53G-5-409. Regulated transactions and relationships -- Definitions -- Rulemaking.

461 words·~2 min read·/ut/title-53g/chapter-5/53g-5-409

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/14/2019

(1)As used in this section:

(a)"Charter school officer" means:

(i)a member of a charter school's governing board;

(ii)a member of a board or an officer of a nonprofit corporation under which a charter school is organized and managed; or

(iii)the chief administrative officer of a charter school.

(i)"Employment" means a position in which a person's salary, wages, pay, or compensation, whether as an employee or contractor, is paid from charter school funds.

(ii)"Employment" does not include a charter school volunteer.

(c)"Relative" means a father, mother, husband, wife, son, daughter, sister, brother, uncle, aunt, nephew, niece, first cousin, mother-in-law, father-in-law, brother-in-law, sister-in-law, son-in-law, or daughter-in-law.

(a)Except as provided in Subsection (2)(b) , a relative of a charter school officer may not be employed at a charter school.

(b)If a relative of a charter school officer is to be considered for employment in a charter school, the charter school officer shall:

(i)disclose the relationship, in writing, to the other charter school officers;

(ii)submit the employment decision to the charter school's governing board for the approval, by majority vote, of the charter school's governing board;

(iii)abstain from voting on the issue; and

(iv)be absent from the portion of the meeting where the employment is being considered and determined.

(a)Except as provided in Subsections (3)(b) and (3)(c) , a charter school officer or a relative of a charter school officer may not have a financial interest in a contract or other transaction involving a charter school in which the charter school officer serves as a charter school officer.

(b)If a charter school's governing board considers entering into a contract or executing a transaction in which a charter school officer or a relative of a charter school officer has a financial interest, the charter school officer shall:

(i)disclose the financial interest, in writing, to the other charter school officers;

(ii)submit the contract or transaction decision to the charter school's governing board for the approval, by majority vote, of the charter school's governing board;

(iii)abstain from voting on the issue; and

(iv)be absent from the portion of the meeting where the contract or transaction is being considered and determined.

(c)The provisions in Subsection (3)(a) do not apply to a reasonable contract of employment for:

(i)the chief administrative officer of a charter school; or

(ii)a relative of the chief administrative officer of a charter school whose employment is approved in accordance with the provisions in Subsection

(2).

(4)The state board or State Charter School Board may not operate a charter school.

Amended by Chapter 293 , 2019 General Session