1. HOLIDAY ETHICS for Postal Employees December 2008 USPS Law Department Ethics & Federal Requirements Headquarters

2. Tips for the Holiday Season H The holiday season is traditionally a time when gifts are exchanged and employees attend parties and other events. It is important to remember, however, that the ethics rules contained in the Standards of Conduct, which are applicable to every postal employee, continue to apply throughout the holiday season. common H In order to ensure that employees do not unwittingly violate any ethics rules, a brief summary of the rules which apply to the most common holiday situations is set out below. particular H NOTE: If you are unsure about a particular situation, please contact your ethics advisor for advice.

3. Tips for the Holiday Season The most common holiday season issues fall within the following categories, and the rules applicable to each is discussed: I. Gifts -- Giving and Receiving i) Gifts From Outside Sources ii) Gifts From Friends and Family iii) Gifts Based on Outside Business or Employment Relationships Employment Relationships iv) Gifts Between Co-Workers II. Attending Parties III. Attending Events in Official Capacity IV. Fundraising

4. I. Gifts – Giving and Receiving What is a gift? > The term “gift” is broadly defined by the Standards of Conduct as ANYTHING OF MONETARY VALUE. > A gift does not necessarily come wrapped up in fancy paper and ribbon – meals, free attendance at parties and events, gift certificates, merchandise, event tickets, apparel, transportation and lodging – are all gifts. >As you would expect, cash and cash equivalents (such as gift certificates) are also gifts.

5. I. Gifts – Giving and Receiving i. Gifts from Outside Sources A postal employee may not accept gifts from a prohibited source or those given because of the employee’s official position. Note: exceptions may apply in certain situations…

6. I. Gifts – Giving and Receiving i. Gifts from Outside Sources WHAT OR WHO IS A PROHIBITED “OUTSIDE”) SOURCE? Persons or organizations:  doing business with USPS  seeking to do business with USPS  seeking official action by USPS  regulated by USPS  affected by employee’s duties

7. I. Gifts – Giving and Receiving i. Gifts from Outside Sources What is NOT included in the definition of the term “gift” pursuant to the ethics regulations? - Modest refreshments such as coffee, doughnuts, cookies, or soda (“snacks” rather than “meals”); - Items with little intrinsic value, such as, plaques, trophies and other items intended for presentation; - Items paid for AND presented to you by the Postal Service; - Items for which you paid market value. H H Items NOT defined as a “gift” may be accepted.

8. I. Gifts – Giving and Receiving i. Gifts from Outside Sources Exceptions You may accept a gift (from an outside source) pursuant to an exception if:  - the gift is based on a personal relationship – friend or family (almost always)  - the gift is valued at $20 or less (aggregate sum of gifts from that source, in a calendar year, cannot exceed $50)  - the gift is a perishable item (i.e. fruit basket, flowers, etc.) valued at more than $20 and it is impracticable to return it, BUT-- the gift must be shared with the other employees in your office.

9. I. Gifts – Giving and Receiving i. Gifts from Outside Sources REMINDER: POSTAL EMPLOYEES MAY NEVER ACCEPT CASH* FROM OUTSIDE SOURCES H * The term “cash” includes cash equivalents -- such as stock, money orders, checks, American Express gift cards, or anything else that may be exchanged for cash. H “Cash” does NOT include retail gift cards with a face value of $20 or less that are designed for use in a retail store and that cannot be converted directly to cash, and generally MAY be accepted.

10. I. Gifts – Giving and Receiving i. Gifts from Outside Sources Even if an exception allows you to accept an offered gift, WORDS of CAUTION: H You may never solicit or coerce the giving of a gift. H You are never obligated to accept a gift. In fact, if accepting a gift would create an appearance that the laws or the ethics regulations have been broken, then it would be smart to decline it. H A gracious “No, thank you - providing good service is my job!” is a fool-proof way to avoid having any gift-related ethics conflict

11. I. Gifts – Giving and Receiving ii. Gifts from Friends and Family however You may accept gifts from relatives and friends, regardless of value – however: even if Be careful about how you define “friend.” A person who is first and foremost a business associate, and whose primary dealings with you are on matters related to postal business, is considered a business associate under the gifts rules even if you consider that person to also be a friend. Ethics Tip: If you have to ask “why did this person give ME a gift?” – or wonder if you are expected to reciprocate – the gift was probably not based on a personal friendship.

12. I. Gifts – Giving and Receiving ii. Gifts from Friends and Family H Helpful hint: H If a person is a personal friend, you should be able to answer “yes” to the following questions:  Did the friendship pre-date your postal employment, or the person’s dealings with you at the Postal Service?  Do you and your family socialize away from work, in non-business settings, with this person and his/her family?  Are you exchanging gifts of comparable value?  Did the person pay for the gift with personal, rather than business, funds? If the gift was purchased with a company credit card, or was accompanied by a greeting card bearing the imprint of the person’s employer, it implies that the motivation behind the gift was not entirely personal.

13. I. Gifts – Giving and Receiving iii. Gifts Based on Outside Business or Employment Relationships enhanced  You may accept gifts given as a result of your spouse’s or your own outside (non- postal) business or employment activities, as long as the gifts were not offered or enhanced because of your postal position. [A gift is “enhanced” if it is significantly nicer than the gifts the business is offering to others.]

14. I. Gifts – Giving and Receiving iv. Gifts Between Co-Workers Subordinate/Superior Relationship :  You may NOT accept gifts from a subordinate or give a gift (or contribute to a gift) to a superior (with limited exceptions, to follow).  You may NOT accept gifts from someone who is paid less than you or give a gift to someone who is paid more than you (with limited exceptions, to follow).

15. I. Gifts – Giving and Receiving iv. Gifts Between Co-Workers More..... The rules about gift-giving between employees restrict what you may accept from subordinate employees, and from those who earn less than you do. These rules do not restrict gift-giving between peers (manager to manager, clerk to clerk, support staff to support staff, etc.), or restrict your ability to give gifts to those who report to you or earn less than you do. selectively H (A note of caution: maintain impartiality – DO NOT selectively give gifts to subordinate staff members in your chain of command)

16. I. Gifts – Giving and Receiving iv. Gifts Between Co-Workers EXCEPTIONS: An official superior may accept from a subordinate or group of subordinates a gift IF it is: H 1) a gift other than cash given on an occasional basis (i.e. Christmas, birthday, or return from vacation) with a market value of $10 or less (even if a group gift); 2) food and refreshments shared in the office with co- workers at all levels, provided that employee participation and contributions (monetary or other) are purely voluntary;

17. I. Gifts – Giving and Receiving iv. Gifts Between Co-Workers EXCEPTIONS (cont’d): 3) a customary hospitality gift (flowers, beverages, food items), costing in excess of $10 when she hosts a gathering at her residence; 4) a gift given for a special or infrequent occasion. The special, infrequent occasion exception permits gifts to superiors when the official superior-subordinate relationship terminates (i.e. – retirement) or the occasion occurs infrequently and is of personal significance (i.e. – birth of a child, marriage, illness. NOTE: the exception does NOT apply to birthdays, anniversaries, or other yearly occurring events and must be appropriate for the occasion)

18. II. Attending Parties Quick Reference Guide for Party-Going Postal Employees  1. Office Parties:  Employees and supervisors may share food and refreshments in the office. If the office party is held at a restaurant, or the office party will be catered, the amount to be contributed by each employee who wishes to participate can be specified based upon a per-person cost. Participation in and monetary donations for the party must be strictly voluntary.

19. II.Attending Parties Quick Reference Guide Quick Reference Guide (cont’d) Parties at Someone’s Home  2. Parties at Someone’s Home: Hospitality extended to employees at the personal residence of a co-worker, supervisor, or subordinate is permissible. A superior may accept customary “host/hostess” gifts from his subordinates when he is hosting (no $10 limit, but appropriate to the occasion). Spouse’s Office Party  3. Spouse’s Office Party: It is always okay to attend your spouse’s holiday office party in your personal capacity.

20. III. Attending Events in Official Capacity  This time of year postal employees often receive invitations from vendors, associations, business partners, and others to attend -- in their official postal capacity -- parties, receptions, or similar events, at no charge.  How should these invitations be handled.....

21. II. Attending Events in Official Capacity You may attend such an event, IF: (1) it is widely-attended, meaning a large number of guests (generally, 100 or more) are expected, from a variety of businesses, agencies, and organizations; AND (2) your attendance will advance the Postal Service’s business interests, AND (3) you seek and obtain a determination from a postal ethics official that the Postal Service’s interest in your attendance outweighs any concern that acceptance of the “gift” of free attendance could appear to influence you in the performance of your duties. This is often referred to as the “Widely Attended Gathering” or “WAG” exception to the gift prohibition rule.

22. III. Attending Events in Official Capacity WAG Determination Before you can rely on the WAG exception, you must: written > get a written “determination of agency interest” > before the event > from an ethics official Note Note: If many postal employees were invited, a “blanket” determination may already have been issued to permit all invited postal employees to attend.  Another (Important) Note  Another (Important) Note: If the market value of the “gift” of free attendance that you have accepted is more than $335, you will need to report it on your next financial disclosure report.

23. IV. Fundraising During the holiday season you may be asked outside the office to give to or participate in various fundraising projects. You may contribute or participate in your personal capacity, but postal employees rarely may participate in fundraising in an “official” capacity. u ALL fundraising must be done outside the office, and employees may not use their titles, positions, or authority to further fundraising efforts. u You may not conduct fundraising (except CFC) in the workplace, or solicit monetary contributions from subordinates or prohibited sources.

24. IV.Fundraising More on Fundraising: The only means through which postal employees may be solicited for monetary donations in the workplace is the Combined Federal Campaign (CFC). Workplace collections from employees in employee- only areas of non-monetary donations, such as food, clothing and toys, is permissible if approved by an Area Vice President under the Community Service and Activities Policy. Collections from customers in POSTAL LOBBIES or on other Postal property is not permitted. For more information, contact your Field Law Office.

25. H JUST TO BE SURE YOU REMEMBER H A REMINDER: POSTAL EMPLOYEES MAY NEVER ACCEPT CASH or CASH EQUIVALENTS* FROM OUTSIDE SOURCES!! * Cash equivalents include stock, money orders, checks, American Express gift cards and anything that may be exchanged for cash.

26. For further information... about gifts and other ethics topics, please contact a headquarters ethics advisor, or your Field Law Office (contact information is on the Postal Blue intranet site: click on “General Counsel,” then “Ethics Advisors”). Ethics Helpline: (202) 268-6346 Postal email address: “Ethics Help” Internet address: ethics.help@usps.gov ethics.help@usps.gov Best Wishes for a Safe, Happy & Healthy Holiday Season From All of Us in the HQ Ethics Office