TITLE II—ADMINISTRATION

CHAPTER 8—CONFLICT OF INTEREST CODE

(Established Ord. 946, eff. 7/4/1980; Amd. Ord. 1193, eff. 7/31/1992; Ord. 1197, eff. 9/18/1992; Ord. 1230, eff. 10/21/1994; Ord. 1232 eff. 1/06/1995; Ord. 1243 eff. 10/20/1995; Ord. 1290, eff. 4/02/1999; Ord. 1295 eff. 8/20/1999; Ord. 1314, eff. 11/17/2000; Ord. 1348 eff. 11/5/2004; Ord. 1357 eff. 12/1/2006. Ord. No. 1381, eff. 10/31/2008)

ARTICLE 1—CITY COUNCIL

Sec. 2900 Adoption of conflict of interest code - City Council.

In compliance with Section 87300 of the Government Code, the City Council hereby adopts this Conflict of Interest Code.

Sec. 2901 Application of code.

This Conflict of Interest Code shall be applicable to members of the City Council, whether acting as a Councilmember or as a governing board member or commissioner of any City agency, to the City Manager, City Attorney, City Clerk, City Treasurer, and to designated employees as specified in Article 2 of this Chapter.

Sec. 2902 Disclosure.

Members of the City Council, the City Manager, City Attorney, City Clerk and City Treasurer are required, pursuant to Government Code Section 87200, to disclose investments, interests in real property and other income. No other or no additional disclosure requirements are imposed by this Conflict of Interest Code.

Sec. 2903 Circumstances requiring disqualification. (Ord. 1197, eff. 9/18/1992)

Any member of the City Council, City Manager, City Attorney, City Clerk and City Treasurer must disqualify himself or herself from making or participating in the making of any decisions which will foreseeably have a material financial effect, distinguishable from its effect on the public generally, on any economic interest, as defined in Government Code Section 87103. No such official as enumerated herein shall be prevented from making or participating in the making of any decision to the extent his or her participation is legally required for the decision to be made.

Sec. 2904 Definitions.

Except as otherwise indicated, the definitions contained in the Political Reform Act of 1974 (Government Code Section 81000) and Regulations adopted pursuant thereto are incorporated into this Conflict of Interest Code.

ARTICLE 2—CITY EMPLOYEES

Sec. 2905 Adoption of conflict of interest code - City employees. (Amd. Ord. 1348, eff. 11/5/2004)

In compliance with the Political Reform Act of 1974, California Government Code Section 81000, and following, and specifically with Section 87300, and following, the City of Arcata hereby adopts this Conflict of Interest Code which shall be applicable to all designated employees of the agency. The requirements of this Code are in addition to other requirements of the Act such as the general prohibition against conflicts of interest contained in Government Code Section 87100, and to any other state or local laws pertaining to conflicts of interest. This code adopts by reference Fair Political Practices Commission regulation 2 Cal. Code Regs. Section 18730. In the event of conflict between this code and Section 18730, the provisions of Section 18730 shall control.

Sec. 2906 Definition of terms.

The definitions contained in the Political Reform Act of 1974, the regulations of the Fair Political Practices Commission and any amendments to the Act or regulations, are incorporated by reference into this Conflict of Interest Code.

Sec. 2907 Designated employees.

The persons holding positions listed in Section 2915 are designated employees. It has been determined that these officers and employees make or participate in the making of decisions which may foreseeably have a material effect on financial interest.

Sec. 2908 Disclosure statements.

A designated employee shall be assigned one or more of the disclosure categories set forth in Section 2916. It has been determined that the financial interest set forth in a designated employee’s disclosure category are the types of financial interests which he or she foreseeably can affect materially through the conduct of his or her office. Each designated employee shall file statements of economic interests disclosing his or her financial interests as required by the applicable disclosure category.

Sec. 2909 Place of filing.

All designated employees required to submit a statement of economic interests shall file the original with the City Clerk of the City of Arcata who shall be the filing officer for all designated employees.

Upon receipt of the statement of economic interests of the designated employees, the City Clerk of the City of Arcata shall make and retain a copy and forward the originals of these statements to the City Council of the City of Arcata who shall be the filing officer, within five days of the filing deadline or five days of receipt in the case of statements filed late.

Sec. 2910 Time of filing. (Amd. Ord. 1197, eff. 9/18/1992)

(a)    Initial Statements. All designated employees employed by the agency on the effective date of this Code shall file statements within thirty days after the effective date of this Code. Thereafter, each person already in a position when it is designated as subject to disclosure requirements by an amendment of this Code shall file an initial statement within thirty (30) days after the effective date of the amendment.

(b)    Assuming Office Statements.

(1)    All persons assuming designated positions after the effective date of this Code shall file statements within thirty (30) days after assuming the designated positions.

(2)    All other persons appointed, promoted or transferred to designated positions after the effective date of this Code, shall file statements within ten (10) days after assuming office, (or if subject to confirmation, ten days after being nominated or appointed).

(c)    Annual Statements. All designated employees shall file statements no later than April 1.

(d)    Leaving Office Statements. All persons who leave designated positions shall file statements within thirty (30) days after leaving office.

(e)    Statements for persons who resign 45 days after appointment. Persons who resign within forty-five (45) days from initial appointment are not deemed to have assumed office or left office, provided they did not make or participate in the making of, or use their position to influence any decision and did not receive or become entitled to receive any form of payment as a result of their appointment. Such persons shall not file either an assuming or leaving office statement.

Sec. 2911 Contents of statements. (Amd. Ord. 1197, eff. 9/18/1992)

(a)    Contents of Initial Statements. Initial statements shall disclose any reportable investments, interest in real property and business positions held on the effective date of the Code and income received during the twelve (12) months prior to the effective date of the Code.

(b)    Assuming Office Statements. Assuming office statements shall disclose any reportable investment, interests in real property and business positions held on the date of assuming office and income received during the twelve (12) months prior to the date of assuming office or the date of being appointed.

(c)    Contents of Annual Statements. Annual statements shall disclose any reportable investments, interests in real property, income and business positions held or received during the previous calendar year provided, however, that the period covered by an employee’s first annual statement shall begin on the effective date of the Code or the date of assuming office whichever is later.

(d)    Contents of Leaving Office Statements. Leaving office statements shall disclose reportable investments, interests in real property, income and business positions held or received during the period between the closing date of the last statement filed and the date of leaving office.

Sec. 2911.5 Manner of Reporting. (Amd. Ord. 1348, eff. 11/5/2004)

Disclosure statements shall be made on forms supplied by the City of Arcata, and shall contain the following information:

(a)    Contents of Investment and Real Property Reports. When an investment or interest in real property is required to be reported, the statement shall contain the following:

(1)    A statement of the nature of the investment or interest;

(2)    The name of the business entity in which each investment is held, and a general description of the business activity in which the business entity is engaged;

(3)    The address or other precise location of the property;

(4)    A statement whether the fair market value of the investment or interest in real property exceeds two thousand dollars ($2,000), exceeds ten thousand dollars ($10,000), exceeds one hundred thousand dollars ($100,000), or exceeds one million dollars ($1,000,000).

(b)    Contents of Personal Income Reports. When personal income is required to be reported, the statement shall contain:

(1)    The name and address of each source of income aggregating five hundred dollars ($500) or more in value, or fifty dollars ($50) or more in value if the income was a gift, and a general description of the business activity, if any, of each source.

(2)    A statement whether the aggregate value of income from each source was one thousand dollars ($1,000) or less, greater than one thousand dollars ($1,000), greater than ten thousand dollars ($10,000), or greater than one hundred thousand dollars ($100,000).

(3)    A description of the consideration, if any, for which the income was received;

(4)    In the case of a gift, the name, address and business activity of the donor and intermediary through which the gift was made, a description of the gift, the amount or value of the gift, and the date on which the gift was received.

(c)    Contents of Business Entity Income Reports. When income of a business entity, including income of a sole proprietorship, is required to be reported, the statement shall contain:

(1)    The name, address, and a general description of the business activity of the business entity;

(2)    The name of every person from whom the business entity received payments if the filer’s pro rata share of gross receipts from such person was equal to or greater than ten thousand dollars ($10,000).

(d)    Contents of Business Position Reports. When business positions are required to be reported, a designated employee shall list the name and address of each business entity in which he or she is a director, officer, partner, trustee, employee, or in which he or she holds any position of management, a description of the business activity in which the business entity is engaged, and the designated employee’s position with the business entity.

(e)    Acquisition or Disposal During Reporting Period. In the case of an annual or leaving office statement, if an investment or interest in real property was partially or wholly acquired or disposed during the period covered by the statement, the statement shall contain the date of acquisition or disposal.

Sec. 2912 Disqualification. (Amd. Ord. 1243, eff. 10/20/1995; Ord. 1348, eff. 11/5/2004; Ord. 1357, eff. 12/1/2006)

Designated employees must disqualify themselves from making, participating in the making or using their official positions to influence the making of any governmental decision which will foreseeably have a material financial effect, distinguishable from its effect on the public generally, the official or a member of his or her immediate family on:

(a)    Any business entity in which the designated employee has a direct or indirect investment worth two thousand dollars ($2,000) or more;

(b)    Any real property in which the designated employee has a direct or indirect interest worth two thousand dollars ($2,000) or more;

(c)    Any source of income, other than loans by a commercial lending institution in the regular course of business on terms available to the public without regard to official status, aggregating five hundred dollars ($500) or more in value received by or promised to the designated employee within twelve months prior to the time when the decision is made; or

(d)    Any business entity in which the designated employee is a director, officer, partner, trustee, employee, or holds any position of management; or

(e)    Any donor of, or any intermediary or agent for a donor of, a gift or gifts aggregating three hundred sixty dollars ($360) or more in value, provided to, received by, or promised to the designated employee within twelve (12) months prior to the time when the decision is made.

(f)    No designated employee shall be prevented from making or participating in the making of any decision to the extent his or her participation is legally required for the decision to be made. The fact that a designated employee’s vote is needed to break a tie does not make his or her participation legally required for purposes of this section.

Sec. 2913 Manner of Disqualification.

A designated employee required to disqualify himself or herself shall notify his or her supervisor in writing. This notice shall be forwarded to the City Clerk of the City of Arcata, who shall record the employee’s disqualification. Upon receipt of such statement, the supervisor shall reassign the matter to another employee.

In the case of a designated employee who is a board member or commissioner, notice of disqualification shall be given at the meeting during which consideration of the decision takes place and shall be made part of the official record of the board or commission.

Sec. 2915 Designated Employees.

The following positions are designated pursuant to Government Code Section 87302 and are required to disclose financial interests as specified by the listed disclosure category, which is described in Section 2916. In addition, such positions as are designated herein are subject to disqualification pursuant to Section 2912.

(a)    Employees:

Position:

Disclosure Category:

Director of Community Development

1, 2

Director of Environmental Services

1, 2

Director of Public Works

1, 2

Deputy Director of Community Development

1, 2

Deputy Director of Environmental Services

1, 2

Police Chief

1, 2

Assistant City Manager/Personnel Director

1, 2

Information Technology Manager

1, 2

Deputy Director of Public Works

2, 3, 4

Building Official

2, 3, 4

Parks Superintendent

2, 3, 4

Public Works Superintendent

2, 3, 4

Transportation Superintendent

2, 3, 4

Water/Wastewater Superintendent

2, 3, 4

(b)    Consultants:

(1)    For purposes of this Code, consultants shall be considered designated employees and shall disclose pursuant to the broadest disclosure categories in Section 2916, specifically, shall disclose pursuant to categories 1 and 2, subject to the limitation that the City Manager or his or her designee may determine in writing that a particular consultant is hired to perform a range of duties that are limited in scope and thus is not required to fully comply with the disclosure requirements described in this Code. Such written determination shall include a description of the consultant’s duties and, based upon that description, a statement of the extent of the disclosure requirements. The City Manager or his or her designee’s determination shall become a public record and shall be retained for public inspection in the same manner and location as this Conflict of Interest Code.

(2)    As used in this Code, a “consultant” is a natural person who provides, under contract, information, advice, recommendation or counsel to a local government agency. The term “consultant” does not include a person who:

(i)    Conducts research and arrives at conclusions with respect to his or her rendition of information, advice, recommendation or counsel independent of the control and direction of the agency or agency official, other than normal contract monitoring; and

(ii)    Possesses no authority with respect to any agency decision beyond the rendition of information, advice, recommendation or counsel. (Ord. 1193, eff. 8/31/1992; Ord. 1230, eff. 10/21/1994; Ord. 1290, eff. 4/2/1999; Ord. 1314, eff. 11/17/2000; Ord. 1348, eff. 11/5/2004; Ord. 1357, eff. 12/1/2006; Ord. 1381, eff. 10/31/2008; Ord. 1404, eff. 11/5/2010; Ord. 1423, eff. 11/2/2012; Ord. 1447, eff. 10/31/2014)

Sec. 2916 Disclosure categories.

(a)    General provisions.

When a designated employee is required to disclose investments and sources of income, he or she need only disclose investments in business entities and sources of income which do business in the jurisdiction, plan to do business in the jurisdiction or have done business in the jurisdiction within the past two years. In addition to other activities, a business entity is doing business within the jurisdiction if it owns real property within the jurisdiction. When a designated employee is required to disclose interests in real property, he or she need only disclose real property which is located in whole or in part within or not more than two miles outside the boundaries of the jurisdiction or within two miles of any land owned or used by the local government agency.

(b)    Disclosure categories defined.

Category 1: All investments and business positions in business entities, and all sources of income.

Category 2: All interests in real property.

Category 3: Investments and business positions in business entities and income from sources which engage in land development, construction, building, material supply, or the acquisition or sale of real property.

Category 4: Investments and business positions in business entities and income from sources of the type which, within the past two years, have contracted with the City of Arcata to provide services, supplies, materials, machinery or equipment.

Category 5: Investments and business positions in business entities and income from sources of the type which, within the past two years, have contracted with the designated employee’s department to provide services, supplies, materials, machinery or equipment.

ARTICLE 3: Repealed. (Ord. 1381, eff. 10/31/2008)

ARTICLE 4—CERTAIN OTHER CITY COMMITTEES AND COMMISSIONS

(Amd. Ord. 1232, eff. 1/6/1995; Ord. 1295, eff. 8/20/1999; Ord. 1381, eff. 10/31/2008)

Sec. 2960 Adoption of conflict of interest code. (Amd. Ord. 1232, eff. 1/6/1995; Ord. 1295, eff. 8/20/1999)

In compliance with the Political Reform Act of the State of California, the City of Arcata hereby adopts this conflict of interest code, which will be applicable to all members of the Arcata Planning Commission, the Design Review Commission, the Nuclear Weapons Free Zone and Peace Commission, and the Economic Development Committee.

Sec. 2961 Adoption of reference. (Amd. Ord. 1232, eff. 1/6/1995; Ord. 1381, eff. 10/31/2008)

Each of the members of the Arcata Planning Commission, the Historic and Design Review Commission, and the Economic Development Committee shall comply with all of the provisions of Article 2 of Title II of the Arcata Municipal Code. The disclosure categories, as listed in Section 2915, shall be as follows:

Arcata Planning Commission

All

Historic and Design Review Commission

All

Economic Development Committee

All