Conflicts of Interest Policy

DUTY of LOYALTY

The Trustees of the Howell Carnegie District Library (HCDL) Board owe a duty of loyalty to the organization, which requires that in serving on the HCDL board they act, not in their own personal interests or in the interests of others, but rather solely in the best interests of the HCDL. Trustees must have undivided allegiance to HCDL mission and may not use their positions as Trustees, information they have about the HCDL, or the HCDL property, in a manner that allows them to secure a pecuniary benefit for themselves or their relatives. (For the purposes of this policy, relative means spouse, parents, siblings, children, grandchildren, the spouses of children and grandchildren, and any other blood relative.). Each Trustee has a duty to place the interests of the
HCDL foremost in any dealings involving the organization and has a continuing responsibility to comply with the requirements of this Policy.

Business transactions of the Howell Carnegie Library in which a Trustee has an interest shall not be prohibited, but they shall be subject to close scrutiny. Such proposed transactions shall be reviewed carefully to determine that they are in the best interests of the HCDL and that they will not lead to conflict of interest.

CONFLICT DEFINED

For the purposes of this policy, a Trustee has an interest in a proposed transaction if he/she has a substantial financial interest in it, or has a substantial financial interest in any organization involved in the proposed transaction, or holds a position as trustee, director, general manager, or principal officer in any such organization. Prior to the start of any negotiations, or consideration of a grant request by the organization, Trustees are expected to make full disclosure to the best of their knowledge of any dual interest in a proposed transaction by submitting a report to the President or other officer designated by the Board to handle such matters, supplying any reasons why the transaction might not be in the best interest of the HCDL.

DUAL INTEREST

A Trustee with a dual interest in a proposed transaction shall not vote on the matter and, depending upon the circumstances, may be excluded from any discussion of the matter. A Trustee shall not use inside information of the HCDL for his/her personal benefit, or use such inside information or his/her position as Trustee to the detriment of the HCDL. Inside information is information obtained through the Trustee’s position that has not become public information.

ANNUAL REVIEW

This policy will be reviewed and/ or discussed at a regular meeting of the HCDL Board of Trustees annually.

Apr 11/20