Code Number: 200.3
Board members must be able to make decisions objectively. It is a conflict of interest for a Board member to receive direct compensation from the District, unless exempted in law or in policy, for anything other than reimbursement of actual and necessary expenses, including travel, incurred in the performance of official duties. A Board member will not act as an agent for school textbooks or school supplies including sports apparel or equipment, in any transaction with a director, officer, or another staff member of the District during the Board member’s term of office.
Generally, a Board member shall not have an interest, direct, or indirect, in a contract for the purchase of goods, including materials and profits, and the performance of services for the District. However, this prohibition does not apply to contracts for the purchase of goods or services which benefit a Board member, or to compensation for part-time or temporary employment which benefits a Board member, if the benefit to the Board member does not exceed $6,000 in a fiscal year, or to contracts made by the Board upon competitive bid in writing, publicly invited and opened.
The conflict of interest provisions do not apply to a contract that is a bond, note, or other obligation of a
school corporation if the contract is not acquired directly from the school corporation, but is acquired in a transaction with a third party, who may or may not be the original underwriter, purchaser, or oblige of the
contract, or to a contract in which the Board member has an interest solely by reason of employment if the contract is made by competitive bid, in writing, publicly invited and opened, or if the remuneration for employment will not be directly affected as a result of the contract and the duties of employment do not involve the preparation or procurement of any part of the contract. The competitive bid qualification of the conflict of interest provisions does not apply to a contract for professional services not customarily awarded by competitive bid.
It will also be a conflict of interest for a Board member to engage in any outside employment or activity which is in conflict with the Board member’s official duties and responsibilities. In determining whether outside employment or activity of a Board member creates a conflict of interest, situations in which an unacceptable conflict of interest is deemed to exist include, but are not limited to, any of the following:
- The outside employment or activity involves the use of the District’s time, facilities, equipment, and supplies or the use of a District badge, uniform, business card, or other evidence of office to give the Board member or member of the Board member’s immediate family an advantage or pecuniary benefit that is not available to other similarly situated members or classes of members of the general public. For purposes of this section, a person is not “similarly situated” merely by being related to a Board member.
- The outside employment or activity involves the receipt of, a promise of, or acceptance of money or other consideration by the Board member, or a member of the Board member’s immediate family, from anyone other than the state or the District for the performance of any act that the Board member would be required or expected to perform as part of the Board member’s regular duties or during the hours in which the Board member performs service or work for the District.
- The outside employment or activity is subject to the official control, inspection, review, audit, or enforcement authority of the Board member, during the performance of the Board member’s duties of office or employment.
If the outside employment or activity is employment or activity in (1) or (2) above, the Board member must cease the employment or activity. If the activity or employment falls under (3), then the Board member must:
- Cease the outside employment or activity; or,
- Publicly disclose the existence of the conflict and refrain from taking any official action or performing any official duty that would detrimentally affect or create a benefit for the outside employment or activity. Official action or official duty includes, but is not limited to, participating in any vote, taking affirmative action to influence any vote, or providing any other official service or thing that is not available generally to members of the public in order to further the interests of the outside employment or activity.
When procurement is supported by the Federal Child Nutrition funds, Board members will not participate in the selection, award, or administration of a contract if there is a real or apparent conflict of interest in the contract. Contract, for purposes of this paragraph, includes a contract where the Board member, Board member’s immediate family, partner, or non-school District employer of these individuals is a party to the contract.
It is the responsibility of each Board member to be aware of an actual or potential conflict of interest. It is also the responsibility of each Board member to take the action necessary to eliminate such a conflict of interest. Should a conflict of interest arise, a Board member should not participate in any action relating to the issue from which the conflict arose.
- First Adoption:
- 2015-05-11
- Revision Adoption:
- February 10, 2020
- Reviewed Dates:
- January 21, 2020
- Legal Reference:
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2 C.F.R. 200.318
Iowa Code §§ 68B; 71.1; 277.27; 279.7A; 301.28