Understanding responsibilities for regulatory and special district board members
Serving on a public board is both a responsibility and an opportunity to make a lasting impact in your community. This guide sheet is designed for individuals serving on boards established by Missouri state statutes.
Regulatory boards are charged with interpreting and enforcing rules or policies, often grounded in legal frameworks, for example county health boards and planning and zoning boards. Special district boards oversee specific services such as emergency medical response, library systems, water and sewer districts, or conservation efforts.
Township boards are a unit of government established by state statutes, much like city councils or county commissions, but one that manages local government functions, typically road maintenance in rural areas. In Missouri, 20 counties operate using the townships.
Understanding your board’s purpose and authority is critical to fulfilling your role effectively and in accordance with Missouri law. Public board members oversee policy, provide financial oversight, and represent the organization to the public. Unlike board members of nonprofit organizations, public board members are typically elected (or sometimes appointed) to their positions and are required to follow specific rules and regulations established by state statutes, and in some cases, local ordinances.
Representing the organization
Members should be willing to speak on behalf of the board when appropriate and ensure that information flows between the organization and the broader public. In some cases, responsibilities may also include promoting the organization, supporting fundraising, or answering community questions. It is essential for every board member to understand the mission of the organization, who it serves, and what services are offered. Clarifying this scope helps ensure alignment between board actions and community needs.
Written policies
A well-functioning board relies on clear, written policies and procedures, which can help ensure consistency, transparency, and fairness, especially when questions or disputes arise. Written policies should include procedures for meetings, such as when and where meetings will be held, how agendas are set, and how visitors may address the board (including how much time is allotted for a visitor to address the board). Policies should outline attendance protocols, acceptable formats for remote participation (e.g., phone or online), timelines for paying bills, and requirements for record documentation. Board procedures must also include policies for complying with Missouri’s Sunshine Law, including meeting notices, record-keeping, and access to public information. Having these expectations clearly written ensures everyone—board members, staff, and citizens—understands the rules and expectations.
Beyond the basics, boards should also adopt policies addressing officer duties, fiscal responsibilities, and member conduct. Even if a board member does not serve as treasurer, they still share responsibility for reviewing and approving the annual operating budget. Written policies should detail how fees and charges are set, how reimbursements are handled, and how vacancies or term limits are managed. Additional topics might include eligibility requirements, conflict of interest disclosures, and guidelines for handling nepotism or liability concerns. Many of these topics are also covered in a board’s bylaws—a separate foundational document that should be regularly reviewed and updated.
Nepotism
Missouri law strictly prohibits public officials or employees from appointing relatives within the fourth degree—either by blood (consanguinity) or marriage (affinity)—to public office or employment, resulting in automatic forfeiture of their own position. This applies regardless of whether the appointed position is paid. The prohibition only covers the use of official authority to appoint a relative, not if the relative is elected or previously held the role. Degrees of relationship are counted through a common ancestor, with siblings being second degree and first cousins fourth degree. The law also applies to in-laws, treating spouses as a single unit.
Conflict of interest
Missouri law prohibits public officials from using their position for personal gain or to benefit family members. Paid transactions with members or family members are limited to $500 per deal and $1,500 annually. Officials cannot be compensated above these limits unless a competitive bid process is used and their bid is the absolute lowest. (105.454 and 105.458) Business interests of officials or their families are also subject to the same restrictions. Substantial interest is defined as owning at least 10% of a business. (105.450) Violations can lead to misdemeanor or felony charges, with penalties including jail time and fines. Governments may pass additional local ordinances or policies that strengthen the state’s statutes.
Additionally, regulatory and special districts must adhere to conflict of interest policies within their relevant state statutes as well as any local policies adopted.
- Townships – Missouri Revised Statues, Chapter 105
- Health – Missouri Revised Statues, Chapter 205
- Planning and Zoning – Missouri Revised Statues, Chapter 89
- Library - Missouri Revised Statutes, Chapter 182
- Ambulance – Missouri Revised Statues, Chapter 190
- Fire Protection – Missouri Revised Statutes, Chapter 321
- Water & Sewer – Missouri Revised Statutes, Chapters 241-250
- Soil and Water Conservation – Missouri Revised Statues, Chapter 278
Advocacy and lobbying
Public Board members may actively advocate on behalf of their organization’s; however, certain restrictions may apply for lobbying activities under enabling Missouri State Statutes (see above) and/or state and federal funding agreements. Advocacy involved educating stakeholders about a specific issue or cause related to the organization’s mission, while lobbying is an attempt to actively influence legislation or policy decisions. If an organization is unsure if their engagement with local, state or federal legislators is appropriate, it is advisable to consult legal counsel to ensure compliance.
Effective meetings
Effective meetings are built on structure, communication, and mutual respect. Every meeting should have a clear agenda distributed in advance, identifying who will lead each discussion and how much time is allotted for each topic. Before each meeting, members should review their board packets to be prepared for discussions and votes. Boards should adopt and revisit “ground rules” that support inclusive participation and respectful dialogue. Examples include starting meetings on time, not talking over one another, and using tools like a "parking lot" for off-topic ideas. A parking lot is a place to track issues that are raised, but not on the current agenda, that may be addressed at a later date. Recognizing that people communicate and process information differently, boards can improve engagement by building space for quieter members to reflect and share their thoughts. If a decision isn’t urgent, allow time for follow-up before a vote is taken.
Members should be willing to speak on behalf of the board when appropriate and ensure that information flows between the organization and the broader public. In some cases, responsibilities may also include promoting the organization, supporting fundraising, or answering community questions. It is essential for every board member to understand the mission of the organization, who it serves, and what services are offered. Clarifying this scope helps ensure alignment between board actions and community needs.
Conflict resolution
Boards should prepare for inevitable disagreements by adopting a shared approach to conflict resolution. Conflict is not inherently negative—when addressed productively, it can lead to stronger decisions and deeper collaboration. A structured problem-solving approach can help boards navigate challenges: clearly define the problem, establish guiding principles, brainstorm multiple options, evaluate solutions together, and build a shared plan of action. By approaching issues with clarity and cooperation, boards can strengthen trust within their group and maintain their focus on serving the community. In all things, consistency and fairness are essential—if something might cause confusion or misinterpretation, write it down, follow it, and apply it equally. While decisions can be delayed if necessary, final decisions must be made in a timely manner.
Personnel procedures
Boards that hire employees or engage in service contracts must understand their legal, financial, and ethical responsibilities. Determining if a worker should be an employee or a contractor is an essential first step. Employees typically use the board’s equipment and are paid hourly or salaried wages, with taxes withheld and unemployment taxes paid by the employer. Contractors, on the other hand, use their own equipment, are paid per job, and receive an IRS 1099-NEC form. Misclassifying a worker can have legal and financial consequences, so proper classification is important. The IRS Publication-1779 can guide you with this determination.
Personnel policies
If your board has any employees, even part-time personnel, a policy is a must. This document outlines employment practices, expectations, and benefits, and ensures consistency and fairness in how employees are treated. Boards that have employees have to get an Employer Identification Number (EIN), withhold Social Security and Medicare taxes, and pay state and federal unemployment taxes. Additionally, public boards are required to post appropriate federal and state employment posters in the workplace, covering topics such as labor laws, nondiscrimination, and workplace safety.
E-verify
A crucial part of hiring is verifying eligibility for employment. All boards must use the federal E-Verify system to confirm that new hires are legally authorized to work in the United States. However, E-Verify may not be used to pre-screen applicants before an offer is made. The system requires information from the I-9 form and must be used after the offer of employment but before the employee starts working. This verification is mandatory for governmental entities and contractors. There is some discussion around whether counties can centralize this process or if it must be done by each individual board—check with your county for guidance.
Fair Labor Standards Act (FLSA)
Understanding the Fair Labor Standards Act (FLSA) is another essential aspect of board operations. This law governs minimum wage, overtime pay, youth labor, and employee classification (exempt vs. non-exempt). Boards should be especially mindful of how they track work hours, offer comp time versus overtime pay, and ensure that employee records are properly maintained. Note that while FLSA generally applies to public employees, it exempts emergency services such as fire, EMT, and law enforcement. Volunteers cannot be used to circumvent wage laws. Boards must also be aware of on-call requirements, benefits eligibility, and proper recordkeeping to remain in compliance.
Family and Medical Leave Act (FMLA)
Boards must also comply with the Family and Medical Leave Act (FMLA), which entitles eligible employees to unpaid, job-protected leave for specified family and medical reasons. This includes leave for the birth or adoption of a child (for either parent), caregiving for military family members, and serious personal or family health conditions. Boards must clearly outline FMLA provisions in their personnel policies and post official notices in the workplace. Many boards require an employee to take their existing sick and annual leave (paid) before taking FMLA. While employees must follow their own reporting obligations, the responsibility for implementing and documenting FMLA leaves with the employer.
Prevailing wage and excessive unemployment
Boards that oversee construction or infrastructure projects must be aware of Missouri’s Prevailing Wage Law. (290.230) This law requires that public works projects valued at over $75,000—such as bridges, roads, or public buildings—pay workers at least the prevailing wage for the county and job classification. Rates must be included in bid specifications and enforced throughout the project. Non-compliance can result in penalties for both the contractor and the public body. The Missouri Department of Labor tracks whether prevailing wage and excessive unemployment provisions are currently in effect. Boards must also avoid hiring workers from restricted states, like Iowa or Illinois, if the excessive unemployment rule is active. For the most current regulations, visit the Missouri Department of Labor and Industrial Relations.
Additional personnel components
A well-rounded personnel policy should also address payroll frequency, leave types (vacation, sick, and others), probationary periods, and employment status for part-time and full-time roles. Boards should exercise caution to avoid nepotism and manage conflicts of interest when hiring or supervising staff. No board is immune from personnel challenges, and clear, written policies are the best protection against misunderstandings, liability, or inconsistent treatment. By maintaining fair hiring and termination procedures, providing required notices, and following labor laws, boards can fulfill their responsibilities as ethical and lawful employers.
Fiscal responsibilities
It is important for each person serving on a board to understand the process of making decisions related to its finances. All board members should have a thorough understanding of revenue and expenses. Each board member should be capable of explaining the rationale behind financial decisions made for the board’s business.
The budget
Every public board must designate a budget officer to prepare and present a proposed annual budget. All members should contribute to the final approved budget. A budget must include highlighted changes from the previous year; revenue estimates; expense estimates; a list of payments due; remaining balances, and a summary.
Expenditures cannot occur without an approved budget. If an entity fails to adopt a new budget by the fiscal year’s start, the last adopted budget remains in effect (Missouri Statute 67.070). Spending must not exceed budgeted amounts, and receipts/expenditures must be balanced. Budgets should use prior-year data for projections, as current year figures are often incomplete. Typically, adjustments to the budget are necessary. If spending exceeds the budget, the board must pass a resolution justifying the increase (Missouri Statute 67.040). Internal transfers are permitted if the budget remains balanced.
The bidding process
Contracting rules vary by political subdivision. Missouri Statutes 34.040 and 50.666 give guidance on the process. Bids are not required for purchases under $6,000 but boards may set a lower threshold. Boards must promote competition by publishing bids in a newspaper. If the phrases, “to the lowest and best bidder”, and “we reserve the right to reject any and all bids” are included, this allows for board flexibility.
While no timeframe is mandated, two weeks is typical for ad placement. Sealed bids are optional but recommended for high value or sensitive items. Bid specifications must be detailed and include all requirements.
The board can determine if the bids are closed or opened publicly. Either way, consistency, transparency, and justification should be evident. Specs can be made available at the public entity’s office or with an individual.
A comprehensive bid is usually detailed and requires a good understanding of the project. Comprehensive bids are open to anyone that can do the job. Limited bids are selected from certain groups or people. A board might go with a limited bid if the job needs people with specialized training or clearance to do the job. Contracts binding future boards are generally illegal unless backed by a bond or reserved funds.
The board treasurer
The treasurer oversees the board’s finances. This includes presenting bills, depositing funds, preparing financial reports and annual statements. If duties are delegated, like to an employee, the treasurer remains accountable. The treasurer and anyone handling funds should be bonded. The amount of the bond should be based on the highest dollar amount handled at any one time and the risk tolerance level of the board. No payments should be made without board approval or a matching expense statement. Funds cannot be used for personal purposes. The treasurer should not conduct audits or financial reviews. However, the treasurer and anyone else handling funds should be available to answer any questions.
Other fiscal oversight
The board pre-approves expenses. For the occasional and necessary payment between meetings, set a pre-approved spending limit. All members should understand and be able to explain financial reports. Require two signatures on checks. The board must ensure the treasurer submits an annual financial report, which is considered an open record.
Financial reports must include:
- annual income/expenses
- assets and liabilities (with creditors listed)
- explanation for discrepancies or major changes
Sources
Missouri Department of Labor & Industrial Relations
Revised Statutes of Missouri, Title VI, Chapter 65 Township Organization Counties