CSSB 186(JUD): "An Act relating to the Alaska Executive Branch Ethics Act; and providing for an effective date."
00 CS FOR SENATE BILL NO. 186(JUD) 01 "An Act relating to the Alaska Executive Branch Ethics Act; and providing for an 02 effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 39.52.110(b) is amended to read: 05 (b) Unethical conduct is prohibited, but there is no [SUBSTANTIAL] 06 impropriety if, as to a specific matter, a public officer's 07 (1) personal or financial interest in the matter is [INSIGNIFICANT, 08 OR] of a type that is possessed generally by the public or a large class of persons to 09 which the public officer belongs; [OR] 10 (2) action or influence would have insignificant or conjectural effect 11 on the matter; 12 (3) financial interest in a matter is held in a blind trust or the 13 public officer does not have management control over the financial interest; or 14 (4) personal or financial interest in a matter is in regard to a
01 business and the public officer 02 (A) does not own a controlling interest in the business; 03 (B) does not own more than one percent of the stock in the 04 business and the stock owned has a value of less than $10,000; 05 (C) owns an equity interest in the business worth less than 06 $10,000; 07 (D) is not a member of the board of directors or another 08 governing body of the business; 09 (E) is not an elected officer of the business; 10 (F) does not provide personal or professional services to the 11 business; 12 (G) does not have a contract with the business; and 13 (H) is not an employee of the business. 14 * Sec. 2. AS 39.52.130(f) is amended to read: 15 (f) A public officer who knows or reasonably ought to know that an 16 immediate [A] family member or a business associate has received a gift because of 17 the family member's or business associate's connection with the public office held by 18 the public officer shall report the receipt of the gift by the family member or business 19 associate to the public officer's designated supervisor if the gift would have to be 20 reported under this section if it had been received by the public officer or if receipt of 21 the gift by a public officer would be prohibited under this section. 22 * Sec. 3. AS 39.52.140 is amended to read: 23 Sec. 39.52.140. Improper use or disclosure of information. (a) A current 24 or former public officer may not disclose or use information gained in the course of, or 25 by reason of, the officer's official duties or position that could in any way result in the 26 receipt of any benefit for the officer, [OR] an immediate family member, or a 27 business associate if the information has not also been disseminated to the public. 28 (b) A current or former public officer may not disclose or use, without 29 appropriate authorization, information acquired in the course of official duties or by 30 reason of the officer's position that is confidential by law. 31 * Sec. 4. AS 39.52.140 is amended by adding a new subsection to read:
01 (c) A current or former public officer may not disclose information that is 02 confidential under AS 39.52.340(a). 03 * Sec. 5. AS 39.52.150(a) is amended to read: 04 (a) A public officer, [OR] an immediate family member, or a business 05 associate may not attempt to acquire, receive, apply for, be a party to, or have a 06 personal or financial interest in a state grant, contract, lease, or loan if the public 07 officer may take or withhold official action that affects the award, execution, or 08 administration of the state grant, contract, lease, or loan. 09 * Sec. 6. AS 39.52.150(c) is amended to read: 10 (c) The prohibition in (a) of this section does not apply to a state loan if 11 (1) the public officer does not take or withhold official action that 12 affects the award, execution, or administration of the loan held by the officer, [OR] an 13 immediate family member, or a business associate; 14 (2) the loan is generally available to members of the public; and 15 (3) the loan is subject to fixed eligibility standards. 16 * Sec. 7. AS 39.52.150(d) is amended to read: 17 (d) A public officer shall report in writing to the designated supervisor a 18 personal or financial interest held by the officer, [OR] an immediate family member, 19 or a business associate [,] in a state grant, contract, lease, or loan that is awarded, 20 executed, or administered by the agency the officer serves. 21 * Sec. 8. AS 39.52.210(b) is amended to read: 22 (b) A public employee's designated supervisor shall make a written 23 determination whether an employee's involvement violates AS 39.52.110 - 39.52.190 24 and shall provide a copy of the written determination to the public employee and to the 25 attorney general. If the supervisor determines that a violation could exist or will 26 occur, the supervisor shall [,] 27 (1) reassign duties to cure the employee's potential violation, if 28 feasible; or 29 (2) direct 30 (A) the divestiture or removal by the employee of the personal 31 or financial interests that give rise to the potential violation; or
01 (B) the placement by the employee of the financial interest 02 that gives rise to the potential violation into a blind trust or other 03 investment where the employee does not have management control over 04 the financial interest. 05 * Sec. 9. AS 39.52.230 is amended to read: 06 Sec. 39.52.230. Reporting of potential violations. A person may report to a 07 public officer's designated supervisor, under oath and in writing, a potential violation 08 of AS 39.52.110 - 39.52.190 by the public officer. The supervisor shall provide a 09 copy of the report to the officer who is the subject of the report and to the attorney 10 general, and shall review the report to determine whether a violation may exist. 11 Except where the report concerns the governor, lieutenant governor, or the 12 attorney general, the [THE] supervisor shall act in accordance with AS 39.52.210 or 13 39.52.220 if the supervisor determines that the matter may result in a violation of 14 AS 39.52.110 - 39.52.190. If the report concerns the governor, lieutenant 15 governor, or the attorney general, the supervisor shall refer the report as 16 provided in (b) of this section. 17 * Sec. 10. AS 39.52.230 is amended by adding a new subsection to read: 18 (b) If a report or allegation of a violation of AS 39.52.110 - 39.52.190 by the 19 governor, lieutenant governor, or attorney general comes to the attention of the 20 designated supervisor for the governor, lieutenant governor, or attorney general, other 21 than by the declaration of a potential violation by the governor, lieutenant governor, or 22 attorney general under AS 39.52.210(a)(2) or by the filing of an ethics complaint 23 under AS 39.52.310(b), then, 24 (1) in the case of a report or allegation against the governor or the 25 lieutenant governor, the attorney general shall refer the matter to the personnel board, 26 which shall appoint an independent counsel to investigate; the independent counsel 27 shall have power to issue and enforce subpoenas under AS 39.52.380 and 39.52.390; 28 the independent counsel shall prepare a written report of the investigation; the written 29 report must include findings of fact and a conclusion as to whether, in the opinion of 30 the independent counsel, the facts constitute conduct in violation of AS 39.52.110 - 31 39.52.190; the report of the independent counsel shall be submitted to the attorney
01 general; the attorney general shall review the report and make an independent 02 determination as to whether the independent counsel's findings of fact, if true, would 03 constitute conduct in violation of AS 39.52.110 - 39.52.190; if the attorney general 04 concludes that the facts as found by the independent counsel would constitute a 05 violation of AS 39.52.110 - 39.52.190, then the attorney general shall treat the 06 independent counsel's report as a complaint and shall refer the report to the personnel 07 board under AS 39.52.310(c); if the attorney general concludes that the facts as found 08 by the independent counsel would not constitute a violation of AS 39.52.110 - 09 39.52.190, the investigation shall be closed and no further enforcement action shall be 10 taken; nothing in this paragraph precludes a person from filing a complaint concerning 11 the same matter under AS 39.52.310(b); 12 (2) in the case of a report or allegation against the attorney general, the 13 governor shall refer the matter to the personnel board, which shall appoint an 14 independent counsel to investigate; the independent counsel shall have power to issue 15 and enforce subpoenas under AS 39.52.380 and 39.52.390; the independent counsel 16 shall prepare a written report of the investigation; the written report must include 17 findings of fact and a conclusion as to whether, in the opinion of the independent 18 counsel, the facts constitute conduct in violation of AS 39.52.110 - 39.52.190; the 19 report of the independent counsel shall be submitted to the governor; the governor 20 shall review the report and make an independent determination as to whether the 21 independent counsel's findings of fact, if true, would constitute conduct in violation of 22 AS 39.52.110 - 39.52.190; if the governor desires legal advice in making this 23 determination, the personnel board, at the governor's request, shall appoint an 24 additional independent counsel to advise the governor on legal issues; if the governor 25 concludes that the facts as found by the independent counsel would constitute a 26 violation of AS 39.52.110 - 39.52.190, then the governor shall refer the report to the 27 personnel board for appropriate action in accordance with the procedures set out in 28 AS 39.52.310(c); if the governor concludes that the facts as found by the independent 29 counsel would not constitute a violation of AS 39.52.110 - 39.52.190, the 30 investigation shall be closed and no further enforcement action shall be taken; nothing 31 in this paragraph precludes a person from filing a complaint concerning the same
01 matter under AS 39.52.310(b). 02 * Sec. 11. AS 39.52.240(a) is amended to read: 03 (a) Upon the written request of a designated supervisor or a board or 04 commission, the attorney general shall issue opinions interpreting this chapter. The 05 requester must supply any additional information requested by the attorney general in 06 order to issue the opinion. Within 60 days after receiving a complete request, the 07 attorney general shall issue an advisory opinion on the question. This section does 08 not apply to a report or an allegation investigated under AS 39.52.230(b). 09 * Sec. 12. AS 39.52.310(a) is amended to read: 10 (a) The attorney general may initiate a complaint, or elect to treat as a 11 complaint, any matter disclosed under AS 39.52.210, 39.52.220, 39.52.230(a), 12 39.52.250, or 39.52.260. The attorney general may not, during a campaign period, 13 initiate a complaint concerning the conduct of the governor or lieutenant governor 14 who is a candidate for election to state office. 15 * Sec. 13. AS 39.52.335(c) is amended to read: 16 (c) If a complaint is dismissed under AS 39.52.320 or resolved under 17 AS 39.52.330, the attorney general shall promptly prepare a summary of the matter 18 and provide a copy of the summary to the personnel board, the subject of the 19 complaint, and the complainant. The summary is confidential unless the 20 [(1)] dismissal or resolution agreed to under AS 39.52.320 or 21 39.52.330 is public [; OR 22 (2) SUPERIOR COURT MAKES THE MATTER PUBLIC UNDER 23 (h) OF THIS SECTION]. 24 * Sec. 14. AS 39.52.335(f) is amended to read: 25 (f) After review of the summary, the personnel board may issue a report on the 26 disposition of the complaint to the attorney general, the subject of the complaint, 27 and the complainant. The report is confidential [. IF THE MATTER IS 28 CONFIDENTIAL AND THE BOARD DETERMINES THAT PUBLICATION OF 29 THE NAME OF THE SUBJECT IS IN THE PUBLIC INTEREST, THE REPORT 30 MAY INCLUDE A RECOMMENDATION THAT THE MATTER BE MADE 31 PUBLIC].
01 * Sec. 15. AS 39.52.340(a) is amended to read: 02 (a) Except as provided in AS 39.52.335, before the initiation of formal 03 proceedings under AS 39.52.350, the complaint and all other documents and 04 information regarding an investigation conducted under this chapter or obtained by the 05 attorney general or independent counsel during the investigation are confidential and 06 not subject to inspection by the public. In the case of a complaint concerning the 07 governor, lieutenant governor, or attorney general, all meetings of the personnel board 08 concerning the complaint and investigation before the determination of probable cause 09 are closed to the public. If, in the course of an investigation or probable cause 10 determination, the attorney general finds evidence of probable criminal activity, the 11 attorney general shall transmit a statement and factual findings limited to that activity 12 to the appropriate law enforcement agency. If the attorney general finds evidence of a 13 probable violation of AS 15.13, the attorney general shall transmit a statement to that 14 effect and factual findings limited to the probable violation to the Alaska Public 15 Offices Commission. The attorney general, complainant, subject of the complaint, 16 and all persons contacted during the course of an investigation shall maintain 17 confidentiality regarding the existence of the investigation or proceeding. A person 18 may not disclose to any other person the filing of or intention to file a complaint 19 under AS 39.52.310 except to a person assisting in the filing of the complaint. A 20 person may not disclose information regarding the intention of another to file a 21 complaint under AS 39.52.310. This subsection does not prevent a person from 22 obtaining directly from a state agency a public record of that agency that has also 23 been made available in connection with an investigation or a formal proceeding 24 under AS 39.52.310 - 39.52.390. 25 * Sec. 16. AS 39.52.340 is amended by adding new subsections to read: 26 (d) A person may not disclose information that is confidential under (a) of this 27 section. 28 (e) Except for a current or former public officer covered by AS 39.52.140(c), a 29 person who violates (d) of this section is subject to a civil penalty of up to $5,000. 30 (f) The attorney general may enforce this section by filing an appropriate civil 31 action.
01 * Sec. 17. AS 39.52.380(a) is amended to read: 02 (a) As provided in AS 39.52.230(b), 39.52.310(g) [AS 39.52.310(g)], 03 39.52.360(b), and 39.52.370(b), the attorney general, independent counsel retained 04 under AS 39.52.230(b) or 39.52.310(c) [AS 39.52.310(c)], a hearing officer, the 05 subject of an accusation, and the personnel board may summon witnesses and require 06 the production of records, books, and papers by the issuance of subpoenas. 07 * Sec. 18. AS 39.52.410(a) is amended to read: 08 (a) If the personnel board determines that a public employee has violated this 09 chapter, it 10 (1) shall order the employee to stop engaging in any official action 11 related to the violation; 12 (2) may order divestiture, establishment of a blind trust for a period of 13 time or under conditions determined appropriate, placement of the financial 14 interest into an investment where the employee does not have management 15 control over the financial interest, restitution, or forfeiture; and 16 (3) may recommend that the employee's agency take disciplinary 17 action, including dismissal. 18 * Sec. 19. AS 39.52.960(9) is amended to read: 19 (9) "financial interest" means 20 (A) an interest held by a public officer, or an immediate family 21 member, which includes an involvement or ownership of an interest in a 22 business, including a property ownership, or a professional or private 23 relationship, that is a source of income, or from which, or as a result of which, 24 a person has received or expects to receive a financial benefit; 25 (B) holding a position in a business, such as an officer, director, 26 trustee, partner, employee, or the like, or holding a position of management; or 27 (C) an interest held by a public officer with a business 28 associate; 29 * Sec. 20. AS 39.52.960(11) is amended to read: 30 (11) "immediate family member" means 31 (A) the spouse of the person;
01 (B) another person living in the same household 02 [COHABITING] with the person in a sexual [CONJUGAL] relationship that is 03 not a legal marriage; 04 (C) a child, including a stepchild and an adoptive child, of the 05 person; 06 (D) a parent or [,] sibling [, GRANDPARENT, AUNT, OR 07 UNCLE] of the person; [AND] 08 (E) a child, parent, or sibling of the person's spouse; and 09 (F) a child, parent, or sibling of another person living in the 10 same household with the person in a sexual relationship that is not a legal 11 marriage; 12 * Sec. 21. AS 39.52.960 is amended by adding new paragraphs to read: 13 (23) "business associate" means any person with whom a public officer 14 jointly shares the management, control, or majority ownership of a business for the 15 conduct of trade, commerce, the practice of a profession, or any other occupation 16 engaged in for the purpose of providing income or potential income to the public 17 officer, regardless of how the business is organized; 18 (24) "household" means a social unit of those persons living together 19 in the same dwelling. 20 * Sec. 22. AS 39.52.335(h) is repealed. 21 * Sec. 23. This Act takes effect January 1, 2006.