Agenda Item No. 7
CITY COUNCIL STAFF REPORT
TO: Honorable Mayor and City Council DATE: September 23, 2024 FROM: Matthew Bronson, City Manager
PREPARED BY: Wendi Sims, City Clerk
Robert Lomeli, City Attorney
SUBJECT: Biennial Review of Conflict-of-Interest Code
RECOMMENDATION
Adopt the Resolution amending the City’s Conflict of Interest Code given job classification revisions.
BACKGROUND
The Political Reform Act of 1974 as amended requires every local government agency to review its Conflict-of-Interest Code by October 1st of even-numbered years and determine whether it is up-to-date or in need of revision. The Conflict-of-Interest Code sets out those job classifications within the City that are decision-making positions, but are not among those positions mandated by State law to file Statements of Economic Interests (Form 700) pursuant to Government Code Section 87200. The positions mandated by State law to file Statements of Economic Interests are City Council Members, City Manager, City Attorney, City Treasurer, and Planning Commissioners.
These public officials file their Form 700s electronically utilizing the Fair Political Practices Commission’s (FPPC’s) online filing option.
The City Council determines, with input from staff, what other job classifications entail the making or participation in the making of governmental decisions which may foreseeably have a material effect on any financial interest (Government Code Section 82019). Such designated positions would then be included in the City's Conflict of Interest Code. Individuals identified as holding those positions would be required to file Statements of Economic Interests directly with the City Clerk. There is no electronic online filing option for these designated positions.
The City’s Conflict of Interest Code was last updated in September 2022. Individuals in newly created positions that make or participate in making governmental decisions have been required to file a Statement of Economic Interest with the City Clerk (FPPC Regulation 18734) until the formal update of the City’s Conflict of Interest Code.
In order to ensure the City’s Conflict of Interest Code is current, the following changes are necessary for the list of designated employees and advisory bodies by positions:
Revision Explanation
• Deputy City Manager to “Assistant City Manager” Job class revised in 2023 • Human Resources Management Analyst to Job class revised in 2023 “Human Resources Officer”
Staff Report: Biennial Review of Conflict-of-Interest Code Page 2 September 23, 2024
FISCAL IMPACT
There are no significant fiscal impacts to this staff report.
ALTERNATIVES
The Council has the following alternatives to consider:
1. Approve the proposed changes to the City’s Conflict of Interest Code and adopt the Resolution;
2. Provide alternative direction to staff.
PUBLIC NOTIFICATION
The agenda was posted in accordance with the Brown Act.
Attachments
1. Draft Resolution regarding Conflict-of-Interest Code for the City of Grover Beach, Exhibit A - designated employees / classifications, added job classifications denoted with double underline, deleted job classifications denoted with strikeout Exhibit B - disclosure categories
RESOLUTION NO. 24-__
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GROVER BEACH,
CALIFORNIA, ADOPTING AN AMENDED CONFLICT OF INTEREST CODE
CONTAINING REVISED DESIGNATED FILERS
WHEREAS, the Political Reform Act of 1974, California Government Code Sections 87300 et. seq., requires that governmental entities in the State of California adopt and promulgate Conflict of Interest Codes; and
WHEREAS, said Act requires that local governmental entities include within the provisions of Conflict-of-Interest Codes certain employees, commissioners, and committee members who make or participate in the making of decisions which may foreseeably have a material effect on financial interests; and
WHEREAS, a Conflict of Interest Code adopted pursuant to the Political Reform Act consists of two basic parts, which are: (1) the body of the code which contains the basic provisions including the manner of reporting financial interests and the procedure for filing Statements of Economic Interests, and (2) the Appendix of the Code which lists the positions of designated filers of the agency and the corresponding disclosure categories for each position; and WHEREAS, The Fair Political Practices Commission (“FPPC”) has adopted a standard model Conflict of Interest Code codified in California Code of Regulations, Title 2, Section 18730 (“Section 18730”), containing the provisions for the body of a Conflict-of-Interest Code which may be incorporated by reference by the City as the City’s Conflict of Interest Code; and WHEREAS, incorporating Section 18730 by reference, as the body of the City of Grover Beach's Conflict of Interest Code, will ensure compliance with state law by automatically incorporating any changes to the financial disclosure provisions of the Political Reform Act and Section 18730; and
WHEREAS, the Fair Political Practices Commission gives notice of all changes to Section 18730, and the City would be given an opportunity to comment on the changes before adoption by the Commission; and
WHEREAS, Section 18730 defines designated positions as those that may foreseeably have a material effect on economic interests; and
WHEREAS, certain previously included designated positions neither make nor participate in the making of decisions that may foreseeably have a material effect on any financial interest; and
WHEREAS, certain job classifications within the City of Grover Beach have been added and others deleted which require the Conflict of Interest Code to be amended; and WHEREAS, the City Council has determined that the attached Appendix, contained in “Exhibit A" and “Exhibit B", accurately sets forth those classifications which should be designated and categories of financial interest which should be disclosed.
Attachment 1
Resolution No. 24-__ Page 2
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Grover Beach as follows:
1. The terms of California Code of Regulations, Title 2, Section 18730, duly adopted by the Fair Political Practices Commission, are hereby incorporated by reference and with the attached Appendix shall constitute the Conflict-of-Interest Code of the City of Grover Beach.
2. Persons holding designated job classifications as set forth in “Exhibit A” and disclosure categories as set forth in “Exhibit B” shall file Statements of Economic Interests (Form 700) with the City Clerk of the City of Grover Beach pursuant to California Code of Regulations, Title 2, Section 18730.
Upon motion of Council Member, seconded by Council Member, and on the following rollcall vote, to wit:
AYES: Council Members –
NOES: Council Members –
ABSENT: Council Members –
ABSTAIN: Council Members –
the foregoing Resolution was PASSED, APPROVED, and ADOPTED this 23rd day of September 2024.
_______
KAREN BRIGHT, MAYOR
ATTEST:
WENDI B. SIMS, CITY CLERK
**DRAFT**
Resolution No. 22-__ Page 3
C i t y o f G r o v e r B e a c h
CONFLICT OF INTEREST CODE
The Political Reform Act (Government Code Section 81000 et. seq.) requires state and local government agencies to adopt and promulgate conflict of interest codes. The Fair Political Practices Commission has adopted a regulation (2 California Code of Regulations Section 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, the standard code may be amended by the Fair Political Practices Commission to conform to amendments in the Political Reform Act. Therefore, the terms of Title 2, Division 6, California Code of Regulations, Section 18730 and any amendments to it duly adopted by the Fair Political Practices Commission are hereby incorporated by reference. This regulation and the attached Appendix, designating positions and establishing disclosure categories, shall constitute the conflict-of-interest code of the City of Grover Beach.
Designated employees shall file statements of economic interests with the City Clerk of the City of Grover Beach who will make the statements available for public inspection and reproduction (Gov. Code Section 81008).
Upon receipt of the statements of the City Council, Planning Commission, City Manager, City Attorney, and City Treasurer/Finance Director, the agency shall make and retain a copy and forward the original of these statements to the Fair Political Practices Commission. Statements of all other designated employees will be retained by the City Clerk. # # #
154 S. 8th Street ❖Grover Beach, CA 93433 ❖(805) 473-4567 ❖ [email protected] Visit our website at www.groverbeach.org
Exhibit A
Resolution No. 22-__ Page 4
LIST OF DESIGNATED EMPLOYEES PER POSITION
Designated Employee / Board or Committee Member of the City Disclosure Category
1. Financing Authority Board Members A, B, C
2. Police Chief A, B, C
3. Administrative Services Director A, B, C
4. Community Development Director A, B, C
5. Public Works Director/City Engineer A, B, C
6. Assistant City Manager A, B, C
7. Senior Engineer A, B, C
8. Capital Improvement Project Manager A, B, C
9. Police Commander A, B, C
10. Senior Planner A, B, C
11. City Clerk A and C
12. Finance Manager A and C
13. Information Technology Specialist A and C
14. Building Official (contract services) A, B, C
15. Associate Planner A, B, C
16. Parks, Recreation & Beautification Commission A, B, C
17. Citizen Oversight Committee Members A, B, C
18. City Engineer A, B, C
19. Assistant City Attorney (contract services) A, B, C
20. Consultants1 Determined on case-by-case basis
1Consultants 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 may determine 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.
Resolution No. 22-__ Page 5
EXHIBIT B
CATEGORIES OF DISCLOSURE FOR
DESIGNATED EMPLOYEES
The following shall be the categories of disclosure covered by this Policy; A. Investments
Schedules A-1 and A-2
B. Interests in Real Property
Schedule B
C. Income & Business Positions
Schedule C, D, and E
The officials and employees covered by this policy shall each disclose the categories A, B, and C as designated herein above set forth.