AGO 96-F-011.
Court | North Dakota |
North Dakota Attorney General Opinions
1996.
AGO 96-F-011.
STATE OF NORTH
DAKOTA ATTORNEY GENERAL'S
OPINION 96-F-11Date Issued:
May 3, 1996Requested
by: William W. Binek, Public Service Commission- QUESTIONS PRESENTED - I.Whether, under the facts presented, a Public
Service Commissioner has a conflict of interest when the Commissioner's adult
child works for a party in a contested proceeding before the Public Service
Commission.II.Whether
there is a procedure for appointing a person to serve in place of a Public
Service Commissioner who has a conflict of interest in deciding a contested
proceeding heard by the Public Service Commission.III.Whether the rule of necessity permits a
Public Service Commissioner to participate in a contested hearing or proceeding
despite the existence of a conflict of interest.- ATTORNEY GENERAL'S OPINIONS -
I.
It is my opinion that, under the facts presented, a Public
Service Commissioner does have a conflict of interest under the Commission's
policies when that Commissioner's adult child is employed by a party to a
contested hearing or proceeding before the Public Service Commission.
II.
It is my opinion that there is a procedure for appointment of a
person to serve in place of a Public Service Commissioner who has a conflict of
interest in deciding a contested proceeding heard by the Public Service
Commission.
III.
It is my opinion that the rule of necessity does not require a
Public Service Commissioner to participate in a contested hearing or proceeding
where that Commissioner has a conflict of interest because there is a procedure
to appoint a substitute.
- ANALYSES -
I.
The Public Service Commission adopted a policy in 1987 stating:
No Commissioner, commission employee, or agent, shall participate
in a Commission decision if a conflict of interest, real or apparent, would be
involved. A conflict would arise when the commissioner, the employee or agent,
any member of his immediate family, his partner or an individual firm or
organization which employs or is about to employ the commissioner, commission
employee, his immediate family member, or partner has a financial or other
interest directly and substantially affected by the Commission decision.
Memorandum to P.S.C. Staff, December 15, 1987.
For the purpose of this opinion, I will assume the following
facts based on information provided this office: A telecommunications company
filed a complaint with the Public Service Commission against another
telecommunications company; a member of the Public Service Commission disclosed
to all parties in the case that an adult child of the Commissioner and the
spouse of that adult child are both employed by the plaintiff
telecommunications company at an out-of-state location; the Commissioner's
child has a 401K plan offered by the employer which includes ownership of
company stock; and neither the Commissioner's child nor the child's spouse is
employed in a position which directly involves the specific issue before the
Public Service Commission.
State law governing the proceedings of the Public Service
Commission provides that a majority of the Commission constitutes a quorum and
may transact business, "but no commissioner shall participate in any hearing or
proceeding in which he has any direct personal pecuniary interest." N.D.C.C.
§ 49-01-07...
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