To me the bigger issues are that the disclosure forms were filed the day of the vote. Generally when you have to recuse yourself for the involvement he has (the article ignored the state law that mandates this), you have to completely be recused from any discussion whatsoever. And this was all discussed outside of council by somebody....
Additionally, he claims to not be a partner (the article discusses how the website even changed after they started asking questions), but a very simple google search shows him presenting himself as a partner at other City Council meetings (different cities) in order to get or secure new business.
Having a conflict is not uncommon, but at least if you follow the disclosure laws you protect yourself from this. It makes it look like Round Rock didn't look at other companies and just hired his. It looks bad for the City.