Minutes June 7, 2016 MINUTES OF THE OPEN SESSION OF THE RHODE ISLAND ETHICS COMMISSION June 7, 2016 The Rhode Island Ethics Commission held its 7th meeting of 2016 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, June 7, 2016, 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 John D. Lynch, Jr., Vice Chair* Timothy Murphy Robert A. Salk, Secretary Marisa A. Quinn 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 Amy C. Stewart; and Commission Investigators Steven T. Cross, Peter J. Mancini and Gary V. Petrarca. At 9:15 a.m., the Chair opened the meeting. The first order of business was: Approval of minutes of the Open Session held on May 24, 2016. Upon motion made by Commissioner Quinn and duly seconded by Commissioner Heffner, it was unanimously VOTED: To approve minutes of the Open Session held on May 24, 2016. The next order of business was: Advisory Opinions. The advisory opinion was based on a draft advisory opinion prepared by Commission Staff for review by the Commission and was scheduled as an item on the Open Session Agenda for this date. *Commissioner Lynch arrived at 9:16 a.m. The only advisory opinion was that of: Andrea Hammerschmidt, a Senior Word Processing Typist at the Rhode Island Department of Corrections, requests an advisory opinion regarding whether the Code of Ethics prohibits her from working in her private capacity as a facilitator at Rhode Island Batterer’s Intervention Program. Staff Attorney Stewart presented the Commission Staff recommendation. The Petitioner was not present. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Salk, it was unanimously VOTED: To issue an advisory opinion, attached hereto, to Andrea Hammerschmidt, a Senior Word Processing Typist at the Rhode Island Department of Corrections. The next order of business was: Legislative Update: A discussion of the Commission’s legislative agenda and priorities for 2016, and a review, discussion and possible vote as to the Commission’s position on pending and anticipated legislation including: House Resolution H8189 and Senate Resolution S2953. Staff Attorney Gramitt advised that there is nothing new to report since the last Commission meeting. He stated that the bills will likely be scheduled for House and Senate Judiciary Committee consideration next week. He noted that he is hoping for the submission of a SubA in which the language relative to the moratorium is removed. The next order of business was: Commission discussion and potential vote re: Initiating rulemaking to establish a moratorium on the filing of ethics complaints against declared candidates for elective office during a period leading up to a general or special election. Staff Attorney Gramitt stated that the bills from the legislative update contain language which, if passed by the General Assembly and approved by the voters in November, would add a moratorium to the Rhode Island Constitution relative to the filing of Ethics complaints against declared candidates for elective office during campaign seasons. He explained that it would be preferable to enact such a moratorium in the Code of Ethics by means of rulemaking. He summarized the materials provided to the Commission in the packet, which included draft language for a proposed regulation, statistics on complaints filed over the past ten years, and some examples of moratoriums in other states. Discussion ensued about the statistics. In response to Chair Cheit, Legal Counsel Alves explained the process to promulgate regulations under the Administrative Procedures Act (“APA”). He stated that if the Commission votes to initiate rulemaking today, it could have the 30-day notice period required by the APA to solicit written comment and schedule a hearing on July 19, 2016. Discussion turned to the draft language for a moratorium regulation. Commissioner Murphy stated that he thought the draft was well written and that this was an important issue for the Commission to consider regulating. In response to Commissioner Lynch, Staff Attorney Gramitt stated that this regulation would apply to both incumbents seeking reelection and challengers. There was discussion about what would happen procedurally to complaints that were not accepted during a moratorium. Commissioner Heffner supported proceeding with rulemaking and he encouraged persons to submit their comments in writing so they can be reviewed by the Commission prior to the hearing. Upon motion made by Commissioner Murphy and duly seconded by Commissioner Salk, it was unanimously, VOTED: To initiate rulemaking on the draft language considered today for a “Limitation on Pre-Election Complaints.” The next order of business was: Commission discussion and potential vote re: Staff proposal to increase financial disclosure compliance and accuracy by implementing a grace period for the filing of amendments to financial disclosure statements. Staff Attorney Gramitt stated that this year he has observed more amendments to financial statements than in prior years. He noted that the most common omissions were occupational income received from one’s elective office, positions on non-profit boards and indebtedness for car loans and student loans. He stated that, generally, the omissions were evidence of inattention to detail and filling out the Financial Disclosure Statements (“Statements”) too quickly. Given both the surge in amendments and the press attention that it has been receiving, primarily for the amendments made by members of the General Assembly, he proposed a grace period for the filing of amendments in order to encourage completeness of the Statements without the fear that the amendment will prompt the filing of a complaint for the failure to timely disclose such information. Staff Attorney Gramitt summarized the notice that he proposed mailing to everyone who was required to file a 2015 Statement, asking required filers to review all of their past Statements for completeness and to make any necessary amendments by July 18, 2016. He stated that if the grace period were imposed such amendments would be considered timely. Discussion ensued. Chair Cheit suggested that if the grace period were imposed it should be accompanied by an exploration of why these amendments are necessary. In response to Chair Cheit, Staff Attorney Gramitt stated that, while the number of omissions has likely not increased, the detection of such omissions has increased and received publicity both in traditional and social media. In response to Commissioner Quinn, Staff Attorney Gramitt stated that this would be a one-time grace period, in the hopes that next year required filers would take more care in completing their Statements. Chair Cheit stated that he supported a grace period because it emphasized that the goal is compliance and it keeps the Commission’s focus on the importance of disclosure. Upon motion made by Commissioner Salk and duly seconded by Commissioner Murphy, it was unanimously VOTED: To implement a one-time grace period for the filing of amendments for any previously filed Financial Disclosure Statements until July 18, 2016; whereby any amendments filed on or before the deadline will be considered timely, and the Commission will not initiate or accept complaints alleging the untimely disclosure of information contained in such amendments. The next order of business was: Executive Session. At 10:10 a.m., upon motion made by Commissioner Quinn and duly seconded by Commissioner Lynch, it was unanimously VOTED: To go into Executive Session, to wit: 1. Motion to approve minutes of the Executive Session held on May 24, 2016, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 2. In re: Charles A. Collins, Jr., Complaint No. 2016-1, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 3. In re: Donald Grebien, Complaint No. 2016-6, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 4. In re: Anastasia Williams, Complaint No. 2016-7, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) and (4). 5. Annual discussion and review re: Legal Counsel’s contract, pursuant to R.I. Gen. Laws § 42-46-5(a)(1) At 10:53 a.m., the Commission reconvened in Executive Session. Upon motion made by Commissioner Heffner and duly seconded by Commissioner Murphy, it was unanimously VOTED: To seal the minutes of the Executive Session held on June 7, 2016. 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. Unanimously voted to approve the minutes, as amended, of the Executive Session held on May 24, 2016. 2. Unanimously voted (6-0) in the matter of In re: Charles A. Collins, Jr., Complaint No. 2016-1, that probable cause does not exist to believe that the Respondent violated the Code of Ethics as alleged in the Complaint. 3. Unanimously voted (6-0) in the matter of In re: Donald Grebien, Complaint No. 2016-6, that the Complaint states facts that, if true, are sufficient to constitute a knowing and willful violation of the Code of Ethics, and to authorize a full investigation. 4. Unanimously voted (5-0) in the matter of In re: Anastasia Williams, Complaint No. 2016-7, to dismiss the Complaint. [Commissioner Lynch recused from this matter and was not present while it was being considered.] 5. Discussed Legal Counsel Alves’s contract. Legal Counsel Alves waived his right to have the discussion held in Open Session. The next order of business was: Annual discussion and potential vote re: Legal Counsel’s Contract. This matter was previously discussed in Executive Session. Upon motion made by Commissioner Lynch and duly seconded by Commissioner Heffner, it was unanimously VOTED: To renew Legal Counsel’s contract for another year. The next order of business was: Director’s Report. Executive Director Willever reported that there were three (3) complaints and three (3) advisory opinions pending. He stated that forty-five (45) APRA requests were received since the last meeting, forty-four (44) of which were granted within one business day and one (1) of which was still under review. The next order of business was: New Business Chair Cheit thanked Staff Attorney Stewart for her service to the Commission and wished her well in her new position. At 10:59 a.m., upon motion made by Commissioner Murphy and duly seconded by Commissioner Lynch, it was unanimously VOTED: To adjourn. Respectfully submitted, __________________ Robert A. Salk Secretary