2299

(3) An office in an educational, religious, charitable, fraternal, or civic organization is
not a “financial interest" in securities held by the organization. (Canon 3(C)(3)(c)(ii).)

(4) A policy holder in a mutual insurance company, a depositor in a mutual savings
association, or owner of government securities has a "financial interest,” if the outcome of any
proceeding in which the filer participates could substantially affect the value of the interests.
(Canon 3(C)(3)(c)(iii) and (iv),)

(9) A judge does not have a financial interest in a corporation whose securities are held
by either an educational institution or a private trust of which the judge is a trustee or in which
the judge has no beneficial interest and no control over directing investments. (Canon 6(C)(1),
Advisory Opinion 16,)

(9) An interest in a limited partnership designed to engage in particular investment
strategies can fall within the concept of a “common investment fund" when the judge has no
control or influence over the general partner or over the investment decisions. The investment
vehicle is similar to a mutual fund. (Compendium § 3.1-3(e) (1997),)

(7) A judge has a "financial interest" in each of the named underlying equity securities
when the judge's IRA owns units of an investment vehicle which holds 15 named corporations,
the portfolio is not actively managed, and it is not contemplated the securities will be sold or
exchanged prior to termination of the investment vehicle in ten years. Investment vehicle does
not qualify as “mutual fund or common investment fund" under Canon 3C. (Compendium § 3.1-
30) (1997),)

(8) A law firm's KEOGH plan or 401k plan managed by the firm, small number of
participants, ready access to investment information does not qualify for the "common fund"
exception under Canon 3C. (Compendium § 3.1-3(c) (1997),)

(9) A law firm's retirement fund qualifies for the "common investment fund" exception
under Canon 3C where the financial interest is indirect (due to the number of participants and
the size and diversity of investments), directed investment by participants is not available, and
the participants do not know and cannot easily find out about a fund's portfolio, which turns over
Frequently. (Compendium § 3.1-3(c-1) (1997).)

4 . Issued January 2, 1998


2363

In addition, the method used for valuation should be reported in Column C. These are
coded as follows:

Q-

R=

The gross value of the property should be indicated without reductior

Appraisal. Indicate in Part VII-A or Part VIII the date of the appraisal.

Cost. This method may be used only for real property or an interest in a real
estate partnership. If used, show in Part VII-A or Part VIII the date of purchase
and the amount, not just the category code, of the purchase price.

Assessment ~- assessed value for tax purposes. If this method is used, show in
Part VII-A or Part VIII the amount, not just the category code, of the assessed
value and, if the property is assessed at less than 100% of its value, adjust the
assessed value to reflect the current value and explain your adjustment.

Cash/Market. The quoted market price of publicly traded stocks and other
securities; the face value of interest bearing corporate or nmunicipal bonds or
comparable securities; the balance or surrender value of certificates of deposit,
savings and checking accounts, money market funds, ete.

Book. The net worth of a'proprietorship, partnership interest, or corporate stock
according to the books of such entity. This method may be used only for property

interests not publicly traded.

Other. Any other recognized indication of value, such as current selling price of a
comparable interest. If this method is used, you must describe in Part VII-A or
Part VIII the method used.

Estimated. Your good faith estimate of the value of property if its exact value is
not known and a more accurate determination of its value cannot be easily
obtained by another method.

for mortgages, etc.

References may be made in Part VII to mortgages included in Part VI (Liabilities).

44 Issued January 2, 1999


2265

justices and judges of the United States who retired from regular active service under Section
372(a) of title 28, United States Code, who receive compensation for teaching, are prohibited
from:

- Receiving more than 15% of the pay rate for Executive Level II in earned income
from outside employment if the officer or employee occupies a position classified
above GS-15 of the General Schedule or, in the case of positions not under the
General Schedule, for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General
Schedule and is not a career civil servant (See 5 U.S.C. § 5313 for the pay rate for
Executive Level II). 5 U.S.C. app. 4 § 501(a)(I). Those covered by the
provisions of this Act for only a portion of a year, must pro-rate the 15% on the
basis of the number of days the person will actually work in that calendar year.

5 U.S.C. app. 4, § 501(aX2).

- Being affiliated with or being employed by a firm, partnership, association,
corporation, or other entity to provide professional services which involve a
fiduciary relationship for compensation, serving for compensation as an officer or
member of the board of any association, corporation, or other entity. 5 U.S.C.
app. 4, § 502.

- Receiving compensation for teaching without prior notification and approval from
the appropriate official, ifthe officer or employee occupies a position classified
above GS-15 of the General Schedule or, in the case of positions not under the
General Schedule, for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General
Schedule and is not a career civil servant. See Section 5 of Appendix III for the
procedures for requesting approval. 5 U.S.C. app. 4, § 502.

NOTE: Covered senior employees are defined by Judicial Conference approved
regulations as all judicial officers (except for part-time magistrate judges), commissioners and
staff of the Sentencing Commission, the Director and Deputy Director of the Administrative
Office of the United States Courts, and senior employees of the Administrative Office of the
United States Courts serving at the pleasure of the Director (Schedule C status).

ici ay

In accordance with the Ethics Reform Act of 1988, and the Judicial Conference
regulations implementing this Act, inch
are prohibited from accepting honoraria for any “appearance, speech, or article.” Actual and
necessary travel expenses incurred by the person and one relative are not deemed to constitute

honoraria. 5 U.S.C. app. 4, § 501(b).

20 Issued January 2, 1998


2394

of Appeals for the Armed Forces, who

(@)_is authorized to perform adjudicatory functions with respect to proceedings in the
judicial branch, e.g., bankruptcy judges and magistrate judges; or

(b) who occupies a position for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General Schedule.

Section 109(8).

Persons whose obligation to file reports may vary from year to year, e.g., a senior judge, or
recalled bankruptcy judge or magistrate judge who may perform more than 60 days of service in
cone year but not in another, should certify their exempt status to the Committee on Financial
Disclosure by May Sth, if they are exempt from filing for the prior year, This will avoid an
inquiry from the Committee concerning failure to file. When they file their next reports, they
should explain any apparent inconsistencies resulting from the "gap" between the two reporting
periods.

For information on who must fle initial and final reports, and when they must be filed, see
Appendices I and II, respectively.

Comment

The General Counsel of the Administrative Office has determined that the term "basic pay"
within the definition of a judicial employee does not include locality pay or geographic cost-of-
living allowance (COLA) received by some employees in Alaska, Guam, Hawaii, Puerto Rico,
and the Virgin Islands. Geographic COLAs are considered additional allowances for the cost of
living rather than part of the basic rate of pay. Similarly, there is no express statutory authority
permitting court employees to receive locality pay. Payment is based upon the Director of the
‘Administrative Office's authority to set compensation and is treated in the same manner that
locality pay is treated in the Executive Branch, which does not consider locality pay as a part of

basic pay.

Part-time employees without adjudicatory functions are deemed to satisfy the filing
threshold if the basic rate of pay fixed for the position held meets the statutory minimum. Thus,
the "rate of basic pay" rather than actual pay received, is used to determine the need to,file a
report. In addition, the Committee has held that the "rate of basic pay" to be used to determine
whether a reemployed annuitant who is not authorized to perform adjudicatory functions must
file a report does not include the annuity.

2 Issued January 2, 2000


2389

Major Changes to Financial Disclosure
Instructions for 1999

The Committee agreed upon a proposal to allow filers to aggregate income and value
codes in the reporting of the contents of IRAs, trusts, investment clubs, and similar
arrangements. After reviewing the issue, the Committee changed the filing instructions for
calendar year 1999 reports to allow the use of aggregate value codes for the reporting of IRAs,
trusts, investment clubs, and similar arrangements that qualify as Aggregate Ownership
Arrangements. The essential characteristics of an entity that is an Aggregate Ownership
Arrangement are:

a. anentity, distinct from the filer, in which the filer has a reportable interest, and

b. anentity that owns, or is utilized to hold, investments that are themselves subject to
reporting requirements.

Filers can complete Part VII, Columns A-D, for the Aggregate Ownership Arrangement
and on subsequent lines in Part VII complete Column A for each asset in the arrangement and
Column D if there were reportable transactions for the particular asset. The Committee finds
that the use of the Aggregate Ownership Arrangement satisfies the reporting requirements of
section 102 of the Ethics in Government Act of 1978 (5 U.S.C. app. 4 § 102) for reportable assets
where the ownership arrangement is an entity separate from the owner. Thus, IRAs, trusts,
investment clubs, and similar arrangements can be reported as Aggregate Ownership
Arrangements. Brokerage accounts would normally not qualify since they are personally owned
and have no separate legal identity (pages 51-54).

For security reasons, the Committee has removed the requirement to designate the
ownership of an asset as belonging to spouse (S), dependent child (DC), or joint (J). However,
you must still report those assets of your spouse and dependent child that meet the reporting
thresholds.

The Committee has removed the "Ethics Certification" of compliance with the recusal
statute, 28 U.S.C. § 455, heretofore included in Part IX, Certification. The certification is based
on information not included within the report and adds to the existing confusion by filers and the
public over the role of the Committee on Financial Disclosure and the Committee on Codes of

Conduct.

The Committee continues to find it difficult to close reports that attach financial
statements in lieu of completing Part VII, Investments and Trusts, of the Financial Disclosure
Report (AO Form 10). Such reports often fail to provide the required information and lack a
consistent and uniform format necessary for Committee review. Moreover, they often provide
confidential information that is not required, such as account numbers, Social Security numbers,
and home addresses. The use of bank or brokerage house statements as an alternative form of
filing must have the advanced approval of the Committee in accordance with page 6 of the filing
instructions. Any request should be made sufficiently in advance of the filing deadline to permit
careful consideration and discussion with the reporting person.


2238

Reset Fone an Divot
FINANCIAL DISCLOSURE REPORT Forteous (Jr.), Gabriel T. 5/13/98

TV. REIMBURSEMENTS ~vwsporasoe, te hot main
(nce thse to spouse and ilar: we de "(00)"to ncate
‘tren nnd by apne ond penn cain recta ep. 678 ore

fz] NONE Qo meh repre rinhenoras)

2

V.. GUTS. (tetas tos pons and dependent hires: te parents 0) and DC)" to ble is recched
{py tpoue ond dependent cdrom rexpctn. Sepp 29-32 of Insaco)

‘SOURCE VALUE
[F] ONE (arch repre its)
s
5
3
:
‘ :
‘VI. LIABILITIES. grenier ow of ce of ecpenet itn ewes ep, porn rpte fr
aby by ange pretation Uy of o,f fo ahy oS rpering
nant peg OO fay acento S55 ares
DESCRIPTION VALUE cones

[x] wove pense)
2

sc00228


2359

If a gas, oil, or mineral interest is listed, do you identify the city or county and state and
the name of the energy company or other payor of royalties, working interests, or
rentals?

Do you clearly identify stocks, bonds, eed junds and the underlying assets of IRAs and:
brokerage accounts?

If the asset was not listed on the previous report, do you include transactional
information in Column D or a parenthetical "(X)" in Column A denoting that the asset
was exempt from disclosure on the previous report?

Did you properly identify the ownership of an asset and is that asset consistent with your
prior report?

Ifyou listed a position in Part I as trustee, administrator, custodian, etc., is the estate or
trust listed and the assets therein properly identified?

Commentary

When listing stocks, bonds, and other securities, the individual name or commonly
understood abbreviation should be provided. Stocks should be indicated as "common" or
"preferred." Bonds and other securities should have enough detail in the description to
differentiate that asset from other similar assets listed. This is particularly helpful for the
reviewer and auditor when the filer reports multiple bonds or securities in the same or similar
series, or brokerage accounts that lists its accounts in the name of the firm.

When reporting accounts with financial institutions, the type of account does not need to
be listed.

When reporting an interest in a mutual fund or common trust fund, only the name of the
fund is required. There is no requirement to list the individual assets. An interest in a trust,
estate, or similar entity requires the listing of each individual asset unless the exemptions from

disclosure of the individual assets in 6. Trusts and Similar Entities are met.

It is important that the owner of each asset be properly identified and be consistent on
each Report. In the event of a discrepancy, an explanation should be provided in Part VIII to
preclude a letter of inquiry.

The reviewer and auditor will note when an asset appears on the current Report and is
not listed on the prior Report and there is no transaction information in Column D. In this
situation, the filer should place a parenthetical "(X)" in Column A denoting that the asset was
exempt from disclosure in the prior Report.

40 Issued January 2, 1999


2308

received by a spouse and dependent children 29
relative 26, 29
solicitation 26
special occasions 31
spouse 29
subscriptions 31
Honoraria 20, 23
donated to charity 20
prohibition on receipt 20, 23
Initial report 58
non-investment income 19, 59
reporting period 58
Investments 36
accounts with financial institutions 36
bank accounts 36
brokerage accounts St
capital gain 47
common investment fund 53
common trust fund 39,41
description of assets 38
financial statements 36
income 42
income threshold 36, 37
interest . 42
TRAs 44, SI
joint-ownership 39
mutual funds . 39
"NONE" 42
parenthetical "(X)" 39
partnership 9,37
private investment clubs 51
rental income 38, 42
reportable assets 36,37
spouse 37
stocks, bonds, and other securities 38
tax deferred 42
tax-deferred retirement or pension accounts 44
transactions 47
USS. Savings Bonds 42
value 44
value method. 45
value threshold 36, 37
widely held investment fund 51

63 Issved January 2, 1998


2392

ETHICAL STANDARDS
PUBLIC ACCESS .........---
APPENDIX I - INITIAL REPORTS

Who Must File and When...
Instructions for Completing Each Part .
Identifying Information
1. Positions
Ill. Non-investment Incom«
IV. and V. Reimbursements and Gifts .
VI. Liabilities .........
VIL. Investments and Trusts .
APPENDIX II - FINAL REPORTS ..
Who Must File and When
Instructions for Completing Each Part .
Identifying Information.
Parts I. - VII.
APPENDIX III - Additior
INDEX ...

ii Issued January 2, 2000


Identifying Information
1. Positions
Il. Non-investment Income .

IV. and V. Reimbursements and Gifts .
VI. Liabilities ./......
VII. Investments and Trusts .
APPENDIX Il - FINAL REPORTS
Who Must File and When ..
Instructions for Completing Each Part .
Identifying Information .

APPENDIX III - Additional References.
INDEX

ii

Issued January 2, 1999


2255

Notes to filer:
Do you have any reportable positions ? If not, is the NONE box checked?
Did you provide the full name of the position and the organization?
Does the position appear to represent a conflict of interest?
Does the position require a listing of assests in Part VII?

Commentary

In completing this Part, the reporting period is not always consistent with the reporting
beriod delineated in Block 6 of the heading. For annual reports the reporting period consists of
the calendar year of the Report and the current year up to the date of the report.

The positions a filer can hold are normally determined by the filer's status. Each
category is affected by the Canons and statutes governing the creation and duties of the position
held. Examples are as follows:

Judges

A judge should not serve as the executor, administrator, trustee, guardian, or other
JSiduciary, except for the estate, trust, or person of a member of the judge's family, and then only
if such service will not interfere with the proper performance of judicial duties. "Member of the
Judge's family means any relative of a judge by blood, adoption, or marriage or any other person
treated by a judge as a member of the judge's family." (Canon 5D.)

The duties of a co-trustee, even if nominal, are fiduciary in nature. Canon SD would
seem to rule out service as fiduciary for other than a trust for a member of the judge's family.
Even service as a fiduciary for other than a member of the family, covered by the Canon's section
on "Effective Date of Compliance," and amended, for federal judges, by action of the Judicial
Conference at its April 1973 meeting, seems to contemplate a relationship with an individual. In
any event, such a relationship should be terminated unless a substantial interest of the estate or
person would thereby be jeopardized, (Advisory Opinion No. 33.)

A judge who, before ascending the bench, served as an executor of the estate of a
nonfamily member, or as trustee of a nonfamily trust may, with the approval of the judicial
council of the circuit, continue in that capacity if resignation would cause undue hardship to the
estate and its beneficiaries, but may not receive compensation for such service. (Compendium
§ 5.1-3(@) (1997).)

10 Issued Janvary 2, 1998


2437

‘VII. Page 1 INVESTMENTS and TRUSTS — income, value, transactions (Includes those |
of spouse and dependent children. See pp. 35-55 of Instructions.)

q b. :
_Hetoiar dtp ae

CINONE Sesereteatsas
Lego Common Sock NONE | K
P Rema pgs, lenin VA Ret | M |
P NatioesBank (IRA) (CD*) tserest |
cabin Creek Nation! Bank Stock (X) Dividend | 3
idly tagetian Bal Fund Distdend |
Ay State Urban Dey. Corp. Muni, Bond iowerest | 3

Notes to Filer:

Do you list in Column C(1) the gross value code (J-P) at the end of the reporting period?

Do you list in Column C(2) the correct value method code (Q-W) reflecting how the value
of the asset was determined?

information in Column A or Part VIII?

48

Ifyou used value method codes "Q,""R,"""S," or "V,” did you include the appropriate

Issued January 2, 2000



2368

Do you list in Column D(4) capital gain (income codes A-H) realized on the disposition
of the asset or leave this column "blank" if there was no gain or a loss?

Ifan asset is partially disposed of or sold, did you indicate "partial sale" in Column
DQ)?

If.an asset was completely disposed of or sold, did you leave Column C blank and
complete Columns D(1)-(5) as appropriate?

Do you list the identity of the buyer or seller for all transactions not conducted through
public trading, as on a stock or commodities exchange?

Commentary

In addition to purchases and sales, other types of transactions such as mergers, gifts,
inheritances, and redemptions require completion of all parts of Columns D(1)-(3).

Ifan asset was disposed of (sale or redemption), then Column D(4)- the capital gain
code should also be provided. In addition, Column D(5) should be completed as to the identity
of the buyer or seller if it was a private transaction (as opposed to a transaction conducted
through public trading, as on a stock or commodities exchange).

It should be noted that some filers leave Column D blank when they have a transaction
which does not require complete details. However, Column D(1) should be completed to provide
the type of transaction. This is a common omission when the filer either opens or closes an
account in a financial institution. The following are common examples of these types of
transactions:

(1) opening and closing of accounts in financial institutions, including the rollover of an
account from one financial institution to another,

(2) transactions solely between the filer, his or her spouse, and dependent children,

(3) transactions in which the then fair market value of consideration paid or received did
not exceed $1,000, and

(4) transactions involving a mere change of form of assets, ¢.g,, a stock split,

6. Trusts and Similar Entities

Holdings of beneficial interests in trusts and similar entities present special problems in
reporting.

49 Issued January 2, 1999


2374

COMPLIANCE AND SANCTIONS

Compliance with filing and reporting requirements is monitored pursuant to 5 U.S.C.
app. 4, § 106.

One who knowingly and willfully falsifies or fails to file or report any information
required under the Act is subject to civil and criminal sanctions. Section 104(a).

ETHICAL STANDARDS

The disclosure requirements and exemptions from disclosure contained in the Act neither
define nor limit the standards imposed by the Code of Conduct for United States Judges and
other rules of the Judicial Conference of the United States or the statutory provisions for
disqualification or recusal.

For example, disclosure of financial interests under the Act is required only for interests
exceeding a stated minimum amount of value and only with respect to certain members of a
person's family, whereas 28 U.S.C. § 455(b)(4) applies to financial interests without regard to
amount and 28 U.S.C. § 455(b)(5) applies to participation in litigation by a person within the
third degree of relationship to the judge. Similarly, the Act exempts from disclosure matters
relating to campaign receipts and campaign disbursements, most of which would be prohibited
under the Code of Judicial Conduct for United States Judges, which also precludes qualified
blind trusts for judges.

PUBLIC ACCESS

Financial Disclosure Reports are public documents, open to inspection and copying at the
office of the Committee on Financial Disclosure. Reports will be made available to the public
within thirty (30) days after the Report is received by the Committee on Financial Disclosure and
only upon written application. Sections 105(a) and (b)(1).

Individuals requesting copies of Financial Disclosure Reports will be required to present
adequate identification such as a picture identification, when requesting a copy in person. Those
requesting copies by mail will be required to submit an original signature on the request form.

There will be a charge of twenty(20) cents for each page copied. A Report will be made
available only to a person who completes the AO Form 10A, Request for Examination of Report
Filed by a Judicial Officer or Employee, in writing and includes :

(A) that person's name, occupation and address;

(B) the name and address of any other person or organization on whose
behalf the inspection or copy is requested; and

55 Issued January 2, 1999


2429

When determining whether or not an investment asset should be reported, either the
income threshold (in excess of $200 during the preceding calendar year) or the value threshold
(in excess of $1,000) at the end of the year is sufficient to require reporting. For accounts in a

financial institution, assets must be in excess of $5,000 or produce income in excess of $200. It
has been a fairly common misconception from filers that both thresholds must be met before an
asset is required to be disclosed.

Normally, any information pertaining to a personal residence is exempted from
reporting. However, a second personal residence (e.g., a weekend or vacation home) should be
reported if rental income is received for the use of the property.

The reporting of accounts in a financial institution does require some clarification. Ifthe
aggregate amount of income for all of an individual's accounts or the value of all such income
producing accounts exceeds the established thresholds, then each such account must be
separately reported for each individual. It is important to apply the "threshold test" separately
to each individual owner of the accounts, which would include the following:

(1) accounts individually owned by filer,

(2) accounts individually owned by spouse,

(3) accounts individually owned by dependent child, and

(4) accounts jointly owned by filer and spouse or dependent child.

It should be understood that a reporting exemption for failure to meet a threshold
amount, or for any other reason, does not affect any inquiry or recusal obligation under the
Code of Conduct for United States Judges.

2. Description of Assets

In completing Part VII, a separate description of each asset listed is required. To assist
the reviewer, assets should be listed in the same order as in the previous report. Each asset
reported should be described in sufficient detail so the reader can tell what the property is. As

examples:

-  Forstocks, bonds, and other securities indicate the type of the holding,
“common,” etc., and its name, Commonly understood abbreviations are

permitted.

37 Issued January 2, 2000


2418

reimbursements provided by the United States, the District of Columbia, or a state
or local government or political subdivision thereof; required to be reported under
5 U.S.C. § 7342; or required to be reported under 2 U.S.C. § 434.

Section 109(15).

Relative means one who is related to the reporting person, as father, mother, son,
daughter, brother, sister, uncle, aunt, great uncle, great aunt, first cousin, nephew, niece, husband,
wife, grandfather, grandmother, grandson, granddaughter, father-in-law, mother-in-law, son-in-
law, daughter-in-law, brother-in-law, sister-in-law, stepfather, stepmother, stepson, stepdaughter,
stepbrother, stepsister, half brother, half sister, or who is the grandfather or grandmother of the
spouse of the reporting person, and shall be deemed to include the fiance or fiancee of the

reporting person. Section 109(16).

Personal hospitality means hospitality extended for a nonbusiness purpose by one, not a
corporation or organization, at the personal residence of that person or his family or on property
or facilities owned by that person or family. Section 109(14),

Beginning on January 1, 1991, in accordance with the Ethics Reform Act of 1989, and the
Judicial Conference regulations implementing this Act, officers and employees are prohibited
from soliciting or accepting anything of value from a person seeking official action from, doing
business with, or whose interests would be substantially affected by, the performance or
nonperformance of official duties. 5 U.S.C. § 7353. This prohibition applies to all
reimbursements and gifts covered in Parts IV and V of the Financial Disclosure Report.

If you, your spouse, and your dependent children did not receive any reimbursements
reportable in Part IV, check the “None” box rather than leaving Part IV blank.

IV. REIMBURSEMENTS --transportation, lodging, food, entertainment.

(Includes those to spouse and dependent children. See pp. 25-27 of Instructions.)
SOURCE DESCRIPTION
im NONE (No such reportable reimbursements)
1 June 15 - Haymarket, VA, Mtg of Board of

Staley Foundation Directors (Transportation, Meals, and Room) i
2 ; ‘Aug. 7-14 - Butte, MT - Environmental Seminar
FREE Foundation (Travel, Housing, Food, and Tuition)
> Vace Nov 7 - Williamsburg, VA - TAX CLE Seminar
(Transportation, Food, and Hotel)

26 Issued January 2, 2000


2314

: Tans oa Daa
FINANCIAL DISCLOSURE REPORT Porteous (Jr.), Gabriel T. 5/13/99

VIN. ADDITIONAL INFORMATION OR EXPLANATIONS (Indicate part of Report)

IX CERTIFICATION.

1n compliance with the provisions of 28 USC. § 455 and of Advisory Opinion No. 57 ofthe Advisory Comuniies on Judicial Activities,
‘and tothe best of my knowledge after reasonable inquiry, I did not perform any edjudicatary function in any litigation during the period covered
by this report ia which 1, my spouse, or iy minor or dependent children had a financial interes, as defined in Caom 3C(3Xe), inthe outcome
‘of such litigation.

1 certify that all information given above (cluding information pertaining to my spouse and minor or dependeat children, if any) is
accurate, tue, and complete to the best of my knowledge und belief, and that any information not reported was withheld because it met
‘plicable sttotory provisions permitting noo-diselosure.

1 further certify that eared incorme from outside employment and honoraria and the acceptance of gifts which have beca reported are in

empinevi — See ee andl Calon munis
Z
af
; VG sn3i9

De: Zhe Date.

| WILFULLY PALSIFIES OR FAILS TO FILE THIS REPORT MAY BE
US.C. App. 4, § 104)


2272

Notes to filer:

Do you, your spouse, or any dependent child have any reportable reimbursements? If
not, is the NONE box checked?

Did you identify the source of the reimbursement, and provide a brief description
including location, dates, and nature of expenses?

Can the reimbursement be accepted by you, your spouse, or dependent child?
Commentary

The following opinions issued by the Committee on Codes of Conduct provide guidance
on issues associated with this part.

Attendance of judges and their spouses as guests at bar association dinners is proper,
and a judge may accept reimbursement for the judge's or the judge's spouse's travel and hotel
expenses to attend such a dinner sponsored by lawyer organizations even when the judge does
not speak or render other services at the function. (Advisory Opinion No. 17,)

It is permissible for a judge to attend, and accept hospitality at bar association events
and meetings of other organizations devoted to improvement of the law, legal system, or the
administration of justice. With respect to attendance at cocktail parties hosted by law firms in
connection with bar meetings, judicial conferences, and the like, there is no impropriety ina
Judge accepting such invitations in the absence of reason to believe that such attendance will
reasonably reflect unfavorably on the judge's impartiality or is likely to be exploited by the law
firm. (Advisory Opinion No. 17,)

Itis permissible for judges to attend bar association events such as receptions where a
legal publishing firm has donated the hors d'oeuvres and beverages to the bar association. It is
not appropriate, however, for a group of judges or judicial personnel to allow a legal publishing
firm or other.vendor doing business with their court to donate food and beverages for a meeting
of the judges or judicial employees. (Compendium § 2.9(a) (1997).)

Although mere attendance (along with others similarly situated) without paying a
registration fee would not create an appearance of impropriety, it would create an appearance
of impropriety for employees of the Administrative Office to accept from a legal publishing firm
a gift of transportation, lodging and meals in connection with a professional training program
sponsored by the firm. (Compendium § 2.9(b) (1997).)

It would create an appearance of impropriety for a judge to permit a for-profit company
to host a reception following the judge's investiture, where the judge had no pre-existing

. 27 Issued January 2, 1998


2343

(3) A judge cannot receive compensation for service as family fiduciary where the trust
directs the operating policy of a charity because that would be the functional equivalent
of serving as an officer or member of the board of directors. However, it is acceptable
Sor the judge to serve as family fiduciary charged only with duties normally exercised by
a family fiduciary. Compensation received is subject to the 15% cap.

(Compendium § 35.4(b) (1997).)

(4) A judge's status as partner of a family partnership or shareholder of a family
corporation is not the equivalent of serving as officer or member of the board of an
entity, and thus the financial return to the judge as partner or shareholder is not
prohibited. (Compendium § 35.4(c) (1997).)

(5) Where a judge failed to obtain prior approval of teaching, Chief Judge has authority

to approve teaching for compensation nunc pro tunc if satisfied that the failure was
occasioned by excusable neglect, the application would have been approved if timely

filed, and other criteria for approval are satisfied. If circumstances do not justify nunc
‘pro.tunc approval, the judge's only recourse is to refund the compensation.
(Compendium § 35.7(a) (1997).)

24 Issued January 2, 1999


2279

- any mortgage secured by real property which is a personal residence of you or
your spouse. Section 102(a)(4)(A).

- any loan secured by a personal motor vehicle, household furniture, or appliances
that does not exceed the purchase price of the item securing the liability. Section
102(a\(4)B).

= any information with respect to a spouse living separate and apart from you with
the intention of terminating the marriage or providing for permanent separation or
with respect to any income or obligations arising from the dissolution of the
marriage or permanent separation, Section 102(¢)(2).

- any revolving charge account whose balance did not exceed $10,000 as of the
close of the preceding calendar year.

= political campaign funds, including campaign receipts and expenditures. Section
102(g).

= any liability which is the sole liability or responsibility of the spouse or child;
which is not derived from the assets, income or activities of the reporting person;
from which the reporting person does not derive or expect to derive a benefit; and
of which the reporting person has no knowledge. Section 102(e)(1)(E). Omission
of such data indicates a certification of these statutory conditions. This rale also
applies to the reporting of investments and trusts, see the Instructions for Part VII.

If you, your spouse, and your dependent children did not have any reportable liabilities,
check the "None" box rather than leaving Part VI blank.

VI. LIABILITIES, (includes those of spouse and dependent children; indicate, where applicable, person
responsible for liability by using the parenthetical "(S)" for separate liability ofthe spouse, "(J)" for joint liability of
reporting individual and spouse, and "(DC)" for liability of dependent child. See pp. 33-35 of Instructions.)

CREDITOR DESCRIPTION VALUE CODE*
oO NONE (No reportabie liabilities)
"Old National Bank Credit Card L
2 NationsB: ~~“ Wortgage on Rental Prop. #7,
NevonsBank Alexandria, VA (Pt VII, line 2) M

34 Issued January 2, 1998


2404

Part-time Magistrate Ju

Part-time United States magistrate judges render such service as judicial officers as is
required by law. While so serving they may engage in the practice of law, but may not serve as
counsel in any criminal action in any court of the United States, or act in any capacity that is
inconsistent with the proper discharge of their office. Within such restrictions, they may engage
in any other business, occupation, or employment which is not inconsistent with the expeditious,
proper, and impartial performance of their duties as judicial officers. (28 U.S.C. § 632(b).)

a. No covered senior employee, as defined in the "Regulations of the Judicial Conference
of the United States Under Title VI of the Ethics Reform Act of 1989 Concerning Outside Earned
Income, Honoraria, and Outside Employment," Guide to Judiciary Policies and Procedures,
Volume II, Chapter VI, Part H, shall:

() affiliate with or be employed by a firm, partnership, association,
corporation, or other entity to provide professional services which involve
a fiduciary relationship for compensation;

(2) permit the use of his or her name by any such firm, partnership,
association, corporation, or other entity;

3) practice a profession which involves a fiduciary
relationship for compensation;

(4) serve for compensation as an officer or member of the board of any
association, corporation, or other entity; or

(5) receive compensation for teaching, without the prior notification and
approval as herein provided.

Note: Senior employees of the Court of International Trade or the Court of
Federal Claims must obtain approval from the chief judges of those
courts. Senior employees of the Tax Court must obtain approval from the
chief judge ofthe Tax Court. Commissioners and senior employees of the
Sentencing Commission shall obtain approval from the Chairman of the
Sentencing Commission. Senior employees of the Administrative Office of
the United States Courts must obtain approval from the Director of the

Administrative Office.

12 Issued January 2, 2000


2304
L Positis

The reporting period is the two calendar years preceding the date of the Report through
the filing date in the current calendar year. Section 102(a)(6)(A).

IiL_Non-investment Income

‘The reporting period is the calendar year preceding the date of the Report and the year of
filing. Section 102(b)(1)(A).

In addition, you must report compensation, other than from the United States
Government, in excess of $5,000 in any of the two calendar years prior to the calendar year
during which you file your first Report. Section 102(a}(6)(B).

You must include the identity of each source of such compensation and a brief
description of the nature of the duties performed or services rendered by the reporting person for
each source. Section 102(a)(6)(B).

You are not required to report any information which is considered confidential as a
result of a privileged relationship, established by law between the reporting person and any
person nor are you required to report any information with respect to any person for whom
services were provided by any firm or association of which the reporting person was a member,
partner, or employee unless the reporting person was directly involved in the provision of such
services. Section 102(a)(6)(B).

IV. and V. Reimbursements and Gifts

You are not required to complete these Parts of the Report. Section 102(b)(1). Note
“exempt” in these two spaces.

Vi Liabiti

The reporting period is the calendar year preceding the date of the Report through a date
which is less than thirty-one days before the filing date. Section 102(b\(1)(B).

im and Tru:

‘The reporting period for providing income information for assets is the calendar year
preceding the date of the Report and the year of filing. Section 102(b)(1)(A). The reporting
period for providing value information for assets is the calendar year preceding the date of the
Report through a date which is less than thirty-one days before the filing date. Section
102(b)(1)(B). You are not required to complete Subpart D "Transactions." Section
102(b)(1). Note "exempt" in these two spaces.

59 Issued January 2, 1998


2443
7. i = 1 ie
A. Aggregate Reporting

The Committee has established special rules for reporting assets held in an ownership
arrangement which is separate from the reporting person himself or herself, referred to herein as
an "Aggregate Ownership Arrangement.” A personal stock account with a brokerage is not
considered an Aggregate Ownership Arrangement. As discussed below, a reporting person will
have to identify each separate asset held in the Aggregate Ownership Arrangement and report
transactions regarding each asset. However, the reporting person can report the aggregate (total)
income and end of period value of the asset and need! not provide the separate income and end of
period value of each separate asset therein.

The basic rule is that the income, value, and transactions of the holdings of any
Aggregate Ownership Arrangement in which the reporting person, spouse, or dependent child
has a beneficial interest must be reported if the arrangement itself had ownership of any asset
having a value of $1,000 at the end of the reporting period, regardless of the value of the
reporting person, spouse, or dependent child's individual share. Thus, there must be a list of each
asset owned by the Aggregate Ownership Arrangement having a value in excess of $1,000 or
affected by any transaction in excess of $1,000.

As to each Aggregate Ownership Arrangement, the reporting person shall provide, on a
line in Part VII, the following:

(1) The identity of the Aggregate Ownership Arrangement in Column A.
(2) Aggregate income information in Column B.

(3) Aggregate gross value in Column C.

(4) Transaction as the the Aggregate Ownership Arrangement itself in Column D.

On the lines following the line for the Aggregate Ownership Arrangement, each separate
asset owned by, or in, the arrangement during the reporting period must be reported as follows:

(1) The identity of the separate asset in Column A, preceded by a dash to show that it
is part of the aggregate entry.

2) Column B, income information, is left blank.
2 Of course, if the reporting person wishes to provide the income and end of period
value with respect to each separate asset, it is permissible to do so.

51 Issued January 2, 2000


2388

Financial Disclosure Report
Del

Filing Instructions
for Judicial Officers
and Employees

Committee on Financial Disclosure
Administrative Office of the U.S. Courts
One Columbus Circle, N.E., Suite 2-301

Washington, D.C. 20544
202-502-1850

January 2, 2060 HP Exhibit 105(b)


2275

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a}(2\(A). For initial and final Reports, see Appendices I and I,
respectively, for the appropriate reporting period and rules.

V. GIFTS. (Includes thase to spouse and dependent children; use the parentheticals "(S)" and "(DC)"
10 indicate gifts received by spouse and dependent children, respectively. See pp.29-32 of Instructions.)

SOURCE DESCRIPTION YALUE
Oo NONE (No such reportable gifts)
' Pormer Law Clerks Painting - 20* Anniversary on Bench $ 325.00
? The Executive Club Honorary Membership (dues, tike privileges) $ 1200.00
3 $
Notes to filer:

Do you, your spouse, or any dependent child have any reportable gifts other than
transportation, lodging, food, or entertainment? If not, is the NONE box checked?

Did you list the identity of the source, a description of the gift, and the actual dollar
value?

Can the gift be accepted?

Commentary

Af stock is listed as a gift, the stock should also be reported in Part VII, Investments and

Trusts.
The value of a gift is shown by a dollar amount, not by a value code.

If the gift is from an individual, the individual must be specifically named. Itis not

acceptable to identify the source of the gift as "boyfriend," "girlfriend," "friend," or "significant

other."

The following opinions issued by the Committee on Codes of Conduct provide guidance

on issues associated with this part.

30 Issued January 2, 1998


Agreements
continuation of payments
former employer
future employment
part-time magistrate judges
Alternative reporting format
Amendments
certification |
Basic pay
reemployed annuitant
cost of living
locality pay
Certification and signature
Compliance and sanctions
filing fee
failure to file
Covered senior employee
Disclosure concerning family members
Ethical standards
Extensions of time to file
Filing fee

waiver

extraordinary circumstances
Filing requirements

60 day rule

annual report

initial report

final report

nomination report
Final report

Teporting period
Financial interest
Gifts

bar association

definition

foreign government

honorary/reduced-rate memberships

investitures and similar ceremonies

personal hospitality

2307

INDEX

58
60
60
53, 54
29
32
29
25
Ei
30
26

62 Issued Fanuary 2, 1998


2430

- Foran account within a financial institution, give sufficient information so that it
can be identified. Aggregate information may be provided for accounts in each
financial institution.

- For notes or accounts receivable, indicate the nature of the receivable and the
name of the debtor(s).

-  Foreach real estate interest, indicate the general geographic location, such as city
or county and state. If more than one parcel of real estate is owned in the same
geographic area, you may identify each parcel by number, i.e., Parcel 1, 2, 3, etc.,
rather than identifying each parcel by street address, lot, or block number.

- For an interest in a trust, indicate the nature of the interest (e.g., "income
beneficiary"), the name (if any) of the trust, and the name and location of the
trustee.

- Foran interest in a mutual fund or pooled or common trust fund administered by
an independent financial or brokerage institution, furnish the name of the fund.

At times, reporting persons inadvertently omit the listing of assets, and correct the
previous year's errors in the following year's report. Also, assets which were reported in one year
may fail a qualifying requirement (such as a value of $1,000) in the following year and thus are
not reported. When this occurs, put an explanatory item in Part VII or in Part VIII, with a
reference in Part VII to avoid a letter of inquiry.

In addition, identify with a parenthetical "(X)" assets which have been previously exempt
from disclosure and now are reportable. The parenthetical "(X)" should also be used to identify
an asset that meets the reporting threshold and is other wise exempt from the reporting
requirements for gift under Part V. This should preclude a letter of inquiry from the Committee.

38 Issued January 2, 2000


2436

In addition, the method used for valuation should be reported in Column C. These are
coded as follows:

Q-

R-

Appraisal. Indicate in Part VII-A or Part VIII the date of the appraisal.

Cost. This method may be used only for real property or an interest in a real
estate partnership. If used, show in Part VII-A or Part VIII the date of purchase
and the amount, not just the category code, of the purchase price.

‘Assessment -- assessed value for tax purposes. If this method is used, show in
Part VII-A or Part VIII the amount, not just the category code, of the assessed
value and, if the property is assessed at less than 100% of its value, adjust the

assessed value to reflect the current value and explain your adjustment.

Cash/Market. The quoted market price of publicly traded stocks and other
securities; the face value of interest bearing corporate or municipal bonds or
comparable securities; the balance or surrender value of certificates of deposit,
savings and checking accounts, money market funds, etc.

Book. The net worth of a proprietorship, partnership interest, or corporate stock
according to the books of such entity. This method may be used only for property
interests not publicly traded.

Other. Any other recognized indication of value, such as current selling price of a
comparable interest. If this method is used, you must describe in Part VII-A or
Part VIII the method used.

Estimated. Your good faith estimate of the value of property if its exact value is
not known and a more accurate determination of its value cannot be easily
obtained by another method.

The gross value of the property should be indicated without reductions for mortgages, etc.
References may be made in Part VII to mortgages included in Part VI (Liabilities).

44 Issued January 2, 2000


2344

IY. Reimbursements of
Transportation, Lodging, Food, Entertainment

Information pertaining to the reporting person and a spouse and dependent children, as
noted, is required here.

In this Part report information about reimbursements received by you, your spouse and
dependent children, exclusive, however, of any items received by them totally independent of
their relationship to you. Sections 102(a)(2)(A) and (C); and 102(e)(1)(C) and (D). For initial
Reports, there are separate rules for completing this Part, found at Appendix I of these
Instructions.

A reimbursement means any payment or other thing of value, other than gifts, to cover
travel related expenses. Section 109(15).

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(2)(B). For final Reports, see Appendix II for the appropriate reporting
period.

In this Part, provide:

the identity of the source and a brief description (including location, dates, and nature of
expenses provided) of reimbursements received from any source aggregating $250 or
more in value. Section 102(a)(2)(B).

You are not required to report in Part IV:
- food, lodging, or entertainment received from a relative. Section 102(a)(2)(A).

- food, lodging, or entertainment received as personal hospitality. Section
102(@)(2)(A).

- reimbursements received by your spouse and dependent children, independently
of their relationship to you, Section 102(e)(1)(C) and (D).

- reimbursements received in a period when you were not an officer or employee of
the Federal Government, Section 102(b).

- food, lodging, transportation, and entertainment provided by a foreign goven-
ment within a foreign country or by the United States, the District of Columbia, or
state or local government or political subdivision thereof; food and beverages
not consumed in connection with a gift of overnight lodging; Section 109(5).

25 Issued January 2, 1999


2407

Did you list the date, parties, and terms of the agreement?
Is the agreement permissible?
Commentary

Continuation of payments by a former employer other than the United States

Itis permissible for judges to receive appropriate payment for their interests in a law
{firm and compensation for legal services they rendered before becoming judges.
(Compendium § 2.7(a)(1999).)

A termination of partnership agreement provides for payment of an agreed amount
representing the retiring partner's interest and some of these payments can be paid in years
‘following the partner's appointment as a United States judge. (Advisory Opinion No. 24.)

The Committee on Codes of Conduct is of the opinion that when a partner leaves a law
firm to become a federal judge, he should, if possible, agree with his partners on an exact
amount which he will receive for his interest in the firm, whether that sum is to be paid within
the year or over a period of years. (Id.)

Such payments may continue to be made to the judge, provided it is clear (I) that he is
not sharing in profits of the firm earned after his departure, as distinguished from his sharing in
amount representing the fair value of his interest in the firm, including the fair value of his
interest in fees to be collected in the future for work done before he left the firm, and (2) the
judge does not participate in any case in which his former firm or any partner or associate
thereof is active as counsel until the full amount which he may be entitled to receive under the
agreement has been paid to him. (Id.)

In addition, it is permissible for the departing judge to share in contingent fees received
at the end of litigation, provided a fixed percentage or fixed ceiling is agreed upon, and
reasonably reflects the value of services previously rendered by the departing judge. While it is
permissible for a judge to share in future contingent fees, the judge should first attempt to reach
‘agreement with his former partners on a fixed sum. (Compendium § 2.7(b) and (b-1)(1999).)

A judge should recuse in all cases involving members of the former law firm where the
judge has left a retirement account in the former law firm's profit sharing trust. If there are
‘frequent recusals, the judge should withdraw the account if feasible.

(Compendium § 5.2-4(a) and (a-1)(1999),)

15 Issued January 2, 2000


2366
If an asset has been bought and sold during the same reporting period, provide the
required information about both transactions on successive lines.

On an exchange of properties, e.g., exchange of stock of ABC Co. for stock in XYZ Co.
as a result of merger, list both the disposition of the ABC stock, and show ay capital gain,
whether or not recognized, and the acquisition of the XYZ stock.

‘The value category codes, codes J-P, which for convenient reference are also shown at the
bottom of the Report, are listed above under VALUE.

The income category codes, codes A-H, for reporting capital gains, which for convenient
reference are also shown at the bottom of the Report, are listed above under INCOME. If there is
a loss, or no gain or loss, Column D4 under GAIN should be left blank.

You are not required to provide detailed transactional data on:

- transactions solely between yourself, your spouse, and your dependent children.
Section 102(a)(5).

- transactions in which the then fair market value of consideration paid or received
did not exceed $1,000. Section 102(a)(5).

- transactions involving property used solely as the personal residence of you or
your spouse. Section 102(a)(5)(A).

- transactions involving a mere change of form of assets, ¢.g., a stock split.

- deposits or withdrawals from bank accounts and money market funds.

- transactions involving the reinvestment of dividends, interest, and capital gain
distributions.

If property listed in Part VII is acquired (or created) or disposed of (or liquidated) during
the year in a transaction that is exempt from disclosure as above noted, indicate in Column D the
type of transaction.

If property is partially disposed of during the reporting year, Columns C and D may both
require information, To avoid a response to questions of possible errors in reporting, indicate in
Column D(1) that it was "part sold.”

47 Issued January 2, 1999


2285

VIL Page 1 INVESTMENTS and TRUSTS ~ income, value, transactioms (Includes those
of spouse and dependent children. See pp. 36-54 of Instructions)

LJNONE coors zoe,

! ‘Lego Common Stock (S)

b ;
Rental Property 4), Alexandia, VA
(595 santo oy Ss

[> NationsBank (IRA) (CDs)

la
(Cabin Creek National Bank Stock (X)

Fidelity Magellan Mutual Fund (DC)

is
[NY State Urban Dev. Corp. Muni, Bond

Notes to Filer:

Do you identify the asset in Column A in sufficient detail to clearly identify the type of
Property? Ifno assets are listed, is the NONE box checked?

Ifa real estate interest is listed, is the city or county and state listed?
Ifa financial institution is listed, is the institution clearly identified?

Ifa note or account receivable is listed, are the debtor names and the nature of the debt
described?

40 Issued January 2, 1998


2327

Does block 6 cover the correct reporting period?
Commentary
Blocks I through 8 of the heading to the report should be filled in as indicated:

Block 6. Reporting Period. The following entry should be made for Annual Reports: January
1, 1998-December 31, 1998.

Block 8. Certification. Reviewing official will sign and date this block when the report is
complete. The front page of the AO-10 with the reviewing judge's
original signature will be returned to the staff of the Committee on
Financial Disclosure for permanent filing.

Certification by the reviewing judge or staff counsel, as reviewing officials, certifies that the
information in the report, any amendments, or attached correspondence has been disclosed in
accordance with applicable laws and regulations, The reviewing official has the authority to approve
the report as submitted, direct that a letter of inquiry be sent, or waive an error as de minimis and
approve the report. The reviewing official can also approve a report and direct that an advisory letter
be sent to provide the filer with guidance for future reports, All letters of inquiry are prepared for the
Chair's signature on Committee letterhead stationery, The Chair has authority to revise or waive a

letter of inquiry and approve a report.

8 Issued January 2, 1999


2248

one (61) days each year and accordingly is not required to notify the Committee of his or her
exempt status.
Extensions of Time to Fil

The Committee on Financial Disclosure may grant reasonable extensions of time for filing
initial, annual, and final Reports. Requests for extension should be submitted in vriting to the
Committee before the due date and should explain why the extension is necessary. The
maximum extension permitted by the Act is 90 days. Section 101(g).

Emergency requests for extension may be made by telephone to-the Committee staff if the
reason for the request could not have been reasonably anticipated. A letter confirming the
request should be sent promptly to the Committee. A letter confirming the oral response will be
sent promptly by the Committee.

Commentary

The authority to grant an extension has been delegated to the Committee Counsel by the
Committee.

Filing Fee

The statute requires a person to file a timely Report. One who files a Report more than
thirty (30) days after the date the Report was due may be assessed a filing fee of $200.00. If for
good reason it is necessary to request a delay in filing, extensions of time of up to 90 days may
be granted by the Committee on Financial Disclosure. The statute states that extensions beyond
90 days are not permissible. Absent a waiver, those granted a full 90 day extension will have to
pay the fee if they do not file by the 120th day. Section 104(d)(1).

The Committee may waive the filing fee for extraordinary circumstances. Requests for
waivers must be submitted in writing to the Committee with explanation of the reason(s) the
Report was not filed on time. Section 104(d)(2).

Commentary

When a Report is filed more than 30 days after the date it is due, the filer is assessed a late
filing fee of $200. The feée is deposited in the United States Treasury. if.a filer requests a waiver
of the fee due to extraordinary circumstances, the Committee has delegated the authority to
approve waivers involving failure of the postal system or physical incapacity of the filer to the
Subcommittee on Compliance, Requests for waiver of the fee for any other "extraordinary
circumstance” require a decision by the Committee as awhole. Please note, that Reports are
deemed to have been filed five (5) days prior to physical receipt for the purpose of determining
whether the Report has been timely filed.

3 ‘Issued January 2, 1998


2241

Financial Disclosure Report
ee

Filing Instructions
for Judicial Officers
and Employees

Financial Disclosure Office
Administrative Office of the U.S. Courts
One Columbus Circle, N.E., Suite 2-301
Washington, D.C. 20544
202-273-4626
January 2, 1998
HP Exhibit 103(b)


2390

SECURITY ISSUES

Every filer should be aware that the Ethics in Government Act of 1978 makes your
Financial Disclosure Report a PUBLIC DOCUMENT. This means that a person seeking to
harm or harass you and your family can get a copy of your Financial Disclosure Report. There
have been instances of such misuse of information provided by filers.

The Committee makes the following recommendations so that you can satisfy the

financial disclosure requirements of the Act while accommodating appropriate security concems:

(1) When filing your report, enter your CHAMBERS OR OFFICE ADDRESS in Block
7. Do NOT use your home address for any purpose in connection with your report.

(2) In Part VII, do NOT provide more financial detail than is required by the Instructions.
For example, for bank accounts, provide only the name of the institution and the city and
state in which it is located. For certificates of deposit, provide only the name of the
institution that issues the certificate. Do not include your social security number or the
financial account numbers of brokerage accounts, IRAs, or bank accounts. For rental
properties, provide only the city (or county) and state in which the property is located. If
you have more than one rental property in a particular location, you may identify the
properties as "Rental Property #1, Cincinnati, Ohio," "Rental Property #2, Cincinnati,
Ohio," and so on.

(3) It is not necessary to report your personal residence or residences in Part VII (unless a
portion of your residence is rented to a third party). Similarly, do not report any
mortgage, equity loan, or line of credit secured by a personal residence, vehicle, boat, or
motor home in Part VI.

(4) In addition, some filers wish to provide their federal income tax return.
Paradoxically, this method provides too much information, and at the same time not
enough information. The tax return shows interest and dividends in Schedule B and sales
of assets in Schedule D in specific detail, but it does not provide the protection of the
income and value codes and does not include lists of your current holdings. Therefore, a
tax return does not meet the requirements of the Act.

(5) Similarly, financial statements, deeds, and trust agreements provide too much
information including home addresses and account numbers. They are not necessary in
order to identify an asset. Do not attach such documents to your report.

(6) The reporting requirements do not require the name of your spouse, your child, or
your relatives. Use of the parenthetical codes "S," "J," and "DC" is no longer required.
Identify relatives as "father" or "mother-in-law."

If your Financial Disclosure Report is requested, you will be notified of the request. If

you have any concems or questions about the release of your report, please call the staff of the
Committee at (202) 502-1850 or discuss the matter with your local United States Marshal.

Issued January 2, 2000


2282

- Political campaign funds, including campaign receipts and expenditures. Section
102(g).

-  InPart VU, information associated with property which is the sole financial
interest or responsibility of the spouse or child; which is not derived from the
assets, income or activities of the reporting person; from which the reporting
person does not derive or expect to derive a benefit; and of which the reporting
person has no knowledge. Section 102(e\(1\(E). Omission of such data indicates
a cettification of these statutory conditions. This rule also applies to the reporting
of liabilities, see the Instructions for Part VI.

To help reporting persons in instances where a position held in an economic entity may
have a bearing on reporting requirements, the following should be used as guidance:

When a Financial Disclosure Report contains information reflecting a filer's interest ina
partnership or other business enterprise, the filer must disclose the assets held by the
business entity if filer can direct, influence or in any other manner affect the purchase,
exchange, sale or disposition of the entity or property owned by the entity, or when the
filer can influence policy decisions which affect the purchase, exchange, sale or
disposition of the entity or of property which it owns.

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(1)(B). For final Reports, see Appendix If for the appropriate period.

If you, your spouse, and your dependent children did not have assets subject to reporting,
check the "None" box rather than leaving Part VII blank.

Commentary

Investment income is to be contrasted with earned income. The crucial factor is the
Siler's services. If the filer's services are a material factor in the production of income, it is
earned income and should be reported in Part Ill. However, limited partners usually receive
investment income from the partnership, since they normally do not perform services for the
partnership. Investment income includes returns on investments rather than compensation for
personal services. It includes income derived from all forms of property, such as securities,
Funds, accounts, real estate, partnerships, joint ventures, businesses, and interests in trusts and

estates.
When determining whether or not an investment asset should be reported, either the
income threshold (in excess of $200 during the preceding calendar year) or the value threshold

(in excess of $1,000) at the end of the year is sufficient to require reporting. For accounts in a
Financial institution, assets must be in excess of $5,000 or produce income in excess of $200. It

37 Issued January 2, 1998


2401

INSTRUCTIONS FOR COMPLETING EACH PART
L

ns
Only information pertaining to the reporting person is required in this part.

In this part, a complete listing is required of all positions held by the reporting person as an
officer, director, executor, administrator, trustee, guardian, custodian, or similar fiduciary, partner,
proprietor, representative, employee, or consultant of any corporation, company, firm, partnership,
or other business enterprise, any nonprofit organization, any labor organization, or any educational
or other institution other than the United States. Disclose your position even if you are not
compensated and even if neither you nor a member of your family has any financial interest in the
entities herein listed. Please note that positions held are reported in this part while assets owned or
held are reported in Part VII. You need not report any positions held in any religious, social,
fraternal, or political entity and positions solely of an honorary nature. Section 102(a)(6)(A).

In completing this part, for annual reports, the reporting period consists of the calendar year
preceding the date of the report, and the time to the date of the report. Section 102(a)(6\(A). For
initial and final reports, refer to Appendices I and Il, respectively, of these instructions.

An interest as a limited partner in an investment partnership, if you have no managerial
responsibilities, reflects assets held or owned, but not a position held. The position as such a limited
partner need not be reported in Part I, but the interest must be disclosed in Part VII.

For Article III judges, bankruptcy judges, and magistrate judges, the Codes of Conduct for
United States Judges specify additional constraints on the positions that may be held. See especially
Canon 5. Part-time magistrate judges are governed by special rules as provided in 28 U.S.C.

§ 632(b) and the Guide to Judiciary Policies and Procedures, Volume II, Chapters I and IIT.

‘Additional information--e.g., an opinion from the Committee on the Codes of Conduct, or
approval from a Judicial Council--that bears on the question whether a position presents a potential
conflict of interest problem or problem under the Code of Conduct for United States Judges should
be provided in Part I or Part VIII or on an attached page.

If you did not hold any reportable positions at any time during the reporting period, check
the "None" box rather than leaving Part I blank.

1. POSITIONS. (Reporting individual only; see pp. 9-13 of Instructions.)
POSITION NAME_OF_ORGANIZATION/ENTITY

im NONE (No reportable positions)

Director Fargo Boys Club

? Trustee John Smith III Trust

3
L

9 Issued January 2, 2000


2313

. secre aig
FINANCIAL DISCLOSURE REPORT Porteous (Jr), Gabriel T.

Da apa
5113/99

‘VU. Page 1 INVESTMENTS and TRUSTS — income, value, transactions qmider toe

‘spouse and dependant chen Seep. 3654 of tracts)

Ol NONE. Ole pambic geome exes,

[, Fidelity Tavestments
Pidelity Nmegemnt Trwt-1RA_| D Ipiste| 3 | Tt | wone
ioble Drilling Corp.

Common Stock None | 3: | -T | None

, Oberwets FDS
Baerging Growth

Mutual Pind Rone | 3 | 7 | None

5

$C00233


2322

A part-time magistrate judge whose annual salary level is less than 16.4% of the salary of a
{fill-time magistrate judge will normally perform the duties of his or her office for less than sixty-
one (61) days each year and accordingly is not required to notify the Committee of his or her
exempt status.

Extensions of Time to File

The Committee on Financial Disclosure may grant reasonable extensions of time for filing
initial, annual, and final Reports. Requests for extension should be submitted in writing to the
Committee before the due date and should explain why the extension is necessary. The
maximum extension permitted by the Act is 90 days. Section 101(g).

Emergency requests for extension may be made by telephone to the Committee staff if the
reason for the request could not have been reasonably anticipated. A letter confirming the
request should be sent promptly to the Committee. A letter confirming the oral response will be
sent promptly by the Committee,

Filing Fee
‘The statute requires a person to file a timely Report. One who files a Report more than
thirty (30) days after the date the Report was due may be assessed a filing fee of $200.00. If for
g00d reason it is necessary to request a delay in filing, extensions of time of up to 90 days may
be granted by the Committee on Financial Disclosure. The statute states that extensions beyond
90 days are not permissible. Absent a waiver, those granted a full 90 day extension will have to
pay the fee if they do not file by the 120th day. Section 104(4)(1).

The Committee may waive the filing fee for extraordinary circumstances. Requests for
waivers must be submitted in writing to the Committee with explanation of the reason(s) the
Report was not filed on time. Section 104(4)(2).

Commentary

When a Report is filed more than 30 days after the date it is due, the filer is assessed a late
{filing fee of $200. The fee is deposited in the United States Treasury. If a filer requests a waiver
of the fee due to extraordinary circumstances, the Committee has delegated the authority to
approve waivers involving failure of the postal system or physical incapacity of the filer to the
Subcommittee on Compliance. Requests for waiver of the fee for any other "extraordinary
circumstance" require a decision by the Committee as a whole. Please note, that Reports are
deemed to have been filed five (5) days prior to physical receipt for the purpose of determining
whether the Report has been timely filed.

3 Issued January 2, 1999


2237

BOSITION

] NONE (No reportable postions)
1

L POSITIONS. (Reporting individval ony: seep. 9-13 of Instructions)

FINANCIAL DISCLOSURE REPORT Komeda ek Ee
19a nono eo
FOR CALENDAR YEAR 1997 (USC App. 6 101-112)
Raves Reporting sina, om lad wi) Coan Orainion Teta
Porteous (Jr.), Gabriel 7. United States District court
Eastern District of Louisiana 5/13/98
“E Tise (a dpe nlc ere al 7 epong Food
nadine fee nl Re ie
‘United States District Court Judge 1/1/97 ~ 12/31/97
T. Ghambers or Office Address iepert end
fi iny opens
United States District Court ek
500 Camp St., C206

i

5

Th, AGREEMENTS. crepoing int enh oe pp. Hel6 of norton)

DATE

[Eg] , v0 neice)
r

2

TLL. NON-INVESTMENT INCOME. Pion evil and soa mp. 17-24 f src)
SOURCE AND TYPE

PATE
LC] NONE (0 epruble mn invent noe)
r

1997

State of Louisiana (Departwent of Eaployment Security)

(s)

Sao

2

2

‘

GPO,

SC00227
‘HP Exhibit 103(a)


2348

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(2)(A). For initial and final Reports, see Appendices | and II,
respectively, for the appropriate reporting period and rules.

V. GIFTS. (Includes those to spouse and dependent children; use the parentheticals "(S)" and "(DC)"
to indicate gifts received by spouse and dependent children, respectively. See pp.28-31 of Instructions.)

SOURCE DESCRIPTION VALUE
O NONE (No such reportable gifts)
' Former Law Clerks Painting - 20 Anniversary on Bench S$ 325.00
2 The Executive Club Honorary Membership (dues, like privileges) $ 1200.00
> $
Notes to filer:

Do you, your spouse, or any dependent child have any reportable gifts other than
transportation, lodging, food, or entertainment? Ifnot, is the NONE box checked?

Did you list the identity of the source, a description of the gift, and the actual dollar
value?

Can the gift be accepted?

Commentary

If stock is listed as a gift, the stock should also be réported in Part VIL, Investments and
Trusts.

The value of a gift is shown by a dollar amount, not by a value code.
If the gift is from an individual, the individual must be specifically named. It is not
acceptable to identify the source of the gift as "boyfriend," “girlfriend,” "friend," or "significant

other.” :

The following opinions issued by the Committee on Codes of Conduct provide guidance
on issues associated with this part.

29 Issved January 2, 1999


2422

Investitures and Similar Ceremonies

(a) It is permissible for a judge to accept a gavel and a $500 gift from a former client on
the occasion of the judge's investiture. (Compendium § 5.4-2(a) (1999).)

(0) Itis permissible for a judge to accept a gavel and a contribution toward the cost of
the reception from a local bar association on the occasion of the judge's investiture.
(Compendium § 5.4-2(b) (1999).)

(0) Itis permissible for a judge to accept leather notebook and pen from Law Institute as
a memento of a judge's presentation. (Compendium § 5.4-2(c) (1999).)

(d) It is permissible for a judge to be the guest of honor at a public dinner arranged by
former law clerks, attended by lawyers and other members of the public, as well as the law
clerks. The law clerks should make clear on the invitations and other papers relating to the
dinner, not only the fact that the dinner is sponsored solely by present and former law clerks, but
that the amount paid by other attendees is solely to cover the cost of the dinner, that no fund-
raising activity is involved, and that no part of the amount paid for the dinner will be employed
in the purchase of a gift for the honoree. (Compendium § 5.4-5(c) (1999).)

Occasions

(a) A judge may accept a gift of a trip aboard a cruising ship (costing about $1500) on
the occasion of his 20th anniversary as a United States judge where the donees consist
exclusively of persons who have worked directly with him (i.e., law clerks, secretaries,
courtroom deputies, and court reporters), there are a sufficient number of donees that no
individual contribution to the gift is unusually large, and the judge is not made aware of the
amounts contributed by the respective donees. (Compendium § 5.4-7(a) (1999).)

(b) On occasion of taking senior status, judge may accept gift from law clerks of golfing
trip. (Compendium § 5.4-7(b) (1999),)

(0) It is not improper for former law clerks to solicit funds from other law clerks to
establish scholarship in honor of retiring judge. The Judge and present law clerks should not
solicit, (Compendium § 5.4-7(c) (1999),)

(d) It would create an appearance of impropriety for a judge to permit a for-profit
company to host a reception following the judge's investiture, where the judge had no pre-
existing relationship with the company, would not otherwise have been required to recuse, and
the circumstances would convey the impression that the company was in a special position to
influence the judge. (Canon 2B and Compendium § 2.10(c) (1999).)

30 Issued January 2, 2000


2371
ment

The holdings of beneficial interests in trusts and similar entities, such as estates, present
special problems in reporting. The reporting person is not required to disclose the individual
holdings from any trust or other financial arrangement which is specifically exempted and noted
as such in the Instructions. The two most common types of exemptions are as follows:

(2) a trust:

(a) which was not created directly by the reporting person, his spouse, or any
dependent child; and

(8) the holdings or sources of income, of which the person, his spouse, or any
dependent child have no knowledge.

(2) awidely held investment fund, if the fund is publicly traded or the assets of the fund
are widely diversified, and the reporting person neither exercises control, nor has the
ability to exercise control over the financial interests held by the fund. (This is most
commonly associated with regulated investment company accounts, mutual funds,
pension or deferred compensation plans, or other investment funds.)

However, for any other trust, estate, or financial arrangement, the individual holdings of
which the filer, the spouse, or the dependent child have a vested beneficial interest should be
disclosed. The Committee has adopted the following language to use as a guideline:

A reporting person does not have to report a contingent interest in a trust if the reporter
has no control over the assets of the trust. An interest is contingent if there is no present
right or ability to any income or principal, and the future is uncertain either by
survivorship or otherwise.

Related Commentary

The following are examples of statutory guidelines on related subjects extracted from The
Codes of Conduct For Judges And Judicial Employees. These guidelines should provide
assistance as to the propriety of disclosing certain financial interests.

(1) "Financial intérest" means ovmership of a legal or equitable interest, however small.
(Canon 3(C)(3)(c),)

(2) Ownership in a mutual or common investment fund that holds securities is not a
"financial interest" in such securities unless the judge participates in the management of the
fund, (Canon 3(C) (3) (}(i).)

52 = Issued January 2, 1999


2399

Reconciliation with Prior Keports:

Each report should be complete in itself. No information may be adopted by reference to
prior reports. If letters approving a specific transaction, position, or agreement have been
received from the Committee, or if the Committee on Codes of Conduct has approved particular
conduct or actions, a copy of the letter of approval should be attached to each report to avoid a

letter of inquiry.

Compare the information on your current report with that in the prior report to assure that
each is complete and correct.

To assist the Committee during the review process, list items in each part of the report in the
same order as shown in the prior report (placing any new items at the bottom of the list or of the
appropriate subdivision of the list).

Ps for
oo FINANCIAL DISCLOSURE REPORT Ieper Reguled bythe Bes
im Government Act of 1978
FOR CALENDAR YEAR 1999 (5 USC. App. 4, 101-111)
1. Person Reporting (Lat name, rat, idle ial] 2. Gourt or Organization 3: Date of Report
‘Smith, John B. U.S. District Court, North Dakota April 16, 2000

“Tite (Article Il Judges indicate active or senior | 5. — Report type (check appropriate type) | 6. Reporting Period
atus; Magistrate Judges indicate full- or part-time)

_ Nomination, Dae
U.S. District Judge - Senior Status = tidal Xx Fin | Bebe ST, 1999
7 Siar or Oe hares i. ~Gitebsifte inatmaton conan i i Report and
US Comouse Seeieerroent tastad enact

44 West 32TM Street

Fargo, North Dakota 58107 Reviewing Officer Date.

Notes to filer:
Are Blocks I through 7 filled in?
Does Block 4 show your status?
Does Block 5 indicate the type of report?

Does Block 6 cover the correct reporting period?

7 Issued January 2, 2000


2240

Tae Paro aod taxaicet

JPNANCIAL DISCLOSURE REPORT Porteous (Jr.), Gabriel T. 5/13/98

VIM. ADDITIONAL INFORMATION OR EXPLANATIONS (ladicate part of Report)

CERTIFICATION.

tn compliance withthe provision of 28 U.S.C § 455 and of Advisory Opinion No. 57 of the Advisory Cornittee ox Judicial Activites,
‘and to the best of my knowledge after reasonable inquiry, I did not perform any adjudicatory function in any litigation curing the period covered
ty this repor in which 1, my spouse, or my minor or dependent children had a fiaancial intrest, us defined in Canon 3C(3)6), inthe outcome
of such itgation.

“cerita infra given save (tg iforatin pring t my sos and mio of dapedent in, if) is
accurate, tm, and complete to the best of may knowledge aod belief, and that aay information not reported was withheld because
applicable sautory provisions permitting non-disclosure.

| further cetfy that eamed income from outside employment and honoraia and the acceptance of gifts which have been reported are in
compliance with the provisions of 5 US.C. app. 4, § $01 et seq.,$ U.S.C. § 7353 and Judicial Conference regulations.

Date__ 5/13/98

JAL WHO KNOWINGYY AND WILFULLY FALSIFIES OR FAILS TO FILE THIS REPORT MAY BE
IONS (5 US.C, App. 4, § 104)

$C00230


2431

‘Vil. Page 1 INVESTMENTS and TRUSTS — income, value, transactions (includes shose
of spouse and dependent children. See pp. 35-55 of Instructions)

CNONE asserts

‘Lego Coramon Stock

Rental Property #1, Alexandria, VA
(1995 )

[> NationsBank (IRA) (CDs)

Cabin Cretk National Bank Stock (X)
[5 Court Employee Federal Credit Uoi
Provistazsectiny won

idetity Magelian Muna! Fund

[NY State Urban Dev. Corp. Muni. Bond

Notes to Filer:

Do you identify the asset in Column A in sufficient detail to clearly identify the type of
property? If no assets are listed, is the NONE box checked?

Ifa real estate interest is listed, is the city or county and state listed?
Ifa financial institution is listed, is the institution clearly identified?

Ifa note or account receivable is listed, are the debtor names and the nature of the debt
described?

39 Issued January 2, 2000


2451
1. Positions

The reporting period is the two calendar years preceding the date of the report through the
filing date in the current calendar year. Section 102(a)(6)(A).

1. vest e

The reporting period is the calendar year preceding the date of the report and the year of
filing. Section 102(6)(1)(A).

In addition, you must report compensation, other than from the United States
Government, in excess of $5,000 in any of the two calendar years prior to the calendar year
during which you file your first report. Section 102(a)(6B).

You must include the identity of each source of such compensation and a brief
description of the nature of the duties performed or services rendered by the reporting person for
each source. Section 102(a)(6)(B).

You are not required to report any information which is considered confidential as a
result of a privileged relationship, established by law between the reporting person and any
person, nor are you required to report any information with respect to any person for whom
services were provided by any firm or association of which the reporting person was a member,
partner, or employee unless the reporting person was directly involved in the provision of such
services. Section 102(a)(6)(B).

IV. and V. Reimbursements and Gifts

‘You are not required to complete these parts of the report. Section 102(b)(1). Note
“exempt” in these two spaces.

M1. Liabilities

The reporting period is the calendar year preceding the date of the report through a date
which is less than thirty-one days before the filing date. Section 102(b)(1\B).

VII. Investments and Trusts

The reporting period for providing income information for assets is the calendar year
preceding the date of the report and the year of filing. Section 102(b)(1)(A). The reporting
period for providing value information for assets is the calendar year preceding the date of the
report through a date which is less than thirty-one days before the filing date. Section
102(b)(1)(B). You are not required to complete Subpart D "Transactions." Section
102(b)(1). Note “exempt” in Column D(1).

59 Issued January 2, 2000


2349

, Similar Ceremoni

(a) It is permissible for a judge to accept a gavel and a $500 gift from a former client on
the occasion of the judge's investiture. (Compendium § 5.4-2(a) (1997).)

(}) It is permissible for a judge to accept a gavel and a contribution toward the cost of
the reception from a local bar association on the occasion of the judge's investiture,
(Compendium § 5.4-2(b) (1997).)

(c) It is permissible for a judge to accept leather notebook and pen from Law Institute as
a memento of a judge's presentation. (Compendium § 5.4-2(c) (1997).)

(@ Its permissible for a judge to be the guest of honor at a public dinner arranged by
former law clerks, attended by lawyers and other members of the public, as well as the law
clerks. The law clerks should make clear on the invitations and other papers relating to the
dinner, not only the fact that the dinner is sponsored solely by present and former law clerks, but
that the amount paid by other attendees is solely to cover the cost of the dinner, that no fund-
raising activity is involved, and that no part of the amount paid for the dinner will be employed
in the purchase of a gift for the honoree. (Compendium § 5.4-5(c) (1997).)

Gifts on Special Occasions

(a) A judge may accept a gift of a trip aboard a cruising ship (costing about $1500) on
the occasion of his 20th anniversary as a United States judge where the donees consist
exclusively of persons who have worked directly with him (i.¢., law clerks, secretaries,
courtroom deputies, and court reporters), there are a sufficient number of donees that no

individual contribution to the gift is unusually large, and the judge is not made aware of the
amounts contributed by the respective donees. (Compendium § 5.4-7(a) (1997).)

() On occasion of taking senior status, judge may accept gift from law clerks of golfing
trip. (Compendium § 5.4-7(b) (1997).)

(6) I is not improper for former law clerks to solicit funds from other law clerks to
establish scholarship in honor of retiring judge. The Judge and present law clerks should not
solicit. (Compendium § 5.4-7(c) (1997).)

(@) It would create an appearance of impropriety for a judge to permit a for-profit
company to host a reception following the judge's investiture, where the judge had no pre-
existing relationship with the company, would not otherwise have been required to recuse, and
the circumstances would convey the impression that the company was in a special position to
influence the judge. (Canon 2B and Compendium § 2.10(c) (1997).)

30 Issued January 2, 1999


2270

IY. Reimbursements of

Information pertaining to the reporting person and a spouse and dependent children, as
noted, is required here.

In this Part report information about reimbursements received by you, your spouse and
dependent children, exclusive, however, of any items received by them totally independent of
their relationship to you, Sections 102(a)(2)(A) and (C); and 102(e)(1)(C) and (D). For initial
Reports, there are separate rules for completing this Part, found at Appendix I of these
Instructions.

A reimbursement means any payment or other thing of value, other than gifts, to cover
travel related expenses. Section 109(15).

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(2)(B). For final Reports, see Appendix II for the appropriate reporting

period.
In this Part, provide:

the identity of the source and a brief description (including location, dates, and nature of
expenses provided) of reimbursements received from any source aggregating $250 or
more in value. Section 102(a)(2)(B).

You are not required to report in Part IV:
- food, lodging, or entertainment received from a relative. Section 102(a)(2)(A).

- food, lodging, or entertainment received as personal hospitality. Section
102(a)(2(A).

- reimbursements received by your spouse and dependent children, independently
of their relationship to you. Section 102(e)(I)(C) and (D).

- reimbursements received in a period when you were not an officer or employee of
the Federal Government. Section 102(h).

- food, lodging, transportation, and entertainment provided by a foreign govern-
ment within a foreign country or by the United States, the District of Columbia, or
a state or local government or political subdivision thereof; food and beverages
not consumed in connection with a gift of overnight lodging: Section 109(5).

25 Issued January 2, 1998


2453

APPENDIX III
ADDITIONAL REFERENCES

Regulations conceming gifts, outside eamed income, honoraria, and outside employment and

the codes of conduct are contained in the Guide to Judiciary Policies and Procedures, Volume Il,
Codes of Conduct for Judges and Judicial Employees.

‘The Committee on Codes of Conduct has established a database on Westlaw containing the
ethical materials in Volume II of the Guide. To use this database, log on to Westlaw using your
judiciary-provided Westlaw password (you cannot access this database with a password provided
by anyone other than the federal judiciary). When prompted for a file name, enter CONDUCT (this
file name does not appear on the Westlaw menu). Once entered into the database file, research may
be conducted using established Westlaw search mechanisms.

61 Issued January 2, 2000


2

2329

Notes to filer:

Do you have any reportable positions ? If not, is the NONE box checked?

Did you provide the full name of the position and the organization?

Does the position appear to represent a conflict of interest?

Does the position require a listing of assets in Part VII?

Commentary

In completing this Part, the reporting period ts not always consistent with the reporting
period delineated in Block 6 of the heading. For annual reports the reporting period consists of
the calendar year of the Report and the current year up to the date of the report.

The positions a filer can hold are normally determined by the filer's status. Each
category is affected by the Canons and statutes governing the creation and duties of the position
held. Examples are as follows:

udges

A judge should not serve as the executor, administrator, trustee, guardian, or other
“fiduciary, except forthe estate, trust, or person of a member of te judge's family, and then only
ifsuch service will not interfere with the proper performance of judicial duties. "Member of the
Judge's family means any relative ofa judge by blood, adoption, or marriage or any other person
‘treated by a judge as a member of the judge's family." (Canon SD, a ecm La am,
The duties of co-tustee, even if nominal, are fiduciary infature. Canon SD would ‘as oda i
seem o rule ot service as fducary for other than a tas for a mpmber ofthe judge's amily. Cas

Buen Service as a fiduciary for other 1 smber pf the family, evra dh Cana econ aol
on! ‘Date of Compliance,” i ial, ator ny
ConferencestiteAprtT97$mesting, sebms to contemplate i relaionship with an individual! in BM

or

any event Such arelationship-shoutd be Termitnared untess ar substarntict interest Of the eSTatte
conosco a in te Clie, seh,

A judge who, before ascending the bench, served as an executor of the estate of a
nonfamily member, or as trustee of a nonfamily trust may, with the approval of the judicial
council ofthe circuit, continue in that capacity ifresignation would cause undue hardship o the
estate and its beneficiaries, but may not receive compensation for such service. (Compendium
§ 5.1-3(a) (4397),)

1494

10 Issued Jano 2, 1989


2439

If an asset has been bought and sold during the same reporting period, provide the
required information about both transactions on successive lines.

On an exchange of properties, e.g., exchange of stock of ABC Co. for stock in XYZ Co.
as a result of merger, list both the disposition of the ABC stock, and show any capital gain,
whether or not recognized, and the acquisition of the XYZ stock.

The value category codes, codes J-P, which for convenient reference are also shown at the
bottom of the report, are listed above under VALUE.

The income category codes, codes A-H, for reporting capital gains, which for convenient
reference are also shown at the bottom of the report, are listed above under INCOME. If there is
a loss, or no gain or loss, Column D4 under GAIN should be left blank.

You are not required to provide detailed transactional data on:

- transactions solely between yourself, your spouse, and your dependent children.
Section 102(a)(5).

- transactions in which the then fair market value of consideration paid or received
did not exceed $1,000. Section 102(a)(5).

- transactions involving property used solely as the personal residence of you or
your spouse. Section 102(a)(5)(A).

- transactions involving a mere change of form of assets, e.g., a stock split.
- deposits or withdrawals from bank accounts and money market funds.

- transactions involving the reinvestment of dividends, interest, and capital gain
distributions.

If property listed in Part VII is acquired (or created) or disposed of (or liquidated) during
the year in a transaction that is exempt from disclosure as above noted, indicate in Column D the
type of transaction.

If property is partially disposed of during the reporting year, Columns C and D may both

require information, To avoid a response to questions of possible errors in reporting, indicate in
Column D(1) that it was "part sold."

47 Issued January 2, 2000


2324

Amendments must be submitted over the signature of the filer. Amendments submitted on
the filer's behalf by accountants, lawyers, or others are not acceptable.

Waivers

The Committee may grant a request for a waiver of any reporting requirement for one who
is expected to perform the duties of the office or position less than one hundred and thirty (130)
days in a calendar year, but only if the Committee determines that:

(1) the person is not a full-time employee of the Government;
(2) the person is able to provide services specially needed by the Government;

(3) it is unlikely that the person's outside employment or financial interests will
create a conflict of interest; and

(4) public financial disclosure by the person is not necessary under the
circumstances.

Any request for such a waiver must be directed in writing to the Committee with a detailed
explanation of the facts upon which the Committee can make the determinations required under
the Act. Ail such requests are available to the public. Section 101(i).

GENERAL INSTRUCTIONS

‘The Report should be legible, Its format has been designed to be completed on most
typewriters. The name of the person and date of the Report should appear on each page.
Financial Disclosure Report software is available upon request from the Office of the Committee.

Parts I through VI of the Report must be completed. If you have no reportable items in any

of these parts, do not simply leave it blank or mark it as "N/A," but instead mark the "None" box
as an affirmative declaration of the fact.

Di Memby

A reporting person is required to disclose financial information conceming a spouse and

dependent children, and the form is designed for inclusion of this information. Section
102(e)(1). The requirement to disclose trust information for a spouse and dependent children

5 Issued January 2, 1999


2252

Each Report should be complete in itself. No information may be adopted by reference to
prior Reports. If letters approving a specific transaction, position, or agreement have beea
received from the Committee, or if the Committee on Codes of Conduct has approved particular
conduct or actions, a copy of the letter of approval should be attached to each Report to avoid a
letter of inquiry.

Compare the information on your current Report with that in the prior Report to assure that
each is complete and correct.

To assist the Committee during the review process, list items in each Part of the Report in
the same order as shown in the prior Report (placing any new items at the bottom of the list or of
the appropriate subdivision of the list).

Personal Information
the FINANCIAL DISCLOSURE REPORT palpi Seta a
101-194, November 30, 1989,
FOR CALENDAR YEAR 1997 @ USC. App. 4, 101-112)
1, Persoe Reporting (last name, frst middle nla] 2, Court or Orgasiation 3. Dete of Report
‘Smith, John B. ‘U.S. District Court, North Dakota April 16, 1998
4, Tile (Article II Judges indicate active or senior | $. Report type (check appropriate type) | 6. Reporting Period
Matus; Magistrate Judges indicate full- or part-time) ,
Nomination, Dat Jonvary 1.1997
january 1, 1997
U.S. District Judge - Senior Status Inia! _X_ Arma __ Final | "December 31, 1997

7. Chambers o Office Adres ‘a af erm antnne ie Repariand
US. Courthouse irtompliance watt apptatlelaws ad reguaboes

44 West 32” Strect
Fargo, North Dakota 58107 Rereing Of Date

Notes to filer:
Are blocks 1 through 7 filled in?
Does block 4 show your status?
Does block 5 indicate the type of report?
Does block 6 cover the correct reporting period?

Commentary

7 Issued Fanwary 2, 1998


2445

@ > 7
~ Capitol Holding Stock su fas | kK | A
° Div. &
Blue Sky Investment Club Bin x | oT py fia | x |
io
=1BM Common
it |
General Moors Buy vs |x
2
AOL Paria'salefsno | L |
L

Notes to filer:

Did you complete the appropriate columns for each asset required to be individually
listed in a trust, estate, investment club, or other similar financial arrangement?

B. Trusts

The reporting of a position in Part I as trustee, executor, administrator, custodian, or any
similar position requires a listing in Part VU of the assets involved if either you, your spouse, or
any of your dependent children (1) has a beneficial interest in the estate or fund with which you
are associated, or (2) controls the purchase, sale, or other disposition of the estate or fund.

A reporting person must also report all trusts? in which he or she, his or her spouse or
dependent child has a beneficial interest. However, a reporting person does not have to report a
contingent interest in a trust if the reporter has no control over the assets of the trust. An interest
is contingent if there is no present right or ability to any income or principal, and the future is
uncertain either by survivorship or otherwise.

A reporting person who is required to report a trust, etc. must report the separate assets of

the trust or estate as an Aggregate Ownership Arrangement discussed above. However, the
reporting person need not report the separate assets of a trust

2 Except, for employees other than judges, the assets of a qualified blind trust which
is approved by the Committee need not be reported. See the discussion in paragraph C.

53 ‘Issued January 2, 2000


2294

VIL. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children, See pp. 36-54 of Instructions.)

NONE table income,
im eePor ema
i
Lego Common Stock (S) [NONE Kk T | Buy 710 J
f _
Regal Brpmsy st Alemania VA | © tren soe fis | x | c | soe Sei
B
‘NetionsBank (IRA) (CDs) A fimerse | |] t [pw — furno] 4
+ i Patio)
Cabin Creek National Bank Sock |B |pivigend| K | ou | Eat lye |r |v | tony West
; =
Fidelity Magettan Mutual Fund (OC) B Dividend} K | oT [Bay !
[NY State Urban Dev. Corp. Mua, Bond

Notes to filer:

Af the asset is a new listing, do you list in Column D information on the transaction?
Do you list the date of the transaction in Column D(2)?

Do you list in Column D(3) the value code (J-P) indicating the value of the consideration
paid or received for the asset?

Do you list in Column D(4) capital gain (income codes A-H) realized on the disposition
of the asset or leave this column "blank" if there was no gain or a loss?

49 Issued January 2, 1998


2411

Is the income an honorarium or reported as such?

Commentary

Although various types of non-investment income have been listed, some elaboration on
several sources of income may be useful to provide a clearer distinction between non-investment
and investment income.

No income should be disclosed in this part if it is derived from an investment asset that
should be reported in Part VIL Sources of royalty payments include publications and oil, gas,
and mineral interests. It should be noted that an interest in the real property from which these
oil, gas, or mineral interests are derived should be disclosed in Part VII like any other
investment property. Annuities and any other types of retirement income should be reported if
they represent defined benefits from a vested pension plan. Retirement income from IRAs or
other investment funds that varies due to the performance of the individual assets should be
reported in Part VII since it represents income from an investment asset.

Ordinarily, income from life insurance policies need not be reported because most
insurance policies are not held as investments or for the production of income. Policy dividends
that reduce premiums or provide additional or paid-up insurance are not treated as income.
Dividends or other income from life insurance policies, received in excess of $200, which are
reportable for income tax purposes, should be disclosed in this part. Several types of insurance
policies that probably require reporting are "universal," "variable life,” or "universal variable

life."

Special attention will be given to the review of nomination and initial reports. The filer
‘must report compensation, other than from the United States Government, in excess of $5,000 in
any ofthe two calendar years prior to the calendar year during which a first report is filed.

B. Outside Employment and Honoraria

Special attention should be given to regulations relating te Outside Employment and
Honoraria at Appendix III.

Covered Senior Employees

In accordance with the Ethics Reform Act of 1989, and the Judicial Conference
regulations implementing this Act, covered senior employees, other than justices of the United
States who retired from regular active service under Section 371(b) of title 28, United States
Code; judges of the United States who retired from regular active service under Section 371(b) of
title 28, United States Code and who have met the requirements of subsection (f) of Section
371(b) of title 28, United States Code, as certified in accordance with such subsection; and,

19 Issued January 2, 2000


2336
IL_Nop-investment Income

Information pertaining to the reporting person and the spouse, as noted, is required in this
Part.

A. General Non-investment Income

In this Part report non-investment income from whatever source, including but not
limited to these items: compensation for services, including fees, commissions, etc.; income
derived from business; royalties; annuities; income from life insurance and endowment contracts;
and fixed benefits from vested pension plans. Amounts reported should be net income, except
for income derived from a business, can be listed as net or gross, and indicated as such. Section
109(7). Dividends on life insurance policies not held in whole or in part as an investment or for
the production of income need not be reported.

Report the source, type, amount or value, of income from any source aggregating $200 or
more in value. Honoraria are treated differently. Section 102(a)(1)(A). See Part III B. below.

See below for specific exemptions.

For spouses, report the source of items of eamed income from any person which exceeds
$1,000 and the source and amount of any honoraria which exceed $200. If the spouse is self-
employed in business or a profession, the nature of such business or profession should be

reported. Section 102(e)(1)(A).

To indicate that income was eamed by your spouse (and hence that the amount need not
be shown), add to the identification the parenthetical "(S)."

You are not required to disclose in Part III the following:
- compensation for current employment by the United States. Section 102(a)(1)(A).

- income that from a single source did not aggregate $200 or more during the
reporting period. Section 102(a)(1)(A).

- the amount of the spouse's "eamed income", or any information about that "earned
income" that from a single source did not aggregate more than $1,000 during the
reporting period. Section 102(e)(1)(A).

- any information about dependent children's non-investment income. Section
102(eX1)(A).

17 Issued January 2, 1999


2425

- any loan secured by a personal motor vehicle, household furniture, or appliances
that does not exceed the purchase price of the item securing the liability. Section
102(a)(4)(B).

= any information with respect to a spouse living separate and apart from you with
the intention of terminating the marriage or providing for permanent separation or
with respect to any income or obligations arising from the dissolution of the
marriage or permanent separation. Section 102(e)(2).

- any revolving charge account whose balance did not exceed $10,000 as of the
close of the preceding calendar year.

- political campaign funds, including campaign receipts and expenditures. Section
102(g).

- any liability which is the sole liability ot responsibility of the spouse or child;
which is not derived from the assets, income or activities of the reporting person;
from which the reporting person does not derive or expect to derive a benefit; and
of which the reporting person has no knowledge. Section 102(e)(1)(E). Omission
of such data indicates a certification of these statutory conditions. This rule also
applies to the reporting of investments and trusts, see the Instructions for Part VII.

If you, your spouse, and your dependent children did not have any reportable liabilities,
check the "None" box rather than leaving Part V1 blank.

VIL LIABILITIES. (tncludes those of spouse and dependent children. See pp. 32-34 of Instructions.)

CREDITOR DESCRIPTION VALUE _CODE*
O NONE (No reportable liabilities)

"Old National Bank Credit Card L
2 Van Morigage on Rental Prop. #1,
NationsBank Alexandria, VA (Pt VII, tine 2) M

Notes to filer:

Do you, your spouse, or dependent child have any reportable liabilities over $10,000?

33 Issued January 2, 2000


2410

- information with respect to a spouse living separate and apart with the intention of
terminating the marriage or providing for permanent separation or with respect to
any income or obligations arising from the dissolution or permanent separation.
Section 102(e)(2).

- any political campaign funds, including campaign receipts. Section 102(g).

- income derived from any retirement system under title 5, United States Code
(including the Thrift Savings Plan under Subchapter III of Chapter 84 of such
title) or any other retirement system maintained by the United States for officers
or employees of the United States. Section 102(i)(1).

- benefits received from Social Security. Section 102(i)(2).
- death benefits under insurance policies, gifts, inheritances, tort recoveries and

other compensation for injuries and sickness, disability compensation, and
veteran's benefits.

IIL. NON-INVESTMENT INCOME. (Reporting individual and spouse; see pp. 17-24 of
Instructions)
DATE SOl AND EE GROSS INCOME
(Yours, not spouse's)

[_] _ NONE @o reportable non-investment income)

1999 Evans County School District $
July 1999 Idaho Law School, Seminar (3 weeks) $3,500
Is 3 |
J
Notes to filer:

Do you have any reportable non-investment income over $200.00?
Does your spouse have any reportable non-investment income over $1,000.00?
Ifno reportable income, is the NONE box checked?

Is the date, source, type, and amount for your reportable income reported? If spouse's
income, is the column under Gross Income left blank?

Is the income subject to the 15% limitation ($20,505) for calendar year 1999?

18 - Issued January 2, 2000


2315

Financial Disclosure Report
al

Filing Instructions
for Judicial Officers
and Employees

Committee on Financial Disclosure ”
Administrative Office of the U.S. Courts -
One Columbus Circle, N.E., Suite 2-301
Washington, D.C. 20544
202-273-4626
January 2, 1999 HP Exhibit 104(b)


2276

Invest Similar Ceremonit

(@) It is permissible for a judge to accept a gavel and a $500 gift from a former client on
the occasion of the judge's investiture. (Compendium § 5.4-2(a) (1997).)

(8) Itis permissible for a judge to accept a gavel and a contribution toward the cost of
the reception from a local bar association on the occasion of the judge's investiture.
(Compendium § 5.4-2(b) (1997).)

(¢) It is permissible for a judge to accept leather notebook and pen from Law Institute as
a memento of a judge's presentation. (Compendium § 5.4-2(e) (1997),)

Gifts on Special O:

(a) A judge may accept a gift of a trip aboard a cruising ship (costing about $1500) on
the occasion of his 20th anniversary as a United States judge where the donees consist
exclusively of persons who have worked directly with him (Le,, law clerks, secretaries,
courtroom deputies, and court reporters), there are a sufficient number of donees that no
individual contribution to the gift is unusually large, and the judge is not made aware of the
amounts contributed by the respective donees. (Compendium § 5.4-7(a) (1997).)

(®) On occasion of taking senior status, judge may accept gift from law clerks of golfing
trip. (Compendium § 5.4-7(b) (1997).)

(6) It is not improper for former law clerks to solicit funds from other law clerks to
establish scholarship in honor of retiring judge. The Judge and present law clerks should not
solicit. (Compendium § 5.4-7(¢) (1997),)

Miscellaneous Gift Rulings
(@) It is permissible to accept books from West Publishing Company for official use.
(Compendium § 5.4-Z(a) (1997),)

(2) It is permissible for a judge's children to accept scholarships awarded on the same
terms and based on the same criteria applied to other applicants. (Compendium § 5.4-Z(0)
(1997),)

(0) Gifts from a friend not prohibited where friend not likely to ever appear in judge's
court. (Compendium § 5.4-Z(c) (1997).)

31 Issued January 2, 1998


2421

for the appropriate reporting period and rules.

V. GIFTS, (Includes those to spouse and dependent children. See pp.28-31 of Instructions.)

SOURCE DESCRIPTION VALUE
[_] NONE (No such reportable gifts)
' Former Law Clerks Painting - 20" Anniversary on Bench $ 325.00
> ‘The Executive Club Honorary Membership (dues, like privileges) $ 1200.00
3
| s
Notes to filer:

Do you, your spouse, or any dependent child have any reportable gifts other than
transportation, lodging, food, or entertainment? If not, is the NONE box checked?

Did you list the identity of the source, a description of the gift, and the actual dollar
value?

Can the gift be accepted?
Commentar

Ifstock is listed as a gift, the stock should also be reported in Part VII, Investments and
Trusts.

The value of a gift is shown by a dollar amount, not by a value code.
If the gift is from an individual, the individual must be specifically named, It is not
acceptable to identify the source of the gift as "boyfriend," "girlfriend," "friend," or "significant

other.”

The following opinions issued by the Committee on Codes of Conduct provide guidance
on issues associated with this part.

29 Issued January 2, 2000


2288

VII. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children, See pp. 36-54 of Instructions.)

[T]NONE ove report ge
eset
i
‘Lego Common Stock (S) NONE i
> Rental #1, Alexandria, V/ ~ |
Real Dopey ft, Aland VA. | |ent
P ‘NationsBank (IRA) (CDs) ‘A | Interest
k
Cabin Creek Nation Bank Stock) |B Dividena
5
Foy Magellan Mitel Fang(D¢) |B [Divine
6 ‘NY State Urban Dev. Corp. Muni. Bond

Notes to filer:

Do you disclose in Column B the amount and type of income?
Ifyou indicate "NONE" in Column B(2), did you leave Column B(1) blank?
Commentary
Column B(1), the income amount code, and Column B(2), the type of income, should both
be completed if you have income. If no income was received, Column B(1) should be left blank

and the word "None" should appear in Column B(2). When some income is received, then the
appropriate income amount code and type should be provided.

43 Issued January 2, 1998


2357

For notes or accounts receivable, indicate the nature of the receivable and the
name of the debtor(s).

- For each real estate interest, indicate the general geographic location, such as city
or county and state. If more than one parcel of real estate is owned in the sare
geographic area, you may identify each parcel by number, i.e., Parcel 1, 2, 3, etc.,
rather than identifying each parcel by street address, lot, or block number.

- Foran interest in a trust, indicate the nature of the interest (¢.g., "income
beneficiary"), the name (if any) of the trust, and the name and location of the
trustee.

For an interest in a mutual fund or pooled or common trust fund administered by
an independent financial or brokerage institution, furnish the name of the fund.

At times, reporting persons inadvertently omit the listing of assets, and correct the
previous year’s errors in the following year’s Report. Also, assets which were reported in one
year may fail a qualifying requirement (such as a value of $1,000) in the following year and thus
are not reported. When this occurs, put an explanatory item in Part VII or in Part VII, with a
reference in Part VII to ayoid a letter of inquiry.

In addition, identify with a parenthetical "(X)" assets which have been previously exempt
from disclosure and now are reportable. The parenthetical "(X)" should also be used to identify
an asset that meets the reporting threshold and is other wise exempt from the reporting
requirements for gift under Part V. This should preclude a letter of inquiry from the Committee.

In the Description section of Part VII (Column A), indicate, where applicable, the owner
of the listed asset with the parenthetical "(J)" for joint-ownership by the reporting person and
spouse, "(S)" for separate ownership by spouse, or "(DC)" for ownership by dependent child.

‘The reporting of a position in Part I as trustee, executor, administrator, custodian, or any
similar position requires a listing in Part VII of the assets involved if either you, your spouse, or
any of your dependent children (1) has a beneficial interest in the estate or fund with which you
are associated, or (2) controls the purchase, sale, or other disposition of the estate or fund.

38 Issued January 2, 1999


2293

If.an asset has been bought and sold during the same reporting period, provide the
required information about both transactions on successive lines.

On an exchange of properties, e.g., exchange of stock of ABC Co. for stock in XYZ Co.
as a result of merger, list both the disposition of the ABC stock, and show any capital gain,
whether or not recognized, and the acquisition of the XYZ stock.

The value category codes, codes J-P, which for convenient reference are also shown at the
bottom of the Report, are listed above under VALUE.

The income category codes, codes A-H, for reporting capital gains, which for convenient
reference are also shown at the bottom of the Report, are listed above under INCOME. If there is
a loss, or no gain or loss, Column D4 under GAIN should be left blank.

‘You are not required to provide detailed transactional data on:

= transactions solely between yourself, your spouse, and your dependent children.
Section 102(a\(5).

. transactions in which the then fair market value of consideration paid or received
did not exceed $1,000. Section 102(aS).

- transactions involving property used solely as the personal residence of you or
your spouse. Section 102(a\(5)(A).

- transactions involving a mere change of form of assets, e.g., a stock split.
- deposits or withdrawals from bank accounts and money market funds.

- transactions involving the reinvestment of dividends, interest, and capital gain
distributions.

If property listed in Part VII is acquired (or created) or disposed of (or liquidated) during
the year in a transaction that is exempt from disclosure as above noted, indicate in Column D the

type of transaction.
If property is partially disposed of during the reporting year, Columns C and D may both

require information, To avoid a response to questions of possible errors in reporting, indicate in
Column D(1) that it was "part sold,"

48 Issued January 2, 1998


2444

(3) Column C, gross value, is left blank.

(4) Transactions of the Aggregate Ownership Arrangement as to the separate assets
are reported in Column D.

If the Aggregate Ownership Arrangement was utilized for a substantial number of assets
and there is available clear documentation of all required information, the reporting person may
apply to the Committee for leave to report the assets in an altemate manner. Any request should
be made sufficiently in advance of the filing deadline to permit careful consideration and
discussion with the reporting person.

There follows an illustration of the method for reporting an Aggregate Ownership
Arrangement in accordance with the foregoing discussion:

i
Vil. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-55 of Instructions)

[TJNONE psec ncone,

‘or transections)

George Washington Trust B

+ IBM Stock

= Merrill Lynch 2
Meg Lynch 208 Cetury Mutua

+ NY City Transportation Bonds Buy fiz}

E
Mec Lynch RA epee fae | ot

+ Menill Lynch Health Mutual Fund |

i7
Meri Lynch Growth Mutual Fund | By |e | kK

52 Issued January 2, 2000


2378

APPENDIX I

FINAL REPORTS
WHO MUST FILE AND WHEN

A JUDICIAL OFFICER who works 60 days or more in a calendar year is required to file
a final Report within thirty days after resigning under 28 U.S.C. § 371(a) or otherwise ceasing to
continue in such position. A JUDICIAL OFFICER who retires under 28 U.S.C. § 371(b) is not
required at that time to file a final Report, but continues to be obligated to file an annual Report
for any year in which the relevant Judicial Council authorizes the employment by the judge of at
least one law clerk or secretary, unless the judge certifies that he or she did not perform the duties
of his or her office for more than sixty (60) days.

A JUDICIAL EMPLOYEE who works 60 days or more in a calendar year is required to
file a final Report within thirty days of termination of employment. Section 101(e).

A JUDICIAL OFFICER OR JUDICIAL EMPLOYEE accepting another position in the
Federal government subject to financial disclosure reporting is not required to file a final Report
when changing position. Section 101(e).

INSTRUCTIONS FOR COMPLETING EACH PART

Below are specific instructions that differ from those provided for annual Reports.

Identifying Information

BLOCK 3. Date of Report. The date the Report is completed, and not more than 30
days after termination of employment.

BLOCK 5. Report Type. Check final Report.

BLOCK 6. Reporting Period. Show both the beginning and ending date of the
reporting period. The beginning date will be January 1 of the current year if an annual Report
has already been filed covering the preceding calendar year; otherwise, it will be January 1 of the
preceding calendar year. The ending date is the date of termination of employment.

Parts. VIL.
‘The reporting period is the calendar year preceding the date of the Report through the
filing date in the current calendar year. Section 102(c). If an annual Report was already filed

covering the preceding calendar year, then the reporting period is the current calendar year
through the filing date.

59 Issued January 2, 1999


2289

The statute lists only four types of income- dividends, rent, interest, or income from
discharge of indebtedness. if the filer lists another type, then it should be explained in Part VIL
or Part VII.

Some filers question whether to report income from IRAs (Individual Retirement Account)
or other retirement or pension plans where they are not actually drawing income from the
account, All income should be reported, whether taxable, tax deferred, or tax exempt.

Filers will take special care when disclosing an IRA. They are merely arrangements for
holding other investments on a tax-deferred basis. The focus should be placed on the underlying
investments which should be disclosed. Many IRAs are invested in cash or cash-equivalent
accounts, such as a money market fund or other deposit account ina bank, No further
information about these accounts is required to be disclosed. However, if any other type of
entity, such as a broker holds IRA assets for a filer, the filer must disclose the underlying
holdings in the account, IRAs may contain almost any investment, such as mutual funds, stocks,
or bonds.

Other tax-deferred retirement or pension accounts (such as Simplified Employee
Pensions-SEPs, Keogh Plans-HR-10, 401(R), and 403b Plans) are similar to IRAs and are self-
directed where the filer has control over the funds. Therefore, the underlying investments should
also be disclosed.

4 Nalue

In Column C, the gross value of the asset at the end of the reporting period is reported.
Section 102(a)(3). There are statutory value ranges and a value code on the form. These same
values are used for the value of reported assets in Column C and for the value of assets reported
in the Transaction part of Part VII, Column D, They are as follows:

= $15,000 or less
- $15,001 to $50,000

= $50,001 to $100,000

= $100,001 to $250,000

= ‘$250,001 to $500,000
$500,001 to $1,000,000

- $1,000,001 to $ 5,000,000

= $5,000,001 to $25,000,000
= $25,000,001 to $50,000,000
P4 - —_ More than $50,000,000
Section 102(dy(1).

SeBOzErAS

44 Issued January 2, 1998


2455

personal hospitality 26
received by a spouse and dependent children 28
relative 26, 28
solicitation 26
special occasions 30
spouse 28
subscriptions 28
Honoraria 20, 23
donated to charity 21
prohibition on receipt 20, 23
Initial report 58
non-investment income 19, 59
reporting period 58
Investments 35
accounts with financial institutions 35
bank accounts 35
brokerage accounts 51
capital gain 46
common trust fund 38, 40
description of assets 37
financial statements 35
income 41
income threshold 35,37
interest 41
IRAs 43,51
joint-ownership 38
mutual funds 38, 50
“NONE" 4i
parenthetical "(X)" 38
partnership 9,36
private investment clubs Sl
rental income 37,41
reportable assets 35,36
spouse 36
stocks, bonds, and other securities 37
tax deferred 41
tax-deferred retirement or pension accounts 4B
transactions 46
U.S. Savings Bonds 41
value 43
value method 44
value threshold 35, 36
widely held investment fund 50

Judicial officer

63 Issued January 2, 2000


2449

A report will be made available only to a person who completes the AO Form 10A,
Request for Examination of Report Filed by a Judicial Officer or Employee, in writing.

It shall be unlawful for any person to obtain or use a report—-
(A) _ for any unlawful purpose;

(B) for any commercial purpose other than by news and
communications media for dissemination to the general public;

(C) for determining or establishing the credit rating of any person; or

(D) _ for use directly or indirectly, in the solicitation of money for any
political, charitable, or other purpose. Section 105(c)(1).

The Attorney General may bring a civil action against any person who obtains or uses a
report for any prohibited purpose described above. The court in which such action is brought
may assess against such person a penalty in any amount not to exceed $10,000. Such remedy
shall be in addition to any other remedy available under statutory or common law. Section
105(¢)(2)

57 Issued January 2, 2000


2456

Liabilities
credit cards
dependent children
mortgage
owed to a spouse
personal residence
political campaign funds
relatives
spouse
Non-investment Income
annuities
commissions
compensation for services
covered senior employees
death benefits
dependent children
dividends on life insurance policies
employment by the United States
fiduciary relationship for compensation
honoraria
life insurance policies
limitations on outside employment
practicing a profession
royalties
spouses
teaching
vested pension plans
Part-time employees
Personal information
Positions
Guardian
Executor
honorary
investment partnership
judges
judicial employees
limited partner
part-time magistrate judges
reporting period
trustee
Public access
unlawful purpose
Qualified Blind Trust
Reconciliation with prior reports

10

12

9

9,12

9

9, 38, 53
56

57

54

7

64 Issued January 2, 2000


2318

FINANCIAL DISCLOSURE INSTRUCTIONS FOR
JUDICIAL OFFICERS AND EMPLOYEES

TABLE OF CONTENTS

INTRODUCTION
WHO MUST FILE, WHEN AND WHERE .
Extensions of Time to File .
Filing Fee .. .
Where to File -
Amendments
Waivers
GENERAL INSTRUCTIONS
"None" Box ......-.
Disclosure Concerning Family Members
Extra Pages; Attachments
Alternative Format For Reporting
Reconciliation with Prior Reports .
INSTRUCTIONS FOR COMPLETING EACH PART
I. Positions .
Il. Agreements .
J. Non-investment Income .
A. General Non-investment Income.
B. Outside Employment and Honoraria .
C. General Provisions ...

IV. Reimbursements of Transportation, Lodging, Food, Entertainment

V. Gifts .. : 28

VI. Liabilities 32

VI. Investments and Trusts 35

1. General ........ 35

2. Description of Assets 37

3. Income 4

4. Value. .B

5. Transaction 46

6. Trusts and Similar Entities . 249

VII. Explanatory Comments ... 54

IX. Certification and Signature . 34
COMPLIANCE AND SANCTIONS 55
ETHICAL STANDARDS . 255
PUBLIC ACCESS .... 55
APPENDIX I - INITIAL REPORTS .. .57
Who Must File and When ..... 37

57

Instructions for Completing Each Part .

i Issued January 2, 1999


2328

INSTRUCTIONS FOR COMPLETING EACH PART
LPositions
‘Only information pertaining to the reporting person is required in this Part.

In this Part a complete listing is required of all positions held by the reporting person as an
officer, director, executor, administrator, trustee, guardian, custodian, or similar fiduciary, partner,
proprietor, representative, employee, or consultant of any corporation, company, firm, partnership,
or other business enterprise, any nonprofit organization, any labor organization, or any educational
or other institution other than the United States. Disclose your position even if you are not
compensated and even if neither you nor a member of your family has any financial interest in the
entities herein listed, Please note that positions held are reported in this Part while assets owned or
held are reported in Part VI. You need not report any positions held in any religious, social,
fraternal, or political entity and positions solely of am honorary nature. Section 102(a)(6)(A).

In completing this Part, for annual Reports, the reporting period consists of the calendar year
preceding the date of the Report, and the time to the date of the Report. Section 102(a)(6)(A). For
initial and final Reports, refer to Appendices | and II, respectively, of these Instructions.

‘An interest as a limited partner in an investment partnership, if you have no managerial
responsibilities, reflects assets held or owned, but not a position held. The position as such a limited
partner need not be reported in Part I, but the interest must be disclosed in Part VII.

For Article IIl judges, bankruptcy judges, and magistrate judges, the Codes of Conduct for
United States Judges specify additional constraints on the positions that may be held. See especially
Canon 5. Part-time magistrate judges are govemned by special rules as provided in 28 U.S.C.

§ 632(b) and the Guide to Judiciary Policies and Procedures, Volume II, Chapters I and III.

Additional information--e.g., an opinion from the Committee on the Codes of Conduct, or
approval from a Judicial Council-that bears on the question whether a position presents a potential
conflict of interest problem or problem under the Code of Conduct for United States Judges should
be provided in Part I or Part VIII or on an attached page.

If you did not hold any reportable positions at any time during the reporting period, check
the "None" box rather than leaving Part I blank.

I. POSITIONS. (Reporting individual only; see pp. 9-13 of Instructions.)
POSITION E TY
[] NONE (No reportable
" Director Fargo Boys Club
? Trustee John Smith If Trust
Is

9 Issued January 2, 1999


2283

has been a fairly common misconception from filers that both thresholds must be met before an
asset is required to be disclosed.

Normaily, any information pertaining to a personal residence is exempted from
reporting. However, a second personal residence (e.g., a weekend or vacation home) should be
reported if rental income is received for the use of the property.

The reporting of accounts in a financial institution does require some clarification since
the Committee changed some of the language for the calendar year 1994 Instructions. If the
aggregate amount of income for all of an individual's accounts or the value of all such income
Producing accounts exceeds the established thresholds, then each such account must be
separately reported for each individual. It is important to apply the "threshold test" separately
to each individual owner of the accounts, which would include the following:

(1) accounts individually owned by filer,
(2) accounts individually owned by spouse,

(3) accounts individually owned by dependent child, and

(4) accounts jointly owned by filer and spouse or dependent child.

It should be understood that a reporting exemption for failure to meet a threshold
amount, or for any other reason, does not affect any inquiry or recusal obligation under the
Code of Conduct for United States Judges,

2. Description of Assets

In completing Part VII, a separate description of each asset listed is required. To assist
the reviewer, assets should be listed in the same order as in the previous Report, Each asset
reported should be described in sufficient detail so the reader can tell what the property is. As
examples:

- For stocks, bonds, and other securities indicate the type of the holding,
"common," etc., and its name. Commonly understood abbreviations are
permitted.

- Foran account within a financial institution, give sufficient information so that it
can be identified. Aggregate information may be provided for accounts in each
financial institution.

-  Fornotes or accounts receivable, indicate the nature of the receivable and the
name of the debtors).

38 Assued January 2, 1998


2369

A reporting person need not report the holdings of, or the source of, income from any of
the holdings of:

a) a qualified blind trust. Section 102(f)(1). (see below).

b) a trust:
@ which was not created directly by the reporting person, his spouse, or
any dependent child; and
i) the holdings or sources of income, of which the person, his spouse, or
any dependent child have no knowledge.
Section 102(0(2).

©) _ awidely held investment fund, if the fund is publicly traded or the assets of the
fund are widely diversified, and the reporting person neither exercises control, nor
has the ability to exercise control over the financial interests held by the fund.
Section 102(8)(8).

A reporting person does not have to report a contingent interest in a trust if the reporter
has no control over the assets of the trust. An interest is contingent if there is no present right or
ability to any income or principal, and the future is uncertain either by survivorship or otherwise.

Individual assets, stocks, and bonds that are part of an IRA or brokerage account must be
disclosed, However, when a mutual or widely diversified fund is part of an IRA or brokerage
account, only the name of the fund and not its underlying stocks, bonds, or other assets, must be
listed. In other words, underlying stocks, bonds, etc. in a pooled fund which are not individually
directed by the reporting individual need not be disclosed.

A reporting person should complete Part VII, Columns A and B, for the trust or other
financial arrangement qualifying under the conditions listed. Section 102(f)(2).

Report the holdings and sources of income from private investment clubs or
investment partnerships. In these arrangements, the basic rule is that the income, value,
and transactions of the holdings of any investment club or similar arrangement in which
you, your spouse, or dependent child have a beneficial interest must be reported if the
investment club or partnership had ownership of any asset having a value of $1,000 at the
end of the reporting period, regardless of the value of your, your spouse, or dependent
child's individual share. Your listing of assets requires the completion of Columns A, B,
and C for each asset owned by the investment club having a value in excess of $1,000 and
the completion of Column D for any club transaction in excess of $1,000.

A qualified blind trust is subject to special rules. Section 102(f). The effect of the Code

of Conduct for United States Judges (Canon 3(c)(2)) precludes qualified blind trusts for judges,
their spouses and dependent children. Other judicial employees may own beneficial interests in

50 Issued Jamuary 2, 1999


2353
Notes to filer:
Do you, your spouse, or dependent child have any reportable liabilities over $10,000?

Did you list the identity of the creditor, a description of the liability, and a value code for
the amount?

Ifa mortgage is listed, is there a corresponding entry for the property in Part VII?

34 sve Jnoary 2,199


2362

‘The statute lists only four types of income- dividends, rent, interest, or income from
discharge of indebtedness. If the filer lists another type, then it should be explained in Part VIZ
or Part VIIL

Some filers question whether to report income from IRAs (Individual Retirement Account)
or other retirement or pension plans where they are not actually drawing income from the ny
‘account, All income should be reported, whether taxable, tax deferred, or tax exempt, gy of *

catifistact eye oadkive

Filers will take special care when disclosing an IRA. They are meretyarrangements for
holding other investments on a tax-deferrdd basis. The focus should be placbd on the underlying
investments which should be disclosed. IRAs are invested in cash or eash-equivalent ark.
‘accounts, suck as a money market fil dr other deposit account in a bank’ No further ~ toe 2% F202
information about these accounts is required to be disclosed. However, if anyother type of
entity, such as a broker holdf'IRA assets for a filer, the filer must disclose the underlying
holdings in thea ‘account, IRAs may contain alms any Investment, such as mutual funds, stocks,

or bons ne tle cpartng cetls Sr 18 emacs manpued er ctey aso inns tractof

s  Concernsng Ls, eee,
1 ee paps STaxd 52,
” ne Serr ah ink sion accounts (euch as Simplified Employee Aida faa cre
Pénsions-SEPs, Keogh Plans-HR-10, #8), and 4031 HE) are similar to IRs ond are self
directed where the filer has control over the funds. Therefore, the underlying investments should
also be aisclosed® 40302) Klan. - fre wan prefet 01 parcizatia, checech, or tducahmnel

strategy, - 4OUNY) toy dablened anntuch, 4) Ne Wo ial?
(eveatied In macs el ak a a fae ko atthe ‘lane

te Me hitenent or penaer
maiateced ¢ ciitielled bey a frm,

In Column C, the gross value of the asset at the end of the repoi period is reported. a
Section 102(a3). There are statutory value ranges and a valuejcode on the form. These same TUdde 2
‘values are used for the value of reported assets in Column C anid for the value of assets reported RG
in the Transaction part of Part VII, Column D. They are as fo

Aelesltiy
$15,000 or less a n Bes
$15,001 to $50,000 itis

.
ko:

L = __ $50,001 to $100,000 aw Pilates alts
M — = _ $100,001 to $250,000 Mee
N= $250,001 to $500,000 fags
oO - $500,001 to $1,000,000

Plo $1,000,001 to $ 5,000,000 pod ony

P2 = 35,000,001 to $25,000,000 acdc tinal dete
P3 = $25,000,001 to $50,000,000 tat the plang
Pt More than $50,000,000

Section | 102(4)(1).

43 ‘asued Janay 2, 1999


2450

APPENDIX I
INITIAL REPORTS
WHO MUST FILE AND WHEN

Persons nominated to be JUDICIAL OFFICERS must file an initial report within 5 days
of the transmittal of their nomination by the President to the Senate. Section 101(b)(1).

Newly-appointed JUDICIAL EMPLOYEES must file an initial report within 30 days of
assuming their positions, Section 101(a), if they assume their position before November 1.
Newly-appointed JUDICIAL EMPLOYEES who assume their positions between November |
and December 31 must file an initial report by March 15 of the subsequent year.

Judicial employees who receive a promotion or change in the rate of pay which results in
pay equal to or greater than 120 percent of the minimum rate of basic pay payable for GS-15 of
the General Schedule before November 1, must file an initial report within 30 days of the
promotion or pay change. If the promotion or pay adjustment occurs between November I and
December 31, judicial employees must file an initial report by March 15 of the subsequent year.

A JUDICIAL EMPLOYEE who is not expected to perform the duties of the office or
position for more than sixty (60) days in a calendar year is not required to file an annual report.
However, if the person actually performs duties for more than sixty (60) days, an initial report
must be filed within fifteen (15) days of the sixtieth day. Section 101(h).

INSTRUCTIONS FOR COMPLETING EACH PART

Below are specific instructions that differ from those provided for annual reports.

Identifying Information

BLOCK 3. Date of Report. For a JUDICIAL EMPLOYEE, a date that is no more than
30 days after your entry in the position if you entered before November 1. If you entered
between November | and December 31, the "Date of Report" should be no later than March 15.
For a person nominated to be a JUDICIAL OFFICER, the date should be no more than 5 days
after submission of your nomination to the Senate.

BLOCK 5. Report Type. Check the appropriate report form and in the case of a
nomination report show the date your nomination was transmitted to the Senate.

BLOCK 6. Reporting Period. The beginning date (January 1 of the year preceding the

year you assumed your office or were nominated) and the ending date (a date you choose that
precedes the "Date of Report" by no more than 30 days).

58 Issued Sanuary 2, 2000


2367

VIL. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-53 of Instructions.)

NONE (vo. bie income,
[NONE giasrersbs ie

0

Lego Common Stock (S) None | K ] T |Buy fmo| s
? Ipartiat

gat ion | a | A

P Iwy = fran |
fe

Rental #1, Alexandria, VA oe Sm
Rama Bapeca © [Rew sod fas} w | c | Joe smi
[5

‘NationsBank (IRA) (CDs) A finest | 3 | Tt [Buy — favio] 3
ie

CCobin Creek Nations Bank sce (x) |B |iviters| x |v | EBAY dae | a | A | Jery Wes
7 laey

Fidelity Magellan Motual Fund (DC) B |oividens] K | T Bey 3

is

[NY Siate Urban Dev. Corp. Muni. Bond | A. Interest IRedeem jrrs | 2

Notes to filer:

If the asset is a new listing, do you list in Column D information on the transaction?
Do you list the date of the transaction in Column D(2)?

Do you list in Column D(3) the value code (J-P) indicating the value of the consideration
paid or received for the asset?

48 Issued January 2, 1999


2391

FINANCIAL DISCLOSURE INSTRUCTIONS FOR
JUDICIAL OFFICERS AND EMPLOYEES

TABLE OF CONTENTS

Page

INTRODUCTION .

WHO MUST FILE, WHEN AND WHERE

Extensions of Time to File

Filing Fee

Where to File ...

Amendments

Waivers ...

GENERAL INSTRUCTIOI

“None” Box

Disclosure Concerning Family Members .

Extra Pages; Attachments

Alternative Format For Reporting

Reconciliation with Prior Reports
Personal Information ........-..-.--+

INSTRUCTIONS FOR COMPLETING EACH PART

I. Positions

Il. Agreements ...

Ill. Non-investment Income .

A. General Non-investment Income.

B. Outside Employment and Honoraria .

C. General Provisions ...

IV. Reimbursements of Transportation, Lodging, Food, Entertainment

Vv. Gifts .

VI. Liabilities .

VII. Investments and Trusts

General

Description of Assets .
Income .
Value .
Transactions ..
Widely Held Investment Funds
Aggregate Ownership Arrangements - Trusts, IRAs, and Investment Clubs .
A. Aggregate Reporting
B. Trusts.
8. Qualified Blind Trust (Employees Other Than Judges) .
VIII. Explanatory Comments .
IX. Certification and Signature .
COMPLIANCE AND SANCTIONS

NOWAWN OE

i Issued January 2, 2000


2395

A part-time magistrate judge whose annual salary level is less than 16.4% of the salary of a
{full-time magistrate judge will normally perform the duties of his or her office for less than sixty-
‘one (61) days each year and accordingly is not required to notify the Committee of his or her
exempt status.

Extensions of Time to

The Committee on Financial Disclosure may grant reasonable extensions of time for filing
initial, annual, and final reports. Requests for extension should be submitted in writing to the
Committee before the due date and should explain why the extension is necessary. The
maximum extension permitted by the Act is 90 days. Section 101(g).

Emergency requests for extension may be made by telephone to the Committee staff if the
reason for the request could not have been reasonably anticipated. A letter confirming the
request should be sent promptly to the Committee. A letter confirming the oral response will be
sent promptly by the Committee.

Filing Fee

The statute requires a person to file a timely report. One who files a report more than thirty
(30) days after the date the report was due may be assessed a filing fee of $200.00. If for good
reason it is necessary to request a delay in filing, extensions of time of up to 90 days may be
granted by the Committee on Financial Disclosure. The statute states that extensions beyond 90
days are not permissible, Absent a waiver, those granted a full 90 day extension will have to pay
the fee if they do not file by the 120th day, Section 104(4)(1).

The Committee may waive the filing fee for extraordinary circumstances. Requests for
waivers must be submitted in writing to the Committee with explanation of the reason(s) the
report was not filed on time. Section 104(4)(2).

lommi

When a report is filed more than 30 days after the date it is due, the filer is assessed a late
filing fee of $200. The fee is deposited in the United States Treasury. Ifa filer requests a waiver
of the fee due to extraordinary circumstances, the Committee has delegated the authority to
approve waivers involving failure of the postal system or physical incapacity of the filer to the
Subcommittee on Compliance. Requests for waiver of the fee for any other "extraordinary
circumstance" require a decision by the Committee as a whole. Please note, that reports are
deemed to have been filed five (5) days prior to physical receipt for the purpose of determining
whether the report has been timely filed.

3 Issued Janvary 2, 2000


)FINANCIAL DISCLOSURE REPORT

2239

eas of ome Ring
Porteous (Jr.), Gabriel T.

Banat
5/13/98

VI. Page 1 INVESTMENTS and TRUSTS — income, value, transactions (retder tase of

spo and dependent children. Set pp. 36-54 of stration)

NONE -—
C ree cos

( FRGSTEY Loves EwENEs!
Fidelity Managenent

? Common Stock

|, Uberwers FDS —

‘Trust-TRA pisertb.| None
OBIS DELITING UOFPT —
None | J None
P Emerging Growth Mutual Fund| Yone | 3

sc00229


2385

neo Ronn Rei Deven
FINANCIAL DISCLOSURE REPORT frorteous (Jx.), Gabriel T. | 5/5/00

REIMBURSEMENTS - vansponation, lodging, food, esterainment.
(elder ho to pou and dependent oben See rp. 25-17 of hrectons)

SOURCE DESCRIPTION

[_] so cent aitiatmen)

r

0 tion * 4/15/99 Speoker CLE Seminar, Biloxt, Mlasiestpp’_lotel)
, @atel, Foo
_ 619-6 /12/99 Speaker CLE Seminar, Destin, Fla, and Mileng
; Gotel, Food
os 11/99 er, Baton Rouge, La. and Mileage

V. GIFTS. dacuder thse 0 spoure and dependent chen St fp 2031 of ction)

‘SOURCE DESCRIPTION VALUE

{s] [NONE (ve such pombe gts)

s
L) :
3

. 5

' .

+

VI. LIABILITIES. (cates those of pou md dependent chile Seep. 32-34 of nsoncons)

DESCRIPTION VALUE COpE*
[_] no ovement)
rma Credit Card ;
> Caesbaak Greait Card : 7

>

‘

$c00236


2346

Notes to filer:

Do you, your spouse, or any dependent child have any reportable reimbursements or
expense paid education or other trips? Ifnot, is the NONE box checked?

Did you identify the source of the reimbursement, and provide a brief description
including location, dates, and nature of expenses?

Can the reimbursement be accepted by you, your spouse, or dependent child?

Commentary

The following opinions issued by the Committee on Codes of Conduct provide guidance
on issues associated with this part.

Attendance of judges and their spouses as guests at bar association dinners is proper,
and a judge may accept reimbursement for the judge's or the judge's spouse's travel and hotel
expenses to attend such a dinner sponsored by lawyer organizations even when the judge does
not speak or render other services at the function. (Advisory Opinion No. 17.)

Although mere attendance (along with others similarly situated) without paying a
registration fee would not create an appearance of impropriety, it would create an appearance
of impropriety for employees of the Administrative Office to accept from a legal publishing firm
a gift of transportation, lodging and meals in connection with a professional training program
sponsored by the firm. (Compendium § 2.9(b) (1997),)

A judge participating as a faculty member in a two-week seminar of general interest
organized on a nonprofit basis and financed by tuition and subsistence payments by nonfaculty
attendees may accept reimbursement for the judge's and the judge's spouse's travel and
subsistence expenses, (Advisory Opinion No. 3,)

A judicial employee may receive compensation and reimbursement of expenses for
outside activities provided that receipt of such compensation and reimbursement is not
prohibited or restricted by this Code, the Ethics Reform Act, and other applicable law, and
provided that the source or amount of such payments does not influence or give the appearance
of influencing the judicial employee in the performance of official duties or otherwise give the
appearance of impropriety. Expense reimbursement should be limited to the actual cost of
travel, food and lodging reasonably incurred by a judicial employee. (Code of Conduct for
Judicial Employees, Canon 4E.)

27 Issued Janay 2, 1999


2306

APPENDIX OT
ADDITIONAL REFERENCES

Regulations concerning gifts, outside eamed income, honoraria, and outside employment
and the codes of conduct are contained in the Guide to Judiciary Policies and Procedures, Volume
I, Codes of Conduct for Judges and Judicial Employees.

The Committee on Codes of Conduct has established a databuse on Westlaw containing the
ethical materials in Volume Il of the Guide. To use this database, log on to Westlaw using your
judiciary-provided Westlaw password (you cannot access this database with a password provided
by anyone other than the federal judiciary). When prompted for a file name, enter CONDUCT (this
file name does not appear on the Westlaw meau), Once entered into the database file, research may
be conducted using established Westlaw search mechanisms.

61 Issued January 2, 1998


2292

Commentary

Ifan asset is entirely sold during the reporting period, then Column C should be left
blank. However, ifan asset is partially sold (such as a portion of the total shares of stock
owned), then Column C should be completed.

In addition, it should be emphasized that in Column C(2), there are four value method
codes which require additional information in either Column A or Part VILL. Filers tend to
‘forget that each report must stand on its own and as a result often fail to provide the following

‘on their report each year:
() — "Q"-Appraisat- the date of the appraisal,
(2) "R"-Cost- the date of purchase and the dollar amount of the purchase price.
@Q) —°S"-Assessment- the dollar amount of the assessed value.
(4) "V"-Other- the filer must describe the method used in Column A (Description) or
Part VIL
5. ‘Transactions

Information on transactions should be entered in Column D. Transactions to be reported
involve any purchase, sale or exchange during the reporting period which exceeds $1,000.
Section 102(a)(5).

As to each acquisition or disposition, you should disclose:

a)
b)
°)
qd)

O}

the type of transaction, e.g., buy, sell, merger, inherit, redeem, etc.;
the date of the transaction;
the value category code indicating the value of the consideration paid or received;

the capital gain, if exceeding $200, realized on a disposition, using the appropriate
income category code (codes A-H);,

the identity of the buyer or seller unless the transaction was conducted through
public trading, as on a stock or commodities exchange;

the liquidation of a bank account or money market fund that may have been
reported on a prior Report.

47 Issued January 2, 1998


2413

= No judicial officer or employee of the judicial branch (except for part-time
magistrate judges), may accept honoraria, but a payment may only be made on
behalf of such officer or employee to a charitable organization in lien of the
honorarium, so long as the payment does not exceed $2,000, and is not made to a
charitable organization from which the filer or the filer’s parent, sibling, spouse,
child, or dependent relative derives any financial benefit. 5 U.S.C. app. 4,
§ 501(b) and (c). In such instances, the filer should report the source, date, and
amount of payments made to charitable organizations in lieu of honoraria and
shall simultaneously file with the Committee on Financial Disclosure, on a
confidential basis, a corresponding list of recipients of all such payments together
with their dates and amounts. Section 102(a}(1)(A).

c General Provisions

For annual reports, the reporting period is the calendar year preceding the date of the
report. Section 102(a\(1)(A). For initial and final reports, see Appendices | and II, respectively,
for the appropriate reporting periods.

If neither you nor a spouse had any reportable income during the reporting period, check
the "None" box rather than leaving Part III blank.

Commentary

Contained within these Instructions and Appendix III are detailed instructions and
regulations relating to limitations imposed on certain judicial officers and employees with
respect to certain types of outside employment and income. Several important guidelines need to
be emphasized for the benefit of the reviewing official.

Covered senior employees (defined in the cited appendix) are prohibited from receiving
more than 15% of the pay rate for Executive Level II (currently $136,700) in earned income from
outside employment. The limitation for 1999 is $20,505. However, senior judges who receive
compensation for teaching, part-time magistrate judges, officers and employees of the Supreme
Court, and employees of the Federal Judicial Center are exempted as to teaching income and
are not restricted to this outside income limitation.

In addition, all judicial officers and all employees of the judicial branch (except for part-
time magistrate judges) are prohibited from accepting honoraria for any "appearance, speech,
or article." Any filer listing honoraria will be questioned for clarification and may eventually be
referred to the Committee on Codes of Conduct for an advisory opinion.

21 Issued January 2, 2000


2341

Frequently, difficulty arises for the reviewing official and staff auditor concerning what
constitutes outside earned income (which is attributed solely to the filer and not to the spouse)
The following lists common examples of compensated activities which are subject to the calendar
‘year income limitation, less the ordinary and necessary expenses paid or incurred in producing
the income:

(1) teaching,
(2) serving as trustee of a family trust or executor of a family estate, and
3) — writing.

In addition, the following common examples do nol constitute outside earned income and
have no limitations imposed on the filer:

(1) pensions, annuities, and deferred compensation for services rendered prior to
becoming a judicial officer or senior employee,

@ investment funds,

(3) funds received from a family owned business,

(4) ‘publication royalties, fees, and their functional equivalent, and

(5) compensation received by a senior judge for teaching.

Advisory Opinion Number 86, "Honoraria, Teaching, and Outside Earned Incame
Limitation,” provides detailed interpretation on these issues and may serve as a helpful
‘guideline. In addition, the following are summaries contained in Compendium, Sections
31-35 (1997), concerning recent advice given by the Committee on Codes of Conduct in
response to confidential inquiries:

Qutside Earned Income Limitation

(1) Where service as a family fiduciary involves work performed over several years but
fee is paid in a single year, it is consistent with the statute and regulations for the judge,
in applying the 15% cap, to allocate the amount of the fee over the several years.
(Compendium § 33.1(a) (1997).)

(2) Flat fee of $250 received by judge from a publisher for writing a chapter in a
publisher's treatise is not excludable from the definition of outside earned income. The
payment is a fixed and unconditional cash payment for a manuscript that is wholly
unrelated to the sales or distribution of the publication. Thus, the fee is subject to the
15% cap. (Compendium § 33.2-5(a) (1997).)

(3) Where judge serves as editor-in-chief of a law journal and receives a royalty of 15%

of the net cash receipts from the sale of the publication, the amount is considered a
royalty and thus not subject to the 15% cap. (Compendium § 33.2-5(b) (1997).)

22 Issued January 2, 1999


2266

- No Judicial officer or employee of the judicial branch (except for part-time
magistrate judges), may accept honoraria, but a payment may only be made on
behalf of such officer or employee to a charitable organization in licu of the
honorarium, so long as the payment does not exceed $2,000, and is not made toa
charitable organization from which the filer or the filer's parent, sibling, spouse,
child, or dependent relative derives any financial benefit. 5 U.S.C. app. 4,

§ 501(b) and (c). In such instances, the filer should report the source, date, and
amount of payments made to charitable organizations in lieu of honoraria and
shall simultaneously file with the Commitee on Financial Disclosure, on a
confidential basis, a corresponding list of recipients of all such payments together
with their dates and amounts, Section 102(a)(1)(A).

Cc. ‘General Provisions

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(1)(A). For initial and final Reports, see Appendices I and II,
respectively, for the appropriate reporting periods.

If neither you nor a spouse had any reportable income during the reporting period, check
the "None" box rather than leaving Part III blank.

Commentary

Contained within these Instructions and Appendix II! are detailed instructions and
regulations relating to limitations imposed on certain judicial officers and employees with
respect to certain types of outside employment and income. Several important guidelines need to
be emphasized for the benefit of the reviewing official

Covered senior employees (defined in the cited appendix) are prohibited from receiving
more than 15% of the pay rate for Executive Level If (currently $133,600) in earned income from
outside employment. The limitation for 1997 is $20,040. However, senior judges who receive
compensation for teaching, part-time magistrate judges, officers and employees of the Supreme
Court, and employees of the Federal Judicial Center are exempted as to teaching income and
re not restricted to this outside income limitation.

In addition, all judicial officers and all employees of the judicial branch (except for part-
time magistrate judges) are prohibited from accepting honoraria for any "appearance, speech,
or article." Any filer listing honoraria will be questioned for clarification and may eventually be
referred to the Committee on Codes of Conduct for an advisory opinion

21 {Issued January 2, 1998


2262

‘TiL_Non-investment Income

Information pertaining to the reporting person and the spouse, as noted, is required in this
Part.

A. General Non-investment Income

In this Part report non-investment income from whatever source, including but not
limited to these items: compensation for services, including fees, commissions, etc.; inoome
derived from business; royalties; annuities; income from life insurance and endowment contracts;
and fixed benefits from vested pension plans. Amounts reported should be net income, except
for income derived from a business, can be listed as net or gross, and indicated as such. Section
109(7), Dividends on life insurance policies not held in whole or in part as an investment or for

the production of income need not be reported.

Report the source, type, amount or value, of income from any source aggregating $200 or
more in value. Honoraria are treated differently. Section 102(@)(1 (A). See Part IT B. below.

See below for specific exemptions.

For spouses, report the source of items of earned income from any person which exceeds
$1,000 and the source and amount of any honoraria which exceed $200. If the spouse is self-
employed in business or a profession, the nature of such business or profession should be
reported. Section 102(e)(1)(A).

To indicate that income was earned by your spouse (and hence that the amount need not
be shown), add to the identification the parenthetical "(S).”

You are not required to disclose in Part IIT the following:
compensation for current employment by the United States. Section 102(a)(1)(A).

- income that from a single source did not aggregate $200 or more during the
reporting period. Section 102(a)(1)(A).

- the amount of the spouse's "earned income", or any information about that "eamed
income” that from a single source did not aggregate more than $1,000 during the
reporting period. Section 102(€}(1)(A).

- any information about dependent children's non-investment income. Section
102(e)(1(A).

17 Issued January 2, 1998


2345

- reimbursements provided by the United States, the District of Columbia, or a state
or local government or political subdivision thereof; required to be reported under
5 US.C. § 7342; or required to be reported under 2 U.S.C. § 434.
Section 109(15).

Relative means one who is related to the reporting person, as father, mother, son,
daughter, brother, sister, uncle, aunt, great uncle, great aunt, first cousin, nephew, niece, husband,
wife, grandfather, grandmother, grandson, granddaughter, father-in-law, mother-in-law, son-in-
taw, daughter-in-law, brother-in-law, sister-in-law, stepfather, stepmother, stepson, stepdaughter,
stepbrother, stepsister, half brother, half sister, or who is the grandfather or grandmother of the
spouse of the reporting person, and shall be deemed to include the fiance or fiancee of the
reporting person. Section 109(16).

Personal hospitality means hospitality extended for a nonbusiness purpose by one, not a
corporation or organization, at the personal residence of that person or his family or on property
or facilities owned by that person or family. Section 109(14).

Use the parentheticals "(S)" and "(DC)" to indicate reportable reimbursements received
by your spouse and dependent children, respectively.

Beginning on January 1, 1991, in accordance with the Ethics Reform Act of 1989, and the
Judicial Conference regulations implementing this Act, officers and employees are prohibited
from soliciting or accepting anything of value from a person seeking official action from, doing
business with, or whose interests would be substantially affected by, the performance or
nonperformance of official duties. 5 U.S.C. § 7353. This prohibition applies to all
reimbursements and gifts covered in Parts IV and V of the Financial Disclosure Report.

If you, your spouse, and your dependent children did not receive any reimbursements
reportable in Part IV, check the “None” box rather than leaving Part TV blank,

IV, REIMBURSEMENTS --transportation, lodging, food, entertainment.
(includes those to spouse and dependent children: use the parentheticals "(S)" and “(DC)” to indicate reportable
reimbursements received by spouse and dependent children, respectively. See pp. 25-27 of Instructions.)

SQURCE ESC] at
Oo NONE (No such reportable reimbursements)
1 June 15 - Haymarket, VA, Mig of Board of

Staley Foundation Directors (Transportation, Meals, and Room)
2 . ‘Aug. 7-14 - Butte, MT - Environmental Seminar
FREE Foundation (Travel, Housing, Food, and Tuition)
2 VaGLE Nov 7- Williamsburg, VA - TAX CLE Seminar
(Transportation, Food, and Hote!)

26 Issued January 2, 1999


2402

Notes to filer:
Do you have any reportable positions ? If not, is the NONE box checked?
Did you provide the full name of the position and the organization?
Does the position appear to represent a conflict of interest?
Does the position require a listing of assets in Part VII?
Commentary

Jn completing this part, the reporting period is not always consistent with the reporting
period delineated in Block 6 of the heading. For annual reports, the reporting period consists of
the calendar year of the report and the current year up to the date of the report.

The positions a filer can hold are normally determined by the filer's status. Each

category is affected by the Canons and statutes governing the creation and duties of the position
held. Examples are as follows:

A judge should not serve as the executor, administrator, trustee, guardian, or other
fiduciary, except for the estate, trust, or person of a member of the judge's family, and then only
if such service will not interfere with the proper performance of judicial duties. "Member of the
judge's family means any relative of a judge by blood, adoption, or marriage or any other person
treated by a judge as a member of the judge's family." (Canon SD.)

The duties of a co-trustee, even if nominal, are fiduciary in nature, Canon 5D would
seem to rule out service as fiduciary for other than a trust for a member of the judge's family.
Even service as a fiduciary for other than a member of the family, covered by the Canon's section
on "Effective Date of Compliance," and amended, for federal judges, by action of the Judicial
Conference at its April 1973 meeting, seems to contemplate a relationship with an individual. In
any event, such a relationship should be terminated unless a substantial interest of the estate or
person would thereby be jeopardized. (Advisory Opinion No. 33.)

A judge who, before ascending the bench, served as an executor of the estate of a
nonfamily member, or as trustee of a nonfamily trust may, with the approval of the judicial
council of the circuit, continue in that capacity if resignation would cause undue hardship to the
estate and its beneficiaries, but may not receive compensation for such service. (Compendium
§ 5.1-3(a) (1999)

10 Issued January 2, 2000


2405

b. Judicial Employees. A judicial employee may engage in such activities as civic,
charitable, religious, professional, educational, cultural, avocational, social, fraternal, and
recreational activities, and may speak, write, lecture, and teach. If such outside activities
concern the law, the legal system, or the administration of justice, the judicial employee should
‘first consult with the appointing authority. (Code of Conduct for Judicial Employees, Canon 44.)

c. Federal Public Defenders. A defender employee should not engage in the private
practice of law. Notwithstanding this prohibition, a defender employee may act pro se and may,
without compensation, give legal advice to and draft or review documents for a member of the
defender employee's family, so long as such work does not interfere with the defender employee's
primary responsibility to the defender office. (Code of Conduct for Federal Public Defender
Employees, Canon 5D.)

13 {ssved January 2, 2000


2409

[. Non-investment Inco!

Information pertaining to the reporting person and the spouse, as noted, is required in this
part.

A. General Non-investment Income

In this part, report non-investment income from whatever source, including but not
limited to these items: compensation for services, including fees, commissions, etc.; income
derived from business; royalties; annuities; income from life insurance and endowment contracts;
and fixed benefits from vested pension plans. Amounts reported should be net income, except
for income derived from a business, can be listed as net or gross, and indicated as such. Section
109(7). Dividends on life insurance policies not held in whole or in part as an investment or for
the production of income need not be reported.

Report the source, type, amount or value, of income from any source aggregating $200 or
more in value. Honoraria are treated differently. Section 102(a)(1)(A). See Part III B. below.
See below for specific exemptions.

For spouses, report the source of items of eamed income from any person which exceeds
$1,000 and the source and amount of any honoraria which exceed $200. If the spouse is self-

employed in business or a profession, the nature of such business or profession should be
reported. Section 102(e)(1)(A).

To indicate that income was eamed by your spouse (and hence that the amount need not
be shown), leave the column under "Gross Income" blank.

‘You are not required to disclose in Part III the following:
- compensation for current employment by the United States. Section 102(a)(1)(A).

- income that from a single source did not aggregate $200 or more during the
reporting period. Section 102(a)(1)(A).

- the amount of the spouse's "earned income”, or any information about that “earned
income” that from a single source did not aggregate more than $1,000 during the
reporting period. Section 102(e)(1)(A).

- any information about dependent children's non-investment income. Section
102(e)(1)(A).

17 Issued January 2, 2000


2274

Y. Gifts

Information pertaining to the reporting person and the spouse and dependent children, as
noted, is required in this Part.

In this Part report information about gifts other than transportation, lodging, food or
entertainment aggregating $250 or more in value received by you, your spouse and dependent
children from any source other than a relative during the preceding calendar year. Gifts from
separate sources with a fair market value of $100 or less need not be aggregated to determine if
the $250 reporting threshold has been met. Section 102(a)(2)(A).

A giftis a payment, ddvance, forbearance, rendering, or deposit of money, or anything of
value, unless consideration of equal or greater value is received by the donor. Section 109(5).

Ifyou have been extended an honorary membership in an organization and you avail
yourself of the privileges, rights, etc., to a substantial degree, and the dues are in excess of $250 a
year, you must report the honorary membership in this Part.

You are not required to disclose information about:

- gifts received from a relative. Section 102(a)(2\(A).

- gifts received by a spouse and dependent children, totally independent of
their relationship to you. Section 102(e\(1)(C).

- gifts received in a period when you were not an officer or employee of the Federal
Government, Section 102(h).

- gifts that are bequests and other forms of inheritance. Section 109(5)(A).

= communications to the offices of a reporting person, including subscriptions to
newspapers and periodicals. Section 109(5)(E).

- Suitable mementos of a function honoring the reporting person. Section 109(5)(B).

Use the parentheticals "(S)" and "(DC)" to indicate gifts received by your spouse and
dependent chitdren, respectively.

Ifyou, your spouse, and your dependent children did not receive any gifts reportable in
Part-V, check the “None” box rather than leaving Part V blank.

For the definition of relative, refer to Part IV of these Instructions.

29 ‘Issued January 2, 1998


2415

(4) Outside earned income is attributed solely to the actual earner regardless of
community property laws. (Compendium § 33.3 (1999),)

Prohibition on Receipt Of Honoraria

(2) It is a violation of the statute and regulations for a law clerk to write an article for
compensation during clerkship even though publication of the article and receipt of the
honorarium occur after the clerkship ends. (Compendium § 34(a) (1999).)

(2) Fee for performing wedding is not an honorarium. However, a judge is barred from
accepting additional compensation for performing judicial activities.
(Compendium § 34.1(a) (1999),)

(3) Reimbursement of travel expenses for judge and one relative does not constitute an
honorarium. (Compendium § 34.1(b) (1999),)

(4) Where a judge's paper for a continuing legal education program was later published
and later still won $3000 cash award at sponsor's annual award program, the award is
not a payment for the speech or article and thus not an honorarium. An after-the-fact
award based on merit for scholarly work is an award in recognition.

(Compendium § 34.1(d) (1999).)

(5) Compensation for teaching a seminar for prospective law students and preparation
of course materials does not constitute an honorarium. (Compendium § 34.1-2(d)
(1999).)

(0) Fee received by judge as editor-in-chief of a law journal is not an honorarium, but
rather compensation for a writing more extensive than an article. (Compendium
§ 34.1-3(a) (1999))

Li ions On Outside Employme

(1) Serving as a fiduciary of a family estate or trust as permitted by Canon 5D of the
Codes of Conduct does not constitute practicing a profession involving a fiduciary
relationship. (Compendium § 35.3(a) (1999).)

(2) Service for compensation as editor-in-chief of a bankruptcy law journal is not the

equivalent of being an officer or member of the board of an entity, and thus is not barred
by this section. (Compendium § 35.4(a) (1999).)

23 Issued January 2, 2000


2355

- Political campaign funds, including campaign receipts and expenditures. Section
102(g).

- In Part VII, information associated with property which is the sole financial
interest or responsibility of the spouse or child; which is not derived from the
assets, income or activities of the reporting person; from which the reporting
person does not derive or expect to derive a benefit; and of which the reporting
person has no knowledge. Section 102(¢)(1)(E). Omission of such data indicates
a certification of these statutory conditions. This rule also applies to the reporting
of liabilities, sce the Instructions for Part VI.

To help reporting persons in instances where a position held in an economic entity may
have a bearing on reporting requirements, the following should be used as guidance:

When a Financial Disclosure Report contains information reflecting a filer’s interest in a
partnership or other business enterprise, the filer must disclose the assets held by the
business entity if a filer can direct, influence or in any other manner affect the purchase,
exchange, sale or disposition of the entity or property owned by the entity, or when the
filer can influence policy decisions which affect the purchase, exchange, sale or
disposition of the entity or of property which it owns.

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(1)(B). For final Reports, see Appendix Il for the appropriate period.

If you, your spouse, and your dependent children did not have assets subject to reporting,
check the "None" box rather than leaving Part VII blank.

Commentary

Investment income is to be contrasted with earned income. The crucial factor is the
filer's services. If the filer's services are a material factor in the production of income, it is
earned income and should be reported in Part Il. However, limited parters usually receive
investment income from the partnership, since they normally do not perform services for the
partnership. Investment income includes returns on investments rather than compensation for
‘personal services. It includes income derived from all forms of property, such as securities,
‘funds, accounts, real estate, partnerships, joint ventures, businesses, and interests in trusts and

estates.

When determining whether or not an investment asset should be reported, either the
income threshold (in excess of $200 during the preceding calendar year) or the value threshold
(in excess of $1,000) at the end of the year is sufficient to require reporting. For accounts in a

36 Issued Janony 2, 1999


2434

VII. Page 1 INVESTMENTS and TRUSTS — income, value, transactions (Includes we |
of spouse and dependent children. See pp. 35-55 of Instructions.)

CINONE seria
' ‘Lego Common Stock NONE
2 Reg Drops Alexandria, VA. p> Rent
° ‘NationsBank (IRA) (CDs) A | Interest
I* ‘Cabin Creek National Bank Stock (X) B | Dividend:
I Fidelity Magellan Mutual Fund “|B [Dividend
i" ‘NY State Urban Dev. Corp. Muni. Bond A | Interest

Notes to filer:
Do you disclose in Column B the amount and type of income?
___ Ifyou indicate "NONE" in Column B(2), did you leave Column B(1) blank?
Commentary
Column B(1), the income amount code, and Column B(2), the type of income, should both
be completed if you have income. If no income was received, Column B(1) should be left blank

and the word "None" should appear in Column B(2). When some income is received, then the
appropriate income amount code and type should be provided.

42 Issued January 2, 2000


2376

APPENDIX I

INITIAL REPORTS
‘WHO MUST FILE AND WHEN

Persons nominated to be JUDICIAL OFFICERS must file an initial Report within 5 days
of the transmittal of their nomination by the President to the Senate. Section 101(b\(I).

Newly-appointed JUDICIAL EMPLOYEES must file an initial Report within 30 days of
assuming their positions, Section 101(a), if they assume their position before November 1.
Newly-appointed JUDICIAL EMPLOYEES who assume their positions between November !
and December 31 must file an initial Report by March 15 of the subsequent year.

Judicial employees who receive a promotion or change in the rate of pay which results in
pay equal to or greater than 120 percent of the minimum rate of basic pay payable for GS-15 of
the General Schedule before November 1, must file an initial Report within 30 days of the
promotion or pay change. If the promotion or pay adjustment occurs between November | and
December 31, judicial employees must file an initial Report by March 15 of the subsequent year.

A JUDICIAL EMPLOYEE who is not expected to perform the duties of the office or
position for more than sixty (60) days in a calendar year is not required to file an annual Report.
However, if the person actually performs duties for more than sixty (60) days, an initial Report
must be filed within fifteen (15) days of the sixtieth day. Section 101(h).

INSTRUCTIONS FOR COMPLETING EACH PART
Below are specific instructions that differ from those provided for annual Reports.

Identifying Information

BLOCK 3. Date of Report. For a JUDICIAL EMPLOYEE, a date that is no more than
30 days after your entry in the position if you entered before November 1. If you entered
between November | and December 31, the "Date of Report" should be no later than March 15.
For a person nominated to be a JUDICIAL OFFICER, the date should be no more than 5 days
after submission of your nomination to the Senate.

BLOCK 5. Report Type. Check the appropriate report form and in the case of a
nomination Report show the date your nomination was transmitted to the Senate.

BLOCK 6. Reporting Period. The beginning date (January I of the year preceding the

year you assumed your office or were nominated) and the ending date (a date you choose that
precedes the "Date of Report” by no more than 30 days).

57 Issued January 2, 1999


2417

IV. Reimbursements of
T ortation, Lodgis rtainment

Information pertaining to the reporting person and a spouse and dependent children, as
noted, is required here.

In this part report information about reimbursements received by you, your spouse and
dependent children, exclusive, however, of any items received by them totally independent of
their relationship to you. Sections 102(a(2)(A) and (C); and 102(e)(1)(C) and (D). For initial
reports, there are separate rules for completing this part, found at Appendix I of these
instructions.

A reimbursement means any payment or other thing of value, other than gifts, to cover
travel related expenses. Section 109(15).

For annual reports, the reporting period is the calendar year preceding the date of the
report. Section 102(a)(2)(B). For final reports, see Appendix II for the appropriate reporting
period.

In this part, provide:

the identity of the source and a brief description (including location, dates, and nature of
expenses provided) of reimbursements received from any source aggregating $250 or
more in value. Section 102(a)(2)(B).

You are not required to report in Part IV:
= food, lodging, or entertainment received from a relative. Section 102(a\(2\(A).

= food, lodging, or entertainment received as personal hospitality. Section
102(a)(2)(A).

- reimbursements received by your spouse and dependent children, independently
of their relationship to you. Section 102(e)(1)(C) and (D).

- reimbursements received in a period when you were not an officer or employee of
the federal government. Section 102(h).

= food, lodging, transportation, and entertainment provided by a foreign govern-
ment within a foreign country or by the United States, the District of Columbia, or
a state or local government or political subdivision thereof; food and beverages
not consumed in connection with a gift of overnight lodging; Section 109(5).

25 Issued Fanuary 2, 2000


2298

Commentary

The holdings of beneficial interests in trusts and similar entities, such as estates, present
special problems in reporting. The reporting person is not required to-disclose the individual
holdings from any trust or other financial arrangement which is specifically exempted and noted
as such in the Instructions. The two most common types of exemptions are as follows:

(1) @ trust:

(a) which was not created directly by the reporting person, his spouse, or any
dependent child; and

(2) the holdings or sources of income, of which the person, his spouse, or any
dependent child have no knowledge

(2) a widely held investment fund, if the fund is publicly traded or the assets of the fund
are widely diversified, and the reporting person neither exercises control, nor has the
ability to exercise control over the financial interests held by the fund. (This is most
commonly associated with regulated investment company accounts, mutual funds,
pension or deferred compensation plans, or other investment funds.)

However, for any other trust, estate, or financial arrangement, the individual holdings of
which the filer, the spouse, or the dependent child have a vested beneficial interest should be
disclosed. The Committee has adopted the following language to use as a guideline:

A reporting person does not have to report a contingent interest in a trust if the reporter
has no control over the assets of the trust. An interest is contingent if there is no present
right or ability to any income or principal, and the future is uncertain either by
survivorship or otherwise.

Related Commentary

The following are examples of statutory guidelines on related subjects extracted from The
Codes of Conduct For Judges And Judicial Employees. These guidelines should provide
assistance as to the propriety of disclosing certain financial interests.

(1) “Financial interest" means ownership of a legal or equitable interest, however small.
(Canon 3(C)3)(o).)

(2) Ownership in a mutual or common investment fund that holds securities is not a
“financial interest” in such securities unless the. Judge ‘participates in the management of the
fund. (Canon 3(C)3)()V-)

53 Issued January 2, 1998


2352

=, any mortgage secured by real property which is a personal residence of you or
your spouse. Section 102(a)(4)(A).

- any loan secured by a personal motor vehicle, household furniture, or appliances
that does not exceed the purchase price of the item securing the liability. Section
102(a)(4)(B).

- any information with respect to a spouse living separate and apart from you with
the intention of terminating the marriage or providing for permanent separation or
with respect to any income or obligations arising from the dissolution of the
marriage or permanent separation. Section 102(e)(2).

= any revolving charge account whose balance did not exceed $10,000 as of the
close of the preceding calendar year.

- political campaign funds, including campaign receipts and expenditures, Section
102(g).

- any liability which is the sole liability or responsibility of the spouse or child;
which is not derived from the assets, income or activities of the reporting person;
from which the reporting person does not derive or expect to derive a benefit; and
of which the reporting person has no knowledge. Section 102(e)(1)(E). Omission
of such data indicates a certification of these statutory conditions. This rule also
applies to the reporting of investments and trusts, see the Instructions for Part VII.

If you, your spouse, and your dependent children did not have any reportable liabilities,
check the "None" box rather than leaving Part VI blank.

VI. LIABILITIES. (inciudes those of spouse and dependent children; indicate, where applicable, person
‘responsible for liability by using the parenthetical "(5)" for separate liability ofthe spouse, "(2)" for join liability of
reporting individual and spouse, and "(DC)" for liability of a dependent child. See pp. 32-34 of Insructions,)

GREDITOR DESCRIPTION VALUE _CODE*

[J NONE ovo reportabte li

* Old National Bank Credit Card L
27 Mortgage on Rental Prop. #1,
NationsBank Alexandria, VA (Pt VII, line 2) M

33 Issued January 2, 1999


2316

Major Changes to Financial Disclosure
Instructions for 1998

There are few substantive changes from last year's filing requirement. However, the
Instructions concerning the reporting of individual assets contained in brokerage accounts,
trusts, estates, and IRAs have been further clarified, especially for filers listing a position as
executor, trustee, or similar position in Part I of the report.

The Committee continues to find it difficult to close reports that attach financial
statements in lieu of completing Part VIL, Investments and Trusts, of the Financial Disclosure
Report (AO Form 10). Such reports often fail to provide the required information and lack a
consistent and uniform format necessary for Committee review. Moreover, they often provide
confidential information that is not required, such as account numbers, Social Security numbers,
and home addresses. Accordingly, each filer should ensure that the appropriate entries,
including value codes, for each asset in an IRA or trust are entered in Part VI of their Financial
Disclosure Report (AO Form 10).

Gifts from relatives are not reportable in Part V, Gifts, of the report form. The filing
instructions on page 38 have been amended to provide that the parenthetical "(X)" should be
used to identify an asset in Part VI, Column A that meets the reporting threshold and is
otherwise exempt from the reporting requirements as a gift under Part V. Thus, ifa filer
received $10,000 in AT&T stock from a parent, the stock would be identified in Part VII, Column
4, as "AT&T (x)" and Column D, Transactions, would not be completed.


2268

(4) Outside earned income is attributed solely to the actual earner regardless of
community property laws. (Compendium § 33.3 (1997).)

Prohibition on Receipt Of Honoraria
(1) It is a violation of the statute and regulations for a law clerk to write an article for

compensation during clerkship even though publication of the article and receipt of the
honorarium occur after the clerkship ends. (Compendium § 34(a) (1997).)

(2) Fee for performing wedding is not an honorarium. However, a judge is barred from
accepting additional compensation for performing judicial activities.
(Compendium § 34.1(a) (1997).)

(3) Reimbursement of travel expenses for judge and one relative does not constitute an
honorarium. (Compendium § 34.1(b) (1997).)

(4) Where a judge's paper for a continuing legal education program was later published
and later still won $3000 cash award at sponsor's annual award program, the award is
not a payment for the speech or article and thus not an honorarium. An after-the-fact
award based on merit for scholarly work is an award in recognition.

(Compendium § 34.1(d) (1997).)
(5) Compensation for teaching a seminar for prospective law students and preparation

of course materials does not constitute an honorarium. (Compendium § 34.1-2(d)
(1997),)

(6) Fee received by judge as editor-in-chief of a law journal is not an honorarium, but
rather compensation for a writing more extensive than an article. (Compendium

§ 34.1-3(a) (1997).)
Limitations On Qutside Ei

(L) Serving as a fiduciary of a family estate or trust as permitted by Canon 5D of the
Codes of Conduct does not constitute practicing a profession involving a fiduciary
relationship. (Compendium § 35.3(a) (1997).)

(2) Service for compensation as editor-in-chief of a bankruptcy law journal is not the

equivalent of being an officer or member of the board of an entity, and thus is not barred
by this section. (Compendium § 35.4(a) (1997),)

23 Issued January 2, 1998


2334

Did you list the date, parties, and terms of the agreement?

Is the agreement permissible?

Commentary
Continuation of payments by a former employer other than the United States

Ibis permissible for judges to receive appropriate payment for their interests in a law
‘firm and compensation for legal services they rendered before becoming judges.
(Compendium § 2.7(a)(1997),)

A termination of partnership agreement provides for payment of an agreed amount
representing the retiring partner's interest and some of these payments can be paid in years
following the partner's appointment as a United States judge. (Advisory Opinion No, 24.)

The Committee on Codes of Conduct is of the opinion that when a partner leaves a law
firm to become a federal judge, he should, if possible, agree with his partners on an exact
‘amount which he will receive for his interest in the firm, whether that sum is to be paid within

the year or over a period of years. (Id)

Such payments may continue to be made to the judge, provided itis clear (1) that he is
not sharing in profits of the firm earned after his departure, as distinguished from his sharing in
‘amount representing the fair value of his interest in the firm, including the fair value of his
interest in foes to be collected in the future for work done before he left the firm, and (2) the
judge does not participate in any case in which his former firm or any partner or associate
thereof is active as counsel until the full amount which he may be entitled to receive under the
agreement has been paid to him. (Id)

In addition, itis permissible for the departing judge to share in contingent fees received
at the end of litigation, provided a fixed percentage or fixed ceiling is agreed upon, and
reasonably reflects the value of services previously rendered by the departing judge. While it is
permissible for a judge to share in future contingent fees, the judge should first attempt to reach
agreement with his former partners on a fixed sum. (Compendium § 2.7(b) and (b-1}(1997),)

A judge should recuse in all cases involving members of the former law firm where the
judge has left a retirement account in the former law firm's profit sharing trust. If there are
“Frequent recusals, the judge should withdraw the account if feasible.

(Compendium § 5.2-4(a) and (a-1)(1997),)

15 Issued January 2, 1999


2249

Where to File

Effective January 1, 1991, the original and three copies of the Report, and of any
amendments (including amendments in response to letters of inquiry) are to be filed with:

‘Committee on Financial Disclosure
Administrative Office of the United States Courts
One Columbus Circle, N.E., Suite 2-301
Washington, D.C. 20544

Section 103(h)(1)(B).

The additional copies of the Report may be made by photocopying the original, rather than
by retyping or using carbons.

Commentary

Reports are not considered to have been received unless they are physically received in the
Financial Disclosure Office and contain an original signature. Reports will be date stamped as
soon as they are received by the Financial Disclosure Office. Reports sent to the Financial
Disclosure Office by facsimile or other electronic means are not considered to be received until
@ copy with an original signature is received.

Amendments

A Report may be amended by filing an amended AO Form 10 for that year, fully explaining
items added to, or changed from, the original submission.

Alternatively, additional information may be submitted by a separate letter addressed to the
Committee. You should identify the Report(s) and Part(s) being corrected and provide complete
information for the item(s) being corrected. Sign the letter personally, which will constitute your
certification to the accuracy and completeness of the Report(s) as amended.

Regardless of which method is used, you should file amendments in the same manner as for
the original, ic., a signed original and three copies with the Committee.

Commentary

Self-initiated amendments will be certified in the same manner as an original Report. Each
reviewer will complete block 8 on the AO Form 10 for each amendment as amended.

4 Issued January 2, 1998


2317

SECURITY ISSUES

Every filer should be aware that the Ethics in Government Act of 1978 makes your
Financial Disclosure Report a PUBLIC DOCUMENT. This means that a person seeking to
harm or harass you and your family can get a copy of your Financial Disclosure Report. There
have been instances of such misuse of information provided by filers.

The Committee makes the following recommendations so that you can satisfy the
financial disclosure requirements of the Act while accommodating appropriate security concerns:

(2) When filing your report, enter your CHAMBERS OR OFFICE ADDRESS in block 7.
Do NOT use your home address for any purpose in connection with your Report.

(2) In Part VII, do NOT provide more financial detail than is required by the Instructions.
For example, for bank accounts, provide only the name of the institution and the city and
state in which it is located. For certificates of deposit, provide only the name of the
institution that issues the certificate, Do not include your social security number or the
financial account numbers of brokerage accounts, IRAs, or bank accounts, For reatal
properties, provide only the city (or county) and state in which the property is located. If
you have more than one rental property in a particular location, you may identify the
properties as "Rental Property #1, Cincinnati, Ohio,” “Rental Property #2, Cincinnati,
Ohio," and so on.

(8) It is not necessary to report your personal residence or residences in Part VII (unless a
portion of your residence is rented to a third party). Similarly, do not report any
mortgage, equity loan, or line of credit secured by a personal residence, vehicle, boat, or
motor home in Part VI.

(4) In addition, some filers wish to provide their federal income tax return.
Paradoxically, this method provides too much information, and at the same time not
enough information. The tax return shows interest and dividends in Schedule B and sales
of assets in Schedule D in specific detail, but it does not provide the protection of the
income and value codes and does not include lists of your current holdings. Therefore, a
tax return does not meet the requirements of the Act.

(5) Similarly, financial statements, deeds, and trust agreements provide too much
information including home addresses and account numbers. They are not necessary in
order to identify an asset. Do not attach such documents to your report.

(© The reporting requirements seldom require the name of your spouse or a child.

Identify your spouse and children by the use of the parenthetical codes "S,” "DCI,"

and "DC2."

If your Financial Disclosure Report is requested, you will be notified of the request. If
you have any concems or questions about the release of your report, please call the staff of the
Committee at (202) 273-4626 or discuss the matter with your local United States Marshal.

{Issued January 2, 1999


2323
Where to File
Effective January 1, 1991, the original and three copies of the Report, and of any
amendments (including amendments in response to letters of inquiry) are to be filed with:

Committee on Financial Disclosure
Administrative Office of the United States Courts
One Columbus Circle, N.E., Suite 2-301
Washington, D.C. 20544

Section 103(h)(1)(B).

The additional copies of the Report may be made by photocopying the original, rather than
by retyping or using carbons.

Commentary

Reports are not considered to have been received unless they are physically received by the
staff of the Committee on Financial Disclosure and contain an original signature of the filer.
Reports will be date stamped as soon as they are received by the staff. Reports sent to the
Committee on Financial Disclosure by facsimile or other electronic means are not considered to
be received until a copy with an original signature is received.

Amendments

‘A Report may be amended by filing an amended AO Form 10 for that year, fully explaining
items added to, or changed from, the original submission.

Altematively, additional information may be submitted by a separate letter addressed to the
Committee. You should identify the Report(s) and Part(s) being corrected and provide complete
information for the item(s) being corrected. Sign the letter personally, which will constitute your
certification to the accuracy and completeness of the Report(s) as amended.

Regardless of which method is used, you should file amendments in the same manner as for
the original, i-e., a signed original and three copies with the Committee.

Commentary

Self-initiated amendments will be certified in the same manner as an original Report. Each
reviewer will complete block 8 on the AO Form 10 for each amendment as amended.

4 ‘Issued January 2, 1999


2245

I. Positions ........
IIL. Non-investment Income
IV. and V. Reimbursements and Gifts .
VI. Liabilities .........
VIL. Investments and Trusts .
APPENDIX II - FINAL REPORTS
‘Who Must File and When...
Instructions for Completing Each Part .
Identifying Information .

Parts I. - VI

di. Issued January 2, 1998


2351

YL Liabilities

Information pertaining to the reporting person, spouse, and dependent children is required
in this Part.

In this Part list all of your, your spouse's and dependent children’s liabilities to any
creditor other than a spouse, parent, brother, sister, or child, which exceeded $10,000 at any time
uring the reporting period. Sections 102(a\4) and 102(e)(1\E).

For annual Reports, the reporting period is the calendar year preceding the date of the
Report, Section 102(a)(4). For initial and final Reports, see’Appendices I and Il, respectively,
for the appropriate reporting periods.

In this Part, list the identity and category of value of each liability. The identity includes
the name of the creditor and a description of the liability. Section 102(a)(4). To assist the
reviewer, liabilities should be listed in the same order as in the previous Report.

The category codes for the amount owed as of the end of the reporting period are shown
on the Report and are as follows:

J - $15,000 or less PI ~ $1,000,001 to $5,000,000
K- $15,001 to $50,000 P2- $5,000,001 to $25,000,000
L - $50,001 to $100,000 P3 - $25,000,001 to $50,000,000
M- — $100,001 to $250,000 P4- more than $50,000,000

N - $250,001 to $500,000

© - $500,001 to $1,000,000

Section 102(4)(1).

The reporting requirement relates to obligations that at any time during the reporting period
exceeded $10,000, but the amount to be shown by the category code is the amount owed as of the
end of the reporting period.

In the creditor section, indicate, where applicable, the person responsible for the liability
with the parenthetical "(S)" for separate liability of spouse, "(J)" for joint liability of the reporting
person and spouse, or "(DC)" for liability of a dependent child.

You are not required to report:

any liability owed to a spouse, parent, brother, sister, or child. Section 102(a)(4).

32 Issued Jamuary 2, 1999


2321

of Appeals for the Armed Forces, who

(@) is authorized to perform adjudicatory functions with respect to proceedings in the
judicial branch, e.g., bankruptcy judges and magistrate judges; or

(©) who occupies a position for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General Schedule.

Section 109(8).

Persons whose obligation to file Reports may vary from year to year, e.g., a senior judge, or
recalled bankruptcy judge or magistrate judge who may perform more than 60 days of service in
one year but not in another, should certify their exempt status to the Committee on Financial
Disclosure by May 15th, if they are exempt from filing for the prior year. This will avoid an
inquiry from the Committee concerning failure to file. When they file their next Reports, they
should explain any apparent inconsistencies resulting from the "gap" between the two reporting

periods.

For information on who must file initial and final Reports, and when they must be filed, see
Appendices I and Il, respectively.

Commentary

The General Counsel of the Administrative Office has determined that the term "basic pay"
within the definition of a judicial employee does not include locality pay or geographic cost-of-
living allowance (COLA) received by some employees in Alaska, Guam, Hawaii, Puerto Rico,
and the Virgin Islands. Geographic COLAs are considered additional allowances for the cost of
living rather than part of the basic rate of pay. Similarly, there is no express statutory authority
permitting court employees to receive locality pay. Payment is based upon the Director of the
Administrative Office's authority to set compensation and is treated in the same manner that
locality pay is treated in the Executive Branch, which does not consider locality pay as a part of
basic pay.

Part-time employees without adjudicatory functions are deemed to satisfy the filing
threshold if the basic rate of pay fixed for the position held meets the statutory minimum. Thus,
the "rate of basic pay" rather than actual pay received, is used to determine the need to file a
Report. In addition, the Committee has held that the "rate of basic pay" to be used to determine
whether a reemployed annuitant who is not authorized to perform adjudicatory functions must
file a Report does not include the annuity.

2 Issued January 2, 1999


2428

- Asset information with respect to a spouse living separate and apart with the
intention of terminating the marriage or providing for permanent separation.
Section 102(e)(2).

- Political campaign funds, including campaign receipts and expenditures. Section
102(g).

- In Part VIL, information associated with property which is the sole financial
interest or responsibility of the spouse or child; which is not derived from the
assets, income or activities of the reporting person; from which the reporting
person does not derive or expect to derive a benefit; and of which the reporting
person has no knowledge. Section 102(e)(1)(E). Omission of such data indicates
a certification of these statutory conditions. This rule also applies to the reporting
of liabilities, see the Instructions for Part VI.

To help reporting persons in instances where a position held in an economic entity may
have a bearing on reporting requirements, the following should be used as guidance:

When a Financial Disclosure Report contains information reflecting a filer’s interest in a
partnership or other business enterprise, the filer must disclose the assets held by the
business entity if a filer can direct, influence or in any other manner affect the purchase,
exchange, sale or disposition of the entity or property owned by the entity, or when the
filer can influence policy decisions which affect the purchase, exchange, sale or
disposition of the entity or of property which it owns.

For annual reports, the reporting period is the calendar year preceding the date of the
report. Section 102(a)(1)(B). For final reports, see Appendix II for the appropriate period.

If you, your spouse, and your dependent children did not have assets subject to reporting,
check the "None" box rather than leaving Part VIT blank.

Commentary

Investment income is to be contrasted with earned income. The crucial factor is the
filer's services. If the filer's services are a material factor in the production of income, it is
earned income and should be reported in Part Ill, However, limited partners usually receive
investment income from the partnership, since they normally do not perform services for the
partnership. Investment income includes returns on investments rather than compensation for
‘personal services. It includes income derived from all forms of property, such as securities,
funds, accounts, real estate, partnerships, joint ventures, businesses, and interests in trusts and

estates,

36 {ssued January 2, 2000


2347
Y. Gifts

Information pertaining to the reporting person and the spouse and dependent children, as
noted, is required in this Part.

In this Part report information about gifts other than transportation, lodging, food or
entertainment aggregating $250 or more in value received by you, your spouse and dependent
children from any source other than a relative during the preceding calendar year. Gifts from
separate sources with a fair market value of $100 or less need not be aggregated to determine if
the $250 reporting threshold has been met. Section 102(a)(2\(A).

A gift is a payment, advance, forbearance, rendering, or deposit of money, or anything of
value, unless consideration of equal or greater value is received by the donor. Section 109(5).

If you have been extended an honorary membership in an organization and you avail
yourself of the privileges, rights, etc., to a substantial degree, and the dues are in excess of $250
a year, you must report the honorary membership in this Part.

You are not required to disclose information about:

- gifts received from a relative. Section 102(a)(2)(A).

- gifts received by a spouse and dependent children, totally independent of
their relationship to you. Section 102(¢)(1)(C).

- gifts received in a period when you were not an officer or employee of the Federal
Government. Section 102(h).

- gifts that are bequests and other forms of inheritance. Section 109(5)(A).

= communications to the offices of a reporting person, including subscriptions to
newspapers and periodicals. Section 109(5)(E).

- suitable mementos of a function honoring the reporting person. Section 109(5)(B).

Use the parentheticals "(S)" and "(DC)" to indicate gifts received by your spouse and
dependent children, respectively.

If you, your spouse, and your dependent children did not receive any gifts reportable in
Part V, check the “None” box rather than leaving Part V blank.

For the definition of relative, refer to Part IV of these Instructions.

28 Issued January 2, 1999


2332

Sentencing Commission. Senior employees of the Administrative Office of
the United States Courts must obtain approval from the Director of the
Administrative Office.

b. Judicial Employees. A judicial employee may engage in such activities as civic,
charitable, religious, professional, educational, cultural, avocational, social, fraternal, and
recreational activities, and may speak, write, lecture, and teach. If such outside activities
concern the law, the legal system, or the administration of justice, the judicial employee should
Jirst consult with the appointing authority. (Code of Conduct for Judicial Employees, Canon 4A.)

¢. Federal Public Defenders. A defender employee should not engage in the private
practice of law. Notwithstanding this prohibition, a defender employee may act pro se and may,
without compensation, give legal advice to and draft or review documents for a member of the
defender employee's family, so long as such work does not interfere with the defender employee's
primary responsibility to the defender office. (Code of Coduct for Federal Public Defender

Employees, Canon 5D.) pot on Oypte ram a oe
sety and
ingore

13 Issued Jamuary 2, 1999


Information pertaining to the reporting person and the spouse and dependent children, as
noted, is required in this part.

In this part report information about gifts other than transportation, lodging, food or
entertainment aggregating $250 or more in value received by you, your spouse and dependent
children from any source other than a relative during the preceding calendar year. Gifts from
separate sources with a fair market value of $100 or less need not be aggregated to determine if
the $250 reporting threshold has been met. Section 102(a)(2)(A).

A gift is a payment, advance, forbearance, rendering, or deposit of money, or anything of
value, unless consideration of equal or greater value is received by the donor. Section 109(5).

If you have been extended an honorary membership in an organization and you avail
yourself of the privileges, rights, etc., to a substantial degree, and the dues are in excess of $250
a year, you must report the honorary membership in this part.

You are not required to disclose information about:

- gifts received from a relative. Section 102(a)(2)(A).

- gifts received by a spouse and dependent children, totally independent of
their relationship to you. Section 102(e)(1)(C).

- gifts received in a period when you were not an officer or employee of the federal
government. Section 102(h).

- gifts that are bequests and other forms of inheritance. Section 109(5)(A).

= communications to the offices of a reporting person, including subscriptions to
newspapers and periodicals. Section 109(5)(E).

~ suitable mementos of a function honoring the reporting person. Section 109(5)(B).

If you, your spouse, and your dependent children did not receive any gifts reportable in
Part V, check the "None" box rather than leaving Part V blank.

For the definition of relative, refer to Part IV of these instructions.
For annual reports, the reporting period is the calendar year preceding the date of the
report. Section 102(a)(2)(A). For initial and final reports, see Appendices I and II, respectively,

28 Issued January 2, 2000


2423

Miscellaneo: Rulings

(a) It is permissible to accept books from West Publishing Company for official use.
(Compendium § 5.4-Z(a) (1999).)

(b) Itis permissible for a judge's children to accept scholarships awarded on the same
terms and based on the same criteria applied to other applicants. (Compendium § 5.4-Z(b)
(1999).)

(c) Gifts from a friend not prohibited where friend not likely to ever appear in judge's
court. (Compendium § 5.4-2(c) (1999).)

(@) It is permissible for a judge to attend, and accept hospitality at bar association events
and meetings of other organizations devoted to improvement of the law, legal system, or the
administration of justice. With respect to attendance at cocktail parties hosted by law firms in
connection with bar meetings, judicial conferences, and the like, there is no impropriety in a
judge accepting such invitations in the absence of reason to believe that such attendance will
reasonably reflect unfavorably on the judge's impartiality or is likely to be exploited by the law
firm. (Advisory Opinion No. 17.)

(e) It is permissible for judges to attend bar association events such as receptions where
a legal publishing firm has donated the hors d'oeuvres and beverages to the bar association. It
is not appropriate, however, for a group of judges or judicial personnel to allow a legal
publishing firm or other vendor doing business with their court to donate food and beverages for
a meeting of the judges or judicial employees. (Compendium § 2.9(a) (1999).)

Honorary/Reduced-Rate Membershit

(a) It is permissible for a judge to accept a free membership in a country club, including
@ waiver or reduction in the initiation fee, or to accept a free or reduced membership in a YMCA
if it is customary in that community, similar privileges are extended to other public officials, the
interests of the organizations have not and are not likely to come before the judge, and the judge
is satisfied that the membership is not being used by the organization to promote its endeavors.
(See Advisory Opinion No. 47.)

(8) It is permissible for a judge.to accept a free membership in the "American Board of
Trial Advocates,” the organization being devoted to the improvement of the law.
(Compendium § 5.4-1(b) (1999).)

(c) It is permissible to accept free membership in a local bar association.
(Compendium § 5.4-1(c) (1999).)

31 Issued Janoary 2, 2000


2300
VOI Explanatory Comments

Use this section to add information clarifying other portions of the Report. Of particular
importance is any information, such as a reference to opinions of the Committee on Codes of
Conduct and actions of a Judicial Council, that bears on possible conflicts of interest or problems
under the Codes of Conduct for United States Judges. Also use this section to explain any
apparent inconsistencies between the current Report and past Reports.

Place explanatory comments cither with the item or in Part VIL that will facilitate
"tracing" items from one Report to the next. For example, indicate if an asset has a different
name from that used in the prior Report because of a reorganization or change of name.

Use attachment pages if more space is needed.

‘The certifications provided on the form cover (1) a certification that the reporting person
did not perform any adjudicatory function in any litigation during the reporting period in which
such person ot his or her spouse or minor or dependent children bad a financial interest; (2) a
certification that the Report is accurate, true, and complete as to all information required by the
‘Act to be reported; and (3) a certification that eamed income from outside employment and
honoraria and the acceptance of gifts that have been reported are in compliance with the
provisions of applicable laws and regulations.

The first certification covers only minor or dependent children. If it cannot be made in
the form contained on the Report, e.g, the reporting person performed adjudicatory functions in
a case either in error or under the "rule of necessity," modify the certificate and explain in Part

VIO.

The original Report that is to be filed with the Committee must bear the original signature
of the reporting person; the other three copies may be copies of the signed original. At least one
copy of an amended retum or of a clarifying letter responding to a Committee inquiry must bear
the original signature of the reporting person; all other copies shall be copies of the signed
original. ‘The signature of the reporting person may be excused only during a period of physical
or mental incapacity of that person.

Promptly upon discovery that an error has been made in a Report, amend the Report by
one of the methods explained on page 4.

35 Issued January 2, 1998


2296

a) a qualified blind trust, Section 102((1). (see below).

b) trust:
(i) which was not created directly by the reporting person, his spouse, or
any dependent child; and
(ii) the holdings or sources of income, of which the person, his spouse, or
any dependent child have no knowledge.
Section 102(E(2).

©) a widely held investment fund, if the fund is publicly traded or the assets of the
fund are widely diversified, and the reporting person neither exercises control, nor
has the ability to exercise control over the financial interests held by the fund.
Section 102(8(8).

A reporting person does not have to report a contingent interest in a trust if the reporter
has no control over the assets of the trust. An interest is contingent if there is no present right or
ability to any income or principal, and the future is uncertain either by survivorship or otherwise.

Individual assets, stocks, and bonds that are part of an IRA or brokerage account must be
disclosed. However, when a mutual or widely diversified fund is part of an IRA or brokerage
account, only the name of the fund and not its underlying stocks, bonds, or other assets, must be
listed. In other words, underlying stocks, bonds, etc. in a pooled fund which are not individually
directed by the reporting individual need not be disclosed.

A reporting person should complete Part VII, Columns A and B, for the trust or other
financial arrangement qualifying under the conditions listed. Section 102((2).

Report the holdings and sources of income from private investment clubs or
investment partnerships. In these arrangements, the basic rule is that the income, value,
and transactions of the holdings of any investment club or similar arrangement in which
you, your spouse, or dependent child have a beneficial interest must be reported if the
investment club or partnership had ownership of any asset having a value of $1,000 at the
end of the reporting period, regardless of the value of your, your spouse, or dependent
child's individual share, Your listing of assets requires the completion of Columns A, B,
and C for each asset owned by the investment club having a value in excess of $1,000 and
the completion of Column D for any club transaction in excess of $1,000.

A qualified blind trust is subject to special rules. Section 102(f). The effect of the Code
of Conduct for United States Judges (Canon 3(c)(2)) prectudes qualified blind trusts for judges,
their spouses and dependent children. Other judicial employees may own beneficial interests in
qualified blind trusts as defined and conditioned in the pertinent statutes. Judicial employees
considering the establishment of a qualified blind trust are directed specifically to Section
102(£(3(D), which requires approval by the Committee on Financial Disclosure.

51 Issued January 2, 1998


2258

Sentencing Commission. Senior employees of the Administrative Office of
the United States Courts must obtain approval from the Director of the
Administrative Office.

b. Judicial Employees. A judicial employee may engage in such activities as civic,
charitable, religious, professional, educational, cultural, avocational, social, fraternal, and
recreational activities, and may speak, write, lecture, and teach. If such outside activities
concern the law, the legal system, or the administration of justice, the judicial employee should
‘first consult with the appointing authority. (Code of Conduct for Judicial Employees, Canon 44.)

c. Federal Public Defenders. A defender employee should not engage in the private
practice of law. Notwithstanding this prohibition, a defender employee may act pro se and may,
without compensation, give legal advice to and draft or review documents for a member of the
defender employee's family, so long as such work does not interfere with the defender employee's
primary responsibility to the defender office. (Code of Conduct for Federal Public Defender

Employees, Canon 5D.)

13 Issued January 2, 1998


2287

Ut is important to recognize that in almost every instance where a filer is a trustee,
executor, administrator, custodian etc., the filer has the legal authority and responsibility to
exercise control over and manage the assets in a trust or estate. It is this authority based on the
filer's fiduciary responsibilities to control the purchase, sale, or other disposition of the assets
that requires the filer to list the assets in this Part.

3. Income

In Column B of Part VII, the income from listed assets must be shown, The disclosure of
the gross amount and the type of income ~ dividends, rent, interest, or income from discharge of

indebtedness

is required. Sections 102(a)(1)(B) and 109(7). AU income is reportable, whether

taxable, tax deferred, or tax exempt, When no income is received (or there is a loss) Column B1
under Amount should be left blank and the word "NONE" should appear in Column B2 under
Type. When some income is received, the appropriate code, reflecting the amount, should be
used. If the type of income is not a dividend, rent, interest, or income from discharge of
indebtedness, it should be explained either in Part VII or Part VIII. The ranges are required by
statute and the coded amounts for income are listed on the reporting form as follows:

A

anmouaw

Hl
H2

Section 102(a(1)(B).

$1,000 or less

$1,001 to $2,500

$2,501 to $5,000

$5,001 to $15,000
$15,001 to $50,000
$50,001 to $100,000
$100,001 to $1,000,000
$1,000,001 to $5,000,000
More than $5,000,000

‘The same ranges and codes are used to report capital gains associated with transactions in
Column D of Part VII. However, capital gains associated with "distributions" should be treated
and reported as dividends in Column B.

The income from U.S. Savings Bonds, and similar investments should be reported if the

minimum of $200 is reached.

42 Issued January 2, 1998


2291

\VII. Page 1 INVESTMENTS and TRUSTS — income, value, transactions (Includes those
of spouse and dependent children. See pp. 36-54 of Instructions.)

NONE (Wo reportable income,

[IJNONE oy sr aos

Lage Canon Sock) noe | x | or
b

faa peg flcanain VA

See mayen p [roe jm] x
F

adobe 4) (C09) a finer | |
K

cabin rat Nao Baesoek 0 | 8 fowiemal 9 |v
i

Fay Megs Moo re) |B fowidens] x |
NY Sa Utes Dev Ca. Man Bod

Notes to Filer:

Do you list in Column C(1) the gross value code (J-P) at the end of the reporting period?

Do you list in Column C(2) the correct value method code (Q-W) reflecting how the value
of the asset was determined?

Ifyou used value method codes "Q", "R", "S", or "V," did you include the appropriate
information in Column A or Part VILI?

46 Issued January 2, 1998


2320

INTRODUCTION

Three types of Financial Disclosure Reports--initial, annual, and final--are required by the
Ethics in Government Act of 1978, as amended, published in Title 5 of the United States Code

Annotated, Appendix 4, §§ 101-111.

‘These Instructions govern the preparation and filing of AO Form 10, which is to be used by
judicial officers and employees for all Reports due after January 1, 1999. The body of the
Instructions covers reporting requirements for annual Reports, which in some cases also apply to
initial and final Reports. Where requirements for initial and final Reports differ from the annual
reporting requirements, specific information can be found in Appendices I and II, respectively, of
these Instructions.

The Act requires that the Committee on Financial Disclosure review each Report to assure
that, on the basis of the information provided, the reporting person is in compliance with
applicable laws and regulations. Section 106(b)(1). The Committee also reviews reports to
determine potential conflicts of interest or ethical problems.

Questions concerning the reporting requirements (and suggestions for improving the AO
Form 10 or these Instructions) should be addressed to: Cominittee on Financial Disclosure,
Administrative Office of the United States Courts, One Columbus Circle, N-E., Suite 2-301,

Washington, D.C. 20544.
‘WHO MUST FILE, WHEN AND WHERE

JUDICIAL OFFICERS AND JUDICIAL EMPLOYEES are required to file an annual
Report by May 15 following each calendar year in which they performed their duties for more
than sixty (60) days. Section 101(d). Filing before the due date is encouraged to ease the burden
on members of the Committee on Financial Disclosure who review the Reports, as required by
the Act.

JUDICIAL OFFICERS are defined in the Act as the Chief Justice and Associate Justices of
the Supreme Court, and the judges of United States courts of appeals, United States district
courts, including the district courts in Guam, the Northem Mariana Islands, and the Virgin
Islands, Court of International Trade, Tax Court, Court of Federal Claims, Court of Veterans
Appeals, United States Court of Appeals for the Armed Forces, and any court created by an Act
of Congress, the judges of which are entitled to hold office during good behavior. Section
109(10).

A JUDICIAL EMPLOYEE is any employee, other than a JUDICIAL OFFICER of the
judicial branch of Government, of the United States Sentencing Commission, of the Tax Court,
of the Court of Federal Claims, of the Court of Veterans Appeals, or of the United States Court

L ad doy oe
Pout ‘ st aay 219
Cn a



2.

credit cards
dependent children
mortgage
owed to a spouse
personal residence
political campaign funds
relatives
spouse
Non-investment Income
annuities
commissions
compensation for services
covered senior employees
death benefits
dependent children
dividends on life insurance policies
employment by the United States
fiduciary relationship for compensation
bonoraria
life insurance policies
limitations on outside employment
practicing a profession
royalties
spouses
teaching
vested pension plans
Part-time employees
Personal information
Positions
Guardian
Executor
honorary
investment partnership
judges
judicial employees
limited partner
part-time magistrate judges
reporting period
trustee
Public access
felons
unlawful purpose
Reconciliation with prior reports
Reimbursements

382

9,12
9
9, 38
55
56
56
7
25

63

Issued January 2, 1999


2375

(C) that such person is aware of the prohibitions with regard to
obtaining or using the Report, Section 105(bX2).

It shall be unlawful for any person to obtain or use a Report--
(A) for any unlawful purpose;

(B) for any commercial purpose other than by news and
communications media for dissemination to the general public;

(C) for determining or establishing the credit rating of any person; or

@) for use directly or indirectly, in the solicitation of money for any
political, charitable, or other purpose, Section 105(c)(1).

The Attorney General may bring a civil action against any person who obtains or uses a
Report for any prohibited purpose described above. The court in which such action is brought
May assess against such person a penalty in any amount not to exceed $10,000. Such remedy
shall be in addition to any other remedy available under statutory or common law. Section

105(c)(2).
Commentary

Financial Disclosure Reports are public documents open for copying and inspection and
will be maintained by the staff of the Committee on Disclosure Office for six years, after which
the reports will be destroyed unless there is an ongoing investigation. The Committee has held
that by statute felons cannot be restricted from ready access to the Reports. However, a recent
amendment to section 102(b) of the Act gives the Committee the authority to redact required
information from a report when the Committee, in consultation with the United States Marshals
Service, decides that revealing personal and sensitive information could endanger the judge or

judicial employee.

Immediately upon receipt of the AO Form 10A, Request for Examination of Report Filed
by a Judicial Officer or Employee, the staff of the Committee sends a courtesy letter of
notification to the filer informing the filer that a proper request for a copy of filer's Report was
received and that it is being made available.

Staff has been instructed to redact excess personal information not required to satisfy
section 102 of the Act such as home addresses, social security numbers, and financial account
numbers from reports requested by the public.

The Instructions for completing Financial Disclosure Reports are made available to the

publicupon request. The fee for copying Reports can be waived only after a determination by
the Committee that it is in the public interest and that the requestor is unable to pay.

56 Issued January 2, 1999


2253

Blocks | through 8 of the heading to the report should be filled in as indicated:

Block 6. Reporting Period. The following entry should be made for Annual Reports: January
1, 1997-December 31, 1997.

Block 8. Certification. Reviewing official will sign and date this block when the report is
complete. The front page of the AO-10 with the reviewing judge's
original signature will be returned to the Financial Disclosure

Office for permanent filing.

Certification by the reviewing judge or committee counsel, as reviewing officials, certifies that
the information in the report, any amendments, or attached correspondence has been disclosed in
accordance with applicable laws and regulations. The reviewing official has the authority to approve
the report as submitted, direct that a letter of inquiry be sent, or waive an error as de minimis and
approve the report. The reviewing official can also approve a report and direct that an advisory letter
be sent to provide the filer with guidance for future reports. All letters of inquiry are prepared for the
Chair's signature on Committee letterhead siationery. The Chair has authority to revise or waive a
letter of inquiry and approve a report.

8 Issued January 2, 1995


2377
1 Positi

The reporting period is the two calendar years preceding the date of the Report through
the filing date in the current calendar year. Section 102(a)(6)(A).

IL_Non-investment Income

The reporting period is the calendar year preceding the date of the Report and the year of
filing. Section 102(b)(1)(A).

In addition, you must report compensation, other than from the United States
Government, in excess of $5,000 in any of the two calendar years prior to the calendar year
during which you file your first Report. Section 102(a)(6\(B).

You must include the identity of each source of such compensation and a brief
description of the nature of the duties performed or services rendered by the reporting person for
each source, Section 102(a)(6)(B).

‘You are not required to report any information which is considered confidential as a
result of a privileged relationship, established by law between the reporting person and any
person nor are you required to report any information with respect to any person for whom.
services were provided by any firm or association of which the reporting person was a member,
partner, or employee unless the reporting person was directly involved in the provision of such
services. Section 102(a)(6)(B).

TV. and V, Reimbursements and Gifts

You are not required to complete these Parts of the Report. Section 102(b)(2). Note
"exempt" in these two spaces.

VI. Liabiliti

The reporting period is the calendar year preceding the date of the Report through a date
which is less than thirty-one days before the filing date. Section 102(b)(1)(B).

VIL._Investments and Trusts

The reporting period for providing income information for assets is the calendar year
preceding the date of the Report and the year of filing. Section 102(b)(1)(A). The reporting
period for providing value information for assets is the calendar year preceding the date of the
Report through a date which is less than thirty-one days before the filing date. Section
102(b)(1)(B). You are not required to complete Subpart D "Transactions." Section
102(b)(1). Note “exempt” in these two spaces.

. 58 Issued January 2, 199


2295
Ifan asset is partially disposed of or sold, did you indicate "partial sale" in Column
DQ?

Ifan asset was completely disposed of or sold, did you leave Column C blank and
complete Columns D(1)-(5) as appropriate?®

Do you list the identity of the buyer or seller for all transactions not conducted through
public trading, as on a stock or commodities exchange?

Commentary

In addition to purchases and sales, other types.of transactions such as mergers, gifts,
inheritances, and redemptions require completion of all parts of Columns D(1)-(3).

Ian asset was disposed of (sale or redemption), then Column D(A)- the capital gain
code should also be provided, In addition, Column D(5) should be completed as to the identity
of the buyer or seller if it was a private transaction (as opposed to a transaction conducted
through public trading, as on a stock or commodities exchange)

It should be noted that some filers leave Column D blank when they have a transaction
which does not require complete details. However, Column D(1) should be completed to provide
the type of transaction. This is a common omission when the filer either opens or closes an
account in a financial institution. The following are common examples of these types of
transactions:

(1) opening and closing of accounts in financial institutions, including the rollover of an
account from one financial institution to another,

(2) transactions solely between the filer, his or her spouse, and dependent children,

Q) transactions in which the then fair market value of consideration paid or received did
not exceed $1,000, and

(4) transactions involving a mere change of form of assets, ¢.g., a stock split.

6 8 Similar Entiti

Holdings of beneficial interests in trusts and similar entities present special problems in
reporting.

A reporting person need not report the holdings of, or the source of, income from any of
the holdings of:

50 Issued January 2, 1998


2242

Major Changes to Financial Disclosure
Instructions for 1997

There are few substantive changes from last year's filing requirement. However, the
Instructions concerning the reporting of individual assets contained in brokerage accounts,
trusts, estates, and IRAs have been further clarified, especially for filers listing a position as
executor, trustee, or similar position in Part I of the report.

The Committee continues to find it difficult to close reports that attach financial
statements in lieu of completing Part VII, Investments and Trusts, of the Financial Disclosure
Report (AO Form 10). Such reports often-fail to provide the required information and lack a
consistent and uniform format necessary for Committee review. Moreover, they often provide
confidential information that is not required, such as account numbers, Social Security numbers,
and home addresses. Accordingly, each filer should ensure that the appropriate entries
concerning investments and trusts are entered in Part VII of their Financial Disclosure Report

(AO Form 10).
Specific changes and their page numbers are listed below:

1. Part IV, Reimbursements of Transportation, Lodging, Food, and Entertainment, page
25, has been clarified, so that this part deals exclusively with reimbursements of travel
related expenses reporting person, spouse, and dependent children. There are no
substantive changes with respect to the items to be reported or how they will be reported.

2. Part V, Gifts, page 29, has been clarified, so that this part deals exclusively with gifts
received by the reporting person, spouse, and dependent children. There are no
substantive changes with respect to the items to be reported or how they will be reported.

3. The reporting requirements for investment clubs in Part VII, page 51, have been
clarified as follows:

Report the holdings and sources of income from private investment clubs or
investment partnerships. In these arrangements, the basic rule is that the
income, value, and transactions of the holdings of any investment club or similar
arrangement in which you, your spouse, or dependent child have a beneficial °
interest must be reported if the investment club or partnership had ownership of
any asset having a value of $1,000 at the end of the reporting period, regardless
of the value of your, your spouse, or dependent child's individual share. Your
listing of assets requires the completion of Columns A, B, and C for each asset
owned by the investment club having a value in excess of $1,000 and the
completion of Column D for any club transaction in excess of $1,000.


2414

Frequently, difficulty arises for the reviewing official and staff examiner concerning what
constitutes outside earned income (which is attributed solely to the filer and not to the spouse).
The following lists common examples of compensated activities which are subject to the calendar
year income limitation, less the ordinary and necessary expenses paid or incurred in producing
the income:

(1) teaching,
(2) serving as trustee of a family trust or executor of a family estate, and
Q) writing

In addition, the following common examples do not constitute outside earned income and
have no limitations imposed on the filer:

(1) pensions, annuities, and deferred compensation for services rendered prior to
becoming a judicial officer or senior employee,

(2) __ investment funds,

(3) funds received from a family owned business,

(4) publication royalties, fees, and their functional equivalent, and

(5) compensation received by a senior judge for teaching.

Advisory Opinion Number 86, "Honoraria, Teaching, and Outside Earned Income
Limitation," provides detailed interpretation on these issues and may serve as a helpful
guideline. In addition, the following are summaries contained in Compendium, Sections
31-35 (1999), concerning recent advice given by the Committee on Codes of Conduct in
response to confidential inquiries:

Qutside Earned Income ion

(1) Where service as a family fiduciary involves work performed over several years but
‘fee is paid in a single year, it is consistent with the statute and regulations for the judge,
in applying the 15% cap, to allocate the amount of the fee over the several years.
(Compendium § 33.I(a) (1999),)

(2) Flat fee of $250 received by judge from a publisher for writing a chapter ina
publisher's treatise is not excludable from the definition of outside earned income. The
payment is a fixed and unconditional cash payment for a manuscript that is wholly
unrelated to the salef or distribution of the publication. Thus, the fee is subject to the
15% cap. (Compendium § 33.2-5(a) (1999).)

(3) Where judge serves as editor-in-chief of a law journal and receives a royalty of 15%

of the net cash receipts from the sale of the publication, the amount is considered a
royalty and thus not subject to the 15% cap. (Compendium § 33.2-5(b) (1999).)

22 Issued January 2, 2000


2438

Commentary

Ifan asset is entirely sold during the reporting period, then Column C should be left
blank. However, ifan asset is partially sold (such as a portion of the total shares of stock
owned), then Column C should be completed.

In addition, it should be emphasized that in Column C(2), there are four value method
codes which require additional information in either Column A or Part VIII. Filers tend to
forget that each report must stand on its own and as a result often fail to provide the following
‘on their report each year:

@
(2)
(6)
(7

"Q"-Appraisal- the date of the appraisal.
"R"-Cost- the date of purchase and the dollar amount of the purchase price.
"S"-Assessment- the dollar amount of the assessed value.

"V"-Other- the filer must describe the method used in Column A (Description) or
Part VIII.

5. Transactions

Information on transactions should be entered in Column D. Transactions to be reported
involve any purchase, sale or exchange during the reporting period which exceeds $1,000.
Section 102(a)(5).

As to each acquisition or disposition, you should disclose:

a)
b)
°)
ad

°)

the type of transaction, e.g., buy, sell, merger, inherit, redeem, ete.;
the date of the transaction;
the value category code indicating the value of the consideration paid or received;

the capital gain, if exceeding $200, realized on a disposition, using the appropriate
income category code (codes A-H);

the identity of the buyer or seller unless the transaction was- conducted through
public trading, as on a stock or commodities exchange;

the liquidation of a bank account or money market fund that may have been
reported on a prior report.

46 Issued January 2, 2000


2403

Note: A judge may serve as a part-time special lecturer in law or as a faculty member at
a law school. It is necessary for the judge to obtain advance approval from the chief judge of the
circuit, or in the case of the chief judge from the judicial council, before engaging in teaching
activity. The normal restrictions on extra judicial compensation apply; the compensation must
be reasonable in amount, no greater than a similarly situated non-judge would receive for the
same service; the 15% cap on outside earned income is applicable; and the payments must be
included in Part III of the report. The teaching duties should not in any way interfere with the
performance of judicial duties.

Ifa judge fails to obtain prior approval of teaching, the approving chief judge has
authority to approve teaching for compensation nunc pro tune if satisfied that the failure was
occasioned by excusable neglect, the application would have been approved if timely filed, and
other criteria for approval are satisfied. If circumstances do not justify nunc pro tunc approval,
the judge's only recourse is to refund the compensation. (Compenditum § 35.7 (1999),)

Ina partnership engaged in real estate investment, a judge may have a passive
investment as a general partner. Canon 5C(2) prohibits active business participation.

Note: In the case of partnerships, the report should clearly reflect the purpose and the
assets of the business, including the percentage owned by the filer. If the partnership owns or
trades in securities, individual stocks and transactions should be reported in Part VII.

It is permissible for a judge to be an uncompensated officer or director of a business
wholly owned by members of the judge's family. (Compendium § 5.2-3(c)(1999).)

‘A judge may serve as.a member of the board of directors of a nonprofit social club, or a
nonprofit club whose object is to promote an interest in and to enlighten its membership on
important governmental, economic and social issues, provided that (a) the club does not engage
in partisan politics and (b) the judge does not take positions on issues which would embarrass
the judge in the exercise of judicial duties. (Advisory Opinion No. 15.)

A judge may serve on the board of trustees of a university foundation (no fund-raising
involved). (Compendium § 5.3-3(0)(1999).)

Senior judges designated in 5 U.S.C. app. 4, § 502(8), (justices and senior judges) are
excluded from the 15% cap on compensation received from approved teaching. Even if the
Ethics Reform Act is satisfied, provisions of the Code of Conduct for United States Judges must

also be satisfied.

M {Issued January 2, 2000


2312

. er Daraitonae
FINANCIAL DISCLOSURE REPORT Porteous (Jr-), Gabriel T. 5113/99
IV, REIMBURSEMENTS = wenpornion ltteers
(ches hse oes ond cle we de 9" end "0" ite
rece by sponse and depends cM, Sepp bie
DESCRIPTION
NONE (e seh reporable itr)
Jefferson Bar Association 4/17/98 Speaker CLE Seminar, Biloxt, Hissiseipps (Hotel)
2 aad
Jouletana State Bar Association  6/11~6/13/98 Speaker CLE Seminar, Destin, Fla. Mileage)
2 “State Fourth & Fifth Circuit (Gravel & Hotel)
Judges" Association 10/8-10/12/98 Speaker CLE Seminar, Seattle, Washington
‘ ‘Food, Hileoge

LSU Trial Advocacy Training Progran 8/10-6/12/98 Faculty Member, Baton Rouge, La. "and Hotel)

“V.. GIFTS. (hes hove 10 spouse ond dpe in: we the porenstis "99" and (00)" to coe gts rceved
by spon and dependent eter repens. Sepp. 232 of increctina)

‘SOURCE VALUE
[4] NONE (io so repre te)
s
> s
> s
‘ s
VI. LIABILITTES. (trctuces hase of spouse ond dependent children: Indicate, where applicable, perzon responsible for
att ye te parent 9 for pare My of se, fr Jot iy of reprtng
(OB cc oc and "fori ofa pendent Seep 39-35 fron) :
‘CREDITOR WALUE_CODE*
J] NONE (0 poral bis)
10M. credit Cord 3

2
Citibank Credit Card 3



2267

Frequently, difficulty arises for the reviewing official and staff auditor concerning what
constitutes outside earned income (which is attributed solely to the filer and not to the spouse).
The following lists common examples of compensated activities which are subject to the calendar
year income limitation, less the ordinary and necessary expenses paid or incurred in producing
the income:

(1) teaching,
(2) serving as trustee of a family trust or executor of a family estate, and
@) writing.

In addition, the following common examples do not constitute outside earned income and
have no limitations imposed on the filer:

(1) pensions, annuities, and deferred compensation for services rendered prior to
becoming a judicial officer or senior employee,

2) investment funds,

(3) funds received from a family owned business,

(4) ‘publication royalties, fees, and their functional equivalent, and

(3) compensation received by a senior judge for teaching.

Advisory Opinion Number 86, "Honoraria, Teaching, and Outside Earned Income
Limitation,” provides detailed interpretation on these issues and may serve as a helpful
guideline. In addition, the following are summaries contained in Compendium, Sections
31-35 (1997), concerning recent advice given by the Committee on Codes of Conduct in
response to confidential inquiries:

Quiside Earned Income Limitation

(1) Where service as a family fiduciary involves work performed over several years but
fee is paid in a single year, it is consistent with the statute and regulations for the judge,
in applying the 15% cap, to allocate the amount of the fee over the several years,
(Compendium § 33.1(a) (1997),)

@) Flat fee of $250 received by judge from a publisher for writing a chapter ina
Publisher's treatise is not excludable from the definition of outside earned income. The
payment is a fixed and unconditional cash payment for a manuscript that is wholly
unrelated to the sales or distribution of the publication. Thus, the fee is subject to the
15% cap. (Compendium § 33.2-5(a) (1997).)

G) Where judge serves as editor-in-chief of a law journal and receives a royalty of 15%

of the net cash receipts from the sale of the publication, the amount is considered a
royalty and thus not subject to the 15% cap. (Compendium § 33.2-5(6) (1997).)

2 “Issued January 2, 1998


2310

unlawful purpose

Reconciliation with prior reports
Reimbursements

bar association

definition

food, lodging, or entertainment
personal hospitality

travel expenses

Reviewing judge

certification

Senior covered employee
Senior judge

Teaching
approval
ordinary and necessary expenses
senior judge

‘Transactions

Trusts

capital gains

buy

deposits or withdrawals from bank accounts
exchange of properties

inherit

liquidation of a bank account

merger

partial

personal residence

beneficial interest
blind trust
contingent interest
dependent child
exemptions
spouse

‘Value Method

Q Appraisal
R—-Cost

S --Assessment
T --Cash/Market
U--Book

V --Other

W ~Estimated

Where to file

65

U.S. COMEUOGENT PRINTING OFFICT: 1998-616-532/90462

57

25
27
25
25
26
25

19
2,21
20,21
24
2
21
47
48
47
48
48
47
47
47
48
48
39,50
50
51
SI
51
51
39, 51
45
45
45
45
45
45
45
45

Issued January 2, 1998


FINANCIAL DISCLOSURE REPORT

2386

Tews a Rpg
Porteous (Jr-), Gabriel T.

‘pave
5/5/00

Diu. Page 1 INVESTMENTS aud TRUSTS — income, valve, transactions Quatre f

‘pou and depen clren. Sepp 35-55 of stractons)

a 3
otha
ae)

| NONE Glomus cane, se

Fidelity Investments

‘Tevee~1ra| pv [pistes] 3 |_| None
[Noble Drilling Corp.
ym_Stock None | 3 | 7 | None
|, Oberweis FDS
Boerging Growth Mitual Rind None | 3 | 7 | wone

Is



2303
APPENDIX I

INITIAL REPORTS
‘WHO MUST FILE AND WHEN

Persons nominated to be JUDICIAL OFFICERS must file an initial Report within 5 days
of the transmittal of their nomination by the President to the Senate. Section 101(b)(1).

Newly-appointed JUDICIAL EMPLOYEES must file an initial Report within 30 days of
assuming their positions, Section 101(a), if they assume their position before November 1.
Newly-appointed JUDICIAL EMPLOYEES who assume their positions between November 1
and December 31 must file an initial Report by March 15 of the subsequent year.

Judicial employees who receive a promotion or change in the rate of pay which results in
pay equal to or greater than 120 percent of the minimum rate of basic pay payable for GS-15 of
the General Schedule before November 1, must file an initial Report within 30 days of the
‘promotion or pay change. If the promotion or pay adjustment occurs between November | and
December 31, judicial employees must file an initial Report by March 15 of the subsequent year.

A JUDICIAL EMPLOYEE who is not expected to perform the duties of the office or
position for more than sixty (60) days in a calendar year is not required to file an annual Report.
However, if the person actually performs duties for more than sixty (60) days, an initial Report
must be filed within fifteen (15) days of the sixtieth day, Section 101(h).

INSTRUCTIONS FOR COMPLETING EACH PART
Below aré specific instructions that differ from those provided for annual Reports.
Identifying Information
BLOCK 3. Date of Report. For a JUDICIAL EMPLOYEE, a date that is no more than
30 days aftér your entry in the position if you entered before November 1. If you entered
between November 1 and December 31, the “Date of Report" should be no later than March 15.

For a person nominated to be a JUDICIAL OFFICER, the date should be no more than 5 days
after submission of your nomination to the Senate.

BLOCK 5. Report Type. Check the appropriate report form and in the case of a
nomination Report show the date your nomination was transmitted to the Senate.

BLOCK 6. Reporting Period, The beginning date (January 1 of the year preceding the

year you assumed your office or were nominated) and the ending date (a date you choose that
precedes the "Date of Report” by no more than 30 days).

58 Issued January 2, 1998


2260

Did you list the date, parties, and terms of the agreement?

Is the agreement permissible?
Commentary

re r other than the Unit

It is permissible for judges to receive appropriate payment for their interests ina law
‘firm and compensation for legal services they rendered before becoming judges.

(Compendium § 2.7(a)(1997).)

A termination of partnership agreement provides for payment of an agreed amount
representing the retiring partner's interest and some of these payments can be paid in years
{following the partner's appointment as a United States judge. (Advisory Opinion No. 24.)

The Committee on Codes of Conduct is of the opinion that when a partner leaves a law
firm to become a federal judge, he should, if possible, agree with his partners on an exact
amount which he will receive for his interest in the firm, whether that sum is to be paid within
the year or over a period of years. (Id)

Such payments may continue to be made to the judge, provided it is clear (1) that he is
not sharing in profits of the firm earned after his departure, as distinguished from his sharing in
amount representing the fair value of his interest in the firm, including the fair value of his
interest in fees to be collected in the future for work done before he left the firm, and (2) the
judge does not participate in any case in which his former firm or any partner or associate
thereof is active as counsel until the full amount which he may be entitled to receive under the
agreement has been paid to him. (Id.)

In addition, it is permissible for the departing judge to share in contingent fees received
at the end of litigation, provided a fixed percentage or fixed ceiling is agreed upon, and
reasonably reflects the value of services previously rendered by the departing judge. While it is
permissible for a judge to share in future contingent fees, the judge should first attempt to reach
‘agreement with his former partners on a fixed sum. (Compendium § 2.7(b) and (b-1)(1997).)

A judge should recuse in all cases involving members of the former law firm where the
‘judge has left a retirement account in the former law firm's profit sharing trust. If there are
‘frequent recusals, the judge should withdraw the account if feasible.
(Compendium § 5.2-4(a) and (a-1)(1997).)

5 Issued January 2, 1998


2277

Honorary/Reduced-Rate Memberships

(a) Itis permissible for a judge to accept a free membership in a country club, including
@ waiver or reduction in the initiation fee, or to accept a free or reduced membership in a YMCA
if it is customary in that community, similar privileges are extended to other publi¢ officials, the
interests of the organizations have not and are not likely to come before the judge, and the judge
is satisfied that the membership is not being used by the organization to promote its endeavors.
(See Advisory Opinion No. 47.)

(b) It is permissible for a judge to accept a free membership in the “American Board of
Trial Advocates," the organization being devoted to the improvement of the law.
(Compendium § 5.4-1(8) (1997).)

(6) Itis permissible to accept free membership in a local bar association.
(Compendium § 5.4-1(c) (1997),)

32 Issued Fanuary 2, 1998


2397

Amendments must be submittéd over the signature of the filer. Amendments submitted on
the filer’s behalf by accountants, lawyers, or others are not acceptable.

Waivers

‘The Committee may grant a request for a waiver of any reporting requirement for one who

is expected to perform the duties of the office or position less than one hundred and thirty (130)
days in a calendar year, but only if the Committee determines that:

(1) the person is not a full-time employee of the federal government;

(2) the person is able to provide services specially needed by the federal
government;

(3) itis unlikely that the person's outside employment or financial interests will
create a conflict of interest; and

(4) public financial disclosure by the person is not necessary under the
circumstances.

Any request for such a waiver must be directed in writing to the Committee with a detailed
explanation of the facts upon which the Committee can make the determinations required under
the Act. All such requests are available to the public. Section 101(i).

GENERAL INSTRUCTIONS

The report should be legible. Its format has been designed to be completed on most
typewriters. The name of the person and date of the report should appear on each page.
Financial Disclosure Report software is available upon request from the Committee.

Parts I through VII of the report must be completed. If you have no reportable items in any
of these parts, do not simply leave it blank or mark it as "N/A," but instead mark the "None" box
as an affirmative declaration of the fact.

Disclosure Concerning Family Member
A reporting person is required to disclose financial information concerning a spouse and

dependent children, and the form is designed for inclusion of this information. Section
102(e(1). The requirement to disclose trust information for a spouse and dependent children

5 Issued January 2, 2000


2297

VI. Page 1 INVESTMENTS and TRUSTS — income, value, transactions (Includes those
of spouse and dependent children. See pp. 36-54 of Instructiors,)

[JNONE gio separate ingome,

Sestortmsectons} i” a
t ‘George Washington Trust

IBM Stock A |pividend) KT

‘Merrift Lynch 20° Century Mutual Fund | B |Dividend | L |

NY City Transportation Bonds None | Lo} T | Buy fiat)
IF Merrill Lynch Brokerage Account IRA.

()
Is

Mevitiyac eatin nt | A. [owns sa [wl x | a
E -

Merrill Lynch Growth Mutual Fund B [Divides] K | T | Buy [us| K

Capitol Holding Stock

Notes to filer:

Did you complete the appropriate columns for each asset required to be individually
listed in a trust, estate, investment club, or other similar financial arrangement?

52 Issued January 2, 198


2263

= information with respect to a spouse living separate and apart with the intention of
terminating the marriage or providing for permanent separation or with respect to
any income or obligations arising from the dissolution or permanent separation.
Section 102(¢}(2).

- any political campaign funds, including campaign receipts. Section 102(g).

- income derived from any retirement system under title 5, United States Code
(including the Thrift Savings Plan under Subchapter III of Chapter 84 of such
title) or any other retirement system maintained by the United States for officers
or employees of the United States. Section 102(i)(1).

- benefits received from Social Security. Section 102(i}(2).
- . death benefits under insurance policies, gifts, inheritances, tort recoveries and

other compensation for injuries and sickness, disability compensation, and
veteran's benefits,

Il. NON-INVESTMENT INCOME. (Reporting individual and spouse: see pp. 17-24 of
Instructions)
DATE SOURCE AND TYPE GROSS INCOME

(Yours, not spouse's)

oO NONE (No reportable non-investment income)

997 Evans County School District (S) $
July 1997 Idaho Law School, Seminar (3 weeks) $ 3,500
P $
Notes to filer:

Do you have any reportable non-investment income over $200.00?
Does your spouse have any reportable non-investment income over $1000.00?
If no reportable income, is the NONE box checked?

Is the date, source, type, and amount for your reportable income reported? If spouse's
income, is the parenthetical "(S)" placed in the column under Source and Type?

Is the income subject to the 15% limitation ($20,040) for 1997?

18 Assued Jano 2, 1958


2384

Te | ruNANCIAL DISCLOSURE REPORT ep ere i es
ss FOR CALENDAR YEAR 1999 BUSC tpn «Hst0r-I1)
||P ers prt asm fo ia) 7 Conor Organon Sane oRepo

United States District Court

Porteous (Jr.), Gabriel 7 Eastern District of Louisiana 5/5100

[The Gace ies ae ce or tar nan | —Repordype Goa appropiate tre) | © Repartog Peles
nator edges ind Mk ber —Poninnion, Date

jUnited States District.Court Judge Tims 2 pwar ra | 2/99 ~ 32/31/99
Fo OF AaB 1 Genre oi

United States District Court, EDLA| sie aa

J. POSITIONS. (reporting utsitual ose pp. #13 of harstons)
BOSITION

[a] nove oon

AGREEMENTS. (teporng mdvitua ny: se pe 1416 of marnctons)
DATE .

[i] roe oo reetenreci
y

2

3

IIE. NON-INVESTMENT INCOME, tapering eran et pone se pp. 17-4 of hsrnctions)
DATE ‘SOURCE AND TYPE ‘GROSS_INCOME
‘O00

[s] NONE (ergot seo iment can)

Sco0235
HP Exhibit 105(a)


2330

Note: A judge may serve as a part-time special lecturer in law or as a faculty member at
a law school. It is necessary for the judge to obtain advance approval from the chief judge of the
circuit, or in the case of the chief judge from the judicial council, before engaging in teaching
activity, The normal restrictions on extra judicial compensation apply; the compensation must
be reasonable in amount, no greater than a similarly situated non-judge would receive for the
same service; the 15% cap on outside earned income is applicable; and the payments must be
included in Part Ill of the Report. The teaching duties should not in any way interfere with the
performance of judicial duties.

Ifa judge fails to obtain prior approval of teaching, the approving chief judge has
authority to approve teaching for compensation munc pro tunc if satisfied that the failure was
occasioned by excusable neglect, the application would have been approved if timely filed, and
other criteria for approval are satisfied. If circumstances do not justify nunc pro tune approval,
the judge's only recourse is to refund the compensation. (Compendium § 35.7 (1997).)

Ina partnership engaged in real estate investment, a judge may have a passive
investment as a general partner. Canon 5C(2) prohibits active business participation.

Note: In the case of partnerships, the Report should clearly reflect the purpose and the
assets of the business, including the percentage owned by the filer. Ifthe partnership owns or
trades in securities, individual stocks and transactions should be reported in Part VIL

It is permissible for a judge.to be an uncompensated officer or director of a business
wholly owned by members of the judge's family. (Compendium § 5.2-3(c)(1997).)

Under Canon 5C(1) a judge may manage investments, etc, but the fudge should not
te any business, including a farm or ranch. This would not preclude
the judge's participation in dectsions-uith respect to the purchase, sale and use of land, the
‘purchase of equipment and supplies, or the sale 0 livestock from a farm or
ranch which the judge owns but is operated by a farm manager or hired Fa

Opinion No. 30)

A judge may serve as a member of the board of directors of @ nonprofit social club, or a
nonprofit club whose object is to promote an interest in and to enlighten its membership on
important governmental, economic and social issues, provided that (a) the club does not engage
in partisan politics and (6) the judge does not take positions on issues which would embarrass
the judge in the exercise of judicial duties. (Advisory Opinion No. 15.)

A judge may serve on the board of trustees of a university foundation (no fund-raising
involved). (Compendium § 5.3-3(6)(1997).)

iL Issued January 2, 199,


2412

justices and judges of the United States who retired from regular active service under Section
372(a) of title 28, United States Code, who receive compensation for teaching, are prohibited
from:

- Receiving more than 15% of the pay rate for Executive Level II in earned income
from outside employment if the officer or employee occupies a position classified
above GS-15 of the General Schedule or, in the case of positions not under the
General Schedule, for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General
Schedule and is not a career civil servant (See 5 U.S.C. § 5313 for the pay rate for
Executive Level II). 5 U.S.C. app. 4 § 501(a)(1). Those covered by the
provisions of this Act for only a portion of a year, must pro-rate the 15% on the
basis of the number of days the person will actually work in that calendar year.

5 U.S.C. app. 4, § 501(a)(2).

- Being affiliated with or being employed by a firm, partnership, association,
corporation, or other entity to provide professional services which involve a
fiduciary relationship for compensation, serving for compensation as an officer or
member of the board of any association, corporation, or other entity. 5 U.S.C.
app. 4, § 502.

- Receiving compensation for teaching without prior notification and approval from
the appropriate official, ifthe officer or employee occupies a position classified
above GS-15 of the General Schedule or, in the case of positions not under the
General Schedule, for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General
Schedule and is not a career civil servant. See Section 5 of Appendix III for the
procedures for requesting approval. 5 U.S.C. app. 4, § 502.

NOTE: Covered senior employees are defined by Judicial Conference approved
regulations as all judicial officers (except for part-time magistrate judges), commissioners and
staff of the Sentencing Commission, the Director and Deputy Director of the Administrative
Office of the United States Courts, and senior employees of the Administrative Office of the
United States Courts serving at the pleasure of the Director (Schedule C status).

Judi icers and mploy

In accordance with the Ethics Reform Act of 1989, and the Judicial Conference
regulations implementing this Act, all judicial officers and all employees judici
are prohibited from accepting honoraria for any "appearance, speech, or article." Actual and
necessary travel expenses incurred by the person and one relative are not deemed to constitute
honoraria. 5 U.S.C. app. 4, § 501(b).

20 Issued January 2, 2000


2284

-  Foreach real estate interest, indicate the general geographic location, such as city
of county and state. If more than one parce! of real estate is owned in the same
geographic area, you may identify each parcel by number, i, Parcel 1, 2, 3, etc.,
rather than identifying each parcel by street address, lot, or block number.

- For an interest in a trust, indicate the nature of the interest (¢.g., "income
beneficiary"), the name (if any) of the trust, and the name and location of the
‘trustee.

- For an interest in a mutual fund or pooled or common trust fund administered by
an independent financial or brokerage institution, furnish the name of the fund.

At times, teporting persons inadvertently omit the listing of assets, and correct the
previous year’s errors in the following year’s Report. Also, assets which were reported in one
year may fail a qualifying requirement (such as a value of $1,000) in the following year and thus
are not reported. When this occurs, put an explanatory item in Part Vil or in Part VIII, with a
reference in Part VII to avoid a letter of inquiry.

In addition, identify with a parenthetical "(X)" assets which have been previously exempt
from disclosure and now are reportable. This should preclude a letter of inquiry from the
Committee.

In the Description section of Part VII (Column A), indicate, where applicable, the owner
of the listed asset with the parenthetical "(J)" for joint-ownership by the reporting person and
spouse, "(S)" for separate ownership by spouse, or "(DC)" for ownership by dependent child.

The reporting of a position in Part I as trustee, executor, administrator, custodian, or any
similar position requires a listing in Part VII of the assets involved if either you, your spouse, or
any of your dependent children (1) has a beneficial interest in the estate or fund with which you
are associated, or (2) controls the purchase, sale, or other disposition of the estate or fund.

39 Issued January 2, 1998


2325

only when a beneficial interest exists is found on pages 49 and 50. The Act does not require
disclosure of the financial interests of other family members, nor is it required with respect to a
spouse who is living separate and apart with the intention of terminating the marriage or
permanently separating. Section 102(e)(2).

The Act defines a dependent child as a "son, daughter, stepson, or stepdaughter . . . who--

(A) is unmarried and under age 21 and is living in the household of the reporting person; or

(B) is a dependent of the reporting person within the meaning of section 152 of the Internal
Revenue Code of 1986." (26 U.S.C. § 152)

Section 109(2).

‘When reporting information about a spouse or dependent children, add the parenthetical
*(S)" or "(DC)" to signify the person(s) to whom it relates. The parenthetical "(J)" should be
used to signify an item jointly held or owned by you and your spouse.

Extra Pages; Attachments

If more space is needed for any Part than is provided on the form, make the additional
entries on a new page and include it as a numbered attachment. The identifying information
(name and date of Report) must appear on cach attachment page. If you make these entries on
other than a photocopy of a page from the form, make sure that the Part being continued is
indicated and that all the required information is given.

ati at

The computer program available from the Administrative Office provides an acceptable
format for reporting.

It is permissible in exceptional circumstances to provide the required information in any
Part of the Report in an alternative format but only upon a specific written determination by the
Committee that such alternative reporting is acceptable. Those wishing to use altemative formats
should seek permission to do so by writing to the Committee stating in detail the format to be
used, why the request is being made, and whether it is for the current Report only or for future
Reports, as well. All information submitted must be in a format easily reconciled with prior
Reports. Section 102(b)(2)(A).

In the absence of permission to use an alternative format, no extrinsic reports or documents
may be used as substitutes for disclosure on the AO Form 10 as provided. This limitation is
necessary to avoid additional burdens that would occur in the review process if a variety of
documents, with different formats and often with extraneous information, were permitted,

6 Issued January 2, 1999


2416

(3) A judge cannot receive compensation for service as family fiduciary where the trust
directs the operating policy of a charity because that would be the functional equivalent
of serving as an officer or member of the board of directors. However, it is acceptable
‘for the judge to serve as family fiduciary charged only with duties normally exercised by
a family fiduciary. Compensation received is subject to the 15% cap.

(Compendium § 35.4(b) (1999).)

(4) A judge's status as partner of a family partnership or shareholder of a family
corporation is not the equivalent of serving as officer or member of the board of an
entity, and thus the financial return to the judge as partner or shareholder is not
prohibited. (Compendium § 35.4(c) (1999).)

(5) Where a judge failed to obtain prior approval of teaching, Chief Judge has authority
to approve teaching for compensation nunc pro tunc if satisfied that the failure was
occasioned by excusable neglect, the application would have been approved if timely
filed, and other criteria for approval are satisfied. If circumstances do not justify nunc
pro tunc approval, the judge's only recourse is to refund the compensation.
(Compendium § 35.7(a) (1999).)

24 Issued January 2, 2000


2452
APPENDIX II

EINAL REPORTS
WHO MUST FILE AND WHEN

A JUDICIAL OFFICER who works 60 days or more in a calendar year is required to file
a final report within thirty days after resigning under 28 U.S.C. § 371(a) or otherwise ceasing to
continue in such position. A JUDICIAL OFFICER who retires under 28 U.S.C. § 371(b) is not
required at that time to file a final report, but continues to be obligated to file an annual report for
any year in which the relevant Judicial Council authorizes the employment by the judge of at
least one law clerk or secretary, unless the judge certifies that he or she did not perform the duties
of his or her office for more than sixty (60) days.

A JUDICIAL EMPLOYEE who works 60 days or more in a calendar year is required to
file a final report within thirty days of termination of employment. Section 101(e).

A JUDICIAL OFFICER OR JUDICIAL EMPLOYEE accepting another position in the
federal government subject to financial disclosure reporting is not required to file a final report
when changing position. Section 101(e).

INSTRUCTIONS FOR COMPLETING EACH PART

Below are specific instructions that differ from those provided for annual reports.

Identifying Information

BLOCK 3. Date of Report. The date the report is completed, and not more than 30 days
after termination of employment.

BLOCK 5. Report Type. Check final report.

BLOCK 6. Reporting Period. Show both the beginning and ending date of the
reporting period. The beginning date will be January 1 of the current year if an annual report has
already been filed covering the preceding calendar year; otherwise, it will be January 1 of the
preceding calendar year. The ending date is the date of termination of employment.

Parts L- VIL.
The reporting period is the calendar year preceding the date of the report through the
filing date in the current calendar year. Section 102(c). If an annual report was already filed

covering the preceding calendar year, then the reporting period is the current calendar year
through the filing date.

60 ‘Issued January 2, 2000


2442

6. Widely Held Investment Funds
A fund is a widely held investment fund if it

is publicly traded or the assets of the fund are widely diversified,
and the reporting person neither exercises control, nor has the
ability to exercise control over the financial interests held by the
fund. Section 102(£)(8).

A reporting person must report holdings in widely held investment funds. The reporting
person must report the income from the fund, the end of period value, and transactions with
regard to the fund. The reporting person is not required to report the individual assets owned by
the fund, or the transactions engaged in by the fund. Rather, the fund itself, is considered to be
the source of the income obtained therefrom, even though that income includes dividends,
interest on capital gains earned with respect to stocks, bonds, etc., held by the fund.
Accordingly, a reporting person would report a widely held fund as follows:

vu. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (includes those
of spouse and dependent children See pp 35-55 of Instructions.)

IE (0 reportabie income

rd NON

assels, oF fransactions) | |
i Te lmsena! ~ _
|
—— bo a |

‘mela Cates AS-D eriest 510085230
Esshim-sioapo0  c-si902005
“Fass “isi

N $250.01 $5930

_P5-S15, 000/001 $9,000,900 Be

50 Issued January 2, 2000


2302

(C)__ that such person is aware of the prohibitions with regard to
obtaining or using the Report.

Section 105(b\2).
It shall be unlawful for any person to obtain or use a Report--
(A) for any unlawful purpose;

(B) for any commercial purpose other than by news and
communications media for dissemination to the general public;

(©)  fordetermaining or establishing the credit rating of any person; or

(D) for use directly or indirectly, in the solicitation of money for any
political, charitable, or other purpose.

Section 105(c)(1).

‘The Attomey General may bring a civil action against any person who obtains or uses a
Report for any prohibited purpose described above. The court in which such action is brought
may assess against such person a penalty in any amount not to exceed $10,000. Such remedy
shall be in addition to any other remedy available under statutory or common law. Section

105(¢)(2).
Commentary

Financial Disclosure Reports are public documents open for copying and inspection and
will be maintained in the Financial Disclosure Office for six years, after which the reports will
be destroyed unless there is an ongoing investigation. The Committee has held that by statute
felons cannot be restricted from ready access to the Reports. Immediately upon mailing a copy
of a filer's Report to the requestor, staff sends a courtesy letter of notification to the filer
informing the filer that a proper request for a copy of filer's Report was received and that it is
being made available.

Staff has been instructed to delete home addresses, social security numbers, and account
numbers from Reports requested by the public.

The Instructions for completing Financial Disclosure Reports are made available to the
public upon request. The fee for copying Reports can be waived only after a determination by
the Committee that it is in the public interest and that the requestor is unable to pay (e.g., waiver
of the copying fee for prisoners). Substantive inquiries from the press or other members of the
public are handled by the Committee Counsel.

57 {Issued January 2, 1998


2326
Reconciliation with Prior Reports

Each Report should be complete in itself. No information may be adopted by reference to
prior Reports. If letters approving a specific transaction, position, or agreement have been
received from the Committee, or if the Committee on Codes of Conduct has approved particular
conduct or actions, a copy of the letter of approval should be attached to each Report to avoid a

letter of inquiry.
Compare the information on your current Report with that in the prior Report to assure that
each is complete and correct.

To assist the Committee during the review process, list items in cach Part of the Report in
the same order as shown in the prior Report (placing any new items at the bottom of the list or of
the appropriate subdivision of the list).

Personal Information
FINANCIAL DISCLOSURE REPORT Report Required by the Ethies
in Goverment de of 1972
FOR CALENDAR YEAR 1998 USC. App. 4, ny
1 Person Reporting Lastname, first mide intial] 2. Court or Organization 3. Date ofReport |
‘Smith, John B. ‘US. District Court, North Dakota April 16, 1999

4. Tile (Article Il Judges indicate active or senior | $. Report type (check appropriate type) | 6. Reporting Period
atus; Magtorae Judges indleate fll- or part-time) Nomination, Due
fomination,

ate A Jam 41, 1998 ~
USS. District Todge - Senior Status Initial 2X Annual __Fi December 31, 1998
7. Chamber or Office Address §. On the baci of the information contained Tn this Report aad
US. Courthouse itompance milf applicable taws ted elutes
44 West 32TM Street
Fargo, North Dakota 58107 Reviewing Officer Date

Notes to filer:

Are blocks 1 through 7 filled in?
Does block 4 show your status?

Does block 5 indicate the type of report?

7 Issued January 2, 1999,


2361

\VIl. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-53 of Instructions.)

[TINONE oy paratieincme,
assets, or transactions)
eer vane

7 Rent lexanc
CE a

F
‘869 —
caiectnamvamincicn | 8 riod

F
Pty etmtimet ae) |
"rsp

Notes to filer:

Do you disclose in Column B the amount and type of income?
Ifyou indicate "NONE" in Column B(2), did you leave Column B(!) blank?
Commentary
Column B(1), the income amount code, and Column B(2), the type of income, should both
be completed if you have income. If no income was received, Column B(1) should be left blank

and the word "None" should appear in Column B(2). When some income is received, then the
appropriate income amount code and type should be provided.

42 Issued Jamuary 2, 1999


2435

The statute lists only four types of income- dividends, rent, interest, or income from
discharge of indebtedness. If the filer lists another type, then it should be explained in Part VII
or Part VIII.

Some filers question whether to report income from IRAs (Individual Retirement Account)
or other retirement or pension plans where they are not actually drawing income from the
account, All income should be reported, whether taxable, tax deferred, or tax exempt.

Filers will take special care when disclosing an IRA. They are merely arrangements for
holding other investments on a tax-deferred basis. The focus should be placed on the underlying
investments which should be disclosed. Many IRAs are invested in cash or cash-equivalent
accounts, such as a money market fund or other deposit account in a bank. No further
information about these accounts is required to be disclosed. However, if any other type of
entity, such as a broker holds IRA assets for a filer, the filer must disclose the underlying
holdings in the account. IRAs may contain almost any investment, such as mutual funds, stocks,
or bonds.

Other tax-deferred retirement or pension accounts (such as Simplified Employee
Pensions-SEPs, Keogh Plans-HR-10, 401(K), and 4036 Plans) are similar to IRAs and are self-
directed where the filer has control over the funds. Therefore, the underlying investments should
also be disclosed.

4. Value

In Column C, the gross value of the asset at the end of the reporting period is reported.
Section 102(a)(3). The statutory value ranges and a value code for each range are listed on the
bottom of the form. These same values are used for the value of reported assets in Column C and
for the value of assets reported in the transaction part of Part VII, Column D. They are as
follows:

J - $15,000 or less

K - $15,001 to $50,000

L - $50,001 to $100,000

M - $100,001 to $250,000

N - $250,001 to $500,000

ce) - $500,001 to $1,000,000

Pl - $1,000,001 to $ 5,000,000
P20 - $5,000,001 to $25,000,000
P30 Ce $25,000,001 to $50,000,000
P4 - More than $50,000,000

Section 102(4)(1).

4B ‘ssued January 2, 2000


2364

IVIL. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-53 of Instructions.)

CJNONE gesrormessns

Les Common Sue) woe | x |
? Reel $f Aleandia, VA pinm | muir
i" ‘NationsBank (IRA) (CDs) A [Interest z T
* ‘Cabin Creck National Bank Stock (X) B [Dividend} 5 u
F Fidelity Mageltan Mutual Fund (DC) B Dividend} K T

YS Dv Cop. on

Notes to Filer:

Do you list in Column C(1) the gross value code (J-P) at the end of the reporting period?

Do you list in Column C(2) the correct value method code (Q-W) reflecting how the value
of the asset was determined?

Ifyou used value method codes "Q", "R", "S", or "V," did you include the appropriate
information in Column A or Part VIII?

45 Issued January 2, 1999


2271

- reimbursements provided by the United States, the District of Columbia, or a state
or local goverament or political subdivision thereof; required to be reported under
5 US.C. § 7342; or required to be reported under 2 U.S.C. § 434.
Section 109(15).

Relative means one who is related to the reporting person, as father, mother, son,
daughter, brother, sister, uncle, aunt, great uncle, great aunt, first cousin, nephew, niece, husband,
wife, grandfather, grandmother, grandson, granddaughter, father-in-law, mother-in-law, son-in-
law, daughter-in-law, brother-in-law, sister-in-law, stepfather, stepmother, stepson, stepdaughter,
stepbrother, stepsister, half brother, half sister, or who is the grandfather or grandmother of the
spouse of the reporting person, and shall be deemed to include the fiance or fiancee of the
reporting person. Section 109(16).

Personal hospitality means hospitality extended for a nonbusiness purpose by one, not 2
corporation or organization, at the personal residence of that person or his family or on property
or facilities owned by that person or family. Section 10%(14).

Use the parentheticals "(S)" and "(DC)" to indicate reportable reimbursements received
by your spouse and dependent children, respectively.

Beginning on January 1, 1991, in accordance with the Ethics Reform Act of 1989, and the
Judicial Conference regulations implementing this Act, officers and employces are prohibited
from soliciting or accepting anything of value from a person seeking official action from, doing
business with, or whose interests would be substantially affected by, the performance or
nonperformance of official duties. 5 U.S.C. § 7353. This prohibition applies to all
reimbursements and gifts covered in Parts IV and V of the Financial Disclosure Report.

If you, your spouse, and your dependent children did not receive any reimbursements
reportable in Part IV, check the "None" box rather than leaving Part IV blank.

IV. REIMBURSEMENTS --transportation, lodging, food, entertainment.
(includes those to spouse and dependent children; use the parentheticals "(5)" and "(DC)" to indicate reportable
‘reimbursements received by spouse and dependent children, respectively. See pp. 25-28 of Instructions.)

SQURCE DESCRIPTION
im NONE (No such reportable reimbursements)

t June 15 - Haymarket, VA, meeting (lodging,
food,

Staley Foundation

2

3

26 Iu amar 2,198


2396

Where to File

Effective January 1, 1991, the original and three copies of the report, and of any
amendments (including amendments in response to letters of inquiry) are to be filed with:

Committee on Financial Disclosure
Administrative Office of the United States Courts
One Columbus Circle, N.E., Suite 2-301
Washington, D.C. 20544

Section 103(h)(1)(B).

The additional copies of the report may be made by photocopying the original, rather than
by retyping or using carbons.

Commentary

Reports are not considered to have been received unless they are physically received by the
staff of the Committee on Financial Disclosure and contain an original signature of the filer.
Reports will be date stamped as soon as they are received by the staff. Reports sent to the
Committee on Financial Disclosure by facsimile or other electronic means are not considered to

be received until a copy with an original signature is received.
Amendments

A report may be amended by filing an amended AO Form 10 for that year, fully explaining
items added to, or changed from, the original submission.

Alternatively, additional information may be submitted by a separate letter addressed to the
Committee. You should identify the report(s) and part(s) being corrected and provide complete
information for the item(s) being corrected. Sign the letter personally, which will constitute your
certification to the accuracy and completeness of the report(s) as amended.

Regardless of which method is used, you should file amendments in the same manner as for
the original, i.e., a signed original and three copies with the Committee.

Commentary

Self-initiated amendments will be certified in the same manner as an original report. Each
reviewer will complete Block 8 on the AO Form 10 for each amendment as amended.

4 {sued Janvary 2, 2000


2419

Notes to filer:

Do you, your spouse, or any dependent child have any reportable reimbursements or
expense paid education or other trips? If not, is the NONE box checked?

Did you identify the source of the reimbursement, and provide a brief description
including location, dates, and nature of expenses?

Can the reimbursement be accepted by you, your spouse, or dependent child?

Commentary

The following opinions issued by the Committee on Codes of Conduct provide guidance
on issues associated with this part.

Aitendance of judges and their spouses as guests at bar association dinners is proper,
and a judge may accept reimbursement for the judge's or the judge's spouse's travel and hotel
expenses to attend such a dinner sponsored by lawyer organizations even when the judge does
not speak or render other services at the function. (Advisory Opinion No. 17.)

Although mere attendance (along with others similarly situated) without paying a
registration fee would not create an appearance of impropriety, it would create an appearance
of impropriety for employees of the Administrative Office to accept from a legal publishing firm
a gift of transportation, lodging and meals in connection with a professional training program
sponsored by the firm. (Compendium § 2.9(b) (1999).)

A judge participating as a faculty member in a two-week seminar of general interest
organized on a nonprofit basis and financed by tuition and subsistence payments by nonfaculty
attendees may accept reimbursement for the judge's and the judge's spouse's travel and
subsistence expenses. (Advisory Opinion No. 3.)

A judicial employee may receive compensation and reimbursement of expenses for
outside activities provided that receipt of such compensation and reimbursement is not
prohibited or restricted by this Code, the Ethics Reform Act, and other applicable law, and
provided that the source or amount of such payments does not influence or give the appearance
of influencing the judicial employee in the performance of official duties or otherwise give the
appearance of impropriety. Expense reimbursement should be limited to the actual cost of
travel, food and lodging reasonably incurred by a judicial employee. (Code of Conduct for
Judicial Employees, Canon 4E.)

27 Issued January 2, 2000


2247

of Appeals for the Armed Forces, who

(@) is authorized to perform adjudicatory functions with respect to procSedings in the
judicial branch, e.g., bankruptcy judges and magistrate judges; or

() who occupies a position for which the rate of basic pay is equal to or greater than'120
percent of the minimum rate of basic pay payable for GS-15 of the General Schedule.

Section £09(8).

Persons whose obligation to file Reports may vary from year to year, e.g., a senior judge, or
recalled bankruptcy judge or magistrate judge who may perform more than 60 days of service in
one year but not in another, should certify their exempt status to the Committee on Financial
Disclosure by May 15th, if they are exempt from filing for the prior year. This will avoid an
inquiry from the Committee concerning failure to file. When they file their next Reports, they
should explain any apparent inconsistencies resulting from the "gap" between the two reporting

periods.

For information on who must file initial and final Reports, and when they must be filed, see
Appendices I and I, respectively.

Commentary,

The General Counsel of the Administrative Office has determined that the term “basic pay"
within the definition of a judicial employee does not include locality pay or geographic cost-of-
living allowance (COLA) received by some employees in Alaska, Guam, Hawaii, Puerto Rico,
and the Virgin Islands, Geographic COLAs are considered additional allowances for the cost of
living rather than part of the basic rate of pay. Similarly, there is no express statutory authority
permitting court employees to receive locality pay. Payment is based upon the Director of the
Administrative Office's authority to set compensation and is treated in the same manner that
locality pay is treated in the Executive Branch, which does not consider locality pay as a part of

basic pay.

In addition, the Committee has held that the “rate of basic pay" to be used to determine
whether a reemployed annuitant who is not authorized to perform adjudicatory functions must
file a Report does not include the annuity. Part-time employees without adjudicatory functions
are deemed to satisfy the filing threshold if the money earned meets the statutory minimum,
Thus, the “rate of basic pay," rather than total pay, should be used to determine the need to file a

Report.

A part-time magistrate judge whose annual salary level is less than 16.4% of the salary of a
fill-time magistrate judge will normally perform the duties of his or her office for less than sixty-

2 ‘Issued January 2, 1998


2446

(1) which was not created directly by the reporting person, his spouse, or any
dependent child; and

(2) the holdings or sources of income, of which the person, his spouse, or any
dependent child have no knowledge. Section 102(f(2).

Cc. Qualified Blind Trust (Employees Other Than Judges)

A qualified blind trust is subject to special rules. Section 102(f).

The reporting person, other than a judge, is not required to report in Column A the
individual assets of a "qualified blind trust.” Section 102(A)(1). The effect of the Code of
Conduct for United States Judges (Canon 3(c)(2)) precludes qualified blind trusts for judges,
their spouses, and dependent children. Other judicial employees may own beneficial interests in
qualified blind trusts as defined and conditioned in the pertinent statutes. Judicial employees
considering the establishment of.a qualified blind trust are directed specifically to Section
102(£(3)(D), which requires approval by the Committee on Financial Disclosure.

Commentary

The following are examples of statutory guidelines on related subjects extracted from The
Codes of Conduct For Judges and Judicial Employees. These guidelines should provide
assistance as to the propriety of disclosing certain financial interests.

(1) "Financial interest" means ownership of a legal or equitable interest, however small.
(Canon 3(C)(3)(c).)

(2) Ownership in a mutual or common investment fund that holds securities is not a
"financial interest" in such securities unless the judge participates in the management of the
fund. (Canon 3(C)3XHi).)

(3) An office in an educational, religious, charitable, fraternal, or civic organization is
not a "financial interest” in securities held by the organization. (Canon 3(C)(3)(c)(ii).)

(4) A policy holder in a mutual insurance company, a depositor in a mutual savings
association, or owner of government securities has a "financial interest," if the outcome of any
proceeding in which the filer participates could substantially affect the value of the interests.
(Canon 3(C)(3)(cNiii) and (iv).)

54 Issved January 2, 2000


2379

APPENDIX II
ADDITIONAL REFERENCES

Regulations conceming gifts, outside eamed income, honoraria, and ouitside employment
and the codes of conduct are contained in the Guide to Judiciary Policies and Procedures, Volume
Tl, Codes of Conduct for Judges and Judicial Employees.

The Committee on Codes of Conduct has established a database on Westlaw containing the
ethical materials in Volume II of the Guide. To use this database, log on to Westlaw using your
judiciary-provided Westlaw password (you cannot access this database with a password provided
by anyone other than the federal judiciary), When prompted for a file name, enter CONDUCT (this
file name does not appear on the Westlaw menu). Once entered into the database file, research may
be conducted using established Westlaw search mechanisms.

60 Issued January 2, 1999


2387

s Fiasco ham Rapa Dawa
FINANCIAL DISCLOSURE REPORT Porteous (Jr.), Gabriel T. 5/5/00

‘I. ADDITIONAL INFORMATION OR EXPLANATIONS (indicate part of Report)

‘X.:CERTIFICATION.

I cestify thet all information given above (including information pertaining to my spouse und minor or dependent children, if aay) is
curate, tr, and complet to thebestof my knowledge and belief and that any information not reported was withbeld because met
-pplicable statutory provisions permitting

1 further cert hat eared income from ouitecoployment and honoraria ad he sceptance of gis which hive bea reported ae ia
§ 501 et s09., SUS.C, § 7353 and Judicial Conference regulations.

$C00238


2393

INTRODUCTION

Three types of Financial Disclosure Reports--initial, annual, and final--are required by the
Ethics in Government Act of 1978, as amended, published in Title 5 of the United States Code

Annotated, Appendix 4, §§ 101-111.

These filing instructions govern the preparation and filing of AO Form 10, which is to be
used by judicial officers and employees for all reports due after January 1, 2000. The body of the
filing instructions covers reporting requirements for annual reports, which in some cases also
apply to initial and final reports. Where requirements for initial and final reports differ from the
annual reporting requirements, specific information can be found in Appendices I and II,
respectively, of these instructions.

The Act requires that the Committee on Financial Disclosure review each report to assure
that, on the basis of the information provided, the reporting person is in compliance with
applicable laws and regulations. Section 106(b)(1). The Committee also reviews reports to
determine potential conflicts of interest or ethical problems.

Questions concerning the reporting requirements (and suggestions for improving the AO
Form 10 or these instructions) should be addressed to: Committee on Financial Disclosure,
Administrative Office of the United States Courts, One Columbus Circle, N-E.,
Washington, D.C. 20544.

WHO MUST FILE, WHEN AND WHERE

JUDICIAL OFFICERS AND JUDICIAL EMPLOYEES are required to file an annual
report by May 15 following each calendar year in which they performed their duties for more
than sixty (60) days. Section 101(d). Filing before the due date is encouraged to ease the burden
on members of the Committee on Financial Disclosure who review the reports, as required by the
Act.

JUDICIAL OFFICERS are defined in the Act as the Chief Justice and Associate Justices of
the Supreme Court, and the judges of United States courts of appeals, United States district
courts, including the district courts in Guam, the Northern Mariana Islands, and the Virgin
Islands, Court of International Trade, Tax Court, Court of Federal Claims, Court of Veterans
Appeals, United States Court of Appeals for the Armed Forces, and any court created by an Act
of Congress, the judges of which are entitled to hold office during good behavior. Section

109(10).

A JUDICIAL EMPLOYEE is any employee, other than a JUDICIAL OFFICER of the
judicial branch of Government, of the United States Sentencing Commission, of the Tax Court,
of the Court of Federal Claims, of the Court of Veterans Appeals, or of the United States Court

1 Issued January 2, 2000


2286

Ifa gas, oil, or mineral interest is listed, do you identify the city or county and state and
the name of the energy company or other payor of rayalties, working interests, or
rentals?

Do you clearly identify stocks, bonds, mutual funds and the underlying assets of IRAs and
brokerage accounts?

If the asset was not listed on the previous report, do you include transactional
information in Column D or a parenthetical "(X)" in Column A denoting that the asset
was exempt from disclosure on the previous report?

Did you properly identify the ownership of an asset and is that asset consistent with your
prior report?

Ifyou listed a position in Part I as trustee, administrator, custodian, etc., is the estate or
trust listed and the assets therein properly identified?

Commentary

When listing stocks, bonds, and other securities, the individual name or commonly
understood abbreviation should be provided. Stocks should be indicated as “common” or
"preferred." Bonds and other securities should have enough detail in the description to
differentiate that asset from other similar assets listed, This is particularly helpful for the
reviewer and auditor when the filer reports multiple bonds or securities in the same or similar
series, or brokerage accounts that lists its accounts in the namé of the firm.

When reporting accounts with financial institutions, the type of account does not need to
be listed.

When reporting an interest ina mutual fund or common trust fund, only the name of the
fund is required. There is no requirement to list the individual assets. An interest in a trust,
estate, or similar entity requires the listing of each individual asset unless the exemptions from

disclosure of the individual assets in 6, Trusts and Similar Entities are met.

Itis important that the owner of each asset be properly identified and be consistent on
each Report. Inthe event of a discrepancy, an explanation should be provided in Part VIII to
preclude a letter of inquiry.

The reviewer and auditor will note when an asset appears on the current Report and is
not listed on the prior Report and there is no transaction information in Column D. In this
situation, the filer should place a parenthetical "(X)" in Column A denoting that the asset was
exempt from disclosure in the prior Report.

41 Iasued Jay 2, 1998


2448

that eamed income from outside employment and honoraria and the acceptance of gifts that have
been reported are in compliance with the provisions of applicable laws and regulations.

The original report that is to be filed with the Committee must bear the original signature
of the reporting person; the other three copies may be copies of the signed original. At least one
copy of an amended return or of a clarifying letter responding to a Committee inquiry must bear
the original signature of the reporting person; all other copies shall be copies of the signed
original. The signature of the reporting person may be excused only during a period of physical
or mental incapacity of that person.

Promptly upon discovery that an error has been made in a report, amend the report by one
of the methods explained on page 4.

COMPLIANCE AND SANCTIONS

Compliance with filing and reporting requirements is monitored pursuant to 5 U.S.C.
app. 4, § 106.

One who knowingly and willfully falsifies or fails to file or report any information
required under the Act is subject to civil and criminal sanctions. Section 104(a)

ETHICAL STANDARDS

The disclosure requirements and exemptions from disclosure contained in the Act neither
define nor limit the standards imposed by the Code of Conduct for United States Judges and
other rules of the Judicial Conference of the United States or the statutory provisions for
disqualification or recusal.

For example, disclosure of financial interests under the Act is required only for interests
exceeding a stated minimum amount of value and only with respect to certain members of a
person's family, whereas 28 U.S.C. § 455(b)(4) applies to financial interests without regard to
amount and 28 U.S.C. § 455(6\(5) applies to participation in litigation by a person within the
third degree of relationship to the judge. Similarly, the Act exempts from disclosure matters
relating to campaign receipts and campaign disbursements, most of which would be prohibited
under the Code of Judicial Conduct for United States Judges, which also precludes qualified
blind trusts for judges.

PUBLIC ACCESS

Financial Disclosure Reports are public documents, open to inspection and copying at the
office of the Committee on Financial Disclosure. Reports will be made available to the public in
accordance with the regulations of the Judicial Conference of the United States on Access to
Financial Disclosure Reports Filed by Judges and Judiciary Employees Under the Ethics in
Government Act of 1978, as Amended. Sections 105(a) and (b)(1).

56 Issued January 2, 2000


2246

INTRODUCTION

Three types of Financial Disclosure Reports--initial, annual, and final--are required by the
Ethics Reform Act of 1989, published in Title 5 of the United States Code Annotated, Appendix

4, Sections 101-112.

These Instructions govem the preparation and filing of AO Form 10, which is to be used by
judicial officers and employees for all Reports due after January 1, 1998. The body of the
Instructions covers reporting requirements for annual Reports, which in some cases also apply to
initial and final Reports. Where requirements for initial and final Reports differ from the annual
reporting requirements, specific information can be found in Appendices I and II, respectively, of
these Instructions.

The Act requires that the Committee on Financial Disclosure review each Report to assure
that, on the basis of the information provided, the reporting person is in compliance with
applicable laws and regulations. Section 106(b)(1). The Committee also reviews reports to
determine potential conflicts of interest or ethical problems.

‘Questions concerning the reporting requirements (and suggestions for improving the AO
Form 10 or these Instructions) should be addressed to: Committee on Financial Disclosure,
Administrative Office of the United States Courts, One Columbus Circle, N-E., Suite 2-301,
Washington, D.C. 20544.

‘WHO MUST FILE, WHEN AND WHERE

JUDICIAL OFFICERS AND JUDICIAL EMPLOYEES are required to file an annual
Report by May 15 following each calendar year in which they performed their duties for more
than sixty (60) days. Section 101(d). Filing before the due date is encouraged to ease the burden
on members of the Committee on Financial Disclosure who review the Reports, as required by
the Act.

JUDICIAL OFFICERS are defined in the Act as the Chief Justice and Associate Justices of
the Supreme Court, and the judges of United States courts of appeals, United States district
courts, including the district courts in Guam, the Norther Mariana Islands, and the Virgin
Islands, Court of Intemational Trade, Tax Court, Court of Federal Claims, Court of Veterans
Appeals, United States Court of Appeals for the Armed Forces, and any court created by an Act
of Congress, the judges of which are entitled to hold office during good behavior. Section

109(10).
A JUDICIAL EMPLOYEE is any employee, other than a JUDICIAL OFFICER of the

judicial branch of Government, of the United States Sentencing Commission, of the Tax Court,
of the Court of Federal Claims, of the Court of Veterans Appeals, or of the United States Court

i Issued Jamuary 2, 1998


2280

Notes to filer:

Do you, your spouse, or dependent child have any reportable liabilities over $10,000?

Did you list the identity of the creditor, a description of the liability, and a value code for
the amount?

Ia mortgage is listed, is there a corresponding entry for the property in Part VII?

35 Issued January 2, 1998


2360

It is important to recognize that in almost every instance where a filer is a trustee,
executor, administrator, custodian etc., the filer has the legal authority and responsibility to
exercise control over and manage the assets in a trust or estate. It is this authority based on the
filer's fiduciary responsibilities to control the purchase, sale, or other disposition of the assets
that requires the filer to list the assets in this Part.

3. Income

In Column B of Part VII, the income from listed assets must be shown. The disclosure of
the gross amount and the type of income —- dividends, rent, interest, or income from discharge of
indebtedness -- is required. Sections 102(a)(1)(B) and 109(7). All income is reportable, whether
taxable, tax deferred, or tax exempt. When no income is received (or there is a loss) Column B1
under Amount should be left blank and the word "NONE" should appear in Column B2 under
Type. When some income is received, the appropriate code, reflecting the amount, should be
used. If the type of income is not a dividend, rent, interest, or income from discharge of
indebtedness, it should be explained either in Part VII or Part VIII. The ranges are required by
statute and the coded amounts for income are listed on the reporting form as follows:

A. = $1,000 or less

B- —_ $1,001 to $2,500

C = $2,501 to $5,000

D = __ $5,001 to $15,000

E — - _ $15,001 to $50,000

F = __ $50,001 to $100,000

G — = $100,001 to $1,000,000

HI - _ $1,000,001 to $5,000,000

H2 = More than $5,000,000
Section 102(a)(1}(B)..

The same ranges and codes are used to report capital gains associated with transactions in
Column D of Part VII. However, capital gains associated with "distributions" should be treated
and reported as dividends in Column B.

The income from U.S. Savings Bonds, and similar investments should be reported if the
minimum of $200 is reached.

41 Issued January 2, 1999


Aggregate Ownership Arrangements
Aggregate Reporting
Agreements
continuation of payments
former employer
future employment
part-time magistrate judges
Alternative reporting format
Amendments
certification
Basic pay
reemployed annuitant
cost of living
locality pay
Certification and signature
Compliance and sanctions
filing fee
failure to file
Covered senior employee
Disclosure concerning family members
Ethical standards
Extensions of time to file
Filing fee
waiver
extraordinary circumstances
Filing requirements
60 day rule
annual report
initial report
final report
nomination report
Final report
reporting period
Financial interest
Gifts
bar association
definition
foreign government
honorary/reduced-rate memberships
investitures and similar ceremonies

2454

INDEX

30

62 Issued January 2, 2000


2259
LL eements
Only information pertaining to the reporting person is required in this Part.
In this Part a complete listing is required of any agreement with respect to:
(@) future employment;
(®) leave of absence during Goverment service;
(© continuation of payments by a former employer other than the United States; and

(® continuing participation in an employee welfare or benefit plan maintained by a
former employer.

Report the date, parties, and terms of the agreement. Section 102(a)(7).

For all Reports, show any such agreements currently in force.

Any additional information--c.g., an opinion from the Committee on Codes of Conduct,
or approval from a Judicial Council-that bears upon the question whether an agreement presents
a potential conflict of interest problem or problem under the Codes of Conduct for United States

Judges should be provided in Part II or on an attached page.

Ifyou did not have any reportable agreements during the reporting period, check the
"None" box, rather than leaving Part II blank.

Il. AGREEMENTS. (Reporting individual only; see pp. 14-16 of Instructions.)
DATE PARTIES AND TERMS
[[] NONE (No reportable agreements)

"1997 Jones & Smith Retirement Plan with former law firm, no control

2

3

Notes to filer:

Do you have any reportable agreements? If not, is the NONE box checked?

14 Issued January 2, 1998


2254

INSTRUCTIONS FOR COMPLETING EACH PART
L Positions
Only information pertaining to the reporting person is required in this Part.

In this Part a complete listing is required of all positions held by the reporting person as an
officer, director, executor, administrator, trustee, guardian, custodian, or similar fiduciary, partner,
proprietor, representative, employee, or consultant of any corporation, company, firm, partnership,
or other business enterprise, any nonprofit organization, any labor organization, or any educational
or other institution other than the United States. Disclose your position even if you are not
compensated and even if neither you nor a member of your family has any financial interest in the
entities herein listed. Please note that positions held are reported in this Part while assets owned or
held are reported in Part VII. You need not report any positions held in any religious, social,
fraternal, or political entity and positions solely of an honorary nature. Section 102(a)(6)(A).

In completing this Part, for annual Reports, the reporting period consists of the calendar year
preceding the date of the Report, and the time to the date of the Report. Section 102(a(6)(A). For
initial and final Reports, refer to Appendices { and Il, respectively, of these Instructions.

An interest as a limited partner in an investment partnership, if you have no managerial
responsibilities, reflects assets held or owned, but not a position held. ‘The position as such a limited
partner need not be reported in Part I, but the interest must be disclosed in Part VII.

For Article III judges, bankruptcy judges, and magistrate judges, the Codes of Conduct for
United States Judges specify additional constraints on the positions that may be held. See especially

Canon 5. Part-time magistrate judges are governed by special rules as provided in 28 U.S.C.
§ 632(b) and the Guide to Judiciary Policies and Procedures, Volume Il, Chapters I and II.

Additional information~-c.g., an opinion from the Committee on the Codes of Conduct, or
approval from a Judicial Council--that bears on the question whether a position presents a potential
conflict of interest problem or problem under the Code of Conduct for United States Judges should

be provided in Part I or Part VIII or on an attached page.

If you did not hold any reportable positions at any time during the reporting period, check
the "None" box rather than leaving Part I blank.

I. POSITIONS. (Reporting individual only; see pp. 9-13 of Instructions.)
POSITION NAME_OF_ORGANIZATION/ENTITY
[[] NONE (No reportable
"Director Fargo Boys Club
? Trustee John Smith Il Trust
3

9 sued Janay 2, 1998


2243

SECURITY ISSUES

Every filer should be aware that the Ethics Reform Act of 1989 makes your Financial
Disclosure Report a PUBLIC DOCUMENT. This means that a person seeking to harm or
harass you and your family can get a copy of your Financial Disclosure Report. There have been
instances of such misuse of information provided by filers.

The Committee makes the following recommendations so that you cari satisfy the
requirements of the Ethics Reform Act while accommodating appropriate security concerns:

(1) When filing your report, enter your CHAMBERS OR OFFICE ADDRESS in block 7.
Do NOT use your home address for any purpose in connection with your Financial
Disclosure Report.

(2) In Part VIL, do NOT provide more financial detail than is required by the Instructions.
For example, for bank accounts, provide only the name of the institution and the city and
state in which it is located. For certificates of deposit, provide only the name of the
institution that issues the certificate. For rental properties, provide only the city (or
county) and state in which the property is located. If you have more than one rental
property in a particular location, you may identify the properties as "Rental Property #1,
Cincinnati, Ohio,” "Rental Property #2, Cincinnati, Ohio," and so on.

3) It is not necessary to report your personal residence or residences in Part VII (unless a
portion of your residence is rented to a third party). Similarly, do not report any
mortgage, equity loan, or line of credit secured by a personal residence, vehicle, boat, or
motor home in Part VI.

(4) In addition, some filers wish to provide their federal income tax return.
Paradoxically, this method provides too much information,’and at the same time not
enough information. The tax retum shows interest and dividends in Schedule B and sales
of assets in Schedule D in specific detail, but it does not provide the protection of the
income and value codes and does not include lists of your current holdings. Therefore, a
tax retum does not meet the requirements of the Ethics Reform Act.

If your Financial Disclosure Report is requested, you will be notified by mail when it is

released. If you have any concems or questions about the release of your report, please call the
Financial Disclosure Office at (202) 273-4626 or discuss the matter with your Marshal.

Issued January 2, 1998


2372

(3) An office in an educational, religious, charitable, fraternal, or'civic organization is
not a "financial interest” in securities held by the organization. (Canon 3(C)(3)(c)(ii),)

(4) A policy holder in a mutual insurance company, a depositor in a mutual savings
association, or owner of government securities has a “financial interest," if the outcome of any
proceeding in which the filer participates could substantially affect the value of the interests.
(Canon 3(C)(3)(c) (iti) and (tv).)

__@) A judge does not have a financial interest in a corporation whose securities are held
by eitheF Gn educational institution or a private trust G is tee or in which
the judge has no beneficial interest and no control over directing investments. (Canon ,

Advisory Opinion 16.)

(O An interest in a limited partnership designed to engage in particular investment
strategies can fall within the concept of a "common investment fund" when the judge has no
control or influence over the general partner or over the investment decisions. The investment
vehicle is similar to a mutual fund. (Compendium § 3.1-3(¢) (1997).)

(2) Ajudge has a "financial interest" in each of the named underlying equity securities
when the judge's IRA owns units of an investment vehicle which holds 15 named corporations,
the portfolio is not actively managed , and it is not contemplated the securities will be sold or
exchanged prior to termination of the investment vehicle in ten years. Investment vehicle does
not qualify as “mutual fund or common investment fund" under Canon 3C. (Compendium § 3.1-

3 (1997))

(8) 4 law firm's KEOGH plan or 401k plan managed by the firm, small mumber of
participants, ready access to investment information does not qualify for the “common fund"
exception under Canon 3C. (Compendium § 3.1-3(¢) (1997),)

(9) A law firm's retirement fund qualifies for the "common investment fund" exception
under Canon 3C where the financial interest is indirect (due to the number of participants and
the size and diversity of investments), directed investment by participants is not available, and
the participants do not know and cannot easily find out about a fund's portfolio, which turns over
frequently. (Compendium § 3.1-3(c-1) (1997),)

53 Jswued Sanary 2, 199


2350

Miscellaneous Gift Rulings

(a) It is permissible to accept books from West Publishing Company for official use.
(Compendium § 5.4-Z(a) (1997),)

(b) It is permissible for a judge's children to accept scholarships awarded on the same
terms and based on the same criteria applied to other applicants. (Compendium § 5.4-Z(b)
(1997))

(c) Gifts from a friend not prohibited where friend not likely to ever appear in judge's
court. (Compendium § 5.4-Z(c) (1997),)

(d) It is permissible for a judge to attend, and accept hospitality at bar association events
and meetings of other organizations devoted to improvement of the law, legal system, or the
administration of justice. With respect to attendance at cocktail parties hosted by law firms in
connection with bar meetings, judicial conferences, and the like, there is no impropriety in a
judge accepting such invitations in the absence of reason to believe that such attendance will
reasonably reflect unfavorably on the judge's impartiality or is likely to be exploited by the law
firm. (Advisory Opinion No. 17.)

(¢) It is permissible for judges to attend bar association events such as receptions where
a legal publishing firm has donated the hors d'oeuvres and beverages to the bar association, It
is not appropriate, however, for a group of judges or judicial personnel to allow a legal
publishing firm or other vendor doing business with their court to donate food and beverages for
‘a meeting of the judges or judicial employees. (Compendium § 2.9(a) (1997).)

Honorary/Reduced-Rate Memberships

(q) It is permissible for a judge to accept a free membership in a country club, including
a waiver or reduction in the initiation fee, or to accept a free or reduced membership in a YMCA
if it is customary in that community, similar privileges are extended to other public officials, the
interests of the organizations have not and are not likely to come before the judge, and the judge
is satisfied that the membership is not being used by the organization to promote its endeavors.
(See Advisory Opinion No. 47,)

(®) Its permissible for a judge to accept a free membership in the "American Board of
Trial Advocates," the organization being devoted fo the improvement of the law.
(Compendium § 5.4-1(2) (1997),)

(c) It is permissible to accept free membership in a local bar association.
(Compendium $ 5.4-1(c) (1997).)

31 Issued Janvary 2, 1999


2309

Judicial officer
Liabilities 33
credit cards 34
dependent children 33,34
mortgage 33
owed to a spouse 33
personal residence 33
political campaign funds 34
relatives 33
spouse 33,34
Non-investment Income 17
annuities 7
commissions 17
‘compensation for services 17
covered senior employees 19
death benefits 18
dependent children 17
dividends on life insurance policies 17, 19
employment by the United States 17
fiduciary relationship for compensation 20
honoraria 17,23
life insurance policies 17,19
limitations on outside employment 19, 20, 23
practicing a profession 20
royalties 17, 19
spouses 17
teaching 20, 24
vested pension plans 17
Part-time employees 2
Personal information 7
Positions 9
Guardian 9
Executor 9,39
honorary 9
investment partnership 9
judges 10
judicial employees 12
limited partner 9
part-time magistrate judges 9,12
reporting period 9
trustee 9,39
Public access 56
felons 57

64 Issued January 2, 1998


2447

(5) An interest in a limited partnership designed to engage in particular investment
strategies can fall within the concept of a "common investment fund" when the judge has no
control or influence over the general partner or over the investment decisions. The investment
vehicle is similar to a mutual fund. (Compendium § 3.1-3(e) (1999).)

(6) A judge has a "financial interest" in each of the named underlying equity securities
when the judge's IRA owns units of an investment vehicle which holds 15 named corporations,
the portfolio is not actively managed , and it is not contemplated the securities will be sold or
exchanged prior to termination of the investment vehicle in ten years. Investment vehicle does
not qualify as "mutual fund or common investment fund" under Canon 3C. (Compendium § 3.1-
30) (1999).)

() Alaw firm's KEOGH plan or 401k plan managed by the firm, small number of
participants, ready access to investment information does not qualify for the "common fund"
exception under Canon 3C. (Compendium § 3.1-3(c) (1999),)

(8) A law firm's retirement fund qualifies for the "common investment fund" exception
under Canon 3C where the financial interest is indirect (due to the number of participants and
the size and diversity of investments), directed investment by participants is not available, and
the participants do not know and cannot easily find out about a fund's portfolio, which turns over
frequently. (Compendium § 3.1-3(c-1) (1999).)

VIM. Explanatory Comments

Use this part to add information clarifying other portions of the report. Of particular
importance is any information, such as a reference to opinions of the Committee on Codes of
Conduct and actions of a Judicial Council, that bears on possible conflicts of interest or problems
under the Code of Conduct for United States Judges. Also use this part to explain any apparent
inconsistencies between the current report and past reports.

Place explanatory comments either with the item or in Part VIII that will facilitate
tracing" items from one report to the next. For example, indicate if an asset has a different
name from that used in the prior report because of a reorganization or change of name.

Use attachment pages if more space is needed.

jon and atu)

x.

The certifications provided on the form cover (1) a certification that the report is accurate,
true, and complete as to all information required by the Act to be reported; and (2) a certification

55 {ssved January 2, 2000


2264

Is the income an honorarium or reported as such?

Commentary

Although various types of non-investment income have been listed, some elaboration on
several sources of income may be useful to provide a clearer distinction between non-investment
and investment income.

No income should be disclosed in this part if it is derived from an investment asset that
should be reported in Part VI Sources of royalty payments include publications and oil, gas,
and mineral interests. It should be noted that an interest in the real property from which these
oil, gas, or mineral interests are derived should be disclosed in Part VII like any other
investment property. Annuities and any other types of retirement income should be reported if
they represent defined benefits from a vested pension plan. Retirement income from IRAs or
other investment funds that varies due to the performance of the individual assets should be
reported in Part VII since it represents income from an investment asset.

Ordinarily, income from life insurance policies need not be reported because most
insurance policies are not held as investments or for the production of income. Policy dividends
that reduce premiums or provide additional or paid-up insurance are not treated as income.
Dividends or other income from life insurance policies, received in excess of 8200, which are
reportable for income tax purposes, should be disclosed in this part. Several types of insurance
policies that probably require reporting are "universal," “variable life," or "universal variable

lyfe."
‘Special attention will be given to the review of nomination and initial Reports. The filer

‘must report compensation, ather than from the United States Government, in excess of $5,000 in
any of the two calendar years prior to the calendar year during which a first Report is filed.

B. Outside Employment and Honoraria

Special attention should be given to regulations relating to Outside Employment and
Honoraria at Appendix III.

Covered Senior Employees
In accordance with the Ethics Reform Act of 1989, and the Judicial Conference

regulations implementing this Act, covered senior employees, other than justices of the United
States who retired from regular active service under Section 371(b) of title 28, United States
Code; judges of the United States who retired from regular active service under Section 371(b) of
title 28, United States Code and who have met the requirements of subsection (f) of Section
371(b) of title 28, United States Code, as certified in accordance with such subsection; and,

19 Issued Janvary 2, 1998


2383

bar association
definition
foreign government
food, lodging, or entertainment
personal hospitality
travel expenses
Reviewing judge
certification
Senior covered employee
Senior judge
Teaching
approval
ordinary and necessary expenses
senior judge
Transactions
capital gains
buy
deposits or withdrawals from bank accounts
exchange of properties
inherit
liquidation of a bank account
merger
Partial
personal residence
Trusts
beneficial interest
blind trust
contingent interest
dependent child
exemptions
spouse
Value Method
Q--Appraisal
R-Cost
S --Assessment
‘T --Cash/Market
U--Book
‘V -Other
W --Estimated
Where to file

27
25
25
25
26
25

19
2,21
20, 21
24
22
21
46
47
46
AT
47
46

46
47
47
38, 49
49
50
50
50
50
38, 30
44

44
44
44

44
44

Issued January 2, 1999


2250
Waivers

The Committee may grant a request for a waiver of any reporting requirement for one who
is expected to perform the duties of the office or position less than one hundred and thirty (130)

days in a calendar year, but only if the Committee determines that:
(1) the person is not a full-time employee of the Government;
(2) the person is able to provide services specially needed by the Government;

@) it is unlikely that the person’s outside employment or financial interests will
create a conflict of interest; and

(4) public financial disclosure by the person is not necessary under the
circumstances,

Any request for such a waiver must be directed in writing to the Committee with a detailed
explanation of the facts upon which the Committee can make the determinations required under
the Act. All such requests are available to the public. Section 101(i).

GENERAL INSTRUCTIONS

The Report should be legible, Its format has been designed to be completed on most
typewriters. The name of the person and date of the Report should appear on each page.
Financial Disclosure Report software is available upon request from the Office of the Committee.

"None"

Parts I through VII of the Report must be completed. If you have no reportable items in any
of these parts, do not simply leave it blank or mark it as "N/A," but instead mark the "None" box
as an affirmative declaration of the fact.

Disclosure Concerning Family Members

A reporting person is required to disclose financial information conceming a spouse and
dependent children, and the form is designed for inclusion of this information. Section
102(e){1). The requirement to disclose trust information for a spouse and dependent children
only when a beneficial interest exists is found on pages 50 and 51. The Act does not require
disclosure of the financial interests of other family members, nor is it required with respect to a
spouse who is living separate and apart with the intention of terminating the marriage or
permanently separating. Section 102(e)(2).

5 Issved January 2, 1998


2381

relative : 26, 28
solicitation 26
special occasions 30
spouse 28
subscriptions 28
Honoraria 20, 23
donated to charity 21
prohibition on receipt 20, 23
Initial report 57
non- investment income 19,58
reporting period 57
Investments 35
accounts with financial institutions 35
bank accounts 35
brokerage accounts 50
capital gain 46
common investment fund 52
common trust fund 38, 40
description of assets 37
financial statements 35
income 41
income threshold 35, 36
interest 41
IRAs 43, 50
joint-ownership 38
mutual funds 38
"NONE" 41
parenthetical "(X)" 38
partnership 9,36
private investment clubs ~ 50
rental income 37,41
reportable assets 35, 36
‘spouse 36
stocks, bonds, and other securities 37
tax deferred 41
tax-deferred retirement or pension accounts B
transactions 46
U.S. Savings Bonds 41
value 43
value method 44
value threshold 35, 36
widely held investment fund 50
Judicial officer 1
Liabilities 32

- 62 ‘Issued January 2, 1999


2424
VL. Liabilities

Information pertaining to the reporting person, spouse, and dependent children is required
in this part.

In this part, list all of your, your spouse's and dependent children’s liabilities to any
creditor other than a spouse, parent, brother, sister, or child, which exceeded $10,000 at any time
during the reporting period. Sections 102(a)(4) and 102(e)(1)(E).

For annual reports, the reporting period is the calendar year preceding the date of the
report. Section 102(a)(4). For initial and final reports, see Appendices I and II, respectively, for
the appropriate reporting periods.

In this part, list the identity and category of value of each liability. ‘The identity includes
the name of the creditor and a description of the liability. Section 102(a)(4). ‘To assist the
reviewer, liabilities should be listed in the same order as in the previous report.

‘The category codes for the amount owed as of the end of the reporting period are shown
on the report and are as follows:

J = $15,000 or less P1- $1,000,001 to $5,000,000
K - $15,001 to $50,000 P2- $5,000,001 to $25,000,000
L = $50,001 to $100,000 P3 - $25,000,001 to $50,000,000
M- — $100,001 to $250,000 P4 - more than $50,000,000

N - $250,001 to $500,000

© - $500,001 to $1,000,000

Section 102(d)(1).

The reporting requirement relates to obligations that at any time during the reporting period
exceeded $10,000, but the amount to be shown by the category code is the amount owed as of the

end of the reporting period.

You are not required to report:

- any liability owed to a spouse, parent, brother, sister, or child. Section 102(a)(4).

- any mortgage secured by real property which is a personal residence of you or
your spouse. Section 102(a)(4)(A).

32 Issued January 2, 2000


2269

(3) A judge cannot receive compensation for service as family fiduciary where the trust
directs the operating policy of a charity because that would be the functional equivalent
of serving as an officer or member of the board of directors. However, it is acceptable
Sor the judge to serve as family fiduciary charged only with duties normally exercised by
a family fiduciary. Compensation received is subject to the 15% cap.

(Compendium § 35.4(b) (1997).)

(4) A judge's status as partner of a family partnership or shareholder of a family
corporation is not the equivalent of serving as officer or member of the board of an
entity, and thus the financial return to the judge as partner or shareholder is not
prohibited. (Compendium § 35.4(c) (1997).)

() Where a judge failed to obtain prior approval of teaching, Chief Judge has authority
to approve teaching for compensation nunc pro tunc if satisfied that the failure was
occasioned by excusable neglect, the application would have been approved if timely
filed, and other criteria for approval are satisfied. If circumstances do not justify nunc
‘protunc approval, the judge's only recourse is to refund the compensation.
(Compendium § 35.7(a) (1997).)

24 Issued January 2, 1998


2406
ment
Only information pertaining to the reporting person is required in this part.
In this part a complete listing is required of any agreement with respect to:
(a) future employment;
(6) alleave of absence during government service;
(c) continuation of payments by a former employer other than the United States; and

(4) continuing participation in an employee welfare or benefit plan maintained by a
former employer.

Report the date, parties, and terms of the agreement. Section 102(a)(7).

For all reports, show any such agreements currently in force.

Any additional information~e.g., an opinion from the Committee on Codes of Conduct,
or approval from a Judicial Council--that bears upon the question whether an agreement presents
a potential conflict of interest problem or problem under the Codes of Conduct for United States
Judges should be provided in Part Il or on an attached page.

If you did not have any reportable agreements during the reporting period, check the
"None" box, rather than leaving Part II blank.

Il. AGREEMENTS. (Reporting individual only; see pp. 14-16 of Instructions.)
DATE PARTIES AND TERMS

[_] NONE (No reportable agreements)

' 1999 Jones & Smith Retirement Plan with former law firm, no control

2

3

Notes to filer:

Do you have any reportable agreements? If not, is the NONE box checked?

14 Issued January 2, 2000


2426

- Did you list the identity of the creditor, a description of the liability, and a value code for
the amount?

Ifa mortgage is listed, is there a corresponding entry for the property in Part VII?

34 Issued January 2, 2000


2338

Is the income an honorarium or reported as such?

Commentary

Although various types of non-investment income have been listed, some elaboration on
several sources of income may be useful to provide a clearer distinction between non-investment
and investment income,

No income should be disclosed in this part if t is derived from an investment asset that
should be reported in Part VIL. Sources of royalty payments include publications and oil, gas,
and mineral interests. It should be noted that an interest in the real property from which these
oil, gas, or mineral interests are derived should be disclosed in Part VU like any other
investment property. Annuities and any other types of retirement income should be reported if
they represent defined benefits from a vested pension plan. Retirement income from IRAs or
other investment funds that varies due to the performance of the individual assets should be
reported in Part VII since it represents income from an investment asset,

Ordinarily, income from life insurance policies need not be reported because most
insurance policies are not held as investments or for the production of income.. Policy dividends
that reduce premiums or provide additional or paid-up insurance are not treated as income.
Dividends or other income from life insurance policies, received in excess of $200, which are
reportable for income tax purposes, should be disclosed in this part. Several types of insurance
policies that probably require reporting are "universal," "variable life," or "universal variable
life."

Special attention will be given to the review of nomination and initial Reports. The filer
must report compensation, other than from the United States Government, in excess of $5,000 in
any of the two calendar years prior to the calendar year during which a first Report is filed.

B. Outside Employment and Honoraria

Special attention should be given to regulations relating ¢o Outside Employment and
Honoraria at Appendix II.

Covered Senior Employees

In accordance with the Ethics Reform Act of 1989, and the Judicial Conference
regulations implementing this Act, covered senior employees, other than justices of the United
States who retired from regular active service under Section 371(b) of title 28, United States
Code; judges of the United States who retired from regular active service under Section 371(b) of

title 28, United States Code and who have met the requirements of subsection (f) of Section
371(b) of title 28, United States Code, as certified in accordance with such subsection; and,

19 ‘Issued January 2, 1999


Agreements
continuation of payments
former employer
future employment
part-time magistrate judges

Altemative reporting format

Amendments
certification

Basic pay
reemployed annuitant
cost of living
locality pay

Certification and signature

Compliance and sanctions
filing fee
failure to file

Covered senior employee

Disclosure concerning family members

Ethical standards
Extensions of time to file
Filing fee

waiver

extraordinary circumstances
Filing requirements

60 day rule

annual report

initial report

final report

nomination report
Final report

reporting period
Financial interest
Gifts

bar association

definition

foreign government

honorary/reduced-rate memberships
investitures and similar ceremonies

personal hospitality

2380

INDEX

received by a spouse and dependent children

61

Ussued January 2, 1999


2331

Senior judges designated in 5 U.S.C. app. 4, § 502(b), (justices and senior judges) are
excluded from the 15% cap on compensation received from approved teaching. Even if the
Ethics Reform Act is satisfied, provisions of the Code of Conduct for United States Judges must
also be satisfied.

sf

Part-time Magistrate Judges yo

Part-time United States magistrate judges render such sekvice as judicial officers as is
required by law. While so serving they may engage in the practide of law, but may not serve as
counsel in any criminal action in any court of the United States, dr act in any capacity that is
inconsistent with the proper discharge of their office. Within such restrictions, they may engage
in any other business, occupation, or employment which is not(g}consistent with the expeditious,
proper, and impartial performance of their duties as judicial officers. (28 U.S.C. § 632(b).)

of
Judicial Employees

a. No covered senior employee, as defined in the "Regulations of the Judicial Conference
of the United States Under Title V1 of the Ethics Reform Act of 1989 Concerning Outside Earned
Income, Honoraria, and Outside Employment," Guide to Judiciary Policies and Procedures,

Volume If, Chapter VI, Part H, shall:

(1) affiliate with or be employed by a firm, partnership, association,
corporation, or other entity to provide professional services which involve
4 fiduciary relationship for compensation;

(2) permit the use of his or her name by any such firm, partnership,
association, corporation, or other entity;

(3) practice a profession which involves a fiduciary
relationship for compensation;

(9 serve for compensation as an officer or member of the board of any
association, corporation, or other entity; or

(5) __ receive compensation for teaching, without the prior notification and
approval as herein provided.

Note: Senior employees of the Court of International Trade or the Court of
Federal Claims must obtain approval from the chief judges of those
courts. Senior employees of the Tax Court must obtain approval from the
chief judge of the Tax Court. Commissioners and senior employees of the
Sentencing Commission shall obtain approval from the Chairman of the

12 Issued January 2, 1999


2433

3. Income

In Column B of Part VII, the income from listed assets must be shown. The disclosure of
the gross amount and the type of income -- dividends, rent, interest, or income from discharge of
indebtedness -- is required. Sections 102(a)(1)(B) and 109(7). All income is reportable, whether
taxable, tax deferred, or tax exempt. When no income is received (or there is a loss) Column B1
under Amount should be left blank and the word "NONE" should appear in Column B2 under
Type. When some income is received, the appropriate code, reflecting the amount, should be
used. If the type of income is not a dividend, rent, interest, or income from discharge of
indebtedness, it should be explained either in Part VII or Part VIII. The ranges are required by
statute and the coded amounts for income are listed on the reporting form as follows:

A - $1,000 or tess

B= _ $1,001 to $2,500

C = $2,501 to $5,000

D —- _ $5,001 to $15,000

E — - _ $15,001 to $50,000

F = _—_ $50,001 to $100,000

G — = _ $100,001 to $1,000,000

HI - _ $1,000,001 to $5,000,000

H2- —_ More than $5,000,000
Section 102(a}(1)(B).

The same ranges and codes are used to report capital gains associated with transactions in
Column D of Part VII. However, capital gains associated with "distributions" should be treated
and reported as dividends in Column B.

The income from U.S. Savings Bonds, and similar investments should be reported if the
minimum of $200 is reached.

4l Issued January 2, 2000


2251

The Act defines a dependent child as a "son, daughter, stepson, or stepdaughter . .. who--

(A) is unmarried and under age 21 and is living in the household of the reporting person; or

(B) is a dependent of the reporting person within the meaning of section 152 of the Internal
Revenue Code of 1986." (26 U.S.C. § 152)

Section 109(2).

When reporting information about a spouse or dependent children, add the parenthetical
"(8)" or "(DC)" to signify the person(s) to whom it relates. The parenthetical "(J)" should be
used to signify an item jointly held or owned by you and your spouse.

ages; Attachment

Ifmore space is needed for any Part than is provided on the form, make the additional
entries on a new page and include it as a numbered attachment. The identifying information
(name and date of Report) must appear on each attachment page. If you make these entries on
other than a photocopy of a page from the form, make sure that the Part being continued is
indicated and that all the required information is given.

Alternative Format For Reporting

‘The computer program available from the Administrative Office provides an acceptable
format for reporting.

It is permissible in exceptional circumstances to provide the required information in any
Part of the Report in an alternative format but only upon a specific written determination by the
Committee that such alternative reporting is acceptable. Those wishing to use alternative formats
should seek permission te do so by writing to the Committee stating in detail the format to be
used, why the request is being made, and whether it is for the current Report only or for future
Reports, as well. All information submitted must be in a format easily reconciled with prior
Reports. Section 102(b)(2)(A).

In the absence of permission to use an alternative format, no extrinsic reports or documents
may be used as substitutes for disclosure on the AO Form 10 as provided. This limitation is
necessary to avoid additional burdens that would occur in the review process if'a variety of
documents, with different formats and often with extraneous information, were permitted.

6 Issued January 2, 1998


2337

- information with respect to a spouse living separate and apart with the intention of
terminating the marriage or providing for permanent separation or with respect to
any income or obligations arising from the dissolution or permanent separation.
Section 102(e}(2).

- any political campaign funds, including campaign receipts. Section 102(g).

- ‘income derived from any retirement system under title 5, United States Code
(including the Thrift Savings Plan under Subchapter TH of Chapter 84 of such
title) or any other retirement system maintained by the United States for officers
or employees of the United States. Section 102(i)(1).

- benefits received from Social Security. Section 102())(2).
- death benefits under insurance policies, gifts, inheritances, tort recoveries and

other compensation for injuries and sickness, disability compensation, and
veteran's benefits.

I. NON-INVESTMENT INCOME. (Reporting individual and spouse; see pp. 17-24 of
Instructions)
DATE -SQURCE AND TYPE

Yours, not spou

[L] NONE Oo reportable non-investment income)

1998 Evans County School District (S) $
July 1998 Idaho Law School, Seminar (3 weeks) $ 3,500
, 5
Notes to filer:

Do you have any reportable non-investment income over $200.00?
Does your spouse have any reportable non-investment income over $1000.00?
If no reportable income, is the NONE box checked?

Is the date, source, type, and amount for your reportable income reported? If spouse's
income, is the parenthetical "(S)" placed in the column under Source and Type?

Is the income subject to the 15% limitation ($20,505) for 1998?

18 Issued January 2, 1999


2427

TL_Investments and Trusts

Information pertaining to the reporting person, spouse, and dependent children is required
in this part.

1. General

In this part a complete listing is required of reportable assets owned by the reporting
person, spouse, and dependent children. Each asset must be individually listed and identified
except as may be specifically provided otherwise (see Part 7B Trusts below). Bank or
brokerage house reports are not acceptable for compliance with these reporting requirements
unless they succinctly contain all necessary information without requiring the reader to perform
calculations or select out necessary data from a larger body of information. The use of bank or
brokerage house statements as an alternative form of filing must have the advanced approval of
the Committee in accordance with page 6 of the filing instructions. Any request should be made
sufficiently in advance of the filing deadline to permit careful consideration and discussion with
the reporting person. For initial reports, there are separate rules for completing this part, found at
Appendix I of these instructions.

Report assets held during the preceding calendar year in a trade or business, or for
investment or the production of income, which have a fair market value in excess of $1,000 at
the end of the year or from which you received income in excess of $200 during the preceding
calendar year. Sections 102(a)(3) and 102(a)(1)(B).

You are not required to report:
- Investments in the Thrift Savings Plan, Section 102(i)(1)(A).

- Any property, real or personal, not held in a trade or business, or for investment or
the production of income. As examples, you need not report a private residence
or personal automobiles. Section 102(a)(3).

- Any personal liability owed to you, your spouse, or dependent children by a
spouse, or by a parent, brother, sister, or child of you or your spouse. Sections
102(a)(3) and 102(e)(1).

- Accounts in a financial institution (any form of deposit in a bank, savings and
loan association, credit union, or similar financial institution), unless the
aggregate amount of income for all an individual's income producing accounts at
the institution for the reporting year is in excess of $200, or the aggregate value at
the end of the reporting year of all such income producing accounts is more than
$5,000. If either condition is met, each such account must be separately reported.
Sections 102(a)(1)(B) and 102(a)(3).

35 Issued January 2, 2000


2342

(4) Outside earned income is attributed solely to the actual earner regardless of
community property laws. (Compendium § 33.3 (1997).)

Prohibition on Receipt Of Honoraria

(1) It is a violation of the statute and regulations for a law clerk to write an article for
compensation during clerkship even though publication of the article and receipt of the
honorarium occur after the clerkship ends. (Compendium § 34(a) (1997).

(2) Fee for performing wedding is not an honorarium. However, a judge is barred from
accepting additional compensation for performing judicial activities.
(Compendium § 34.1(a) (1997).)

(3) Reimbursement of travel expenses for judge and one relative does not constitute an
honorarium. (Compendium § 34.1(b) (1997).)

(4) Where a judge's paper for a continuing legal education program was later published
and later still won $3000 cash award at sponsor's annual award program, the award is
not a payment for the speech or article and thus not an honorarium. An after-the-fact
award based on merit for scholarly work is an award in recognition.

(Compendium § 34.1(d) (1997).)

(5) Compensation for teaching a seminar for prospective law students and preparation
of course materials does not constitute an honorarium. (Compendium § 34.1-2(d)

(1997).)

(6) Fee received by judge as editor-in-chief of a law journal is not an honorarium, but
rather compensation for a writing more extensive than an article. (Compendium
§ 34.1-3(a) (1997),)

(2) Serving as a fiduciary of a family estate or trust as permitted by Canon 5D of the
Codes of Conduct does not constitute practicing a profession involving a fiduciary
relationship. (Compendium § 35.3(a) (1997).)

(2) Service for compensation as editor-in-chief of a bankruptcy law journal is not the

equivalent of being an officer or member of the board of an entity, and thus is not barred
by this section. (Compendium § 35.4(a) (1997).)

23 Issued January 2, 1999


2441

Do you list the date of the transaction in Column D(2)?

Do you list in Column D(3) the value code (J-P) indicating the value of the consideration
paid or received for the asset?

Do you list in Column D(4) capital gain (income codes A-H) realized on the disposition
of the asset or leave this column "blank" if there was no gain or a loss?

Ifan asset is partially disposed of or sold, did you indicate "partial sale" in Column
D(2)?

Ifan asset was completely disposed of or sold, did you leave Column C blank and
complete Columns D(1)-(5) as appropriate?

Do you list the identity of the buyer or seller for all transactions not conducted through
public trading, as on a stock or commodities exchange?

Commentary

Jn addition to purchases and sales, other types of transactions such as mergers, gifts,
inheritances, and redemptions require completion of all parts of Columns D(1)-(3).

Ifan asset was disposed of (sale or redemption), then Column D(A)- the capital gain code
should also be provided. In addition, Column D(5) should be completed as to the identity of the
buyer or seller if it was a private transaction (as opposed to a transaction conducted through
public trading, as on a stock or commodities exchange).

It should be noted that some filers leave Column D blank when they have a transaction
which does not require complete details. However, Column D(1) should be completed to provide
the type of transaction. This is a common omission when the filer either opens or closes an
account in a financial institution. The following are common examples of these types of
transactions:

(J) opening and closing of accounts in financial institutions, including the rollover of an
account from one financial institution to another,

(2) transactions solely between the filer, his or her spouse, and dependent children,

(3) transactions in which the then fair market value of consideration paid or received did
not exceed $1,000, and

(4) transactions involving a mere change of form of assets, ¢.g., a stock split.

49 Issued January 2, 2000


2432

Ia gas, oil, or mineral interest is listed, do you identify the city or county and state and
the name of the energy company or other payor of royalties, working interests, or
rentals?

Do you clearly identify stocks, bonds, mutual funds and the underlying assets of IRAs and
brokerage accounts?

If the asset was not listed on the previous report, do you include transactional
information in Column D or a parenthetical "(X)" in Column A denoting that the asset
was exempt from disclosure on the previous report?

Ifyou listed a position in Part las trustee, administrator, custodian, etc., is the estate or
trust listed and the assets therein properly identified?

Commentary

When listing stocks, bonds, and other securities, the individual name or commonly
understood abbreviation should be provided. Stocks should be indicated as "common" or
“preferred.” Bonds and other securities should have enough detail in the description to
differentiate that asset from other similar assets listed. This is particularly helpful for the
reviewer and examiner when the filer reports multiple bonds or securities in the same or similar
series, or brokerage accounts that lists its accounts in the name of the firm.

When reporting accounts with financial institutions, the type of account does not need to
be listed.

When reporting an interest in a mutual fund or common trust fund, only the name of the
fund is required. There is no requirement to list the individual assets. An interest in a trust,
estate, or similar entity requires the listing of each individual asset unless the exemptions from
disclosure of the individual assets in paragraph 7B. Trusts are met.

The reviewer and examiner will note when an asset appears on the current report and is
not listed on the prior report and there is no transaction information in Column D. In this
situation, the filer should place a parenthetical "(X)" in Column A denoting that the asset was
exempt from disclosure in the prior report.

It is important to recognize that in almost every instance where a filer is a trustee,
executor, administrator, custodian etc,, the filer has the legal authority and responsibility to
exercise control over and manage the assets in a trust or estate, It is this authority based on the
filer's fiduciary responsibilities to control the purchase, sale, or other disposition of the assets
that requires the filer to list the assets in this part.

40 ‘Issued January 2, 2000


2358

'VI. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-53 of Instruct

oO NONE Wo seporabe

‘Lego Common Stock (S)

Renal Property #1, Alexandria, VA
333 3308005) 0)

|? NationsBank (IRA) (CDs)

(Cabin Creek National Bank Stock ()

‘cou Federal Credit Unk
FG ear ascend me

Fiaty Magetlen Mutual Fund (OC)

[NY State Urban Dev. Corp. Muni. Bond

Notes to Filer:

Do you identify the asset in Column A in sufficient detail to clearly identify the type of
property? Ifno assets are listed, is the NONE box checked?

Ifa real estate interest is listed, is the city or county and state listed?
fa financial institution is listed, is the institution clearly identified?

Ifa note or account receivable is listed, are the debtor names and the nature of the debt
described?

39 ‘Issued January 2.1999


2305

APPENDIX IT

EINAL REPORTS
WHO MUST FILE AND WHEN

A JUDICIAL OFFICER who works 60 days or more in a calendar year is required to file
a final Report within thirty days after resigning under 28 U.S.C. § 371(a) or otherwise ceasing to
continue in such position. A JUDICIAL OFFICER who retires under 28 U.S.C. § 371(b) is not
required at that time to file a final Report, but continues to be obligated to file an annual Report
for any year in which the relevant Judicial Council authorizes the employment by the judge of at
least one law clerk or secretary, unless the judge certifies that he or she did not perform the duties
of his or her office for more than sixty (60) days.

A JUDICIAL EMPLOYEE who works 60 days or more in a calendar year is required to
file a final Report within thirty days of termination of employment. Section 101(e).

A JUDICIAL OFFICER OR JUDICIAL EMPLOYEE accepting another position in the
Federal government subject to financial disclosure reporting is not required to file a final Report
when changing position. Section 101(¢).

INSTRUCTIONS FOR COMPLETING EACH PART
Below are specific instructions that differ from those provided for annual Reports.
Identifying Infe .

BLOCK 3. Date of Report. The date the Report is completed, and not more than 30
days after termination of employment.

BLOCK 5. Report Type. Check final Report.

BLOCK 6. Reporting Period. Show both the beginning and ending date of the
reporting period. The beginning date will be January 1 of the current year if an annual Report
has already been filed covering the preceding calendar year; otherwise, it will be January 1 of the
preceding calendar year. The ending date is the date of termination of employment.

Parts L.- Vil.
The reporting period is the calendar year preceding the date of the Report through the
filing date in the current calendar year. Section 102(c). If an annual Report was already filed

covering the preceding calendar year, then the reporting period is the current calendar year
through the filing date.

60 Issued January 2, 1998


2311

“Phe FINANCIAL DISCLOSURE REPORT pisliyer ha
[aeast Neer 34 1887
: FOR CALENDAR YEAR 1998 USE tpn ttt
Tron Reporting at nes fr ml aah 7 Coortor Orgsobaion Sate ofReport
United States District Court
Porteous (Jr.), Gabriel T. Eastern District of Louisiana 5/13/99

“Tike Gr a a ses |S Reporte (ek apec Ope) | © Report Pr
mepatrate deer nda al or partie)

Active
United States Digtrict Court Judgs
7 Charabers or Oftee Adress

1/1/98 ~ 12/31/98

United States District Court inomplieace wit
s

Reviewiog OMe

I. POSITIONS, (Reporting individual only; see pp. 9-13 of Instruct
ROSITION NAME_OF_ORGANIZATION/ENTITY

[7] NONE (No reportable positions.)
'

2

3

IL, AGREEMENTS. (reporting vide! one pp 16-16 ef Tasrucions}
DATE

[x] v0 cominsieon
7

2

Il. NON-INVESTMENT INCOME. (reporting nti nd poe: ep. 17-24 of sevens)
SOURCE AND TYPE

DATE ‘Grow, wot spouse's)
] NONE 00 report oninvsentneone)
‘ . s
? s
° s
‘ s
+ ——
Sco0231

HP Exhibit 104(a)


2440

VII. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-55 of Instructions.)

[NONE esr

Lego Common Stock wore | x | + [oy bao | 3
P
bn fa da
F
aa | >
Ki
Reg operye. Alnandr vA | dpe so is} w | © | sees
5
NatonsBank (RA) (CDs) a ee ee
i
al dati A |oiidend ly bs | x

iso fs | kK | a

ls ;
Cabin Ceck Noon Bm sock x) — |B fovvidens| x |v | Ew ow [os | a |emy wen
b
Fidelity Magellan Mutua! Fund B [Dividend] K | 7 IB ay 1

NY State Urban Dev. Corp. Muni, Bond

Notes to filer:

If the asset is a new listing, do you list in Column D information on the transaction?

48 ‘Issued January 2, 2000


2256

Note: A judge may serve as a part-time special lecturer in law or as a faculty member at
a law school. It is necessary for the judge to obtain advance approval from the chief judge of the
circuit, or in the case of the chief judge from the judicial council, before engaging in teaching
activity. The normal restrictions on extra judicial compensation apply; the compensation must
be reasonable in amount, no greater than a similarly situated non-judge would receive for the
same service; the 15% cap on outside earned income is applicable; and the payments must be
included in Part III of the Report. The teaching duties should not in any way interfere with the
performance of judicial duties.

Ifa judge fails to obtain prior approval of teaching, the approving chief judge has
authority to approve teaching for compensation nunc pro (unc if satisfied that the failure was
occasioned by excusable neglect, the application would have been appraved if timely filed, and
other criteria for approval are satisfied. If circumstances do not justify nunc pro tune approval,
the judge's only recourse is to refund the compensation. (Compendium § 35.7 (1997).)

Ina partnership engaged in real estate investment, a judge may have a passive
investment as a general partner. Canon 5C(2) prohibits active business participation.

Note: In the case of partnerships, the Report should clearly reflect the purpose and the
assets of the business, including the percentage owned by the filer. If the partnership owns or
trades in securities, individual stocks and transactions should be reported in Part VIL.

Jt is permissible for a judge to be an uncompensated officer or director of a business
wholly owned by members of the judge's family. (Compendium § 5.2-3(c)(1997).)

Under Canon 5C(I) a judge may manage investments, etc., but the judge should not
personally manage or operate any business, including a farm or ranch. This would not preclude
the judge's participation in decisions with respect to the purchase, sale and use of land, the
purchase of equipment and supplies, or the sale of farm produce or livestock from a farm or
ranch which the judge owns but is operated by a farm manager or hired hand. (Advisory
Opinion No. 30.)

A judge may serve as a member of the board of directors of a nonprofit social club, or a
nonprofit club whose object is to promote an interest in and to enlighten its membership on
important governmental, economic and social issues, provided that (a) the club does not engage
in partisan politics and (b) the judge does not take positions on issues which would embarrass
the judge in the exercise of judicial duties. (Advisory Opinion No. 15.)

A judge may serve on the board of trustees of a university foundation (no fund-raising
involved). (Compendium § 5,3-3(0)(1997).)

Wl Issued January 2, 1998


2400

Commentary
Blocks | through 8 of the heading to the report should be filled in as indicated:

Block 6. Reporting Period. The following entry should be made for annual reports: January 1,
1999-December 31, 1999,

Block 8. Certification Reviewing official will sign and date this block when the report is
complete, The front page of the AO-10 with the reviewing judge's
original signature will be returned to the staff of the Committee on
Financial Disclosure for permanent filing.

Certification by the reviewing judge or staff counsel, as reviewing officials, certifies that the
information in the report, any amendments, or attached correspondence has been disclosed in
accordance with applicable laws and regulations. The reviewing official has the authority to approve
the report as submitted, direct that a letter of inquiry be sent, or waive an error as de minimis and
‘approve the report. The reviewing official can also approve a report and direct that an advisory letter
be sent to provide the filer with guidance for future reports. All letters of inquiry are prepared for the
Chair's signature on Committee letterhead stationery. The Chair has authority to revise or waive a

letter of inquiry and approve a report.

8 Issued January 2, 2000


2339

justices and judges of the United States who retired from regular active service under Section
372(a) of title 28, United States Code, who receive compensation for teaching, are prohibited
from:

Receiving more than 15% of the pay rate for Executive Level I! in eamed income
from outside employment if the officer or employee occupies a position classified
above GS-15 of the General Schedule or, in the case of positions not under the
General Schedule, for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General
Schedule and is not a career civil servant (See 5 U.S.C. § 5313 for the pay rate for
Executive Level Il). 5 U.S.C. app. 4 § 501(aX1). Those covered by the
provisions of this Act for only a portion of a year, must pro-rate the 15% on the
basis of the number of days the person will actually work in that calendar year.
5US.C. app. 4, § 501a)(2).

- Being affiliated with or being employed by a firm, partnership, association,
corporation, or other entity to provide professional services which involve a
fiduciary relationship for compensation, serving for compensation as an officer or
meraber of the board of any association, corporation, or other entity, 5 U.S.C.
app. 4, § 502.

- ‘Receiving compensation for teaching without prior notification and approval from
the appropriate official, ifthe officer or employee occupies a position classified
above GS-15 of the General Schedule or, in the case of positions not under the
General Schedule, for which the rate of basic pay is equal to or greater than 120
percent of the minimum rate of basic pay payable for GS-15 of the General
Schedule and is not a career civil servant. See Section 5 of Appendix III for the
procedures for requesting approval. 5 U.S.C. app. 4, § 502.

NOTE: Covered senior employees are defined by Judicial Conference approved
regulations as all judicial officers (except for part-time magistrate judges), commissioners and
staff of the Sentencing Commission, the Director and Deputy Director of the Administrative
Office of the United States Courts, and senior employees of the Administrative Office of the
United States Courts serving at the pleasure of the Director (Schedule C status).

Judicial Officers and All Employees

In accordance with the Ethics Reform Act of 1989, and the Judicial Conference

regulations implementing this Act, all judici the judici
are prohibited from accepting honoraria for any "appearance, speech, or article.” Actual and

necessary travel expenses incurred by the person and one relative are not deemed to constitute
honoraria. 5 U.S.C. app. 4, § 501(b).

20 Issued January 2, 1999


2261

When, long after the judge's departure, additional assets are discovered which should
have been transferred to the judge at the time of his departure (e.g. delayed refund under a
health insurance plan), there is no ethical impediment to the judge's receipt of the appropriate
distribution. (Compendium § 2-7(e}(1997).)

A judge who is a participant in a law firm's KEOGH plan has a financial interest in all of
the corporations whose stock is owned by the plan, and must keep informed of the plan's
investments, unless the plan is a common fund. (Compendium § 3.1-1()(1997),)

A law firm's KEOGH plan or 401 (&) plan which is managed by the firm or a small
number of participants, and for which the judge has ready access to investment information does
not qualify for the "common fund" exception. However, a law firm's retirement qualifies for the
“common fund" exception where 1) the interest is indirect (due to the number of participants and
the size and diversity of investments, 2) directed investment by participants is not available, and _
3) the participants do not know about a fund's portfolio. (Compendium § 3. 1-3(c).)

Other Employment

Part-time United States magistrates render such service as judicial officers as is required
by law. While so serving, they may engage in the practice of law and, within certain restrictions,
engage in any other employment which is not consistent with the expeditious, proper, and
impartial performance of their duties as judicial officers. (28 U.S.C. § 632.)

A part-time judge is a judge who serves on a continuing or periodic basis, but is
permitted by law to devote time to some other profession or occupation and whose compensation
‘for that reason is less than that of a full-time judge. A part-time judge: (1) is not required to
comply with Canons 5C(2), D, B, F, and G, and Canon 6C; (2) except as provided in the
Conflict-of-Interest Rules for Part-time Magistrate Judges, should not practice law in the court
on which the judge serves or in any court subject to the appellate jurisdiction of the court on
which the judge serves, or act as a lawyer in a proceeding in which the judge has served as a
judge or in any other proceeding related thereto.

A judge should require law clerks to keep the judge reasonably informed of their future
employment plans as required by the Code of Conduct for Law Clerks. A law clerk should have
no involvement whatsoever in pending matters handled by a prospective employer when an offer
of employment has been made to the law clerk and has been, or may be, accepted by the law
clerk. (Advisory Opinions Nos. 74 and 81.)

16 Issued Fanwary 2, 1998


2290

In addition, the method used for valuation should be reported in Column C. These are

coded as follows:

Q-

R~

Appraisal. Indicate in Part VII-A or Part VIII the date of the appraisal.

Cost. This method may be used only for real property or an interest in a real
estate partnership. If used, show in Part VII-A or Part VIII the date of purchase
and the amount, not just the category code, of the purchase price.

Assessment — assessed value for tax purposes. If this method is used, show in
Part VII-A or Part VIII the amount, not just the category code, of the assessed
value and, if the property is assessed at less than 100% of its value, adjust the
assessed value to reflect the current value and explain your adjustment.

Cash/Market. The quoted market price of publicly traded stocks and other
securities; the face value of interest bearing corporate or municipal bonds or
comparable securities; the balance or surrender value of certificates of deposit,
savings and checking accounts, money market funds, etc.

Book. The net worth of a proprietorship, partnership interest, or corporate stock
according to the books of such entity. This method may be used only for property
interests not publicly traded.

Other. Any other recognized indication of value, such as current selling price of a
comparable interest. If this method is used, you must describe in Part VII-A or
Part VIII the method used,

Estimated. Your good faith estimate of the value of property if its exact value is
not known and a more accurate determination of its value cannot be easily
obtained by another method.

The gross value of the property should be indicated without reductions for mortgages, etc.
References may be made in Part VII to mortgages included in Part VI (Liabilities).

45 ‘Issued January 2, 1998


2335

When, long after the judge's departure, additional assets are discovered which should
have been transferred to the judge at the time of his departure (e.g. delayed refund under a
health insurance plan), there is no ethical impediment to the judge's receipt of the appropriate
distribution. (Compendium § 2-7(e)(1997).)

A judge who is a participant in a law firm's KEOGH plan has a financial interest in all of
the corporations whose stock is owned by the plan, and must keep informed of the plan's
investments, unless the plan is a common fund. (Compendium § 3.1-1()(1997).)

A law firm's KEOGH plan or 401 (&) plan which is managed by the firm or a small
number of participants, and for which the judge has ready access to investment information does
not qualify for the "common fund" exception. However, a law firm's retirement qualifies for the
"common fund" exception where 1) the interest is indirect (due to the number of participants and
the size and diversity of investments, 2) directed investment by participants is not available, and
3) the participants do not know about a fund's portfolio. (Compendium § 3.1-3(c).)

Other Employment

Part-time United States magistrates render such service as judicial officers as is required
by law. While so serving, they may engage in the practice of law and, within certain restrictions,
engage in any other employment which is not consistent with the expeditious, proper, and
impartial performance of their duties as judicial officers. ( 28 U.S.C. § 632.)

A part-time judge is a judge who serves on a continuing or periodic basis, but is
permitted by law to devote time to some other profession or occupation and whose compensation
Sor that reason is less than that of a full-time judge. A part-time judge: (1) is not required to
comply with Canons 5C(2), D, E, F, and G, and Canon 6C; (2) except as provided in the
Conflict-of-Interest Rules for Part-time Magistrate Judges, should not practice law in the court
on which the judge serves or in any court subject to the appellate jurisdiction of the court on
which the judge serves, or act as a lawyer in a proceeding in which the judge has served as a
judge or in any other proceeding related thereto.

A judge should require law clerks to keep the judge reasonably informed of their future
employment plans as required by the Code of Conduct for Law Clerks. A law clerk should have
1no involvement whatsoever in pending matters handled by a prospective employer when an offer
of employment has been made to the law clerk and has been, or may be, accepted by the law
clerk. (Advisory Opinions Nos. 74 and 81.)

16 Issued January 2, 1959


2273

relationship with the company, would not otherwise have been required to recuse, and the
circumstances would convey the impression that the company was in a special position to
influence the judge. (Canon 2B and Compendium § 2.10(c) (1997).)

Its permissible for a judge to be the guest of honor at a public dinner arranged by
Sormer law clerks, attended by lawyers and other members of the public, as well as the law
clerks. The law clerks should make clear on the invitations and other papers relating to the
dinner, not only the fact that the dinner is sponsored solely by present and former law clerks, but
that the amount paid by other attendees is solely to cover the cost of the dinner, that no fund-
raising activity is involved, and that no part of the amount paid for the dinner will be employed
in the purchase of a gift for the honoree. (Compendium § §.4-5(c) (1997).)

A judge participating as a faculty member in a two-week seminar of general interest
organized on a nonprofit basis and financed by tuition and subsistence payments by nonfaculty
attendees may accept reimbursement for the judge's and the judge's spouse's travel and
subsistence expenses. (Advisory Opinion No. 3.)

A judicial employee may receive compensation and reimbursement of expenses for
outside activities provided that receipt of such compensation and reimbursement is not
prohibited or restricted by this Code, the Ethics Reform Act, and other applicable law, and
Provided that the source or amount of such payments does not influence or give the appearance
of influencing the judicial employee in the performance of official duties or otherwise give the
appearance of impropriety. Expense reimbursement should be limited to the actual cost of
travel, food and lodging reasonably incurred by a judicial employee. (Code of Conduct for
Judicial Employees, Canon 4E.)

28 Issued Janu 2, 1998


~*

2408

When, long after the judge's departure, additional assets are discovered which should
have been transferred to the judge at the time of his departure (e.g. delayed refund under a
health insurance plan), there is no ethical impediment to the judge's receipt of the appropriate
distribution. (Compendium § 2-7(e)(1999).)

A judge who is a participant in a law firm's KEOGH plan has a financial interest in all of
the corporations whose stock is owned by the plan, and must keep informed of the plan's
investments, unless the plan is a common fund. (Compendium § 3.1-1())(1999),)

A law firm's KEOGH plan or 401 (K) plan which is managed by the firm or a small
number of participants, and for which the judge has ready access to investment information does
not qualify for the "common fund" exception. However, a law firm's retirement qualifies for the
"common fund" exception where 1) the interest is indirect (due to the number of participants and
the size and diversity of investments), 2) directed investment by participants is not available, and
3) the participants do not know about a fund's portfolio. (Compendium § 3,1-3(c),)

Other Employment

Part-time United States magistrates render such service as judicial officers as is required
by law. While so serving, they may engage in the practice of law and, within certain restrictions,
engage in any other employment which is not Consistent with the expeditious, proper, and
impartial performance of their duties as judicial officers. (28 US.C. § 632)

A part-time judge is a judge who serves on a continuing or periodic basis, but is
permitted by law to devote time to some other profession or occupation and whose compensation
‘for that reason is less than that of a full-time judge. A part-time judge: (1) is not required to
comply with Canons 5C(2), D, E, F, and G, and Canon 6C; (2) except as provided in the
Conflict-of Interest Rules for Part-time Magistrate Judges, should not practice law in the court
on which the judge serves or in any court subject to the appellate jurisdiction of the court on
which the judge serves, or act as a lawyer in a proceeding in which the judge has served as a
judge or in any other proceeding related thereto.

A judge should require law clerks to keep the judge reasonably informed of their future
employment plans as required by the Code of Conduct for Law Clerks. A law clerk should have
no involvement whatsoever in pending matters handled by a prospective employer when an offer
of employment has been made to the law clerk and has been, or may be, accepted by the law
clerk. (Advisory Opinions Nos. 74 and 81,)

16 Issued January 2, 2000


2373
‘YI. Explanatory Comments

Use this section to add information clarifying other portions of the Report. Of particular
importance is any information, such as a reference to opinions of the Committee on Codes of
Conduct and actions of a Judicial Council, that bears on possible conflicts of interest or problems
under the Codes of Conduct for United States Judges. Also use this section to explain any
apparent inconsistencies between the current Report and past Reports.

Place explanatory comments either with the item or in Part VIII that will facilitate
"tracing" items from one Report to the next. For example, indicate if an asset has a different
name from that used in the prior Report because of a reorganization or change of name.

Use attachment pages if more space is needed.

1X. Certificati Si

The certifications provided on the form cover (1) a certification that the reporting person
did not perform any adjudicatory function in any litigation during the reporting period in which
such person or his or her spouse or minor or dependent children had a financial interest; (2) a
certification that the Report is accurate, true, and complete as to all information required by the
Act to be reported; and (3) a certification that eared income from outside employment and
honoraria and the acceptance of gifts that have been reported are in compliance with the
provisions of applicable laws and regulations.

The first certification covers only minor or dependent children, If it cannot be made in
the form contained on the Report, e.g., the reporting person performed adjudicatory functions in
a case either in error or under the "rule of necessity,” modify the certificate and explain in Part

VI.

The original Report that is to be filed with the Committee must bear the original signature
of the reporting person; the other three copies may be copies of the signed original. At least one
copy of an amended return or of a clarifying letter responding to a Committee inquiry must bear
the original signature of the reporting person; all other copies shall be copies of the signed
original. The signature of the reporting person may be excused only during a period of physical
or mental incapacity of that person.

Promptly upon discovery that an error has been made in a Report, amend the Report by
one of the methods explained on page 4.

54 Issued January 2, 1999


2257

Senior judges designated in 5 U.S.C. app. 4, § 502(b), (iustices and senior judges) are
excluded from the 15% cap on compensation received from approved teaching. Even if the
Ethics Reform Act is satisfied, provisions of the Code of Conduct for United States Judges must

also be satisfied.
ime is es

Part-time United States magistrate judges render such service as judicial officers as is
required by law. While so serving they may engage in the practice of law, but may not serve as
counsel in any criminal action in any court of the United States, or act in any capacity that is
inconsistent with the proper discharge of their office. Within such restrictions, they may engage
in any other business, occupation, or employment which is not inconsistent with the expeditious,
proper, and impartial performance of their duties as judictal officers. (28 U.S.C. § 632(b).)

Judicial Employees

a. No covered senior employee, as defined in the "Regulations of the Judicial Conference
of the United States Under Title VI ofthe Ethics Reform Act of 1989 Concerning Outside Earned
Income, Honoraria, and Outside Employment," Poli
Volume If, Chapter VI, Part H, shall:

() affiliate with or be employed by a firm, partnership, association,
corporation, or other entity to provide professional services which involve
4@ fiduciary relationship for compensation;

(2) permit the use of his or her name by any such firm, partnership,
association, corporation, or other entity;

( practice a profession which involves a fiduciary
relationship for compensation;

(4) serve for compensation as an officer or member of the board of any
association, corporation, or other entity; or

(3) receive compensation for teaching, without the prior notification and
approval as herein provided.

Note: Senior employees of the Court of International Trade or the Court of
Federal Claims must obtain approval from the chief judges of those
courts. Senior employees of the Tax Court must obtain approval from the
chief judge of the Tax Court. Commissioners and senior employees of the
Sentencing Commission shall obtain approval from the Chairman of the

12 Issued Famussy 2, 1998


2301

COMPLIANCE AND SANCTIONS

Compliance with filing and reporting requirements is monitored pursuant to 5 U.S.C. app.
4,§ 106.

One who knowingly and willfully falsifies or fails to file or report any information
required under the Act is subject to civil and criminal sanctions. Section 104(a).

ETHICAL STANDARDS

The disclosure requirements and exemptions from disclosure contained in the Act neither
define nor limit the standards imposed by the Code of Conduct for United States Judges and
other rules of the Judicial Conference of the United States or the statutory provisions for
disqualification or recusal.

For example, disclosure of financial interests under the Act is required only for interests
exceeding a stated minimum amount of value and only with respect to certain members of a
person's family, whereas 28 U.S.C. § 455(b)(4) applies to financial interests without regard to
amount and 28 U.S.C. § 455(b)(5) applies to participation in litigation by a person within the
third degree of relationship to the judge. Similarly, the Act exempts from disclosure matters
relating to campaign receipts and campaign disbursements, most of which would be prohibited
under the Code of Judicial Conduct for United States Judges, which also precludes qualified
blind trusts for judges.

PUBLIC ACCESS

Financial Disclosure Reports are public documents, open to inspection and copying at the
office of the Committee on Financial Disclosure. Reports will be made available to the public
within thirty (30) days after the Report is received by the Committee on Financial Disclosure and
only upon written application. Sections 105(a) and (b)(1).

Individuals requesting copies of Financial Disclosure Reports will be required to present
adequate identification such as a picture identification, when requesting a copy in person. Those
requesting copies by mail will be required to submit a notarized request.

There will be a charge of fifty (50) cents for each page copied. A Report will be made
available only to a person who states on a written application:

(A) that person's name, occupation and address;

(B) the name and address of any other person or organization on whose
behalf the inspection or copy is requested; and

56 Issued January 2, 1998


2457

Reimbursements
bar association
definition
foreign government
food, lodging, or entertainment
personal hospitality
travel expenses
Reviewing judge
certification
Senior covered employee
Senior judge
Teaching
approval
ordinary and necessary expenses
senior judge
Transactions
capital gains
buy
deposits or withdrawals from bank accounts
exchange of properties
inherit
liquidation of a bank account
merger
partial
personal residence
Trusts
beneficial interest
blind trust
contingent interest
dependent child
exemptions
spouse
Value Method
Q--Appraisal
R-Cost
S --Assessment
T ~Cash/Market
U-Book
V Other
W --Estimated
Where to file
Widely Held Investment Funds

65

25
27
25
25
25
26
25

19
2,21
20, 21
24
22
21
46
47
46
47
47
46
46
46
47
47
33
53
54
53
53, 54

53,54
44
44

44

Seabees

Issued January 2, 2000


2370

qualified blind trusts as defined and conditioned in the pertinent statutes. Judicial employees
considering the establishment of a qualified blind trust are directed specifically to Section
102(£(3)(D), which requires approval by the Committee on Financial Disclosure.

‘VII. Page 1 INVESTMENTS and TRUSTS -- income, value, transactions (Includes those
of spouse and dependent children. See pp. 35-53 of Instructions.)

[JNONE geet nae

George Washington Trust

IBM Stock A [Dividend] x |

‘Meritt Lynch 20° Century Mutual Fund | B [Dividend] L | T.

NY City Transportation Bonds Ione | Lo} Tt | Buy fiami] &

Ment Lynch Brokerage Account IRA

‘Merzilt Lynch Heals Mousa! Fund A. [Dividend sel fue} x | A
Merrill Lynch Growth Mutual Fund B |pividend] Kk | T | Bay fre] x
Capitol Holding Stock A Dividers} Lo]

Notes to filer:

Did you complete the appropriate columns for each asset required to be individually
listed in a trust, estate, investment club, or other similar financial arrangement?

51 Issued January 2, 1999


2354
VEL In Tru

Information pertaining to the reporting person, spouse, and dependent children is required
in this Part.

1, General

In this Part a complete listing is required of reportable assets owned by the reporting
person, spouse, and dependent children. Each asset must be individually listed and identified
except as may he specifically provided otherwise (see Part 6 Trusts below). Bank or
brokerage house reports are not acceptable for compliance with these reporting requirements
unless they succinctly contain all necessary information without requiring the reader to perform
calculations or select out necessary data from a larger body of information. For initial Reports,
there are separate rules for completing this Part, found at Appendix I of these Instructions.

Report assets held during the preceding calendar year in a trade or business, or for
investment or the production of income, which have a fair market value in excess of $1,000 at
the end of the year or from which you received income in excess of $200 during the preceding

calendar year. Sections 102(a)(3) and 102(a)(1)(B).
You are not required to report:
- Investments in the Thrift Savings Plan. Section 102(i)(1)(A).

Any property, real or personal, not held in a trade or business, or for investment or
the production of income. As examples, you need not report a private residence
or personal automobiles. Section 102(a)(3).

- Any personal liability owed to you, your spouse, or dependent children by a
spouse, or by a parent, brother, sister, or child of you or your spouse. Sections
102(a)(3) and 102(e)(1).

- Accounts in a financial institution (any form of deposit in a bank, savings and
loan association, credit union or similar financial institution), unless the aggregate
amount of income for all an individual's income producing accounts at the
institution for the reporting year is in excess of $200, or the aggregate value at the
end of the reporting year of all such income producing accounts is more than
$5,000. If either condition is met, each such account must be separately reported.
Sections 102(a)(1(B) and 102(a)(3).

- Asset information with respect to a spouse living separate and apart with the

intention of terminating the marriage or providing for permanent separation.
Section 102(e)(2).

35. . Issued January 2, 1999


2356

Jinancial institution, assets must be in excess of $5,000 or produce income in excess of $200. It
has been a fairly common misconception from filers that both thresholds must be met before an

asset is required to be disclosed

Normally, any information pertaining to a personal residence is exempted from
reporting. However, a second personal residence (e.g., a weekend or vacation home) should be
reported ifrental income is received for the use of the property.

The reporting of accounts in a financial institution does require some clarification since
the Committee changed some of the language for the calendar year 1994 Instructions. If the
aggregate amount of income for all of an individual's accounts or the value of all such income
producing accounts exceeds the established thresholds, then each such account must be
separately reported for each individual. It is important to apply the "threshold test" separately
to each individual owner of the accounts, which would include the following:

(1) accounts individually owned by filer,
(2) accounts individually owned by spouse,

(3) accounts individually owned by dependent child, and

(4) accounts jointly owned by filer and spouse or dependent child.

It should be understood that a reporting exemption for failure to meet a threshold
amount, or for any other reason, does not affect any inquiry or recusal obligation under the
Code of Conduct for United States Judges.

2. Description of Assets

In completing Part VII, a separate description of each asset listed is required. To assist
the reviewer, assets should be listed in the same order as in the previous Report. Each asset
reported should be described in sufficient detail so the reader can tell what the property is. As
examples:

= Forstocks, bonds, and other securities indicate the type of the holding,
"common," etc., and its name. Commonly understood abbreviations are
permitted.

- Foran account within a financial institution, give sufficient information so that it
can be identified. Ageregate information may be provided for accounts in each
financial institution.

37 Issued January 2, 1999


2244

FINANCIAL DISCLOSURE INSTRUCTIONS FOR
JUDICIAL OFFICERS AND EMPLOYEES

TABLE OF CONTENTS

y
g

INTRODUCTION
WHO MUST FILE, WHEN AND WHERE .
Extensions of Time to File . ..
Filing Fee . .
‘Where to File -
Amendments
Waivers ....
GENERAL INSTRUCTIONS
"None" Box .....-..
Disclosure Concerning Family Members
Extra Pages; Attachments... .
Alternative Format For Reporting .
Reconciliation with Prior Reports. :
INSTRUCTIONS FOR COMPLETING EACH PART
I. Positions .. .
IL Agreements .
IIL. Non-investment Income .
A. General Non-investment
B. Outside Employment and Honoraria .
C. General Provisions ...........
TV. Reimbursements of Transportation, Lodging, Food,
V. Gifts
VI. Liabilities .
VIL Investments and Trusts
1, General...
Description of Assets

WON AAUNHDER RUE E

Entertainment .

2.
3.
4, Value .
5.

IX. Certification and Signature
COMPLIANCE AND SANCTIONS
ETHICAL STANDARDS ........
PUBLIC ACCESS
APPENDIX I - INITIAL REPORTS

Who Must File and When ....

Instructions for Completing Each Part .

Identifying Information

i Issued Janwary 2, 1998


2333
TL_Agreements

Only information pertaining to the reporting person is required in this Part.
In this Part a complete listing is required of any agreement with respect to:

(a) future employment;

(b) _ aleave of absence during Government service;

©) continuation of payments by a former employer other than the United States; and

(2) continuing participation in an employee welfare or benefit plan maintained by a
former employer,

Report the date, parties, and terms of the agreement. Section 102(a)(7).

For all Reports, show any such agreements currently in force.

Any additional information—e.g., an opinion from the Committee on Codes of Conduct,
or approval from a Judicial Council--that bears upon the question whether an agreement presents
2 potential conflict of interest problem or problem under the Codes of Conduct for United States
Judges should be provided in Part If or on an attached page.

If you did not have any reportable agreements during the reporting period, check the
"None" box, rather than leaving Part II blank.

IL, AGREEMENTS. (Reporting individual only; see pp. 14-16 of Instructions.)
DATE PARTIES AND TERMS
[] NONE (Wo reportable agreements)

' 1997 Jones & Smith Retirement Plan with former law firm, no control

2

3

Notes to filer:

Do you have any reportable agreements? If not, is the NONE box checked?

14 Issued Janwary 2,1999


Information pertaining to the reporting person, spouse, and dependent children is required
in this Part.

In this Part list all of your, your spouse's and dependent children's liabilities to any
creditor other than a spouse, parent, brother, sister, or child, which exceeded $10,000 at any time
during the reporting period. Sections 102(a)(4) and 102(e)(1(E)-

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a\4). For initial and final Reports, see Appendices I and IT, respectively,
for the appropriate reporting periods.

In this Part, list the identity and category of value of each liability. The identity includes
the name of the creditor and a description of the liability. Section 102(a(4). To assist the
reviewer, liabilities should be listed in the same order as in the previous Report.

The category codes for the amount owed as of the end of the reporting period are shown
on the Report and are as follows:

J - $15,000 or less PI - $1,000,001 to $5,000,000
K- $15,001 to $50,000 P2- $5,000,001 to $25,000,000
L - $50,001 to $100,000 P3 - $25,000,001 to $50,000,000
M- $100,001 to $250,000 P4 - more than $50,000,000

N- $250,001 to $500,000

0 - $500,001 to $1,000,000

Section 102(4X1).

The reporting requirement relates to obligations that at any time during the reporting period
exceeded $10,000, but the amount to be shown by the category code is the amount owed as of the
end of the reporting period.

In the creditor section, indicate, where applicable, the person responsible for the liability
with the parenthetical "(S)" for separate liability of spouse, "(J)" for joint liability of the reporting
person and spouse, or "(DC)" for liability of a dependent child.

You are not required to report:

any liability owed to a spouse, parent, brother, sister, or child. Section 102(@X().

33 Issued January 2, 1998


2398

only when a beneficial interest exists is found on pages 53 and 54. The Act does not require
disclosure of the financial interests of other family members, nor is it required with respect to a
spouse who is living separate and apart with the intention of terminating the marriage or
permanently separating. Section 102(e)(2).

The Act defines a dependent child as a "son, daughter, stepson, or stepdaughter . .. who

(A) is unmarried and under age 21 and is living in the household of the reporting person; or

(B) isa dependent of the reporting person within the meaning of section 152 of the Internal
Revenue Code of 1986." (26 U.S.C. § 152)

Section 109(2).

Extra Pages; Attachments

If more space is needed for any part than is provided on the form, make the additional
entries on a new page and include it as a numbered attachment. The identifying information
(name and date of report) must appear on each attachment page. If you make these entries on
other than a photocopy of a page from the form, make sure that the part being continued is
indicated and that all the required information is given.

Alternative Format For Reporting

The computer program available from the Committee provides an acceptable format for
reporting.

It is permissible in exceptional circumstances to provide the required information in any part
of the report in an alternative format but only upon a specific written determination by the
Committee that such alternative reporting is acceptable. Those wishing to use alternative formats
should seek permission to do so by writing to the Committee stating in detail the format to be
used, why the request is being made, and whether it is for the current report only or for future
reports, as well. All information submitted must be in a format easily reconciled with prior
reports. Section 102(b)(2)(A).

In the absence of permission to use an alternative format, no extrinsic reports or documents
may be used as substitutes for disclosure on the AO Form 10 as provided. This limitation is
necessary to avoid additional burdens that would occur in the review process if a variety of
documents, with different formats and often with extraneous information, were permitted.

6 Issued January 2, 2000


2365

Commentary

Ifan asset is entirely sold during the reporting period, then Column C should be left
blank. However, if an asset is partially sold (such as a portion of the total shares of stock
owned), then Column C should be completed.

In addition, it should be emphasized that in Column C(2), there are four value method
codes which require additional information in either Column A or Part VIII. Filers tend to
Sorget that each report must stand on its own and as a result often fail to provide the following

on their report each year:
(1) "Q"-Appraisal- the date of the appraisal
(2) "R"Cost- the date of purchase and the dollar amount of the purchase price.
(3) "S"-Assessment- the dollar amount of the assessed value.
(4) "V"-Other- the filer must describe the method used in Column A (Description) or
Part Vill
5. ‘Transactions

Information on transactions should be entered in Column D. Transactions to be reported
involve any purchase, sale or exchange during the reporting period which exceeds $1,000.
Section 102(a)(5).

As to each acquisition or disposition, you should disclose:

a)
b)
c)
ad

e)

the type of transaction, e.g., buy, sell, merger, inherit, redeem, etc.;
the date of the transaction;
the value category code indicating the value of the consideration paid or received;

the capital gain, if exceeding $200, realized on a disposition, using the appropriate
income category code (codes A-H);.

the identity of the buyer or seller unless the transaction was conducted through
public trading, as on a stock or commodities exchange;.

the liquidation of a bank account or money market fund that may have been
reported on a prior Report.

46 Issued January 2, 1999


2340

= No Judicial officer or employee of the judicial branch (except for part-time
magistrate judges), may accept honoraria, but a payment may only be made on
behalf of such officer or employee to a charitable organization in lieu of the
honorarium, so long as the payment does not exceed $2,000, and is not made to a
charitable organization from which the filer or the filer's parent, sibling, spouse,
child, or dependent relative derives any financial benefit. 5 U.S.C. app. 4,
§ 501(b) and (c). In such instances, the filer should report the source, date, and
amount of payments made to charitable organizations in lieu of honoraria and
shall simultaneously file with the Committee on Financial Disclosure, on a
confidential basis, a corresponding list of recipients of all such payments together
with their dates and amounts. Section 102(a)(1)(A).

Cc. General Provisions

For annual Reports, the reporting period is the calendar year preceding the date of the
Report. Section 102(a)(1)(A). For initial and final Reports, see Appendices I and If,
respectively, for the appropriate reporting periods.

If neither you nor a spouse had any reportable income during the reporting period, check
the "None" box rather than leaving Part III blank.

Commentary

Contained within these Instructions and Appendix II] are detailed instructions and
regulations relating to limitations imposed on certain judicial officers and employees with
respect to certain types of outside employment and income. Several important guidelines need to
be emphasized for the benefit of the reviewing official.

Covered senior employees (defined in the cited appendix) are prohibited from receiving
more than 15% of the pay rate for Executive Level II (currently $136,700) in earned income from
outside employment. The limitation for 1998 is $20,505. However, senior judges who receive
compensation for teaching, part-time magistrate judges, officers and employees of the Supreme
Court, and employees of the Federal Judicial Center are exempted as to teaching income and
are not restricted to this outside income limitation.

In addition, all judicial officers and all employees of the judicial branch (except for part-
time magistrate judges) are prohibited from accepting honoraria for any "appearance, speech,
or article.” Any filer listing honoraria will be questioned for clarification and may eventually be
referred to the Committee on Codes of Conduct for an advisory opinion.

21 Issued January 2, 1999


2281

a Tape of the asaet—
Fp gm ans mae Bc

Information pertaining to the reporting person, spouse, and dependent children is required
in this Part.

1. General

In this Part a complete listing is required of reportable assets owned by the reporting
person, spouse, and dependent children. Each asset must be individually listed and identified
except as may be specifically provided otherwise (see Part 6 Trusts below). Bank or
brokerage house reports are not acceptable for compliance with these reporting requirements
unless they succinctly contain all necessary information without requiring the reader to perform
calculations or select out necessary data from a larger body of information. For initial Reports,
there are separate rules for completing this Part, found at Appendix I of these Instructions.

Report assets held during the preceding calendar year in a trade or business, or for
investment or the production of income, which have a fair market value in excess of $1,000 at
the end of the year or from which you received income in excess of $200 during the preceding
calendar year. Sections 102(a)(3) and 102(a)(1)(B).

You are not required to report:
- Investments in the Thrift Savings Plan. Section 102(i)(1)(A).

+ Any property, real or personal, not held in a trade or business, or for investment or
the production of income. As examples, you need not report a private residence
or personal automobiles. Section 102(a)(3).

- Any personal liability owed to you, your spouse, or dependent children by a
spouse, or by a parent, brother, sister, or child of you or your spouse. Sections
102(a)(3) and 102(eX(1).

- Accounts in a financial institution (any form of deposit in a bank, savings and
Joan association, credit union or similar financial institution), unless the aggregate
‘amount of income for all an individual's income producing accounts at the
institution for the reporting year is in excess of $200, or the aggregate value at the
‘end of the reporting year of all such income producing accounts is more than
$5,000. If either condition is met, each such account must be separately reported.
Sections 102(a)(1)(B) and 102(a)(3).

~ Asset information with respect to a spouse living separate and apart with the

intention of terminating the marriage or providing for permanent separation.
Section 102(e)(2).

36 Issued Fanuary 2, 1998