HomeMy WebLinkAboutItem 5c. 2024 Biennial Review of Conflict of Interest Code Item 5c
Department: Administration
Cost Center: 1021
For Agenda of: 6/4/2024
Placement: Consent
Estimated Time: N/A
FROM: Greg Hermann, Deputy City Manager
Prepared By: Kevin Christian, Deputy City Clerk
SUBJECT: 2024 BIENNIAL REVIEW OF THE CITY’S CONFLICT OF INTEREST CODE
RECOMMENDATION
Direct the review of the City’s Conflict of Interest Code and the filing of a Biennial Notice
with the City Clerk regarding such review, as required by the Political Reform Act.
POLICY CONTEXT
The Political Reform Act of 1974, Government Code Section 81000 requires all public
agencies to adopt and maintain a Conflict-of-Interest Code. Additionally, the Act requires
agencies to regularly review and update their codes when change is necessitated by
changed circumstances; requires the code-reviewing body to direct a biennial review no
later than July 1 of each even -numbered year; requires that if a change in the Code is
necessitated by this review, it must be submitted to the City Council for approval within
ninety (90) days of the filing of the Local Agency Biennial Notice with the City Clerk; and
requires that the agency head (City Manager), no later than October 1, shall file a
statement regarding the results of that review. (Gov. Code §§ 82011(c), 87306, 87306.5.)
DISCUSSION
Background
The primary effect of the above noted code is to establish disclosure requirements for
public officials, governmental employees, and consultants, concerning their personal
financial interests and based on their level of decision -making authority for the agency.
The Act requires each city to adopt a local conflict of interest code designating city
positions not otherwise designated in the Act itself, that are involved in making or
participating in the making of city decisions at all levels of city government. This disclosure
is made through annual filing of a “Statement of Economic Interest” (Fair Political
Practices Commission Form 700) as well as upon assuming or leaving an office.
To maintain this Conflict-of-Interest Code, the Act further requires that agencies review
their code (Resolution No. 11359) biennially to determine if amendments are necessary.
Amendments may be necessary for the following:
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Item 5c
The addition, deletion, or modification of the specific types of investments,
business positions, interests in real property, and sources of income which are
reportable for the designated positions.
Addition of, reclassification of, renaming of, or deletion of designated p ositions.
The Act provides that no later than July 1 of each even-numbered year, code-reviewing
bodies shall direct the review of all agency codes under their jurisdiction and requires
that the agency head, no later than October 1, shall file a statement regarding the results
of that review. In the case of the City of San Luis Obispo, the City Council is the code -
reviewing body, the city is the (only) agency under their jurisdiction, and the agency head
is the City Manager.
A preliminary determination has been made by City staff that amendments are necessary
to be made to the current City Conflict-of-Interest Code. Following Council direction to
conduct the biennial review, a detailed review will be conducted with final
recommendations presented to City Council by October.
Previous Council or Advisory Body Action
The current Conflict of Interest Code was adopted by City Council September 20, 2022,
by Resolution No. 11359 (2022 Series).
Public Engagement
Per Brown Act public noticing rules, notice was given in the form of agenda posting for
the meeting that this item is being considered. The public will have an opportunity to
provide public comment in writing prior to the meeting or as public comment during the
meeting.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act does not apply to the recommended action in
this report, because the action does not constitute a “Project” under CEQA Guidelines
Sec. 15378.
FISCAL IMPACT
Budgeted: No Budget Year: 2023-24
Funding Identified: N/A
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Item 5c
Fiscal Analysis:
Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund $ $ $ $
State
Federal
Fees
Other:
Total $ $ $ $ 0
Cost associated with this review and update are included in the City Clerk Department’s
annual operating budget.
ALTERNATIVES
State law requires that direction be given to review the current City Conflict of Interest
Code and therefore staff does not recommend an alternative.
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