February 15, 1995
                                   DO-95-008

MEMORANDUM

TO:       Designated Agency Ethics Officials

FROM:     Stephen D. Potts
          Director

SUBJECT:  Agency Supplementation of New Standards and
          Revocation of Superseded Old Standards

     The Office of Government Ethics (OGE) wants to update
departments and agencies on supplemental standards regulations. 
OGE also is requesting the cooperation of agencies in completing
the process of revocation of superseded portions of their old
standards of conduct.

     As everyone knows, OGE published the Standards of Ethical
Conduct for Employees of the Executive Branch (Standards) on
August 7, 1992.  See 57 Federal Register (FR) 35006-35067, as
corrected at 57 FR 48557 & 52583.  The new Standards, as codified
at 5 C.F.R. part 2635, took effect on February 3, 1993, except for
a grace period for existing agency regulatory standards concerning
prohibited financial interests and prior approval for outside
employment and activities (see the notes following §§ 2635.403(a)
and 2635.803).  As to such provisions, OGE last year extended the
original one-year grace period for up to an additional year to
February 3, 1995 (see 59 FR 4779-4780).  OGE has again extended
that grace period until no later than January 3, 1996 for
42 agencies that are currently working with OGE on supplemental
standards.  See 60 FR 6390-6391 (February 2, 1995), copy attached. 
OGE notes that it is not, by this rulemaking action, setting next
January as a deadline for submission of agency supplementals. 
Agencies can continue to submit supplemental standards for OGE
review, concurrence and co-signature at any time as the need
arises.

     Over the past several years, including at the annual ethics
conferences and via DAEOgrams, OGE has emphasized the impact of the
new Standards and the need for agencies to supplement them, if
necessary, as well as to revoke old superseded provisions while
retaining/renumbering as appropriate any surviving provisions.  See
the OGE DAEOgrams of August 12, 1991, November 22, 1993 (DO-93-033)
and February 8, 1994 (DO-94-008).  Examples of surviving agency
provisions are old regulatory section 208 waivers (until OGE issues
a regulation in that area), and provisions issued under independent
authority, such as those implementing a separate agency gift
acceptance statute or provisions on the use of Government vehicles
that may have been included in some previous agency standards.  See
5 C.F.R. § 2635.105(c)(3).

     Some 60 agencies have secured new chapters in title 5 of the
Code of Federal Regulations for supplemental ethics rules through
OGE contacting the Office of the Federal Register.  A listing is
attached of 5 C.F.R. chapter assignments for this purpose, along
with indications of those agencies that have already published
supplemental standards with OGE concurrence and co-signature. 
Moreover, as noted above, OGE is currently working with many of the
other agencies listed on their draft supplementals.

     The time has come for completion of the process of revocation
of superseded old agency standards, which is separate from the
agency supplementation process.  OGE will continue to consult and
work with the agencies to keep the revocation process moving along
as expeditiously as possible.  OGE's August 12, 1991 DAEOgram, a
copy of which is attached for ease of reference, is helpful in this
regard since it has appended a sample old agency standards document
with marginal notes indicating portions which should be revoked and
portions to be retained (the agency concerned has since, in fact,
revised its old provisions, including adding cross-references to
both the new Standards and OGE's separately revised financial
disclosure regulation at 5 C.F.R. part 2634).  In order for OGE to
complete its records, we ask that all agencies that have already
revoked their prior standards of conduct in whole or in part advise
us in writing (by letter, memorandum or FAX) and append a copy of
the relevant Federal Register rulemaking document (unless the
revocation was combined in the same document with a supplemental
standards rulemaking with OGE concurrence and co-signature). 
Agencies revoking old standards in the future likewise should
advise OGE in writing and provide copies of their rulemakings.
 
(TEBBS NOTE: The attachments are not reflected here because they are 
not in a text format)