| Advisory opinion request from the West Calcasieu Port Board of Commissioners concerning a former board member or his wholly-owned company serving as the contracted Port Director once he resigns as a board member. |
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The West Calcasieu Port ("Port") is a political subdivision of the state governed by a board of commissioners who are uncompensated except for receiving a per diem. The Port is a small governmental entity with no full-time employees. Within the next couple of months, the Port will be issuing a Request for Proposals for a contracted Port Director. The Port's search for qualified applicants has been challenging due to the limited pool of candidates with the necessary experience and knowledge of the Port's operations.
Wilford "Buddy" Reams III is a member of the Port's Board of Commissioners. He was appointed by the Calcasieu Parish Police Jury on February 6, 2020. Mr. Reams has not served as an officer of the Port, nor has he signed contracts or checks on behalf of the Port. His current term expires soon, and he will be resigning from his position as a board member.
The Port asks whether Mr. Reams or his wholly-owned company is eligible to serve as the contracted Port Director once he resigns from the board without being subject to the two-year waiting period outlined in the Code since the contract would be with his company, not with Mr. Reams individually.
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La. R.S. 42:1121A(2) provides that no former member of a board or commission shall, for a period of two years following the termination of his public service on such board or commission, contract with, be employed in any capacity by, or be appointed to any position by that board or commission.
The Louisiana Supreme Court provides that "the separate corporate entity privilege is not without limits and does not permit a public official ... to use his wholly-owned and controlled corporation to do that which the [Ethics Code] expressly commands he shall not do." Bd. of Ethics in Matter of Cartesian Co., Inc., 16-1556 (La. App. 1 Cir. 10/12/17), 233 So.3d 9, 23-24 (citing Glazer v. Commission on Ethics for Public Employees, 431 So.2d 752, 758 (La. 1983)).
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Adopt the proposed Advisory Opinion.
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| Assigned Attorney: |
Jessica Meiners |
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