(d) "Mission Area" means those components of the Department that report to an individual
Under Secretary of Agriculture or to an individual Assistant Secretary of Agriculture.

735-102 Redelegation.

Unless otherwise stated, any authority delegated in this Issuance may be redelegated to a level of
management that has the experience and/or training to administer the delegation.

735-103 Informing employees.

(a) Within 90 days of publication of this Issuance or subsequent changes to it, Agencies
will issue each employee a copy.

(b ) Each new employee shall be furnished, at the time of hiring, a copy of this Issuance.

(c) With his/her copy of this issuance, each employee will receive notification where to
direct any questions about the issuance.

735-104 Mission Area supplementation.

With prior approval of the office of the Designated Agency Ethics Official, Mission Areas may supplement this
Issuance as to substance and procedure. Mission Area supplemental regulations may be more restrictive.
Mission Areas shall furnish employees copies of regulations that supplement this Issuance on the same basis
employees are furnished copies of this Issuance as required in Section 735-103 (a), (b), and (c).

Subpart B -Conduct and Responsibilities of Employees

735-201 Prohibited conduct -general.

Employees are prohibited from:

(a) Engaging in criminal, infamous, dishonest, immoral, or disgraceful conduct, or other conduct
prejudicial to the Government;

(b) Conducting, or participating in, any gambling activity including the operation of a gambling device,
conducting a lottery or pool, a game for money or property, or selling or purchasing a numbers slip or
ticket while on Government-owned or leased property or while on duty for the Government. This does
not preclude activities:

(1) Necessitated by an employee's law enforcement duties; or

        (2) Under section 7 of Executive Order 12353, pemmitting solicitations
        conducted by organizations composed of employees among their own
        members for organizational support or for the benefit ofwelfare funds for
        their members.

(c) Engaging in teaching, lecturing, or writing, with or without compensation, for the purpose of the preparation
of a person or class ofpersons for an examination of the Office of Personnel Management or Board of Examiners
for the Foreign Service that depends on information obtained as a result of the employee's Government employment.
This does not preclude such teaching, lecturing, or writing if:

(1) Prior written authorization is obtained from a Mission Area ethics official;

        (2) Such teaching, lecturing, or writing is not performed at or for any educational
        institution or other organization that discriminates because of race, creed, color,
        sex, religion, age, national origin, or physical or mental disability, in the
        admission or subsequent treatment of students;

(3) The information upon which the preparation is based has been made
available to the general public or will be made available on request; and

        (4) Such preparation is authorized in writing by the Director of the Office of
        Personnel Management or his or her designees, or by the Director General of the
        Foreign Service or his or her designees, as applicable.

(d) Using an intoxicating beverage on Government-owned or leased property (except when authorized
by the Office of Operations for the Washington, D.C., complex; or by the Agency Head or designee in
field locations owned by the Department; or by the Agency Head or designee in field locations leased
by the Department or controlled by the General Services Administration [GSA], upon concurrence
by the lessor or the appropriate GSA official); or transporting or using an intoxicating beverage in a
Government-owned or leased vehicle;

(e) Harassing employees by word or action, or knowingly making false accusations against employees;

(f) Monitoring telephone conversations, recording telephone conversations by device, or authorizing or permitting
others under their administrative control to monitor telephone conversations or record telephone conversations by
device, except:

(1) As authorized by the Inspector General or his/her designee, with the prior consent
of one party to a telephone conversation and when necessary in a criminal investigation;

(2) When all parties agree in advance; or

(3) When supervisors monitor or record telephone-bank or similar operations for the
purpose of evaluating performance of employees.

(g) Utilizing any device to monitor or record nontelephone conversations, except:

(1) As authorized by the Inspector General or his/her designee with the prior consent
of one party to a nontelephone conversation and when necessary in a criminal investigation; or

(2) When all parties agree in advance.

(h) Canvassing for sales, or selling, any article (including but not limited to candy or other items for schools
or charities; kitchenware or other home furnishings; paper products; cosmetic products; or any other items
whatsoever) in person or by distributing or posting literature, advertising matter, or any other graphic matter,
in or on Government-owned or leased property , or property occupied by the Department;

(i) Engaging in coercive or repeated unsolicited and unwelcome verbal comments, gestures, or physical contacts
of a sexual nature or by using implicit or explicit coercive sexual behavior in the process of conducting agency
business, or to control, influence, or affect the career, salary, or job of an employee;

(j) Failing to take appropriate action on complaints or proven acts of sexual harassment, if a supervisor or manager
who knew or should have known of those acts;

(k) Displaying discourtesy or disrespect to a coworker, another Federal employee, or a member of the public
when acting in an official capacity;

(1) Failing to wear or use specified safety equipment, or failing to report obvious unsafe conditions, while on official
duty; or

(m) Making threats against other employees or members of the public.

735-202 Foreign gifts.

Pursuant to the Foreign Gifts and Decorations Act, the acceptance by an employee of a gift, present, decoration, or other
thing from a foreign government or agent thereof (including an international organization whose membership includes a unit
of foreign government or any agent of a foreign government) is subject to the following conditions:

(a) An employee may not request or otherwise encourage the tender of a decoration or gift (including
travel and travel expenses);

(b) An employee may accept and retain a gift that is tendered and received as a souvenir or a mark of
courtesy if the gift has a retail value in the Uriited States, at the time of acceptance, less than an amount
established by the U.S. Department of State;

(1) when such gift is in the nature of an educational scholarship or medical treatment; or

(2) when it appears that to refuse the gift would likely cause offense or embarrassment,
or would otherwise adversely affect the foreign relations of the Uriited States; or

        (3) when in the form of travel or expenses for travel entirely outside the Uriited States,
        provided the employee obtains prior approval for the acceptance of the travel or expenses
        for travel from the head of the employing Agency or his or her designee; or

(4) when the employee pays the appraised value of the gift plus the cost of appraisal in
accordance with the regulation at 41 CFR Part 101-49;

(d) The acceptance of a tangible gift of more than the amount determined by the U.S. Department of State ($225)
is deemed to have been accepted on behalf of the Uriited States, becomes the property of the Uriited States, and
must be deposited by the employee within 60 calendar days with his or her employing Agency's property management officer with a statement showing:

(1) Name and position of the employee accepting the gift

(2) Brief description of the gift and the circumstances justifying acceptance;

(3) Identity, ifknown, of the foreign government and name and position of the individual
who presented the gift;

(4) Date of acceptance of the gift;

(5) Estimated value in the Uriited States of the gift at time of acceptance; and

(6) Disposition and current location of the gift.

(e) If the employee accepted a gift for travel or travel expenses, the employee must file a statement with his or her employing Agency Head within 30 calendar days after acceptance stating:

(1) Name and position of the employee accepting the gift;

(2) Brief description of the gift and the circumstances justifying acceptance; and

(3) Identity, if known, of the foreign government and name and position of the individual
who presented the gift;

(f) An employee may accept, retain, and wear a foreign decoration if tendered in recognition of active field service or unusually meritorious service and if supported by a statement from the donor, preferably in the form of a citation, which shows the basis for tender of the award. A request from the head of the employing Agency for approval of the acceptance of the decoration will be forwarded to the Administrator of the Foreign Agricultural Service (F AS) or his or her designee for concurrence or disapproval. The request from the employing Agency must contain a recommendation as to
whether or not the acceptance, retention, and wearing of the foreign decoration by the employee would be in the best
interest of the United States. The Administrator of the F AS shall notify the employing Agency ofhis or her concurrence or disapproval of the retention of the foreign decoration. Disapproval by the FAS shall constitute acceptance on behalf of the United States, and the decoration shall be deposited by the employee with the Agency's Property Management Officer within 60 calendar days of the acceptance. The Property Management Officer shall report the decoration, as required by the Agriculture Property Management Regulations;

(g) Violation of the provisions of the Foreign Gifts and Decorations Act, including the failure by an employee to
report such a gift, may result in a civil penalty against the employee for the retail value of the gift plus $5,000; and

(h) The definition of "employee" for purposes of the Foreign Gifts and Decorations Act includes all employees of the Department, experts or consultants under contract with the United States, spouses of all such individuals, and blood and
in-law relations who are residents of the employee's household.

735-203 Attendance and leave.

(a) Employees must observe designated duty hours and be punctual in reporting for work and returning from lunch periods. Tardiness can result in employees being placed in a nonpay status for unauthorized absence (Absence Without Leave [A WOL] and being subject to discipline or adverse action.

(b ) Employees nonnally must obtain advance authorization for absence from duty .Approval of leave is a discretionary matter reserved to the supervisor. The taking of leave is not a right afforded to an employee, but is conditioned on the needs of Department service. Where absence from duty results from illness or an emergency, employees are required to notify their supervisor or other appropriate person as soon as possible. When an employee fails to notify properly his or her supervisor, an absence may be charged as unauthorized absence (Absence Without Leave [A WOL]. An employee charged with A WOL may be subject to disciplinary or adverse action.

(c) Sick leave is administered in accordance with 5 CFR Part 630, Subpart D (including the Federal Employees Family Friendly Leave Act, Public Law 103-388, dated October 22, 1994), and covers a situation in which an employee:

(1) Receives medical, dental, or optical examination or treatment;

(2) Is incapacitated for the perfonnance of duties by physical or mental illness, injury, pregnancy,
or childbirth;

(3) Provides care for a family member as a result of physical or mental illness; injury; pregnancy; childbirth;
or medical, dental, or optical examination or treatment;

(4) Makes arrangements necessitated by the death of a family member or attends the funeral of a family member;
or

(5) Would, as detennined by the health authorities having jurisdiction or by a health care provider, jeopardize
the health of others by his or her presence on the job because of exposure to a communicable disease.

(6) Family member includes the following relatives of the employee:

(i) Spouse, and parents thereof;

(ii) Children, including adopted children and spouses thereof;

(iii) Parents;

(iv) Brothers and sisters, and spouses thereof; and

(v) Any individual related by blood or affinity whose close association with
the employee is the equivalent of a family relationship.

735-204 Sale of personal property.

(a) Personal property offered for sale by the Department may be purchased by employees only when the sale of such
property is based upon competitive bids.

(b ) Except as provided in paragraph ( c) of this section, no purchase of personal property offered for sale by the
Department may be made by an employee who:

(1) was formerly accountable for the property;

(2) formerly used the property; or

(3) was in any way connected with its condemnation, declaration as excess, or sale.

(1) Surplus perishable products may be sold to employees at the best price obtainable in quantities not
exceeding the needs of their immediate households; and

        (2) Special clothing and other articles or personal equipment purchased for the exclusive use of and fitted to
        an individual employee may, when not otherwise usable by the Department and in all respects surplus to the
        needs of the Government, be sold to such employees at the best price obtainable in the event ofhis or her
        separation from the Department or permanent assignment to duties not requiring such clothing or equipment.

735-205 Use of government vehicles.

(a) An employee shall not, unless he or she has been specifically authorized by the Agency: store Government owned or
leased motor vehicles at or near his or her private residence or at other unauthorized locations, including, but not limited to, homes of relatives or friends.

(b) Employees are required to wear seat belts whenever riding -as operator or as passenger -in a truck, automobile, or
other passenger vehicle in the performance of official duties or while on official time.

(c) Unless authorized to do so in the performance of official duties, employees are prohibited from using Government
owned or leased vehicles to transport firearms or explosives.

735-206 Activities with regard to farm organizations.

(a) Department employees shall refrain from participating actively in meetings and in other activities concerned with the establishment of general or specialized farm organizations, or with recruiting members for existing organizations such as
the National Grange, the American Farm Bureau Federation, the National Farmers Organization, the Farmers Union, the National Association of Conservation Districts, the National Rural Electric Cooperative Association, the National Council
of Farmer Cooperatives, and Breed and Commodity Organizations. Department policy is to deal fairly and on the same
basis with all such organizations. As a continuation of that policy, Department employees shall not, with respect to any
general or specialized farm organization:

(1) Hold any functional office, including financial or business agent, in the organization;

(2) Advocate that the organization is better adapted for carrying out the work of this Department than
any individual citizen, group of citizens, or organizations;

(3) Advocate that the responsibilities of any Agency of the Department or any other Federal agency should
be carried out through the organization; or

(4) Advocate or recommend that any State or local agency should carry out its responsibilities through the organization.

(b) The restrictions set forth in paragraph (a) of this section do not:

(1) Apply to members of County Committees of the Department;

(2) Apply to organizations such as cow testing associations and similar groups; or

        (3) Prohibit employees from participating in the organization of groups that are needed in carrying out
        Federally authorized programs, for example, a National Rural Electric Cooperative Association or similar
        group determined by the appropriate agency head to be essential in effectuating Federally authorized programs.

735-207 Prohibitions on employees serving abroad.

An employee on foreign assignment may not:

(a) Violate Department of State regulations governing the post to which he or she is assigned;

(b) Receive a "profit" from the sale ofhis or her personal car or other property when such "profit" accrues from import
privileges granted him or her by reason ofhis or her official status. "Profit" for the purposes of this paragraph is as
defined in the Department of State regulations or directives governing the post of assignment;

(d) Violate the laws of the country in which he or she is assigned;

(e) Have an interest in any business enterprise or engage in any profession in any country to which assigned; or

(f) Speculate in real estate, bonds, stocks or shares (or the equivalent), or currencies of a country to which the
employee is assigned or a country for which the employee is responsible.

735-208 Miscellaneous provisions.

(a) Any money, property, or other thing ofvalue received by or coming into custody of an employee in connection with the discharge ofhis or her duties must be accounted for, deposited, or otherwise disposed ofin accordance with established procedures.

(b) Employees are required under Section 5.3 ofCivil Service Rule V (5 CFR 5.3) to give the Office ofPersonnel
Management (OPM) and its authorized representatives all information and testimony in regard to matters arising under
laws, rules, and regulations administered by OPM;

(c) Employees are obligated to give information they possess to authorized representatives of the Department or Mission
Area or Agency when called upon, if the inquiry relates to official matters and the information is obtained in the course of employment or as a result of relationships incident to such employment. This shall include the furnishing of a signed, swom/affirmed statement. Failure to respond to requests for information or to appear as a witness in an official proceeding may result in consideration of disciplinary action. (Nothing herein shall be deemed to infringe upon an employee's right to invoke the protection of the Fifth Amendment to the Constitution with respect to self-incrimination in a criminal investigation.)

(d) Mission Area and Agency officials have the authority to transfer, detail, and reassign employees whenever necessary
to meet operational needs. Employees have an obligation to accept transfers, details and changes in assignment. Failure to accept a transfer, detail, or reassignment may result in the separation of the employee.

(e) Employees shall not purchase products or receive services directly or indirectly from persons, firms, or establishments for which employees conduct inspection, grading, or similar regulatory activities without express approval. Each Agency shall establish the approval level and shall advise each employee. Agencies shall utilize the following criteria in granting such approvals:

(1) Proximity of the employee to other retail outlets;

(2) The number of retail outlets in the commuting area;

(3) Whether the outlet is a sole source;

(4) Whether the finn is selling the item or service at the prevailing price to the general public as well
as the employee; and

(5) Whether the outlet is open to the general public.

735-209 Computers.

Unless employees have specific authorization, they are prohibited from accessing any Department or Federal Government electronic, laser, or magnetic system of storing information, or computer software, not expressly identified for public or
general access. This prohibition includes, but is not limited to, computers of all types, floppy diskettes, compact or laser
disks, and magnetic tapes. Employees are subject to discipline or adverse action regardless ofwhether they use, damage,
or make alterations to, the stored information.

735-210 Retaliation and reprisal.

No employee may retaliate against another, by word or action: for filing complaints about safety problems; for filing
grievances under either the negotiated or administrative grievance systems; for filing complaints of discrimination; for
assisting the investigators of the Department, Mission Areas, or Agencies; or for engaging in any other protected activity .

735-211 Reporting misconduct.

Each employee of the Department is required to report actions by other employees that he or she knows, or has a
reasonable basis to believe, are violations of law or regulation. A report must be made to any appropriate office or
official. Violations include, but are not limited to:

(a) Fraud, waste, and abuse of Government resources;

(b) Criminal activity of any kind;

(d) Sexual harassment; and

(e) Prohibited personnel practices.

735-212 Miscellaneous statutory provisions.

(a) The attention of each employee is directed to the following statutory provisions:

        (1) The prohibition against any inspector, deputy inspector, chief inspector, or other officer or
        employee of the Department authorized to perform any of the duties prescribed by Title 21 United States
        Code, Chapter 12 ("Meat Inspection"), Subchapter I ("Inspection Requirements; Adulteration and
        Misbranding"), accepting any money, gift, or other thing of value from any person, finn, or corporation, or
        officers, agents, or employees thereof, given with intent to influence his official action, or receiving or accepting
        from any person, firm, or corporation engaged in commerce any gift, money, or other thing ofvalue, given with
        any purpose or intent whatsoever (violations are felonies to be punished, upon conviction, by summary discharge
        from office, by fine of not less than $ 1, 000 nor more than $ 10, 000, and by imprisonment for not less than one
        year nor more than three years) (12 U.S.C. 622). In accordance with a memorandum of understanding between
        the Secretary of Agriculture and the Attorney General, the following circumstances either have no prosecutive merit
        and are not required to be reported to the Department of Justice or do not constitute acceptance of a thing of value:

            (i) An exchange of social gifts in an obvious family or personal relationship (such as those
            between the employee and parents, spouse, children or close personal friends of the
            employee) when the circumstances make it clear that it is those relationships rather than the
            business of the other party which are the motivating factors;

            (ii) Acceptance of loans from banks or other financial institutions on customary terms to
            finance proper and usual activities of employees, such as automobile and home mortgage
            loans;

            (iii) Acceptance of unsolicited advertising or promotional material of clearly trivial value,
            such as: pens, pencils, note pads, calendars, and other things of nominal value (acceptance of
            gifts, such as meat products, alcoholic beverages, fruit baskets, boxes of candy, wallets, jewelry,
            and cufflinks is, however, strictly prohibited);

(iv) Exchange of customary social courtesies which are wholly free of any embarrassing or
improper implications, and which are of trivial value ( e.g., a soft drink or cup of coffee); and

            (v) Acceptance of food and refreshments of nominal value on infrequent occasions when the
            interest of the Government is served by participation of Department employees in
            industry-sponsored activities at which a luncheon or dinner may be served, and where the
            discussion of matters of mutual interest to the Government and industry will take place.

(2) The prohibition against a person licensed or authorized to perform any official function under the U.S. Grain Standards Act, or employed by the Department to carry out the provisions of the Grain Standards Act, being financially or otherwise interested in an entity owning or operating a grain elevator or warehouse or engaging in the merchandising of grain, or being employed by or accepting gratuities from any such entity (7 U.S.C. 87(a)).

(3) The prohibition against the unauthorized release of information, as specified in the Packers and Stockyards Act
(7 U.S.C. 222).

(4) The prohibition against the release of information in an employee's possession concerning cotton standards,
estimates, tests, and analysis unless authorized by the Secretary (7 U.S.C. 472).

(5) The prohibitions against the release of information acquired from parties to any marketing agreement and from
handlers subject to marketing agreement orders, except as authorized by the Secretary for the purposes of suit or
administrative hearings (7 U.S.C. 608d(2)).

(6) The prohibition against persons administering activities concerned with cotton option contracts and commodity
benefits as provided by the Agricultural Adjustment Act, speculating in agricultural commodities or products to which
such contracts or benefits apply, or in contracts relating thereto, or in the stock or membership interests of any
association or corporation handling such commodities or products (7 U.S.C. 610(g)).

(7) Limitations on the use or availability of information furnished in connection with marketing agreements and
orders (7 U.S.C. 610(i)).

(8) Restrictions on the availability of information furnished in connection with marketing agreements and orders, and

applicable to marketing agreements for anti-hog-cholera serum and hog-cholera virus (7 U.S.C. 855).

(9) Restrictions on the use and publication of information furnished in connection with the collection of peanut
statistics (7 U.S.C. 955).

(10) Restrictions on the disclosure ofinfonnation furnished in connection with tile establishment and adjustment of fann marketing quotas except as authorized by the Secretary for the purpose of suit or administrative hearing (7 U.S.C.
1373(c).

(11) The prohibition against an officer or employee being the beneficiary of or receiving any fee, commission, or gift for or in connection with any transaction or business under the Consolidated Fann and Rural Development Act other than
such salary, fee, or compensation as he or she may receive as an officer or employee. In addition, members of a County
Committee are prohibited from making any certification with respect to a loan to purchase any land in which they or any person related to them have any financial interest (7 U.S.C. 1986).

(12) The prohibition against unauthorized release of information relating to the production and marketing of cotton
(7 U.S.C. 2105(c).

(13) The prohibition against unauthorized release of infonnation relating to plant variety protection (7 U.S.C. 2426).

(14) The prohibition against unauthorized release of infonnation relating to the production and marketing of eggs
(7 U.S.C. 2706(c).

(15) The prohibition against the unauthorized prediction as to cotton prices in a Governmental publication (12 U.S.C.
1141j(d).

(16) The prohibition against the making of false statements in connection with activities of the Commodity Credit
Corporation or embezzlement or conversion of anything of value belonging or pledged to the Corporation, or conspiring
to commit such acts (15 U.S.C. 714m).

(17) The prohibition against the acceptance of any fee, gift, """ or other consideration for compromise, adjustment, or
cancellation offann indebtedness (18 U.S.C. 217).

(18) The prohibition against embezzlement of the money or property of the Federal Crop Insurance Corporation, the
Rural Development Administration, or the Farmers Home Administration, and of pledged or intrusted property (18
U.S.C. 657).

(19) The prohibition against the conversion ofproperty mortgaged or pledged to the Fanners Home Administration,
the Rural Development Administration, or the Federal Crop Insurance Corporation with intent to defraud
(18 U.S.C. 658).

(20) The prohibition against making, with intent to defraud, false entries or in participating in any benefit through any
transaction in connection with Departmental activities concerned with agricultural loans (18 U.S.C. 1006).

(21) The prohibition against making false statements or reports, or of willfully overvaluing land, property , or security
to influence action in connection with agricultural loans ( 18 U.S.C. 1014).

(22) The prohibition against willful disclosure of official information which might influence or affect the market value of
crops prior to authorized publication. An employee acquiring, by reason ofhis or her employment, information
as to the market value of agricultural crops, which information is required to be withheld, is prohibited from speculating
in such product (18 U.S.C. 1902).

(23) The prohibition against speculating in agricultural commodities to which the Federal Crop Insurance Act applies or
in contracts relating to those commodities, or in the stock or membership interests of corporations or associations
handling those commodities, by any person administering the Act (18 U.S.C. 1903).

(24) The prohibition against the compilation or issuance of false crop reports (18 U.S.C. 2072).

(25) The prohibition against any person using information to his or her own advantage or improperly revealing information concerning trade secrets acquired under the Poultry

Inspection Act (21 U,S.C. 458).

(26) The prohibition against the use of information obtained in the course of employment to speculate or to aid another in speculating on any commodity exchange (50 U.S.C. App. 2160(!).

(27) The prohibition against the knowing possession or the causing to be present of firearms or other dangerous weapons in
a Federal facility (a building or part thereof owned or leased by the Federal Government, where Federal employees
are regularly present for the purpose of performing their official duties) and a Federal court facility (18 U.S.C. 930).

(28) The prohibition against willfully using or authorizing the use of a passenger motor vehicle or aircraft owned or leased
by the United States Government for other than an official purpose, with mandatory penalty of suspension for at least one month, and when circumstances warrant, for a longer period or summary removal from office (31 U.S.C. 1349(b).

(29) The prohibition against any employee who has authority to take, direct others to take, recommend, or approve any
personnel action:

(i) Discriminating on the basis of race, color, religion, sex, age, national origin, handicapping
condition, marital status, or political affiliation;

(ii) Soliciting or considering employment recommendations based on factors other than
personal knowledge or records of job-related abilities or characteristics;

(iii) Coercing the political activity of any person;

(iv) Deceiving or willfully obstructing any person from competing for employment;

(v) Influencing any person to withdraw from job competition for the purpose of improving or
injuring the prospects of any other person for employment;

(vi) Granting any preference or advantage not authorized by law, rule, or regulation to improve
or injure the prospects of any particular person for employment;

(vii) Engaging in nepotism (hiring, promoting, or advancing relatives);

(viii) Taking reprisal for whistleblowing;

(ix) Taking reprisal for the exercise of an appeal right;

(x) Discriminating based on personal conduct which is not adverse to the performance of the
employee, applicant or others; or

(xi) Violating any law, rule or regulation implementing or directly concerning merit
system principles (5 U.S.C. 2302{b).

{b ) Other statutes applicable to employees are listed by the Office of Government Ethics in the "Standards of Ethical Conduct for Employees of the Executive Branch" at 5 CFR 2635.902.