Chief
07-02-2007, 09:55 AM
http://www.washingtonports.org/downloads/knowingthewaters.pdf
Adobe Acrobat, 56 Pages. Outstanding reference and fascinating reading...
It is essential for all port officials, especially commissioners and
managers, to understand the nature, purposes, powers and limitations of
port districts, their own legal roles and their inter-relationships with others.
Otherwise, unnecessary problems arise that can frustrate their ability and
the ability of those around them, to provide effective public service.
The Washington Public Ports Association (WPPA) has prepared this
handbook to help port management and staff provide effective service
while avoiding legal troubles.
Although meant to be comprehensive, Knowing the Waters does not
necessarily include all statutes and regulations, or case law, that possibly
may apply. Furthermore, the law frequently changes with new enactments
and interpretations; even legal interpretations may vary depending upon the
facts of a particular case. Hence, it is important to develop a healthy
working relationship with the various offices and other sources of help
available to you. Do not hesitate to seek information and advice, especially
on legal matters. The result may make the difference between a smooth
passage and a disaster; between success or failure in asserting a claim or
defense, particularly when the good faith of the official may be an issue in
the lawsuit.
— Robert F. Hauth, Attorney
Owens Davies Mackie
WPPA Retained Counsel
December 1996
Introduction .................................................. ............................................... 1
I. Basic Powers - The Distribution and Exercise
of Governmental Powers .................................................. ......................... 2
A. Nature and Powers, Generally .................................................. ........... 2
1. Port Districts as Municipal Corporations ....................................... 2
2. Port District Powers............................................ ............................. 2
3. General Limitations on Port District Powers.................................. 3
4. Powers of Officers .................................................. ......................... 3
B. The Separation and Distribution of Powers ........................................ 3
1. Generally .................................................. ........................................ 3
2. The Separation of Powers Doctrine ............................................... 4
3. Principles Applied to Port Districts ................................................. 4
(a) The Functions of a Port Commission ..................................... 4
(1) The Port District Treasurer ................................................ 5
(2) The Port District Auditor........................................... ........... 5
(b) Management Authority - Optional Delegation by Port
Commission .................................................. ................................ 6
In General........................................... ...................................... 6
(1) The Port Manager .................................................. ............. 6
(2) Promotional Hosting .................................................. ........ 6
(3) Enforcement and Administrative ........................................ 6
c) Practical Considerations in Delegating Powers ..................... 7
d) Other Considerations .................................................. ............. 7
II. Basic Duties, Liabilities and Immunities of Officers ............................ 8
A. In General .................................................. ............................................ 8
The Public Duty Doctrine .................................................. ................... 9
B. Duties as Trustees or Fiduciaries .................................................. ... 10
C. Custodians of Public Funds, Absolute Liability ................................. 10
III. Potential Conflicts and Ethical Guidelines .......................................... 11
A. The Prohibition Against Midterm or Post-election Pay Increases ...... 11
1. In General .................................................. .....................................11
2. Current Application to Port Commissioners .................................11
B. Prohibited Uses of Public Office - Conflicting Financial Interests ... 12
1. In General .................................................. .................................... 12
2. The Statutory Prohibition Against Private Interest in Public
Contracts .................................................. ......................................... 12
(a) In General .................................................. ............................. 12
(b) General Application and Definitions ..................................... 13
(c) Interpretation .................................................. ........................ 13
(d) Exceptions .................................................. ............................ 15
(e) Qualified Exceptions - "Remote Interests" ............................ 16
i.
(f) Penalties .................................................. ................................ 17
3. Miscellaneous New Prohibitions: RCW 42.23.070 ..................... 17
C. Dual Office-Holding .................................................. .......................... 19
1. In General .................................................. .................................... 19
2. Statutory Provisions .................................................. ..................... 20
3. The Judicial Doctrine of "Incompatible Offices" ........................... 20
D. The "Appearance of Fairness Doctrine" in Hearings ........................ 21
IV. Prohibited Uses of Public Funds, Property or Credit ........................ 24
A. Constitutional Prohibitions .................................................. ............... 24
1. In General .................................................. .................................... 24
2. Prohibition Against Gifts/Lending Credit ...................................... 24
3. Special Constitutional Provisions for Port Districts ..................... 25
4. Legislative Authorization Under
Washington State Constitution Article VIII, Section 8 (Amendment
45) ... 25
5. Legislative Restrictions and Conditions ...................................... 26
6. Case Law Under Article VIII, Section 8 (Amendment 45),
Washington State Constitution .................................................. .... 26
7. Other Constitutional Authority -
Industrial Development Revenue Bonds ...................................... 28
B. Statutory Prohibitions Against Misuses of Public Offices and Facilities
28
1. In General .................................................. .................................... 28
2. Using Public Office Facilities for Political Purposes ................... 28
V. Public Works and Competitive Bidding Requirements ..................... 30
A. Competitive Bidding - In General .................................................. ..... 30
B. Statutory Requirements .................................................. .................... 30
Summary of Statutory Bidding Requirements and
Non-Requirements for Port Districts ................................................ 31
C. Penalties for Violations of Competitive Bid Law ............................... 32
D. Other Remedies: Taxpayer or Disappointed Low Bidder ................. 32
VI. Sales of Port Property .................................................. ....................... 33
A. In General .................................................. .......................................... 33
1. Sale of Unneeded Port District Property ...................................... 33
2. Sale on Contract .................................................. .......................... 34
B. Port District Lands in Industrial Development Districts .................... 34
C. Airport Land .................................................. ....................................... 34
D. Intergovernmental Disposition of Property ........................................ 34
E. Leases of Port District Property .................................................. ....... 34
F. Caveat .................................................. ................................................ 34
Table of Contents
ii.
VII. The Open Public Meetings Act of 1971 ............................................. 35
A. In General .................................................. .......................................... 35
B. The Purpose of the 1971 Act .................................................. ............ 35
C. Applications .................................................. ....................................... 36
1. To What Bodies the Act Applies........................................... .......... 36
2. To What the Act Does Not Apply .................................................. .. 37
D. Key Definitions .................................................. .................................. 37
E. Two Kinds of Meetings.......................................... .............................. 38
1. Regular Meetings .................................................. ........................ 38
2. Special Meetings .................................................. ......................... 38
F. Place of Meetings .................................................. .............................. 39
G. Conduct of Meetings .................................................. ......................... 39
H. Executive Sessions .................................................. .......................... 40
1. Definition .................................................. ...................................... 40
2. When Permissible .................................................. ...................... 40
3. Conduct of Executive Sessions .................................................. .. 41
4. Improper Disclosure of Information Learned in Executive Session
41
I. Minutes .................................................. ............................................... 42
J. Violations/Remedies .................................................. ......................... 42
K. Open Public Meetings Act Questions and Answers .......................... 43
VIII. The Open Government Act -
Public Records - Freedom of Information - Privacy ............................... 47
A. Introduction to the Act .................................................. ........................ 47
B. Purpose of the "Freedom of Information Act" ..................................... 48
C. Broad Definition of Public Records .................................................. . 48
D. Duties of Public Agencies (State and Local) ..................................... 49
E. What Records May Be Withheld? .................................................. ..... 49
F. Procedures for Access - Remedies .................................................. . 53
IX. Immunities From Tort Liability .................................................. .......... 54
X. Safeguards and Precautions .................................................. ............ 55
Conclusion .................................................. ............................................... 55
Footnotes .................................................. ................................................. 57
Table of Contents
Adobe Acrobat, 56 Pages. Outstanding reference and fascinating reading...
It is essential for all port officials, especially commissioners and
managers, to understand the nature, purposes, powers and limitations of
port districts, their own legal roles and their inter-relationships with others.
Otherwise, unnecessary problems arise that can frustrate their ability and
the ability of those around them, to provide effective public service.
The Washington Public Ports Association (WPPA) has prepared this
handbook to help port management and staff provide effective service
while avoiding legal troubles.
Although meant to be comprehensive, Knowing the Waters does not
necessarily include all statutes and regulations, or case law, that possibly
may apply. Furthermore, the law frequently changes with new enactments
and interpretations; even legal interpretations may vary depending upon the
facts of a particular case. Hence, it is important to develop a healthy
working relationship with the various offices and other sources of help
available to you. Do not hesitate to seek information and advice, especially
on legal matters. The result may make the difference between a smooth
passage and a disaster; between success or failure in asserting a claim or
defense, particularly when the good faith of the official may be an issue in
the lawsuit.
— Robert F. Hauth, Attorney
Owens Davies Mackie
WPPA Retained Counsel
December 1996
Introduction .................................................. ............................................... 1
I. Basic Powers - The Distribution and Exercise
of Governmental Powers .................................................. ......................... 2
A. Nature and Powers, Generally .................................................. ........... 2
1. Port Districts as Municipal Corporations ....................................... 2
2. Port District Powers............................................ ............................. 2
3. General Limitations on Port District Powers.................................. 3
4. Powers of Officers .................................................. ......................... 3
B. The Separation and Distribution of Powers ........................................ 3
1. Generally .................................................. ........................................ 3
2. The Separation of Powers Doctrine ............................................... 4
3. Principles Applied to Port Districts ................................................. 4
(a) The Functions of a Port Commission ..................................... 4
(1) The Port District Treasurer ................................................ 5
(2) The Port District Auditor........................................... ........... 5
(b) Management Authority - Optional Delegation by Port
Commission .................................................. ................................ 6
In General........................................... ...................................... 6
(1) The Port Manager .................................................. ............. 6
(2) Promotional Hosting .................................................. ........ 6
(3) Enforcement and Administrative ........................................ 6
c) Practical Considerations in Delegating Powers ..................... 7
d) Other Considerations .................................................. ............. 7
II. Basic Duties, Liabilities and Immunities of Officers ............................ 8
A. In General .................................................. ............................................ 8
The Public Duty Doctrine .................................................. ................... 9
B. Duties as Trustees or Fiduciaries .................................................. ... 10
C. Custodians of Public Funds, Absolute Liability ................................. 10
III. Potential Conflicts and Ethical Guidelines .......................................... 11
A. The Prohibition Against Midterm or Post-election Pay Increases ...... 11
1. In General .................................................. .....................................11
2. Current Application to Port Commissioners .................................11
B. Prohibited Uses of Public Office - Conflicting Financial Interests ... 12
1. In General .................................................. .................................... 12
2. The Statutory Prohibition Against Private Interest in Public
Contracts .................................................. ......................................... 12
(a) In General .................................................. ............................. 12
(b) General Application and Definitions ..................................... 13
(c) Interpretation .................................................. ........................ 13
(d) Exceptions .................................................. ............................ 15
(e) Qualified Exceptions - "Remote Interests" ............................ 16
i.
(f) Penalties .................................................. ................................ 17
3. Miscellaneous New Prohibitions: RCW 42.23.070 ..................... 17
C. Dual Office-Holding .................................................. .......................... 19
1. In General .................................................. .................................... 19
2. Statutory Provisions .................................................. ..................... 20
3. The Judicial Doctrine of "Incompatible Offices" ........................... 20
D. The "Appearance of Fairness Doctrine" in Hearings ........................ 21
IV. Prohibited Uses of Public Funds, Property or Credit ........................ 24
A. Constitutional Prohibitions .................................................. ............... 24
1. In General .................................................. .................................... 24
2. Prohibition Against Gifts/Lending Credit ...................................... 24
3. Special Constitutional Provisions for Port Districts ..................... 25
4. Legislative Authorization Under
Washington State Constitution Article VIII, Section 8 (Amendment
45) ... 25
5. Legislative Restrictions and Conditions ...................................... 26
6. Case Law Under Article VIII, Section 8 (Amendment 45),
Washington State Constitution .................................................. .... 26
7. Other Constitutional Authority -
Industrial Development Revenue Bonds ...................................... 28
B. Statutory Prohibitions Against Misuses of Public Offices and Facilities
28
1. In General .................................................. .................................... 28
2. Using Public Office Facilities for Political Purposes ................... 28
V. Public Works and Competitive Bidding Requirements ..................... 30
A. Competitive Bidding - In General .................................................. ..... 30
B. Statutory Requirements .................................................. .................... 30
Summary of Statutory Bidding Requirements and
Non-Requirements for Port Districts ................................................ 31
C. Penalties for Violations of Competitive Bid Law ............................... 32
D. Other Remedies: Taxpayer or Disappointed Low Bidder ................. 32
VI. Sales of Port Property .................................................. ....................... 33
A. In General .................................................. .......................................... 33
1. Sale of Unneeded Port District Property ...................................... 33
2. Sale on Contract .................................................. .......................... 34
B. Port District Lands in Industrial Development Districts .................... 34
C. Airport Land .................................................. ....................................... 34
D. Intergovernmental Disposition of Property ........................................ 34
E. Leases of Port District Property .................................................. ....... 34
F. Caveat .................................................. ................................................ 34
Table of Contents
ii.
VII. The Open Public Meetings Act of 1971 ............................................. 35
A. In General .................................................. .......................................... 35
B. The Purpose of the 1971 Act .................................................. ............ 35
C. Applications .................................................. ....................................... 36
1. To What Bodies the Act Applies........................................... .......... 36
2. To What the Act Does Not Apply .................................................. .. 37
D. Key Definitions .................................................. .................................. 37
E. Two Kinds of Meetings.......................................... .............................. 38
1. Regular Meetings .................................................. ........................ 38
2. Special Meetings .................................................. ......................... 38
F. Place of Meetings .................................................. .............................. 39
G. Conduct of Meetings .................................................. ......................... 39
H. Executive Sessions .................................................. .......................... 40
1. Definition .................................................. ...................................... 40
2. When Permissible .................................................. ...................... 40
3. Conduct of Executive Sessions .................................................. .. 41
4. Improper Disclosure of Information Learned in Executive Session
41
I. Minutes .................................................. ............................................... 42
J. Violations/Remedies .................................................. ......................... 42
K. Open Public Meetings Act Questions and Answers .......................... 43
VIII. The Open Government Act -
Public Records - Freedom of Information - Privacy ............................... 47
A. Introduction to the Act .................................................. ........................ 47
B. Purpose of the "Freedom of Information Act" ..................................... 48
C. Broad Definition of Public Records .................................................. . 48
D. Duties of Public Agencies (State and Local) ..................................... 49
E. What Records May Be Withheld? .................................................. ..... 49
F. Procedures for Access - Remedies .................................................. . 53
IX. Immunities From Tort Liability .................................................. .......... 54
X. Safeguards and Precautions .................................................. ............ 55
Conclusion .................................................. ............................................... 55
Footnotes .................................................. ................................................. 57
Table of Contents