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HomeMy WebLinkAbout826 HeineIn Re: Walter N. Heine STATE ETHICS COMMISSION 308 FINANCE BUILDING HARRISBURG, PENNSYLVANIA 17120 : File Docket: 90- 022 -C2 Date Decided: February 20, 1992 : Date Mailed: February 27, 1992 Before: Dennis C. Harrington, Chair James M. Howley, Vice Chair Daneen E. Reese Roy W. Wilt Austin M. Lee James P. Gallagher Allan M. Kluger The State Ethics Commission received a complaint regarding a possible violation of the State Ethics Act, Act 9 of 1989, 65 P.S. 401 et. seq. Written notice, of the specific allegation(s) was served at the commencement of the investigation. A Findings Report was issued and served, upon completion of the investigation, which constituted the Complaint by the Investigation Division. An Answer was filed and a hearing was waived. A Consent Order was submitted by the parties to the Commission for consideration which was subsequently approved. This adjudication of the Commission is hereby issued which sets forth the individual Allegations, Findings of Fact, Discussion, Conclusions of Law and Order. This adjudication is final and will be made available as a public document fifteen days after issuance. However, reconsideration may be requested which will defer public release of this adjudication pending action on the request by the Commission. A request for reconsideration, however, does not affect the finality of this adjudication. A reconsideration request must be received at this Commission within fifteen days of issuance and must include a detailed explanation of the reasons as to why reconsideration should be granted in conformity with 51 Pa. Code §2.38. The files in this case will remain confidential in accordance with Act 9 of 1989, 65 P.S. 408(h) during the fifteen day period and no one unless the right to challenge this Order is waived, may violate confidentiality by releasing, discussing or circulating this Order. However, confidentiality does not preclude discussing this case with an attorney at law. Any person who violates confidentiality of the Ethics Act is Heine, 90- 022 -C2 Page 2 guilty of a misdemeanor subject to a fine of not more than $1,000 or imprisonment for not more than one year, 65 P.S. 409(e). I. ALLEGATION: That Walter Heine, Engineer for Carroll Township, York County, violated the following section of the Public Officials and Employees Ethics Law, when he approved and recommended approval by the township board of supervisors and zoning board planning modules that he prepared on behalf of private developers for Sundown Meadows: II. FINDINGS: Section 3. Restricted Activities (a) No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 P.S. §402(a). 1. Walter. Heine has served as Carroll Township Engineer from November 1988 to the present. 2. Walter N. Heine Associates, Inc., Boiling Springs, Pennsylvania is a firm which has provided professional engineering services since March 1981.to the present. 3. Sundown Meadows is a 73 acre subdivision located in Carroll Township, York County. a. The acreage was to be sub - divided into 31 lots for the purpose of building single family homes. 4. The developers of Sundown Meadows are Harmon- Graves, Inc. and Kimba Inc. a. The principal in Harmon- Graves, Inc. is Harry Fox. b. John Fox is the principal in the Kimba -Inc. 5. The Sundown Meadows subdivision plan required various approvals of the Carroll Township Board of Supervisors. 6. Pursuant to laws and regulations Pennsylvania Department of Environmental Resources required adequate sewage and water systems. 7. On January 18, 1989, a Planning Module for Land Development was submitted to the PA Department of Environmental Resources by Mr. Rodney Decker, on behalf of Harry Fox, the Heine, 90- 022 -C2 Page 3 developer of Sundown Meadows. a. Decker was identified as a registered Professional Land Surveyor. b. This module was reviewed by DER personnel and was deemed to be incomplete. (See Finding No. 11.) 8. Carroll Township records disclosed the following action taken by the Planning Commission with regard to the Sundown Meadows Subdivision. a. January 19, 1989: Planning Commission minutes reflect that a motion was made by Mr. Gore to approve the preliminary plan for Sundown Meadows, 31 lots, contingent on the receipt of comments from the York County Planning Commission and from Mr. Walter Heine, the Township Engineer. Also, this motion required that an addition to the plans and deeds would be made to indicate that the township is not liable for the private streets. This motion died for lack of a second. It was then moved by Mr. Hartman to reject the preliminary plan of Sundown Meadows and have the plan resubmitted with all issues addressed from the comments of Township Engineer Heine and the York County Planning Commission. Vote: Desiderata - Yes; Hartman - Yes; Gore - No; Baker - Yes; Meier - Yes, Cashman - Yes Motion carried. b. March 21, 1989 Planning Commission minutes reflect that it was moved by mr. Hartman to approve the preliminary plan of Sundown Meadows, 31 lots, contingent on the applicant addressing remaining deficiencies as cited by Township Engineer Heine and the York County Planning Commission, and that the plan should be submitted to the York County Soil and Water Conservation District for review of the Erosion Control Plan. Vote: Desiderata - Yes; Hartman - Yes; Baker - Yes; Cashman - Yes; Gore - Yes Motion carried. 9. Minutes of the Carroll Township Board of Supervisors Heine, 90- 022 -C2 Page 4 disclose the following action taken in regards to Sundown Meadows; February 7, 1989: Township Supervisors minutes reflect that it was moved by Supervisor Eichelberger to reject the preliminary plan of Sundown Meadows, 31 lots, because the plans were submitted incomplete, as per the comments of the township engineer. Vote: Reihart - Yes; Eichelberger - Yes; Lavertue - Yes Motion carried. Walter Heine was the township engineer at this time. a. March 21, 1989: Township Supervisors minutes reflect that it was moved by Supervisor Reihart to approve the preliminary plan at Sundown Meadows contingent on Township Engineer Heine's comments that remaining deficiencies be addressed; that deficiencies as cited by the York County Planning Commission be addressed; and that the plan be submitted to the York County Soil and Water Conservation District for Review of the Erosion Control Plan. Vote: Reihart - Yes; Eichelberger - Yes; Lavertue - Yes Motion Carried. It was also moved by Supervisor Reihart to adopt Resolution 1989 -20 to revise the township's 537 plan to include Sundown Meadows. Vote: Reihart - Yes, Eichelberger - Yes; Lavertue - Yes Motion carried. b. June 6, 1989: Township Supervisors minutes reflect that it was moved by Supervisor Reihart to approve the final plan of the major subdivision for Sundown Meadows contingent on Township Engineer Heine reviewing the water study. Vote: Reihart - Yes; Eichelberger - Yes; Lavertue - Heine, 90- 022 -C2 Page 5 yes Motion carried. 10. Township Engineer Walter Heine provided the following input to the township supervisors and Planning Commission with regard to Sundown Meadows: a. March 21, 1989: A memorandum to the township supervisors recommending that the preliminary plan be accepted when deficiencies previously cited by Mr. Heine and the York County Planning Commission are addressed. b. Mav 18, 1989: A memorandum for the Township Planning Commission a recommending that the final plan for Sundown Meadows be accepted contingent upon the applicant adequately addressing the remaining deficiencies cited by Walter N. Heine Associates, Incorporated and the York County Planning Commission. Also, the plan should not be forwarded to the supervisors for final action until these issues are resolved. c. June 6, 1989: A memorandum for the township supervisors advised that the final plan for Sundown Meadows had been reviewed and that the remaining issues had been satisfactorily addressed. A recommendation was made that the final plan for Sundown Meadows be approved. d. June 20, 1989: A memorandum for the township supervisors reflects that a review of hydrogeologic data, concerning the affect of Sundown Meadows final Subdivision plan on area wells, was made. Hydrogeologist, Robert Briggs, of Walter N. Heine Associates, and Mr. Heine concurred in a recommendation that proposed wells will have an insignificant affect on those wells adversely affected by the Municipal Well 4 pump test and that the township supervisors confirm the previous.approval of the Sundown Meadows Development Plan. 11. On July 26, 1989 DER advised the Carroll Township Supervisors that the Planning Module for Land Development, Sundown Meadows was incomplete. The following reasons were Heine, 90- 022 -C2 Page 6 noted. a. The Sewage Enforcement Officer's signature is missing from the site investigations sheets. The SEO's signature on these forms is necessary to ensure the validity of the test results. b. The depth of the perc holes accompanying probes 2, 3, 4, and 5 was not included on the site investigation sheets. c. The perc holes adjoining probes 17, 19, and 47 were not performed in accordance with Chapter 73, Section 73.15(3)(888). Since the limiting zone was described as coarse fragments, these holes should have been excavated to a depth eight inches above that limiting zone. d. Component III -A requires that all existing or proposed water sources and any existing sewage facilities (i.e. lot #7) be indicated on the plot plan. Please show this information. e. The testing for lot number five will result in a system that is in violation of the 10 foot property line isolation distance. Please correct. f. As the proposed development is underlain by limestone, a Component III -B preliminary hydrogeologic study will be required. Please include a surface map of the area detailing existing sinkholes, quarries, and caverns. g. Since the existing sewer facilities are relatively close by, a feasibility study evaluating this sewage disposal alternative must be included in the resubmission. 12. The developer Harmon- Graves Inc., objected to conducting the hydrogeological study as required by DER (See No. 11(f).) a. On August 31, 1989 Harry Fox of Harmon Graves advised Walter Heine that his firm proceeded with the development because DER's response to his module postcard application did not include a preliminary hydrogeological study as a requirement of a complete module package, and a DER representative gave oral assurances that no study would bs required. b. Fox advised that if the hydrogeological study was not reversed, he would seek remedy from the courts. Heine, 90- 022 -C2 Page 7 13. On September 1, 1989 Heine notified DER's Bureau of Water Quality Management that, as Carroll Township Engineer, he was coordinating responses to DER's notice to the township that the Sundown Meadows Planning Module was incomplete (Finding No. 1). In regards to the hydrogeological study Heine advises as follows: a. That the developer was opposed to conducting a hydrogeological study because of DER's oral assurances that one was not needed. (See Finding 12a). 14. On December 29, 1989, DER advised the township supervisors that a plan revision was disapproved because a preliminary hydrogeologic study had not been received. 15. On February 9, 1990 Walter Heine Associates forwarded a Preliminary Hydrology Report for Sundown Meadows to the Department of Environmental Resources. The report advised as follows: a. The site specific report has been prepared in spite of the developer's contention that such a study should not be required. b. Details of two methods which were used to develop a theoretical post development ground water nitrate level. c. The report is signed by Robert Briggs, a Senior Hydrologist, for Walter Heine Associates. 16. The hydrological study outlined in Findings No. 15 was a requirement of DER and not the Carroll Township Board of Supervisors. a. The board of supervisors had previously approved Sundown Meadows Planning Module and did not require such a study. (See Finding 9e). b. The supervisors never directed Heine to conduct the hydrogeological study. 17. On May 4, 1990, a new planning module for land development was submitted for Sundown Meadows under the seal and signature of Mr. Heine. 18. Walter Heine Associates billed the Carroll Township Supervisors for services performed as township engineer regarding Sundown Meadows. Heine, 90- 022 -C2 Page 8 a. Date of Invoice: July 20, 1989 Reference: Professional Services for May and June, 1989 for Sundown Meadows For review of final subdivision plan; preparation of comments and recommendations to the Township Planning Commission for the May 18, 1989 meeting and to the Township Board of Supervisors for the June 6, 1989 meeting; review of hydrogeologic reports by Tethys, Inc. and R.E. Wright Assocs.; and preparation of hydrogeologists' opinion on the reports; and associated word processing and photocopying. Registered Engineer - 0.5 Hrs. @ $45.00 - $ 22.50 Senior Professional - 7.5 Hrs. @ $40.00 - 300.00 $322.50 Minus 22.50 Total Due $300.00 b. Date of Invoice: September 15, 1989 Reference: Professional Services August, 1989 for Sundown Meadows For review of the DER's comments on project's planning module and preparation of coordinated response to the DER with input from township's SE0 and the developer. Total Due - $170.00 c. Carroll Township paid Walter Heine for these services. 19. Carroll Township billed the developers of Sundown Meadows for the services performed by Heine as outlined in Finding 18. The developers made payments to the township as follows: a. August 16, 1989, check no. 984 in an amount of $300.00 (See Finding 18a). b. June 27, 1990, check no. 1128 in an amount of $170.00. (See Finding 18b). 20. Walter Heine Associates directly billed Harry Fox, Harmon- Heine, 90- 022 -C2 Page 9 Graves, Inc. for services performed regarding Sundown Meadows. These services were performed after the Carroll Township Board of Supervisors approved the Sundown Meadows Planning Module. a. The services were performed as a result of DER requirements for Sundown Meadows. b. March 10, 1990: Professional Services for the period January 1990 through February 15, 1990 as follows: For preparation of a Preliminary Hydrogeologic Report (nitrates), including faxing of two drafts for coordination with Attorney Eugene Dice; amending the drafts and development of two alternative methods of calculation, one involving the hydrology calculations for the area tributary to on -site ore hole, map making, copying, assembling and sending to the DER and Messrs. Dice and Fox. Project Management - 22.0 Hrs @ $55.00 - $1,210.00 Technician - 0.5 Hrs. @ $23.00 Secretarial - 8.0 Hrs. @ $15.00 Total Due c. September 20, 1990: 11.50 120.00 $1,341.50 Payment was made to Heine in an amount of $1,341.50 by check number 1076 dated March 30, 1990. For field meeting with townohip SEO to locate sites of additional percs and probes 100 feet from "depressions "; for revising site map to accompany submittal to the DER to meet its final concern about approval of the Land Development Module, including conversations with DER personnel to assure date submitted was sufficient. Senior Engineer - 1.0 Hr. @ $55.00 - $ 55.00 Senior Professional - 1.2 Hrs. @ $55.00 - 66.00 Project Management - 2.3 Hrs. @ $40.00 - 92.00 Technician - 2.3 Hrs. @ $23.00 - 52.00 Heine, 90- 022 -C2 Page 10 III. DISCUSSION: Secretarial - 1.0 Hr. @ $15.00 Direct Costs and Related Expensas Total Due Payment was made to Heine in an amount of $288.90 by check no. 1203 (date not indicated). As an Engineer for Carroll Township, York County, Walter N. Heine, hereinafter Heine, is a public official as that term is defined under Act 9 of 1989. 65 P.S. 402. As such, his conduct is subject to the provisions of the Ethics Law and the restrictions therein are applicable to him. Initially, it is noted that Section 9 of Act 9 of June 26, 1989 provides, in part, as follows: "This amendatory act shall not apply to violations committed prior to the effective date of this act, and causes of action initiated for such violations shall be governed by the prior law, which is continued in effect for that purpose as if this act were not in force. For the purposes of this section, a violation was committed prior to the effective date of this act if any elements of the violation occurred prior thereto." Since the occurrences in this case transpired after the effective date of Act 9 (June 26, 1989), we must apply the provisions of Act 9 to determine whether the Ethics Act was violated. Under Section 3(a) of Act 9 of 1989 quoted above, a public official /employee shall not engage in conduct that constitutes a conflict of interest. The term "conflict of interest" is defined under Act 9 of 1989 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 any - 15.00 $280.90 8. 0 288.90 Heine, 90- 022 -C2 Page 11 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 dagree 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. 65 P.S. S402. In the instant matter, we must determine whether Heine violated Section 3(a) of Act 9 of 1989 regarding the approval or recommendation for approval to the township board of supervisors of the zoning board planning modules that he allegedly prepared on behalf of private developers for Sundown Meadows which is a proposed development within the township. Heine has served as a Carroll Township engineer since November 1988 to the present; and his firm, Walter N. Heine Associates, Inc. of Boiling Springs has provided private professional engineering services since 1981. Within Carroll Township, developers submitted a plan for Sundown Meadows which is a seventy three acre subdivision of thirty one lots for single family homes. The developers of Sundown Meadows are Harmon- Graves Inc. and Kimba, Inc., the principals of which are Harry and John Fox respectively. The Sundown Meadows subdivision not only required approval of the Carroll Township Board of Supervisors but from DER as to the adequacy of the sewage and water systems. A planning module for land development was submitted to DER by Rodney Decker on behalf of Harry Fox. After the module was reviewed by DER personnel, it was deemed to be incomplete. In Carroll Township, the Planning Commission reviewed the matter of the Sundown Meadows subdivision and on January 19, 1981 rejected the preliminary plan and directed that the plan be resubmitted addressing various concerns raised by Township Engineer Heine and the York County Planning Commission. Thereafter, on March 21, 1989, the Planning Commission conditionally approved the preliminary plan contingent upon the developer- applicant addressing the deficiencies noted by Township Engineer Heine and the York County Planning Commission. The minutes of the Carroll Township Board of Supervisors reflect the following: on February 7, 1989, a motion was carried to reject the preliminary plan of Sundown Meadows which was found to be incomplete as per the comments of Township engineer Walter Heine; on March 21, Heine, 90- 022 -C2 Page 12 1989, a motion carried to approve the preliminary plan for Sundown Meadows contingent upon the developer addressing the concerns of Township Engineer Heine, the deficiencies noted by the York County Planning Commission and the submission and review of the plan by the York County Soil and Water Conservation District for review of the Erosion Control Plan and on June 6, 1989, a motion carried for the approval of the final plan of the Sundown Meadows subdivision contingent upon Township Engineer Heine's review of the water study. The township records reflect the following input by Township Engineer Walter Heine to the Supervisors and Planning Commission regarding Sundown Meadows: on March 21, 1989, a memorandum to the supervisors recommending approval of the preliminary plan after the deficiencies by Heine and the York County Planning Commission are addressed; on May 18, 1989, a memorandum to the Planning Commission recommending final approval for Sundown Meadows contingent upon the developer addressing the deficiencies noted by Walter N. Heine Associates Inc. and the York County Planning Commission with the proviso that the plan should not be forwarded to the supervisors until the issues are resolved; on June 6, 1989, a memorandum to the township supervisors advising that the final plan for Sundown Meadows had been reviewed and that the remaining issues had been satisfactorily addressed followed by a recommendation that final approval be given to the plan and on June 20, 1989, a memorandum to the supervisors advising that a review of hydrogeologic data had been reviewed and a determination was made that the proposed wells for the development would have an insignificant effect on certain wells that could be adversely impacted. However, on July 26, 1989 DER advised Carroll Township Supervisors that the planning module for the Sundown Meadows was incomplete and noted seven areas of concern, one of which was a requirement for a hydrogeologic study in light of the underlying limestone in the proposed development. The developer objected to a hydrogeological study as a DER requirement on the basis that the developer purportedly was advised by DER that his module application did not need a preliminary hydrogeological study as a requirement for a complete module package. In addition, the developer advised that if the hydrogeological requirement were not waived he would seek remedial action through the courts. Thereafter, on Sep' :ember 1, 1989 Heine notified DER, in his capacity as Carroll Township Engineer, that he was coordinating a response to the notice of incompleteness as to the Sundown Meadows subdivision and advised that the developer was opposed to such a requirement because of DER's prior oral assurances. On December 29, 1989 DER gave notice to the supervisors that the plan was disapproved because the preliminary hydrogeologic study had not been received. On February 9, 1990 Walter Heine Associates, Inc. forwarded a preliminary hydrology report for Sundown Meadows to DER which, as noted above, was a requirement of DER and not of the Carroll County Township Board of Supervisors who never directed Heine to conduct the Heine, 90- 022 -C2 Page 13 hydrogeological study. Thereafter, on May 4, 1990 a new planning module for the land development was submitted for Sundown Meadows under the seal and signature of Heine. As to the compensation which Heine or his firm, Walter Heine Associates, Inc. received relative to the Sundown Meadows proposed development, an invoice dated July 20, 1989 was submitted for professional services for May and June of 1989 for Sundown Meadows consisting of a review of the final subdivision plan, preparation of comments and recommendations, review of hydrogeological reports and preparation of hydrogeologists' opinions on the reports and associated services amounting to $300.00. In addition, a September 15, 1989 invoice in the amount of $170.00 was issued for professional services as to Sundown Meadows for review of the DER comments on the projects planning module and the preparation of a coordinated response to DER. After the two invoices were paid by Carroll Township to Heine, the township billed the developers of Sundown Meadows for such services followed by payment to the township by the developers in the amount of $470.00. Separate and apart from the above, Walter Heine Associates, Inc. billed Harry Fox for services performed regarding Sundown Meadows relative to the DER requirements consisting of the preparation of a preliminary hydrogeologic report and the development of two alternative methods of calculation, one involving the hydrology calculations, map making and administrative services. The invoice amounted to $1,341.50 but a second September 20, 1990 invoice in the amount of $288.90 was submitted for services as to a field meeting with the township SE0 to locate sites of additional percs and probes and as to revising the site map to accompany the submission to DER. The developer subsequently paid Walter Heine Associates, Inc. for the services outlined on both invoices. In applying the provision of Section 3(a) of Act 9 quoted above and the statutory definition of conflict, we must determine whether there has been a use of authority of office on the part of Heine to obtain a private pecuniary benefit for himself or for Walter Heine Associates, Inc. as to the services he performed relative to the Sundown Meadows proposed subdivision. In this case we do not find a violation of Section 3(a) of the Ethics Law. It is clear from the record that the activities of Heine were on behalf of the planning commission and the township without any services performed by the developers until DER found the application module to be incomplete. Thus, Heine performed review functions for the planning commission and the township board of supervisors and in that capacity noted various deficiencies which had to be corrected by the developers. The subdivision plan was approved by the township board after the various deficiencies were corrected without any private involvement between Heine and the developers. Heine, 90- 022 -C2 Page 14 It was only after DER raised seven concerns about Sundown Meadows, one being the need for a hydrogeological study, that Heine became involved for the purpose of resolving the matter. The hydrogeological survey was completed and submitted to DER so that the subdivision plan could be resubmitted and approved after DER's requirements were satisfied. Although it is true that Heine did perform services relative to the hydrogeological study for the developers, said services were performed after the approval of the Sundown Meadows planning module when DER noted its own finding of incompleteness as to that module. Thus, the services performed by Heine arose because of difficulties arising as to DER requirements and not as to his own governmental body, the Carroll Township Board of Supervisors or the Planning Commission. Since there was not any use of authority of office on the part of Heine, we find no violation of Section 3(a) of Act 9 of 1989. IV. CONCLUSIONS OF LAW: 1. Walter N. Heine as the Carroll Township Engineer is a public employee subject to the provisions of Act 9 of 1989. 2. Heine did not violate Section 3(a) of Act 9 of 1989 regarding the performance of engineering services as to a hydrogeological study that was not required by Carroll Township but was required by he Department of Environmental Resources relative to a Sundown Meadows subdivision which had been approved by the Carroll Township Planning Commission and Board of Supervisors. In Re: Walter N. Heine, : File Docket: , 90- 022 -C2 : Date Decided: February 20. 1992 : Date Mailed: February 27, 1992 ORDER No. 826 1. Walter N. Heine as the Carroll Township Engineer did not violate Section 3(a) of Act 9 of 1989 regarding the performance of engineering services as to a hydrogeological study that was not required by Carroll Township but was required by the Department of Environmental Resources relative to a Sundown Meadows subdivision which had been approved by tha Carroll Township Planning Commission and Board of Supervisors. BY THE COMMISSION, 4 0=4; , - ./ DENNIS C. HARRINGTON, "CHAIR