Executive Ethics Board Regular Meeting Minutes

October 10, 2003

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MEETING LOCATION

2425 Bristol Ct SW

First Floor Conference Room 148

Olympia

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AGENDA

A.        Preliminary Business

1.            Roll Call - The meeting was called to order at 9:07 a.m.  Present were Chair Jim Vaché, Vice-Chair Marilee Scarbrough, Member Laquita Fields, and Member Paul Zellinsky.  Also in attendance: Executive Director, Brian Malarky; Board Counsel, Kent Nakamura; Investigator, Sue Jones; Board Staff, Cynthia Castanares; Board Staff, Debbie O’Dell. 

2.         Approval of Agenda - Motion was made, seconded and passed to approve the agenda as written. 

3.            Approval of September 12, 2003 Regular Meeting Minutes - Motion was made, seconded and passed to approve the September 12, 2003 minutes.

B.        Proposed Stipulations and Orders

1.         EEB Case No. 01-005 (Haugland) - Gary Haugland, a Washington State Ferries (WSF) improperly received higher wages when he submitted signed timesheets claiming captain’s wages while at the same time signing the vessel logs as a mate.  In the proposed stipulation and order, Mr. Haugland will repay $1,500.00 to DOT for overpaid wages and will reimburse the Board $250.00 for investigation fees.

Results: After considering the matter in closed session, the Board accepted the proposed stipulation and order without modification.

 

2.         EEB Case No. 02-001 (Bailey) - Dexter Bailey, Assistant Dean for Development/ External Relations at the University of Washington Law School, violated the Ethics Act when he used a state computer to support a private non-profit business, PSDB Investment Group, without receiving prior agency approval.  In the proposed stipulation and order, Mr. Bailey will pay a civil penalty in the amount of $250.00 (Suspended).  The Board will also issue a letter of instruction to Mr. Bailey and Mr. Bailey will reimburse University $100.00 for investigative costs.

Results: After considering the matter in closed session, the Board accepted the proposed stipulation and order without modification.

 

3.         EEB Case No. 02-052 (Jory) - James Jory, a former professor and Associate Dean for the Business Administration at Shoreline Community College (SCC), violated the Ethics Act when he used a state computer to down load and store some 71,715 adult-oriented graphics and movies and sent emails searching for summer attorney employment.  In the proposed stipulation and order, Mr. Jory will pay a civil penalty in the amount of $20,000.00.  The Board agrees to suspend $5000.00 on the condition that Mr. Jory commits no further ethics violations.  Mr. Jory also agrees to reimburse SCC $4000.00 for investigative costs.

Results: After considering the matter in closed session, the Board accepted the proposed stipulation and order without modification.

 

4.         EEB Case No. 02-064 (Murphy) - Mr. Murphy requested a modification to a Board approved Stipulation and Order which would include a payment plan for the $500.00 civil penalty imposed in the Order.

Results: After considering the matter in closed session, the Board accepted the proposed amendment without modification.

 

5.         EEB Case No. 02-065 (Smith) - Ms. Smith requested a modification to a Board approved stipulation and order which would include a payment plan for the $500.00 civil penalty imposed in the order.

Results: After considering the matter in closed session, the Board accepted the proposed amendment to the stipulation and order without modification.

C.        Advisory Opinions

1.         Draft Advisory Opinion 03-05 (University of Washington Research Grants) - Executive Director, Brian Malarky, provided a background summary regarding the application of the Ethics Act’s alternate conflict of interest provisions provided for non-federal higher education grants.  The question before the Board is the scope of the provision and application of these provisions to both federal and non-federal grants and contracts.

            Malcolm Parks, Associate Vice-Provost of Research for the University of Washington addressed the Board and provided details on the research and contract process for University staff.  Board members asked about the alternative process used by the University to resolve or manage conflicts of interest.  Dr. Parks described several mechanisms in place, i.e. disclosure forms, advisory committees, and an oversight Board.  Dr. Parks noted that the University researchers are very aware of the standards regarding the use of state resources and conflicts of interest.  Mr. Parks noted that University has the same goals as the Ethics Board which is to prevent any violations.  The University conducts about 5000 research projects a year and he reviews only 50-80.  There is zero tolerance regarding their requirements for disclosure and a contract or grant will go awry before an ethics issue would present itself.

            Chair Vaché asked Mr. Malarky if the opinion as drafted applied to the University intercollegiate athletics department.  Mr. Malarky noted that the opinion was narrowly crafted to apply only to research grants and contracts received by the University.

            Motion was made and seconded and passed to adopt advisory opinion with a minor editorial change.

BREAK          10:05 AM

RESUMED    10:18 AM

Agenda Item E 6 - Rule making regarding University of Washington Research Contracts -

            Mr. Malarky noted that the Board's rules do not address non-competitive contracts that arise from University research grants or technology transfer agreements, which are approved and managed under RCW 42.52.030(2).  Therefore, the Board or Board staff is required by law to review conflicts in research grants or contracts that have already been addressed under University policy.  The result appears to contradict the purpose of the 1996 amendments to the Ethics Act which resolved differences between state and certain federal conflict of interest provisions in favor of federal standards.  Board staff recommends that the Board draft changes to its procedural rules that pre-approve University research grants or contracts as long as they are approved and managed by the University under RCW 52.030(2).

            Dr. Parks again addressed the Board and answered their questions regarding annual reports.  Chair Vaché would like to see a filing of an annual report.  He has concerns about giving a blanket approval.  Dr. Parks has no problem with that request.

Agenda Item C 2 - Advice Request No. 03-2-0618-023 (Department of Natural Resources) -

            Mr. Malarky presented a memorandum regarding a request for advice from a Department of Natural Resources (DNR) employee, Bill Bidstrup.  Thomas Hoffa, Lead Human Resource Consultant in Labor Relations and Ethics Advisor for the DNR, also addressed the Board.  Mr. Hoffa provided details on the history of the issues raised by Mr. Bidstrup’s request.  Chair Vaché confirmed with Mr. Hoff that DNR has procedures in place for non-collective bargaining employees to file a grievance.

            Motion was made and seconded and passed to affirm Mr. Malarky's informal staff analysis and deny Mr. Bidstrup's request for a formal Board advisory opinion.

E.         Staff Report

1.         Strategic Plan - Chair Vaché suggested that everyone look at the strategic plan and discuss at a later date.  Mr. Vaché noted that he had hoped to obtain an expanded Memorandum of Understanding with the State Auditor's Office.

2.         Election of 2004 Officers - Member Fields nominated Vice-Chair Scarbrough to as Chair and Member Zellinsky as Vice-Chair for 2004.

3.         2004 Meeting schedule - Motion made and seconded and passed to approve the 2004 Meeting Schedule with the January 9th meeting moved to January 12th. 

4.         Budget

5.         Case status update and review

6.         CR 101 - already discussed

7.         Draft statistics regarding civil penalties

F.         Public Comment/Board Member Comments

None

D.        Executive or Closed Session  - At 11:47 a.m., the Board moved into closed and executive session to consider complaints against public officials and to discuss pending litigation with counsel.  The Board, Board Counsel, and Board Staff attended the executive session.  The Board then moved into closed session to deliberate on quasi-judicial matters.  The Board and Board Counsel attended the closed session.

            After reconvening the public session at 1:00 p.m., the Board accepted the proposed stipulations and orders in EEB Case Nos. 01-005 (Haugland), 02-001 (Bailey), 02-052 (Jory), and proposed amendments to EEB Case Nos. 02-064 (Murphy) and 02-065 (Smith) without modifications.

G.        Miscellaneous Matters/Adjournment - Meeting adjourned at 1:10 p.m.