Dunphy v. Sheehan

549 P.2d 332, 92 Nev. 259, 1976 Nev. LEXIS 583
CourtNevada Supreme Court
DecidedApril 29, 1976
Docket8707
StatusPublished
Cited by21 cases

This text of 549 P.2d 332 (Dunphy v. Sheehan) is published on Counsel Stack Legal Research, covering Nevada Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dunphy v. Sheehan, 549 P.2d 332, 92 Nev. 259, 1976 Nev. LEXIS 583 (Neb. 1976).

Opinions

[261]*261OPINION

By the Court,

Thompson, J.:

Three public officers, John Sheehan, Executive Director of the Department of Taxation, Jerome Mack, Chairman of the Nevada Tax Commission, and Harley Harmon, a member of the Nevada State Board of Finance, commenced this action to secure a court declaration of the constitutionality of the financial disclosure provisions of the Ethics in Government Law enacted by the Legislature in 1975. It is their contention that such provisions are unconstitutionally vague and also constitute an over-broad intrusion upon their right of privacy.

The district court found the Ethics in Government Law to be unconstitutional in its entirety for reasons other than those asserted by the plaintiffs. In resolving this appeal we choose first to address the contentions tendered by the plaintiffs, after which we shall consider the reasons given by the district court for its ruling.

In broad outline, the challenged law concerns conflicts between the private interests of a public officer or employee and the interests of the general public whom he serves. Its purpose is to avoid such conflicts in order to enhance the people’s faith in the integrity and impartiality of government. NRS 281.420.

To this end a code of ethical standards is established as a guide for the conduct of public officers and employees, NRS 281.610, and a State Ethics Commission is created to render advisory opinions concerning the Code, NRS 281.620. Counties and cities are authorized to create local ethics committees to complement functions of the State Commission. NRS 281.-640. Certain prohibitions are placed upon the conduct of a [262]*262public officer with regard to matters in which he has an economic interest. NRS 281.700. Provisions for enforcement and penalty in case of violation are designated. NRS 281.740. Members of the judicial department of the State are expressly excluded from the Ethics in Government Law. NRS 281.530; 281.540.

The central aspect of the law, its very heart and soul, is the requirement for an annual verified financial disclosure statement by each public officer of his economic interests. When filed, that statement becomes a public record available at reasonable times for inspection by any member of the public. It is mainly through such forced disclosure that others will become aware of impermissible conflicts which the law proposes to avoid. It is to this portion of the law that the plaintiffs have leveled their constitutional challenges.

1. The elimination and prevention of conflict of interest is a proper state purpose. All case authority so declares.1 We are not aware of any decision holding otherwise. The law before us, however, carries criminal penalties for its violation, NRS 281.750, and a public officer who files a verified disclosure statement which is false is subject to the felony charge of perjury. NRS 15.010; 199.120.

Since the Ethics in Government Law carries serious sanctions for disobedience, its terms must be sufficiently explicit to inform those who are subject to it what conduct will render them liable to its penalties. In re Laiolo, 83 Nev. 186, 426 P.2d 726 (1967). A statute which requires the doing of an act in terms so vague that men of common intelligence necessarily must guess at its meaning and differ as to its application violates the first essential of due process. Connally v. General Construction Co., 269 U.S. 385 (1926). The public officers before us assert that the financial disclosure provisions are, indeed, unconstitutionally vague and must be voided for that reason.

[263]*263The disclosure sections are fully quoted below.2 In general terms, the verified statement must disclose the identity of any business entity and description of Nevada real property (except home and recreational property) in which the public officer, spouse or dependent child has an interest worth more than $1,000; any employment for which the public officer is compensated, describing such employment; and, the general source of income, loans or gifts aggregating more than $250 in value received during the preceding year, including a statement of the consideration for which the income was received. NRS 281.650(1).

■ The economic interests just described apparently are deemed to materially affect the public officer in the performance of his official duties if located “within the jurisdiction of the officer’s public agency.” NRS 281.650(3).

[264]*264However, if such economic interests are not located within the jurisdiction of the officer’s public agency, and would not materially affect the officer in the performance of his duties, disclosure of such interests need not be made. NRS 281.-650(2). Apparently, the public officer must make this decision for himself, and at the risk of being charged with perjury should his decision later be found erroneous.

The disclosure provisions are unconstitutionally vague, deceptive and uncertain. What is the “jurisdiction of the officer’s public agency” for the purposes of financial disclosure? By way of illustration, let us suppose that a city councilman, or his spouse, or his child, owns extensive economic interests within the county of his residence, but not within the boundaries of the city which he serves. Must he disclose such interests? They are not within the jurisdiction of his public agency. He must determine for himself whether to expose such interest to public scrutiny, and does not know whether a failure to disclose may- subject him to criminal penalty. Examples of this initial “jurisdictional” determination may be multiplied a hundredfold, and points to a basic vagueness in the law. The public office holder should not have to guess regarding his duty to disclose. That duty must be expressed clearly if criminal sanctions for breach are authorized.

We give no credit to the suggestion that the public officer, if in doubt regarding his duty to disclose, need only obtain an advisory opinion from the State Ethics Commission. That Commission can only advise.

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Dunphy v. Sheehan
549 P.2d 332 (Nevada Supreme Court, 1976)

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Bluebook (online)
549 P.2d 332, 92 Nev. 259, 1976 Nev. LEXIS 583, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dunphy-v-sheehan-nev-1976.