The purpose of the conflict of interest policy is to protect the tax-exempt status of the Fonda-Fultonville School District when it is contemplating entering into a transaction or arrangement that might benefit the private interest of an administrator, employee or Board Member in which could result in a possible excess benefit transaction.
A person has a financial interest if the person has, directly or indirectly through business, investment, or family:
1. An ownership or investment interest in any entity with which the District has a transaction or agreement.
2. A compensation arrangement with the District or with any entity or individual with which the District has a transaction or arrangement, or
3. A potential ownership or investment interest in, or compensation arrangement with, any entity or individual with which the District is negotiating a transaction or arrangement.
Compensation includes direct and indirect remuneration as well as gifts or favors that are not insubstantial.
A financial interest is not necessarily a conflict of interest. A person who has a financial interest may have a conflict of interest if the appropriate governing board or committee decides that a conflict of interest exists. In connection with any actual or possible conflict of interest, an interested person must disclose the existence of the financial interest and be given the opportunity to disclose all material facts to the directors and members of committees with governing board delegated powers considering the proposed transaction or arrangement. After disclosure of the financial interest and all material facts, and after any discussion with the interested person, the board or committee members shall decide if a conflict exists.
If it is decided upon that a conflict of interest does exist, the following procedures must be followed:
1. A voting member of the governing board who receives compensation, directly or indirectly, from the District or outside agency for services is precluded from voting on matters pertaining to that member’s compensation.
2. A voting member of any committee whose jurisdiction includes compensation matters and who receives compensation, directly or indirectly, from the District or outside agency for services is precluded from voting on matters pertaining to that member’s compensation.