CEO 92-23 -- June 5, 1992

CONFLICT OF INTEREST

VILLAGE POLICE OFFICER OWNING PAWN SHOP

LOCATED OUTSIDE OF VILLAGE

To: M. Frank Harrell, Chief of Police, North Bay Village

SUMMARY:

No prohibited conflict of interest is created under Section 112.313(7)(a), Florida Statutes, where a part-time village police officer owns a pawn shop outside of the jurisdiction of the municipality by which the officer is employed. Ownership of the pawn shop does not involve doing business with or regulation by the village. Nor would the officer's ownership of the pawn shop constitute a continuing or frequently recurring conflict between his private interests and the performance of his public duties, or impede the full and faithful discharge of his public duties. Referenced are CEO's 82-36, 81-68, and 78-93.

QUESTION:

Does a prohibited conflict of interest exist where a part-time village police officer owns a pawn shop located outside of the village?

Your question is answered in the negative.

You have advised that Officer Richard Buhrmaster, formerly a full-time police officer with the North Bay Village Police Department, has resigned his position with the Village to become a part owner of a pawn shop. You advise that the pawn shop is located outside of North Bay Village, and you question whether a prohibited conflict of interest would be created if he were to be employed by your Department on a part-time basis.

The Code of Ethics for Public Officers and Employees provides in relevant part:

CONFLICTING EMPLOYMENT OR CONTRACTUAL RELATIONSHIP.--No public officer or employee of an agency shall have or hold any employment or contractual relationship with any businessentity or any agency which is subject to the regulation of, or is doing business with, an agency of which he is an officer or employee . . . ; nor shall an officer or employee of an agency have or hold any employment or contractual relationship that will create a continuing or frequently recurring conflict between his private interests and the performance of his public duties or that would impede the full and faithful discharge of his public duties. [Section 112.313(7)(a), Florida Statutes (1991).]

This statute prohibits a public officer or employee from having an employment or contractual relationship with a business entity which is doing business with, or is regulated by, his public agency. It also prohibits public officers and employees from having employment or contractual relationships which create continuing or frequently recurring conflicts between their private interests and the performance of their public duties, or which impede the full and faithful discharge of their public duties.

We previously have concluded that Section 112.313(7)(a), Florida Statutes, would be violated where a police officer with a sheriff's department owned a pawn outlet located within the city. See CEO 78-93. In that situation, we were of the view that the officer had an employment or contractual relationship with a business entity which was subject to the regulation of his public agency. In CEO 81-68, we concluded that while a city police department did not "regulate" the buying and selling of precious metals, the second portion of Section 112.313(7)(a), Florida Statutes, would be violated were city police officers to engage in such activities within their city because it was found that they would be engaging in employment that would create a continuing or frequently recurring conflict between their private interests and the performance of their public duties.

Here, however, we are faced with a situation where the pawn shop is located in another municipality, separate and distinct from that by which the officer may be employed. You have advised that the pawn shop is located approximately four miles outside of the Village limits, is licensed by the City of Miami, and is required to maintain records of purchases and sales subject to inspection by the City of Miami Police Department. The question then becomes whether the officer's ownership interest in the pawn shop creates a continuing or frequently recurring conflict between his private interests and the performance of his public duties, or impedes the full and faithful discharge of his public duties. As acknowledged by you in correspondence with our staff, perception is the likeliest problem, as pawn shops are generally viewed as fences for stolen goods. However, as we stated in CEO 82-36, where a police officer privately conducted polygraph examinations outside of the jurisdiction where he was employed, we have found no legal authority from which we can conclude that an off-duty police officer, when outside his jurisdiction, has the affirmative obligation to notify the local law enforcement agency of any information he may obtain concerning criminal activity. Rather it appears his obligation would be no greater than that of the ordinary citizen.

Accordingly, we find that no prohibited conflict of interest would be created under Section 112.313(7)(a), Florida Statutes, were the subject police officer to own a pawn shop located outside of the jurisdiction of the municipality where he is employed.