Loading...
HomeMy WebLinkAbout81-628 CleekJohn W. Cleek 228 South Spring Mill Road Villanova, PA 19085 Dear Mr. Cleek: Mailing Address: STATE ETHICS COMMISSION P.O. BOX 1 179 HARRISBURG, PA 17108 TELEPHONE: (717) 783 -1610 October 2, 1981 Advice of Counsel RE: Section 3, Representative, General Assembly 8T -628 This responds to your letter of September 1, 1981, in which you requested an opinion from the Ethics Commission. Issue: You requested advice as to whether you could coutinue working for your present employer if you become a Representative in the Pennsylvania General Assembly. Facts: You are currently employed by a consulting engineering firm as Manager of their Corporate Communication Department. The firm is under contract to various depart- ments of the Executive Branch of the Commonwealth, princi- pally the Department of Environmental Resources. The firm expects to do this work in the future. The engineers do work for the General Assembly. You own a few shares of the firm's privately traded stock but are not a director or an officer; your only income is an annual salary. Discussion: The Ethics Act, 65 P.S. Section 401 et seq., defines public official as any elected official in the Executive, Legislative or Judicial Branch of the Common- wealth. 65 P.S. Section 402. As an elected member of the House of Representatives of the State of Pennsylvania you would certainly be a public official within the meaning of the Act. Were you to become a Representative you would be subject to the restrictions imposed by the Act as well as the financial disclosure requirements of the statute. State Ethics Commission • 308 Finance Building • Harrisburg, Pennsylvania John W. Cleek October 2, 1981 Page 2 If elected, the Ethics Act would not preclude you from continuing your association with a consulting engineering firm. The Commission for example, approved a contract between a legislator and an engineering firm which allowed the legislator to work with private and quasi - private companies not related to service as a state legislator or State or local government. Geist, 79 -011. You may not use the position, however, if you are elected a legislator, or confidential information received through a legislator's post to• obtain financial gain for yourself or your employer the engineering firm. 65 P.S. Section 403(a). If you become a Representative you should be aware that no one can offer you anything of value based on any understanding that your official actions would be influenced thereby. 65 P.S. Section 403(b). "Anything of value" includes a promise of future employment so that a promise to employ the engineering firm could not influence your official actions. Section 3(c) of the Act states that no public official or business in which he is a director, officer or owner of stock exceeding 5% of the equity at fair market value of the business shall enter into any contract valued at more than $500 with a governmental body unless the contract is awarded in an open and public process. 65 P.S. Section 403(c). Should the value of your few shares of stock amount to more than 5% of the equity at fair market value of the engineering firm, the firm may not contract with the governmental body with which you would be associated -- the House of Representatives -- unless the contract is awarded in a process including: (1) Prior public notice; and (2) public disclosure of all proposals considered; and (3) public disclosure of the award of the contract. Howard, 79 -044. The firm may contract with the executive branch or bodies or departments other than the House, without reference to these requirements. Should you become a candidate for or serve as a Rep- resentative you must file a statement of financial interests. This statement mandates disclosure of the name and address of any person who is the direct or indirect source of John W. Cleek October 2, 1981 Page 3 income totalling in the aggregate $500 or more. 65 P.S. Section 405(b)(5). If your income from the engineering firm totalled $500 or more, the name and address of the firm would have to appear on the form. Conclusion: If you become a state representative you could remain with your current employer, an engineering firm, working on matters not related to service as a state legislator or State or local government. You could not use your position in the Legislature or confidential information received as a legislator to obtain financial gain for yourself or the firm. Nor could your official actions be affected by the receipt of anything of value, including a promise to employ the engineering firm. If your stock in the company exceeds 5% of the equity at fair market value of the engineering firm, the firm may not enter into a contract valued at more than $500 with the House of Representatives unless the contract is granted in an open and public process allowing: (1) Prior public notice; and (2) public disclosure of all proposals considered; and (3) public disclosure of the award of the contract. The firm is not required by the Ethics Act to go through an open and public process to contract with any agency of state, local or federal government other than the House. In the event that your income from the engineering firm exceeds $500 the name and address of the firm must be disclosed on your Statement of Financial Interests. Such statements are required of candidates for office and office - holders. For your general information we are enclosing copies of these forms, a copy of the Ethics Act and regulations with our Guide to 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. This letter is a public record and will be made available as such. John W. Cleek October 2, 1981 Page 4 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 Enclosures cc: Matthew J. Ryan, Speaker House of Representatives Sincerely, Safidra S. Ch istianson General Cou sel