Meetings
 
Agenda Item
Docket No. 20-340
 
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RE:
Advisory opinion request regarding Darren Guidry's recent appointment as a member of the Board of Directors of the Louisiana Housing Corporation
Facts:
Darren Guidry is employed with Home Bank as its Executive Vice President and Chief Credit Officer and was recently appointed as a member of the Board of Directors of LHC. LHC is a public corporation that serves as the primary administrator of federal and state housing programs in Louisiana and is an instrumentality of the state pursuant to La. R.S. 40:600.88. Home Bank has offices throughout Louisiana, and is an active participant in many of the programs offered through LHC.
Law:
La. R.S. 42:1111C(2)(d) provides that no public servant and no legal entity in which the public servant exercises control or owns an interest in excess of twenty-five percent, shall receive any thing of economic value for or in consideration of services rendered, or to be rendered, to or for any person during his public service unless such services are neither performed for nor compensated by any person from who such public servant would be prohibited by R.S. 42:1115A(1) or (B) from receiving a gift.

La. R.S. 42:1115A(1) provides that no public servant shall solicit or accept, directly or indirectly, anything of economic value as a gift or gratuity from any person or from any officer, director, agent, or employee of such person, if such public servant knows or reasonably should know that such person has or is seeking to have a business, financial or contractual relationship with the public servant's agency.

La. R.S. 42:1115B(1) prohibits a public servant from soliciting or accepting, directly or indirectly, any thing of economic value as a gift or gratuity from any person or from any officer, director, agent, or employee of such person, if such public servant knows or reasonably should know that such person conducts operations or activities which are regulated by the public employee's agency.

La. R.S. 42:1115B(2) prohibits a public employee from soliciting or accepting, directly or indirectly, any thing of economic value as a gift or gratuity from any person or from any officer, director, agent, or employee of such person, if such public servant knows or reasonably should know that such person has a substantial economic interest which may be substantially affected by the performance or nonperformance of the public employee's official duties.

La. R.S. 40:600.90H(1) provides that if any member of the board of directors or any officer or employee of the corporation shall have an interest, either direct or indirect, in any contract to which the corporation is, or is to be, a party, or in any lending institution requesting a loan from or offering to sell insured mortgage loans to the corporation, such interest shall be disclosed to the corporation in writing and shall be set forth in the minutes of the corporation. La. R.S. 40:600.90H(2) provides that notwithstanding the provisions of R.S. 42:1112, no member of the board of directors and no officer or employee having such interest shall participate in any action by the corporation, including but not limited to discussion and voting on any issue bearing on that interest, and the member of the board of directors shall recuse himself from any action taken by the board of directors.

La. R.S. 40:600.90F subjects LHC and its board to the Code of Governmental Ethics only to the extent that it does not conflict with La. R.S. 40:600.90.

Recommendations:
Adopt the proposed advisory opinion.
Assigned Attorney: Tracy Barker
 
 
ATTACHMENTS:
Description:
2020-340 Draft Advisory Opinion (2)
2020-340 - Advisory Opinion Request Darren E. Guidry