The content of this presentation is informational in nature - PowerPoint Presentation

Slide1

The content of this presentation is informational in nature and was designed to meet the ethics training requirement pursuant to R.S. 42:1170.

It

does not constitute a formal advisory opinion by the

Louisiana Board

of Ethics. 

For more information, you may contact one of the staff attorneys with the Ethics Administration Program.Slide2

The Louisiana Code of Governmental EthicsSlide3

The Louisiana Code of Governmental Ethics

Who is Affected by the Louisiana Code of Governmental Ethics

The Basic Provisions of the Code

How the Board of Ethics Upholds the CodeSlide4

The Board of Ethics

Meets once per month

Usually the 3rd Thursday and Friday of the month

Thursday sessions are privateFriday sessions are open to the publicLA. CONST. ARTICLE 10, SECTION 21Slide5

The Board of Ethics

The Board

11 members appointed

7 by the Governor2 by the Senate2 by the House

NOT COMPENSATED

LA. CONST. ARTICLE 10, SECTION 21

P.O. Box 4368

Baton Rouge, LA 70821

LaSalle Building

617 N. Third St.

Baton Rouge, LA 70802Slide6

The Code of Governmental Ethics

It is essential:

That there be public confidence in the integrity of government

That elected officials and public employees be independent and impartialThat decisions and policies are made in the proper channels of governmentThat public office and employment not be used for private gainIt is

crucial

to

keep these goals in mind in your everyday public service.

Section 1101Slide7

Ethics Liaisons

The agency head of each

department in

the executive branch of state government is required to designate at least one person licensed to practice law in Louisiana as a State Agency Ethics Liaison.Each political subdivision is required to designate at least one person as the Ethics Agent, who will assist in providing information and updates to the employees and officials of the political subdivision, as well as assist in setting up live trainings.Section 1170Slide8

Who is Subject to

the Code of Ethics?Slide9

Definitions

Public Servant:

A public employee or elected official.Slide10

Definitions

Public Employee:

Anyone who is:

An administrative officer or official of a governmental entity,Appointed by an elected official, Engaged in the performance of a governmental function, orUnder the supervision or authority of an elected official or another employee of a governmental entity.

Whether compensated or not

Remember

:

You don’t have to be employed by a governmental agency to be considered a public employee.

Members

of boards and commissions which are engaged in the performance of a governmental function, or which are appointed by a governmental agency, are still considered public employees

.Slide11

Definitions

Agency (elected officials):

The state or any political subdivision to which the elected official is elected.

The agency for a

Police Juror

in Natchitoches

is:

The

State

of Louisiana

Natchitoches Parish

Lasyone’s

RestaurantSlide12

Definitions

Agency (public employees):

The department, office, division, agency, commission, board, committee, or other organizational unit of a governmental entity to which a public employee belongs.

The agency for an employee who works in

the Road

and

Bridge Division

of

Public Works

for the

Town

of

Krotz

Springs is:

Krotz

Springs Department of Public Works

Krotz

Springs Road and Bridge Division

Town of

Krotz

SpringsSlide13

Definitions

Immediate Family Members

Spouse

ParentsChildren

Children’s Spouses

Spouse’s Parents

Siblings (half

siblings)

Siblings’ Spouses

Your spouse’s siblings are not considered immediate family members.Slide14

Immediate Family

Pam

(Mother)

Heather

(Public Servant)

Kevin

(Husband)

Cooper

(Son)

Robby

(Son)

Lucy

(Daughter)

Kathy

(Mother-in-Law)

Doug

(Father-in-Law)

Brett

(Brother)

Arianna

(Sister-in-Law)

Sophia

(Niece)

John

(Arianna’s Father)

Bootsie

(Arianna’s Mother)

Beau

(Father)

Jackson

(Arianna’s Brother)

Janie

(Aunt)

Steven

(Brother-in-Law)Slide15

Definitions

As a public servant, it is important that you know who is considered a prohibited source according to the Code of Governmental Ethics.

Part

of the Code’s purpose is to ensure that no public office or employment is used for private gain. As a general rule, you should not accept any thing of economic value from a prohibited source. Slide16

Definitions

Prohibited Sources

for:

Elected Officials and Public EmployeesA person who has or is seeking a contractual, business, or financial relationship with your agency. [R.S. 42:1115A(1)]

Someone

who, for compensation, attempts to influence any legislation or ordinance of the elected body.Slide17

Definitions

Prohibited Sources

for:

Public EmployeesA person who has or is seeking a contractual, business, or financial relationship with your agency. [R.S. 42:1115A(1)]Someone

who, for compensation, attempts to influence any legislation or ordinance of the elected body

.

A

person who conducts activities which are regulated by the public employee’s agency. [R.S. 42:1115B(1)]

A person who has a substantial economic interest that can be affected by the performance, or non-performance, of the public employee’s job duties. [R.S. 42:1115B(2)]Slide18

Who would be considered a prohibited source for Chris? Chris started out as a road

crew worker employed by the Department of Transportation and Development

.

The homeowners and business owners along

the road that

Chris

is

currently working on

A driver who is lost and driving on the road that Chris is working on

A business on the last road Chris worked on

The homeowners and business owners along the road that Chris

is currently working on:

The

homeowners and business owners along the road where a road crew is working would be considered prohibited sources for the members of the road crew for as long as the job was ongoing.

As

soon as that job is fully completed, they would no longer be prohibited sources because the owners would no longer have any substantial economic interest in the performance of

Chris’s

job duties

.Slide19

Gifts

Determining what is or is not considered a gift isn’t always as easy as it might seem

.

There are some exceptions to the gift rule. For the most part, a gift is considered any thing of economic value and, as a public servant, you MAY NOT solicit or accept any thing of economic value as a gift or gratuity from any person or from any officer, director, agent, or employee of such a person that is considered a Prohibited Source.

Section 1115Slide20

Thing of economic value means money or any other thing having economic value.

Thing of economic value includes both tangibles and intangibles.

There is no minimum allowable value.

GiftsThing of Economic ValueSection 1115Slide21

Which of the following is a “thing” of economic value

?

Use of a hunting camp

King Cake

Manicure

Transportation to a Mardi Gras Ball

An Aglet

LandscapingSlide22

Gifts

A

prohibited source

presents Bill with a brand new 2016 Ford Truck.He won the state championship game against the town’s biggest rival.If the coach was presented with a discount of 40% off the MSRP of the same truck.

That

would also be a violation of the Code because it is an intangible gift.

The

discount has an economic value equal to 40% of the truck’s suggested retail price. Slide23

Gifts

1st Requirement

MUST Be imprinted with a logo of a business or organization.

2nd RequirementMUST Have minimal value.Items of a more substantial resale value are not considered promotional.Promotional Items

Exceptions

You can look into past advisory opinions to see what items the Board of Ethics has determined to have substantial resale value.

Section 1115Slide24

Gifts

Section

1115

Promotional ItemsExceptions





Slide25

Which of the following are acceptable as promotional items?

Pen with

a company name

Stress ball with

a company name

Sunglasses

with

a company sticker

A Shotgun with a company logo

A Mouse padSlide26

Gifts

Here in Louisiana, we love to eat and drink.

Another exception to the gift rule is the food and drink exception.

There are some important guidelines you must remember when it comes to this exception. Section 1115.1Food & Drink

ExceptionsSlide27

Gifts

In order to get the benefit of this exception you must eat or drink the

food or drink

in the presence of the giver or a representative of the giver.Gift cards and gift certificates for food or drink are not part of the exception for food and drink.The exception allows a public servant to receive reasonable transportation and entertainment which is incidental to the food and drink.Section 1115.1

Food &

Drink

ExceptionsSlide28

Gifts

The limitation on the dollar value of food and drink a public servant may be given is $60 per public servant per event.

The dollar limitation does not include tax or gratuity.

An “event” is a single activity, occasion, reception, meal, or meeting at a given place and time.Under this definition, breakfast, lunch, and dinner could all be considered separate events, and there is no set time that an event has to take place. Section

1115.1

Food &

Drink

ExceptionsSlide29

Gifts

To

find out if your event falls within the limitation, divide the total cost of the food and drink by the total number of persons invited to the event

.This is the figure you use, even if all of the invitees did not attend the event.Section 1115.1

Food &

Drink

Exceptions

$1,000 ÷ 10 = $100

Per Person

Total Cost

People InvitedSlide30

Food & Drink

click to view the video

Mr. Malcolm Reynolds has offered to take Mayor Stark and Mr. Jon Snowbird, Director of Tourism, out for a steak lunch in order to discuss his client’s interests in an upcoming transportation issue before the city council. He is even willing to provide their transportation in his limousine. Slide31

Food & Drink

Mr. Malcolm Reynolds has offered to take Mayor Stark and Mr. Jon Snowbird, Director of Tourism, out for a steak lunch in order to discuss his client’s interests in an upcoming transportation issue before the city council. He is even willing to provide their transportation in his limousine.

Can Mayor

Stark and Jon Snowbird accept Mr. Reynolds’ offer?

No

Yes

That’s Correct!

That’s Incorrect

.Slide32

Food & Drink

Mr. Malcolm Reynolds has offered to take Mayor Stark and Mr. Jon Snowbird, Director of Tourism, out for a steak lunch in order to discuss his client’s interests in an upcoming transportation issue before the city council. He is even willing to provide their transportation in his limousine.

Mayor Stark and Jon Snowbird can accept Mr. Reynolds’ offer as long as they:

Do not exceed the allowed $60 per person limit

Consume the meal in the presence of Mr. Reynolds.

Also, since Mr. Reynolds was already traveling via his limo, it could be considered incidental to the lunch offer.Slide33

Gifts

The

$60 limit is on the value of the food and drink provided.

It is not up to the public servant to keep track of the amount of food and drink they are consuming, so long as they are in the presence of the provider. It is, however, up to the provider to keep track of how much has been spent.Section 1115.1

Food &

Drink

ExceptionsSlide34

Gifts

A public servant may accept complimentary admission to a civic, non-profit, educational, or political event if the public servant is a program honoree, is giving a speech, or is a panel member participating in a debate or discussion at the event

.

A public servant under the supervision of an elected official may receive complimentary admission to assist the elected official, if such assistance is part of the public servant’s ordinary job duties.MAY NOT Receive admission to a professional, semi-professional, or collegiate sporting event.

Section 1123(13

)

Complimentary

Admission

ExceptionsSlide35

Gifts

A public servant may accept complimentary admission, as well as reasonable lodging and transportation to an educational, professional development seminar or conference which is related to the public servant’s job duties, provided that:

The public servant must be invited to attend by the sponsoring civic, nonprofit, educational, or political group or organization.

The sponsor is not a prohibited source seeking to influence legislation by the public servant’s agency.Section 1123(41)

Educational and Professional Development Seminars and

Conferences

ExceptionsSlide36

Gifts

A public servant may accept complimentary admission, as well as reasonable lodging and transportation to an educational, professional development seminar or conference which is related to the public servant’s job duties, provided that:

The agency head gives approval.

An affidavit is filed with the Board of Ethics within 60 days, including the actual amount expended on the public servant’s behalf.No affidavit is required if the public servant’s agency or governmental entity pays for the public servant’s expenses.Section 1123(41)

Educational and Professional Development Seminars and

Conferences

ExceptionsSlide37

This covers the main exceptions to the gift rule.

For

further information, you may refer to R.S. 42:1123.Slide38

Prohibitions on Income

Remember Bill, the basketball coach we discussed when we were reviewing the gift restrictions?

As it turns out, he also could have been a victim of the prohibitions on income.

Unlike the gift restrictions, the prohibitions on income ARE NOT limited to prohibited sources. Section 1111A(1)Slide39

Prohibitions on Income

A public servant may not receive any thing of economic value, other than compensation and benefits they are entitled to by their agencies, for the performance of their job duties.

Coaching

the high school basketball team is part of Bill’s normal job dutiesHe may not receive any thing of economic value beyond his regular paycheck for coaching the championship game. It does not matter if the gift is from a prohibited source or not.

Section 1111A(1)Slide40

Prohibitions on Income

A public servant may not receive any thing of economic value for any service, the subject matter of which:

Is

devoted substantially to the responsibilities, programs, or operations of the agency of the public servant and which the public servant has participated. Draws substantially upon official data or ideas which have not become part of the body of public information.Section 1111C(1)Slide41

Prohibitions on Income

This is

Kristen

She teaches

2

nd

Grade MathSlide42

Prohibitions on Income

Kristen enjoys teaching and is passionate about her students doing well. Slide43

Prohibitions on Income

If Kristen were to tutor her students outside of school hours, for compensation and covering the same subject matter she covers in class that would be a violation of the Code of Governmental Ethics.Slide44

Prohibitions on Income

Kristen’s job duties include teaching 2nd grade math to her

students.Slide45

Prohibitions on Income

She may not receive any outside income for performing the same service outside of school hours to the same students.Slide46

Prohibitions on Income

MAY NOT receive any thing of economic value for services performed for or compensated by a person from whom the public servant is prohibited from receiving a gift as we mentioned earlier.

Section 1111C(2)(d)

a public servant

a legal

entity or company

of which the public servant or the immediate family members (collectively or separately) have an ownership interest greater than 25

%

a public servant’s immediate family

memberSlide47

Prohibitions on Income

A “

service

” is:The performance of work, duties, or responsibilities, or the leasing, rental, or sale of moveable or immoveable property.This includes employment, contractual work, and the selling of property and goods.Section 1111C(2)(d)Slide48

Prohibitions on Income

click to view the video

In this scene, Mr. Reynolds is a health inspector who has dropped in to perform an inspection on Café Miranda. Unfortunately for the owner, her café has a small infestation problem. In order to avoid failing her inspection, the owner offers Mr. Reynolds a 50% discount for life

.Slide49

Prohibitions on Income

In this scene, Mr. Reynolds is a health inspector who has dropped in to perform an inspection on Café Miranda.

Unfortunately

for the owner, her café has a small infestation problem. In order to avoid failing her inspection, the owner offers Mr. Reynolds a 50% discount for life.Should Mr. Reynolds accept the cafe owner’s offer?

No

Yes

That’s Correct!

That’s Incorrect

.Slide50

Prohibitions on Income

In this scene, Mr. Reynolds is a health inspector who has dropped in to perform an inspection on Café Miranda.

Unfortunately

for the owner, her café has a small infestation problem. In order to avoid failing her inspection, the owner offers Mr. Reynolds a 50% discount for life.The café is a business regulated by Mr. Reynolds’ agency and it is considered a prohibited source.

The café owner has offered him a thing of economic value with the intent that he will not report the problems with her café. Slide51

Prohibitions on Income

In this scene, Mr. Reynolds is a health inspector who has dropped in to perform an inspection on Café Miranda.

Unfortunately

for the owner, her café has a small infestation problem. In order to avoid failing her inspection, the owner offers Mr. Reynolds a 50% discount for life.Any way you look at it, this is one deal that Mr. Reynolds should not make.

He cannot accept this discount from a prohibited source, and it is a violation under the prohibitions on income to accept outside payment for the performance, or non-performance, of his job duties.Slide52

Giver of Illegal Payments

The Code does not only regulate a public servant’s receipt of prohibited payments and gifts, but also gives authority to the Board to enforce the Code against givers of illegal payments

.

Section 1117

No public servant or other person shall:

give, pay, loan, transfer, or deliver -or-

offer

to give, pay, loan, transfer, or deliver

DIRECTLY OR INDIRECTLY

to any public servant or other person, any thing of economic value which he or she would be prohibited from receiving by any provision of the Code of Ethics.Slide53

Prohibited Contracts and Transactions

click to view the video

Here we visit Mr. Snowbird from the Tourism Department again, and we find out that also he owns a small production company. This seems like a happy coincidence, as Mayor

Lannister

has just decided to put a bid out for an invitation for advertisements for the town of

Winterfell

to be produced in collaboration with the Tourism Department. When Mr. Snowbird expresses an interest in having his production company take on the job, the Mayor doesn’t see a problem since the contract is a public bid.Slide54

Prohibited

Contracts and Transactions

Here we visit Mr. Snowbird from the Tourism Department again, and we find out that also he owns a small production company. This seems like a happy coincidence, as Mayor

Lannister has just decided to put a bid out for an invitation for advertisements for the town of Winterfell to be produced in collaboration with the Tourism Department. When Mr. Snowbird expresses an interest in having his production company take on the job, the Mayor doesn’t see a problem since the contract is a public bid.

Should Mr. Snowbird be allowed to enter into the contract if his proposal is accepted?

No

Yes

That’s Correct!

That’s Incorrect

.Slide55

Prohibited

Contracts and Transactions

Here we visit Mr. Snowbird from the Tourism Department again, and we find out that also he owns a small production company. This seems like a happy coincidence, as Mayor

Lannister has just decided to put a bid out for an invitation for advertisements for the town of Winterfell to be produced in collaboration with the Tourism Department. When Mr. Snowbird expresses an interest in having his production company take on the job, the Mayor doesn’t see a problem since the contract is a public bid.

Since the advertisements would be developed in collaboration with the Tourism Department, and Mr. Snowbird is the head of the Tourism Department, it’s safe to say that this particular contract would be under the jurisdiction of his agency.

In this case, Mr. Snowbird would not be allowed to bid on the contract, despite the fact that it is a public bid.Slide56

Prohibited Contracts and Transactions

MAY NOT bid on or enter into any contract, subcontract, or other transaction under the supervision or jurisdiction of the public servant’s agency.

Section 1113A(1)(a)

a public servant

a legal

entity or company

of which the public servant or the immediate family members (collectively or separately) have an ownership interest greater than 25

%

a public servant’s immediate family

memberSlide57

Prohibited Contracts and Transactions

A “

transaction

” is a:ProceedingApplicationSubmissionRequest for a ruling or other determinationcontractclaim

case

A “

transaction involving the governmental entity

” is:

One to which the agency is a party

One in which the agency has a direct interest

Will be the subject of action by the governmental entity

Section 1113A(1)(a)Slide58

Prohibited Contracts and Transactions

The donation of services and moveable property is allowed.

For example

:The Crawfish Board is trying to determine what advertising route to take this year. As it so happens, the husband of one of the board members owns five radio stations.If the board member’s husband wanted to donate his services to record advertisements and air them on his stations, it would not be a violation of the Code. Slide59

Prohibited

Contracts and Transactions

No

appointed member of any board or commission, any member of his or her immediate family, or a legal entity in which he or she has a substantial economic interest may bid on or enter into, or be in any way interested in, any contract, subcontract, or other transaction under the jurisdiction of the agency of the appointed member.Section 1113BSlide60

Disclosure

There

are some instances in which a public servant or a member of their immediate family might still receive a thing of economic value through a transaction

.A person may have entered into a contract with an agency before becoming a public servant with that agency.A public servant may own an interest of 25% or less in a legal entity that has entered into a transaction with his agency.It is important to understand that the disclosure statute in Section 1114 of the Code is not an exception to Section 1113 for prohibited

transactions

.

Section

1114Slide61

Disclosure

A

public servant, or the immediate family member of a public servant, who

receives a thing of economic value through a person who is:Regulated by the public servant’s agency, orWho has bid on or entered into, or is in any way interested in, any contract, subcontract, or other transaction under the supervision or jurisdiction of the public servant’s agencyMUST disclose the amount of income received to the Board of Ethics.

Note:

This disclosure form does not allow a public servant, a public servant’s immediate family member, or a legal entity in which they own an interest

greater than

25%, to enter into a contract or transaction under the jurisdiction of the public servant’s agency

.

Section

1114Slide62

Participation

The code also has restrictions on certain types of

participation

Why would there be a restriction on participation?We have to keep going back to the purpose of the Code and the policies of remaining independent, impartial and ensuring that no public office or public employment is used for private gain.Slide63

Participation

If any of these people have a substantial economic interest in a transaction involving the public

servant’s governmental entity,

the public servant MAY NOT participate in the transaction.The public servantA member of the public servant’s immediate familyA legal entity in which he or she has a substantial economic interestAny person of which the public servant is an officer, director, trustee, partner, or employeeA person with whom he or she is negotiating prospective employmentA person who owes money to the public servant or to a legal entity in which he or she owns in excess of 25%, or who can affect the public servant’s economic interests because of a contractual relationship with the public servant or the legal

entity

Section

1112Slide64

A “

governmental entity

” is the state, or any political subdivision, which employs the public employee or to which the elected official is elected.

To “participate” means to take part in, or have or share responsibility for, an action of the governmental entity through:ApprovalDisapprovalDecisionRecommendationRendering of advice

Investigation

Failure

to act or to perform a duty

Participation

Definitions

Section

1112Slide65

A “

substantial economic interest

” is an economic interest which is of greater benefit to the public servant or other persons than to a general class or group of persons.

DOES NOT INCLUDEA public servant’s interest in his or her own position, office, rank, salary, per diem, or other matter.An interest that a person has as a member of the general public.Participation

Definitions

Section

1112Slide66

Avoiding Participation

Public employees may disqualify themselves to avoid participation problems.

You should contact your supervisor to set up a disqualification plan in which another person, without participation issues, can perform the actual services necessary for that transaction.

Section 1120Slide67

Avoiding Participation

Elected officials must recuse themselves from voting. They may participate in debate or discussion.

Appointed members of boards or commissions must recuse themselves to avoid Section 1112 conflicts, and may not participate in the debate or discussions.

Section 1120Slide68

Jake is a

health

inspector that inspects restaurants. Jake’s sister, Jade,

owns a famous restaurant called “Tails

and

Ale”. Tails

and

Ale

is coming up for

a

random health inspection.

Jake has

been tasked with performing the inspection. What should

Jake

do?

Let

the inspection date pass without performing the inspection

Perform

the inspection but get another person’s signature

Inform the supervisor of

his conflict and set up a disqualification plan for someone else to perform the task

QuitSlide69

Abuse of Office

click to view the video

It doesn’t take much to see that everything is not going swimmingly for this potential Crawfish. She’s just

discovered that

the deadline to turn in her college application has passed. Unwilling to wait to enroll the next semester, she turns to the admissions officer for help, but is met with resistance. However, the admissions officer doesn’t mind scratching the

student’s

back as long as her back gets scratched too, and for the right fee, she can ensure the student’s acceptance to the university.Slide70

Abuse of Office

It doesn’t take much to see that everything is not going swimmingly for this potential Crawfish. She’s just discovered that the deadline to turn in her college application has passed. Unwilling to wait to enroll the next semester, she turns to the admissions officer for help, but is met with resistance. However, the admissions officer doesn’t mind scratching the student’s back as long as her back gets scratched too, and for the right fee, she can ensure the student’s acceptance to the university.

Is it okay for the student to agree to pay her advisor in exchange for admission to the university?

No

Yes

That’s Correct!

That’s Incorrect

.Slide71

Abuse of Office

It doesn’t take much to see that everything is not going swimmingly for this potential Crawfish. She’s just discovered that the deadline to turn in her college application has passed. Unwilling to wait to enroll the next semester, she turns to the admissions officer for help, but is met with resistance. However, the admissions officer doesn’t mind scratching the student’s back as long as her back gets scratched too, and for the right fee, she can ensure the student’s acceptance to the university.

By suggesting that a monetary payment might help the student get accepted into college, the admissions officer is coercing the student into giving her something of economic value.

The final deal is for $120 worth of crawfish; this may not be money, but it does have an economic value.

The student could also be considered in violation of the Code as the giver of an illegal payment. Slide72

Abuse of Office

A

Public Servant

MAY NOTUse his or her office or position (directly or indirectly) to compel or coerce anyone to provide any thing of economic value to himself or herself or to another public servant.Use his or her office or position (directly or

indirectly)

to compel or coerce anyone to participate in political activity.

Section

1116

DO IT OR ELSE!Slide73

Nepotism

No member of the immediate family of an agency head shall be employed in his or her agency.

An “agency head” is the chief administrative office of an agency, or any member of a board or commission that exercises supervision or jurisdiction over an agency.

Section 1119

So now that you’re the big guy, you can help out your

favorite

sister and give my husband a job, right?

I’m sure I can find a place for him!Slide74

Nepotism

Persons held liable for willful violation of the nepotism provisions:

The agency head

The member of the governing authorityThe person having the authority to hire and fireThe immediate supervisorThe family members involvedSection 1119Slide75

Nepotism

click to view the video

The newly elected Mayor Stark raises a good point about requesting an advisory opinion from the Board of Ethics when you’re uncertain whether or not an issue would result in a violation of the Code. As the mayor, he is now considered the agency head of the town of

Winterfell, but his son-in-law is employed by the town.Slide76

Nepotism

The newly elected Mayor Stark raises a good point about requesting an advisory opinion from the Board of Ethics when you’re uncertain whether or not an issue would result in a

violation of

the Code. As the mayor, he is now considered the agency head of the town of Winterfell, but his son-in-law is employed by the town.Given that his son-in-law’s employment by the town began prior to the Mayor’s election, are they in violation of the Code?

No

Yes

That could be correct.

That could be correct.Slide77

Nepotism

The newly elected Mayor Stark raises a good point about requesting an advisory opinion from the Board of Ethics when you’re uncertain whether or not an issue would result in a

violation of

the Code. As the mayor, he is now considered the agency head of the town of Winterfell, but his son-in-law is employed by the town.If Jon has been employed by the town for at least one year, it would be considered an exception to the nepotism restrictions.If Jon had only been working for the town for the last nine months, he would have to step down or be in violation of the Code.Slide78

Nepotism

The nepotism rules do NOT prohibit the continued employment and normal promotional advancement of a public employee where a member of the public employee’s immediate family becomes the agency head, provided that the public employee has been employed by the agency for

at least

one year prior to the public employee’s immediate family member becoming the agency head.The agency head is still prohibited from participating in transactions in which his immediate family member has a substantial economic interest. Refer to the disqualification plan if this situation occurs.Section 1119Slide79

There are other exceptions to the nepotism restrictions listed in Section 1119.

These include school board members, legislators, and volunteer firefighters.

For a full list, please view the specifics of La. R.S. 42:1119.Slide80

Post-employment Restrictions

A former

public employee

SHALL NOT, for a period of two years following the termination of his or her public service:Assist another person, for compensation, in a transaction, or in an appearance in connection with a transaction, in which he or she participated at any time during his or her employment and involving the governmental entityA “governmental entity” is the state, or any political subdivision, which employs the public employee or to which the elected official is elected.

Section 1121Slide81

Post-employment Restrictions

A public employee may not render any service which he or she performed at the agency during his or her term of employment, on a contractual basis with the former agency, regardless of the parties to, for, or on behalf of the agency.

Members of boards and commissions may neither contract with, nor be employed by (in any capacity), or be appointed to, any position by their former board during the two years after their service is terminated.

Section 1121Slide82

Post-employment Restrictions

A former

agency head

or elected official SHALL NOT, for a period of two years following the termination of his or her public service:Assist another person, for compensation, in a transaction, or in an appearance in connection with a transaction, involving their former agency.Assist

another person, for compensation, in a transaction, or in an appearance in connection with a transaction,

in which they participated while employed by their agency and

involving

their former

governmental

entity.

Render any service on a contractual basis to or for their former agency.

Section 1121Slide83

Personal Financial Disclosure

All elected officials,

along with certain

members of boards and commissions, who are subject to the Code of Ethics are required to file a personal financial disclosure statement with the Board of EthicsCandidates for state or parish government must also submit a personal financial disclosure statement to the Board, and will receive their forms upon qualifying.The statements should be filed by May 15th of each year and cover the previous calendar year.Section 1114Slide84

Personal Financial Disclosure

If your term ends in January of 2016, you are required to file a personal financial disclosure covering calendar year 2015 by May

15, 2016

. You may also at that time opt to file a report that covers January of 2016, however that report must be filed by May 15, 2016.If you do not file a report that covers January of 2016 by May 15, 2016, you are required to file a report that covers all of calendar year of 2016 by May 15, 2017.

Section 1114Slide85

Personal Financial Disclosure

There

are four tiers of personal financial disclosure forms, with the highest level officials being required to disclose the most information.

Each elected official should file only one statement annually, regardless of the number of positions which the official holdsSection 1114Slide86

Statewide elected officials must file Tier 1 Personal Financial Disclosure Statements.

Personal Financial Disclosure

Tier 1

Section 1114Slide87

All state legislators and all elected officials who represent a voting district with a population of 5,000 or more must file Tier 2 Personal Financial Disclosure Statements.

Personal Financial Disclosure

Tier 2

Section 1114Slide88

Members of certain boards and commissions must file Tier 2.1 Personal Financial Disclosure Statements.

For

reporting purposes, Tier 2.1 does not include those boards or commissions that do not have the authority to expend, disburse or invest more than $50,000 in a fiscal year

AND whose members are not eligible to receive any compensation, per diem, or reimbursement of expenses for service on the board of commission.Personal Financial DisclosureTier 2.1

Section 1114Slide89

All elected officials who represent a voting district with a population of less than 5,000, as well as charter school board members, must file Tier 3 Personal Financial Disclosure Statements.

Personal Financial Disclosure

Tier 3

Section 1114Slide90

I’m on the local Parks and Recreational District Board and I am also the Mayor of the Village of Grosse

Tete

(population less than 5,000).

Which tier form should I file?

Tier 2

Tier 3

Tier 2.1

Tier

2.1 -

because it is a higher tier level than tier 3 for representing a population of less than 5,000.Slide91

This covers the main provisions of the Louisiana Code of Governmental Ethics.

Now

that we understand what is and is not allowed under the Code, we can take a quick look at how the Board of Ethics enforces the Code.Slide92

The Board of Ethics and Its Functions

Advisory Opinions

May be requested by any individual who has a direct interest in an issue arising under one of the laws within the Board’s oversight.

The request must be submitted in writing.The request should be submitted prior to taking action. The Board will not render advisory opinions on past actions.Advisory opinions and requests for opinions are public record.Slide93

The Board of Ethics and Its Functions

Complaints

May be filed by any individual 18 or older who is qualified to vote.

May be sworn or non-sworn.Must be written and signed.

The issue must have occurred within the past four years.

Agency heads are required to report any potential violations. (Section 1161)Slide94

Whistleblower Statute

The public servant shall be free from discipline or reprisal, or the threat of discipline or reprisal, by the public

employer if

:They report, to the appropriate authority, information which he or she reasonably believes indicates a violation of any law, or a regulation issued in accordance with the law, or any other alleged act of impropriety related to the duties of public employment or public office.Section 1169Slide95

Whistleblower Statute

Elected

officials, agency heads, supervisors, or employees (with the authority to hire, fire, or discipline another employee), are prohibited from subjecting the public employee to reprisal, or threatening to subject the public employee to reprisal, because of his or her efforts to disclose the alleged impropriety.

If such actions are taken, the public employee should report it to the Board.Section 1169Slide96

Whistleblower Statute

Each agency head should ensure that a notice containing the information regarding the rights of employees under Section 1169 is posted, in plain language, in a convenient and conspicuous point in each building where more than ten public employees are employed.

The specific content of the notice shall be determined by the Board.

Section 1169Slide97

The Board of Ethics and Its Functions

Investigations

The Board must vote to investigate a complaint.

The subject of the investigation (respondent) receives:an explanation of the matter,a redacted copy of the complaint, and

a certificate of vote by certified mail.

Matters under investigation are confidential.

Persons who reveal confidential information may be prosecuted.Slide98

The Board of Ethics and Its Functions

Investigations

Investigators put together the fact pattern.

The Board votes in which direction the investigation will proceed:Dismiss the investigation by closing the file.Issue a cautionary letter.

Issue a settlement.

Issue a charge for a public hearing.

Charges are public record.Slide99

Public

Hearings

Public

hearings are conducted by the Ethics Adjudicatory Board.The respondent has due process rights.The Ethics Adjudicatory Board issues opinions and determines penalties, if applicable. The respondent may appeal the Ethics Adjudicatory Board’s decision with the Louisiana First Circuit Court of Appeals.Slide100

Penalties

Violation of the Code of Ethics may result in...

Censure.

Forfeiture of any gifts and/or payments received.Removal, suspension, reduction in pay, or a demotion of the public employee.

Up to a $10,000 fine.

In addition to the statutory penalty, you may be fined the entire amount of economic gain from violating the Code, plus an additional 50%.Slide101

Where to Get More Information

Ethics Website

www.ethics.la.gov

Informal Advice(225)219-5600(800)842-6630