Advisory Opinion 1087
Planning & Community Development/Non-Profit Board Membership

ISSUE: WHETHER A HOUSING PLANNER'S MEMBERSHIP AS A DIRECTOR ON THE BOARD OF A NON-PROFIT HOUSING AGENCY CONSTITUTES A CONFLICT OF INTEREST UNDER THE CODE OF ETHICS?

Opinion: Based on the circumstances of this issue as presented to the Board of Ethics, the Board finds that the employee's non-profit board membership is not a conflict of interest. However, board membership may be incompatible with an individual's official responsibilities as a County employee if that membership interferes with, or could interfere with, the exercise of independent judgement or action.

Statement of Circumstances: A housing planner in the Planning and Community Development Division develops the County's yearly Comprehensive Housing Affordability Strategy (CHAS). The strategy identifies housing needs among the homeless and low- to moderate-income residents of King County. The strategy also establishes policies which help to guide the allocation of funds to non-profit organizations which build, acquire, or rehabilitate housing and to provide for operating support for emergency and transitional housing. The employee may develop specific priorities for the use of such funds, and may also help review and rate applications.

A local non-profit organization, Health Care for the Homeless of Seattle-King County, Inc. (HCH) is eligible for funding from one source of funds in the CHAS--emergency shelter grants. However, HCH has never applied for these funds and relies on grants from the federal government, the Seattle-King County Department of Public Health, and the Children and Families Commission. The employee would like to serve as a director on the board of HCH and has asked the Board of Ethics to determine whether such service would result in a conflict of interest under the Code of Ethics?

Analysis: In determining whether an employee could incur a conflict of interest by serving on a non-profit board which does, or seeks to do, business with the County, the Board of Ethics evaluates the employee based on established criteria for accepting membership on a such a board, as well as the employee's scope of official responsibility. In Advisory Opinion 1005, the Board established that if employees serve on non-profit boards, they must meet the following criteria:

• Board membership can involve no compensation or benefits as defined by section 3.04.030(C) and which includes travel expense, service, information, gifts, or things of value.
• County employees must disclose their membership on a non-profit board to their immediate supervisor.
• And, the employee must recuse himself or herself from any participation in any County action that affects the funding of the organization of which the individual is a member.

The employee in this instance has met the criteria established for non-profit board membership. In considering the employee's level of responsibility and the absence of a direct contractual relationship between HCH and the Planning and Community Development Division, the Board of Ethics found there was only a slight potential for conflict. In the event that HCH were to apply for funds through CHAS, the employee could remove any potential for conflict by notifying her supervisor so that an alternate decision-making authority could be appointed and recusing herself from making any decisions or recommendations which could affect the non-profit organization. The employee could also, in this set of circumstances, resign from from the board of HCH.

References: King County Code of Ethics, sections 3.04.030(C) and (I); Advisory Opinions 1005, 1010 and 1039.

ISSUED THIS ___________ DAY OF ___________________, 199__.

Signed for the Board: Dr. J. Patrick Dobel, Chair

Members:

Dr. J. Patrick Dobel, Chair
Timothy Edwards, Esq.
Rev. Paul Pruitt

JPD/mag

cc:

Gary Locke, King County Executive
Metropolitan King County Council Members
Susan Baugh, Director-Ombudsman, Office of Citizen Complaints
Robert I. Stier, Senior Deputy Prosecuting Attorney and Counsel to the Board of Ethics
Craig Larsen, Acting Director, Parks, Planning, and Resources Department
Jim Reid, Manager, Planning and Community Development Division
Melora Battisti, Housing Planner, Planning and Community Development Division