Reporting gifts is one of the most challenging sections of the Statement of Economic Interests. The South Carolina Ethics Act broadly defines the term “gifts” to include “anything of value, including entertainment, food, beverage, travel, and lodging given or paid to a public official, public member, or public employee to the extent that consideration of equal or greater value is not received.”
The SEI instructs filers to report anything of value worth $25 or more in a day and anything of value worth $200 or more in the aggregate in a calendar year. This language conflicts with a section of the Ethics Act which requires reporting anything of value.
Examples of items to report
- Meal, food and beverage expenses paid for by a third party, such as lawyers, engineers, consultants, suppliers of goods and services, and contractors. Officials must report these expenses regardless of whether the entire council is invited.
- Entertainment, such as golf green fees or a sporting event, concert or theater tickets.
- Trips and associated expenses paid for by a third party.
- Gift baskets and specialty food items.
- Gifts where the gift is believed to have been given because of the filer’s position, or in hopes of seeking a contractual, business or financial relationship with the filer’s agency.
Municipal officials serving in an ex officio or appointed capacity on boards, agencies or commissions must disclose travel, lodging and meals paid for by these organizations, even if the expenses are required as part of their service on the board or commission.
Examples of items not considered “of value” for reporting purposes
- Reimbursement for actual incurred and authorized business expenses paid by the municipality. Per diems not supported by receipts for actual expenses are subject to reporting.
- Printed informational or promotional material worth less than $10.
- Items of nominal value, worth less than $10, containing or displaying promotional material such as exhibit hall and vendor giveaways.
- Door prizes or other items awarded by random selection.
- Personalized plaque or trophy worth less than $150.
- Promotional or marketing items offered to the general public on the same terms and conditions without regard to status as a public official or public employee.
- Campaign contributions properly received and reported under the Ethics Act.
Understanding the SEI requirements and maintaining proper records are the keys to proper reporting. When in doubt, the safest practice is to disclose and report all gifts.
Statements of Economic Interests must be filed by March 30 at noon. Find more information online.