HomeMy WebLinkAbout98-599 KochGeorge R. Koch
152 Welsh Rd.
Huntingdon Valley, PA 19006
Dear Mr. Koch:
STATE ETHICS COMMISSION
309 FINANCE BUILDING
P.O. BOX 11470
HARRISBURG, PA 1 71 08 -1 470
(717) 783 -1610
1- 800 - 932 -0936
ADVICE OF COUNSEL
September 25, 1998
FAX : (717) 787 - 0806 • Web Site: www.ethics.state.pa.us • e - mail: sec@state.pa.us
98 -599
Re: Former Public Employee; Section 3(g); Assistant Construction Engineer;
Transportation Construction Manager 3; PennDOT.
This responds to your letter of August 26, 1998 by which you requested advice
from the State Ethics Commission.
Issue: Whether the Public Official and Employee Ethics Law presents any
restrictions upon employment of an Assistant Construction Engineer, classified as a
Transportation Construction Manager 3, following termination of service with the
Commonwealth of Pennsylvania, Department of Transportation.
Facts: Effective July 24, 1998, you retired from your position as Assistant
Construction Engineer, classified as a Transportation Construction Manager 3, with the
Commonwealth of Pennsylvania, Department of Transportation. You note that while
employed with PennDOT, your headquarters was at Engineering District 6 -0 in St:
Davids, PA.
You have a new position as "Director, Highway Construction" for Site - Blauvelt
Engineers, Inc. of Mt. Laurel, NJ. You state that in your new position, you would
perform construction management duties on private work and would be in charge of
construction inspection for various states' transportation departments, including
Pennsylvania, New Jersey, Delaware, and New York. Your construction inspection
duties would include preparing proposals, attending Scope of Work meetings, and
billing for work performed.
You request an advisory from the State Ethics Commission as to: 1) your having
business dealings with PennDOT and /or the Pennsylvania Turnpike Commission; 2)
your ability to attend PennDOT's Consultant Selection Committee Public Meetings; and
3) your ability to visit PennDOT projects, not with the intent to market or influence,
but only to service Site - Blauvelt employees on said projects and to respond directly to
PennDOT- initiated requests.
You state your view that your performance of the above duties of your new
position would not constitute a conflict of interest. Your name would not appear on
any proposal or invoice, and you contend that you would not be marketing or
attempting to influence PennDOT.
Koch, 98 -599
September 25, 1998
Page 2
Copies of your job description and job classification specifications for your
former position with PennDOT, as well as an organizational chart for Engineering
District 6 -0, have been obtained from PennDot and are incorporated herein by
reference.
Discussion: In the former capacity as an Assistant Construction Engineer,
classified as a Transportation Construction Manager 3, for the Commonwealth of
Pennsylvania, Department of Transportation, you would be considered a "public
employee" subject to the Public Official and Employee Ethics Law ( "Ethics Law ") and
the Regulations of the State Ethics Commission. See, 65 P.S. §402; 51 Pa.Code
§ 1 1.1. 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 one or more of the following:
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.
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.
While Section 3(g) does not prohibit a former public official /public employee
from accepting a position of employment, it does restrict the former public
official /public employee with regard to "representing" a "person" before "the
governmental body with which he has been associated ":
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.
65 P.S. §403(g) (Emphasis added).
The terms "represent," "person," and "governmental body with which a public
official or public employee is or has been associated" are specifically defined in the
Ethics Law 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.
"Person." A business, governmental body, individual,
corporation, union, association, firm, partnership,
committee, club or other organization or group of persons.
"Governmental body with which a public official or
public employee is or has been associated." The
governmental body within State government or a political
Koch, 98 -599
September 25, 1998
Page 3
65 P.S. §402.
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.
The term "Person" is very broadly defined. It includes, inter alia, corporations
and other businesses. It also includes the former public employee himself, Confidential
Opinion 93 -005, as well as a new governmental employer. Ledebur, Opinion 95 -007.
The term "representation" is also broadly defined to prohibit acting on behalf of
any person in any activity. Examples of prohibited representation include: (1) personal
appearances before the former governmental body or bodies; (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; and (5) lobbying.
Popovich, Opinion 89 -005.
Listing one's name as the person who will provide technical assistance on a
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)
also generally prohibits 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 that existed prior to termination
of public service, Shay, Opinion 91 -012. However, if such a pre - existing contract does
not involve 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.
A former public official /public employee may assist in the preparation of any
documents presented to his former governmental body. However, the public
official /public employee may not be identified on documents submitted to the former
governmental body. The public official /public employee .may also counsel any person
regarding that person's appearance before his former governmental body. Once again,
however, the activity in this respect should not be revealed to the former governmental
body. The Ethics Law would not prohibit or preclude making general informational
inquiries to the former governmental body 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.
Section 3(g) only restricts the former public official /public employee with regard
to representation before his former governmental body. The former public
official /public employee is not restricted as to representation before other agencies or
entities. However, the "governmental body with which a public official /public employee
is or has been associated" is not limited to the particular subdivision of the agency or
other governmental body where the public official /employee had influence or control
but extends to the entire body. See, Legislative Journal of House, 1989 Session, No.
15 at 290, 291; Sirolli, Opinion No. 90 -006; Sharp, Opinion 90- 009 -R.
The governmental body with which you have been associated upon termination
of public service is PennDOT in its entirety, including but not limited to Engineering
District 6 -0. Therefore, for the first year after termination of your service with
PennDOT, Section 3(g) of the Ethics Law would apply and restrict "representation" of
Koch, 98 -599
September 25, 1998
Page 4
"persons" before PennDOT. The Pennsylvania Turnpike Commission would be
considered a separate governmental body, and Section 3(g) would not operate to
restrict you as to the Pennsylvania Turnpike Commission.
As for your specific inquiry regarding whether you would be able to attend
PennDOT's Consultant Selection Committee Public Meetings, you are advised as
follows. To the extent such meetings would be open to the public, you could attend
the meetings; however, if your role would go beyond that of a general observer so that
you would actually participate and /or advocate positions, not as a member of the
general public but as a representative of your new employer, such representation
would be prohibited. To the extent such meetings would not be open to the public and
you would be attending in your capacity with your new employer, such would
constitute prohibited representation of your new employer before PennDOT.
Turning to your specific inquiry regarding whether you would be able to visit
PennDOT projects to service Site - Blauvelt employees on those projects and to respond
directly to PennDOT initiated requests, you are advised that regardless of your stated
good intentions, as a practical matter, it would appear to be impossible for you to
engage in such conduct without running afoul of Section 3(g). Visiting PennDOT
projects as the person in charge of construction inspection, as well as responding
directly to PennDOT initiated requests, would certainly seem to constitute
"representation" under the Ethics Law.
Based upon the facts which have been submitted, this Advice has addressed the .
applicability of Section 3(g) only. It is expressly assumed that there has been no use
of authority of office for a private pecuniary benefit as prohibited by Section 3(a) of
the Ethics Law. Further, you are advised that 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 judgment 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.
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 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 Governor's Code of Conduct.
Conclusion: In the former capacity as an Assistant Construction Engineer,
classified as a Transportation Construction Manager 3, 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 would
require that a Statement of Financial Interests be filed by no later than May 1 of the
year after termination of service.
Pursuant to Section 7(1 1), this Advice is a complete defense in any enforcement
proceeding initiated by the Commission, and evidence of good faith conduct in any
Koch, 98 -599
September 25, 1998
Page 5
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
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.
rely,
Vincent 7'opko
Chief Counsel