| CONFLICT OF INTEREST
1. Definition
o Persons concerned. This statement is directed to organization officers and key employees who can influence the actions of management.
o Areas in which conflict may arise. Conflicts of interest may arise in the relations of the management with any of the following third parties, including persons and firms supply goods, services, and leases to the Project.
o Nature of conflicting interest. A conflicting interest may be defined as an interest, direct or indirect, with any persons or firms mentioned above.
2. Mitigation Plan
o Disclosure. The key to dealing with conflict of interest is disclosure. M&A provides full disclosure of all potential conflict of interest from its management, and requires the same disclosure from its partners, employees and subcontractors. However, it is the policy of the board that the existence of any of the interests described in Section One (2) shall be disclosed before any transaction is consummated.
o Monitoring. It shall be the continuing responsibility of the M&A management to scrutinize their transactions and outside business interests and relationships for potential conflicts and to immediately make such disclosures.
o Notification: IHIT will notify the Agency Ordering Contracting Officer immediately when Task Orders (TO) require activities that may create an actual or potential conflict of interest. To avoid these conflicts, M&A will identify, recommend, and document alternative approaches to the.
o Continuance: Upon delivery of the Conflict of Interest notification, Government determination of conflict, and a formal receipt of Government’s election to proceed, M&A will submit a waiver in accordance with FAR9.503.
o Training. All M&A personnel will actively participate in it Conflict of Interest Avoidance Plan & Compliance Program. This Program will provide methods to identify evaluate and mitigate all actual, apparent, and potential conflicts of interest that would preclude, or appear to preclude.
3. Existing Conflicts of Interest
o Transactions with parties with whom a conflicting interest exists may be undertaken only if all of the following are observed:
o The conflicting interest is fully disclosed;
o The person with the conflict of interest is excluded from the discussion and approval of such transaction;
o A competitive bid or comparable valuation exists;
o The [board or a duly constituted committee thereof] has determined that the transaction is in the best interest of the Project; and
o A documented acceptance of a Conflict of Interest waiver by the Government OCO as it cited in FAR 9.503.
4. JV Member Conflicts of Interest
When M&A participates in JV's the following or similar languages is incorporated in the JV agreement: “Each Member warrants that, to the best of its knowledge and belief, there are no relevant facts or circumstances which could give rise to an organizational conflict of interest (OCI) as defined in FAR Subpart 9.5. Each Member agrees that if an actual or potential OCI is discovered before or after the award of the Contract the Member shall make a full disclosure in writing to the Program Manager within three (3) business days after discovery. The disclosure shall include description of actions, which Member has taken or proposes to take, to avoid, mitigate, or neutralize the actual or potential conflict.”
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