See this article on The Trust Bank. It points to a significant issue about what is legal and what is ethical. You can act in a legal manner, but in a way that is unethical.
As emergency managers we are, by our profession, public figures. Don't think that people are not watching what you do and how you do it. As government officials (if you serve in government) we are held to a higher standard than our private-sector business partners. Just because they can do something, e.g., attend a particular event — for free, doesn't mean that you can do likewise. Avoiding the "perception" of wrongdoing is as important as not doing something inappropriate.
Remember this: If you are the director, your staff are watching you too. What you do, they will seek to do, since you set the standard. As a leader, you are responsible for their actions, no matter if you sanctioned them or not. It is an element of leadership that many people do not want to accept.