Vermont lawmakers have passed a bill that would create new uniform ethics standards for many local government employees. The bill's sponsors say the change is long overdue.
H.875 would establish a “municipal ethics code” similar to the one for state employees that went into effect two years ago. The new provisions apply to local government officials such as selectmen, clerks and planning commissioners, among others.
Specifically, the code would set basic standards for cities, towns, and villages to adopt regarding conflicts of interest, preferential treatment, gifts, and other potential issues. Lawmakers say some municipalities already have strong ethics policies in place, while others do not, and the bill would bring more consistency.
Other measures in H.875 would require county officials, such as sheriffs, to submit financial disclosures both while campaigning and while in office. The bill would also require state-level officials to disclose additional information, such as stock holdings.
Reporting the bill on the Senate floor Thursday, Sen. Ruth Hardy, D-Addison, said Vermont ranks in the bottom 10 states in the nation for the strength of its government ethics laws, and last among its New England neighbors. He said that there is. She said passing H.875 would move the state up to her No. 23 national ranking.
“The public we spoke to were very adamant and very concerned about making sure we have strong ethical codes at the local government level,” Hardy said, adding that the bill would It added that it will help ensure that society “holds local officials accountable.”
In addition to creating a new ethics code, H.875 would authorize the Vermont Ethics Commission to issue guidance to municipal officials on handling local ethics complaints.
At this point, the commission doesn't even have the authority to take such complaints, Executive Director Christina Sivret said in an interview Friday. She supported the bill.
Hardy told his colleagues that the Ethics Commission and the Vermont Secretary of State's office receive more than 80 complaints a year alleging local ethics violations, more than the number of complaints they receive about state-level officials. He said there are many.
Notably, however, H.875 requires local governments, rather than state boards, to investigate complaints filed under the new local ethics code and develop possible “remedies” for them. It is mandatory to do so. One reason for that, Shivlet said, is that the commission doesn't have the resources to take on the additional work that comes from the local level.
The bill would also require local governments to keep records and report to the state commission regarding these complaints, and would require local leaders, such as city and town managers, to comply with new local ethical standards. It is planned that regular training will be required.
One of the key stakeholders, the Vermont League of Cities and Towns, testified to lawmakers that the bill's requirements would place an undue burden on already stigmatized public officials. Ted Brady, the group's executive director, said while he supports the spirit of the new ethical standards, he believes the bill does not give local governments enough resources to enforce them.
“This is a bunch of unfunded mandates,” Brady said in an interview Friday, adding that the bill “doesn't give towns and cities any tools to address unethical behavior.”
H.875 would also give new powers to the state commission. According to the bill, the commission would be able to investigate incidents, hold public hearings and issue warnings and reprimands for alleged violations of current state employee ethics rules. The commission can currently only issue advisory opinions regarding the conduct of state officials.
Meanwhile, another measure would create penalties for candidates for state and county offices who submit financial disclosure forms late.
The new municipal ethics code is scheduled to go into effect on Jan. 1, 2025, which Hardy said should give the town time to prepare for the new requirements. Some other provisions of the bill are expected to take effect later this year or in 2026.
The House and Senate agreed on a final version of the bill on Friday. The vote was 18-10 in the Senate. It was 93-33 in the House.
