HomeMy WebLinkAbout91-012 ShayMr. Wendell L. Shay
2315 Wells Drive
Bethel Park, PA 15102
I. Issue:
STATE ETHICS COMMISSION
308 FINANCE BUILDING'
HARRISBURG, PENNSYLVANIA 17120
OPINION OF TICE COMMISSION
Before: Dennis C. Harrington, Chair
Daneen E. Reese
Roy W. Wilt
James P. Gallagher
DATE DECIDED: December 5, 191
DATE MAILED: December 10,1991
91 -012
RE: Former Public Employee; Section 3(g); PennDOT; Locations -
Contract Management Engineer, Highway Design Manager, Appeal
of Advice, Name on Invoice to Former Governmental Body.
Dear Mr. Shay:
This Opinion is issued pursuant to your appeal of the Advice
of Counsel, No. 91 -582, issued on September 20, 1991.
Whether the restrictions of Section 3(g) of the Public
Official and Employee Ethics Law would preclude the inclusion, of
the name of a former public official /employee on invoices
submitted by his private employer to the former governmental
body, for one year after he leaves that body.
II. Factual Basis for Determination:
The issue which you presented was originally processed as a
request for an Advice of Counsel and as a result on September 20,
1991, Advice of Counsel, No. 91 -582 was issued. That Advice
concluded that as a Locations - Contract Management Engineer for
PennDOT, you would be considered a "public employee" as defined
in the Ethics Law, such that upon termination of service with
PennDOT, you would become a "former public employee" subject to
the restrictions of Section 3(g) of the Ethics Law. Your former
governmental body was determined to be PennDOT, including but not
limited to District 11 -0. The Advice of Counsel further
concluded that the restrictions of Section 3(g) would preclude
your name appearing on invoices or other documents submitted by
or on behalf of your new employer to PennDOT during the one -year
period following termination of your employment with PennDOT,
despite your representations that PennDOT regulations would
require that your name and not just your position appear on such
invoices.
On October 7, 1991, this Commission received your letter of
October 3, 1991, wherein you appealed the above Advice. You did
not appeal your status as a former "public official /employee"
subject to the Ethics Law, nor did you challenge the
determination that PennDOT is your former governmental body. You
did not appeal any of the restrictions of Section 3(g) of the
Ethics Law as the Advice of Counsel concluded they would apply to
you, except regarding the prospective inclusion of your name on
invoices /materials submitted by your employer to PennDOT.
Specifically, you solely appeal the seventh paragraph (next to
last) on page six of the Advice of Counsel which provides as
follows:
In this regard, your letter of inquiry
parenthetically mentions that your name would appear on
invoices submitted to PennDOT, rather than just your
position, and you reference PennDOT regulations as
requiring such. This would be prohibited by the Ethics
Law. See Stinson, Advice 91- 529 -S. The definition of
the term "represent" would preclude submitting your
name to PennDOT on invoices. Therefore, given the
specific prohibitions of Section 3(g) of the Ethics
Law, as well as the Commission's interpretations of
that Section, your name must not appear on invoices -
or any other materials, for that matter - submitted by
or on behalf of HDR to PennDOT.
Shav, Advice 91 -582 at 6.
In a submitted brief, you assert that in the Design Phase of
the project, every person "assigned to and time invoiced" must be
approved by PennDot which requires that a person be identified by
name. Any invoice submitted without a name would be rejected by
PennDot although such a requirement may not be applied as to the
construction phase. You argue that a person's name on an
invoice does not constitute representation since such invoicing
occurs after the contract has been executed. You assert that your
name on an invoice submitted to PennDot is merely a line item of
charge like other costs and does indicate that you prepared and
signed the invoice. Finally, you suggest that since the
definition of represent only enumerates lobbying and submitting
bid or contract proposals, the submission of your name on an
invoice does not constitute representation.
It is conceded by you that an invoice may be subject to
question. PennDot might contest an HDR, Inc. invoice which
could conceivably place you in the position of justifying the
work you performed as submitted on an invoice.
You also acknowledge that although the contract was
negotiated by HDR, Inc. with the Harrisburg office of PennDot,
the project involves western Pennsylvania and you, while employed
by PennDot, worked out of the District 11 office in Pittsburgh.
Our review of this case shall be limited to the narrow issue
which you have raised in appealing the above language of Advice
of Counsel No. 91 -582.
III. Discussion:
Section 3(g) of the Ethics Law provides:
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. S403(g).
This Commission has long recognized that the
Legislative intent in promulgating Section 3(g) of the Ethics Law
was to protect the public trust, such that a public
official /employee must act consistently with the public trust and
upon leaving public service, may not utilize his association with
the public sector, officials or employees to secure treatment or
benefits for himself or his new employer that may only be
obtainable because of his association with his former
governmental body.
Keeping the above purpose in mind, we must first consider
whether the inclusion of your name on invoices submitted by your
employer to PennDOT as your former governmental body, would be to
"represent" a "person" with promised or actual compensation on
any matter before your former governmental body. The following
terms are defined as follows in the Ethics Law:
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.
65 P.S. 5402.
Your new employer, HDR Engineering, Inc. ( "HDR "), would
clearly be within the definition of "person" set forth above, as
a business /firm and corporation.
We are of the opinion that the proposed inclusion of your
name on invoices submitted by HDR to PennDOT would fit within the
definition of "represent" above, and thus would be prohibited by
the Ethics Law. For purposes of the Ethics Law, there is no
meaningful distinction between the submission of the name of a
former public official /employee on a bid or contract proposal,
which is specifically included in the definition of "represent"
to exemplify its meaning, and the submission of the name of such
a former public official /employee on an invoice submitted to the
former governmental body. In either instance, the involvement of
the former public official /employee on behalf of a person - in
this case, the new employer - is being made known to the former
governmental body.
Although you argue that the submission of an invoice is not
specifically included in the definition of "represent ", we must
note that "represent" encompasses "any activity." Likewise,
just because invoices are not included in items specifically
enumerated in the statutory definition, it does not follow that
invoices are thereby excluded. To the contrary, an invoice is an
item which is included within the definition as to activities
"which [would] include[s], but -- -not [be] limited to
Furthermore, there is no doubt that the inclusion of your
name on invoices submitted by your employer to PennDOT would be
with your knowledge and consent and would constitute action on
behalf of your new employer. Cf., Stephens v. Com., State Ethics
Commission, 132 Pa. Commw. 71, 571 A.2d 1120 (1990). In
addition, in performing work for HDR, Inc. as to the PennDot
project, you would have to complete and submit time records which
form the basis for a line item on an invoice. It is also clear
that you have an awareness of this fact since you are
knowledgeable as to the process.
If an invoice is challenged, it is possible that you would
have to become a participant in the resolution of the dispute by
explaining or testifying on behalf of HDR, Inc. as to the manner
in which you completed the services on a contested invoice. Such
activity would also constitute representation.
Therefore, the specific prohibitions of Section 3(g) of the
Ethics Law, as well as this Commission's interpretations of
Section 3(g) would preclude the inclusion of your name on
invoices submitted on behalf of your new employer to PennDOT.
Although you stated in your initial letter of inquiry that
PennDOT regulations would require that your name appear on such
invoices, and not just your position, you have not provided any
support for that assertion. Even if we assume it to be true,
however, it is the duty of this Commission to enforce the Ethics
Law and we do not have the latitude to ignore the requirements of
Section 3(g) of the Ethics Law as it has been duly promulgated by
the General Assembly of the Commonwealth of Pennsylvania, to
favor the regulations of PennDOT or any other agency. Lastly,
the propriety of the proposed conduct has only been addressed
under the Ethics Law. Specifically not addressed herein is the
applicability of the Governor's Code of Conduct.
Advice of Counsel, No. 91 -582 is affirmed.
IV. Conclusion:
As a former public employee subject to the restrictions of
Section 3(g) of the Ethics Law, those restrictions would prohibit
the inclusion of your name on invoices submitted by your
employer, HDR Engineering, Inc., to PennDOT, your former
governmental body. The restrictions of Section 3(g) of the
Ethics Law are applicable for a period of one year after
termination of service with PennDOT.
Advice of Counsel, No. 91 -582, is affirmed.
Pursuant to Section 7(10), the person who acts in good faith
on this opinion issued to him shall not be subject to criminal or
civil penalties for so acting provided the material facts are as
stated in the request.
such.
This letter is a public record and will be made available as
Finally, any person may request the Commission to
reconsider its Opinion. The reconsideration request must be
received at this Commission within fifteen days of the mailing
date of this Opinion. The person requesting reconsideration
should present a detailed explanation setting forth the reasons
why the Opinion requires reconsideration.
By t p Commission,
4+
Dennis C. Harrington
Chair