[Federal Register: October 2, 2002 (Volume 67, Number 191)]
[Rules and Regulations]
[Page 61761-61762]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr02oc02-1]
========================================================================
Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
Prices of new books are listed in the first FEDERAL REGISTER issue of each
week.
========================================================================
[[Page 61761]]
OFFICE OF GOVERNMENT ETHICS
5 CFR Parts 2634 and 2635
RINs 3209-AA00 and 3209-AA04
Technical Updating Amendments to Executive Branch Financial
Disclosure and Standards of Ethical Conduct Regulations
AGENCY: Office of Government Ethics (OGE).
ACTION: Final rule; technical amendments.
-----------------------------------------------------------------------
SUMMARY: The Office of Government Ethics is updating its executive
branch regulation on financial disclosure to reflect the retroactive
statutory increase of the reporting thresholds for gifts and travel
reimbursements. In addition, OGE is similarly raising the widely
attended gatherings nonsponsor gifts exception dollar ceiling under the
executive branchwide standards of ethical conduct regulation.
DATES: The amendments to 5 CFR 2634.304 are retroactively effective to
January 1, 2002, and the amendments to 5 CFR 2635.204 are effective
October 2, 2002.
FOR FURTHER INFORMATION CONTACT: William E. Gressman, Senior Associate
General Counsel, Office of Government Ethics, telephone: 202-208-8000,
ext. 1110; TDD: 202-208-8025; FAX: 202-208-8037.
SUPPLEMENTARY INFORMATION: The Office of Government Ethics is amending
pertinent sections of its executive branchwide ethics regulations on
financial disclosure and standards of ethical conduct (the Standards),
as codified at 5 CFR parts 2634 and 2635, in order to update them.
Increased Gifts and Travel Reimbursements Reporting Thresholds
First, OGE is retroactively increasing, to January 1, 2002, the
reporting thresholds for gifts, reimbursements and travel expenses in
the OGE executive branchwide regulation at 5 CFR 2634.304 (and as
illustrated in the four examples following paragraph (d) of that
section) for both the public and confidential financial disclosure
systems under section 102(a)(2)(A) & (B) of the Ethics in Government
Act as amended, 5 U.S.C. app. Sec. 102(a)(2)(A) & (B), as extended to
the executive branch confidential reporting system by 5 CFR
2634.907(a)(3). The new reporting thresholds for gifts and travel
reimbursements being retroactively incorporated in OGE's financial
disclosure regulation are ``more than $285'' for the aggregation
threshold for reporting and ``$114 or less'' for the de minimis
exception for gifts and reimbursements which do not have to be counted
towards the aggregate threshold (from the prior levels of more than
$260 aggregate and $104 or less de minimis exception, respectively).
These increases are brought about by a recent General Services
Administration (GSA) rulemaking raising ``minimal value'' under the
Foreign Gifts and Decorations Act, 5 U.S.C. 7342, to ``$285 or less''
(from the prior level of $260 or less) for the three-year period 2002-
2004, since the Ethics Act and OGE regulatory gifts/travel
reimbursements reporting thresholds are tied to any such increase in
foreign gifts minimal value over $250. See GSA's rulemaking as
published at 67 FR 56495-56496 (September 4, 2002), revising
retroactively to January 1, 2002 the foreign gifts minimal value
definition as codified at 41 CFR 102-42.10.
The Office of Government Ethics will continue to adjust the gifts
and travel reimbursements reporting thresholds in the future as needed
in light of GSA's redefinition of ``minimal value'' every three years
for foreign gifts purposes. See OGE's previous retroactive adjustment
of those reporting thresholds as published at 65 FR 69655-69657
(November 20, 2000) that was based on GSA's prior redefinition for the
period 1999-2001.
Moreover, OGE is also clarifying a couple of cross-references in
examples 2 and 3 following paragraph (d) of Sec. 2634.304.
Increased Dollar Ceiling for the Exception for Nonsponsor Gifts of Free
Attendance at Widely Attended Gatherings
In addition, OGE is increasing from $260 to $285 the exception
ceiling for nonsponsor gifts of free attendance at widely attended
gatherings under the standards of ethical conduct regulation, as
codified at 5 CFR 2635.204(g)(2) (and as illustrated in several
examples following paragraph (g)). This separate regulatory change is
effective upon publication in the Federal Register, on October 2, 2002.
As OGE noted in the preambles to the proposed and final rules on such
nonsponsor gifts, that ceiling is based in part on the financial
disclosure gifts reporting threshold. See 60 FR 31416 (June 15, 1995)
and 61 FR 42968 (August 20, 1996). The nonsponsor gift ceiling was last
raised in the November 2000 OGE rulemaking noted in the preceding
paragraph above. Thus, it is reasonable now to again increase the
nonsponsor gift ceiling to match the further increase in the gifts/
travel reimbursements reporting thresholds. The other requirements for
acceptance of such nonsponsor gifts, including an agency interest
determination and expected attendance by more than 100 persons, remain
unchanged.
Matters of Regulatory Procedure
Administrative Procedure Act
Pursuant to 5 U.S.C. 553(b) and (d), as Director of the Office of
Government Ethics, I find good cause exists for waiving the general
notice of proposed rulemaking, opportunity for public comment and 30-
day delay in effectiveness as to these technical updates and the
correction. The notice, comment and delayed effective date provisions
are being waived in part because these technical amendments concern
matters of agency organization, practice and procedure. Further, it is
in the public interest that correct and up-to-date information be
contained in the affected sections of OGE's regulations as soon as
possible. The increase in the reporting thresholds for gifts and
reimbursements is based on a statutory formula and also lessens the
reporting burden somewhat, and thus the effective date of that
regulatory revision is being made retroactively effective to January
[[Page 61762]]
1, 2002, when the change became effective under the Ethics Act.
Executive Order 12866
In promulgating these technical amendments, OGE has adhered to the
regulatory philosophy and the applicable principles of regulation set
forth in section 1 of Executive Order 12866, Regulatory Planning and
Review. These amendments have not been reviewed by the Office of
Management and Budget under that Executive order, since they are not
deemed ``significant'' thereunder.
Executive Order 12988
As Director of the Office of Government Ethics, I have reviewed
this final amendatory regulation in light of section 3 of Executive
Order 12988, Civil Justice Reform, and certify that it meets the
applicable standards provided therein.
Regulatory Flexibility Act
As Director of the Office of Government Ethics, I certify under the
Regulatory Flexibility Act (5 U.S.C. chapter 6) that this rulemaking
will not have a significant economic impact on a substantial number of
small entities.
Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. chapter 35) does not apply
because this amendatory rulemaking does not contain information
collection requirements that require the approval of the Office of
Management and Budget.
Congressional Review Act
The Office of Government Ethics has determined that this amendatory
rulemaking is a nonmajor rule under the Congressional Review Act (5
U.S.C. chapter 8) and has submitted a report thereon to the United
States Senate, House of Representatives and General Accounting Office
in accordance with that law.
List of Subjects
5 CFR Part 2634
Certificates of divestiture, Conflict of interests, Financial
disclosure, Government employees, Penalties, Privacy, Reporting and
recordkeeping requirements, Trusts and trustees.
5 CFR Part 2635
Conflict of interests, Executive branch standards of ethical
conduct, Government employees.
Approved: September 25, 2002.
Amy L. Comstock,
Director, Office of Government Ethics.
For the reasons set forth in the preamble, the Office of Government
Ethics is amending 5 CFR parts 2634 and 2635 as follows:
PART 2634--EXECUTIVE BRANCH FINANCIAL DISCLOSURE, QUALIFIED TRUSTS,
AND CERTIFICATES OF DIVESTITURE
1. The authority citation for part 2634 continues to read as
follows:
Authority: 5 U.S.C. App. (Ethics in Government Act of 1978); 26
U.S.C. 1043; Pub. L. 101-410, 104 Stat. 890, 28 U.S.C. 2461 note
(Federal Civil Penalties Inflation Adjustment Act of 1990), as
amended by Sec. 31001, Pub. L. 104-134, 110 Stat. 1321 (Debt
Collection Improvement Act of 1996); E.O. 12674, 54 FR 15159, 3 CFR,
1989 Comp., p. 215, as modified by E.O. 12731, 55 FR 42547, 3 CFR,
1990 Comp., p. 306.
2. Section 2634.304 is amended by:
a. Removing the dollar amount ``$260'' in paragraphs (a) and (b)
and in example 1 following paragraph (d) and adding in its place in
each instance the dollar amount ``$285'';
b. Removing the dollar amount ``$104'' in paragraph (d) and in
examples 1 and 2 following paragraph (d) and adding in its place in
each instance the dollar amount ``$114'';
c. Removing the dollar amount ``$105'' in example 1 following
paragraph (d) and adding in its place the dollar amount ``$145'';
d. Removing the word ``exception'' and the regulatory citation
``Sec. 2634.105(h)'' in examples 2 and 3 following paragraph (d) and
adding in their place in each instance, respectively, the word
``exclusion'' and the regulatory citation ``Sec. 2634.105(h)(4)''; and
e. Removing the dollar amount ``$260'' in examples 3 and 4
following paragraph (d) and adding in its place the dollar amount
``$285''.
PART 2635--STANDARDS OF ETHICAL CONDUCT FOR EMPLOYEES OF THE
EXECUTIVE BRANCH
3. The authority citation for part 2635 continues to read as
follows:
Authority: 5 U.S.C. 7301, 7351, 7353; 5 U.S.C. App. (Ethics in
Government Act of 1978); E.O. 12674, 54 FR 15159, 3 CFR, 1989 Comp.,
p. 215, as modified by E.O. 12731, 55 FR 42547, 3 CFR, 1990 Comp.,
p. 306.
4. Section 2635.204 is amended by:
a. Removing the dollar amount ``$260'' in paragraph (g)(2) and in
examples 1 and 2 (in the latter of which it appears twice) following
paragraph (g)(6) and adding in its place in each instance the dollar
amount ``$285''; and
b. Removing the dollar amount ``$520'' in example 2 following
paragraph (g)(6) and adding in its place the dollar amount ``$570''.
[FR Doc. 02-24961 Filed 10-1-02; 8:45 am]
BILLING CODE 6345-01-P