Section 1.8
Date: July, 1977

NEPOTISM AND CONFLICT OF INTEREST

I.            APPLICABLE TO:

                All University employees.

II.           DEFINITION:

                To set forth University policy concerning nepotism and conflict of interest and to be sure that
                existence of these policies is understood.

III.          RESPONSIBILITY:

                1.    It is the responsibility of each employee to be aware of and to understand this policy.

                2.    It is the responsibility of the University to enforce this policy regarding nepotism and conflict
                      of interest.

IV.        POLICY:

                1.    No two persons of the same family may hold positions in which one of them is directly or
                      indirectly responsible for recommendations or decisions involving the other in such matters
                      as initial appointment, retention, promotion, tenure, salary, leave of absence, or any other job
                      related function of a supervisory nature.  Family relationships referred to in the this policy are defined
                      as parents, spouse, children and their spouses, siblings, and their spouses and their children.

             2.      Family relationship shall not be a bar to appointment, except that two persons of the same family may
                     not hold positions in which one of them is directly responsible for making recommendations regarding
                     promotion, tenure, or salary of the other.  Family is defined as spouse, children and their spouses, and
                     siblings and their spouses and children.

             3.      Students who are relatives (see definition of family relationship above) cannot be employed in the
                     same administrative unit where the employing relative has direct or indirect responsibility for
                     recommendations or decisions involving the student in such matters as initial employment,
                     retention, salary, and similar personnel matters.

1    Personnel Policy:    Employment of Relatives and Minors, October 1977

2    University Manual:    7.12.10 Family Relationships

3    University Policy:    Student Employment, August 1979

            4.       No member of the Board of Governors (formerly the Board of Trustees of State Colleges, then
                     the Board of Regents)  shall be employed in any position under the jurisdiction of the board. No
                     person related by consanguinity of affinity in the first degree to any member of the board shall be
                     employed in any capacity under the board's jurisdiction.

            5.      The following groups cannot enter into contracts with the University unless the contracts have been
                     awarded through an open and public process that includes prior public notices and subsequent
                     public disclosures of all proposals considered and contract awarded:

                    1.    Employees of the University of members of their families as defined in the University's
                          Personnel Policy.

                    2.    Business associates of employees.

                    3.    Business entities in which employees, employees' families, or business associates of employees,
                          have a ten percent or greater interest.

            6.     Contracts for professional services which are customarily awarded without competitive bidding will
                   continue to be exempt from competitive bidding if awarded through a process of public notice and with
                   disclosure of financial details in advance to the University Controller.

1 Rhode Island General Law 16-31-13.  Adverse interest of trustees prohibited.