Advisory Opinion 91-7-1016
Gifts/General Services

ISSUE: WHETHER OR NOT EMPLOYEE/OR DEPARTMENTAL RECEIPT OF UNSOLICITED GIFTS DONATED BY A PERSON OR PERSONS WISHING TO ACKNOWLEDGE THEIR APPRECIATION OF WORK RELATED SERVICE CONSTITUTES A VIOLATION OF THE KING COUNTY CODE OF ETHICS?

Opinion:

EMPLOYEES

Employees are prohibited from receiving gifts under the following conditions:

• The gifts are given for the performance of, the omission of or for deferring the performance of any official duty.

• The gift giver is doing business or seeking to do business with the County if the employee has responsibility for or participates in County actions relating to the business.

• The employee 'accepts, directly or indirectly, any gift, favor, loan, retainer, entertainment, travel expense, compensation or other thing of value from any person doing business or seeking to do business with the county when such acceptance may conflict with the performance of the employee's official duties. A conflict shall be deemed to exist where a reasonable and prudent person would believe that the gift, compensation, thing of value, or more favorable terms, was given for the purpose of obtaining special consideration or to influence county action'***. (King County Code Section 3.04.030 D.)

These prohibitions apply whether or not persons have recurring business with County agencies. In addition, the board believes that gifts received from persons who do business or seek to do business with the county on a regular basis gives rise to particular concerns of conflict of interest because they may build expectations based on the gratuity they receive. Also, recurring gift-giving may build employee anticipation of receipt of a gift as a reward for their job performance or for the omission or deferring of performance of official duties.

The 'acceptance' of gifts of economic value given to an individual for any reason including appreciation of the performance of ones duty is prohibited.

The Board concludes that Section 3.04.020 D of the Code makes it clear that one of the things persons who are defined by the Code as County employees' give up' as is the right to receive gifts in addition to official county compensation.

If an employee is offered a gift by an individual, they are ultimately prohibited from accepting the gift. The employee must reject the gift.

If a gift is received without the opportunity to 'reject' it before receipt, the County employee must:

1. Return it within thirty days or;
2. Donate to a charitable organization without seeking a tax deduction.

GIFTS GIVEN TO THE COUNTY AGENCIES

The Board recognizes the fact that King County Government is a charitable organization as defined by the federal Internal Revenue Service.

King County as an entity could accept gifts, yet most individual agencies and organizational units of the County government do not the at present time have specific authority (on behalf of the County) to accept gifts and have no policy with regard to such gifts. Absent such authority and a policy for the acceptance of gifts by the County, individual agencies or organizational units are prohibited from accepting gifts.

Statement of Circumstances: The Manager of the General Services Division has solicited an advisory opinion from the King County Board of Ethics generated by employee and department-at-large receipt of unsolicited gifts from named and anonymous persons or business representatives who wish to acknowledge their appreciation of work related service that they have received from employees. These gifts are usually in the form of flowers, balloons, candy and nuts. Gifts may be directed to a named employee or to the department in general. The gifts are not usually delivered by the person(s) themselves. There is usually no signature sought by the person making the delivery which would indicate department or employee receipt of the gift.

Analysis: The gifts are delivered 'after' staff has completed service for those customers. None of the gifts predate service rendered.

Gifts received to date have been placed in the public reception area, employee lunchroom, or on employee's desks.

In looking at the issues raised regarding the receipt of gifts, the Board has addressed the following threshold issues:

1. Does the "gift" have economic value? (If it does not, it is not a gift, the restrictions do not apply.)

2. Is the "gift" under twenty dollars and given for a bona fide, non recurring, ceremonial occasion?

3. Is the "gift" informational material exclusively for official or office use, or a memorial trophy or plaque of no commercial value? (If the "gift" is one of the items described items 2 or 3, it may be retained pursuant to section 3.04.017 of the Code.)

4. Any "gift" of economic value not covered by items 2 or 3, is immediately subject to the restrictions on acceptance and use defined by the Code.

3.04.017 Definitions.

G. "Gift" means anything of economic value, but shall not include campaign contributions regulated by the provisions of RCW Ch. 42.17, the King County Charter and ordinances implementing them, informational materials exclusively for official or office use, memorials, trophies, and plaques of no commercial value, gifts of $20.00 or less for bona fide, non-recurring, ceremonial occasions or any gifts which are not used and which within thirty days after receipt are returned to the donor, or donated to a charitable organization without seeking a tax deduction.

K. "Person" means any individual, partnership, association, corporation, firm, institution, or other entity, whether or not operated for profit. The term does not include governmental units of the State of Washington or the United States unless specified.

3.04.020 Just and equitable treatment

D. No county employee may ask for or receive, directly or indirectly, nay compensation, gift, or thing of value, or promise thereof, for performing or for omitting or deferring the performance of any official duty, or action by the county other than the compensation, costs or fees provided by law.

3.04.030 Conflict of interest. No county employee shall engage in any act which is in conflict with the performance of official duties. A county employee shall be deemed to have a conflict of interest if the employee directly or indirectly:

B. Is beneficially interested, directly or indirectly, in any contract, sale, lease, option or purchase that may be made by, through, or under the supervision of the employee, in whole or in part, or accepts, directly or indirectly, any compensation, gift or thing of value from any other person beneficially interested therein;

C. Accepts or seeks for others, directly or indirectly, any employment, travel expense, service, information, compensation, gift or thing of value on more favorable terms than those granted to other county employees or the public generally, from any person doing business, or seeking to do business with the county for which the employee has responsibility or with regard to which he or she may participate, provided that this subsection shall not apply to the receipt by elected officials, or by employees who are supervised directly by an elected official, of meals, refreshments or transportation within the boundaries of King County when given in connection with meetings with constituents or meetings which are informational or ceremonial in nature;

D. Accepts, directly or indirectly, any gift, favor, loan, retainer, entertainment, travel expense, compensation or other thing of value from any person doing business or seeking to do business with the county when such acceptance may conflict with the performance of the employee's official duties.

A conflict shall be deemed to exist where a reasonable and prudent person would believe that the gift, compensation, thing of value, or more favorable terms, was given for the purpose of obtaining special consideration or to, influence county action. * * *

ISSUED ON THE _____________ day of _____________, 1991.

Signed for the Board: Dr. J. :Patrick Dobel, Chair

Members:

Timothy Edwards, Esq.
Dr. Judith Woods
Dr. J. Patrick Dobel, Chair

JPD:dwm

cc:

Tim Hill, King County Executive
King County councilmembers
Bob Stier, Deputy Prosecuting Attorney
Rella Foley, Ombudsman, Office of Citizen Complaints
Jesus Sanchez, Director, Department of Executive Administration