UARC TRAINING 24 October 2007

1. UARC TRAINING24 October 2007 • Review of Internal Audit and Advisory Services • California Conflict of Interest Laws and Regs • Organizational Conflict of Interest (OCI) • Whistleblower law

2. Internal Audit and Advisory Services • Independent University Service: • Director: Geri Gail • 4 staff auditors • We are here to help you • My telephone contact: 831-459-2241 • Website: http://audit.ucsc.edu/

3. Personal Conflict of Interest State Law: Government Code § 87100 “No public official at any level of state or local government shall make, participate in making or in any way attempt to use his official position to influence a governmental decision in which he knows or has reason to know he has a financial interest”

4. Potential Conflict Issues Most common issues: • Use of University resources for private purposes: such as lab space or NASA equipment • Employee-Vendor Relationships (buying from a relative) • Receipt or giving Gifts • Travel Provided by Private Entities • Outside employment or personal start up businesses

5. Organizational Conflict of Interest UARC Contractor and its employees have a special relationships that can provide them with access to both Government sensitive and third party proprietary data. Therefore: UARC Contractor and its employees will not use any such data for any purpose other than its performance under the contract.

6. Organizational Conflict of Interest (FAR 2. 101): Definition of OCI Because of other activities or relationships with other persons: • a person is unable or potentially unable to render impartial assistance or adviceto the Government • or the person's objectivityin performing the contract work is or might be otherwise impaired, • or a person has an unfair competitive advantage.

7. OCI in Government Contracting An example is when: …. a contractor is asked to develop requirements that are later used in a competitive solicitation for a subsequent contract. …If the same contractor bids for the subsequent contract, they may have an unfair advantage.

8. What this means to you! It is your responsibility to inform Associate Director Hogle that work you are performing is contributing to a statement of work that will be used a competitive procurement.

9. What this means to you! • inform the Associate Director if work you are performing includes access to Government-sensitive or third-party proprietary data. • If you receive Government Sensitive or Third Party data that has not been released or otherwise made available to the public,you may not use that data for any purpose other than performance of the contract unless prior written approval is received from the contracting officer.

10. Government-sensitive or third-party proprietary data • This means you cannot share it with your colleagues or other employees. • You cannot present it at a conference. • You cannot use it in a publication, unless those actions are necessary for the performance of the contract. • The process for getting prior written approval is to first speak with your supervisor to verify the need, and then submit a request to the Associate Director who will coordinate with the Contracting Officer.

11. Unsolicited proposals The UARC contract, Section H.4(c)(2), specifies that the UARC shall not submit to the Government an unsolicited proposal: • based on Government-sensitive data • or third-party data that has not been released or otherwise made public • until one year after such data is made available to the public.

12. What this means to you! • Any unsolicited proposals generated by UARC employees need to be processed through the UCSC Office of Sponsored Projects (Bill Clark) • Initiation of that process is through the Associate Director, (Larry Hogle) • The review process should identify any data to be used that would constitute an organizational conflict of interest.

13. SUMMARY All conflicts of interest : • weaken the public perception of research integrity, • compromise the objectivity of professional advice, • undermine confidence in the handling of confidential information, and • reduce equitable access to opportunities to participate in future contract work !!!

14. Points of Contact • Questions regarding OCI or PCI can be directed to any of the following individuals: • UARC Associate Director – Larry Hogle • (650) 604 – 0508 lhogle@ucsc.edu • Acting UARC Research Compliance Officer –Pamela Pancoast • 650-604-1284 • Pamela.Pancoast@adm.ucsc.edu • UARC Director – William Berry • (650) 604 – 0511 wberry@ucsc.edu

15. Reporting Improper Activities California Government Code Section 8547.2 Definition: improper governmental activity “ any activity by a state agency or by an employee that is undertaken in the performance of the employee’s official duties, whether or not that action is within the scope of his or her employment, and that • is in violation of any state or federal law or regulation, including, but not limited to, corruption, malfeasance, bribery, theft of government property, fraudulent claims, fraud, coercion, conversion, malicious prosecution, misuse of government property, or willful omission to perform duty, or • is economically wasteful, or involves gross misconduct, incompetency, or inefficiency.”

16. What this means to you! • Discuss your concern with your supervisor • Call the Internal Audit Office, the campus Local Designated official listed in the campus telephone book, or the UCSC police, if you discover an improper governmental activity. -Do not investigate yourself.

17. Internal Audit Investigation Services • UC Whistleblower policy and Whistleblower protection policies: • University website: http://www.ucop.edu/ucophome/policies/bfb/g29.html • Campus Website: http://whistleblower.ucsc.edu/ • Internal Audit Website/ Geri Gail-Audit Director http://audit.ucsc.edu/