California Water Code § 81336.5

Water Code
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(a) No incompatibility of office shall result from an elected official serving on the board of the agency and on the governing board of a member public entity. A board member may vote on contracts or other matters involving the member public entity he or she represents. (b) The agency may enter into a contract with California Water Service Company only if both of the following requirements are met: (1) The director appointed by the Board of Supervisors of San Mateo County does not participate in a vote on the contract. (2) The contract is approved by the affirmative vote of a majority of all members of the board other than the director appointed by the Board of Supervisors of San Mateo County. (c) The agency may enter into a contract with Stanford University only if both of the following requirements are met: (1) The director appointed by the Board of Supervisors of Santa Clara County does not participate in a vote on the contract. (2) The contract is approved by the affirmative vote of a majority of all members of the board other than the director appointed by the Board of Supervisors of Santa Clara County. (d) A contract approved pursuant to the requirements of this division does not constitute a violation of Section 1090 or 1097 of the Government Code, nor is it void or voidable pursuant to Section 1092 of the Government Code.

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