08/23/1994 ECONOMIC DEV AND INDUSTRIAL COMMITTEE Minutes

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The Commonwealth of Massachusetts State Ethics Commission lohn W. McCormack State Office Building, Room 619 One Ashburton Place, Boston 02108 Telephone (617) 727-0060 Fax (617) 723-5851 COMMISSION FACT SHEET #6 DON'T VOTE ON MATTERS AFFECTING ABUTTING OR NEARBY PROPERTY The conflict of interest law prohibits public employees, including elected officials, from participating (by voting, discussing, delegating or otherwise acting) in any matter that affects: their own financial interests; the financial interests of their immediate family members (i.e., the employee's spouse; and the parents, siblings and children of both the employee and the employee's spouse); the financial interests of a private or "after-hours" employer, or anyone with whom the employee is negotiating prospective employment; or any organization, either charitable or for-profit, in which the employee is serving as officer, director, partner or trustee. Note that state and county employees who have a conflicting financial interest must disclose that interest to their appointing authorities; municipal employees may simply abstain from participating in the particular matter. These restrictions apply regardless of how large or small the financial interest is. They apply in any instance where the private financial interests are directly and immediately affected, or where it is reasonably foreseeable that the financial interests would be affected. Also, the statute prohibits any type of official action in such matters, regardless of whether the proposed action would positively or negatively affect the private financial interests. This provision of the law is intended to ensure that public employees are acting in the best interests of the citizens they represent, and are not pursuing their own self-interest or other private interests. Under the law, property owners are presumed to have a financial interest in matters affecting abutting and nearby property. Thus, unless they can clearly demonstrate that there is not a financial interest, public employees may not take any action in their official capacity on matters affecting property that is near to or directly abuts: their own property; property owned by any immediate family members; property owned by a private employer, or prospective employer; or property owned by any organization for which the employee is an officer, director, partner or trustee. The Commission uses the following four-part legal test to determine whether, in a particular situation, a person or organization would have a financial interest in an abutting or nearby property. A financial interest is presumed whenever: their property directly abuts (i.e., it shares any part of a property line); they are a "party in interest" under G.L. c. 40A (i.e., their property is directly opposite a