Santa Clara County Municipal Code Ch. III Conflict of Interest

(a) No Board member shall participate in a governmental decision in which he or she has a close personal interest which would tend to impair the exercise of independent judgment in the public interest. Personal, as distinguished from financial, interests shall include interests arising from blood or marriage relationships or very close personal associations which would constitute a conflict of interest under the common law.

(b) The purpose of this section is to disqualify Board members from participating in decisions in which there would be a conflict of interest under the common law.

(Ord. No. NS-19.30.4, § 1, 9-23-97)

(a) All aspects of conflict of interest provisions of the Political Reform Act of 1974 as amended, including disclosure, disqualification standards, limitations on gifts, and enforcement are applicable to Board members. The following provisions are intended to summarize provisions of the Act; and care must be taken to consult the extensive body of general California law, which governs financial conflicts.

(b) Existing general California law, the Political Reform Act of 1974, prohibits Board members from making, participating in making, or attempting in any way to use an official position to influence a governmental decision in which the member knows or has reason to know he or she has a financial interest.

(c) The Political Reform Act ("PRA") disqualifies an official from participating in a governmental decision which affects the economic interest of a Board member generally as set forth below.

(1) The decision affects the member's personal financial status, or that of his or her spouse or registered domestic partner or dependent children.

(2) The decision affects a business entity located in, doing business in, owning real property in, or planning to do business in the County, in which the member, or his or her spouse or registered domestic partner or dependent child has an investment in excess of the amount set forth in the PRA.

(3) The decision affects real estate (real property) located in the County and the member, or his or her spouse or registered domestic partner or dependent child has an interest in that real estate in excess of the amount set forth in the PRA.

(4) The decision affects a person, business entity, or nonprofit entity from whom the member has received gifts in the past 12 months in excess of the gift limits set forth in the PRA.

(5) The decision affects a business entity, other than a nonprofit organization, in which the member is a director, officer, partner, trustee, employee or holds a position of management.

(6) The decision affects a person, business entity, or nonprofit entity located in, doing business in, owning real property in, or planning to do business in the County, from which the member has received income in excess of the limits set forth in the PRA in the past 12 months. This includes a member's community property interest in spousal income.

(Ord. No. NS-19.30.4, § 1, 9-23-97; Ord. No. NS-19.41, § 1, 9-24-13)

(a) Existing general California law, Government Code § 1090 et seq., prohibits a Board member from having a financial interest in any business transaction, or contract with the County, or in the sale of real estate, materials, supplies or services to the County, except as permitted by Government Code § 1091 et seq. Such contracts are void under state law, and may result in a forfeiture of the financial benefits of the contract.

(Ord. No. NS-19.30.4, § 1, 9-23-97)

(a) The California Constitution, Article XII, Section 7 states: Sec. 7. "A transportation company may not grant free passes or discounts to anyone holding an office in this state; and the acceptance of a pass or discount by a public officer … shall work a forfeiture of that office …"

(b) The phrase "transportation company" as used in the Constitutional prohibition includes a public utility regulated by the Public Utilities Commission. It may also include a transportation company subject to regulation by a federal agency.

(c) The Attorney General concluded in a 1984 opinion that the Constitutional provision does not prohibit a member from accepting a free or discounted travel pass when such passes are offered on the same conditions to a segment of the public. (67 Ops. Cal. Atty. Gen. 81.)

(Ord. No. NS-19.30.4, § 1, 9-23-97)

(a) In any proceeding before the Board in which less than the required quorum of Board Members is available to participate because of disqualifications pursuant to Government Code section 81000 et seq. (and accompanying regulations), the Board may invoke the procedures for legally required participation provided in Government Code section 87101 and California Code of Regulations, title 2, section 18705, to the extent permitted by law.

(b) In the event the Board would be unable to act despite invocation of legally required participation procedures under subsection (a) or due to other applicable conflict of interest laws (such as, but not limited to, Government Code section 1090), the County Executive, or designee, is hereby empowered to act on behalf of the County, following review and approval by County Counsel as to form and legality, to the greatest extent permitted by law.

(Ord. No. NS-19.45, § 1, 6-27-23)