Sample Conflict of Interest

Conflict of Interests Policy Sample

Board members have a duty to subordinate personal interests to the welfare of __[org]__ and those we serve. Conflicting interests can be financial, personal relationships, status or power.

Board members and employees are prohibited from receiving gifts, fees, loans, or favors from suppliers, contractors, consultants, or financial agencies, which obligate or induce the board member or employee to compromise responsibilities to negotiate, inspect or audit, purchase, or award contracts with the best interest of __[org]__ in mind.

Board members and employees are prohibited from knowingly disclosing information about __[org]__ to those who do not have a need to know. or whose interest may be adverse to __[org]__, either inside or outside __[org]__. Nor may board members or employees in any way use such information to the detriment of __[org]__.

Board members or employees may not have a significant financial interest in any property which __[org]__ purchases, or direct or indirect interest in a supplier, contractor, consultant, or other entity with which __[org]__ does business.

Since it is not possible to write a policy that covers all potential conflicts, board members and employees are expected to be alert for and avoid situations that might be construed as conflicts of interests.

Any possible conflict of interests on the part of any board member should be disclosed to the other board members and made a matter of record, either through an annual procedure or when the interest becomes a matter of board action.

Any board member having a conflict of interests or possible conflict of interests should not vote or use their personal influence on the matter, and they should not be counted as part of a quorum for the meeting. The minutes of the meeting should reflect that a disclosure was made, the abstention from voting, and the quorum situation.

These restrictions should not be construed as preventing the board member from briefly stating their position in the matter, nor from answering pertinent questions of other board members, since their knowledge could be of assistance to the deliberations.

All board members will be required to complete the "Conflict of Interests" statement. This policy will be reviewed by the board annually and given to each new board member for signature during orientation.

Conflict of Interests Statement

I have read and am familiar with the __[org]__ board policy concerning conflict of interests, and I have initialed the line opposite the appropriate paragraph below.

______ During the past year, neither I nor, to the best of my knowledge, any member of my family has had an interest or taken any action which would contravene the policy of this board.

______ During the past year, neither I nor, to the best of my knowledge, any member of my family has had an interest or taken any action which would contravene the policy of this board, except such interest or action fully disclosed below:

Board member signature _______________________________________________________________________________________________
Date __________________________________