[Federal Register: March 24, 2008 (Volume 73, Number 57)]
[Rules and Regulations]
[Page 15387-15388]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr24mr08-1]
========================================================================
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 15387]]
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. As a matter of regulatory policy, OGE is also raising
the widely attended gatherings nonsponsor gifts exception dollar
ceiling under the executive branchwide standards of ethical conduct
regulation, but this change is not retroactive. Finally, OGE is also
correcting a typographical error in an unrelated provision of the
financial disclosure regulation.
DATES: This rule is effective March 24, 2008. The amendments to 5 CFR
2634.304 and 2634.907 (as set forth in amendatory paragraphs 2 and 4)
are retroactively applicable as of January 1, 2008.
FOR FURTHER INFORMATION CONTACT: William E. Gressman, Senior Associate
General Counsel, Office of Government Ethics; Telephone: 202-482-9300;
TDD: 202-482-9293; FAX: 202-482-9237.
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, as codified at 5
CFR parts 2634 and 2635, in order to update certain reporting and other
thresholds, as well as to correct one typographical error in the
wording of an unrelated section of part 2634 (Sec. 2634.803(d)).
Increased Gifts and Travel Reimbursements Reporting Thresholds
First, OGE is revising its executive branch financial disclosure
regulation at 5 CFR part 2634, applicable as of January 1, 2008 to
reflect the increased reporting thresholds for gifts, reimbursements
and travel expenses for both the public and confidential executive
branch financial disclosure systems. These increases conform to the
statutorily mandated public disclosure reporting thresholds under
section 102(a)(2)(A) & (B) of the Ethics in Government Act as amended,
5 U.S.C. app. section 102(a)(2)(A) & (B), and are extended to
confidential disclosure reporting by OGE's regulation. Under the Ethics
Act, the gifts and reimbursements reporting thresholds are tied to the
dollar amount for the ``minimal value'' threshold for foreign gifts as
the General Services Administration (GSA) periodically redefines it.
In a recent rulemaking, GSA raised ``minimal value'' under the
Foreign Gifts and Decorations Act, 5 U.S.C. 7342, to ``$335 or less''
(from the prior level of $305 or less) for the three-year period 2008-
2010. See 73 FR 7475 (February 8, 2008), revising (retroactively
applicable as of January 1, 2008) the foreign gifts minimal value
definition as codified at 41 CFR 102-42.10.
Accordingly, applicable as of that same date, OGE is increasing the
thresholds for reporting of gifts and travel reimbursements from any
one source in 5 CFR 2634.304 and 2634.907(g) (and as illustrated in the
examples following those sections, including appropriate adjustments to
gift values therein) of its executive branch financial disclosure
regulation to ``more than $335'' for the aggregation threshold for
reporting and ``$134 or less'' for the de minimis exception for gifts
and reimbursements which do not have to be counted towards the
aggregate threshold. As noted, these regulatory increases just reflect
the underlying statutory increases applicable as of January 1 of this
year.
OGE will continue to adjust the gifts and travel reimbursements
reporting thresholds in its part 2634 regulation in the future as
needed in light of GSA's redefinition of ``minimal value'' every three
years for foreign gifts purposes. See OGE's prior three-year adjustment
of those regulatory reporting thresholds, as published at 70 FR 12111-
12112 (March 11, 2005) (for 2005-2007, the aggregate reporting level
was more than $305, with a $122 or less de minimis exception).
Increased Dollar Ceiling for the Exception for Nonsponsor Gifts of Free
Attendance at Widely Attended Gatherings
In addition, OGE is increasing from $305 to $335 the exception
ceiling for nonsponsor gifts of free attendance at widely attended
gatherings under the executive branch standards of ethical conduct
regulation, as codified at 5 CFR 2635.204(g)(2) (and as illustrated in
the examples following paragraph (g); a sum total value in one example
is also being adjusted accordingly). This separate regulatory change is
effective upon publication in the Federal Register, on March 24, 2008.
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 March 2005 OGE rulemaking noted in the preceding
paragraph above. Thus, it is reasonable 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 updating amendments.
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-
[[Page 15388]]
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. Therefore, that
regulatory revision is being made retroactively effective January 1,
2008, when the change became effective under the Ethics Act.
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 because it primarily affects Federal employees.
Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. chapter 35) does not apply
because this amendatory rulemaking itself does not contain information
collection requirements that require the approval of the Office of
Management and Budget.
Unfunded Mandates Reform Act
For purposes of the Unfunded Mandates Reform Act of 1995 (2 U.S.C.
chapter 25, subchapter II), this final rule will not significantly or
uniquely affect small governments and will not result in increased
expenditures by State, local and tribal governments, in the aggregate,
or by the private sector, of $100 million or more (as adjusted for
inflation) in any one year.
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 will submit a report thereon to the U.S. Senate,
House of Representatives and Government Accountability Office in
accordance with that law at the same time this rulemaking document is
sent to the Office of the Federal Register for publication in the
Federal Register.
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.
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: March 11, 2008.
Robert I. Cusick,
Director, Office of Government Ethics.
0
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
0
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.
Subpart C--Contents of Public Reports
Sec. 2634.304 [Amended]
0
2. Applicable January 1, 2008, Sec. 2634.304 is amended by:
0
A. Removing the dollar amount ``$305'' in paragraphs (a) and (b) and in
examples 1 and 4 following paragraph (d) and adding in its place in
each instance the dollar amount ``$335'';
0
B. Removing the dollar amount ``$122'' in paragraph (d) and in examples
1 and 2 following paragraph (d) and adding in its place in each
instance the dollar amount ``$134'';
0
C. Removing the dollar amount ``$145'' in example 1 following paragraph
(d) and adding in its place the dollar amount ``$185'';
0
D. Removing the dollar amounts ``$150'' and ``$305'' in example 3
following paragraph (d) and adding in their place the dollar amounts
``$170'' and ``$335'', respectively; and
0
E. Removing the dollar amounts ``$285'' and ``$300'' in the example to
paragraph (f)(1) and adding in their place the dollar amounts ``$385''
and ``$400'', respectively.
Subpart H--Ethics Agreements
Sec. 2634.803 [Corrected]
0
3. The first sentence of paragraph (d) of Sec. 2634.803 is corrected
by adding the word ``an'' between the words ``into'' and ``ethics''.
Subpart I--Confidential Financial Disclosure Reports
Sec. 2634.907 [Amended]
0
4. Applicable January 1, 2008, Sec. 2634.907 is amended by:
0
A. Removing the dollar amount ``$305'' in paragraphs (g)(1) and (g)(2)
and in the example to paragraph (g) and adding in its place in each
instance the dollar amount ``$335''; and
0
B. Removing the dollar amount ``$122'' in paragraph (g)(3) and in the
example to paragraph (g) and adding in its place in each instance the
dollar amount ``$134''.
PART 2635--STANDARDS OF ETHICAL CONDUCT FOR EMPLOYEES OF THE
EXECUTIVE BRANCH
0
5. 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.
Subpart B--Gifts From Outside Sources
Sec. 2635.204 [Amended]
0
6. Section 2635.204 is amended by:
0
A. Removing the dollar amount ``$305'' 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 ``$335''; and
0
B. Removing the dollar amount ``$610'' in example 2 following paragraph
(g)(6) and adding in its place the dollar amount ``$670''.
[FR Doc. E8-5484 Filed 3-21-08; 8:45 am]
BILLING CODE 6345-02-P