Kentucky ethics board clears governor of conflict in $1.6 million purchase of home from major donor
Published 7:47 pm Friday, July 21, 2017
- MorgueFile
FRANKFORT, Ky. – A government ethics board has concluded Kentucky Gov. Matt Bevin had no conflict of interest in purchasing a home and 10 acres of land below appraised value in an upscale Louisville suburb from a major political donor who Bevin appointed to a state board.
The Executive Branch Ethics Board said even if the transaction amounted to a gift, the Republican governor did not violate the state ethics code because the seller of the property was not a lobbyist trying to influence Bevins.
“Nothing in the Ethics Code prohibits two public servants from engaging in a financial transaction or giving each other gifts,” said Kathryn Gabhart, executive director of the ethics board.
Neil Ramsey, an investment company owner, sold the home and 10 acres in suburban Anchorage to the governor in March for $1.6 million. The Jefferson County Property Valuation Administrator valued the home for tax purposes at $2.13 million and 19 surrounding acres at $840,000.
Ramsey, who kept nine acres of the land, was appointed to the Kentucky Retirement Systems Board by Bevins before the home and land were sold to the governor. Ramsey said the property was not worth the county’s stated valuation, and that the purchase price was fair. He was a major donor to Bevin’s campaign for governor in 2015.
Democratic State Rep. Darryl Owens and Richard Beliles, Common Cause of Kentucky chairman, filed conflict of interest complaints with the ethics board, accusing the governor of accepting an improper gift.
Beliles told the Louisville Courier-Journal the ethics board ruling could lead to widespread conflicts in state government.
“I’m disappointed,” said Beliles. “By limiting the restriction on gifts to just lobbyists in this state of four million people leaves the door open to almost anybody else, and I think that damages the public’s confidence in state government.”
The five-member ethics board unanimously dismissed the complaints against the governor. Three of the commissioners were appointed by Bevins and two by his predecessor, former Democratic Gov. Steve Beshear.
In an odd twist, the commission warned Democratic Attorney General Andrew Beshear, son of the ex-governor, that if he pursued an investigation of the property sale and later ran for governor, he would run the risk of a conflict of interest.
Beshear had said he was considering such an investigation.
Details for this story were provided by CNHI Kentucky State Reporter Ronnie Ellis.