Conflict of Interest Policy

Northern Inyo Healthcare District Board of Directors Conflicts of Interest Policy

1. All Directors shall be held to the highest ethical standard and shall not have conflicts of interest when making decisions, except when permitted by law.

2. Sources of rule that address financial conflicts of interest are The Political Reform Act (CA Government Code Section 87110 et seq.), CA Government Code Section 1090 and the common law prohibition against conflicts of interest.

3. A Director is bound to exercise the powers conferred on them with disinterest and diligence and primarily for the benefit of the public.

PROCEDURE:

1. The Political Reform Act requires each Director to file a Form 700 Statement of Economic Interests upon assuming office, annually while in office, and upon leaving office.

2. The Form 700 shall be completed and filed in compliance with the District Board’s Conflict of Interest Policy and applicable state law.

3. In signing the Form 700, a Director is certifying under penalty of perjury the information is true and correct.

4. It is the responsibility of each Director to review each schedule and its instructions carefully and to complete the form accurately and comprehensively.

5. During a meeting, a Director with a conflict (or who think he/she may have a conflict) with a proposed matter on the agenda is required to disclose the conflict or potential conflict.

6. After disclosure of the financial interest and all material facts, and after any discussion with the Director, the Director will leave the meeting while the determination of a conflict of interest is discussed and voted on by the remaining BOD members.

7. If necessary, the President shall appoint a disinterested person or committee to investigate alternatives to the proposed matter.

8. A Director with a conflict is prohibited from making or in any way attempting to use his/her official position to influence a decision in which they know or would have reason to know he/she may have a financial interest.

9. A Director is prohibited from voting on any matter in which there is a conflict of interest.

10. Minutes of board meetings shall reflect when a Director discloses he/she has a conflict of interest and how the conflict was managed. Such as there was a discussion on the matter without the Director present in the room, and a vote was taken and the Director abstained.

11. Each Director is required to annually complete the District’s Conflict of Interest Statement as well.

12. Decisions of the BOD shall be consistent with the Mission and Vision Statements and the Strategic Plan adopted by the NIHD BOD.

This policy is intended to supplement, but not replace, any applicable state and federal laws governing conflict of interest applicable to this organization.