Opinion No. (1998)

DANIEL E. LUNGREN Attorney General ANTHONY M. SUMMERS Deputy Attorney General THE HONORABLE VALERIE BROWN, MEMBER OF THE CALIFORNIA ASSEMBLY, has requested an opinion on the following question: May a city council execute a contract with a corporation for the purchase of equipment if one of the council members and her spouse own less than 3 percent of the stock of the corporation, the spouse has been employed by the corporation for more than 3 years, and the spouse's salary from the corporation exceeds 5 percent of the total annual income of the member and spouse? CONCLUSION A city council may not execute a contract with a corporation for the purchase of equipment if one of the council members and her spouse owns less than 3 percent of the stock of the corporation, the spouse has been employed by the corporation for more than 3 years, and the spouse's salary from the corporation exceeds 5 percent of the total annual income of the member and the spouse. ANALYSIS Government Code section 1090 1 provides: "Members of the Legislature, state, county, district, judicial district, and city officers or employees shall not be financially interested in any contract made by them in their…