 2 The State Ethics Act fundamentally deals with those instances in which you may be in a position to use your public office to obtain financial gain for yourself, a member of your immediate family, or a business with which you are associated. While the Agency itself may be a " businesss with which you are associated" as that term is defined in the State Ethics Act, the mere fact that the Agency does business with various other merchants and businesses which may serve the District, does not indicate that these other various merchants and businesses are to be considered entities with which you are "associated." Accordingly, the restrictions that you might face should the Agency itself wish to contract with the District as set forth in Sections 3(a) or (c) of the Ethics Act, 65 P.S. 403(a) and (c) respectively, would not come into play where the Agency is merely providing services to entities which may also in the course of their businesses, provide services to the District. There is no provision in the Ethics Act nor is there any opinion of the Ethics Commission which would prohibit you from voting on the payment of bills simply because the payment would be made to entities with which a business with which you are associated may be contracting. Of course, you should be aware of the requirements of Section 3(b) of the Ethics Act which requires that: (b) No person shall offer or give to a public official or public employee or candidate for public office or a member of his immediate family or a business with which he is associated, and no public official or public employee or candidate for public office shall solicit or accept, anything of value, including a gift, loan, political contribution, reward, or promise of future employment based on any understanding that the vote, official action, or judgment of the public official or public employee or candidate for public office would be influenced thereby. 65 P.S. 403(b). We mention this Section of the Ethics Act only for purposes of complete response to your inquiry. Conclusion: There is no specific provision of the Ethics Act nor is there any opinion of the Ethics Commission which would indicate that under the circumstances outlined above, you would be required to abstain from voting on the payment of bills presented to the District by entities your Agency may insure. John H. Montgomery, Jr. April 5, 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 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 made, in writing, to the Commission within 15 days of service of this Advice pursuant to 51 Pa. Code 2.12. SSC /rdp cc: John J. Hickton, Solicitor Sincerely, Sandra S. C istianson General Counsel