1. Scope. The following statement of policy applies to each member of the Board of Trustees and to all Principal Administrators of the University System of New Hampshire.
2. Fiduciary Responsibilities
2.1 Members of the Board of Trustees and Principal Administrators of USNH serve the public trust and have a clear obligation to fulfill their responsibilities in a manner consistent with this fact. All decisions of the Board of Trustees and Principal Administrators are to be made solely on the basis of a desire to promote the best interests of USNH and the public good. USNH's integrity must be protected and advanced at all times.
2.1.1 Men and women of substance inevitably are involved in the affairs of other institutions and organizations. An effective board and administration cannot consist of individuals entirely free from at least perceived conflicts of interest. Although most potential conflicts are and will be deemed to be inconsequential, it is everyone's responsibility to ensure that the Board of Trustees is made aware of situations that involve personal, familial, or business relationships that could be troublesome for USNH. Thus, the Board of Trustees requires each Trustee and Principal Administrator annually (1) to review this policy; (2) to disclose any possible personal, familial, or business relationships that reasonably could give rise to a conflict involving USNH; and (3) to acknowledge by his or her signature that he or she is in accordance with the letter and spirit of this policy.
3. Disclosure
3.1 All Trustees and Principal Administrators are requested to list on this form only those substantive relationships that he or she maintains (or members of their family maintain) with organizations that do business with USNH or otherwise could be construed to potentially affect his or her independent, unbiased judgement in light of his or her decision-making authority or responsibility. In the event you are uncertain as to the appropriateness of listing a particular relationship, the Chairman of the Board of Trustees and/or the Chancellor should be consulted. They, in turn, may consult with legal counsel, the Executive Committee, or the Board of Trustees in executive session. Such information, including information provided on this form, shall be held in confidence, except when, after consultation with you, USNH's best interests would be served by disclosure.
3.2 The following definitions are provided to help you decide whether a relationship should be listed on this form:
3.2.1 Business Relationship: One in which a Trustee, Principal Administrator, or a member of his or her family, as defined below, serves as an officer, director, employee, partner, trustee, or controlling stockholder of an organization that does substantial business with USNH or any of its institutions.
3.2.2 Family Member: A spouse, parent, sibling, child, or any other relative if the latter resides in the same household as the Trustee or Principal Administrator.
3.2.3 Substantial Benefit: When you or a member of your family (1) are the actual or beneficial owner of more than 5 percent of the voting stock or controlling interest of an organization that does substantial business with USNH, or (2) have other direct or indirect dealings with such an organization from which you or a member of your family benefits directly, indirectly or potentially from cash or property receipts totaling $10,000 or more annually.
4. Restraint on Participation
4.1 Trustees or Principal Administrators who have declared or been found to have a conflict of interest shall refrain from participating in consideration of proposed transactions, unless for special reasons the Board or Administration requests information or interpretation. Persons with conflicts shall not vote, participate in discussion, nor be present at the time of vote.