Eastern Oregon Takes on Government Transparency

Financial disclosure scares citizens away from sitting on local boards and commissions. This is the “fact” stated every time any level of financial disclosure is discussed. In my state, Connecticut, all the financial disclosure that was required in a recent bill was the name of one’s employer, and yet the Connecticut Conference of Municipalities opposed it with the same old canard.

“Canard” is French for “duck” or, more appropriately in this case, “Duck!” which is effectively what municipal officials are saying when they oppose financial disclosure. It’s not about privacy, identity theft, or overweaning government. It’s about the preservation of conflicts of interest, and a knee-jerk reaction to transparency in government, in fact, to government itself, even by those participating in it, who should know better.

The occasion for this little harangue is news from Oregon that exemptions from disclosure rules passed in the 1970s are going to end for towns that opted out back then.

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Officials in the Wild West eastern part of the state are up in arms. Little Elgin is taking the lead, with six of seven council members (with the mayor soon to follow) and the entire planning commission resigning rather than fill out a disclosure form. Elgin’s little revolt spread to other little towns, such as Enterprise and Rogue River (I didn’t make those names up).

Some people don’t understand what is required of them (and the form is a long eight pages), but this is most likely because the requirements have been exaggerated by those who either despise government or don’t want anyone butting in on their conflicts of interest. No numbers are required, no one will know how wealthy or poor you are, there’s nothing about one’s home, no personal addresses, no phone numbers, and nothing is being posted on the Internet.

Oregon’s requirements are so onerous that, just last year, it was ranked 21st in the country in financial disclosure.

One council member is quoted as saying, “Now they want to know what my dog is worth.” A mature opinion on transparency.

“Big Brother is watching,” said another council member. And who exactly is this Big Brother? Oh, the citizens she is supposed to be representing. Democracy requires transparency.

Another council member said, “They’re calling you basically dishonest to begin with.” I suppose this is a man who believes that all audits and other forms of fact-checking should be outlawed.

“Let the Sun Shine” is not a song that was ever popular in eastern Oregon. That’s why many towns there, but not in the rest of the state, opted out of the disclosure statute when it was originally passed.

Below is information on what is required to be disclosed. It’s from the new state ethics guide.

Annual Verified Statement of Economic Interest Form:
When the forms are distributed, instructions and definitions will be included to assist the filer in completing the forms. The form, which is due on April 15 of each calendar year, requests information that pertains to the previous calendar year. Public officials holding a position on April 15 that requires them to file, must complete the form. The following is a brief description of the information requested in the form:

• Name and address of each business in which a position as officer or director was held by the filer or member of the household. [ORS 244.060(1)]

• Name and address of each business through which the filer or member of the household did business. [ORS 244.060(2)]

• Name and address of the five most significant sources of income for the public official and members of the household, identifying the source and type of income and the name of the person who received it. [ORS 244.060(3)]

• Ownership interests held by the public official or members of the household in real property, except for the principal residence, located within the geographic boundaries of the governmental agency in which the public official position is held or sought. [ORS 244.060(4)(a)]

• Names of each member of the household 18 years or older. [ORS 244.060(5)]

• Names of each relative over 18 years of age who is not a member of the household. [ORS 244.060(6)]

The following information is required if the information requested relates to an individual or business that has been or could reasonably be expected to do business with the filer’s governmental agency or has a legislative or administrative interest in the filer’s governmental agency:

• Name of each person the filer has owed $1,000 or more, including the date of the loan and interest rate. Debts on retail contracts or with regulated financial institutions are excluded. [ORS 244.070(1)]

• Business name, address and nature of beneficial interest over $1,000, or investment held by the filer or a member of the household in stocks or securities over $1,000. Exemptions include mutual funds, blind trusts, deposits in financial institutions, credit union shares and the cash value of life insurance policies. [ORS 244.070(2)]

• Name of each person from whom the filer received a fee of over $1,000 for services, unless disclosure is prohibited by a professional code of ethics. [ORS 244.070(3)]
• Name of each lobbyist associated with any business the filer or a member of the household is associated, unless the association is through stock held in publicly traded corporations. [ORS 244.090]

Quarterly Public Official Disclosure:
These forms are available on the Commission website or from the public entity. Instructions and definitions will be included to assist the filer in completing the forms. The forms are filed on the 15th day of the month that follows each calendar quarter. The information requested pertains to the previous calendar quarter. The following is a brief description of the information requested on the form:

• Identify any organization or unit of government that paid over $50 in food, lodging and travel expenses for the filer to participate in a convention, meeting, mission or trip as described in ORS 244.020(5)(b)(F). Include the date and nature of the event and the sum of expenses paid. [ORS 244.100(1)(a)] The source of the paid expenses is required to provide a written notice as to the value of this event. [ORS 244.100(2)(a)]

• Provide the name and address of any person who paid over $50 in expenses for the filer to participate in a mission, negotiations or economic development activities as described in ORS 244.020(5)(b)(H). Include the date and nature of the event and the sum of expenses paid. [ORS 244.100(1)(b)]

• List all honoraria received by the filer or members of the household that exceeded $15. [ORS 244.100(1)(c)] Note that honoraria may not be accepted if it is valued at more than $50. [ORS 244.042] The source of the paid expenses is required to provide a written notice as to the value of this event. [ORS 244.100(2)(b)]

• List each source of income over $1,000 for the filer or a member of the household if the source has a legislative or administrative interest in the governmental agency of the filer. [ORS 244.100(1)(d)]

Robert Wechsler
Director of Research-Retired, City Ethics