Conflicts of interest may arise when FEMA makes a federal award. For example, a conflict of interest may occur in situations where a FEMA employee, officer, or agent; any members of the individual’s immediate family; or the individual’s partner has a close personal, business, or professional relationship with an applicant, subapplicant, recipient, subrecipient or employee.
The applicant/recipient and subapplicant/subrecipient must maintain written standards of conduct covering conflicts of interest and governing the performance of its employees engaged in the selection, award and administration of subawards and procurement contracts.[143] No employee, officer or agent may participate in the selection, award, or administration of a subaward or contract supported by a federal award if that person has a real or apparent conflict of interest.
The recipient must disclose to FEMA in writing any real or potential conflict of interest, as defined by the federal, state, local or tribal statutes or regulations or their own existing policies, that arise during the administration of the federal award. Recipients must disclose any real or potential conflicts to the federal approving official within 15 calendar days of learning of the conflict of interest. Similarly, subrecipients must disclose any real or potential conflict of interest to the recipient as required by the recipient’s conflict of interest policies or any applicable state, local or tribal statutes or regulations. This requirement starts when the application period opens, continues during the entire period of performance, and ends when the last audit is completed.