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§410. Conflict of Interest <br /> A. SUB-RECIPIENT covenants that none of its directors, officers, employees, or <br /> agents shall participate In selecting, or administrating any subcontract <br /> supported (in whole or in part) by Federal funds where such person is a <br /> director, officer, employee or agent of the subcontractor; or where the selection <br /> of subcontractors is or has the appearance of being motivated by a desire for <br /> personal gain for themselves or others such as family business, etc.; or where <br /> such person knows or should have known that: <br /> 1. A member of such person's immediate family, or domestic partner <br /> or organization has a financial interest in the subcontract; <br /> 2. The subcontractor is someone with whom such person has or is <br /> negotiating any prospective employment; or <br /> 3. The participation of such person would be prohibited by the <br /> California Political Reform Act, California Government Code <br /> §87100 et seq. if such person were a public officer, because such <br /> person would have a"financial or other interest" in the subcontract. <br /> B. Definitions: <br /> 1. The term "immediate family" includes but is not limited to domestic <br /> partner and/or those persons related by blood or marriage, such as <br /> husband, wife, father, mother, brother, sister, son, daughter, father <br /> in law, mother in law, brother in law, sister in law, son in law, <br /> daughter in law. <br /> 2. The term "financial or other interest"includes but is not limited to: <br /> a. Any direct or indirect financial interest in the specific <br /> contract, including a commission or fee, a share of the <br /> proceeds, prospect of a promotion or of future employment, <br /> a profit, or any other form of financial reward. <br /> b. Any of the following interests in the subcontractor <br /> ownership: partnership interest or other beneficial interest of <br /> five percent or more; ownership of five percent or more of <br /> the stock; employment in a managerial capacity; or <br /> membership on the board of directors or governing body. <br /> C. The SUB-RECIPIENT further covenants that no officer, director, employee, or <br /> agent shall solicit or accept gratuities, favors, anything of monetary value from <br /> any actual or potential subcontractor, supplier, a party to a sub agreement, (or <br /> persons who are otherwise in a position to benefit from the actions of any <br /> officer, employee, or agent). <br /> D. The SUB-RECIPIENT shall not subcontract with a former director, officer, or <br /> employee within a one year period following the termination of the relationship <br /> 12 <br />