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HomeMy WebLinkAbout05-505 ConradEric R. Conrad One Memory Lane Enola, PA 17025 Re: Former Public Employee /Executive -Level State Employee; Section 1103(g); Deputy Secretary for Field Operations; Department of Environmental Protection; Annuitant; 95 -Day Emergency Return to State Service; Environmental Program Manager. Dear Mr. Conrad: ADVICE OF COUNSEL February 11, 2005 05 -505 This responds to your letters of January 5, 2005, and January 10, 2005, by which you requested advice from the State Ethics Commission. Issue: Whether the post - employment restrictions of Section 1103(g) of the Public fficial and Employee Ethics Act ( "Ethics Act "), 65 Pa.C.S. § 1103(g), which apply for one year following termination of service in a public position, would begin to run anew for a retired Deputy Secretary for Field Operations for the Department of Environmental Protection ( "DEP ") who: (1) returns to DEP less than one month after retiring in order to perform work as an annuitant under the 95 -day emergency return -to- state - service provision at 71 Pa.C.S. § 5706(A.1); (2) in performing such work, holds a position classified as an Environmental Program Manager; and (3) completes such work approximately five months after his retirement. Facts: On June 25, 2004, you retired from Commonwealth employment as Deputy Secretary for Field Operations for DEP. Prior to retiring, you requested and received from the State Ethics Commission an advisory (Conrad, Advice of Counsel, 04 -540) regarding the post - employment restrictions of Sections 1103(g) and 1103(i) of the Ethics Act. Conrad, Advice of Counsel, 04 -540, is incorporated herein by reference. Conrad, Advice of Counsel, 04 -540 advised you, inter alia, that the restrictions of Section 1103(g) of the Ethics Act would apply to you for one year after leaving DEP. By letters dated January 5, 2005, and January 10, 2005, you now seek additional advice from the State Ethics Commission with regard to the impact upon the one -year period of applicability of Section 1103(g) of the Ethics Act of your return to work for DEP from July 13, 2004, through November 19, 2004, as an annuitant under the 95 -day emergency return -to- state - service provision at 71 Pa.C.S. § 5706(A.1). You have submitted facts, the material portions of which may be fairly summarized as follows. You state that when you retired, you were asked to assist in completing two very narrowly scoped tasks: (1) continuing to chair the Pottstown Landfill Closure Committee Conrad, 05 -505 February 11, 2005 Page 2 ( "Committee "); and (2) developing a strategy for reintegrating environment and health issues in the Pottstown area. You agreed to undertake both tasks under certain conditions, which conditions included that you would not have any involvement in any permit or enforcement discussions relative to any part of DEP; that you would minimize all staff contact; and that you would be very clear with the Committee that you would only be acting as the Committee's convenor, leaving final outcomes to DEP. Following your retirement, you performed the aforementioned tasks as an annuitant under the return -to- state - service provision at 71 Pa.C.S. § 5706(A.1). You have submitted a copy of the July 15, 2004, letter from Michael Sullivan, Director of the Bureau of Human Resources of DEP, confirming the approval of your employment beginning July 13, 2004, as a Commonwealth annuitant with a classification of "Environmental Program Manager." The letter states in pertinent part as follows: This is to confirm the approval of your employment as a Commonwealth annuitant. This will be for a period not to exceed 95 days in calendar year 2004, beginning July 13, 2004, and ending no later than December 31, 2004. This approval is for you to continue to oversee the implementation of the Environmental Public Health Development and the Pottstown Landfill Closure effort. This is the only work that you have approval to perform. You are being re- employed as an Environmental Program Manager.... ... You will only be paid for the hours you work. Sullivan Letter of July 15, 2004. You state that no formal job description was created for your new position; rather, you and the Secretary agreed that you would continue to act as the convenor for the Committee and finish writing a strategy for integrating environmental issues with health issues in the Pottstown area, which strategy would then serve as a basic outline for the Secretary to use for future actions relative to addressing the community's concerns about health issues in the Pottstown area. You state that your work as an annuitant relative to the Committee entailed reviewing and approving agendas for the Committee meetings, reviewing comments on draft and final minutes, and acting as the Committee's convenor. You did not participate in any daily operational decisions or have any contact with any of the other 1458 or so employees who previously were under your direction and control in your former position as Deputy Secretary for Field Operations. Your contact with DEP staff was limited to three individuals: one staff person who helped in the administrative details of the Committee, the current Deputy Secretary for Field Operations, and the Secretary, such contacts being necessary for the purpose of keeping such individuals apprised of the Committee's progress. You further state that DEP staff and local citizens were aware that you were no longer serving as Deputy Secretary for Field Operations and that your responsibilities were strictly limited to the above efforts. You state that you made it clear to the current Deputy Secretary for Field Operations and the Secretary that you would not participate in any permitting or enforcement decisions on any matter. You further state that you recused yourself from historic permitting and compliance issues at the landfill to avoid influencing the outcome. You state that the Secretary fully agreed with such course of action given that there was a strong desire on the part of all parties to not adversely affect the Ethics Act Conrad, 05 -505 February 11, 2005 Page 3 and Management Directive 515.20 of February 21, 2002 (pertaining to reemployment of Commonwealth Annuitants). You worked out of your home, and you were not provided with a Commonwealth e -mail account. You worked approximately 3.5 to 4.0 days per month until November 19, 2004, when your work as an annuitant ended. You seek an advisory regarding the impact upon the one -year period of applicability of Section 1103(g) of the Ethics Act of your return to work for DEP from July 13, 2004, through November 19, 2004, as an annuitant under the 95 -day emergency return -to- state - service provision at 71 Pa.C.S. § 5706(A.1). You state that being hired as an annuitant resulted in a reduction of your previous hourly rate, which you believe was an indication that your scope of responsibilities had been reduced commensurate with the assignment by the Secretary. You contend that your work as an annuitant would constitute de minimis activities and actions that should not adversely affect the start of the one -year period of applicability of Section 1103(g) of the Ethics Act. Finally, you state that nowhere in the aforementioned Management Directive does it indicate that such action will result in extending the one -year period. This Advice of Counsel takes administrative notice of the job classification specifications for your annuitant position as Environmental Program Manager, which job classification specifications are incorporated herein by reference. The job classification specifications describe the position as involving professional managerial work in the air, water, waste and mineral resources programs in DEP, with authority including, inter alia, the following: • To direct, through subordinate managers and /or supervisors: the planning, development, implementation, coordination and evaluation of a major statewide program or functional area in the air, water, waste and mineral resources programs, as a division chief in central office; or, the inspection, enforcement, and permit review functions for the entire air, water, waste, environmental cleanup, community environmental control, or oil and gas program within the Deputate for Field Operations Region; or, to direct all activities in the regulation of mining operations in each of the District Mining Offices; or, to direct the pollution prevention and compliance assistance, emergency response, permit review and coordination, and program coordination and planning functions for each of the Field Operations Regional Offices. • Develop, implement or recommend changes to rules, regulations, policies, and procedures; • Determine and prepare budgetary requests; • Approve major enforcement actions taken against facilities; • Conduct program evaluations and prepare reports of findings and recommendations; • Manage federal and state grant programs for the construction of facilities, the preparation of official plans, and other approved activities; • Review and approve or deny permit applications by ensuring that technical requirements have been met, that permits are Conrad, 05 -505 February 11, 2005 Page 4 issued or denied in accordance with established procedures, and that approvals have been coordinated with the appropriate programs and agencies; • Review work performance, evaluate employee performance and prepare and sign employee Performance Evaluation Reports; and • Interview prospective employees and recommend employee selection or rank applicants in terms of preferability for employment. 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 requestor based upon the facts that the requestor has submitted. In issuing the advisory based upon the facts that the requestor 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 requestor 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 requestor has truthfully disclosed all of the material facts. When you retired from DEP on June 25, 2004, you became a former public employee and a former executive -level State employee subject to the restrictions of Sections 1103(g) and 1103(i) of the Ethics Act. See, Conrad, Advice of Counsel, 04- 540. When you returned to work for DEP from July 13, 2004, through November 19, 2004, as an annuitant under the 95 -day emergency return -to- state - service provision at 71 Pa.C.S. § 5706(A.1), you held a position in which you were classified as an "Environmental Program Manager." A review of the job classification specifications for that position necessitates the conclusion that as an Environmental Program Manager, you were a public employee subject to the Ethics Act. Cf., Vayansky, Advice 03 -571. This conclusion is based upon the following analysis. The Ethics Act defines the term "public employee" as follows: § 1102. Definitions "Public employee." Any individual employed by the Commonwealth or a political subdivision who is responsible for taking or recommending official action of a nonministerial nature with regard to: (1) contracting or procurement; (2) administering or monitoring grants or subsidies; (3) planning or zoning; (4) inspecting, licensing, regulating or auditing any person; or (5) any other activity where the official action has an economic impact of greater than a de minimis nature on the interests of any person. The term shall not include individuals who are employed by this Commonwealth or any political subdivision thereof in teaching as distinguished from administrative duties. Conrad, 05 -505 February 11, 2005 Page 5 65 Pa. C. S. § 1102. The Regulations of this Commission similarly define the term "public employee" and set forth the following additional criteria: (ii) The following criteria will be used, in part, to determine whether an individual is within the definition of "public employe ": (A) The individual normally performs his responsibility in the field without onsite supervision. (B) The individual is the immediate supervisor of a person who normally performs his responsibility in the field without onsite supervision. (C) The individual is the supervisor of a highest level field office. (D) The individual has the authority to make final decisions. (E) The individual has the authority to forward or stop recommendations from being sent to the person or body with the authority to make final decisions. (F) The individual prepares or supervises the preparation of final recommendations. (G) The individual makes final technical recommen- dations. (H) The individual's recommendations or actions are an inherent and recurring part of his position. (1) The individual's recommendations or actions affect organizations other than his own organization. (iii) The term does not include individuals who are employed by the Commonwealth or a political subdivision of the Commonwealth in teaching as distinguished from administrative duties. (iv) Persons in the following positions are generally considered public employes: (A) Executive and special directors or assistants reporting directly to the agency head or governing body. (B) Commonwealth bureau directors, division chiefs or heads of equivalent organization elements and other governmental body department heads. (C) Staff attorneys engaged in representing the department, agency or other governmental bodies. (D) Engineers, managers and secretary- treasurers acting as managers, police chiefs, chief clerks, chief purchasing agents, grant and contract managers, administrative officers, housing and building inspectors, investigators, auditors, sewer Conrad, 05 -505 February 11, 2005 Page 6 enforcement officers and zoning officers in all governmental bodies. (E) Court administrators, assistants for fiscal affairs and deputies for the minor judiciary. (F) School superintendents, assistant superintendents, school business managers and principals. (G) Persons who report directly to heads of executive, legislative and independent agencies, boards and commissions except clerical personnel. (v) Persons in the following positions are generally not considered public employes: (A) City clerks, other clerical staff, road masters, secretaries, police officers, maintenance workers, construction workers, equipment operators and recreation directors. (B) Law clerks, court criers, court reporters, probation officers, security guards and writ servers. (C) School teachers and clerks of the schools. 51 Pa. Code § 11.1. Status as a public employee subject to the Ethics Act is determined by applying a judicially approved objective test, which focuses upon the powers and duties of the position as established by objective sources such as the job description, job classification specifications, and organizational chart, rather than the variable functions that the individual may actually perform in the position. Phillips v. State Ethics Commission, 470 A.2d 659 (Pa. Cmwlth. 1984). Moreover, the Commonwealth Court of Pennsylvania has specifically considered and approved the Commission's objective test and has directed that coverage under the Ethics Act be construed broadly and that exclusions under the Ethics Act be construed narrowly. Id. The first portion of the statutory definition of "public employee" includes individuals with authority to take or recommend official action of a nonministerial nature. 65 Pa.C.S. § 1102. Likewise, the regulatory criteria for determining status as a public employee, as set forth in 51 Pa. Code § 11.1( "public employee ")(ii), include not only individuals with authority to make final decisions but also individuals with authority to forward or stop recommendations from being sent to final decision - makers; individuals who prepare or supervise the preparation of final recommendations; and individuals who make final technical recommendations. Based upon the job classification specifications, it is clear that the authority of an Environmental Program Manager for DEP includes responsibility for taking or recommending official action of a nonministerial nature with regard to categories (2), (3), (4) and (5) of the Ethics Act's definition of "public employee," specifically, `administering or monitoring grants or subsidies," "planning or zoning,' "inspecting, licensing, regulating or auditing any person" and any other activity where the official action has an economic impact of greater than a de minimis nature on the interests of any person." 65 Pa.C.S. § 1102. Therefore, based upon the job classification specifications for the position of Environmental Program Manager, you are advised that when you became an Environmental Program Manager for DEP on July 13, 2004, you once again became a public employee subject to the Ethics Act. Conrad, 05 -505 February 11, 2005 Page 7 Consequently, on November 19, 2004, when you ceased working as an annuitant with DEP, you once again became a "former public employee" subject to Section 1103(g) of the Ethics Act. McGlathery, Opinion 00 -004; Graves, Opinion 00- 009. The restrictions of Section 1103(g) apply for a full one -year period each time an individual becomes a former public employee. Thus, as a result of your participation in the 95 -day program, the one -year period of applicability of Section 1103(g) began anew following your termination of participation in the 95 -day program on November 19, 2004. The governmental body with which you have been associated upon termination of public service (both times) is DEP in its entirety. Therefore, for a full one -year period following your November 19, 2004, termination of service with DEP, Section 1103(g) of the Ethics Act would apply and restrict "representation" of "persons" before DEP. The State Ethics Commission may not carve out an exception or grant a waiver from the requirements of the Ethics Act where there is no statutory authority for doing so. Whitlock, Opinion 04 -015; Ziegler, Opinion 98 -001; Long, Opinion 97 -010; Marsh, Opinion 93 -007; Richardson, Opinion 93 -006. It is noted that the conclusions reached in this Advice of Counsel are consistent with Commission precedents that were issued and available as public records long before you retired. McGlathery, supra; Graves, supra. As for your commentary that Management Directive 515.20 of February 21, 2002 does not mention that returning to work under the 95 -day program will have this effect, the applicability of the Ethics Act, as a statute, is not impacted by the contents of the Management Directive. (See, McGlathery, supra, and Long, Opinion 97 -010 rejecting analogous arguments.) The restrictions of Section 1103(i) of the Ethics Act, which apply to former Executive -level State employees, will continue to apply to you for a period of two years from the date of your retirement. Based upon the facts that have been submitted, this Advice has addressed the applicability of Section 1103(g) only. It is expressly assumed that there has been no use of authority of office for a private pecuniary benefit as prohibited by Section 1103(a) of the Ethics Act. Further, you are advised that Sections 1103(b) and 1103(c) of the Ethics Act provide in part that no person shall offer to a public official /public employee and no public official /public employee shall solicit or accept anything of monetary value based upon the understanding that the vote, official action, or judgment of the public official /public employee would be influenced thereby. Reference is made to these provisions of the law not to imply that there has been or will be any transgression thereof but merely to provide a complete response to the question presented. Lastly, 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 Governor's Code of Conduct. Conclusion: As a former public employee and former executive -level State employee who retired from the Department of Environmental Protection ( "DEP ") on June 25, 2004, but returned to work for DEP from July 13, 2004, through November 19, 2004, as an annuitant under the 95 -day emergency return -to- state - service provision at 71 Pa.C.S. § 5706(A.1), in a position classified as an Environmental Program Manager, you were a public employee subject to the Ethics Act from July 13, 2004, through November 19, 2004. On November 19, 2004, when you ceased working as an Conrad, 05 -505 February 11, 2005 Page 8 annuitant with DEP, you once again became a "former public employee" subject to Section 1103(g) of the Ethics Act. The restrictions of Section 1103(g) apply for a full one -year period each time an individual becomes a former public employee. The restrictions of Section 1103(g) will apply to you for a full one -year period following your November 19, 2004, termination of service with DEP. The propriety of the proposed conduct has only been addressed under the Ethics Act. Further, should service be terminated, as outlined above, the Ethics Act would require that a Statement of Financial Interests be filed by no later than May 1 of the year after termination of service. Pursuant to Section 1107(11), 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 requestor 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 received at 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. Sincerely, Vincent J. Dopko Chief Counsel