Outline
The California 700 U form plays a crucial role in maintaining transparency and accountability for individuals involved in research projects funded by non-governmental entities. Specifically designed for employees of the University of California (UC) and California State University (CSU), this form must be completed by those who have principal responsibility for a research project that receives any financial support through contracts, grants, or earmarked donations. By requiring disclosures of financial interests, including investments, income, loans, and gifts, the 700 U form helps ensure that potential conflicts of interest are identified and managed appropriately. The form is guided by Regulation 18755, which outlines specific reporting requirements and clarifies which types of funding do not necessitate disclosure. Understanding what constitutes an investment, income, loan, or gift is vital for accurate reporting, as these definitions shape the information that must be disclosed. For instance, any investment valued at $2,000 or more, income exceeding $500, or gifts with a fair market value of $50 or more must be reported. This form not only safeguards the integrity of research funding but also protects the interests of the public and the institutions involved.
Sample - California 700 U Form
What is a Loan?
Loans received or outstanding are reportable if they total
$500 or more from a single lender. Your community
property interest in loans received by your spouse or
registered domestic partner also must be reported. (See
Gov. Code Section 82030(a).)
What is a Gift?
A gift is anything of value for which you have not
provided equal or greater consideration to the donor. A
gift is reportable if its fair market value is $50 or more.
In addition, multiple gifts totaling $50 or more received
from a reportable source must be reported.
It is the acceptance of a gift, not the ultimate use to
which it is put, that imposes your reporting obligation.
Therefore you must report a gift even if you never used
it or if you gave it away to another person.
If the exact amount of a gift is not known, you must
make a good faith estimate of the item’s fair market
value. Listing the value of a gift as “over $50” or “value
unknown” is not adequate disclosure.
Commonly reportable gifts include:
that provided in direct connection with your
attendance at a convention, conference, meeting,
social event, meal, or like gathering, where you did
not give a speech, participate in a panel or seminar,
or provide a similar service
business to members of the public without regard to
income rather than as a gift if you provided services
of equal or greater value than the payment received.
(See Gov. Code Section 82028.)
FPPC Form 700-U (2008/2009)
FPPC Toll-Free Helpline: 866/ASK-FPPC www.fppc.ca.gov
Who Files Form 700-U?
project if the project is to be funded or supported, in
whole or in part, by a contract or grant (or other funds
This regulation provides that research funding by certain
What is an Investment?
entity in which you, your spouse or registered domestic
partner, or your dependent children have a direct,
and options, including those held in margin or brokerage
accounts and investment funds. Common examples
of investment funds are index funds, exchange-traded
funds, and venture capital funds. (See Gov. Code
Section 82034.)
What is Income?
“Income” means a payment received, including but not
limited to any salary, wage, advance, dividend, interest,
rent, proceeds from any sale, gift, including any gift of food
or beverage, loan forgiveness or payment of indebtedness
or contribution to an insurance or pension program paid by
any person other than an employer, and any community
property interest in income of a spouse or registered
domestic partner. Income also includes an outstanding
loan. Income of an individual also includes a pro rata share
of any income of any business entity or trust in which the
individual, spouse, or registered domestic partner owns
Income includes your gross income and your community
property interest in your spouse’s or registered domestic
partner’s gross income totaling $500 or more. Gross
income is the total amount of income before deducting
expenses, losses, or taxes. (See Gov. Code Section
82030.)
Instructions for Completing
Form 700-U
700-U
CALIFORNIA
FORM
employee, or do you hold a position of management in
Yes
Title:
Initial (for new funding)
Date of initial funding:
STATEMENT OF ECONOMIC INTERESTS
FOR
PRINCIPAL INVESTIGATORS
( )
FPPC Form 700-U (2008/2009)
FPPC Toll-Free Helpline: 866/ASK-FPPC www.fppc.ca.gov
Actual
3. Filer Information
1. Information Regarding Funding Entity:
3. Filer Information - Cont.
Campus Use Only
Please type or print in ink.
700-U
FAIR POLITICAL PRACTICES COMMISSION
CALIFORNIA
FORM
2. Type of Statement (Check at least one box)
Interim (for renewed funding)
Yes
– describe below.
Description:
Value: $
Yes
– highest balance:
If you checked “yes,” was the loan:
Secured
Yes
Campus:
ID No:
your dependent children have an investment of $2,000
Yes
– value is:
If you have sold or divested yourself of investments:
Date Divested:
Description:
Amt: $ date(s):
(If applicable)
(check one)
Gift Income
Yes
– describe below.
I have used all reasonable diligence in preparing this statement. I
have reviewed this statement and to the best of my knowledge the
information contained herein and in any attached schedules is true
and complete. I certify under penalty of perjury under the laws of
the State of California that the foregoing is true and correct.
Date Signed
(month, day, year)
Signature
The Form 700-U is for university use only.
This statement is a public record under Gov. Code Section 81008(a).
Yes
– amount is:
Yes
within California in connection with an event at
which you gave a speech, participated in a panel
or seminar, or performed a similar service
received directly in connection with an event held
inside or outside California at which you gave
a speech, participated in a panel, or provided a
similar service (note that payments for transportation
outside of California are reportable)
A travel payment which was received from a
equal or greater consideration
Check the box to indicate if the payment was a gift or
income, report the amount, and disclose the date(s) if
applicable.
Violations
subject a principal investigator to civil liability, including
Privacy Information Notice
Act is a violation subject to administrative, criminal or
civil prosecution. All reports and statements provided
are public records open for public inspection and
reproduction.
or how to access your personal information, please
General Counsel
What is a Travel Payment?
Travel payments include advances and reimbursements
for travel and related expenses, including lodging and
meals.
Travel payments are gifts if you did not provide
services which were equal to or greater in value
than the payments received. You must disclose
gifts totaling $50 or more from a single source
during the period covered by the statement. Gifts
of travel are reportable without regard to where the
donor is located.
you must provide a description of the gift and the
date(s) received.
provides new valuation methods for gifts of air
transportation.
Travel payments are income if you provided
services which were equal to or greater in value
than the payments received. You must disclose
income totaling $500 or more from a single source
during the period covered by the statement. The
income rather than gifts.
you must describe the services you provided in
exchange for the payment. You are not required to
disclose the date(s) for travel payments which are
income.
Gifts of travel may be subject to a $420 gift limit. In
addition, certain travel payments are reportable gifts,
www.fppc.ca.gov.
You are not required to disclose:
Travel payments received from any state, local,
or federal government agency for which you
provided services equal or greater in value than the
payments received
Travel payments received from your employer in
the normal course of your employment
Instructions for Completing
Form 700-U (continued)
700-U
CALIFORNIA
FORM
FPPC Form 700-U (2008/2009)
FPPC Toll-Free Helpline: 866/ASK-FPPC www.fppc.ca.gov
Form Information
| Fact Name | Description |
|---|---|
| Who Files | All individuals employed by UC or CSU with principal responsibility for a research project funded by a nongovernmental entity must file Form 700-U. |
| Governing Law | Regulation 18755 outlines the reporting requirements for Form 700-U. |
| Definition of Investment | An investment is any financial interest in a business entity valued at $2,000 or more held by the filer or their immediate family. |
| Definition of Income | Income includes various payments received, such as salaries, gifts, and reimbursements, totaling $500 or more from a single source. |
| Definition of a Loan | Loans are reportable if they exceed $500 from a single lender during the reporting period. |
| Definition of a Gift | A gift is anything of value received without providing equal consideration, reportable if valued at $50 or more. |
| Travel Payments | Travel payments may be classified as gifts or income, depending on whether services were provided in exchange for the payment. |
| Public Record | Form 700-U is a public record under Government Code Section 81008(a), available for public inspection. |
| Violations | Failure to file or report financial interests can result in civil liability and university discipline under Government Code Sections 81000-91014. |
| Privacy Notice | Information collected on Form 700-U is used to administer the Political Reform Act and is subject to public inspection. |
Detailed Guide for Filling Out California 700 U
Completing the California 700 U form is a straightforward process that requires careful attention to detail. This form is essential for individuals involved in research projects funded by non-governmental entities. Following these steps will ensure that you accurately report your financial interests and comply with regulatory requirements.
- Begin by typing or printing your information clearly in ink.
- Fill in your name, telephone number, academic unit or department, mail code, and email address.
- Enter the title of your research project.
- In the section for Information Regarding Funding Entity, provide the name and address of the funding entity, along with its principal business and the amount of funding received.
- Indicate the type of statement by checking the appropriate box for either Initial or Interim, and provide the relevant dates.
- Answer the questions in the Filer Information section:
- State whether you hold a management position in the funding entity.
- Disclose any investments of $2,000 or more in the entity.
- Report any income received from the entity totaling $500 or more during the reporting period.
- List any loans received from the entity exceeding $500.
- Detail any gifts valued at $50 or more received from the entity in the last 12 months.
- Describe any travel payments made by the entity.
- Complete the verification section, certifying that the information provided is true and complete. Sign and date the form.
- File the originally signed statement with your university.
Obtain Answers on California 700 U
-
Who needs to file the California 700 U form?
The California 700 U form must be filed by individuals employed by the University of California (UC) or California State University (CSU) who have principal responsibility for a research project. This applies if the project receives funding or support from a nongovernmental entity, either fully or partially. It is crucial to understand that the filing requirements are outlined in Regulation 18755, which specifies that certain nonprofit funding does not require disclosure.
-
What qualifies as an investment for reporting purposes?
An investment is defined as any financial interest in a business entity where you, your spouse, registered domestic partner, or dependent children have a direct or indirect interest totaling $2,000 or more. This includes stocks, bonds, and options, as well as interests in investment funds like index funds or venture capital funds. If you hold these interests in a margin or brokerage account, they also count as reportable investments.
-
How is income defined in the context of the California 700 U form?
Income encompasses various payments received, such as salary, wages, dividends, and gifts. Specifically, any payment exceeding $500 from a single source must be reported. This also includes your community property interest in your spouse's or registered domestic partner’s income. Gross income is calculated before any deductions for expenses or taxes.
-
What constitutes a reportable gift?
A gift is anything of value received without providing equal or greater consideration to the donor. If the fair market value of a gift is $50 or more, it must be reported. This includes items like tickets to events, food, beverages, and travel accommodations. Even if you do not use the gift or pass it on to someone else, you are still required to report it. An estimate of the gift's value is necessary if the exact amount is unknown.
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What are the consequences of failing to file the form or report financial interests?
Failure to file the California 700 U form or to report required financial interests can lead to civil liability, including fines, and possible disciplinary actions from the University. It is essential to comply with the reporting requirements set forth by the Political Reform Act to avoid these consequences.
Common mistakes
Filling out the California 700-U form can be a daunting task, and many individuals make common mistakes that can lead to complications down the line. One frequent error is failing to report all relevant financial interests. If you have investments, income, or loans that meet the reporting thresholds, they must be disclosed. Ignoring this requirement can result in penalties.
Another mistake is not accurately estimating the value of gifts. If you receive a gift worth $50 or more, you need to report it. Using vague terms like "over $50" or "value unknown" is not sufficient. A good faith estimate of the fair market value is necessary. This ensures transparency and compliance with the regulations.
Many people also overlook the importance of the funding entity’s information. It’s crucial to provide complete and accurate details about the entity funding your research. This includes the name, address, and principal business of the entity. Incomplete information can lead to delays or questions about your filing.
Some filers fail to check the correct type of statement. You must indicate whether the form is for initial funding or interim funding. This distinction is important for proper categorization and compliance with reporting requirements.
Additionally, individuals sometimes misclassify travel payments. If you receive payments for travel that do not correspond to services rendered, those payments may be considered gifts. Properly categorizing these payments as either gifts or income is essential to avoid misunderstandings and potential penalties.
Another common error is neglecting to report community property interests. If your spouse or registered domestic partner has financial interests that meet the reporting criteria, you must include them. This is often overlooked but can lead to significant issues if not addressed.
People also frequently misinterpret the reporting requirements for loans. If you have an outstanding loan from a single lender that exceeds $500, it must be reported. Failing to disclose this information can lead to serious repercussions.
Lastly, some individuals may not take the verification section seriously. It’s vital to certify that the information provided is true and complete. Neglecting this step can result in administrative or legal consequences. Taking the time to ensure accuracy and completeness can save you from future headaches.
Documents used along the form
The California Form 700-U is a crucial document for individuals involved in research projects funded by non-governmental entities. Alongside this form, several other documents are commonly utilized to ensure compliance with state regulations and to provide a comprehensive overview of financial interests. Below is a list of related forms and documents that may be needed.
- California Form 700: This is the standard Statement of Economic Interests form used by public officials and employees to disclose their financial interests, including investments, income, and gifts.
- California Form 700-S: This form is specifically for candidates for public office and is used to report financial interests similar to the Form 700 but tailored for electoral contexts.
- California Form 700-W: This form is used for reporting financial interests of members of state boards and commissions. It focuses on the unique requirements for these positions.
- Conflict of Interest Code: This document outlines the specific financial disclosure requirements for various public agencies and positions, including which types of interests must be reported.
- FPPC Fact Sheets: These provide guidance on specific reporting requirements and limitations regarding gifts, travel, and loans, helping filers understand their obligations.
- Grant Agreements: These documents detail the terms and conditions of funding received for research projects and often include stipulations about financial disclosures and compliance.
- University Policies on Research Funding: Institutions may have specific policies governing the acceptance of external funding, including conflict of interest guidelines that align with the Form 700-U requirements.
- Financial Disclosure Statements: Some universities require additional financial disclosure beyond the Form 700-U, which may include personal financial statements or additional forms specific to the institution.
- Annual Reports of Research Activities: These reports summarize the outcomes and financial aspects of funded research projects and may be required for compliance with funding agreements.
Understanding these related forms and documents can facilitate compliance with California's financial disclosure requirements, ensuring transparency and accountability in research funding. Each document serves a specific purpose in the broader context of financial reporting and conflict of interest management.
Similar forms
The California Form 700-U is a vital document for principal investigators at the University of California (UC) and California State University (CSU) who are involved in research projects funded by non-governmental entities. This form is similar to several other documents that also serve the purpose of reporting financial interests and ensuring transparency. Below are eight documents that share similarities with the California Form 700-U:
- California Form 700: This is the primary statement of economic interests for public officials in California. Like Form 700-U, it requires disclosure of investments, income, and gifts, ensuring that public officials maintain transparency regarding their financial interests.
- Federal Form 278e: This form is used by federal officials to disclose their financial interests. Similar to Form 700-U, it requires reporting of investments, income, and gifts, thus promoting accountability among federal employees.
- IRS Form 990: Nonprofit organizations use this form to report their financial activities. While not a personal disclosure form, it shares the goal of transparency in financial dealings, similar to the reporting requirements of Form 700-U.
- California Form 700-W: This form is specifically for designated employees of the state of California who have a financial interest in a business. Like Form 700-U, it focuses on the disclosure of financial interests to avoid conflicts of interest.
- California Form 800: This document is used to report gifts received by public officials. Similar to Form 700-U, it requires officials to disclose gifts to ensure ethical standards are maintained.
- California Form 803: This form is for reporting financial interests in real property. It shares the same purpose of transparency as Form 700-U, focusing on real estate holdings that may influence decision-making.
- State Ethics Commission Disclosure Forms: Various states have their own forms for disclosing financial interests. These forms, like the California Form 700-U, aim to prevent conflicts of interest and promote ethical behavior among state employees.
- University Conflict of Interest Disclosure Forms: Many universities have their own forms for reporting conflicts of interest related to research funding. These forms, similar to Form 700-U, require researchers to disclose any financial interests that could affect their work.
Each of these documents serves a similar purpose: to ensure transparency and accountability in financial dealings, thereby fostering trust in public and academic institutions.
Dos and Don'ts
When completing the California 700-U form, consider the following guidelines to ensure accuracy and compliance.
- Do read the instructions carefully before starting the form.
- Do report all relevant financial interests, including investments and income, accurately.
- Do provide clear descriptions for any gifts or travel payments received.
- Do ensure you sign and date the form before submission.
- Do keep a copy of the completed form for your records.
- Don't leave any sections blank; provide information for all applicable questions.
- Don't underestimate the value of gifts; provide a good faith estimate if necessary.
- Don't include personal opinions or irrelevant information in your disclosures.
- Don't forget to check the appropriate boxes for income or gifts where applicable.
- Don't submit the form without reviewing it for accuracy.
Misconceptions
- Misconception 1: Only high-ranking officials need to file the California 700 U form.
- Misconception 2: The 700 U form is only for financial disclosures.
- Misconception 3: Only personal financial interests need to be reported.
- Misconception 4: If I didn’t receive any income, I don’t need to file the form.
- Misconception 5: Gifts under $50 do not need to be reported.
- Misconception 6: Travel payments are always considered gifts.
- Misconception 7: The form is not public information.
- Misconception 8: I can estimate the value of a gift without providing details.
- Misconception 9: Filing the form is optional if I am unsure about my reporting obligations.
This form must be filed by all individuals employed by the University of California (UC) or California State University (CSU) who have principal responsibility for a research project funded by a nongovernmental entity. This includes various positions, not just top executives.
While the form does require financial disclosures, it also encompasses reporting on gifts, loans, and travel payments. Understanding the full scope of what needs to be reported is crucial for compliance.
In addition to personal interests, the financial interests of a filer’s spouse, registered domestic partner, and dependent children must also be reported. This broadens the scope of the disclosure significantly.
Even if no income was received, the form must still be filed if the individual has principal responsibility for a research project that meets the funding criteria. Reporting obligations are not solely based on income received.
Gifts valued at $50 or more must be reported. However, multiple gifts from a reportable source that collectively total $50 or more must also be disclosed, regardless of individual values.
Travel payments can be classified as either gifts or income, depending on whether services were provided in exchange for the payment. This distinction is vital for proper reporting.
The information provided in the California 700 U form is considered a public record. This means it is accessible for public inspection, which emphasizes the importance of accurate and truthful reporting.
While a good faith estimate can be made, simply stating “over $50” or “value unknown” is inadequate. Specific values must be reported to ensure compliance with the regulations.
Filing the California 700 U form is not optional for those who meet the criteria. Failure to file or report financial interests can lead to civil liability, including fines and disciplinary action from the university.
Key takeaways
Filling out the California 700-U form can seem daunting, but understanding its key components can simplify the process. Here are some essential takeaways to keep in mind:
- Who Needs to File? All individuals employed by UC or CSU with principal responsibility for a research project funded by a nongovernmental entity must complete this form.
- Understanding Investments: Report any financial interest in a business entity valued at $2,000 or more. This includes stocks, bonds, and investment funds.
- Income Reporting: Any payment received, such as salary, dividends, or gifts valued at $50 or more, must be reported. This includes community property interests in a spouse's income.
- Loan Disclosure: Loans of $500 or more from a single lender are reportable. This includes loans received by your spouse or registered domestic partner.
- Gift Definition: A gift is anything of value received without providing equal or greater consideration. Gifts valued at $50 or more must be reported, regardless of how they are used.
- Travel Payments: Payments for travel can be classified as gifts or income, depending on whether services were provided in exchange. Ensure to disclose the nature of these payments accurately.
By keeping these points in mind, you can navigate the California 700-U form with greater confidence and clarity.