TITLE 5 - ADMINISTRATIVE PERSONNEL

CHAPTER XVI - OFFICE OF GOVERNMENT ETHICS

SUBCHAPTER B - GOVERNMENT ETHICS

PART 2634 - EXECUTIVE BRANCH FINANCIAL DISCLOSURE, QUALIFIED TRUSTS, AND CERTIFICATES OF DIVESTITURE

subpart c - CONTENTS OF REPORTS

2634.305 - Liabilities.

  (a) In general. Each financial disclosure report filed pursuant to this part, whether public or confidential, shall identify and include a brief description of the filer's liabilities over $10,000 owed to any creditor at any time during the reporting period, and the name of the creditors to whom such liabilities are owed. For public financial disclosure reports, the report shall designate the category of value of the liabilities in accordance with 2634.301(d) of this subpart, using the greatest amount owed to the creditor during the period.

  (b) Exceptions. The following are not required to be reported under paragraph (a) of this section: (1) Personal liabilities owed to a spouse or to the parent, brother, sister, or child of the filer, spouse, or dependent child; (2) Any mortgage secured by a personal residence of the filer or his spouse; (3) Any loan secured by a personal motor vehicle, household furniture, or appliances, provided that the loan does not exceed the purchase price of the item which secures it; and (4) Any revolving charge account with an outstanding liability which does not exceed $10,000 at the close of the reporting period.

Example: An incumbent official has the following debts outstanding at the end of the calendar year: 1. Mortgage on personal residence$80,000.

2. Mortgage on rental property$50,000.

3. VISA Card$1,000.

4. Master Card$11,000.

5. Loan balance of $15,000, secured by family automobile purchased for $16,200.

6. Loan balance of $10,500, secured by antique furniture purchased for $8,000.

7. Loan from parents$20,000.

The loans indicated in items 2, 4, and 6 must be disclosed. Loan 1 is exempt from disclosure under paragraph (b)(2) of this section because it is secured by the personal residence. Loan 3 need not be disclosed under paragraph (b)(4) of this section because it is considered to be a revolving charge account with an outstanding liability that does not exceed $10,000 at the end of the reporting period. Loan 5 need not be disclosed under paragraph (b)(3) of this section because it is secured by a personal motor vehicle which was purchased for more than the value of the loan. Loan 7 need not be disclosed because the creditors are persons specified in paragraph (b)(1) of this section.