State of California
                            AIR RESOURCES BOARD
                                
                             Convention Center
                         1202 S. Figueroa Street
                                Room 216 BC
                             Los Angeles, CA
                                
                              May 27, 1976
                               10:00 a.m.
                                
                                 AGENDA


                                                                         Page

76-9-1    Approval of Minutes of the April 12, 1976 Board
          Meeting.

76-9-2    Public Hearing - Conflict of Interest Code                     1
          Regulations.

76-9-3    Other Business -
          a.   Research Projects                                         60
          b.   Executive Session

                        ITEM NO.:  76-9-2

Public Hearing to Consider Proposed Conflict of Interest Code.

                          RECOMMENDATION

Adopt Resolution 76-22.

                             SUMMARY

On June 4, 1974, at the primary election, the voters approved the
Political Reform Initiative (Proposition 9).  This initiative
adopted the Political Reform Act of 1974 (Government Code
Sections 81000 et seq., hereinafter referred to as the Act).

Chapter 7 of the Act, relating to Conflicts of Interest, affects
the activities of the Board in the following two ways:

1.   It sets forth a general prohibition against conflicts of
     interest applicable to all officers and employees of the
     Board, including all civil service employees.

2.   It requires the Board to adopt and promulgate a Conflict of
     Interest Code designating positions which involve the making
     or participation in the making of decisions which may
     foreseeably have a material effect on a financial interest
     of the incumbent.  Such designated employees are required to
     file disclosure statements and to disqualify themselves from
     participating in any action which may affect their financial
     interest.

The attached draft Conflict of Interest Code is submitted in
compliance with the latter requirement.  The Code is drawn in a
format suitable for incorporation by reference into the Board's's
regulations in the California Administrative Code.  This fact is
reflected in the content of the accompanying Resolution, which
contains two short proposed regulations suitable for adoption
into each of the principal segments of the Board's regulations. 
The use of two regulations, one in each title of the California
Administrative Code, which the staff recommends here, is based on
a suggestion from the Office of Administrative Hearings.

The staff recommends that the Code be adopted, although it will
not technically become effective until it has been approved by
the FPPC.  Once the FPPC has given its approval, the Code will be
filed with the Secretary of State by the Executive Officer and
thereupon become operative.  If any changes in the Code are
required by the FPPC, the Code will be resubmitted to the Board
at a later meeting for further action.

ATTACHMENTS:   Resolution 76-22
               Staff Report 76-9-2
               Proposed Conflict of Interest Code (Appendix I)
               Public Hearing Notice (Appendix II)