Board of Ethics

“Where People Count” 1000 Civic Center Drive, Niles, Illinois 60714 Telephone (847) 588-8000 ● Fax (847) 588-8051 ● TDD (847) 588-8059 Mayor Robert M. Callero Trustees Chris Hanusiak MINUTES James T. Hynes BOARD OF ETHICS Joe LoVerde Village Hall, Council Chambers Louella B. Preston Andrew Przybylo July 13, 2010 – 5:00 p.m. Alan Weel The Board of Ethics meeting was held on Tuesday, July 13, 2010, at the Village Hall. Village Manager George R. Van Geem The meeting was called to order at 5:00 p.m. by Chairman LoVerde. Village Clerk Members Present: Also Present: Marlene J. Victorine Chairman Trustee Joe LoVerde Compliance Plan Comm. Trustee Louella Preston (6:00 PM) (CPC) Joseph Annunzio Michael Fries Staff Present: Michael Siegel George R. Van Geem, Village Manager Kathy M. Thake, Secretary Approval of Minutes Mr. Fries made a motion, seconded by Mr. Annunzio, to approve the minutes of the June 29, 2010, meeting; on voice vote all concurred. Mr. Siegel abstained because he was not present. Inquiry Report Chairman LoVerde stated that the inquiry report pertaining to the sentencing document is complete. Once the Board of Ethics reviews the report, it will be made public. Compliance Plan Committee Report Mr. Kurfirst reported the frustration of the CPC regarding the length of time it has taken the Board of Ethics to review the proposed Code of Ethics. The CPC believes that the inordinate amount of time spent on revising the language has been wasteful. He stated that the Board should be familiar with the State Law prior to any discussion. The CPC has three main issues dealing with the Code; campaign contributions have not been addressed, the conflict of interest in section 4 needs to be revisited and gift ban act should reflect zero tolerance. Also the CPC would like to have the Board review the by-laws of the committee. Mr. Fries would like to point out to the CPC, that the Board acknowledged at the very least that the language is consistent with states law. And that the discussion broke www.vniles.com  Board of Ethics Meeting, July 13, 2010 down once Trustee Preston disagreed. Chairman LoVerde stated that this code needs to be discussed in great detail and he is unable to stop anyone from Board expressing their opinion. Mr. Siegel stated that once this Code of Ethics is in place, it will have an effect on people’s lives; it must be read and reread in order to have a good understanding. Chairman LoVerde would also like to point out that a $20,000 budget has been passed for the ethics program. Review of Section 6 (Whistle Blower Protection) of the Proposed Draft Ethics Code Mr. Siegel stated that section 6 does not include definitions nor does he agree that remedies should be included in this section. Remedies are defined in section 12, based on this Mr. Siegel recommended the removal of subsections B burden of proof, C remedies, D presumption, E posting. On a voice vote all concurred to remove paragraphs B, C, D, E under section 6. Review of Section 7 (Additional Ethical Principles for all elected Officials and Appointed Officials) of the Proposed Draft Ethics Code Mr. Siegel suggested business interest should be replaced with economic interest under subsection D. Mr. Fries raised an issue as to subsection D whether or not it contradicts section 4. Mr. Annunzio stated that he feels that this section is a catch all, if it is not covered in any other part of the code it will be listed here. Mr. Fries suggested that an individual needs to disclose and abstain. Mr. Annunzio stated that section 4 should be discussed in greater detail in order to take a vote on this section. No vote taken; to be determined once section 4 is complete. Review of Section 8 (Ethical Principles for Persons with Legislative Interest or Who are Close Economic Associates of Elected Officials, Appointed Officials, or Employees) of the Proposed Draft Ethics Code Mr. Fries showed concern with enforcement. Mr. Siegel stated it would be difficult to regulate. His suggestion is to have the entire section be stricken. On a voice vote all concurred to delete section 8. Review of Section 9 (Ethics Training) of the Proposed Draft Ethics Code Mr. Fries suggested that this section should be implemented as written; he is willing to see how it works once this code is passed. Mr. Siegel interpreted the training as such; each employee will read the code and sign a statement attesting to the fact, an ethics in-service will take place on an annual basis followed by each director must also implement an ongoing ethics training program. On a voice vote all concurred on section 9, as amended. Review of Section 10 Miscellaneous Provisions) of the Proposed Draft Ethics Code Mr. Siegel recommended the subsections B, C and D should be removed. Subsection A states that the CPC has authority to report to the Board of Ethics. Subsection B is a duplication of section 9. 2  Board of Ethics Meeting, July 13, 2010 Subsection C references the Village Manager providing an annual report to the Mayor and Board of Trustees on the implementation of this Code of Ethics. Mr. Fries recommended that subsection D stay as written. Mr. Annunzio stated that it would make it perfectly clear to place subsection D under section 9. On a voice vote all concurred on section 10, subsection D will be placed under section 9 and this will eliminate section 10. Review of Section 11 (Abuse of the Code of Ethics) of the Proposed Draft Ethics Code After a short discussion, section 11 will remain as written. On a voice vote all concurred on section 11, under subsection A the word “knowingly” will be stricken. At this point Trustee Preston joined the meeting. Review of Section 12 (Enforcement and Penalties) of the Proposed Draft Ethics Code After much discussion section 12 is rewritten to distinguish punishment for elected/appointed officials and Village employees. A unanimous decision was made to combine numbers 1 through 6 under subsection A and numbers 1 though 5 under subsection B. Discussion continued based on the Village Managers responsibility to hire and fire. It was determined that this should be handled by the Mayor and Board of Trustees as it pertains to a policy decision. A vote will be taken once the Board of Ethics reviews the final language as proposed in the draft Code of Ethics. Review of Section 5 (Gift Ban) of the Proposed Draft Ethics Code After Mr. Siegel presented his opinions on this section, it was determined under subsection A, last sentence of the paragraph will be stricken. A short discussion led to the decision under subsection B, number 6 to reflect the state ethics code verbatim. Mr. Fries pointed out he would like to have subsection B, number 8 reflect $25. Mr. Siegel and Trustee Preston are also in favor of $25. Chairman LoVerde and Mr. Annunzio are in agreement that this should reflect zero. Subsection B, number 8 will stand at $25 as written. Discussion continued under subsection B, number 12 Mr. Fries, Mr. Annunzio, Mr. Siegel and Chairman LoVerde are all in agreement this should reflect zero dollars. Based on this decision, number 12 will be deleted in its entirety. On a voice vote, a motion to approve section 5 as revised, Mr. Fries, Mr. Annunzio, Mr. Siegel and Chairman LoVerde all concurred; Trustee Preston did not approve. Review of Section 4 (Conflicts of Interests and Standard of Conduct) of the Proposed Draft Ethics Code Mr. Siegel stated that this should be a blanket prohibition. Mr. Annunzio stated that this follows State Statute but is slightly more restrictive. Mr. Fries stated that full disclosure and recusal is 3  Board of Ethics Meeting, July 13, 2010 needed to avoid conflict. He also stated that the Village should already have a procurement code in place. The CPC would like to see a more transparent way of doing business in the Village whether it would be in a form of open bidding or advertisement. Mr. Annunzio would like to use State Statute under subsection B with the current exceptions which have been revised January 2010. A decision was made to combine subsection B, numbers 1 and 2 together. First sentence of number 2 will be stricken, and the paragraph will end with the word “programs”. Number 3 has been eliminated as it was redundant. No vote taken; to be completed at the next meeting. The Board will start with subsection C. Next meeting date will be on July 20, 2010 at 6:00 p.m. Executive Session Motion made by Trustee Preston to move into executive session at 8:20 p.m., to discuss six Hotline complaints received, seconded by Mr. Fries; on voice vote all concurred. Motion to reconvene at 8:40 p.m., was made by Trustee Preston, seconded by Mr. Fries, all concurred. Motion to adjourn was made by Trustee Preston, seconded by Chairman LoVerde, all concurred and the meeting adjourned at 8:41 p.m. Kathy M. Thake Board of Ethics Secretary 4