Conflict of Interest Prevention

A conflict of interest occurs when someone’s personal interests overlap with their job responsibilities, creating a situation in which they could personally gain from choices they make at work.

California State University (CSU) employees serve the public, therefore, they must follow specific laws and rules designed to prevent conflicts of interest.

One key law is the Political Reform Act of 1974, which says that public employees may not make or influence decisions if they know (or should reasonably know) that they have a financial interest in the outcome. This applies to every CSU employee.

Employees are expected to understand the requirements of this law and follow them. If an employee has a personal financial interest connected to a CSU decision, they must publicly disclose that interest and remove themselves from taking part in the decision.

Even when there is no actual conflict, employees should still be aware of situations that could appear to be a conflict of interest and handle them carefully to maintain trust and integrity.

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• Conflict of Interest Code

  The California Political Reform Act requires certain state and local government officials to publicly disclose their private economic interests on the Form 700, Statement of Economic Interests. Additionally, it requires that all government (University) employees disqualify themselves from participating in decisions in which they have a personal financial interest.

  • Designated Positions(opens in new window) (PDF)
  • CSU Disclosure Categories (PDF) 
  • Form 700, Statement of Economic Interests (PDF) 
  • CSU-specific Conflicts of Interest training (available in the training system)
• Designated Positions

  In alignment with state law, the CSU’s Conflict of Interest code requires Employees in Designated Positions(opens in new window) (PDF) to:

  1. Annually complete a statement of economic interests (Form 700 or Form 700-U), and
  2. Take related training. The California Fair Political Practices Commission (FPPC) regulates this process. Requirements are codified in California Code of Regulations (CCR), Title 2, Division 6, §18734 [disclosure requirements] and Education Code (EC) §89500.7 [training].
• Training

  California State law mandates that employees who must file a Statement of Economic Interest Form (FPPC Form 700), or designated employees, must take an ethics training every two years or within six months of first assuming their designated position. Employees in Designated Positions are likely to encounter decisions where a conflict of interest might arise. The CSU further designates its employees must take a CSU-specific Conflicts of Interest training.

• Statement of Economic Interests (Form 700 and Form 700-U)

  Employees in Designated Positions are also required by state law to file a Statement of Economic Interests (Form 700) on an annual basis. [Principal Investigators complete a CSU Form 700-U.] Each designated position has been assigned disclosure categories based on the position description. For more information, please refer to the "Resources" below or contact the campus COI filing officer at coi@csuchico.edu, 530-898-6771.

  • The Form 700 process alerts employees to potential conflicts of interests
  • Employees must report potential conflicts of interest
    • Disclosure on Form 700 is not enough
    • Employees must report to supervisor
    • Campus/COI Officer must analyze whether employee has a conflict and if so, should be removed or disqualified from related decisions
• Resources
  1. CSU Conflict of Interest Program(opens in new window)
  2. CSU Disclosure Categories (PDF) 
  3. Campus Designated Positions List(opens in new window)
  4. Frequently Asked Questions: Form Disclosure (PDF) (rev. 4/2019) 
     • Provides a list of frequently asked questions that are often asked to FPPC by employees completing Form 700. Frequently asked questions regarding gift disclosure are also included.
  5. 2019-2020 Form 700 Statement of Economic Interests Reference Pamphlet  (PDF)
     • Provides information to assist employees in designated positions on how to complete their Form 700.
  6. Limitations and Restrictions on Gifts, Honoraria, Travel and Loans Fact Sheet (PDF) (rev. 4/2019)
     • This fact sheet summarizes the major provisions concerning gifts, honoraria, travel and loans. The aggregate limitation on gifts, which is indexed for inflation every two years, is $500 (2019-2020 limit) from a single source in a calendar year.
  7. Conflict of Interest Handbook (PDF)
     • This handbook prepared by the CSU Office of General Counsel profiles information on conflict statues.
  8. CSU Form 700 Demo and Tutorial
     
     (opens in new window)