HomeMy WebLinkAbout99-003 ShaulisDear Ms. Shaulis:
1999.
STATE ETHICS COMMISSION
_ 308 FINANCE BUILDING
HARRISBURG, PENNSYLVANIA 17120
OPINION OF THE COMMISSION
Kathleen Krise Shaulis
1633 Walnut Bottom Road
Carlisle, PA 17013
Before: Austin M. Le , Vice Chair
Julius Uehlei
Louis W. Fryman,
John J. Bolger
Frank M. Brown
Susan Mosites Bicket
DATE DECIDED: 3/18/991
DATE MAILED: 3/24/99
99 -003
Re: Former Public Official /Public Employee; Section 1103(g); Senior Assistant
Counsel, Attorney 111; Attorney; Department of Revenue; Legal Representation.
This Opinion is issued in response to yotir letters dated March 1 and March 5,
t. ISSUE,: Whether Section 1103(g) of the Public Official and Employee Ethics
Act ( "Ethics Act "), 65 Pa.C.S. §1103(g) would restrict a former Senior Assistant
Counsel, classified as an Attorney III, following retirement from the Commonwealth
of Pennsylvania, Department of Revenue, part cularly with regard to conduct which
constitutes the practice of law.
II. FACTUAL BASIS FOR DETERMINATION: We shall initially set forth the
procedural history of this matter.
By letter dated January 11, 1999, you initially contacted the State Ethics
Commission for an advisory. In that letter ypu indicated that you were a Senior
Assistant Counsel, Attorney III, with the Of ice of Chief Counsel, Pennsylvania
Department of Revenue ( "Department "). You st ted that you had been with that Office
for over 16 years, but that you would be retiri g as of Friday, January 22, 1999 to
pursue other career opportunities. You noted th t for 10 of the last 12 years, you had
been the Supervisor for the Pennsylvania realty ransfer tax and the public utility realty
tax. You also advised the Department with resp ct to miscellaneous corporate taxes,
including the title insurance company shares tax applicable to domestic companies, the
gross premiums tax applicable to all other ins rance companies, and the retaliatory
charge on insurance companies. You further no d that you had been the legal advisor
to the Department's Voluntary Disclosure Committee. Earlier in your career, you
Shaulis, 99 -003
March 24, 1999
Page 2
received training in sales and use tax, inheritance tax, and all of the motor fuel taxes.
You stated that, because of your diverse background, you had been assigned to
interpret and draft regulations for the implementation of the Commonwealth's first
ever amnesty program. Based upon the above facts, you framed your inquiry as
follows:
This letter is written to request advice from the State
Ethics Commission as to what extent the Ethics Law
imposes restrictions upon an attorney following retirement
from the Pennsylvania Department of Revenue in publishing
articles and /or books on the subject of Pennsylvania states
[sic] taxes. I understand that the Ethics Law may not be
applied :to restrict an attorney's conduct insofar as it
constitutes the practice of law. 1 also am familiar with the
confidentiality provision of the Fiscal Code, 72 P.S. section
731, that restricts disclosure of confidential taxpayer
information.
(Shaulis letter of January 11, 1999).
it is administratively noted that the aforesaid inquiry was submitted to the
Commission approximately two weeks prior to the ruling of the Supreme. Court of
Pennsylvania in P.J.S. v. State Ethics Commission, No. 91 M.D. Appeal Docket 1997
(Pa. January 25, 1999). Your inquiry was initially docketed for the issuance of an
Advice of Counsel. By letter dated January 12, 1999 you were so advised.
Approximately two weeks later, on January 25, 1999, the Supreme Court of
Pennsylvania issued its ruling in P.J.S., supra. By letter dated January 28, 1999 you
were informed that upon further review, it had been determined that an Opinion of the
Commission would be issued to you instead of an Advice of Counsel. The January 28,
1999 letter stated, "This change is due to the potential impact of a ruling issued by
the Supreme Court a few days ago." (Hittie.letter of January 28, 1999).
By letter dated January 30, 1999, you wrote again, noting that following your
initial letter of January 11, 1999, you had in fact retired. You stated that you no
longer have any connection with State government. You further stated that during
your tenure at the Department, you never represented other persons as had been the
case in P.J.S. You stated that you did not believe that the P.J.S. opinion would have
any impact upon your requested ruling. You further stated:
My sole inquiry was directed toward obtaining an
Advice of Counsel opinion similar to No. 97 -599 dated July
24, 1997 issued to former Chief Counsel of the Department
of Revenue Michael J. Semes. I specifically wanted an
opinion from the Commission whether, following my
retirement /departure from the Department, the writing and
publication of articles and /or books on the subject of
Pennsylvania state taxes would come within the preview
[sic] of the practice of law or whether the one year
prohibition found in section 3(g) of the Ethics Law would
prohibit me from such writing... .
(Shaulis letter of January 30, 1999).
By letter dated February 4, 1999, you were informed that your matter had
Shaulis, 99 -003
March 24, 1999
Page 3
been scheduled for consideration by the Comrnission at a public meeting to be held
on Friday, February 26, 1999.
During preparations for the public meeting, it was determined that you had
posed a very narrow inquiry as to the writing and publication of articles and /or books
on the subject of Pennsylvania state taxes, rich inquiry, as you had framed it, did
not afford a proper basis for review of P.J.. and its possible impact upon former
public officials /public employees engaged in the practice of law. Accordingly, on or
about February 17, 1999, your advisory request was re- docketed for the issuance of
an Advice of Counsel. On February 17, 1999, staff contacted you by telephone to
inform you of the change. Two days later, on February 19, 1999, Shaulis, Advice of
Counsel, No. 99 -511 was issued.
The Advice of Counsel addressed your nquiry as follows:
in applying Section 1103() to the narrow question
which you have posed, specifically whether Section
1 103(g) would prohibit you . froM writing and publishing
articles/books on the subject of ennsylvania State taxes,
you are advised that since factu Ily, such activities would
not involve representation before your former governmental
body, the Department of Revenue, they would not be
prohibited by Section 1103(g) of the Ethics Act.
Shaulis, Advice of Counsel, No. 99 -511 at 3.
The Advice further stated:
In tight of your comment egarding the practice of
law, it is noted that the Penns , Ivania Supreme Court's
decision in P. S. v. Sta - Et i •mmi ion, No. 91 M.D.
Appeal Docket 1997 (Pa. Janua 25, 1999) may have a
broadening effect insofar as the application of the Ethics
Act to attorneys is concerned. While not material in this
particular advisory, the P.J.S. decision may be a factor in
considering other activities.
Shaulis, Advice of Counsel, No. 99 -511 at 3.
By letter dated March 1, 1999, you h ve requested clarification of Shaulis,
Advice of Counsel No. 99 -511. The focus of your request for clarification is the extent
to which Section 1103(g) of the Ethics Act imp ses restrictions upon an attorney who
is entering private practice following retirement from the Pennsylvania Department of
Revenue.
You state that based upon a review of the relevant case law and Semes, Advice
of Counsel No. 97 -599, when you first requited an opinion concerning the writing
and publication of articles and books concernin state taxes, you felt secure that there
would be no question that as an attorney, y u could represent a client before the
Department of Revenue within one year of you retirement. However, because of the
above quoted paragraph from Shaulis, Advice o Counsel No. 99 -511 which references
P.J.S, you now seek answers to the following uestions: 1) Whether, as an attorney,
you may represent a client before the Board of Finance and Revenue; 2) Whether, as
an attorney, you may represent a client before t e Board of Appeals of the Department
of Revenue; 3) Whether, as an attorney, you m y participate in negotiations on behalf
Shaulis, 99 -003
March 24, 1999
Page 4
of a client with respect to a case that is docketed at the Commonwealth Court where
the Department of Revenue is represented by the Office of Attorney General; 4)
Whether you may participate in a task force which includes representatives from the
tax bar and others, where the purpose of the . task force is to assist the General
Assembly in drafting proposed tax legislation; and 5) Whether you may ask Chief
Counsel or a representative of the Department of Revenue for the Department's
interpretation of a tax matter, either in your capacity as an attorney representing a
client or as a private citizen on your own behalf.
You acknowledge that the answers to these questions hinge upon the effect, of
P.J.S. upon long - standing precedent. You contend that the rulings in P,J.S., supra;
Maunus v. State Ethics Commission, 518 Pa. 592, 544 A.2d 1324 (1988); Wajert v.
State. Ethics Commission, 491 Pa. 255, 420 A.2d 439 (1980); Pennsylvania Public
Utility Commission Bar Association v. Thornburgh, 434 A.2d 1327 (Pa. Cm.wlth.
1981), aff'd. aer curiam, 498 Pa. 589,. 450 A.2d 613 (1982); Kury v. State Ethics
Commission, 435 A.2d 940 (Pa. Cmwlth. 1981); and Commonwealth v. Stern, 701
A.2d 568 (Pa. 1997) can all be reconciled by reference to the "timing" of the conduct
sought to be regulated. You opine that P.J.S. and Maunus recognize the broad
authority of the Commission over an attorney's conduct .while employed by the
Commonwealth. You acknowledge that even after an attorney would leave
government service, activities in which he engaged during such service could be
investigated by this Commission. However, you contend that an attorney's activities
occurring after such employment has concluded are exclusively within the jurisdiction
of the Supreme Court. You note that Article V, section 10(c) of the Pennsylvania State
Constitution vests exclusive power to govern the conduct of attorneys with the
Supreme Court of Pennsylvania. You conclude your letter by stating, "When the
attorney - client privilege ends, there is no compelling public policy reason that would
justify the Commission's continued jurisdiction over the attorney's post - employment
activities." (Shaulis letter. of. March 1, 1999 at 6.)
You have submitted various attachments to your March 1, 1999 letter, including
a copy of this Commission's agenda for the February 26, 1999 public meeting, as the
agenda appeared on the Commission's website on February 16, 1999; Semes, Advice
of Counsel No. 97 -599; a copy of your resume; and various materials pertaining to
your rating with Martindale - Hubbell.
By letter dated March 2, 1999, you were advised that your letter of March 1,
1999 was docketed for the issuance of an Opinion of the Commission.
By letter dated March 5, 1999, you protest that your request for a clarification
of Shaulis, Advice of Counsel No. 99 -511 has been "converted" to a request for an
Opinion. You contend that there is no basis for the Commission to issue an Opinion.
You cite the Commission's Regulations at 51 Pa. Code § 13.2 as having "very specific
rules for requests for clarifications." (Shaulis letter of March 5, 1999 at 1). You argue
that because the timely filing of a request for clarification toils the applicable period for
appealing an Advice to the Commission, the Commission may not proceed unless you
receive clarification. Id. at 2. Citing information set forth at the Commission's website,
you instruct as to how advices are to be issued in contrast to opinions.
You further argue that Chief Counsel is required to issue an Advice of Counsel
based upon precedent fitting the facts submitted and not, as you contend, a theory
based upon "a favorable court decision that is totally irrelevant to the facts and issues
presented." (Shaulis letter. of March 5, 1999 at 2.) You state that your request is not
a case of first impression; that the questions posed in your March 1, 1999 letter have
been answered repeatedly by Chief Counsel for other attorneys; and that the
Shaulis, 99 -003
March 24, 1999
Page 5
Commission precedent as to the questions p •
We administratively note that when
meeting of February 26, 1999, the issue of th
1103(g) of the Ethics Act was not properly •
presented, another public meeting was sche
could rule upon the matter as expeditiously a
By letter dated March 15, 1999, you
location of the said public meeting at which y•
to be considered.
On March 16, .1999, the Commissi+
confirming your receipt of the notice of the I
that you would not be attending that meeting
to the issuance of an opinion in response
incorporating by reference all of the legal argi
that you had raised in your prior communicati�
III, DISCUSSION: We initially dispose
Commission may not issue an Opinion in respc
Shaulis, Advice of Counsel No. 99 -511. The ai
reasons.
First, as to advices and opinions gen
provide: "The Commission will decide, within
should be issued and will so advise the reques
added)). A requestor does not dictate to the Co
take (See, 51 Pa. Code §13.1(e)).
Furthermore, as to requests for clarificat
require that an advice rather than an opinion b
Finally, given that there are no prior Co
of P.J.S. upon Section 1' 103(g), an Opinion of
response.
We shall now consider the substantive
P.J.S. upon Section 1103(g) insofar as it a
employees who are attorneys engaged in the
In the landmark case of Penns Ivani - P
v. Thornburgh, 434 A.2d 1327 (Pa. Cmwlth. 1
450 A.2d 613 (1982), supra, the Commonwea
of the predecessors to Section 1103(g), former
an impermissible intrusion by the Legislature in
concerned. The Court cited Wajert, supra, as h
the Supreme Court's exclusive power to gove
judges. The Court noted that any activity in
professional services to a client could only be
Penns Ivania Public Utilit Com ission Bar A
1331 -1332 (Note 7). Accordingly, from that
consistently held that the predecessors of Secti
of Act 170 of 1978 and Section 3(g) of Act
restrict a former public official's /public employ
sed is well - settled. Id. at 2 -3.
is Commission held its recent public
possible impact of P.J.S. upon Section
efore us. Once the issue was squarely
uled for March 18, 1999, so that we
possible.
were notified of the date, time, and .
ur request for an advisory Opinion was
n received your faxed transmission
larch 18, 1999 public meeting; noting
reiterating your procedural objections
t o your request for clarification; and
ments concerning the substantive law
ns to the Commission.
of your procedural argument that the
nse to your request for clarification of
gument has no merit for the following
rally, the Commission's Regulations
4 days, whether an opinion or advice
or." (51 Pa. Code §13.1(d) (Emphasis
mission the form that a response shall
on specifically, the Regulations do not
e issued (See, 51 Pa. Code §13.2).
mission precedents as to the impact
the Commission is the only appropriate
issues, beginning with the impact of
plies to former public officials /public
ractice of law..
is U ili Co mission Bar As ociation
981), aff'd. per curiam, 498 Pa. 589,
th Court of Pennsylvania held that one
Section 3(e) of Act 170 of 1978, was
ofar as the conduct of attorneys was
(ding that Section 3(e) infringed upon
n the conduct of attorneys, including
hich the attorney purported to render
egulated by the Supreme Court. See,
soci -tion v. Thorn • ur • h, 434 A.2d at
oint until now, this Commission has
n 1 103(g) — specifically, Section 3(e)
9 of 1989 — could not be applied to
ee's conduct insofar as it constituted
Shaulis, 99 -003
March 24, 1999
Page 6
the practice of law, because the Supreme Court had the exclusive authority to regulate
an attorney's conduct in that regard. The "revolving door" provisions of the various
Ethics Acts were limited insofar as their applicability to attorneys was concerned,
because only non -legal representation before the former governmental body, such as,
for example, lobbying, was restricted. See, e.g., Andrews, Opinion No. 90 -018. The
Semes Advice which you have cited is just one example of the application of the
Pennsylvania Public Utility Commission Bar Association precedent.
The recent decision in P.J.S. v. State Ethics Commission, supra, issued January
25, 1999, is a newer ruling by the Supreme Court of Pennsylvania, and it is one which
we are now bound to follow. This newer ruling causes us to revisit the question of
whether Section 1103(g) of the Ethics Act operates to preclude even legal
representation by a former public official /public employee before his former
governmental body. We recognize that the appellant in P.J.S. was not a "former"
public official /public employee. Nevertheless, the Supreme Court set forth in clear and
certain terms the parameters of permissible regulation of persons who happen to
include attorneys. The following language in the Court's Opinion as to Section 1103(a)
of the Ethics Act appears equally applicable to Section 1103(g):
Contrary to appellant's assertion, the fact that the
conduct proscribed by the conflict of interest provisions of
the Ethics Act is similar to that proscribed by the Rules of
Professional Conduct, does not mean that the Commission's
investigation is barred. Appellant is not exempt from the
jurisdiction of the Commission by virtue of his status as an
attorney. Rather, appellant is subject to the jurisdiction of
this court because of his status as an attorney. The
jurisdiction of this court . is exclusive in the sense that it
applies equally to all members of the Bar of Pennsylvania.
The exclusive jurisdiction of this court is infringed when
another branch of government attempts to regulate the
conduct of attorneys merely because of their status as
attorneys. However, the jurisdiction of this court is not
infringed when a regulation aimed at conduct is applied to
all persons, and some of those persons happen to be
attorneys.
The flaw in appellant's separation of powers
argument is illustrated by this court's recent decision in
Commonwealth v. Stern, 70t A.2d 568 (Pa. 1997). In
Stern, this court struck a penal statute that criminalized the
conduct of attorneys. 18 Pa.C.S. §4117(b)(1). In finding
that the penal statute infringed on this court's exclusive
jurisdiction to regulate the professional and ethical conduct
of attorneys, it was the fact that the statute made the
conduct at issue criminal if performed by an attorney which
was significant. Where a regulation deals with attorneys as
a class then it infringes upon the jurisdiction of this court.
To hold, as appellant suggests, that the mere status
of "attorney" exempts one from meeting the necessary
professional regulations which flow from whatever position
one holds in addition to that of "attorney" is absurd. Clearly
appellant's status as an attorney does not bar the
Commission from investigating allegations that appellant
Shaulis, 99 -003
March 24, 1999
Page 7
engaged in conduct proscribed by the Ethics Act. The
investigation of appellant byte Commission does not
infringe upon this court's excius ve jurisdiction to regulate
the ethical and professional con uct of attorneys admitted
to the practice of law in this Commonwealth.
P.J.S. v. State Ethics Commission, No. 91 .D. Appeal Docket 1997, Slip Op. at
9 -10 (Pa. January 25, 1999) (Emphasis add d).
In light of the above ruling by the Su reme Court, we must now determine
whether Section 1103(g) of the Ethics Act is o be applied to prohibit representation
by a former public official /public employee bef re the former governmental' body, even
if that former public official /public employee h ppens to be an attorney engaged in the
practice of law. It is with the utmost deferenc and respect for the Supreme Court's
exclusive, constitutional authority to regulate he ethical and professional conduct of
attorneys in Pennsylvania that we consider this important issue now before us.
65 Pa.C.S. §1102.
Section 1102. Definitions.
Thus, Section 1103(g) meets the P.J.
attorneys who happen to be within regulated g
The above quoted language from P.J.S. whic
regulation of persons that happen to include, b
and certain and has set a new precedent fo
1103(g) of the Ethics Act fits precisely within
Your argument that regulation is only per
in government service necessarily fails under
"meeting the necessary professional regulatio
P.J.S., supra, Slip Op. at 9 -10. For a// former pu
and non - lawyers alike, the Section 1103(g) res
position previously held.
The Court in P.J.S. drew a very clear, lo ical, and sensible distinction between
the regulation of attorneys specifically, which intrudes upon the Court's jurisdiction,
as opposed to the regulation of groups that ha pen to include attorneys, which does
not intrude upon the Court's jurisdiction.
In considering Section 1103(g) of the Et ics Act, we note that Section 1103(g)
is not targeted at attorneys specifically, nor dos it regulate them exclusively. To the
contrary, Section 1103(g) of the Ethics Act im oses restrictions upon a/l former public
officials /public employees, some of whom are attorneys but many of whom are not.
Moreover, the prohibition against representatio before the former governmental body
during the first year is not targeted exclusively at legal representation. To the contrary,
the key term "represent" is defined to include any form of representation:
"Represent." To act on beh if of any other person in
any activity which includes, b t is not limited to, the
following: personal appearances, egotiations, lobbying and
submitting bid or contract propos Is which are signed by or
contain the name of a former public official or public
employee.
. criteria for permissible regulation of
oups that are not limited to attorneys.
sets the parameters for permissible
t are not limited to, attorneys, is clear
this. Commission to follow. Section
those parameters.
issible while the attorney is employed
the P.J.S. analysis, which speaks to
s which flow" from the position held.
iic officials /public employees, lawyers
rictions "flow" from the governmental
Shaulis, 99 -003
March 24, 1999
Page 8
Therefore, based upon the new precedent set by P.J.S., we hold that during its
one -year period of applicability, Section 1103(g) of the Ethics Act applies to restrict
a former public official /public employee who is an attorney, even as to legal
representation before the former governmental body. Our ruling in this regard shall be
applied prospectively only, that is, from the date of issuance of this Opinion.
Having so held, the restrictions of Section 1103(g) shall be more thoroughly
reviewed, and your specific inquiries shall be addressed.
As a Senior Assistant Counsel, Attorney III for the Office of Chief Counsel in the
Department of Revenue ( "Department "), you would be considered a public
official /public employee subject to the Ethics Act and the Regulations of the State
Ethics Commission. See, 65 Pa.C.S. §1102; 51 Pa. Code §11.1. Consequently, upon
your retirement from the Commonwealth, you became a "former" public official /public
employee subject to Section 1103(g) of the Ethics Act. That Section provides as
follows:
Section 1`103. Restricted activities.
(g) Former official or employee. --No former public_
official or public employee shall represent a person, with
promised or actual . compensation, on any matter before the
governmental body with which he has been associated for
one year after he leaves that body.
6.5 Pa.C.S. §1103(g).
Section 1103(g) restricts the former public official /public employee with regard
to "representing" a "person" before "the governmental body with which he has been
associated." Id. The definition of the term "represent" has been set forth above. The
terms "person" and "governmental body with which a public official or public
employee is or has been associated" are defined in the Ethics Act as follows:
"Person. A business.,, governmental body, individual,
corporation, union, association, firm, partnership,
committee, dub or other organization or group of persons.
"Governmental body with which a public official or
public employee is or has been associated." The
governmental body within State government or a political
subdivision by which the public official or employee is or
has been employed or to which the public official or
employee is or has been appointed or elected and
subdivisions and offices within that governmental body.
65 Pa.C.S. §1102.
The term "Person" is very broadly defined. It includes, inter alia, corporations
and other businesses. It also includes the former public employee himself, Confidential
Opinion 93 -005, as well as a new governmental employer. Ledebur. Opinion 95 -007.
Shaufis, 99 -003
March 24, 1999
Page 9
As noted above, the term "represent" i
on behalf of any person in any. activity. Som
include: (1) personal appearances before the f
attempts to influence; (3) submission of bid or
or contain the name of the former public o
matters before the former governmental body
(5) lobbying. Popovich, Opinion 89 -005.
A former public official /public employe
documents presented to his former gover
official /public employee may not be identified
governmental body. The public official /public
regarding that person's appearance before his f
however, the activity in this respect should not
body: The Ethics Act would not prohibit or
inquiries to the former governmental body to s
Section 1 103(g) only restricts the form
regard to representation before his former g
official/public employee is not restricted as to r
entities. However, the "governmental body with
is or has been associated" is not limited to the
other governmental body where the public offi
but extends to the entire body. See, Le
15 at 290, 291; Sirolli, Opinion No. 90 -006;
The governmental body with which you
from public service is the Department of Rev
limited to the Board of Appeals. Therefore, f
service with the Department of Revenue, Sec
apply and restrict your "representation" of
Revenue, even if such representation would co
Having set forth the restrictions of Sectio
specific inquiries.
Your first specific inquiry is whether, as a
before the Board of Finance and Revenue.
Revenue is within the Treasury Department,
former governmental body), Section 1103(g)
also broadly defined to prohibit acting
examples of prohibited representation
rmer governmental body or bodies; (2)
contract proposals which are signed by
icial /employee; (4) participating in any
s to acting on behalf of a person; and
Listing one's name as the person who will provide technical assistance on a
proposal, document, or bid, if submitted to o reviewed by the former governmental
body, constitutes an attempt to influence t e former governmental body. Section
1103(g) also generally prohibits the incius on of the name of a former public
official /public employee on invoices submitte • by his new employer to the former
governmental body, even though the invoices pertain to 'a contract that existed prior
to termination of public service, Shay, Opinion 1 -012. However, if such a pre - existing
contract does not involve the unit where the former public employee worked, the name
of the former public employee may appear n routine invoices if required by the
regulations of the agency to which the billing is being submitted. Abrams/Webster,
Opinion 95 -011.
may assist in the preparation of any
mental body. However, the public
n documents submitted to the former
mployee may also counsel any person
rmer governmental body. Once again,
e revealed to the former governmental
reclude making general informational
cure information which is available to
the general public, but this must not be done in an effort to indirectly influence the
former governmental body or to otherwis make known to that body the
representation of, or work for the new employ r.
r public official /public employee with
vernmental body. The former public
presentation before other agencies or
which a public official /public employee
articular subdivision of the agency or
ial /employee had influence or control
of Hou 1989 Session, No.
Opinion 90- 009 -R.
ave been associated upon retirement
nue in its entirety, including but not
r the first year after termination of
ion 1 103(g) of the Ethics Act would
persons" before the Department of
stitute the practice of law.
1103(g), we shall now address your
attorney, you may represent a client
iven that the Board of Finance and
of the Department of Revenue (your
would not operate to prohibit such
Shaulis, 99 -003
March 24, 1999
Page 10
representation.
However, with regard to your second specific inquiry, it is clear that the Board
of Appeals is part of the Department of Revenue (See, 61 Pa. Code §7.1).
Accordingly, pursuant to Section 1103(g), . you could not represent a client, even in
your capacity as an attorney, before the Board of Appeals of the Department of
Revenue during the one -year period of applicability of Section 1103(g).
Your third specific inquiry is whether, as an attorney, you may participate in
negotiations on behalf of a client with respect to a case that is docketed at the
Commonwealth Court where the Department of Revenue is represented by the Office
of Attorney General. We hold that you may not participate in such negotiations where
the Department of Revenue would be participating. We are cognizant of the fact that
a goodly portion of tax appeals are settled and that the Department of Revenue, your
former governmental body, has significant input as to whether particular cases shall
be settled or litigated.
In response to your fourth specific inquiry, as to your involvement with a task
force that would assist the General Assembly in drafting proposed tax legislation, you
are advised that since factually, such would not constitute representation before your
former governmental body, the Department of Revenue, Section 1103(g) would not
be implicated, and that particular proposed conduct would not be prohibited.
Finally, in response to your fifth specific inquiry, you are advised as follows.
In your capacity as a tax attorney representing a client, you would be prohibited by
Section 1103(g) from requesting an interpretation of a tax matter from a
representative or the Chief Counsel of the Department of Revenue. In light of P.J.S.,
such would clearly constitute prohibited representation before your former
govemmental body. However, in your capacity as a private citizen, you could request
interpretations of tax matters on your own behalf since you would not be engaging in
representation for compensation. Accordingly, Section 1103(g) would not apply to
restrict you from seeking tax interpretations for yourself as a private citizen.
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 Rules of Professional Conduct.
IV. CONCLUSION: A former Senior Assistant Counsel, Attorney III, for the
Commonwealth of Pennsylvania, Department of Revenue is a former public
official /public employee subject to the restrictions of Section 1103(g) of the Public
Official and Employee Ethics Act ("Ethics Act "). The former governmental body is the
Department of Revenue in its entirety, including but not limited to the Board of
Appeals. Section 1 103(g) of the Ethics Act prohibits the former public official /public
employee from representing a person, with promised or actual compensation, on any
matter before the former governmental body for one year after leaving the public
position. The restrictions of Section 1103(g) as outlined above must be observed.
Based upon this Commission's review of P.J.S. v. State Ethics Commission, No.
91 M.D. Appeal Docket 1997 (Pa. January 25, 1999), the restrictions of Section
1103(g) apply to restrict the former public official /public employee even as to the
practice of law before the former governmental body. Our ruling in this regard is to
be applied prospectively only, from the date of issuance of this Opinion.
Shaulis, 99 -003
March 24, 1999
Page 11
1
Pursuant to Section 1107(10), the pers n who acts in good faith on an opinion
issued to him shall not be subject to criminal f or civil penalties for so acting provided
the material facts are as stated in the reques
This letter is a public record and will b
Finally, a party may request the Com
reconsideration request must be received at th
mailing date of this Opinion. The party regt
detailed explanation of the reasons as to wh
conformity with 51 Pa. Code §21.29(b).
By the Co
Austi9"i'M. Le
Vice Chair
made available as such.
ission to reconsider its Opinion. The
s Commission within thirty days of the
esting reconsideration must include a
reconsideration should be granted in
ission,