Summary: This policy sets forth procedures and guidelines to be followed in resolving actual and potential faculty and staff conflicts of interest and commitment pertaining to sponsored projects. This policy applies to all sponsored projects funded by (a) commercial sponsors, (b) those federal agencies having specific conflict of interest requirements, and (c) purchase orders and subcontracts issued by Western Kentucky University under its sponsored projects irrespective of the source of funds.

The University and its faculty and staff members often benefit from participation in both public and private outside activities. The University has no interest in setting forth detailed rules that may interfere with faculty and staff members' legimate outside interests.

Faculty and staff members, in turn, must also ensure that their outside obligations, financial interests, and activities do no conflict or interfere with their commitment to the University. This obligation pertains to both full-time and part-time faculty and staff members who are in any way associated with sponsored projects.

The areas of potential conflict may be divided into two categories. Conflicts of Interest are defined as situations in which faculty or staff members may have the opportunity to influence the University's business decisions in ways that could lead to personal gain or give improper advantage to members of their families or to associates. Conflicts of Commitment are defined as situations in which external activities of faculty members or staff members interfere or appear to interfere with their paramount obligations to their students, colleagues, and the University.

In those circumstances in which the University is engaged in or intends to engage in a sponsored project with a commercial organization, or has subcontracted or intends to subcontract to an external organization under one of the University's sponsored projects, a conflict of interest may occur when a faculty or staff member's affiliation with the external organization meets any one of the following criteria:

• The faculty or staff member is an officer, director, partner, trustee, employee, advisory board member, or agent of an external organization or corporation either funding a sponsored project or providing goods and services under a sponsored project on which the faculty or staff member is participating in any capacity.
• The faculty or staff member is the actual or beneficial owner of more than five percent (5%) of the voting stock or controlling interest of such organization or corporation.
• The faculty or staff member has dealings with such organization or corporation from which he or she derives income of more than $10,000 per year, exclusive of dividends and interest.
• The faculty or staff member's immediate family (spouse, parents, parents-in-law, siblings, children, or other relatives living at the same address as the faculty or staff member) meet any of the criteria stated in a-c above.

Each faculty or staff member participating in a sponsored project covered by this policy must disclose whether or not he or she has external affiliations that may constitute a conflict by falling within the criteria stated in paragraphs a-d above. A disclosure must be completed prior to the University's acceptance of the sponsored project or issuance of a purchase order or subcontract for the acquisition of goods and services. It is the responsibility of the lead Project Director/Principal Investigator to make sure each member of the Project staff has read the WKU Conflict of Interest Policy and has disclosed any real or potential conflicts of interest. Such disclosures may be made on the OSP's Sign-off Sheet "Request for Proposal Approval and Submission." Positive disclosures will be reviewed by a Conflict Review Committee consisting of the Dean of the Graduate College, the Director of the Office of Sponsored Programs, and the University Legal Counsel. In reviewing the positive disclosures, the Conflict Review Committee will be guided by the following practices and apply them as may be appropriate:

• Assure adherence to relevant University policies such as the Commonwealth of Kentucky Statutes, specifically 164.390, which prohibits interest by any and all University employees and trustees in any contract or purchase for the building or repairing of any structure or furnishing any supplies for the use of a university, the Policies and Procedures Manual, the Faculty Handbook, the Intellectual Property Policy, the Research and Projects Policy, and other University documents the Conflict Review Committee may deem appropriate.
• Consider the nature and extent of the financial interest in the relationship of the faculty or staff member and the external organization.
• Give special consideration to the terms and conditions of sponsored project agreements that may mitigate or complicate the given situation.
• Consult with and obtain additional information from the faculty or staff member as either the Conflict Review Committee or the faculty or staff member feel may be helpful in resolving actual or potential conflicts.
• Act in a timely manner so as not to delay unduly the conduct of the sponsored project.
• Conclude that the University may take one of the following actions:

• Accept the sponsored project award.
• Not accept the sponsored project award.
• Accept the sponsored project subject to suitable modifications in either the sponsored project award document or the external organizational affiliation(s) of the faculty or staff member or faculty or staff member's family.

A faculty or staff member dissatisfied with the Conflict Review Committee's conclusion, may appeal to the Provost and Vice President for Academic Affairs who will consult with the faculty or staff member and Conflict Review Committee as the Provost and Vice President for Academic Affairs deems necessary and appropriate to the particular circumstance. The decision of the Provost and Vice President for Academic Affairs shall be final. Violations of this policy, such as wilfull concealment of financial interests, may result in sanctions being imposed upon the violating individual. The Conflict Review Committee will review allegations of violations and will make recommendations regarding the imposition of sanctions to the Provost and Vice President for Academic Affairs. The decision of the Provost and Vice President for Academic Affairs with regard to the imposition of sanctions shall be final. The Office of Sponsored Programs shall maintain the records pertaining to each disclosure in strict confidence. Access to such records will be limited to the faculty or staff member, the Conflict Review Committee, the Provost and Vice President for Academic Affairs, and others who have a legal right to review the records. Certain sponsors, particularly federal agencies, may have requirements that differ from this policy with regard to the timing and frequency of faculty or staff disclosures and other provisions as well. In the case of such discrepancies, the sponsors' requirements will generally prevail.