HomeMy WebLinkAbout359 RarieMr. Richard Rarie -
Allegheny Township Auditor
R.D. #3
Leechburg, PA 15656
Re: No. 83 -183 -C
Dear Mr. Rarie:
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
ORDER OF THE COMMISSION
January 25, 1985
Order No. 359
The State Ethics Commission has received a complaint regarding you and a
possible violation of Act 170 of 1978. The Commission has now completed its
investigation. The individual allegations, conclusions, and findings on which
those conclusions are based are as follows:
I. Allegation: That you, an Auditor for Allegheny Township, Westmoreland
County, violated Section 3(a) of the Ethics Act because you audit township
funds which are deposited in the First National Bank of Leechburg and, at the
same time, serve as a Manager of a branch of that bank.
A. Findings:
1. You were appointed by the Allegheny Township Vacancy Board to fill an
unexpired term as Township Auditor on January 5, 1979. You were elected to
serve a full term as Auditor in November, 1979 and continue to serve in that
capacity. As an auditor, you are a public official and subject to the Ethics
Act.
2. Allegheny Township has used the First National Bank of Leechburg,
hereinafter, the Bank as depository for Township funds since at least 1961.
a. The Bank opened a branch office in Allegheny Township in 1961 and has
used that branch since 1961.
Mr. Richard Rarie January 25, 1985
Page 2
b. The Township Supervisors decide which Bank will be the depository
for Township funds.
3. You have been employed by the Bank of Leechburg for the past twelve years
and, up until last year, worked at the Gilpin Township Branch Office of the
Bank. You currently serve as Manager of the Allegheny Township Branch of the
Bank.
4. As an Auditor your actions must conform to those described for auditors in
the Second Class Township Code.
a. Each year you and the other two auditors settle and adjust the
various accounts of the Township supervisors, treasurer and tax
collector. This includes accounts with the First National Bank of
Leechburg.
b. Audits entail the review of checking, savings and pension accounts on
deposit at the First National Bank of Leechburg.
5. There is no indication that you received direct or indirect benefits from
the Township's deposit of funds with First National Bank of Leechburg.
6. There is no evidence that you used your position at the Bank to be
appointed as an auditor or that you have used your position or confidential
information as auditor to benefit the bank.
B. Discussion: As a public official your conduct must conform to the
requirements of the Ethics Act, including Section 3(a) thereof which states
that:
Section 3. Restricted activities.
(a) No public official or public employee shall use his
public office or any confidential information received
through his holding public office to obtain financial gain
other than compensation provided by law for himself, a
member of his immediate family, or a business with which
he is associated. 65 P.S. 403(a).
The Township has used the First National Bank of Leechburg for over 20
years. This relationship existed before your employment with the Bank and
appointment and election as a Township Auditor and you have no authority to
recommend or decide where the Township should deposit its funds, We also find
no evidence that you attempted to influence the Township Supervisors in their
decision to retain the First National Bank of Leechburg as the depository for
the Township funds.
January 25, 1985
HBC /na
Mr. Richard Rarie
Page 3
Although your audit includes Township funds deposited in the Bank, two
other auditors share this responsibility with you and must approve the audit.
We find no evidence that the relationship between the Bank and the Township
has changed since you became an auditor. In addition, there is no evidence
that you have realized financial gain other than compensation allowed by law
in your appointment or election as an auditor. Under these circumstances, we
find no violation of Section 3(a).
In addition to Section 3(a), the Commission has an obligation to review
the activities of a public official in light of Section 1 of the Ethics Act
which states that the financial interests of a public official should present
neither a conflict nor the appearance of a conflict of interest with the
public trust. We find you have not created the appearance of a conflict of
interest with the public trust in your present activities.
In the interest of continuing to assure the people that your financial
interests do not create such an appearance of conflict of interest, we urge
you to scrupulously avoid involvement in recommendations or decisions which
may affect the relationship between the Township and Bank as a depository for
Township funds.
C. Conclusion: Your position and actions as a Township Auditor while also
serving as Bank Manager of the Bank in which the Township deposits funds is
neither a violation of Section 3(a) of the Act nor creates the appearance of a
conflict of interest with the public trust.
Our files in this case will remain confidential in accordance with
Section 8(a) of the Ethics Act, 65 P.S. 408(a).
and will be made available as a public document 15 days e after � service (defined
as mailing) unless you file documentation with the Commission which justifies
reconsideration and /or challenges pertinent factual findings. See 51 Pa. Code
2.38. During this 15 -day period, no one, including the Respondent unless he
waives his right to challenge this Urder, may violate this confidentiality by
releasing, discussing or circulating this Order.
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).
By the Cimmi
Herb •r B. Conner
Cha rman