Minutes January 7, 2025

MINUTES OF THE OPEN SESSION

OF THE RHODE ISLAND ETHICS COMMISSION

January 7, 2025

The Rhode Island Ethics Commission held its 1^st meeting of 2025 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 7, 2025, 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:

Lauren E. Jones, Chair Frank J. Cenerini

Holly J. Susi, Vice Chair Emma L. Peterson

Dr. Michael Browner, Jr. Scott P. Rabideau

The following Commissioners were not present: Jill Harrison; Hugo L. Ricci, Jr.; and Matthew D. Strauss.

Also present were Herbert F. DeSimone, Jr., Commission Legal Counsel; Jason Gramitt, Commission Executive Director; Katherine D’Arezzo, Senior Staff Attorney; Lynne M. Radiches, Staff Attorney/Education Coordinator; Staff Attorney Teodora Popova Papa; and Commission Investigators Peter J. Mancini, Gary V. Petrarca, and Kevin Santurri.

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 December 10, 2024.

Upon motion made by Commissioner Rabideau and duly seconded by Commissioner Susi, it was unanimously

VOTED: To approve the minutes of the Open Session held on December 10, 2024.

The next order of business was:

Director’s Report: Status report and updates.

Executive Director Gramitt informed that the meeting materials and agenda are available on the Commission’s website. He stated that the Open Session portion of today’s meeting is being livestreamed, after which the livestream will be closed while the Commission convenes in Executive Session. At the conclusion of Executive Session, the Commission will resume livestreaming in Open Session and report out all actions taken in Executive Session. The report out also will be available on the Commission’s website after the meeting.

a.) Complaints and investigations pending

There are six complaints pending, two of which have been noticed for today in executive session. Executive Director Gramitt stated that there are three complaint matters tentatively awaiting adjudicative hearings. He informed that discovery is ongoing in the matter of In re: James Thorsen and that counsel is working to schedule an appropriate time for adjudication of In re: Michael Colasante. He informed that adjudication of In re: Michael Dowhan Jr. has been postponed while issues relating to the Respondent’s availability are resolved. In response to Chair Jones, Executive Director Gramitt informed that there is no impending statutory time limitation for the three complaints awaiting adjudication.

b.) Advisory opinions pending

There are nine advisory opinions pending, four of which have been noticed for today’s meeting.

c.) Access to Public Records Act requests since last meeting

There was one APRA request received since the last meeting that related to state contracts and vendor information over a period of multiple years, which was completed within the 10 day statutory period.

d.) Financial disclosure

Executive Director Gramitt informed that the 2024 Financial Statement is now available for online filing, but it is not due until April 25, 2025. The staff is continuing to receive updated information from municipal clerks.

e.) General office administration

Executive Director Gramitt informed that the next meeting will be held on January 28, 2025, and he anticipates fairly full agendas for the next few meetings. He reminded the Commission that five affirmative votes are needed to issue advisory opinions, whereas all other matters require a simple majority vote.

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:

Scott A. Gibbs, the town administrator for the Town of North Smithfield, requests an advisory opinion regarding whether he is prohibited by the Code of Ethics from accepting part-time work as a private consultant.

Staff Attorney Popova Papa presented the Commission Staff recommendation. The Petitioner was present. Upon motion made by Commissioner Cenerini and duly seconded by Commissioner Peterson, it was unanimously

VOTED: To issue an advisory opinion to Scott A. Gibbs, the town administrator for the Town of North Smithfield .

The next advisory opinion was that of:

Andy Andujar, a member-elect of the Cranston City Council, requests an advisory opinion regarding whether he is prohibited by the Code of Ethics from privately retaining the services of one or more consultants to conduct impact studies and related research for the Petitioner’s personal use when drafting various proposed municipal ordinances to be then submitted to the city council for its consideration.

Staff Attorney Radiches presented the Commission Staff recommendation. The Petitioner was present. Upon motion made by Commissioner Rabideau and duly seconded by Dr. Michael Browner, Jr., it was unanimously

VOTED: To issue an advisory opinion to Andy Andujar, a member-elect of the Cranston City Council.

The next advisory opinion was that of:

Adam M. Millard, Esq., a member of the East Greenwich Historic District Commission, requests an advisory opinion regarding whether he qualifies for a hardship exception to the Code of Ethics’ prohibition on representing himself before his own agency, in order to seek a certificate of appropriateness to replace an existing shed at his home.

Staff Attorney Popova Papa presented the Commission Staff recommendation. She informed that the Petitioner requested that the matter proceed in his absence. Staff Attorney Popova Papa noted that the Petitioner requested two edits to the draft to reflect that the new shed would be more suitable to his needs but not necessarily larger. Upon motion made by Commissioner Susi and duly seconded by Commissioner Cenerini, it was unanimously

VOTED: To issue an advisory opinion, as amended, to Adam M. Millard, Esq., a member of the East Greenwich Historic District Commission.

The final advisory opinion was that of:

Diane Hayde, a member of the New Shoreham Water District Commission and the New Shoreham Sewer District Commission, requests an advisory opinion regarding whether she qualifies for a hardship exception to the Code of Ethics’ prohibition against representing herself before an agency of which she is a member in order to request from each commission an amended allocation for water and sewer usage pertaining to her properties and to seek credit for penalties paid or overpayments made relative to her water and sewer usage during the previous billing cycle.

Staff Attorney Radiches presented the Commission Staff recommendation. She informed that the Petitioner was unable to be in attendance but asked that the matter proceed in her absence. Upon motion made by Dr. Michael Browner, Jr. and duly seconded by Commissioner Rabideau, it was unanimously

VOTED: To issue an advisory opinion to Diane Hayde, a member of the New Shoreham Water District Commission and the New Shoreham Sewer District Commission.

At 9:35 a.m., upon motion made by Commissioner Susi and duly seconded by Dr. Michael Browner, Jr., it was unanimously

VOTED: To go into Executive Session, to wit:

a. Motion to approve minutes of Executive Session held on December 10, 2024, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) & (4).

b. In re: Anastacia Williams, Complaint No. 2024-11, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) & (4).

c. In re: Michael DeFrancesco, Complaint No. 2024-13, pursuant to R.I. Gen. Laws § 42-46-5(a)(2) & (4).

d. Motion to return to Open Session.

Executive Director Gramitt informed that the livestream meeting would be stopped during Executive Session.

At 10:01 a.m., the Commission reconvened in Open Session. The livestream of the meeting resumed.

The next order of business was:

Motion to seal minutes of Executive Session held on January 7, 2025.

Upon motion made by Commissioner Peterson and duly seconded by Dr. Michael Browner, Jr., it was unanimously

VOTED: To seal the minutes of the Executive Session held on January 7, 2025.

The next order of business was:

Report on actions taken in Executive Session.

Chair Jones reported that the Commission took the following actions in Executive Session:

Unanimously voted (6-0) to approve the minutes of the Executive Session held on December 10, 2024.
Unanimously voted (6-0) in the matter of In re: Anastacia Williams, Complaint No. 2024-11, that there does not exist probable cause to believe that the Respondent, Anastacia Williams, a 2024 candidate for the Rhode Island House of Representatives, violated R.I. Gen. Laws §§ 36-14-16 and 36-14-17 by not disclosing her position as Community Based Organizations Coordinator with the City of Providence Recreation Department on her 2023 Financial Disclosure Statement.
Unanimously voted (6-0) in the matter of In re: Michael DeFrancesco, Complaint No. 2024-13, to determine that the matter was moot in light of the Respondent coming into immediate and full compliance with the Financial Disclosure Mandate.
Unanimously voted (6-0) to return to Open Session.

The next order of business was:

Preliminary discussion and voting on Petition for Adoption/Amendment of Regulations from Common Cause Rhode Island regarding gifts, financial disclosure, and procurement.

Executive Director Gramitt advised that Common Cause Rhode Island filed a petition for rulemaking pursuant to the Administrative Procedures Act, which requires the Commission within 30 days to either deny the petition or engage in the rulemaking process. He outlined the requirements of the rulemaking process, which could culminate in a vote to adopt or amend a regulation. He further informed that any motion to adopt or amend a regulation must pass by a 2/3 vote. In response to Chair Jones, Executive Director Gramitt stated that once the Commission decides to engage in rulemaking, there is no time limit upon its completion.

John Marion, Executive Director of Common Cause Rhode Island, addressed the Commission regarding the petition. The petition requests the initiation of rulemaking to amend the current gift regulation to categorically bar the acceptance by public officials of all gifts from registered lobbyists. It further requests the initiation of rulemaking to adopt or amend a financial disclosure regulation to require disclosure of gifts of $25 or more, not otherwise governed or prohibited by the current gift regulation, if it is more likely than not that the gift would not have been given but for the fact that the recipient holds a public office or position. Finally, the petition asks the Commission to examine the section of the Code of Ethics regarding government procurement to suggest potential amendments thereto.

Mr. Marion explained that Common Cause petition was prompted by its review of records released by the Attorney General in the ILO investigation. He noted that the Attorney General’s legal analysis was based upon application of section 5(d) of the Code of Ethics. After reviewing the materials and the current gift regulation, Common Cause decided not to file a complaint and to identify areas of the Code that may need strengthening. Mr. Marion expressed that the current gift rule does not sufficiently protect the public interest because it only limits gifts from “interested persons,” which does not categorically include lobbyists. He suggested that a source-based rule would better protect the public interest and be easier to apply, adding that Massachusetts, New Hampshire, and Vermont have source-based prohibitions applying to lobbyists and those who employ lobbyists.

Mr. Marion proposed adding a question to the annual Financial Statement requiring the disclosure of all gifts received by public officials due to their status as public officials, although he noted that amending the gift regulation as suggested might obviate the need to do so. He further discussed review of the Code of Ethics’s procurement provisions to identify possible improvements.

Commissioner Cenerini expressed reservations as to the Commission’s jurisdiction over lobbyists as well as any proposed shifting of the burden of proof as to establishing a financial nexus between the gift giver and recipient. Chair Jones noted that the Commission does regulate the ability of public officials to receive gifts from third parties not subject to the Code, which may include lobbyists. Commissioner Cenerini stated that there is an existing, comprehensive lobbying statute. He further stated that adoption of such a regulation would require public officials to check each time they receive a gift whether the gift giver is a registered lobbyist.

In response to Commissioner Cenerini’s jurisdictional concerns, Mr. Marion stated that he does not view the request as an expansion of jurisdiction because the Commission already regulates gifts from lobbyists. He suggested that it would be easier to apply an express prohibition against accepting gifts from lobbyists than in each instance undertaking an analysis as to whether the gift giver has a financial interest in decisions made by the gift recipient. He clarified that Common Cause is not proposing to shift the burden of proof but to apply a presumption that a gift is subject to the gift regulation, unless one of the exceptions apply, without going through a financial nexus analysis.

Executive Director Gramitt explained that if the Commission ultimately were to take regulatory action, it would need to make certain findings, such as showing that there is a need for the regulation, that the proposal is the least restrictive means to accomplish its goal, and that it is economically feasible. He asked whether there was any evidence, or indication, that public officials are receiving substantial gifts, other than travel, from non-interested persons, and suggested that the petitioner might be asked to provide examples. Executive Director Gramitt clarified that the procurement statute over which the Commission has enforcement authority is not part of the Code of Ethics and its amendment is a matter for the General Assembly to undertake.

Discussion ensued regarding the need for further information regarding the petitioner’s assertion that the Attorney General’s findings and conclusions in the ILO investigation support the requested changes to the gift rule and to financial disclosure. Mr. Marion agreed to provide further information and had no objection to affording the Commission additional time beyond 30 days to consider and respond to Common Cause’s petition. Upon motion made by Commissioner Peterson and duly seconded by Dr. Michael Browner, Jr., it was unanimously

VOTED: To continue consideration of Common Cause Rhode Island’s petition, with the approval of Common Cause, to February 11, 2025.

The next order of business was:

Discussion and potential voting regarding adoption or amendment of Fine Schedule for Financial Disclosure Complaints consistent with Commission Regulation 520-RICR-00-00-3.30 Procedure for Complaints Relating to Financial Disclosure (1023).

Executive Director Gramitt presented a revised and consolidated draft fine schedule for complaints that solely allege delinquent or deficient financial disclosure statements, as initially discussed by the Commission at the October 29, 2024 meeting. He explained that the revised draft recognizes the Commissioners’ prior comments that the schedule need not be followed in circumstances that would justify otherwise, such as complaints involving scofflaws or intentional omissions. He further noted that either the Executive Director or the respondent may elect to disregard the schedule and proceed pursuant to the Commission’s formal procedures for contested matters.

As to delinquent statements, Executive Director Gramitt explained that complaints may be administratively dismissed if the respondent properly files the delinquent statement within 30 days of the applicable filing deadline. For complaints alleging that a statement is more than 30 days delinquent, the matter may be informally resolved without the need to appear before the Commission if, prior to a probable cause hearing, the respondent properly files the delinquent statement, submits a completed “Consent to Finding of Violation” form, and pays a civil penalty of $100.

As to deficient statements, Executive Director Gramitt explained that, at the Executive Director’s discretion, such matters may be administratively dismissed or informally resolved without the need to appear before the Commission if, prior to a probable cause hearing, the respondent properly amended the deficient statement and corrected any additional deficiencies identified. In informal dispositions, the Executive Director may require and accept payment of a civil penalty up to $500, with a waiver or reduction of same authorized in appropriate cases. He further noted that the Executive Director will advise the Commission of any complaints administratively dismissed or informally resolved pursuant to the schedule.

Chair Jones suggested that a written list be created to contain all matters resolved pursuant to the schedule. In response to Commissioner Cenerini, Legal Counsel DeSimone advised that amending the existing fine schedule would not amend Commission Regulation 3.30. Chair Jones questioned treating individuals who are more than 30 days late in filing differently from those within the 30-day period. Commissioner Peterson noted that individuals who are more than 30 days late have missed all of the Commission’s reminders. Upon motion made by Commissioner Peterson and duly seconded by Commissioner Rabideau, it was unanimously

VOTED: To approve the January 2025 draft schedule of fines and penalties for complaints alleging deficient and delinquent Financial Statements as presented.

Executive Director Gramitt clarified that currently pending matters may, in his discretion, be handled pursuant to the new schedule.

The next order of business was:

New Business proposed for future Commission agendas and general comments from the Commission.

There was none.

At 11:19 a.m., upon motion made by Dr. Michael Browner, Jr. and duly seconded by Commissioner Rabideau, it was unanimously

VOTED: To adjourn the meeting.

Respectfully submitted,

___________________________

Matthew D. Strauss

Secretary