HomeMy WebLinkAbout91-508 MattieMr. Christian T. Mattie, III
P.O. Box 266
150 Main Street
Eldred, PA 16731
(1)
STATE ETHICS COMMISSION
308 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 17108 -1470
TELEPHONE (717) 783 -1610
ADVICE OF COUNSEL
January 28, 1991
91 -508
Re: Conflict, Public Official /Employee, School Director, Vote,
Collective Bargaining Agreement, Negotiating Team, Contract,
Bargaining Unit, Budget, Immediate Family.
Dear Mr. Mattie:
This responds to your letter of December 19, 1990, in which
you requested advice from the State Ethics Commission.
Issue: You ask whether the Public Official and Employee Ethics
Law presents any restrictions upon a school board director whose
spouse is a teacher and member of the Employee Bargaining Unit
with regard to:
Receiving financial information for a proposed budget and
eventually voting on that budget; and /or
(2) Receiving information relating to the background of the
negotiations and an analysis of the tentative contract, once
a tentative contract has been reached with the bargaining
unit, either before or after the bargaining unit has
approved the tentative contract.
Facts: You are the solicitor for the Port Allegheny School
District. You have been asked by a school board member whose
spouse is a teacher and member of the bargaining unit to inquire
with the State Ethics Commission regarding the above issues. The
Port Allegheny School District is a school district of the third
class under the Public School Code of 1949, 24 P.S. Section 6-
671, and must meet statutorily imposed deadlines with respect to
preparing and adopting a proposed budget and making the proposed
budget available for public inspection. Shortly after the first
of the year, the administration begins to prepare the budget by
compiling financial information which is made available to
members of the school board. You have submitted six numbered
exhibits consisting of various documents which exemplify the type
Mr. Christian T. Mattie, III
Page 2
of information made available to members of the school board by
the administration at various stages of preparing the budget.
For each document you have provided an explanation of the
information set forth in the document. The said documents are
incorporated herein by reference.
The school district's present contract with the teachers
will expire on June 30, 1991. The bargaining unit represents
approximately eighty teachers. The association has requested
that the district bargain for a successor contract but you are
assuming that it will not be reached and ratified before the
school board members will need to receive information relating to
the budget for 1991 -1992. The district will be negotiating with
the bargaining unit while the budgetary information is being
compiled and provided to board members. The documents which
would be made available to the school board members would show
proposed changes for total salary and fringe benefits as well as
categorized information regarding proposed increases or decreases
in salaries. The school board member whose spouse is a teacher
and member of the bargaining unit will not be participating on
the district's negotiating team. However, there will be
information provided by the negotiating team to the
administration regarding the negotiations, which information will
be used by the administration in preparing financial figures for
the proposed budget. Furthermore, the negotiating team's
analysis would be provided to the board members when a tentative
contract is reached and before the board members vote on the
agreement.
Discussion: As an elected official for the Port Allegheny School
District, a school board director is a public official as that
term is defined under the Ethics Law, and hence is subject to
the provisions of that law.
Section 3(a) of the Ethics Law provides:
Section 3. Restricted Activities
(a) No public official or public
employee shall engage in conduct that
constitutes a conflict of interest.
The following terms are defined in the Ethics Law as
follows:
Section 2. Definitions.
"Conflict or conflict of interest." Use
by a public official or public employee of
the authority of his office or employment or
Mr. Christian T. Mattie, III
Page 3
any confidential information received through
his holding public office or employment for
the private pecuniary benefit of himself, a
member of his immediate family or a business
with which he or a member of his immediate
family is associated. "Conflict" or
"conflict of interest" does not include an
action having a de minimis economic impact or
which affects to the same degree a class
consisting of the general public or a
subclass consisting of an industry,
occupation or other group which includes the
public official or public employee, a member
or his immediate family or a business with
which he or a member of his immediate family
is associated.
"Authority of office or employment."
The actual power provided by law, the
exercise of which is necessary to the
performance of duties and responsibilities
unique to a particular public office or
position of public employment.
"Immediate family." A parent, spouse,
child, brother or sister.
In addition, Sections 3(b) and 3(c) of the Ethics Law
provide in part that no person shall offer to a public
official /employee and no public official /employee shall solicit
or accept anything of monetary value based upon the understanding
that the vote, official action, or judgement of the public
official /employee would be influenced thereby. Reference is made
to these provisions of the law not to imply that there has or
will be any transgression thereof but merely to provide a
complete response to the question presented.
In Van Rensler, Opinion 90 -017, the State Ethics Commission
recently had occasion to consider issues similar to those which
you have presented. The issue in Van Rensler was whether the
Ethics Law prohibited school board directors from participating
on a negotiating team and voting on a collective bargaining
agreement when members of their immediate families were school
district employees represented by the bargaining units. The
Commission concluded that the Ethics Law would not restrict the
school board directors from voting on the finalized agreement
but that the school board directors could not take part in the
negotiations leading to the finalized agreement. In reaching
this conclusion, the Commission held that the school board
directors could vote on the finalized agreement because of the
Mr. Christian T. Mattie, III
Page 4
exclusion in the definition of "conflict or conflict of
interest" under the Ethics Law, which exclusion permits the use
of the authority of office if the immediate family members are
members of "a subclass consisting of an industry, occupation or
other group..." 65 P.S. S402. The Commission held that for the
exclusion to apply, the family members must be members of a sub-
class containing more than one member and the family members must
be affected exactly as the other members of the subclass. The
Commission held that if these two requirements of the Ethics Law
were met, the school directors could vote on the collective
bargaining agreement.
However, the Commission held that the Ethics Law precluded
the participation of the directors in the negotiation process.
Citing prior opinions under former Act 170 of 1978, the
Commission recognized the underlying reasoning of those prior
opinions with the purpose of insuring that public officials are
impartial and that their interests are sufficiently separated
from their responsibility to the public. Van Rensler, Opinion,
90 -017, at 4. The Commission cited the definition of "conflict
of interest" in present Act 9 of 1989 as specifically prohibiting
a public official or employee from using confidential information
obtained through public office or employment for an immediate
family member's private pecuniary benefit. A school board
director participating on the negotiating team would be privy to
confidential information relating to the family members'
bargaining units. The risk of disclosure of that information was
held to preclude the school board directors from participating in
negotiations where family members are part of the bargaining
unit. In so holding, the negotiation process would be free of
any influence of such a school board director and the potential
for the use of confidential information would be "minimized if
not eliminated." Id. at 4 -5. Thus, a fundamental basis for the
Van Rensler Opinion was precluding the use of confidential
information obtained through the public office as school board
director to defeat the bargaining process.
A careful review of Section 3(a) of the Ethics Law and the
Van Rensler opinion provides the parameters and principles for
addressing the issues in this case.
Since the term " immediate family " - is defined to include a
parent, spouse, child, brother or sister and since the
board director and his spouse are in the familial relationship
delineated above, Section 3(a) of the Ethics Law would otherwise
prohibit the school board director from voting on the proposed
budget. However, you state that the proposed budget is posted
and becomes a matter of public record. Once the proposed budget
is a matter of public record, it is no longer confidential
information. The school board director may gain access to the
Mr. Christian T. Mattie, III
Page 5
proposed budget and may vote on the proposed budget without
transgressing the Ethics Law assuming as a first condition that
the proposed budget first becomes a matter of public record.
Furthermore, it is noted that the school board director's spouse
would be affected to the same degree as a class consisting of the
general public or a subclass consisting of an industry,
occupation or other group which includes the public official or
public employee, a member of his immediate family or a business
with which he or a member of his immediate family is associated.
Therefore since the school board director's spouse would be a
teacher of the school district who would be in a class /sub - class,
Section 3(a) of the Ethics Law would not restrict such activity
provided the school board director's spouse is in a class /sub-
class consisting of more than one person and provided the school
board director's spouse is affected to the exact same degree as
all other members of the class /sub - class. Davis, Opinion 89 -012.
Although under the circumstances of this case, the school
board director, whose spouse is affected to the same degree as
all other members of the class /subclass, may vote on the
proposed budget after it has become a matter of public record,
the school board director would not necessarily be permitted
under the Ethics Law to receive financial information related to
the proposed budget. In considering any particular items of
information, you should be guided by Van Rensler, supra, and the
principles cited therein. General budgetary information which
would not impact upon the negotiation process with the
bargaining unit could be provided to the school board director
without transgressing the Ethics Law. However, information which
would impact upon the negotiation process with the bargaining
unit, including but not limited to line -by -line information
regarding salaries or information from which one could deduce
specific salary information, would be prohibited under the
principles of VanRensler and could not be provided to the school
board director.
You also ask whether, once a tentative contract is reached
with the bargaining unit, the school board director may receive
information regarding the background of the negotiations and an
analysis of the negotiations, either before or after the
bargaining unit approves of the tentative contract. The nature
of this information would appear to include possible confidential
information including but not limited to the strategy of the
negotiating team. Such information could not be provided to the
school board director without potentially impacting upon the
negotiating process, either in the present -year should the
tentative contract not be approved or in future years.
Therefore, under the reasoning of Van Rensler, such information
could not at any time be received by the school board member
whose spouse is a teacher and member of the bargaining unit.
Mr. Christian T. Mattie, III
Page 6
The propriety of the proposed conduct has only been
addressed under the Ethics Law; the applicability of any other
statute, code, ordinance, regulation or other code of conduct
other than the Ethics Law has not been considered in that they do
not involve an interpretation of the Ethics Law. Specifically
not addressed herein is the applicability of the Public Employee
Relations Act over which the State Ethics Commission has no
jurisdiction but which provides:
(a) No person who is a member of the
same local, State, national or international
organization as the employe organization with
which the public employer is bargaining or
who has an interest in the outcome of such
bargaining which interest is in conflict with
the interest of the public employer, shall
participate on behalf of the public employer
in the collective bargaining processes with
the proviso that such person may, where
entitled, vote on the ratification of an
agreement.
(b) Any person who violates subsection
(a) of this section shall be immediately
removed by the public employer from his role,
if any, in the collective bargaining
negotiations or in any matter in connection
with such negotiations.
43 P.S. 51101.1801.
Conclusion: As an elected public official for the Port Allegheny
School District, the school board director is a public official
subject to the provisions of the Ethics Law. A school board
director whose spouse is a teacher and member of the bargaining
unit may nevertheless vote on the proposed budget assuming the
conditions that the proposed budget becomes a matter of public
record prior to the school board director gaining access to it or
voting upon it, and that the spouse is in a class /subclass
consisting of more than one person and the spouse is affected to
the exact same degree as all other members of the class /subclass.
The school board director may receive general financial
information for a proposed budget which information does not
impact upon the negotiation process with the bargaining unit.
The school board director may not receive any financial
information related to the budget which would impact upon the
negotiation process with the bargaining unit, including but not
limited to line -by -line items such as salaries or specific
information from which one could deduce line -by -line items. The
Mr. Christian T. Mattie, III
Page 7
school board director may not receive information regarding the
background of negotiations or analysis of the negotiations at any
time. Lastly, the propriety of the proposed conduct has only
been addressed under the Ethics Law.
Pursuant to Section 7(11), 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 will be scheduled and a formal Opinion from the
Commission will be issued. Any such appeal must be in writing
and must be received at the Commission within 15 days of the date
of this Advice pursuant to 51 Pa. Code 52.12.
Lgcerely,
C1
y q,
Vincent . Dopko,
Chief Counsel