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Hiring Employees or Their Near Relatives:
UCSC Employee-Vendor Conflict of Interest Policy

Summary: Learn about California law and UC policies governing transactions where goods or services are purchased from UCSC employees or their near relatives.

Purchasing goods or services from UC employees generally prohibited under California law. (See Public Contracts: Conflict of Interest Overview (SB 1467).) The law does provide an exception for employees with teaching or research responsibilities under the following circumstances.

• A department may purchase goods or services from UC employees with teaching or research responsibilities only if the goods or services cannot be obtained within the university or from an independent commercial source.
• No purchase of goods or services may be made from a UC employee with teaching or research responsibilities before review and approval of the transaction by the Business Contracts Manager.
• Requesting units must complete the Employee-Vendor Disclosure Form and submit it to the Business Contracts Office before making any commitment to purchase goods or services from a UC employee. (Employee-Vendor Disclosure Forms submitted after the goods or services have been received by the University will require the grant of an exception by the campus Conflict of Interest Coordinator.)

Potential employee-vendor relationships resulting from the purchase of goods or services from the near relatives of UC employees must be disclosed in advance. An analysis of the relationship may result in approval if, and only if, the UC employee has not influenced, participated or is involved in any way in the University's decision to purchase from an employee's near relative.

• No purchase of goods or services may be made from the near-relative of a UC employee before review and approval of the transaction by the Business Contracts Manager.
• Requesting units must complete the Employee-Vendor Disclosure Form and submit it to the Business Contracts Office before making any commitment to purchase goods or services from a UC employee. (Employee-Vendor Disclosure Forms submitted after the goods or services have been received by the University will require the grant of an exception by the campus Conflict of Interest Coordinator.)

Near Relative: Spouse, domestic partner, child, parent, sibling, including step-relatives and in-laws in the same relationship to a UC employee.

Last revised: June 25, 2008 (am)