MEMORANDUM FOR DERRICK L. FORRISTER

FROM: ASSISTANT GENERAL COUNSEL FOR GENERAL LAW

SUBJECT: Statement of Agency Ethics Official for Senate
Committee

This memorandum is intended to serve as a statement from the
designated agency ethics official for this Department, as
required by the Statement for Completion by Presidential Nominees
that you are submitting to the United States Senate Committee on
Energy and Natural Resources in connection with your nomination
to the position of Assistant Secretary for Congressional and
Intergovernmental Affairs, United States Department of Energy. I
have reviewed your Executive Branch Public Financial Disclosure
Report (Standard Form 278) dated June 22, 1995, and have
certified that the information contained therein discloses no
conflict of interest under applicable laws and regulations.

As a supervisory employee, you will be prohibited by section 602(a) of the Department of Energy (DOE) Organization Act (Pub. L. No. 95-91) from knowingly receiving compensation from, holding any official relation with, or having any pecuniary interest in any energy concern. The term "energy concern" is defined in section 601(b) of the Act as any entity "significantly engaged in the business" of any of a variety of activities related to energy production, distribution, sale, or research and development, or any entity significantly engaged in such research and development pursuant to a DOE-funded program irrespective of whether it otherwise engages in such business. The term also includes any entity holding an interest in property from which an energy resource is commercially produced or obtained. You have not reported holding any such interests; however, you should be aware of this restriction when making future investment decisions.

Section 208, title 18, United States Code, prohibits a Federal officer or employee from participating personally and substantially, as a Government employee, in any particular matter in which, to his knowledge, he has, or his spouse, minor child, general partner, organization in which he is serving as officer, director, trustee, general partner, or employee, or any person or organization with whom he is negotiating or has any arrangement concerning prospective employment has, a financial interest. You should be careful to avoid participation, as a Government employee, in any matter that could have a direct and predictable effect upon any entity in which you have a financial interest within the meaning of section 208.

In addition, you have received a copy of the "United States Senate Committee on Energy and Natural Resources Recusal Policy," dated May 6, 1993, which contains provisions concerning former employers. You have agreed to adhere to the Committee.s.recusal policy upon appointment to the position of Assistant Secretary for Congressional and Intergovernmental Affairs.

You should also be aware that Executive Order 12674, as modified by Executive Order 12731, prohibits employees appointed by the President to positions in the executive branch from receiving outside earned income during the term of the Presidential appointment. Further, title V of the Ethics in Government Act of 1978 (Pub. L. No. 95-521, as amended by Pub. L. No. 101-194) contains restrictions on the outside activities of certain Government employees including those appointed by the President. Specifically, section 502 of the Ethics in Government Act provides that such an employee may not permit his or her name to be used by any entity which provides professional services involving a fiduciary relationship, whether or not compensation is received for such activity.

Finally, as required by Executive Order 12834, you will be subject to certain post-employment restrictions in addition to the statutory restrictions that will be applicable to you when you terminate your Government service.

Please let me know if I can be of further assistance.