Dec. 18, 2014

Rules May Tighten on Invites From Lobbyists

Q: I work for a lobbying firm, and I have a question about possible changes to the executive branch gift rules. A lobbyist friend of mine told me that the changes would eliminate some important exceptions to the ban on gifts to executive branch employees. Specifically, he said, organizations with lobbyists would no longer be able to invite executive branch employees to widely attended events hosted by the organization. We have been having these types of events for years. Is this really true?

A: Federal law prohibits executive branch employees from accepting certain types of gifts. Other branches of government have similar rules, all of which are generally designed to avoid the appearance of impropriety.

In the case of executive branch employees, the Office of Government Ethics, which oversees the relevant gift rule, has said that “accepting a gift offered because of the employee’s official position may create an appearance of using public office for private gain.” Moreover, if a government employee accepts a gift from someone with business before the employee, “the public may be concerned that the donor will receive favored treatment as a result of the gift.”

I sometimes tell clients that most government gift rules can be stated in two words: no gifts. Under the executive branch gift rule, employees are subject to two prohibitions. They may not accept a gift either (1) from a prohibited source or (2) given because of the employee’s official position. A prohibited source essentially means any person or entity seeking to do business with the employee’s agency, conducting business regulated by the agency or having interests that may be substantially affected by the agency.

Moreover, the term “gift” is defined very broadly. The Office of Government Ethics has said it includes “anything of monetary value.” Regarding events, the office has said that “payment by an outside source of fees charged for an event is considered to be a gift under the ethics regulations.”

There is a long list of exceptions, without which it would be nearly impossible for government employees to carry on everyday lives. One exception allows gifts from family members. Another permits gifts motivated by personal friendship.

One long-standing exception has allowed executive branch employees to attend “widely attended gatherings.” The House and Senate have a similar exception allowing Congressional employees to attend “widely attended events.” The Office of Government Ethics has explained that the “basic purpose” of the exception is as follows: “so that employees may be able to meet on a less formal basis and have an interchange of ideas with a variety of individuals, including members of nongovernmental groups, legislators and other Government agency personnel, who are interested in but may have divergent positions on the same issues.”

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