BC – School Board Member Conduct

1. I. Fiduciary Duties

In carrying out fiduciary duties, a Board member shall not:

1. Disclose or use confidential information acquired in the course of the Board member's official duties to further substantially the Board member's personal financial interests.
2. Accept a gift of substantial value or substantial economic benefit tantamount to a gift of substantial value which would tend to improperly influence a reasonable person in the Board member's position or which the Board member knows or should know is primarily for the purpose of rewarding the Board member for official action taken.
3. Engage in a substantial financial transaction for the Board member's private business purposes with a person whom the Board member supervises in the course of the Board member's official duties.
4. Perform an official act which directly and substantially confers an economic benefit on a business or other undertaking in which the Board member has a substantial financial interest or in which the Board member is engaged as a counsel, consultant, representative or agent.

The phrase 'economic benefit tantamount to a gift of substantial value' includes a loan at a rate of interest substantially lower than the prevailing commercial rate; compensation received for private services rendered at a rate substantially exceeding the fair market value; and goods or services for the Board member's personal benefit offered by a person who is at the same time providing goods or services to the District under a contract or other means by which the person receives payment or other compensation from the District.

2. Permissible Gifts

It is permissible for a Board member to receive:

1. An occasional nonpecuniary gift which is insignificant or trivial in value as defined by state law.
2. A nonpecuniary award publicly presented by a nonprofit organization in recognition of public service.
3. Payment or reimbursement for actual and necessary expenditures for travel and subsistence for attendance at a convention or other meeting at which the Board member is scheduled to participate.
4. Reimbursement for or acceptance of an opportunity to participate in a social function or meeting which is not extraordinary when viewed in light of his position.
5. Payment for speeches, debates or other public events reported as honorariums.
6. Campaign contributions in kind which are reported in accordance with the Fair Campaign Practices Act.

It shall not be considered a breach of conduct for a Board member to:

1. Use school facilities and equipment to communicate or correspond with constituents, family members or business associates.
2. Accept or receive a benefit as an indirect consequence of transacting school district business.

3. Conflicts of Interest

Public office is a trust created in the interest of the common good and for the benefit of the people. A conflict of interest can arise when a public officer is unable to devote oneself with complete loyalty and singleness of purpose to the general public interest.

It is the intent of this policy to protect the public trust placed in the Board members of this District. For purposes of this policy, the Board declares that a conflict of interest is a personal, pecuniary interest that is immediate, definite and demonstrable and which is or may be in conflict with the public interest.

A Board member who has a personal or private interest in a matter proposed or pending before the Board shall disclose such interest to the Board, shall ask to be excused from voting on the matter, and shall not attempt to influence the decisions of other Board members in voting on the matter.

It is a conflict of interest for a Board member to also be employed by the District. Therefore, the Board shall not hire any of its members as an employee of the District. This policy does not prohibit any current employee of the District from seeking a position on the Board. However, an employee elected to the Board shall be required to relinquish employment with the District prior to taking office.

It is also a conflict of interest for a Board member to serve simultaneously as a Board member for the District and a Board member for a District authorized charter school. Therefore, any Board member of a District authorized charter school elected to the District Board shall be required to relinquish their position as a Board member for the District authorized charter school prior to taking office as a District Board member.

It is not a conflict of interest for Board members to be reimbursed for authorized expenses in carrying out Board duties as provided by law and Board Policy BID.

The Board shall not enter into any contract with any of its Board members or with a firm or corporation in which a Board member has a financial interest unless one or more of the following apply:

1. The contract is awarded to the lowest responsible bidder based on competitive bidding procedures.
2. The merchandise is sold to the highest bidder at a public auction.
3. The transaction involves investing or depositing money in a financial institution which is in the business of loaning money or receiving money.
4. If, because of geographic restrictions, the District could not otherwise reasonably afford the contract because the additional cost to the District would be greater than 10 percent of the contract with the interested Board member or if the contract is for services that must be performed within a limited time period and no other contractor can perform the services.
5. If the contract is one in which the Board member has disclosed a personal interest and is one on which the Board member has not voted.

Except as described above, a Board member shall not be a purchaser at any sale or a vendor for any purchase made by the District.

A Board member may request an advisory opinion from the secretary of state concerning issues relating to the Board member's conduct and potential conflict of interest.

Originally Adopted: Date of manual adoption Current Revision: August 8, 2022

Cross References:	DJE - Bidding Procedures
	DJ – Purchasing/Purchasing Authority
	BID – Board Member Development Opportunities, Expenses, Insurance, Liability, Insurance Program/Risk Management
	BEDF – Voting Method

Legal References:	Colorado Constitution, Article X, Section 13 (making profit on public money)
	Colorado Constitution, Article XXIX, § 3 (gift ban)
	C.R.S. § 1-45-101 et seq. (Fair Campaign Practices Act)
	C.R.S. § 22-32-104(5) & (6) (board member compensation)
	C.R.S. § 22-32-108(6) (excusal from voting)
	C.R.S. § 22-32-109(1)(y) (board of education - specific duties to adopt conflict of interest policies)
	C.R.S. § 22-32-110(1)(k) & (n) (board of education - specific powers to adopt conduct policies and obtain reimbursements)
	C.R.S. § 24-6-203 (gift reporting by elected officials)
	C.R.S. § 24-18-104 (conduct for all public officers, members of the general assembly, local government officials and employees)
	C.R.S. § 24-18-109(rules of conduct for local government officials and employees)
	C.R.S. § 24-18-110 (voluntary disclosure)
	C.R.S. § 24-18-201 (interest in contracts)
	C.R.S. § 24-18-202 (interest in sales or purchases)
	Y-00008-00&pdcomponentid=234177&pdtocnodeidentifier=AAYAABABCAACAAC&ecomp=bgqfkkk&prid=6ba97311-9900-47c3-9bbd-ec5165b7bc07">C.R.S. 24‑18‑202 (Interest in Sales or Purchases)

Last Revised: August 08, 2022