Loading...
HomeMy WebLinkAbout80-590 CohenTO: Howard A. Cohen Secretary of Revenue Department of Revenue Harrisburg, PA 17121 FACTS: DISCUSSION: STATE ETHICS COMMISSION 308 FINANCE BUILDING HARRISBURG, PENNSYLVANIA 17120 March 24, 1980 ADVICE OF CHIEF COUNSEL Advice # 80 -590 RE: Application of the State Ethics Act to the Chief Counsel of the Department of Revenue On March 12, 1980, Howard A. Cohen, Secretary of Revenue, wrote this office asking four questions: 1. To what extent is Chief Counsel of the Department of Revenue required to disclose the names and addresses of clients? 2. Does the State Ethics Act impose limitations on the scheduling of severance compensation over a fixed period of time as opposed to a lump sum? 3. Does Section 403(c) apply to partners in one's law firm? 4. Does Section 403(e) apply to chief counsel representing individuals before the Board of Finance and Revenue? It is the position of the Commission that 51 Pa. Code 5.9 properly construes Section 5(b)(5) of the Act and the Code of Professional Responsibility such that certain clients' identities and addresses must be disclosed. In the case of chief counsel with the Department of Revenue that person would disclose those cases before the Department of Revenue, Board of Finance and Revenue, or in court where he has received in 1979 $500 or more adjusted gross income from that client. Partners would be indirectly affected if the partnership distribution of 1979 to the chief counsel meets or exceeds $500. In summary, if an attorney "switches sides" he or she must disclose those cases in which he or she has an interest. Howard A. Cohen March 24, 1980 Page 2 The State Ethics Act, 65 P.S. 401 et seq, does not prohibit the scheduling of severance compensation over a fixed period of time, however, the disclosure requirements must be met as above. The prospective employee must abstain from involvement in any case represented by his firm while he is receiving compensation from that firm. Section 403(e) does not apply to partners with which the former governmental employee associates. The Act speaks to "public officials or public employees," not partners of a law firm. While the Department of Revenue does not control the Board of Finance and Revenue, it does however, have a representative on the Board. An attorney is prohibited for a period of one year from the date of its last involvement with the Board of Finance and Revenue from representing any person before the Board of Finance and Revenue if that attorney had any influence as a public employee with any representative on the Board of Finance and Revenue. See the Sonnenshein Advice attached hereto. CONCLUSION: Chief Counsel with the Department of Revenue must disclose any clients from whom he has receive $500 or more for purposes of representation before the Department of Revenue or appellant governmental bodies from the Department. The State Ethics Act does not limit the scheduling of severance compensation over a fixed period of time from a law firm. Section 3(e) of the Act does not apply to partners with whom a former public employee may associate. An attorney who regularly advises any representative of the Board of Finance and Revenue may not appear before the Board of Finance and Revenue within one year after rendering such an advice. 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. Howard A. Cohen March 24, 1980 Page 3 DRM /rdp -1 A personal appearance before the Commission and a formal opinion will be issued upon your request if you feel this reply does not suffice. This letter is a public record and will be made available as such. A D RITTEN Chief Counsel MORRISON