Minutes February 7, 2017 MINUTES OF THE OPEN SESSION OF THE RHODE ISLAND ETHICS COMMISSION February 7, 2017 The Rhode Island Ethics Commission held its 2nd meeting of 2017 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, February 7, 2017, 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 Mark B. Heffner*** Marisa A. Quinn, Vice Chair John D. Lynch, Jr.** Robert A. Salk, Secretary* Timothy Murphy M. Therese Antone** James V. Murray J. Douglas Bennett Also present were Edmund L. Alves, Jr., Commission Legal Counsel; Kent A. Willever, Commission Executive Director; Katherine D’Arezzo, Senior Staff Attorney; Jason Gramitt, Education Coordinator/Staff Attorney; Staff Attorneys Teresa Giusti and Teodora Popova Papa; and Commission Investigators Steven T. Cross, Peter J. Mancini, and Gary V. Petrarca. At 9:02 a.m., the Chair opened the meeting. The first order of business was: Approval of minutes of the Open Session held on January 10, 2017. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Quinn, it was VOTED: To approve minutes of the Open Session held on January 10, 2017. AYES: J. Douglas Bennett; Marisa A. Quinn; Timothy Murphy; and Ross Cheit. ABSTENTIONS: James V. Murray. *Commissioner Salk arrived at 9:03 a.m. 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: Thomas F. Holberton, a member of the Town of Hopkinton Planning Board, requests an advisory opinion regarding whether he qualifies for a hardship exception to the Code of Ethics’ prohibition on representing himself before his own board, in order to establish a family residential compound on his property. Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was present. **Commissioners Lynch and Antone arrived at 9:06 a.m. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Quinn, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to Thomas F. Holberton, a member of the Town of Hopkinton Planning Board. The next advisory opinion was that of: Steven Contente, the newly elected Town Administrator for the Town of Bristol, requests an advisory opinion regarding whether the Code of Ethics prohibits him from participating in the Bristol Zoning Board’s review of a private zoning application for the construction of a freestanding Dunkin Donuts restaurant and a drive-thru window, given that he owns real estate in the area. Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was present. Staff Attorney Popova Papa noted an amendment to the draft opinion. She explained that the first full paragraph on page 2 of the draft opinion will be deleted, but that doing so does not change the legal analysis or recommendation. In response to Commissioner Quinn, the Petitioner explained that, as part of a comprehensive review, there will be a second hearing held on February 8, 2017, at which the private zoning application will be considered and the Petitioner will ask the Fire Chief to discuss his recommendation on safety matters implicated if the application is approved. The Petitioner will also ask the Director of Community Development to discuss the impact of construction on the neighborhood. The Petitioner further explained that his parents own a home in which he has a future interest, but he does not live at the home. He also stated that the home is outside the 200-foot radius required to receive notice. In further response to Commissioner Quinn, the Petitioner explained that, as the Town Administrator, his duties include interjecting himself at hearings on behalf of the interests of the town and ensuring that his staff provides information to the Zoning Board members to assist in their review and decisions. The Petitioner noted that he has no appointing authority over the Zoning Board or Planning Board. Upon motion made by Commissioner Quinn and duly seconded by Commissioner Murphy, it was unanimously VOTED: To issue an advisory opinion, as amended and attached hereto, to Steven Contente, the newly elected Town Administrator for the Town of Bristol. The next advisory opinion was that of: Brian M. Daniels, a former Deputy Budget Officer in the Office of Management and Budget, requests an advisory opinion on the application of the revolving door provisions of the Code of Ethics, given his new employment as the Executive Director of the Rhode Island League of Cities and Towns. Staff Attorney Gramitt presented the Commission Staff recommendation. The Petitioner was present. In response to Commissioner Murphy, Staff Attorney Gramitt explained that the Petitioner may perform ministerial functions in his new employment which do not involve the exercise of discretion or decision making by his former agencies. Upon motion made by Commissioner Antone and duly seconded by Commissioner Quinn, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to Brian M. Daniels, a former Deputy Budget Officer in the Office of Management and Budget. *** Commissioner Heffner arrived at 9:39 a.m. The next order of business was: Adjudication: In re: Peter Palumbo, Complaint No. 2014-6. The hearing was stenographically recorded and a transcript of the proceeding will be available at the Commission Offices. Commission Prosecutor Katherine D’Arezzo represented the People of the State of Rhode Island. The Respondent, Peter Palumbo, was present and represented by Terence E. Livingston, Esq. Tracy Teixeira, Commission Officer Manager, and Alice Aieskoll, Administrative Assistant, were present during the hearing to serve as clerks and assist with the exhibits. The Respondent waived the reading of the Commission’s Finding of Probable Cause. The parties presented a joint stipulation as to facts and exhibits. Joint Exhibit J1, with Exhibits A-H attached thereto, was admitted as a full exhibit. Both parties gave opening statements. Commission Prosecutor D’Arezzo discussed the exhibits and answered questions from the Commission. The Adjudication was paused at 10:15 a.m. due to technical difficulties. The next order of business was: Executive Session. At 10:26 a.m., upon motion made by Commissioner Antone and duly seconded by Commissioner Murphy, it was unanimously VOTED: To go into Executive Session, to wit: 1. Motion to approve the minutes of the Executive Session held on January 10, 2017. 2. In re: Thomas Rose, Jr., Complaint No. 2016-9, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). At 11:10 a.m., the Commission reconvened in Open Session and resumed the adjudication of In re: Peter Palumbo, Complaint No. 2014-6. Attorney Livingston presented the testimony of Dennis M. DeSantis, a CPA. Commission Prosecutor D’Arezzo did not have any questions for the witness. Mr. DeSantis answered questions from the Commission, and Attorney Livingston questioned the witness on redirect examination. Chair Cheit excused the witness. Both parties presented closing arguments. The Commission questioned the Prosecution and Respondent. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Murray, it was unanimously VOTED: To go into Executive Session to deliberate the matter of In re: Peter Palumbo, Complaint No. 2014-6. The Commission reconvened in Open Session at 12:50 p.m. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Antone, it was VOTED: To find that the Respondent, Peter Palumbo, while serving as an elected member of the Rhode Island House of Representatives, bid on a Rhode Island Department of Environmental Management contract to operate state beach concessions, in violation of Commission Regulation 36-14-5007. AYES: Timothy Murphy; M. Therese Antone; Marisa A. Quinn; Robert A. Salk; J. Douglas Bennett; and Ross Cheit. NOES: John D. Lynch, Jr.; Mark B. Heffner; and James V. Murray. The Commission next considered the matter of a civil penalty. Discussion ensued. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Salk, it was unanimously VOTED: To impose a penalty of $1,000. At approximately 12:56 p.m., Commissioners Salk and Quinn left the meeting. Upon motion made and duly seconded, it was unanimously VOTED: To return to Executive Session, to wit: 1.) In re: Donna M. Travis, Complaint No. 2017-1, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 2.) In re: Donna M. Travis, Complaint No. 2017-2, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 3.) Motion to return to Open Session. At 1:03 p.m., the Commission reconvened in Open Session. The next order of business was: Motion to seal minutes of Executive Session held on February 7, 2017. Upon motion made by Commissioner Antone and duly seconded by Commissioner Murphy, it was unanimously VOTED: To seal minutes of the Executive Session held on February 7, 2017. 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 January 10, 2017. [Reporter’s note – The vote was as follows: AYES: Timothy Murphy; John D. Lynch, Jr.; J. Douglas Bennett; Mark B. Heffner; Marisa A. Quinn; and Ross Cheit. ABSTENTIONS: M. Therese Antone; James V. Murray; and Robert A. Salk.] 2. Unanimously voted (9-0) in the matter of In re: Thomas Rose, Jr., Complaint No. 2016-9, to reject the proposed Informal Resolution & Settlement. 3. Unanimously voted (9-0) in the matter of In re: Thomas Rose, Jr., Complaint No. 2016-9, that probable cause exists to believe that the Respondent violated the Code of Ethics as alleged in the Complaint. 4. Unanimously voted (7-0) to initially determine that the facts alleged in In re: Donna M. Travis, Complaint No. 2017-1, if true, are sufficient to constitute a knowing and willful violation of the Code of Ethics and authorized an investigation. 5. Unanimously voted (7-0) to initially determine that the facts alleged in In re: Donna M. Travis, Complaint No. 2017-2, if true, are sufficient to constitute a knowing and willful violation of the Code of Ethics and authorized an investigation. The next order of business was: Director’s Report. Executive Director Willever reported that there were five (5) complaints and five (5) advisory opinions pending. He stated that eleven (11) APRA requests were received since the last meeting, all of which were granted within one business day. The final order of business was: New Business. Chair Cheit referred to two letters submitted by Common Cause Rhode Island to the Ethics Commission. Chair Cheit instructed that, when the Commission Staff is ready to have an informed discussion regarding the contents of the letters and what a proposed audit would entail, these matters should be placed on the agenda. Commissioner Heffner closed by commending Attorney Gramitt for his recent training sessions at the General Assembly. At 1:06 p.m., upon motion made by Commissioner Antone and duly seconded by Commissioner Lynch, it was unanimously VOTED: To adjourn. Respectfully submitted, ______________________________ Robert A. Salk Secretary