ISD BOARD: CONFLICT OF INTEREST H.B. 5921 (S-2): FLOOR ANALYSIS
House Bill 5921 (Substitute S-2 as reported by the Committee of the Whole)
Sponsor: Representative Ruth Johnson
House Committee: Education
Senate Committee: Education
CONTENT
The bill would amend the Revised School Code to do the following:
-- Require intermediate school boards to adopt and implement a conflict of interest policy and a policy to prohibit the use of intermediate school district (ISD) funds for certain purchases.
-- Require the Department of Education to prepare and distribute model policies.
-- Prohibit intermediate school board members or ISD administrators from accepting anything worth more than $44 a month from a person doing business with the ISD, without providing equivalent goods or services.
-- Prohibit an intermediate school board from entering into a contract in which a board member or ISD administrator had a substantial conflict of interest.
-- Require board members and ISD administrators and employees to disclose their relationship with (or a family member's employment by or ownership interest in) a business with which the ISD was considering entering into a contract.
-- Require an employment contract between an intermediate school board and a school administrator to prohibit conduct involving moral turpitude.
-- Require an ISD board to adopt a policy requiring board approval of all travel by a board member or ISD employee that included at least one overnight stay and was paid for by the district, and requiring board approval of a pretravel authorization form and a posttravel form.
-- Allow an intermediate school board to change its size from five to seven members.
MCL 380.611 et al. Legislative Analyst: Suzanne Lowe
FISCAL IMPACT
The Department of Education would face increased staff time and materials costs related to the requirement that the Department develop and distribute a model conflict of interest policy and a model policy defining allowable uses of public funds by ISDs. Also, the requirement that an ISD board approve all ISD-funded travel that included at least one overnight stay before it took place could necessitate additional board meetings and impose additional board meeting costs, if travel were last-minute and necessary and could not be approved at a regularly scheduled board meeting.
Date Completed: 11-9-04 Fiscal Analyst: Kathryn Summers-Coty
floor\hb5921 Analysis available @ http://www.michiganlegislature.org
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.
Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. hb5921/0304