5 C.F.R. § 7501.105 – Outside activities.

(a) Prohibited outside activities. Subject to the exceptions set forth in paragraph (b) of this section, HUD employees, except special Government employees, shall not engage in:
1. (1) Employment with a business related to real estate or manufactured housing including, but not limited to, real estate brokerage, management and sales, architecture, engineering, mortgage lending, property insurance, appraisal services, title search services, construction, construction financing, land planning, or real estate development;
2. (2) The operation or management of investment properties to the extent that it rises to the level of a real estate-related business. HUD will determine whether an employee is operating or managing investment properties to an extent that it rises to the level of a real estate business based on the totality of the circumstances, and will consider whether the employee maintains an office; advertises or otherwise solicits clients or business; hires staff or employees; uses business stationary or other similar materials; files the business as a corporation, limited liability company, partnership, or other type of business association with a state government; establishes a formal or informal association with an existing business; hires a management company; and the nature and number of its investment properties;
3. (3) Employment with a person or entity who registered as a lobbyist or lobbyist organization pursuant to 2 U.S.C 1603(a) and engages in lobbying activity concerning the Department;
4. (4) Employment as an officer or director with a Department-approved mortgagee, a lending institution, or an organization that services securities for the Department; or
5. (5) Employment with the Federal Home Loan Bank System or any affiliate thereof.
(b) Exceptions to employment prohibitions. The prohibitions set forth in paragraph (a) of this section do not apply to:
1. (1) Serving as an officer or a member of the Board of Directors of:
  1. (i) A Federal Credit Union;
  2. (ii) A cooperative, condominium association, or homeowners association for a housing project that is not subject to regulation by the Department or, if so regulated, in which the employee personally resides; or
  3. (iii) An entity designated in writing by the Designated Agency Ethics Official.
2. (2) Holding a real estate agent's license; however, use of the license is limited as provided by paragraph (c) of this section.
(c) Prior approval requirement.
1. (1) Employees, except special Government employees, shall obtain the prior written approval of an Agency Ethics Official before accepting compensated or uncompensated employment:
  1. (i) As an officer, director, trustee, or general partner of, or in any other position of authority with a prohibited source, as defined at 5 CFR 2635.203(d);
  2. (ii) With a state or local government;
  3. (iii) In the same professional field as that of the employee's official position; or
  4. (iv) As a real estate agent in relation to purchasing or selling a single family property for use as the employee's primary residence, or the primary residence of the employee's immediate family member.
2. (2) Approval shall be granted unless the conduct is inconsistent with 5 CFR part 2635 or this part.
(d) Liaison representative. An employee designated to serve in an official capacity as the Department's liaison representative to an outside organization is not engaged in an outside activity to which this section applies. Notwithstanding, an employee may be designated to serve as the Department's liaison representative only as authorized by law, and as approved by the Department under applicable procedures.