; and (B) 4 shall be appointed by the State racing commissions of the remaining member States. (2) Membership (A) Chairperson The chairperson of the Board shall be elected annually by majority vote from among the members of the Board. (B) Term (i) In general Except as provided in clauses (ii) and (iii), the term of a member of the Board shall not exceed 3 years. No member shall serve more than 3 full terms. (ii) Initial appointment For purposes of staggering terms of appointment, the initial members appointed by the State racing commissions in the 5 member States that had the greatest number of racing days during the prior 3-year period shall serve an initial term of 4 years. (iii) Expansion in case of fewer than 9 member States If, as of the date described in section 502(a), fewer than 9 States have entered the interstate compact, the Board shall add a new member as each new State enters the interstate compact, up to a maximum of 9 members. (iv) Vacancies A vacancy on the Board shall be filled in the same manner as the position was appointed immediately prior to the vacancy. An individual appointed to fill a vacancy occurring before the expiration of the term for which the predecessor of that individual was appointed shall be appointed for the remainder of that term. When the term of office of a member ends, the member may continue to serve until a successor is appointed. (C) Conflicts of interest (i) In general Each member of the Board shall— (I) before accepting appointment as a Board member, disclose any potential conflict of interest; (II) notify the full Board immediately upon engaging in any activity that the RHSO determines may be perceived as a conflict of interest