Ethics

Question 1

What is the time limit before a state employee could work as a vendor/contractor for the State?

Answer 1

2 years (for those who participated in the procurement or contract negotiation)

Question 2

What is Nepotism?

Answer 2

A form of conflict of interest that involves an explicit act of using one’s position to favor a relative

Question 3

What is consanguinity?

Answer 3

A relationship established through bloodlines- may be lineal (direct line of descent) or collateral (common ancestor)

Question 4

What is affinity?

Answer 4

A relationship that arises by marriage (through blood relatives of spouse or spouses of blood relatives)

Question 5

What is the overall guideline for establishing a link by affinity?

Answer 5

If at least two marriages are required to establish a link, the individuals are not related by affinity

Question 6

What are first degree consanguinity relationships?

Answer 6

Parents and children

Question 7

What are second degree consanguinity relationships?

Answer 7

Grandparents, grandchildren, brothers and sisters

Question 8

What are third degree consanguinity relationships?

Answer 8

Great grandparents, great grandchildren, nephews, nieces, uncles, aunts

Question 9

What are first degree affinity relationships?

Answer 9

Spouse, Spouse’s parents, Children’s spouses, and Spouses children

Question 10

What are second degree affinity relationships?

Answer 10

spouse’s grandparents, spouse’s grandchildren, Spouse’s brothers and sisters, Brothers and Sisters spouses

Question 11

How does divorce or death affect affinity?

Answer 11

Ends the relationship, except for a child living from the marriage

Question 12

What is a conflict of interest?

Answer 12

When an individual’s official duties clash with individual’s personal interests- gain personally from or favor someone

Question 13

What is appearance of impropriety?

Answer 13

Not only complying with minimum standards but avoiding any PERCEPTION of conflict of interest

Question 14

What is the rule of thumb for resolving ethical dilemma?

Answer 14

If it feels wrong, it probably is wrong.

Question 15

What are the standards of conduct established by the Legislature for state officer or employee?

Answer 15

Should not:

1) accept or solicit any gift, favor, or service that might reasonably tend to influence work duties
2) solicit, accept, or agree to accept any benefit for exercising official duties in favor of another
3) accept other employment that might reasonably expect would require or induce disclosing confidential information of state work duties or impair judgement in the performance of duties
4) Make personal investments that could create substantial conflict

Question 16

What is substantial interest in a business entity?

Answer 16

1) Have a controlling interest
2) Own more than 10% of the voting interest
3) Own more than $25,000 of the fair market value
4) A member of the board of directors or other governing body
5) Direct or indirect participating interest by shares, stock, or otherwise (regardless of voting rights) in 10% or more of the profits, proceeds, gains
6) Serves as an elected officer
7) Employee of the entity

Question 17

What is bribery?

Answer 17

A criminal offense
A person intentionally or knowingly offers, confers, or agrees to confer on another, or solicits, accepts, or agrees to accept any benefit as consideration for a violation of a public servant’s legal duty or a public servant’s decision, opinion, recommendation, vote, or any other exercise of discretion.

Question 18

What are examples of bribery?

Answer 18

Accepting employment as consideration for an official act

Question 19

Is a political contribution bribery?

Answer 19

Not if as defined by the Election Code

Question 20

Is an expenditure made and reported in accordance with lobby statute bribery?

Answer 20

No

Question 21

What are issues related to public servants accepting gifts?

Answer 21

1) Criminal offense to accept a benefit from a person subject to his jurisdiction (e.g a regulatory agency employee cannot accept a gift from a person that is subject to the regulation or inspection)
2) Non-cash items of less than $50, but this still depends on nature of gift and status of donor (e.g. caps coffee mugs okay if NOT solicited and NOT offered/accepted in exchange for action/inaction; Also gifts can be accepted from friends, relatives, or business associates, but the gift must be given on account of the relationship

Question 22

What is Misuse of Official Information?

Answer 22

Using information as a result of state employment that has not been made public or prohibited from disclosure by PIA.

1) acquires or aids another to acquire a pecuniary interest in any property, transaction, or enterprise affected by info
2) speculates or aids another to speculate on the basis of the info
3) coerces another into suppressing or failing to report that information to a law enforcement agency
4) disclosing info for non-governmental purpose with intent to aid or harm another

Question 23

Which agency coordinates investigatory work regarding allegations of fraud, waste, or abuse? Who do they coordinate investigations with?

Answer 23

State Auditor’s Office with internal auditors, federal and state prosecutors, and law enforcement agencies

Question 24

What criminal conduct (fraud waste abuse) does the SAO investigate?

Answer 24

• theft,
• forgery,
• tampering with a governmental record,
• securing execution of document by deception,
• misapplication of fiduciary property,
• conversion of funds,
• abuse of official capacity,
• gift to a public servant by a person subject to his or her jurisdiction, and
• bribery.

Question 25

When is vendor communication allowed and not allowed?

Answer 25

1) Fact gathering for future solicitations- Allowed and helpful for determining specifications but avoid consulting exclusively with the incumbents or a small number of vendors, which could give the appearance of favoritism
2) Drafting solicitation- NOT allowed
3) During solicitation- Allowed at certain points (e.g. Q&A period, pre-bid conferences, HUB subcontracting assistance with designated agency coordinator)
4) During evaluation and negotiation- Between response due date and contract award

Question 26

Communication between public procurement professionals and vendors is ___ and ___.

Answer 26

Imperative and encouraged- but steps must be taken to maintain a fair opportunity to compete and to avoid appearance of favortism

Question 27

Vendor communication is allowed at certain point during the solicitation, but what should be avoided during the posting period?

Answer 27

Communication with end users at the agency or evaluators

Question 28

What types of allowable communication can happen between the response due date and contract award?

Answer 28

1) Clarification requests (similarly situated vendors should be offered opportunity to clarify response)
2) Negotiations, as appropriate based on procurement method, including BAFO
3) Exchange of info necessary to facilitate potential contract award

Question 29

What are guidelines for vendor communication regarding post contract award?

Answer 29

Discuss contract only- not future solicitations

Refer to point of contact

Question 30

What is the time limit before a state agency may enter into a contract with a former executive head or with an entity that employed a former executive head

Answer 30

4 years (exceptions relate to voting in an open meeting to approve the contract and notifying the LBB of terms of proposed contract before the vote)

Question 31

What is the time limit that a state agency must observe for entering into a professional services or consulting contract with a former state employee?

Answer 31

1 year

Question 32

What are prohibited financial interests for private vendor contracts solicited through a PO?

Answer 32

If amount of PO exceeds $25,000 and any of the following have a financial interest:
a) member of agency’s governing body;
b) governing official, executive director, general counsel, procurement officer/director; OR
c) family member related by 2nd degree affinity or consanguinity to a or b above.
Financial interest is defined as 1) owns or controls an ownership interest of 1 % OR 2) could reasonably foresee that a contract could result in financial benefit

Question 33

What disclosures are required for an employee or official involved in the procurement process?

Answer 33

No conflict of Interest form, specific to the solicitation and each contract
NDA agreement- standard in PCMG (for evaluators)

Question 34

What is the restriction for “value” or “gift” for state employees who perform purchasing functions?

Answer 34

Can’t accept anything of $5 or more in connection with a contract or bid.

Question 35

How is the conflict of interest form used?

Answer 35

It is agency specific and used for procurement employees to disclose:

1) if you own or control an ownership interest of at least 1% OR
2) could reasonably foresee that a contract could result in a financial benefit to the employee or official duties.

Question 36

How is the nondisclosure form used?

Answer 36

Must be signed by evaluation committee prior to receiving responses or participating in committee activities