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CC - Item 3N - Conflict of InterestROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: OLIVER CHI, CITY MANAGER ~" C~- DATE: DECEMBER 16, 2008 SUBJECT: BIENNIAL REVIEW AND UPDATE OF CITY CONFLICT-OF-INTEREST CODE BACKGROUND The Political Reform Act (Cal. Gov't Code §§ 81000 et seq.) controls conflicts of interests of public officials through disclosure of financial interests and prohibitions on participation in the making of decisions in which the official knows or has reason to know he or she has a financial interest. Pursuant to Government Code 87300 and 87306, each city is required to have aconflict-of-interest code. Pursuant to Government Code section 87302, this code is required to designate employees who must disclose certain investments, income; interests in real property, and business positions, and who must disqualify themselves from making or participating in the making of governmental decisions affecting those interests. According to Government Code section 87306 and 87306.5, this code must be reviewed every two years and amended when circumstances change, such as when new positions are created or duties of existing positions change. The code must be consistent with the minimum requirements of the Political Reform Act. RMC § 2.24.020 sets forth the current designated positions and disclosure categories set forth in the code. The current biennial review of the City's conflict-of-interest code reveals that certain changes need to be made as a result of the addition of new job titles, the deletion of certain old job titles, and changes in the job duties and descriptions. As a result. staff is recommending that the RMC § 2.24.020 be amended to incorporate the updated "designated positions" that are required to file FPPC Form 700 Statement of Economic Interests together with updated disclosure categories. Staff Recommendation Staff recommends that the City Council introduce for first reading the attached ordinance amendirig Rosemead Municipal Code § 2.24.020 which updates the designated positions and disclosure categories required by Government Code sections 87300 and 87302. PUBLIC NOTICE PROCESS This item .has been noticed through the regular agenda notification process. Sub fitted by: Nay µtc,a /ply onifacio Garcia City Attorney Attachment A -Ordinance No. 2008-870 APPROVED FOR CITY COUNCIL AGENDA: ITEIl~I NO. 3~ .._~ ORDINANCE NO. 2008-870 A ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD AMENDING SECTION 2.24.020 OF THE ROSEMEAD MUNICIPAL CODE TO UPDATE THE CONFLICT OF INTEREST CODE TO REVISE THE DESIGNATED POSITIONS FOR WHICH STATEMENTS OF ECONOMIC INTEREST ARE REQUIRED TO BE FILED WHEREAS, the Political Reform Act ("PRA"), Government Code Sections 81000 et sey., requires every state or local government agency to adopt and promulgate a Conflict of Interest Code; and WHEREAS, Section 2.24.020 of the Rosemead Municipal Code contains the list of designated positions subject to the Conflict. of Interest Code and the financial disclosure categories applicable to each position; and WHEREAS, it is necessary to update Section 2.24.020 of the Rosemead Municipal Code, in order to ensure that the list accurately reflects currently existing positions and job duties, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS: SECTION 1. Section 2.24.020 of the Rosemead Municipal Code is hereby repealed in its entirety. SECTION 2. Section of 2.24.020 of the Rosemead Municipal Code shall consist of Exhibit 1 attached to this ordinance, all of which documents are hereby incorporated by reference. SECTION 3. Any future amendments to the City's Conflict of Interest Code including, but not limited to, amendments to the designated positions list or to the financial disclosure categories, may be made by resolution duly adopted by the City Council of the City of Rosemead. SECTION 4. Pursuant to the Code, any person holding a designated position, including any person holding a designated position in an acting capacity, shall file a Statement of Economic Interest with the City Clerk. The City Council hereby delegates to the City Clerk the authority to carry out the duties of filing officer. SECTION 5. Pursuant to the Code, all persons assuming or leaving designated positions must file Statements of Economic Interest within thirty (30) days after assuming or leaving the designated position. SECTION 6. The City Clerk shall .certify to the adoption of this Ordinance, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AND ADOPTED this day of , 2008. John Tran, Mayor ATTEST: Gloria Molleda, City Clerk I, ,CITY CLERK of the City of Rosemead, California, do hereby certify that the foregoing Ordinance was regularly introduced and placed upon its first reading at a regular meeting of the City Council on the day of , 2008. That thereafter said Ordinance was duly adopted and passed at a regular meeting of the City Council on the day of , 2008 by the following vote: AYES: NOES: ABSENT: Gloria Molleda, City Clerk APPROVED AS TO FORM Bonifacio Bonny Garcia, City Attorney EXHIBIT 1 2.24.020 Designated positions and disclosure categories. The following designated positions shall file statements of economic interest in accordance with the assigned disclosure categories listed for the position: Desi Hated Position Disclosure Category Accounting Manager 4, 5, 6 Assistant City Manager 1 Assistant Director of Parks & Recreation 4 Assistant Planner 4, 5, 6 Associate Civil En ineer 4, 5, 6 Associate Planner 4, 5, 6 City Clerk 1 City Engineer 1 City Manager 1 City Planner 1 Code Enforcement Supervisor 4, 5, 6 Deputy Public Works Director 4, 5, 6 Director of Parks & Recreation 4, 5 Director of Public Safety 4, 5, 6 Economic Develo ment Administrator 4, 5, 6 Finance Director 1 Management Analyst 1 Park Superintendent 4, 5 Public Affairs Manager 4, 5 Public Safety Coordinator 4, 5, 6 Recreation Supervisor 4, 5 Senior Graffiti Abatement Manager 4, 5, 6 Senior Human Resources Analyst 4, 5 Senior Management Analyst 4, 5 Senior Planner 4, 5, 6 Police Chief (Commander-Temple Station) 1 Fire Chief (Area Assistant Chief)' 1 Consultants* to City, Agency or~RHDC 1 * The definition of "consultants'.' is contained in FPPC regulation 18700, a copy of which is attached to the Rosemead Conflict of Interest Code. Consultants shall be included in the list of designated employees and shall disclose pursuant to the broadest disclosure category in the code subject to the following limitation: The City Manager/Agency Executive Director may determine in writing that a particular consultant, although a "designated position" is hired to perform a range of duties that is limited in scope and thus is not required to fully comply with the disclosure requirements described in this section. Such written determination shall include a description of the consultant's duties and, based upon that description, a statement of the extent of disclosure requirements. The City Manager's determination. is a public record and shall be retained for public inspection in the same manner and location as this Conflict of Interest Code. DISCLOSURE CATEGORIES 1. Persons in this category must disclose all investments and business positions in business entities, all sources of income, and all interests in real property. 2. Persons in this category must disclose. all sources of income; business positions in business entities; investments which pertain to a business entity or activity dealing with real property,* and all interests in real property. 3..Persons in this category must disclose business positions in business entities; investments and income which pertain to a business entity or activity dealing with real property. 4. Persons in this category must disclose interests in real property where the property is located within the boundaries of the city; business positions in business entities; investments, and income from sources which provide services, supplies, materials, machinery or equipment of the type utilized by the city in any public works project. 5. Persons in this category must disclose interests in real property where the property is located within the boundaries of the city; business positions in business entities; investments and income which pertain to a business entity or activity dealing with real ProP~y 6. Persons in this category must disclose investments which pertain to a business entity conducting a business in the city which requires a business license therefor pursuant to ordinances of the city. (Amended during 1999 codification; Ord. 751 § 2 (part), 1995: prior code § 2251) * A "business entity or activity dealing with real property" includes the sale, purchase, exchange, lease or rental, financing for its own account or as a broker of real property, or the development, syndication, subdivision of real property, or construction thereon, or buildings or structures.