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HomeMy WebLinkAbout966 ReillyIn Re: Joseph Reilly STATE ETHICS COMMISSION 308 FINANCE BUILDING HARRISBURG, PENNSYLVANIA 17120 File Docket: 94- 021 -C2 Date Decided: 05/04/95 Date Mailed: 05 /16/95 Before: Daneen E. Reese, Chair Austin M. Lee, Vice Chair Roy W. Wilt Boyd E. Wolff The Investigative Division of the State Ethics Commission conducted an investigation regarding a possible violation of the State Ethics Law, Act 9 of 1989, P.L. 26, 65 P.S. 9401 et seq. Written notice of the specific allegation(s) was served at the commencement of the investigation. A Findings Report was issued and served upon completion of the investigation which constituted the Complaint by the Investigation Division. An Answer was filed and a hearing was waived. A consent agreement was submitted by the parties to the Commission for consideration which was subsequently approved. This adjudication of the Commission is hereby issued which sets forth the individual Allegations, Findings of Fact, Discussion, Conclusions of Law and Order. This adjudication is final and will be made available as a public document fifteen days after issuance. However, reconsideration may be requested which will defer public release of this adjudication pending action on the request by the Commission. A request for reconsideration does not affect the finality of this adjudication. A reconsideration request must be received at this Commission within fifteen days of issuance and must include a detailed explanation of the reasons as to why reconsideration should be granted in Conformity with 51 Pa. Code 921.29(b). The files in this case will remain confidential in accordance with Act 9 of 1989, 65 P.S. 5408(h). Any person who violates confidentiality of the Ethics Law is guilty of a misdemeanor subject to a fine of not more than $1,000 or imprisonment for not more than one year, 65 P.S. 5409(e). Confidentiality does not preclude discussing this case with an attorney at law. Reilly, 94- 021 -C2 Page 2 I. ALLEGATION: That Joseph M. Reilly, in his capacity as a public official /public employee, a former member of the Altoona City Authority, Blair County, violated provisions of the State Ethics Act (Act 9 of 1989) when he collected meeting pay as an authority member without the approval of the appointing authority. XI. PINLINGS : Section 3. Restricted Activities (a) No public official or public employee shall engage in conduct that constitutes a conflict of interest. 65 P.S. 8403(a). Section 2. 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. "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 mediate family is associated. 65 P.S. §402. 1. Joseph Reilly served as an appointed member of the Altoona City Authority from approximately 1970 through December, 1990. 2. The Altoona City Authority provides sewer and /or water service for the City of Altoona and neighboring municipalities. a. Tinder the City Authority umbrella are separate sewer and water divisions. 3. The Altoona City Authority is operated by a five member board appointed by City Council. Rei.hlv:, 94- 021 -C2' Page 3 4,. a. Members Are appointed to five year terms with one term expiring annually. b. Altoona City Authority became an operating Authority effact$,ve. February 1, 1981. During the early 1980's, the City Authority undertook several capital ventures which put extra time demands. on Authority members. Most notably was the acquisition of the Blair Gap Water System., 5.. In 1986, the City of Altoona transferred operational co, trgl of its sewer system to the City Authority. a. Since 1986, the City Authority has handled sewer and water service exclusively. 6. The Altoona City Authority employs approximately. 116 eople. administrative perform both administrative and operational functions. 7. Between 1989 and 1993, William Gochran served as Exec}!p.ive Director; Ronald Shimmel as Controller; and Karen Jerson as Executive Secretary. a. Cochran was responsible for overseeing tie d.ar, tQ day operation of the Authority. ' b. Shimmel was responsible for handling t fin racial aspects of Authority operation. c. Anderson recorded and prepared board meeting minutes and other designated administrative duties. 8. The Altoona City Authority holds one regularly sclileduled monthly meeting to conduct Authority business. a. Special meetings and work sessions are held on an as needed basis. 9. By -laws of the Altoona City Authority, in part, define officers of the Authority as Chairman, Vice .Chairman, Secretary/Treasurer, and officers that may from time to time be selected by the Board. 10.. By -laww ;o.f ,the Altoona City Authority provide the following defi.ni of duties of officer s,. Chairman: The Chairman shall conduct all meetings . of the board, shall jointly with the secretary execute all contracts and shall jointly, with the treasurer, ,aign al.. teilly, (94- 021 -C2 Page 4 b. Vice Chairman: The Nice Chairs .shall have ea1 the powers of' a chairman in , his absence. c. Secretary: The secretary shall .act as oler of all meetings of the .board; shall record all the proceedings of such meetings in a book kept for that purpose-) shall give proper notice of all meetings; shall record all votes, and shall have custody of all the books and records of the authority, except those kept by the treasurer and shall jointly, with the cha.rxaa., execute all contracts and perform all other duties as may from time to time be assigned to him. d. Trgasurer: The treasurer shall jgj.ntly with the chairman St4f all °checks and keep the financial records of the authority, provide for the custody of the funds and other property of the authority, and perform alb, other duties in4dent to his office. e. O her Such other of as may from time to time selected by the board to perform such duties as may be specifically assigned tg them by the board. 1.. Members 9f the City Authority Hoard have annually been appoi to officer positions since at least i981. 12. During 14.s tenure on the City Authority lgoard, Reilly held officer. &4 aitions including Assistant Treasurer and Vice - Cba }clan Rei}lly, na the Vice.:ChAirAap, duping calendar years 2982 b. Reilly was the Assistant Treasurer during the calendar years ' 1 %8 4 through i 9 9 ©, . Meeting minute$ of thA Altopj a City Authority Annual, R ;pzganizational Meetings include action appointing all board x'e iers to o,£Aic =.R.ositiqug- a . Reorgani . - tiozaal meeting miz uttes reflect board members were appo4.x ed to then ogfi.ok gos txona for a term of one year Meeting Date Officer y Position Mme 12/28/81 Ciiairnar Frees a,pth \ i c.e, C a ix:man Joseph Keki l ly checks, end shall have general and active management of the affairs of the corporation. Reilly, 94 021 -C2 Page 5 01/28/83 01/27/84 01/25/85 01/31/86 01/29/ 01/28/88 01/ 01/31/90 Secretary /Treasurer Assistant Treasurer Assistant Secretary Chairman Vice Chairman Secretary /Treasurer Assistant Secretary Assistant Treasurer Chairman Vice Chairman Secretary /Treasurer Assistant Secretary Assistant Treasurer Chairman Vice Chairman Secretary /Treasurer Assistant Secretary Assistant Treasurer Chairman Vice Chairman Secretary/Treasurer Assistant Secretary Assistant Treasurer Chairman Vice Chairman Secretary /Treasurer Assistant Treasurer Assistant .Secretary Chairman Vice Chairman Secretary/Treasurer Assistant Treasurer Assistant Secretary Chairman Vice Chairman Secretary /Treasurer Assistant Treasurer Assistant Secretary Chair V.ae Chairman Secretary /Treasurer Assistant. Treasurer Assistant. Secretary Ardie J. Dillen Robert Sheetz Rob ert F;e burn Frank Smith Joseph °Reilly Ardis' 1�ilten Robert Freeiurn Robert Spait Frank Smith Robert . - SM t $,obet Freeburn Rhc`onic 4,appas Jose:'= Reilly Robert Smi Aridi dni o ` Pappas kobeit ` 'reebUrn Richard Fornwalt Joseph Re4.11y Robert Smith Ardronic Pappas Robert Freehurn Richard' F6 nwai t Joseph' .Reij:J:i Andronic Pappas Robert Smith Richard Fornwalt Joseph Reii.1y Maurice Lawrnk Andronic Pappas Maurice Lawtuk Richard ' Fornwalt Joseph Reilly William Geis Andronic Pappas Maurice Lawtuk Richard Fornwalt Joseph Reilly William Geis Andronic Pappas Maurice Lawrnk Richard Fornwalt Joseph Reilly William Geis Reilly, 94- 021 -C2 Page 6 01/30/91 01/29/92 01/22/93 Chairman Vice Chairman Secretary /{Traasurear Assistant Treasurer Assistant Secretary Cha Vice Chairman Secretary /Treasurer Assistant Treasurer Assistant Secretary Chairman V.cO ,Chairman Secretary /Treasurer Assistant Treasurer Assistant Secrettary Androntc 'Pappas Maurice Lark := Rtchazd. 14Thhwalt Aa t-r i ck lkikate William `Mate ^Androni.t Pappas 'Maurice ,La ik Ri'char. PtrerrOalt Patrick lie William 43bla Andronit °aippas Maurice lalVetak Richard F raWe t Patrick ?Core William 4ftis 14. By -laws of the Altoona City Authority p. ovide that city X fll Baia set a salary for board members attendance at meetings and that the board can set compensation for members who serve as officers. 15. By -laws of the Altoona City Authority include• the fallowing spedific guidelines for members . receipt of compensation: "Members of the Board shall receive suoh a, salary as May be deter tined by the' Council�of the City of Altoona but no salary of - axiy member *shall be increased or diminished by the Said council during the term for which tbie meters rece i iris tY e same shall " "have been appointed. All officers and agents of this authority shall receiv,e such compensation as shall be determine and fixed- by the members of the Board. -" 16. Byway, of Resolution 4t7445, adopted Octoke - 10, 195b`,. Altoo7r�a City "Council set compensation for City kuthority' members at $20;. 0 0.' per meeting. a. A meeting pay, fee of $20.00 per event- was. the on'l :' compensation approved by Altoona City - Council" for members" of. the Authority." 17. T e Altoona City Authority., heldi special Executive Sessibr ohl March 17, - 1981. A recommendation, was made that membfe - s . be' comperis&f ed; as „ 'fc .l1ows $100.00 per atee ing, at tended: by *ity ($30.00: r... fto Se gfelt EPA Grant. 'Fu a 5 $70. frpaa Water; Diiri.sion Opteratiia a funds)‘ $2QQ.00. per month _. for .authority secretaryy ($$a0000 Gr..xi " and .$100 from : Waster ; . -D visionnftanddk fi:ct tEPA` Reilly, 94- 021 -C2 Page 7 $50.00 per committee meeting attended any duly called Water Division meeting." Present: Smith, Reilly, Dillen, Freeburn. 18'. At- the-City Authority's March 27, 1981, Regular meeting, the recommendations approved at the March 17, 1981, Special Wgtk Session were approved as follows: cs, a. Compensation for Authority members for regular meetnu s attended $100 ($30 from EPA grant funds $70 from Watr Division) $50 per committee meeting attended (from water Division) v. ` z b. 20. Members of the for attending sessions based 21. d. Compensation for Authority Secretary $200 per month ($1QQ from EPA grant fund, $100 from Water Diva.si,on) Present: Smith Reilly, Dillen, Freeburn, Sheetz. 19. No salaries were set by the Authority for the ogficer positions of Chairman, Vice Chairman, Treasurer, AsitsCaxft Secretary and Assistant Treasurer. Altoona City Authority board were compensated regular meetings, special meetings and work on the resolution passed March 17, 1981. Meeting compensation is paid to the Altoona City Authority Board Members on a quarterly basis. a. Payments are made from both the sewer and water divisions operating accounts. b. The Board Secretary /Treasurer provides Controller Ronald Shimmel with a list of meetings attended by board members during each _. g quarter. c. Board members are compensated for attending meetings based on these quarterly reports. Checks were signed by Executive Director .William Cochran. Executive Dir Cochran was by the ks City Authority to issue chec a.n - its^ .less than $500.00. .... a, ►. f. Board ac was not required for the issuance of eeting pay. , m ,22. Since March 27, 19.81, Authority Board members received $100.00 per regular meeting attended .and $50.00 for each special Reilly, 94- 021 -C2 Page 8 meeting or work session attended. During 19,92 and 119,93, -some special meetings were paid at a :rata� $10,0.0.0 ,per, meeting. q. a. Members received $8,.00 in ..excess pay for each ..regular meat ig ,.attended. b. Member received $80 in excess pay Ai-or ;special meetings held during 1992 and 1993 paid at .a rate of .$1D0.00 per meeting. c. Members received $30.00 in excess pay for eeo$ - special Resting or work session attended paid at a rate of $50..11 per meeting. 23. 1099 Miscellaneous Income Statents on file with the Cites Aut reflect the following aggregate disbursements to Reilly for hi attendance at meetings during the specified calendar year ; ` Year Amount 1989 $1,150.00 1990 $1,500.00 24. Around October, 1993, the compensation for City Authority Haar, members Was questioned by Altoona City Council. 25. By way og correspondence dated November 4, 1993, William Cochran, - Executive Director of Altoona City Authority ac1vised J. .pbn Ca . sanave, Altoona Ci ty Solicitor Cochran that 4 Itoona CLty Authority Board members. are paid $100.00 for 7',..4" , ;.. . regula board meet�.ngs' and $513.00 f or work sessions. Each ixidiv.duel board member must be in attendance to receive the abo 'mexntigned di.ector' s fees." 26. By wax of memorandum dated December 8, 1993, Robert F. ' ; ' q¢mn I.I1. , City Manager requested a written opinion of Jahn eanave, City Solicifior, regarding. "'the legalities, iiavolved li t i the current fee structure utilized by appointed board 44aers of the; - City. Authority for a board meetings." 2Z. City_ S li .itor. N. John Casanav pram4ded City Cou Lc&$ with an ¢pinion ` dated December. 21, 1993,` og the compensation issue "After, researching the Municipabl .uthorittea- Act and reviewing tCh e,' minute . of the Authotilty, meetAngs ad the resolutions of the City. of Al.toona, I here: concluded as fol1ow It is, my judgement and opinion; that the Authp.riatyeBoerd . had, no to un.ilater4Lly rase: t3.,ei:,r•; fees for Reilly, 94- 021 -C2' Page 9 attendance at meetings because only the City Council of the City of Altoona has the authority to increase those fees, Reference to the following section of the Municipal Authorities Act governs this issue in it's entirety: "Members of an Authority shall hold office until' tJAeAr. successors have been appointed, and may elareekeA themselves and shall receive such salaries as,, may ba,p determined by the governing body of the municipality,: lint none of such salaries shall be increased or. r minr by such governing body during the term for whAsh the member receiving same shall be appointed.' With regard to the instant matter, the only governmental action taken by the City of Altoona was a resolution dated October 10, 1950, a copy of which is attached to this opinion, wherein the compensation of the members of the Altoona City Authority was determined and fizid at TWENTY DOLLARS ($20.00), per member per meeting. Thus, it appears that the only valid consideration for the current members of the Altoona City Authority would be TWENTY DOLLARS ($20.00) per meeting as heretofore established by the governing body of the City se far ee the official records of the City are concerned. 28. With respect to Authority Board members compensation, correspondence was submitted to Altoona City Council by former city officials on December 7 and 8, 1993. a. The former officials, including the Mayor and four former council members, believed authority members should receive an increase in meeting compensation. b. They requested council to consider granting a retroactive increase. 29. Altoona City Council took no action on the request from the former administration requesting a retroactive approval of City Authority Board member meeting compensation. 30. At the Altoona City Authority's February 18, 1994, meeting, discussion and action took place regarding restructuring the meeting pay received by City Authority Board members. a. Mr. Lawruk motioned to formalize the job descriptions as distributed by the Chairman in accordance with the By- Laws of the Altoona City Authority providing a legal basis for the fees established in 1981 when the Authority Reilly, 94- ( 021 -C2 Page' 10 became a fully operating Authority. Motion was seconded by Mr Geis and carried 4 -1, with .Mr W J.]d.n ;opposing. -31. Attached to the Authority's February 18 199 4, meeting minutes, is the following "Clarification of Board meeting minutes February 18, 1994. In order to clarify the R,e adopted by theaRoalrA during its February 1$, 199 meeting concerning the }payment of officers compensation, the following shall be incorporated into the Minutes dated February 18, 1994. 1.) The following compensation stall be received: A. Members of the Board shall receive Twenty Dollars ($20.00) per Month for their services AS ' Board Members as approved by City Council. B. The Officers of the Authority shall receive Eighty Dollars ($80.00) per month for the services which they render as an Officer. 2). Recognizing that the Board Members may from time to time be required to attend Special meetings concerning Authority business, the fee of Fifty Dollars ($50.00) per meeting shall be paid to those Board Members required to attend such meetings. 5). Any out -of- pocket costs that are incurred by any Board Member, shall be documented and presented to the Authority. Once determined by Altoona City Authority Staff to be incurred for the benefit of the Altoona City Auhority, costs shall be promptly reimbursed. 4). Any Board Member may at their discretion waive the payment of any or all of the compensation listed above." 32. City Authority Solicitor David Halpern provided the following opinion to City Solicitor N. Jahn Casanave, dated July 1, 1994, on City Authority Board meatier compensation: "In response to your inquiry of June 16, 1994, be advised that when I was presented with the issue concerning the compensation of the members of the Altoona City Authority I did conclude, after research, that the manner in which the compensation was increased from $20.00, to $100.00 per month in 1981 was technically incorrect. I utilized the term "technically" assuming that, it was tIle intention of all concerned, including City Council, to increase the compensation of Authority Board Members to take into account the additional duties Rei-3: v;- 94.021 -C2 Pagee`" 1f and rpbnsib'ilities that would be naturally incidt to their obligations as members: of the Board an ope authbr lht witl ' the expanded system as opposed to. that taquired of: madbera- of a funding authority. I have made no irfdependent investigation: relative- to this ade4 compensation, but have been presented with statements which would indicate that it may-have been- the intwi off• City Councia” at. the time to increase the compensation of the Board members and the error lay in the mann ,T- in which the increase was accomplished. Either City gpuncii should have increased the Board Membe 4 %, .ipend tQ $100.00 per meeting or the Resolution paseed . n 198] by the Authority Board should have rtfleoted that ttit additional Compensation was for dutiea se officers of the. Authority as opposed to compensaticark for attendance at meetings. Not being involved, ; do not krnoy whic4 method, it any, the parties intended tea utilize addatiplieh the increase. When the issue was presented to 1944 day tae Authority's Chairman in December of ,993, aftei vese ., I came to the conclusion that the oniy manneF izi which this matter could be properly assessed and resolved would be to submit the same to the State Ethics Commission for a determination. However, prior to obtaining the Board's approval to request that opinion, I learned that, in fact, the 'Commission had initiated an investigation of this matter which, to the best of my knowledge, is ongoing as of the date of this letter. It was nay opinion at the time, and is still my opinion, that there is only two ways in which this matter can be reasonably and properly resolved. First, await the results of the Commission's investigation or, in the alternative, for City Council to determine, based upon the evidence before it or that which it may wish to elicit, that the 1981 increase was intended . end •to 'confirm that action in a proper manner, retroaopively. I am not, however, opining that the latter E cours.e would be proper. If that was Council's - desire, „ I am.quze, you would advise them accordingly. - As to the question related to the actions taken by the Authority in 19'94, I :did advise :the Board that-it had the power to set the duties an ,compansat on.- of:its officers under the •provisions ; of the -Municipal Authorities Act of 1945 so long as,-in-my opinion, the duties for which that compensation was-rendered was not for duties generally'contemplated as within the scope of their duties as Board Members. It was evident to me that the officers of the Authority are recd - red to expend Reilly, 94- 02 -C2 Page 12 considerable time on Authority business et*een 13Oard meetings to maintairi and accompl'ish the ' `husihess of 'the Authority. Hopefully, the above addresses tatty questidirh 'i Council may have concerning the opiu ons which I have rendered to the Authority on this 'isle." 33. At the October 24, 1994, Authority "meeti:.rig bakeries hr officers was set as follows: Chairman: Vice Chairman: Secretary: Treasurer: Assistant Secretary/ Treasurer Present: Fiore, TOTAL $225 /month, $125 /month, $175 /month, $100 /month, $ 75 /month, Geis, Lawruk, - Covino, Wild in $20.'00_ peg' meeting $20.00 per m2'eti'ig $20.00 per Meeting $20.00 per Meeting $20.00 pet sleeting • Vote: 4 to 1. Lawruk votes no stating he aioii' t accept compensation. 34. Job descriptions for the Board of Directors wer "e adbtited by the Authority on October 24, 1994, ter the positions of Chairman,, Vice- Chairman, Secretary, T'r and Assistant Secrettary. 35-. From, July. 1,, 19.-89,, until his term of serviee on the Autho .ti'ty em liag on December 31, 19:90, Rei,l�,' y was compentieted as f 1?<ows s 17 regulaa meetings ®' $100.00 per me nd 0 special meetings t $0.00 per mee ing: 16 special meetings /work; sessions € $50.0-0. Per• meeting $1,700.00 $ 0.00 $- 800.00 36 . The compensation received. by irr the fort of meet:1/4g ¢may was $1, 840.00 in excess than what was authorized b" Altodi a' City Council. a, Reilly was authorize tY trc receive- $20:00 per meeting` for" 33 , meetings for: ao. tataI o£: $660:00 37. Reilly wag, a,; me - of-.' th Authority on: - March 17, 19 8 1 vitlien the comperkeatj.pn. was;: iflcrea.se& to. $1.0 ,0.00 per mtet'i a.. Reil.sy bel that Authority_ atembere3wet et:titlec ' to such coMRe Atio . Reilly, 94- 021 -C2 Page 13 b. Reilly was not advised that increases in compensation required City Council Approval. c. Reilly relied on the advice of the authority solicitor when receiving compensation. III. DISCUSSIQN: As a member of the Altoona City Authority, Blair County, Joseph Reilly, hereinafter Reilly, was a public official as that term is defined under Act 9 of 1989. 65 P.S. §402. As such, his conduct is subject to the provisions of the Ethics Law and the restrictions therein are applicable to him. Initially, it is noted that Section 9 of Act 9 of Julie 26, 1989 provides, in part, as follows: This amendatory act shall not apply to violations committed prior to the effective date of this act, and causes of action initiated for such violations shall be governed by the prior" law, which is continued in effect for that purpose as if this act were not in force. F'or the purposes of this section, a violation was committed prior to the effective date of this act if any elements of the violation occurred prior thereto. Since . the occurrences in this case transpired after the effective date of Act 9 (June 26, 1989), we must apply the provisions of Act 9 to determine whether the Ethics Act was violated. Under Section 3 (a) of Act 9 of 1989 quoted hill e, a pAii4ic official /employee shall not engage in conduct that c9astitutimr a. conflict of interest. The term "conflict of-interest" is` defined under:Act 9 of 1989 in the allegations. The issue in this case is whether Reilly' violated Section 3°(a), of Act 9 of 1989 regarding the allegation that he ictepted compensation for attending meetings without the apprrival' of the appointing authority. Factually, Reilly served as a member of the Altoona' City Authority (ACA) from approximately 1970 through December, 1990. The ACA is made-up. of a five member board appointed by 'the Altoona City Council (Council) to provide sewer and water services for the City of Altoona and neighboring municipalities. The by -laws of the ACA .'.provide 'for the officer positions of Chairman, Vice - Chairman, Reillli, 94- 021 -C2 Page 1:4 Secretary,' Treasurer and officers who may be selected by the ACA board. During his tenure on the ACA, Reilly held officer positions i.ncludin Assistant Treasurer and Vice Chairman. • As to the receipt of compensation by of the ACA, the by -laws provide that members shall receive a salary determined byCc:ratail which salary may nbt be increased or diminished duriig the term for which the members are appointed. By Resolution No 7443 adopted on October 10, 1950, Council set compensation for the ACA board members at $20.00 a meeting which was the only comperiSation ever approved. In a Special executive session of the ACA on March 17, 1981, a recommendation was made to have the members compensated at a $1Q0.00 per meeting with the Authority Secretary compensated at $200.00 per month and attendance at committee meetings compensated at $50.00 per meeting. The foregoing schedule of compensation was approved at a regular meeting of the ACA on March 27, .1981. At that time no salaries were set by the Authority for the officer osi tions of Chairman, tl'ice- Chairman, 'reasrtirer, Assistant Secretary and Assistant Treasurer. The board members. of the ACA rare compensated based upon the salary schedule approved on March 17, 1581: In particular., ACA *embers received $10.0.04 for regular nti"ee tiitgs, $50.00 for special meetings or work sessions" and in the year 1 and 1993, $100 for some special meetings. In October; x.993, the amount of Compensation received by ACA board meters Vial questioned by Council. After the ACA Executive Director advised the Council Solicitor that ACA $oard members were paid $100.00 for - a regular board meet rx and $50-.00 for work sessions, the City Manager - requested a written 'opinion from the Solicitor as to the legality of the receipt `itif such compensation by the ACA board members. In written c`3pini:aa dated December 1, 1993•, the Solicitor advised that the ACA `hard did not have the power to raise their salaries for attending ' ateet'itigs because only Council had the authority to take such action. The Solicitor concluded that the only valid Compensation :ear - the ACA board members was $-20.00 per meeting as established by the Council as the governing body,. Former Council members and the Maayar 'wrote the Council seeking 'an increase for the ACA board members to be applied retroactiVe.y. - However, Council took no such actili n. At an ACA meeting on February 18, 1994, t tion was .taken .to restructure the meeting pay for the •?A A members. =a Ta "Clarification" which was atta o the :mee.ting minutes, compensation was provided for the AGA 45oard :-Tme eers ..tb receive "'20. a month as board menders -and 480.b•0 a ZoffiCars f or .ervi.cces rendered. In addition, - spec -ial ;meetings of =tine ACA would ''be tbmperisated at $50.00 per i eeting together Vwit any out rat .p7ocket e enses. Thereafter, ` °the ACA• Solicitor 3analys.is and opi iian to the Council ' oIiciter-dated 'July =1, 1994, con -•then ijlect o f L tt e'ACA board aie*bers cortipe isa-ti-on. 1i 7' e .XCA . end Reilly, 94- 021 -CZ= Page 16 a it so advised the ACA board that it had the. Rcwow to set the cohlaensation for• officers under the Mundici;paTitri Augettomiti.es Act as icing as the duties for which the compensation wow readexg4 were as Officers and not as board members. At the Ocit i .er7 2 1994 ACA meeting, salaries were set for officers in amounts • as detimeated in ?dot Finding 33. As to Reilly, he was a member of the ACA at the time that the c "ompensation was increased to $100.00. However,, such aetiq od'ckYrred on March 17, 1981 which predated Act 9 of 1989, Reilly be•lieved that he was entitled to the compensation and that increases in compensation did not require Council eppzoval, . Lastly, Reilly relied upon the advice of the ACA Solicitor w400$ receiving such compensation. In applying the provision of Section 3 (a) of Act 9 of 119 to the instant matter, we find no violation as to the receipt by Reilly of the compensation for attending the ACA meetings ZD order t� establish a violation of Section 3(a) of Act 9 of 1949, wft 'must'show as to a public official that there was a use of authogity 'Of office which resulted in a private pecuniary benefit to h3„m a ,4, :Latch, Order 823. In this case, we note that the action taken by the ACA board members to increase their compensation to $100.00 IftS taken at a time when Reilly was on the board. However, such action predated Act 9 of 1989 and as such cannot legally form the baa.n for a violation under Act 9 in that it would constitute an wig pcet facto application. For this reason, we find that no violatJ,Q4 at - Section 3(a) of the Ethics Law. CONCLUSIONS OF W: Joseph Reilly as a member of the Altoona City Authority was a public official subject to the provisions of Act 9 of 1989. 2 . Reilly did not violate Section 3 (a) of Act 9 of 1989 regarg the reeeipt of compensation for attending meetings without the approval of the governing body in that such approval action. in 1981 predated Act 9 of 1989. 1. In Re: Joseph Reilly File Dockeat.: :94. -021 -2 Date Decided: IDS/D4'!:95 Date Mailed: 65/1.615 ORDER NO '9 6 1. Joseph Reilly as a member of the 'Altoona City Authotltty, did not violate Section 3(a) of Act 9 of 198 regarding the receipt of compensation for attending meetings withoUt the ,approval of the governing body in that such approval action in 1981 predated Act 9 o.f 1989. BY THE COMMISSION, DANEEN E. REEEE, diAIR