HomeMy WebLinkAbout93-603 MorianDear Mr. Morian:
STATE ETHICS COMMISSION
309 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 17108 -1470
TELEPHONE (717) 783 -1610
ADVICE OF COUNSEL
September 20, 1993
Dennis A. Morian
R.D. #1
Atlantic,,. PA 16111 93 -603
Re: Conflict, Public Official /Employee, Senior Civil Engineer
Manager, Department of Transportation, Private Employment or
Business, Engineering Firm, Former Public Employee, Section
3 (g).
This responds to your letter of September 9, 1993, in which
you requested advice from the State Ethics Commission.
Issue: Whether Senior Civil Engineer Manager with the Pennsylvania
Department of Transportation is prohibited or restricted by the
Public Official and Employee Ethics Law from working with, being
employed by or associated with a business /person in a private
capacity in addition to public service, and whether the Ethics Law
presents any restrictions upon employment of such individual
following termination of service with the Department of
Transportation.
Facts: Currently, you are a Senior Civil Engineer Manager with the
Pennsylvania Department of Transportation (PennDOT) in charge of
the administration of inspection activities for all structural
steel, pre- stress and pre -cast shops doing work for PennDOT. You
have enclosed your job description which is incorporated herein by
reference. In the next few months, you will terminate your
employment with PennDOT and begin employment with a private
engineering firm, Pavement Management Systems. You will be working
on a data collection project for the North Atlantic region. This
project relates to the long term pavement performance effort of the
Strategic Highway Research Program and involves the collection of
pavement research data throughout 16 North Atlantic states and
eight provinces in Canada. The data is stored in a computerized
database. You would not be physically involved in the data
collection activity, but would be involved in the data management
and quality assurance activities.
Morian, 93 -603
September 20, 1993
Page 2
You state that you recognize you cannot represent the private
engineering firm in the solicitation of business for a period of
one year.
You request an advisory as to whether the above proposed
conduct constitutes a conflict of interest under the Ethics Law.
You also request an advisory as to whether a conflict of interest
would exist should you participate in the proposed conduct prior to
terminating employment with PennDOT, assuming PennDOT approves such
activity. Finally, you refer to a prior Advice of Counsel, Morian,
90 -609, in which you requested similar advice. You state that you
believe your proposed conduct would not be prohibited, however you
request this advisory in order to be certain.
Discussion: It is initially noted that your request for advice may
only be addressed with regard to prospective conduct. A reading of
Sections 7(10) and 7(11) of the Ethics Law makes it clear that an
opinion or advice may be given only as to prospective (future)
conduct. If the activity in question has already occurred, the
Commission may not issue an opinion or advice but any person may
then submit a signed and sworn complaint which will be investigated
by the Commission if there are allegations of Ethics Law violations
by a person who is subject to the Ethics Law.
It is further noted that pursuant to Sections 7(10) and 7(11)
of the Ethics Law, 65 P.S. §S407(10), (11), advisories are issued
to the requestor based upon the facts which the requestor has
submitted. In issuing the advisory based upon the facts which the
requestor has submitted, the Commission does not engage in an
independent investigation of the facts, nor does it speculate as to
facts which have not been submitted. It is the burden of the
requestor to truthfully disclose all of the materials facts
relevant to the inquiry. 65 P.S. §S407(10), (11). An advisory
only affords a defense to the extent the requestor has truthfully
disclosed all of the material facts.
As a Senior Civil Engineer Manager for PennDOT you are
considered a "public employee" within the definition of that term
as set forth in the Public Official and Employee Ethics Law and the
Regulations of this Commission. 65 P.S. §402; 51 Pa. Code §11.1.
This conclusion is based upon the job description, which when
reviewed on an objective basis, indicates clearly that the power
exists to take or recommend official action of a non - ministerial
nature with respect to contracting, procurement, planning,
inspecting, administering or monitoring grants, leasing,
regulating, auditing or other activities where the economic impact
is greater than de minimis on the interests of another person.
Section 3(a) of the Ethics Law provides:
Morian, 93 -603
September 20, 1993
Page 3
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
4uthority of his office or employment or 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 of 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.
"Business with which he is associated."
Any business in which the person or a member
of the person's immediate family is a
director, officer, owner, employee or has a
financial interest.
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
anything of monetary value 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
Morian, 93 -603
September 20, 1993
Page 4
will be any transgression thereof but merely to provide a complete
response to the question presented.
In applying the above provisions of the Ethics Law to the
instant matter, it is noted that Section 3(a) of the Ethics Law
does not prohibit public officials /employees from outside business
activities or employment; however, the public official /employee may
not use the authority of office for the advancement of his own
private pecuniary benefit or that of a business with which he is
associated. Pancoe, Opinion 89 -011. A public official /employee
must exercise caution so that his private business activities do
not conflict with his public duties. 'Crisci, Opinion 89 -013.
Thus, a public official /employee could not perform private business
using governmental facilities or personnel. In particular, the
governmental telephones, postage, staff, equipment, research
materials, personnel or any other property could not be used as a
means, in whole or part, to carry out private business activities.
In addition, the public official /employee could not during
government working hours, solicit or promote such business
activity. Pancoe, supra. Similarly, Section 3(a) would expressly
prohibit the use of confidential information received by holding
public office /employment for such a prohibited private pecuniary
benefit.
In the event that your private employer or business has a
matter pending before your governmental body or if you as part of
such official duties must participate, review or pass upon that
matter, a conflict would exist. Miller, Opinion 89 -024. In those
instances, it will be necessary that you be removed from that
process.
In such cases as noted above, Section 3(j) of the Ethics Law
would require not only that you abstain from participation but also
file a written memorandum to that effect with the person recording
the minutes or your supervisor.
In summary, the Ethics Law would restrict the following:
1. The use of authority of office to obtain any business in
a private capacity;
2. The utilization of confidential information gained
through public position;
3. The participation in discussions, reviews, or
recommendations on matters which relate to the business /private
employer which may come before the governmental body and in such
cases publicly announcing the relationship or advising the
supervisor as well as filing a written memorandum as per the
requirements of Section 3(j) of the Ethics Law. Brooks, Opinion
Morian, 93 - 603
September 20, 1993
Page 5
89 -023.
Subject to the conditions and restrictions noted above, you
would be permitted to engage in the proposed conduct while employed
by PennDOT.
Upon termination of public service, you would become a "former
public employee" subject to Section 3(g) of the Ethics Law.
Section 3(g) provides that:
Section 3. Restricted activities.
(g) No former public official or public
employee shall represent a person, with
promised or actual compensation, on any matter
before the governmental body with which he has
been associated for one year after he leaves
that body.
In order to address the question regarding restrictions on
employment following termination of public service, the
governmental body with which you are associated while working with
PennDOT first must be identified. Then, the scope of the
prohibitions associated with the concept and term of
"representation" must be reviewed.
The term "governmental body with which a public official or
public employee is or has been associated" is defined under the
Ethics Law as follows:
Section 2. Definitions.
"Governmental body with which a public
official or public employee is or has been
associated." The governmental body within
State government or a political subdivision
by which the public official or employee is or
has been employed or to which the public
official or employee is or has been appointed
or elected and subdivisions and offices_within
that governmental body.
In applying the above definition to the instant matter, it
must be concluded that the governmental body with which you are
associated upon termination of public service would be PennDOT in
its entirety, including but not limited to the Construction and
Materials Bureau. The above is based upon the language of the
Ethics Law, the legislative intent (Legislative Journal of House,
1989 Session, No. 15 at 290, 291) and the prior precedent of this
Commission. Thus, in Sirolli, Opinion 90 -006, the Commission found
Morian, 93 -603
September 20, 1993
Page 6
that a former Division Director of the Department of Public Welfare
(DPW) was not merely restricted to the particular Division as was
contended but was in fact restricted to all of DPW regarding the
one year representation restriction. Similarly in Sharp, Opinion
90- 009 -R, it was determined that a former legislative assistant to
a state senator was not merely restricted to that particular
senator but to the entire Senate as his former governmental body.
Therefore, within the first year after termination of service
with PennDOT, Section 3(g) of the Ethics Law would apply and
restrict representation of persons or new employers vis -a -vis
PennDOT.
It is noted that Act 9 of 1989 significantly broadened the
definition of the term "governmental body with which a public
official or public employee is or has been associated." It was the
specific intent of the General Assembly-to define the above term so
that it was not merely limited to the area where a public
official /employee had influence or control but extended to the
entire governmental body with which the public official /employee
was associated. The foregoing intent is reflected in the
legislative debate relative to the amendatory language for the
above term:
We sought to make particularly clear that
when we are prohibiting for 1 year that
revolving -door kind of conduct, we are dealing
not only with a particular subdivision of an
agency or a local government but the entire
unit..." Legislative Journal of House, 1989
Session, No. 15 at 290, 291.
Therefore, since the Ethics Law must be construed to ascertain
and effectuate the intent of the General Assembly under 1 Pa.
C.S.A. 51901, it is clear that the governmental body with which you
are associated is PennDOT in its entirety, including but not
limited to the Construction and Materials Bureau.
Turning now to the scope of the restrictions under Section
3(g), the Ethics Law does not affect one's ability to appear before
agencies or entities other than with respect to the former
governmental body. Likewise, there is no general limitation on the
type of employment in which a person may engage, following
departure from their governmental body. 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,
Morian, 93 -603
September 20, 1993
Page 7
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 governmental body.
In respect to the one year restriction against such
"representation," the Ethics Law defines "Represent" as follows:
Section 2. Definitions.
"Represent." To act on behalf of any
other person in any activity which includes,
but is not limited to, the following:
personal appearances, negotiations, lobbying
and submitting bid or contract proposals which
are signed by or contain the name of a former
public official or public employee.
The Commission, in Popovich, Opinion 89 -005, has also
interpreted the term "representation" as used in Section 3(g) of
the Ethics Law to prohibit:
1. Personal appearances before the former governmental body
or bodies, including, but not limited to, negotiations or
renegotiations in general or as to contracts;
2. Attempts to influence;
3. Submission of bid or contract proposals which are signed
by or contain the name of the former public official /employee;
4. Participating in any matters before the former
governmental body as to acting on behalf of a person;
5. Lobbying, that is representing the interests of any
person or employer before the former governmental body in relation
to legislation, regulations, etc.
The Commission has also held that listing one's name as the
person who will provide technical assistance on such proposal,
document, or bid, if submitted to or reviewed by the former
governmental body constitutes an attempt to influence the former
governmental body. In Shay, Opinion 91 -012, the Commission held
that Section 3(g) would prohibit the inclusion of the name of a
former public official /public employee on invoices submitted by his
new employer to the former governmental body, even though the
invoices pertained to a contract which existed prior to termination
of public service. Therefore, within the first year after
termination of service, you should not engage in the type of
activity outlined above.
Morian, 93 -603
September 20, 1993
Page 8
You may assist in the preparation of any documents presented
to PennDOT. However, you may not be identified on documents
submitted to PennDOT. You may also counsel any person regarding
that person's appearance before PennDOT. Once again, however, the
activity in this respect should not be revealed to PennDOT. Of
course, any ban under the Ethics Law would not prohibit or preclude
the making of general informational inquiries of PennDOT to secure
information which is available to the general public. This must
not be done in an effort to indirectly influence the former
governmental body or to otherwise make known to that body the
representation of, or work for the new employer.
In addition, the term "Person" is defined as follows under the
Ethics Law:
Section 2. Definitions.
"Person." A business, governmental body,
individual, corporation, union, association,
firm, partnership, committee, club or other
organization or group of persons.
In Confidential Opinion 93 -005, the Commission held that
Section 3(g) precludes a former public official /employee from
providing consulting services to his former governmental body for
a period of one year after termination of service in that the
prohibition against representing a person includes the former
public official /employee representing himself.
Lastly, 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 Act 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 Governor's Code of
Conduct.
Conclusion: As a Senior Civil Engineer Manager for the
Pennsylvania Department of Transportation, you are a public
employee subject to the provisions of the Ethics Law. Section 3(a)
of the Ethics Law would not preclude you from outside
employment /business activity subject to the restrictions and
qualifications as noted above. In the event that the
employer /business has matters pending before your governmental
body, then you could not participate in that matter and the
disclosure requirements of Section 3(j) of the Ethics Law as
outlined above must be satisfied. Upon termination of service with
PennDOT, you would become a "former public employee" subject to
Section 3(g) of the Ethics Law. The former governmental body is
PennDOT in its entirety, including but not limited to the
Morian, 93-603
September 20, 1993
Page 9
Construction and Materials Bureau. The restrictions as to
representation outlined above must be followed. The propriety of
the proposed conduct has only been addressed under the Ethics Law.
Further, should service be terminated, as outlined above, the
Ethics Law also requires that a Statement of Financial Interests be
filed for the year following termination of service.
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.
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. Am 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 S13.2(h).
` cerely,
F I
incent Dopk
Chief Cou -el