DATE: October 15, 2024
TO: Honorable Mayor and City Council
FROM: Michael J. Maurer, City Attorney
Prepared by: Linda Rodriguez, City Clerk
SUBJECT: RESOLUTION NO. 7601 APPROVING AND ADOPTING AN AMENDED
CONFLICT OF INTEREST CODE PURSUANT TO THE POLITICAL
REFORM ACT OF 1974
CEQA: Not a Project
Recommendation: Adopt
SUMMARY
The Political Reform Act of 1974, Government Code Section 81000, et seq., requires every local agency to review its C onflict of Interest Code (the “Code”) biennially to determine if it is accurate or, alternatively, if it needs to be amended. The purpose of a Conflict of Interest Code is to prevent public officials from using their official position to influence decision-making they could have a financial interest in.
Due to this law, Arcadia’s decision-making positions must disclose their fina ncial interests annually on a Statement of Economic Interests (Form 700), to ensure any conflict of interest situations will be appropriately avoided or disclosed. As a result of the biennial review, it is recommended that the City Council adopt Resolution No. 7601 approving and adopting an amended Conflict of Interest Code pursuant to the Political Reform Act of 1974 (the “Act”).
BACKGROUND
The Political Reform Act (the “Act”) requires all public agencies to adopt and maintain a Conflict of Interest Code containing the rules for disclosure of personal assets and the prohibition from making or participating in making governmental decisions that may affect any personal assets. The Conflict of Interest Code must specifically designate all agency positions that make or participate in the making of decisions and assign specific types of personal assets to be disclosed that may be affected by the exercise of powers and duties of that position.
The Act further requires that an agency regularly review and update its Code as necessary when directed by the code- reviewing body or when change is necessitated by changed circumstances (Sections 87306 and 87306.5). Such reviews must be Resolution No. 7601 Amended Conflict of Interest Code
October 15, 2024
completed at a minimum of every two years. Pursuant to the Act , the City adopted a Conflict of Interest Code that was last amended and approved by the City Council on October 4, 2022. The City Council, serving as the code- reviewing body, directed staff to review the Code and recommend amendments if necessary.
DISCUSSION
While the majority of the positions listed remain accurate, the Code must be amended to: (1) include new positions that must be designated; (2) revise titles of existing positions; (3) delete titles that have been abolished ; and/or (4) remove titles that no longer make or participate in making governmental decisions. Attached to Resolution No. 7601 is a redline version of the proposed amended Conflict of Interest Code, showing the revisions to be made.
Government Code Section 87303 provides that no C ode or amendment to a C ode shall be effective until it has been approved by the code- reviewing body. Adoption of Resolution No. 7601 would satisfy this requirement.
ENVIRONMENTAL ANALYSIS
The proposed action does not constitute a project under the California Environmental Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the environment.
FISCAL IMPACT
There is no fiscal impact as a result of adopting this Resolution.
RECOMMENDATION
It is recommended that the City Council determine that this action does not constitute a project under the California Environmental Quality Act (“CEQA”); and adopt Resolution
No. 7601 approving and adopting an amended Conflict of Interest Code pursuant to the Political Reform Act of 1974.
Attachment: Resolution No. 7601
RESOLUTION NO. 7601
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, APPROVING AND ADOPTING AN AMENDED CONFLICT
OF INTEREST CODE PURSUANT TO THE POLITICAL REFORM ACT OF 1974
WHEREAS, the State of California enacted the Political Reform Act of 1974, Government Code Section 81000, et seq. (the "Act"), which contains provisions relating to conflicts of interest governing officers, employees and consultants of the City of Arcadia (the "City"), and which requires all public agencies to adopt and promulgate a conflict of interest code; and
WHEREAS, the City Council has adopted a Conflict of Interest Code (the "Code") which was most recently amended on October 4, 2022, in compliance with the Act; and WHEREAS, subsequent changed circumstances within the City have made it advisable and necessary pursuant to Sections 87306 and 87307 of the Act to amend and update the City's Code; and
WHEREAS, the potential penalties for violation of the provisions of the Act are significant and may include criminal and civil liability, as well as equitable relief which could result in the City being restrained or prevented from acting in cases where the provisions of the Act may have been violated; and
WHEREAS, a public meeting was held regarding the proposed amended Code at a regular meeting of the City Council on October 15, 2024, at which all persons present were given an opportunity to be heard on the proposed amended Code.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
1 SECTION 1. The City Council does hereby approve and adopt the proposed amended Conflict of Interest Code, a copy of which is attached hereto and which shall remain on file with the City Clerk and which shall remain available to the public for inspection and copying during regular business hours.
SECTION 2. The said amended Conflict of Interest Code shall become effective immediately upon its adoption and approval.
SECTION 3. The City Clerk shall certify to the adoption of this Resolution.
Passed, approved and adopted this 15th day of October, 2024.
ATTEST:
City Clerk
APPROVED AS TO FORM:
Michael J. Maurer
City Attorney
Mayor of the City of Arcadia
2 24347.00007\42710630.2
-1- BBK – September 2022 October 2024
LAW OFFICES OF
BEST BEST & KRIEGER
CONFLICT OF INTEREST CODE FOR THE
CITY OF ARCADIA
(Amended October 4, 2022 October 15, 2024)
The Political Reform Act (Gov. Code § 81000, et s eq.) requires state and local government agencies to adopt and promulgat e conflict of interest codes. The Fair Political Practices Commission has adopted a regulation (2 Cal. Code Regs. § 18730) that contains the terms of a standard conflict of interest code, which can be incorporated by reference in an agency’s code. After public notice and hearing Regulation 18730 may be amended by the Fair Political Practices Commission to conform to amendments in the Political Reform Act. Theref ore, the terms of 2 California Code of Regulations section 18730 and any amendments to it duly adopted by the Fair Political Practices Commission are hereby incorporated by reference. Th is incorporation page, Regulation 18730 and the attached Appendix designating positions and establishing disclosure categories, shall constitute the conflict of interest code of the City of Arcadia (the “City”).
The Mayor, Members of the Cit y Council and Planning Commission, the City Manager, the City Attorney and the City Treasurer, shall electronically file their annual statements of economic interests directly with the Fair Political Practices Commission. All other officials and designated positions r equired to submit a statement of economic interests s hall file their statements with the City Clerk as the City’s Filing Officer.
The City Clerk shall retain the originals of the statements filed by all other designated positions and will m ake all retained statem ents available for public inspection and reproduction during regular business hours. (Gov. Code § 81008.) All officials and designated positions required to submit a statement of economic interests shall receive ethics training as required pursuant to Government Code section 53235 (AB 1234). The City’s Filing Officer shall annua lly provide all filer s with information on training available to meet the requirements of Section 53235, and maintain required records indicating the dates that filers satisfied the training requirements and the entity that provided the training. These records shall be retained for five years after the date of training and are public records subject to disclosur e under the California Public Records Act. (Gov. Code § 53235.2.)
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LAW OFFICES OF
BEST BEST & KRIEGER
APPENDIX
CONFLICT OF INTEREST CODE
OF THE
CITY OF ARCADIA
(Amended October 4, 2022 October 15, 2024)
PART “A”
The Mayor, Members of the City Council and Planning Commission, the City Manager, the City Attorney , the City Treasurer, and all Other City Officials who manage public investments as defined by 2 Cal. Code of Regs. § 18700.3(b), are NOT subject to the City’s Code but must file disclosure statements under Gov ernment Code Section 87200 et seq. [Regs. § 18730(b)(3)]
OFFICIALS WHO MANAGE PUBLIC INVESTMENTS
It has been determined that the positi ons listed below are Other City Officials who manage public inves tments1. These positions are lis ted here for informational purposes only.
Financial Services Manager
Financial Consultant
1 Individuals holding one of the above-listed positions may contact the Fair Political Practices Commission for assistance or written advice regarding their filing obligati ons if they believe that their positi on has been categorized incorrectly. The Fa ir Political Practices Commission makes the final determination whether a position is covered by § 87200. 24347.00007\42710630.2
App.
A-2- BBK – September 2022 October 2024
LAW OFFICES OF
BEST BEST & KRIEGER
DESIGNATED POSITIONS
GOVERNED BY THE CONFLICT OF INTEREST CODE
DESIGNATED POSITIONS’
TITLE OR FUNCTION
DISCLOSURE CATEGORIES
ASSIGNED
Accounting Supervisor 5
Administrative Assistant, Sr. (ALL) 5
Administrative Services Director 4
Assistant City Manager/Development Services Director 1, 2 Assistant Deputy Director of Recreation and Community Services 2, 5 Assistant Engineer (ALL) 2, 3, 6
Assistant Planner 2, 3, 5, 6
Assistant/Deputy City Clerk 5
Associate Civil Engineer (ALL) 2, 3, 5
Associate Planner 2, 3, 5, 6
Building Inspector (ALL) 2, 3, 5, 6
Building Maintenance Crew Supervisor 5
Building Official 2, 3, 5, 6
Building Technician (ALL) 5
Business License Officer 6
Chief Deputy City Clerk/ Records Manager 5
Chief of Police 5, 6
City Attorney (not filing under Gov. Code §87200) 1, 2
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DESIGNAT
ED POSITIONS’
TITLE OR FUNCTION
DISCLOSURE CATEGORIES
ASSIGNED
App.
A-3- BBK – September 2022 October 2024
LAW OFFICES OF
BEST BEST & KRIEGER
City Clerk 5
City Engineer 2, 3, 5
Code Services Supervisor 5, 6
Code Services Officer (ALL) 5, 6
Communications and Engagement Officer 5
Communications and Marketing Specialist (ALL) 5
Deputy City Manager 5
Deputy Director of Development Services/City Engineer 1, 2 Deputy Fire Chief 2, 3, 5, 6
Deputy Public Works Services Director 1, 2
Director of Human Resources 5
Director of Library and Museum Services 5
Director of Recreation and Community Services 2, 3, 5
Economic Development Manager 1, 2
Engineering Assistant (ALL) 3, 6
Environmental Services Officer 2, 5, 6
Fire Administrative Specialist 5
Fire Battalion Chief (ALL) 5
Fire Captain 5, 6
Fire Chief 2, 3, 5, 6
Fire Inspector 5, 6
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DESIGNAT
ED POSITIONS’
TITLE OR FUNCTION
DISCLOSURE CATEGORIES
ASSIGNED
App.
A-4- BBK – September 2022 October 2024
LAW OFFICES OF
BEST BEST & KRIEGER
Fire Marshal 5, 6
General Services Superintendent 5
Historical Museum Curator 5
Human Resources Administrator 5
Human Resources Analyst (ALL) 5
Human Resources Manager 5
Human Resources Technician 5
Information Systems Manager 5
Library Services Manager (ALL) 5
Maintenance Contract Officer 5
Management Aide 5
Management Analyst (ALL) 5
Planning & Community Development Administrator [Duties handled by Deputy Development Services Director] 1, 2
Planning Services Manager 2, 3, 5, 6
Police Captain (ALL) 5, 6
Police Lieutenant (ALL) 5, 6
Police Records Manager 5
Principal Civil Engineer 1, 2
Principal Librarian (ALL) 5
Public Works Coordinator 5, 6
Public Works Inspector 2, 3, 6
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DESIGNAT
ED POSITIONS’
TITLE OR FUNCTION
DISCLOSURE CATEGORIES
ASSIGNED
App.
A-5- BBK – September 2022 October 2024
LAW OFFICES OF
BEST BEST & KRIEGER
Public Works Services Director 1, 2
Purchasing Officer 4
Recreation Coordinator 5
Recreation Supervisor 5
Revenue Collection Specialist 1, 2
Senior Accountant 5
Senior Citizens Program Specialist 5
Senior Civil Engineer 2, 3, 5, 6
Senior Planner 2, 3, 5, 6
Storekeeper/Buyer 5
Streets Superintendent 5
Transportation Services Manager 5
Utilities Superintendent 2, 3, 6
Water Quality/Backflow Inspector 5
MEMBERS OF BOARDS,
COMMISSIONS AND COMMITTEES
Homeowners Assn. Architectural Review Board
1, 2
Library Board of Trustees 2, 3, 5
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DESIGNAT
ED POSITIONS’
TITLE OR FUNCTION
DISCLOSURE CATEGORIES
ASSIGNED
App.
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LAW OFFICES OF
BEST BEST & KRIEGER
Consultants and New Positions2
2 Individuals serving as a consult ant as defined in FPPC Reg 18700.3(a) or in a new position created since this Code was last approved that makes or participates in making decisions must file statements pursuant to the broadest disclosure category in this Code subject to the following limitation:
The City Manager may determine that, due to the range of duties or contractual obligations, it is more appropriate to assign a limited disclosure requirement. A clear explanation of the duties and a statement of the extent of the disclosure requirements must be in a written document. (Gov. Code Sec. 82019; FPPC R egulations 18219 and 18734.) 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. (Gov. Code Sec. 81008.)
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LAW OFFICES OF
BEST BEST & KRIEGER
PART “B”
DISCLOSURE CATEGORIES
The disclosure categories listed below identify the types of economic interests that the designated position must disclose for each disclosure category to which the designated is assigned.3 “Investment” means financial interest in any business entity (including a consulting business or other independent contracting business) and are reportable if they are either lo cated in or doing business in the jurisdiction, are planning to do business in the jurisdiction, or have done business during the previous two years in the jurisdiction of the City.
Category 1: All investments and busi ness positions in business entities, and sources of income, including gifts, loans and travel payments, that are located in, do business in or own real property within the jurisdiction of the City.
Category 2: All interests in real property which is located in whole or in part within, or not more than two (2) miles outside, the jurisdic tion of the City, including any leasehold, beneficial or ownership interest or option to acquire property.
Category 3: All investments and business positions in business entities, and sources of income, including gifts, loans and travel payments, that are engaged in land development, construction, or the acquisition or sale of real property within the jurisdiction of the City.
Category 4: All investments and busi ness positions in business entities, and sources of income, including gifts, loans and travel payments, that provide services, products, materials, machinery, vehicles or equipment of a type purchased or leased by the City.
Category 5: All investments and busi ness positions in business entities, and sources of income, including gifts, loans and travel payments, that provide services, products, materials, machinery, vehicles or equipment of a type purchased or leased by the designated position’s department, unit or division.
Category 6: All investments and busi ness positions in business entities, and sources of income, including gifts, loans and travel payments, subject to the regulatory, permit, or licensing authority of the designat ed position’s department, unit or division.
3 This Conflict of Interest Code does not require the reporting of gifts from outside this agency’s jurisdiction if the source does not have some connection with or bearing upon the functions of the position. (Reg. 18730.1)