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Local Government and School Accountability

Protecting the Public’s Interest

A Tutorial on Local Government Ethics and Transparency in New York State

Module 3 - Case Studies on Conflicts of Interest

Situation 3

A village needs an environmental review for a park project. After competitive bidding, the contract was awarded to a firm whose primary stockholder (who owns 33% of the firm’s stock) is one of the village trustees. The trustee did not participate in the village board’s discussion and vote on the contract and will not perform any of the actual work under the contract.

Does the trustee have a prohibited interest in the contract? Why or why not? If the trustee does not have a prohibited interest, are there any other issues with which the village should be concerned?

  Next: Discussion of Situation 3