A. A member of the commission, a member of a local school board, a member of the governing body of a charter school, the secretary, an employee of the department or a school employee shall not, directly or indirectly, sell or be a party to any transaction to sell any instructional material, furniture, equipment, insurance, school supplies or work under contract to the department, school district or public school with which such person is associated or employed. No such person shall receive any commission or profit from the sale or any transaction to sell any instructional material, furniture, equipment, insurance, school supplies or work under contract to the department, school district or public school with which the person is associated or employed.

B. The provisions of this section shall not apply to a person making a sale in the regular course of business who complies with the provisions of Sections 13-1-21, 13-1-21.2 [repealed] and 13-1-22 NMSA 1978. The provisions of this section shall not apply in cases in which school employees contract to perform special services with the department, school district or public school with which they are associated or employed during time periods wherein service is not required under a contract for instruction, administration or other employment.

C. No member of the commission, member of a local school board, member of the governing body of a charter school, the secretary, employee of the department or school employee shall solicit or sell or be a party to a transaction to solicit or sell insurance or investment securities to any employee of the department or any employee of the school district whom such person supervises. Nothing in this subsection shall prohibit a financial institution from requiring the purchase of insurance in connection with a loan or offering and selling such insurance in accordance with the provisions of the New Mexico Insurance Code [Chapter 59A [except for Articles 30A and 42A] NMSA 1978].

D. No state employee who supervises or exercises control over school districts or charter schools, which supervision or control includes but is not limited to school programs, capital outlay and operating budgets, shall enter into any business relationship with an employee of a local school district or charter school over which the state employee exercises supervision or control.

E. Any person violating any provision of this section is guilty of a fourth degree felony under the Criminal Code [Chapter 30 NMSA 1978]. The department may suspend or revoke the licensure of a licensed school employee for violation of this section.

History: 1953 Comp., § 77-19-1, enacted by Laws 1967, ch. 16, § 282; 1971, ch. 74, § 1; 1985, ch. 141, § 1; 2006, ch. 94, § 56.

Bracketed material. — The bracketed material was inserted by the compiler and is not part of the law.

Laws 2011 (1st S.S.), ch. 3, § 8 repealed 13-1-21.2 NMSA 1978, effective October 5, 2011.

Cross references. — For Governmental Conduct Act, see Chapter 10, Article 16 NMSA 1978.

For sales to and contracts with schools or educational institutions by boards, officers and employees, see 21-1-35 NMSA 1978.

For sentencing for felonies, see 31-18-15 NMSA 1978.

For transfer of powers and duties of former state board, state superintendent and department of education, see 9-24-15 NMSA 1978.

The 2006 amendment, effective July 1, 2007, in Subsection A, changed "state board" to "commission", added a member of the governing body of a charter school, changed "state superintendent" to "secretary", deleted certified school instructor or certified school administrator and added a school employee to the board; in Subsection B, changed "Section 13-1-1 through 13-1-26 NMSA 1978" to "Sections 13-1-21, 13-1-21.2 and 13-1-22 NMSA 1978", deleted certified school instructor and certified school administrators from application of this section and added school employees, and added contract for other employment; in Subsection C, changed "state board" to "commission", deleted state superintendent, certified school instructor or certified school administrator and added a member of the governing body of a charter school and the secretary; in Subsection D, added charter schools; and in Subsection E, changed "state board of education" to "department" and changed "certification of a certified school administrator or a certified school instructor" to "licensure of a licensed school employee".

Purpose of this section and Section 21-1-35 NMSA 1978, is to prevent a conflict of interest between school board members and the districts they are connected with. State ex rel. Martinez v. Padilla, 1980-NMSC-064, 94 N.M. 431, 612 P.2d 223.

Practice restricting district bus drivers in location of gas purchase prohibited. — The practice of requiring certain district bus drivers to buy their gas at a school board member's gas station is exactly the type of improper conflict this section was designed to prohibit, and such activity does not fall within the "regular course of business" exception of Subsection B. State ex rel. Martinez v. Padilla, 1980-NMSC-064, 94 N.M. 431, 612 P.2d 223.

Applicability of Conflict of Interest Act to school district employees. — The Conflict of Interest Act does not apply to employees of school districts. 1969 Op. Att'y Gen. No. 69-19, but see 1989 Op. Att'y Gen. No. 89-34 and 1988 Op. Att'y Gen. No. 88-20.

Transfer by board of contract to wife of board member. — No violation of this section would result where a school board transfers a school bus transportation contract to the wife of a member of the local board making such transfer, as the board member is neither directly nor indirectly working under contract to his school district and the contract is truly between the school board and the wife only, with the husband having no personal interest, pecuniary or otherwise, in the contract. 1971 Op. Att'y Gen. No. 71-36.

Seeking of assistance from bidders in preparation of specifications. — The conflict of interest provision of the Public School Code does not prohibit school districts from seeking the assistance of bidders in the preparation of specifications. 1969 Op. Att'y Gen. No. 69-19.