THE WHITE HOUSE WASHINGTON February 28, 2017 The Honorable Walter M. Shaub, Jr. Director US. Of?ce of Government Ethics 1201 New York Avenue, NW Suite 500 Washington, DC 20005 Dear Mr. Shaub: Thank you for your letter of February 13, 2017, regarding the Administration?s compliance with the Standards of Of?cial Conduct for Employees of the Executive Branch (?Standards of Conduct?). Please accept this correspondence as a continuation of my February 9, 2017 telephone conversation with Mr. David J. Apol, General Counsel of the US. Of?ce of Government Ethics after I was unsuccessful in my initial efforts to reach you by telephone. As we have previously discussed, this Administration is committed to complying with the ethical obligations set forth in the Standards of Conduct. We note initially that although many regulations promulgated by the Of?ce of Government Ethics do not apply to employees of the Executive Of?ce of the President, the Of?ce of the White House Counsel has instructed all such employees to abide by 3 CF 100.1 which provides: ?Employees of the Executive Of?ce of the President are subject to the executive branch-wide standards of ethical conduct at 5 CFR Part 2635, and the executive branch-wide ?nancial disclosure regulations at 5 CFR Part 2634.?1 To that end, the Of?ce of the White House Counsel continues to work to provide all employees of the Executive Of?ce of the President with direct instruction on the standards they are expected to follow during their employment at the White House. We have been providing 1 The Ethics in Government Act of 1978 states that the Director of the OGE is authorized only to provide overall direction of Executive branch policies related to of?cers and employees ?of any executive agency, as de?ned in section 105 of title 5, United States Code." See 5 U.S.C. App. 402(a). Thus, while employees of the White House Of?ce are not agency ?employees? as referred to in 5 CFR. 2635.702(c) and as de?ned by 5 CF the Of?ce of the White House Counsel has instructed all employees of the White House Of?ce that they are still subject to 5 CFR Part 2635 by operation of3 loo. 1. specialized training to individual components within the Executive Of?ce of the President on disclosure issues, con?icts of interest, gifts, travel, the Presidential Records Act, the STOCK Act, use of of?cial resources and position (personal and political), the Hatch Act, outside income, and post-employment issues. We are also continuously advising employees on an individual basis as questions arise in the course of their official duties. In addition, on January 28, 2017, the President issued an Executive Order on Ethics Commitments by Executive Branch Appointees (130 13770), which imposes signi?cant additional ethical obligations on those who join the Administration. This of?ce has also issued written guidance to all employees of the Executive Of?ce of the President on a number of issues including the Standard of Conduct?s prohibition on using one?s official position to endorse any product, service, or enterprise. The Office of the White House Counsel also takes seriously its role in reviewing allegations of purported individual violations of the Standards of Conduct and recommending appropriate corrective or disciplinary action as it deems apprOpriate. Consistent with this commitment to ethical compliance, the Of?ce of White House Counsel immediately undertook a review of the facts and circumstances surrounding comments made by Counselor to the President Kellyanne Conway, relating to the business interests of the President?s daughter Ivanka Trump, during a February 9, 2017 appearance on a news program.2 As part of the subsequent review, I have personally met with Ms. Conway to review the Standards of Conduct that employees of the Executive Of?ce of the President are expected to follow, including the provisions relating to the appropriate use of one?s of?cial position. Upon completion of our inquiry, we concluded that Ms. Conway acted inadvertently and is highly unlikely to do so again. It is noted that Ms. Conway made the statement in question in a light, off-hand manner while attempting to stand up for a person she believed had been unfairly treated and did so without nefarious motive or intent to bene?t personally. Both before and after receiving your letter, I personally met with Ms. Conway and advised her that her comments regarding Ms. Trump?s products implicated the prohibition on using one?s of?cial position to endorse any product or service. Ms. Conway has acknowledged her understanding of the Standards and has reiterated her commitment to abiding by them in the future. 2 You will recali, and Mr. Apol will con?rm, that at approximately 9:45 am on the morning of February 9, shortly after Ms. Conway?s statement, our of?ce contacted Mr. Apol to advise OGE that the Of?ce of. the White House Counsel was aware of Ms. Conway?s comments and would be reviewing the matter internally. We look forward to continuing to work with you and the Of?ce of Government Ethics to ensure compliance with the highest ethical standards throughout Government. g? Stefan . Passantino Deputy Counsel to the President, Compliance and Ethics Sincerely, cc: The Honorable Jason Chaffetz The Honorable Elijah E. Cummings Ms. Kellyanne Conway