US Laws, Codes, Statutes & Cases

 
    §  2604.  Prohibited interests and conduct. a. Prohibited interests in
  firms engaged in business dealings with the city.
    1. Except as provided in paragraph three below,
    (a) no public servant shall have an interest  in  a  firm  which  such
  public  servant  knows  is  engaged in business dealings with the agency
  served by such public  servant;  provided,  however,  that,  subject  to
  paragraph one of subdivision b of this section, an appointed member of a
  community  board  shall  not  be prohibited from having an interest in a
  firm which may be affected by an action on a matter before the community
  or borough board, and
    (b) no regular employee shall have an interest in a  firm  which  such
  regular  employee  knows  is engaged in business dealings with the city,
  except if such interest is in a firm whose shares are  publicly  traded,
  as defined by rule of the board.
    2.  Prior to acquiring or accepting an interest in a firm whose shares
  are publicly traded, a public servant may submit a  written  request  to
  the  head of the agency served by the public servant for a determination
  of whether such firm is engaged in business dealings with  such  agency.
  Such  determination shall be in writing, shall be rendered expeditiously
  and shall be binding on the city and the public servant with respect  to
  the prohibition of subparagraph a of paragraph one of this subdivision.
    3.  An  individual  who,  prior  to  becoming a public servant, has an
  ownership interest which would be prohibited by paragraph one above;  or
  a  public  servant  who  has an ownership interest and did not know of a
  business dealing which would cause the interest to be one prohibited  by
  paragraph  one  above,  but  has  subsequently  gained knowledge of such
  business dealing; or a public servant who holds  an  ownership  interest
  which,  subsequent  to the public servant's acquisition of the interest,
  enters into a business dealing which would cause the ownership  interest
  to be one prohibited by paragraph one above; or a public servant who, by
  operation   of  law,  obtains  an  ownership  interest  which  would  be
  prohibited by paragraph one above shall,  prior  to  becoming  a  public
  servant  or,  if already a public servant, within ten days of knowing of
  the business dealing, either:
    (a) divest the ownership interest; or
    (b) disclose to the board such ownership interest and comply with  its
  order.
    4.  When  an individual or public servant discloses an interest to the
  board pursuant to paragraph three of this subdivision, the  board  shall
  issue an order setting forth its determination as to whether or not such
  interest,  if maintained, would be in conflict with the proper discharge
  of the public servant's official duties. In making  such  determination,
  the  board  shall  take  into account the nature of the public servant's
  official duties, the manner in which the interest may be affected by any
  action of the city, and the appearance of conflict to the public. If the
  board determines a conflict exists,  the  board's  order  shall  require
  divestiture  or  such  other  action  as  it deems appropriate which may
  mitigate such a conflict, taking into account the  financial  burden  of
  any decision on the public servant.
    5. For the purposes of this subdivision, the agency served by
    (a)  an elected official, other than a member of the council, shall be
  the executive branch of the city government,
    (b) a public servant who is a deputy mayor, the director of the office
  of  management  and  budget,  commissioner  of  citywide  administrative
  services,  corporation counsel, commissioner of finance, commissioner of
  investigation or chair of the city planning commission, or who serves in
  the executive branch of city government and is charged with  substantial

  policy discretion involving city-wide policy as determined by the board,
  shall be the executive branch of the city government,
    (c)  a  public servant designated by a member of the board of estimate
  to act in the place of such member as a member of the board of estimate,
  shall include the board of estimate, and
    (d) a member of the council shall be the  legislative  branch  of  the
  city government.
    6.  For  the  purposes  of  subdivisions a and b of section twenty-six
  hundred six, a public servant shall be deemed  to  know  of  a  business
  dealing  with  the city if such public servant should have known of such
  business dealing with the city.
    b. Prohibited conduct. 1. A public servant who has an  interest  in  a
  firm which is not prohibited by subdivision a of this section, shall not
  take  any  action  as  a  public  servant  particularly  affecting  that
  interest, except that
    (a) in the case of an elected  official,  such  action  shall  not  be
  prohibited,  but the elected official shall disclose the interest to the
  conflicts of interest board, and on the official records of the  council
  or the board of estimate in the case of matters before those bodies,
    (b)  in  the  case of an appointed community board member, such action
  shall not be prohibited, but no member may vote on any matter before the
  community or borough board which may result in  a  personal  and  direct
  economic  gain  to  the  member  or  any  person with whom the member is
  associated, and
    (c) in the case of all other public servants, if the interest is  less
  than  ten thousand dollars, such action shall not be prohibited, but the
  public servant shall disclose the interest to the board.
    2. No public servant shall engage  in  any  business,  transaction  or
  private  employment,  or  have  any financial or other private interest,
  direct or indirect, which is in conflict with the  proper  discharge  of
  his or her official duties.
    3.  No  public servant shall use or attempt to use his or her position
  as a public servant to obtain any  financial  gain,  contract,  license,
  privilege  or  other  private or personal advantage, direct or indirect,
  for the public servant or any person or firm associated with the  public
  servant.
    4.  No  public  servant  shall  disclose  any confidential information
  concerning the property, affairs or government  of  the  city  which  is
  obtained  as  a result of the official duties of such public servant and
  which is not  otherwise  available  to  the  public,  or  use  any  such
  information to advance any direct or indirect financial or other private
  interest of the public servant or of any other person or firm associated
  with the public servant; provided, however, that this shall not prohibit
  any  public  servant  from disclosing any information concerning conduct
  which the public servant knows or reasonably believes to involve  waste,
  inefficiency, corruption, criminal activity or conflict of interest.
    5.  No  public  servant  shall accept any valuable gift, as defined by
  rule of the board, from any person or firm  which  such  public  servant
  knows  is  or  intends  to  become engaged in business dealings with the
  city, except that nothing  contained  herein  shall  prohibit  a  public
  servant  from  accepting  a gift which is customary on family and social
  occasions.
    6. No  public  servant  shall,  for  compensation,  represent  private
  interests  before  any  city  agency or appear directly or indirectly on
  behalf of private interests in matters involving the city. For a  public
  servant who is not a regular employee, this prohibition shall apply only
  to the agency served by the public servant.

    7.  No  public servant shall appear as attorney or counsel against the
  interests of the city in any litigation to which the city is a party, or
  in any action or proceeding in which the city, or any public servant  of
  the  city,  acting  in  the course of official duties, is a complainant,
  provided  that  this  paragraph  shall  not  apply  to  a public servant
  employed by an elected official who appears as attorney or  counsel  for
  that  elected  official in any litigation, action or proceeding in which
  the elected official has standing and authority to participate by virtue
  of his or her capacity as an elected official, including any part  of  a
  litigation,  action  or  proceeding  prior  to  or  at which standing or
  authority to participate is determined. This paragraph shall not in  any
  way  be  construed  to  expand or limit the standing or authority of any
  elected official to participate in any litigation, action or proceeding,
  nor shall it in any way affect the powers and duties of the  corporation
  counsel.  For  a  public  servant  who  is  not a regular employee, this
  prohibition shall apply only to the agency served by the public servant.
    8. No public servant shall give opinion  evidence  as  a  paid  expert
  against  the interests of the city in any civil litigation brought by or
  against the city. For a public servant who is not  a  regular  employee,
  this  prohibition  shall  apply  only to the agency served by the public
  servant.
    9. No public servant shall,
    (a)  coerce  or  attempt  to  coerce,  by  intimidation,  threats   or
  otherwise, any public servant to engage in political activities, or
    (b)  request  any  subordinate  public  servant  to  participate  in a
  political campaign. For purposes of this subparagraph, participation  in
  a  political campaign shall include managing or aiding in the management
  of a campaign, soliciting votes or canvassing voters  for  a  particular
  candidate  or  performing  any  similar  acts which are unrelated to the
  public servant's duties or responsibilities.  Nothing  contained  herein
  shall  prohibit  a  public  servant from requesting a subordinate public
  servant to speak on behalf of a candidate,  or  provide  information  or
  perform  other  similar acts, if such acts are related to matters within
  the public servant's duties or responsibilities.
    10. No public servant shall give or promise to give any portion of the
  public servant's compensation, or any money, or valuable  thing  to  any
  person  in  consideration  of having been or being nominated, appointed,
  elected or employed as a public servant.
    11. No public servant shall, directly of indirectly,
    (a) compel,  induce  or  request  any  person  to  pay  any  political
  assessment,  subscription  or contribution, under threat of prejudice to
  or promise of or to secure advantage  in  rank,  compensation  or  other
  job-related status or function,
    (b)  pay  or  promise to pay any political assessment, subscription or
  contribution in consideration of having been or being nominated, elected
  or employed as such public servant  or  to  secure  advantage  in  rank,
  compensation or other job-related status or function, or
    (c)  compel,  induce  or request any subordinate public servant to pay
  any political assessment, subscription or contribution.
    12. No public servant, other than an elected official, who is a deputy
  mayor, or head of an agency or who is charged  with  substantial  policy
  discretion as defined by rule of the board, shall directly or indirectly
  request any person to make or pay any political assessment, subscription
  or  contribution for any candidate for an elective office of the city or
  for any elected official who is a candidate  for  any  elective  office;
  provided  that nothing contained in this paragraph shall be construed to
  prohibit such public  servant  from  speaking  on  behalf  of  any  such
  candidate  or  elected  official  at  an  occasion where a request for a

  political assessment,  subscription  or  contribution  may  be  made  by
  others.
    13.  No public servant shall receive compensation except from the city
  for performing any official duty or accept or receive any gratuity  from
  any  person  whose  interests  may  be  affected by the public servant's
  official action.
    14. No public servant shall  enter  into  any  business  or  financial
  relationship   with   another  public  servant  who  is  a  superior  or
  subordinate of such public servant.
    15. No elected  official,  deputy  mayor,  deputy  to  a  citywide  or
  boroughwide elected official, head of an agency, or other public servant
  who  is charged with substantial policy discretion as defined by rule of
  the board may be a member of  the  national  or  state  committee  of  a
  political  party,  serve  as  an assembly district leader of a political
  party or serve as the chair or as an officer of the county committee  or
  county executive committee of a political party, except that a member of
  the  council may serve as an assembly district leader or hold any lesser
  political office as defined by rule of the board.
    c. This section shall not prohibit:
    1. an elected official from appearing without compensation before  any
  city  agency  on  behalf of constituents or in the performance of public
  official or civic obligations;
    2. a public  servant  from  accepting  or  receiving  any  benefit  or
  facility  which  is  provided  for  or  made  available  to  citizens or
  residents, or classes of citizens or residents, under housing  or  other
  general welfare legislation or in the exercise of the police power;
    3.  a  public  servant  from  obtaining  a  loan  from  any  financial
  institution upon terms  and  conditions  available  to  members  of  the
  public;
    4.   any  physician,  dentist,  optometrist,  podiatrist,  pharmacist,
  chiropractor or other person who is  eligible  to  provide  services  or
  supplies  under  title eleven of article five of the social services law
  and is  receiving  any  salary  or  other  compensation  from  the  city
  treasury,  from  providing professional services and supplies to persons
  who are entitled to benefits under such title,  provided  that,  in  the
  case of services or supplies provided by those who perform audit, review
  or  other  administrative  functions  pursuant to the provisions of such
  title, the New York state department  of  health  reviews  and  approves
  payment for such services or supplies and provided further that there is
  no  conflict with their official duties; nothing in this paragraph shall
  be construed to authorize payment to such persons under such  title  for
  services  or supplies furnished in the course of their employment by the
  city;
    5. any member of the uniformed force of  the  police  department  from
  being  employed in the private security field, provided that such member
  has received approval from the  police  commissioner  therefor  and  has
  complied  with  all  rules  and  regulations  promulgated  by the police
  commissioner relating to such employment;
    6. a public servant from acting as attorney, agent, broker,  employee,
  officer,  director  or consultant for any not-for-profit corporation, or
  association, or other such entity which  operates  on  a  not-for-profit
  basis, interested in business dealings with the city, provided that:
    (a)  such  public  servant  takes  no  direct or indirect part in such
  business dealings;
    (b) such not-for-profit entity has no direct or indirect  interest  in
  any  business  dealings with the city agency in which the public servant
  is employed and is not subject to supervision, control or regulation  by
  such  agency, except where it is determined by the head of an agency, or

  by the mayor where the public servant  is  an  agency  head,  that  such
  activity is in furtherance of the purposes and interests of the city;
    (c)  all  such activities by such public servant shall be performed at
  times during which  the  public  servant  is  not  required  to  perform
  services for the city; and
    (d)  such  public  servant receives no salary or other compensation in
  connection with such activities;
    7. a public servant, other than elected officials,  employees  in  the
  office  of property management of the department of housing preservation
  and development, employees in the department of citywide  administrative
  services  who  are  designated  by  the  commissioner of such department
  pursuant to this paragraph, and the commissioners, deputy commissioners,
  assistant  commissioners  and  others  of  equivalent  ranks   in   such
  departments,  or the successors to such departments, from bidding on and
  purchasing any city-owned real property at public auction or sealed  bid
  sale,  or from purchasing any city-owned residential building containing
  six or less dwelling units through negotiated sale, provided  that  such
  public servant, in the course of city employment, did not participate in
  decisions  or  matters affecting the disposition of the city property to
  be purchased and has no such matters  under  active  consideration.  The
  commissioner  of  citywide  administrative  services shall designate all
  employees of the department of citywide  administrative  services  whose
  functions relate to citywide real property matters to be subject to this
  paragraph; or
    8.  a  public  servant  from participating in collective bargaining or
  from paying union or shop fees or dues or, if such public servant  is  a
  union  member,  from  requesting  a  subordinate public servant who is a
  member of such union to contribute to union political action  committees
  or other similar entities.
    d.  Post-employment  restrictions. 1. No public servant shall solicit,
  negotiate for or accept any position (i) from which, after leaving  city
  service,   the   public   servant   would  be  disqualified  under  this
  subdivision, or (ii) with any person or firm who or which is involved in
  a particular matter with the city, while such public servant is actively
  considering, or is directly concerned  or  personally  participating  in
  such particular matter on behalf of the city.
    2.  No  former public servant shall, within a period of one year after
  termination of such person's service with the city,  appear  before  the
  city  agency  served  by  such  public  servant; provided, however, that
  nothing contained herein shall be deemed to  prohibit  a  former  public
  servant  from making communications with the agency served by the public
  servant which are incidental to an otherwise permitted appearance in  an
  adjudicative  proceeding  before  another  agency  or  body, or a court,
  unless the proceeding was pending in the agency served during the period
  of the public servant's service with that agency. For  the  purposes  of
  this  paragraph,  the  agency served by a public servant designated by a
  member of the board of estimate to act in the place of such member as  a
  member of the board of estimate, shall include the board of estimate.
    3.  No  elected  official,  nor  the  holder of the position of deputy
  mayor, director of the office of management and budget, commissioner  of
  citywide  administrative  services, corporation counsel, commissioner of
  finance, commissioner of investigation or chair  of  the  city  planning
  commission  shall, within a period of one year after termination of such
  person's employment with the city,  appear  before  any  agency  in  the
  branch  of  city  government  served by such person. For the purposes of
  this paragraph, the legislative branch  of  the  city  consists  of  the
  council  and the offices of the council, and the executive branch of the

  city consists of all other agencies of the city, including the office of
  the public advocate.
    4.  No person who has served as a public servant shall appear, whether
  paid or unpaid,  before  the  city,  or  receive  compensation  for  any
  services  rendered,  in  relation to any particular matter involving the
  same party or parties with  respect  to  which  particular  matter  such
  person had participated personally and substantially as a public servant
  through  decision,  approval,  recommendation,  investigation  or  other
  similar activities.
    5. No public servant shall, after leaving city  service,  disclose  or
  use  for  private  advantage  any  confidential  information gained from
  public service which is not otherwise  made  available  to  the  public;
  provided,  however, that this shall not prohibit any public servant from
  disclosing any information concerning conduct which the  public  servant
  knows or reasonably believes to involve waste, inefficiency, corruption,
  criminal activity or conflict of interest.
    6.  The  prohibitions  on negotiating for and having certain positions
  after leaving city  service,  shall  not  apply  to  positions  with  or
  representation on behalf of any local, state or federal agency.
    7.  Nothing  contained  in  this  subdivision  shall prohibit a former
  public servant from being associated with or having a position in a firm
  which appears before a city agency  or  from  acting  in  a  ministerial
  matter regarding business dealings with the city.
    e.  Allowed  positions.  A public servant or former public servant may
  hold or negotiate for a position otherwise prohibited by  this  section,
  where  the  holding  of  the  position would not be in conflict with the
  purposes and interests of the city, if, after written  approval  by  the
  head  of  the agency or agencies involved, the board determines that the
  position involves no such conflict. Such findings shall  be  in  writing
  and made public by the board.