[Federal Register Volume 62, Number 121 (Tuesday, June 24, 1997)]
[Rules and Regulations]
[Pages 33972-33977]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-16409]
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OFFICE OF GOVERNMENT ETHICS
5 CFR Part 2634
RIN 3209-AA00
Executive Branch Financial Disclosure, Qualified Trusts, and
Certificates of Divestiture
AGENCY: Office of Government Ethics (OGE).
ACTION: Final rule.
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SUMMARY: The Office of Government Ethics is amending the regulation
governing confidential financial disclosure for executive branch
employees, to update the standardized confidential disclosure report
form's designation as OGE Form 450, which is replacing the Standard
Form (SF) 450; and to provide authority for all executive branch
agencies to adopt and use a standardized certificate of no new
interests (OGE Optional Form 450-A) as an alternative procedure in lieu
of OGE Form 450, for regular employee annual confidential disclosure
filers who can make the required certifications.
EFFECTIVE DATE: July 24, 1997.
FOR FURTHER INFORMATION CONTACT: G. Sid Smith, Associate General
Counsel, Office of Government Ethics; telephone: 202-208-8000; TDD:
202-208-8025; FAX: 202-208-8037.
SUPPLEMENTARY INFORMATION:
I. Background
On January 15, 1997, the Office of Government Ethics (OGE)
published a proposed amendment to the confidential financial disclosure
regulation for the executive branch, to modify 5 CFR 2634.601 and
2634.905. See 62 FR 2048-2052. Five departments and agencies submitted
written comments that suggested modifications to the proposed
amendment, and two submitted letters concurring in the amendment as
proposed. After considering those comments, as discussed below, OGE has
made some clarifying and corrective changes to the rule as proposed and
to the draft OGE Optional Form 450-A, in adopting them as final. We are
publishing the amended proposal herewith as a final rule, effective
July 24, 1997.
The amendment to 5 CFR 2634.601 reflects the standardized
confidential disclosure form's revision and redesignation in 1996 as
OGE Form 450. A camera-ready copy of that form was distributed by OGE
on February 27, 1996, to all designated agency ethics officials, for
local copying and gradual phase-in as a replacement for the Standard
Form (SF) 450. As indicated in the proposed rule, Paperwork Reduction
Act clearance for the outdated SF 450 will expire on August 31, 1997,
after which that form is no longer usable. This amended section also
references the new OGE Optional Form 450-A which the amendment to
Sec. 2634.905 authorizes, as discussed below.
The amendment to 5 CFR 2634.905 exercises OGE's authority under
current Sec. 2634.905(c) of the regulation to approve, in writing,
alternative procedures for confidential disclosure, which in this
instance is being accomplished through the regulatory process with a
new Sec. 2634.905(d). That new subsection authorizes all executive
branch agencies to permit the use of a standardized certificate of no
new interests as an alternative procedure in lieu of filing OGE Form
450, for annual confidential disclosure filers (other than special
Government employees) who can make the required certifications and who
choose to use this method. That standardized certificate has been
designated as OGE Optional Form 450-A. Users must certify that they
(and their spouse and dependent children) have acquired no new
reportable financial interests since filing their most recent previous
OGE Form 450 (which they must first reexamine), and that they have not
changed jobs (no new position description or other significant change
in duties) at their agency since filing that previous report.
A form similar to the new OGE Optional Form 450-A was tested by a
Cabinet-level department in 1995, which yielded highly favorable
results. Following that test, OGE obtained comments from ethics
officials throughout the executive branch by means of a written survey
and a focus group. The general consensus of opinions expressed through
these information-gathering efforts established the basis for the new
OGE Optional Form 450-A and the procedures for its use, as outlined in
this regulatory amendment. For those agencies that decide to permit
filers to use OGE Optional Form 450-A, this alternative to an annual
OGE Form 450 should help ease the administrative burden for both filers
and ethics officials, while preserving general uniformity and
[[Page 33973]]
continuing to guard against conflicts of interest.
II. Analysis of Comments to the Proposed Amendments
Only five departments and agencies (hereinafter referred to
generally as agencies) submitted written comments that suggested
modifications to the proposed amendment, while two additional letters
concurred in the amendment as proposed. The following discussion
concerns the five letters which offered substantive comments.
Section 2634.601
One agency asked that it be allowed to continue using the outdated
Standard Form (SF) 450, as it still has a large supply of those forms.
We are unable to satisfy that request. First, OGE placed all designated
agency ethics officials on notice that the old form would gradually be
phased out (possibly as early as the fall of 1996), when we distributed
for immediate use a camera-ready copy of the new form in a memorandum
dated February 27, 1996. That advisory and a subsequent reminder
memorandum of June 17, 1996, did suggest that the old SF 450 could
continue to be used until supplies were depleted, unless otherwise
advised. However, those memoranda also encouraged agencies to begin
anticipating their needs and making arrangements for local copying of
the new OGE Form 450 in time for the October 1996 filing cycle, which
occurred more than six months ago.
Second, the proposed regulatory amendment of January 15, 1997, put
ethics officials on notice that Paperwork Reduction Act clearance for
the SF 450 would finally expire at the end of August 1997. Third, the
SF 450 is no longer considered to be an adequate format, as it is not
fully up-to-date regarding certain disclosure requirements, and
therefore OGE has not sought a further extension of Paperwork Reduction
Act clearance for it from the Office of Management and Budget. For
example, the SF 450 does not reflect a 1993 amendment to the
confidential disclosure regulation eliminating the requirement to
disclose bank accounts, money market funds and accounts, and U.S.
Government obligations and securities. The old form also forces filers
to determine whether certain mutual funds and pensions are ``excepted
investment funds,'' which is no longer required of confidential filers.
While OGE has instructed agencies to advise their filers of these
changes, that has only served as a temporary stopgap measure.
Furthermore, the SF 450 does not contain the improved instructional
guidance that the new OGE Form 450 offers. For all these reasons, we
have retained in this final rule the parenthetical reference that the
old SF 450 remains usable only until August 31, 1997. After that date,
the OGE Form 450 must be used by confidential filers.
One agency asked that the final rule clarify whether the new
certificate of no new interests (OGE Optional Form 450-A) could be used
during the fall 1997 confidential disclosure filing cycle. We have made
no change to the proposed rule on that question, as it will be clear
from the rule's effective date, July 24, 1997, that it is usable in
1997. We will also notify ethics officials of that effective date by
separate memorandum, to be issued contemporaneously with the
publication of this rule in the Federal Register. Of course, prior to
permitting the use of OGE Optional Form 450-A for some or all of its
eligible confidential filers, an agency head or designee must make the
determination required by new Sec. 2634.905(d) that this certificate is
adequate to prevent possible conflicts of interest, under the agency's
particular circumstances. Agencies should accomplish this through their
own established procedures, without consulting OGE. (If, however, an
agency wishes to deviate from the prescribed methodology or format for
OGE Optional Form 450-A, it must seek separate written OGE approval,
pursuant to Sec. 2634.905(c), with appropriate justification. Other
formats may also require clearance under the Paperwork Reduction Act
from the Office of Management and Budget.)
Section 2634.905
Two agencies suggested that the regulation should require users of
the certificate of no new interests to attach their previous OGE Form
450, as a basis for a full conflicts review by the agency and to inform
new supervisors, or as an aid in tracking when filers would be required
to submit a new complete OGE Form 450. On the latter point, this
amendment was constructed so that agencies will not have to track each
individual filer's history to determine when the allowable period of
time has passed between OGE Form 450 filings. Instead, all confidential
disclosure filers must use the OGE Form 450 every fourth year (or every
third or second year, if the agency chooses to use those options), on a
uniform basis. The preamble to the proposed amendment discussed this,
but for further clarification, we have added a reference in
Sec. 2634.905(d)(4) of the final rule to Sec. 2634.905(d)(5), which
specifies the uniform periodic filing of OGE Form 450.
Concerning the other comment on how to effectively review a filer's
holdings and how to inform new supervisors of those holdings without
the previously filed OGE Form 450, we note that the certificate will be
a partial update of an OGE Form 450 that has already been reviewed with
respect to the filer's current duties and kept on file by the agency,
as discussed in the preamble to the proposed rule. In most cases, there
will be no need for the agency to re-review the previous OGE Form 450.
Any recusals or work assignment screening mechanisms should already
have been established and undertaken, based on the original review of
that earlier OGE Form 450. Furthermore, by not requiring certificate
users to attach their previous OGE Form 450, the rule best advances the
fundamental purposes for creating the certificate: to reduce paperwork
and to simplify procedures for both filers and ethics officials. The
amendment still allows an individual agency to require that its
certificate users attach a copy of their previous OGE Form 450, if the
agency determines that the previous form should be reexamined by
supervisors or other agency reviewers. Note, however, that only the
agency's official copy which is maintained in its files will
necessarily reflect changes made during the agency review process,
along with any steps undertaken to resolve potential conflicts.
Therefore, the filer's personal copy will not always be an accurate or
reliable indicator of the previously filed OGE Form 450, as reviewed.
Based on all these considerations, OGE has not altered the proposed
rule to accommodate this request, and will leave any requirement for
certificate users to attach their previous OGE Form 450 up to each
individual agency.
Even though not required to attach their previous OGE Form 450,
users of OGE Optional Form 450-A must first verify that they have
reexamined their most recent previous OGE Form 450 before certifying
that they have no new interests to report. Two agencies commented that
it should be the responsibility of individual filers to retain copies
of their prior OGE Form 450s for this purpose, so that they do not
unnecessarily burden the agency with requests for copies. As noted in
the preamble to the proposed rule, filers should be encouraged to
retain copies of their previous filings, so that an agency's ethics
office does not become overburdened with providing them copies. We have
added a sentence to Sec. 2634.905(d)(6) as a permanent reminder. The
final rule does not,
[[Page 33974]]
however, require filers to retain their prior OGE Form 450 as a
condition of their using the new OGE Optional Form 450-A. If an agency
is unable to convince filers to retain such records and believes that
this creates an administrative burden, then that agency may decide, as
suggested in the preamble to the proposed rule, not to adopt this new
alternative procedure, because administrative time-saving would not be
realized. Agencies might also want to delay implementation of this
alternative procedure, which would provide a base year for filers to
retain a copy of their OGE Form 450.
Three agencies suggested that the certificate of no new interests
be transformed into a certificate of no change. For the reasons
discussed in the preamble to the proposed rule, OGE has not done that.
As the preamble noted, it was a certificate of no new interests that
had been tested at a Cabinet-level department and subsequently favored
by 84% of the respondents to OGE's survey, rather than a certificate of
no change (no new interests and no divestitures). A certificate of no
new interests will permit a greater number of filers to use this
alternative to the OGE Form 450. If an agency is concerned that filers
may be unnecessarily recusing themselves from matters where they no
longer hold a conflicting financial interest, it may want to have
supervisors periodically revalidate with employees the continued need
for any existing recusals, as a separate matter. If that is not
practical, an agency may elect not to adopt this alternative procedure,
and instead to continue requiring a new OGE Form 450 each year. Or it
could seek written approval from OGE for some other alternative,
pursuant to Sec. 2634.905(c), with appropriate justification. (Other
formats may also require clearance under the Paperwork Reduction Act
from the Office of Management and Budget.)
Two agencies suggested that, instead of a separate form to be
submitted as a certificate of no new interests, we should amend OGE
Form 450 to include a space for periodic certification by filers, or
that we should permit filers to stamp or annotate a certification on
the current OGE Form 450. While those are useful suggestions which
could help reduce paper and administration, and which might be less
confusing for some filers, we have decided to retain the proposed
method of filing a separate certificate. Switching to the method
suggested by those two commenters on an executive branchwide basis
would require OGE to publish a new proposed rule in the Federal
Register and to seek additional clearance under the Paperwork Reduction
Act for an altered OGE Form 450. Our existing proposal for a separate
certificate of no new interests has already been pending or under
development for almost two years, and the new OGE Form 450 was issued
just last year. For these reasons, we believe that we should now go
forward with the separate certificate, as proposed.
One Cabinet-level department advised OGE that the proposal for a
separate certificate of no new interests would not be implemented by
them, as it would unnecessarily complicate the administration of the
financial disclosure program and filing process, and it could confuse
filers. They cited the loss of predictability for filers, the need for
the department to distribute additional instructions, the possibility
of having to provide both blank forms to filers, and the potential of
requests from filers for copies of their prior reports.
While we cannot disagree that some of these concerns may be valid
to varying degrees, we believe that the majority of agencies will find
overall that the certificate of no new interests will reduce paperwork
and will provide a welcome relief for both filers and agency ethics
officials. In order to further simplify the matter of providing
guidance to certificate users on the meaning of ``reportable''
interests, OGE has made some changes to Sec. 2634.905(d)(3) of the
final rule, including a suggestion that agencies may refer filers to
electronic sources such as OGE's Internet Web site or software for
completing OGE Form 450. Additionally, as noted in the proposed rule,
use of this alternative certificate is entirely optional with each
agency, and even if the agency does decide it would be beneficial to
adopt, each affected employee would retain the option of either using
the certificate (if applicable) or filing a new OGE Form 450. Thus,
this regulatory amendment does not mandate any new requirements for
agencies or their employees. It simply responds to a need for
additional flexibility that OGE and a number of agencies and employees
have identified. The commenting department's counter-proposal for a
certification directly on the OGE Form 450 has not been adopted, for
the reasons discussed above.
One agency asked that OGE allow local rather than agencywide
implementation of OGE Optional Form 450-A. As noted above, this new
procedure requires the agency to determine, under Sec. 2634.905(d),
that its use is adequate to prevent conflicts of interest, under that
agency's particular circumstances. Further, the new rule permits
implementation of this procedure for all or specified groups of its
eligible filers. Using these guidelines, the commenting agency may
decide to approve the use of OGE Optional Form 450-A for some but not
all of its local components.
One commenter asked that OGE allow agencies to develop alternative
systems tailored to their particular needs. As discussed in the
preamble to the proposed rule, the general regulatory authorization for
use of a standardized alternative procedure by executive branch
agencies which this amendment accomplishes does not eliminate other
alternative procedures that have been approved by OGE in writing on an
agency-specific basis, under 5 CFR 2634.905(c). If an agency wishes to
deviate from the prescribed methodology or format for OGE Optional Form
450-A, it must seek separate written OGE approval pursuant to
Sec. 2634.905(c), with appropriate justification. (Other formats may
also require clearance under the Paperwork Reduction Act from the
Office of Management and Budget.) This commenter correctly recognized
that, absent separate OGE approval, the new OGE Optional Form 450-A
must be used in exactly the prescribed format and under the regulatory
requirements of Sec. 2634.905(d). It is optional only in the sense that
implementation by agencies is discretionary, and that its use will not
be mandatory for any employee.
One agency suggested that the OGE Optional Form 450-A be permitted
for a maximum of four consecutive years before collection of another
complete OGE Form 450, rather than three, as it would be easier to
remember that filing a complete OGE Form 450 is required in years
ending in ``0'' or ``5'' than in years divisible by four.
Alternatively, this agency suggested that agencies be allowed to spread
the periodic collection of OGE Form 450s from certificate users over
several different years, so that it would not have to review all such
forms in the same year. The Office of Government Ethics has rejected
both suggestions. As noted in the preamble to the proposed rule, over
half of the respondents to OGE's survey recommended the four-year
maximum. The new regulation permits agencies to adopt fewer than four
years as its standard, but we believe that a longer period would
significantly reduce the effectiveness of OGE Optional Form 450-A in
preventing conflicts. Concerning the requirement that all users of the
OGE Optional Form 450-A file a new OGE Form 450 periodically at the
same time, rather than staggering
[[Page 33975]]
those filings, the discussion above and in the preamble to the proposed
rule explains that this was considered necessary in order to avoid the
administrative confusion that would result if agencies had to track for
individual filers when their next OGE Form 450 would be due.
Furthermore, it was preferred by nearly two-thirds of the respondents
to OGE's survey.
In order to more accurately track the language of OGE Optional Form
450-A, OGE has amended Sec. 2634.905(d) of the final rule describing
the term ``changed jobs.'' As indicated therein, it includes a new
position description or other ``significant change'' in duties at one's
agency. Ordinarily, a certificate user should have no difficulty in
understanding what is meant by a ``significant change'' in duties,
especially in the context of the potential for conflicts of interest.
If an agency anticipates that this could confound employees, it may
wish to offer special guidance, tailored to the agency's mission and
functions or to categories of position descriptions. The Office of
Government Ethics has deliberately not attempted to further define the
concept of ``significant change'' in duties, because it is not amenable
to a Governmentwide or rigid interpretation. For some agencies, it may
be important to have certificate users consider not only changes in
their official responsibilities but also in the outside entities with
which they routinely interact, when determining whether there has been
a ``significant change.'' If the term proves too elusive for some
agencies or filers, then they should simply not use OGE Optional Form
450-A. Again, the purpose of this new form and procedure is to reduce
paperwork and administrative burden. If an agency determines that those
goals will not be fulfilled, then it should not adopt this new option.
OGE Optional Form 450-A
One agency asked that OGE revise the parenthetical statement on the
new OGE Optional Form 450-A which refers filers to instructions
accompanying OGE Form 450 or other agency guidance in determining what
interests are considered reportable. The agency suggested that filers
should be referred to both sources, not to one or the other, so that an
agency might supplement the instructional guidance accompanying OGE
Form 450 without having to repeat or reference all of its contents.
While we do not concur that supplemental guidance would necessarily
have to repeat or reference all other guidance in order to stand alone,
we have modified the parenthetical reference on the OGE Optional Form
450-A by changing ``or'' to ``and/or.'' Another agency suggested that
the new form be revised to include supplementary guidance directly on
its face. Because of space limitations, and to further the purpose of
this certificate as a short and simple alternative for annual filers,
OGE has not adopted that suggestion.
Two agencies suggested that OGE should add a signature block to the
OGE Optional Form 450-A for the supervisor and/or ethics official to
indicate receipt, or to show completion of review, or to verify whether
the filer had changed jobs and if so, its effect on the potential for
conflicts. Instead, the form has a space at the bottom, marked ``for
agency use,'' with a designated block for ``date of receipt'' and for
general ``notes.'' Agencies are free to use that space as they see fit,
which might include the signatures of supervisors or ethics officials,
if they deem it appropriate. Recognizing that each agency might want to
use different procedures for tracking or examining these certificates,
we have decided not to make the specific additions suggested by these
two commenters.
We have also not adopted the suggestion of one agency that OGE
Optional Form 450-A be revised to more prominently state the penalties
for falsification. Because of space limitations, we have decided to
leave the penalties section on the second page, along with the Privacy
Act statement.
Nor have we adopted an agency's suggestion that OGE Optional Form
450-A be modified to account for changes in a spouse's Federal
employment. The form as drafted requires a certification that the
certificate user's spouse has not changed jobs with a non-Federal
employer, because it is only the spouse's non-Federal employment that
must be reported as an earned income source on OGE Form 450. Based on
this suggestion about spousal employment, however, we have decided to
modify OGE Optional Form 450-A and Sec. 2634.905(d) of the regulatory
amendment, to more directly focus on the source of a spouse's non-
Federal income rather than on a change in the spouse's responsibilities
with an employer. To accomplish this on the form, we have moved spousal
employment sources of income to section A (``No New Interests'') of the
certificate and deleted it from section B (``No Change in Position/
Duties''). For certificate users themselves, the form will remain
unchanged, as for them the inquiry does relate to their Federal
employment and whether their duties have changed, since that is what
will affect the potential for conflict with their financial interests.
III. Availability of Forms and Confidentiality
Previously, OGE provided a camera-ready version of OGE Form 450 to
each designated agency ethics official, for copying of supplies
locally. Likewise, OGE intends to distribute to all designated agency
ethics officials before the effective date a camera-ready version of
the new OGE Optional Form 450-A, for local copying. Both forms are also
available from OGE in electronic format, from which paper copies may be
printed. The electronic format may be obtained through OGE's electronic
bulletin board TEBBS (``The Ethics Bulletin Board System'') at 202-208-
8030, or via OGE's World Wide Web Site at http://www.access.gpo.gov/
usoge.
As indicated in the proposed rule, once the OGE Optional Form 450-A
is completed and filed, it is a confidential document and must be
accorded the same privacy protections as the OGE Form 450. Thus, no
member of the public will have access to a completed certificate of no
new interests, except as authorized by law. See 5 CFR 2634.604(b) and
2634.901(d). The OGE Optional Form 450-A includes a Privacy Act
statement to that effect.
IV. Matters of Regulatory Procedure
Executive Order 12866
In promulgating these final rule amendments, the Office of
Government Ethics 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 also
been reviewed by the Office of Management and Budget under that
Executive order.
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 final
amendatory rule will not have a significant economic impact on a
substantial number of small entities, because it primarily affects
Federal executive branch employees and their agencies.
Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. chapter 35) does not apply,
because these amendments do not contain information collection
requirements that require the approval of the Office of Management and
Budget.
[[Page 33976]]
List of Subjects in 5 CFR Part 2634
Administrative practice and procedure, Certificates of divestiture,
Conflict of interests, Financial disclosure, Government employees,
Penalties, Privacy, Reporting and recordkeeping requirements, Trusts
and trustees.
Approved: May 5, 1997.
Stephen D. Potts,
Director, Office of Government Ethics.
Accordingly, for the reasons set forth in the preamble, the Office
of Government Ethics is amending part 2634 of subchapter B of chapter
XVI of title 5 of the Code of Federal Regulations, as follows:
PART 2634--[AMENDED]
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; 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.
Subpart F--Procedure
2. Section 2634.601 is amended by removing the parenthetical phrase
following paragraph (c), and by revising paragraph (a) and adding a new
paragraph (d) to read as follows:
Sec. 2634.601 Report forms.
(a) The Office of Government Ethics provides, through the Federal
Supply Service of the General Services Administration (GSA), a standard
form, the SF 278 (Public Financial Disclosure Report), for reporting
the information described in subpart B of this part on executive branch
public disclosure. The Office of Government Ethics also provides two
uniform formats relating to confidential financial disclosure: OGE Form
450 (Confidential Financial Disclosure Report) for reporting the
information described in subpart I of this part on executive branch
confidential disclosure; and OGE Optional Form 450-A (Confidential
Certificate of No New Interests) for voluntary use by certain employees
in lieu of filing an annual OGE Form 450, if authorized by their
agency, in accordance with Sec. 2634.905(d) of subpart I of this part.
Supplies of the two confidential forms are to be reproduced locally by
each agency, from a camera-ready copy or an electronic format made
available by the Office of Government Ethics. (Until August 31, 1997,
the old SF 450 remains usable, rather than the new OGE Form 450, and is
available from GSA's Federal Supply Service.)
* * * * *
(d) The information collection and recordkeeping requirements have
been approved by the Office of Management and Budget under control
number 3209-0001 for the SF 278, and control number 3209-0006 for OGE
Form 450/SF 450. OGE Optional Form 450-A has been determined not to
require an OMB paperwork control number, as its use is strictly
optional for employees, it is used exclusively by current Government
employees, and it does not require affirmative disclosure of
substantive information.
Subpart I--Confidential Financial Disclosure Reports
3. Section 2634.905 is amended by removing the word ``or'' at the
end of paragraph (b)(2), by removing the period at the end of paragraph
(c) and replacing it with the terms ``; or'', and by revising the
introductory text and adding a new paragraph (d) before the examples to
read as follows:
Sec. 2634.905 Exclusions from filing requirements.
Any individual or class of individuals described in Sec. 2634.904
of this subpart, including special Government employees unless
otherwise noted, may be excluded from all or a portion of the
confidential reporting requirements of this subpart, when the agency
head or designee determines that:
* * * * *
(d) The use of OGE Optional Form 450-A (Confidential Certificate of
No New Interests) is adequate to prevent possible conflicts of
interest. This form may be used by eligible filers, as described in
this paragraph, who can certify, after reexamining their most recent
previous OGE Form 450, that they (and their spouse and dependent
children) have acquired no new interests required to be reported on OGE
Form 450, and that they have not changed jobs (no new position
description or other significant change in duties) at their agency
since filing that previous report. OGE Optional Form 450-A will be used
under the following conditions:
(1) OGE Optional Form 450-A will only be made available for use by
current employees who are not special Government employees.
(2) OGE Optional Form 450-A will only be used by incumbent filers,
as described in Sec. 2634.903(a) of this subpart, in lieu of filing an
annual OGE Form 450, who have a previous OGE Form 450 on file with
their agency for the position they currently hold. Its due date is as
specified in Sec. 2634.903(a), unless extended under Sec. 2634.903(d).
(3) As indicated on the OGE Optional Form 450-A, eligible filers
may use OGE Optional Form 450-A, if applicable to their circumstances,
or they may file a new OGE Form 450, at their option. Therefore, a
blank OGE Form 450 and its accompanying written instructions should
ordinarily be distributed to them, along with the blank OGE Optional
Form 450-A. The instructions to OGE Form 450 will also provide guidance
on what is meant by ``reportable'' interests on OGE Optional Form 450-
A. In lieu of distributing a blank OGE Form 450 and its instructions,
agencies may choose to develop separate guidance on the meaning of
``reportable'' interests, or they may refer certificate users to
guidance contained in any available source, such as the Office of
Government Ethics' Web site on the Internet or agency-approved
electronic software for OGE Form 450. Filers would then also have to be
advised of where to obtain a blank OGE Form 450, if needed.
(4) OGE Optional Form 450-A may be used by eligible filers for a
maximum of three consecutive years before they are required to complete
a new OGE Form 450 every fourth year, on a uniform basis for all
incumbent (annual) filers, as provided in paragraph (d)(5) of this
section. Agencies may, however, elect to permit use of the OGE Optional
Form 450-A for only one year (or two years), and to require a new OGE
Form 450 every second (or third) year, on a uniform basis for all
incumbent filers, as provided in paragraph (d)(5) of this section.
(5) In each year divisible by four, beginning in 2000 (or divisible
by two or three, beginning in 1998, for agencies that choose one of the
more frequent options described in the second sentence of paragraph
(d)(4) of this section), all incumbent filers, as described in
Sec. 2634.903(a) of this subpart, must file a new OGE Form 450 rather
than OGE Optional Form 450-A, regardless of how recently they may have
filed an OGE Form 450 (either as a new entrant or as an annual filer
who was not eligible to use, or chose not to use, the optional
certificate).
(6) When submitting OGE Optional Form 450-A, filers are not
required to attach a copy of their previous OGE Form 450, unless their
agency determines that it is necessary. Filers should be encouraged,
however, to retain a copy of their previous OGE Form 450, so that it
will be readily available for their examination prior to
[[Page 33977]]
completing an OGE Optional Form 450-A.
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[FR Doc. 97-16409 Filed 6-23-97; 8:45 am]
BILLING CODE 6345-01-U
