(1) This section applies to a director on a water authority’s board if—
(a) the director has a direct or indirect financial or personal interest in a
matter being considered, or about to be considered, by the board; and
(b) the
interest could conflict with the proper performance of the director’s duties
about the consideration of the matter.
(2) As soon as practicable after the
relevant facts come to the director’s knowledge, the director must disclose
the nature of the interest to a meeting of the board.
Penalty—
Maximum
penalty—100 penalty units.
(3) The disclosure must be recorded in the
board’s minutes.
(4) Unless the board otherwise decides, the director must
not—
(a) be present when the board considers the matter; or
(b) take part
in a decision of the board on the matter.
Penalty—
Maximum
penalty—100 penalty units.
(5) The director must not be present when the
board is considering its decision under subsection (4) .
(a) be present when the board is considering its decision under subsection (4)
; or
(b) take part in making the decision.
Penalty—
Maximum
penalty—100 penalty units.
(7) In this section—
"financial or personal interest" , of a person in a matter, does not
include—
(a) the person’s interest in the matter as a customer or
ratepayer of the water authority; or
(b) for a person nominated by an entity
for appointment as a director, an interest in an agreement with the authority
for the supply of water to the entity.
