(1) When a board member either owns a beneficial interest in or is an officer, agent, employee, or member of an entity engaged in activity that is subject to a board action, the board member shall state such involvement and be recused from board contact and participation related to that board action, except that the board member may provide information and appear as a fact witness in that action.

(2) When a board member has a business relationship with a respondent who is subject to a board action, the board member shall notify the board and board staff of that relationship. The board member shall either state that the nature of the relationship is such that it will not affect the board member's impartiality and the member will continue to participate in the action or the board member shall announce their recusal from the board action.

(3) Board staff will make a written notation for the case file of any statement by a board member regarding a business relationship with the respondent and the basis for recusal or continuing participation in the board action.

(4) "Board action" means any action on the part of the board, including, but not limited to:

(a) An investigation, discussion, decision, determination, finding, ruling, order or other regulatory activity within the board's jurisdiction; and

(b) A grant, payment, award, license, contract, transaction, sanction, or approval, or the denial thereof, or failure to act with respect to a decision, determination, finding, ruling, or order.