HomeMy WebLinkAbout457 GabigMr. Jack Gahig
c/o Rohert L. Ceisler, Esquire
321 Washington Trust Building
Washington, PA 153C1
Re: R5- 085 -C, Order No. 457
Dear Mr. Gabig:
EMS /rdp
Enc.
Mailing Address
State Ethics Commission
308 Finance Building
P. C. Box 11 470
Harrisburg,, Pa. 17108 -1470
May "2.; 1986
This refers to the ahove captioned matter in which you had requested
reconsideration.
As a result, the Commission has granted and completed such
reconsideration and has issued Order No. 457 -R, a copy of which is enclosed.
Pursuant to State Ethics Commission regulations, 51 Pa. Code 2.38(a),
that Order and this letter evidencing reconsideration are iinl and will be
made available as puhlic documents three business days after service.
Sincerely,
Edward M. Seladones
Executive Director
State Ethic Commission • 308 Finance Budding • Harrisburg, Pennsylvania
Mr. Jack Gabig
c/o Robert L. Ceisler, Esquire
321 Washington Trust Building
Washington, PA 15301
Re: 85 -085 -C
STATE ETHICS COMMISSION
308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
ORDER OF THE COMMISSION
May 2, 1986
Order No. 457 -R
Dear Mr. Gabig:
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, a supervisor of Union Township, violated Section
3(a) of the Ethics Act which prohibits a public official's use of office or
confidential information gained from that office to realize financial gain
other than compensation allowed by law for himself, a member of his immediate
family or a business with which he is associated when you voted to appoint
yourself as township roadmaster.
A. Findings:
1. You served as supervisor of Union Township at least since 1981 and are
subject to the requirements of the State Ethics Act.
2. You have also served as a part -time township roadmaster from January, 1982
to December, 1983 and a full -time roadmaster since January, 1984.
3. Minutes of township meetings record the following actions to appoint
roadmasters.
a. January 5, 1981: Motion by you second by Spahr to appoint Daniel
Nurnherger as roadmaster. Motion carried unanimously.
h. January 4, 1982: Motion by Speer second by Spahr to appoint five
supervisors as roadmasters for 1982. Motion carried unanimously.
Mr. Jack Gabig
Page 2
May 2, 1986
c. January 3, 1983: Motion by Speer second by Spahr to appoint all five
supervisors as roadmasters for 1983. Motion carried unanimously.
d. January 3, 1984: Motion by Speer second by Nurnberger that all five
supervisors be appointed roadmasters for 1984. Motion carried
unanimously.
e. January 7, 1985: Motion by "Spahr" second by Nurnberger that all
five supervisors be appointed roadmaster employees for 1985. Motion
carried unanimously.
4. The township minutes reflect the following action on hourly wages:
a. January 3, 1983, a motion by Speer, second by Parish, a $6.80 hourly
rate was suggested for roadmasters. The motion passed 4 to 1. You
voted against the motion.
(1) The auditors approved this rate through a notation on the
township minutes. The notation was signed by three auditors.
b. January 3, 1984: Motion by Speer, second by Spahr, council suggested
an hourly rate of $7.15 for supervisors serving as roadmasters. The
motion passed unanimously and you voted.
(1) The auditors approved this rate by way of a notation on the
supervisors' minutes. Three auditors signed their approval.
c. January 7, 1985: On motion by Spahr, second by Parish, an hourly
rate of $9.11 was suggested for supervisors serving as roadmasters.
(1) On January 8, 1985, the auditors approved this rate through a
notation on the bottom of the supervisors' minutes.
5. The township was not divided into road districts in 1983, 1984, or 1985.
6. The township payroll records show that you were paid as follows:
a. 1983 - Gross pay: $2,184.50.
(1) There is no hourly rate identified.
(2) No work title is shown.
b. 1984 - Gross pay: $13,743.04.
Mr. Jack Gabig May 2, 1986
Page 3
(1) Pay range shown are $7.15 and $9.11 for regular time and $10.73
for overtime.
(2) No working title is shown.
c. 1985 - Gross pay: $18,706.39
(1) Pay range shown are $9.11 for regular time and $13.67 hourly
for overtime.
(2) Your work title is shown as roadmaster.
B. Discussion:
As a township supervisor in a township of the second class, you are a
public official as that term is defined in the State Ethics Act. 65 P.S.
§402. As such, your conduct must conform to the requirements of the Act.
Sowers, 80 -050. Generally, the State Ethics Act provides as follows:
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).
We have previously ruled that a township supervisor may not participate
in any matter in which he has a pecuniary interest. As such, we have
determined that a township supervisor, for example, may not vote to appoint
himself to a position of employment within the township if he is to be
compensated therefor. See King, 85 -025. It is without question that a
township supervisor in a second class township is eligible to serve as the
roadmaster at the same time that such person serves as township supervisor.
53 P.S. §65514. Specifically, the township code provides for such employment.
It is also clear that the compensation of a township supervisor, who serves in
that position, must be fixed by the township board of auditors. 53 P.S.
§65514. While the General Assembly, through the Second Class Township Code
and the aforecited provisions of that code, have clearly provided that
township supervisors shall be eligible to hold the position of township
roadmaster, no specific indication of whether a township supervisor may
participate in their own appointment was provided for in the township code.
As a result, our interpretation of whether such activity is permissible must
be based upon the legislative intent of the Second Class Township Code
provisions as well as the State Ethics Act.
Mr. Jack Gabig
Page 4
May 2, 1986
We have, as noted above, interpreted these provisions of law and have
determined that the township supervisor serving in a township of the second
class may not participate or otherwise vote to appoint him or herself to a
position of employment in the township when that individual will receive
compensation for serving in such position. Our analysis of this particular
situation is fully set forth and outlined in our Opinion in King, 85 -025 and
that analysis will be incorporated herein by reference. We do note that
Section 1 of the State Ethics Act provides as follows:
Section 1. Purpose.
The Legislature hereby declares that public office is a
public trust and that any effort to realize personal
financial gain through public office other than
compensation provided by law is a violation of that trust.
In order to strengthen the faith and confidence of the
people of the State in their government, the Legislature
further declares that the people have a right to be
assured that the financial interests of holders of or
candidates for public office present neither a conflict
nor the appearance of a conflict with the public trust.
Because public confidence in government can best be
sustained by assuring the people of the impartiality and
honesty of public officials, this act shall be liberally
construed to promote complete disclosure. 65 P.S. 401.
The intent and purpose of the Ethics Act was clearly based upon the long line
of judicial decisions which have set forth the principle that whenever.a
public official has a direct personal interest in a matter under consideration
by the public body on which they are serving, such official is disqualified
from voting thereon. See Reckner, et. al., v. German Township School
District, 341 Pa. 369, 19 A.2d 402, (1941). See also, Genkinger v. New
Castle, 368 Pa. 547, 84 A.2d 303, (1951); McCreary v. Major, 343 Pa. 355, 22
A.2d 686, (1941); Commonwealth v. Raudenbush, 249 Pa. 86, 99 A. 555 (1915);
Meixell v. Hillardtown Borough, 370 Pa. 420, 88 A.2d 594, (1952).
The Second Class Township Code does not mandate that the roadmaster be a
township supervisor. It merely permits that situation to occur. In this
respect, the township board of supervisors or a majority thereof have the
discretion to appoint a roadmaster who is not a member of the board. Thus, a
township supervisor who votes for him or herself to secure the position of
roadmaster could be considered to be placing oneself in conflict with the
public trust. This is particularly so if the position of roadmaster has in
the past been one for which compensation has been fixed by the board of
auditors. It could, thus, be perceived that the township supervisor would be
placing himself in a position to receive compensation even though that person
does not actually set the amount of such compensation. This type of activity,
Mr. Jack Gabig
Page 5
May 2, 1986
while it may be considered an indirect benefit, i s nonetheless not so remote
as to completely alleviate the concerns that gave rise to the promulgation of
the Ethics Act.
In making our determination of this particular issue, we have devoted
considerable effort to determine the legislative intent behind the State
Ethics Act and the affect that Act has had upon the other provisions of law
involved herein, i.e. the Township Code. The Rules of Statutory Construction
mandate that we attempt to determine the legislative intent in this matter.
We have noted that one of the key elements involved in establishing such
intent is to consider the mischief to he remedied as wel 1 as the former law on
particular subjects now covered by statute. See 1, Pa. C.S.A. §1910. The
prior law on matters of a similar nature, of course, is clearly set forth by
the previously cited court decisions. In addition, the Ethics Act was
established in order to remedy particular problems that had been occasioned by
situations where public officials had acted i n order to forward their own
interest rather than the interest of the public. In addition to the
foregoing, we must presume that the General Assembly intended to favor the
public interest as against any private interest. This presumption is
specifically authorized by law. 1 Pa. C.S.A. §1922(5). Based upon these
principles of statutory construction, it is our conclusion that a township
supervisor may not participate in his or her own appointment as roadmaster
if the supervisor will receive compensation for such appointment. We believe
that such activity would violate both the intent and spirit of the Ethics
Act.
We do, however, realize that our interpretation of this matter is one
that is recent and that our Opinion is one that is contrary to the
interpretation of the Second Class Township Code that has traditionally been
set forth by various individuals. Of course, your actions in voting for
yourself to assume the position of township roadmaster and your receipt of the
compensation in such position would not be in accord with our most recent
interpretation of the Ethics Act. However, because your activities predated
the issuance of our most recent Opinion, and more importantly because we do
not find any other element in the instant situation that indicates you
intentionally attempted to financially benefit yourself in violation of the
law, we believe that the instant situation lends itself to a prospective
apol i cation of our Ki ng Opinion. Thus, whil e your actions woul d not be i n
accord with our most recent interpretation of the Ethics Act, we do believe
that we should take no further action in relation to this matter. We do
hasten to point out, however, that we are firmly committed to our
interpretation of the Ethics Act and we do beli eve that when publi c official s
have a financial interest in a matter, that they must not participate in said
matter. We note that this would require their abstention in matters not only
relating to their own appointment to a position of employment with their
goverrmental body but also as to their participation in the preliminary
decisions that lead up to such appointment. Finally, we note that our
Mr. Jack Gahig
Page 6
May 2, 1986
decision in this matter is one that is occasioned by various factors and under
certain circumstances, the result reached herein could he altered. We also
note that while the vote regarding your appointment was unanimous, we do not
helieve this is a crntrolling factor. This Commission has previously
determined that such a situation would still he contrary to the provisions of
the Ethics Act. McCaigue, No. 392; Fields, 82 -006.
C. Conclusion: Your act in voting for yourself to a position of employment
in a township of the second class, where you served as a township supervisor,
is not in accord with our most recent interpretation of the State Ethics Act.
In light of the fact, however, that your actions in this matter predated our
King Opinion and that there are no other factors which indicate that you
intentionally attempted to obtain financial gain in violation of the law, we
will take no further action in this matter. We do note that the decision in
this particular case is a result of the specific factors outlined herein and
that such decision could he different under other circumstances.
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 15 days 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 Order, 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 he fined not more than $1,000 or
imprisoned for not more than one year or both, see 65 P.S. 409(e },
Ry the Commission,
G. Sieber Pancoast
Chairman