2023 Indiana Code › Title 35. Criminal Law and Procedure › Article 44.1. Offenses Against General Public Administration › Chapter 1. General Public Administration › 35-44.1-1-4. Conflict of Interest

Sec. 4. (a) The following definitions apply throughout this section:
(1) "Dependent" means any of the following:
(A) The spouse of a public servant.
(B) A child, stepchild, or adoptee (as defined in IC 31-9-2-2) of a public servant who is:
(i) unemancipated; and
(ii) less than eighteen (18) years of age.
(C) An individual more than one-half (1/2) of whose support is provided during a year by the public servant.
(2) "Governmental entity served by the public servant" means the immediate governmental entity being served by a public servant.
(3) "Pecuniary interest" means an interest in a contract or purchase if the contract or purchase will result or is intended to result in an ascertainable increase in the income or net worth of:
(A) the public servant; or
(B) a dependent of the public servant who:
(i) is under the direct or indirect administrative control of the public servant; or
(ii) receives a contract or purchase order that is reviewed, approved, or directly or indirectly administered by the public servant.
(b) A public servant who knowingly or intentionally:
(1) has a pecuniary interest in; or
(2) derives a profit from;
a contract or purchase connected with an action by the governmental entity served by the public servant commits conflict of interest, a Level 6 felony.
(c) It is not an offense under this section if any of the following apply:
(1) The public servant or the public servant's dependent receives compensation through salary or an employment contract for:
(A) services provided as a public servant; or
(B) expenses incurred by the public servant as provided by law.
(2) The public servant's interest in the contract or purchase and all other contracts and purchases made by the governmental entity during the twelve (12) months before the date of the contract or purchase was two hundred fifty dollars ($250) or less.
(3) The contract or purchase involves utility services from a utility whose rate structure is regulated by the state or federal government.
(4) The public servant:
(A) acts in only an advisory capacity for a state supported college or university; and
(B) does not have authority to act on behalf of the college or university in a matter involving a contract or purchase.
(5) A public servant under the jurisdiction of the state ethics commission (as provided in IC 4-2-6-2.5) obtains from the state ethics commission, following full and truthful disclosure, written approval that the public servant will not or does not have a conflict of interest in connection with the contract or purchase under IC 4-2-6 and this section. The approval required under this subdivision must be:
(A) granted to the public servant before action is taken in connection with the contract or purchase by the governmental entity served; or
(B) sought by the public servant as soon as possible after the contract is executed or the purchase is made and the public servant becomes aware of the facts that give rise to a question of conflict of interest.
(6) A public servant makes a disclosure that meets the requirements of subsection (d) or (e) and is:
(A) not a member or on the staff of the governing body empowered to contract or purchase on behalf of the governmental entity, and functions and performs duties for the governmental entity unrelated to the contract or purchase;
(B) appointed by an elected public servant;
(C) employed by the governing body of a school corporation and the contract or purchase involves the employment of a dependent or the payment of fees to a dependent;
(D) elected; or
(E) a member of, or a person appointed by, the board of trustees of a state supported college or university.
(7) The public servant is a member of the governing board of, or is a physician employed or contracted by, a hospital organized or operated under IC 16-22-1 through IC 16-22-5 or IC 16-23-1.
(d) A disclosure must:
(1) be in writing;
(2) describe the contract or purchase to be made by the governmental entity;
(3) describe the pecuniary interest that the public servant has in the contract or purchase;
(4) be affirmed under penalty of perjury;
(5) be submitted to the governmental entity and be accepted by the governmental entity in a public meeting of the governmental entity before final action on the contract or purchase;
(6) be filed within fifteen (15) days after final action on the contract or purchase with:
(A) the state board of accounts; and
(B) if the governmental entity is a governmental entity other than the state or a state supported college or university, the clerk of the circuit court in the county where the governmental entity takes final action on the contract or purchase; and
(7) contain, if the public servant is appointed, the written approval of the elected public servant (if any) or the board of trustees of a state supported college or university (if any) that appointed the public servant.
(e) This subsection applies only to a person who is a member of, or a person appointed by, the board of trustees of a state supported college or university. A person to whom this subsection applies complies with the disclosure requirements of this chapter with respect to the person's pecuniary interest in a particular type of contract or purchase which is made on a regular basis from a particular vendor if the individual files with the state board of accounts and the board of trustees a statement of pecuniary interest in that particular type of contract or purchase made with that particular vendor. The statement required by this subsection must be made on an annual basis.
As added by P.L.126-2012, SEC.54. Amended by P.L.158-2013, SEC.499.