Executive Board (R. Lewis Email RE: Conflict of Interest, 6/11/2024)

**Executive Summary**

**Conflict of Interest Overview**
This document addresses a potential conflict of interest involving Mr. Joe DeFors, chair of the Leelanau County Energy Futures Task Force, who is alleged to have lobbied for a state grant pertaining to the County’s solar project. The correspondence highlights that Leelanau County’s policy on conflicts of interest, which is more stringent than state law, stipulates a conflict arises when a public servant advocates for a program that benefits them personally. DeFors’ involvement in advocating for the grant raises questions about his eligibility to serve as the Grant Administrator, as he stands to gain financially from the project through consulting arrangements.

**Board Consideration and Legal Insights**
Matt Nordfjord, an attorney from Cohl, Stoker & Toskey, provided a legal examination of the situation and indicated that while a conflict of interest might exist under County policy, it should be evaluated openly by the Board. If the Board receives a full disclosure that satisfies legal standards, they could still approve the grant, as the primary beneficiary may be the County rather than DeFors personally. This discussion aligns with the Contracts of Public Servants with Public Entities Act, which permits such approvals with appropriate transparency.

**Financial Implications and Justification**
The financial implications of the grant include compensation for county officials and specific consultants. The total estimated personnel costs amount to $16,329.60, alongside $8,100 allocated for the Project Leadership Team comprising DeFors and another individual. The justification for their inclusion as paid consultants rests on their established expertise and network, which are deemed essential to the project’s efficiency and effectiveness. The document underscores the necessity for the Board to weigh the potential conflict against the project’s broader benefits to the County.

**Conclusion and Next Steps**
As these discussions progress, it is essential for the Board of Commissioners to address the concerns raised by stakeholders regarding the conflicting interests presented by DeFors. Full disclosure and transparency will play crucial roles in protecting the integrity of the process while ensuring the successful advancement of the solar initiative. The situation highlights the importance of adhering to both legal and ethical standards when navigating potential conflicts in public service.

Cohl, Stoker & Toskey, PC