The other day at our annual board meeting, three "new" board members were sworn in. One of the new board members had never sat on a board before. Naturally, the new board member had a lot of questions. One of the areas we discussed was this: What is a "conflict of interest"? I explained to the new board member that when there is a conflict of interest involving a board member to keep in mind we are a state board, not a tribal board. As a state board, we have to follow the North Dakota Century Code (NDCC). If I remember correctly, regarding a conflict of interest, the NDCC states something to the effect that when there is a perceived conflict of interest with one of the board members, the remaining board members have to agree to let that member vote. If the rest of the board members do not agree to let that board member vote, then that member does not vote.
Conflict of interest is a real big problem in Indian Country; however, the solution to the problem (conflict of interest) does not lie with the Century Code and/or the code of conflict for board members - although those help. The solution lies within each person - every individual has potential to approach a conflict of interest in an ethical and courageous manner.
When it comes to a conflict of interest, board members fall into one of three categories.
Ethical Board Member - when there is a conflict of interest, an ethical board member will do what is right (ethical) and not take part in any of the discussion, and will not vote on the issue. Some individuals will get up and leave the room.
Ignorant Board Member - Tribal board members with no experience on boards and committees and with no knowledge of how boards and committees are run, may unknowingly get involved in issues where they have a conflict of interest. Once they learn what a conflict of interest is, the majority of them will do what is ethical and remove themselves from the issue.
Unethical Board Member - Tribal members who know what a conflict of interest is, but due to their weaknesses and lack of character, they will participate in discussions and vote on the issue, even though they have a conflict of interest in the issue.
I am sure many of you know instances when a board member ignored a conflict of interest and voted anyway. I am sure they are similar to the one I will tell you about. I recall when the brother of one board member applied for a job. The board member indicated due to a conflict of interest, he would leave the room. Then, he changed his mind. He said he would stay in the room, but would not vote. No problem, right? Wrong! This school board member was an extremely aggressive and vocal board member. He intimidated other board members and administrators alike. His very presence in the room where he could hear and see what was being done was enough to influence the administration's recommendation, and also the vote of some of the board members. His presence influenced the outcome of the discussion and the vote!
These types of unethical members will go to great lengths to get around a conflict of interest. Often, they will conspire with other board members who are just as unethical as they are, in advance of a vote, to figure out how they will thwart the conflict of interest rule.
Little do tribal members realize how they are hurting themselves and the tribe when they conduct an official act, in spite of their conflict of interest. ... or maybe they do realize what they are doing, but don't care as long as they get their own way. This is also known as selfishness, but that is another blog.
Tribes have reached a point in their development where their success rests solely on their tribal members. Unfortunately, tribal members who ignore conflicts of interest hold the rest of the tribe back in all areas. These unethical tribal members are bad role models for other tribal members. Other tribal members, usually younger tribal members, observe a corrupt board member hiring relatives and friends, and/or giving huge raises to employees they are related to, and they think to themselves, "Just wait until I get on the board. I will hire...," and the problem continues on to another generation.
