Request By:
Mr. Douglas Brandenburg
Lee County Judge Executive
Box G
Beattyville, Kentucky 41311
Opinion
Opinion By: David L. Armstrong, Attorney General; By: Charles W. Runyan, Assistant Deputy Attorney General
One of the magistrates, on your fiscal court, and his brother operates an auto parts store.
Your question:
"Is it legal for the fiscal court to buy from this parts store. The fiscal court buys each month from a different parts store. Can we legally buy from him, or is it a conflict?"
KRS 61.220, a penalty statute, reads in part:
"(1) Any member of the fiscal court who becomes interested, directly or indirectly, in any contract for work to be done or material to be furnished for the county or any district thereof, or who becomes interested in any claim against the county or state shall be fined not less than five hundred ($500) nor more than five thousand dollars ($5,000) for each offense."
The fiscal court has the authority to regulate and control the fiscal affairs of the county. The fiscal court has the authority to appropriate county funds for county purposes required by law. KRS 67.080. The magistrate in question is a member of your fiscal court.
It is our opinion that the fiscal court cannot legally buy materials from the magistrate's store. This conclusion is based upon the fact that such a purchase from that store would place the magistrate part owner in violation of the above KRS 61.220(1). Here the magistrate's interest in such contract with the county is direct and obviously involves monetary consideration. In addition, such purchase would be in violation of the common law principle that an officer of local government cannot make a contract with himself, i.e., a contract in which he has a pecuniary or monetary interest.
Githens v. Butler County, 350 Mo. 295, 165 S.W.2d 650 (1942). The courts' common law rule prohibits an officer from profiting from the public's business.
Commonwealth v. Withers, 266 Ky. 29, 98 S.W.2d 24 (1936). This is based upon principles of reason, of morality, and of public policy. Those principles of the common law and equity are now reflected in KRS 61.220(1).
The case of