HomeMy WebLinkAbout86-605A WimerDan P. Wimer, Esquire
City Ruilding -
City of New Castle, PA 16101
Dear Mr. Wimer:
Mailing Address,
STATE ETHICS COMMISSION
P.O. BOX 114701
HARRISBURG, PA 17108
TELEPHONE: (717) 783 -1610
Octohe r 20, 1986
SUPPLEMENTAL ADVICE OF COUNSEL
•
86 -605 -A
Re: City Councilmemher, Participation in Loan Grant, Interest in Loan
Proceeds
This responds to your letter of October 2, 1986, wherein you have
indicated that certain facts, as set forth in the original Advice of Counsel,
No. 86 -605, were incorrect.
Fact: On September 23,- -1986, Advice of Counsel, No. R6 -605 was issued, to you
regarding the issue of whether a memher of city council may participate in the
council's decision to grant' a low interest loan to a memher of a school
district hoard of directors in the district where the city councilmemher is
employed as a teacher. As additional facts, the advice indicated that the
school hoard president was seeking the low interest loan in order to purchase
a local tavern. Your revised letter of October 2, 1986, indicates that the
school hoard president is the current owner of that tavern and that a third
party has applied to city council seeking the low interest loan in order to
purchase the tavern from the president of the school hoard. Thus, you
indicate, the school hoard president would not he the applicant for the funds
hut rather would he the ultimate recipient of the funds. You have requested
the further advice of the Commission in order to determine if this new factor
would, in any way, alter the original Advice of Counsel.
Discussion: The new information would indicate that the city councilperson
would not he actin in a manner that directly henefitted his employer, i.e.
the school director. However, it should he pointed out that Section 1 of the
State Ethics Act provides as follows:
Section 1. Purpose.
The Legislature hereby declares that puhlic office is a
puhlic trust and that any effort to realize personal
financial gain through puhlic office other than
compensation provided by law is a violation of that trust.
In order to strengthen the faith and confidence of the
people of the State in their government, the Legislature
State Ethics Commission • 308 Finance Building • Harrisburg, Pennsylvania
Dan P. Wimer, Esquire
October 20, 1986
Page 2
further declares that the people have a right to be
assured that the financial interests of holders of or
candidates for public office present neither a conflict
nor the appearance of a conflict with the public trust.
Because public confidence in government can best be
sustained by assuring the people of the impartiality and
honesty of public officials, this act shall be liberally
construed to promote complete disclosure. 65 P.S. 401.
In addition, the State Ethics Act sets forth additional restricted provisions
in Section 403(b).
Section 3. Restricted activities.
(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).
The above sections of the law, of course, are cited not in order to
indicate that there has or will be any violation of the State Ethics Act in
this respect, but merely to review the question that you have presented in
light of the new information. Clearly, under Section 1 of the State Ethics
Act, it would probably be the better practice for this individual to abstain
from participating in the award of this low interest loan even though it does
not directly benefit his employer. There is no doubt that the funds will go
to purchase the tavern owned by the school director. The city councilperson
obviously is aware of where the funds will ultimately be disbursed.
Additionally, the fact that this city councilmember has, just recently, been
appointed two new'positions within the school district could create
substantial questions within the above provisions of the law. As such, and in
order to avoid any adverse impact from such a vote, it would still be
recommended that this individual abstain from participating in the council's
award of this low interest loan to the third party who will purchase the bar
from the school director.
Dan P. Wimer, Esquire
October 20, 1986
Page 3
Finally, the above advice is also given in light of Section 403(d) of the
State Ethics Act, which allows the Commission to address other areas of
possible conflict as cited in the original advice. Because of these sections
of the law, it would be the better practice for this city councilmember to
abstain from participating in the city's granting of this particular loan.
J1JC /sfd
Very ly'yours,
obin J o rno
Ge - al Counsel