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HomeMy WebLinkAbout00-622 KatchurBrian R. Katchur 64 Beaver Street P.O. Box 269 Beaver Meadows, PA 18216 Dear Mr. Katchur: ADVICE OF COUNSEL October 27, 2000 00 -622 Re: Conflict; Public Official /Employee; Member; Borough Council; Purchasing Parcel Within Subdivision; Voting On Subdivision. This responds to your letter of September 27, 2000, by which you requested advice from the State Ethics Commission. Issue: Whether the Public Official and Employee Ethics Act ( "Ethics Act "), 65 Pa. .S. §1101 et seq., presents any prohibition or restrictions upon a member of a borough council as to voting on a subdivision plan when the council member is in the process of purchasing a parcel of land within the subdivision on which he intends to build his primary residence. Facts: As a member of the Beaver Meadows Borough Council ( "Borough ouncil "), you seek an advisory based upon the following submitted facts. You are in the process of purchasing a 1.2 acre parcel of land on which you intend to construct your primary residence. The parcel is in a residentially zoned district and is part of a subdivision in the Borough. You state that you will purchase the parcel at its fair market value. You further state that neither you nor the Borough has any other contracts or associations with the corporation that is selling the parcel to you. The subdivision in which the parcel is located must first be approved by the Borough's Planning Board and the County Planning Commission. You ask whether you may vote on the subdivision when it comes before the Borough Council for approval given the foregoing facts. Discussion: It is initially noted that pursuant to Sections 1107(10) and 1107(11) of the Ethics Act, 65 Pa.C.S. § §1107(10), (11), advisories are issued to the requestor based upon the facts which the requestor has submitted. In issuing the advisory based upon the facts which the requestor has submitted, the Commission does not engage in an independent investigation of the facts, nor does it speculate as to facts which have not Katchur, 00 -622 October 27, 2000 Page 2 been submitted. It is the burden of the re to truthfully disclose all of the material facts relevant to the inquiry. 65 Pa.C.S. § §1107(10), (11). An advisory only affords a defense to the extent the requestor has truthfully disclosed all of the material facts. As a member of the Beaver Meadows Borough Council, you are a public official as that term is defined in the Ethics Act, and hence you are subject to the provisions of that Act. Section 1103(a) of the Ethics Act provides: Section 1103. Restricted activities (a) Conflict of interest. - -No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 Pa.C.S. §1103(a). The following terms are defined in the Ethics Act as follows: Section 1102. Definitions "Conflict" or "conflict of interest." Use by a public official or public employee of the authority of his office or employment or any confidential information received through his holding public office or employment for the private pecuniary benefit of himself, a member of his immediate family or a business with which he or a member of his immediate family is associated. The term does not include an action having a de minimis economic impact or which affects to the same degree a class consisting of the general public or a subclass consisting of an industry, occupation or other group which includes the public official or public employee, a member of his immediate family or a business with which he or a member of his immediate family is associated. "Authority of office or employment." The actual power provided by law, the exercise of which is necessary to the performance of duties and responsibilities unique to a particular public office or position of public employment. 65 Pa.C.S. §1102. In addition, Sections 1103(b) and 1103(c) of the Ethics Act provide in part that no person shall offer to a public official /employee anything of monetary value and no public official /employee shall solicit or accept anything of monetary value based upon the understanding that the vote, official action, or judgment of the public official /employee would be influenced thereby. Reference is made to these provisions of the law not to imply that there has been or will be any transgression thereof but merely to provide a complete response to the question presented. Section 1103(j) of the Ethics Act provides as follows: Section 1103. Restricted activities (j) Voting conflict. - -Where voting conflicts are not otherwise addressed by the Constitution of Pennsylvania or Katchur, 00 -622 October 27, 2000 Page 3 by any law, rule, regulation, order or ordinance, the following procedure shall be employed. Any public official or public employee who in the discharge of his official duties would be required to vote on a matter that would result in a conflict of interest shall abstain from voting and, prior to the vote being taken, publicly announce and disclose the nature of his interest as a public record in a written memorandum filed with the person responsible for recording the minutes of the meeting at which the vote is taken, provided that whenever a governing body would be unable to take any action on a matter before it because the number of members of the body required to abstain from voting under the provisions of this section makes the majority or other legally required vote of approval unattainable, then such members shall be permitted to vote if disclosures are made as otherwise provided herein. In the case of a three - member governing body of a political subdivision, where one member has abstained from voting as a result of a conflict of interest, and the remaining two members of the governing body have cast opposing votes, the member who has abstained shall be permitted to vote to break the tie vote if disclosure is made as otherwise provided herein. 65 Pa.C.S. §1103(j). In each instance of a conflict, Section 1103(j) requires the public official /employee to abstain and to publicly disclose the abstention and reasons for same, both orally and by filing a written memorandum to that effect with the person recording the minutes or supervisor. In the event that the required abstention results in the inability of the governmental body to take action because a majority is unattainable due to the abstention(s) from conflict under the Ethics Act, then voting is permissible provided the disclosure requirements noted above are followed. See, Mlakar, Advice 91- 523 -S. In applying the above provisions of the Ethics Act to the instant matter, pursuant to Section 1103(a) of the Ethics Act, a public official /public employee is prohibited from using the authority of public office /employment or confidential information received by holding such a public position for the private pecuniary benefit of the public official /public employee himself, any member of his immediate family, or a business with which he or a member of his immediate family is associated. Thus, if a matter would come before the Borough Council that would result in financial gain to you, a member of your immediate family or a business with which you or a member of your immediate family are associated, you would have a conflict and would be required to abstain and observe the disclosure requirements of Section 1103(j) of the Ethics Act as set forth above. Having established the above principles, your specific inquiry shall now be addressed. As to whether you would be permitted to vote on the subdivision, it is initially noted that the facts which you have submitted are unclear in that you first state that the subdivision must be approved by the Borough's Planning Board, County Planning Commission and Borough Council, but then state that the parcel is in a residentially zoned district. Therefore, it is assumed that the developer must obtain the approvals of the various governmental bodies as to matters unrelated to zoning. Based upon the foregoing assumption, you are advised as follows. You would not have a conflict as to the subdivision subject to the following qualifications. First, your agreement to purchase of the 1.2 acre parcel of land would not be contingent upon the developer obtaining any Katchur, 00 -622 October 27, 2000 Page 4 approvals as to the subdivision. Second, no approvals as to the subdivision would be necessary in order for you to construct a residence upon the land. Lastly, there would be no improper understandings as set forth in Sections 1103(b) and 1103(c) of the Ethics Act as discussed above. The propriety of the proposed conduct has only been addressed under the Ethics Act; the applicability of any other statute, code, ordinance, regulation or other code of conduct other than the Ethics Act has not been considered in that they do not involve an interpretation of the Ethics Act. Specifically not addressed herein is the applicability of the respective municipal code. Conclusion: As a member of the Beaver Meadows Borough Council ( "Borough Council "), you are a public official subject to the provisions of the Public Official and Employee Ethics Act ( "Ethics Act "), 65 Pa.C.S. §1101 et seq. You would not have a conflict as to voting on a subdivision when you are in the process of purchasing a parcel of land within that subdivision on which you intend to build your primary residence, subject to the following qualifications. First, your agreement to purchase of the parcel of land would not be contingent upon the developer obtaining any approvals as to the subdivision. Second, no approvals as to the subdivision would be necessary in order for you to construct your residence upon the land. Lastly, there would be no improper understandings as set forth in Sections 1103(b) and 1103(c) of the Ethics Act as discussed above. The propriety of the proposed conduct has only been addressed under the Ethics Act. Pursuant to Section 1107(11), an Advice is a complete defense in any enforcement proceeding initiated by the Commission, and evidence of good faith conduct in any other civil or criminal proceeding, provided the requestor has disclosed truthfully all the material facts and committed the acts complained of in reliance on the Advice given. This letter is a public record and will be made available as such. Finally, if you disagree with this Advice or if you have any reason to challenge same, you may appeal the Advice to the full Commission. A personal appearance before the Commission will be scheduled and a formal Opinion will be issued by the Commission. Any such appeal must be in writing and must be actually received at the Commission within thirty (30) days of the date of this Advice pursuant to 51 Pa. Code §13.20. The appeal may be received at the Commission by hand delivery, United States mail, delivery service, or by FAX transmission (717 - 787 - 0806). Failure to file such an appeal at the Commission within thirty (30) days may result in the dismissal of the appeal. Sincerely, Vincent J. Dopko Chief Counsel