1 STAFF REPORT
DATE: September 24, 2024
TO: Honorable Mayor and Members of the City Council
FROM: Kimberley Clark, City Clerk
BY: Linda Thai, Assistant City Clerk
SUBJECT: Adoption of a Resolution Amending the City of Burbank Conflict of Interest Code
RECOMMENDATION
Adopt A RESOLUTION OF THE COUNCIL OF THE CITY OF BURBANK AMENDING THE CITY’S CONFLICT OF INTEREST CODE (Attachment 1).
BACKGROUND
The Political Reform Act (PRA) of 1974 contains a general prohibition that “a public official at any level of state or local government shall not make, participate in making, or in any way attempt to use the public official’s position to influence a governmental decision in which the official has a financial interest .” The PRA requires that local agencies adopt a formal Conflict of Interest (COI) Code, review it biennially, and make amendments as needed.
A COI Code requires designated employees, who are likely to be involved in governmental decision-making where potential conflicts may be present, to file an annual disclosure form to inform both the employee and the public of potential conflicts of interest and situations where disqualification is mandated. The various COI Codes for the City and all subsidiary agencies including the Youth Endowment Services Fund Board, Public Financing Authority, Housing Authority, Parking Authority and Successor Agency may be combined, as the City Council (Council) serves as the code reviewing body for all of these agencies.
CITY CLERK’S
OFFICE
2 The Council previously adopted a resolution on September 13, 2022, adding a new list of designated positions and disclosure categories . At least every other year, the Council must approve a COI Code that conforms with Government Code § 873091.
DISCUSSION
The Fair Political Practices Commission (FPPC) requires agencies to incorporate California Code of Regulations (CCR) § 18730 by reference, along with appendices providing a listing of designated positions and disclosure categories, to form a COI Code.
CCR § 18730 outlines the statut es and regulations that govern designated positions, disclosure categories, time of filing, contents of, period covered, manner of reporting, how interests are to be reported, definition of terms, and disqualifications, as well as prohibition of receipt of honoraria, gifts, loans, and travel payments. CCR § 18730 gives the COI Code legal force and effect.
Proposed Designated Positions
The FPPC advises that COI Codes should enumerate positions that make or participate in the making of governmental decisions, acting within the authority of their position, votes on a matter, obligates, or commits the agency to any course of action which may foreseeably have a material financial effect on any financial interest. Further, employees “participate in governmental decisions" when — acting within the authority of his or her position and without significant or substantive or intervening review — the official negotiates, advises, or makes recommendations to the decision maker regarding the governmental decision.
The FPPC also advises that COI Codes should be narrowly tailored, noting that manual, clerical, or ministerial positions should not be designated. A staff level review of the list of designated positions has been completed by the City Clerk’s Office, City Attorney’s Office, and Department Directors. The list of designated positions now reflects current position titles and disclosure categories which have been assigned to match job assignments and areas of authority. The responsibility for determining if a COI Code complies with Government Code § 87309 rests with the Council. A list of filing positions that have been added, established, and recategorized s ince the update of the COI Code in 2022 is included (Attachment 2). A list of positions recommended for removal if the position has been replaced, the position title is no longer is in use, or the position does not participate in making governmental decisions is also included (Attachment 3).
The City’s COI Code does not establish any disclosure obligations for Members of the City Council, Planning Commission, City Treasurer, City Manager, and City Attorney, as Government Code § 87200 et seq., requires disclosure in every category for those positions as a matter of State law. An official who holds a position specified in Government Code § 87200 is not required to file statements under this COI Code for any agency that
1 A conflict of interest code or amendment shall not be approved by the code reviewing body if it: (a) Fails to provide reasonable assurance that all foreseeable potential conflict of interest situations will be disclosed or prevented; (b) Fails to provide to each affected person a clear and specific statement of that person’s duties under the code; or (c) Fails to adequately differentiate between designated employees with different powers and responsibilities (Government Code § 87309).
3 has the same or a smaller jurisdiction. However, these positions are identified in the list of designated positions for reference only.
ENVIRONMENTAL REVIEW
This activity has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and as such, is not a “project” subject to the requirements of the California Environmental Quality Act (CEQA) 14 Cal. Code Regs § 15378.
FISCAL IMPACT
There is no fiscal impact associated with this item.
CONCLUSION
Staff recommends Council adopt the attached City’s COI Code R esolution with amendments pursuant to this biennial review.
ATTACHMENTS
Attachment 1 – Proposed Resolution
Attachment 2 – Added/Established/Recategorized Filing Positions Since 2022 Update Attachment 3 – Positions Recommended for Removal