HomeMy WebLinkAbout292 HessMr. Kenneth H. Hess
165 Market Street
Highspire, PA 17034
RE: No. 84 -33 -C
Dear Mr. Hess:
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
ORDER OF COMMISSION
September 6, 1984
Order No. 292
The State Ethics Commission has reviewed the possibility that you have
violated the State Ethics Act, Act 170 -1978. The nature of the alleged
violation is as follows:
I. Allegation: That as a public official, you failed to file a Statement of
Financial Interests by May 1, 1983, for calendar year 1982, as required by the
State Ethics Act and regulations.
A. Findings:
1. An audit of the Statement of Financial Interests for calendar year
1982 required to be filed by May 1, 1983, was conducted by the State
Ethics Commission. Your statement was not on file.
2. You served as a compensated member of the State Board of Motor
Vehicles Manufacturers, Dealers, and Salesman during calendar year
1982.
a. The law applicable to this entity specifies that its members are
authorzied to receive compensation other than reimbursement for
expenses.
b. You resigned or left this office in January, 1983, although your
term expired in March, 1982.
c. The powers and duties of this Board as set forth in the laws of
this Commonwealth include the power to:
(1) license of motor vehicle salesman, motor vehicle dealers and
manufacturers, factory branches, distributors, etc.
(2) investigate on its own initiative or upon verified complaint
of any person, any allegation of the wrongful acts of any
licensee or person required to be licensed by the Act known
as the Motor Vehicle Manufacturer's, Dearler's and
Salesman's License Act, 63 P.S. 801 et. seq.
Mr. Kenneth H. Hess September 6, 1984
Page 2
(3) adopt, promulgate, and enforce rules and regulations
necessary to carry out powers and duties of the Board;
(4) issue subpoenas for materials, documents or testimony with
respect to any hearings conducted by the Board.
3. You were a public official as that term is used in the Ethics Act
and upon leaving office as set forth above became a former public
official.
4. You had not filed a Statement of Financial Interest for calendar
year 1962, according to our records, so steps were undertaken to
secure your filing.
5. A letter was addressed to you by the Executive Director of the State
Ethics Commission, Edward M. Seladones.
a. This letter was dated August 2, 1983.
b. This letter was addressed to you at 165 Market Street, Highspire,
Pennsylvania 17034.
c. This letter was mailed regular first class mail.
d. We received no response to this letter.
6. Another letter was addressed to you by the Executive Director of the
State Ethics Commission, Edward M. Seladones.
a. This letter was dated November 4, 1983.
b. This letter was addressed to you at 165 Market Street, Highspire,
Pennsylvania 17034.
c. This letter was mailed certified, return receipt requested, No.
5254770. This letter was accepted by M. D. Hess on November 10,
1983.
d. We received no response to this letter.
7. You filed a Statement of Financial Interests on April 30, 1984. This
statement was for calendar year 1983. In a phone conversation with
Mr. Deibert of the State Ethics Commission staff, you stated it was
also accurate for calendar year 1982.
a. You stated you had given this statement to your accountant for
detailed completion but it had been forgotten.
b. There was no intent on your part to violate the Ethics Act.
Mr. Kenneth H. Hess September 6, 1984
Page 3
B. Discussion:
Section 4. Statement of financial interests required to be filed.
(a) Each public employee employed by the Commonwealth
shall file a statement of financial interests for the
preceding calendar year with the department, agency or
bureau in which he is employed no later than May 1 of each
year that he holds such a position and of the year after
he leaves such a position. Any other public employee
shall file a statement of financial interests with the
governing authority of the political subdivision by which
he is employed no later than May 1 of each year that he
holds such a position and of the year after he leaves such
a position. 65 P.S. 404(a) .
The State Ethics Commission has ruled that "public officials" are
also "public employees" and, thus, subject to Section 4(a)'s requirements.
See Carter, 79 -066. Also, the regulations of the State Ethics Commission,
which have the force and effect of law specify that "public officials" shall
file Statements of Financial Interests for each year they hold office. 51 Pa.
Code 4.4(a). The Commonwealth Court has also agreed that "public officials"
are subject to the filing requirements of Section 4(a) of the Ethics Act. See
Kremer v. State Ethics Commission, 56 Pa. Cmwlth. 160, 424 A.2d 968 (1981).
Sections 4.4(a) and 4.4(d) of the State Ethics Commission regulations
state:
(a) Incumbent officials of the Commonwealth's executive,
legislative, and judicial branches and other statewide
offices who are not candidates shall file their Statement
of Financial Interests with the Commission and a copy with
the agency in which they hold office by May 1 of each year
in which they hold office. 51 Pa. Code 4.4(a).
(d) Former public officials shall file a Statement of
Financial Interests for their last year of service by May
1 of the succeeding year. This statement shall be filed
at the same offices they filed when they were incumbent
officials. 51 Pa. Code 4.4(d).
The powers and duties of this Board indicate this body has either the
authority to expend public funds or to otherwise exercise the power of the
State or any political subdivision. In addition, you were authorized to
receive compensation for your services. You are subject to the Ethics Act
because of the Board's authority and the compensation provided by law. You
have failed to file the Statement of Financial Interests required by the law
and State Ethics Commission regulations despite being advised of this
requirement.
Mr. Kenneth H. Hess September 6, 1984
Page 4
You received our letters informing you about your obligation to file a
Statement of Financial Interests, but you ignored them. You held a
responsible position with the Commonwealth and must be presumed to have an
understanding of forms and administrative and legal requirements. We believe
you understood your filing obligation.
(b) Any person who violates the provisions of Section 4 is
guilty of a misdemeanor and shall be fined not more than
$1,000 or imprisoned for not more than one year, or be
both fined and imprisoned. 65 P.S. 409(b).
These are serious penalties and judicious application of the law requires its
use only where there is substantial reason to believe that the failure to file
was willful. You have now filed your Statement of Finincial Interests
and we find no reason to believe that you realized financial gain by this
failure to file and we will take no further action.
C. Conclusion: You violated the Ethics Act and State Ethics Commission
regulations by not filing a Statement of Financial Interests with the State
Ethics Commission. However, you have now filed the Statement of Financial
interests and we will take no further action because we find no evidence that
you realized financial gain by this failure to file.
Our files in this case will remain confidential in accordance with Section
8(a) of the Ethics Act, 65 P.S. 408(a). However, this Order is final and will
be made available as a public document in accordance with 51 Pa. Code
2.38(a) .
Any person who violates the confidentiality of a Commission proceeding is
guilty of a misdemeanor and shall be fined not more than $1,000 or imprisoned
for not more than one year or both, see 65 P.S. 409(e).
RED /rdp
In addition, Section 9(b) states:
Section 9. Penalties.
cc: Governor's Office
Governor's Office of Boards & Commissions
B the Com issio
rber B. Conner
Chairman