Atherton v. Concord
Atherton v. Concord
Opinion of the Court
Petition for a writ of certiorari to review the proceedings of the board of aldermen of the city of Concord
“ It is a general rule of law, and the law in New Hampshire, that ‘there is a conflict of interest when a public officer votes on a matter in which he has a direct personal and pecuniary interest. Preston v. Gillam, 104 N. H. 279, 282; Opinion of the Justices, 104 N. H. 261, 264; 2 Davis, Administrative Law Treatise, s. 1203, p. 154; 58 Colum. L. Rev. 157, 175. The reasons for this rule are obvious. A man cannot serve two masters at the same time, and the public interest must not be jeopardized by the acts of a public official who has a personal financial interest which is, or may be, in conflict with the public interest. Rollins v. Connor, 74 N. H. 456, 458; Genkinger v. New Castle, 368 Pa. 547, 552; 47 Va. L. Rev. 1034, 1045.
However, the rule is also well established that, to disqualify, the personal pecuniary interest of the official must be immediate, definite, and capable of demonstration; not remote, uncertain, contingent, and speculative, that is, such “that men of ordinary capacity and intelligence would not be influenced by it. ” Opinion of the Justices, 75 N. H. 613, 616; Mitchell v. Holderness, 29 N. H. 523, 526; Holderness v. Baker, 44 N. H. 414, 418; Rider v. Portsmouth, 67 N. H. 298, 299; Opinion of the Justices, 104 N. H. 261, 264; Papademas v. State, 108 N. H. 456, 458.
The area of matters on which aldermen and other legislators must pass is of such a wide range that almost every legislator, whether he be in a private or public calling, or in neither, must inevitably have some interest which may conceivably be affected by some legislative proposal. See Reilly v. Ozzard, 33 N. J. 529, 550; 47 Va. L. Rev. 1034, 1035, 1045. It follows that, if every possibility of conflict, no matter how remote, uncertain, contingent, insubstantial or speculative, were cause for disqualification, many persons who are peculiarly suited for public of-
It was said in Rollins v. Connor, 74 N. H. 456, 458, that “whatever right a member of a legislative body may have to vote upon questions in which he may be interested, when the question under consideration is purely legislative, he cannot do so when the body is acting judicially. ” In the latter instance, a legislator is disqualified when he has a direct personal and pecuniary interest. Rider v. Portsmouth, 67 N. H. 298, 299. The Trial Court ruled that the action of the aldermen approving the capitol plaza north project was legislative. See Wilson v. Long Branch, 27 N. J. 360, 385. However it is unnecessary to decide whether this was a proper characterization of the nature of the board’s action, as in judging the status of the persons whose votes are questioned by the plaintiff the Trial Court applied the stricter test which regulates disqualification when the board of aldermen is acting in á quasi-judicial or judicial manner. As a matter of fact the Trial Court ( Bownes, J. ) ruled that an indirect financial interest greater than any other citizen or taxpayer in the decision would disqualify an alderman or other city official from voting. See RSA 49-A:82 (supp).
The determination as to whether an alderman or other city official has a direct personal and pecuniary interest in the matter under consideration which will disqualify him from acting thereon is necessarily factual and depends upon the circumstances of the particular case. Preston v. Gillam, 104 N. H. 279, 282. Conflicts in the evidence are to be resolved by the Trial Court. Streeter v. New Eng. Box Co., 106 N. H. 146, 148.
The Trial Court properly ruled that the Concord housing authority, which was the agency designated to carry out the execution of the capitol plaza north project, “is an independent municipal corporation . . . and not an agency of the city of Concord.” RSA 203:4, 8. It is charged with providing safe and sanitary dwelling accommodations for persons of low income (s. 2). It has the right to acquire real property by the exercise of the power of eminent domain (s. 12) and the power
In his petition, plaintiff alleged that “Alderman Robert D. Branch, who voted in favor of the resolution, was then and for a long time previously employed as an attorney by the Concord Housing Authority, the proponent of the project, and had also disqualified himself by prejudging the project as an ex officio member of the city planning board which had approved the project prior to March 13, 1967. He was disqualified from voting on said resolution on March 13, 1967. ”
The fact that alderman Branch was a member of the planning board which unanimously voted in favor of this project does not prove that he had an interest in the project other than that of any other citizen and did not disqualify him to vote on March 13, 1967. Rider v. Portsmouth, 67 N. H. 298, 299; N. H. Milk Dealers' Ass'n v. Milk Control Board, 107 N. H. 335, 339; Moskow v. Boston Redevelopment Authority, 349 Mass. 553, 565, 566.
Mr. Branch by contract dated October 11, 1961 was employed as attorney by the Concord housing authority in its operation as developer of low - rent public housing (RSA ch. 203) for a particular project known as Penacook Elderly Housing. This contract had terminated and Mr. Branch had been paid in full for his services before the vote questioned in these proceedings. On August 4, 1965 Mr. Branch entered into another similar contract with the Concord housing authority, again in its operation as developer of low - rent public housing (RSA ch. 203), for another specific project known as John F. Kennedy Apartments. This contract had not been terminated on March 13, 1967. These contracts, except for being with the same housing authority, had no other connection with the capitol plaza project, the subject of the vote on the above date.
On October 28, 1964 Mr. Branch entered into an agreement with the Concord housing authority to serve as attorney in its operation of carrying out under RSA ch. 205 the redevelopment
There was also testimony by Mr. Branch that he had some arrangement as tenant in a building owned by Turcott Associates by which he would “ swap rent for services, ” which “ in a sense” is a retainer but “I do not represent them in everything. ” There was evidence that the Turcott Associates also owned property within the area of the capítol plaza. However there is no evidence that Mr. Branch was representing the associates in regard to this property. Mr. Branch testified “that as far as he knew he was not representing the Turcott Associates in any matter at the time of the questioned vote. ” Nor is there any evidence as to whether or not the associates favored or opposed the capítol project or ever made their feelings known to Mr. Branch. The latter testified that he had no personal interest direct or indirect in the project and that he could vote impartially and impersonally for the good of the city.
The Trial Court found that “Alderman Robert Branch was not barred by a conflict of interests from voting on the March 13, 1967, resolution.” That his connections with the two low-rent housing projects, his prior position, as counsel for the housing authority in its urban renewal activity pertaining to capítol north, his membership on the city planning board and his attorney - client relationship with Turcott Associates “were too remote and insubstantial to give rise to a conflict of interests. ” We cannot say that these findings could not reasonably be made on the record nor can we say that the record required a ruling that Mr. Branch was disqualified as a matter of law. The findings and rulings of the Trial Court on these matters are upheld. Streeter v. New Eng. Box Co., 106 N. H. 146, 148; Levesque v. Hudson, 106 N. H. 470, 475; N. H. Milk Dealers’ Ass’n v. Milk Control Board, 107 N. H. 335, 339.
Plaintiff’s challenge to the right of Attorney Malcolm McLane to vote as an alderman on the March 13, 1967 resolution is essentially the following. Alderman McLane is a partner in the
The Trial Court found that the above facts and Mr. McLane’s “public sponsorship of the plan did not involve him in a conflict of interests or in any way bar him from participating in the vote on the resolution. ” We hold these findings and ruling proper.
Alderman David E. Tardifi had been assistant to Congressman James Cleveland during the summer of 1964 and was a friend and political supporter. Tardiff, Cleveland and Robert P. Bass, Jr. jointly purchased certain property in East Concord,
Alderman Allen R. Wiren is a communicant of St. Paul’s Church, the owner of some property in the project area. He was chairman of its building committee which was originally opposed to the urban renewal plans. He ceased his office of vestryman and his membership on the Church building committee before he took office as alderman in January 1966. When changes were made in the project plans, the church agreed to go along with the urban renewal program. This was prior to the time Mr. Wiren terminated his membership on its building committee and before he began to serve as an alderman.
Alderman Edna McKenna served as a member of a citizen’s advisory committee, named by the mayor, whose membership is to represent as far as practicable a cross section of interests in the city of Concord. It is to obtain all the information it can in order to make a recommendation to the board of aldermen on urban renewal matters. The committee recommended adoption of an urban renewal program. See RSA 205:9.
J. Herbert Quinn, who was mayor of Concord at the time of the vote in question is a former director of the Concord housing authority. He did not vote on the March 13, 1967 resolution. Although plaintiff’s petition alleged that he was disqualified from participation in the debate on this resolution because of statements made to certain aldermen, no such evidence was introduced at the hearing.
We hold that on the evidence presented at the hearing, the Trial Court properly denied plaintiff’s request for a finding “that Robert D. Branch, David E. Tardiff, Allen R. Wiren, Edna McKenna and Malcolm McLane, individually and collectively, had sufficient conflict of interest to taint the vote of March 13, 1967. ” We further hold that the Trial Court properly ruled “ that none of the aldermen had a direct and pecuniary interest in . . . [the resolution] greater than any other citizen of Concord. ” Finally we hold that the evidence does not demand a ruling by this court that any member of the board of aldermen
Exceptions overruled.
Dissenting Opinion
dissenting: In my opinion, a public official is disqualified from voting on a project when either he or his partners are employed by persons who are interested in or are affected by the project, and such disqualification does not depend upon the employment being directly concerned with the project itself, or upon proof that the official was actually influenced by the relationship or what the attitude of his other “master” was regarding the project, as suggested by the court.
In taking the position that aldermen Branch and McLane were therefore, disqualified by reason of conflict of interest, I am by no means suggesting that their votes were in fact influenced by improper considerations, for in my view it is the existence of the relationship itself which disqualifies regardless of the good faith or proper motives of the official.
Reference
- Full Case Name
- Thomas W. Atherton v. Concord
- Cited By
- 16 cases
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- Published