The Del Mar Fairgrounds Board of Directors approved a new policy last Tuesday allowing board members to request reimbursement for reasonable legal fees and costs tied to their service on the board.
The policy creates a process for board members to seek reimbursement but stops short of guaranteeing payment, according to the San Diego Union-Tribune. Requests will be evaluated case by case rather than approved automatically.
How Requests Will Be Reviewed
Requests are to be reviewed individually rather than under a blanket rule.
Part of that review falls to the California attorney general's office, which examines reimbursement requests to determine whether paying them would amount to an illegal gift of public funds.
Where the Policy Came From
After a committee report, DeBerry proposed the policy to the board.
State law offers some relevant context for how public board members are typically compensated. Under California Government Code section 20093, board members generally serve without compensation but are entitled to reimbursement for actual and necessary expenses incurred through their service. Separately, Government Code section 995.8 states that a public entity is not required to provide a defense in a criminal action or proceeding against an employee, though it may choose to do so.
Constitutional Limits on Public Funds
Any reimbursement arrangement involving a public agency like the fairgrounds also operates in the shadow of Article XVI, Section 6 of the California Constitution, which bars the state and its political subdivisions from giving or lending public credit in aid of certain purposes.
It remains unclear whether any board members have yet submitted a reimbursement request under the newly adopted policy.
