Conflicts of Interest


At the last GRV meeting the topic of Local Government Conflict of Interest was brought up.  It appears that a few Public officials in the City Government may have conflicts of interest, which may be either intentional or unintentional.   To avoid embarrassment or accusation of impropriety they should abstain from voting or decline to participate in discussion.

 

 The State of Minnesota Office or Revisor of Statutes website (https://www.revisor.mn.gov/pubs/) contains the official State Statutes, Definitions, and Rules pertaining to conflicts of interest for all public officials

Per Minnesota Statutes, County Board members are required to file the Statement of Economic Interest while City government is not.  Why the one and not the other?

Although such disclosures may not be required by statute for our city public officials, it is thought that in order to avoid the appearance of a conflict it would be good public policy for our public officials to provide a “Statement of Economic Interest” , similar to the requirements in Minnesota Statutes Chapter 10A CAMPAIGN FINANCE AND PUBLIC DISCLOSURE, paragraph 10A.09, Subd.5  (https://www.revisor.mn.gov/statutes/?id=10A.09).     

§ Subd. 5.Form.

(a) A statement of economic interest required by this section must be on a form prescribed by the board. The individual filing must provide the following information:

(1) name, address, occupation, and principal place of business;

(2) the name of each associated business and the nature of that association;

(3) a listing of all real property within the state, excluding homestead property, in which the individual holds: (i) a fee simple interest, a mortgage, a contract for deed as buyer or seller, or an option to buy, whether direct or indirect, if the interest is valued in excess of $2,500; or (ii) an option to buy, if the property has a fair market value of more than $50,000;

(4) a listing of all real property within the state in which a partnership of which the individual is a member holds: (i) a fee simple interest, a mortgage, a contract for deed as buyer or seller, or an option to buy, whether direct or indirect, if the individual’s share of the partnership interest is valued in excess of $2,500; or (ii) an option to buy, if the property has a fair market value of more than $50,000. A listing under this clause or clause (3) must indicate the street address and the municipality or the section, township, range and approximate acreage, whichever applies, and the county in which the property is located;

(5) a listing of any investments, ownership, or interests in property connected with pari-mutuel horse racing in the United States and Canada, including a racehorse, in which the individual directly or indirectly holds a partial or full interest or an immediate family member holds a partial or full interest;

(6) a listing of the principal business or professional activity category of each business from which the individual receives more than $50 in any month as an employee, if the individual has an ownership interest of 25 percent or more in the business; and

(7) a listing of each principal business or professional activity category from which the individual received compensation of more than $2,500 in the past 12 months as an independent contractor.

(b) The business or professional categories for purposes of paragraph (a), clauses (6) and (7), must be the general topic headings used by the federal Internal Revenue Service for purposes of reporting self-employment income on Schedule C. This paragraph does not require an individual to report any specific code number from that schedule. Any additional principal business or professional activity category may only be adopted if the category is enacted by law.

Our purpose is not to encumber our city officials with needless paperwork but to rather to shed light on activity and policies that can lead to erosion of the public trust and to help ensure that the decisions of our public officials remain clear of undue and corrupting influences.

-GRV-

 

One thought on “Conflicts of Interest

  1. Jeanne Newstrom

    Sounds good, but can easily become outdated and useless. A person that would abuse their power would not keep this form accurate.

    Like

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