[Vision2020] Hart Faces Ethics Inquiry

[Tom Hansen]

Courtesy of today's (June 18, 2010) Spokesman-Review.

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Hart faces ethics inquiry
House speaker will convene panel to investigate conduct in tax dispute

Betsy Z. Russell
The Spokesman-Review

BOISE – Idaho’s House of Representatives will convene a rare ethics
committee to investigate the conduct of Rep. Phil Hart, R-Athol, who’s
been invoking legislative privilege in his own income tax disputes with
the state Tax Commission and the IRS.

House Speaker Lawerence Denney, who received a formal complaint Thursday
from House Minority Leader John Rusche, said he’ll likely appoint the
committee by the end of next week.

Earlier, Denney, R-Midvale, had been sympathetic to Hart, who has invoked
his status as a state legislator to argue that he should be able to appeal
an order to pay $53,000 in back state income taxes, penalties and interest
despite having missed a filing deadline that fell shortly before the start
of this year’s legislative session. Denney had planned to go to the
attorney general and make a case for giving Hart more time; now, he said,
he’ll hold off on that.

Rusche, D-Lewiston, cited two issues regarding Hart’s conduct: Possible
conflict of interest and possible abuse of legislative privilege. “Does he
have a conflict if he’s trying to set aside tax law through his personal
suit while at the same time he’s sitting on the committee making tax law
for everybody?” Rusche asked. He also questioned whether “by invoking the
privilege in the manner he has, is that abusing the privilege of a
legislator?”

Hart serves on the House Revenue and Taxation Committee, the panel that
considers all state tax legislation. Among bills he proposed this year
were one to eliminate Idaho’s income tax on all earned income, boosting
the sales tax, and another to allow state taxes to be paid in silver
medallions; neither passed.

He’s also contended in his dispute with the state Tax Commission that
Idaho’s state income tax is unconstitutional.

Under House rules, Rusche’s submission of the complaint requires the
speaker of the House to appoint an ethics committee of seven senior House
members, four from the majority party and three from the minority. The
committee then will conduct a preliminary investigation, and if probable
cause is found that an ethics violation has occurred, it can hold a
hearing and make recommendations to the full House ranging from dismissal
of the charges to expulsion from the House.

Denney, who was in Maryland on Thursday attending a conference of speakers
of the House, said, “I haven’t officially received (the complaint) yet,
but when I do get the official one, I will immediately appoint an ethics
committee.”

This year’s legislative session began a few days after Hart’s 91-day
appeal period ran out on his back state income taxes; he argues that
legislative privilege should stop the clock and give him until spring to
appeal.

The Spokesman-Review reported this week that this is the fourth time Hart
has invoked legislative privilege in his tax disputes with both the state
and the IRS, starting with his first year in office in 2006. The Idaho
Constitution exempts lawmakers from arrest or “civil process” during
sessions or 10 days prior to their start.

Hart also is fighting the IRS, which has filed nearly $300,000 in tax
liens against him in Kootenai County in the past year; he stopped filing
state and federal income taxes in 1996 while he pressed an unsuccessful
lawsuit charging the federal income tax was unconstitutional. He’s since
made partial payment.

Hart couldn’t immediately be reached for comment Thursday on the ethics
complaint.

The last time the House convened an ethics committee was in 2003, when
then-Speaker Bruce Newcomb called for a committee to investigate himself
for holding a closed committee meeting; the panel cleared Newcomb of any
wrongdoing.

In 2005, the Idaho Senate convened an ethics committee that censured
then-Sen. Jack Noble after he introduced legislation that would have made
his own convenience store eligible for a state liquor license without
disclosing his personal stake in the issue and then lied about it to the
Ethics Committee. Noble resigned on the eve of a Senate vote on whether to
expel him from office.

Rusche said he discussed Hart’s case with “many” members of his House
minority caucus and also heard lots of comment from the public about it.
“I think there are significant questions among both legislators and the
general public about the behaviors and whether they’re ethically
appropriate or not,” Rusche said.

“The Legislature has an ethical cloud hanging over it. It really is not a
good deal for any of us, minority or majority legislators.”

He added, “I don’t want it to be viewed as a political thing, but rather
an ethical investigation to protect the process in the House of
Representatives.”

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Seeya at Farmers Market, Moscow.

Tom Hansen
Moscow, Idaho

"The Pessimist complains about the wind, the Optimist expects it to change
and the Realist adjusts his sails."

- Unknown