[Federal Register Volume 86, Number 106 (Friday, June 4, 2021)]
[Rules and Regulations]
[Pages 29931-29932]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-11720]



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 Rules and Regulations
                                                 Federal Register
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 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.
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  Federal Register / Vol. 86, No. 106 / Friday, June 4, 2021 / Rules 
and Regulations  

[[Page 29931]]



 OFFICE OF SPECIAL COUNSEL

5 CFR Chapter CII

RIN 3209-AA53


Supplemental Standards of Ethical Conduct for Employees of the 
U.S. Office of Special Counsel

AGENCY: U.S. Office of Special Counsel (OSC).

ACTION: Final rule.

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SUMMARY: The U.S. Office of Special Counsel, with the concurrence of 
the U.S. Office of Government Ethics (OGE), is finalizing a regulation 
for OSC employees that supplements the executive branch Standards of 
Ethical Conduct issued by OGE. The supplemental regulation requires OSC 
employees to seek prior approval before engaging in outside employment 
or activity.

DATES: This final rule is effective June 4, 2021.

FOR FURTHER INFORMATION CONTACT: Heidi R. Morrison, Alternate 
Designated Agency Ethics Official, U.S. Office of Special Counsel, by 
email at [email protected] or by telephone at (202) 804-7000.

SUPPLEMENTARY INFORMATION:

I. Background

    On July 24, 2020, OSC, with OGE's concurrence, published a proposed 
rule in the Federal Register, 85 FR 44789, proposing to adopt agency 
specific supplemental regulations requiring OSC employees to obtain 
prior approval before engaging in outside employment or activity. The 
proposed rule provided a 30-day comment period, which ended on August 
24, 2020. During the comment period OSC received one comment from a 
member of the public.

II. Analysis of Comment Received

    The comment received strongly supported robust regulations 
requiring OSC employees be held ``to the highest ethical standards,'' 
but did not otherwise address the substance of or suggest changes to 
the proposed rule. Therefore, for the reasons detailed in the preamble 
of the proposed rule, OSC, with the concurrence of OGE, is issuing this 
rule in final without changes.

III. Matters of Regulatory Procedure

Administrative Procedure Act (APA)

    This action is taken under the Special Counsel's authority at 5 
U.S.C. 1212(e) to publish regulations in the Federal Register.

Executive Order 12866 and Executive Order 13771

    This rule is not a significant rule for purposes of Executive Order 
12866 and has not been reviewed by the Office of Management and Budget. 
This rule is not subject to the requirements of Executive Order 13771 
because this rule results in no more than de minimis costs.

Regulatory Flexibility Act (RFA)

    As required by the RFA, OSC certifies that this regulation will not 
have a significant economic impact on a substantial number of small 
entities.

National Environmental Policy Act (NEPA)

    This rule will have no physical impact upon the environment and 
therefore will not require any further review under the NEPA.

Congressional Review Act (CRA)

    This rule relates to agency personnel and does not substantially 
affect the rights or obligations of non-agency parties. Therefore, it 
does not meet the definition of a ``rule'' at 5 U.S.C. 804 and is not 
subject to the procedures of the CRA.

Paperwork Reduction Act (PRA)

    OSC has determined that the PRA does not apply because this 
regulation does not contain any information collection requirements 
that require the approval of the Office of Management and Budget.

List of Subjects in 5 CFR Part 10201

    Conflict of interests, Government employees.

    Approved: May 27, 2021.
Travis G. Millsaps,
Deputy Special Counsel for Public Policy, U.S. Office of Special 
Counsel.
Emory Rounds,
Director, U.S. Office of Government Ethics.


0
For the reasons set forth in the preamble, the U.S. Office of Special 
Counsel, with the concurrence of OGE, is amending title 5 of the Code 
of Federal Regulations by adding a new chapter CII, consisting of part 
10201, to read as follows:

Title 5--Administrative Personnel

Chapter CII--U.S. Office of Special Counsel

PART 10201--SUPPLEMENTAL STANDARDS OF ETHICAL CONDUCT FOR EMPLOYEES 
OF THE U.S. OFFICE OF SPECIAL COUNSEL

Sec.
10201.101 General.
10201.102 Prior approval for outside employment or activity.

    Authority: 5 U.S.C. 1212(e); 5 U.S.C. 7301; 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; 5 CFR 2635.105, 2635.803.


Sec.  10201.101   General.

    (a) Purpose. In accordance with 5 CFR 2635.105, the regulations in 
this part apply to employees of the U.S. Office of Special Counsel 
(OSC) and supplement the Standards of Ethical Conduct for Employees of 
the Executive Branch at 5 CFR part 2635.
    (b) Other regulations, guidance, and procedures. In addition to the 
standards in 5 CFR part 2635 and this part, all OSC employees are 
required to comply with implementing guidance and procedures issued by 
OSC in accordance with 5 CFR 2635.105(c). OSC employees are also 
subject to all other government-wide regulations concerning executive 
branch ethics including without limitation, financial disclosure 
regulations contained in 5 CFR part 2634, regulations concerning 
financial interests contained in 5 CFR part 2640, post-employment 
conflict of interest restrictions contained in 5 CFR part 2641, outside 
earned income limitations and employment and affiliation restrictions 
applicable to certain noncareer employees contained in 5 CFR part 2636, 
and the regulations concerning executive branch employee

[[Page 29932]]

responsibilities and conduct contained in 5 CFR part 735.


Sec.  10201.102  Prior approval for outside employment or activity.

    (a) General requirement. Before engaging in any outside employment 
or activity, whether or not for compensation, an OSC employee must 
obtain written approval from the Designated Agency Ethics Official 
(DAEO) or the Alternate Designated Agency Ethics Official (ADAEO), 
except to the extent that OSC has issued an internal instruction 
pursuant to paragraph (d) of this section exempting certain employment 
or activities from this requirement.
    Note 1 to paragraph (a). 18 U.S.C. 203(d) and 205(e) require 
special approval for certain representational activities in claims 
against the Federal Government and other matters affecting the 
interests of the government.
    (b) Definition of ``outside employment or activity''. For purposes 
of this section, ``outside employment or activity'' means any form of 
non-Federal employment or business relationship involving the provision 
of services by the employee, whether for compensation or not for 
compensation. It includes, but is not limited to, serving as an 
officer, director, employee, agent, attorney, consultant, contractor, 
general partner, trustee, or teacher. The definition does not include 
participation in the activities of a nonprofit charitable, religious, 
professional, social, fraternal, educational, recreational, public 
service, or civic organization unless such activities involve the 
provision of professional services or advice, or are for compensation 
other than reimbursement of expenses.
    Note 2 to paragraph (b). Employees who wish to engage in 
compensated speaking or writing in a personal capacity are subject to, 
among other things, the provisions of 5 CFR 2635.703 (concerning use of 
nonpublic information) and 5 CFR 2635.807 (concerning receipt of 
compensation for teaching, speaking, and writing related to one's 
duties), and are encouraged to seek guidance from an agency ethics 
official before engaging in such activities. Certain covered non-career 
employees are also subject to further restrictions on receipt of 
outside compensation pursuant to section 502 of the Ethics in 
Government Act (5 U.S.C. app.). In addition, OSC attorneys should 
consult their applicable state bar rules of professional conduct.
    (c) Standard for approval. Approval shall be granted by the DAEO or 
ADAEO upon a determination that the outside employment or activity is 
not expected to involve conduct prohibited by statute or Federal 
regulation, including 5 CFR part 2635.
    (d) Implementation guidance. The DAEO or ADAEO may issue internal 
instructions governing the submission of requests for approval of 
outside employment or activity. The instructions may exempt categories 
of employment or activities from the prior approval requirement of this 
section based on a determination that those categories generally would 
be approved and are not likely to involve prohibited conduct or create 
an appearance of lack of impartiality.

[FR Doc. 2021-11720 Filed 6-3-21; 8:45 am]
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