CC 2016-09-13_09b Biennial Review Conflict of Interest Code
MEMORANDUM
TO: CITY COUNCIL
FROM: KELLY WETMORE, DIRECTOR OF LEGISLATIVE AND INFORMATION
SERVICES/CITY CLERK
SUBJECT: CONFLICT OF INTEREST CODE BIENNIAL REVIEW AND
RESOLUTION AMENDING THE CITY OF ARROYO GRANDE
CONFLICT OF INTEREST CODE
DATE: SEPTEMBER 13, 2016
RECOMMENDATION:
It is recommended that the City Council adopt a Resolution approving an amended
Conflict of Interest Code for designated positions.
IMPACT TO FINANCIAL AND PERSONNEL RESOURCES:
There are no fiscal or personnel impacts as a result of the proposed action.
BACKGROUND:
The California Political Reform Act requires every local government agency to adopt a
conflict of interest code. The conflict of interest code designates positions within the
City required to file Statements of Economic Interests and assigns disclosure categories
specifying the types of financial interests to be reported. Further, the conflict of interest
code contains specific provisions setting forth any circumstances under which
designated positions or categories of designated positions must disqualify themselves
from making, participating in the making, or using their official position to influence the
making of any decision.
Positions mandated by State law to file disclosure statements include Mayors, Members
of the City Council, candidates for City elective offices, Members of the Planning
Commission, City Manager, City Attorney, and City Treasurer.
ANALYSIS OF ISSUES:
In 1987, the City adopted the State’s standard Conflict of Interest Code by reference
which, along with the Appendix of Designated Positions and the Appendix of Disclosure
Categories, constitutes the City of Arroyo Grande Conflict of Interest Code (“Code”).
Item 9.b. - Page 1
CITY COUNCIL
CONFLICT OF INTEREST CODE BIENNIAL REVIEW
SEPTEMBER 13, 2016
PAGE 2
Under the Political Reform Act, local agencies are required to review their Conflict of
Interest Code biennially to determine whether the Code is accurate, or if revisions are
needed due to organizational changes, including the creation of new positions,
elimination of positions, position title changes, and/or relevant changes in the duties
assigned to existing positions.
The City’s Conflict of Interest Code was last updated in September 2014. A revision to
the City’s Conflict of Interest Appendix of Designated Positions is required at this time
due to position changes that have been approved by the Council since the Code was
last updated. These changes need to be reflected in the City’s Conflict of Interest Code
to ensure that it is current and accurate. An overview of the changes include the
following:
1. Change the title of Capital Projects Engineer to Capital Improvement Project
Manager
2. Add the position of Utilities Manager
3. Add the position of Public Works Supervisor
4. Change the title of Accounting Supervisor to Accounting Manager
ALTERNATIVES:
The following alternatives are provided for the City Council’s consideration:
Adopt the Resolution amending the City of Arroyo Grande’s Conflict of Interest
Code;
Modify and adopt the Resolution; or
Provide direction to staff.
ADVANTAGES:
Adoption of the proposed Resolution will meet the provisions required by the Political
Reform Act concerning biennial review of the City’s Conflict of Interest Code.
DISADVANTAGES:
There are no identified disadvantages related to adoption of the proposed Resolution.
ENVIRONMENTAL REVIEW:
No environmental review is required for this item.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
Item 9.b. - Page 2
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE APPROVING AN AMENDED
CONFLICT OF INTEREST CODE FOR DESIGNATED
POSITIONS
WHEREAS, the Political Reform Act of 1974 (California Government Code Sections
81000 et seq.,) requires that governmental entities in the State of California adopt and
promulgate a Conflict of Interest Code; and
WHEREAS, in 1987 the City of Arroyo Grande adopted a standardized Conflict of
Interest Code, incorporating by reference the terms of Title 2 of the California Code of
Regulations, Sections 18730 et seq., which contain the terms of a Standard Conflict of
Interest Code; an Appendix of Designated Positions listing employees, officials, and
consultants who make or participate in the making of decisions that may foreseeably
have a material effect on their economic interests, and an Appendix of Disclosure
Categories assigned to the Designated Positions; and
WHEREAS, the Political Reform Act requires every local agency to review its Conflict of
Interest Code biennially to determine if it is accurate and up-to-date or, to make
amendments to the Code when necessitated by changed circumstances; and
WHEREAS, certain positions within the City of Arroyo Grande have been reclassified or
added which requires the Conflict of Interest Code to be amended; and
WHEREAS, the City Council has determined that the attached Appendices, marked
Exhibit “A” and Exhibit “B”, respectively, both of which are incorporated herein by this
reference, accurately set forth those positions which should be designated and
categories of economic interests which should be disclosed.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo
Grande does hereby approve the amendments to the City’s Conflict of Interest Code as
follows:
1. The City’s “Appendix of Designated Positions” is hereby amended and
replaced in its entirety with Exhibit “A”, attached hereto and incorporated
herein by this reference.
2. The City’s “Appendix of Disclosure Categories”, attached hereto as Exhibit “B”
and incorporated herein by this reference, is approved.
BE IT FURTHER RESOLVED that the terms of 2 California Code of Regulations
Sections 18730 et seq., duly adopted by the Fair Political Practices Commission, are
hereby incorporated by reference and with the attached Exhibits “A” & “B” shall
constitute the Conflict of Interest Code of the City of Arroyo Grande.
Item 9.b. - Page 3
RESOLUTION NO.
PAGE 2
BE IT FURTHER RESOLVED that this Resolution supersedes Resolution No. 4621
adopted September 9, 2014.
On motion by Council Member ___________, seconded by Council Member
__________, and on the following roll call vote, to wit:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this 13th day of September, 2016.
Item 9.b. - Page 4
RESOLUTION NO.
PAGE 3
_______________________________________
JIM HILL, MAYOR
ATTEST:
________________________________________
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
_______________________________________
ROBERT MCFALL, INTERIM CITY MANAGER
APPROVED AS TO FORM:
_______________________________________
HEATHER WHITHAM, CITY ATTORNEY
Item 9.b. - Page 5
CONFLICT OF INTEREST CODE
FOR THE CITY OF ARROYO GRANDE
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, which 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, it may be amended by the Fair Political Practices
Commission to conform to amendments in the Political Reform Act.
Therefore, the terms of Title 2 of the California Code of Regulations Section 18730
and any amendments to it duly adopted by the Fair Political Practices
Commission are hereby incorporated by reference, and along with the attached
appendices, Exhibit “A” and Exhibit “B”, in which positions are designated and
disclosure categories are set forth, constitute the conflict of interest code of the City
of Arroyo Grande, which is considered the "agency" within the purview of this code.
Designated employees, committees, commissions, boards, and consultants shall file
statements of economic interests with the City Clerk of the City of Arroyo Grande,
who shall be and will perform the duties of filing officer for the City of Arroyo
Grande and who will make the statements available for public inspection and
reproduction (Gov. Code Section 81008). Upon receipt of the statements of those
positions designated in Government Code Section 87200 (members of the City Council
and Planning Commission, City Manager, City Attorney, and City Treasurer), the City
Clerk shall make and retain a copy and forward the original of these statements to
the Fair Political Practices Commission. Statements of all other designated
positions will be retained by the City Clerk in accordance with State law.
Item 9.b. - Page 6
EXHIBIT "A"
APPENDIX OF DESIGNATED POSITIONS
The following positions entail the making or participation in the making of decisions which may
foreseeably have a material effect on financial interests:
Designated Position:2 Disclosure Category:
City Engineer A,B,C
Capital Improvement Projects EngineerManager A,B,C
Associate Engineer A,B,C
Assistant Engineer A,B,C
Senior Engineer A,B,C
Building Official A,B,C
Building and Fire Safety Inspector A,B,C
Police Chief A,B,C
Police Commander A,B,C
Director of Public Works A,B,C
Utilities Manager A,C
Public Works Supervisor A,C
Director of Administrative Services A,B,C
Director of Recreation Services A,B,C
Accounting SupervisorManager A,C
Director of Legislative and Information Services/City Clerk A,C
Information Technology Manager A,C
Human Resources Manager A,C
Director of Community Development A,B,C
Planning Manager A,B,C
Associate Planner A,B,C
Assistant Planner A,B,C
Executive Assistant/Deputy City Clerk A,C
Assistant City Attorney A,B,C
Deputy City Attorney A,B,C
Architectural Review Committee Member A,B,C
Downtown Parking Advisory Board Member A,B,C
Historical Resources Committee Member A,B,C
Parks and Recreation Commission Member A,B,C
Traffic Commission Member A,B,C
Successor Agency Board Member A,B,C
Consultants3 Determined on case by case basis
Exempt Officials4 A,B,C
2 In the event that State law or regulations regarding the filing of Conflict of Interest Statements should be
amended, this Exhibit shall be changed to include the designated position and category of each official as
required by said amendment.
3 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 may determine in writing
that a particular consultant, although a “designated position”, is hired to perform a range of duties that are
limited in scope and thus is not required to fully comply with the disclosure requirements described herin. 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.
4 Exempt Officials include the Mayor, Members of the City Council, candidates for City offices, Members of the
Planning Commission, City Manager, City Attorney, and City Treasurer who are all otherwise required to file
disclosure statements pursuant to State Law.
Item 9.b. - Page 7
EXHIBIT “B”
APPENDIX OF DISCLOSURE CATEGORIES
CATEGORIES OF DISCLOSURE FOR
DESIGNATED POSITIONS
The following shall be the categories of disclosure covered by this Policy:
A. Investments
California Fair Political Practices Committee (“FPPC”) Form 700,
Schedules A-1 and A-2
B. Interests in Real Property
FPPC Form 700, Schedule B
C. Income & Business Positions
FPPC Form 700, 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.
Item 9.b. - Page 8