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10-08

Gifts

Commissioners: Thomas Collins, Gerald Turkel, Miguel Gonzalez, James Keeley, Eugene McCoy, Wincent White

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Question:

             Whether a conflict of interest or appearance of impropriety would be created if an employee of the Land Use Department accepted used brick from a contractor who was operating under a permit from that department.

Conclusion:

             The Ethics Code would be violated if the employee accepted the gift of salvage from an entity he regulates. Since the employee's knowledge of the existence of the salvage items stems from his position in the Land Use Department and he is in a position of direct regulatory authority over the owner of the bricks, acceptance of any gift would create an appearance that its receipt would impair the employee's judgment. Acceptance of the salvage also would violate his Department's policy on gifts.

Facts:

             The requester wants to receive salvaged bricks from a construction project operating under a permit from his Department. He personally has direct regulatory authority over the project. He states that the salvage material is generally destined for a landfill and that 100 such bricks would be valued at $20.00 or under.

Code or Prior Opinion:

Code Conflict Provisions
 
            No County official or employee is permitted to use his or her status as a County employee or the authority of his or her County office for his or her own private benefit.1 However, there are certain circumstances in which an employee may accept a gift from a member of the public, as long as no improper appearance is created.2 In the case of a donor who, as here, is regulated by the County, the value of the gift may not exceed $25.00. The gift must also meet two other criteria: a determination that the gift does not create the reasonable perception in the public that the vote, official action or judgment of the recipient would be influenced or impaired; and recordation in the Public Gift Log maintained by his Department.
 
Code Conduct Provisions
 
            Every County official and employee must consider the ethical rule stated in the Ethics Code of Conduct, Sec. 2.03.104(A)(1), and restated in the regulations regarding gifts, Sec. 2.03.104 H, which prohibits the creation of an impression in the reasonable member of the public that the official or employee's official action is affected by personal interests which impair his or her competence, integrity and honesty, or that his agency or department will look as though it is showing partiality in a matter. An improper appearance is created when a reasonable member of the public "with knowledge of all the relevant circumstances that a reasonable inquiry would disclose, [would hold] a perception that the official's ability to carry out [official duties] with integrity, impartiality and competence is impaired."3
 
Prior Commission Opinions
 
            The only relevant prior opinion regarding gifts of salvage materials was Advisory Opinion 04-04, issued April 14, 2004. In that case a Department of Community Services employee was permitted to accept a gift of salvage building materials because she did not gain the information about the availability of the material as part of her job, she had only ministerial contact with the owner of the salvage, and her desire to accept the material had been approved by her supervisor. The current gift law section of the Code was not enacted until 2006.
 
Department Policy
 
            The employee's Department has a gift policy which is more stringent than that imposed in the Ethics Code and which states that "no gift shall be accepted by a New Castle County employee from any member of the public when the gift is given as a result of contact created by a New Castle County business relationship." Land Use Policy No. 1.1.04.4

Analysis:

             Although the New Castle County Code discourages employees from accepting gifts from the public, it permits an employee to accept a gift from a County regulated entity valued at under $25.00 and recorded in the employee's Department's gift log, as long such acceptance does not create the reasonable perception that the official action or judgment of the employee would be influenced or impaired.
 
            In this case, unlike AO04-04, the requester obtained knowledge of the availability of the material during the course of the performance of his County job and he is in the line of direct County authority over the salvage owner's construction project. In these circumstances, acceptance of any gift by the employee would create a reasonable perception in a member of the public that the employee's judgment would be impaired. In addition, the employee's Department maintains a policy against the acceptance of any gifts by its employees, a policy which is more restrictive than the Ethics Code gift rules.

Finding:

             The Ethics Code would be violated if the employee accepted the gift of salvage from an entity he regulates. Since the employee's knowledge of the existence of the salvage items stems from his position in the Land Use Department and he is in a position of direct regulatory authority over the owner of the bricks, acceptance of any gift would create an appearance that the gift would impair the employees' judgment. Acceptance of the salvage also would violate his Department's policy on gifts.
 
            In issuing this Advisory Opinion, the Ethics Commission is applying the New Castle County Code of Ethics, which establishes the minimum level of ethical conduct required of County officials and employees.
 
BY AND FOR THE NEW CASTLE COUNTY ETHICS COMMISSION ON THIS 13th DAY OF OCTOBER 2010.
 
______________________
Thomas P. Collins, Chairperson
 
Decision: Unanimous

Footnotes:

1New Castle County Code Section 2.03.103. - Prohibitions relating to conflicts of interest.
A.     Restrictions on exercise of official authority.
1.     No County employee or official knowingly or willfully shall use the authority of his or her office or employment or any confidential information received through his or her holding County office or employment for the personal or private benefit of himself or herself, a member of his or her immediate family or a business with which he or she is associated. This prohibition 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 County official or employee, a member of his or her immediate family or a business with which he or she or a member of his or her immediate family is associated. There will be a rebuttable presumption of a knowing or willful violation of this section if the action benefits the County official or employee, his or her spouse, or his or her dependent children (whether by blood or by law).
2.     In any case where a person has a legal and/or statutory responsibility with respect to action or nonaction on any matter where the person has a personal or private interest and there is no provision for the delegation of such responsibility to another person, the person may exercise responsibility with respect to such matter, provided that promptly after becoming aware of such conflict of interest, the person files a written statement with the Commission fully disclosing the personal or private interest and explaining why it is not possible to delegate responsibility for the matter to another person. If the matter is one in which the legal and/or statutory responsibility requires the person to vote upon the issue, the written statement filed with the Commission shall be read into the public record prior to the time the person's vote is cast. Any person choosing to abstain from voting on an issue where or she has a conflict shall state the reasons for his or her conflict on the record; an abstaining voter need not file the written statement with the Commission required when acting on, rather than abstaining from, an issue involving a conflict.
. . .

2New Castle County Code Section 2.03.104 H.
            New Castle County discourages the acceptance of gifts from the public by County employees or County officials. No County employee or County official shall accept any compensation, gift, payment of expenses, promise of future financial benefit, or any other thing of monetary value which is intended or received to influence the vote, official action or judgment of the recipient or which creates the reasonable perception in the public that the vote, official action or judgment of the recipient would be influenced or impaired by the gift. An unsolicited gift which is promptly returned in its entirety is not considered accepted by the recipient. In addition, gifts are prohibited in the following circumstances:
1    . Any gift of greater than de minimis value which is not promptly recorded in a public gift log.
2.     No gift of cash shall be accepted other than a political contribution otherwise reported as required by law.
3.     No gift shall be accepted by a County official or employee for performing an official duty or service or as an incentive to perform an official duty or service unless the gift is a public and commemorative gift of de minimis value in honor of public service or unless the gift is tendered by a governmental source or association of governmental sources. The commemorative gift shall be promptly recorded in a public gift log.
4.      Gifts of greater than negligible value from entities doing business with, regulated by, or which may be reasonably foreseen to do business with or be regulated by the County within the next three years, with the exception of gifts described in subsections I(5), I(6), and I(7) of this Division, shall not be accepted by officials, employees, or governmental departments unless a prior Advisory Opinion is sought from the Ethics Commission regarding compliance with the Code of Ethics. Any such gift or donation of other than negligible value which is accepted following the receipt of an Opinion of the Commission shall promptly be recorded by the recipient in a public gift log.
5.      County officials or employees in supervisory positions shall not accept gifts from individual persons they supervise or from individual employees in a lower pay scale other than on an infrequently occurring milestone occasion (such as birth, death in family, marriage, divorce, retirement, casualty) or a de minimis hospitality gift on social occasions held outside of the workplace. On any other occasion, receipt of gifts shall be limited to group gifts, in which the amount contributed is both voluntary and of a de minimis amount per individual, and the names of the individual donors are not disclosed to the recipient. Gifts tendered as a result of a relationship described in subsection I.9. shall be an exception to this rule.

New Castle County Code Section 2.03.102. - Definitions, in pertinent part:
Negligible value means value of less than twenty-five dollars ($25.00).

3New Castle County Code Section 2.03.104. Code of conduct, states, in pertinent part:
A.      No County employee or County official shall engage in conduct which, while not constituting a violation of Section 2.02.103(A)(1) [Conflict of Interest], undermines the public confidence in the impartiality of a governmental body with which the County employee or County official is or has been associated by creating a appearance that the decision or action of the County employee, County official or governmental body are influenced by factors other than the merits.
            The standard for judging the creation of such an appearance for judicial public officials has been described in Delaware courts as "conduct [which] would create in reasonable minds, with knowledge of all the relevant circumstances that a reasonable inquiry would disclose, a perception that the official's ability to carry out [official duties] with integrity, impartiality and competence is impaired." In re Williams, 701 A.2d 825, 832 (Del. Super. 1997). In determining the relevant circumstances, the courts advise the Commission to look at the totality of facts. The Commission has long applied this standard to the conduct of County officials and employees.

4New Castle County Code Sec. 2.03.101. Purpose of Division., in pertinent part:
D.     This Division is intended to establish a minimum standard for ethical conduct and financial disclosure. Elected officials may superimpose conduct rules for officials and employees which are more strict, but not less strict, than these minimum standards. The Ethics Commission has jurisdiction to decide whether superimposed rules fall below the minimum standards expressed in this Division.


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