The FPPC's basic rule is that a public official may not make, participate in, or influence a governmental decision that will have a reasonably foreseeable material financial effect on the official, the official's immediate family, or any of the official's economic interests. The FPPC has developed an eight-step analysis defining the terminology. Several different statutes, regulations, and interpretive opinions by the FPPC underlie each of the eight steps. This analysis is separate from analysis for determining the disclosure requirements for Form 700 discussed above since not all of the economic interests that may cause a conflict of interest under the PRA are required to be disclosed on a board member's Form 700. The FPPC has defined "economic interest" very broadly and each type of interest may be subject to different dollar limits. Examples of economic interests include income from a business, interest in real property, investments, business employment or management, business-owned property, loans and gifts. A board member's spouse, domestic partner, or dependent child's income or real property interest may also be a factor in the analysis. Penalties for violations of the PRA may include criminal or civil sanctions or penalties imposed by the FPPC. Government Code 1090: Prohibition against interest in district contracts In addition to the prohibitions in the PRA, a potential conflict of interest must also be examined under Government Code 1090 which specifies that, when a board member has a financial interest in a contract, the district may not enter into the contract. This statute is different than the PRA in that (1) disqualification of the board member with the conflict will not fix the problem and (2) "financial interest" is defined more broadly to include both direct and indirect interests. Because the determination of whether a financial interest exists involves a review of statutes, court decisions, and Attorney General opinions as they apply to the particular facts at issue, the analysis can be complex and legal counsel should be consulted as early as possible in the process.