BBFA(LEGAL) - ETHICS: CONFLICT OF INTEREST DISCLOSURES

Substantial Interest Affidavit and Abstention under Local Government Code Chapter 171

  1. In the case of a substantial interest in a business entity, the action on the matter will have a special economic effect on the business entity that is distinguishable from the effect on the public; or
  2. In the case of a substantial interest in real property, it is reasonably foreseeable that an action on the matter will have a special economic effect on the value of the property, distinguishable from its effect on the public.

Definitions

"Substantial Interest"

  1. The person owns:
    1. Ten percent or more of the voting stock or shares of the business entity, or
    2. Either ten percent or more or $15,000 or more of the fair market value of the business entity; or
  2. Funds received by the person from the business entity exceed ten percent of the person's gross income for the previous year.

"Local Public Official"

"Business Entity"

Majority Conflict

Separate Vote on Budget

Violations

  1. Violates Local Government Code 171.004, above;
  2. Acts as surety for a business entity that has work, business, or a contract with the governmental entity; or
  3. Acts as surety on any official bond required of an officer of the governmental entity.

Voidable Actions

Substantial Interest Declaration and Abstention under Education Code 51.923

Definitions

"Substantial Interest"

  1. The member owns one percent or more of the voting stock or shares of the business entity or owns either one percent or more or $15,000 or more of the fair market value of the business entity;
  2. Funds received by the member from the business entity exceed one percent of the member's gross income for the previous year;
  3. The member is an officer of the business entity or a member of the governing board of the business entity; or
  4. An individual related to the member in the first degree by consanguinity or affinity, as determined under Government Code Chapter 573 has an interest in the business entity as described by item 1, 2, or 3.

"Business Entity"

Conflicts Disclosure Statement

  1. Has an employment or other business relationship with the local government officer or a family member of the officer that results in the officer or family member receiving taxable income, other than investment income, that exceeds $2,500 during the 12-month period preceding the date that the officer becomes aware that a contract between the local governmental entity and vendor has been executed or the local governmental entity is considering entering into a contract with the vendor;
  2. Has given to the local government officer or a family member of the officer one or more gifts that have an aggregate value of more than $100 in the 12-month period preceding the date the officer becomes aware that a contract between the local governmental entity and vendor has been executed; or the local governmental entity is considering entering into a contract with the vendor; or
  3. Has a family relationship with the local government officer.
  1. A political contribution as defined by Election Code Title 15; or
  2. Food accepted as a guest.

Violations

Definitions

"Local Government Officer"

"Agent"

"Family Member"

"Family Relationship"

"Vendor"

"Records Administrator"

"Gift"

"Investment Income"

  1. A personal or business:
    1. Checking or savings account;
    2. Share draft or share account; or
    3. Other similar account;
  2. A personal or business investment; or
  3. A personal or business loan.

Internet Posting Requirement

Affidavit Disclosing Interest in Property

  1. State the name of the public servant;
  2. State the public servant's office, public title, or job designation;
  3. Fully describe the property;
  4. Fully describe the nature, type, and amount of interest in the property, including the percentage of ownership interest;
  5. State the date when the person acquired an interest in the property;
  6. Include a verification as follows: "I swear that the information in this affidavit is personally known by me to be correct and contains the information required by Section 553.002, Government Code" [see BBFA(EXHIBIT)]; and
  7. Contain an acknowledgment of the same type required for recording a deed in the deed records of the county.

Violations

Definition of "Public Servant"

  1. A candidate for nomination or election to public office; or
  2. An officer of government.

Tyler Junior College

BBFA(LEGAL)-LJC

UPDATE 33

DATE ISSUED: 12/12/2017