Conflict of Interest Policy
As Amended and Approved by the University Senate April, 1998
The purpose of this policy is to safeguard the integrity and reputation of Tulane and its faculty, staff, and researchers. It seeks to foster the proper and unbiased conduct of sponsored research and other academic activities by providing guidelines and mechanisms for dealing with actual or perceived conflicts of interest.
The faculty, staff, and administration of Tulane University have a common interest in the success of its academic pursuits, which requires an allegiance based on fairness and trust. Academic enterprises, however, are vulnerable to conflicts of interest. Teaching, research, promotion, the awarding of tenure, and the use of resources must be carried out in ways which are consistent with the pursuit of academic achievement. Any effort or expenditure that is inconsistent with this pursuit threatens the high regard in which Tulane is held by members of scholarly and professional communities, alumni, friends, and the general public.
Faculty and staff members often participate in extramural professional activities, such as consulting and similar activities which can advance the dissemination of knowledge. Conflicts of interest resulting from extramural commitments may, on occasion, threaten to undermine a faculty or staff member's responsible performance of his or her University duties, or the integrity of his or her research. Conversely, there may be circumstances in which pursuit of the University's financial interests threatens a faculty member's academic freedom. These conflicts tend to undermine the supportive relationship between the University and its faculty and staff, and can compromise the University's reputation for integrity and academic excellence. Thus, each faculty or staff member, by virtue of employment, accepts the responsibility to avoid activities or commitments that are inconsistent with his or her University duties, or the integrity of his or her research. In return, the University is committed to respecting the dignity and academic freedom of its faculty and the integrity of its staff.
The University will annually solicit from members of the faculty and staff disclosure of their outside professional activities and other relevant financial involvement in order to determine whether there is a threat to their mutual allegiance. Faculty and staff will disclose any relationships which could reasonably be expected to create the appearance of a conflict of interest. All conflicts of interest, including institutional conflicts of interest, must be resolved or managed in ways that are fair, and that can reasonably be expected to promote mutual allegiance and trust.
Conflict of Interest refers to either Individual Conflict of Interest or Institutional Conflict of Interest
- Individual conflict of interest is conflict which leads, or threatens to lead, to the neglect of academic or institutional duties because of other professional activities, to undermining the integrity of research, or to the improper use of institutional resources for the sake of personal financial gain. A prime example of such conflict is a situation in which the financial interest of an individual or his/her immediate family can lead to improper conduct in research or bias in reporting research results. [University policies regarding the extent to which faculty members may commit their time to outside professional activities are stated in the Consulting and Other Extramural Activities section of the Faculty Handbook.]
- Institutional conflict of interest is conflict between financial interests of the university and the scholarly pursuits of a faculty member. The possibility of an institutional conflict of interest is greatest in cases of sponsored research or technology-development agreements in which the University has an interest in developing a technology, yet the pursuit of such an interest would interfere with the faculty member's academic freedom, and particularly his or her freedom to communicate research results. [Policies regarding the extent to which the University may share in ownership rights with respect to discoveries and inventions of University employees are stated in the Intellectual Property Policy and Procedures section of the Faculty Handbook.]
Consulting, for purposes of this policy, includes not only the provision of information and expertise on professional matters, but also the holding of extramural management positions and/or board memberships. In accordance with the policies stated above, staff and faculty should pursue consulting activities only to the extent that these are consistent with their University commitments. Required teaching, research, patient care, and other University duties must not be neglected for the sake of consulting.
Faculty, for the purposes of this policy are as defined in III.A.I of the Faculty Handbook. Part-time as well as full-time faculty are included, as are those holding regular appointments, research appointments, clinical appointments, adjunct appointments and other special appointments.
Clinical medical faculty, for the purpose of this policy, are those members of the faculty who participate in the Faculty Practice Plan and/or are appointed in clinical departments of the School of Medicine. This policy acknowledges the guidelines and formulae provided in the Faculty Practice Plan for the collection and distribution of income derived from professional consulting by and other outside relationships of members of the clinical medical faculty.
Staff are all other employees of the University, whether part-time or full-time, and including temporary as well as permanent employees. A staff employee may have a faculty appointment as well, in which instance the employee is obligated to abide by this policy as it applies to both positions.
Immediate family includes a faculty or staff member's spouse and dependent children (including stepchildren). For purposes of this policy, it is irrelevant whether these family members live in the same household as the faculty or staff member.
Equity interest, for purposes of reporting, is ownership, whether directly, indirectly, or beneficially, by a member of the faculty or staff or his/her immediate family member(s), either individually or in aggregate, of a five percent or greater interest in any business entity or trust.
Financial interest, for purposes of this policy, includes
- Equity interest, as defined above, and in general any investment, including but not limited to ownership of stock, stock options, warrants, or any equity, debt, security, or capital holding in a business enterprise; and/or salary, other remuneration, or financial consideration for services as an employee, consultant, advisor, officer, or board member of any business.
- Significant financial interest is a financial interest which exceeds $10,000 or a 5% ownership interest for any one enterprise or entity when aggregated for the faculty or staff member's spouse and dependent children or any other financial interest of a faculty or staff member or his or her immediate family, which could reasonably be regarded as threatening to undermine the proper conduct of research or to lead to bias in reporting research results. In general, a financial interest the value of which is less than $10,000 will be presumed not to pose a conflict of interest.
Signature Authority is granted by resolution of the Board of Administrators of the Tulane Educational Fund. A current copy of the resolution can be obtained from the President's Office.
Institutional Conflict of Interest
On occasion disagreements will arise between a faculty or staff member and the University regarding how to proceed with commercial development of a technology derived from his or her research. An institutional conflict of interest might arise from the non-competitive routing of inventions to a company in which the University has equity or royalty interests. Similarly, a conflict might exist if the University were to take a seat on the board of directors of a spin-off company to which it had licensed technology.
Faculty or staff members should use established grievance procedures of the respective colleges and schools when such a disagreement occurs. In situations where there is a conflict between the financial interest of the University and the scholarly pursuits of a faculty or staff member, the University is required to resolve that conflict promptly, and in a way that does not interfere with the academic freedom of the faculty or staff member.
Disclosure Procedures
On an annual basis, all faculty and staff will disclose their outside professional activities, other significant financial interests and any relationships which could reasonably be expected to create the appearance of a conflict of interest. Disclosures should include financial data from the member's immediate family only when such data are relevant in determining whether the member has a conflict of interest.
In the case of the Tulane University Medical Center, the Deans of the Schools of Medicine and Public Health and Tropical Medicine, the Director of the Tulane Regional Primate Center, and the Vice Chancellor for Administration and Finance (hereinafter "designated officials") are designated to solicit, review, maintain and enforce this policy. In the case of the Uptown campus, the President, the Provost, the Deans of Architecture, Business, Engineering, Law, Liberal Arts and Sciences, Social Work, and University College, and the Senior Vice President for Operations and Chief Financial Officer (hereinafter "designated officials") are designated to solicit, review, maintain and enforce this policy.
The designated officials will review and seek to resolve any potential conflict of interest or significant financial interest. In the event the designated official cannot resolve the potential conflict of interest or significant financial interest, he/she may refer cases to a Conflict of Interest Committee (hereinafter COI Committee).
If a faculty or staff member has identified significant financial interests, outside professional activities, or relationships which could create an appearance of a conflict of interest in areas which could reasonably appear to be affected by the faculty or staff member's research or educational activities, these apparent conflicts of interest will be examined by a COI committee appointed by the designated official. In those instances where the institution is required to inform a sponsor or federal agency of an actual or perceived conflict, it will do so within the time frame specified. The institution will, where appropriate, inform the sponsor or agency of any noncompliance, of the action taken in response to this noncompliance, and the effect, if any, on any sponsored research project.
In addition to the annual disclosure outlined above, faculty and staff are required to update such disclosures on an as-needed basis, such as when there is a significant change in any of the categories of information. The following are instances in which a faculty or staff member must update his/her disclosure:
- He/she develops or discovers a conflict of interest;
- There is a change in significant financial interest which could affect research being undertaken.
- A disclosure is requested by the dean of his/her school for the purpose of implementing a school-specific policy;
- He/she is involved with a grant or other externally supported project that requires disclosure;
- A disclosure is required by Federal regulation.
All such updated disclosures shall be forwarded to the designated official. In those instances where there may be a newly arisen conflict, the designated official will refer the matter to the appropriate COI committee.
Faculty/Staff disclosure statements will be maintained in confidence by the designated officials; access by a Conflict of Interest Committee, appropriate University officers, or a Federal agency will be on a need-to-know basis. Such statements will be maintained for one year, except that in those cases where there is a sponsored research agreement, the period will be three years from the award completion date of the agreement or until resolution of any action regarding the records has been reached, whichever is longer.
Disclosures are to be used to determine whether a faculty or staff member has a conflict of interest. A faculty or staff member who refuses to comply with policies and procedures in relation to disclosure will be subject to penalties, as described below. Disclosures are to be made in writing. Members of the Executive Working Group submit their disclosures to the President.
Resolving a Conflict of Interest
When the appropriate COI committee determines that a possible conflict of interest exists, the committee will work with the faculty or staff member informally to resolve the issue. If a resolution is not possible, the following procedures apply:
- The report of the COI committee regarding the supposed conflict of interest will be forwarded to the designated official. The designated official, as appropriate, will initiate informal conflict resolution procedures to resolve the supposed conflict of interest.
- If an agreement on resolving the supposed conflict
of interest cannot be reached, the designated
official, with the assistance of University Counsel, will
prepare a written opinion as to whether reported
activities or commitments constitute a conflict of
interest, or whether a potential conflict of
interest exists and, if a conflict of interest
or potential conflict of interest exists, what
actions must be taken to eliminate or manage the
conflict, or reduce the possibility that a conflict might
arise in the future.
- The University expects the faculty or
staff member involved in a relationship in which
there is potential or actual member involved in a
relationship in which there is potential or actual
conflict of interest to disclose the relationship,
and to work with the appropriate University officer to
implement plans for resolving the situation promptly.
This may result in the liquidation of equity
interests or the discontinuation of research.
Examples of conditions or restrictions that might be
imposed to manage actual or potential conflicts of
interest include: public disclosure of significant
financial interests; monitoring of research by
independent reviewers; modification of the research plan;
disqualification from participation in all or a portion
of the research; divestiture of significant financial
interests; or severance of relationships that create
actual or potential conflicts.
- In cases where equity interest brings about a
conflict of interest, the faculty or
staff member will be expected to divest
himself/herself of the ownership, or to discontinue
participation in any research that may be compromised by
such ownership. The possibility of financial loss to the
faculty or staff member, or disruptions to
the outside firm, will not be regarded as justification
for failing to divest.
Should the faculty or staff member disagree with this opinion, he or she may request a hearing before the appropriate divisional or administrative grievance committee, with recourse to established faculty or staff appellate procedures.
Reporting a Violation
A faculty member, a staff member, or a student may report a situation involving conflict of interest. Such reports should be made to the designated official or the Office of the General Counsel, regardless of campus. The University is obligated to protect anyone who reports a violation from reprisal. The University will attempt to take responsible and appropriate measures to preserve his or her confidentiality.
The University reserves the right to assess penalties for those who breach this policy; possible penalties include, but are not limited to, reimbursement to the University for misused resources and/or dismissal from employment. Such penalties may only be assessed, however, consistent with proper procedures set forth elsewhere in this document, and in other relevant policy statements, such as those concerning grievance procedures, intellectual property, academic freedom, tenure, and responsibilities.
Certification on Behalf of the University
Those with signature authority of the University may certify to granting agencies that the process of obtaining disclosure statements and reviewing them is current and operational.
Designated Review Official
The designated officials of the University for purposes
of reviewing conflict of interest shall be the
President, the Senior Vice President for Academic Affairs
and Provost, the Senior Vice President for the Health
Sciences, the Deans of the Schools of Medicine, Public
Health and Tropical Medicine, Architecture, Business,
Engineering, Law, Liberal Arts and Sciences, Social Work,
and University College, the Director of the Tulane National
Primate Center, the Senior Vice President for Operations and
Chief Financial Officer, and the General Counsel.
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