09-28-1992 Council Packet - Laserfiche WebLink

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I LMCI) HOARD OF DIRECTORS AuRUSt 26. 1992 VOTE: Motion carried, Grathwol. Babcock. Cochran and Stocum voting nay. UNFINTSHEI) HUS I NESS application toA. Conflict of Interest Policy Statement - on-going circumstances. Rascop said the Board has looked into financial considera tions as a matter of concern in the past when discussing con flicts of interest. He said he has a personal concern t.'^at if a Hoard member has a membership in a corporation or organilation. even though there is no financial gain, there is stiIJ an inter est over and above the public good that should be taken into cons i de r.i t ion. LeFtvere proceeded to outline some general ideas <*htch could be of interest to the members. He said the Board is talking about membership in a yacht club on the Lake, in this specific case. It might be helpful to diviae conflict of interest issues into four : I I One c a t e t* o I y i s a s l a t u t o i v c o n f 1 i c i «* f i n t e i e s i . Minnesota statutes prohibit a public bodv from entering into a contract in which one of its members has an interest. That kind of conflict is faced most often city councils. where a city council is proposing to enter into a contract with a business in which n member of the council has sonie direct or indirect inter est. This is the only kind of conflict of interest that is dealt with specifically in Ninnesota Statutes. That kind of confl'Cl it not what the Board is talking about. 2) another conflict of interest is that of inconpalih|e of fices. Under that doctrine it is not proper for a public offi cial to hold two offices which by their nature are incompatibie. The Attoiney General has ruled, for example, that the oltices of school board member and city council eiefliber are incompatible. If a school board member takes a seat on a citv council, that awmber automat i ca I I y forfei s its seat on the school board. The BoariJ is not talking about *hat type of conflict. 31 There is inither category of conflict of interest lhail IS an ethical or po'.'iiical type. This involves a perception of fairness, a quest ion of perception of public trust and a confi dence in the decisiors made by the public officials. It is not a legal conflict of interest ii that a member of a b«»ard la dis qualified or that a member has committed a crime, or tfat aw action of a board can be reversed because of participation. Ihi* is a mailer of proprletv. I am no more qua*ified to pasa iuda- ment on a matter ethics than env other meadier of a hoard, so | will not trv to do that. 41 What the Board ia left with is tha commom la* doctriae of conflict of loteresi. In wiwnesota there la ware little auidsnce* even in case la». Put in a number of Minnesota cases, the •upieaw Court and the court of Appeals have recoaaiied that If a mesdier has a sufncieai laterest he/she ought not be uuall- f«ed to vole. - ettn t I