Settlement  In the Matter of Richard Prue

Date:	07/31/2014
Organization:	State Ethics Commission
Docket Number:	14-0008

Disposition Agreement

The State Ethics Commission (“Commission”) and Richard Prue (“Prue”) enter into this Disposition Agreement pursuant to Section 5 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 April 19, 2013, the Commission initiated, pursuant to G.L. c. 268B, § 4(a), a preliminary inquiry into possible violations of the conflict of interest law, G.L. c. 268A.  The Commission concluded its inquiry and voted to find reasonable cause to believe that Prue violated G.L. c. 268A on February 20, 2014, as amended by its vote on May 22, 2014.

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

Findings of Fact

1. During the relevant time, Prue, a resident of Lawrence, was the transportation director of the Greater Lawrence Educational Collaborative (“GLEC”).  As such, Prue was a “municipal employee” as that term is defined in G.L. c. 268A, § 1. 
2. From 2008 through 2009, GLEC was a public nonprofit entity that provided special education programs and transportation for special needs students.   
3. Prue, as GLEC transportation director, received, reviewed and approved invoices from GLEC transportation vendors in 2008 and 2009.
4. First Choice Transit, Inc. (“First Choice Transit”) was a GLEC vendor.
5. Prue’s wife worked as a bus monitor for First Choice Transit in 2008 and 2009.
6. As a First Choice Transit employee, Prue’s wife was a bus monitor on GLEC bus routes and received a salary for that work. 
7. First Choice Transit issued monthly invoices to GLEC for transportation services on GLEC routes, including the work performed by Prue’s wife as a bus monitor.
8. Prue, as GLEC transportation director, reviewed and approved First Choice Transit’s invoices, which he knew included charges for the work performed by his wife as a bus monitor, even though she was not identified by name in the invoices.
9. From 2008 through June 2009, Prue’s wife earned approximately $5,000 as a bus monitor on GLEC bus routes

Conclusions of Law

§ 19

10. Except as otherwise permitted,^[1] § 19 of G.L. c. 268A prohibits a municipal employee from participating^[2] as such an employee in a particular matter^[3] in which, to his knowledge, he or an immediate family member^[4] has a financial interest.^[5]
11. First Choice Transit’s invoices, as claims for payment, were particular matters.
12. Prue participated in those particular matters as the GLEC transportation director by reviewing and approving First Choice Transit’s invoices.
13. Prue’s wife is a member of his immediate family.
14. Prue’s wife had a financial interest in the claims for payment since the invoices included charges for her work as a bus monitor on GLEC routes.
15. At the times he participated as described above, Prue knew his wife had a financial interest in those particular matters.
16. Therefore, Prue violated § 19 each time he reviewed and approved payments to First Choice Transit for work his wife had performed as an employee of that company.

Resolution

In view of the foregoing violations of G.L. c. 268A by Prue, 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 Prue:

(1)        that Prue pay to the Commonwealth of Massachusetts, with such payment to be delivered to the Commission, the sum of $5,000 as a civil penalty for repeatedly violating G.L. c. 268A, § 19; and

(2)        that Prue 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.

^[1] None of the exemptions in § 19 applies.

^[2] “Participate” means to participate in agency action or in a particular matter personally and substantially as a state, county or municipal employee, through approval, disapproval, decision, recommendation, the rendering of advice, investigation or otherwise.  G.L. c. 268A, § 1(j).

^[3] “Particular matter” is defined, in part, as “any judicial or other proceeding, application, submission, request for a ruling or other determination, contract, claim, controversy, charge, accusation, arrest, decision [or] determination . . .  .”  G.L. c. 268A, § 1(k).

^[4] “Immediate family” means the employee and his spouse, and their parents, children, brothers and sisters.  G.L. c. 268A, § 1(e).

^[5] “Financial interest” means any economic interest of a particular individual that is not shared with a substantial segment of the public.  Graham v. McGrail, 370 Mass. 133 (1976).