SENATE BILL REPORT

                            SB 5501

                    AS OF FEBRUARY 15, 1993

Brief Description:  Providing criminal penalties for violations of certain conflict of interest laws.

SPONSORS: Senators Talmadge, Cantu, Quigley and von Reichbauer

SENATE COMMITTEE ON GOVERNMENT OPERATIONS

Staff:  Rod McAulay (786‑7754)

Hearing Dates: February 19, 1993

BACKGROUND:

The Executive Branch Conflict of Interest Act places specific restrictions on the employment of former state employees.  Within one year of termination of employment, no former state employee may receive compensation from any private business if:  (1) he or she was engaged in the negotiation or administration of a contract with the business during his or her last two years of state employment; (2) the contract (or contracts) have a total value of more than $10,000; and (3) the prospective duties with the private business involve the performance or overseeing part or all of the performance of the contract.

There is no criminal sanction for violation of the statute limiting activities of former state employees.

SUMMARY:

The restriction on former state employees accepting employment from a private business within one year of termination is expanded to include former state employees who provided substantial professional advice in the negotiation or administration of a contract with the business during their last two years of state employment.

The $10,000 threshold for the value of the contract (or contracts) between the state and a private business required to preclude employment of a former state employee by the business is repealed.

Violation of the restrictions on employment of former state employees are a gross misdemeanor and may be the basis of criminal as well as civil action.

Appropriation: none

Revenue:  none

Fiscal Note:  none requested