This chapter may be cited as the "Talbot County Public Ethics
Ordinance."
As used in this chapter, the following terms shall have the
meanings indicated:
CANDIDATE
A candidate for election to the County Council.
COUNTY
Talbot County, Maryland.
DOING BUSINESS WITH THE COUNTY
Being a party to any one or any combination of sales, purchases,
leases, or contracts to, from, or with the County, or any agency of
the County, involving consideration of $5,000 or more on a cumulative
basis during the calendar year for which a required statement is to
be filed.
ELECTED OFFICIAL
A member of the County Council. It does not include the Sheriff,
the State's Attorney, or the Register of Wills.
FINANCIAL INTEREST
A.
Ownership of any interest as the result of which the owner has
received, within the past 3 years, or is presently receiving, or in
the future is entitled to receive, more than $1,000 per year; or
B.
Ownership or the ownership of securities of any kind representing
or convertible into ownership, of more than 3 percent of a business
entity by the official or employee or the official or employee's spouse.
GIFT
The transfer of anything of economic value, regardless of
the form, without adequate and lawful consideration. "Gift" does not
include a political campaign contribution regulated under the Election
Law Article, Annotated Code of Maryland, or any other provision of
state or local law regulating the conduct of elections or the receipt
of political campaign contributions.
INTEREST
Any legal or equitable economic interest, whether or not subject to an encumbrance or a condition, which was owned or held, in whole or in part, jointly or severally, directly or indirectly. For purposes of financial disclosure under §
60-13 of this chapter "interest" applies to interests held at any time during the calendar year for which a required statement is to be filed. "Interest" does not include:
A.
An interest held in the capacity of a personal representative,
agent, custodian, fiduciary, or trustee, unless the holder has an
equitable interest therein;
B.
An interest in a time or demand deposit in a financial institution;
C.
An interest in an insurance or endowment policy or annuity contract
under which an insurance company promises to pay a fixed number of
dollars either in a lump sum or periodically for life or some other
specified period; or
D.
A common trust fund or a trust which forms part of a pension
or profit sharing plan which has more than 25 participants and which
has been determined by the Internal Revenue Service to be a qualified
trust under Sections 401 and 501 of the Internal Revenue Code of 1954.
NONELECTED OFFICIALS
The County Manager, County Attorney, County department heads,
the Chief Code Compliance Officer, the Alcoholic Beverages Inspector,
and members of the following boards, commissions, and committees:
[Amended 6-14-2022 by Bill No. 1500]
D.
The Agricultural Resolution Board;
H.
The Historic Preservation Commission;
I.
The Public Works Advisory Board;
J.
The Short-Term Rental Review Board;
K.
The Parks and Recreation Advisory Board;
L.
The Police Accountability Board; and
M.
The Administrative Charging Committee.
OFFICIAL
Both elected officials and nonelected officials.
QUASI-GOVERNMENTAL ENTITY
An entity created by state statute, that performs a public
function, and that is supported in whole or in part by the state but
is managed privately.
[Added 6-14-2022 by Bill No. 1500]
The provisions of this chapter apply to all elected officials
and all nonelected officials and employees as set forth herein.
There is a Talbot County Ethics Commission that consists of
five members appointed by the County Council.
A. The Commission shall:
(1) Devise, receive, and maintain all forms required by this chapter;
(2) Develop procedures and policies for advisory opinion requests and
provide published advisory opinions to persons subject to this chapter
regarding the applicability of the provisions of this chapter to them;
(3) Develop procedures and policies for the processing of complaints
to make appropriate determinations regarding complaints filed by any
person alleging violations of this chapter; and
(4) Conduct a public information program regarding the purposes and application
of this chapter.
B. The Commission shall certify to the State Ethics Commission on or
before October 1 of each year that the County is in compliance with
the requirements of Md. Code Ann., General Provisions Art., Title
5, for elected local officials.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
C. The Commission shall have advisory authority to recommend changes
to this chapter consistent with the requirements of Md. Code Ann.,
General Provisions Art., Title 5, and to forward any recommended changes
to the County Council for consideration.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
D. The Commission may adopt policies and procedures to implement the
Commission's programs established in this chapter.
E. Commission members shall serve three-year terms staggered so that
no more than two terms expire in any single calendar year. Members
shall be residents of the County. Vacancies occurring prior to expiration
of the term shall be filled in the same manner as an original appointment
for the unexpired term. The Commission shall annually elect a Chairman
and Vice Chairman from its membership, and shall adopt rules of procedure
not inconsistent with the terms of this chapter to govern its meetings.
The presence of three members shall constitute a quorum, and the affirmative
vote of a majority of the members present at any meeting shall be
sufficient for transaction of any business. Members of the Commission
shall receive no compensation for their services.
This section applies to elected officials.
A. Participation prohibitions. Except as permitted by Commission regulation
or opinion, an elected official may not participate in:
(1) Any matter in which, to the knowledge of the elected official, the
elected official or a qualified relative of the elected official has
an interest.
(2) Any matter in which any of the following is a party:
(a)
A business entity in which the elected official has a direct
financial interest of which the elected official may reasonably be
expected to know;
(b)
A business entity for which the elected official, or a qualified
relative of elected official is an officer, director, trustee, partner,
or employee;
(c)
A business entity with which the elected official or, to the
knowledge of the elected official, a qualified relative is negotiating
employment or has any arrangement concerning prospective employment;
(d)
If the contract reasonably could be expected to result in a
conflict between the private interests of the elected official and
the official duties of the elected official, a business entity that
is a party to an existing contract with the elected official, or which,
to the knowledge of the elected official, is a party to a contract
with a qualified relative;
(e)
An entity, doing business with the County, in which a direct
financial interest is owned by another entity in which the elected
official has a direct financial interest, if the elected official
may be reasonably expected to know of both direct financial interests;
or
(f)
A business entity that:
[1]
The elected official knows is a creditor or obligee of the elected
official or a qualified relative of the elected official with respect
to a thing of economic value; and
[2]
As a creditor or obligee, is in a position to directly and substantially
affect the interest of the elected official or a qualified relative
of the elected official.
(3) An elected official who is disqualified from participating under Subsection
A(1) or
(2) of this section shall disclose the nature and circumstances of the conflict and may participate or act if:
(a)
The disqualification leaves a body with less than a quorum capable
of acting; or
(b)
The disqualified elected official is required by law to act;
or
(c)
The disqualified elected official is the only person authorized
to act.
(4) The prohibitions of Subsection
A(1) and
(2) of this section do not apply to the exercise of an administrative or ministerial duty that does not affect the disposition or decision with respect to the matter.
(5) A former
regulated lobbyist who is or becomes subject to this chapter as an
employee or official, other than an elected official or an appointed
official, may not participate in a case, contract, or other specific
matter as an employee or official, other than an elected official
or appointed official, for one calendar year after the termination
of the registration of the former regulated lobbyist if the former
regulated lobbyist previously assisted or represented another party
for compensation in the matter.
[Added 6-14-2022 by Bill No. 1500]
This section applies to nonelected officials and employees.
A. Participation prohibitions. Except as permitted by Commission regulation
or opinion, a nonelected official or employee may not participate
in a County matter that would have a direct and economic impact, distinct
from the impact on the public at large, on the nonelected official
or employee or that, to the knowledge of the nonelected official or
employee, would have a direct economic impact on:
(1) A spouse, parent, sibling, or child of the nonelected official or
employee; or
(2) A business entity with which any of the following is affiliated:
(a)
The nonelected official or employee; or
(b)
A spouse, parent, sibling, or child of the nonelected official
or employee.
B. The Commission may:
(1) Grant exceptions to the participation restrictions in this section
where no conflict of interest exists or when the interest is too remote
and insubstantial to affect the integrity of the public actions of
the nonelected official or employee; and
(2) Authorize participation notwithstanding a conflict when the disqualification
would leave a body with less than a quorum capable of acting, the
disqualified nonelected official or employee is required by law to
act, or the disqualified nonelected official or employee is the only
individual authorized to act.
[Amended 6-14-2022 by Bill No. 1500]
A. Other than
in the discharge of official duties, an official or employee or former
official or employee may not disclose or use confidential information
that the official or employee acquired by reason of the official's
or employee's public position or former public position and that is
not available to the public, for the economic benefit of the official
or employee or that of another person.
B. An official
or employee may not retaliate against an individual for reporting
or participating in an investigation of a potential violation of this
chapter.
This section applies to elected officials and candidates.
A. Except as provided in Subsection
B of this section, elected officials and candidates shall file a financial disclosure statement required under this section:
(1) On a form provided by the Commission;
(2) Under oath or affirmation; and
B. Deadlines for filing statements.
(1) An incumbent elected official shall file a financial disclosure statement
annually no later than April 30 of each year for the preceding calendar
year.
(2) An individual who is appointed to fill a vacancy in an office for
which a financial disclosure statement is required and who has not
already filed a financial disclosure statement shall file a statement
for the preceding calendar year within 30 days after appointment.
(3) An individual who, other than by reason of death, leaves an office
for which a statement is required shall file a statement within 60
days after leaving the office.
C. The statement shall cover:
(1) The calendar year immediately preceding the year in which the individual
left office, unless a statement covering that year has already been
filed by the individual; and
(2) The portion of the current calendar year during which the individual
held the office.
D. Candidates.
(1) Except for an elected official who has filed a financial disclosure
statement under another provision of this section for the reporting
period, a candidate shall file a financial disclosure statement each
year beginning with the year in which the certificate of candidacy
is filed through the year of the election.
(2) Candidates shall file a statement required under this section:
(a)
In the year the certificate of candidacy is filed, no later
than the filing of the certificate of candidacy;
(b)
In the year of the election, on or before the earlier of April
30 or the last day for the withdrawal of candidacy; and
(c)
In all other years for which a statement is required, on or
before April 30.
(3) A candidate:
(a)
May file the statement required under §
60-13D(2)(a) of this chapter with the Board of Election Supervisors with the certificate of candidacy or with the Commission prior to filing the certificate of candidacy; and
(4) If a candidate fails to file a statement required by this section
after written notice is provided by the Board of Election Supervisors
at least eight days before the last day for the withdrawal of candidacy,
the candidate is deemed to have withdrawn the candidacy.
[Amended 6-14-2022 by Bill No. 1500]
(5) The Board of Election Supervisors may not accept any certificate
of candidacy unless a statement has been filed in proper form.
(6) Within 30 days of the receipt of a statement required under this
section, the Board of Election Supervisors shall forward the statement
to the Commission or the office designated by the Commission.
E. Public record.
(1) The Commission or office designated by the Commission shall maintain
all financial disclosure statements filed under this section.
(2) Financial disclosure statements shall be made available during normal
office hours for examination and copying by the public subject to
reasonable fees and administrative procedures established by the Commission.
(3) If an individual examines or copies a financial disclosure statement,
the Commission or the office designated by the Commission shall record:
(a)
The name and home address of the individual reviewing or copying
the statement; and
(b)
The name of the person whose financial disclosure statement
was examined or copied.
(4) Upon request by the official or employee whose financial disclosure
statement was examined or copied, the Commission or the office designated
by the Commission shall provide the official with a copy of the name
and home address of the person who reviewed the official's financial
disclosure statement.
(5) For
statements filed after January 1, 2019, the Commission or the office
designated by the Commission may not provide public access to an individual's
home address that the individual has designated as the individual's
home address.
[Added 6-14-2022 by Bill No. 1500]
(6) The
Commission or office designated by the Commission shall not provide
public access to information related to consideration received from:
[Added 6-14-2022 by Bill No. 1500]
(a)
The University of Maryland Medical System;
(b)
A governmental entity of the state or a local government in
the state; or
(c)
A quasi-governmental entity of the state or a local government
in the state.
F. Retention requirements. The Commission or the office designated by
the Commission shall retain financial disclosure statements for four
years from the date of receipt.
G. An individual
who is required to disclose the name of a business under this section
shall disclose any other names that the business is trading as or
doing business as.
[Added 6-14-2022 by Bill No. 1500]
H. Contents of statement.
(1) Interests in real property.
(a)
A statement filed under this section shall include a schedule
of all interests in real property wherever located.
(b)
For each interest in real property, the schedule shall include:
[1]
The nature of the property and the location by street address,
mailing address, or legal description of the property;
[2]
The nature and extent of the interest held, including any conditions
and encumbrances on the interest;
[3]
The date when, the manner in which, and the identity of the
person from whom the interest was acquired;
[4]
The nature and amount of the consideration given in exchange
for the interest or, if acquired other than by purchase, the fair
market value of the interest at the time acquired;
[5]
If any interest was transferred, in whole or in part, at any
time during the reporting period, a description of the interest transferred,
the nature and amount of the consideration received for the interest,
and the identity of the person to whom the interest was transferred;
and
[Amended 6-14-2022 by Bill No. 1500]
[6]
The identity of any other person with an interest in the property.
(2) Interests in corporations and partnerships.
(a)
A statement filed under this section shall include a schedule
of all interests in any corporation, partnership, limited-liability
partnership, or limited-liability corporation, regardless of whether
the corporation or partnership does business with the County.
[1]
For each interest reported under this subsection, the schedule
shall include:
[a] The name and address of the principal office of
the corporation, partnership, limited-liability partnership, or limited-liability
corporation;
[b] The nature and amount of the interest held, including
any conditions and encumbrances on the interest;
[c] With respect to any interest transferred, in whole
or in part, at any time during the reporting period, a description
of the interest transferred, the nature and amount of the consideration
received for the interest, and, if known, the identity of the person
to whom the interest was transferred; and
[d] With respect to any interest acquired during the
reporting period: the date when, the manner in which, and the identity
of the person from whom the interest was acquired; and the nature
and the amount of the consideration given in exchange for the interest
or, if acquired other than by purchase, the fair market value of the
interest at the time acquired.
[2]
An individual may satisfy the requirement to report the amount
of the interest held under § 60-13G(2) of this chapter by
reporting, instead of a dollar amount:
[a] For an equity interest in a corporation, the number
of shares held and, unless the corporation's stock is publicly traded,
the percentage of equity interest held; or
[b] For an equity interest in a partnership, the percentage
of equity interest held.
(3) Interests in business entities doing business with the County.
(a)
A statement filed under this section shall include a schedule
of all interests in any business entity that does business with the
County, other than interests reported under § 60-13G(2)
of this section.
(b)
For each interest reported under this subsection, the schedule
shall include:
[1]
The name and address of the principal office of the business
entity;
[2]
The nature and amount of the interest held, including any conditions
to and encumbrances in the interest;
[3]
With respect to any interest transferred, in whole or in part,
at any time during the reporting period, a description of the interest
transferred, the nature and amount of the consideration received in
exchange for the interest, and, if known, the identity of the person
to whom the interest was transferred; and
[4]
With respect to any interest acquired during the reporting period:
[a] The date when, the manner in which, and the identity
of the person from whom the interest was acquired; and
[b] The nature and the amount of the consideration
given in exchange for the interest or, if acquired other than by purchase,
the fair market value of the interest at the time acquired.
(4) Gifts.
(a)
A statement filed under this section shall include a schedule
of each gift in excess of $20 in value or a series of gifts totaling
$100 or more received during the reporting period from or on behalf
of, directly or indirectly, any one person who does business with
or is regulated by the County or from an association, or any entity
acting on behalf of an association that is engaged only in representing
counties or municipal corporations.
[Amended 6-14-2022 by Bill No. 1500]
(b)
For each gift reported, the schedule shall include:
[1]
A description of the nature and value of the gift; and
[2]
The identity of the person from whom, or on behalf of whom,
directly or indirectly, the gift was received.
(5) Employment with or interests in entities doing business with the
County.
(a)
A statement filed under this section shall include a schedule
of all offices, directorships, and salaried employment by the individual
or member of the immediate family of the individual held at any time
during the reporting period with entities doing business with the
County.
(b)
For each position reported under this subsection, the schedule
shall include:
[1]
The name and address of the principal office of the business
entity;
[2]
The title and nature of the office, directorship, or salaried
employment held and the date it commenced; and
[3]
The name of each County agency with which the entity is involved.
(6) Indebtedness to entities doing business with the County.
(a)
A statement filed under this section shall include a schedule
of all liabilities, excluding retail credit accounts, to persons doing
business with the County owed at any time during the reporting period:
[2]
By a member of the immediate family of the individual if the
individual was involved in the transaction giving rise to the liability.
(b)
For each liability reported under this subsection, the schedule
shall include:
[1]
The identity of the person to whom the liability was owed and
the date the liability was incurred;
[2]
The amount of the liability owed as of the end of the reporting
period;
[3]
The terms of payment of the liability and the extent to which
the principal amount of the liability was increased or reduced during
the year; and
[4]
The security given, if any, for the liability.
(7) A statement filed under this section shall include a schedule of
the immediate family members of the elected official and candidate
who are employed by the County in any capacity at any time during
the reporting period.
(8) Sources of earned income.
(a)
A statement filed under this section shall include a schedule
of the name and address of each place of employment and of each business
entity of which the individual or a member of the individual's immediate
family was a sole or partial owner and from which the individual or
member of the individual's immediate family received earned income,
at any time during the reporting period.
(b)
A minor child's employment or business ownership need not be
disclosed if the County does not regulate, exercise authority over,
or contract with the place of employment or business entity of the
minor child.
(c) For a statement filed on or after January 1, 2019, if the individual's
spouse is a lobbyist regulated by Talbot County, the individual shall
disclose the entity that has engaged the spouse for lobbying purposes.
[Added 6-14-2022 by Bill No. 1500]
(9) Relationship
with University of Maryland Medical System, state or local government,
or quasi-governmental entity.
[Added 6-14-2022 by Bill No. 1500]
(a)
An individual shall disclose the information specified in General
Provisions Article § 5-607(j)(1), Annotated Code of Maryland,
for any financial or contractual relationship with:
[1]
The University of Maryland Medical System;
[2]
A governmental entity of the state or a local government in
the state; or
[3]
A quasi-governmental entity of the state or local government
in the state.
(b)
For each financial or contractual relationship reported, the
schedule shall include:
[1]
A description of the relationship;
[2]
The subject matter of the relationship; and
(10)
A statement filed under this section may also include a schedule
of additional interests or information that the individual making
the statement wishes to disclose.
I. For the purposes of § 60-13G(1), (2), and (3) of this chapter, the following interests are considered to be the interests
of the individual making the statement:
(1) An interest held by a member of the individual's immediate family,
if the interest was, at any time during the reporting period, directly
or indirectly controlled by the individual.
(2) An interest held by a business entity in which the individual held
a 30% or greater interest at any time during the reporting period.
(3) An interest held by a trust or an estate in which, at any time during
the reporting period:
(a)
The individual held a reversionary interest or was a beneficiary;
or
(b)
If a revocable trust, the individual was a settlor.
(4) An
interest held, at any time during the applicable period, by:
[Added 6-14-2022 by Bill No. 1500]
(a)
A business entity in which the individual held a 10% or greater
interest;
(b)
A business entity described in Subsection
I(4)(a) of this section in which the business entity held a 25% or greater interest;
(c)
A business entity described in Subsection
I(4)(b) of this section in which the business entity held a 50% or greater interest; and
(d)
A business entity in which the individual directly or indirectly,
through an interest in one or a combination of other business entities,
holds a 10% or greater interest.
J. Commission review and enforcement.
(1) The Commission shall review the financial disclosure statements submitted
under this section for compliance with the provisions of this section
and shall notify an individual submitting the statement of any omissions
or deficiencies.
(2) The Commission may take appropriate enforcement action to ensure
compliance with this section.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
This section applies to nonelected officials and employees who,
acting alone or as members of a board or commission, have decisionmaking
authority or act as principal advisors to a person, board, or commission
with that authority in making County policy or exercising quasi-judicial,
regulatory, licensing, inspecting, or auditing functions. This section
applies to the County Manager, County Attorney, all department heads,
the Chief Code Compliance Officer, the Alcoholic Beverages Inspector,
members of the Electrical Board, members of the Planning Commission,
and members of the Board of Appeals.
A. A statement filed under this section shall be filed with the Commission
under oath or affirmation.
B. On or before April 30 of each year during which a nonelected official
or employee holds office, the nonelected official or employee shall
file a statement disclosing gifts received during the preceding calendar
year from any person that contracts with or is regulated by the County,
including the name of the donor of the gift and the approximate retail
value at the time or receipt.
C. An official or employee shall disclose employment and interests that
raise conflicts of interest or potential conflicts of interest in
connection with a specific proposed action by the employee or official
sufficiently in advance of the action to provide adequate disclosure
to the public.
D. The Commission shall maintain all disclosure statements filed under this section as public records available for public inspection and copying as provided in §
60-13E and
F of this chapter.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
The Commission may grant exemptions and modifications to the provisions of §
60-6 and §
60-14 of this chapter to nonelected officials and employees, when the Commission finds that an exemption or modification would not be contrary to the purposes of this chapter, and the application of this chapter would:
A. Constitute an unreasonable invasion of privacy; and
B. Significantly reduce the availability of qualified persons for public
service.