# Presentation: 087483

## Agenda

- Slide

- _Agenda_
- Disqualification due to employee interest in NRCS programs
- Differentiation between disqualification requirements for different NRCS Programs
- New specific guidance on regular CRP
- Ethics restrictions on employees or former employees being TSPs.

- NRCS Ethics Office

- <footer> January 25, 2006

## 2002 Farm Bill 

- 2002 Farm Bill
** ****Demands greater transparency**

- Avoid Conflicting Interests

- Protect integrity of NRCS Programs and services

- NRCS Ethics Office

- <footer> January 25, 2006

## Employee may not, as part of their Government job

-  **work personally and substantially**
** ****on any particular matter involving specific parties**
** ****in which the employee* has a financial interest **
** ...  **_**If**_** the matter will affect* that interest**

- Actual Conflict of Interests

**Prohibition **_**also**_** applies if someone with whom the employee has certain personal or business relations has an interest.**

- NRCS Ethics Office

- <footer> January 25, 2006

## Interests & Relationships that Trigger Disqualification

**Employee**
**Spouse or minor child**
**General partner**
**Outside employer or prospective employer**
**Non-Federal organization in which employee is an officer, director, trustee, or general partner**

**Person with whom employee has or seeks a business, contractual or other financial relationship**
**Member of household or close relative**
**Employer of spouse, parent or dependent child**
**Non-Fed employer within past 1 year;**
**Non-Fed organizations in which the employee is active;**
**Person or Org for whom the spouse, parent or dependent child is an employee, officer, director, consultant, contractor, agent, etc**

_**Interests**_

_**Relationships**_

- NRCS Ethics Office

- <footer> January 25, 2006

## Appearance of COI [i.e., Impartiality due to relationships]

- Appearance of COI **[i.e., Impartiality due to relationships]**

- Is the matter likely to affect* the financial interest a person with whom the employee has a covered relationship;**  _**AND**_
- Would the employee’s involvement cause a reasonable person with knowledge of all relevant facts to question the employee’s impartiality?

**If "YES”, the employee must not perform official duties unless given written ethics authorization by the DCH MGT.**

- [**or a person they represented]

- NRCS Ethics Office

- <footer> January 25, 2006

## Disqualification

** ****Required to avoid COI**
** ****Responsibility of the employee**
** ****Impacts NRCS duties, not outside interest**

- NRCS Ethics Office

- <footer> January 25, 2006

## Example 1:  A DC who applies for an NRCS program           tells supervisor she can not work on:
Employee’s own* application 
Applications of competing* operations

**Employee’s own* application **
**Applications of competing* operations**

- _Example 2_**:****  ****Sarah, soil con, knows she can not do NRCS ****	****	****work on her Dad’s operation.  Now, Dad will ****	****	****apply for regular CRP ****(not continuous)****. ****  Sarah tells her AC she can not work on:**
**Dad’s operation**
**Applications of competing operations***
_**What must you do as the SEA?**_

- Because it is regular CRP, you clarify what competing operations Sara really can be allowed to work on.

- NRCS Ethics Office

- <footer> January 25, 2006

## Example 3: An STC who farms in the same state applies to participate in EQIP. 

**The STC must disqualify from work on:  **
** **

** ****National program development**
** ****State program development**
** **_**Pre-contract**_** work on **_**competing**_*** applications:**
- Application
- Eligibility Determination
- Ranking
- Fund Obligation
- Contract Approval

- NRCS Ethics Office

- <footer> January 25, 2006

## Can Jones work on other EQIP applications 
in the county?
In the state?

**Can Jones work on **_**other**_** EQIP applications **
**in the county?**
**In the state?**

**No**
**Depends**

- NRCS Ethics Office

- <footer> January 25, 2006

**Notes:**
In the county?  No
In the state?  Depends on state funding mechanism.

Let’s look at that further.

## Can Jones work on other applications for that program in that signup?
in the county?
In the state?

**Can Jones work on other applications for that program in that signup?**
**in the county?**
**In the state?**

**Depends**
**Depends**

- NRCS Ethics Office

- <footer> January 25, 2006

**Notes:**
In the county?  No
In the state?  Depends on state funding mechanism.

Let’s look at that further.

## Disqualification requirements from performing NRCS pre-contract functions on other’s operations for the various Farm Bill programs - - 

**There are fewer restrictions when the program is regular CRP versus EQIP, WRP, AMA, etc.  **
**The least restrictions occur with CSP and continuous CRP.  **
**The differences in the extent of disqualification required by program are due to differences** **in how our programs operate.**
**Each SEA & Asst STC must work together to determine specific requirements in each state.**

- NRCS Ethics Office

- <footer> January 25, 2006

## Disqualification**

**Disqualification****

- STATEWIDE* **	****where applicants compete for****	****funding on a statewide basis;**
- AREA-WIDE **	****where applicants compete for ****	****	****funding by area ****	****	****ME = Field Office****	****PA = Field Team****	****	****TX = Zone  ****	****etc.**
- COUNTYWIDE **	****where the competition for ****	****funding is within each county.****
- * Large states like TX can contact NHQ for exceptions to statewide disqualification.

******Guidance is different for CSP and CRP

- NRCS Ethics Office

- <footer> January 25, 2006

## State where competition varies by program and resource concern

**Competition for program dollars:**
- EQIP –** **
**Countywide**** for 3 resource concerns**
**Grazing land health**
**Water quality [nutrients, pesticides, sedimentation]**
**Soil erosion--wind**
**Area-wide**** for all other resource concerns**
- CSP - - **Nationwide**
- Continuous CRP- - **No competition**
- Other NRCS Programs except regular CRP** **- - **Statewide**
- Regular CRP** - - Depends**

_**Example**_**:  Disqualification ****	**[Kansas 2004]

- NRCS Ethics Office

- <footer> January 25, 2006

## Kansas Example (continued)

**Grace, ASTC, is part owner of an operation in Wallace County that applies to participate in an NRCS program.**

**Do not participate in national or state program development**
**Do not perform pre-contract functions during that signup:**
- 	If EQIP...............	Countywide **If limited to those 3 ****	****	****	****resource concerns.**
**	****...............****	**Area-wide **if other resource concern**
- 	If other Program	Statewide  **Except CRP and CSP**

- NRCS Ethics Office

- <footer> January 25, 2006

## Kansas Example (continued)

**Bob, a DC in Kansas, has a great family.  His dad owns an operation in a neighboring county** **(outside of his field office’s service area)****.** **The Dad will apply in the next EQIP signup to address concerns due to soil erosion due to wind.**

- Bob can not participate in national or state program development
- Bob _can_ perform his normal duties for his own field office.

- However, _if_ the resource concern was competed for by area, then Bob would have to disqualify and not perform pre-contract functions area-wide during that signup.

- NRCS Ethics Office

- <footer> January 25, 2006

## Example

**PA**
**2005**

| CSP | Nationwide |
| --- | --- |
| EQIP |  |
|   No-Till | Statewide |
|   Air Quality | Statewide (livestock) |
|   Wildlife | FT |
|   Nutrient Mgt | FT |
|  Etc. |  |
| Other Programs | Statewide |

**Give SEA  the state’s  funding arrangements**

**Receive correct ethics guidance**

**Programs**

- NRCS Ethics Office

- <footer> January 25, 2006

## If you or a family member will sign up for EQIP (nutrient management) 

**do not perform work* on:**
**National Program Development**
**State Program Development**
**Your own operation**
**Pre-contract functions for others******in FT area**

-  * Non-clerical

**SEA  receives state  funding arrangements**

**SEA can make it simple for employees**

**Example**
**PA**
**2005**

- ** Except Continuous CRP

- NRCS Ethics Office

- <footer> January 25, 2006

## CSP and CRP

**A DC applies.  Can he/she perform pre-contract work on other operations also applying:**

- If CSP
- If continuous CRP
- If regular CRP

**Can work on other applications**

**Can work on other applications**

**Depends**

- NRCS Ethics Office

- <footer> January 25, 2006

## Example - North Dakota funding:  2005

| Program | Fund Competition | Disqualification |
| --- | --- | --- |
| CSP | Nationwide | Do not work on program development
Can process competing applications |
| EQIP | Statewide
Animal waste systems (AFO)
Irrigation system conversion (GSW)
Countywide
All other res. concerns | Statewide for AFO and GSW
Countywide for other resource concerns |
| Other Programs  | Statewide | Not required for continuous CRP
Regular CRP – Depends
Statewide for all others  |

- NRCS Ethics Office

- <footer> January 25, 2006

## UT

**2005**

| CSP | Nationwide |
| --- | --- |
| AMA | Countywide |
| CRP continuous | No competition for funds |
| Regular CRP | Depends |
| Other Programs | Statewide |

**Give SEA  the state’s  funding arrangements**

**Receive correct ethics guidance**

**A STC PGMS**

- _Example_

- NRCS Ethics Office

- <footer> January 25, 2006

## If employee or a family member* will sign up for an  NRCS program other than AMA, CSP, regular CRP or continuous CRP

- Yes or No?
**Can you perform work** on:**
**National Program Development**
**State Program Development**
**Your own operation**
**Pre-contract functions for other****applicants for that program statewide**

**Example **
**UT**
**2005**

**No**
**No**
**No**
**No**

*** **Close person relationship
******TA and other non-clerical work

- NRCS Ethics Office

- <footer> January 25, 2006

## NRCS continues to perform the following pre-contract activities for regular CRP:

**Discussions; pre-planning activities such as reviewing the specifications with the potential participant; talking with participants about the expected results of the practices; responding to questions about the program; and generally "selling" conservation.**
**NRCS employees must disqualify and not perform pre-contract functions for operations applying for regular CRP if they would do so either (1) working alone or (2) as the Team Leader responsible for performing those functions.**

- NRCS Ethics Office

- <footer> January 25, 2006

## NRCS Ethics Office 

| Whether DC can perform pre-contract functions on competing operations  | If Employee works |  |  |
| --- | --- | --- | --- |
|  | Alone | Team Leader | Team Member |
| Yes |  |  | x |
| No | x | x |  |

- NRCS Ethics Office

- <footer> January 25, 2006

## Example - - DC applies for regular CRP 

**Employees must never provide conservation technical assistance on their own operation (or that of another with whom there is a covered relationship.)**
**The DC (not working as a team member) is disqualified from performing pre-contract functions on other operations that also apply for regular CRP in the same county; **
**The DC is also disqualified from performing pre-contract functions area-wide if working alone (versus as part of a Team). **

- NRCS Ethics Office

- <footer> January 25, 2006

## Example, - - DC applies for regular CRP (continued)

**If working as a Team member (versus Team Leader), the DC can perform the limited pre-contract functions that are still performed by NRCS on other operations applying for regular CRP.**
**However, the DC can not work as Team Leader to perform pre-contract functions for competing operations.**
_**Note**_**:  Examples 1 – 5 of required disqualification due to****the employee’s own application also apply if ****an applicant is a family member or has another ****covered relationship.**

- NRCS Ethics Office

- <footer> January 25, 2006

## Example:       Employee w/ relationship to TSP

- _Example_:       **Employee w/ relationship to TSP**
**	****	****	****	****	****An employee must not work on a particular matter in an official capacity if the spouse or other close relative has an interest in the same particular matter as the TSP.**

- Disqualification

** ****Required to avoid COI**
** ****Responsibility of the employee**
** ****Impacts NRCS duties **
** **

**.**

** ****Normally does not impact outside interest**

**But it**** can****!**

- NRCS Ethics Office

- <footer> January 25, 2006

## When Employee Must DisqualifyManagement Options

** ****Employee disqualifies - notifies supervisor;**
** ****Supervisor notifies state office**;**
** ****If the state thinks disqualification is **not** required **_**or**_** should be waived, the STC should request a  determination from the DCH MGT.**
** ****Consider Substantial Conflict Determination**
** **

- **See 5 CFR 2635.403(b)

*****And appropriate co-workers

- NRCS Ethics Office

- <footer> January 25, 2006

## Substantial Conflict Determination

- Substantial Conflict Determination

**Example:  To prohibit an individual employee from having interest* in an NRCS program or TSP in the same area the employee serves.****  **
- * Through self, spouse or minor child.

_**Effect:**_  **To prohibit employee from having financial interest**
**Employee’s ability to perform the duties of the position would be materially impaired, or**
**It adversely affects efficient accomplishment of the agency’s mission because another employee cannot be readily assigned to perform the work**

- NRCS Ethics Office

- <footer> January 25, 2006

## STC Authority

**STC has authority to make a substantial conflict determination that limits employee’s participation in NRCS programs or TSP.**
**Includes participation by **
**Employee**
**Employee’s spouse **
**Minor child**
**Does not apply to participation of other ****family members **
** **

- See 5 CFR 2635.403(b)

**Authority to make any other type of substantial conflict determination is reserved to the DCH MGT.**
** **

- NRCS Ethics Office

- <footer> January 25, 2006

## Example:  Impact on outside interest 					

- _Example_:  **Impact on outside interest ****	****	****	****	****	**
**Situation:  Spouse is TSP in same area *****AND***** either**
**Employee must disqualify from matters so central to the employee’s position that the employee essentially cannot perform his/her position, **_**or**_
**Another employee cannot readily be assigned to do that work.**
_**Then**_
**     ****The STC may make a substantial conflict determination ****to prohibit employee from having TSP interest in same area.**

- _Result_
-  Spouse could not be TSP in same area.

- NRCS Ethics Office

- <footer> January 25, 2006

## Example:  Impact on outside interest 					

- _Example_:  **Impact on outside interest ****	****	****	****	****	**
**Situation:  Spouse’s employer is TSP in same area *****AND***** either**
**Employee must disqualify from matters so central to the employee’s position that the employee essentially cannot perform his/her position, **_**or**_
**Another employee cannot readily be assigned to do that work****.**
_**Then**_
**     ****The STC may make a substantial conflict determination ****to prohibit employee from having that interest.**

- _Result_
-  Spouse could not work for that company.

- NRCS Ethics Office

- <footer> January 25, 2006

## Substantial Conflict Determination

**  ****No blanket determinations**
**  ****Use on a case-by-case basis only**
**  ****Consult with the Director, NRCS Ethics Office, ****    **_**prior**_** to issuance**
**  ****Provide copy to the Director, NRCS Ethics Office**

- _STC Authority and NRCS Options __(continued)_
- Substantial Conflict Determination

- NRCS Ethics Office

- <footer> January 25, 2006

## Employee as TSP 

**– ****Ethics violation**
**Signature of CCC 1245 violates 5 CFR 205**
- Former Employee as TSP
**- Follow post employment restrictions**
**IF **_**same**_** particular matter.... Signature of CCC 1245 **
**Post employment restrictions**

- NRCS Ethics Office

- <footer> January 25, 2006