HomeMy WebLinkAbout93-532 BreitweiserDear M. Breitweiser:
STATE ETHICS. COMMISSION
309 FINANCE BUILDING
P.O. BOX 11470.
HARRISBURG, PA 17108-147Q
TELEPHONE (717) 783 -1610
ADVICE OF COUNSEL
March 29, 1993
William D. Breitweiser 93 -532
Acacia Financial Center
The Acacia Building
Parkway Center -
Pittsburgh, PA 15220
Re: Conflict, -Public Official /Employee, Private Employment or
Business, Borough Council Member, Financial Planner,
Investment Advisor.
This responds -to your letter of,February 23, 1993, in which
you requested advice from the State Ethics Commission.
Issue: Whether the Public Official and Employee Ethics Law
presents any prohibition or restrictions upon a borough council
member with regard to providing services to other municipalities in
his private employment capacity as a financial planner and
investment advisor
Facts: You request an advisory from the State Ethics Commission
fol lowing attendance at a presentation at the Tri- County Boroughs
Association meeting.
ti
You state that as both a Certified Financial, Planner and
Investment Advisory Associate, you would like to use your knowledge
and skills to help municipalities with their retirement. -,and
investment needs. Since you would receive either a; i . fee ,or-
commission or both from this work, you would like to be sure that
this would not conflict with the Ethics Law. You state., that you,
could not be compensated for any -work done for your own Borough
while serving as an elected official.
On March 26, 1993, in a telephonedonversation'with Assistant
Counsel for the Commission, you clarified' that you serve your
Borough as a Member and Pres'.dent: of Borough Council.
Additionally, you are Presiden >tem for the. Tri-County Boroughs
Association for Washington, Greene _and` Fayette Counties, and a
board member far -the State Association of Boroughs.
William D. Breitweiser
March 29, 1993
Page 2`
Based upon the above, you request ' an - advisory from the State
Ethics Commission.
Discussion: As a',Member and President of a Borough Council, you
are a public official as that term is defined under the Ethics Law,
and hence you are subject to the provisions of that law.
Section 3(a) of the Ethics Law provides:
Section 3. Restricted Activities.
.(a) No .public official or public
employee shall engage in conduct that
constitutes a conflict of interest.
The following terms are defined in the Ethics Law as follows:
a
Sectiri' Definitions.
•
,! conflict or conflict of interest." Use
by ._ pup;1ic 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. "Conflict" or "conflict of
interest" 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.
•
Business with which he is associated."
Any business in which the person or a member
of the person's immediate family is a
director, officer, 'owner, employee or has a
financial interest.
William D. Breitweiser
March 29, 1993
Page '3
In addition, Sections 3(b) and 3(c) of the Ethics Law 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 judgement 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 3(j) of the Ethics provides as follows:
Section 3. Restricted activities.
(j) Where voting conflicts are not
otherwise addressed. by the Constitution of
Pennsylvania or 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 hasabstained shall be permitted to
vote to break the tie vote if disclosure is
made as otherwise provided herein.
If a conflict exists, Section 3(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.
William D. Breitweiser
March 29, 1993
Page 4
In this case, you have posed a very narrow inquiry as to
whether the Ethics Law would impose restrictions upon the
performance of your private ,employment activities with regard to
municipalities other than the Borough which you - serve. It is noted
that advisories are only issued with regard to the questions
raised.
In applying the above provisions of the Ethics Law to the
instant matter, we note that 3(a) of the Ethics Law does
not prohibit public officials /employees from outside business
activities or employment; however, the public official /employee may
not use the authority of office for the advancement of his: own
private pecuniary benefit or that of a business with which he is
associated. Pancoe, Opinion 89 -011. In this case, performing your
private employment activities for municipalities other than the
Borough which you serve would not, per se, be a use of authority
office for a prohibited private pecuniary benefit. Rather, you
would be acting in your private capacity and with regard to other
municipalities.
However, you are advised that a public official /employee must
exercise caution so that his private business activities do not
conflict with his public duties. Crisci, Opinion 89 -013. Thus, a
public official /employee could not perform private business using
governmental facilities or personnel. - In particular, the
governmental telephones, postage, staff, - equipment, research
materials, personnel or any other property dOuld not be used as a
means, in whole or part, to carry out private business activities.
In addition, the public official /employee could not during
government working hours, solicit or promote such business
activity. Pancoe, supra. Similarly, Section 3(a) would expressly
prohibit the use of confidential information received by holding
public office /employment`foF such a prohibited private pecuniary
benefit.
In the event that your private employer or business has a
matter pending before your governmental body or if you as part of
such official duties must participate, review or pass upon that
matter, a conflict would exist. Miller, Opinion 89 -024. In those
instances, it will be necessary that you be removed from that
process. In each instance of a conflict of interest, you would be
required to abstain from any participation as well as to fully
satisfy the disclosure requirements of Section 3(j) as set forth
above.
In summary, the Ethics Law would restrict the following:
1. The use of authority of office to obtain any business in .
a private capacity;
2. utilization of confidential information gained through
William D.'Ereitweiser
March 29, 1993
Page 5
public position;
3. participating in discussions, reviews, or recommendations
on matters which relate to the business /private employer which `may
come before the governmental body and in such cases pubhitly
announcing the relationship and filing a written memorandum as per
the requirements of Section 3(j) of the Ethics Law.. . =o t,
Opinion 89 -023.
The propriety of the proposed conduct has only been addressed
under the Ethics Law; the applicability of any other statute, cbde,
ordinance, regulation or other code of conduct other than the
Ethics Law has not been considered in that they do not involve an
nterpretation of the Ethics Law. Specifically not addressed
herein is the applicability of the Borough Code.
Conclusion: As a Member and President of a Borough Counci -1, you
are a public official subject to the provisions of the Ethics Lacy.
Section 3(a) of the Ethics Law would not preclude you from outside
employment /business activity with other municipalities subject to
the restrictions and qualifications as noted above. In the evert
that the employer /business has matters pending before yot1r
governmental body, then you could . not participate in that matter
and the disclosure requirements of Section 3(j) of the Ethics Law
as outlined above must be satisfied. Lastly, the propriety of the
proposed conduct hap only been addressed under the Ethics Law.
Pursuant to Section 7(11), this Advice is a complete defense
in any enforcement proceeding initiated by the Commission, and
evidence of good faith conduct in any other civil or criMittal
proceeding, providing the requestor has disclosed truthfully all
the material facts and committed the acts complained of in reliance
on the Advice given.
such.
This letter is a public record and will be made available as
Finally, if you disagree with this Advice or if you have any
peason to challenge same, you may request that the full Commission
review this Advice. A personal appearance before the Commission
will be scheduled and a formal Opinion from the Commission will be
issued. Any such appeal must be in writing and must be received at
the Commission within 15 days of the date of this Advice pursuant
to 51 Pa. Code 52.12.
'ncerely,
.D144
Vincent Dopko:
Chief CounseL
.J.
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