HomeMy WebLinkAbout01-538 AndersonArthur J. Stewart, Esquire
Arthur Stewart & Associates, P.0
Attorneys at Law
600 Market Street
Warren, PA 16365
Dear Mr. Stewart:
ADVICE OF COUNSEL
April 16, 2001
01 -538
Re: Conflict; Public Official /Employee; School Director; Immediate Family; Sister
Employed as Principal by School District; Executive Session; Brother -In -Law;
Intermediate Unit; Contract; Vote; Stewart Advice 00 -620.
This responds to your letter of March 2, 2001, by which you requested advice
from the State Ethics Commission.
Issue: Whether the Public Official and Employee Ethics Act ( "Ethics Act ")
presents any prohibition or restrictions upon a school director whose sister is employed
by the school district as a principal as to participating in an executive session when the
teachers' labor contract will be discussed; and participating in negotiations and votes
concerning the intermediate unit contract when the school director's brother -in -law is
employed by the intermediate unit as a speech and language pathologist.
Facts: As Solicitor for the Warren County School District ( "School District "), you
request an advisory on behalf of John Anderson ( "Anderson "), a member of the Warren
County School District Board of Directors ("Board").
Anderson's sister is employed by the School District as a principal. You state
that principals are not involved in contract negotiations or consulted by the teachers'
union with respect to those negotiations. Although school principals are not members of
the teachers' bargaining unit, under Act 93, they enjoy certain contract provisions that
appear in the teachers' contract, including a "me too' provision, which affords principals
the same medical benefits as the teachers under their labor contract with the School
District. After citing Stewart Advice 00 -620, you ask whether Anderson may participate
in an executive session whe the teachers' labor contract will be discussed.
Anderson's brother -in -law is a speech and language pathologist employed by the
intermediate unit, which provides services to the School District pursuant to a contract
negotiated annually between the two parties. The Personnel Committee of the Board
generally negotiates the contract, which is then voted upon by the entire Board. This
year, Anderson has been appointed to the Personnel Committee. You ask whether
Anderson may participate in the Personnel Committee's negotiations concerning the
intermediate unit contract and the Board's vote concerning that contract.
Discussion: It is initially noted that pursuant to Sections 1107(10) and (11) of
the Ethics Act, 65 Pa.C.S. §1107(10), (11), advisories are issued to the requestor based
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April 16, 2001
Page 2
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
been submitted. It is the burden of the requestor 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 School Director for the Warren County School District, Anderson is a public
official as that term is defined in the Public Official and Employee Ethics Act ( "Ethics
Act "), and hence Anderson is subject to the provisions of that law.
Section 1103(a) of the Ethics Act provides:
41103. 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 that pertain to Section 1103(a) are defined in the Ethics Act
as follows:
41102. 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.
"Immediate family." A parent, spouse, child, brother
or sister.
65 Pa.C.S. §1102.
Section 11030) of the Ethics Act provides:
§1103. Restricted activities.
(j) Voting conflict. - -Where voting conflicts are not
otherwise addressed by the Constitution of Pennsylvania or
by any law, rule, regulation, order or ordinance, the following
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April 16, 2001
Page 3
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 11030) 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 circumstances you have
submitted, 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. In this case, it is clear that Anderson's sister is a member of his "immediate
family."
The seminal Commission decision regarding the extent to which school directors
have a conflict of interest under Section 1103(a) as to collective bargaining agreements
involving immediate family members is Van Rensler, Opinion No. 90 -017. The issue in
Van Rensler was whether the Ethics Act prohibited school directors from participating
on a negotiating team and voting on a collective bargaining agreement where members
of their immediate families were school district employees who were represented by the
bargaining units. The Commission concluded that the Ethics Act would not restrict the
school directors from voting on the finalized agreement, but that the school directors
could not take part in the negotiations leading to the finalized agreement.
The Commission held that the school directors could vote on the finalized
agreement because of the exclusion in the definition of "conflict" or "conflict of interest"
which applies if the immediate family member is a member of a subclass consisting of
an industry, occupation or other group containing more than one member and the
immediate family member is affected exactly as the other members of the subclass.
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April 16, 2001
Page 4
The Commission held that as long as the two prerequisites for applying the exclusion
were met, the school directors could vote on the final collective bargaining agreement.
However, the Commission held that the Ethics Act would preclude the
participation of such school directors in the negotiation process. In so holding, the
Commission noted that the negotiation process would be free of any influence of such a
school director and that the potential for the use of confidential information would be
"minimized if not eliminated ". Id, at 4 -5. Thus, a fundamental focus of the Van Rensler
Opinion was precluding the use of confidential information obtained through the public
office as school director to defeat the bargaining process.
The instant case is factually distinguishable from Van Rensler, supra, in that
Anderson's sister is a principal who is not covered by the teachers' contract. Further,
you state that principals are not involved in contract negotiations or consulted by the
teachers' union with respect to those negotiations. Because there is no consultation
between teachers and principals, there is no potential for the use of confidential
information by Anderson for a financial gain for his sister. Hence, Anderson may
participate in an executive session when the teachers' labor contract will be discussed.
With regard to your second question, since the term "immediate family" is defined
to include a parent, spouse, child, brother or sister and since a brother -in -law is not in a
familial relationship delineated above, Section 1103(a) of the Ethics Act would not
prohibit Anderson from participating as a member of the Personnel Committee of the
Board with regard to negotiations concerning the intermediate unit contract or votin g on
the intermediate unit contract. See, Pulice v. State Ethics Comm'n 713 A.2d 161 (Pa.
Commw. 1998), appeal denied, 557 Pa. 642, 742 A.2d 1211 (1998).
Lastly, 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.
Conclusion: As a School Director of the Warren County School District, Anderson is a
public official subject to the provisions of the Public Official and Employee Ethics Act
( "Ethics Act "), Act 93 of 1998, Chapter 11. Anderson's sister is a member of his
immediate family. Based upon your factual submission that principals are neither
covered by the teachers' contract, involved in contract negotiations nor consulted by the
teachers' union with respect to those negotiations, there is no potential for the use of
confidential information by Anderson for a financial gain for his sister. Hence, Anderson
may participate in an executive session when the teachers' labor contract will be
discussed. Section 1103(a) of the Ethics Act would not prohibit Anderson from
participating as a member of the Personnel Committee of the Board with regard to
negotiations concerning the intermediate unit contract or voting on the intermediate unit
contract which covers his brother -in -law because Anderson's brother -in -law is not a
member of his immediate family as that term is defined in the Ethics Act.
Lastly, 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.
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April 16, 2001
Page 5
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 §13.2(h). 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