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HomeMy WebLinkAbout23-531 Freedman PHONE: 717-783-1610 STATE ETHICS COMMISSION FACSIMILE: 717-787-0806 TOLL FREE: 1-800-932-0936 FINANCE BUILDING WEBSITE: www.ethics.pa.gov 613 NORTH STREET, ROOM 309 HARRISBURG, PA 17120-0400 ADVICE OF COUNSEL May 24, 2023 To the Requester: Cheryl Lee S. Freedman 23-531 Dear Ms. Freedman: This responds to your email received May 18, 2023, by which you requested an advisory from the Pennsylvania State Ethics Commission (“Commission”), seeking guidance as to the issues presented below: Issues: (1) Whether an individual serving as a borough council member would have a conflict of interest pursuant to Section 1103(a) of the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1103(a), with regard to participating in actions of the borough council pertaining to the appointment of a borough tax collector if the individual’s husband would be a candidate for such position. Brief Answer: YES. Because the individual’s husband is a member of her “immediate family” as that term is defined in the Ethics Act, the individual would have a conflict of interest under Section 1103(a) of the Ethics Act with regard to participating in actions of the borough council pertaining to the appointment of a borough tax collector where her husband would be a candidate for such position. (2) Whether the Ethics Act would impose prohibitions or restrictions upon the individual with regard to participating in her husband’s election campaign if he would seek election as the borough tax collector. Brief Answer: The Ethics Act would not prohibit the individual, in her private capacity, from participating in her husband’s campaign for election as the borough tax collector. However, Section 1103(a) of the Ethics Act would prohibit the individual from using the authority of her public position as a borough council member or confidential information Freedman, 23-531 May 24, 2023 Page 2 accessed or received as a result of being in her public position in furtherance of her husband’s election as the borough tax collector. Facts: Yourequest an advisory from the Commission based upon the following submitted facts. You are a Member of Council for the Borough of Pleasant Hills (“Borough”). On May 15, 2023, the Tax Collector for the Borough and West Jefferson Hills School District formally announced her retirement effective mid-June 2023. As a result of the current Tax Collector’s impending retirement, Borough Council needs to appoint a new Tax Collector for the Borough. Your husband, who is a retired accountant withexperience as a comptroller and chief financial officer, would like to seek appointment as the Borough Tax Collector. You state that if your husband would be a candidate for the position of Borough Tax Collector, you would not be involved in interviews, discussions, or votes regarding the position as it would concern your husband. Based upon the above submitted facts, the following questions are presented by your advisory request: (1) If your husband would be a candidate for the position of Borough Tax Collector, whether you would have a conflict of interest with regard to participating in interviews of, or discussions about, candidates other than your husband; (2) Whether you would be permitted to participate in your husband’s election campaign if he would seek election as the Borough Tax Collector; and (3) Whether it would be permissible for the Borough Tax Collector’s office to be located in the Borough municipal building. Discussion: Pursuant to Sections 1107(10) and 1107(11) of the Ethics Act, 65 Pa.C.S. §§ 1107(10), (11), advisories are issued to the requester based upon the facts that the requester has submitted. In issuing the advisory based upon the facts that the requester has submitted, the Commission does not engage in an independent investigation of the facts, nor does it speculate as to facts that have not been submitted. It is the burden of the requester to truthfully disclose all material facts relevant to the inquiry. 65 Pa.C.S. §§ 1107(10), (11). An advisory only affords a defense to the extent the requester has truthfully disclosed all material facts. Sections 1103(a) and 1103(j) of the Ethics Act provide: § 1103. Restricted activities Freedman, 23-531 May 24, 2023 Page 3 (a) Conflict of interest. -- No public official or public employee shall engage in conduct that constitutes a conflict of interest. (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 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(a), 1103(j). The following terms related to Section 1103(a) are defined in the Ethics Act as follows: § 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. Freedman, 23-531 May 24, 2023 Page 4 “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. Subject to the statutory exclusions to the Ethics Act’s definition of the term “conflict” or “conflict of interest,” 65 Pa.C.S. § 1102, a public official/public employeeis prohibited from using the authority of public office or confidential information received by holding such a public position for the private pecuniary (financial) 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. The use of authority of office is not limited merely to voting but extends to any use of authority of office including, but not limited to, discussing, conferring with others, and lobbying for a particular result. Juliante, Order 809. In each instance of a conflict of interest, a public official/public employee would be required to abstain from participation, which would include voting unless one of the statutory exceptions of Section 1103(j) of the Ethics Act would be applicable. Additionally, the disclosure requirements of Section 1103(j) of the Ethics Act would have to be satisfied in the event of a voting conflict. Conclusion: In applying the above provisions of the Ethics Act to the instant matter, you are advised as follows. As a Member of Borough Council, you are a public official subject to the provisions of the Ethics Act. Your husband is a member of your “immediate family” as that term is defined in the Ethics Act. As a Member of Borough Council, you generally would have a conflict of interest under Section 1103(a) of the Ethics Act in matters that would financially impact you or your husband. Having established the above general principles, your specific questions shall now be considered. In response to your first question, you are advised as follows. If your husband would be a candidate for the position of Borough Tax Collector, you would have a conflict of interest under Section 1103(a) of the Ethics Act with regard to participating in actions of Borough Council pertaining to the appointment of a Borough Tax Collector. Your conflict of interest would not be limited to actions related only to your husband’s potential appointment to the position but would extend to include participating in interviews of, discussions about, or votes on candidates for the position other than your husband. In each instance of a Freedman, 23-531 May 24, 2023 Page 5 conflict of interest, you would be required to abstain from participation, which would include voting unless one of the statutory exceptions of Section 1103(j) of the Ethics Act would be applicable. Additionally, the disclosure requirements of Section 1103(j) of the Ethics Act would have to be satisfied in the event of a voting conflict. With respect to your second question, you are advised that the Ethics Act would not prohibit you, in your private capacity, from participating in your husband’s election campaign if he would seek election as the Borough Tax Collector. However, Section 1103(a) of the Ethics Act would prohibit you from using the authority of your public position as a Borough Council Member or confidential information accessed or received as a result of being in your public position in furtherance of your husband’s election as the Borough Tax Collector. Your third question cannot be addressed in this advisory because it does not relate to your conduct as a public official. See, Section 1107(11) of the Ethics Act(providing that the Commission shall “\[p\]rovide written advice to any person … upon their request with respect to such person’s duties under \[the Ethic Act\]”). In the event your husband is appointed or electedto the BoroughTax Collector position, then he could request an advisory on this issue as it involves his conduct. Lastly, the propriety of the proposed conduct has only been addressed under the Ethics Act. Pursuant to Section 1107(11) of the Ethics Act, 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 requester 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 receivedat 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. Respectfully, Bridget K. Guilfoyle Chief Counsel