BBFA(LEGAL) - ETHICS: CONFLICT OF INTEREST DISCLOSURES

Note: For information regarding conflicts of interest and depository contracts, see BDAE.

Substantial Interest Affidavit

  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.

Abstention Exception

Definitions

Local Public Official

Substantial Interest

Business Entity
  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.
Real Property
First-Degree Relatives

Separate Vote on Budget

Violations

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

Voidable Actions

Private Corporation

Conflicts Disclosure Statement

  1. Has an employment or other business relationship with the local government officer or a family member of the officer, and the business relationship 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:
    1. A contract between the district and the vendor has been executed; or
    2. The district 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, and the gift or gifts have an aggregate value of more than $100 in the 12-month period preceding the date the officer becomes aware that:
    1. A contract between the district and the vendor has been executed; or
    2. The district is considering entering into a contract with the vendor; or
  3. Has a family relationship with the local government officer.

Gifts—Exception

  1. A political contribution as defined by Election Code Title 15; or
  2. Food accepted as a guest.

Filing Date

Vendor Questionnaire

Definitions

Agent

Business Relationship

  1. A transaction that is subject to rate or fee regulation by a federal, state, or local governmental entity or an agency of a federal, state, or local governmental entity;
  2. A transaction conducted at a price and subject to terms available to the public; or
  3. A purchase or lease of goods or services from a person that is chartered by a state or federal agency and that is subject to regular examination by, and reporting to, that agency.

Contract

Family Member

Family Relationship

Gift

Investment Income

  1. A personal or business checking or savings account, share draft or share account, or other similar account;
  2. A personal or business investment; or
  3. A personal or business loan.

Local Government Officer

Records Administrator

Vendor

Duties of Records Administrator

  1. Maintain a list of local government officers of the district and shall make that list available to the public and any vendor who may be required to file a conflict of interest questionnaire under Local Government Code 176.006; and
  2. Maintain the statements and questionnaires that are required to be filed under Government Code Chapter 176 in accordance with the district's records retention schedule. [See CPC]

Internet Posting

Violations

Affidavit Disclosing Interest in Property

  1. State the name of the public servant and the public servant's office, public title, or job designation;
  2. Fully describe the property;
  3. Fully describe the nature, type, and amount of interest in the property, including the percentage of ownership interest;
  4. State the date when the person acquired an interest in the property;
  5. 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"; and
  6. Contain an acknowledgment of the same type required for recording a deed in the deed records of the county.

Definition

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

Violations

Trustee Financial Statement

  1. A board member has failed to comply with filing and recusal requirements applicable to the member under Local Government Code Chapter 171;
  2. The district financial accounting practices are not adequate to safeguard state and district funds; or
  3. The district has not met a standard set by the commissioner in the financial accountability rating system.

Violations

White Deer ISD

BBFA(LEGAL)-P

UPDATE 118

DATE ISSUED: 10/13/2021