Public officials are required to conduct the public's business free of prohibited conflicts of interest. Conflict of interest laws and implementing regulations are highly technical, and are updated periodically. As required by Government Code Section 53234 et seq., local public officials must complete specific ethics training. In addition to and consistent with such training, agencies should ensure that their public officials continue to be informed of the requirements of conflict of interest laws, and that appropriate procedures have been adopted for their implementation.
(Res. 08-18 § 1B 2035.1)
A board member ("director") will not have a financial interest in a contract with the district, or be purchased at a sale by the district or a vendor at a purchase made by the district, unless the board member's participation was authorized under Government Code Section 1091. A director will not in any way attempt to use his or her official position to influence a decision of the board, if he or she has a prohibited interest with respect to the matter, as defined in the Political Reform Act, Government Code Section 81000 et seq. relating to financial conflicts of interest. Generally, a director has a decision that would have a material financial effect (as defined by the Fair Political Practices Commission's regulations) that is distinguishable from the effect on the public generally on:
A. 
A business entity in which the director has a direct or indirect investment in the amount specified in FPPC regulations;
B. 
Real property in which the director has a direct or indirect investment or interest, with a worth in the amount specified in FPPC regulations;
C. 
A source of income of the director in the amount specified in FPPC regulations, within 12 months before the board decision;
D. 
A source of gifts to the director in an amount specified in FPPC regulations, within 12 months before the board decision; or
E. 
A business entity in which the director holds a position as a director, trustee, officer, partner, manager or employee.
An "indirect interest" means any investment or interest owned by the spouse or dependent child of the director, by an agent on behalf of the director, or by a business entity or trust in which the director or the director's spouse, dependent child or agent owns directly, indirectly or beneficially a 10 percent interest or greater. A director will not accept gifts or honoraria that exceed the limitations specified in the Fair Political Practices Act or FPPC regulations. Board members will report all gifts, honoraria, campaign contributions, income and financial information as required under the district's conflict of interest code and the provisions of the Fair Political Practices Act and the FPPC regulations.
(Res. 08-18 § 1B 2035.2; Amended during 2010 codification)
If a member of the board believes that he or she may be disqualified from participation in the discussion, deliberation or vote on a particular matter due to a conflict of interest, the following procedure will be followed:
A. 
If the director becomes aware of the potential conflict of interest before the board meeting at which the matter will be discussed or acted on, the director will notify the district's general manager of the potential conflict of interest, so that a determination can be made whether it is a disqualifying conflict of interest;
B. 
If it is not possible for the director to discuss the potential conflict with the general manager before the meeting, or if the director does not become aware of the potential conflict until during the meeting, the director will immediately disclose the potential conflict during the board meeting, so that there can be a determination whether it is a disqualifying conflict of interest;
C. 
Upon a determination that there is a disqualifying conflict of interest, the director will not participate in the discussion, deliberation or vote on the matter for which a conflict of interest exists, which will be so noted in the board minutes; and
D. 
The director shall leave the room until after the discussion, vote and any other disposition of the matter are concluded, unless the matter has been placed on the portion of the agenda reserved for uncontested matters, except that the director may speak on the issue during the time that the general public speaks on the issue.
(Res. 08-18 § 1B 2035.3; Amended during 2010 codification)
A board member will not recommend the employment of a relative by the district. In addition, a board member will not recommend the employment of a relative to any person known by the board member to be bidding for or negotiating a contract with the district.
(Res. 08-18 § 1B 2035.4)
No director shall willingly or knowingly accept a gift that may create the impression of conflict of interest, or otherwise violate the disqualification provisions of the Political Reform Act of 1974. A director who knowingly asks for, accepts or agrees to receive any gift, reward or promise thereof for doing an official act, except as may be authorized by law, may be guilty of a misdemeanor under Penal Code Section 70.
(Res. 08-18 § 1B 2035.5)
A director who willfully and knowingly discloses for pecuniary gain confidential information received by him or her in the course of his or her official duties may be guilty of a misdemeanor under Government Code Section 1098.
(Res. 08-18 § 1B 2035.6)