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Document Index: 637326870

Matched Legal Cases: ['ART 2638', 'ART 2638', 'ART 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§2638', '§2638', '§2634', 'art 2634', '§206', '§2638', '§2638', '§2634', 'art 2634', '§2638', '§2638', '§2634', 'art 2634', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', 'art 2634', 'art 735', '§2638', '§2638', 'art 735', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', '§2638', 'art 735', 'arts 2633', '§2638', '§2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638', '§ 2638']

5 C.F.R. PART 2638—OFFICE OF GOVERNMENT ETHICS AND EXECUTIVE AGENCY ETHICS PROGRAM RESPONSIBILITIES
United States> Code of Federal Regulations> Title 5 - Administrative Personnel> CHAPTER XVI--OFFICE OF GOVERNMENT ETHICS> PART 2638--OFFICE OF GOVERNMENT ETHICS AND EXECUTIVE AGENCY ETHICS PROGRAM RESPONSIBILITIES> PART 2638—OFFICE OF GOVERNMENT ETHICS AND EXECUTIVE AGENCY ETHICS PROGRAM RESPONSIBILITIES
§ 2638.101 Authority and purpose.
§ 2638.102 General policies.
§ 2638.103 Agency regulations.
§ 2638.104 Definitions.
Subpart B—Designated Agency Ethics Official
§ 2638.201 In general.
§ 2638.202 Responsibilities of agency head.
§ 2638.203 Duties of the designated agency ethics official.
§ 2638.204 Deputy ethics official.
§ 2638.301 In general.
§ 2638.302 Who may request a formal advisory opinion.
§ 2638.303 Subject matter of formal advisory opinions.
§ 2638.304 Form of requests for formal advisory opinions.
§ 2638.305 Acceptance of requests for formal advisory opinions.
§ 2638.306 Notice of requests.
§ 2638.307 Written comment on requests.
§ 2638.308 Issuance.
§ 2638.309 Reliance on formal advisory opinions.
§ 2638.310 Public availability and publication of formal advisory opinions.
§ 2638.311 Copies of published formal advisory opinions.
§ 2638.312 Referral of requests.
§ 2638.313 Agency opinions.
§ 2638.401 In general.
§ 2638.402 Corrective orders.
§ 2638.403 Agency compliance.
§ 2638.404 Report of noncompliance.
Subpart E—Corrective and Remedial Action in Cases Involving Individual Executive Agency Employees
§ 2638.502 Recommendations and advice.
§ 2638.503 Agency investigations.
§ 2638.504 Director's finding.
§ 2638.505 Director's decision and order.
§ 2638.506 Director's recommendation.
Subpart F—Executive Branch Agency Reports
§ 2638.601 In general.
§ 2638.602 Annual agency reports.
§ 2638.603 Reports of referral for possible prosecution.
§ 2638.701 Overview.
§ 2638.702 Definitions.
§ 2638.703 Initial agency ethics orientation for all employees.
§ 2638.704 Annual ethics training for public filers.
§ 2638.705 Annual ethics training for other employees.
§ 2638.706 Agency's written plan for annual ethics training.
Source: 46 FR 2583, Jan. 9, 1981, unless otherwise noted. Redesignated at 54 FR 50231, Dec. 5, 1989.
(a) Authority. The regulations of this part are issued pursuant to the authority of titles I and IV of the Ethics in Government Act of 1978 (Pub. L. 95–521, as amended) (“the Act”).
(b) Purpose. These executive branch regulations supplement and implement titles I, IV and V of the Act, set forth more specifically certain procedures provided in those titles, and furnish examples, where appropriate.
(a) The Office of Government Ethics (“the Office”) provides overall direction and leadership concerning executive branch policies related to preventing conflicts of interest. The head of each agency has primary responsibility for the administration of the “ethics in government” program within his or her agency. The Office carries out its leadership role by:
(1) Providing information on and promoting ethical standards in executive agencies;
(2) Consulting with agencies regarding their agency ethics programs and assisting them in interpreting ethics rules and regulations;
(3) Developing rules and regulations pertaining to conflicts of interests and standards of conduct;
(4) Monitoring compliance with the public and confidential financial disclosure requirements;
(5) Establishing a formal advisory opinion service; and
(6) Evaluating the effectiveness of programs designed to prevent conflicts of interests.
Each agency may, subject to the prior approval of the Office of Government Ethics, issue regulations not inconsistent with this part.
Act means the Ethics in Government Act of 1978 (Pub. L. 95–521, as amended).
Agency means any executive department, military department, Government corporation, independent establishment or agency, including the United States Postal Service and Postal Rate Commission.
Designated agency ethics official means an officer or employee who is designated by the head of the agency to coordinate and manage the agency's ethics program in accordance with the provisions of §2638.203 of this part.
Executive branch includes each executive agency as defined in 5 U.S.C. 105 and any other entity or administrative unit in the executive branch. However, it does not include any agency, entity, office or commission that is defined by or referred to in 5 U.S.C. app. 109(8)–(11) of the Act as within the judicial or legislative branch.
Each agency shall have a designated agency ethics official who is the officer or employee designated by the head of the agency to administer the provisions of title I of the Act within that agency, to coordinate and manage the agency's ethics program and to provide liaison to the Office of Government Ethics with regard to all aspects of such ethics program. The agency's ethics program shall be designed to implement titles I, IV and V of the Act and regulations promulgated thereunder, Executive Order 12674 as modified (relating to principles of ethical conduct for officers and employees within the executive branch) and regulations promulgated thereunder, and other statutes and regulations applicable to agency ethics matters.
(a) In general. The head of each agency is responsible for and shall exercise personal leadership in establishing, maintaining, and carrying out the agency's ethics program. He or she shall make available to the ethics program sufficient resources (including investigative, audit, legal, and administrative staff as necessary) to enable the agency to administer its program in a positive and effective manner.
(b) Selection of a designated agency ethics official. The head of each agency shall appoint an individual to serve as the designated agency ethics official and an individual to serve in an acting capacity in the absence of the primary designated agency ethics official (alternate agency ethics official). In selecting these two individuals the head of an agency should ensure that the experience of such appointees in administrative, legal, managerial, or analytical work demonstrates the ability to—
(1) Review the financial disclosure reports submitted by officers or employees within the agency, assessing the application of conflict of interest laws and regulations to the information reported and counseling those officers or employees with regard to resolving actual or potential conflicts of interests, or appearances thereof;
(2) Review the financial disclosure reports submitted by Presidential appointees for confirmation purposes and counsel those appointees with regard to resolving potential conflicts of interest, or appearances thereof, before the confirmation hearing;
(3) Counsel agency personnel concerning ethics standards and programs;
(4) Counsel departing and former agency officials on post-employment conflict of interest standards;
(5) Assist managers and supervisors in understanding and implementing agency ethics programs;
(6) Administer a system for periodic evaluation of the ethics program; and
(7) Select deputy ethics officials if necessary and manage the ethics program through them.
(c) Designation. The head of each agency shall formally delegate functional authority to coordinate and manage the ethics program as set forth in §2638.203 to the designated and alternate agency ethics officials. Within 30 days of any such delegation of authority the head of the agency shall submit to the Office of Government Ethics a formal written designation. The designation shall include:
(1) The names of the individuals so designated;
(2) The title of the position held by each designee; and
(3) A copy of the delegation of authority.
(a) In general. The designated agency ethics official shall coordinate and manage the agency's ethics program. The program consists generally of:
(1) Close liaison with the Office of Government Ethics concerning the agency's ethics program is developed and maintained;
(3) The financial disclosure reports of Presidential nominees to agency positions submitted prior to Senate confirmation hearings pursuant to §2634.605(c) of part 2634 are certified personally by him or herself or alternate designated agency ethics official in his or her absence;
(4) All financial disclosure reports submitted by employees and filed in bureaus and regional offices, as well as those submitted and filed at the agency's headquarters, are properly maintained and effectively and consistently reviewed for conformance with all applicable laws and statutes;
(5) A list of those circumstances or situations which have resulted or may result in noncompliance with ethics laws and regulations is developed, maintained and published within the agency as required by §206(b)(7) of the Act and made available for public inspection;
(i) Violations or potential violations, or appearances thereof, of the agency's standards of conduct including post employment regulations;
(10) The agency's standards of conduct regulations, financial disclosure systems, and post-employment enforcement systems are evaluated periodically to determine their adequacy and effectiveness in relation to current agency responsibilities;
(12) The services of the agency's Office of the Inspector General, if any, are utilized when appropriate, including the referral of matters to and acceptance of matters from that Office;
(13) A list of those persons to whom delegations of authority are made pursuant to §2638.204(a) is maintained and made available to the Office of Government Ethics, upon request; and
[46 FR 2583, Jan. 9, 1981. Redesignated at 54 FR 50231, Dec. 5, 1989, and amended at 58 FR 69176, Dec. 30, 1993; 59 FR 12148, Mar. 16, 1994]
(a) Functions. A designated agency ethics official may, if necessary, delegate to one or more deputy ethics officials any of the duties referred to in §2638.203, except for those functions set forth in §2634.605(c)(2) of part 2634 and referred to in §2638.203(b)(3) (certification of nominee statements). A deputy ethics official shall work under the supervision of the designated agency ethics official in carrying out such delegated functions.
(b) Dual status. A deputy ethics official may also be designated pursuant to §2638.202 to serve as the alternate agency ethics official. During the absence of the designated agency ethics official a deputy ethics official who has also been designated as the alternate ethics official shall perform the functions set forth in §2634.605(c)(2) of part 2634 and referred to in §2638.203(b)(3).
[46 FR 2583, Jan. 9, 1981. Redesignated at 54 FR 50231, Dec. 5, 1989, and amended at 58 FR 69176, Dec. 30, 1993]
(a) The Director of the Office of Government Ethics has the authority and responsibility to render formal advisory opinions pursuant to Section 402(b)(8) of the Act. This service is available to any person who has a question about a matter over which the Office of Government Ethics has jurisdiction. Formal advisory opinions will be issued when a two-pronged test is met. First, the person making the request must meet the requirements of §2638.302 and, second, the subject matter of the request must meet the criteria set forth in §2638.303.
(b) Normally, formal advisory opinions will not be issued to individuals who wish to obtain general advice concerning their own specific present or proposed activities or financial transactions. Such questions should be directed to the designated ethics official of the agency in which the individual will serve, serves or served. If a designated agency ethics official receives a request which he or she believes should be answered by the Office of Government Ethics, a referral procedure is available.
(c) The Office of Government Ethics will provide interested parties, to the extent practicable, with an opportunity to comment on any question which will be the subject of a formal advisory opinion issued by the Office. These opinions will be published in a form which will not identify specific individuals unless necessary to the understanding of the opinion. Copies will be sent to the designated ethics officials of each agency and be available at the Office of Government Ethics in that same form.
Any person (as defined in §2638.104) may request an opinion with respect to a situation in which that person is directly involved. A designated agency ethics official, representative, or attorney may request an opinion on behalf of the person. Notwithstanding this direct involvement requirement, a designated agency ethics official may always request an opinion concerning a situation about which he or she has knowledge.
Formal advisory opinions will be rendered on matters of general applicability or on important matters of first impression concerning the application of the Act, Executive Order 11222 and regulations promulgated pursuant to such Act and Executive Order, and the laws embodied in 18 U.S.C. 202–209. The Director will respond to those requests which in his or her discretion fall within this category taking into consideration:
(a) The unique nature of the question and its precedential value,
(b) The potential number of officers or employees throughout the Government affected by the question,
(c) The frequency with which the question arises, and
(d) The likelihood or presence of inconsistent interpretations on the same question by different agencies.
Except in unusual circumstances, opinions will not be rendered with respect to hypothetical situations posed in requests. Opinions may be rendered, however, on proposed activities or transactions.
(a) A request for a formal advisory opinion should be directed to the Director of the Office of Government Ethics, Suite 500, 1201 New York Avenue NW., Washington, DC 20005–3917.
(b)(1) A request should be in writing and signed by the individual making the request or by a representative of that person. A request shall state all material facts necessary for the Director to render a complete and correct opinion.
(2) In addition, it should also include the following information:
(i) the name, mailing address, and daytime telephone contact of the individual making the request, and
(ii) a copy of the position, description of the position involved, if available.
(c) If the request is submitted by a representative, he or she must show his or her representative status, list a mailing address and daytime telephone contact.
[46 FR 2583, Jan. 9, 1981. Redesignated at 54 FR 50231, Dec. 5, 1989, and amended at 55 FR 27180, July 2, 1990]
(a) Subject to the provisions of paragraph (d) of this section, the Director shall review each request for a formal advisory opinion and take one of the following actions:
(1) If the Director determines that the person making the request meets the requirements of §2638.302 and that the subject matter of the request qualifies under the criteria established in §2638.303, he or she shall assign an identifying number to the request and notify the person that a formal advisory opinion will be rendered; or
(2) If the Director determines that the person making the request is not a person who is eligible to receive a formal advisory opinion as provided in §2638.302, or that the subject of the request is not a matter upon which the Office issues formal advisory opinions as outlined by §2638.303, he or she shall so notify the person making the request.
When a formal advisory opinion will not be rendered, the Office of Government Ethics may provide other informational assistance to the person as appropriate. (See also §2638.312.)
(b) If at any time after receipt of a request for a formal advisory opinion, the Director believes that additional relevant information is needed, he or she may seek such information directly from the person requesting the opinion or from other sources which may include the agency involved.
(c) The person requesting the opinion may furnish the Office of Government Ethics with legal memoranda or other material relevant to the opinion requested.
(d)(1) In the case of a request which involves an actual or apparent violation of any conflict of interest law embodied in 18 U.S.C. 202–209, the Director shall consult with the Criminal Division of the Department of Justice.
(2) If after such consultation the Criminal Division determines that a criminal investigation will be undertaken, the Director shall take no further action with regard to that request pending a determination by the Criminal Division not to prosecute.
(3) Upon receipt of a determination by the Criminal Division not to prosecute, the Director shall then follow the procedures for all other requests for formal advisory opinions set forth in this part.
The Director shall provide notice to interested parties identified in a request which will be the subject of a formal advisory opinion that such an opinion will be rendered. Generally, the designated agency ethics official of the agency involved shall be notified of the request.
(a) To the extent practicable, the Director shall provide interested parties with an opportunity to submit written comment on a request for a formal advisory opinion. A time by which the comment should be received to be considered will be indicated with the notice that the request has been made.
(b) Additional time in which to comment may be granted upon written request to or at the discretion of the Director. Such requests and all written comments shall be sent to the Office of Government Ethics, Suite 500, 1201 New York Avenue NW., Washington, DC 20005–3917.
(a) A formal advisory opinion,
(1) Which involves the application of any conflict of interest law embodied in 18 U.S.C. 202–209 to a transaction or activity which does not raise a question of an actual or apparent violation of this law but which raises an important matter of first impression, or
(2) Which is issued following the procedure set forth in §2638.305(d),
requires consultation by the Office of Government Ethics with the Office of Legal Counsel of the Department of Justice before it is issued.
(b) An advisory opinion shall be considered issued when it is dated, numbered, and signed by the Director. Unless released by the person who made the request, the opinion will not become publicly available until information which identifies individuals involved and which is unnecessary to the complete understanding of the opinion has been deleted from the opinion and this version of the opinion is placed in a public reading file at the Office of Government Ethics. (See §2638.310)
(a) Any formal advisory opinion referred to in §2638.308(a) or any provisions or finding of a formal advisory opinion involving the application of the Act, Executive Order 11222 and the regulations promulgated pursuant to the Act or Executive Order, may be relied upon by:
(1) Any person directly involved in the specific transaction or activity with respect to which such advisory opinion has been rendered, and
(2) Any person directly involved in any specific transaction or activity which is indistinguishable in all its material aspects from the transaction or activity with respect to which such advisory opinion was rendered.
(b) Any person who relies upon any provision or finding of any formal advisory opinion in accordance with paragraph (a) of this section and who acts in good faith in accordance with the provisions and findings of such opinion, shall not, as a result of such act, be subject to prosecution under 18 U.S.C. 202–209 or, in the case where the opinion is exculpatory, be subject to any administrative adverse action or civil action based upon legal authority cited in that opinion.
(a) The Director shall make sufficient deletions in any formal advisory opinion so that unless necessary to the complete understanding of the opinion, the identity of any person involved is not disclosed. No deletion shall in any way affect the substance of the opinion.
(b) A copy of this version of the opinion shall then be made available for public inspection within 10 working days after the issuance of the opinion at the Office of Government Ethics, Suite 500, 1201 New York Avenue NW., Washington, DC 20005–3917.
(c) The Director shall thereafter publish this version of the opinion.
Each designated agency ethics official shall receive a copy of each published opinion. Copies will also be available to the public from the Office of Government Ethics upon request at no more than cost.
(a) If a designated agency ethics official receives a request for advice from a person and determines that the request may come within the criteria set forth in §2638.303, he or she shall contact the Office of Government Ethics concerning the request before referring the request to the Office. If after such consultation the Office of Government Ethics determines that the request should be the subject of a formal advisory opinion, the designated agency ethics official shall notify the person making the request of that determination and request the person's permission to refer the request to the Office of Government Ethics.
(b) If the Director receives a request for an opinion which does not fulfill the criteria set forth in §2638.303, he or she may:
(1) Furnish informational assistance to the person as provided in §2638.305(a), or
(2) Refer the request to the appropriate designated agency ethics official.
(c) In all instances covered by paragraphs (a) and (b) of this section, a referral will not be made in the case of questions regarding possible future employment plans of an individual making the request unless he or she is first notified and gives his or her consent or the request itself indicates that such a referral may be made.
If the designated agency ethics official issues a written opinion concerning the application of 18 U.S.C. 202–209, he or she shall transmit a copy of that opinion to the Office of Government Ethics.
Source: 55 FR 1666, Jan. 18, 1990, unless otherwise noted.
The Director of the Office of Government Ethics has authority under subsections 402(b)(9) and 402(f)(1) of the Ethics in Government Act to order action to correct deficiencies in agency ethics programs. These procedures are intended to be used to correct deficiencies in agency ethics programs that are not being addressed adequately by the agency. They are not intended to be used to deal with cases involving individual employees or former employees. See subpart E of this part. For purposes of this section, an agency ethics program shall include those matters that are the responsibility of agency heads and designated agency ethics officials under subpart B of this part and shall include the requirements under part 2634 of this chapter and part 735 of this title to establish public and nonpublic financial disclosure systems. In implementing these procedures, the Director may use any authority contained in the Ethics Act.
(a) Notice. Where the Director has information indicating that an agency ethics program is not in full compliance with the requirements set forth in applicable statutes or regulations, the Director may issue a Notice of Deficiency to the designated agency ethics official and request an agency report under paragraph (b) of this section.
(b) Agency report. Within such time as may be set forth in the Notice of Deficiency, the designated agency ethics official shall provide a written report to the Director that shall include relevant information about the agency's ethics program. The ethics official's report may include:
(1) Information establishing that there is no deficiency;
(2) An explanation of how any deficiency is being corrected; or
(3) A plan for correcting any deficiency within a reasonable period of time.
(c) Director's determination. The Director will make a determination based on the agency report.
(1) If the Director determines that there is no deficiency, the designated agency ethics official will be so notified.
(2) If the Director determines that appropriate steps are being taken or that the agency has presented an adequate plan for correcting the deficiency, the Director will so notify the designated agency ethics official and, in consultation with the designated agency ethics official, establish requirements for status reports, if necessary, and for notification when the deficiency has been corrected.
(3) If the Director determines that a deficiency is not being corrected, the Director will issue an Order under paragraph (d) of this section.
(d) Orders. An order issued by the Director will be addressed to the head of the agency with a copy to the designated agency ethics official and shall specify:
(1) The deficiency in the agency ethics program that requires correction;
(2) The basis upon which the Director has determined that a deficiency exists;
(3) The corrective action required to remedy the deficiency; and
(4) Any reporting requirements necessary to establish that corrective action has been accomplished.
Within such time as may be set forth in the order, the agency head shall file a report with the Director detailing the corrective action taken. If corrective action cannot be accomplished within that time, the agency head shall submit a plan of corrective action for approval by the Director providing for appropriate status reports and notification of compliance. In either case, if the agency report or plan is deemed satisfactory, the Director will so inform the agency head. If the agency report or plan is insufficient, but only in minor respects, the Director may inform the agency head of the adjustments needed to bring the report or plan into compliance and a timeframe therefor; otherwise, the procedures under §2638.404 of this subpart will be invoked.
If the agency fails to comply with an order issued under §2638.402(d), the Director shall:
(a) Notify the head of the agency of intent to furnish a report of noncompliance to the President and the Congress;
(b) Provide the agency 14 calendar days within which to furnish written comments for submission with the report of noncompliance; and
(c) Report the agency's noncompliance to the President and to the Congress.
Source: 55 FR 1667, Jan. 18, 1990, unless otherwise noted.
(a) Authority. The Director of the Office of Government Ethics has authority under subsections 402(b)(9) and 402(f)(2) of the Act to order corrective and remedial action with respect to individual employees to bring about compliance with applicable ethics provisions. Nothing in this subpart relieves an agency of its primary responsibility to ensure compliance.
(b) Definitions. For the purpose of this subpart:
(1) Ethics provision includes any rule, regulation or executive order relating to conflicts of interest or standards of conduct in the executive branch. The term excludes any statute that is contained in title 18 of the United States Code or which imposes a criminal penalty as well as any statute made applicable to a specific agency that mandates or proscribes conduct not otherwise the subject of Governmentwide standards. It excludes any matter covered by sections 101 (k) and (m) of Executive Order 12674 that are within the cognizance of agency Inspectors General, the Office of Special Counsel or the Equal Employment Opportunity Commission.
(2) Employee means any officer or employee, including a special Government employee, covered by any of the provisions contained in part 735 of this title.
(3) Head of an agency, in the case of an agency that is headed by a board, committee or other group of individuals, refers to the employee's appointing authority.
(4) Corrective action means any action necessary to remedy a violation of an ethics provision including, but not limited to, recusal, divestiture, termination of an activity, restitution, or the creation of a qualified blind or diversified trust.
(5) Disciplinary action includes the full range of disciplinary actions provided for by Office of Personnel Management regulations and instructions implementing authorities contained in title 5 of the United States Code or provided for in comparable authorities applicable to employees not subject to title 5.
(6) The terms he, his and him include “she,” “hers” and “her.”
(c) Violations of criminal statutes. Nothing contained in this part gives the Director or any agency official authority to make a finding that any criminal statute relating to conflicts of interest is being or has been violated. If facts elicited under these procedures indicate that a criminal violation of any such provision is occurring or has occurred, the suspected violation will be referred for possible prosecution in accordance with 28 U.S.C. 535 and the reporting requirements set forth in §2638.603 of this chapter shall apply. Subsequent to referral, proceedings under this subpart may be initiated or continued at the discretion of the Director, after consultation with the appropriate investigatory or prosecutorial authorities.
(d) National security. Proceedings under this subpart shall be conducted in accordance with applicable national security requirements.
[55 FR 1667, Jan. 18, 1990; as amended at 55 FR 21846, May 30, 1990]
The Director may make recommendations and provide advice to agencies, designated agency ethics officials and employees for the purpose of ensuring an employee's compliance with applicable ethics provisions. This authority may be used where there is doubt or a dispute regarding the applicability of an ethics provision or where the Director has information indicating that an ethics provision is being improperly interpreted. Recommendations may be made or advice provided on the Director's own initiative or at the Director's discretion in response to a written or oral request. As determined by the Director, the recommendation may be made or the advice given either orally or in writing. In addition, the Director shall afford an employee the opportunity for personal consultation, if practicable, regarding action required to be taken by the employee to achieve compliance with applicable ethics provisions.
(a) Recommendation of investigation. If the Director has reason to believe that an employee is violating or has violated any ethics provision, the Director may recommend to the head of the agency that the agency conduct such investigation as is necessary to determine whether, in fact, a violation is occurring or has occurred and, where warranted, take appropriate disciplinary or corrective action. If the matter already has been investigated or if the facts are fully known to the agency and, in the opinion of the agency head, require no further investigation, the head of the agency shall notify the Director of that determination and shall promptly file the agency report required by paragraph (c) of this section.
(1) If the employee involved is the head of an agency, the recommendation shall be made to the President and the procedures set forth in this section shall serve as guidance only.
(2) Where there is reason to believe that an employee has given preferential treatment or failed to act impartially, this authority will not be used to initiate an investigation in the nature of a review or audit of the agency program in which the employee participated.
(b) Initiation of investigation. The head of the agency shall notify the Director when the agency has initiated an investigation. Where it is anticipated that the investigation will not be completed within 60 calendar days, the head of the agency will notify the Director of that fact and provide an explanation reasonably justifying additional time.
(c) Agency report. The head of the agency shall file a report with the Director detailing findings of fact and disciplinary and/or corrective actions taken, if any.
(d) Director's determination. The Director will make a determination based on the agency investigation and report.
(1) If the Director determines that the agency has conducted an adequate investigation and has taken appropriate corrective and/or disciplinary action, the Director shall notify the agency that the matter is closed.
(2) If the Director determines that the agency has conducted an adequate investigation and has recommended appropriate corrective and/or disciplinary action, the Director shall notify the agency that the matter will be closed upon notification that such action has been taken.
(3) If the Director determines that the agency has not conducted an adequate investigation, the Director may recommend that the agency undertake further investigative effort.
(4) If the Director determines that the agency has improperly interpreted an ethics provision or improperly applied an ethics provision to the facts of the case, the Director may, in accordance with §2638.502, provide advice and recommendations necessary to ensure compliance.
(5) If the Director determines that the agency has taken or recommended inappropriate corrective or disciplinary action, the Director may notify the head of the agency of intent to institute proceedings under §2638.504 or §2638.505.
(e) Notice of noncompliance. If the Director determines that the head of an agency has failed to conduct an adequate investigation within a reasonable period of time, the Director shall notify the President of that determination. A Notice of Noncompliance will not be based upon a determination that the agency has improperly interpreted or applied an ethics provision or that the agency has taken or recommended inappropriate corrective or disciplinary action.
(a) In general. If the Director has reason to believe that an employee is violating or has violated an ethics provision, the Director may initiate proceedings under this section for the purpose of making a finding as to whether there is or has been such a violation. In the context of such proceedings, the Office of Government Ethics has the burden of proof to establish that the employee is violating or has violated an ethics provision. The procedures contained in this section do not apply to findings or orders for action made to obtain compliance with the financial disclosure requirements in title II of the Ethics Act. For those findings and orders, the procedures contained in section 206 of the Act shall apply.
(b) Investigation. The Director may initiate such investigation as is necessary to determine whether proceedings under this section are warranted. Ordinarily, a determination to proceed will be based upon an agency report of investigation filed under §2638.503(c) and a determination by the Director under §2638.503(d)(5) that the agency has taken or recommended inappropriate corrective or disciplinary action.
(c) Notice. The employee shall be served personally or by United States mail with written notice of commencement of proceedings under this section. A copy of the notice shall be provided to the head of the agency and to the designated agency ethics official. The notice shall be signed by the Director and shall include the following:
(1) A brief statement setting forth the basis for a possible ethics violation;
(2) A copy of this section; and
(3) The date by which the employee's comments must be submitted.
(d) Employee comments. The respondent employee has the right to comment on the alleged violation of an ethics provision by submission of evidence or arguments. As determined by the Director, the submission may be made orally or in writing. In the absence of an extension granted by the Director for good cause shown, comments shall be submitted within the time set forth in the notice
(e) Finding. The Director will make a written finding as to whether a violation of any ethics provision has occured or is occurring. The finding will include a statement of the facts upon which the finding is based and a reference to the specific ethics provision in issue. A copy of the finding will be provided to the respondent employee, the head of the agency and the designated agency ethics official.
(a) In general. Where the Director has reason to believe that an employee is violating an ethics provision, the Director may, subject to the procedures set forth in this section, issue an order that the employee take specific corrective action to remedy the violation. Ordinarily, a determination to proceed under this paragraph (a) will be based on the Director's finding under §2638.504(e) that an ethics violation has occurred or is occurring and reason to believe that the violation is continuing. The procedures contained in this section do not apply to findings or orders for action made to obtain compliance with the financial disclosure requirements in title II of the Ethics Act. For those findings and orders, the procedures contained in section 206 of the Act shall apply.
(b) Notice. The employee will be served, personally or by United States mail, with notice of proceedings to determine whether a violation of an ethics provision is occurring and whether corrective action is necessary to end the violation. A copy of the notice shall be provided to the head of the employee's agency and the designated agency ethics official thereof. The notice shall specify the employee's right to present evidence or arguments either in writing or, at the employee's written request, at a hearing conducted on the record. The notice shall be signed by the Director and shall include:
(2) Where applicable, a copy of the Director's finding under §2638.504(e);
(3) A statement of the authority under which proceedings are to be conducted, together with a copy of this section; and
(4) The date by which the employee must, by written notification to the Director, elect to present evidence and arguments either at a hearing or in writing.
(c) Separation of functions. Once the Director has issued a notice of proceedings and if the respondent employee has elected to have a hearing conducted on the record, the General Counsel of the Office of Government Ethics shall designate attorneys of the Office of Government Ethics to participate on behalf of the Office in the proceedings, including the investigation and presentation of the evidence at the hearing. During this time period, the General Counsel of the Office of Government Ethics shall serve as Advisor to the Director and will not supervise Office of Government Ethics attorneys who are charged with the investigation and presentation of the evidence in the pending matter. A Deputy General Counsel shall supervise the Office attorneys responsible for the investigation and presentation of the evidence during this time period. No officer, employee, or agent engaged in the performance of investigative or advocacy functions for the Office of Government Ethics shall, in that or a factually related case, participate or advise in the decision, recommended decision or Office review except as witness or counsel in the proceedings. The Deputy General Counsel may request the views or report of the designated agency ethics official of the employee's agency when necessary to develop the record.
(d) Written submissions. Where the respondent employee elects to submit evidence and arguments in writing, he will be given a period of 30 calendar days from the date of the notice within which to make a submission.
(e) Hearings. If the respondent employee demands a hearing conducted on the record, he will be given written notice of the time and place of the hearing. The hearing will be convened within a reasonable period of time and will be conducted on the record. An administrative law judge who has been appointed under 5 U.S.C. 3105 shall act as the presiding official at the hearing. Hearings will be as informal as may be reasonably appropriate under all the circumstances. Evidence and testimony, although not ordinarily admissible under rules of evidence, may be received subject to the discretion of the administrative law judge. Immaterial, irrelevant or unduly repetitious evidence may be excluded. The parties may stipulate as to any facts or testimony. The testimony of witnesses shall be under oath and witnesses shall be subject to cross-examination. The administrative law judge shall make such rulings with respect to the conduct of the hearings as circumstances may require to ensure the orderly and expeditious presentation of evidence in a manner fair to the parties and consistent with these regulations and requirements of due process of law. The following procedures will apply to the hearing:
(1) Conference. The respondent employee or the designated attorney for the Office of Government Ethics may request, and the administrative law judge, on his own initiative or in response to a request, may set a prehearing conference for such purposes as the administrative law judge deems necessary.
(2) Public hearings. Hearings shall generally be open to the public. However, the administrative law judge may order a hearing or any part thereof closed, on his own initiative or upon motion of a party or other affected person, where to do so would be in the best interests of national security, the respondent employee, a witness, the public or other affected persons. Unless specifically excluded by the administrative law judge, the designated agency ethics official of the employee's agency shall be permitted to attend a closed hearing. Any order closing the hearing or any part thereof shall set forth the reasons for the administrative law judge's decision. Any objections thereto shall be made a part of the record. If a party or affected person's request to close the hearing or any part thereof is denied by the administrative law judge, that request shall be immediately appealable to the Director and the hearing shall be held in abeyance pending resolution of the appeal. The notice of appeal shall be filed in writing, not to exceed 10 pages exclusive of attachments, with the Director within 3 working days of the administrative law judge's denial of the request. The Director shall provide an opportunity for an oral hearing on the appeal conducted on the record and shall decide the appeal within 3 working days following receipt of the notice of appeal.
(3) Continuances and delays. The authority to adjourn the hearing shall rest with the administrative law judge. Continuances will be allowed only for the most compelling reasons.
(4) Hearing record. Testimony and arguments shall be recorded verbatim and preserved for a reasonable period of time. When requested, transcripts of the testimony and arguments and copies of all documentary exhibits will be made available to the respondent employee upon the payment of the reasonable costs thereof.
(5) Representation. A party is entitled to appear in person or by or with counsel.
(6) Witnesses. The administrative law judge does not have the authority to subpoena witnesses. However, the respondent employee and the Office of Government Ethics may call witnesses whose testimony is relevant and necessary to the proceedings. Witnesses who are to testify or to produce documents in their official capacities will be assigned to do so by their agencies pursuant to 5 U.S.C. 6322 and will be paid travel expenses under 5 U.S.C. 5702. Witnesses who are not Federal employees may be issued invitational travel orders under 5 U.S.C. 5703 based on a determination by the administrative law judge that their testimony is essential to the proceedings.
(7) Proof. The Office of Government Ethics has the burden of proof to establish that the respondent employee is committing a violation of an ethics provision and that corrective action is necessary to end the violation.
(8) Evidence. A party is entitled to present his case or defense by oral or documentary evidence, to submit rebuttal evidence, and to conduct cross-examination. The respondent employee and the designated attorney for the Office of Government Ethics may offer evidence, arguments, testimony of witnesses, affidavits or sworn statements.
(f) Recommended decision. At the conclusion of the hearing, the administrative law judge may request that the parties submit proposed findings and conclusions within a reasonable period of time. After receipt of the proposed findings and conclusions, if any, the administrative law judge shall certify the entire record to the Director for decision. When so certifying the record, the administrative law judge shall make a recommended decision that includes his written findings of fact and conclusions of law with respect to material issues.
(g) Decision and order. The Director's decision shall include written findings and conclusions with respect to all material issues and shall be supported by substantial evidence of record. The order shall state the corrective action, if any, to be taken by the respondent employee in order to remedy a violation of an ethics provision and shall establish a reasonable period of time within which the respondent employee must commence and complete the corrective action. A copy of the decision and order shall be furnished to the respondent employee and to the head of the agency and the designated agency ethics official, or where the respondent employee is the head of an agency, to the President.
(1) Preliminary to issuing a decision and order, the Director may request that comments on the recommended decision be provided by the designated agency ethics official of the employee's agency.
(2) Where the respondent employee has elected to have a hearing conducted on the record, the Director shall issue a decision and order as soon as practicable following receipt of the certified record and the administrative law judge's recommended decision.
(3) Where the respondent employee has elected to make a written submission under paragraph (d) of this section or has chosen to make no submission and has not requested a hearing, the Director will issue a decision and order as soon as practicable following receipt of all materials of record.
(4) In addition to the decision and order and any finding issued under §2638.504(e), the record will include, where applicable, all written submission under §2638.504(d) and §2638.505(d), a record of the hearing, all documentary evidence introduced at the hearing, any proposed findings and conclusions submitted by the parties and the administrative law judge's recommended decision.
(h) Compliance with the order. The respondent employee shall comply with the Director's order by commencing and completing the corrective action within the time specified in the order and by furnishing the Director with satisfactory evidence of compliance.
(i) Notice of noncompliance. Where the respondent employee fails to comply with the Director's order within the time specified in the order, the Director will provide the head of the respondent employee's agency with written notice of the respondent employee's failure to comply. Where the respondent employee is the head of the agency, the Director shall submit such notification to the President.
[55 FR 1667, Jan. 18, 1990, as amended at 55 FR 21846, May 30, 1990]
(a) Where the Director has made a finding under §2638.504(e) or has issued a decision and order under §2638.505(g) that an ethics provision is being or has been violated, the Director may recommend to the head of the respondent employee's agency that appropriate disciplinary action be taken. If the respondent employee is the head of an agency, the Director shall make any such recommendation to the President and the procedures contained in this section will serve as guidance only.
(b) Agency response. Within the time specified by the Director in his recommendation, the head of the agency shall notify the Director in writing of the action taken. If the action cannot be accomplished within the time specified, the head of the agency shall notify the Director in writing of the time needed for the action to be taken, and, thereafter, will provide appropriate notice of the disciplinary action taken.
(c) Notice of noncompliance. If the Director determines that the head of an agency has not taken appropriate disciplinary action within a reasonable period of time after the Director has recommended such action, the Director may notify the President of that determination in writing.
Source: 55 FR 1670, Jan. 18, 1990, unless otherwise noted.
Agencies are required by section 402(b)(10) of the Act to file such reports as the Director of the Office of Government Ethics deems necessary. Section 402(e) contains specific requirements for annual reports and for reporting cases referred for possible prosecution under 28 U.S.C. 535. Reporting requirements imposed under this subpart are in addition to any requirements for reports or opinions contained in part 735 of this title, parts 2633 through 2637 of this chapter, or otherwise under this chapter, and in other subparts of this part.
(a) On or before February 1 of each year, each agency shall file with the Office of Government Ethics a report containing information about the agency's ethics program. Detailed reporting requirements will be specified in instructions to be issued by the Director in advance of the first day of the period to be covered by the annual report. Annual agency reports will cover the prior calendar year and, as a minimum, will include the following:
(1) The name, position, title and duties of each official who performs any or all of the duties of the designated agency ethics official or alternate;
(2) Statistics regarding public and nonpublic (confidential) financial disclosure report filings;
(3) A description and evaluation of the agency's program of ethics education, training and counseling, including the number of training courses given, the subject matters covered, training materials distributed and counseling services offered.
(b) Failure to timely file the report required by paragraph (a) of this section may be cause to invoke the procedures at subpart D of this part for correction of agency programs.
(a) In general. Section 535 of title 28 of the United States Code imposes upon every agency a duty to report to the Attorney General any information, allegations or complaints relating to violations of title 18 of the United States Code involving Government officers and employees, including possible violations of 18 U.S.C. 207 by former officers and employees. Guidelines issued by the Attorney General require reporting of such allegations or complaints to the local office of the appropriate investigative agency, the United States Attorney for the district in which the violation occurred or is occurring and the appropriate division of the Department of Justice.
(b) Report of referral. When any matter involving an alleged violation of Federal conflict of interest law is referred pursuant to 28 U.S.C. 535, the agency shall concurrently notify the Director of the Office of Government Ethics of the referral and provide a copy of the referral document, unless such notification or disclosure would otherwise be prohibited by law.
(c) Disposition reports. (1) Where there has been notice that the matter reported under paragraph (b) of this section will not be prosecuted, the agency shall promptly notify the Director of that fact, the date of the decision and any disciplinary or corrective action initiated, taken or to be taken by the agency.
(2) When the agency is notified or learns from the Department of Justice that an indictment has been handed up and signed or an information has been filed, the agency shall promptly report that fact to the Director. Thereafter, the agency shall promptly notify the Director of the final disposition of the prosecution and of any disciplinary or corrective action initiated, taken or to be taken by the agency.
(3) When disciplinary or corrective action is initiated or is to be taken, the agency will notify the Director of the final disposition of the matter.
[55 FR 1670, Jan. 18, 1990, as amended at 55 FR 21847, May 30, 1990]
Source: 65 FR 7279, Feb. 14, 2000, unless otherwise noted.
Federal conflict of interest statutes means 18 U.S.C. 202–203, 205, and 207–209.
Principles means the Principles of Ethical Conduct, Part I of Executive Order 12674, as modified by Executive Order 12731.
Note to paragraph (a): If the agency does not give the employee the Standards and any agency supplemental standards to keep, the complete text of both must be readily available in the employee's immediate office area.
Example 1 to paragraph (d): An agency provides annual ethics training for public filers in a regional office by establishing a video conference link between the regional office and a qualified instructor in the headquarters office. The video link provides for direct and immediate communication between the qualified instructor and the employees receiving the training. Even though the qualified instructor is not physically located in the room where the training occurs, the qualified instructor is available.
Example to paragraph (e)(1): The only public filer in the American Embassy in Ulan Bator, Mongolia is the Ambassador. Because of the difference in time zones and the uncertainty of the Ambassador's schedule, the designated agency ethics official for the State Department is justified in making a written determination that it would be impractical to provide the Ambassador with verbal training. In this case, the Ambassador may receive written training prepared by a qualified instructor.
Note to paragraph (a): Employees described above who are also public filers must receive ethics training as provided in §2638.704.
(b) Content of training. The requirements for the contents of annual training are the same as the requirements in §2638.704(b).
(3) The employee is an officer in the uniformed services serving on active duty for 30 or fewer consecutive days; or
------------------------------------------------------------------------         Employees who will receive verbal training             Number------------------------------------------------------------------------(i) Public filers..........................................(ii) Employees other than public filers....................------------------------------------------------------------------------
------------------------------------------------------------------------        Employees who will receive written training             Number------------------------------------------------------------------------Employees other than public filers who will receive training under § 2638.705(c)(2)......................------------------------------------------------------------------------
------------------------------------------------------------------------   Employees who will receive written training instead of                      verbal training                           Number------------------------------------------------------------------------(i) Public filers who qualify for the exception in § 2638.704(e)(1)............................................(ii) Public filers who qualify for the exception in § 2638.704(e)(2)............................................(iii) Employees other than public filers who qualify for the exception in § 2638.705(d)(1)....................(iv) Employees other than public filers who qualify for the exception in § 2638.705(d)(2)........................(v) Employees other than public filers who qualify for the exception in § 2638.705(d)(3)........................(vi) Employees other than public filers who qualify for the exception in § 2638.705(d)(4)........................------------------------------------------------------------------------