City of Clinton Employee Handbook

Approved by City Council 7-98
Revisions May 2002 - to date

7.  CONFLICT OF INTEREST AND BUSINESS ETHICS

 

Exactly what constitutes a conflict of interest or an unethical business practice is both a moral and legal question.  The City recognizes and respects the employees right to engage in activities outside of employment which are private in nature and do not in any way conflict with the best interest of the City or reflect poorly on the City.  Management reserves the right however, to determine when the employees activities represent a conflict with the City’s interests and take whatever action is necessary to resolve the situation—including termination.

 

It isn’t possible in a general policy statement of this sort to define all the various circumstances and relationships that would be considered unethical.  The list below suggest some of the types of activity that would reflect in a negative way on the employees personal integrity or that would limit his/her ability to discharge job duties and responsibilities in an ethical manner.

 

A.   PURPOSE OF THE CONFLICT OF INTEREST LAWS:    Okla Statute Section 11§8-113

a.             Except as otherwise provided by this section, no municipal officer or employee, or any business in which said officer, employee, or spouse of the officer or employee has a proprietary interest, shall engage in:

 

1.             Selling, buying or leasing property, real or personal, to or from the municipality;

2.             Contracting with the municipality; or

3.             Buying or bartering for or otherwise engaging in any manner in the acquisition of any bonds,  warrants, or other evidence of indebtedness of the municipality.

 

b.             For purposes of this section, employee means any person who is employed by a municipality more than ten (10) hours in a week more than thirteen (13) consecutive weeks and who enters into, recommends or  participates in the decision to enter into any transaction described in subsection A of this section.  Provided that any person who receives wages, reimbursement for expenses, or emoluments of any kind from a municipality, any spouse of such person, or any business in which such person or spouse has a proprietary interest shall not buy or otherwise become interested in the transfer of any surplus property of a municipality or a public trust of which the municipality is beneficiary unless such surplus property is offered for sale to the public after notice of the sale is published. 

c.             For purposes of this section, proprietary interest means ownership of more than twenty-five percent (25%) of the business or of the stock therein or any percentage which constitutes a controlling interest but shall not include any such interest held by a blind trust.

d.             Any person convicted of violating the provisions of this section shall be guilty of a mis-demeanor.  Any transaction entered into a violation of the provisions of this section is void.  Any member of a governing body who approves any transaction in violation of the provisions of this section shall be held personally liable for the amount of said transaction. 

e.             Notwithstanding the provisions of this section, any officer, director or employee of a financial institution may serve on a board of a public body.  Provided, the member shall abstain from voting on any matter relating to a transaction between or involving the financial institution in which they are associated and the public body in which they serve. (Amended, effective 11-1-95).

 

B.  WHAT TO DO IF EMPLOYEE MAY HAVE A CONFLICT OF INTEREST: SPECIFIC DISCLOSURE AND BLANKET DISCLOSURE:   Any employee who feels that she or he may have a conflict of interest in a specific matter should immediately withdraw from participation in all related activities and decisions and prepare a memorandum, directed to the City Manager or, if an elected official to the Mayor, explaining in detail the potential or existing conflict of interest and affirming that the employee has withdrawn from participation in the matter.  The employee should identify the specific matter in which he or she has a substantial interest based on whatever knowledge he or she possesses.  Having disclosed the conflict of interest and withdrawn from participation in the matter, employee must not communicate about the matter with anyone involved in the decision making process in order to avoid the appearance of impropriety.