9270
AR
Administrative Regulation
Conflict Of Interest
The Board of Education desires to maintain the highest ethical standards and help ensure that decisions are made in the best interest of the district and the public. Accordingly, no Board member, district employee, or other person in a designated position shall participate in the making of any decision for the district when the decision will or may be affected by their financial, family, or other personal interest or consideration.
Even if a prohibited conflict of interest does not exist, a Board member shall abstain from voting on personnel matters that uniquely affect their relatives. However, a Board member may vote on collective bargaining agreements and personnel matters that affect a class of employees to which their relative belongs. Relative means an adult who is related to the Board member by blood or affinity within the third degree, as determined by the common law, or an individual in an adoptive relationship within the third degree. (Education Code 35107)
A relationship within the third degree includes an individual's parents, grandparents, great-grandparents, children, grandchildren, great-grandchildren, brothers, sisters, aunts, uncles, nieces, nephews, and the similar family of the individual's spouse/registered domestic partner unless the individual is widowed or divorced.
Board of Education members shall not engage in any employment or activity which is inconsistent with, incompatible with, in conflict with or inimical to the Board member's duties as an officer of the district. (Government Code 1126) Board members shall not serve as Board members of the Redwood City Education Foundation.
The Board shall adopt for the district a conflict of interest code that incorporates the provisions of 2 CCR 18730 by reference, specifies the district's designated positions, and provides the disclosure categories required for each position. The conflict of interest code shall be submitted to the district's code reviewing body for approval, in accordance with Government Code 87303 and within the deadline for submission established by the code reviewing body. (Government Code 87303)
Upon direction by the code reviewing body, the Board shall review the district's conflict of interest code and submit any changes to the code reviewing body or, if no change is required, the district shall submit a written statement to that effect to the code reviewing body. If a change in the code is necessitated by changed circumstances, such as the creation of new designated positions, amendments or revisions, the amended code shall be submitted to the code reviewing body within 90 days after the changed circumstances necessitating the amendments have become apparent. (Government Code 87306)
When reviewing and preparing the district's conflict of interest codes, the Superintendent or designee shall provide officers, employees, consultants and members of the community adequate notice and a fair opportunity to present their views. (Government Code 87311)
If a Board member or designated employee determines that they have a financial interest in a decision, as described in Government Code 87103, this determination shall be disclosed. The member shall be disqualified from voting unless their participation is legally required. (2 CCR 18700)
Board members and designated employees shall annually file a Statement of Economic Interest/Form 700 in accordance with the disclosure categories specified in the district's conflict of interest code. A Board member who leaves office or a designated employee who leaves district employment shall, within 30 days, file a revised statement covering the period of time between the closing date of the last required statement and the date of leaving office or district employment. (Government Code 87302, 87302.6)
Conflict of Interest under the Political Reform Act
A Board member, designated employee, or other person in a designated position shall not make, participate in making, or in any way use or attempt to use their official position to influence a governmental decision in which they know or have reason to know that they have a disqualifying conflict of interest. A disqualifying conflict of interest exists if the decision will have a "reasonably foreseeable material financial effect," which is distinguishable from the effect on the public generally, on the Board member, designated employee, or other person in a designated position, their immediate family, or any financial interest described in 2 CCR 18700. (Government Code 87100, 87101, 87103; 2 CCR 18700-18709)
A Board member, designated employee, or other person in a designated position makes a governmental decision when they, acting within the authority of their office or position, authorizes or directs any action on a matter, votes or provides information or opinion on it, contacts or appears before a district official for the purpose of affecting the decision, or takes any other action specified in 2 CCR 18704.
However, a Board member shall participate in the making of a contract in which they have a financial interest if their participation is required by the rule of necessity or legally required participation pursuant to Government Code 87101 and 2 CCR 18705.
Conflict of Interest under Government Code 1090 - Financial Interest in a Contract
Board members, employees, or district consultants shall not be financially interested in any contract made by the Board on behalf of the district, including in the development, preliminary discussions, negotiations, compromises, planning, reasoning, and specifications and solicitations for bids. If a Board member has such a financial interest in a contract made by the Board, the contract is void. (Government Code 1090)
A Board member shall not be considered to be financially interested in a contract in which they have only a "remote interest," as specified in Government Code 1091, if the interest is disclosed during a Board meeting and noted in the official Board minutes. The affected Board member shall not vote or debate on the matter or attempt to influence any other Board member or district official to enter into the contract. (Government Code 1091)
In addition, a Board member shall not be considered to be financially interested in a contract in which their interest is a "noninterest" as defined in Government Code 1091.5. Noninterest includes a Board member's interest in being reimbursed for their actual and necessary expenses incurred in the performance of their official duties, in the employment of their spouse/registered domestic partner who has been a district employee for at least one year prior to the Board member's election or appointment, or in any other applicable circumstance specified in Government Code 1091.5.
Common Law Doctrine Against Conflict of Interest
A Board member shall abstain from any official action in which their private or personal interest may conflict with their official duties.
Incompatible Offices and Activities
Board members shall not engage in any employment or activity or hold any office which is inconsistent with, incompatible with, in conflict with, or inimical to the Board member's duties as an officer of the district. (Government Code 1099, 1126)
Gifts
Board members and designated employees may accept gifts only under the conditions and limitations specified in Government Code 89503 and 2 CCR 18730.
The limitation on gifts does not apply to wedding gifts and gifts exchanged between individuals on birthdays, holidays, and other similar occasions, provided that the gifts exchanged are not substantially disproportionate in value. (Government Code 89503)
In addition, the limitation on gifts does not apply to informational materials such as books, reports, pamphlets, calendars, and periodicals. (Government Code 82028)
Gifts of travel and related lodging and subsistence shall be subject to the current gift limitation, except when: (Government Code 89506)
- The travel is in connection with a speech given by a Board member or designated employee, provided the lodging and subsistence expenses are limited to the day immediately preceding, the day of, and the day immediately following the speech and the travel is within the United States.
- The travel is provided by a person or agency specified in Government Code 89506, including a government, governmental agency or authority, bona fide public or private educational institution, as defined in Revenue and Taxation Code 203, or nonprofit organization exempt from taxation under section 501(c)(3) of the Internal Revenue Code.
Gifts of travel exempted from the gift limitation, as described in items #1 and 2 above, shall nevertheless be reportable on the recipient's Statement of Economic Interest/Form 700 as required by law.
A gift of travel does not include travel provided by the district for Board members and designated employees. (Government Code 89506)
Honoraria
Board members and designated employees shall not accept any honorarium, which is defined as any payment made in consideration for any speech given, article published, or attendance at any public or private conference, convention, meeting, social event, meal, or like gathering. (Government Code 89501, 89502)
The term honorarium does not include: (Government Code 89501)
- Earned income for personal services customarily provided in connection with a bona fide business, trade, or profession, unless the sole or predominant activity of the business, trade, or profession is making speeches
- Any honorarium which is not used and, within 30 days after receipt, is either returned to the donor or delivered to the district for donation into the general fund without being claimed as a deduction from income for tax purposes
Legal & Management References
State
2 CCR 18110-18997 - Regulations of the Fair Political Practices Commission
2 CCR 18438.1-18438.8 - Campaign contribution-based conflicts of interest
2 CCR 18700-18760 - Conflicts of Interest
2 CCR 18722-18740 - Disclosure of interests
2 CCR 18753-18756 - Conflict of interest codes
2 CCR 18940.2 - Gift limit amount
Ed. Code 1006 - Prohibition against school district employees serving on county board of education
Ed. Code 35107 - School district employees
Ed. Code 35230-35240 - Corrupt practices
Ed. Code 35233 - Prohibitions applicable to members of governing boards
Ed. Code 41000-41003 - Moneys received by school districts
Ed. Code 41015 - Investments
Fam. Code 297.5 - Rights, protections, and benefits of registered domestic partners
Gov. Code 1090-1099 - Prohibitions applicable to specified officers
Gov. Code 1125-1129 - Incompatible activities
Gov. Code 53234-53235.2 - Ethics training
Gov. Code 81000-91014 - Political Reform Act
Gov. Code 82011 - Code reviewing body
Gov. Code 82019 - Definition; designated employee
Gov. Code 82028 - Definition; gift
Gov. Code 82030 - Definition; income
Gov. Code 82033 - Definition; interest in real property
Gov. Code 82034 - Definition; investment
Gov. Code 84308 - Campaign disclosure
Gov. Code 87100-87505 - Political Reform Act; conflict of interest
Gov. Code 89501-89503 - Honoraria and gifts
Gov. Code 89506 - Ethics; travel
Gov. Code 91000-91014 - Enforcement
Pen. Code 85-88 - Bribes
Pub. Cont. Code 6102 - Bribery of public official; voidable contract
Rev. & Tax Code 203 - Taxable and exempt property - colleges
Management Resources
Attorney General Opinion - 105 Ops.Cal.Atty.Gen.69 (2022)
Attorney General Opinion - 63 Ops.Cal.Atty.Gen. 868 (1980)
Attorney General Opinion - 65 Ops.Cal.Atty.Gen. 606 (1982)
Attorney General Opinion - 68 Ops.Cal.Atty.Gen. 171 (1985)
Attorney General Opinion - 69 Ops.Cal.Atty.Gen. 255 (1986)
Attorney General Opinion - 80 Ops.Cal.Atty.Gen. 320 (1997)
Attorney General Opinion - 81 Ops.Cal.Atty.Gen. 327 (1998)
Attorney General Opinion - 82 Ops.Cal.Atty.Gen. 83 (1999)
Attorney General Opinion - 85 Ops.Cal.Atty.Gen. 60 (2002)
Attorney General Opinion - 86 Ops.Cal.Atty.Gen. 138(2003)
Attorney General Opinion - 89 Ops.Cal.Atty.Gen. 217 (2006)
Attorney General Opinion - 92 Ops.Cal.Atty.Gen. 19 (2009)
Attorney General Opinion - 92 Ops.Cal.Atty.Gen. 26 (2009)
Court Decision - Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261
Court Decision - Klistoff v. Superior Court (2007) 157 Cal.App.4th 469
Court Decision - Kunec v. Brea Redevelopment Agency (1997) 55 Cal.App.4th 511
Court Decision - McGee v. Balfour Beatty Construction, LLC, et al. (2016) 247 Cal. App. 4th 235
Court Decision - Thorpe v. Long Beach Community College District (2000) 83 Cal.App.4th 655
CSBA Publication - Conflict of Interest: Overview of Key Issues for Governing Board Members, Fact Sheet, July 2010
Fair Political Practices Commission Publication - Advice Letter: A-96-314 (December 18, 1996)
Fair Political Practices Commission Publication - Can I Vote? A Basic Overview of Public Officials' Obligations Under the Conflict-of-Interest Rules, 2005
Institute For Local Government Publication - Understanding the Basics of Public Service Ethics: Personal Financial Gain Laws, 2009
Institute for Local Government Publication - Understanding the Basics of Public Service Ethics: Transparency Laws, 2009
Website - CSBA District and County Office of Education Legal Services
Website - Institute for Local Government
Website - Fair Political Practices Commission
Website - CSBA
Cross References
1340 AR Access To District Records
3230 AR Federal Grant Funds
3300 BP Expenditures And Purchases
3311 AR Bids
3430 AR Investing
3470 BP Debt Issuance And Management
3512 AR Equipment
4112.8 BP Employment Of Relatives
4117.2 BP Resignation
4136 BP Nonschool Employment
4212.8 BP Employment Of Relatives
4217.2 BP Resignation
4236 BP Nonschool Employment
4312.8 BP Employment Of Relatives
4317.2 BP Resignation
4336 BP Nonschool Employment
7214 AR General Obligation Bonds
9000 AR Role Of The Board
9005 AR Governance Standards
9140 AR Board Representatives
9200 AR Limits Of Board Member Authority
9220 AR Governing Board Elections
9222 AR Resignation
9230 AR Orientation
9320 AR Meetings And Notices
9323 AR Meeting Conduct