HomeMy WebLinkAbout87-640 BoothMr. Frank R. Booth
14 Scholl Road
Pottstown, PA 19464
Dear Mr. Booth:
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PA 17120
TELEPHONE: (717) 783 -1610
December 8, 1987
ADVICE OF COUNSEL
87 -640
Re: Former Public Employee; Section 3(e), Department of Revenue, Deputy
Secretary for Enforcement, District Office Administrator
This responds to your letter of October 30, 1987, in which you requested
advice from the State Ethics Commission.
Issue: You ask whether the Ethics Act presents any restrictions upon your
potential employment following your termination of service with the
Department of Revenue.
Facts: In your advice request, you state that you are currently employed as a
District Administrator in the Montgomery County District Office (hereinafter
Office), Bureau of Field Operations, Department of Revenue, Commonwealth of
Pennsylvania. You further state that prior to your effective resignation date
of December 16, 1987, you were employed in the position of the Deputy
Secretary for Enforcement with the Department of Revenue, hereinafter
Department, from November 1985 through June 1987, You also state that after
your resignation you will be self - employed as a consultant and may in that
capacity have business contacts with employees in the Department. You then
ask, under the Ethics Act, what relationship you may have with employees of
the Department as a former District Administrator and as a former Deputy
Secretary, and what relationship you may have with Department employees based
upon the different termination dates as Deputy and District Administrator and
lastly, what impact the above two positions would have on relationships with
other Commonwealth departments and agencies.
Mr. Frank R. Booth
December 8, 1987
Page 2
As Deputy Secretary for Enforcement, your duties and responsibilities
with the Department consisted of administering and enforceing the collection
of Pennsylvania State Taxes at the state and local level and administering and
overseeing all auditing field operations and district offices and compliance
for the Department. As Administrator for the Office, your duties and
responsibilities consisted of planning, organizing, and directing the work or
assisting in directing the work of appraisers, investigators and clerical
employees engaged in the enforcement of Commonwelath tax law, investigating
tax violations, collecting delinquent taxes, and furnishing tax information
and assistance to taxpayers in the assigned geographical area. Your duties
and responsibilities in the Office also require you to review and analyze
program policies and operating procedures and to develop and implement or
recommend the implementation of program revisions. Lastly, you are also
required in your duties to direct office activities, evaluate employee
performance, review leave request for approval, interview and recommend
employee selection, evaluate employee training needs and receive and resolve
or recommend the resolution of grievances and complaints as to the Office
staff.
Discussion: As a Administrator for the Office and former Deputy Secretary for
Enforcement for the Department, you are to be considered a "public employee"
within the definition of that term as set forth in the Ethics Act and the
regulations of this Commission. 65 P.S. §402; 51 Pa. Code §1.1. This
conclusion is based upon your job description, which when reviewed on an
objective basis, indicates clearly that you have the power to take or
recommend official action of a non - ministerial nature with respect to
contracting, procurement, planning, inspecting or other activities where the
economic impact is greater than de minimus on the interests of another person.
See Bell, 86 -628.
Consequently, upon termination of this employment, you would become a
"former public employee" subject to Section 3(e) of the Ethics Act. Section
3(e) of the Ethics Act provides that:
Section 3. Restricted activities.
(e) No former official or public employee shall represent
a person, with or without compensation, on any matter
before the governmental body with which he has been
associated for one year after he leaves that body.
65 P.S. 403.
Initially, to answer your request the "governmental body" with which you
were associated while working with the Department must be identified. Then,
the scope of the prohibitions associated with the concept and term of
"representation" must be reviewed. In this context, the Ethics Commission has
Mr. Frank R. Booth
December 8, 1987
Page 3
previously ruled that the "governmental body" with which an individual may be
deemed to have been associated during his tenure of public office or
employment extends to those entities where he had influence, responsibility,
supervision, or control. See Ewing 79 -010. See also Kury vs. Commonwealth
of Pennsylvania, State Ethics Commission, 435 A.2d 940 T1981).
From the description and analysis of your duties and responsibilities and
based upon the facts outlined above, your jurisdiction, responsibility,
influence and control appears to have been the Department through June 15,
1987 and then the Office from June 15, 1987 through your resignation on
December 16, 1987. Thus, the "governmental body" with which you have been
"associated" upon the termination of your employment would be the Department
and the Office during the above referenced time periods. Therefore, within
the first year after you would leave the Department, Section 3(e) of the
Ethics Act would apply and restrict your "representation" of persons or new
employers vis -a -vis the Department from the period December 16, 1987 through
June 15, 1988 and the Office from December 16, 1987 through December 16,
1988.
The Ethics Act would not affect your ability to appear before agencies or
entities other than with respect to the Department or the Office during the
above referenced time periods. Likewise, there is no general limitation on
the type of employment in which you may engage, following your departure from
the Department. It is noted, however, that the conflicts of interest law is
primarily concerned with financial conflicts and violations of the public
trust. The intent of the law generally is that during the term of a person's
public employment he must act consistently with the public trust and upon
departure from the public sector, that individual should not be allowed to
utilize his association with the public sector, officials or employees to
secure for himself or a new employer, treatment or benefits that may be
obtainable only because of his association with his former public employer.
See Anderson, 83 -014; Zwikl, 85 -004.
In respect to the one year representation restriction the Ethics
Commission has promulgated regulations to define "representation" as follows:
Section 1.1. Definitions.
Representation - -- Any act on behalf of any person
including but not limited to the following activities:
personal appearances, negotiating contracts, lobbying, and
submitting bid or contract proposals which are signed by
or contain the name of the former public official or
public employe. 51 Pa. Code 1.1.
Mr. Frank R. Booth
December 8, 1987
Page 4
The Commission, in its opinions, has also interpreted the term
"representation" as used in Section 3(e) of the Ethics Act to prohibit:
1. Personal appearances before the governmental body or bodies with
which you have been associated, (that is the Department or the Office during
the above referenced time periods), including, but not limited to,
negotiations or renegotiations on contracts with the Department or the Office
during the above referenced time periods;
2. Attempts to influence the Department or the Office during the above
referenced time periods;
3. Participating in any matters before the Department or the Office
during the above referenced time period over which you had supervision, direct
involvement, or responsibility while employed by the Department;
4. Lobbying, that is representing the interests of any person or
employer before the Department or the Office during the above referenced time
periods in relation to legislation, regulations, etc. See Russell, 80 -048 and
Seltzer, 80 -044.
The Commission has also held that preparing and signing a proposal,
document or bid, or listing your name as the person who will provide technical
assistance on such proposal, document, or bid, if submitted to or reviewed by
the Department and the Office during the above referenced time periods,
constitutes an attempt to influence your former governmental body. See
Kilareski, 80 -054. Therefore, within the first year after you leave the
Department, you should not engage in the type of activity outlined above. The
Commission, however, has stated that the inclusion of your name as an employee
or consultant on a "pricing proposal," even if submitted to or reviewed by the
Department and the Office during the above referenced time periods, is not
prohibited as "representation." See Kotalik, 84 -007.
You may, assist in the preparation of any documents presented to the
Department and the Office during the above referenced time periods, so long as
you are not identified as the preparer. You may also counsel any person
regarding that person's appearance before the Department and the Office during
the above referenced time periods. Once again, however, your activity in this
respect should not be revealed to the the Department and the Office during the
above referenced time periods. Of course, any ban under the Ethics Act would
not prohibit or preclude you from making general informational inquiries of
the Department and the Office during the above referenced time periods to
secure information which is available to the general public. See Cutt,
79 -023. This, of course, must not be done in an effort to indirectly
influence these entities or to otherwise make known to the Department and the
Office during the above referenced time periods your representation of, or
work for your new employer.
Mr. Frank R. Booth
December 8, 1987
Page 5
Finally, the Commission has concluded that if you are administering an
existing contract as opposed to negotiating or renegotiating a contract, your
activities would not be prohibited by the Ethics Act. See Dalton, 80 -056 and
Beaser, 81 -538.
Lastly, the Commission has only addressed your inquiry under the Ethics
Act; it has not considered the applicability of any other statute, code,
ordinance, regulation or other code of conduct such as the State Adverse
Interest Act or Governor's Code of Conduct.
Additionally, it is noted that Section 403(b) of the State Ethics Act
would prohibit any public employee or public official from accepting a
position of employment if said position has been offered based upon the
rking funderstanding for
65 P.S. §403(b).
Conclusion: As a Deputy Secretary for Enforcement and District Office
Administrator, you are to be considered a "public employee" as defined in the
Ethics Act. Upon termination of your service with the Department, you would
become a "former public employee" subject to the restrictions imposed by
Section 3(e) of the Ethics Act. As such, your conduct should conform to the
requirements of the Ethics Act as outlined above. Your governmental body for
the purpose of the one year representation restriction is the Department from
December 16, 1987 through June 15, 1988 and the Office from the period
December 16, 1987 through December 16, 1988. Lastly, this Commission has only
addressed your inquiry under the Ethics Act; it has not considered the
application of any other ordinance Codeother
ofode of
conduct such as the State
Conduct.
Further, should you terminate your employment or service, as outlined
abov you frFinanciald Ethics
lnterests Act requires
foll wingyour termination of
Statement o
service.
Pursuant to Section 7(9)(ii), this Advice is a complete defense in any
h
enforcement proceeding initiated by the Commission, anvde o
conduct in any other civil or criminal proceeding, providing
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.
Mr. Frank R. Booth
December 8, B
Page 6
Finally, if you disagree with this Advice or if you have any
reason to
same, you may revue t. ;;`i' t'�1e full Commission
r ie this Advice.
A p erson sa y Any be
appeal ma a made, formal in
A personal appearance before the Commission w pursuant
Opinion from the Commission will be issued.
i n
writ g, to the Commission within 15 days of service of this Advice p
51 Pa. Code 2.12.
to
Sincerely,
U
Vincent . Dopko
General Counsel