San Mateo County Community College District mulls conflict of interest policies

While much of the changes to the district’s conflict of interest policy have been pulled directly from the state code or are standard language updates, Vice Chancellor Mitchell Bailey said a key issue being addressed under the updates is staff training for those who are required to file a statement of economic interest form, referred to as a Form 700.

Historically, the district has not required training for filing a Form 700 but, after speaking with legal counsel and experts on the matter, Bailey said staff is now recommending training be held annually for all employees or officials who are required to file, noting that list has also been clarified in the proposed policy updates.

The suggested changes are coming after the district has faced alleged corruption among some of its highest-ranking officials. Former Chancellor Ron Galatolo is currently being investigated by the District Attorney’s Office after allegedly directing district contracts to friends who, in return, showered him with secret, lavish gifts, according to documents previously unveiled by the Daily Journal.

And Jose Nuñez, the district’s now former vice chancellor of facilities, recently pleaded no contest to two felony counts of using the community college district’s resources for political purposes earlier this year.

Galatolo and Nuñez have not been mentioned during the board meeting but trustees raised questions around “self-policing” the filing of Form 700s and stressed the importance of extending access to necessary resources to all employees who may need assistance with the process.

Various offices have been tasked with internal auditing responsibilities over the years with the Chancellor’s Office currently taking on the role, Bailey said.

While Bailey noted it’s up to officials to understand and disclose potential conflicts of interests, noting that is separate from actually filing a Form 700, he acknowledged they are related issues and said the district could do more to ensure filings are accurate and concerns within forms are addressed.

“There’s certainly an opportunity for us to do a little better job of double-checking our homework on this side of the house, making sure everybody knows what their responsibilities are and also bringing things to their attention when there may be something of question,” Bailey said during the board meeting.

Additionally, trustees discussed potential changes and concerns with gift limits. Current state law prohibits officials from receiving gifts of more than $250 from a given person per year but Holober noted the district’s policy could go beyond that requirement.

Speaking anecdotally, Holober said during his time lobbying state officials he’s had his offer to purchase coffee declined to prevent any potential perceived conflicts, an approach Holober said has merit.

Alternatively, Trustee Tom Nuris shed doubt the issue was a large one for the district and expressed concerns officials would be in violation of the policy for accepting a coffee or lunch. Trustee Maurice Goodman similarly shared concerns conflicts could arise if an official attended a banquet where cocktails and food were provided.

Bailey said the staff did consult with legal counsel on the matter and was told the best approach was to place its cap at the state’s standard or to prohibit gifts altogether. Given that the board was unsure of where to land, Bailey said staff would return with more information on the issue.

“It shouldn’t be overly burdensome,” Bailey said. “It should be transparent and comply [with state law].”

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