Supplemental Standards of Ethical Conduct for Employees of the National Science Foundation

NATIONAL SCIENCE FOUNDATION

5 CFR Ch. XLIII

RINs 3209-AA15, 3145-AA20

Supplemental Standards of Ethical Conduct for Employees of the

National Science Foundation

AGENCY: National Science Foundation (NSF or Foundation).

ACTION: Interim rule, with request for comments.

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SUMMARY: The National Science Foundation, with the concurrence of the

Office of Government Ethics (OGE), is issuing regulations for officers

and employees of the NSF that supplement the Standards of Ethical

Conduct for Employees of the Executive Branch (Standards) issued by

OGE. The rule is a necessary supplement to the Standards, and addresses

ethical issues unique to NSF. It restricts employee participation in

certain proposals and awards; provides for clearance for participation

in NSF-supported conferences and in certain other outside activities,

and prescribes certain ethics restriction on Members of the National

Science Board.

DATES: Interim rule effective November 25, 1996. Comments are invited

and must be received on or before January 24, 1997. Comments will then

be evaluated in order to determine what changes, if any, may be needed.

ADDRESSES: Send comments to the Office of the General Counsel, National

Science Foundation, 4201 Wilson Boulevard, Room 1265, Arlington,

Virginia 22230.

FOR FURTHER INFORMATION CONTACT:

Charles S. Brown, Designated Agency Ethics Official, Office of the

General Counsel, National Science Foundation, telephone 703-306-1060,

FAX 703-306-0149.

SUPPLEMENTARY INFORMATION:

I. Background

On August 7, 1992, the Office of Government Ethics published

Standards of Ethical Conduct for Employees of the Executive Branch

(Standards) that are now codified at 5 CFR part 2635. See 57 FR 35006-

35067, as corrected at 57 48557, 57 FR 52583, and 60 FR 51667, and

amended at 61 FR 42965-42970 (as corrected at 61 FR 48733) and 61 FR

50689-50691, with additional grade period extensions at 59 FR 4779-

4780, 60 FR 6390-6391, 60 FR 66857-66858, and 61 FR 40950-40952. The

Standards took effect on February 3, 1993, and set uniform standards of

ethical conduct for all executive branch personnel.

With the concurrence of OGE, 5 CFR 2635.105 authorizes executive

branch agencies to publish agency-specific supplemental regulations

that are necessary to properly implement agency ethics programs. The

Foundation, with OGE's concurrence, has determined that the following

supplemental rule, being codified in new chapter XLIII of 5 CFR,

consisting of part 5301, is necessary to successfully implement NSF's

ethics program in light of NSF's unique programs, structure, and

operations. Today NSF also published in the Federal Register

regulations that repeal portions of its conflict of interest and

standards of conduct regulations that are superseded by 5 CFR part 2635

and by these supplemental regulations.

[[Page 59816]]

II. Analysis of the Regulations

Section 5301.101 General

Section 5301.101(a) explains that the regulations contained in the

interim rule apply to all NSF employees, including members of the

National Science Board (NSB), and that they supplement the Standards of

Ethical Conduct for Employees of the Executive Branch at 5 CFR part

2635.

Section 5301.101(b) sets forth definitions that apply to the

interim rule. While the rule contains provisions applicable to special

Government employees, including Members of the NSB, particular

substantive provisions apply to special Government employees and NSB

Members only when the substantive language specifically makes that

provision applicable. Thus, for purposes of the NSF supplemental

regulations only, the definitional language in paragraph (b)(2) defines

the term ``employee'' to exclude special Government employees,

including Members of the NSB. Exclusion of NSB Members from this

definitional language facilitates the adoption of slightly different

supplemental standards for NSB Members than those applicable to other

NSF employees. The definition at Sec. 5301.101(b)(2) has no effect on

the manner in which 5 CFR part 2635 applies to NSB Members or other

special Government employees. They continue to be covered by the

definition of an employee at 5 CFR 2635.102(h) and to be subject to the

standards in part 2635 applicable to all employees of the executive

branch, including special Government employees.

The definition of ``award'' in paragraph (b)(1) is intended to make

it clear that, for purposes of interpreting the standards set forth in

Secs. 5301.102 through 5301.105 of this interim rule, the term is to be

broadly construed to cover financial arrangements made by the

Government including, but not limited to, those that are in the nature

of a grant, contract, cooperative agreement, or loan. The definition of

a ``proposal'' in paragraph (b)(4) is included to make it clear that,

for similar purposes, the term covers any application for such a

financial arrangement, even though it is not technically denominated a

``bid'' or ``proposal.''

A definition of ``institution'' is provided in paragraph (b)(3).

Since NSF awards are ordinarily made to ``institutions,'' paragraph

(b)(3) makes it clear that this term is to be interpreted broadly. In

accordance with OGE formal advisory opinion 82 OGE 1, regarding the

breadth of the term ``organization,'' as used in 18 U.S.C. 208 and

applied to State colleges, universities, and higher education systems,

the definition applies to all parts of multi-institution State or city

university systems. (See pp. 851-857 of the bound volume available from

the Government Printing Office entitled The Informal Advisory Letters

and Memoranda and Formal Opinions of the United States Office of

Government Ethics (1979-1988).) However, the definition treats

consortia as separate ``institutions'' from the colleges and

universities that belong to them.

Section 5301.102 Participation in Proposals and Awards

Section 5301.102(a) supplements subpart E (Impartiality in

Performing Official Duties) of 5 CFR part 2635 with additional

standards to be used in determining whether NSF employees should or

should not participate as part of their official duties in proposals

and awards. Where disqualification is not mandated by 18 U.S.C. 208,

subpart E creates a mechanism for determining whether employees should

be disqualified on grounds of lack of impartiality from participation

in proposals, awards, and other particular matters involving specific

parties. With the exception of party matters that affect the financial

interests of a member of the employee's household, the mechanism in

subpart E is specifically triggered only when a person with whom the

employee has a covered relationship is a party or represents a party to

the matter. The definition of a ``covered relationship'' in 5 CFR

2635.502(b)(1), however, does not cover all the affiliations and

relationships that NSF believes should be considered in determining

whether an NSF employee's participation in a proposal or award is

appropriate.

Paragraph (a)(3) of Sec. 5301.102 lists the additional

relationships that are likely to raise questions about an NSF

employee's ability to participate with complete impartiality in

proposals and awards involving the persons with whom the employee has

the affiliation or relationship. As provided in paragraph (a)(1) of

Sec. 5301.102, one effect of paragraph (a)(3) is to create additional

categories of covered relationships for NSF employees that are to be

addressed under all or part of the mechanism set forth in subpart E.

For certain relationships, paragraph (a)(2) eliminates the discretion

an employee is otherwise given by 5 CFR 2635.502(a) to make the initial

judgment call as to whether his or her participation would cause a

reasonable person to question the employee's impartiality in the

matter. Paragraph (a)(2) provides that where an affiliation listed in

paragraph (a)(3) is denoted as ``automatically disqualifying,'' the

employee is disqualified from participating in a proposal or award to

which the institution or person is a party unless the employee's

participation is authorized by the agency designee with the concurrence

of the Office of the General Counsel.

The Foundation has long recognized that prospective, current, and

recent NSF employees are likely to be perceived as having an unfair

advantage in obtaining NSF awards. Section 5301.102(b) continues NSF's

current practice of making sure that employees disclose the involvement

or likely involvement of prospective, current, or recent NSF employees

in a proposal or award to an appropriate official who, in turn, will

ensure that the proposal is fairly evaluated or the award is fairly

administered.

Section 5301.102(b) also requires employees to disclose the

involvement or likely involvement of current Members of the NSB. These

Members are special Government employees, but because they constitute

NSF's governing body, they too may be perceived as benefiting from an

unfair advantage in obtaining NSF awards. Nonetheless, Members of the

NSB are appointed by the President and are not ``recruited'' by NSF in

the same manner as are prospective NSF employees. For this reason, NSF

has decided not to require the reporting of the involvement or likely

involvement of ``prospective'' NSB Members. Section 5301.102(b) also

does not impose a reporting requirement with respect to ``recent'' NSB

Members. Members work at NSF for so few days a year that recent NSB

Members are unlikely to have developed close ties with NSF employees

who might handle a proposal or award to which the recent NSB Member is

a party.

Section 5301.103 Outside Employment and Activities

Pursuant to 5 CFR 2635.802(a), Sec. 5301.103(a) of this interim

rule imposes restrictions on NSF employees engaging in certain outside

employment and activities. It prohibits them from receiving any form of

compensation or reimbursement from an NSF award, serving as principal

investigator or project director under an NSF award, and receiving

compensation or expenses for participating in conferences and other

events supported by NSF funds. The prohibitions are imposed on the

basis of NSF's determination that employees' participation in such

activities would be likely to raise questions as to whether they were

[[Page 59817]]

improperly using their official positions for private gain.

Under 5 CFR 2635.803, an agency may, by supplemental regulation,

require employees to obtain prior approval before engaging in outside

employment or activities where it determines that such a requirement is

necessary or desirable for the purpose of administering its ethics

program. The Foundation has made that determination with respect to the

requirements for prior approval of outside employment and activities

set forth in Sec. 5301.103(b).

Section 5301.103(b)(1) requires NSF employees to obtain prior

approval from an agency designee to engage in compensated outside

employment with any institution or person doing or expected to do

business with NSF, or to serve, with or without compensation, on such

an institution's visiting committee. This is a new requirement intended

to help protect employees from inadvertent violation of substantive

ethics laws and regulations.

Section 5301.103(b)(2)(i) is similar to a previous NSF rule

requiring permission from an ethics counselor in the Office of the

General Counsel to hold a policymaking office in a research

institution, scientific society, or professional association. It is

intended to ensure that NSF employees wishing to hold such positions

receive appropriate assistance from an ethics official in dealing with

the complex issues that arise from affiliations of this character.

Section 5301.103(b)(2)(ii) imposes an approval requirement for NSF

employees who wish to participate, in their personal capacities, in

NSF-funded events where the participation takes the form of presenting

a paper, or serving as organizer, director, proceedings editor, or

session chairperson. The Foundation is concerned that some may perceive

NSF employees to be in a better position than others to enhance their

personal professional credentials by such participation in NSF-

supported events. This approval requirement is therefore intended to

ensure that employees actually do not misuse their official positions

in participating in NSF-supported events in their personal capacities.

Section 5301.103(b)(3) sets forth the standard to be used by

officials who review and approve requests to engage in the outside

activities specified in paragraph (b). This standard is intended to

ensure that these determinations are not made arbitrarily, but on the

basis of applicable statutes part 2635, and this supplemental

regulation.

Section 5301.104 Participation in NSF-Supported Conferences

For employees who wish to participate in their personal capacities

in NSF-supported events, Sec. 5301.104(a) provides cross-references to

the relevant prohibitions and approval requirements contained in

Sec. 5301.103.

Section 5301.104(b) addresses the concern that some may perceive

NSF employees to be in a better position than others to enhance their

professional standing by participating in NSF-sponsored events. Very

often, those presenting papers, chairing sessions, editing proceedings,

or serving as directors or organizers at conferences or other

scientific events will take credit for that participation on their

resumes with the expectation that they will be accorded some

recognition for these professional activities. The fact that the

employee's participation takes place in an official rather than a

personal capacity is unlikely to have a bearing on the degree to which

that participation enhances his or her credentials and professional

standing.

Paragraph (b)(1) thus serves as a corollary to the prohibitions and

prior approval requirements in Sec. 5301.103 (a)(3) and (b)(2)(iii)

that apply to personal participation in NSF-supported events. With an

exception for events that primarily serve NSF purposes, it requires

prior approval for certain forms of participation in NSF-funded events

when undertaken by NSF employees as part of their official duties. The

approval standard set forth in Sec. 5301.104(b)(2) requires a balancing

of the importance of the employee's official participation against the

likelihood that his or her participation may be viewed as use of

official position to enhance the employee's professional credentials.

Section 5301.105 Restrictions Applicable to Members of the National

Science Board

Much like Sec. 5301.102(a), Sec. 5301.105(a) supplements subpart E

of 5 CFR part 2635 with additional standards to be used in determining

whether National Science Board (NSF) Members should or should not

participate as part of their official duties in proposals and awards.

As with Sec. 5301.102(a), the definition of a ``covered relationship''

in 5 CFR 2635.502(b)(1) does not cover all the affiliations and

relationships that NSF has determined need to be considered in deciding

whether an NSF Member's participation in a proposal or award is

appropriate.

Paragraph (a)(3) lists the additional relationships that are likely

to raise questions about the Member's ability to participate with

complete impartiality in proposals and awards involving the persons

with whom the Member has the affiliation or relationship. Paragraphs

(a)(3)(i)(A) and (a)(3)(ii) denote relationships as ``automatically

disqualifying.'' Here the Member is disqualified from participating

unless the NSB Chairman or the Designated Agency Ethics Official

authorizes the Member to participate in accordance with paragraph

(a)(2). Affiliations not identified as ``automatically disqualifying''

in paragraph (a)(3)(i) will be addressed in the same manner as covered

relationships described in subpart E of 5 CFR part 2635.

Section 5301.105(b)(1) maintains the NSF's previous rule barring

Members from representing themselves or others in dealings with NSF

staff. National Science Board Members are special Government employees

who ordinarily work at NSF for so few days per year that they are not

covered by the sixty-one-day threshold on the agency-wide

representation restriction contained in 18 U.S.C. 205. Yet unlike most

special Government employees, NSB Members have significant

decisionmaking responsibility for management of the agency. The

Foundation has found that a prohibition on NSB Members negotiating with

NSF staff prevents even the appearance that they are in a position to

misuse their official positions to improperly influence normal

decisionmaking processes.

Section 5301.105(b)(2) maintains the NSF's previous restrictions on

Members' receipt of compensation from NSF awards made during their

terms of service and, in so doing, strikes a balance between their role

as NSB Members and their continuing outside careers in science,

engineering, and education.

III. Matters of Regulatory Procedure

Administrative Procedure Act

The National Science Foundation has found that good cause exists

under 5 U.S.C. 553 (b) and (d) for waiving, as unnecessary and contrary

to the public interest, the general notice of proposed rulemaking and

the 30-day delay in effectiveness as to this final rule. Similar

regulations have been applicable to NSF employees under the now

suspended NSF regulations contained in 45 CFR parts 680, 681, 682, 683,

and 684. An immediate effective date is necessary to effect a smooth

regulatory transition and minimize any lapse in applicable procedural

and substantive rules relating to prior approval of outside activities

due to the

[[Page 59818]]

expiration of ``grandfathering'' provisions contained in the OGE

Standards.

Moreover, the rulemaking requirements of the Administrative

Procedure Act are not applicable to this final rule because it deals

with agency organization, procedure, or practice, 5 U.S.C. 553(b), and

relates to matters of agency management and personnel, 5 U.S.C.

553(a)(2). The final rule also contains substantive provisions that

grant or recognize an exemption or relieve a restriction such that an

immediate effective date is permitted under 5 U.S.C. 553(d)(1).

Executive Order 12866

In promulgating this interim rule, the National Science Foundation

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. This regulation has not been reviewed

by the Office of Management and Budget under that Executive order, as

it deals with agency organization, management, and personnel matters

and is not, in any event, deemed a significant rule thereunder.

Regulatory Flexibility Act

The National Science Foundation has determined under the Regulatory

Flexibility Act (5 U.S.C. chapter 6) that this regulation will not have

significant economic impact on a substantial number of small entities,

because it primarily affects NSF employees, as well as prospective and

former NSF employees.

Paperwork Reduction Act

The National Science Foundation has determined that the Paperwork

Reduction Act (44 U.S.C. chapter 35) 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 5301

Conduct standards, Conflict of interests, Ethical standards,

Executive Branch Standards of Conduct, Government employees, National

Science Foundation.

Dated: November 14, 1996.

Lawrence Rudolph,

General Counsel, National Science Foundation.

Approved: November 18, 1996.

Stephen D. Potts,

Director, Office of Government Ethics.

For the reasons set forth in the preamble, the National Science

Foundation, with the concurrence of the Office of Government Ethics, is

amending title 5 of the Code of Federal Regulations by adding a new

chapter XLIII, consisting of part 5301, to read as follows:

CHAPTER XLIII--NATIONAL SCIENCE FOUNDATION

PART 5301--SUPPLEMENTAL STANDARDS OF ETHICAL CONDUCT FOR EMPLOYEES

OF THE NATIONAL SCIENCE FOUNDATION

Sec.

5301.101 General.

5301.102 Participation in proposals and awards.

5301.103 Outside employment and activities.

5301.104 Participation in NSF-supported conferences.

5301.105 Restrictions applicable to Members of the National Science

Board.

Authority: 5 U.S.C. 7301; 5 U.S.C. App. (Ethics in Government

Act of 1978); 42 U.S.C. 1870(a); 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, 2635.502, 2635.802(a), 2635.803.

Sec. 5301.101 General.

(a) Purpose. In accordance with 5 CFR 2635.105, the regulations in

this part apply to employees of the National Science Foundation (NSF),

including Members of the National Science Board. They supplement the

Standards of Ethical Conduct for Employees of the Executive Branch

contained in 5 CFR part 2635.

(b) Definitions. For purposes of this part, unless a provision

plainly indicates otherwise:

(1) Award means any grant, contract, cooperative agreement, loan,

or other arrangement made by the Government.

(2) Employee has the meaning set forth in 5 CFR 2635.102(h), except

that, for purposes of this part, it shall not include a special

Government employee.

(3) Institution means any university, college, business firm,

research institute, professional society, or other organization. It

includes all parts of a university or college, including all

institutions in a multi-institution State or city system. It includes

any university consortium or joint corporation, but not the individual

universities that belong to such a consortium. Those universities shall

be considered separate institutions for purposes of this part.

(4) Proposal means an application for an award and includes a bid.

Sec. 5301.102 Participation in proposals and awards.

(a) Participation in proposals and awards. (1) For the purpose of

determining whether an employee or a special Government employee, other

than a Member of the National Science Board, should participate as part

of his official duties in a proposal or award, the affiliations and

relationships listed in paragraph (a)(3) of this section shall be

considered additional ``covered relationships'' for purposes of

applying 5 CFR 2635.502. Except as provided in paragraph (a)(2) of this

section, they shall be treated as disqualifying to the same extent as

the covered relationships listed in 5 CFR 2635.502(b)(1).

(2) Where an affiliation or relationship is listed in paragraph

(a)(3) of this section as ``automatically disqualifying,'' an employee

shall not participate in a proposal or award in which the institution

or other person with whom the employee has a covered relationship is or

represents a party unless participation is authorized in accordance

with 5 CFR 2635.502(d) by the agency designee, with the concurrence of

an ethics counselor in the Office of the General Counsel.

(3) An employee has a covered relationship, within the meaning of 5

CFR 2635.502(b)(1), with:

(i) An institution with which the employee is affiliated through:

(A) Membership on a visiting committee or similar body at the

institution. The relationship is automatically disqualifying where the

particular department, school, or faculty that the visiting committee

or similar body advises originated the proposal or where a proposal

from the department, school, or faculty formed the basis for the award;

(B) Current enrollment of the employee or a member of the

employee's household as a student;

(C) Receipt and retention of an honorarium or other form of

compensation, award, or off-duty travel payment from the institution

within the last twelve months. The relationship is automatically

disqualifying, unless the payment or award was received before

beginning Government service; and

(ii) A person who is an investigator or project director on or who

otherwise is identified in a proposal as a party to the

[[Page 59819]]

proposal or award and with whom the employee has:

(A) A family relationship as sibling, parent, spouse, or child. Any

such relationship is automatically disqualifying;

(B) Associated, in the past or currently, as thesis advisor or

thesis student;

(C) Collaborated on a project, book, article, report, or paper

within the last 48 months; or

(D) Co-edited a journal, compendium, or conference proceedings

within the last 24 months.

(b) Reporting involvement of prospective, current, or recent

employees. (1) When an employee who is participating in a proposal or

award becomes aware that a prospective, current, or recent NSF employee

or current National Science Board member is or is likely to become a

member of the research group or project staff under that proposal or

award, the employee shall bring that circumstance to the attention of

an agency designee. For purposes of this paragraph:

(i) A ``recent NSF employee'' is any former NSF employee who left

the NSF within the year before submission of the proposal at issue or

on which the award was based.

(ii) A ``prospective NSF employee'' is any person being recruited

by an NSF official for a specific opening and from whom the official

has received an indication of mutual interest. Such a person is a

``prospective NSF employee'' even though those recruiting have not

extended an offer and even though the person might not accept an offer

if it were extended.

(2) The agency designee shall review the circumstances to determine

what action, if any, should be taken to assure that the proposal or

award is administered impartially and otherwise in compliance with

applicable laws and regulations, including this part, 5 CFR part 2635,

18 U.S.C. 207 and 208, and 45 CFR part 680.

Sec. 5301.103 Outside employment and activities.

(a) Prohibited outside employment and activities. (1) An NSF

employee may not receive, directly or indirectly, any salary,

consulting fee, honorarium, or other form of compensation for services,

or reimbursement of expenses, from an NSF award.

(2) An NSF employee may not serve as principal investigator or

project director under an NSF award.

(3) An NSF employee may not receive, directly or indirectly, any

honorarium or any other form of compensation, or reimbursement of

expenses from anyone, other than the United States, for participating

in an event supported by NSF funds.

(b) Prior approval of outside employment and activities. (1) An

employee shall obtain written approval from an agency designee before:

(i) Engaging in compensated outside employment with any person or

institution (including any for-profit, non-profit, or governmental

organization) which does business or may reasonably be expected to do

business with the NSF. For these purposes, ``employment'' means any

form of non-Federal employment or business relationship involving the

provision of personal services by the employee. It includes, but is not

limited to, personal services as an officer, director, employee, agent,

attorney, consultant, contractor, general partner, trustee, teacher, or

speaker. It includes writing when done under an arrangement for

publication of the written product; or

(ii) Serving, with or without compensation, on a visiting committee

with any institution that does business or may reasonably be expected

to do business with NSF.

(2) In addition to any prior approval required in paragraph (b)(1)

of this section, an employee shall obtain prior written approval:

(i) From an ethics counselor in the Office of the General Counsel

before participating, with or without compensation, as a policymaking

officer of any research or educational institution or any scientific

society or professional association; and

(ii) From his Assistant Director or Office head before serving in a

personal capacity as an organizer, director, proceedings editor, or

session chairperson for a conference, workshop, or similar event

supported by NSF funds, or before presenting a paper at such an event.

(3) The approvals required by paragraphs (b)(1) and (b)(2) of this

section shall be granted only upon a determination by the appropriate

NSF official that the outside employment or activity is not expected to

involve conduct prohibited by statute or Federal regulations, including

5 CFR part 2635 and this part.

Sec. 5301.104 Participation in NSF-supported conferences.

An NSF employee may participate in conferences, workshops, and

similar events supported by NSF funds provided that:

(a) Where the employee's participation is undertaken in a personal

capacity, his participation does not violate the restrictions on

outside employment and activities of Sec. 5301.103(a), and the approval

requirements of Sec. 5301.103(b) have been met.

(b) Where the employee's participation is undertaken as part of his

official duties as an NSF employee:

(1) The employee shall obtain prior written approval from his

Assistant Director or Office head before serving as an organizer,

director, proceedings editor, or session chairperson for a conference,

workshop, or similar event sponsored by NSF funds, or before presenting

a paper at such an event. However, prior approval is not required where

the primary purpose of the event is to plan, assess, or publicize NSF

programs or needs, or where the subject of the paper or session to be

presented focuses on NSF programs or needs.

(2) The approval required by paragraph (b)(1) of this section shall

be granted only upon a determination that the importance of the

employee's participation outweighs any appearance of use of official

position to enhance his personal credentials.

Sec. 5301.105 Restrictions applicable to Members of the National

Science Board.

(a) Participation in proposals and awards. (1) For the purpose of

determining whether a Member of the National Science Board (Board)

should participate as part of his official duties in a proposal or

award coming before the Board or any of its committees, the

affiliations and relationships listed in paragraph (a)(3) of this

section shall be considered ``covered relationships'' for purposes of

applying 5 CFR 2635.502. Except as provided in paragraph (a)(2) of this

section, they shall be treated as disqualifying to the same extent as

the covered relationships listed in 5 CFR 2635.502(b)(1).

(2) Where an affiliation or relationship is listed in paragraph

(a)(3) of this section as ``automatically disqualifying,'' a Member of

the National Science Board shall not participate in a proposal or award

in which the institution or other person with whom the Member has a

covered relationship is or represents a party, unless participation is

authorized in accordance with 5 CFR 2635.502(d) by the Chairman of the

National Science Board or by the Designated Agency Ethics Official.

(3) A Member of the National Science Board has a covered

relationship, within the meaning of 5 CFR 2635.502(b)(1), with:

(i) An institution or other person with which the Member is

affiliated through:

[[Page 59820]]

(A) Membership on a visiting committee or similar body at the

institution. The relationship is automatically disqualifying where the

particular department, school, or faculty that the visiting committee

or similar body advises originated the proposal or where a proposal

from the department, school, or faculty formed the basis for the award;

or

(B) Current enrollment of the Member or a member of his household

as a student; and

(ii) A person who is an investigator or project director or who is

otherwise identified in a proposal as a party to the proposal or award

and with whom the Member has a family relationship as sibling, parent,

spouse, or child. Any such relationship is automatically disqualifying.

(b) Outside employment and activities. (1) A Member of the National

Science Board shall not represent himself, herself, or any other person

in negotiations or other dealings with an NSF official on any proposal,

award, or other particular matter, as defined in 5 CFR 2635.402(b)(3).

(2) A Member of the National Science Board may not receive

compensation from any award made while serving on the Board. However,

unless prohibited by law, an award may be charged, and a Member may be

reimbursed, for actual expenses incurred by the Member in doing work

supported by the award. If a Member was an investigator or consultant

under an award before appointment to the Board, the award may be

charged and the Member may continue to receive compensation to the

extent established before the Member's nomination.

[FR Doc. 96-29991 Filed 11-22-96; 8:45 am]

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