(a) An Oversight Committee Member, a Program Integration Committee Member, a Scientific Research and Prevention Programs Committee Member, or an Institute Employee who becomes aware of a potential Conflict of Interest described by §702.11 of this chapter (relating to Conflicts of Interest Requiring Recusal) that has not been reported shall immediately notify the Chief Executive Officer of the potential Conflict of Interest. If the potential Conflict of Interest is held by the Chief Executive Officer, then the report shall be made directly to the presiding officer of the Oversight Committee. Upon notification, the Chief Executive Officer must notify the presiding officer of the Oversight Committee and the General Counsel of the unreported conflict.
(b) A Grant Applicant seeking an investigation regarding whether an individual subject to this chapter failed to report a Conflict of Interest described by §702.11 of this chapter shall file a written request with the Institute's Chief Executive Officer. The Grant Applicant shall:
  (1) Provide all facts regarding the alleged Conflict of Interest known to the Grant Applicant requesting the investigation; and
  (2) Submit the request for investigation not later than the 30th day after the Chief Executive Officer presents final funding recommendations for the affected Grant Review Cycle to the Oversight Committee. Nothing herein prohibits the Chief Executive Officer from initiating an investigation if the Grant Applicant fails to submit the request by the deadline set herein, so long as the Grant Applicant shows good cause for failing to meet the deadline.
(c) On notification of an alleged Conflict of Interest under subsection (a) or (b) of this section, the General Counsel shall:
  (1) Investigate the matter; and
  (2) Provide an opinion to the Chief Executive Officer and presiding officer of the Oversight Committee. If the alleged conflict is held by the presiding officer, then the opinion shall be provided to the next ranking member of the Oversight Committee who has no conflict. The opinion shall include:
    (A) A statement of the facts giving rise to the alleged conflict;
    (B) A determination of whether a Conflict of Interest, another impropriety, or self-dealing exists; and
    (C) If the opinion finds that a Conflict of Interest or another impropriety or self-dealing exists, then recommendations for any appropriate course of action.
(d) After receiving the General Counsel's opinion and consulting with the presiding officer (or, if appropriate, the next highest ranking Oversight Committee Member), the Chief Executive Officer shall take immediate actions regarding the recusal of the individual from any discussion of or access to information regarding the matter at issue. If the alleged Conflict of Interest is held by the Chief Executive Officer, the presiding officer of Oversight Committee shall take actions regarding recusal.
(e) A determination regarding the existence of a Conflict of Interest involving an individual subject to this chapter shall be made by the Chief Executive Officer, or by the presiding officer of the Oversight Committee if the alleged Conflict of Interest is held by the Chief Executive Officer, and reported to the Oversight Committee. The determination will be considered final unless three or more Oversight Committee Members request that the issue be added to the agenda of the Oversight Committee. The determination must include actions to be taken, if any, to address the Conflict of Interest, impropriety, or self-dealing, including:
  (1) Reconsideration of the Grant Application; or
  (2) Referral of the Grant Application to a different Scientific Research and Prevention Programs Committee for review.
(f) The Chief Executive Officer or, if applicable, the presiding officer of the Oversight Committee must provide written notice of the final determination to the person requesting the investigation, including a description of further actions to be taken, if any.
(g) Unless specifically stated in the final determination, the validity of an action taken with regard to a Grant Application is not affected by the fact that an individual that failed to report a Conflict of Interest participated in the action.

Source Note: The provisions of this §702.15 adopted to be effective February 11, 2010, 35 TexReg 872; amended to be effective March 2, 2014, 39 TexReg 1385