CONFLICT OF INTEREST
§ 6211.111. Nonprofit organizations.
(a) A voting member of the governing board of a nonprofit organization shall disclose in writing to the Department a contract or agreement for compensation with the provider in which the voting member has a personal interest.
(b) If a voting member receives compensation from the provider, the compensation shall be excluded from the allowable costs of the facility if both of the following apply:
(1) The voting member votes on the payment of compensation to himself or fails to disclose his interest to other members of the governing board.
(2) The organization fails to disclose the interest of the voting member.
(c) Compensation includes salaries, consultation fees or services provided by the program, but may not include care provided to a resident of the program.
(d) Travel and related expenses, such as the cost of attending educational seminars, are allowable for members of the governing board if the expense is reasonable, related to the operation of the program and documented in the provider’s records.
Cross References This section cited in 55 Pa. Code § 6211.112 (relating to profit organizations).
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