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HomeMy WebLinkAbout23-549 Sniegocki PHONE: 717-783-1610 STATE ETHICS COMMISSION FACSIMILE: 717-787-0806 FINANCE BUILDING WEBSITE: www.ethics.pa.gov TOLL FREE: 1-800-932-0936 613 NORTH STREET, ROOM 309 HARRISBURG, PA 17120-0400 ADVICE OF COUNSEL September 26, 2023 To the Requester: Michael W. Sniegocki 23-549 Dear Mr. Sniegocki: This responds to your letter dated September 11, 2023, by which you requested an advisory from the Pennsylvania State Ethics Commission (“Commission”), seeking guidance as to the general issues presented below: Issues: (1) Whether the Public Official and Employee Ethics Act (“Ethics Act”), 65 Pa.C.S. § 1101 et seq., would impose restrictions upon you with regard to performing work in your position as a Mass Transit Manager 1 for the Pennsylvania Department of Transportation (“PennDOT”) following termination of your employment as the Director of Road Operations for Pittsburgh Regional Transit. Brief Answer: YES. During the first year following termination of your employment with Pittsburgh Regional Transit, Section 1103(g) of the Ethics Act would apply and restrict you from performing any job duties for PennDOT that would involve “representation” of PennDOT before your “former governmental body,” Pittsburgh Regional Transit. (2) Whether your receipt of a pension from Pittsburgh Regional Transit or your son’s employment with Pittsburgh Regional Transitas a Bus Operator would cause you to have a conflict of interest under Section 1103(a) of the Ethics Act with regard to performing work for PennDOT on matters involving safety oversight of Pittsburgh Regional Transit’s rail transit system. BriefAnswer: Neither your receipt of a pension from Pittsburgh Regional Transit nor your son’s employment with Pittsburgh Regional Transit as a Bus Operator would be abasis for you to have a conflict of interest under Section 1103(a) of the Ethics Act with regard to Sniegocki, 23-549 September 26, 2023 Page 2 performing work for PennDOT on matters involving safety oversight of Pittsburgh Regional Transit’s rail transit system. Facts: You request an advisory from the Commission based upon submitted facts that may be fairly summarized as follows. Approximately thirty years ago, you began employment with the Port Authority of Allegheny County. In June 2022, the Port Authority of Allegheny County was rebranded to Pittsburgh Regional Transit. On May 1, 2023, you retired from your employment with Pittsburgh Regional Transit. At the time of your retirement, you were the Director of Road Operations for Pittsburgh Regional Transit. You collect a full pension from ATU Local 85 and Pittsburgh Regional Transit. On May 15, 2023, you began employment with PennDOT as a Mass Transit Manager 1, in which capacity you serve as a State Safety Oversight Regional Manager for the Western Region. Your position is within the State Safety Oversight Division of the Bureau of Rail, Freight, Ports and Waterways. The State Safety Oversight Division serves as the State Safety Oversight Agency (“the SSOA”)responsible for providing safety oversight for transit agencies that operate rail fixed guideway public transportation systems which are not subject to oversight by the Federal Railroad Administration. The SSOA provides safety oversight according to a transit agency’s Public Transportation Agency Safety Plan (“PTASP”), which is developed by the transit agency and submitted to the SSOA for approval. The PTASP is the framework by which the transit agency will operate a safe rail transit system. The SSOA oversees the transit agency to ensure that it is following its PTASP. Safety oversight is accomplished through reviewing statistics, analyzing trends, reviewing accident reports, investigating accidents, and performing Operational Reviews and System Station Reviews/Audits. For an Operational Review, personnel of the SSOA or one of its contractors ride one of the transit agency’s light rail vehicles just as regular passengers would and observe whether the operator of the light rail vehicle complies with rules applicable to operators. These observations are documented in a report that is forwarded to the transit agency’s Chief Safety Officer and Director of Rail Service Delivery for awareness only. During a System Station Review/Audit, personnel of the SSOA or one of its contractors ride a light rail vehicle from one station to another and then exit the light rail vehicle to inspect the condition of the station and look for areas that could be a potential safety hazard to the public or the transit agency’s employees. The observations made during a System Station Review/Audit are documented in a report that is forwarded to the transit agency’s Chief Safety Officer, who takes steps to get the observations to the proper departments for elimination of the potential safety hazards. The SSOA cannot issue any type of discipline to or impose any punitive damages upon an operator for not complying with the applicable rules, nor does the SSOA have any authority to impose discipline or fines with respect to potential safety hazards. Sniegocki, 23-549 September 26, 2023 Page 3 Your job duties with PennDOT include providing safety oversight for Pittsburgh Regional Transit and Cambria County Transit Authority, which operate rail fixed guideways that are not governed by the Federal Railroad Administration. Your role is to observe whether the transit agencies’ rules are being followed and their PTASPs are being carried out, with an emphasis on Safety Management Systems principles. You have no direct or indirect interaction with these transit agencies’ decision-making processes regarding contracts, grant applications, licenses, regulatory matters, or auditing of finances. Your eldest son currently works as a Rail Operator for Pittsburgh Regional Transit. In October of this year, he will transfer out of the rail division and begin working as a Bus Operator for Pittsburgh Regional Transit. You have no job duties related to Pittsburgh Regional Transit’s bus system. Based upon the above submitted facts, you pose the following questions: (1) Whether the Ethics Act wouldprohibit you from representing PennDOT before Pittsburgh Regional Transit during the first year following your retirement from Pittsburgh Regional Transit; and (2) Whether your receipt of a pension from Pittsburgh Regional Transit or your son’s employment with Pittsburgh Regional Transit as a Bus Operator would cause you to have a conflict of interest with regard to performing the duties of your position with PennDOT. Discussion: It is initially noted that 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 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 requester has truthfully disclosed all of the material facts. Pursuant to Section 1103(a) of the Ethics Act, a public official/public employee is prohibited from engaging in conduct that constitutes a conflict of interest: § 1103. 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 related to Section 1103(a) are defined in the Ethics Act as follows: Sniegocki, 23-549 September 26, 2023 Page 4 § 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. “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” (i.e., the “de minimis exclusion” and the “class/subclass exclusion”), 65 Pa.C.S. § 1102, a public official/public employee is 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 employeehimself, any member of his immediate family, or a business with which he or a member of his immediate family is associated. In each instance of a conflict of interest, the public official/public employee would be required to abstain from participation. The abstention requirement would extend 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. Per the Pennsylvania Supreme Court’s decision in Kistler v. State Ethics Commission, 610 Pa. 516, 22 A.3d 223 (2011), in order to violate Section 1103(a) of the Ethics Act, a public official/public employee: … must act in such a way as to put his \[office/public position\] to the purpose of obtaining for himself a private pecuniary benefit. Such directed action implies awareness on the part of the \[public official/public employee\] of the potential pecuniary benefit as well as the motivation to obtain that benefit for himself. Sniegocki, 23-549 September 26, 2023 Page 5 Kistler, supra, 610 Pa. at 523, 22 A.3d at 227. To violate Section 1103(a) of the Ethics Act, a public official/public employee “must be consciously aware of a private pecuniary benefit for himself, his family, or his business, and then must take action in the form of one or more specific steps to attain that benefit.” Id., 610 Pa. at 528, 22 A.3d at 231. Section 1103(g) of the Ethics Act imposes post-termination of service/employment restrictions upon a former public official/public employee with regard to “representing” a “person” before “the governmental body with which he has been associated”: § 1103. 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. 65 Pa.C.S. § 1103(g) (Emphasis added). The terms “represent,” “person,” and “governmental body with which a public official or public employee is or has been associated” are specifically defined in the Ethics Act as follows: § 1102. Definitions “Represent.” To act on behalf of any other person in any activity which includes, but is not limited to, the following: personal appearances, negotiations, lobbying and submitting bid or contract proposals which are signed by or contain the name of a former public official or public employee. “Person.” A business, governmental body, individual, corporation, union, association, firm, partnership, committee, club 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 official/public employee himself, Confidential Opinion, 93-005, as well as a new governmental employer. Ledebur, Opinion 95-007. Sniegocki, 23-549 September 26, 2023 Page 6 The term “represent” is also broadly defined to prohibit acting on behalf of any person in any activity. Examples of prohibited representation include: (1) personal appearances before the former governmental body or bodies; (2) attempts to influence; (3) submission of bid or contract proposals which are signed by or contain the name of the former public official/public employee; (4) participating in any matters before the former governmental body as to acting on behalf of a person; and (5) lobbying. Popovich, Opinion 89-005. Listing one’s name as the person who will provide technical assistance on a proposal, document, or bid, if submitted to or reviewed by the former governmental body, constitutes an attempt to influence the former governmental body. Section 1103(g) also generally prohibits the inclusion of the name of a former public official/public employee on invoices submitted by his new employer to the former governmental body, even if the invoices pertain to a contract that existed prior to termination of service with such governmental body. Shay, Opinion 91-012. However, if such a pre-existing contract does not involve the unit where a former public employee worked, the name of the former public employee may appear on routine invoices if required by the regulations of the agency to which the billing is being submitted. Abrams/Webster, Opinion 95-011. A former public official/public employee may assist in the preparation of any documents presented to his former governmental body. However, the former public official/public employee may not be identified on documents submitted to the former governmental body. The former public official/public employee may also counsel any person regarding that person’s appearance before his former governmental body. Once again, however, the activity in this respect should not be revealed to the former governmental body. The Ethics Act would not prohibit or preclude making general informational inquiries to the former governmental body to secure 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 otherwise make known to that body the representation of, or work for, the new employer. Section 1103(g) only restricts the former public official/public employee with regard to representation before his former governmental body. The former public official/public employee is not restricted as to representation before other agencies or entities. However, the “governmental body with which a public official/public employee is or has been associated” is not limited to the particular subdivision of the agency or other governmental body where the public official/public employee had influence or control but extends to the entire body. See, Legislative Journal of House, 1989 Session, No. 15 at 290, 291; Sirolli, Opinion 90-006; Sharp, Opinion 90-009-R. Conclusion: In applying the above provisions of the Ethics Act to the instant matter, you are advised as follows. During your employment as the Director of Road Operations for Pittsburgh Regional Transit, you were considered a “public employee” subject to the Ethics Act. Upon termination of your employment with Pittsburgh Regional Transit on May 1, 2023, you became a “former public employee” subject to Section 1103(g) of the Ethics Act. Your former governmental body is Pittsburgh Regional Transit in its entirety. For the first year following termination of your Sniegocki, 23-549 September 26, 2023 Page 7 employment with Pittsburgh Regional Transit, Section 1103(g) of the Ethics Act would apply and restrict “representation” of a “person” before Pittsburgh Regional Transit. The restrictions as to representation outlined above must be followed. When you began employment as a Mass Transit Manager 1 with PennDOT on May 15, 2023, you became a public employee subject to the Ethics Act. Accordingly, you are simultaneously a former public employee with respect to your former governmental body, Pittsburgh Regional Transit, and a public employee with respect to your current governmental body, PennDOT. Cf., Moore, Opinion 05-008. As such, you are simultaneously subject to the restrictions of Section 1103(g) of the Ethics Act (i.e., as a former public employee with respect to Pittsburgh Regional Transit, you are prohibited from engaging in any activity that would involve “representation” of a “person” before Pittsburgh Regional Transit) and the restrictions of Section 1103(a) of the Ethics Act (i.e., as a public employee with respect to PennDOT, you are prohibited from engaging in conduct that would constitute a conflict of interest). Turning to your specific questions, you are advised as follows. In responseto your first question, you are advised that during the first year following termination of your employment with Pittsburgh Regional Transit, Section 1103(g) of the Ethics Act would restrict you from performing any job duties for PennDOT that would involve prohibited representation before Pittsburgh Regional Transit as delineated above. In response to your second question, you are advised that neither your receipt of a pension from Pittsburgh Regional Transit nor your son’s employment with Pittsburgh Regional Transit as a Bus Operator would be a basis for you to have a conflict of interest under Section 1103(a) of the Ethics Act with regard to performing work for PennDOT on matters involving safety oversight of Pittsburgh Regional Transit’s rail transit system. It is noted that you would not have a conflict of interest with regard to performing work on matters involving Pittsburgh Regional Transit unless: (1) you would be consciously aware of a private pecuniary (financial) benefit for yourself, a member of your immediate family, or a business with which you or a member of your immediate family is associated; and (2) your action(s) would constitute one or more specific steps to attain that benefit. See, Kistler, supra. 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 recordand 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. Sniegocki, 23-549 September 26, 2023 Page 8 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