(a) A person is not eligible to serve as a director or general manager of the district if the person or the person's relative within the third degree by consanguinity or affinity, as determined by Chapter 573, Government Code:(1) received 10 percent or more of gross income for the previous year from a business entity or other organization, other than a governmental entity, that receives money from the district;(2) is employed by or participates in the management of a business entity or other organization, other than a governmental entity, that receives money from the district;(3) directly or indirectly owns or controls more than a 10 percent interest in the fair market value of a business or other organization that receives money from the district;(4) serves as a corporate officer or member of the board of directors of a business entity or other organization that receives money from the district;(5) is a creditor, debtor, or guarantor in an amount of $5,000 or more of a person or business entity that receives money from the district;(6) uses or receives a substantial amount of tangible goods, services, or money from the

guarantor in an amount of $5,000 or more of a person or business entity that receives money from the district;(6) uses or receives a substantial amount of tangible goods, services, or money from the district other than compensation or reimbursement authorized by law; or(7) is required to register as a lobbyist under Chapter 305, Government Code, because of the person's activities for compensation on behalf of a profession related to the operation of the district.(b) A person applying to serve as general manager of the district shall disclose any potential violations of Subsection (a) before accepting the position of general manager. Added by Acts 2019, 86th Leg., R.S., Ch. 702 (S.B. 2552), Sec. 4, eff. September 1, 2019.