Minutes January 8, 2019 MINUTES OF THE OPEN SESSION OF THE RHODE ISLAND ETHICS COMMISSION January 8, 2019 The Rhode Island Ethics Commission held its 1st meeting of 2019 at 9:00 a.m. at the Rhode Island Ethics Commission conference room, located at 40 Fountain Street, 8th Floor, Providence, Rhode Island, on Tuesday, January 8, 2019, pursuant to the notice published at the Commission offices, the State House Library, and electronically with the Rhode Island Secretary of State. The following Commissioners were present: Ross Cheit, Chair John D. Lynch, Jr.* Marisa A. Quinn, Vice Chair Timothy Murphy Arianne Corrente, Secretary** James V. Murray J. Douglas Bennett The following Commissioner(s) were not present: M. Therese Antone and Robert A. Salk. Also present were Herbert F. DeSimone, Jr., Commission Legal Counsel; Jason Gramitt, Commission Executive Director; Katherine D’Arezzo, Senior Staff Attorney; Lynne Radiches, Staff Attorney/Education Coordinator; Staff Attorneys Teresa Giusti and Teodora Popova Papa; and Commission Investigators Steven T. Cross; Peter J. Mancini; and Gary V. Petrarca. At 9:05 a.m., the Chair opened the meeting. The first order of business was: Approval of minutes of the Open Session held on December 11, 2018. Upon motion made by Commissioner Murray and duly seconded by Commissioner Murphy, it was VOTED: To approve the minutes of the Open Session held on December 11, 2018. AYES: Ross Cheit; Timothy Murphy; James V. Murray; and Marisa A. Quinn. ABSTENTIONS: J. Douglas Bennett. The next order of business was: Advisory Opinions. The advisory opinions were based on draft advisory opinions prepared by Commission Staff for review by the Commission and were scheduled as items on the Open Session Agenda for this date. The first advisory opinion was that of: Timothy McCormick, a member-elect of the Scituate Town Council, seeks an advisory opinion regarding whether the Code of Ethics prohibits him from participating in discussions and decision-making relative to matters involving: (i) the Scituate School Committee, given that his wife is a member-elect of the School Committee; (ii) the Scituate Prevention Partnership, given that his wife is the Director of that coalition; and (iii) the payment of invoices submitted to the Town of Scituate by his wife as an independent contractor. Staff Attorney Radiches presented the Commission Staff recommendation. The Petitioner was present, along with his wife, Erika McCormick. In response to Chair Cheit, Ms. McCormick explained that the grant funds the payments that she receives, and it sets forth requirements for her to follow. In further response to Chair Cheit, Ms. McCormick stated that the grant’s term is for five years and its amount is determined in advance. In response to Chair Cheit, Staff Attorney Radiches explained that the Town decides whether to pay invoices submitted by Ms. McCormick in anticipation of future reimbursement by the Rhode Island Department of Behavioral Healthcare, Developmental Disabilities and Hospitals using grant funds, thereby rendering the Town’s decisions non-ministerial. The Petitioner informed, however, that the State can later deny the Town’s request for reimbursement of the expended funds. In response to Commissioner Quinn, Ms. McCormick stated that she will be more involved with the Town Council during annual budget discussions. The Petitioner explained that, once or twice per year, the Town Council and School Committee discuss the school budget as part of larger budgetary discussions. He further explained that once the Town Council allocates and disperses funds to the School Committee, the Town Council no longer has legal authority over how the School Committee expends the funds. *Commissioner Lynch arrived at 9:13 a.m. The Petitioner informed that he anticipates getting involved in upcoming construction projects at the schools as part of a building sub-committee of the School Committee. He explained that he envisions more cooperation and interaction with the School Committee because of these projects. He further explained that he will not be involved in the finances behind the projects but rather just the planning. The Petitioner informed that he and his wife have requested of the Town to forego their stipends as members of the Town Council and School Committee. Upon motionmade by Commissioner Quinn and duly seconded by Commissioner Bennett, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to Timothy McCormick, a member-elect of the Scituate Town Council. The next advisory opinion was that of: Larry Anderson, a member of the Little Compton Town Council, requests an advisory opinion regarding whether the Code of Ethics prohibits him from participating in the Town Council’s discussions and decision-making relative to a pending litigation matter given that, while he is currently neither a party nor a participant in the litigation, it is reasonably foreseeable that he could be financially impacted by it. Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was present. Staff Attorney Popova Papa explained that certain issues raised by the Petitioner in his request letter were not addressed in the advisory opinion because they are now moot. She informed that the Petitioner has been advised that if those issues arise again, he may request another advisory opinion at such time. The Petitioner asked the Commission whether he must submit a new recusal form for each instance that he recuses on the same matter. Staff Attorney Popova Papa stated that if a matter in which he has recused is ongoing, it is sufficient for him to submit one recusal form explaining the nature of the conflict. Chair Cheit added that the Petitioner must continue to recuse from the matter at each meeting so that the minutes reflect his recusal. The Petitioner also asked how broadly the prohibition against his participation in matters involving the litigation extends and whether he may discuss publicly the litigation in his role as a private citizen as opposed to a council member. Staff Attorney Popova Papa stated that the advisory opinion did not address that separate issue. Commissioner Bennett queried if the Petitioner could speak to reporters. Chair Cheit stated that the Petitioner may speak to reporters about the litigation in his role as a private citizen. Executive Director Gramitt added that if a question arises as to whether the Petitioner may appear before the Zoning or Planning Board on this matter, the analysis would depend on whether the public forum exception applies, and the Petitioner should seek another advisory opinion from the Commission. Upon motion made by Commissioner Quinn and duly seconded by Commissioner Lynch, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to Larry Anderson, a member of the Little Compton Town Council. The next advisory opinion was that of: Sarah Markey, a member of the South Kingstown School Committee, requests an advisory opinion regarding whether the Code of Ethics restricts her participation in various School Committee matters given her employment with the National Education Association of Rhode Island. **Commissioner Corrente arrived at 9:43 a.m. Executive Director Gramitt presented the Commission Staff recommendation. The Petitioner was present. She stated that the advisory opinion provided a great deal of clarity for her. In response to Chair Cheit, the Petitioner informed that the School Committee has its own solicitor with whom she spoke about these issues. Executive Director Gramitt explained that the Petitioner had first been considered for appointment to fill a vacancy on the School Committee. At that time, the School Committee sought advice from its solicitor as to the propriety of such an appointment. The Petitioner further informed that the solicitor advised her that the Code of Ethics prohibits her from participating in matters that the instant advisory opinion allows, contradicting the advice of the Commission. In response to Commissioner Quinn, Executive Director Gramitt stated that the Code provisions relating to confidentiality also apply here. He explained that the Petitioner is prohibited from using any confidential information that she obtains during executive sessions of School Committee meetings to financially benefit her employer. In further response to Commissioner Quinn, Executive Director Gramitt stated that the prohibition also applies to information she obtains throughout the year that may become relevant during annual contract negotiations. In response to Chair Cheit, Executive Director Gramitt stated that he will amend the advisory opinion to add a sentence regarding the confidentiality provisions of the Code of Ethics as they apply to the Petitioner. Commissioner Bennett and Chair Cheit advised the Petitioner to be vigilant in identifying possible conflicts and to seek further guidance as more concrete issues arise. Upon motion made by Commissioner Bennett and duly seconded by Commissioner Quinn, it was VOTED: To issue an advisory opinion, amended and attached hereto, to Sarah Markey, a member of the South Kingstown School Committee. AYES: Ross Cheit; J. Douglas Bennett; John D. Lynch, Jr.; Timothy Murphy; James V. Murray; and Marisa A. Quinn. ABSTENTIONS: Arianne Corrente. The next advisory opinion was that of: The Honorable Stephen R. Archambault, a legislator serving in the Rhode Island Senate, who was recently selected by the Smithfield Town Council to serve as the Town of Smithfield’s Assistant Solicitor for criminal prosecutions, requests an advisory opinion regarding whether he may simultaneously serve in both positions. Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was not present. In response to Chair Cheit, Staff Attorney Popova Papa stated that the Town Council asked the Petitioner to obtain an advisory opinion. Executive Director Gramitt further explained that, according to Senator Archambault, following the Town Council’s vote to select him as Assistant Solicitor, the Council informed that his appointment was subject to his obtaining an advisory opinion. Discussion ensued by the Commission regarding the remote likelihood of the Petitioner encountering conflicts in his new position. In response to Commissioner Lynch, Staff Attorney Popova Papa stated that although the Petitioner has been a prosecutor for many years, he was concerned about a possible conflict in his new role because he will now be prosecuting individuals in his own district. Upon motion made by Commissioner Murray and duly seconded by Commissioner Quinn, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to The Honorable Stephen R. Archambault, a legislator serving in the Rhode Island Senate, who was recently selected by the Smithfield Town Council to serve as the Town of Smithfield’s Assistant Solicitor for criminal prosecutions. The next advisory opinion was that of: William J. Piva, Jr., a member of the Jamestown Town Council, requests an advisory opinion regarding whether he may participate in the Town Council’s discussions and decision-making relative to an increase in the amount of the tax benefit available for veterans, given that he is eligible for and receives the existing benefit. Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was not present. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Corrente, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to William J. Piva, Jr., a member of the Jamestown Town Council. The final advisory opinion was that of: Nancy A. Beye, a member of the Jamestown Town Council, requests an advisory opinion regarding whether she may participate in the Town Council’s discussions and decision-making relative to an increase in the amount of the tax benefit available for veterans, given that her spouse is eligible for the existing tax benefit. Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was not present. Staff Attorney Popova Papa explained that the facts and inquiry are like those in the previous advisory opinion for William J. Piva, Jr., except that here, the Petitioner’s spouse is affected by the increase in the amount of the tax benefit. In response to Chair Cheit, Staff Attorney Popova Papa stated that the remaining questions that the Petitioner raised in her request letter will be addressed in a separate advisory opinion. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Corrente, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to Nancy A. Beye, a member of the Jamestown Town Council. Executive Session. At 10:03 a.m., uponmotion made by Commissioner Murphy and duly seconded by Commissioner Corrente, it was unanimously VOTED: To go into Executive Session, to wit: 1. Motion to approve the minutes of the Executive Session held on December 11, 2018, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 2. In re: Linda Carter, Complaint No. 2018-8, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 3. In re: Ralph A. Palumbo, Complaint No. 2018-14, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 4. Motion to return to Open Session. At 10:28 a.m., the Commission reconvened in Open Session. The next order of business was: Motion to seal minutes of Executive Session held on January 8, 2019. Upon motion made by Commissioner Quinn and duly seconded by Commissioner Lynch, it was unanimously VOTED: To seal the minutes of the Executive Session held on January 8, 2019. The next order of business was: Report on actions taken in Executive Session. Chair Cheit reported that the Commission took the following actions in Executive Session: 1. Voted (6-0) to approve the minutes of the Executive Session held on December 11, 2018. [Reporter’s Note: The vote was as follows: AYES: Ross Cheit; Arianne Corrente; John D. Lynch, Jr.; Timothy Murphy; James V. Murray; and Marisa A. Quinn. ABSTENTIONS: J. Douglas Bennett.] 2. Unanimously voted (7-0) in the matter of In re: Linda Carter, Complaint No. 2018-8, to find that probable cause exists to believe that the Respondent violated the Code of Ethics by voting to approve the payment of bills on 9/13/16 and 5/9/17, which included payments to herself. Unanimously voted (7-0) in the matter of In re: Linda Carter, Complaint No. 2018-8, to find that probable cause exists to believe that the Respondent violated the Code of Ethics by voting to approve the payment of bills on 9/13/16, 2/14/17, 5/9/17, 11/14/17, and 3/20/18, which included payments issued to members of her family. Unanimously voted (7-0) in the matter of In re: Linda Carter, Complaint No. 2018-8, to find that probable cause exists to believe that the Respondent violated the Code of Ethics by voting to approve the payment of bills on 10/18/16, 3/21/17, and 5/8/18, which included bills from Carter Bros., Inc. 3. Unanimously voted (7-0) in the matter of In re: Ralph A. Palumbo, Complaint No. 2018-14, to initially determine that the facts alleged in the Complaint regarding the failure to file a 2017 Financial Statement, if true, are sufficient to constitute a knowing and willful violation of the Code of Ethics and to authorize an investigation. The next order of business was: Director’s Report: Status report and updates. a.) Complaints and investigations There are 14 complaints pending, which include nine substantive complaints and five non-filing complaints. Executive Director Gramitt noted that the next few meetings will have full agendas consisting of an adjudication and probable cause hearings on the remaining non-filing complaints. He asked for full attendance by members of the Commission at these meetings. b.) Advisory opinions There were 14 advisory opinions pending. c.) Access to Public Records Act requests since last meeting Seven APRA requests were received since the last meeting, all of which were granted within one business day. The breakdown was: two requests related to financial disclosure; three requests related to advisory opinions; one related to complaint materials; and one request was for the Commission’s 2019 meeting schedule. d.) Education Update There have been 23 ethics training seminars provided by the Commission Staff thus far for the current fiscal year. Education Coordinator Radiches has conducted most of those training seminars. She has reached out to cities, towns, and fire districts to arrange ethics training seminars and has received positive responses. Executive Director Gramitt informed that ethics training will be provided at the Senate tomorrow evening and at the House in two weeks. In response to Chair Cheit’s inquiry from a previous meeting, Executive Director Gramitt informed that the November 2018 report regarding web traffic related to online access to financial statements reflects that there were 2,500 pageviews and 1,100 unique views. He stated that over 99% of the views originated from the United States and less than 1% from China. He informed that the Commission’s IT source explained that the pageviews from China did not necessarily initiate in China. IT tracks web activity for suspicious views, especially those originating from international sources. Executive Director Gramitt stated that IT will provide quarterly reports regarding web traffic. Executive Director Gramitt informed that the Commission’s compliance rate for 2017 filings reached 99%, the highest in Commission history. He noted that the remaining non-filers generally represent those with special circumstances. He informed that online filing of the 2018 Financial Statements is now accessible and hard copies will be mailed out in March. The final order of business was: New Business. There was no new business. At 10:37 a.m., upon motion made by Commissioner Corrente and duly seconded by Commissioner Murphy, it was unanimously VOTED: To adjourn. Respectfully submitted, ______________________________ Arianne Corrente Secretary