HomeMy WebLinkAbout81-625 ChandlerMailing Address.
STATE ETHICS COMMISSION
P.O. BOX 1 179
HARRISBURG, PA 17108
TELEPHONE: (717) 783 -1610
October 1, 1981
ADVCE OF COUNSEL
Vernon E. Chandler, Jr.
Pennsylvania Public Utility Commission
P.O. Box' 3265
Harrisburg, PA 17120
RE: Section 3, P.U.C. Rate Division Chief
Dear Mr. Chandler:
State Ethics Commission • 308 Finance Building • Harrisburg, Pennsylvania
•81 -625
This responds to your letter of August 6, 1981, in
which you, as the Chief of the Gas Division, Bureau of Rates,
requested an opinion from the Ethics Commission.
Issue: You asked for advice as to whether the Ethics
Act prohibits you from providing consulting service to public
utilities not regulated by the Pennsylvania Public Utility
Commission.
Facts: You informed us that you are employed by the Pennsylvania
Public Utility Commission (P.U.C.). The P.U.C. regulates
utilities operating solely within the Commonwealth. You are
the Chief of the Gas Division of the Bureau of Rates. As part of
your official duties you direct Gas Division prosecutions
and investigations and preparation of recommendations in
rate making proceedings. During your tenure with the P.U.C.
you accepted one consulting assignment involving a public
utility not regulated by the Commission. The consulting
work was performed on your own time and at your own residence.
You state that you did not use your position with the P.U.C.
or confidential information received through your position
to obtain personal financial gain.
Discussion: The Ethics Act, 65 P.S. Section 401 et seq.,
defines a public employee as one who is responsible for
taking or recommending non - ministerial official action
with regard to regulating any person or any other activity
where the official action has a greater than de minimus
Vernon E. Chandler, Jr.
October 1, 1981
Page 2
economic impact on the interests of any person. Id Section
402. Your description of your duties makes it clear that
you are a public employee. As Chief of the Gas Division
you take or recommend official action to regulate utilities
and your actions have a greater than de minimus economic
impact on utilities and their customers.
Public employees are not precluded by the Ethics Act
from accepting outside employment. In your case, you have
appropriately limited your consulting work to utilities
not regulated by the P.U.C. You may perform consulting
work for such utilities if you comply with the strictures
of the Act even though this consulting utilizes the same
skills a"s does your regular work.
Section 3(a) of the Ethics Act mandates that no public
employee use his public employment or confidential information
received through public employment to obtain financial
gain for himself or a business with which he is associated.
65 P.S. Section 403(a). Accepting as true your assertion
that your one previous consulting assignment was not obtained
through use of your position as Gas Division Chief or with
the help of confidential information received as Division
Chief your consulting was not a violation of the Ethics Act.
Future consultating work is permitted so long as your
position as Division Chief or confidential information
received as Division Chief is not employed to obtain
consulting work.
We also note that Section 3(b) of the Act is applicable
to the facts you presented to us. In Section 3(b) the
Legislature commanded that no person shall offer or public
employee accept anything of value based on any understanding
that the official action or judgment of the public employee
will be affected thereby. 65 P.S. Section 403(b). "Anything
of value" includes a promise of future employment. Therefore,
you may not accept consulting work based on any understanding
that your official actions as Chief of the Gas Division
would be affected thereby.
Conclusion: The Chief of the Gas Division, Bureau of
Rates, P.U.C. is a public employee subject to the Ethics
Act. You may perform consulting work for utilities not
regulated by the P.U.C. if you do not:
(1) use your public employment to obtain consultant
work; and
(2) use confidential information received as a public
employee to obtain consultant work; and
Vernon E. Chandler, Jr
October 1, 1981
Page 3
(3) accept work based on any understanding that
your official actions would be influenced thereby.
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.
SSC /lma
cc: Susan M. Shanaman,
Chairman
PUC
Sincerely,
S. dra S. • ristianson
General C■unsel