St. Michaels Commissioners: “This Is Democracy At Work”

The Commissioners of St. Michaels met Wednesday with town attorney Chip McLeod to discuss their options in responding to the referendum vote on Feb 3^rd, in which voters defeated the town’s ethics ordinance. Later that evening, McLeod was on hand at the regular working session of the town Commissioners.

“This is democracy at work” said President Michael Vlahovich, “the people have spoken.” As a result of the election, the town’s ethics ordinance reverts to the previous chapter 22 of the town code, which is not in compliance with the ethics law mandated by the state in 2010.“The outcome of the referendum vote puts the town in a special position; this doesn’t happen often,” said McLeod.

In September of 2013, the Commissioners adopted the state’s “Model B” legislation designed for small jurisdictions to meet the requirements of the 2010 state ethics law. With over 20% of the town’s eligible voters petitioning against that measure, the ordinance was taken to referendum and defeated. Now the town is in a unique position, being forced by the town’s voters to step out of compliance with the state law.

The Commissioners will send a letter notifying the state ethics board of the outcome of the town’s election. It is expected that they will ask for a re-consideration of the exemption that was denied by the state commission last year. The Commissioners may ask for a hearing with the state ethics commission to explain their unusual situation. “The referendum itself was so compelling” said McLeod, “that even though the town isn’t entitled to a hearing, the state ethics board may be willing to grant one.”

With the resignation of town Commissioner Thomas “Tad” duPont last fall as a direct result of the impending legislation, and now the outcome of the referendum, St. Michaels’ situation demonstrates solid evidence that the law has caused a chilling effect on potential town leaders.

St. Michaels isn’t the only small town to take exception to the ethics law, which holds all elected officials in any town in the state to adhere to the exact same conflict of interest and financial disclosure requirements as those elected to statewide office. Small towns across the state petitioned the state ethics board for exemptions – and some 80 towns were granted exceptions to the law.

According to McLeod, the concern that small towns have about attracting and retaining local leadership under the requirements of the new law has been resonating around the state. Gaithersburg has been a leader in the effort. Unrelated to the St. Michaels referendum, Democratic Senator Jamin Raskin, along with nine co-sponsors, has introduced new legislation (SB 913) that could ease the financial disclosure portion of the ethics mandate. A hearing on that bill will be held at 1:00 pm on February 27 in the Senate Chamber in Annapolis.