Compliance Connections

It’s summer time, which for commuters means one thing…orange cone season. That’s right, with warmer weather comes an increase of construction, groundbreaking and ribbon cutting ceremonies.

These ceremonies are an ideal way for companies to generate positive earned media by highlighting new projects and developments. These events also tend to feature food and some sort of memento or tchotchke to commemorate the occasion.

Because a ribbon cutting or groundbreaking ceremony usually attracts one or more government officials, potentially triggering issues with  Ohio’s ethics laws, it’s important to plan for and acknowledge the rules leading up to the event.

Ohio law prohibits giving a gift of “substantial value” to a public official or employee if the giver is a “prohibited source.” A prohibited source is anyone that is regulated by, doing business with or seeking to do business with/interested in matters before the official/employee’s agency or political subdivision. While substantial value is not defined, the Ohio Ethics Commission has provided guidance that acceptable gifts should be of a nominal value – generally around $20.

If you’re planning an event, our compliance team is always ready to help you err on the side of caution and avoid any ethics violations.