HOUSE BILL No. 5939

 

March 30, 2006, Introduced by Reps. Walker, Mortimer, Gosselin, Rocca, Marleau, LaJoy, Booher, Byrum, Murphy, Kathleen Law, Moolenaar, Wojno, Angerer, Byrnes, Espinoza, McDowell, Vander Veen, Newell, Stakoe, Taub, Sheltrown, Ward, Palsrok, Hansen, Elsenheimer, Kooiman, Bieda, Clemente, Kahn, Proos, Caul, Robertson, Casperson, Pastor, Emmons, Huizenga, Gaffney, Sak, Stahl, Stewart, Gillard, Adamini, Farrah, Brandenburg and Schuitmaker and referred to the Committee on House Oversight, Elections, and Ethics.

 

     A bill to establish an ethics board and prescribe its powers

 

and duties; to prescribe powers and duties for certain state

 

officers and agencies; and to repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"governmental ethics board act".

 

     Sec. 3. For the purposes of this act:

 

     (a) "Ethics board" means the governmental ethics board

 

established under section 5.

 

     (b) "Governmental entity" means an officer, employee, agency,

 

department, division, bureau, board, commission, council,

 

authority, or other body in the executive or legislative branch of

 

the government of this state.

 

     (c) "Person" means an individual, sole proprietorship,


 

partnership, corporation, association, or other legal entity.

 

     (d) "State elected public official" means the governor,

 

lieutenant governor, secretary of state, attorney general, or

 

member of the state legislature. A person who is appointed to fill

 

a vacancy in a state elected public office that is ordinarily

 

elective is a state elected public official.

 

     Sec. 5. (1) The governmental ethics board is created as an

 

autonomous entity within the department of state.

 

     (2) The ethics board shall consist of 7 members, appointed as

 

follows:

 

     (a) Two members appointed by the governor from candidates

 

recommended by the speaker of the house of representatives, 1 from

 

the majority party and 1 from the minority party.

 

     (b) Two members appointed by the governor from candidates

 

recommended by the majority leader of the senate, 1 from the

 

majority party and 1 from the minority party.

 

     (c) Two members appointed by the governor, 1 from the majority

 

party and 1 from the minority party.

 

     (d) One member selected by majority vote of the members

 

appointed under subdivisions (a) to (c).

 

     (3) A term of a member of the ethics board expires on March 31

 

of the year that the term is designated to expire. The 7 members

 

first appointed to the ethics board shall be appointed within 90

 

days after the effective date of this act.

 

     (4) A member of the ethics board shall serve for a 4-year term

 

or until a successor is appointed, whichever is later. A person

 

shall not serve more than 2 full 4-year terms on the ethics board.


 

     (5) If a vacancy occurs on the ethics board, the vacancy for

 

the remainder of the unexpired term shall be filled in the same

 

manner as the original appointment.

 

     (6) The governor may remove a member of the ethics board for

 

incompetency, dereliction of duty, malfeasance, misfeasance, or

 

nonfeasance in office or any other good cause.

 

     (7) At the first meeting, the ethics board shall elect from

 

among its members a chairperson and vice-chairperson. The vice-

 

chairperson shall serve as chairperson in the absence of the

 

chairperson. After the first meeting, the ethics board shall meet

 

at least quarterly, or more frequently at the call of the

 

chairperson or if requested by 4 or more members.

 

     (8) Four members of the ethics board constitute a quorum for

 

the transaction of business. A majority of the members present and

 

serving are required for official action of the ethics board. A

 

vote shall be by record roll call.

 

     (9) The business conducted by the ethics board shall be

 

conducted in compliance with the open meetings act, 1976 PA 267,

 

MCL 15.261 to 15.275. Notice of the meetings of the board shall be

 

made public in compliance with the open meetings act, 1976 PA 267,

 

MCL 15.261 to 15.275.

 

     (10) Except as provided in this act, a writing prepared,

 

owned, used, in the possession of, or retained by the ethics board

 

in the performance of an official function is subject to the

 

freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

 

     (11) A member of the ethics board shall serve without

 

compensation. However, a member of the ethics board may be


 

reimbursed for his or her actual and necessary expenses incurred in

 

the performance of official duties as a member of the ethics board.

 

     (12) The ethics board shall do all of the following:

 

     (a) Promulgate rules in accordance with the administrative

 

procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, to carry

 

out the provisions of this act and to govern its own procedures.

 

     (b) Appoint hearing officials, an executive director, if

 

necessary, and other staff necessary to carry out its duties under

 

this act. The ethics board may delegate authority to the executive

 

director to act in the name of the board between meetings of the

 

board, if the delegation is in writing and the specific powers to

 

be delegated are enumerated. The board shall not delegate the power

 

to determine violations, recommend disciplinary action, refer a

 

matter to the attorney general, or render an advisory opinion. An

 

executive director is subject to the restrictions of an ethics

 

board member as specified in section 7.

 

     (c) Examine disclosure statements required of state elected

 

public officials under state law and the supporting records and

 

other documents. The ethics board shall index and maintain on file

 

for at least 7 years all disclosure statements and supporting

 

records filed under this act.

 

     (d) Review, index, maintain on file, and dispose of sworn

 

complaints alleging unethical actions by state elected public

 

officials in the performance of official duties and make

 

notifications and conduct investigations. In conducting an

 

investigation, the ethics board may administer oaths or

 

affirmations, subpoena witnesses, compel witness attendance, and


 

require the production of books or records that it considers

 

relevant and material.

 

     (e) Conduct hearings, recommend disciplinary action, refer

 

potential violations of the law to the prosecutor or appropriate

 

administrative tribunal, or initiate appropriate actions and

 

proceedings under this act.

 

     (f) Render, index, and maintain on file advisory opinions

 

under section 15 and prepare and publish nonconfidential special

 

reports and technical studies to further the purposes of this act.

 

The attorney general shall advise the board concerning legal

 

matters as the board issues advisory opinions, investigative

 

reports, recommendations, and other reports.

 

     (g) Provide training and education to state elected public

 

officials under section 19.

 

     (h) Prepare an annual report and recommend changes to this act

 

under section 21.

 

     (i) Provide for public inspection of certain records as

 

provided by law.

 

     (13) The department of state shall provide clerical or

 

administrative assistance as the board may request.

 

     Sec. 7. A member of the ethics board shall not do any of the

 

following while a member of the board:

 

     (a) Hold elective public office or elective political party

 

office.

 

     (b) Accept appointment to or become a candidate for public

 

office or political party office.

 

     (c) Be employed as or act as a lobbyist.


 

     (d) Participate in an election campaign. An ethics board

 

member may make campaign contributions.

 

     Sec. 9. (1) The ethics board may act with respect to only the

 

state elected public officials who are subject to this act.

 

     (2) The termination of a state elected public official's term

 

of office does not affect the jurisdiction of the ethics board with

 

respect to the requirements imposed on him or her by this act.

 

     Sec. 11. (1) If a majority vote of the board determines that

 

there is reason to believe that a state elected public official

 

acted unethically in the performance of official duties, the board

 

shall initiate an investigative proceeding to determine whether an

 

unethical action occurred. The board shall mail a notice of the

 

investigation and the nature of the alleged violation to a person

 

under investigation within 5 days after the decision to undertake

 

an investigation is made. Every 60 days until a final determination

 

is made, the board shall mail to the complainant and to the person

 

under investigation notice of the action that the board has taken

 

to date along with the reasons for the action or nonaction.

 

     (2) Except as otherwise required by law, the board's actions

 

and the records concerning an investigation shall be confidential

 

and exempt from release under the freedom of information act, 1976

 

PA 442, MCL 15.231 to 15.246, until the board makes either a final

 

determination or recommendation under this act.

 

     (3) All governmental entities shall cooperate with the board

 

when it is conducting an investigation.

 

     (4) If the ethics board's investigation produces no credible

 

evidence of unethical action in the performance of official duties,


 

the records and actions concerning the investigation and

 

determination shall remain confidential unless the person

 

investigated requests in writing that the records and actions be

 

made public. If the ethics board's investigation produces credible

 

evidence of unethical action in the performance of official duties,

 

the duty of confidentiality under this section is removed when the

 

ethics board makes its determination or recommendation.

 

     Sec. 13. (1) After a hearing comporting with due process

 

procedural requirements and subject to applicable provisions of

 

law, the ethics board may recommend disciplinary action to the

 

person or body authorized by law to impose or recommend discipline.

 

     (2) The ethics board shall conduct and complete the hearing

 

with reasonable promptness. If the ethics board refers the matter

 

to the person or body authorized by law to impose disciplinary

 

action or if the ethics board refers the matter to the attorney

 

general, the ethics board may adjourn the matter pending

 

determination by the person, body, or attorney general.

 

     (3) After a hearing comporting with due process procedural

 

requirements, the ethics board may recommend that sanctions be

 

imposed upon a state elected public official found by the board to

 

have violated this act. The recommendation of the ethics board

 

shall be made to the person or body authorized by law to impose or

 

recommend sanctions.

 

     (4) The attorney general on behalf of the governmental entity

 

with which the state elected public official is affiliated or the

 

ethics board on behalf of the governmental entity may initiate an

 

action or special proceeding in the court of appropriate


 

jurisdiction to obtain damages allowed by law.

 

     (5) The ethics board may refer to the attorney general

 

information concerning possible criminal violations that the ethics

 

board obtains during an investigation. This act shall not be

 

construed to restrict the authority of the attorney general to

 

prosecute a person.

 

     Sec. 15. (1) Upon the written request of a state elected

 

public official, the ethics board shall render a written advisory

 

opinion regarding ethical standards for performing official duties.

 

     (2) Advisory opinions and requests for advisory opinions shall

 

be indexed and maintained on file by the ethics board.

 

     (3) An advisory opinion rendered by the ethics board, until

 

and unless amended or revoked, is binding on the ethics board in a

 

subsequent proceeding concerning the person who requested the

 

opinion and who acted in good faith, unless the person omitted or

 

misstated a material fact. The opinion may also be relied upon by

 

the person, and may be introduced and used as evidence of good

 

faith, in a civil action against the person.

 

     Sec. 17. A person aggrieved by a decision of the ethics board

 

may seek judicial review and relief in a court of proper

 

jurisdiction.

 

     Sec. 19. The ethics board shall do both of the following:

 

     (a) Make information concerning this act available to each

 

state elected public official, to the public, and to persons

 

interested in doing business with this state, through the secretary

 

of state and by other necessary means.

 

     (b) Develop educational materials and an educational program


 

for state elected public officials to inform them of their ethical

 

duties and responsibilities as a state elected public official.

 

     Sec. 21. (1) The ethics board shall prepare and submit an

 

annual report to the governor and legislature, summarizing the

 

activities of the board. The report may also recommend statutory or

 

administrative changes to this act.

 

     (2) The ethics board shall annually review this act and the

 

board's rules, regulations, and administrative procedures to

 

determine whether they promote integrity, public confidence, and

 

participation in state government and whether they promote clear

 

and enforceable common sense standards of conduct.

 

     Enacting section 1. Sections 3 to 7 of 1973 PA 196, MCL 15.343

 

to 15.347, are repealed.

 

     Enacting section 2. This act takes effect January 1, 2007.

 

     Enacting section 3. Pursuant to section 8 of article III of

 

the state constitution of 1963, the state supreme court is

 

requested to rule on the constitutionality of this act before

 

January 1, 2007.