Source: https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/ByArticle/Chapter_163A/Article_5.html
Timestamp: 2019-06-16 07:14:41
Document Index: 652600464

Matched Legal Cases: ['§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163', '§ 163']

Chapter 163A - Article 5
SUBCHAPTER II. ETHICS AND LOBBYING.
This Subchapter shall be known and may be cited as the "State Government Ethics Act". (2006-201, s. 1; 2017-6, s. 3.)
The purpose of this Subchapter is to ensure that elected and appointed State agency officials exercise their authority honestly and fairly, free from impropriety, threats, favoritism, and undue influence. To this end, it is the intent of the General Assembly in this Subchapter to ensure that standards of ethical conduct and standards regarding conflicts of interest are clearly established for elected and appointed State agency officials, that the State continually educates these officials on matters of ethical conduct and conflicts of interest, that potential and actual conflicts of interests are identified and resolved, and that violations of standards of ethical conduct and conflicts of interest are investigated and properly addressed. (2006-201, s. 1; 2017-6, s. 3.)
(3) Board. - Any State board, commission, council, committee, task force, authority, or similar public body, however denominated, created by statute or executive order, as determined and designated by the State Board, except for those public bodies that have only advisory authority.
d. Is a lobbyist registered under Article 8 of this Chapter.
(13) Compensation. - Any money, thing of value, or economic benefit conferred on or received by any covered person or filing person in return for services rendered or to be rendered by that covered person or filing person or another. This term does not include campaign contributions properly received and, reported as required by Article 23 of this Chapter.
(21) Covered person. - A legislator, public servant, or judicial officer, as identified by the State Board under G.S. 163A-155.
(27) Filing person. - An individual required to file a statement of economic interest under G.S. 163A-187.
(32) Gift. - Anything of monetary value given or received without valuable consideration by or from a lobbyist, lobbyist principal, liaison personnel, or a person described under G.S. 163A-212(d)(1), (2), or (3). The following shall not be considered gifts under this subdivision:
e. Anything of value properly reported as required under Article 23 of this Chapter.
(46) Legislative action. - As the term is defined in G.S. 163A-250.
(48) Legislative employee. - As the term is defined in G.S. 163A-250.
(52) Lobbying. - As the term is defined in G.S. 163A-250.
(54) Nonprofit corporation or organization with which associated. - Any not for profit corporation, organization, or association, incorporated or otherwise, that is organized or operating in the State primarily for religious, charitable, scientific, literary, public health and safety, or educational purposes and of which the covered person, filing person, or any member of the covered person's or filing person's immediate family is a director, officer, governing board member, employee, lobbyist registered under Article 8 of this Chapter, or independent contractor. "Nonprofit corporation or organization with which associated" shall not include any board, entity, or other organization created by this State or by any political subdivision of this State.
b. The fund is publicly traded, or the fund's assets are widely diversified. (2006-201, s. 1; 2007-347, ss. 7, 8; 2007-348, ss. 19-26; 2008-187, s. 44; 2008-213, ss. 40-54, 84(c); 2010-169, ss. 10, 17(n), (o); 2010-170, s. 14; 2013-382, s. 9.1(c); 2015-241, s. 7A.4(n); 2017-6, s. 3.)
For purposes of this Subchapter, the Lieutenant Governor shall be considered a legislator when carrying out the Lieutenant Governor's duties under Sec. 13 of Article II of the Constitution, and a public servant for all other purposes. (2006-201, s. 1; 2017-6, s. 3.)
The State Board shall identify and publish at least quarterly a listing of the names and positions of all individuals subject to this Subchapter as covered persons or legislative employees. The State Board shall also identify and publish at least annually a listing of all boards to which this Subchapter applies. This listing may be published electronically on a public Internet Web site maintained by the State Board. (2006-201, s. 1; 2008-213, s. 56; 2017-6, s. 3.)
(a) Jurisdiction. - The State Board may receive complaints alleging unethical conduct by covered persons and legislative employees and shall conduct inquiries of complaints alleging unethical conduct by covered persons and legislative employees, as set forth in this section.
(c) Institution of Proceedings. - On its own motion, in response to a signed and sworn complaint of any individual filed with the State Board, or upon the written request of any public servant or those responsible for the hiring, appointing, or supervising of a public servant, the State Board shall conduct an inquiry into any of the following:
(1) The application or alleged violation of this Subchapter.
Upon receipt of a referral under G.S. 147-64.6B or a report under G.S. 147-64.6(c)(19), the State Board may conduct an inquiry under this section on its own motion. Allegations of violations of the Code of Judicial Conduct shall be referred to the Judicial Standards Commission without investigation.
(d) Complaints on Its Own Motion. - An investigation initiated by the State Board on its own motion or upon written request of any public servant or those responsible for the hiring, appointing, or supervising of a public servant instituted under subsection (c) of this section shall be treated as a complaint for purposes of this section and need not be sworn or verified.
(1) A sworn complaint filed under this Subchapter shall state the name, address, and telephone number of the individual filing the complaint, the name and job title or appointive position of the covered person or legislative employee against whom the complaint is filed, and a concise statement of the nature of the complaint and specific facts indicating that a violation of this Subchapter or Chapter 120 of the General Statutes or G.S. 126-14 or the criminal law in the performance of that individual's official duties has occurred, the date the alleged violation occurred, and either (i) that the contents of the complaint are within the knowledge of the individual verifying the complaint, or (ii) the basis upon which the individual verifying the complaint believes the allegations to be true.
(2) Except as provided in subsection (f) of this section, a complaint filed under this Subchapter must be filed within two years of the date the complainant knew or should have known of the conduct upon which the complaint is based.
(3) The State Board may decline to accept, refer, or conduct an inquiry into any complaint that does not meet all of the requirements set forth in subdivision (1) of this subsection, or the State Board may, in its sole discretion, request additional information to be provided by the complainant within a specified period of time of no less than five business days.
(4) In addition to subdivision (3) of this subsection, the State Board may decline to accept, refer, or conduct an inquiry into a complaint if it determines that any of the following apply:
c. The conduct complained of is primarily a matter more appropriately and adequately addressed and handled by other federal, State, or local agencies or authorities, including law enforcement authorities. If other agencies or authorities are conducting an investigation of the same actions or conduct involved in a complaint filed under this section, the State Board may stay its complaint inquiry pending final resolution of the other investigation.
(5) The State Board shall send a copy of the complaint to the covered person or legislative employee who is the subject of the complaint and the employing entity, within 10 business days of the filing.
(f) Conduct of Inquiry of Complaints by the State Board. - The State Board shall conduct an inquiry into all complaints properly before the State Board in a timely manner. The State Board shall initiate an inquiry into a complaint within 10 business days of the filing of the complaint. The State Board is authorized to initiate inquiries upon request of any member of the State Board if there is reason to believe that a covered person or legislative employee has or may have violated this Subchapter. State-Board-initiated complaint inquiries under this section shall be initiated within two years of the date the State Board knew of the conduct upon which the complaint is based, except when the conduct is material to the continuing conduct of the duties in office. In determining whether there is reason to believe that a violation has or may have occurred, a member of the State Board may take general notice of available information even if not formally provided to the State Board in the form of a complaint. The State Board may utilize the services of a hired investigator when conducting inquiries.
(g) Covered Person and Legislative Employees Cooperation With Inquiry. - Covered persons and legislative employees shall promptly and fully cooperate with the State Board in any State-Board-related inquiry. Failure to cooperate fully with the State Board in any inquiry shall be grounds for sanctions as set forth in G.S. 163A-415.
(h) Dismissal of Complaint After Preliminary Inquiry. - The State Board shall conclude the preliminary inquiry within 20 business days. The State Board shall dismiss the complaint, if at the end of its preliminary inquiry the State Board determines that any of the following apply:
(1) The individual who is the subject of the complaint is not a covered person or legislative employee subject to the State Board's jurisdiction and authority under this Subchapter.
(2) The complaint does not allege facts sufficient to constitute a violation within the jurisdiction of the State Board under subsection (c) of this section.
(i) State Board Inquiries. - If at the end of its preliminary inquiry, the State Board determines to proceed with further inquiry into the conduct of a covered person or legislative employee, the State Board shall provide written notice to the individual who filed the complaint and the covered person or legislative employee as to the fact of the inquiry and the charges against the covered person or legislative employee. The covered person or legislative employee shall be given an opportunity to file a written response with the State Board.
(j) Action on Inquiries. - The State Board shall conduct inquiries into complaints to the extent necessary to either dismiss the complaint for lack of probable cause of a violation under this section, or:
(1) The State Board shall give full and fair consideration to all complaints received against a public servant. If the State Board determines that the complaint cannot be resolved without a hearing, or if the public servant requests a hearing, a hearing shall be held.
(2) The State Board shall send a notice of the hearing to the complainant, and the public servant. The notice shall contain the time and place for a hearing on the matter, which shall begin no less than 30 days and no more than 90 days after the date of the notice.
(3) The State Board shall make available to the public servant or that public servant's private legal counsel all documents or other evidence which are intended to be presented at the hearing to the State Board or which a reasonable person would believe might exculpate the accused public servant at least 30 days prior to the date of the hearing held in connection with the investigation of a complaint. Any documents or other evidence discovered within less than 30 days of the hearing shall be furnished as soon as possible after discovery but prior to the hearing.
(4) At any hearing held by the State Board:
b. The hearing shall be open to the public, except for matters involving minors, personnel records, or matters that could otherwise be considered in closed session under G.S. 143-318.11. In any event, the deliberations by the State Board on a complaint may be held in closed session.
(l) Settlement of Inquiries. - The public servant who is the subject of the complaint and the staff of the State Board may meet by mutual consent before the hearing to discuss the possibility of settlement of the inquiry or the stipulation of any issues, facts, or matters of law. Any proposed settlement of the inquiry is subject to the approval of the State Board.
(m) Disposition of Inquiries. - After hearing, the State Board shall dispose of the matter in one or more of the following ways:
(1) If the State Board finds substantial evidence of an alleged violation of a criminal statute, the State Board shall refer the matter to the Attorney General for investigation and referral to the district attorney for possible prosecution.
(2) If the State Board finds that the alleged violation is not established by clear and convincing evidence, the State Board shall dismiss the complaint.
(3) If the State Board finds that the alleged violation of this Subchapter is established by clear and convincing evidence, the State Board shall do one or more of the following:
(n) Notice of Dismissal. - Upon the dismissal of a complaint under this section, the State Board shall provide written notice of the dismissal to the individual who filed the complaint and the covered person or legislative employee against whom the complaint was filed. The State Board shall forward copies of complaints and notices of dismissal of complaints against legislators to the Committee, against legislative employees to the employing entity for legislative employees, and against judicial officers to the Judicial Standards Commission for complaints against justices and judges, and the senior resident superior court judge of the district or county for complaints against district attorneys, or the chief district court judge of the district or county for complaints against clerks of court. The State Board shall also forward a copy of the notice of dismissal to the employing entity of the covered person against whom a complaint was filed if the employing entity received a copy of the complaint under subdivision (5) of subsection (e) of this section. Except as provided in subsection (p) of this section, the complaint and notice of dismissal are confidential and not public records.
(o) Reports and Records. - The State Board shall render the results of its inquiry in writing. When a matter is referred under subdivision (j)(2) and (3), or subsection (m) of this section, the State Board's report shall consist of the complaint, response, and detailed results of its inquiry in support of the State Board's finding of a violation under this Subchapter.
(p) Confidentiality. - Complaints and responses filed with the State Board and reports and other investigative documents and records of the State Board connected to an inquiry under this section, including information provided pursuant to G.S. 147-64.6B or G.S. 147-64.6(c)(19), shall be confidential and not matters of public record, except as otherwise provided in this section or when the covered person or legislative employee under inquiry requests in writing that the complaint, response, and findings be made public. Once a hearing under this section commences, the complaint, response, and all other documents offered at the hearing in conjunction with the complaint, not otherwise privileged or confidential under law, shall be public records. If no hearing is held at such time as the State Board reports to the employing entity a recommendation of sanctions, the complaint and response shall be made public.
(q) Staff to the State Board may share with staff to the Committee information connected to an inquiry into the conduct of a legislator under this section. The State Board shall provide to the Committee copies of all reports, investigative documents, information, and other documents used by the State Board when it refers a complaint to the Committee under subdivision (2) of subsection (j) of this section. Upon written request by staff to the Committee, the State Board shall provide copies of all reports, investigative documents, information, and other documents used by the State Board when it dismisses a complaint against a legislator under subsection (n) of this section. The information and documents provided to the Committee and staff to the Committee and the written request provided to the State Board are confidential and are not public records as defined in G.S. 132-1.
(8) Whether the conduct or situation giving rise to the ethics violation was pointed out to the public servant in the State Board's Statement of Economic Interest evaluation letter issued under G.S. 163A-189(e).
(s) Authority of Employing Entity. - Any action or failure to act by the State Board under this Subchapter, except G.S. 163A-157, shall not limit any authority of any of the applicable employing entities to discipline the covered person or legislative employee.
(t) Continuing Jurisdiction. - The State Board shall have continuing jurisdiction to investigate possible criminal violations of this Subchapter for a period of one year following the date an individual, who was formerly a public servant or legislative employee, ceases to be a public servant or legislative employee for any investigation that commenced prior to the date the public servant or legislative employee ceases to be a public servant or legislative employee.
(u) Reports. - The number of complaints referred under this section shall be reported under G.S. 163A-154(a)(12).
(v) Concurrent Jurisdiction. - Nothing in this section shall limit the jurisdiction of the Committee or the Judicial Standards Commission with regards to legislative or judicial misconduct, and jurisdiction under this section shall be concurrent with the jurisdiction of the Committee and the Judicial Standards Commission. (2006-201, s. 1; 2007-348, ss. 27-30; 2008-187, s. 21; 2008-213, ss. 1(b), 57; 2008-215, ss. 4, 5; 2009-549, ss. 9, 10, 11; 2010-169, s. 23(a)-(e), (h); 2012-182, s. 3; 2017-6, ss. 3, 5(e).)
(a) The State Board shall develop and implement an ethics education and awareness program designed to instill in all covered persons and their immediate staffs, and legislative employees, a keen and continuing awareness of their ethical obligations and a sensitivity to situations that might result in real or potential conflicts of interest.
(b) The State Board shall offer basic ethics education and awareness presentations to all public servants and their immediate staffs, upon their election, appointment, or employment, and shall offer periodic refresher presentations as the State Board deems appropriate. Every public servant shall participate in an ethics presentation approved by the State Board within six months of the public servant's election, reelection, appointment, or employment, and shall attend refresher ethics education presentations at least every two years thereafter in a manner as the State Board deems appropriate.
(c) A public servant appointed to a board determined and designated as nonadvisory under G.S. 163A-154(a)(3) shall attend an ethics presentation approved by the State Board within six months of notification of the designation by the State Board and at least every two years thereafter in a manner as the State Board deems appropriate.
(d) The State Board, jointly with the Committee, shall make basic ethics education and awareness presentations to all legislators and legislative employees upon their election, reelection, appointment, or employment and shall offer periodic refresher presentations as the State Board and the Committee deem appropriate. Every legislator shall participate in an ethics presentation approved by the State Board and Committee within two months of either the convening of the General Assembly to which the legislator is elected or within two months of the legislator's appointment, whichever is later. Every legislative employee shall participate in an ethics presentation approved by the State Board and Committee within three months of employment, and shall attend refresher ethics education presentations at least every two years thereafter, in a manner as the State Board and Committee deem appropriate.
(e) Upon request, the State Board shall assist each agency in developing in-house education programs and procedures necessary or desirable to meet the agency's particular needs for ethics education, conflict identification, and conflict avoidance.
(f) Each agency head shall designate an ethics liaison who shall maintain active communication with the State Board on all agency ethical issues. The ethics liaison shall attend ethics education and awareness programs as provided under this section and lobbying education and awareness programs as provided under G.S. 163A-253 and continuously assess and advise the State Board of any issues or conduct which might reasonably be expected to result in a conflict of interest and seek advice and rulings from the State Board as to their appropriate resolution.
(g) The State Board shall publish a newsletter containing summaries of the State Board's opinions, policies, procedures, and interpretive bulletins as issued from time to time. The newsletter shall be distributed to all covered persons and legislative employees. Publication under this subsection may be done electronically.
(h) The State Board shall assemble and maintain a collection of relevant State laws, rules, and regulations that set forth ethical standards applicable to covered persons. This collection shall be made available electronically as resource material to public servants, and ethics liaisons, upon request.
(i) This section shall not apply to judicial officers. (2006-201, s. 1; 2007-347, s. 9(a); 2008-213, ss. 59, 60; 2009-10, s. 4; 2009-549, s. 12; 2010-169, s. 22(a); 2017-6, s. 3.)
(a) The head of each State agency, including the chair of each board subject to this Subchapter, shall take an active role in furthering ethics in public service and ensuring compliance with this Subchapter. The head of each State agency and the chair of each board shall make a conscientious, good-faith effort to assist public servants within the agency or on the board in monitoring their personal, financial, and professional affairs to avoid taking any action that results in a conflict of interest.
(b) The head of each State agency, including the chair of each board subject to this Subchapter, shall maintain familiarity with and stay knowledgeable of the reports, opinions, newsletters, and other communications from the State Board regarding ethics in general and the interpretation and enforcement of this Subchapter. The head of each State agency and the chair of each board shall also maintain familiarity with and stay knowledgeable of the State Board's reports, evaluations, opinions, or findings regarding individual public servants in that individual's agency or on that individual's board, or under that individual's supervision or control, including all reports, evaluations, opinions, or findings pertaining to actual or potential conflicts of interest.
(c) When an actual or potential conflict of interest is cited by the State Board under G.S. 163A-189(e) with regard to a public servant sitting on a board, the conflict shall be recorded in the minutes of the applicable board and duly brought to the attention of the membership by the board's chair as often as necessary to remind all members of the conflict and to help ensure compliance with this Subchapter.
(d) The head of each State agency, including the chair of each board subject to this Subchapter, shall periodically remind public servants under that individual's authority of the public servant's duties to the public under the ethical standards and rules of conduct in this Subchapter, including the duty of each public servant to continually monitor, evaluate, and manage the public servant's personal, financial, and professional affairs to ensure the absence of conflicts of interest.
(e) At the beginning of any meeting of a board, the chair shall remind all members of their duty to avoid conflicts of interest under this Subchapter. The chair also shall inquire as to whether there is any known conflict of interest with respect to any matters coming before the board at that time.
(f) The head of each State agency, including the chair of each board subject to this Subchapter, shall ensure that legal counsel employed by or assigned to their agency or board are familiar with the provisions of this Subchapter, including the Ethical Standards for Covered Persons set forth in Article 7 of this Chapter, and are available to advise public servants on the ethical considerations involved in carrying out their public duties in the best interest of the public. Legal counsel so engaged may consult with the State Board, seek the State Board's assistance or advice, and refer public servants and others to the State Board as appropriate.
(g) Taking into consideration the individual autonomy, needs, and circumstances of each agency and board, the head of each State agency, including the chair of each board subject to this Subchapter, shall consider the need for the development and implementation of in-house educational programs, procedures, or policies tailored to meet the agency's or board's particular needs for ethics education, conflict identification, and conflict avoidance. This includes the periodic presentation to all agency heads, their chief deputies or assistants, other public servants under their supervision or control, and members of boards, of the basic ethics education and awareness presentation outlined in G.S. 163A-158 and any other workshop or seminar program the agency head or board chair deems necessary in implementing this Subchapter. Agency heads and board chairs may request reasonable assistance from the State Board in complying with the requirements of this subsection.
(h) As soon as reasonably practicable after the designation, hiring, or promotion of their chief deputies, assistants, or other public servants under their supervision or control, or learning of the appointment or election of other public servants to a board covered under this Subchapter, all agency heads and board chairs shall (i) notify the State Board of such designation, hiring, promotion, appointment, or election and (ii) provide these public servants with copies of this Subchapter and all applicable financial disclosure forms, if these materials and forms have not been previously provided to these public servants in connection with their designation, hiring, promotion, appointment, or election. In order to avoid duplication of effort, agency heads and board chairs shall coordinate this effort with the State Board's staff. (2006-201, s. 1; 2007-347, s. 9(b); 2008-213, ss. 61, 62; 2017-6, s. 3.)
§ 163A-160: Reserved for future recodification.
§ 163A-161: Reserved for future recodification.
§ 163A-162: Reserved for future recodification.
§ 163A-163: Reserved for future recodification.
§ 163A-164: Reserved for future recodification.
§ 163A-165: Reserved for future recodification.
§ 163A-166: Reserved for future recodification.
§ 163A-167: Reserved for future recodification.
§ 163A-168: Reserved for future recodification.
§ 163A-169: Reserved for future recodification.
§ 163A-170: Reserved for future recodification.
§ 163A-171: Reserved for future recodification.
§ 163A-172: Reserved for future recodification.
§ 163A-173: Reserved for future recodification.
§ 163A-174: Reserved for future recodification.
§ 163A-175: Reserved for future recodification.
§ 163A-176: Reserved for future recodification.
§ 163A-177: Reserved for future recodification.
§ 163A-178: Reserved for future recodification.
§ 163A-179: Reserved for future recodification.
§ 163A-180: Reserved for future recodification.
§ 163A-181: Reserved for future recodification.
§ 163A-182: Reserved for future recodification.
§ 163A-183: Reserved for future recodification.
§ 163A-184: Reserved for future recodification.
§ 163A-185: Reserved for future recodification.