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An advisory opinion regarding whether John Stumpf, who is a member of the Regional Planning Commission (RPC) and co-owner of LA Phoenix, LLC, may submit property mortgaged by LA Phoenix to a program under the RPC. |
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John Stumpf is a board member of the Regional Planning Commission and partner in the LA Phoenix, LLC mortgage company. The Regional Planning Commission consists of Jefferson, Orleans, St. Tammany, St. Bernard, and Plaquemines Parish. One of the programs managed by the RPC is the Brownfield Redevelopment Program. Under this program, environmental assessments and redevelopments are completed on real property whose reuse is complicated by the presence of a hazardous substance. RPC staff selects Brownfield projects on a first-come-first-served basis. The application for the program is submitted by the owner, perspective purchaser, or interested developer. Property is enrolled in the program and eligible for funding once the United States Environmental Protection Agency officer approves the site's and applicant's eligibility for funding. The RPC board does not approve the enrollment of sites into the Brownfield Redevelopment Program, but they do select the contractors that perform the assessments.
The LA Phoenix, LLC mortgage company owns the mortgage on a potential Brownfield site in Jefferson Parish. The blighted property is owned by Lowery Brother's Rigging Center, Inc. (Lowery). Lowery is inactive and, with the exception of the blighted property, has sold all of its assets. The property is potentially contaminated with asbestos. LDEQ is interested in the cleanup of the property and has been working with Lowery to address the environmental issue, however, with limited funding, Lowery is unable to complete the environmental assessment and potential cleanup of the property.
Mr. Stumpf would like to enroll the property into the Brownfield program. As part owner of LA Phoenix LLC, Mr. Stumpf has an interest in the mortgage on the property being paid.
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Section 1112 of the Code prohibits a public servant from participating in a transaction with the governmental entity in which the public servant, or a person in which he has a substantial economic interest, has a substantial economic interest.
Section 1120.4 of the Code provides an exception for appointed members of a board or commission to recuse themselves from voting on matters that violate section 1112 of the Code.
Section 1113 of the Code prohibits an appointed member of a board or commission or any legal entity in which they have a controlling interest from being in any way interested in any contract, subcontract, or any other transaction that is under the supervision of the agency of the public servant.
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Adopt the proposed advisory opinion.
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| Assigned Attorney: |
Aneatra Boykin |
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