Should people with higher positions have greater power?

http://www.scu.edu/ethics-center/ethicsblog/atthecenter.cfm?b=116&c=5464,2009-08-28,2009-08-28,2009-08-28,2009-08-29,2009-08-28,2009-08-28,2009-08-28,2009-08-27,2009-08-28,2009-08-31,2009-08-31,2009-09-03

The mayor’s daughter competes in one of the two local gymnastics clubs in town. Her club is hosting a state meet in April; the other club is hosting a regional event in July. Both organizations have asked the city for a grant to defray costs. There is a limited amount of money in the community service budget, and traditionally the council funds only one sport, and usually chooses an event with the greatest number of attendees, which would be the regional event.
Should the mayor recuse himself from the discussion/vote on the funding?
How should he vote on the grant request?

P1. Two gymnastic clubs need money for a competition, but only one can recieve the money.
P2. The mayor's daughter is on one of the gymnastic teams.
P3. The city has to make a decision of which gymnastic club should get the money.
C. The mayor should not be able to be part of the decision process for he will choose his daughter's gymnastics club.

Inductive, strong, uncogent