administrative enforcement proceeding or appeal. This does not apply to ex parte discussions concerning administrative functions or procedures under this Appendix, or to consultations between the Deputy Administrator and staff members who assist the Deputy Administrator.

12. Calculating Deadlines

If a deadline falls on a Saturday, Sunday or federal holiday, the next working day is considered the deadline.

13. Administrative Sanctions Whenever a final determination is made that a former employee has violated 18 U.S.C. 207 (a), (b) or (c) as implemented by 5 CFR Part 737, the Deputy Administrator may impose an appropriate administrative sanction, which may include one or more of the following:

(i) Prohibiting the former employee from making on behalf of any other person (except the United States) any formal or informal appearance before, or, with the intent to influence, any oral or written communication on any matter of business for a period not to exceed 5 years. This will be accomplished by a memorandum to all EPA employees directing them to refuse to participate in any such appearance or to accept any such communication during the restriction period.

(ii) Debarring the former employee from receiving any EPA contract, grant, cooperative agreement or loan for a period of up to 3 years, provided that the violation was committed in the context of seeking or performing a government contract, grant, cooperative agreement or loan.

(iii) A written reprimand.

The Deputy Administrator may confer with the parties before deciding upon an administrative sanction. The former employee must be notified of any administrative sanction by certified mail, return receipt requested.

14. Confidentiality.

All records and information regarding administrative enforcement proceedings under this Appendix will be kept confidential and will not be disclosed except as required by law or regulation.

15. Judicial Review

Any person found to have violated 18 U.S.C. 207 (a), (b) or (c) as implemented by 5 CFR Part 737, may seek judicial review of this administrative determination.

Subpart B-Advice and Enforcement

§ 3.200 Purpose.

This subpart designates EPA officials responsible for advising employees on ethics questions and prescribes procedures for enforcing the requirements of this part. There is no attorney/client relationship between Ethics Officials and employees who seek advice; admissions to Ethics Officials of past violations are not privileged. §3.201 Designation.

The following officials are available to advise EPA employees:

(a) The Administrator appoints a Designated Agency Ethics Official who:

(1) Acts as the principal contact with the Office of Government Ethics; (2) Provides guidance to Deputy Ethics Officials;

(3) Collects, reviews and maintains Executive Personnel Financial Disclosure Reports and provides them to the public as required;

(4) Makes determinations and provides oral and written advice on ethics questions; and

(5) Performs all other functions under 5 CFR 738.203.

(b) The Administrator also appoints an Alternate Agency Ethics Official to assist the Designated Agency Ethics Official under 5 CFR 738.202.

(c) The Designated Agency Ethics Official may appoint Deputy Ethics Officials under 5 CFR 738.202 in addition to those listed below.

The Deputy Ethics Officials are the: (1) Assistant Administrators; (2) Inspector General;

(3) Office Directors reporting to Assistant Administrators;

(4) Heads of Staff Offices reporting directly to the Administrator;

(5) Laboratory Directors; and (6) Regional Administrators. (d) The Deputy Ethics Officials: (1) Counsel employees on questions arising under this part;

(2) Review and maintain Confidential Statements of Employment and Financial Interests filed under Subpart C of this part;

(3) Direct employees to file Confidential Statements of Employment

Subpart C-Financial Interests and Investments

§ 3.300 Prohibitions against acts affecting a personal financial interest.

(a) As discussed in Appendix A to Subpart A, section 208(a) of Title 18, United States Code, prohibits an employee from knowingly participating in an EPA matter in which the employee, the employee's spouse, minor child, present or prospective employer, or organization in which the employee is an officer, has a financial interest.

(b) Activities which may affect a financial interest are:

(1) Negotiating, administering or auditing contracts or assistance agreements;

(2) Selecting or approving contractors or subcontractors;

(3) Enforcement activities;

(4) Issuing permits;

(5) Registering pesticides;

(6) Certifying motor vehicles; and (7) Rulemaking and policy matters which have a direct and predictable effect on the financial interests of companies in which the employee owns stock or has an official or employment relationships. Examples are discussed in Appendix A to Subpart A.

[49 FR 7530, Feb. 29, 1984, as amended at 50 FR 39623, Sept. 27, 1985]

83.301 Waiver.

(a) The Designated Agency Ethics Official may waive the prohibition of 18 U.S.C. 208(a) for rulemaking and policy matters if the interest is not so substantial as to be deemed likely to affect the integrity of an employee's services. Employees may request such a waiver by submitting a written disclosure of the nature of the financial interest to the Designated Agency Ethics Official, together with a discussion of the employee's duties and the reasons why a waiver is appropriate.

(b) The prohibition of 18 U.S.C. 208(a) may also be waived by general regulation. Financial interests derived from the following have been determined to be too remote or too inconsequential to affect the integrity of employee's services, and employees may participate in matters affecting them: (1) Mutual funds (including taxexempt bond funds), except those which concentrate their investments in particular industries;

(2) Life insurance, variable annuity, or guaranteed investment contracts issued by insurance companies;

(3) Deposits in a bank, savings or loan association, credit union or similar financial institution;

(4) Real property used solely as the personal residence of an employee;

(5) Bonds or other securities issued by the U.S. Government or its agencies.

[49 FR 7530, Feb. 29, 1984, as amended at 50 FR 39623, Sept. 27, 1985]

§ 3.302 Financial Disclosure Reports and Confidential Statements of Employment and Financial Interest.

(a) The following employees (including employees expected to serve in an "acting" capacity for more than 60 days or who actually serve in such capacity for more than 60 days) are required to file public Executive Personnel Financial Disclosure Reports in accordance with 5 CFR Part 734: (1) Presidential appointees;

(2) Employees whose positions are classified at GS-16 or above of the General Schedule;

(3) Members of the Senior Executive Service;

(4) Administrative Law Judges appointed under 5 U.S.C. 3105;

(5) Schedule C employees;

(6) The Designated Agency Ethics Official, and

(7) Special Government employees whose basic daily rate of pay equals or exceeds the basic daily rate for GS-16 of the General Schedule and who are expected to perform more than 60 days of actual service during a 365 day period. (If such employees are not expected to perform more than 60 days of actual service, but nonetheless exceed 60 days, reports are due within 15 days after the 60th day of actual service.)

(See 5 CFR Part 734 for reporting requirements for Presidential nominees.) Financial Disclosure Reports must be submitted to the Designated Agency Ethics Official within 30 days after an employee assumes a covered position (unless the employee has left another covered position in the Executive Branch within the previous 30 days), by May 15 of each year (unless the Designated Agency Ethics Official or the Office of Government Ethics grants an extension) and within 30 days after leaving a covered position (unless the employee assumes another covered position in the Executive Branch within 30 days). These reports are available to the public. However, the Designated Agency Ethics Official may charge for direct reproduction costs at the rate set forth in 40 CFR 2.120(g). The Designated Agency Ethics Official may also require prepayment of any fee in accordance with 40 CFR 2.120(c) and waive fees under the circumstances described in 40 CFR 2.120(d).

(b) In addition, all employees in the following positions in grades GM or GS-13 or above (or comparable levels under other pay systems) must file Confidential Statements of Employment and Financial Interests unless they are required to file public Executive Personnel Financial Disclosure Reports:

(1) All employees who report to the General Counsel or the Assistant Administrator for Enforcement and Com

(2) All employees in the immediate Office of the Administrator or Deputy Administrator;

(3) All Branch chiefs in the Facilities and Support Services Division;

(4) Employees in the Procurement and Contracts Management;

(5) Employees in the Grants Administration Division;

(6) Employees in the Office of Inspector General;

(7) Temporary experts and consultants; and

(8) Special Government employees as provided in § 3.602.

(c) The Designated Agency Ethics Official or cognizant Deputy Ethics Offical may also require employees other than those whose positions are listed above to file Confidential Statements of Employment and Financial Interest by specific written direction. The following employees should be required to file:

(1) Those in positions classified at GM or GS-13 or above (or comparable levels under other pay systems) whose duties and responsibilities require the exercise of judgment in participating in or making Government decisions with respect to:

(i) Evaluating or selecting contractors, initiating procurement requests, acting as project officer on contracts or auditing contractors;

(ii) Awarding or monitoring assistance agreements; or

(iii) Regulating private enterprise.

(2) Those in positions classified at GS-12 or below (or comparable levels under other pay systems) if their duties directly affect the financial interests of specific parties. Such positions are limited to contracting officers, project officers, inspectors, auditors and On-Scene Coordinator representatives.

(d) Other employees classified below the GM or GS-13 level (or comparable levels under other pay systems) who are in positions which otherwise meet the criteria of paragraph (c)(1) of this section may also be required to file, provided the Office of Government Ethics has approved in writing. Deputy Ethics Officials should consult

with the Designated Agency Ethics Official in seeking such approval.

(e) Financial and employment interests of employees' relatives. In completing Confidential Statements of Employment and Financial Interests, the financial and employment interests of a spouse or minor child are considered to be interests of the employee and must be reported.

[49 FR 7530, Feb. 29, 1984, as amended at 50 FR 39623, Sept. 27, 1985]

§ 3.303 Special requirements under the Clean Air Act.

(a) Notwithstanding any other provisions of this part, employees whose positions are listed in Appendix B may not be employed by, serve as attorney for, act as consultant to, or hold any other official or contractual relationship to (other than ownership of stock, bonds, or other financial interest)

(1) The owner or operator of any major stationary source or any stationary source which is subject to a standard of performance or emission standard under section 111 (42 U.S.C. 7411) or section 112 (42 U.S.C. 7412) of the Act;

(2) Any manufacturer of any class or category of mobile sources if such mobile sources are subject to regulation under the Act;

(3) Any trade or business association of which an owner or operator referred to in paragraph (a)(1) of this section or a manufacturer referred to in paragraph (a)(2) of this section is a member;

(4) Any organization (whether nonprofit or not) which is a party to litigation or engaged in political, educational or informational activities relating to air quality.

(b) In examining financial interest statements, reviewers must consider whether certain financial interests of a covered employee may be inconsistent with the employee's position and duties. In particular, any financial interest that presents a conflict of interest with an employee's duties under the Act is resolved under § 3.202 of this part.

(c) Under section 318(d) of the Clean Air Act, any employee subject to this provision who knowingly violates the

provisions of this section is subject to a fine of not more than $2,500 or imprisonment for not more than one year, or both.

§ 3.304 Special requirements under the Toxic Substances Control Act.

(a) Notwithstanding any other provisions of this part, members of the Interagency Testing Committee established under section 4(e) of the Toxic Substances Control Act (15 U.S.C. 2603(e)) and their designees may not:

(1) Accept employment or compensation from any person subject to any requirement of the Act, or to any rule or order issued under it, for a period of twelve months after their committee service ceases; or

(2) Hold any stocks or bonds or have any substantial pecuniary interest in any person engaged in the manufacture, processing or distribution in commerce of any substance or mixture subject to any requirement of the Act or of any rule or order issued under it.

(b) This provision is enforceable by an action for a court order to restrain violations.

§ 3.305 Special requirements under the Surface Mining Control and Reclamation Act.

(a) Notwithstanding any other provisions of this part, no employee who performs any function or duty under the Surface Mining Control and Reclamation Act (such as reviewing Environmental Impact Statements of the Office of Surface Mining in the Department of the Interior) may have a direct or indirect interest in underground or surface coal mining operations. Regulations of the Office of Surface Mining at 30 CFR 706.3 define the terms "direct financial interest" and "indirect financial interest" as follows:

(1) Direct financial interest. Means ownership or part ownership by an employee of land, stocks, bonds, debentures, warrants, a partnership, shares, or other holdings and also means any other arrangement where the employee may benefit from his or her holding in or salary from coal mining operations. Direct financial interests include employment, pensions,

creditor, real property and other financial relationships.

interest.

(2) Indirect financial Means the same financial relationships as for direct ownership, but where the employee reaps the benefits of such interests, including interests held by his or her spouse, minor child and other relatives, including in-laws, residing in the employee's home. The employee will not be deemed to have an indirect financial interest if there is no relationship between the employee's functions or duties and the coal mining operation in which the spouse, minor children or other resident relative holds a financial interest.

(b) Violation of these restrictions is punishable by a fine of up to $2,500 or imprisonment for not more than one year, or both.

APPENDIX A TO SUBPART C-PROCE

DURES FOR FILING CONFIDENTIAL
STATEMENTS OF EMPLOYMENT AND
FINANCIAL INTEREST

(1) Submission-Each employee required to submit a Confidential Statement of Employment and Financial Interests must submit the completed EPA Form 3120-1 within 30 days after entrance on duty or (where the position is not specifically listed in this Part) within 30 days after being notified of the requirement to file. Interests which are exempt from the prohibition of 18 U.S.C. 208(a) (except for interests in mutual funds) need not be reported. See § 3.301(b). The completed form is sent to the Deputy Ethics Official for the employee's organization. Headquarters employees in the Office of General Counsel and employees in the immediate Office of the Administrator submit their forms to the Designated Agency Ethics Official.

(2) Decisions. When there appears to be a conflict between the employee's financial interests and the performance of Government duties, the reviewer provides the employee an opportunity to discuss the matter. Deputy Ethics Officials should discuss any such problems with the Designated Agency Ethics Official, who determines if divestiture is required. See § 3.202(c). The Inspector General may be asked to investigate the circumstances of apparent violations of the conflict of interest laws or these regulations.

(3) Supplemental Statements-For purposes of annual review, employees who are required to submit EPA Form 3120-1 must submit a new statement each July by no later than July 31, even if no changes have taken place during the year.

Deputy Ethics Officials must notify such employees of this requirement and must complete review of the statements within 30 days after submission. By September 30 of each year, Deputy Ethics Officials must submit a statement to the Designated Agency Ethics Official containing the following information: (i) the number of employees in their organization at GM/GS 1315; (ii) the number required to file; (iii) the number of other employees required to file under § 3.302(c) or 3.302(d); (iv) the number of remedial actions taken by type of action (i.e., recusals, waivers, divestitures, reassignments or blind trusts); (v) a certification that no employee who performs any "functions or duties" under the Surface Mining Control and Reclamation Act holds any prohibited interests (see § 3.305); and (6) a certification that all required reports have been received, reviewed and signed and that any necessary remedial actions have been taken.

In addition, whenever additions or changes have taken place, employees who are required to file must submit a supplemental statement by the end of the four month period in which the transactions occurred; that is, by November 30 and March 31. Deputy Ethics Officials must notify employees of this requirement during the months when these updates are due, and must review and sign the updates within 30 days after submission. However, they need not provide any report to the Designated Agency Ethics Official regarding the updates.

(4) Confidentiality-EPA Form 3120-1 is confidential. No information from this form may be disclosed other than to the Designated Agency Ethics Official and the Alternate Agency Ethics Official, immediate staff assistants whom the responsible Deputy Ethics Official has specifically designated in writing, the Office of Inspector General, committees or subcommittees of Congress on the written request of the chairman, or as the Director of the Office of Government Ethics or the Administrator may determine for good cause.

(5) Maintenance of statements. EPA Forms 3120-1 and related records must be kept in a locked container. They are retained for six years after filing and then disposed of (unless needed in an ongoing investigation).

[49 FR 7530, Feb. 29, 1984, as amended at 50 FR 39623, Sept. 27, 1985]

APPENDIX B TO SUBPART C-EMPLOYEES

SUBJECT TO SPECIAL REQUIREMENTS
UNDER THE CLEAR AIR ACT

The positions listed below have been determined to be of a regulatory or policymak

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