HomeMy WebLinkAbout97-582 KerprichGerald T. Kerprich
195 Crescent Drive
Hershey, PA 17033
STATE ETHICS COMMISSION
309 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 17108 -1470
TELEPHONE (717) 783 -1610
ADVICE OF COUNSEL
June 12, 1997
97 -582
Re: Former Public Employee; Section 3(g); Pennsylvania Department of
Transportation (PennDOT); Municipal Services Director; Panel Presentation;
Pennsylvania State Association of Boroughs.
Dear Mr. Kerprich:
This responds to your letter of May 13, 1997, in which you requested advice
from the State Ethics Commission.
Issue: Whether the Public Official and Employee Ethics Law presents any
restrictions upon a Municipal Services Director following termination of service with
the Commonwealth of Pennsylvania, Department of Transportation as to his
participation in a panel presentation organized by the Pennsylvania State Association
of Boroughs.
Facts: As of March 7, 1997, you retired from your position as Municipal
Services Director with the Pennsylvania Department of Transportation (PennDOT) and
currently work as a part-time consultant for the Pennsylvania State Association of
Boroughs (Association). You seek an advisory as to whether there are any restrictions
under the Ethics Law regarding your participation in a 15 -10 minute panel presentation
scheduled for June 9, 1997. The presentation is being organized by the Association
in an effort to advance a stronger partnership between Association members and State
officials. The panel will consist of a representative from PennDOT, the Deputy
Executive Director of the Association, and yourself. The audience will consist primarily
of borough officials, municipal interest groups, and State employees. The topic of the
panel presentation will focus on improving the State's transportation systems.
Discussion: In the former capacity as a Municipal Services Director for the
Commonwealth of Pennsylvania, Department of Transportation ( "PennDOT "), it is
assumed you were 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.
Kerprich, 97 -582
June 12, 1997
Page 2
Consequently, upon termination of public service, you became a "former public
employee" subject to Section 3(g) of the Public Official and Employee Ethics Law.
Section 3(g) of the Ethics Act 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.
Initially, to answer your request the governmental body with which you have
been associated while working with PennDOT 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.
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.
The Ethics Law must be construed to ascertain and effectuate the intent of the
General Assembly under 1 Pa. C.S.A. §1901.
Based upon the above, the governmental body with which you have been
associated upon termination of public service is PennDOT in its entirety. 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
Kerorich, 97 -582
June 12, 1997
Page 3
Commission. Thus, in Sirolli, Opinion 90 -006, the Commission found 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 in its entirety.
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,
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;
Kerprich, 97 -582
June 12, 1997
Page 4
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. Section 3(g) would also prohibit in general 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 pertain to
a contract which existed prior to termination of public service. Shay, Opinion 91 -012.
However, in the event of work performed on a contract already awarded and not
involving the unit where the former public employee worked, the name of the former
public employee may appear on routine invoices if required by the regulations of the
agency to which the billing is being submitted. Abrams/Webster, Opinion 95 -01 1.
Therefore, within the first year after termination of service, you should not engage in
any of the prohibited activities outlined above.
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, but 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.
Furthermore, 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
been or will be any transgression thereof but merely to provide a complete response
to the question presented.
As to the specific question posed of whether you may participate in a panel
presentation on the subject of improving State transportation systems with the panel
members including a PennDOT representative, the Association's Deputy Executive
Kerprich, 97 -582
June 12, 1997
Page 5
Director, and yourself, your participation in and of itself, would not constitute
representation before PennDOT and you would therefore be able to participate.
However, you could not engage in prohibited representation before the PennDOT
representative while there. An example of such prohibited representation would be if
you would lobby the PennDOT representative on some transportation issue which the
Association is advocating. However, if the panel presentation is merely an educational
type seminar without you engaging in activities which would constitute representation
by you on behalf of your part -time employer, the Association, such participation would
not be prohibited.
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: In the former capacity as a Municipal Services Director for the
Commonwealth of Pennsylvania, Department of Transportation ( "PennDOT "), you
would be considered a "public employee" as defined in the Ethics Law. Upon
termination of service with PennDOT, you became a "former public employee" subject
to Section 3(g) of the Ethics Law. The former governmental body is PennDOT in its
entirety. 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.
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 appeal the Advice to the full Commission.
A personal appearance before the Commission will be scheduled and a
formal Opinion will be issued by the Commission.
Any such appeal must be in writing and must be actually received
at the Commission within thirty (30) days of the date of this Advice
pursuant to 51 Pa. Code § 13.2(h). The appeal may be received at the
Kerorich, 97 -582
June 12, 1997
Page 6
Commission by hand delivery, United States mail, delivery service, or
by FAX transmission (717 -787- 0806). Failure to file such an appeal at
the Commission within thirty (30) days may result in the dismissal of
the appeal.
Scerely,
Vincent . Dop o
Chief Counsel