HomeMy WebLinkAbout82-008 PhillipsMr. Robert J. Phillips
c/o David P. Brown, III, Esq.
Brown & Hepburn
First Pennsylvania Building
7 E. Lancaster Avenue
Ardmore, PA 19003
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
June 18, 1982
OPINION OF THE COMMISSION
82 -008
RE: DPW Claim Settlement Agent; Applicability of Act 170
Dear Mr. Phillips:
I. Issue:
You request an opinion as to whether the Ethics Act applies to you, as a
DPW Claim Settlement Agent I.
II. Factual Basis for Determination:
You informed us that you are employed by the Department of Public
Welfare, Special Prosecution Unit of the Bureau of Claims Settlement. The
Unit deals with the adjudication of welfare fraud cases in the Philadelphia
Courts. Your duties are officially set forth in your job description which
you signed as of February 5, 1981. This job description is incorporated
herein by reference and comprises a part of your Memorandum submitted to this
Commission.
In addition, the official job specifications for your job classification
as "Claim Settlement Agent I, Position 0741" provide that an incumbent in your
position is responsible for:
(1) The collection, review and analysis of information to locate,
encumber, and obtain financial resources for the settlement of claims against
present or former public assistance clients;
(2) functioning as office or field agent with joint responsibility for
all claim activity in one geographical area; and
(3) assembling information to be used in legal proceedings as well as
for settlements made administratively.
Mr. Robert J. Phillips
June 18, .1982
Page 2
This job specification specifically notes that this "work is not normally
performed in accordance with prescribed procedures, but requires discretion
and judgment in conducting investgations and making recommendations and
preliminary decisions although it is reviewed by a higher level claim settle-
ment agent prior to final action or disposition through conferences and
reports."
You were given the opportunity to and did appear before the State Ethics
Commission on two separate occasions -- January 20, 1982 and April 16, 1982.
At those times you provided testimony indicating that your job functions were,
in your opinion, de minimus and involved little, if no power to make recommen-
dations. You indicated that you felt that the presence of many levels of
supervision over you warranted a conclusion that you had little or no power to
make recommendations.
In addition to this job description and job specifications you were asked
to supply this Commission with an organization chart. You were unable to do
so. Such a chart, however, is available and is made part of this record, as
attached to this Opinion. This chart, updated May 10, 1982, indicates that
within the Philadelphia Field Office you reported to an Area Program Director
(classified as a Claim Settlement Agent III) who reported to an Assistant to
the Area Executive, who in turn reported to the Area Executive.
At the conclusion of your presentation on April 16, 1982, and in light of
the fact you had presented a lengthy memorandum to the Commission that day,
the Commission voted to rule you were a "public employee" for purposes of the
Ethics Act, unless staff reported back to us after reviewing your memorandum
with a contrary recommendation. Staff review is now complete and we issue
this Opinion as approved at the June 16, 1982 meeting of the Commission in
support of the conclusion reached at our April meeting.
III. Applicable Law:
"Public employee." Any individual employed by the
Commonwealth or a political subdivision who is responsible
for taking or recommending official action of a
non - ministerial nature with regard to:
(1) contracting or procurement;
(2) administering or monitoring grants or subsidies.
(3) planning or zoning.
Mr. Robert J. Phillips
June 18, 1982
Page 3
(4) inspecting, licensing, regulating or auditing any
person; or
(5) any other activity where the official action has an
economic impact of greater than a de minimus nature
on the interests of any person. 65 P.S. 402
Public employee -
(1) The term includes any individual;
(A) who is employed by the Commonwealth or a political
subdivision and who is responsible for taking or
recommending official action of a nonministerial
nature with regard to:
(I) contracting or procurement;
(II) administering or monitoring grants or subsidies;
(III) planning or zoning;
(IV) inspecting, licensing, regulating or auditing any
person; or
(V) any other activity where the official action has
greater than a de minimus economic impact; and
(B) who meets the criteria of either subclause (I) or
(II) of this clause:
(I) The individual is:
( -a -) a person who normally performs his responsibility
in the field without on -site supervision;
( -b -) the immediate supervisor of a person who normally
performs his responsibility in the field without
on -site supervision; or
( -c -) the supervisor of any highest level field office.
Mr. Robert J. Phillips
June 18, 1982
Page 4
(II) The individual is a person:
( -a -) who:
( -1 -) has the authority to make final decisions;
( -2 -) has the authority to forward or stop
recommendations from being sent to the person or
body with the authority to make final decisions;
( -3 -) prepares or supervises the preparation of final
recommendations; or
( -4 -) makes the final technical recommendations; and
( -b -) whose recommendations or actions:
( -1 -) are an inherent and recurring part of his position;
and
( -2 -) affect organizations other than his own
organization.
(ii) The term does not include individuals who who are employed by
the Commonwealth or a political subdivision of the
Commonwealth in teaching as distinguished from administrative
duties.
(iii) Personsin the position listed below are generally considered
public employees.
(A) Executive and special directors or assistants reporting
directly to the agency head or governing body.
(B) Commonwealth bureau directors, division chiefs, or heads of
equivalent organiation elements; and other governmental body
department heads.
(C) Staff attorneys engaged in representing the department, agency,
or other governmental bodies before the public.
Mr. Robert J. Phillips
June 18, 1982
Page 5
(0) Solicitors, engineers, managers, secretary- treasurers acting as
managers, police chiefs, chief clerks, chief purchasing agents,
grant and contract managers, housing and building inspectors, sewer
enforcement officers, and zoning officers in all governmental
bodies.
(E) Court administrators, assistants for fiscal affairs, and
deputies for the minor judiciary.
(F) School business managers and principals.
(iv) Persons in the position listed below are generally not
considered public employees.
(A) City Clerks, other clerical staff, road masters, secretaries,
police officers, welfare case workers, maintenance workers,
construction workers, detectives, equipment operators, and
recreation directors.
(B) Law clerk, court crier, court reporter, probation officer,
security guard, and writ server.
(C) School teachers and clerks of the schools. (emphasis supplied)
51 Pa. Code 111.1
IV. Discussion: Preliminarily we note that a large portion of your argument
questions the above - referenced regulation which excludes welfare case workers
generally from the definition of "public employee." You assert that these
workers have as much, if not more responsibility to make recommendations than
you have as a Claim Settlement Agent (CSA). You state, therefore, that you
should be excluded from this definition, as well. We need take little effort
to address this argument: If the general exclusion of case workers is
incorrect, that error would not, in and of itself, justify a similar exclusion
for you or the class of CSA workers, in general. We must address the question
of whether you fall within the purview of the definition of "public employee"
based upon that definition in the Ethics Act and our regulations by reviewing
the substantive duties and responsibilities you are assigned. While the staff
is directed to review the possible error in generally excluding case workers,
we do not find this a sufficient basis for altering our conclusion as to your
inclusion within the purview of the "public employee" definition.
Mr. Robert J. Phillips
June 18, 1982
Page 6
Your duties and responsibilities are - clearly and carefully articulated in
both your job description which you executed on February 5, 1981 and which you
state has not been altered through April 16, 1982 and the official job speci-
fication for the CSA I Position. You argue that these items do not adequately
express the nature of your duties and that the responsibilities set forth
there are a gross exageration of your actual di minimus role. Frankly, your
testimony and presentation would have us believe that you are hardly more than
a clerk who has no iriiput, no discretion and no authority to make any sort of
recommendation.
This presentation flies in the face of the objective and clear responsi-
bilities in your own job description and specifications. Without calling into
question your credibility, we nevertheless can not ignore the fact that you
are required and empowered through these documents to peform job functions of
a much more significant nature than you acknowledge. We must believe that
your atempt to narrowly define your employment function so as to effectively
remove yourself from the definition of "public employee" must fail as our
inquiry must focus on the job itself and not on the individual and variable
functions of the particular employee occupying the position. See Mummau v.
Ranck, 531 F. Supp. 402 (E.D. Pa. 1982) citing Branti v. Finkle, 445 U.S. 507
at 518, 100 S. Ct. 1287 at 1294, 63 L. Ed 2d 574 (1980). We must proceed to
analyze your job function objectively and if under this analysis your CSA I
duties are outside the definition of "public employee" you will not be
required to comply with the Ethics Act. Our analysis, however, as detailed
below, leads us to the opposite conclusion.
Specifically, as a CSA I you are empowered to investigate the financial
standing of present and past public assistance clients in order to obtain
restitution and reimbursement from clients' real estate, estate income,
workers' compensation, etc. Further, you are empowered to take steps necesary
to encumber clients property to make recommendations as to settlements, to
appraise real estate, and to negotiate for sale of property necessary to
resolve debts of clients in order to secure the restitution required. Your
role in appearing as a witness on behalf of the Commonwealth and as a hand-
writing analysist /expert is not de minimis. In these actions you are clearly
recommending or taking actions with respect to the investigation of any person
as set forth in the definition of "public employee" in the Ethics Act. See
also definition of "inspecting, licensing, regulating or auditing ", 51 Pa. -
Code §1.1.
Mr. Robert J. Phillips
June 18, 1982 "
Page 7
Finally, your responsibility in conducting interviews with private
employers of clients- debtors, debtors and in assisting in the ultimate prose-
cution of welfare fraud cases through the office of the District Attorney are
significant. Your own job description indicates you "inform the Trial Judges
of the charges levied... the position of the Commonwealth with regard to such
possible dispositions as imprisonment, probation, Accelerated Rehabilitative
Disposition and /or restitution." Such a role clearly involves a recommen-
dation as to the "interests of any person" -- ie. imprisonment or restitution
-- of other than a de minimus economic impact. There is, again, nothing in
your job description or position description which limits this role of "infor-
ming Trial judges" to your being a mere conduit for this information. In
fact, your position description also authorizes a CSA I to make recommen-
dations as to the "settlements" offered to client - debtors. It is clear that
your investigative power and settlement - recommendation authority, along with
your ability to inform Trial Judges combine to give you a significant position
vis -a -vis the economic life -- or death -- of a client - debtor.
These factors combine to support our conclusion and we enter the
following accordingly:
V. Conclusion: As decided at our meeting of April 16, 1982 and upon conside-
ration of all evidence submitted and referred to herein, we affirm Advice 81-
25A previously issued to you November 10, 1981 and issue and enter this Order
and Opinion holding that for the reasons enunciated above you are:.considered a
"public employee" subject to the Ethics Act and you must file a Financial
Interest Statement. This statement must be filed within thirty (30) days of
this Opinion.
Pursuant to Section 7(9)(i), this opinion is a complete defense in any
enforcement proceeding initiated by the Commission, and evidence of good faith
conduct in any civil or criminal proceeding, providing the requestor has
disclosed truthfully all the material facts and committed the acts complained
of in reliance of the advice given.
This letter is a public record and will be made available as such.
Sincerely,
)) 61 /.
PAUL J. Sr;4ITH
Chairman
(Commissioner Roy Wilkinson did not participate in this Opinion).
cc: John Lyle, DPW Personnel
Helen O'Bannon, Secretary, DPW
UPDATE: This Opinion was appealed to the Commonwealth Court and is currently pending, see Phillips, No. 1574 C.D.
1982.