Monies that a JLEA pays to a CI in the form of fees and rewards shall be commensurate with the value, as determined by the JLEA, of the information he or she provided or the assistance he or she rendered to that JLEA. A JLEA's reimbursement of expenses incurred by a CI shall be based upon actual expenses incurred.
Prohibition Against Contingent Payments
Under no circumstances shall any payments to a CI be contingent upon the conviction or punishment of any individual.
Approval for a Single Payment
A single payment of between $2,500 and $25,000 per case to a CI must be authorized, at a minimum, by a JLEA's Senior Field Manager. A single payment in excess of $25,000 per case shall be made only with the authorization of the Senior Field Manager and the express approval of a designated senior headquarters official.
Approval for Annual Payments
Consistent with paragraph (III)(B)(3) above, payments by a JLEA to a CI that exceed an aggregate of $100,000 within a one-year period, as that period is defined by the JLEA, shall be made only with the authorization of the Senior Field Manager and the express approval of a designated senior headquarters official. The headquarters official may authorize additional aggregate annual payments in increments of $50,000 or less.
Approval for Aggregate Payments
Consistent with paragraphs (III)(B)(3)-(4), and regardless of the time frame, any payments by a JLEA to a CI that exceed an aggregate of $200,000 shall be made only with the authorization of the Senior Field Manager and the express approval of a designated senior headquarters official. After the headquarters official has approved payments to a CI that exceed an aggregate of $200,000, the headquarters official may authorize, subject to paragraph (III)(B)(4) above, additional aggregate payments in increments of $100,000 or less.
Documentation of Payment
The payment of any monies to a CI shall be witnessed by at least two law enforcement representatives. Immediately afer receiving a payment, the CI shall be required to sign or initial, and date, a written receipt.8 At the time of the payment, the representatives shall advise the CI that the monies may be taxable income that must be reported to appropriate tax authorities. Thereafter, those representatives shall document the payment and the advice of taxability in the JLEA's files. The documentation of payment shall specify whether the payment is for information, services, or expenses.
Accounting and Reconciliation Procedures
Each JLEA shall establish accounting and reconciliation procedures to comply with these Guidelines. Among other things, these procedures shall reflect all monies paid to a CI subsequent to the issuance of these Guidelines.
Coordination with Prosecution
In situations where a FPO is either participating in the conduct of an investigation by a JLEA that is utilizing a CI, or working with a CI in connection with a prosecution, the JLEA shall coordinate with the attorney assigned to the matter, in advance whenever possible, the payment of monies to the CI pursuant to paragraphs (III)(B)(3)-(5) above.
8 The CI may sign or initial the written receipt by using a pseudonym which has been previously approved and documented in the CI's files and designated for use by only one CI.