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ministration for approval. Changes in Appendix C shall be submitted, with specific justification, to the Civil Service Commission for further prior approval.

(3) Incumbents of positions added to Appendix B or to Appendix C shall become subject to the reporting requirements of this part upon receipt of notification that their position is subject to such requirements. Appendix B and Appendix C shall be republished annually to reflect changes in the lists.

80.735–22a Employee's complaint on

filing requirement. An employee shall have an opportunity for review through the Department of Commerce grievance procedure, as provided by Administrative Order 202-770, of a complaint by him that his position has been improperly included under the regulations of the Department as one requiring the submission of a statement of employment and financial interests.

(1) Contracting or procurement;

(2) Administering or monitoring grants or subsidies;

(3) Regulating or auditing private or other non-Federal enterprise; or

(4) Other activities where the decision or action has an economic impact on the interests of any non-Federal enterprise. Each employee who occupies a position in one of the above-listed categories and who is not excluded from the reporting requirement shall be notified that he is subject to the reporting requirement.

(c) The following employees classified at GS-13 or above under section 5332 of Title 5, United States Code, or at a comparable pay level under another authority, not otherwise subject to paragraph (b) of this section:

(1) Employees in grade GS-16 or above, or in comparable or higher positions.

(2) Employees in Schedule C positions.

(3) Employees in hearing examiner or hearing officer positions.

(4) Persons employed as experts, consultants, or advisers.

(5) Employees in positions or categories of positions, regardless of their of. ficial title, identified in Appendix B of this part.

(d) Employees classified below GS13 under section 5332 of Title 5, United States Code, or at a comparable pay level under another authority, who are in positions or categories of positions. regardless of their official title, identified in Appendix C to this part.

(e) Appendices B and C. (1) Appendix B to this part shall be maintained and changes made therein in accordance with the criteria in 5 CFR 735.403(c) and in accordance with the procedure in this paragraph. Appendix C to this part shall be maintained and changes made therein in accordance with the criteria in 5 CFR 735.403(d) and in accordance with the procedure in this paragraph.

(2) Heads of operating units and heads of offices in the Office of the Secretary shall, in conformity with the above-cited criteria, recommend changes in Appendix B and Appendix C to the Assistant Secretary for Ad

80.735-23 Employees not required to

submit statements. (a) Employees in positions that meet the criteria in paragraph (b), (c), or (d) of $ 0.735-22 may be excluded from the reporting requirement when the head of the operating unit concerned determines that:

(1) The duties of a position are such that the likelihood of the incumbent's involvement in a conflicts-of-interest situation is remote; or

(2) The duties of a position are at such a level of responsibility that the submission of a statement of employment and financial interests is not necessary because of the degree of supervision and review over the incumbent or the inconsequential effect on the integrity of the Government.

(b) A statement of employment and financial interests is not required by this part from the Secretary of Commerce, from the head of an independent agency for which the Department of Commerce performs administrative services, or from a full-time member of a committee, board, or commission appointed by the President. These employees are subject to separate report

ing requirements under section 401 ofered to be an interest of the employee. Executive Order 11222.

For the purpose of this section,

“member of an employee's immediate 80.735-24 Time and place for submission

household” means those blood relaof original statements.

tions who are members of the employ(a) An employee required to submit ee's household. a statement of employment and financial interests under this part shall 80.735-27 Information not known by emsubmit that statement not later than: ployees. (1) Ninety days after the effective

If any information required to be indate of this part if the employee is em

cluded on a statement of employment ployed by the Department on or

and financial interests or supplemenbefore the effective date of this part;

tary statement, including holdings or

placed in trust, is not known to the (2) Thirty days after the employee's

employee but is known to another entrance on duty date, but in no case

person, the employee shall request earlier than 90 days after the effective

that other person to submit informadate of this part. (b) Statements shall be submitted to

tion in his behalf. a personnel officer specified by the

8 0.735-28 Information not required. head of the operating unit or to such other person as the head of the oper This part does not require an emating unit, with the approval of the ployee to submit on a statement Secretary, may specify. Secretarial of employment and financial interests or ficers and heads of operating units supplementary statement any inforshall submit their statements to the mation relating to the employee's conSecretary or to such person as the Sec nection with, or interest in, a profesretary may designate.

sional society or a charitable, religious,

social, fraternal, recreational, public 8 0.735-25 Supplementary statements. service, civic, or political organization

Changes in, or additions to, the in or a similar organization not conductformation contained in an employee's

ed as a business enterprise. For the statement of employment and finan- purpose of this section, educational cial interests shall be reported in a

and other institutions doing research supplementary statement as of June

and development or related work in30 each year, except when the Civil

volving grants of money from or conService Commission authorizes a dif

tracts with the Government are ferent date on a showing by the De deemed “business enterprises” and are partment of necessity therefor. (The

required to be included in an employCommission has authorized filing of ee's statement of employment and fithe supplementary statement for 1967 as of September 30, 1967.) If no changes or additions occur, a negative

$ 0.735–29 Confidentiality of employees' report is required. Notwithstanding

statements. the filing of the annual report re (a) No employee may have access to quired by this section, each employee a statement of employment and finanshall at all times avoid acquiring a fi cial interests, or a supplementary nancial interest that could result, or statement, unless his official duties taking an action that would result, in make access necessary. Each employee a violation of the conflicts-of-interest who has access to such a statement is provisions of section 208 of Title 18, responsible for maintaining it in confiUnited States Code, or Subpart D of dence and shall not allow access to, or this part.

allow information to be disclosed

from, a statement except to an em80.735–26 Interests of employees' rela

ployee of the Department of Comtives.

merce or the Civil Service Commission The interest of a spouse, minor to carry out the purpose of this part child, or other member of an employ- or to other persons as the Civil Service ee's immediate household is consid- Commission or the Assistant Secretary


for Administration may determine for quired to be submitted by a special good cause shown. (The foregoing lim- Government employee shall be subitations do not apply to release of in- mitted not later than his entry on formation by an employee with re duty. Each special employee shall spect to a statement he has submitted keep his statement current throughunder this section.)

out his employment with the Depart(b) The employees designated in ment by the submission of supplemenparagraph (b) of $ 0.735-24 to receive tary statements. statements are authorized to review and retain the statements and are re

Subpart F-Supplementary sponsible for maintaining the state

Regulations ments in confidence, as provided in this section.

$ 0.735–32 Departmental. 8 0.735-30 Relation of this part to other The Assistant Secretary for Adminrequirements.

istration may prescribe supplementary (a) The requirement that employees

instructions consistent with this part. submit statements of employment and

8 0.735-33 Operating units. financial interests and supplementary statements under this part is in addi

Each operating unit is hereby aution to, and not in substitution for, or thorized and directed to prescribe, in derogation of, any similar require

after approval by the Assistant Secrement imposed by law, order, or regula tary for Administration, such additiontion.

al regulations not inconsistent with (b) The submission of a statement or this part as may be necessary to effecsupplementary statement by an em tuate the general purpose of this part ployee does not permit him or any in the light of its individual operating other person to participate in a matter

requirements, including but not limitin which his or the other person's par- ed to pertinent statutory provisions, ticipation is prohibited by law, order, such as: or regulation, including this part.

(a) 35 U.S.C. 4, 122 (Patent Office);

(b) 46 U.S.C. 1111(b) (Maritime Ad8 0.735-31 Special Government employees. ministration);

(a) Special Government employees (c) Certain provisions of the Defense shall be required to report:

Production Act of 1950, e.g., 50 U.S.C. (1) All other employment; and

App. 2160(b)(2) (avoidance of conflicts (2) Financial interests specified on of interest), 50 U.S.C. App. 2160(b)(6) Form CD-219.

(financial statements), and 50 U.S.C. (b) A waiver may be granted to the App. 2160(f) (prohibition of use of conrequirements of this section in the fidential information for purposes of case of a special Government employ speculation) (Business and Defense ee who is not a consultant or expert Services Administration and any other (as defined in Chapter 304 of the Fed primary operating unit affected); and eral Personnel Manual) when a deter (d) Certain provisions of Pub. L. 89mination is made that the duties of 136, the Public Works and Economic the position held by that special Gov Development Act of 1965, e.g., section ernment employee are of such a 711 (restriction on employing certain nature and at such a level of responsi EDA employees by applicants for fibility that the submission of the state nancial assistance), and section 710(b) ment by the incumbent is not neces (embezzlement), false book entries, sary to protect the integrity of the sharing in loans, etc., and giving out Government. Any such waiver shall be unauthorized information for speculaapproved by the head of the operating tion). unit concerned or his designee. A copy of the waiver shall be filed with the

8 0.735-34 Effective date of supplementary deputy counselor for the organization regulations. unit concerned.

Supplementary regulations

pre(c) The original statement of em- scribed pursuant to $ 0.735-33, shall ployment and financial interests re- become effective upon approval by the issuing officer unless a different date mentary regulations (or a comprehenis required by law or a later date is sive summary thereof); specified therein.

(c) Bring this part (or as it may be

amended and any supplementary reguSubpart G-Administration

lations thereto) to the attention of

each employee annually, and at such 8 0.735-35 Responsibilities of employees.

other times as circumstances may war

rant as may be determined by the AsIt is the responsibility of each em

sistant Secretary for Administration; ployee:

(d) Have available for review by em(a) To assure, at the outset of his

ployees, as appropriate, copies of laws, employment, that each of his interests

Executive orders, this part, suppleand activities is consistent with the re

mentary regulations, and pertinent quirements established by or pursuant

Civil Service Commission regulations to this part;

and instructions relating to ethical (b) To submit a statement of em

and other conduct of Government employment and financial interests at

ployees; such times and in such form as may be

(e) Advise each employee who is a specified in or pursuant to this part;

special Government employee of his (c) To certify, upon entering on duty status for purposes of 18 U.S.C. 203 in the Department, that he has read

and 205; this part and applicable regulations (f) Require each employee specified supplementary thereto;

in $ 0.735-22 to submit a statement of

zation of any interest or activity about provided by or pursuant to this part; the propriety of which any doubt

(g) Develop an appropriate form, exists in the employee's mind, as pro

with the approval of the counselor of vided in $ 0.735-39;

the Department, on which the em(e) To confine each of his interests

ployee may certify that he has read and activities at all times within the

this part and applicable regulations requirements established by or pursu

supplementary thereto, in accordance ant to this part, including any authori with $ 0.735-35(c), and on which he zations granted pursuant to this part; may, if he so desires, indicate that he and

has a private activity or interest about (f) To obtain a further written au- which he requests advice and guidance thorization whenever circumstances as provided by $ 0.735-38. change, or the nature or extent of the

(h) Require each employee upon eninterest or activity changes, in such a tering on duty and at such other times manner as to involve the possibility of as may be specified, to execute the cera violation or appearance of a viola- tification required by $ 0.735-35(c); tion of a limitation or requirement (i) Report to the program Secretariprescribed in or pursuant to this part. al Officer concerned and to the Assist

ant Secretary for Administration 8 0.735–36 Responsibilities of operating

promptly any instance in which an units.

employee, after notice, fails to submit The head of each operating unit, or the certification required under his designee, shall:

$ 0.735-35(c) or a statement of employ(a) Furnish or make available to ment or financial interests required each employee a copy of this part (or under this part within 14 calendar a comprehensive summary thereof) days following the prescribed time within 90 days after approval of this limit for doing so; and part by the Civil Service Commission, (j) Take action to impress upon each and, upon their issuance, a copy of any employee required to submit a stateregulations supplementary thereto (or ment of employment and financial ina comprehensive summary thereof); terests, upon his supervisor, and upon

(b) Furnish or make available to employees with whom the employee each new employee at the time of his works, their responsibility as follows: entrance on duty a copy of this part as (1) The employee's supervisor is reit may be amended and any supple- sponsible (i) for excluding from the

range of duties of the employee any (b) Where the statement raises any contracts or other transactions be- question of compliance with the retween the Government and his outside quirements of this part, it shall be subemployer, clients, or entities in which mitted to a deputy counselor for the he has an interest within the purview organization unit concerned. The of this part, and (ii) for overseeing the deputy counselor may, in his discreemployee's activities in order to insure tion, utilize the advice and services of that the public interest is protected others (including departmental facilifrom improper conduct on his part ties) to obtain further information and that he will not, through igno needed to resolve the questions. rance or inadvertence, embarrass the (c) The designated officer shall Government or himself.

maintain the statements of employ(2) The employee's supervisor and ment and financial interests in a file employees with whom he works are re

apart from the official personnel files sponsible for avoiding the use of the

and shall take every measure practicaemployee's services in any situation in ble to insure their confidentiality. which a violation of law, regulation, or

Statements of employment and finanethical standards is likely to occur or

cial interests shall be preserved for 5 to appear to occur.

years following the separation of an (3) The supervisor of an employee is

employee from the Department or folresponsible for initiating prompt and

lowing termination of any other relaproper disciplinary or remedial action

tionship under which the individual when a violation, intentional or inno

rendered service to the Department, cent, is detected.

except as may be otherwise authorized (4) Employees shall avoid divulging

by the Assistant Secretary for Adminto a special Government employee

istration or as required by law. privileged Government information which is not necessary to the perform 80.735-38 Availability for counseling. ance of his governmental responsibility or information which directly in

(a) The General Counsel of the Devolves the financial interests of his partment shall: non-Government employer.

(1) Serve as the counselor for the (5) An employee shall make every Department of Commerce with respect effort in his private work to avoid any to matters covered by the basic provipersonal contact with respect to nego

sions cited in $ 0.735-2(a) and othertiations with the Department for con wise by or pursuant to this part; tracts, grants, or loans, if the subject (2) Serve as the Department of Commatter is related to the subject matter merce designee to the Civil Service of his Government employment. Commission on matters covered by When this is not possible, he may par- this part; and ticipate if not otherwise prohibited by (3) Coordinate the counseling serylaw (e.g., 18 U.S.C. 203 and 205) in the ices provided under this part and negotiations for his private employer assure that counseling and interpretaonly with the prior approval of the tions on questions of conflicts of interhead of the operating unit concerned. est and other matters covered by this

part are available to deputy counselors 8 0.735-37 Procedure.

designated under paragraph (b) of this The review of statements of employ- section. ment and financial interests shall in (b) The counselor shall designate clude the following basic measures, employees who shall serve as deputy among others:

counselors for employees of the De(a) Statements shall be submitted to partment of Commerce with respect to the designated officer, who will review matters covered by or pursuant to this each employee's statement of employ part and shall give authoritative ment and financial interests to ascer- advice and guidance to each employee tain whether they are consistent with who seeks advice and guidance on the requirements established by or questions of conflict of interests and pursuant to this part. (See $ 0.735- other matters covered by or pursuant 24(b).)

to this part.

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