HomeMy WebLinkAbout776 BurnsIn re: Gerald E. Burns
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
: File Docket:
: Date Decided:
: Date Mailed:
Before: Robert W. Brown, Vice
G. Sieber Pancoast
Dennis C. Harrington
James M. Howley
86 -035 -C
December 6, 1990
December 7. 1990
Chair
The State Ethics Commission received a complaint regarding a
possible violation of the State Ethics Act, No. 170 of 1978, 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. The record is complete. 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 S2.38.
The files in this case will remain confidential in accordance
with Section 8(a) of the Ethics Act, 65 P.S. 408(a) 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
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).
ADJUDICATION
I. Allegation: Gerald E. Burns as a member of the Board of Private
Correspondence Schools violated Section 3A of the State Ethics Act,
Act 170 of 1978 which prohibits a public official's use of office or
confidential information gained through that office to obtain
financial gain in that you have voted to approve licensing and re-
licensing of various schools operated by firms with which you are
associated as well as the licensing and re- licensing of administrative
and instructional staff of said firms.
II. Findings:
1. You served as a member of the PA State Board of Private
Correspondence Schools during 1983 and 1986.
a. The State Board of Private Correspondence Schools
merged with the State Board of Private Business
Schools and State Board of Private Trade Schools
effective January, 1987.
b. Upon the merger of these three boards, the State Board
of Private Trade Schools was created.
2. You have served on the State Board of Private Trade Schools
from 1987 through the present.
3. You have been employed by ICS (International Correspondence
schools) since 1976.
a. ICS is a subsidiary of NEC (National Education
Center).
b. NEC operates the following Pennsylvania based
trade /technical schools: Vale Technical Institute,
Blairsville, PA and the Thompson Institute,
Philadelphia and Harrisburg, PA.
4. The responsibilities of the members of the State Board of
Private Correspondence Schools and the State Board of_
Private Trade Schools include but are not limited too:
a. Voting for the licensure and re- licensure of trade,
technical and correspondence schools.
b. Voting for the licensure and re- licensure of agents and
instruction administrative staff for the same.
5. The PA Department of Education compiles lists of agents, ad-
ministrative and instructional staff which are presented to
the board and voted on in their entirety.
Mr. Gerald E. Burns
Page 2
a. Board members have no involvement in the preparation of
these lists.
b. Director of Post Secondary Education, Dr. Warren Evans
would verify the information in Finding #5.
6. You participated in meetings of the PA State Board of
Private Correspondence Schools by voting in favor of issues
which pertained to yourself or ICS.
July 20, 1984: You voted:
1. For the re- licensure of yourself
ICS Center for degree studies.
2. In favor of approving Daniel R.
representing ICS.
b. December 7, 1984: You voted to approve a list of
administrative and instructional staff. The following
ICS employees were included on that list: Mark Butler,
Rebecca Warnick, William Cusick and John M. Shaffer.
c. July 19, 1985: You voted on the following related to
ICS:
a.
representing the
Kazmierksi;
1. Approval of the licensing of Henry S. Stasiak
representing the ICS Center for degree study.
2. Approval of three ICS Newport /Pacific High School
representatives; Marian Gretzula, Barbara Warnick,
and Patricia Manville.
3. Approval of John Loveland representing ICS's North
American School of Drafting.
4. Approval of Frank Capobianco to represent ICS
North American Firearms and Police Science
Schools.
5. Approval to renew the licenses of twelve (12) ICS
affiliated schools.
d. December 6, 1985: You voted in favor of the list of
instructional and administrative staff. This list
included Frank G. Addleman of ICS.
7. At the State Board of Private Correspondence Schools meeting
of February 13, 1986, you were asked to reconsider your
votes of December 6, 1985.
Mr. Gerald E. Burns
Page 3
8. At the State Board of Private Correspondence Schools meeting
of May 16, 1986, you abstained from all voting and
reconsiderations related to ICS.
9. You abstained from ICS matters before the State Board of
Private Correspondence Schools:
a. February 17, 1984: You abstained twice on voting for
ICS schools.
b. July 20, 1984: You abstained twice on matters which
involved ICS.
c. December 4, 1984: You abstained from voting on ICS
programs.
d. December 6, 1985: You excused yourself from ICS
related talks twice.
10. Voting for the re- licensure of yourself on July 20, 1984 was
an unintentional error.
a. Voting for the re- licensure of agents, schools,
administrative and instructional staff was done as
part of your Board responsibilities. There was no
financial or other benefit to you for voting in favor
of ICS matters.
III. Discussion: As a member of the Board of Private Correspondence
Schools, Gerald E. Burns, hereinafter Burns, was a public official as
that term is defined under the Ethics Act, 65 P.S. 402; 51 Pa. Code
S1.1. As such, his conduct is subject to the provisions of that law.
Initially, it is noted that Section 5 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 prior to the
effective date of Act 9 (June 26, 1989), we must apply the provisions
Mr. Gerald E. Burns
Page 4
of Act 170 of October 4, 1978, P.L. 883 to determine whether the
Ethics Act was violated.
Under Section 3(a), quoted above, this Commission has determined
that use of office by a public official to obtain a financial gain for
himself or a member of his immediate family or a business with which
he is associated which is not provided for in law transgresses the
above provision of law. Thus, use of office by a public official to
obtain a financial gain which is not authorized as part of his
compensation is prohibited by Section 3(a): Hoak /McCutcheon v. State
Ethics Commission, 77 Pa. Commw. Ct. 529, 466 A.2d 283 (1983); Yacobet
v. State Ethics Commission, 109 Pa. Commw. Ct. 432 531 A.2d 536
(1987). Similarly, Section 3(a) of the Ethics Act would prohibit a
public official /employee from using public office to advance his own
interests; Koslow v. State Ethics Commission, 116 Pa. Commw. Ct. 19,
540 A.2d 1374 (1988). Likewise, a public official /employee may not
use the status or position of public office for his own personal
advantage; Huff, Opinion 84 -015.
The allegation before us is whether Burns while a member of the
Board of Private Correspondence Schools violated Section 3(a) of the
Ethics Act as to voting to approve the licensure or re- licensure of
various schools or agents and staff thereof when he was associated
with businesses which operated the schools.
In the instant matter, Burns served on the Board of Private
Correspondence Schools between 1983 and 1986 when that Board merged
with the State Board of Private Business Schools and State Boards of
Private Trades Schools which merger became effective in 1987.
Part of Burn's duties on the Board was to vote on the licensure/
re- licensure of schools and their agents or staff. Such action
occurred when the PA Department of Education compiled and submitted
lists for groups of agents and staff for Board action. The Board
members had no involvement in the preparation of the lists.
The International Correspondence School (ICS) by which Burns has
been employed since 1976 is a "business with which...[Burns] is
associated ". The term "business with which he is associated is
defined under the Act as follows:
Section 2. Definitions.
"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 holder of stock. 65 P.S. 5402.
Factually, at a July 20, 1984 meeting of the Board, Burns voted
in favor of his own re- licensure and that of Daniel R. Kazmierksi as
Mr. Gerald E. Burns
Page 5
representatives of ICS. Thereafter, at a December 7, 1984 meeting
Burns voted to approve a list of instructional staffers, four of whom
were ICS employees. In a July 19, 1985 Board meeting, Burns voted to
approve the following schools and individuals who were associated with
ICS: Henry S. Stasiak as representative of the ICS Center for degree
study; Marion Gretzula, Barbara Warnick and Patricia Manville as
representatives of ICS Newport /Pacific High School; John Loveland as
ICS's North American Firearms and Police Science Schools and twelve
ICS affiliated schools. Finally, Burns voted in favor of a list at a
December 6, 1985 meeting which included Frank G. Addleman of ICS.
At a February 13, 1986 Board meeting, Burns was asked to
reconsider his voting at the December 6, 1988 meeting; thereafter, at
the May 16, 1986, meeting, Burns did abstain from voting on the
"reconsideration ". Burns did abstain on matters relating to ICS at
the following Board meetings: February 17, 1984, July 20, 1984,
December 4, 1984 and December 6, 1985.
In applying Section 3(a) of the Ethics Act to the instant matter,
we find a technical violation. Burns did vote which constitutes a use
of office. A financial gain resulted as to the business with which he
is associated through the licensure /re- licensure of agents of that
business. Obviously such action enabled ICS affiliates to continue to
function and thereby received tuition or fees through their operation.
The compensation is other than provided by law because there is no
provision in law which allows for the voting to approve the licensing
or relicensing of agents or affiliated schools of the business with
which the public official is associated.
We do note that at several meetings, Burns abstained. In
addition, he abstained on the "re-address" of the action taken at the
May 10, 1986 meeting. Additionally, Burns did not realize a personal
financial gain as a result of his actions. Lastly, the practice of
voting on group listings of schools /agents occurred because the
Pennsylvania Department of Education prepared and submitted the lists
in that manner. In light of the above and the totality of the
and circumstances in this case, we will take no further action.
IV. Conclusions of Law:
1. Gerald E. Burns as a member of the Board of Private
Correspondence Schools was a public official subject to the provisions
of the Ethics Act.
2. A technical violation of Section 3(a) of the Ethics Act occurred
when Burns voted to approve the licensure /re- licensure of agents or
affiliates of ICS at a time when he was associated with that business.
In re: Gerald E. Burns
: File Docket: 86 -035 -C
: Date Decided: December 6, 1990
: Date Mailed:
ORDER No. 776
1. A technical violation of Section 3(a) of the Ethics Act
occurred when Gerald E. Burns as a member of the Board of
Private Correspondence Schools, voted to approve the
licensure /re- licensure of agents or affiliates of ICS at a
time when he was associated with that business.
2. In light of the fact that there was no financial gain
realized and the totality of the facts and circumstances,
this Commission will take no further action in this case.
BY THE COMMISSION,
ROBERT W. BROWN, VICE CHAIR