§1203.735-411 Disqualification procedures.

(a) Where an employee is prohibited from participating in a matter because of a conflicting financial interest that is not exempt under §1203.735-205(c) or has not been specifically excepted by the appropriate agency official pursuant to §1203.735-217 in advance of the employee's participation in the particular matter, the employee shall conduct himself or herself in accordance with the following provisions:

(1) The employee shall promptly disclose the financial interest in such matter to the employee's immediate superior. The superior will thereupon relieve the employee of duty and responsibility in the matter.

(2) In foreign posts, it may be impossible or highly impracticable for an employee, who has a disqualifying financial interest, to assign the matter for official action to anyone other than a subordinate. In this event, the employee must instruct the subordinate to report fully and directly to the immediate superior to whom the employee himself or herself would normally report. The employee must concurrently direct such subordinate to take such action as may be appropriate in the matter, and without thereafter revealing to the disqualified employee

in any way any aspect of the particular matter.

(b) Nothing herein precludes the employee from disposing of such disqualifying financial interest, thereby wholly eliminating the conflict of interest. In some circumstances, where the employee may not obtain an exception under §1203.735-217, or may not disqualify himself or herself and refer or assign the matter to another employee, the performance of duty may even require divestiture.

(c) Where a supervisor has reason to believe that a subordinate employee may have a conflicting financial interest, the supervisor should discuss the matter with the employee. If the supervisor finds that a conflict of interest does exist, the supervisor must relieve the subordinate employee of duty and responsibility in the particular matter.

(d) The obligation to avoid conflicts of interest is upon each employee. It is a continuing obligation calling for alert vigilance.

(e) Notwithstanding any other provision of this part to the contrary, if a employee's holdings rise in value above the amount exempted by §1203.735205(c), then the statutory and regulation prohibitions apply in a conflict of interest situation.

(a) These regulations are adopted by the Board for International Broadcasting (BIB) pursuant to authority granted to it by Pub. L. 93-129, 87 Stat. 456, approved October 19, 1973; 22 U.S.C. 2873 et seq., as amended. Grant funds shall be transferred to Radio Free Europe/Radio Liberty, Inc. (RFE/RL, Inc.) only on condition of compliance with the pertinent parts of these regulations. Exceptions to this condition may be made by the BIB.

(b) These regulations are based on the statutory mandate of the BIB:

(1) To make grants to RFE/RL, Inc.; (2) To review and evaluate the mission and operation of RFE/RL, Inc., and to assess the quality, effectiveness, and professional integrity of its broadcasting within the broad foreign policy objectives of the United States;

(3) To encourage the most efficient utilization of available resources by RFE/RL, Inc., and to undertake, or request that RFE/RL, Inc. undertake, such studies as may be necessary to identify areas in which the operations of RFE/RL, Inc. may be made more efficient and economical;

(4) To develop and apply such financial procedures, and to make such au

dits of RFE/RL, Inc., as the Board may determine are necessary, to assure that grants are applied in accordance with the purposes for which such grants are provided;

(5) To develop and apply such evaluative procedures as the Board may determine are necessary to assure that grants are applied in a manner not inconsistent with the broad foreign policy objectives of the U.S. Government; and

(6) To prescribe such regulations as the Board deems necessary to govern the manner in which its functions shall be carried out.

(c) In carrying out the foregoing functions, the Board will respect the integrity and professional independence of RFE/RL, Inc.

§ 1300.2 Organization of the Board for International Broadcasting.

(a) The Board for International Broadcasting is composed of ten members, one of whom-the President and Chief Operating Executive of RFE/RL, Inc. is an ex officio member. As such, the President of RFE/RL, Inc. may participate in the activities of the Board, but may not vote in the determinations of the Board.

(b) The President of the United States appoints, by and with the advice and consent of the Senate, nine voting members, one of whom he designates as Chairman. By law, the Board's membership must be bipartisan, with no more than five seats reserved for any one political party. The voting members are appointed for a term of three years. A member whose term has expired may continue to serve until his or her successor has been appointed and confirmed.

(c) The nine voting members and the ex officio member of the BIB serve concurrently as the Board of Directors of RFE/RL, Inc. Unless specifically noted otherwise, all meetings of the Board are considered joint meetings of the Board for International Broadcasting and of the Board of Directors of RFE/ RL, Inc. The Board of Directors make all major policy determinations governing the operation of RFE/RL, Inc., and appoints and fixes the compensation of managerial officers and employees of RFE/RL, Inc.