Settlement  Disposition Agreement in the Matter of Karen Colon Hayes

Date:	07/20/2023
Organization:	State Ethics Commission
Docket Number:	23-0011
Location:	Boston, MA

Disposition Agreement

The State Ethics Commission (“Commission”) and Karen Colon Hayes (“Colon Hayes”) enter into this Disposition Agreement pursuant to Section 3 of the Commission’s Enforcement Procedures. This Agreement constitutes a consented-to final order enforceable in the Superior Court, pursuant to G.L. c. 268B, § 4(j). 

On July 26, 2022, the Commission initiated a preliminary inquiry, pursuant to G.L. c. 268B, § 4(a), into possible violations of the conflict of interest law, G.L. c. 268A.  On April 18, 2023, the Commission concluded its inquiry and found reasonable cause to believe Colon Hayes violated G.L. c. 268A, §§ 19 and 23.

The Commission and Colon Hayes now agree to the following findings of fact and conclusions of law:

Findings of Fact

1. Colon Hayes was at all relevant times the City of Malden (“Malden”) Human Services and Outreach Director. The Mayor of Malden appointed Colon Hayes to the position in 2017.
2. Colon Hayes’ duties as Human Services and Outreach Director included operation of the Mayor’s Summer Youth and Employment Program (the “MSYEP”), as the MSYEP Coordinator.
3. The MSYEP helps youths ages 14-24 develop employment skills. In 2018, MSYEP youth in “Peer” positions earned a minimum wage of $11 per hour and worked in jobs involving human services, maintenance and landscaping, or as assistants at the Malden Senior Center, Malden Parking Department or Malden High School. MSYEP youth in “Staff” positions earned up to $20 per hour and worked as teachers, teachers’ assistants and job coaches. Youth in Staff positions also assisted with the administration of the MSYEP.

Hiring Daughter A and Approving Pay Increase

4. As the MSYEP Coordinator, Colon Hayes was responsible for overall program management including hirings, pay increases, job assignments, and signing timesheets.
5. Daughter A^[1] is Colon Hayes’ daughter. In March 2018 Colon Hayes hired Daughter A to a MSYEP Peer position at the Malden Senior Center. Daughter A began working in March 2018. Colon Hayes supervised Daughter A’s work, including signing her timesheets on four occasions so she would be paid. 
6. In or about April 3, 2018, the Mayor’s Chief of Staff informed Colon Hayes that she could not supervise Daughter A.
7. After April 3, 2018, Colon Hayes continued to supervise Daughter A by signing her timesheets on at least three occasions so that she would be paid.
8. In July 2018, Colon Hayes approved Daughter A for a pay increase from $11 to $15 per hour. Daughter A completed work for the 2018 MSYEP during the week of August 18, 2018.
9. Daughter A was the highest paid MSYEP youth worker in 2018, earning $2,693.50.  

Rehiring Daughter A

10. In February 2019, Colon Hayes rehired Daughter A at $15 per hour to work as MSYEP Staff to update the MSYEP database and to prepare for advertising MSYEP Peer positions. Daughter A continued working until the initiation of the summer program, when Colon Hayes assigned her to a MSYEP Staff position as a lead teacher/job coach.
11. In June 2019, Colon Hayes approved a pay increase for Daughter A from $15 to $20 per hour. Daughter A completed work for the 2019 MSYEP during the week of August 17, 2019.
12. Daughter A was the highest paid MSYEP youth worker in 2019, earning $6,230.

Hiring Daughter A’s Boyfriend

13. By email on January 14, 2019, Colon Hayes offered Daughter A’s boyfriend (“A’s Boyfriend”) a Payroll Assistant position. The email read,

Thank you for your interest in the Mayor’s Summer Youth Employment Program! I know we unofficially spoke through [Daughter A] … so I wanted to reach out to you to officially offer you the position of Payroll Assistant. See below for the description and I would like to set up an interview with you in the near future.  . . .

14. Colon Hayes hired A’s Boyfriend as MSYEP Staff in a Payroll Assistant position in July 2019.

Hiring Daughter B^[2]

15. Daughter B is Colon Hayes’ daughter. Daughter B was hired in June 2019 as a MSYEP Peer working in the High School and completed work for the 2019 MSYEP during the week of August 17, 2019.
16. Colon Hayes signed Daughter B’s timesheets on two occasions in 2019 so that she would be paid.

Conclusions of Law

Section 19

17. Except as otherwise permitted by the section,^[3] § 19 of G.L. c. 268A prohibits a municipal employee from participating as such an employee in a particular matter in which, to her knowledge, she or her immediate family member has a financial interest.
18. As Human Services and Outreach Coordinator/MSYEP Coordinator, Colon Hayes was, at all relevant times, a municipal employee as defined in G.L. c. 268A, § 1(g).
19. Daughters A and B are members of Colon Hayes’ immediate family as defined by G.L. c. 268A, § 1(e).
20. The decisions to hire Daughter A to the MSYEP, assign her to a MSYEP position and increase her pay were particular matters. In addition, each supervisory decision concerning Daughter A and Daughter B, including to sign their timesheets, was a particular matter. Colon Hayes participated in each of these particular matters as a municipal employee by making these decisions as Human Services and Outreach Coordinator/MSYEP Coordinator. 
21. When Colon Hayes, as Human Services and Outreach Coordinator/MSYEP Coordinator, made the decisions concerning Daughter A’s hiring, pay increases, Staff position approval, and supervision, including signing Daughter A’s timesheets, she knew that Daughter A had a financial interest in those particular matters.
22. Each time Colon Hayes, as Human Services and Outreach Coordinator/MSYEP Coordinator, made the decision to sign Daughter B’s timesheets, Colon Hayes knew Daughter B had a financial interest in that particular matter.

23. Therefore, by, as Human Services and Outreach Director/MSYEP Coordinator, participating in the hiring, pay increases, Staff position approval and supervision of Daughter A and in the supervision of Daughter B, Colon Hayes repeatedly violated § 19.

Section 23(b)(3)

24. Section 23(b)(3) prohibits a municipal employe from acting in a manner which would cause a reasonable person, having knowledge of the relevant circumstances, to conclude that any person can improperly influence or unduly enjoy her favor in the performance of her official duties, or that she is likely to act or fail to act as a result of kinship, rank, position or undue influence of any party or person.
25. By, as Human Services and Outreach Coordinator/MSYEP Coordinator, offering A’s Boyfriend a MSYEP Staff Assistant Payroll position based solely on his communications with Daughter A, Colon Hayes knowingly or with reason to know, acted in a manner which would cause a reasonable person, having knowledge of all the relevant circumstances, to conclude that Daughter A and A’s Boyfriend could unduly enjoy Colon Hayes’ favor in the performance of her official duties. In so doing, Colon Hayes violated § 23(b)(3).

 

In view of the foregoing violations of G.L. c. 268A by Colon Hayes, the Commission has determined that the public interest would be served by the disposition of this matter without further enforcement proceedings, on the basis of the following terms and conditions agreed to by Colon Hayes:

(1)        that Colon Hayes pay to the Commonwealth of Massachusetts, with such payment to be delivered to the Commission, the sum of $7,500 as a civil penalty for violating G.L. c. 268A, §§ 19 and 23(b)(3); and

(2)        that Colon Hayes waive all rights to contest, in this or any other administrative or judicial proceeding to which the Commission is or may be a party, the findings of fact, conclusions of law and terms and conditions contained in this Agreement.

By signing below, Colon Hayes acknowledges that she has personally read this Disposition Agreement, that it is a public document, and that she agrees to all of the terms and conditions therein.

STATE ETHICS COMMISSION

^[1] A pseudonym.

^[2] A pseudonym.

^[3] None of the exceptions applies.