This page includes examples of COIs and how to handle them. The examples are designed to show different ways to manage conflicts. Even though the scenarios are based on real situations, they are fictional.
Grants (Stakeholder consultation)
Your department is consulting on the design of a place-based grants program intended to support young people in the local area to build social connections through sport. The consultations involve local sporting organisations that would be eligible to apply for the grant program. As members of the local community, many of the individual employees/volunteers of the organisations, and their families and close personal connections, would be the ultimate beneficiaries of the grants that are ultimately funded.
Key questions
- How would someone outside my department view this situation? How would a member of the public view it?
- Would other grant applicants think this process was fair?
- Would the minister leading this program be confident that it was being administered with integrity?
Potential mitigation strategies
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register the interest to the appropriate delegate.
- Restrict those consulting from commenting on the applications of any relevant sporting clubs with your colleagues and other members of the club.
- Remove those with a potential benefit from any decision-making processes relating to the grants development process.
Grants (First Nations expertise)
You are working with partners from a relatively small Aboriginal and Torres Strait Islander Services Sector on the redesign of a sector specific grant program. You require the expertise of the sector to ensure the redesign of the program has the best outcomes for government, First Nations partners and communities.
At the point of establishing the partnership you asked partners to complete a COI form. Because the sector is small, your partners are also grant recipients of your grant program and know and/or have personal or family relationships with other grants recipients. These interests were declared in the process of establishing the partnership and recorded on a COI register.
Potential mitigation strategies
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register the interests of persons consulting to the appropriate delegate.
- Restrict those consulting from commenting on the applications of any other potential grants recipients with your colleagues and other members of the club.
- Remove those with a potential benefit from any final decision-making processes relating to the grants development process.
The selected mitigation strategies should align with your entity's risk appetite. Consider the benefits of partnerships with First Nations partners and communities against the potential COI risks. It is acknowledged that in some cases excluding all government grant recipients or those connected to grant recipients from the process may not always be feasible or desirable, as it would result in public servants redesigning in isolation without partner involvement. When grant recipients are involved in the grant design process, their involvement and the corresponding mitigation strategy should be documented.
Political affiliations
You support a micro party that has strong views on vaccinations. Campaigning is about to commence for the upcoming state election. You intend to hand out leaflets at polling booths. The leaflets that you will be handing out are critical of the government’s policy on vaccinations.
If your work is unrelated:
- If the topic is unrelated to your work duties – for example, you are a public sector accountant – you do not need to lodge a COI declaration form because a conflict is unlikely to arise. You must be cautious about how your private actions could undermine public perception of your public duty.
If your work duties relate:
- The closer that your personal interest in the promotion of an anti-vaccination position intersects with your work duties, the more likely that a COI exists (real, or apparent), and the stronger the conflict is likely to be.
- For example, if your work duties include conducting research that will be considered when developing policy on vaccinations, that is a real COI. For further information, see the Australian Public Service Commission's guidance on Employees as citizens.
Key questions
- How would someone outside my department view this situation? What about a member of the public?
- It is important to also consider this situation from the opposing perspective, this could also be considered a real or apparent COI.
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Lodge a COI declaration form with the appropriate delegate relating to your party membership.
- Avoid public appearances on behalf of the party.
- Consider the APS Values and Code of Conduct when discussing your political work generally.
Procurement (Goods and services)
Your department has gone out to tender for the procurement of a new armoury. Your partner is the Director of Australia's leading supplier of armouries. On weekends you sometimes help them with deliveries and research activities.
If your work duties are unrelated:
- You do not have a COI if you work in another part of the department and have no visibility/connection to and/or influence over the tender process.
- You have a potential or apparent COI if you have access to non-public information within the department that relates to the tender process.
If your work duties relate to the tender:
- If you are part of the decision-making process for the tender or have influence over it, you have a real COI that must be declared.
Key questions
- How would someone outside my department view this situation?
- Would other applicants think this process/approach was fair?
- Would the minister be confident that this was a fair and equitable procurement?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register your COI in accordance with your organisation’s COI management processes.
- Restrict your comment on the ongoing procurement process – in relation to any of the applicants, not just your partner’s company’s.
- Remove yourself from the procurement activity/engagement.
Procurement (Contractor engagement)
You are in the final stages of engaging a contractor for consultancy services. They will be providing independent advice on the department’s climate change policy. As you are waiting for the contractor's engagement paperwork to be completed, you notice their firm is engaged in industry lobbying in the energy and resources sector.
If your work duties are unrelated:
- If the firm has a separate area that lobbies, but the contractor has no engagement in this, there is a potential COI. However, there is a lower risk of a real conflict arising.
If work duties relate:
- The closer the consultant's material interest in the promotion lobbying is and how it intersects with their work duties, the more likely that COI exists, and the stronger the conflict is likely to be.
- For example, if their work duties include conducting research that will be considered when developing policy on the areas that they lobby for/against, this will be a real COI.
Key questions
- How would someone outside my department view this situation?
- Would the minister be confident that this was an engagement based on integrity?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Check that the contractor has registered the interest via the appropriate COI declarations in accordance with their contract.
- Consider the entity’s risk appetite in relation the declared interests.
- Use confidentiality clauses to restrict and protect the appropriate information.
- Offer the firm the opportunity to relinquish their lobbying engagements before proceeding with the engagement.
- If the risk is too great for your entity, consider the removal of the entity from contract considerations.
Procurement (Tender process)
A family member is bidding to supply contracting services in response to a procurement released by the department where you work. Your relationship with your family member is a personal interest.
If your work duties are unrelated:
- You do not have a COI if you work in another part of the department and have no connection to or influence over or non‑public information in relation to the tender process.
If your work duties relate to the tender:
- If you are part of the decision-making process for the tender, have access to non‑public information or have influence over it, you have a COI that must be declared.
- Even if you are certain that you will not be influenced in your decision-making, there is an apparent COI. This is because it is reasonable for people to believe that your personal interest may influence your impartiality in your decision making.
Key questions
- How would someone outside and within my department view this situation?
- Would other tender applicants think this process was fair?
- Would the minister be confident that this tender was equitable?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register your interest in accordance with your organisation’s COI management process.
- Restrict discussion of the process with your coworkers or family members.
- Remove yourself from the selection process.
Gifts and benefits
You are the Team Leader involved in an ICT development project and from time to time catch up for a coffee with various contractors involved to discuss the work. Sometimes the contractors pay for the coffee.
Key questions
- How would someone outside and within my department view this situation?
- Have you considered the PGPA Act and the PS Act?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Restrict discussion of work to emails or meetings with other members of your team present.
- If you are to meet in the café, attempt to ensure you pay for your own coffee.
- If you cannot do so (for example, your coffee is ordered by the contractor before your arrival), you should refer to the gifts and benefits policy of your entity as the reference point for the declaration of gifts.
- It may be appropriate to attend meetings where there are light refreshments/working lunches being served in certain circumstances. However, if alcohol was served or it was a restaurant dinner this may be inappropriate.
- If a new contract is agreed upon, ensure the potential perceived COI is registered.
Specialist advisors
Firm X is currently a specialist advisor to your Branch; however, they have also tendered to be a commercial advisor for an upcoming related project. Due to the specialised nature of Firm X’s work, there is a limited number of organisations able to apply for the specialist role. Firm X may have an unfair advantage due to the knowledge and information gained from their existing role.
Key questions
- How would someone outside my department view this situation?
- Would other applicants think this process was fair?
- Would the minister be confident that this tender was equitable?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Ensure that both the specialist advisors and the commercial advisors have registered the appropriate COI declarations in accordance with their contract.
- Consider if confidentiality provisions within the upcoming contracts will need to be tailored to restrict discussion of information between those working as commercial advisors and specialist advisors.
- Review your confidentiality agreement with the specialist advisors to determine if this too can be enhanced to ensure strict probity and limit adverse effects of COI.
- Ensure all tenderers have the same information.
Confidentiality
Your department has been asked to consider options for a new policy. As part of this work, you assemble an external reference group that includes specialists in the subject area. After the government makes decisions and announces the policy, some of these specialists then bid for work implementing the policy. These bids are part of a competitive process, but other specialists bidding for the work complain that those who were part of the reference group have an unfair advantage due to knowledge gained in that process.
Key questions
- How would someone outside my department view this situation?
- Would other applicants think this process was fair?
- Would the minister be confident that this tender was equitable?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Minimise any confidential information being shared with the external reference group.
- Ensure that the Terms of Reference for the reference group are clear about confidentiality obligations.
- Consider formalising the engagement of the reference group in a contract/deed setting out roles, responsibilities and expectations.
- Consider having reference group members agree to confidentiality provisions before sharing any information.
- Make sure information provided to the reference group is also provided to the tenderers in the subsequent implementation
- If significant concerns exist, make clear to reference group members when selected that they will not be able to participate in subsequent tenders
Outside employment
You are an employee within the Department of Finance and have been offered an unpaid board role for a for-profit organisation. The organisation has previously provided pro bono services to the Department.
If your work duties are unrelated:
- Even if you are certain that there is no relation as you have not had any connection or influence over the previous work completed, given the history, there could be an apparent COI.
- A potential COI could arise in the future should the organisation undertake further work for the Department or should you change roles.
If your work duties relate:
- If you were part of the decision-making process for the previous pro bono services or if there is any other existing relationship, you have a real COI that must be declared.
Key questions
- How would someone outside and within my department view this situation?
- Would you have been offered the board role if you didn’t work for the Department?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register your interest in accordance with your organisation’s COI management process.
- If the delegate approves your outside employment, ensure that you remove yourself from decisions in either role that relates to the other, such as, where pro bono work is being discussed on either side.
- Restrict yourself from discussing your other role when considering or evaluating work of potential competitors.
- Recruit a third party to assist in the maintenance of other probity controls.
- If the risk is too great, decline the offered role.
Resignation
You are about to resign from the department to take up a management position with IT Amends. You currently manage the department's IT contract which is held by IT Amends. The contract is up for renewal shortly.
Your work duties relate:
- You are managing the contract with the organisation you are moving to; you have a real COI that must be declared.
Key questions
- How would the public view this situation?
- Would other tender applicants think this process/approach was fair?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register your interest in accordance with your organisation’s COI management process.
- Remove yourself from the position of managing the contract with IT Amends.
- Restrict the use of confidential or otherwise privileged information by ensuring you do not discuss it and engage with the appropriate departmental processes.
- The Department might also be concerned about the use of former public servants in the upcoming tender. As such, it might decide to remove the organisation from the tender.
Significant source of income
You have recently inherited a commercial property portfolio. The department you work for intends to sign a contract to lease one of these commercial properties.
If your work duties are unrelated:
- Even if your work duties are unrelated, there is an apparent COI.
- A potential COI could arise in the future should the organisation undertake further work for the Department or should you change roles.
If your work duties relate:
- If you have related work duties, this is a real COI.
Key questions
- How would a member of the public view this situation?
- Would other lease applicants think this process/approach was fair?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register your interest in accordance with your organisation’s COI management process.
- Remove yourself from your position that holds duties related to the contract.
- Relinquish your possession of the commercial property portfolio.
Personal relationships
You have become close friends with a person who provides indoor plant services to the department. At work you do not have any contact with this person's company or the services it provides.
If your work duties are unrelated:
- You do not have a COI if you work in another part of the department and have no connection to or influence over the contract.
- A potential COI could arise in the future should you change roles.
If your work duties relate:
- If you were part of the decision-making process for the tender or have influence over the contract, you have a real COI that must be declared.
Key questions
- How would someone outside and within my department view this situation?
- Would other tender applicants think this process/approach was fair?
- How would the public view this situation?
Potential mitigation strategies and probity supports
Different risk levels and/or entity appetites should inform an entity’s COI management.
- Register your interest in accordance with your organisation’s COI management policy.
