Section 1091.4 Of Article 4. Prohibitions Applicable To Specified Officers From California Government Code >> Division 4. >> Title 1. >> Chapter 1. >> Article 4.
1091.4
. (a) As used in Section 1091, "remote interest" also
includes a person who has a financial interest in a contract, if all
of the following conditions are met:
(1) The agency of which the person is a board member is a special
district serving a population of less than 5,000 that is a landowner
voter district, as defined in Section 56050, that does not distribute
water for any domestic use.
(2) The contract is for either of the following:
(A) The maintenance or repair of the district's property or
facilities provided that the need for maintenance or repair services
has been widely advertised. The contract will result in materially
less expense to the district than the expense that would have
resulted under reasonably available alternatives and review of those
alternatives is documented in records available for public
inspection.
(B) The acquisition of property that the governing board of the
district has determined is necessary for the district to carry out
its functions at a price not exceeding the value of the property, as
determined in a record available for public inspection by an
appraiser who is a member of a recognized organization of appraisers.
(3) The person did not participate in the formulation of the
contract on behalf of the district.
(4) At a public meeting, the governing body of the district, after
review of written documentation, determines that the property
acquisition or maintenance and repair services cannot otherwise be
obtained at a reasonable price and that the contract is in the best
interests of the district, and adopts a resolution stating why the
contract is necessary and in the best interests of the district.
(b) If a party to any proceeding challenges any fact or matter
required by paragraph (2), (3), or (4) of subdivision (a) to qualify
as a remote interest under subdivision (a), the district shall bear
the burden of proving this fact or matter.