_______________________
SECTION 14. The City Clerk of the City of Vernon shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions.
APPROVED AND ADOPTED November 7, 2023.
_____________________________
CRYSTAL LARIOS, Mayor
ATTEST:
LISA POPE, City Clerk
(seal)
APPROVED AS TO FORM:
_______________________________
ZAYNAH N. MOUSSA, City Attorney
ORDINANCE NO. 1294
AN ORDINANCE OF THE CITY OF VERNON ADDING VERNON
MUNICIPAL CODE CHAPTER 3.22 ESTABLISHING A TRANSIENT
OCCUPANCY TAX
THE PEOPLE OF THE CITY OF VERNON ORDAIN AS FOLLOWS:
SECTION 1. Vernon Municipal Code Chapter 3.22, Transient Occupancy Tax, is hereby added to read as follows:
3.22.010 Definitions.
For the purposes of this chapter, certain words and terms are defined and shall be construed as herein set forth unless otherwise expressly stated, or unless the context clearly indicates a different intention. Words defined herein may have different definitions in different chapters of this Code.
"Block Reservation" means an arrangement whereby a person reserves, whether on an exclusive or non-exclusive basis, a room or block/group of rooms, for a defined period of time under a written or oral agreement with an operator, intending for such room(s) to be occupied by that person's employees or agents on an intermittent, periodic, or "as needed" basis during that defined period of time. A block reservation arrangement shall not constitute a Qualifying Rental Agreement.
"Person" means any individual, firm, partnership, joint venture, association, social club, fraternal organization, joint stock company, corporation, estate, trust, business trust, receiver, trustee, syndicate, or any other group or combination acting as a unit. "Hotel" means any structure, or any portion of any structure, which is occupied or intended or designed for occupancy by transients for dwelling, lodging or sleeping purposes, and includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, hostel, bed and breakfast, time-share project rental unit, dormitory, public or private club, mobile home or house trailer at a fixed location, duplex, triplex, single-family dwelling, or other similar structure or portion thereof. "Occupancy" means the use or possession, or the right to use or possess, any room or rooms or portion thereof, in any hotel for dwelling, lodging or sleeping purposes. "Operator" means the person who is proprietor of the hotel, whether in the capacity of owner, lessee, sublessee, mortgagee in possession, time-share project owners' association licensee, or any other capacity. Where the operator performs his functions through a managing agent of any type or character other than an employee, the managing agent shall also be deemed an operator for the purposes of this chapter and shall have the same duties and liabilities as his principal. Compliance with the provisions of this Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
chapter by either the principal or the managing agent shall be considered to be compliance by both.
"Rent" means the consideration charged, whether or not received, for the occupancy of space in a hotel valued in money, whether to be received in money, goods, labor or otherwise, including all receipts, cash, credits and property and services of any kind or nature, without any deduction therefrom whatsoever.
“Tax Administrator" means the Finance Director of the City, or appointed designee; provided, however, that if such official position of the City is eliminated, then “Tax Administrator” means the officer of the City with substantially similar duties and responsibilities, or appointed designee.
"Time-Share Project" means a structure or real property (including airspace) in which either a time-share estate or a time-share use (as those terms are defined in California Business and Professions Code Section 11212) and any similar form of ownership involving a right in perpetuity, for life, or for a term of years, to occupy any room, place or area has been sold.
"Transient" means any person who exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or other agreement for a period of thirty (30) consecutive calendar days or less, counting portions of calendar days as full days. Any such person so occupying or entitled to occupy space in a hotel shall be deemed to be a transient until the period of thirty (30) consecutive and uninterrupted days of occupancy has expired, unless there is an agreement in writing between the operator and the occupant providing for a longer period of occupancy. Any break or interruption in occupancy shall start a new thirty-day period subject to the tax.
In the case of a block reservation, a person's employee or agent shall be deemed a transient if that employee or agent exercises or is entitled to occupancy of a room for a period of thirty (30) executive calendar days or less, regardless of the duration of any block reservation agreement. By way of example, if a corporation enters into a one-year block reservation agreement with an operator and one of the corporation's employees occupies a room for thirty (30) calendar days, the employee shall be deemed a transient whose occupancy is subject to the tax, notwithstanding the fact that the block reservation agreement has a duration longer than thirty (30) calendar days.
3.22.020 - TAX IMPOSED
For the privilege of occupancy in any hotel, each transient is subject to and shall pay a tax in the amount of ten percent (10%) of the rent charged by the operator. The tax constitutes a debt owed by the transient to the City which is extinguished only by payment to the operator or to the City. The transient shall pay the tax to the operator of the hotel at the time the rent is paid. If the rent is paid in installments, a proportionate share of the Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
tax shall be paid with each installment. The unpaid tax shall be due upon the transient's ceasing to occupy space in the hotel.
3.22.030 - EXEMPTIONS
No tax shall be imposed upon:
(a) Any person as to whom, or any occupancy as to which, it is beyond the power of the City to impose the tax herein provided.
(b) Any federal or State of California officer or employee when on official business. (c) Any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty.
(d) The occupancy of an owner of a timeshare estate in a room or rooms in a timeshare project, or the guest of an owner.
(e) The occupancy by right of an owner of a membership-camping contract in a camping site at a privately-owned campground, or the guest of an owner. (f) The occupancy of facilities operated by a local governmental entity. (g) The occupancy by a transient exempt from payment of transient occupancy tax by treaty or federal or state law.
No exemption shall be granted except upon a claim therefor made at the time rent is collected and under penalty of perjury upon a form prescribed by the Tax Administrator.
3.22.040 - RESPONSIBILITY OF OPERATOR
Each operator shall collect the tax imposed by this Chapter to the same extent and at the same time as the rent is collected from each transient. The amount of tax shall be separately stated from the amount of the rent charged, and each transient shall receive a receipt for payment from the operator. No operator of a hotel shall advertise or state in any manner, whether directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the operator, or that it will not be added to the rent, or that, if added, any part will be refunded, except in the manner hereinafter provided. If an operator collects the rent but fails to collect the tax imposed by this chapter for any reason, the operator shall be required to pay the tax.
3.22.050 – REGISTRATION
A. Prior to the commencement of business, every person engaging in or conducting business as an operator of a hotel renting to transients within the city shall file with the Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
tax administrator an application for a transient occupancy registration permit (the “permit”) for each place of business. Every application for a permit shall be made upon a form prescribed by the Tax Administrator.
B. At the time of making an application for a permit, the applicant shall pay a registration fee equal to an amount established by a resolution of the City Council.
C. The permit shall, among other things, state the following:
1. The name, address, and contact information for the operator;
2. The hotel address;
3. The date upon which the permit was issued;
4. The following statement: “This transient occupancy registration permit signifies that the person named on the face hereof has fulfilled the requirements of the transient occupancy tax chapter by registering with the Tax Administrator for the purpose of collecting from transients the transient occupancy tax and remitting said tax to the Tax Administrator. This permit does not authorize any person to conduct any unlawful business in any unlawful manner, nor operate a hotel without strictly complying with all applicable laws, including, but not limited to, those requiring a permit from any board, commission, department or office of this city. This permit does not apply in lieu of such other permits which are otherwise required.”
3.22.060 - PERMIT REQUIRED
No hotel subject to the provisions of this chapter shall operate without a valid transient occupancy tax permit.
3.22.070 - CURRENT INFORMATION
During the effective duration of the transient occupancy registration permit, the operator shall promptly update, correct or supplement the information contained in the application on file with the city when necessary to keep the information contained therein current and accurate.
3.22.080 - OPERATOR NOT RELIEVED FROM OTHER PERMIT REGULATIONS Operators required to obtain a transient occupancy registration permit under this chapter shall not be relieved from obtaining any other permits for the privilege of carrying on any similar or related activity required under any other regulation of the city and shall remain subject to the regulatory provisions of all chapters of the municipal code.
Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
3.22.090 - REPORTING AND REMITTING
Each operator shall, on or before the last day of the month following the close of each calendar quarter or of such different reporting period a return as may be established by the Tax Administrator, make a return to the Tax Administrator, on forms provided by him, of the total rents charged and received, the amount of tax collected for transient occupancies, and such other information as may be reasonably required. At the time the return is filed, the full amount of the tax collected shall be remitted to the Tax Administrator. The Tax Administrator may establish either shorter or longer reporting periods for any individual certificate holder or category of certificate holders if he deems it necessary or desirable in order to ensure collection of the tax or to increase the efficiency of its administration. Returns and payments are due immediately upon cessation of business for any reason. All taxes collected by operators pursuant to this chapter shall be held in trust for the account of the City until payment thereof is made to the Tax Administrator.
3.22.100 - PENALTIES AND INTEREST
Original Delinquency - Any operator who fails to remit any tax imposed by this chapter within the time required shall pay a penalty of ten percent (10%) of the amount of the tax in addition to the amount of the tax.
Continued Delinquency - Any operator who fails to remit any delinquent remittance on or before a period of thirty (30) days following the date on which the remittance first became delinquent shall pay a second delinquent penalty of ten percent (10%) of the amount of the tax in addition to the amount of the tax and the ten percent (10%) penalty first imposed.
Fraud - If the Tax Administrator determines that the nonpayment of any remittance due under this chapter is due to fraud, a penalty of twenty-five percent (25%) of the amount of the tax shall be added thereto in addition to the above stated penalties.
Interest - In addition to the penalties imposed, any operator who fails to remit any tax imposed by this chapter shall pay interest at the rate of one percent (1%) per month for each month or portion of a month that the tax shall be delinquent on the amount of the tax, exclusive of penalties, from the date on which the tax first became delinquent until paid. The interest shall be computed on a monthly basis and shall not be subject to proration for any portion of a month.
Penalties Merged with Tax - Every penalty imposed and such interest as accrues under the provisions of this section shall become a part of the tax herein required to be paid.
Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
3.22.110 - PROCEEDINGS FOR REMEDY
If any operator shall fail or refuse to collect the tax and to make, within the time provided in this chapter, any report and remittance of the tax or any portion thereof required by this chapter, the Tax Administrator shall proceed in such manner as may deemed best to obtain facts and information on which to base his estimate of the tax due. As soon as the Tax Administrator procures such facts and information upon which to base the assessment of any tax imposed by this chapter and payable by any operator who has failed or refused to collect the same and to make such report and remittance, the Tax Administrator shall proceed to determine and assess against such operator the tax, interest and penalties provided for by this chapter. In case such determination is made, the Tax Administrator shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to the operator so assessed at his last known place of address. Such operator may within ten (10) days after the serving or mailing of such notice make application in writing to the Tax Administrator for a hearing on the amount assessed. If application by the operator for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the Tax Administrator shall become final and conclusive and immediately due and payable. If such application is made, the Tax Administrator shall give not less than five (5) days written notice to the operator to show cause at a time and place fixed in the notice why the amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the operator may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing, the Tax Administrator shall determine the proper tax to be remitted and shall thereafter give written notice to the operator of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after fifteen (15) days unless an appeal is taken.
3.22.120 - APPEAL
Any operator aggrieved by any decision of the Tax Administrator with respect to the amount of such tax, interest and penalties, if any, may appeal to the City Administrator by filing a notice of appeal with the City Clerk within fifteen (15) days of the serving or mailing of the determination of tax due. The City Administrator shall fix a time and place for hearing such appeal, and the City Clerk shall give notice in writing to such operator at the last known place of address. The findings of the City Administrator shall be final and conclusive and shall be served upon the appellant in the manner prescribed above for service of notice of hearing. Any amount found to be due shall be immediately due and payable upon the service of notice.
3.22.130 - RECORDS
Each operator shall maintain its financial and accounting records in accordance with established accounting practices acceptable to the Tax Administrator. It shall be the duty of every operator liable for the collection and payment to the City of any tax imposed by Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
this chapter to keep and preserve, for a period of three (3) years, all records as may be necessary to determine the amount of such tax as operator may have been liable for the collection and payment of to the City, which records the Tax Administrator shall have the right to inspect at all reasonable times.
3.22.140 - TAX DECLARED A DEBT-ACTION TO COLLECT
Any tax required to be paid by any transient under the provisions of this chapter shall be deemed a debt owed by the transient to the City. Any such tax collected by an operator which has not been paid to the City shall be deemed a debt owed by the operator to the City. Any person owing money to the City under the provisions of this chapter shall be liable to an action brought in the name of the City of Vernon for the recovery of such amount.
3.22.150 - PENALTY FOR VIOLATIONS
Any operator or other person who fails or refuses to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the Tax Administrator, or who renders a false or fraudulent return or claim, is guilty of a misdemeanor, and is required to make, render, sign or verify any report or claim who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount due required by this chapter to be made, is guilty of a misdemeanor.
3.22.160 – REFUNDS
A. Whenever the amount of any tax or penalty has been overpaid, paid more than once or has been erroneously or illegally collected or erroneously received by the city under this chapter, the overpayment may be refunded as provided in subsections B and C of this section, provided a claim in writing under penalty of perjury stating the specific grounds upon which the claim is founded is filed with the Tax Administrator within three years of the date of payment. The claim shall be on forms available from the Tax Administrator.
B. An operator may claim a refund or take as a credit against taxes collected and remitted the amount overpaid, paid more than once or erroneously or illegally collected or received when it is established in a manner prescribed by the Tax Administrator that the person from whom the tax has been collected was not a transient; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax so collected has either been refunded to the transient or credited to rent subsequently payable by the transient to the operator.
C. A transient may obtain a refund of taxes overpaid or paid more than once or erroneously or illegally collected or received by the city by filing a claim in the manner provided in subsection A of this section, but only when the transient having paid the tax Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
to the operator establishes to the satisfaction of the Tax Administrator that the transient has been unable to obtain a refund from the operator who collected the tax.
D. An operator who has remitted an amount in excess of the amount required to be paid by this chapter may receive a credit to the extent of the excess. If the excess is discovered as a result of an audit by the City, no claim need be filed by the operator. Such credit, if approved by the Tax Administrator shall be applied to any deficiency found or any further tax payments due under the rules prescribed by the Tax Administrator.
E. No refund shall be paid under the provisions of this section unless the claimant establishes their right thereto by written records.
3.22.170 – ADDITIONAL REMEDIES
A. Any violation of this chapter by the holder of a transient occupancy registration permit or any business license validly issued pursuant to this or any other chapter of the municipal code shall constitute grounds for modification, suspension and/or revocation of said permit and/or license.
B. Nothing in this chapter shall preclude the city from pursuing other remedies provided by the City of Vernon Municipal Code, including, but not limited to, administrative fines or citations, denial or revocation of certificates of occupancy, issuance of stop work orders, and injunctive relief.
SECTION 2. Any provision of the Vernon Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is repealed or modified to that extent necessary to affect the provisions of this Ordinance.
SECTION 3. If any section, subsection, paragraph, sentence, clause, phrase, or portion thereof, of this Ordinance is declared by a court of competent jurisdiction to be unconstitutional or otherwise invalid, such decision shall not affect the validity of the remaining portions of this Ordinance. To this end, the provisions of this Ordinance are declared to be severable.
SECTION 4. The City Clerk shall certify the adoption and publish this ordinance as required by law.
/ / /
/ / /
/ / /
Resolution No. 2023-26
________________________
Ordinance No. 1294
_______________________
SECTION 5. This Ordinance shall go into effect if approved by a majority of eligible voters casting ballots on the measure at the General Municipal Election to be held on April 9, 2024, and shall be executed by the Mayor upon certification by the City Council of the results of the election approving this ordinance.
APPROVED AND ADOPTED ___________.
_____________________________
CRYSTAL LARIOS, Mayor
ATTEST:
LISA POPE, City Clerk
(seal)
APPROVED AS TO FORM:
ZAYNAH N. MOUSSA, City Attorney
Resolution No. 2023-26
________________________
RESOLUTION NO. 2023-27
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON,
CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF THE
COUNTY OF LOS ANGELES RENDER SPECIFIED SERVICES TO THE
CITY RELATING TO THE CONDUCT OF A GENERAL MUNICIPAL
ELECTION TO BE HELD ON TUESDAY, APRIL 9, 2024
SECTION 1. Recitals.
A. A General Municipal Election will be held in the City of Vernon on April 9, 2024.
B. In the course of conducting the election, it is necessary for the City to request services of the County of Los Angeles.
C. All necessary expenses in performing these services shall be paid to the County by the City of Vernon.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS:
SECTION 2. The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct.
SECTION 3. Pursuant to the provisions of Elections Code Section 10002, the Vernon City Council requests that the Los Angeles County Board of Supervisors permit the County Election Department to provide the following services for use in conducting its election:
1. Provide appropriate forms for candidate statements, arguments and rebuttals and other forms required by the County;
2. Provide signature verification services as needed;
3. Print and mail official ballots and sample ballot booklet; and
4. Prepare and mail multilingual ballot materials in accordance with the Voting Rights Act.
SECTION 4. The City shall reimburse the County for services performed when the work is completed and upon presentation to the City of a properly approved bill. / / /
/ / /
/ / /
Resolution No. 2023-27
_______________________
SECTION 5. The City Clerk shall certify the passage and adoption of this resolution and enter it into the book of original resolutions.
APPROVED AND ADOPTED November 7, 2023.
_____________________________
CRYSTAL LARIOS, Mayor
ATTEST:
LISA POPE, City Clerk
(seal)
APPROVED AS TO FORM:
_________________________________
ZAYNAH N. MOUSSA, City Attorney
RESOLUTION NO. 2014- 64
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON REPEALING RESOLUTION NO. 2012- 209 AND
ADOPTING REGULATIONS REGARDING CANDIDATE STATEMENTS
SUBMITTED TO VOTERS IN ANY GENERAL MUNICIPAL OR
SPECIAL MUNICIPAL ELECTION
WHEREAS, Section 13307 of the Elections Code of the State of California provides that the governing body of any local agency shall adopt regulations pertaining to materials prepared by any candidate for a municipal election, including costs of the candidate' s statement; and WHEREAS, on November 6, 2012, the City Council of the City of Vernon adopted Resolution No. 2012- 209 adopting regulations for candidates for elective office pertaining to candidate statements submitted to the voters at any general municipal or special municipal election; and
WHEREAS, the City Council desires to repeal Resolution
No. 2012- 209 and adopt regulations regarding candidates statements submitted to the voters in any general or special municipal election.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct.
SECTION 2: The City Council of the City of Vernon finds that this action is exempt under the California Environmental Quality Act ( CEQA), in accordance with Section 15061( b)( 3), the general rule that CEQA only applies to projects that may have an effect on the environment.
SECTION 3: GENERAL PROVISIONS. Pursuant to Section 13307 of the Elections Code of the State of California, each candidate for elective office to be voted for in any general municipal or special municipal election, may prepare a candidate' s statement on an appropriate form provided by the City Clerk. The statement may include the name, age and occupation of the candidate, and a brief description of no more than 200 words of the candidate' s education and qualifications expressed by the candidate himself or herself. The statement shall not include party affiliation of the candidate, nor membership or activity in partisan political organizations. The statement shall be filed in typewritten form in the office of the City Clerk at the time the candidate' s nomination papers are filed. An electronic copy of the candidate statement should also be submitted to the office of the City Clerk when filing. The statement may be withdrawn, but not changed, during the period for filing nomination papers and until 5: 00 p. m. of the next working day after the close of the nomination period.
SECTION 4: FOREIGN LANGUAGE POLICY.
a. Pursuant to the Federal Voting Rights Act, the City is required to translate candidate statements into the following languages: Spanish.
b. Pursuant to state law, the candidate may elect to have their candidate statement translated into any other additional foreign language( s).
C. The City Clerk shall have all candidate statements
translated into the languages required by the Federal Voting Rights Act and those additional languages requested by the candidate( s).
SECTION 5: PAYMENT. The City Clerk shall print an English and Spanish voter information pamphlet to be mailed to all voters which shall include any additional translations of candidates who so 2 -
request printing in the voter information pamphlet. All translations will be made available upon request in the City Clerk' s Office. a. The candidate shall be required to pay for the cost of translating the candidates statement into any required foreign language and any other language( s) he or she has elected. The City Clerk shall select the person who provides the foreign language translation pursuant to the criteria set forth in Elections Code Section 13307( b).
b. The candidate shall be required to pay the cost of
printing, handling and mailing the candidate statement in English and Spanish in the voter information pamphlet, and be required to pay for said costs associated with their selection to include any other foreign language( s) in the voter information pamphlet.
C. The City Clerk shall estimate the total cost of
printing, handling, translating, and mailing the candidate' s statements filed pursuant to the Elections Code, and require each candidate filing a statement to pay in advance to the local agency his or her estimated pro rata share as a condition of having his or her statement included in the voter information pamphlet. Actual costs vary from one election to another. The actual candidate statement filing cost for a given election may be significantly more or less than the estimate, depending on the actual number of candidates who file statements. Accordingly, the City Clerk is not bound by the estimate and may, on a pro rata basis, bill the candidate for the additional actual expense or refund any excess amount paid, depending on the final actual cost. In the event of underpayment, the City Clerk may require the candidate to pay the balance of the cost incurred. In the event of overpayment, the City Clerk shall prorate 3 -
the excess amount among the candidates and refund the excess amount paid within 30 days of the election.
d. The City Clerk shall comply with all applicable State statutes, regulations, standards and guidelines published by the Secretary of State regarding candidates' statements, ballot designations and other procedural items.
SECTION 6: ADDITIONAL MATERIALS.
No candidate will be permitted to include additional
materials in the sample ballot package.
SECTION 7: The City Clerk shall provide each candidate or the candidate' s representative a copy of this Resolution at the time nomination documents are issued.
SECTION 8: All previous resolutions establishing Council policy on payment for candidates' statements, specifically Resolution No. 2012- 20,9, are hereby repealed.
SECTION 9: This resolution shall apply at the next ensuing general municipal or special municipal election and at each general municipal or special municipal election until repealed. 4 -
SECTION 10: The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk' s, or Deputy City Clerk' s, certification to be entered in the File of Resolutions of the Council of this City.
APPROVED AND ADOPTED this 21st day of October, 2014.
ATTEST:
L/
Ana BUC"
Cei-t—y- tx]s. / Deputy City Clerk
010, a r , ms
i
r
Name: W. Michael MCCOrmick
Title: Mayor
5 -
STATE OF CALIFORNIA )
ss
COUNTY OF LOS ANGELES )
I, Aria Barcia , / Deputy City Clerk of the City
of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2014- 64, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, October 21, 2014, and thereafter was duly signed by the Mayor or Mayor Pro -Tem of the City of Vernon.
Executed this 23 day of October, 2014 at Vernon, California.
SEAL)
6 -
A`sa Bar
yam'/ Deputy City Clerk
City Council Agenda Report
Meeting Date: November 7, 2023
From: Carlos Fandino, City Administrator
Department: City Administration
Submitted by: Lilia Hernandez, Assistant to City Administrator Subject
Administrative Policy Manual – City Gift Policy
Recommendation
A. Adopt Administrative Policy Manual Section 1.6 – City Gift Policy; and B. Authorize the City Administrator to execute and distribute the Policy to all City officials and employees including Council Members, and Board, Commission and Committee members.
Background
City officials and employees are agents of the public and serve for the benefit of the public. While gifts may be well-intended gestures offered to City officials and employees in a genuine show of appreciation or gratitude, receiving gifts can present a host of issues for public officials and employees as the acceptance of gifts can convey an appearance of favoritism and conflict of interest. Gifts can be perceived as attempts to influence City operations and purchases, or as compensation for services rendered and can erode the public confidence in the impartiality of decision made by City officials and employees.
The purpose of the proposed City Gift Policy (Policy) is to promote elevated standards of ethics in the City by establishing rules and guidelines for use by all elected and appointed City officials and employees as it relates to receiving/accepting of gifts. With the holiday season approaching, it is timely for the City Council to adopt the proposed Policy that is applicable to all elected and appointed City officials, City officers, including Board and Commission members and all City employees. The Policy prohibits any gift or gratuity for the performance of an act which they would be required or expected to perform in the regular course of their duties, or from any entity or individual with business before the City. The Policy does not prohibit the acceptance of any gift that meets one of the exceptions under the Political Reform Act or is (i) consumable and placed in a space where the item can be shared by City employees, (ii) has a fair market value of $50 or less, and (iii) the cumulative value of any such gifts received from a single source does not exceed $50.00 within any calendar year. The Policy does not prohibit a gift or donation to the City in furtherance of its governmental purposes.
The City Gift Policy is supplemental to the gift limitations and reporting requirements set forth by the Political Reform Act and Fair Political Practices Commission (FPPC) relative to the acceptance and reporting of gifts. As noted in the Policy, the FPPC investigates suspected violations of the Political Reform Act, and other law enforcement agencies (the Attorney General or District Attorney) may initiate investigations under certain circumstances and may ultimately result in monetary fines, disqualification from holding elective office, in addition to other penalties that may be imposed. City employees in violation of this policy or any applicable gift and conflict of interest disclosure provision may also be subject to City discipline, up to and including termination. A draft of the Policy was provided to all employee bargaining units for review and no comments or requests to meet and confer were received.
As stewards of the public’s trust, it is important that the public know that City officials and employees provide services and make decisions based on fair and objective criteria, and that gifts and other such gestures do not influence our actions. The City Gift Policy applies yearround.
Fiscal Impact
There is no fiscal impact associated with this report.
Attachments
1. Administrative Policy Manual Section 1.6 – City Gift Policy
ADMINISTRATIVE POLICY MANUAL
Section 1.6 – City Administration
CITY GIFT POLICY
Approval:____________________________
City Administrator
Effective Date: Responsible Department: City
Administration Department
PURPOSE AND SCOPE:
The purpose of this policy is to promote elevated standards of ethics in the City by establishing rules and guidelines related to receiving and accepting gifts, for use by and applicable to elected and appointed City officials, City officers, including Board and Commission members, and all employees.
POLICY:
City officials and employees are agents of the public and serve for the benefit of the public. It is the policy of the City of Vernon to obey all applicable laws and requirements of the Political Reform Act relative to the acceptance and reporting of gifts. Nothing in this policy supersedes California State Law or Fair Political Practices Commission (FPPC) requirements. City officials and employees are responsible for reviewing and complying with applicable regulations related to the Vernon Conflict of Interest Code, the filing of Statements of Economic Interest, and any gift reporting or disclosure requirements.
This policy also establishes requirements that are supplemental to the Political Reform Act.
DEFINITIONS:
As used in this policy:
“Acceptance” is when a City official or employee has either actual possession of the gift or has acted exercising direction or control over the gift, including discarding the gift or turning it over to another person or group.
“Business before the City”: A person or entity has "business before the City" if within twelve (12) months of offering a gift to a City official or employee, the person or entity: 1) has or will submit a bid or proposal to the City to perform services or provide supplies or equipment; or 2) has or will submit an application to the City for a permit, license or regulatory approval of any kind. “Gift” has the same meaning as under the Political Reform Act, commencing at California Government Code Sections 81000, et seq. The Political Reform Act provides the basic rule that a gift is a payment made by any person of anything of value, whether tangible or intangible, real or personal property, a good or service that provides a personal benefit to an official when the official does not provide full consideration for the value of the benefit received. A gift includes the forgiveness of a debt or obligation and a rebate or a discount in the price of anything of value unless the rebate or discount is offered in the ordinary course of business without regard to official status.
SECTION 1. GIFTS PROHIBITED
City officials and employees shall not accept any gift or gratuity from anyone other than the City for the performance of an act which they would be required or expected to perform in the regular course of their duties, or from any entity or individual with business before the City (a “prohibited gift”).
Any City official or employee who is offered or receives a prohibited gift shall advise the offeror of this policy and of the ultimate disposition of the proffered gift and shall provide the offeror an opportunity to withdraw or reclaim the gift.
Nothing in this policy shall prohibit a gift or donation to the City in furtherance of its governmental purposes.
SECTION 2. GIFTS NOT PROHIBITED
This policy does not prohibit the acceptance or receipt of any gift that:
1) Meets one of the exceptions under the Political Reform Act (California Code of Regulations, Title 2, Division 6, Section 18942); or
2) Is (i) consumable and placed in a space where the item can be shared by City employees, (ii) has a fair market value of $50.00 or less, and (iii) the cumulative value of any such gifts received from a single source does not exceed $50.00 within any calendar year.
SECTION 3. REPORTING REQUIREMENTS
A. Reporting Gifts to City Officials and Employees
City officials and employees covered by the City's Conflict of Interest Code (Designated Filers) must comply with FPPC requirements relative to filing an Assuming Office, Annual and Leaving Office Statement of Economic Interests (Form 700) filings by their designated due dates. Information is available in the City Clerk's Department regarding Designated Filers and filing requirements. The City Clerk's Department utilizes an electronic system for filing Form 700s.
The gift limitations and disqualification requirements under the Political Reform Act are applicable to gifts that are not prohibited by this policy.
B. Reporting Gifts to Domestic Partner, Spouse and Children Unless an exception applies, a gift to a Designated Filer’s domestic partner, spouse, or dependent child is considered a gift to the Designated Filer when there is no established working, social, or similar relationship between the donor/vendor and the domestic partner, spouse, or dependent child, or when there is evidence to suggest that the donor had a purpose to influence the Designated Filer.
The Designated Filer shall indicate on their Form 700 any such reportable gift known to have been accepted during the relevant reporting period by the Designated Filer’s domestic partner, spouse, or dependent child.
SECTION 4. ENFORCEMENT
The FPPC investigates suspected violations of the Political Reform Act. Other law enforcement agencies (the Attorney General or district attorney) also may initiate investigations under certain
circumstances. If violations are found, the FPPC may initiate administrative enforcement proceedings and monetary fines.
Instead of administrative prosecution, a civil action may be brought for negligent or intentional violations by the appropriate civil prosecutor (the FPPC, Attorney General, or district attorney), or a private party residing within the jurisdiction. In civil actions, the measure of damages is up to the amount or value not properly reported.
A knowing or willful violation of any provision of the Political Reform Act is also a misdemeanor.
Persons convicted of a misdemeanor may be disqualified from holding elective office, in addition to other penalties that may be imposed. The Political Reform Act also provides for numerous civil penalties, including monetary penalties and damages, and injunctive relief from the courts.
City employees in violation of this policy or any applicable gift and conflict of interest disclosure provision may also be subject to City discipline, up to and including termination.
For questions about how these regulations apply to specific facts or circumstances, please contact the City Attorney’s Office.
To report a possible violation of this policy or any ethical regulations, please report such information through the normal chain of command (immediate supervisor, department head, Human Resources, City Administrator or City Attorney). Individuals who wish to remain anonymous can call the Whistleblower & Fraud Prevention Hotline at (844) 864-6371 or use the web portal at http://cityofvernon.ethicspoint.com.
City Gift Policy Acknowledgment
I, ___[print name]_, have read and understand Administrative Policy Manual Chapter 1, Article 6 – CITY GIFT POLICY and agree to comply with the requirements of the policy.
Employee Signature Date