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HomeMy WebLinkAbout81-587 WoernerE. C. Woerner Maloney, Woerner & Co., CPA 1201 Bridgetown Pike Feasterville, PA 19047 RE: Statements of Financial Interests, CPA Dear Mr. Woerner: STATE ETHICS COMMISSION - 308 FINANCE BUILDING HARRISBURG, PENNSYLVANIA 17120 July 1, 1981 ADVICE OF COUNSEL "Public official." Any elected or appointed official in the Executive, Legislative or Judicial Branch of the State or any 81 -587 This responds to your letter of April 30, 1981, in which you requested an opinion from the Ethics Commission. Issue: You asked for advice as to whether you, your firm or partners are required to file Statements of Financial Interests when you serve as: (1) Trainers and supervisors of the bookkeeping personnel of a Second Class Township. (2) Court appointed auditors of the records of a Second Class Township. Facts: You are an independent certified public accountant. You train and supervise bookkeeping personnel of a Second Class Township. If necessary, you assist in updating the accounting records and in reconciling books to bank statements. You design new accounting procedures but do not audit the Township's records. The Court also appointed you to audit and to report on the records of a Second Class Township. Discussion: The Ethics Act, 65 P.S. §401 et. seq., requires public officials and public employees to file Statements of Financial Interests. Id §404. Persons not within the statutory definition of "public official" or "public employee" need not file statements. The Act defines public official and public employee as follows: E. C. Woerner July 1, 1981 Page 2 political subdivisior thereof, provided that it shall not include members of advisory boards that have no authority to expend public funds other than reimbursement for personal expense, or otherwise exercise the power of the State or any political subdivision thereof. "Public official" shall not include any appointed official who receives no compensation other than reimbursement for actual expenses. "Public employee" Any individual employed by the Commonwealth or a political subdivision who is respon- sible for taking or recommending official action of a non - ministerial nature with regard to: (1) contracting and procurement; (2) administering or monitoring grants or subsidies; (3) planning or zoning; (4) inspecting, licensing, regulating or auditing any person; or (5) any other activity where the official action has an economic impact of greater than de minimus nature on the interests of any person. As to your activities described in (1) above, these activities do not bring you within the ambit of the Act. Training and supervising employees does not make you a public official or a public employee required to file Statements of Financial Interests. As to (2) above, we assume that your appointment by the Court is limited and not meant to replace the Township's elected /regular auditor with duties as set forth in 53 P.S. 65545 and is not a continuing type of arrangement. If you have been appointed under 53 P.S. 65745 for a one -year period at the direction of the Court, as opposed to appointment by the muni- cipality itself, you are not a public official or a public employee and are not required to file Statements of Financial Interests. On the other hand, if you will be the auditor for the Township on a continuing basis under 53 P.S. 65545, you must file Statements. Conclusion: Independent public accountants training and super- vising Township personnel are not public officials or public employees required to file Statements of Financial Interests. A Court - appointed, temporary auditor of a Second Class Township (see 53 P.S. 65745) is not a public employee or official required to file Statements of Financial Interests. A Court - appointed auditor serving on a continuing basis must file such statements. E. C. Woerner July 1, 1981 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 may be scheduled and a formal Opinion from the Commission will be issued. You should make such a request or indicate your disapproval of this Advice within the next 30 days. " SW /rdp Sincerely, (4 4 t ',G0-2.0 andra S. C istianson General Co sel