1. For those situations where a blind trust may be utilized by a State officer or employee or special State officer or employee, his/her spouse or domestic partner or dependent children, and approved by the Commission, such trust shall contain the following characteristics:
a. The trust shall not contain investments or assets in which the holder's ownership right or interest is required to be recorded in a public office or those assets whose permanency makes transfer by the trustee improbable or impractical; these investments or assets would include, but not be limited to, businesses, real estate, security interests in personal property and mortgages;
b. The trust shall contain a clear statement of its purpose, namely, to remove from the grantor control and knowledge of investment of trust assets so that conflicts between grantor's responsibilities and duties as a public employee or public officer and his or her private business or financial interests will be eliminated;
c. The trust shall be irrevocable, and shall be terminated only upon the death of the public employee or public officer or upon termination of his or her status as a public employee or public officer whichever shall first occur;
d. The trustee shall be directed not to disclose to the grantor any information about any of the assets in the trust;
e. The trustee shall be required either to:
(1) prepare and file the grantor's personal income tax returns, withholding from distribution of the trust's net income amounts sufficient to pay the grantor's tax; and further to participate in the audit of the grantor's returns during the period of the trust with authority to compromise the grantor's tax liability; or
(2) submit to the grantor, for income tax purposes, a certification of income paid without identifying the assets producing such income;
f. Among its other powers, the trustee shall have authority to determine whether any of the assets originally transferred to the trustee are to be sold and, if so, when;
g. A provision shall be included in the trust agreement prohibiting the trustee from investing the trust property in corporations or businesses which do a significant amount of business with the State of New Jersey or from knowingly making any investment in a corporation, business or venture over which the grantor has regulatory or supervisory authority by virtue of his or her official position;
h. The grantor shall retain no control over the trustee nor shall he or she be permitted to make any recommendations or suggestions as to the trust property;
i. The trustee may be a commercial trustee or a natural person.
j. The principal benefit to be retained by the grantor shall be the right to receive income from the assets transferred to the trust;
k. The trust shall not become effective until submitted and approved by the Commission; and
l. The trust agreement shall provide the trustee will give the Commission access to any records or information related to the trust which is necessary for the performance of the Commission's duties.
2. A copy of the executed blind trust agreement shall be filed with the Commission and with the head of the department in which the State officer or employee holds his/her position. If the grantor is the head of the department, a copy of the executed blind trust shall be filed with the Chief Counsel to the Governor. Attached to such copy shall be a brief statement outlining the business or financial interests from which the State officer or employee seeks to remove himself/herself and the actual or potential conflicts of interest, or appearance of such conflicts, which he/she seeks to avoid by use of the trust agreement.

August 29, 2006