HomeMy WebLinkAboutBill 74-15 Post City Employment restrictionsBILL NO.
ORDINANCE NO.
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND,
INDIANA' AMENDING CHAPTER 2' ARTICLE 8, BY THE ADDITION OF NEW
SECTION 2 -125.2 ENTITY mn nnc�r rrrnm r „�.,__ __ _ �- --
STATEMENT OF PURPOSE AND INTENT
This year the City Administration issued an Employee Handbook 2015 which sets forth varous
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"Separation Procedures" on pages 50-51. Additionally, the Mayor issued Executive Order 1-
which amends his Executive Order 1 -2012 addressing the "City of south Bend Ethics Code ".
In reviewing these documents, there appears to be limited policies regarding
restrictions. It is acknowledged that in the Executive Order 1_2014, under "conflicts -of Post-employment
Paragraph 8 notes that a "...former appointee, employee, or official shall not disclose or materially
benefit from confidential information..."
It's also acknowledged that ndiana Code § 3544 -1 -3 sets forth conflict ofinterest regulations
for all public servants. It is further noted that all local governments are required to comply with Indiana
Code § 36-1 -20.2 addressing mandatory nepotism requirements which took effect on July 1,2_012.
In the interest of further elevating the professional standards for all individuals who work for
the City of South Bend city government, it is believed that additional regulations should be set forth
addressing post- employment restrictions.
The Indiana Office of the Inspector General has
which became effective on July 1, 2015. It is believed that similes regulations onss restrictin state,
omens
one (1) year from leaving city employment should be in effect in the City of South Bend, Indian,
` fle {`' r rr; /A-// 0Ae1' , �vh,--dby the Common Council of the City of South Bend,
Indiana, as follows:
Section I. Chapter 2, Article 8 of the South Bend Municipal Code is amended by the addition of
new Section 2- 125.2, which shall read in its entirety as follows:
Sec. 2 -125.2 Post Ci Em to ent Restrictions.
(a) Effective January 1.2016_ Anv n.—
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emnloved by the City of South Bend.
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Indiana Office of Inspector General
Post- EmPioyment Restrictions
Summary of the Rule
Do not go to work for a company that did work for you as a state employee.
Noteworthy Changes - Effective July 1, 2015
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Clients and customers of sole proprietorships and professional practices are now considered
employers. If you participated -in a contract with an employer that ended more than two years ago
you may be exempt from the required one -year waiting period. AUs are subject to the one -year
waiting period. Post- employment waivers have additional new criteria, are reviewed by the State
Ethics Commission, and are posted on the OIG website.
Examples of the Rule
• You are an employee of the Family & Social Services Administration (FSSA) and would like to
leave your state employment to work for a vendor that has a contract with FSSA. While you
performing research related to the contract. If you leave your state employment t did not negotiate the contract, you were personally responsible for arranging meetings and
the vendor, you cannot work on the contract the vendor has with FSSA. o work for
• You work for the Utility Regulatory Commission making regulatory decisions concerning a
public utility company. You may not work for this utility company for a year.
• You work for FSSA and have decided to start a family automotive parts business with your
son. You may commence such employment immediately upon leaving your employment with
the state.
• You work as a local office director for DCS. You resign to start your own consulting firm. A
service provider whose contract with DCS you helped administer three months ago wants to
hire you for a project. You cannot consult for this service provider for a year.
• You are a Deputy Commissioner at the Indiana Department of Transportation (INDOT). You
participate in deciding which engineering firms should be awarded contracts. You resign from
INDOT. You may not work at any of these firms for a year unless the contracts you awarded
were completed at least two years ago.
• You are a caseworker for FSSA. You help clients receive job training and welfare benefits from
the state. You resign from FSSA and become an attorney. One of your former clients comes
to you for advice because their new caseworker lowered their welfare benefits. You may not
assist the person In that matter.
Past Advisory Opinions on the Rule
• All Opinions on the Post - m io e t R le
The Rule: 42 XAC 1 -5 -14 Post - Employment Restrictions
a. As used in this section, "particular matter" means any of the following:
1. an application;
2. a business transaction;
3' a claim;
4. a contract;
5' a determination;
6. an enforcement proceeding;
7, an investigation;
8. a judicial proceeding;
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A. State Officer or appointing authority authorizing the waiver, and
B. Agency ethics officer attesting to form.
2. The waiver must Include the following Information:
A. Whether the employee's prior job duties involved substantial decision - making authority over
policies, rules, or contracts.
B. The nature of the duties to be performed by the employee for the prospective employer.
C. Whether the prospective employment is likely to involve substantial contact with the employee's
former agency and the extent to which any such contact is likely to involve matters where the
agency has the discretion to make decisions based on the work product of the employee.
D. Whether the prospective employment may be beneficial to the state or the public, specifically
stating how the Intended employment is consistent with the public interest.
E. The extent of economic hardship to the employee if the request for a waiver is denied.
3. The waiver must be filed with and presented to the commission by the state officer or appointing
authority authorizing the waiver.
4. The waiver must be limited to an employee or special state appointee who obtains the waiver
before engaging in the conduct that would give rise to a violation of subsection (b) or (c).
The commission may conduct an administrative review of a waiver and a
commission is satisfied that the Information provided under subdivision (2) is specifically on :f the
satisfactorily articulated. The Inspector general may adopt rules under IC 4 d
-22 -2 to establish
criteria for post employment waivers.
h. Subsection (b) applies, subject to waiver under subsection (g), to a former state officer,
employee, or special state appointee who:
1. Made decisions as an administrative law judge; or
2. Presided over information gathering or order drafting proceedings; that directly applied to the
employer or to a parent or subsidiary of the employer in a material manner.
1. A former state officer, employee, or special state appointee who forms a sole proprietorship or a
professional practice and engages in a business relationship with an entity that would otherwise
violate this section must file a disclosure statement with the commission not later than one hundred
eighty (180) days after separation from state service. The disclosure must:
1. be signed by the former state officer, employee, or special state appointee;
2. certify that the former state officer, employee, or special state appointee is not an employee of
the entity; and
3. state in detail the treatment of taxes, insurance, and any other benefits between the entity and
the former state officer, employee, or state appointee.
3. The inspector general may not seek a state elected office before the elapse of at least three
hundred sixty -five (365) days after leaving the Inspector general position.
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I) JOB HUNTING:
Don't negotiate for a job with any company you are currently involved with as
part of your City duties. Even scheduling an interview would violate this rule.
2) REVOLVING DOOR:
You must wait a year to reappear before your former City agency on behalf of your
new employer. This includes calling, writing or e- mailing as well as personal visits.
3) LIFETIME BAR:
If you have worked for the City on a particular matter, such as a contract, investiga-
tion, audit or lawsuit, you can never work on that same particular matter again for
your new private employer, even after a year.
4) C0NFIDENTL4L INFORMATION.•
The City's confidential information is still confidential after you leave, so be sure
not to share anything confidential with your new employer.
MORE QUES'T'IONS?
WHEN IN DOUBT, CHECK IT OUT! FREE LEGAL ADVICE FROM COIB.
There are plenty of additional topics not covered here that might be relevant to your personal situation, such as:
the government -to- government exception, individual waiver, and ministerial or social appearances.
Our attorneys will be happy to walk you through all the details you need to know.
Call the New York City Conflicts of Interest Board at (212) 442 -1400 for free legal advice on any question you
may have about how these rules impact on your personal situation.
All questions are confidential, and you may contact the Board anonymously.
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UNITED STATES OFFICE OF
GOVERNMENT ETHICS
Preventing Conflicts of ..interest
in the Executive Stanch
After Leaving Government
An executive branch employee may be affected by conflict of interest restrictions after leaving Government service
(or after leaving certain high -level positions). As highlighted in the bullet points below, there are several legal
authorities that address Post - Government employment, and certain authorities contain more than one restriction. A
particular former employee can be affected by more than one post - Government restriction.
Caveat. • The bullet points are not comprehensive. Ethics officials and others should consult the legal authorities,
regulatory guidance, and relevant legal opinions. in general, former executive branch employees should seek advice
from the Designated Agency Ethics Official or another ethics official at the agency i
served. n which the individual formerly
Restrictions on Contacts with the Government on Behalf of Others
• A former employee may be prohibited from having contact with an employee of any Federal agency or court,
on behalf of another person or entity, concerning an official matter with which the former employee was
involved as a Government employee. 18 U.S.C. § 207.
• A former high -level employee or former political appointee may be prohibited from having contact with an
employee of his or her former Federal agency (and perhaps certain officials at other agencies), on behalf of
another person or entity, concerning any official matter. 18 U.S.C. § 207; Executive Order 93490 (the Ethics
Pledge).
• A former political appointee may be prohibited from lobbying. a Government official on behalf of a client for
Whom he is registered as a lobbyist. Executive Order 13490 (the Ethics Pledge).
Restrictions on Providing Assistance to Others
• A former employee may be prohibited from providing certain assistance to another person or entity
concerning an ongoing trade or treaty negotiation (even though the assistance does not involve contact with
a Government employee). 18 U.S.C. § 207.
A former high -level employee may be prohibited from providing certain assistance to a foreign government
or foreign political party (even though the assistance does not involve contact with a Government
employee). 18 U.S.C. § 207.
Restrictions on Accepting Compensation or Employment
• A former employee maybe prohibited from sharing in profits earned by others if the money was seam from
having contact with the Government on behalf of third parties (e.g., clients) while the former employee was
still in Government. 18 U.S.C. § 203.
• A former employee may be prohibited from accepting compensation from a contractor if the former
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employee served in a Government position or made a Government decision involving more than
$10,000,000 given to that contractor. 41 U.S.C. § 2104 (formerly 41 U.S.C. § 423).
A retired -member of the uniformed services may not accept employment (or compensation for that
employment) from a foreign government unless he or she first obtains approval from the Department of
State. The Emoluments Clause of the U.S. Constitution.
Other Restrictions
A former executive branch employee may be subject to additional restrictions imposed by agency - specific laws. Also,
every former employee must ensure that his or her post- Government activities are in compliance with other
requirements that may apply without regard to the individual's employment by the Government. For example, if a
former employee will serve as the agent of a foreign principal, the individual must comply with the Foreign Agents
Registration Act.
The information on this page is not a substitute for individual advice. Agency ethics officials should be consulted
about specific situations.
U.S. Office of Govemment Ethics 1201 New York Avenue, NW. Suite 500 Washington, DC 20005
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