HomeMy WebLinkAbout88-620 BiancoDavid F. Bianco, Esquire
717 Main Street
Forest City, PA 18421
Dear Bianco:
STATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 1 71 08 -1 470
TELEPHONE (717) 783 -1610
ADVICE OF COUNSEL
August 3, 1988
Section 3(a) of the Ethics Act provides:
Section 3. Restricted Activities.
(a) No public official or public employee
88 -620
Re: Conflict of Interest, President and Vice - President of
Council, Purchase of Sub - division, Responsibility for Paving
Roads in Sub - division
This responds to your letter of June 28, 1988 in which you
requested advice from the State Ethics Commission.
Issue: You ask whether the State Ethics Act imposes any
prohibition or restrictions upon the President and Vice - President
of Council who have purchased a sub- division within the'Borough
wherein there is a dispute as to whether the original developer
is required to pave the roads in the sub - division.
Facts: You state that you are the solicitor for Vandling
Borough and that you also individually represent two members of
Council, the President and Vice - President, who have purchased a
sub - division within the Borough. After stating that there has
been a dispute as to whether the original developer is required
to pave the roads within the sub - division, you request advice as
to whether the President and Vice - President of Council would have
a conflict of interest in this situation.
Discussion: As President and Vice - President of Council of
Vandling Borough, these two individuals are public officials
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. As such, their conduct is subject to the provisions of the
Ethics Act.
David F. Bianco, Esquire
707 Main Street
Page 2
shall use his public office or any
confidential information received through his
holding public office to obtain financial
gain other than compensation provided by law
for himself, a member of his immediate
family, or a business with which he is
associated. 65 P.S. 403(a).
Under Section 3(a) quoted above, this Commission has
determined that use of office by a public official to obtain a
financial gain for himself or a member of his immediate family or
a business with which he is associated which is not provided for
in law transgresses the above provision of law. Thus, use of
office by a public official to obtain a financial gain which is
not authorized as part of his compensation is prohibited by
Section 3(a): Hoak /McCutcheon, Orders No. 128, 129, affirmed
McCutcheon v. State Ethics Commission, 77 Pa. Commw. Ct. 529,
A.2d (1983); Yacobet, Order No. 412 -R, affirmed Yacobet v.
State Ethics Commission, Pa. Commw. Ct. , 531 A.2d 536
(1987). Similarly, Section 3(a) of the Ethics Act would prohibit
a public official /employee from using public office to advance
his own interests; Koslow, Order 458 -R, affirmed Koslow °v. State
Ethics Commission, Pa. Commw. Ct. , 540 A.2d 1374 (1988).
Likewise, a public official /employee may not use the status or
position of public office for his own personal advantage; Huff,
Opinion 84 -015.
Section 3. Restricted activities.
(d) Other areas of possible conflict shall be
addressed by the commission pursuant to paragraph (9)
of Section 7. 65 P.S. 403(d).
Under the above provision of law, the Ethics Commission,
however, is also empowered to address other areas of possible
conflict pursuant to Section 3(d). 65 P.S. 5403(d). Fritzincrer,
Opinion 80 -008; DeBenedictis, Opinion 86 -002. The parameters of
the type of activity encompassed by this provision are generally
reviewed in light of the preamble to the Ethics Act which
enunciates the legislative intent of the Act. The intent and
purpose of the Act is to strengthen the faith and confidence of
the people in their government by assuring the public that the
financial interests of the holders of public office present
neither a conflict nor the appearance or a conflict with the
public trust. A public official or employee, pursuant to this
David F. Bianco, Esquire
707 Main Street
Page 3
provision, is to ensure that their personal financial interests
present neither a conflict nor the appearance of a conflict with
the public trust. 65 P.S. 5401. Such a conflict may exist
where an individual represents one or more adverse interests.
Alfano, Opinion 80 -007; where an individual serves in positions
that are incompatible or conflicting; Nelson, Opinion 85 -009, or
where such an official or employee accepts compensation to which
he is not entitled. Domalakes, Opinion supra.
In the instant situation, since the President and Vice -
President of Council have purchased this sub - division, it
appears that any action they would take in their capacity as
President and Vice - President of Council relative to the matter of
whether the developer was required to pave the roads in this sub-
division could have a financial impact upon these two officials.
Further, since they are owners of the sub - division, they have a
personal interest in this matter in light of their ownership.
The Commission has determined that a public official may not
participate or vote in a matter wherein he has a financial
interest even though that interest may be considered as indirect
in nature. See Wells, Opinion 86 -001. Further, the Commission
has opined that a public official may not use public office for
his own personal benefit . See Huff, Opinion, supra. -It is only
in a situation where the public official has an interest which
may be described as remote where the Ethics Act would not
preclude his voting or participation. For example, in Markham,
Opinion, 85 -013 the Commission determined that a public official
could vote on a tax matter since the result of the public
official's vote would not affect his property any more than any
other property within the political sub - division. In this case,
however, the President and Vice- President of Council specifically
own this sub - division within the Borough and in this instance
their voting on this matter regarding the paving of roads in that
subdivision would impact on them above and beyond all of their
properties in the Borough. Therefore, under section 3(a) of the
Ethics Act, the President and Vice - President of Council should
not vote or participate in the matter regarding whether the
Borough or the original developer or possibly the owners of this
sub - division are required to pave the roads. Additionally, under
Section 3(d) of the Ethics Act, if the President and Vice -
President of Council were to participate or vote in this matter,
there would be an appearance of conflict of interest in light of
their ownership of the sub - division for the reasons outlined
above. Accordingly, they should not under Section 3(d) of the
Act participate or vote in this matter and they should note their
abstention of public record together with the reason for their
abstention.
David F. Bianco, Esquire
707 Main Street
Page 4
Lastly, the propriety of the proposed conduct has only been
addressed under the Ethics Act; the applicability of any other
statute, code, ordinance, regulation or other code of conduct
other than the Ethics Act has not been considered in that they do
not involve an interpretation of the Ethics Act. Specifically
not_addressed in this advice is the applicability of the Borough
Code.
Conclusion: The President and Vice - President of Vandling Borough
are public officials subject to the restrictions of the Ethics
Act. Under Sections 3(a) and 3(d) of the Ethics Act the
President and Vice - President of Council, who have purchased a
sub - division within the Borough, may not vote or participate on
the matter regarding whether the developer or the Borough or some
third parties are required to pave roads in that sub - division and
they must note their abstention of public record together with
the reason for their abstention. Lastly, the propriety of the
proposed conduct has only been addressed under 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.
such.
This letter is a public record and will be made available as
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 will be scheduled and a formal Opinion from the
Commission will be issued. Any such appeal must be made, in
writing, to the Commission within 15 days of service of this
Advice pursuant to 51 Pa. Code §2.12.
Sincerely,
Vincent J. Dopko,
General Counsel