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Home My WebLink AboutCHARTERS/HISTORY LEGISTATIVE AND LEGALs Charters / I l sa ok) 101-04 Legislative Legislative & Legal Lim_ o CHARTER of the City of San Luis Obispo California Adopted on June 6, 1978 With Amendments Adopted Through August 30, 2011 Filed with the Secretary of State State of California September 28, 2011 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLEI. Incorporation and Application............................................................... 1 ARTICLE U. Form and Powers of Municipality.......................................................... 2 ARTICLE III. Municipal Elections.............................................................................. 3 ARTICLE IV. Elective Officials.................................................................................. 4 ARTICLE V. Council Powers and Procedures........................................................... 7 ARTICLE VI. Legislative Actions.............................................................................. 8 ARTICLE VII. Appointive Officials............................................................................ 10 ARTICLE VIII. Fiscal Administration.......................................................................... 13 ARTICLE IX. Public Works Contracts...................................................................... 15 ARTICLE X. Licenses and Franchises...................................................................... 18 ARTICLE XI. Personnel Administration.................................................................... 21 ARTICLE XII. Boards and Commissions.................................................................... 22 INDEX........................................................................................................... 24 ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal Corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall' is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council' when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated. The City Manager shall be responsible for the enforcement of the provisions of the Charter. ARTICLE H. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor - City Manager" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. 2 SECTION 203. Powers of City. The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government After obtaining and considering the recommendations of the City Manager, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the fimction of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE M. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. 3 SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. SECTION 303. Special Municipal Elections. All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Council Members each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Council Members shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Council Member of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. n SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Council Members shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. SECTION 405. Limitation of Terms. Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Council Member's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused there from by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a.special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. 5 SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the City Manager in matters of policy. The Mayor shall be recognized as the official head of the City for all ceremonial purposes. SECTION 408. Mayor Pro Tempore The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Council Member to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Council Member shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Council Members. Compensation for Mayor and Council Members shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective the first full pay period in January of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Council Member expenses incurred for official business shall be reimbursed. R, ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer; Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare. of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of CounciL The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the public. SECTION 503. Quorum. A majority of the Council Members shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote, except in the case of a recusal due to a conflict of interest. Failure or refusal to vote shall be construed as an affirmative vote. 7 SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government.. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral motion duly made and passed. Ordinances that prescribe rules applicable generally within the jurisdiction shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. 8 SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: 'Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: 'Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. 6 SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. SECTION 607. Repeal. No ordinance or section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect_ to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Manager and a City Attorney. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Manager. 10 SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Manager, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Manager. The City Manager shall be the administrative head of the government of the City. As such, the City Manager shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government that the office controls. Any action, determination or omission of the City Manager or staff shall be subject to review by the Council but no individual Council Member or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The City Manager shall advise and make recommendations to the Council concerning any conditions or governmental situations that need Council direction or policy determination. The City Manager will insure that the Council, as a whole or as individuals, is permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Manager shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Council Members. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Manager. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint 11 any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Manager from supplementing the provisions of this section. SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt Personnel Regulations by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Manager shall be terminated within the three (3) months immediately following the appointment of a new City Manager. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Human Resources Department. SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath. of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the 12 City Manager. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADMINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Manager shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Manager shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Manager and making such revisions as it may deem advisable, the Council shall determine the time for holding. of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the 13 Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining; improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. 14 SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Manager, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. ARTICLE DL PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Manager, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. 15 (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversized facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider through a Reimbursement Agreement as established by Council ordinance or resolution. (E) Notwithstanding any provisions of this Charter to the contrary, the City may perform maintenance related projects using a unit price contract for all necessary labor, materials, and equipment provided such contracts are secured on a competitive basis as otherwise required by Public Contract Code Section 20128.5. The City Council shall establish by ordinance, guidelines for the award and use of such unit price contracts, and may set an amount below which the City Manager may award such contracts. (F) Notwithstanding any provision of this Charter to the contrary, public projects, as defined by the Uniform Public Construction Cost Accounting Act, sections 22000 et seq. of the Public Contract Code, of one hundred thousand dollars ($100,000) or less may be let to contract by informal procedures as set forth in Sections 22032 et seq. of that code. The City Council shall establish by ordinance guidelines for the use of such contracts. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any fiords paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such 16 collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council, by ordinance or resolution, shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if . the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work, unless otherwise required by Federal Law. SECTION 906. Sale or Lease of City Property. The City Council, by ordinance or resolution, shall adopt policies and procedures that shall be applicable to the sale or lease of City property. 17 SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. SECTION 909. Use of Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and not to allow additional development. ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. The City Council may, by ordinance or resolution, establish fees or charges for the granting of licenses or franchises. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any 18 objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) or more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the tern for which it is granted, which, unless it is indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other fianchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article M of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all fianchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. 19 SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a tern or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City any facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct, and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Manager shall be responsible for the enforcement of all provisions of the grant. 20 SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XI. PERSONNEL ADMINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Manager, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California that shall include all employees of the City of San Luis Obispo. The City Council may terminate or amend its contract or negotiate another contract to provide improved or reduced employee benefits only in accordance with state law and as permitted by the Board of Administration of the Public Employees' Retirement System. SECTION 1106. Reserved for Future Use. 21 ARTICLE XII. BOARDS AND COMMISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. Participation on citizen committees, commissions, boards and authorities by non -registered voters or non -city residents may be permissible depending upon the nature and purpose of the advisory body, as determined by the City Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. if a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. On an annual basis, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. 22 SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 23 INDEX SECTION PAGE Annexation Development of Annexed Lands 908 18 Appointments City Officers; term and removal 701 10 Relatives of City Officials and employees prohibited 707 11 Boards and Commissions 1202 25 Attorney, City Appointment of and term of 701 10 Compensation of 711 12 Duties of 702 11 Oath of Office 710 12 Audit Annually by certified public accountant 810 15 Boards and Commissions Annual Report 1205 25 Appointment 1202 25 Authority 1201 24 Bylaws and procedures 1204 25 Eligibility 1202 25 Functional review 1206 25 Term, length of 1202 25 Vacancies 1203 25 Bond of Officers Council may determine 712 12 Boundaries Established City limits 102 1 Budget Adoption of 804 13 Hearing and notice 803 13 Providing for 802 13 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Manager Annual budget, providing for 802 13 Appointment of certain officers and department heads 701 10 Compensation 711 12 24 Council shall appoint 703 11 Councilmen, eligibility of 705 11 Oath of Office 710 12 Powers and duties 702 11 Relative ineligible to serve as City Officer 707 11 Public works performed by City 901(c) 15 Qualifications of 704 11 City Property Sale and lease of 906 17 Clerk, City Actions against City presented to City Clerk 809 14 Appointment of and term of 701 10 Bond of, filed with Administrative Officer 712 12 Compensation of officials 711 12 Council shall appoint 701 10 Duties of officials 702 11 Oath of Office 710 12 Collusion 902 16 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 11 Contracts Abridgement of 904 17 Collusion 902 16 Progress payments 905 17 Public Works by 901 15 Council Actions, methods of 601 8 Appointments City Officer-, term and removal 701 10 Relatives of City Officials and employees prohibited 707 11 Boards and Commissions 1202 22 Budget Adoption of 804 13 Date fixed by 804 13 Hearing and notice 803 13 Compensation of 410 6 Duties and powers, enumeration of 501 7 Duties, limitation of 508 8 Election at large 402 4 Emergency legislation 605 9 Franchises, granting 1001 18 25 Holding certain other offices prohibited 508 8 Majority vote of, required for passage of ordinance, resolution, or motion 506 8 Mayor Pro Tempore (Vice Mayor) 408 6 Meetings Place of, public 502 7 Quorum, majority to constitute 503 7 Rules of procedures 504 7 Special may be called 502 7 Oath of Office 710 12 Oath, power to administer 507 8 Offices and departments, may provide for conduction, etc., of, or additional 702 11 Ordinances and resolutions, ayes and noes take on passage of 505 7 Powers generally of 501 7 Reimbursement for authorized travel and other expenses 410 6 Subpoena, power to compel attendance of witnesses 507 8 Terns, limitation of 405 5 Vacancies in, filling 406 5 Voting 505 7 County Council may consolidate function of City with 205 3 Demand Against City Filing, rejection, etc. 809 14 Department of Public Works May perform work normally contracted 901(c) 15 Departments Council may provide for operation, etc., of, or additional 204 3 Elections At large, Mayor and Council 402 4 Eligibility for office 403 4 General municipal, time to hold 302 4 Initiative, referendum and recall, State law to apply 304 4 Mayor and Council 402 4 Procedure for holding, State law to apply 301 3 Special municipal, defined 303 4 Electricity and Electric power exempted 907 18 Eminent Domain Right not impaired by franchise grant 1005 20 Enumeration 401 4 Equipment 26 Purchase of 903 17 Fiscal Administration Accounts Payable 808 14 Claims against the City 809 14 Grants 805 14 Subsidies 805 14 Fiscal Year Defined 801 13 Form of Government of City 201 2 Franchises Duty of grantee 1006 20 Eminent Domain not impaired by granting 1005 20 Granting 1001 18 Notice 1002 18 Public hearing 1002 18 Term of 1003 19 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 14 Income from public utilities 806 14 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 6 Compensation of 410 6 Election of, at large 402 4 Powers and duties 407 6 Term of office 404 5 Pro Tempore, selection of 408 6 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of, filling 406 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 14 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 18 Nepotism Prohibited 707 11 Oaths Council has power to administer 507 8 Offices and Employees . Bond of, Council may determine amount of 712 12 Combining Offices 706 11 Compensation of, fixed by ordinance or resolution 711 12 27 Consists of certain named officials 701 10 Duties of 702 11 Eligibility for office 403 4 Employee may become candidate for public office 1104 21 Employment policy 709 12 Enumeration of 401 4 Equal Opportunity Employer 708 12 Fees collected by, must be paid into City Treasury 711 12 Mayor and Councilmen, elected at large 402 4 Nepotism 707 11 Oath of Office to be taken by 710 12 Political activities, employee 1103 21 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 11 Ordinances Adoption of certain provisions by reference permitted 608 10 Amending 606 10 Creation of 601 8 Codification of 608 10 Effective date 604 9 Emergency, adoption of 605 9 Emergency, effective 605 9 Enacting clause of 603 9 Repeal of 607 10 Requirements of 602 9 Violation of, punishment 609 10 Organization of City Government 204 3 Personnel System Personnel Board or Personnel Hearing Board, establishing 1102 21 Retirement 1105 21 Rules and regulations 1.101 21 Political Activities Employee shall not take active part in 1103 21 Powers of City 203 3 Procedures City may act pursuant to established 203 3 Public Utilities Income derived from, disposition of 806 14 Public Works and Contracts City may perform work 901(c) 15 Collusion 902 16 28 Contract for, requirements 901 15 Contract, rejection of bid 901(c) 15 Contract, security required with bid 901(b) 15 Purchasing Equipment and supplies 903 17 Recall 304 4 Resolutions 903 17 Ayes and nays taken by Council 601 8 Referendum 304 4 Retirement System Contract with State authorized 1105 21 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies Purchase of 903 17 Telephone Service exempted 907 18 Terms of Office Mayor and Councilmen 404 5 Treasurer, City Appointment of and term of 701 10 Bond of, filed with City Clerk 712 12 Compensation of officials 711 12 Council shall appoint 701 10 Treasurer, City (cont'd) Duties of officials 702 11 Monies drawn from, method and manner of 808 14 Oath of office 710 12 Vacancy in Elective Office Occurs when 406 5 Water Reliability Reserve 909 18 1' ARTICLE I. ARTICLE II. ARTICLE III. ARTICLE IV. ARTICLE V. ARTICLE VI. ARTICLE VII. ARTICLE VIII. ARTICLE IX. ARTICLE X. ARTICLE XI. ARTICLE XII. INDEX TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. Incorporation and Application................................................................ 1 2 Form and Powers of Municipality .......................................................... , 3 MunicipalElections................................................................................... 4 ElectiveOfficials........................................................................................ Council Powers and Procedures.............................................................. 6 LegislativeActions..................................................................................... 7 AppointiveOfficials................................................................................... 9 Fiscal Administration................................................................................ 11 Public Works and Contracts.................................................................... 14 Licenses and Franchises........................................................................... 16 Personnel Administration........................................................................ 19 Boards and Commissions........................................................................ 19 21 ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall' is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council" when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it 1 is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the City jail, or in the County jail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer• shall be responsible for the enforcement of the provisions of the Charter. ARTICLE H. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council - Mayor -Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. SECTION 203. Powers of City. The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the 2 Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE IM MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. (Amended April 9, 1991 - Measure "C".) SECTION 303. Special Municipal Elections. All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. 3 ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Councilmembers each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Councilmembers shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Councilmember of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Councilmembers shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) Any other provisions in this Charter to the contrary notwithstanding: 1. The terms of office of the Mayor elected at the November 7, 1989 general municipal election and the Councilmembers elected at the November 3, 1987 general municipal election shall be extended from two years and four years respectively, until a successor is elected or appointed and qualified following the November 3, 1992 general municipal election; 2. The terms of office of the Councilmembers elected at the November 7, 1989 general municipal election shall be extended from four years until a successor is elected or appointed and qualified following the November 8, 1994 general municipal election; 3. The approximate twelve-month periods of term extension set forth in subsections (1) and (2) of this section shall not be counted in determining the disability to serve set forth in Section 405 of this Charter. (Amended April 9, 1991 - Measure "C".) SECTION 405. Limitation of Terms. Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5, 1985 - Measure "C".) 4 SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Councilmember's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused therefrom by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and twenty (120) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and by the Governor for military purposes. In time of public danger or calamity, the Mayor shall take command of the public forces, maintain order, and enforce laws. The Mayor shall exercise such other powers and perform such other duties as may be prescribe&by law or ordinance or by resolution of the Council, except as limited by this Charter. SECTION 408. Mayor Pro Tempore The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office 5 of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Councilmember to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for -which elected. a SECTION 410. Compensation. The Mayor and each Councilmember shall receive compensation for services payable monthly, with the Mayor receiving greater compensation than the other Councilmembers. Compensation for Mayor and Councilmembers shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Councilmember expenses incurred for official business shall be reimbursed. (Amended June 3, 1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the public. SECTION 503. Quorum. A majority of the Councilmembers shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral motion duly made and passed. Ordinances shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. 7 Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At,the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5, 1985 - Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: 'Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: "Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by 8 at least four (4) affirmative votes. SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5, 1985 - Measure "D".) SECTION 607. Repeal. No ordinance nor section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3, 1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. The City Administrative Officer shall be the administrative head of the government of the City. As such, the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government which the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Councilmember or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations which need Council direction or policy determination. The Administrative Officer will insure that the Council, as a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Councilmembers. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy Ordinance, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. 10 No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Personnel Department. SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE Vffi. FISCAL ADMINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Administrative 11 Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of tho public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. 12 SECTION 807. Tax Limitation. (A) General. The Council shall not levy a property tax for municipal purposes for any fiscal year, greater than eighty-five cents (85 cents) on each one hundred dollars ($100.00) of assessed value of taxable property in the City, except as otherwise provided in this section, unless authorized by the affirmative votes of the majority of the electorate voting on a proposition to increase such levy at any election at which the question of such additional levy for municipal purposes is submitted to the electors. The number of years that such additional levy is to be made shall be specified in such proposition. (B) Additional Taxes. There shall be levied and collected at the time and in the same manner as other property taxes for municipal purposes are levied and collected, as additional taxes, if no other provisions for the payment thereof is made: 1. A tax sufficient to meet all obligations of the City for principal and interest of all bonds or judgements due and unpaid or to become due during the ensuing fiscal year which constitute the general obligations of the City; 2. A tax sufficient to meet all obligations of the City to the Public Employees' Retirement System for retirement of the City Employees, if any, due and unpaid or to become due during the ensuing fiscal year. (C) Special Levies. Special levies in addition to the above may be made annually in amounts not to exceed the limits hereinafter enumerated in this section, respectively, on each one hundred dollars ($100.00) of the assessed value of the taxable property in the City: 1. For public improvements and betterments: Thirty cents (30 cents): 2. For library purposes: Twenty cents (20 cents): 3. For park and recreation purposes: Twenty cents (20 cents). The proceeds from any special levies shall belong to and be paid into restricted funds set aside for their respective purposes and shall be expended only for such purposes. SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. 13 SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. ARTICLE M PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 37902 of the Government Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or 14 subdivider for oversided facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of'any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. 15 Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of one hundred dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5, 1985 - Measure "E".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient. for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. 16 SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) nor more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it be indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate 17 with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. 18 ARTICLE XI. PERSONNEL ADMINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6, 1978 - Measure "F".) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized -to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California which shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. ARTICLE XII. BOARDS AND COMMISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. 19 SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall .report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 20 INDEX Audit Annually by certified public accountant SECTION PAGE Administrative Officer, City Annual budget, providing for 802 11 Appointment of certain officers and department heads 701 9 Compensation 711 11 Council shall appoint 703 10 Councilmen, eligibility of 705 10 Oath of Office 710 11 Powers and duties 702 9 Relative ineligible to serve as City Officer 707 10 Public works performed by City 901(c) 14 Qualifications of 704 10 Annexation Development of Annexed Lands 908 16 Appointments City Officers; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 20 Attorney, City Appointment of and term of 701 9 Compensation of 711 11 Duties of 702 9 Oath of Office 710 11 Audit Annually by certified public accountant 810 14 Boards and Commissions Annual Report 1205 20 Appointment 1202 20 Authority 1201 19 Bylaws and procedures 1204 20 Eligibility 1202 20 Functional review 1206 20 Term, length of 1202 20 Vacancies 1203 20 Bond of Officers Council may determine 712 11 Boundaries Established City limits 102 1 Budget Adoption of 804 12 Hearing and notice 803 12 Providing for 802 11 21 Charter Amendment of 105 1 Conflicts 107 1 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Property Sale and lease of 906 16 Clerk, City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of, filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 9 Oath of Office 710 11 Collusion 902 15 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 15 Progress payments 905 16 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 20 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, enumeration of 501 6 Duties, limitation of 508 7 Election at large 402 4 Emergency legislation 605 8 Franchises, granting 1001 16 22 Council (cont'd) Governing body of City 202 2 Holding certain other offices prohibited 508 7 Majority vote of, required for passage of ordinance, resolution, or motion 506 7 Mayor Pro Tempore (Vice Mayor) 408 5 Meetings Place of, public 502 6 Quorum, majority to constitute 503 7 Rules of procedures 504 7 Special may be called 502 6 Oath of Office 710 11 Oath, power to administer 507 7 Offices and departments, may provide for conduction, etc., of, or additional 702 9 Ordinances and resolutions, ayes and noes take on passage of 505 7 Powers generally of 501 6 Reimbursement for authorized travel and other expenses 410 6 Subpoena, power to compel attendance of witnesses 507 7 Tax limit and levy 807 13 Tax system, shall provide for 807 13 Terms, limitation of 405 4 Vacancies in, filling 406 5 Voting 505 7 County Council may consolidate function of City with 205 3 Demand Against City Filing, rejection, etc. 809 13 Department of Public Works May perform work normally contracted 901(c) 14 Departments Council may provide for operation, etc., of, or additional 204 3 Elections At large, Mayor and Council 402 4 Eligibility for office 403 4 General municipal, time to hold 302 3 Initiative, referendum and recall, State law to apply 304 3 Mayor and Council 402 4 Procedure for holding, State law to apply 301 3 Special municipal, defined 303 3 23 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired by franchise grant 1005 18 Enumeration 401 4 Equipment Purchase of 903 15 Fiscal Administration Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year Defined 801 11 Form of Government of City 201 2 Franchises Duty of grantee 1006 18 Eminent Domain not impaired by granting 1005 18 Granting 1001 16 Notice 1002 17 Public hearing 1002 17 Term of 1003 17 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 12 Income from public utilities 806 12 Initiative Ordinance Enacting clause 304 3 Mayor Absence or disability, selection of Mayor Pro Tempore 408 5 Compensation of 410 6 Election of, at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of 408 5 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of, filling 406 5 Mayor Pro Tempore 408 5 Monies Drawn from City Treasury 808 13 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 24 Oaths Council has power to administer 507 7 Offices and Employees Bond of, Council may determine amount of 712 11 Combining Offices 706 10 Compensation of, fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 9 Eligibility for office 403 4 Employee may become candidate for public office 1104 19 Employment polity 709 10 Enumeration of 401 4 Equal Opportunity Employer 708 10 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 9 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation of, punishment 609 9 Organization of City Government 204 3 Personnel System Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 19 Political Activities Employee shall not take active part in 1103 19 Powers of City 203 2 25 Procedures City may act pursuant to established 203 2 Public Utilities Income derived from, disposition of 806 12 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 15 Contract for, requirements 901 14 Contract, rejection of bid 901(c) 14 Contract, security required with bid 901(b) 14 Purchasing Equipment and supplies 903 15 Recall 304 3 Resolutions Ayes and noes taken by Council 601 7 Referendum 304 3 Retirement System 1105 .19 Contract with State authorized State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies 903 15 Purchase of Tax System 807 13 Providing for Taxation 807 13 Tax limit and levy Telephone Service exempted 907 16 Terms of Office 404 4 Mayor and Councilmen Treasurer, City. 701 9 Appointment of and term of Bond of, filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Treasurer, City (cont'd) Duties of officials 702 9 Monies drawn from, method and manner of 808 13 Oath of office 710 11 Vacancy in Elective Office 5 Occurs when 406 26 CHARTER of the city of sAn luis oBispo California Adopted on June 6. 1978 With Amendments Adopted through June 3. 1986 Filed by the Secretary of State of the State of California on September 11. 1986 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application ................... 1 ARTICLE II. Fors and Porters of Municipality ................. 2 ARTICLE III. Municipal Elections ............................. 3 ARTICLE IV. Elective Officials .............................. 4 ARTICLE V. Council Powers and Procedures .................... 6 ARTICLE VI. Legislative Actions ............................. 7 ARTICLE VII. Appointive Officials ............................ 9 ARTICLE VIII. Fiscal Administration ............................ 11 ARTICLE IX. Public Works and Contracts..... ................. 14 ARTICLE X Licenses and Franchises ......................... 16 ARTICLE XI. Personnel Administration ........................ 19 ARTICLE XII. Boards and Commissions .......................... 19 INDEX.......... .......................... .......... 21 THE CHARTER of the CITY of SAN LUIS OBISPO ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall" is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission. Department, Board, Officer. Employee, wherever mentioned in this Charter means the I Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The.word "Council" when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section. subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the city jail, or in the county jail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. ARTICLE Q. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor -Administrative Officer" form of municipal government. SECTION 202. Governing Body. All powers herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. SECTION 203. Powers of City. The City shall have the power to make and enforce all laws and 2 regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the Constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or• by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of Cal:iforn.ia. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, thrr Council shall provide by ordinance or resolution. not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function. conduct. and operation of the various departments of the City and may provide for the creation of additional departments., divisions, offices. and agencies, and for their, consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government. or may make use of such functions of the State or County government. and in case of any such transfer or consolidation. the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation. to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE III. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each odd -numbered year. (Amended March 3, 1981.) SECTION 303. Special Municipal Elections. All other municipal elections that may be held by authority of this 3 Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the elections code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Councilmembers each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Councilmembers shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Councilmember of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment.. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Councilmembers shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) Any other provisions in this Charter to the contrary notwithstanding: 1. The terms of office of the Mayor elected at the March 3, 1981 general municipal election and the Councilmembers elected at the March 6, 1979 general municipal election shall be extended from two years and four years respectively, until a successor is elected or appointed and qualified following the November 8, 1983 general municipal election; 2. The terms of office of the Councilmembers elected at the March 3, 1981 general municipal e'lection shall be extended from four years until a successor is elected or appointed and qualified following the November 5, 1985 general municipal election; n 3•. The approximate eight-month periods of term extension set forth in subsections (1) and (2) shall not be counted in determining the disability to serve set forth in Section 405 of this Charter. (Amended March 3, 1981.) SECTION 405. Limitation of Terms. Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5, 1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of felony, or of an offense involving a violation of the Mayor or Councilmember's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused therefrom by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and twenty (120) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. 5 The Mayor shall be recognized as the official head of the City for all ceremonial purposes and by the Governor for military purposes. In time of public danger or calamity, the Mayor- shall take command of the public forces, maintain order, and enforce laws. The Mayor shall exercise such other powers and perform such other duties as may be prescribed by law or ordinance or by resolution of the Council, except as limited by this Charter. SECTION 408. Mayor Pro Tempore. The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor. the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Councilmember to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or the compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for, which elected. SECTION 410. Compensation. The Mayor and each Councilmember shall receive compensation for services payable monthly, with the Mayor receiving greater Compensation than the other CounCilmembers. Compensation for Mayor and Councilmembers shall be reviewed biennially in even -numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective .January Ist. of the year following the review. The Compensation rate may be revised by the electorate by initiative. Mayor and Councilmember expenses incurred for official business shall be reimbursed. (Amended June 3, 1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, officer, Board, or Commission, the Council shall have the power in the name of. the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be meld to be exclusive of, or a limitation of, the foregoing general grant of powers. s SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the council shall be open to the public. SECTION 503. Quorum. A majority of the Councilmembers shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of. procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the attendance of witnesses, to examine them under oath and compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or Subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral motion duly made and passed. 6 Ordinances shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible. criminal action against an offender shall be .in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance: shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine. whether the full text of the ordinance shall be•published or whether a summary shall be published; if the Council fails to do determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5, 1985 — Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: "Be it ordained by the Council of the City of San Luis Opispo. The enacting clause of every ordinance idirt.iat:ed by the people shall be: "Be it ordained by the People of the City of San Luis Obispo . SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) (lays from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances ordering or otherwise relating to elections, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. 13 SECTION 605. Emergency Legislation. Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four affirmative votes. SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended: and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5, 1985 - Measure "D".) SECTION 607. Repeal. No ordinance nor section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State." (Amended June 3, 1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. 9 SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the. Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. The City Administrative Officer shall be the administrative head of the government of the City. As such. the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and- effective administration of all the affairs of the City government which the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Councilmember or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three members of said Council at a duly Constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations which need Council direction or policy determination. The Administrative Officer will insure that the Council, as a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the city. SECTION 705. Eligibility of Councilmembers. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter. be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and dirties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal. State or local laws. 10 SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy Ordinance, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination. transfer, or demotion shall state the effective date of the action and a copy shall be filed with the personnel Department. SECTION 710. Oath of Office - Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a bond to the City in the penal sum provided by such ordinance or resolution. including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. Ail bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADMINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. 11 SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City .Administrative Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control. during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it. may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time'be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter .it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may 12 have been incurred for the acquiring, improvinu, operating, or maintaining of such utility. SECTION 807. Tax Limitation. (A) General. The Council shall not levy a property tax for municipal purposes for any fiscal year, greater than eighty-five cents (85 cents) on each one hundred dollars of assessed value of taxable property in the City, except as otherwise provided in this section, unless authorized by the affirmative votes of the majority of the electorate. voting on a proposition to increase such levy at any election at which the question of such additional levy for municipal purposes is submitted to the electors. The number of years that. such additional levy is to be made shall be specified in such proposition. (B) Additional Taxes. There shall be levied and collected at the time and in the same manner as other property taxes for. municipal purposes are levied and collected, as additional taxes, if no other provisions for the payment thereof is made: 1. A tax sufficient to meet a]] obligations of the City for principal and interest of all bonds or judgments due and unpaid or to become due during the ensuing fiscal year which constitute the general obligations of the City: 2. A tax sufficient to meet all obligations of the City to the Public Employees' Retirement System for retirement of the City Employees, if any, due and unpaid or to become due during the ensuing fiscal year. (C) Special Levies. Special levies in addition to the above may be made annually in amounts not to exceed the limits hereinafter enumerated in this section, respectively, on each $100 of the assessed value of the taxable property in the City: 1. For public improvements and betterments: Thirty cents (30 cents): 2. For library purposes: Twenty cents (20 cents): 3. For park and recreation purposes: Twenty cents (2b cents). The proceeds from any special levies shall belong to and be paid into restricted funds set aside for their respective purposes and shall be expended only for such purposes. SECTION 808. Accounts Payable.. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for against the City or any Board, or official thereof, until same has been presented as herein provided and reject part.. If rejected in part, suit may be brought to recove claims for damages against the City must be presented within the time limits prescribed by the laws of the St after the occurrence, event;, or transaction from wh allegedly arose, and shall. set forth In detail the name a claimant, the time, date, place, and circumstances of t the extent of the injuries or damages received. (B) The provisions of the foregoing subsection prohibit: payment on invoice, claims for goods, wares, 13 money or damages a demand for the d in whole or in the whole. All o the City Clerk to of California ch the damages d address of the e occurrence and (A) shall not materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the:beginning of each fiscal year. an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive. handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City treasurer, the City Administrative Officer, and City Attorney respectively, and three additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 37902 of the Government Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount: not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise in its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer the work in question may be performed better or more economically by the City with its own employees 14 and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council pursuant to Section 37905 of the Government, Code may proceed to have said work done in the manner stated, without further observance of the provisions of this section. Such contracts likewise may be let without advertising for bids, if such work shall be deemed by the City Council to be of urgent necessity for the preservation of life, health or property and shall be authorized by resolution passed by at. least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversided Facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. (B) If at any time it. shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract. has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of s;nch collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and .in accordance with all provisions of law governing the same. The City Council also shall by ordinance. or resolution adapt policies and procedures for the contracting for personal services. Such personal 15 services shall be contracted for •only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract. is a legal document. attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above. shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount. at any time ninety percent (90X) of the value of the labor done and the materials used up to that time, and no contact. shall provide for or authorize or permit the payment of more than ninety percent (90X) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of One Hundred Dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. SECTION 907. Exemptions. Nothing in this article shall. be construed to apply to the acquistion or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5, 1985 - Measure "E".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grantby ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, 16 communication, terminal facilities, water,. light, heat, power. refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to the provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) nor more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it be indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain. all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given uti.lity service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted 17 V, October 10, 1911. "'he acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant: shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain. and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the: actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern. earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee.. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise: (E) Remove and relocate without expense to the City any facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee 18 within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE )(L PERSONNEL ADMINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five members whose duties shall be advisory only. (Amended June 6, 1978 - Measure "F".) SECTION 1103. Political Activities. The political activities of all city employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California which shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. ARTICLE XIL BOARDS AND COMMISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance 19 citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (9) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific functions, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by it citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 20 SECTION PAGE Administrative Officer, City Annual budget, providing for .......................... 802 12 Appointment of certain officers and department heads.. 701 9 Compensation......... .............................. 711 11 Council shall appoint ................................. 703 10 Councilmen, eligibility of............................ 705 10 Oath of office ........................................ 710 11 Powers and duties ..................................... • 702 10 Relative ineligible to serve as city officer.......... 707 10 Public works performed by city ......................... 901(c) 14 Qualifications of ..................................... 704 10 Annexation Development of Annexed Lands .......................... 908 16 Appointments City officers; term and removal ....................... 701 9 Relatives of city officials and employees prohibited.. 707 10 Boards and Commissions ................................ 1202 20 Attorney, City Appointment of and term of ............................ 701 9 Compensation of ....................................... 711 11 Duties of ............................................. 702 10 Oath of office ......................................... 710 11 Audit Annually by certified public accountant ................ 810 14 Boards and Commissions Annual Report ......................................... 1205 20 Appointment ........................................... 1202 20 Authority ............................................... 1201• 19 Bylaws and procedures ................................. 1204 20 Eligibility ............................................ 1202 20 Functional review ..................................... 1206 20 Term, length of ....................................... 1202 20 Vacancies ................................................ 1203. 20 Bond of Officers Council may determine ................................. 712 11 Boundaries Established city limits ................................ 102 1 Budget Adoption of ........................................... 804 12 Hearing and notice .................................... 803 12 Providing for ......................................... 802 12 Charter Amendment of .......................................... 105 1 Conflicts ................................... :......... 104 1 21 Definitions........................................... 106 1 Effective date........................................ 103 1 Validity of........................................... 108 2 Violation of, penalty................................. 109 2 City Property Sale and lease of..................................... 906 16 Clerk, City Actions against City presented to City Clerk .......... 809 13 Appointment of and term of............................ 701 9 Bond of, filed with Administrative Officer............ 712 11 Compensation of officials ............................. 711 11 Council shall appoint................................. 701 9 Duties of officials................................... 702 10 Oath of office........................................ 710 11 Collusion.................................................. 902 15 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With county or state .................................. 205 3 Within city........................................... 706 10 Contracts Abridgement of........................................ 904 16 Collusion............................................. 902 15 Progress payments..................................... 905 16 Public Works by....................................... 901 14 Council Actions, methods of................................... 601 7 Appointments City officers; term and removal.................... 701 9 Relatives of city officials and employees prohibited ........................... 707 10 Boards and Commissions ............................. 1202 20 .Budget Adoption of........................................ 804 12 Date fixed by..................................... 804 12 Hearing and notice................................. 803 12 Compensation of....................................... 410 6 Duties and powers, enumeration of..................... 501 6 Duties, limitation of................................. 508 7 Election at large..................................... 402 4 Emergency legislation................................. 605 9 Franchises, granting.................................. 1001 16 Governing body of City................................ 202 2 Holding certain other offices prohibited.............. 508 7 Majority vote of, required for passage of ordinance, resolution, or motion .................... 506 7 Mayor Pro Tempore (Vice Mayor).................. :..... 408 6 Meetings Place of, public................................... 502 7 Quorum, majority to constitute..................... 503 7 Rules of procedures................................. 504 7 Special may be called .............................. 502 7 Oath of office........................................ 710 11 Oath, power to administer ............................. 507 7 22 Offices and departments, may provide for conduct, etc., of, or additional.................. Ordinances and resolutions, ayes and noes take on passage of........................... Powers generally of................................... Reimbursement for authorized travel and other expenses ............................. Subpoena, power to compel attendance of witnesses..... Tax limit and levy.................................... Tax system, shall provide for ......................... Terms, limitation of..........................:....... Vacancies in, filling.............................".... Voting................................................ County Council may consolidate function of City with......... Demand Against City Filing, rejection, etc ................................ Department of Public Works May perform work normally contracted.................. Departments Council may provide for operation. etc., of. or additional ............................... Elections At large, mayor and council ........................... Eligibility for office................................ General municipal, time to hold....................... Initiative, referendum and recall, State law to apply ............................ Mayor and Council ............................ Procedure for holding, State law to apply............. Special municipal, defined............................ Electricity and Electric power Exempted.................... Eminent Domain Right not impaired by franchise grant................. Enumeration................................................ Equipment Purchase of........................................... Fiscal Administration Accounts Payable...................................... Claims against the City ............................... Grants................................................ Subsidies......... ................................... Fiscal Year Defined............................................... Form of Government of City................................. Franchises Duty of grantee ....................................... Eminent Domain not impaired by granting............... Granting.............................................. Notice................................................ Public hearing............................:........... Termof............................................... General Laws Applicable to City.................................... 23 702 10 505 7 501 6 410 6 507 7 807 13 807 13 405 5 406 5 505 7 205 3 809 13 901(c) 14 204 3 402 4 403 4 302 3 304 4 402 4 301 3 303 3 907 16 1005 18 401 4 903 15 808 13 809 13 805 12 805 12 801 it 201 2 1006 18 1005 18 1001 16 1002 17 1002 17 1003 17 104 1 Governingbody............................................. 202 2 Grants and subsidies........................................ 805 12 Income from public utilities .................. ...._......._ 806 12 Initiative Ordinance Enacting clause........................................ 304 4 Mayor Absence or disability, selection of mayor pro tempore.................................. 408 6 Compensation of....................................... 410 6 Election of, at large................................. 402 4 Powers and duties..................................... 407 5 Termof office......................................... 404 4 Pro tempore, selection of............................. 408 6 Reimbursement for authorized travel and other expenses............................. 410 6 Vacancy in office of, filling ......................... 406 5 Mayor Pro Tempore.......................................... 408 6 Monies Drawn From City Treasury ............................ 809 13 Nameof City............................................... 101 1 Natural Gas, Telephone Service, Electricity exempted....... 907 16 Nepotism Prohibited........................................ 707 10 Oaths Council has power to administer ....................... 507 7 Offices and Employees Bond of, Council may determine amount of.............. 712 11 Combining offices...................................... 706 10 Compensation of, fixed by ordinance or resolution..... 711 11 Consists of certain named officials................... 701 9 Duties of............................................. 702 10 Eligibility for office................................ 403 4 Employee may become candidate for public office....... 1104 19 Employment policy..................................... 709 11 Enumeration of........................................ 401 4 Equal Opportunity Employer ............................ 708 10 Fees collected by, must be paid into City Treasury.... 711 11 Mayor and Councilmen,. elected at large................ 402 4 Nepotism.............................................. 707 10 Oath of office to be taken by......................... 710 11 Political activities, employee ........................ 1103 19 Vacancy in elective office ............................ 406 5 Offices Council may provide for operation, etc., of or reassignment of........................... 702 10 Ordinances Adoption of certain provisions by reference permitted .................................. 608 9 Amending............................................... 606 9 Creation of............................................ 601 7 Codification of....................................... 608 9 Effective date........................................ 604 8 Emergency, adoption of................................ 605 9 Emergency. effective.................................. 605 9 Enacting clause of.................................... 603 8 24 CHARTER of the City of San Luis Obispo California Adopted on June 6, 1978 With Amendments Adopted Through November 5, 2002 Filed with the Secretary of State State of California December 3, 2002 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application............................................................... 1 ARTICLE H. Form and Powers of Municipality......................................................... 2 ARTICLE M. Municipal Elections.............................................................................. 3 ARTICLE IV. Elective Officials.................................................................................. 4 ARTICLE V. Council Powers and Procedures........................................................... 6 ARTICLE VI. Legislative Actions.............................................................................. 7 ARTICLE VII. Appointive Officials............................................................................ 9 ARTICLE VIII. Fiscal Administration................................................................._........ 12 ARTICLE IX. Public Works Contracts...................................................................... 14 ARTICLE X. Licenses and Franchises...................................................................... 16 ARTICLE M. Personnel Administration.................................................................... 19 ARTICLEXII. Boards and Commissions.................................................................... 22 INDEX........................................................................................................... 24 ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal Corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall" is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council" when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. (Amended November 5,19% - Measure "R".) ARTICLE H. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor - Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. SECTION 203. Powers of City. PJ The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE III. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. (Amended April 9, 1991- Measure "C".) SECTION 303. Special Municipal Elections. 3 All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Council Members each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Council Members shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Council Member of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Council Members shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) (Deleted November 5,1996 - Measure "S".) SECTION 405. Limitation of Terms. FAI Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5,1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Council Member's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused there from by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. (Amended November 5, 1996 Measure "Q".) SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and Mayor shall be Chairperson of the Disaster Council during an emergency. The Mayor shall exercise such other powers and perform such other duties as may be prescribed by law or ordinance or by resolution of the Council, except as limited by this Charter. (Amended November 5,1996 - Measure "T".) SECTION 408. Mayor Pro Tempore 5 The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Council Member to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Council Member shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Council Members. (Amended November 5,1996 - Measure "U".) Compensation for Mayor and Council Members shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Council Member expenses incurred for official business shall be reimbursed. (Amended June 3,1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the l: public. SECTION 503. Quorum. A majority of the Council Members shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral 7 motion duly made and passed. Ordinances shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5,1985 - Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: 'Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: "Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. 8 Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5, 1985 - Measure "D".) SECTION 607. Repeal. No ordinance or section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3,1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies, as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. �7 SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. The City Administrative Officer shall be the administrative head of the government of the City. As such, the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government that the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Council Member or the Mayor shall oven -We, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations that need Council direction or policy determination. The Administrative Officer will insure that the Council, as a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Council Members. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. 10 SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Personnel Department. (Amended November 5,1996 - Measure "V".) SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADIVIMSTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Administrative Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an 12 application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. 13 ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (Amended November 5,19% - Measure "X".) (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversized facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. (E) Notwithstanding any provisions of this Charter to the contrary, the City may perform maintenance related projects using a unit price contract for all necessary labor, materials, and equipment provided such contracts are secured on a competitive basis as otherwise required by Public Contract Code Section 20128.5. The City Council shall establish by ordinance, guidelines for the award and use of such unit price contracts, and may set an amount below which the City Administrative Officer may award such contracts. (Amended November 5, 2002 - Measure "L-02".) (F) Notwithstanding any provision of this Charter to the contrary, public projects, as defined by the Uniform Public Construction Cost Accounting Act, sections 22000 et seq. of the Public Contract Code, of one hundred thousand dollars ($100,000) or less may be let to contract by informal procedures as set forth in Sections 22032 et seq. of that code. El The City Council shall establish by ordinance guidelines for the use of such contracts. (Amended November 5, 2002 - Measure "L-02".) SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. 15 SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of one hundred dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5,1985 - Measure "E".) SECTION 909. Use of Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and nat to allow additional development. (Added November 5, 1996 - Measure "P".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or IT61 corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) or more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it is indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article M of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of 17 all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. 19 SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XI. PERSONNEL ADMENISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6,1978 - Measure "F'.) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California that shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. SECTION 1106. Reserved for Future Use. 19 SECTION 1107. Impartial and Binding Arbitration For San Luis Obispo Police Officers Association and San Luis Obispo Firefighters Association, IAFF Local 3523, Employee Disputes. (A) Declaration of Policy. It is hereby declared to be the policy of the City of San Luis Obispo that strikes by firefighters and police officers are not in the public interest and should be prohibited, and that a method should be adopted for peacefully and equitably resolving disputes that might otherwise lead to such strikes. (B) Prohibition Against Strikes. No City of San Luis Obispo firefighter or police officers shall willfully engage in a strike against the City. Any such employee against whom the City brings charges of failing to report for work as part of a strike shall be subject to dismissal from his or her employment in the event the charges are sustained upon conclusion of the proceedings that are required by law for the imposition of disciplinary action upon said employee. (C) Obligation to Negotiate in Good Faith. The City, through its duly authorized representatives, shall negotiate in good faith with the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, as the exclusive representatives of representation units comprised solely of employees of the police department and/or the fire department, as such units are currently constituted or as they may be amended through negotiation or arbitration as provided in this section, on all matters relating to the wages, hours, and other terms and conditions of City employment. Unless and until agreement is reached through negotiations between authorized representatives of the City and said employee organization or organizations or a determination is made through the impartial arbitration procedure hereinafter provided, no existing benefit, term or condition of employment for employees represented by the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, shall be altered, eliminated or changed. (D) Impasse Resolution Procedures. (1) All disputes, controversies and grievances pertaining to wages, hours or terms and conditions of City employment which remain unresolved after good faith negotiations between the City and said employee organization shall be submitted to a three member Board of Arbitrators upon the declaration of an impasse by the City or by said employee organization. Upon declaration of impasse by either party, the City and employee organization shall each exchange a written last offer of settlement on each of the issues remaining in dispute. Written last offer of settlement shall be exchanged between parties within two days of the declaration of impasse. (2) Representatives designated by the City and representatives of the employee organization shall each select and appoint one arbitrator to the Board of Arbitrators within three (3) business days after either party has notified the other, in writing, of the declaration of impasse and the desire to proceed to arbitration. The third member of the Board of Arbitrators shall be selected by agreement between the City's and the employee's organization representative within ten (10) business days of the declaration of impasse. This third member shall serve as the neutral arbitrator and Chairperson of the Board. In the event that the City and the employee organization cannot agree upon the selection of the neutral arbitrator within ten (10) business days from the date that either party has notified the other that it has declared an impasse, either party may then request the State Mediation and Conciliation Service of the State of California Department of Industrial Relations to provide a list of seven (7) persons who are qualified and experienced as 20 labor arbitrators. If the arbitrators selected by the City and the employee organization cannot agree within three (3) days after receipt of such list on one of the seven (7) to act as the third arbitrator, they shall have five (5) business days to alternately strike names, with the City's arbitrator striking first, from the list of nominees until one name remains and that person shall then become the neutral arbitrator and Chairperson of the Board of Arbitrators. (3) Any arbitration proceeding convened pursuant to this Article shall be conducted in conformance with, subject to, and governed by Title 9 of Part 3 of the California Code of Civil Procedure. The Board of Arbitrators shall hold public hearings, receive evidence from the parties and cause a transcript of the proceedings to be prepared. The Board of Arbitrators may adopt by unanimous consent such other procedures that are designed to encourage an agreement between the parties, expedite the arbitration hearing process, or reduce the costs of the arbitration process. (4) In the event no agreement is reached prior to the conclusion of the arbitration hearings, the Board of Arbitrators shall direct each of the parties to submit, within such time limit as the Board of Arbitrators may establish, but not to exceed thirty (30) business days, a last offer of settlement on each of the remaining issues in dispute. The Board of Arbitrators shall decide each issue by majority vote by selecting whichever last offer of settlement on that issue it finds most nearly conforms to those factors traditionally taken into consideration in the determination of wages, hours, benefits and terms and conditions of public and private employment, including, but not limited to the following: changes in the average consumer price index for goods and services using the San Francisco -Oakland -San Jose index, as reported at the time impasse is declared for the preceding twelve (12) months, the wages, hours, benefits and terms and conditions of employment of employees performing similar services in comparable cities; and the financial condition of the City of San Luis Obispo and its ability to meet the costs of the decision of the Board of Arbitrators. (5) After reaching a decision, the Board of Arbitrators shall mail or otherwise deliver a true copy of its decision to the parties. The decision of the Board of Arbitrators shall not be publicly disclosed and shall not be binding until ten (10) days after it is delivered to the parties. During that ten (10) day period the parties shall meet privately, attempt to resolve their differences, and by mutual agreement amend or modify the decision of the Board of Arbitrators. At the conclusion of the ten (10) day period, which may be extended by mutual agreement between the parties, the decision of Board of Arbitrators, as it may be modified or amended by the parties, shall be publicly disclosed and shall be binding on the parties. The City and the employee organization shall take whatever action is necessary to carry out and effectuate the arbitration award. No other actions by the City Council or by the electorate to conform or approve the decision of the Board of Arbitrators shall be permitted or required. (6) The expenses of any arbitration proceeding convened pursuant to this Article, including the fee for the services of the chairperson of the Board of Arbitrators and the costs of preparation of the transcript of the proceedings shall be borne equally by the parties. The expenses of the arbitration, which the parties may incur individually, are to be borne by the party incurring such expenses. Such expenses include, but are not limited to, the expense of calling a party's witnesses, the costs incurred in gathering data and compiling reports, and any expenses incurred by the party's arbitrator. The parties may mutually agree to divide the costs in another manner. (7) The proceedings described herein shall supercede the dispute resolution process for the San Luis Obispo Police Officers Association and the San Luis Obispo Firefighters 21 Association which is set forth in Sections 13.2 and 14.1 of City of San Luis Obispo Resolution No. 6620, to the extent that such language is in conflict with this amendment. Furthermore, the proceedings described herein shall supercede any language within the Employer -Employee Resolution, the Personnel Rules and Regulations, any Memorandum of Agreement with the employee associations or any written policy or procedure relating to wages, hours or other terms and conditions of City employment, to the extent that such language is in conflict with this amendment. However, nothing in this section shall preclude the parties from mutually agreeing to use dispute resolution processes other than the binding arbitration process herein set forth. Nor, does it preclude the parties from negotiating, and submitting to the arbitration process set forth herein, a grievance process, which includes a form of binding arbitration that differs from the one, set forth herein. (Added November 7, 2000 - Measure "S".) ARTICLE IIII. BOARDS AND COMMISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. 22 By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 23 Administrative Officer, City Annual budget, providing for Appointment of certain officers and department heads Compensation Council shall appoint Councilmen, eligibility of Oath of Office Powers and duties Relative ineligible to serve as City Officer Public works performed by City Qualifications of Annexation Development of Annexed Lands Appointments City Officers; term and removal Relatives of City Officials and employees prohibited Boards and Commissions Attorney, City Appointment of and term of Compensation of Duties of Oath of Office Audit Annually by certified public accountant Binding Arbitration Boards and Commissions Annual Report Appointment Authority Bylaws and procedures Eligibility Functional review Term, length of Vacancies Bond of Officers Council may determine Boundaries Established City limits Budget SECTION 802 701 711 703 705 710 702 707 901(c) 704 PAGE 12 9 11 10 10 11 10 10 14 10 908 16 701 9 707 10 1202 22 701 9 711 11 702 10 710 11 810 13 1107 20 1205 1202 1201 1204 1202 1206 1202 1203 712 102 22 22 22 22 22 23 22 22 11 Adoption of 804 12 Hearing and notice 803 12 Providing for 802 12 Charter 24 Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Property Sale and lease of 906 16 Clerk, City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of, filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Oath of Office 710 11 Collusion 902 15 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 15 Progress payments 905 16 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 22 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, enumeration of 501 6 Duties, limitation of 508 7 Election at large 402 4 Emergency legislation 605 8 Franchises, granting 1001 16 Governing body of City 202 2 Holding certain other offices prohibited 508 7 Majority vote of, required for passage 25 of ordinance, resolution, or motion 506 7 Mayor Pro Tempore (Vice Mayor) 408 5 Meetings Place of, public 502 6 Quorum, majority to constitute 503 7 Rules of procedures 504 7 Special may be called 502 6 Oath of Office 710 11 Oath, power to administer 507 7 Offices and departments, may provide for conduction, etc., of, or additional 702 10 Ordinances and resolutions, ayes and noes take on passage of 505 7 Powers generally of 501 6 Reimbursement for authorized travel and other expenses 410 6 Subpoena, power to compel attendance of witnesses 507 7 Terns, limitation of 405 4 Vacancies in, filling 406 5 Voting 505 7 County Council may consolidate function of City with 205 3 Demand Against City Filing, rejection, etc. 809 13 Department of Public Works May perform work normally contracted 901(c) 14 Departments Council may provide for operation, etc., of, or additional 204 3 Elections At large, Mayor and Council 402 4 Eligibility for office 403 4 General municipal, time to hold 302 3 Initiative, referendum and recall, State law to apply 304 4 Mayor and Council 402 4 Procedure for holding, State law to apply 301 3 Special municipal, defined 303 3 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired by franchise grant 1005 18 Enumeration 401 4 Equipment Purchase of 903 15 Firefighters Association Binding Arbitration 1107 20 Fiscal Administration 26 Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year Defined 801 12 Form of Government of City 201 2 Franchises Duty of grantee 1006 18 Eminent Domain not impaired by granting 1005 18 Granting 1001 16 Notice 1002 17 Public hearing 1002 17 Term of 1003 17 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 12 Income from public utilities 806 13 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 5 Compensation of 410 6 Flection of, at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of 408 5 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of, filling 406 5 Mayor Pro Tempore 408 5 Monies Drawn from City Treasury 808 13 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 Oaths Council has power to administer 507 7 Offices and Employees Bond of, Council may determine amount of 712 11 Combining Offices 706 10 Compensation of, fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 10 Eligibility for office 403 4 Employee may become candidate for public office 1104 19 27 Employment policy 709 11 Enumeration of 401 4 Equal Opportunity Employer 708 11 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 10 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation of, punishment 609 9 Organization of City Government 204 3 Personnel System Binding Arbitration 1107 20 Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 19 Police Officers Association Binding Arbitration 1107 20 Political Activities Employee shall not take active part in 1103 19 Powers of City 203 2 Procedures City may act pursuant to established 203 2 Public Utilities Income derived from, disposition of 806 13 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 15 Contract for, requirements 901 14 Contract, rejection of bid 901(c) 14 Contract, security required with bid 901(b) 14 28 Purchasing Equipment and supplies 903 15 Recall 304 4 Resolutions Ayes and nays taken by Council 601 7 Referendum 304 4 Retirement System Contract with State authorized 1105 19 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies Purchase of 903 15 Telephone Service exempted 907 16 Terms of Office Mayor and Councilmen 404 4 Treasurer, City Appointment of and term of 701 9 Bond of, filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Treasurer, City (cont'd) Duties of officials 702 10 Monies drawn from, method and manner of 808 13 Oath of office 710 11 Vacancy in Elective Office Occurs when 406 5 Water Reliability Reserve 909 16 29 CHARTER City of San Luis Obispo California Adopted on June 6, 1978 With Amendments Adopted Through November 7, 2000 Filed with the Secretary of State State of California January 8, 2001 CHARTER of the City of San Luis Obispo California Adopted on June 6, 1978 With Amendments Adopted Through November 7, 2000 Filed with the Secretary of State State of California January 8, 2001 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application............................................................... 1 ARTICLE If. Form and Powers of Municipality......................................................... 2 ARTICLE III. Municipal Elections.............................................................................. 3 ARTICLE IV. Elective Officials.................................................................................. 4 ARTICLE V. Council Powers and Procedures........................................................... 6 ARTICLE VI. Legislative Actions.............................................................................. 7 ARTICLE VII. Appointive Officials............................................................................ 9 ARTICLE VIII. Fiscal Administration.......................................................................... 12 ARTICLE IX. Public Works Contracts...................................................................... 14 ARTICLE X. Licenses and Franchises...................................................................... 16 ARTICLE XI. Personnel Administration.................................................................... 18 ARTICLE XII. Boards and Commissions.................................................................... 22 INDEX........................................................................................................... 23 ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal Corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of,State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall" is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council' when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter; at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. (Amended November 5,1996 - Measure "It".) ARTICLE H. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor - Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. SECTION 203. Powers of City. 2 The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE M. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. (Amended April 9, 1991- Measure "C".) SECTION 303. Special Municipal Elections. 3 All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Council Members each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Council Members shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Council Member of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Council Members shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) (Deleted November 5,1996 - Measure "S".) SECTION 405. Limitation of Terms. 112 Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5,1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Council Member's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused there from by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. (Amended November 5, 1996 Measure "T.) SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and Mayor shall be Chairperson of the Disaster Council during an emergency. The Mayor shall exercise such other powers and perform such other duties as may be prescribed by law or ordinance or by resolution of the Council, except as limited by this Charter. (Amended November 5,1996 - Measure "T".) SECTION 408. Mayor Pro Tempore i The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Council Member to Hold No Other Office. . No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Council Member shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Council Members. (Amended November 5,1996 - Measure "U".) Compensation for Mayor and Council Members shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Council Member expenses incurred for official business shall be reimbursed. (Amended June 3,1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board; or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the l: public. SECTION 503. Quorum. A majority of the Council Members shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral 7 motion duly made and passed. Ordinances shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5,1985 - Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: 'Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: "Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be bome wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. N Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5, 1985 - Measure "D".) SECTION 607. Repeal. No ordinance or section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3,1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies, as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. E SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. The City Administrative Officer shall be the administrative head of the government of the City. As such, the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government that the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Council Member or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations that need Council direction or policy determination. The Administrative Officer will insure that the Council, as a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Council Members. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. In SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Personnel Department. (Amended November 5,1996 - Measure "V".) SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall. be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADM NISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Administrative Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an 1% application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. 13 ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (Amended November 5, 1996 - Measure "X".) (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidders security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversized facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. 10 (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City.. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of one hundred dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the 15 Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5,1985 - Measure "E".) SECTION 909. Use of Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and.nni to allow additional development. (Added November 5, 1996 - Measure "P".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat; power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the 11P terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) or more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it is indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the tentorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of li eminent domain, and nothing herein contained shall. be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XI. PERSONNEL ADMMSTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, 1R the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations.governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6,1978 - Measure 'Y'.) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California that shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. SECTION 1106. Reserved for Future Use.. SECTION 1107. Impartial and Binding Arbitration For San Luis Obispo Police Officers Association and San Luis Obispo Firefighters Association, IAFF Local 3523, Employee Disputes. (A) Declaration of Policy. It is hereby declared to be the policy of the City of San Luis Obispo that strikes by firefighters and police officers are not in the public interest and should be prohibited, and that a method should be adopted for peacefully and equitably resolving disputes that might otherwise lead to such strikes. (B) Prohibition Against Strikes. No City of San Luis Obispo firefighter or police officers shall willfully engage in a strike against the City. Any such employee against whom the City brings charges of failing to report for work as part of a strike shall be subject to dismissal from his or her employment in the event the charges are sustained upon conclusion of the proceedings that are required by law for the imposition of disciplinary action upon said employee. W (C) Obligation to Negotiate in Good Faith. The City, through its .duly authorized representatives, shall negotiate in good faith with the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, as the exclusive representatives of representation units comprised solely of employees of the police department and/or the fire department, as such units are currently constituted or as they may be amended through negotiation or arbitration as provided in this section, on all matters relating to the wages, hours, and other terms and conditions of City employment. Unless and until agreement is reached through negotiations between authorized representatives of the City and said employee organization or organizations or a determination is made through the impartial arbitration procedure hereinafter provided,. no existing benefit, term or condition of employment -for employees represented by the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, shall be altered, eliminated or changed. (D) Impasse Resolution Procedures. (1) All disputes, controversies and grievances pertaining to wages, hours or terms and conditions of City employment which remain unresolved after good faith negotiations between the City and said employee organization shall be submitted to a three member Board of Arbitrators upon the declaration of an impasse by the City or by said employee organization. Upon declaration of impasse by either party, the City and employee organization shall each exchange a written last offer of settlement on each of the issues remaining in dispute. Written last offer of settlement shall be exchanged between parties within two days of the declaration of impasse. (2) Representatives designated by the City and representatives of the employee organization shall each select and appoint one arbitrator to the Board of Arbitrators within three (3) business days after either party has notified the other, in writing, of the declaration of impasse and the desire to proceed to arbitration. The third member of the Board of Arbitrators shall be selected by agreement between the City's and the employee's organization representative within ten (10) business days of the declaration of impasse. This third member shall serve as the neutral arbitrator and Chairperson of the Board. In the event that the City and the employee organization cannot agree upon the selection of the neutral arbitrator within ten (10) business days from the date that either party has notified the other that it has declared an impasse, either party may then request the State Mediation and Conciliation Service of the State of California Department of Industrial Relations to provide a list of seven (7) persons who are qualified and experienced as labor arbitrators. If the arbitrators selected by the City and the employee organization cannot agree within three (3) days after receipt of such list on one of the seven (7) to act as the third arbitrator, they shall have five (5) business days to alternately strike names, with the City's arbitrator striking first, from the list of nominees until one name remains and that person shall then become the neutral arbitrator and Chairperson of the Board of Arbitrators. (3) Any arbitration proceeding convened pursuant to this Article shall be conducted in conformance with, subject to, and governed by Title 9 of Part 3 of the California Code of Civil Procedure. The Board of Arbitrators shall hold public hearings, receive evidence from the parties and cause a transcript of the proceedings to be prepared. The Board of Arbitrators may adopt by unanimous consent such other procedures that are designed to encourage an agreement between the parties, expedite the arbitration hearing process, or reduce the costs of the arbitration process. (4) In the event no agreement is reached prior to the conclusion of the arbitration 20 hearings, the Board of Arbitrators shall direct each of the parties to submit, within such time limit as the Board of Arbitrators may establish, but not to exceed thirty (30) business days, a last offer of settlement on each of the remaining issues in dispute. The Board of Arbitrators shall decide each issue by majority vote by selecting whichever last offer of settlement on that issue it finds most nearly conforms to those factors traditionally taken into consideration in the determination of wages, hours, benefits and terms and conditions of public and private employment, including, but not limited to the following: changes in the average consumer price index for goods and services using the San Francisco -Oakland -San Jose index, as reported at the time impasse is declared for the preceding twelve (12) months, the wages, hours, benefits and terms and conditions of employment of employees performing similar services in comparable cities; and the financial condition of the City of San Luis Obispo and its ability to meet the costs of the decision of the Board of Arbitrators. (5) After reaching a decision, the Board of Arbitrators shall mail or otherwise deliver a true copy of its decision to the parties. The decision of the Board of Arbitrators shall not be publicly disclosed and shall not be binding until ten (10) days after it is delivered to the parties. During that ten (10) day period the parties shall meet privately, attempt to resolve their differences, and by mutual agreement amend or modify the decision of the Board of Arbitrators. At the conclusion of the ten (10) day period, which may be extended by mutual agreement between the parties, the decision of Board of Arbitrators, as it may be modified or amended by the parties, shall be publicly disclosed and shall be binding on the parties. The City and the employee organization shall take whatever action is necessary to cant' out and effectuate the arbitration award. No other actions by the City Council or by the electorate to conform or approve the decision of the Board of Arbitrators shall be permitted or required. (6) The expenses of any arbitration. proceeding convened pursuant to this Article, including the fee for the services of the chairperson of the Board of Arbitrators and the costs of preparation of the transcript of the proceedings shall be borne equally by the parties. The expenses of the arbitration, which the parties may incur individually, are to be borne by the party incurring such expenses. Such expenses include, but are not limited to, the expense of calling a party's witnesses, the costs incurred in gathering data and compiling reports, and any expenses incurred by the party's arbitrator. The parties may mutually agree to divide the costs in another manner.. (7) The proceedings described herein shall supercede the dispute resolution process for the San Luis Obispo Police Officers Association and the San Luis Obispo Firefighters Association which is set forth in Sections 13.2 and 14.1 of City of San Luis Obispo Resolution No. 6620, to the extent that such language is in conflict with this amendment. Furthermore, the proceedings described herein shall supercede any language within the Employer -Employee Resolution, the Personnel Rules and Regulations, any Memorandum of Agreement with the employee associations or any written policy or procedure relating to wages, hours or other terms and conditions of City employment, to the extent that such language is in conflict with this amendment. However, nothing in this section shall preclude the parties from mutually agreeing to use dispute resolution processes other than the binding arbitration process herein set forth. Nor, does it preclude the parties from negotiating, and submitting to the arbitration process set forth herein, a grievance process, which includes a form of binding arbitration that differs from the one, set forth herein. (Added November 7, 2000 - Measure "S".) 21 ARTICLE XII. BOARDS AND COMMISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 22 SECTION PAGE Administrative Officer, City Annual budget, providing for 802 12 Appointment of certain officers and department heads 701 9 Compensation 711 11 Council shall appoint 703 10 Councilmen, eligibility of 705 10 Oath of Office 710 11 Powers and duties 702 10 Relative ineligible to serve as City Officer 707 10 Public works performed by City 901(c) 14 Qualifications of 704 10 Annexation Development of Annexed Lands 908 16 Appointments City Officers; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 22 Attorney, City Appointment of and term of 701 9 Compensation of 711 11 Duties of 702 10 Oath of Office 710 11 Audit Annually by certified public accountant 810 13 Binding Arbitration 1107 19 Boards and Commissions Annual Report 1205 22 Appointment 1202 22 Authority 1201 22 Bylaws and procedures 1204 22 Eligibility 1202 22 Functional review 1206 22 Term, length of 1202 22 Vacancies 1203 22 Bond of Officers Council may determine 712 11 Boundaries Established City limits 102 1 Budget Adoption of 804 12 23 Hearing and notice 803 12 Providing for 802 12 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Property Sale and lease of 906 15 Clerk, City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of, filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Oath of Office 710 11 Collusion 902 14 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 14 Progress payments 905 15 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 .22 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, enumeration of 501 6 Duties, limitation of 508 7 24 Election at large 402 4 Emergency legislation 605 8 Franchises, granting 1001 16 Governing body of City 202 2 Holding certain other offices prohibited 508 7 Majority vote of, required for passage of ordinance, resolution, or motion 506 7 Mayor Pro Tempore (Vice Mayor) 408 5 Meetings Place of, public 502 6 Quorum, majority to constitute 503 7 Rules of procedures 504 7 Special may be called 502 6 Oath of Office 710 11 Oath, power to administer 507 7 Offices and departments, may provide for conduction, etc., of, or additional 702 10 Ordinances and resolutions, ayes and noes take on passage of 505 7 Powers generally of 501 6 Reimbursement for authorized travel and other expenses 410 6 Subpoena, power to compel attendance of witnesses 507 7 Terms, limitation of 405 4 Vacancies in, filling 406 5 Voting 505 7 County Council may consolidate function of City with 205 3 Demand Against City Filing, rejection, etc. 809 13 Department of Public Works May perform work normally contracted 901(c) 14 Departments Council may provide for operation, etc., of, or additional 204 3 Elections At large, Mayor and Council 402 4 Eligibility for office 403 4 General municipal, time to hold 302 3 Initiative, referendum and recall, State law to apply 304 4 Mayor and Council 402 4 Procedure for holding, State law to apply 301 3 Special municipal, defined 303 3 25 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired by franchise grant 1005 17 Enumeration 401 4 Equipment Purchase of 903 15 Firefighters Association Binding Arbitration 1107 19 Fiscal Administration Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year Defined 801 12 Form of Government of City 201 2 Franchises Duty of grantee 1006 18 Eminent Domain not impaired by granting 1005 17 Granting 1001 16 Notice 1002 16 Public hearing 1002 16 Term of 1003 17 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 12 Income from public utilities 806 13 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 5 Compensation of 410 6 Election of, at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of 408 5 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of, filling 406 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 13 Name of City 101 1 26 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 Oaths Council has power to administer 507 7 Offices and Employees Bond of, Council may determine amount of 712 11 Combining Offices 706 10 Compensation of, fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 10 Eligibility for office 403 4 Employee may become candidate for public office 1104 19 Employment policy 709 11 Enumeration of 401 4 Equal Opportunity Employer 708 11 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of of reassignment of 702 10 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation of, punishment 609 9 Organization of City Government 204 3 Personnel System Binding Arbitration 1107 19 Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 18 27 Police Officers Association Binding Arbitration 1107 19 Political Activities Employee shall not take active part in 1103 19 Powers of City 203 2 Procedures City may act pursuant to established 203 2 Public Utilities Income derived from, disposition of 806 13 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 14 Contract for, requirements 901 14 Contract, rejection of bid 901(c) 14 Contract, security required with bid 901(b) 14 Purchasing Equipment and supplies 903 15 Recall 304 4 Resolutions Ayes and nays taken by Council 601 7 Referendum 304 4 Retirement System Contract with State authorized 1105 19 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies Purchase of 903 15 Telephone Service exempted 907 16 Terms of Office Mayor and Councilmen 404 4 Treasurer, City Appointment of and term of. 701 9 Bond of, filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Treasurer, City (cont'd) Duties of officials 702 10 Monies drawn from, method and manner of 808 13 Oath of office 710 11 Vacancy in Elective Office Occurs when 406 .5 Water Reliability Reserve 909 16 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application............................................................... 1 ARTICLE II. Form and Powers of Municipality......................................................... 2 ARTICLE III. Municipal Elections.............................................................................. 3 ARTICLE IV. Elective Officials.................................................................................. 4 ARTICLE V. Council Powers and Procedures........................................................... 6 ARTICLE VI. Legislative Actions.............................................................................. 7 ARTICLE VII. Appointive Officials............................................................................ 9 ARTICLE VIII. Fiscal Administration.......................................................................... 12 ARTICLE IX. Public Works Contracts...................................................................... 14 ARTICLE X. Licenses and Franchises...................................................................... 16 ARTICLE XI. Personnel Administration.................................................................... 18 ARTICLE XII. Boards and Commissions.................................................................... 22 INDEX........................................................................................................... 23 ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal Corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall" is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council' when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter; at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated- The ituatedThe City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. (Amended November 5,1996- Measure "R".) ARTICLE H. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor - Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. SECTION 203. Powers of City. 2 The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE III. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. (Amended April 9, 1991 - Measure "C".) SECTION 303. Special Municipal Elections. 3 All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter.. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Council Members each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Council Members shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Council Member of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Council Members shall be four years. (B) Terns shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) (Deleted November 5,1996. Measure "S".) SECTION 405. Limitation of Terms. 4 Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5,1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Council Member's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused there from by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article M. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. (Amended November 5, 1996 - Measure "Q".) SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and Mayor shall be Chairperson of the Disaster Council during an emergency. The Mayor shall exercise such other powers and perform such other duties as may be prescribed by law or ordinance or by resolution of the Council, except as limited by this Charter. (Amended November 5,1996 - Measure "T".) SECTION 408. Mayor Pro Tempore 5 The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Council Member to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Council Member shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Council Members. (Amended November 5,1996 - Measure "U".) Compensation for Mayor and Council Members shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Council Member expenses incurred for official business shall be reimbursed. (Amended June 3,1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the 6 public. SECTION 503. Quorum A majority of the Council Members shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral FA motion duly made and passed Ordinances shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5,1985 - Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: 'Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. N Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5,1985 - Measure "D".) SECTION 607. Repeal, No ordinance or section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3,1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies, as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. E SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter; for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. The City Administrative Officer shall be the administrative head of the government of the City. As such, the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government that the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Council Member or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations that need Council direction or policy determination. The Administrative Officer will insure that the Council, as a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Council Members. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. fut SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Personnel Department. (Amended November 5,1996 - Measure "V".) SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADNIINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Administrative Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an 12 application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. 13 ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (Amended November 5,1996 - Measure "X".) (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversized facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. Yl (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of one hundred dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the 15 Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5,1985 - Measure "E".) SECTION 909. Use of Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and not to allow additional development. (Added November 5, 1996 - Measure "P".) ARTICLE X. LICENSES AND FRANCIIISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the 16 terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) or more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it is indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of 17 eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power,. increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to:. (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants; works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XI. PERSONNEL ADMINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, 19 the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6,1978 - Measure "F".) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California that shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. SECTION 1106. Reserved for Future Use. SECTION 1107. Impartial and Binding Arbitration For San Luis Obispo Police Officers Association and San Luis Obispo Firefighters Association, IAFF Local 3523, Employee Disputes. (A) Declaration of Policy. It is hereby declared to be the policy of the City of San Luis Obispo that strikes by firefighters and police officers are not in the public interest and should be prohibited, and that a method should be adopted for peacefully and equitably resolving disputes that might otherwise lead to such strikes. (B) Prohibition Against Strikes. No City of San Luis Obispo firefighter or police officers shall willfully engage in a strike against the City. Any such employee against whom the City brings charges of failing to report for work as part of a strike shall be subject to dismissal from his or her employment in the event the charges are sustained upon conclusion of the proceedings that are required by law for the imposition of disciplinary action upon said employee. V (C) Obligation to Negotiate in Good Faith. The City, through its duly authorized representatives, shall negotiate in good faith with the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, as the exclusive representatives of representation units comprised solely of employees of the police department and/or the fire department, as such units are currently constituted or as they may be amended through negotiation or arbitration as provided in this section, on all matters relating to the wages, hours, and other terms and conditions of City employment. Unless and until agreement is reached through negotiations between authorized representatives of the City and said employee organization or organizations or a determination is made through the impartial arbitration procedure hereinafter provided, no existing benefit, term or condition of employment. for employees represented by the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, shall be altered, eliminated or changed. (D) Impasse Resolution Procedures. (1) All disputes, controversies and grievances pertaining to wages, hours or terms and conditions of City employment which remain unresolved after good faith negotiations between the City and said employee organization shall be submitted to a three member Board of Arbitrators upon the declaration of an impasse by the City or by said. employee organization. Upon declaration of impasse by either party, the City and employee organization shall each exchange a written last offer of settlement on each of the issues remaining in dispute. Written last offer of settlement shall be exchanged between parties within two days of the declaration of impasse. (2) Representatives designated by the City and representatives of the employee organization shall each select and appoint one arbitrator to the Board of Arbitrators within three (3) business days after either party has notified the other, in writing, of the declaration of impasse and the desire to proceed to arbitration. The third member of the Board of Arbitrators shall be selected by agreement between the City's and the employee's organization representative within ten (10) business days of the declaration of impasse. This third member shall serve as the neutral arbitrator and Chairperson of the Board. In the event that the City and the employee organization cannot agree upon the selection of the neutral arbitrator within ten (10) business days from the date that either party has notified the other that it has declared an impasse, either party may then request the State Mediation and Conciliation Service of the State of California Department of Industrial Relations to provide a list of seven (7) persons who are qualified and experienced as labor arbitrators. If the arbitrators selected by the City and the employee organization cannot agree within three (3) days after receipt of such list on one of the seven (7) to act as the third arbitrator, they shall have five (5) business days to alternately strike names, with the City's arbitrator striking first, from the list of nominees until one name remains and that person shall then become the neutral arbitrator and Chairperson of the Board of Arbitrators. (3) Any arbitration proceeding convened pursuant to this Article shall be conducted in conformance with, subject to, and governed by Title 9 of Part 3 of the California Code of Civil Procedure. The Board of Arbitrators shall hold public hearings, receive evidence from the parties and cause a transcript of the proceedings to be prepared. The Board of Arbitrators may adopt by unanimous consent such other procedures that are designed to encourage an agreement between the parties, expedite the arbitration hearing process, or reduce the costs of the arbitration process. (4) In the event no agreement is reached prior to the conclusion of the arbitration 20 hearings, the Board of Arbitrators shall direct each of the parties to submit, within such time limit as the Board of Arbitrators may establish, but not to exceed thirty (30) business days, a last offer of settlement on each of the remaining issues in dispute. The Board of Arbitrators shall decide each issue by majority vote by selecting whichever last offer of settlement on that issue it finds most nearly conforms to those factors traditionally taken into consideration in the determination of wages, hours, benefits and terms and conditions of public and private employment, including, but not limited to the following: changes in the average consumer price index for goods and services using the San Francisco -Oakland -San Jose index, as reported at the time impasse is declared for the preceding twelve (12) months, the wages, hours, benefits and terms and conditions of employment of employees performing similar services in comparable cities; and the financial condition of the City of San Luis Obispo and its ability to meet the costs of the decision of the Board of Arbitrators. (5) After reaching a decision, the Board of Arbitrators shall mail or otherwise deliver a true copy of its decision to the parties. The decision of the Board of Arbitrators shall not be publicly disclosed and shall not be binding until ten (10) days after it is delivered to the parties. During that ten (10) day period the parties shall meet privately, attempt to resolve their differences, and by mutual agreement amend or modify the decision of the Board of Arbitrators. At the conclusion of the ten (10) day period, which may be extended by mutual agreement between the parties, the decision of Board of Arbitrators, as it may be modified or amended by the parties, shall be publicly disclosed and shall be binding on the parties. The City and the employee organization shall take whatever action is necessary to cant' out and effectuate the arbitration award. No other actions by the City Council or by the electorate to conform or approve the decision of the Board of Arbitrators shall be permitted or required. (6) The expenses of any arbitration proceeding convened pursuant to this Article, including the fee for the services of the chairperson of the Board of Arbitrators and the costs of preparation of the transcript of the proceedings shall be borne equally by the parties. The expenses of the arbitration, which the parties may incur individually, are to be borne by the party incurring such expenses. Such expenses include, but are not limited to, the expense of calling a party's witnesses, the costs incurred in gathering data and compiling reports, and any expenses incurred by the party's arbitrator. The parties may mutually agree to divide the costs in another manner. (7) The proceedings described herein shall supercede the dispute resolution process for the San Luis Obispo Police Officers Association and the San Luis Obispo Firefighters Association which is set forth in Sections 13.2 and 14.1 of City of San Luis Obispo Resolution No. 6620, to the extent that such language is in conflict with this amendment. Furthermore, the proceedings described herein shall supercede any language within the Employer -Employee Resolution, the Personnel Rules and Regulations, any Memorandum of Agreement with the employee associations or any written policy or procedure relating to wages, hours or other terms and conditions of City employment, to the extent that such language is in conflict with this amendment. However, nothing in this section shall preclude the parties from mutually agreeing to use dispute resolution processes other than the binding arbitration process herein set forth. Nor, does it preclude the parties from negotiating, and submitting to the arbitration process set forth herein, a grievance process, which includes a form of binding arbitration that differs from the one, set forth herein. (Added November 7, 2000 - Measure "S".) 21 ARTICLE XII. BOARDS AND CONMMSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 22 SECTION PAGE Administrative Officer, City Annual budget, providing for 802 12 Appointment of certain officers and department heads 701 9 Compensation 711 11 Council shall appoint 703 10 Councilmen, eligibility of 705 10 Oath of Office 710 11 Powers and duties 702 10 Relative ineligible to serve as City Officer 707 10 Public works performed by City 901(c) 14 Qualifications of 704 10 Annexation Development of Annexed Lands 908 16 Appointments City Officers; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 22 Attorney, City Appointment of and term of 701 9 Compensation of 711 11 Duties of 702 10 Oath of Office 710 11 Audit Annually by certified public accountant 810 13 Binding Arbitration 1107 19 Boards and Commissions Annual Report 1205 22 Appointment 1202 22 Authority 1201 22 Bylaws and procedures 1204 22 Eligibility 1202 22 Functional review 1206 22 Tenn, length of 1202 22 Vacancies 1203 22 Bond of Officers Council may determine 712 11 Boundaries Established City limits 102 1 Budget Adoption of 804 12 23 Hearing and notice 803 12 Providing for 802 12 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Property Sale and lease of 906 15 Clerk, City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of, filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Oath of Office 710 11 Collusion 902 14 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 14 Progress payments 905 15 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer, term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 22 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, enumeration of 501 6 Duties, limitation of 508 7 24 Election at large 402 Emergency legislation 605 Franchises, granting 1001 Governing body of City 202 Holding certain other offices prohibited 508 Majority vote of, required for passage of ordinance, resolution, or motion 506 Mayor Pro Tempore (Vice Mayor) 408 Meetings Place of, public 502 Quorum, majority to constitute 503 Rules of procedures 504 Special may be called 502 Oath of Office 710 Oath, power to administer 507 Offices and departments, may provide for conduction, etc., of, or additional 702 Ordinances and resolutions, ayes and noes take on passage of 505 Powers generally of 501 Reimbursement for authorized travel and other expenses 410 Subpoena, power to compel attendance of witnesses 507 Terms, limitation of 405 Vacancies in, filling 406 Voting 505 County Council may consolidate function of City with 205 Demand Against City Filing, rejection, etc. 809 Department of Public Works May perform work normally contracted 901(c) Departments Council may provide for operation, etc., of, or additional 204 Elections At large, Mayor and Council 402 Eligibility for office 403 General municipal, time to hold 302 Initiative, referendum and recall, State law to apply 304 Mayor and Council 402 Procedure for holding, State law to apply 301 Special municipal, defined 303 25 4 8 16 2 7 7 5 6 7 7 6 11 7 10 7 6 6 7 4 5 7 3 13 14 3 4 4 3 4 4 3 3 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired by franchise grant 1005 17 Enumeration 401 4 Equipment Purchase of 903 15 Firefighters Association Binding Arbitration 1107 19 Fiscal Administration Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year 801 12 Defined Form of Government of City 201 2 Franchises 1006 18 Duty of grantee Eminent Domain not impaired by granting 1005 17 Granting 1001 16 Notice 1002 16 Public hearing 1002 16 Term of 1003 17 General Laws 104 Applicable to City Governing body 202 ) Grants and subsidies 805 12 Income from public utilities 806 13 Initiative Ordinance 304 4 Enacting clause Mayor Absence or disability, selection of Mayor Pro Tempore 408 5 Compensation of 410 6 Election of, at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of `108 5 Reimbursement for authorized travel and other expenses 410 Vacancy in office of, filling 406 5 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 13 Name of City 101 1 26 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 Oaths Council has power to administer 507 7 Offices and Employees Bond of, Council may determine amount of 712 11 Combining Offices 706 10 Compensation of, fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 10 Eligibility for office 403 4 Employee may become candidate for public office 1.104 19 Employment policy 709 11 Enumeration of 401 4 Equal Opportunity Employer 708 11 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 10 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation of, punishment 609 9 Organization of City Government 204 3 Personnel System Binding Arbitration 1107 19 Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 18 27 Police Officers Association Binding Arbitration 1107 19 Political Activities Employee shall not take active part in 1103 19 Powers of City 203 2 Procedures City may act pursuant to established 203 2 Public Utilities Income derived from, disposition of 806 13 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 14 Contract for, requirements 901 14 Contract, rejection of bid 901(c) 14 Contract, security required with bid 901(b) 14 Purchasing Equipment and supplies 903 15 Recall 304 4 Resolutions Ayes and nays taken by Council 601 7 Referendum 304 4 Retirement System Contract with State authorized 1105 19 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies 903 15 Purchase of Telephone Service exempted 907 16 Terms of Office 404 4 Mayor and Councilmen Treasurer, City 701 9 Appointment of and term of. Bond of, filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Treasurer, City (cont'd) Duties of officials 702 10 Monies drawn from, method and manner of 808 13 Oath of office 710 11 Vacancy in Elective Office 5 Occurs when 406 Water Reliability Reserve 909 16 9J TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application .............................................. 1 ARTICLE H. Form and Powers of Municipality ......................................... 2 ARTICLE III. Municipal Elections.......................................................... 3 ARTICLE IV. Elective Officials............................................................. 4 ARTICLE V. Council Powers and Procedures ........................................... 6 ARTICLE VI. Legislative Actions........................................................... 7 ARTICLE VII. Appointive Officials.......................................................... 9 ARTICLE VII. Fiscal Administration........................................................ 12 ARTICLE IX. Public Works Contracts..................................................... 14 ARTICLE X. Licenses and Franchises..................................................... 16 ARTICLE XI. Personnel Administration................................................... 18 ARTICLE XII. Boards and Commissions.................................................... 19 HgDEx.................................................................................. 21 ARTICLE L INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the fimrre, the present. The singular number includes the plural, and the plural, the singular. "Shall" is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council' when used in this Charter means the Council of the City of San Luis Obispo. 1 SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a tam not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. (Amended November 5,1996 - Measure "R".) ARTICLE II. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government The municipal government provided by this Charter shall be known as the "Council -Mayor - Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. 2 SECTION 203. Powers of City. The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE M. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year.. (Amended April 9,1991- Measure "C".) 3 .SECTION 303. Special Municipal Elections. All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Councilmembers each of whom, mcludmg the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large - The Councilmembers shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Coumcilmember of said City unless said person is and shall have been a resident thereof; or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Councilmembers shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) (Deleted November 5,1996 - Measure "S".) SECTION 405. Limitation of Terms. Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5,1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Councilmember's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused therefrom by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until .the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article M. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. (Amended November 5,1996 -Measure "Q".) SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and Mayor shall shall be Chairperson ofthe Disaster Council during an emergency. The Mayor shall exercise such other powers and perform such other duties as may be prescribed by law or ordinance or by resolution of the Council, except as limited by this Charter. (Amended November 5,1996 - Measure"T".) 5 SECTION 408. Mayor Pro Tempore The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SEC'T'ION 409. Councilmember to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof; until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Councilmember shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Councilmembers. (Amended November 5, 1996 - Measure "U".) Compensation for Mayor and Councilmembers shall be reviewed biennially in even -numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Councilmember expenses incurred for official business shall be reimbursed. (Amended June 3,1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive o1; or a limitation o1; the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by.ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the public. SECTION 503. Quorum. A majority of the Councilmembers shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself; or of agencies representing other levels of government. ARTICLE VL LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resohrtion, or oral motion duly made and passed. Ordinances shall become apart of the Municipal Code and so remain until amended or voided. 7 All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a fWl subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in Geu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5, 1985 - Measure "D".) SECTION 603. Enactment The enacting clause of every ordinance passed by the Council shall be: 'Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: 'Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be bome wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. 8 SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5,1985 -Measure "D".) SECTION 607. Repeal. No ordinance nor section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time oftheir'adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3, 1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. 0 SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. . The City Administrative Officer shall be the administrative head of the government of the City. As such, the City Administrative Officer shall be responsible to the Council .for the efficient implementation of its policy and effective administration of all the affairs of the City government which the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Councilmember or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations which need Council direction or policy determination. The Administrative Officer will insure that the Council, as. a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Councilmembers. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shad not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. 10 SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Personnel Department. (Amended November 5, 1996 - Measure "V".) SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clem except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. 11 ARTICLE VIII. FISCAL ADNIINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget, On such date in each year as shall be fixed by the Council, the City Administrative Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount -required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. 12 Such funds shall be allotted only after a public hearing on consideration of an application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining,improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments,- and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. 13 ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Pubfic Works To Be Done By Contract (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (Amended November 5,1996 - Measure "X".) (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fiend. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed betteror more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversided facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof who shall willfully aid or assist a bidder in secuing a contradto fiunish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfiilly mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City; shall be deemed guilty of malfeasance and shall be removed from office. 14 (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any fiords paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willfW abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety perccot (901/6) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of one hundred dollars ($100.00) nor any lease of personal property for a penod exceeding three (3) years shall be authorized by the Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. 15 SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5, 1985 - Measure "E".) SECTION 909. Use of Water Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes in water supply status such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and not to allow additional development (Added November 5, 1996 - Measure "P".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to famish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refiigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the teras and conditions upon which it is proposed to be granted. Such resolution shall fix and serforth.the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) nor more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it be indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in fiill force and effect until the same, with the consent of the Public utilities Commission of the State of California, shall be vohmtarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in.lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section wasted prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, 17 no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall finther agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment.- (B) quipment;(B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise, (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XL PERSONNEL ADNIINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. 18 SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6,1978 - Measure' F".) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California which shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. ARTICLE VIII. BOARDS AND CON NUSSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" Crum Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202- Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. 19 SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. . Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 20 i.I J1 Administrative Officer, City SECTION PAGE Annual budget, providing for 802 12 Appointment of certain officers and department heads 701 9 Compensation 711 11 Council shall appoint 703 10 Councilmen, eligibility of 705 10 Oath of Office 710 11 Powers and duties 702 10 Relative ineligible to serve as City Officer 707 10 Public works performed by City 901(c) 14 Qualifications of 704 10 Annexation Development of Annexed Lands 908 16 Appointments City Officers; tern and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 19 Attorney, City Appointment of and term of 701 9 Compensation of 711 11 Duties of 702 10 Oath of Office 710 11 Audit Annually by certified public accountant 810 13 Boards and Commissions Annual Report 1205 20 Appointment 1202 19 Authority 1201 19 Bylaws and procedures 1204 20 Eligibility 1202 19 Functional review 1206 20 Term, length of 1202 20 Vacancies 1203 20 Bond of Officers Council may determine 712 11 Boundaries Established City limits 102 1 Budget Adoption of 804 12 Hearing and notice 803 12 Providing for 802 12 21 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of penalty 109 2 City Property Sale and lease of 906 15 Clalkl City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Oath of Office 710 11 Collusion 902 14 Commissions, Boards and (See Boards and Commissions) Consolidation of fimetions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 14 Progress payments 905 15 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer, term and removal 701 9 Relatives of City Officials and 'employees prohibited 707 10 Boards and Commissions 1202 19 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, enumeration of 501 6 Duties, limitation of 508 7 Election at large 402 4 Emergency legislation 605 8 22 Council (cont'd) Franchises, granting 1001 16 Governing body of City 202 2 Holding certain other offices prohibited 508 7 Majority vote of required for passage of ordinance, resohrtion, or motion 506 7 Mayor Pro Tempore (Vice Mayor) Meetings 408 6 Place of public 502 6 Quorum, majority to constitute 503 7 Rules of procedures 504 7 Special may be called 502 6 Oath of Office 710 11 Oath, power to administer 507 7 Offices and departments, may provide for conduction, etc., of or additional 702 10 Ordinances and resohmons, ayes and noes take on passage of 505 7 Powers generally of 501 6 Reimbursemen0br authorized travel and other expenses 410 6 Subpoena, power to compel attendance of witnesses 507 7 Terms, limitation of 405 5 Vacancies in, filling 406 5 Voting 505 7 County Council may consolidate fimction of City with 205 3 Demand Against City Filing, refection, etc. 809 13 Department of Public Works May perform work normally contracted 901(c) 14 Departments Council may provide for operation, etc., of or additional 204 3 Elections At large, Mayor and Council 402 4 Eligibility for office 403 4 General municipal, time to hold 302 3 Initiative, referendum and recall, State law to apply 304 4 Mayor and Council 402 4 Procedure for holding, State law to apply 301 3 Special municipal, defined 303 4 23 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired by franchise grant 1005 17 Enumeration 401 4 Equipment Purchase of 903 15 Fiscal Administration Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year Defined 801 12 Form of Government of City 201 2 Franchises Duty of grantee 1006 18 Eminent Domain not impaired by granting 1005 17 Granting 1001 16 Notice 1002 16 Public hearing 1002 16 Term of 1003 17 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 12 Income from public utilities 806 13 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 6 Compensation of 410 6 Election of at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of 408 6 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of filling 406 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 13 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 24 Oaths Council has power to administer 507 7 Offices and Employees Bond of Council may determine amount of 712 11 Combining Offices 706 10 Compensation of; fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 10 Eligibility for office 403 4 Employee may become candidate for public office 1104 19 Employment policy 709 11 Enumeration of 401 4 Equal Opportunity Employer 708 11 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 10 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation ot; punishment 609 9 Organization of City Government 204 3 Personnel System Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 18 25 Political Activities Employee shall not take active part in 1103 19 Powers of City 203 3 Procedures City may act pursuant to established 203 3 Public Utilities Income derived from, disposition of 806 13 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 14 Contract. for, requirements 901 14 Contract, rejection ofbid 901(c) 14 Contract, security required with bid 901(b) 14 Purchasing Equipment and supplies 903 15 Recall 304 4 Resolutions Ayes and noes taken by Council 601 7 Referendum 304 4 Retirement System Contract with State authorized 1105 19 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies Purchase of 903 15 Telephone Service exempted 907 16 Terms of Office Mayor and Councilmen 404 4 Treasurer, City Appointment of and term of 701 9 Bond ot filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Monies drawn from, method and manner of 808 13 Oath of office 710 11 Vacancy in Elective Office Occurs when 406 5 Water Reliabiity Reserve 909 16 26 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application .............................................. 1 ARTICLE II. Form and Powers of Municipality ......................................... 2 ARTICLE III. Municipal Elections.......................................................... 3 ARTICLE IV. Elective Officials............................................................. 4 ARTICLE V. Council Powers and Procedures ........................................... 6 ARTICLE VI. Legislative Actions........................................................... 7 ARTICLE VII. Appointive Officials.......................................................... 9 ARTICLE VII. Fiscal Administration........................................................ 12 ARTICLE IX. Public Works Contracts..................................................... 14 ARTICLE X. Licenses and Franchises..................................................... 16 ARTICLE XI. Personnel Administration.................................................... 18 ARTICLE XII. Boards and Commissions.................................................... 19 INDEX.................................................................................. 21 ARTICLE L INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464_of the Governor Code. — ,t e � 14 SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the phural, and the plural, the singular. :'Shall' is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council' when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the Countyjail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. (Amended November 5, 1996 - Measure "R".) ARTICLE IL FORM AND POWERS OF 1VRMCIPALPTY SECTION 201. Form of Government The municipal government provided by this Charter shall be known as the "Council -Mayor - Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. 0) SECTION 203. Powers of City. The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE III. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. (Amended April 9,1991- Measure "C".) 3 SECTION 303. Special Municipal Elections. All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be !mown as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Flections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Flections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Councilmembers each of whom, including the Mayor, shall have the right to vote on all questions coming before the council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Councilmembers shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Councilmember of said City unless said person is and shall have been a resident thereof; or of territory legally annexed thereto, on of prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Councilmembers shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) (Deleted November 5,1996 - Measure "S".) 4 SECTION 405. Limitation of Terms. Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the fall term for that office, shall not be considered. (Amended November 5,1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Councilmember's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused therefrom by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. (Amended November 5,1996 - Measure "Q".) SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and Mayor shall shall be Chairperson of the Disaster Council during an emergency. The Mayor shall exercise such other powers and perform such other duties as may be Prescribed by law or ordinance or by resolution of the Council, except as limited by this Charted (Amended November 5,1996 - Measure,,r,.) E SECTION 408. Mayor Pro Tempore The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Councilmember to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Councilmember shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Councilmembers. (Amended November 5,1996 - Measure "U".) Compensation for Mayor and Councilmembers shall be reviewed biennially in even -numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1 st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Councilmember expenses incurred for official business shall be reimbursed. (Amended June 3,1986 - Measure "Cr'.) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of or a limitation of the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by.ordmmce for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the public. G SECTION 503. Quorum. A majority of the Councilmembers shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State.. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of govemment. ARTICLE VL LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral motion duly made and passed. Ordinances shall become a part of the Municipal Code and so remain until amended or voided. 7 All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in fiill in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public.. (Amended November 5,1985 - Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: 'Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: 'Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage; unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be home wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. 8 SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5, 1985 - Measure "D".) SECTION 607. Repeal No ordinance nor section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to Prosecute any misdemeanor as an infraction. Both misdemeanors and infiactions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3, 1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. N SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. . The City Administrative Officer shall be the administrative head of the goverment of the City. As such, the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government which the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Councilmember or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations which need Council direction or policy determination. The Administrative Officer will insure that the Council, as , a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on'the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment; but during tenure in office shall reside within the City. SECTION 705. Eligibility of Councilmembers. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City goverment, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. 10 SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a. municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be Sled with the Personnel Department. (Amended November 5, 1996 - Measure "V".) SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all flees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. 11 ARTICLE VIM FISCAL ADMINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget On such date in each year as shall be fixed by the Council, the City Administrative Officer shall send to the Council a carefiil estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the neat ensuing year. The City Admiaistcative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be beard shall be given such opportunity• SECTION 804. Adoption of the Budget After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. 12 Such funds shall be allotted only after a public hearing on consideration of an application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof; until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handler or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California Restricted and special assessment district fiords shall be segregated in the audit report. 13 ARTICLE DL PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided m subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (Amended November 5,1996 - Measure "X".) (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage m such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then m an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount. thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversided facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall wilmilly aid or assist a bidder in securing a contract to fiunish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. 14 (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willfW abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract. shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following ons shall be acable to City -owned props" : No sale or lease of real property nor any sale � nal property Naof value in excess of one hundred dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. 15 SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council (Amended November 5,1985 - Measure "E".) SECTION 909. Use of Water Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from firture water shortages. Once the City has acquired. a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes in water supply status such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield; and not to allow additional development. (Added November 5, 1996 - Measure "P".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to fimmsh the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, rdngeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the 16 City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) nor more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term.for which it is granted, which, unless it be indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duty authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004.. Grant to be in Lieu of AD Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such fianchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any fianchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional Provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No $aachise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the Chys right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, 17 no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill; going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with as lawful ordinances; rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property -made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and -its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (17 Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XL PERSONNEL ADMMSTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. 18 SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6,1978 - Measure "F".) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any fill -time employee from seeldng election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California which shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. ARTICLE XM BOARDS AND COMIVIISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and em employees of the City, shall be eligible for appointment, and shall be selected and appoint any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years.. Committee members may be reappointed to serve additional teams. 19 SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes ofthe Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. FA SECTION PAGE Administrative Officer, City Annual budget, providing for 802 12 Appointment of certain officers and department heads 701 9 Compensation . 711 11 Council shall appoint 703 10 Councilmen, eligibility of 705 10 Oath of Office 710 11 Powers and duties 702 10 Relative ineligible to serve as City Officer 707 10 Public works performed by City 901(c) 14 Qualifications of 704 10 Annexation Development of Annexed Lands 908 16 Appointments City Officers; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 19 Attorney, City Appointment of and term of 701 9 Compensation of 711 11 Duties of 702 10 Oath of Office 710 11 Audit Annually by certified public accountant 810 13 Boards and Commissions Annual Report 1205 20 Appointment 1202 19 Authority 1201 19 Bylaws and procedures 1204 20 Eligibility 1202 19 Functional review 1206 20 Term, length of 1202 20 Vacancies 1203 20 Bond of Officers Council may determine 712 11 Boundaries Established City limits 102 1 Budget Adoption of 804 12 Hearing and notice 803 12 Providing for 802 12 21 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of penalty 109 2 City Property Sale and lease of 906 15 Clerk, City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Oath of Office 710 11 Collusion 902 14 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 14 Progress payments 905 15 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer, term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 19 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, mon of 501 6 Duties, limitation of 508 7 Election at large 402 4 Emergency legislation 605 8 22 Council (cont'd) Franchises, granting Governing body of City Holding certain other offices prohibited Majority vote of, required for passage of ordinance, resolution, or motion Mayor Pro Tempore (Vice Mayor) Meetings Place of, public Quorum, majority to constitute Rules of procedures Special may be called Oath of Office Oath, power to administer Offices and departments, may provide for conduction, etc., of or additional Ordinances and resolutions, ayes and noes take on passage of Powers generally of Reimbiusement'for authorized travel and other expenses Subpoena, power to compel attendance of witnesses Terms, limitation of Vacancies in, filling Voting County Council may consolidate function of City with Demand Against City Filing, rejection, etc. Department of Public Works May perform work normally contracted Departments Council may provide for operation, etc., of or additional Elections At large, Mayor and Council Eligibility for office General municipal, time to hold Initiative, referendum and recall, State law to apply Mayor and Council Procedure for holding, State law to apply Special municipal, defined . 23 1001 16 202 2 508 7 506 7 408 6 502 6 503 7 504 7 502 6 710 11 507 7 702 10 505 7 501 6 410 6 507 7 405 5 406 5 505 7 205 3 809 13 901(c) 14 204 3 402 4 403 4 302 3 304 4 402 4 301 3 303 4 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired byfranchise grant 1005 17 Enumeration 401 4 Equipment Purchase of 903 15 Fiscal Administration Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year Defined 801 12 Form of Government of City 201 2 Franchises Duty of grantee 1006 18 Eminent Domain not impaired by granting 1005 17 Granting 1001 16 Notice 1002 16 Public hearing 1002 16 Term of 1003 17 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 12 Income from public utilities 806 13 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 6 Compensation of 410 6 Election of at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of 408 6 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of filling 406 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 13 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 24 Oaths Council has power to administer 507 7 Offices and Employees Bond of Council may determine amount of 712 11 Combining Offices 706 10 Compensation of fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 10 Eligibility for office 403 4 Employee may become candidate for public office 1104 19 Employment policy 709 11 Emun ation of 401 4 Equal Opportunity Employer 708 11 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of oryeassignment of 702 10 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation of punishment 609 9 Organbation of City Government 204 3 Personnel System Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 18 25 Political Activities Employee shall not take active part m 1103 19 Powers of City 203 3 Procedures City may act pursuant to established 203 3 Public Utilities Income derived from, disposition of 806 13 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 14 Contract for, requirements 901 14 Contract, rejection of bid 901(c) 14 Contract, security required with bid 901(b) 14 Purchasing Equipment and supplies 903 15 Recall 304 4 Resolutions Ayes and noes taken by Council 601 7 Referendum 304 4 Retirement System Contract with State authorized 1105 19 State Council may consolidate fimction of City with 205 3 Subpoenas Council has power to compel attendance ofwitnesses 507 7 Supplies Purchase of 903 15 Telephone Service exempted 907 16 Terms of Office Mayor and Councilmen 404 4 Treasurer, City Appointment of and term of 701 9 Bond 4 filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Monies drawn from, method and maturer of 808 13 Oath of office 710 11 Vacancy in Elective Office Occurs when 406 5 Water Reliabiity Reserve 909 16 26 May 12, 2011 Ms. Melodi Andersen, Archivist California State Archives 1020 O Street Sacramento, CA 95814 Dear Ms. Andersen: On behalf of the entire City of San Luis Obispo, let me extend our gratitude to you for your help in locating the original 1911 Charter for our City during my visit to your office in late April. This document, along with the others that you photocopied for us, provide an important reference source for our community. Our volunteer City archivist, Joe Carotenuti, was very gratified to know that we finally have a copy in our Clerk's office for safekeeping. For some reason, no other copy of the original Charter had been found until my visit to see you last month. As it turns out, our City Clerk determined that we're only a few days away from the actual centennial of the seating of the first Council under that Charter. According to her records, that event occurred on May 15, 1911. We are fortunate to have in our City a number of historic buildings that originated in the early 20`h century and even earlier — including, of course, our 1772 Mission. If you are able to visit San Luis Obispo within the near future, please take the time to visit City Hall, and say hello to me, to our Clerk Elaina Cano, and any of the staff or Council members who might be here. We would be very happy to host you and give you a "key to the city." Again, thank you for your assistance in locating our original Charter. Sincerely, John B. Ashbaugh Vice -Mayor pc: Elaina Cano, City Clerk 18- SENATE JOURNAL. [Jan. 16, 1911 Also: Senate Bill No. 366 --An Act to appropriate money to be expended in the erection and equipment of a dairy barn on the grounds of the Whittier State School. Bill read first time, and referred to Committee on Prisons and Re- formatories. Also: Senate Bill No. 366—An Act appropriating money to be expended in the erection and equipment of a hospital building on the grounds of the Whittier State School. Bill read first time, and referred to Committee on Prisons and Re- formatories. Aho: Senate Bill 'No. 367—An Act appropriating money for the purpose of building one cottage for the Whittier State School. Bill read first time, and referred to Committee on Prisons and Re- formatories. Also: Senate Bill No. 368—An Act appropriating money for repairs on the main building of the Whittier State School. Bill read first time, and referred to Committee on Prisons and Re- formatories. Also: Senate Bill No. 369—An Act to appropriate money to be expended in the purchase of furniture for one cottage of the Whittier State School. Bill read first time, and referred to Committee on Prisons and Re- formatories. Also: Senate Bill No. 370—An Act appropriating money for the pur- chase of tools and machinery for the trades of the Whittier State School. Bill read first time, and referred to Committee on Prisons and Re- formatories. Also: Senate Bill No. 371—An Act to appropriate money for a new electric light plant for the Whittier State School. Bill read first time. and referred to Committee on PriQons and Re- formatories. CONSIDERATION OF DAILY FILE—THIRD READING OF SENATE BILLS. SENATE t_10NCC RRENT RESOI.CTIO-N No.. 4. Approving the charter of the city of San Luis Obispo, in the county of San Luis Obispo, State of California, which was voted for and ratified by the qualified electors of said city at a special municipal election held therein for that purpose on the 12th day of September, 1910. WHEREAS the city of San Luis Obispo, in the county of San Luis Obispo. State of California is now and at all the times herein referred to was a city containing u population of more than 3.500 and less than 10.000 inhabitants, and i ♦ HERE" at an election held in said city on the 11th day of April, 1910, in accordance with law and the provisions of Section 8 of Article 11 of the Constitu- tion of the State of California, a board of fifteen (15) freeholders, duly qualified was duly elected in and by said city and by the qualified electors thereof to pre- pare and propose a charter for said city which said board of fifteen (15) free- holders did, within ninety (90) days nett after such election, prepare and propose a charter for said city, which said charter was on the 8th day of July, 1910, signed in duplicate by a majority of the members of said board of fifteen (15) freeholders and was on the 9th day of July, 1910 returned, one (1) coy thereof to the president of the board of trustees of said city (he being the chief executive officer of said city) and the other copy thereof to the county recorder of the county of San Luis Obispo (within which said city is situated) and filed the same with said county recorder, and WnEREAS such proposed charter was therenfter published in the "Morning Tribune," a daily newspaper printed and published, and of general circulation in said city of San Luis Obispo and the said charter being published as aforesaid for a period of more than twenty (20) days, the first publication thereof being Digitized bq GOo,�Ic Jan. 16, 1911 ] SENATE JOURNAL. 185 wade within twenty (20) days after the completion of said proposed charter, and WnEnAs said charter was within thirty (30) days after the completion of said publication submitted by the board of trustees of the city of Ban Luis Obispo to the qualified electors of said city at a special election previously, duly, and regularly called and thereafter held in said city on the 12th day of September, 1910, and WHeaEss at said last mentioned special election a majority of snid qualified electors of the city of San Luis Obispo, voting at said special election voted in favor of 'the ratification of said charter as proposed as a whole and voted to reject the alternative proposition submitted at said election, which alternative proposition was not chosen by the majority of the qualified electors voting at said election. and WnEWAs the board of trustees after canvassing said returns of said special election dale found, determined, and declared that the majority of said qualified electors voting at said special election had voted for ratifying said charter as a whole as above specified, and WnERF.As the same is now submitted to the legislature of the State of California for its approval or rejection as a whole, without power of alteration or amendment in accordance with the provisions of Section 8 of Article 11 of the Constitution of the State of California, and WHESEas said charter was ratified in the words and figures following, to wit: CHARTER of THE CITY OF SAN LUIS OBISPO PREPARED AND PROPOSED BY THE BOARD OF FBEmotzEas ELECTED APRIL 11, 1910, IN PURSUANCE OF THE PBO- TISIONS OF SECTION 8, ARTICLE --XI Ol' THE CONSTITUTION OF THE STATE OF CALIFORNIA. Article I. Article II. Article III. Article IV. Article V. Article VI. Article VII. Article VIII. Article IX. Article X. Article XI. Article XII. Article XIII. Article XIV. Article XV. Article XVI. Article XVII. rights of the city. utive and administrative departments. council. yrs of the city and of the council. Finance and taxation. Public works and supplies. Elections. Recall of elective officers. The initiative. The referendum. The public schools Franchises. Miscellaneous. ARTICLE I. NAME AND RIGHTS OF THE CITY. SECTION 1. Narae of t'ity. The municipal corporation now existdug and known as the city of San Luis Obispo shall remain and continue a body politic and corporate in name and in fact, by the name of the city of San Lnis Obispo, and by such name shall have perpetual succession. SEC. 2. Rights and Liabilities. The city of San Luis Obispo shall remain vested with and continue to have, hold and enjoy all property, rights of property and rights of action of every nature and description now pertaining to this municipality, and is hereby declared to be the successor of the same. It shall be subject to all the liabilities that now exist against this municipality. ARTICLE II. BOUNDARIES. SEC. 3. Boundaries. The boundaries of the city of San Luis Obispo shall be as follows: Commencing at a stone 3F" x 14" x 10" on the south boundary po_f township 30 south range 12 east. M. D. Al. 20 chains east of corner to sectinns Imo, and 31;. -- the southeast corner of the city of San. Luis Obispo; thence north on a true line. at 9.15 chains cross a fence bears north 30 deg. east, south 30 deg. west, at 9.30 chains a sycamore 48" in diameter is 5 links Last, at 9.50 chains cross a stream 3 links wide runs south 30 deg. west, at 15.90 chains cross a fence east and west. at 24.50 chains cross a creek runs south 40 deg. west, at 37.60 chains a creek 10 links wide runs southwest from north 10 deg. east, at 50.27 chains cross a fence east and west, at 50.50 ebairrs the Arroyo de Los Laureles 60 links wide water in pools runs southwest, at 54.35 chains intersect the south boundary of Deleissigues addition at a post in fence bearing north 691 deg. east, south 69} deg. west, n laurel tree 30" in diameter. the southeast corner of said addition bears north 63 deg. 26' east 5.32 chains distant. at 64.10 chains a post on line in fence bearing north 33 deg. west ani? south 33 deg. east, leave Deleise°gues' addition, at 77.30 Digitized by Google 186 SENATE JOURNAL. [Jan.16,1911 chains cross a ravine runs south 80 deg. west ascend, at 81.50 chains cross a ravine runs west, at 89.50 chains a stream S links wide runs south 80 deg. west ascend spur, at 97.10 chains top of spur descend a post in stone mound, at 107.50 chains a deep ravine runs west enter flat, at 111.25 chains ravine runs southwest ascend, at 121.00 chains top of spur, at 126.50 chains a ravine runs S. 60 deg. west, at 128.00 chains top of high spur descend, at 134.00 chains a deep ravine runs west. at 140.00 chains to post northeast corner of city, in mound of earth; thence west on a true line along the north boundary of the city, at 5.00 chains cross a fence at foot of steep descent. at 8.00 chains enter valley northwest and southeast. at 11.00 chains enter willows along San Luis creek, at 12.00 chains cross creek 25 links wide runs south 80 deg. west, at 14.00 chains leave willows, a house is 1} chains north at 23.00 chains cross a gulch runs south, at 23.08 chains a stone 4" z 14" x N' in line of a fence bears northeast and southwest on southeast side of road on continuation of Monterey street, at 24.62 chains a fence bears northeast and southwest, leave road, at 26.55 chains a fence bears north and south, corner of fence is 186 links south, at 35.13 chains cross a fence bears north and south, at 39.00 chains a gulch runs south, at 43.80 chains a fence bears north and south, enter Grand avenue, at 45.30 chains a fence - bears north and south, leave Grand avenue, at 47.75 chains a gulch runs southeast, at 54.90 chains a post in a fence (bears north and south), the corner of a fence bearing east and west is 426 links south, at 56.70 chains top of knoll, at 6120 chains Mr. A. R. Hathaway's house is 7 chains south, at 65.50 chains a gulch runs southwest, at 80.50 chains agulch runs south 20 deg. west, at 100.00 chains a gulch runs south, at 104.50 chains to old Garden creek 80 links wide runs south, at 100.15 chains on the west side of road bearing north and south in line of fence s post, ---the fence bearing east and west is 5.00 chains south. at 127.00 chains cross Stenner creek 20.1inks wide runs south 20 deg. east, at 130.50 chains cross a gulch runs north, at 140.00 chains to stone 3" x 14" x 7" northwest corner of the city; thence south on a true line. at 5.20 chains cross a fence bears east and west. Enter Stenner's field, at 16.50 chains cross a ravine runs east. ascend, al. 44.75 chains intersect the line between Stenner and Feliz a post, at 47.20 chains top of spur of Cerro Obispo, at 52.00 chains descend at 64.91 chains intersect the line between J. Y. Felin and Ventura Fernandez at post'in fence (bears east and west) at 89.00 chains cross a gulch runs southeast, at 104.95 chains cross a fence east and west, enter Harford's addition. at 129.30 chains to intersection with line of Laguna Rancho and stone 3}" x 14" i 8" corner to city: thence along Laguna line south 43 deg. tAx east 16.80 chains to intersection with south boundary of township 30 south, range 12 E., Ji. D. M. at stone 3" x 12" x 9", the southwest corner of the city; thence along the south boundary of the city north 89 degg. 25' east on a true line, at 23.28 chains a post in a. fence (bears north and south) on the east line of Harford's addition 350 links north of south line of said addition; at 62.90 chains a post in fence (bears north and south) on the, easterly line of W. L. Beebee's land. The south line of. Beebee and Phillip's addition is 388 links south, at 83.85 chains a post in a fence (bears northwest and southeast) on westerly line of road on the continuation of Broad street. The southeast corner of C. H. Phillip's land, bears southeast 444 links distant, at 103.24 chains a post in a fence (bearing north and south) on the east line of H. S. Rembaugh's land 347 links north of south line of said lands, at 125.00 chains to the southeast corner of the city, the point of beginning. All the posts above menlioned are of redwood 4" x 4" x 4 feet in height, marked "S. L. O. City Limit." ARTICLE III. ELECTIVE OMCER8. SEC. 4. The Elective Officers. The elective officers of the city shall be a mayor, a city clerk, four councilmen and four school directors. The council shall consist of the mayor and four councilmen, each of whom, including the mayor, shall have the right to vote on all questions coming before the council. The board of education shall consist of four school directors and the council- mnii appointed to be commissioner of finance and revenue, each of whom, including said commissioner, shall have the right to vote on all questions coming before the board. SEC. 5. How Elected. The mayor, city clerk, councilmen and school directors shall be elected at the general municipal election on a general ticket from the city at large. SEC. Q Eligibility of Mayor, Cleric and Councilmen. To be eligible for the office of mayor, city clerk or conneilmen. a person must be. a citizen of the United States and a qualified elector of the State of California and of the city of San Luis Obispo. SEc. 7. Eligibility of School Directors. To he elieible for the office of school director, a person must be a citizen of the United States of the age of twenty-one years and a resident of the city of San Luis Obispo. See. S. Vacancies in Office of Mayor, Clerk or Councilman. If a vacancy shall occur in the office of mayor, city clerk, or councilman, the council shall appoint a person to fill such vacancy. Digilized by Good LC'_ Jan. 16. 1911 ] SENATE JOURNAL. 187 SEC. 9. Vacancy in Office of School Director. If a vacancy shall occur in the office of school director, the board of education shall appoint a person to fill such vacancy. SEc. 10. Term of Office of Mayor and Clerk. The mayor and city clerk shall each hold office for a term of two years from and after the 15th day of Ilay after his election, and until his successor is elected and qualified. SEc. 11. Term of Office of Councilmen. The councilmen shall hold office for a term of four years from and after the 15th day of May after their election and until their successors are elected and qualified. Provided, that the councilmen first elected under this charter shall, at their first meeting, so classify themselves by lot that two of them shall hold office for two years and two of them for four years. At each general municipal election after the first under this charter, there shall be elected two councilmen. SEc. 12 Term of Office of School Directors. The school directors shall hold office for a term of four years from and after the 15th day of May after their election and until their successors are elected and qualified. Provided, that the school directors first elected under this charter shall, at their first meeting, so classify themselves by lot that two of them shall hold office for two years and two of them for four years. At each general municipal election after the first under this charter there shall be. elected two school directors. SEc. 13. Bonds. The mayor, city clerk and each councilman shall, before entering upon the duties of his office, give and execute to the city a bond with a surety company as sole surety, the mayor in the penal sumeof five thousand dollars, the city clerk in the penal sum of seven thousand five hundred dollars, and each councilman in the penal sum of five thousand dollars The city council may require an additional bond of any of the above officers if deemed necessary. Every bond shall contain the condition that the principal will well, truly, honestly and fnithfully perform the duties of his office. The bonds of the mayor must be approved by the council and the bonds of the city clerk and the several councilmen must be approved by the mayor. The council shall fix the amount of bonds and the methods of their approval to be required of appointive officers. officer or officers The approval of the official bonds must be endorsed thereon and signed by the approving the same. all bonds, when approved, shall be filed with the city clerk. all the provisions of any law of this state. relating to official bonds, not inconsistent with this charter, shall be complied with. SEc. 14. Oath of Office. Every officer of the city, before entering upon the duties of his office, shall take the oath of office as provided for in the constitution of this state and shall file the same with the city clerk. SEc. 15. Salaries. The mayor shall receive an annual salary of six hundred dollars , payable in equal monthly installments. The city clerk shall. receive an annual salary of one thousand five hundred dollars, payable in equal monthly installments. Each councilman shall receive an annual salary of five hundred dollars, payable in equal monthly installments. Each school director shall receive two and one half dollars for each regular meeting of the board of education which he shall attend; provided that he shall not receive more than ten dolIs in any one month. Sec. ]li. 4dntini8tcrittg Oathe, b'uLpmnaa. Every elective officer, every chief official and every member of any board or commission provided for in this charter shall have the power to administer oaths and affirmations, and every such officer, hoard or commission shall have the power to issue subpoenas. to compel by subpamna the production of books, papers and documents, and to take and bear testimony con- cemiag any matter or thing pending before such officer, board or commission. If any person so subpmnaed neglect or refuse to appear, or to produce any book, paper or document as required bey such subpoena, or shall refuse to testify before any such officer, board or commission or to answer any questions which any officer, or a majority of such board or commission shall decide to be proper and pertinent, he shall be deemed in contempt, and. any such officer, board or commission shall have power to take the proceedings in that behalf provided by the general laws of this state. The chief of police must, on request of such officer, or of any member of such board or commission, detail a police officer or police officers to serve such subpmna. ARTICLE IV. THE MAYOR. SEc. 17. General Duties. The mayor shall be the chief executive officer of the city and shall see that all the ordinances thereof are drily enforced. Ile shall be charged with the general oversight of the several departments of the municipal gov- ernment. He shall see that all contracts made with the city are faithfully per- formed. SEc. 1S. Mayor pro tempore. During the temporary absence or disability of the mayor, the vice-president of the council shall act as mayor pro tempore. Iu case of the temporary- absence or disability of both the mayor and vice-president, the ogamern,,GooSle 188 SENATE JOURNAL. Jan. 16, 1911 council shall elect one of its members to be mayor pro tempore. In case of vacancy in the office of the mayor, the vice-president of the council shall act as mayor until such vacancy can be filled as provided in this charter. SEC. 10. Reports. The mayor shall annually and from time to time Five the council information relative to the affairs of the city and recommend to its Con- sideration such matters as he may deem expedient. SEC. 20. Examination of Kooks. The mayor shall employ, for a stipulated compensation, at the beginning of each furcal year, a competent accountant. who shall examine the books, records and reports of the city clerk and of all officers and employees who receive or disburse city moaeys, and the books, records and reports of such other officers and departments as the mayor may direct, and make duplicate reports thereof, and present one to the mayor and file one with the city clerk. Such accountant shall have unlimited privilege of investigation, to examine under oath or otherwise all officers, clerks and employees of the city, and every such officer, clerk and employee shall Rive all required assistance and infor- mation to such accountant, and submit to him for examination such books and papers of his office as may be requested, and failure to do so shall be deemed and held to be a forfeiture and abandonment of his office. The council shall protide for the payment of the services of such accountant. SEC. 21. Supervision of Public Utility Companies. The mayor shall be charged with the general supervision of all public utility companies in so far as they are subject to municipal control; he shall keep himself fully informed as to their com- pliance In all respects with the law, and he shall see that all franchises granted by the city are faithfully+ observed. The mayor shall cause to beinstituted such actions or proceedings as may be necessary to prosecute public utility companies for violations of law, and to revoke. cancel and annul all franchises that may have been granted by the city to any person, firm or corporation which have become forfeitable in whole or in part or which for any reason are illegal and void and not binding upon the city. The city attorney, on demand of the mayor, must institute and prosecute the necessary actions to enforce the provisions of this section. SEC. 22. Other Duties. The mayor shall exercise such other powers and per- form such other duties as may be prescribed by law and ordinance. ARTICLE V. EXECUTIVE AND ADMINISTRATIVE DEPARTMENTS. SEC. 23. Hunicipal Departments.' The executive and administrative powers, authority and duties of the city, not otherwise provided for, shall be distributed among and assigned to four departments, as follows: - 1. Department of finance Rnd revenue. 2. Department of public health and safety. 3. Department of public works. 4. Department of public supplies. SEC. 24. Commissioners. The council at its first regular meeting after the election of its members shall designate by majority vote one councilman to be com- missioner of finance and revenue, one to be commissioner of public health and safety, one to be commissioner of public works and one to be commissioner of public supplies. If the council is unable to agree, the mayor shall have authority to make such designation. The council may change such desijFnation by ordinance or by resolution published for five days, whenever it determines that the public service will be benefited thereby. Each commissioner shall take the active management and control as foreman and director of the affairs of his department, and shall be responsible for the full and complete discharge thereof. SEC. 25. Posters and Duties. The council shall determine and assign the duties of the several departments subject to the provisions of section twenty-three. Each department shall be entitled to such salaried employees as maybeauthorized by the council. The head of each department shall nominate all such employees therein but their appointments shall be made by the council. Each commissioner shall have the power of selecting and employing the day laborers necessary for his department. Any and all employees in any department shall be subject to dis- charge by the commissioner at the head of that department at any time except a& otherwise provided by this charter. The city council shall determine the number of such employees in any department and shall also have like power of discharging them or any of them, or may require any employee in any department to perform duties in two or more departments, or may make such rules and regulations ns they shall deem necessary or proper for the efficient and economical conduct of the business of the city. The salary or wages of any employee of the city shall cease immediately upon his discharl-e from such employment. SEC. '26. Chief 01ficiitls. The chief officials of the city shall be city treasurer, attorney, collector, engineer, chief of police, street superintendent. five library trustees and fire chief. They shall he appointed and may be removed by .a mnjorit} of the council. provided. hoe•rrrr. that the chief of police and the fire chief shall be nominated by the commissioner of public health and safety, and the street super- Digilized by G00S1e Jan. 16, 1911 ] SENATE eJOUIWAL. 189 intendent by the commissioner of public works. The council, at any time when in its judz-ment the interests of the city so demand, may consolidate and place in charge of one such officer the functions and duties of two or more of such officers. The council shall by ordinance prescribe the duties of all the chief officials. The council shall at the first re.-ular meeting after the election of its members. or as soon thereafter as practicable, proceed to the appointment of the chief officials of the city and the determination of their duties as provided in this sec- tion. SEC. 27. Subordinate Officers and Employees. The council shall have power by ordinance to create and discontinue offices, deputyships, assistantships and employments other than those prescribed in this charter, to provide the modes of. filling them. to prescribe the duties pertaining thereto, according to its judgment of the needs of the city, and to determine the mode of removing any such officer, deputy, assistant or employee, except as otherwise provided in this charter. SEC. 28. Compensation of Officers and Employees. The compensation of all city officers provided for by section twenty-six of this charter, except library trustees, shall receive no remuneration, shall be by salary to be fixed by the council. The council shall also fix the compensation of all other officers and euiOloyees of the city, except as in this charter otherwise provided. No officer, official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation, aside from the salary or compensation as fixed by the council, but. all fees received by him in connection with his official duties shall be paid by him into the city treasury. SEC. 29. Department Reports. Each department and commission shall annually on such date as may be fixed by the council, render to the mayor a full report of all the operations of such department or commission for the year: SFC.. Publication of Reports.. The council shall provide for the publication of the annual reports of the mayor and of the several departments and commissions. SEC. 31. Councilman to Sold no Other Office. No member of the council, except the commissioner of finance and revenue, who shall be ex officio a member of the board of education, shall hold any other municipal office or hold any office or employment the compensation of which is paid out of the municipal moneys; or be elected or appointed to . anyy office created or the compensation of which is increased by the council while he was a member thereof, until one year after the expiration of the term for which he was elected. Sea 32. Not to be Interested in Contracts or Franchises. No officer, official or employee shall be directly or indirectly interested in any contract, work or business of the city, or in the sale of any article, the expense, price or consideration of which is paid for from the treasury or by assessment levied by any act or ordinance; nor in the purchase or lease of any real estate or other property belonging to the city or which shall be sold for taxes or assessments or by virtue of legal process at the suit of the city. No officer, official or employee shall be interested in, or in the employ of any public service corporation in the city or of any person, firm or cor- paration having any contract with the city or of any grantee of a franchise granted by the city. Any contract or agreement made in contravention of this section shall be void. Any violation of the provisions of this section shall be deemed a misdemeanor. The council shall enforce the provisions of this section by appropriate legislation. Sac. 33. Political and Religious Teats. No appointment to position under the city government shall be made or be withheld by reason of any religious or political opinions or affiliations or political services, and no appointment to or selection for or removal from any office or employment, and no transfer, promotion, reduction, reward or punishment shall be in any manner affected by such opinions, affiliations or services. ARTICLE VI. THE COUNCIL. SEC. 34. General Powers. The council shall be the governing body of the muni- cipality. It shall exercise the corporate powers of the city, and, subject to the limitations itations of this charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the constitution of the state. Sec. 33. Presiding Oificera. The mayor shall be president of the council and shall preside at its meetings when present. The council shall elect one of its number to be vice-president. SEC. 3f,. 3e gin The council shall provide for the time and place of holding its meetings and the manner in which its special meetings may be called. SEC. 3s. Meetings to be Public. All legislative sessions of the council, whether regular or special, shall be open to the public. SEC. 38. Quorum. A majority of the members of the council shall constitute a quorum for the transaction of business. SEc. 39. Rules of Procedure. The council shall establish rules for its pro- ceedinss. SEC. 40. Ordinances and Resolutions. (1) The council shall act only by ordi- nance or resolution. Dig lized by Goox le 190 SENATE JOURNAL. [Jan. 16, 1911 (2) The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the council. (3) No ordinance or resolution shall be passed or become effective without receiv- ing the affirmative votes of at least three members of the council. (4) Every ordinance or resolution, except an ordinance making appropriations. shall be confined to one subject, which shall be clearly expressed in the title, and every ordinance making appropriations shall be confined to the subject of appro- priations. If any subject shall be embraced in an ordinance which shall not be cxpressed in its title, such ordinance shall be void only as to so much thereof as shall not be expressed in its title. (b) The enacting clause of all ordinances passed by the council shall be in these words "Be it ordained by the council of the City of San Luis Obispo as fol - laws:". (6) To constitute an ordinance a bill must before final action thereon be passed to print and published with the ayes and noes for two days, and, in case of any amendment being made thereto before the final adoption of the ordinance, must in like manner be republished as amended for not less than one day. (7) No action providing for the appropriation, acquisition, sale or lease of public property; for the levying of any tax or assessments; for the granting of any franchise; for establishing or changing fire limits, or for the imposing of any penalty, shall be taken except by ordinance.; provided, that such exceptions be observed as may be called for in cases where the council takes action in pursuance of a general law of the state. (8) When any bill isput upon its final passage and fails to pass, and a motion is made to reconsider, the vote upon such motion shall not be taken except at a meeting of the council held not less than one week after the meeting at which such motion was made. (9) All resolutions and ordinances shall be signed by the mayor and attested by the city clerk. (10) No ordinance shall be revised, re-enacted or amended by reference to its title only; but the ordinance to be revised or re-enacted, or the section or sections thereof to be amended, or the new section or sections to be added thereto, shall be set forth and adopted in the method provided in this section for the adoption of ordi- nances. (11) No ordinance nor section thereof shall be repealed except by ordinance adopted in the manner provided in this section. (12) No bill for the grant of any franchise shall be put upon its final passage within thirty days after its introduction, and no franchise shall be renewed before one year prior to its expiration. (13) A true and' correct copy of all ordinances shall be kept and certified to by the city clerk in `a book marked "City Ordinances." Such record copy, with such certificate, or the original ordinance, shall be prima facie evidence of the contents of the ordinance and of the due passage and publication of the same, and shall be admissible as such in any court or proceeding. Such records shall not be filed in any case, but shall be returned to the custody of the city clerk. Nothing herein contained shall be construed to prevent the proof of the passage and publication of an ordinance in the usual way. SEC. 41. Absent Commissioner. No final action shall be taken in any matter concerning the special department of any absent councilman unless such business has been made a special order of the day by action at a previous meeting of the council, or such action is taken at a regular meeting of the council. SEC. 42. Publication of Chartcr and Ordinancre. The council, during the first year after its organization under this charter and from time to time thereafter, shall cause all ordinances at such time in force to be classified under appropriate heads, and, together with or separately from the charter of the city and such pro- visions of the constitution and laws of the State as the council may deem expedient. to be published in book form. :ARTICLE VII. POWERS OF THE CITY AND OF THE COUNCIL. SEC. 43. General Pokers of City. Without denial or disparagement of other powers held under the constitution and laws of the state, the city of San Luis Obispo, shall have the right and power: (1) To acquire by purchase, condemnation or otherwise, and to establish, main- tain, equip, own and operate libraries, reading rooms, art galleries, museums, schools. kindergartens, parks. playgrounds, places of recreation, fountains, baths. public toilets, markets, hospitals, charitable institutions, jails, houses of correction and farm schools, work houses. detention homes, morgues, cemeteries, crematories, gar- bage collection and garbage disposal and reduction works, street cleaning, street pav- ing and sprinkling plants, quarries and all other public buildings, places, works and institutions. (2) To acquire by purchase, condemnation or otherwise and to establish. maintain. equip, own and operate water works. gas works, electric light, heat and power works, Within and without the city, and to supply the city and its inhabitants and also per- sons, firms and corporations outside the city, with water, gas and electricity. Digitized by Goode Jan, 16, 1911] SENATE JOURNAL. 191 (3) To acquire by purchase, condemnation or otherwise, and to establish, maintain, equip, own and operate telephone and telegraph systems, cable, electric or other railways and transportation service of any kind within or without the city. (4) To sell gas, water, electric current and all products of any public utility operated by the city. (5) To acquire by purchase, condemnation or otherwise, within or without the city, such lands or other property as may be necessary for the establishment, main- tenance and operation of any public utility or to provide for and effectuate any other public purpose; and to sell, convey, encumber and dispose of the same for the com- mon benefit. (6) To receive bequests, gifts and donations of all kinds of property, in fee simple.. or in trust for charitable and other purposes, and do all acts necessary to carry out the purposes of such bequests, gifts and donations. with power to manage, sell, lease or otherwise dispose of the same in accordance with the terms of the honest, gift or trust or absolutely in case such bequest, gift or trust be unconditional. (T) To borrow money for any of the purposes for which the city is authorized to provide and for carrying out any of. the powers which the city is authorized to enjoy and exercise and to issue bonds therefor; provided, that in the procedure for the cre- ation and issuance of such bonded indebtedness the general laws of the State of Cali- fornia in force at the time such proceedinfs-are taken shall be observed and followed. (8) To raise money by a special tax, in addition to the annual tax levy provided by section fifty-four of this charter. The levy of such tax must be approved by at least two-thirds of the qualified electors who vote thereon. At such election the coun- cil may be authorized, in cases where public necessityrequires the expenditure of any sum so voted before the next succeeding tax levy, to borrow such sum and provide in the next succeeding tax levy for its repayment with interest aE not exceeding five per cent per annum. Or the council may be authorized to levy a special tax each year for a period of years not exceeding three years in all, for any permanent mn- nicipal improvement. and the money so raised may be expended each year after the same is collected and available. (9) To sue and defend in all courts and places and in all matters and proceed - Sm 44. Direct Legislation. The qualified voters of the city shall have power through the initiative and otherwise, as provided by this charter and the general laws of the state, to enact appropriate legislation to carry out and enforce any of the above general powers of the city or any of the specified powers of the council. San:. 45. Posers of Cout:67. As the legislative organ of the city, the council, subject to the provisions and restrictions of this charter, shall have power: (1) To provide a corporate•seal, with appropriate device, to be affixed to all instru- ments or writings needing authentication. (2) To prescribe fines, forfeitures and penalties for the violation of any provision of this charter or of any ordinance: but no penalty shall exceed five hundred dollars or six months' imprisonment, or both. (3) To provide for the summary abatement of any nuisance at the expense of the person or persona creating, causing, committing or maintaining such nuisance. (4) To ort;amze and maintain police and lice departments. erect the necessary buildings and own all implements and apparatus required therefor. (5) To establiah and maintain afire alarm and police telegraph or telephone system, and manage and control the same. (8) To regulate or prohibit the manufacture, keeping, storage and use of powder. dynamite, guncotton, nitroglycerine, fireworks, and other explosive materials and sabstsacee. (7) To regulate the storage of hay, straw, oil and other inflammable and com- bustible materials. (8) To regulate the use of steam engines, gas engines, steam boilers and electric motors, and to prohibit their use in such localities as in the judgment of the council would endanger public safety. (9) To prescribe fire limits and determine the character and height of buildings that may be erected therein and the nature of the materials to be used in the con- struction. alteration or repair of such buildings or in the repair or alteration of existing buildings within such fire limits. (10) To regulate the construction of and the materials used in all buildings. chimneys, stacks and other structures; to prevent the erection and maintenance of insecure or unsafe buildings, walls, chimneys, stacks or other structures. and to orovide for their summary abatement or destruction; to regulate the materials used in and the method of construction of foundations and foundation walls, the manner of.eonstructiom and location of drains and sewers, the materials used in wiring build- ings or other structures for the use of electricity for lighting, power, heat or other purposes, and materials used for piping buildings or other structures for the purpose of supplying the same with -water or gas and the manner of so doing; to prohibit the construction of buildings and structures which do not conform to such regulations.. (11) To require the owners and lessees of buildings or other structures to place upon them or in them fire escapes and appliances for protection against fire and for the extinguishment of fires. Digitized by G®OS lc 192 SENATE JOURNAL. ' [Jan. 16, 1911 (12) To prevent the construction and to cause the removal of dangerous chimneys. firepinces, hearths, stoves, stove pipes, ovens, boilers, apparatus and machinery used in any building in the city; to regulate the carrying on of manufactories liable to cause fire; to prevent the depositing of ashes, the accumulation of shavings, rubbish, or any combustible material in unsafe places, and to make provisions to guard against fires. (13) To regulate the size and construction of the entrances to and exits from all theatres, lecture rooms, balls, schools, churches, and other places for public gathering of every kind, and to prevent the placing of seats, chairs, benches or other obstructions in the hallways, aisles or open places therein. (14) To regulate the speed of railroad trains, engines and cats passing through the city and the speed of cars of street or interurban railway companies using the public streets of the city, to require railroad companies to station flagmen, place gates or via- ducts at all such street crossings as the council may deem proppeer, to require street cars and local trains to be provided with fedders or other appliances for the better protection of the public; to prohibit the making up of railroad trains on any of the streets, street crossings or street intersections of the city; to regulate the speed with which persons may ride or drive orppropel bicycles, automobiles or other vehicles along or upon any of the streets or highways of the city. (15) To regulate or prohibit the exhibition or carrying of banners, placards or advertisements, and the distribution of handbills in the streets, public grounds or upon the sidewalks, to regulate or prevent the flying. of banners, flags, or signs across the streets or from houses, to regulate or prohibit traffic and sales in the streets and public places; to prevent encroachments upon or obstructions to the streets, and touire their removal. (�To compel the owner or occupant of buildings or grounds to remove dirt, rubbishand weeds therefrom and from the sidewalk and gutters adjacent thereto; and in his default to authorize the removal or destruction thereof by some officer of the city at the expense of such owner or occupant, afid to make such expense a lien upon such buildings or grounds. , (17) To regulate, license or prohibit the construction and use of billboards and sig(18) To regulate and prevent the running at large of dogs, to provide for the destruction of vicious dogs, and to require the payment of license fees by the owners or persons having possession of dogs, and to impose penalties upon such persons for refusing to pay such license fees. (19) To prevent or regulate the running at large of any animals, and to establish and maintain a pound and authorize the destruction or other disposition of any animals running at large. (20) To prohibit and punish cruelty to animals, and to require the places where they are kept to be maintained in a clean and healthful. condition. (21) To make all regulations which may be necessary and expedient for the preservation of health and the suppression of disease; to make regulations to prevent the introduction of contagious, malignant, infectious or other diseases into the city; to make quarantine laws and regulations; to regulate, control and prevent the entry into the city of persons, baggage, merchandise or other property infected with con- tagious disease. (22) To regulate or prohibit the operation of all manufactories, occupations or trades which may be of such a nature as to affect the public health or good order of the city or disturb the public peace, or which may be offensive or dangerous to the inhabitants residing in the vicinity, and to provide for the punishment of all per- sons violating such regulations and the punishment of all persons who knowingly permit the same to be violated in any building or upon any premises owned or con- trolled by them: to make regulations for the suppression of disagreeable, offensive and injurious noises and odors. (23) To provide for and regulate the inspection of all dairies and slaughterhouses that offer for sale or sell any of their products in the city. (24) To regulate lodging, tenement and apartment houses and to prevent the overcrowding of the same and to require that they be put and kept in proper sanitary condition. (25) To regulate the construction, repair and use of sewers, sinks, gutters, wells, cesspools and vaults and to compel the connecting, cleaning, or emptying of the same. and to designate the time and manner in which the work shall be done. (26) To provide for the collection and disposal of garbage, ashes, animal and vegetable refuse. dead animals, animal offal, rubbish and waste matter. (27) To license for purposes of regulation or revenue, or regulation and revenue all and every kind of business not prohibited by law to be transacted or carried on in the city ; to fix the rates of licenses upon the same, and to provide for the collection thereof by suit or otherwise. (28) To establish stands for hacks, public carriages, express wagons. and other public vehicles for hire, and regulate the charges of such hacks, public carriages, express wagons and other public vehicles, and to require schedules of such charges to beted in or upon such public vehicles. (2970 provide for the inspection and sealing of all weights and measures used in the city, and to enforce the keeping and use by dealers of proper weights and measures duly tested and sealed. Digitized byGoogle Jan. 16, 1911] SENATE JOURNAL. - 193 (30) To license, regulate, restrain or prohibit all exhibitions, public shows, games and amusements; to prevent and prohibit all descriptions of gambling and fraudu- lent devices and practices, all playing of cards, dice or other games of chance for the purpose of gambling, the keeping or operating of card machines, slot machines or other contrivances upon or into which money is staked, hazarded, deposited or raid upon chance and the selling of pools on races, and to authorize the destruction of all instruments used for the purpose of gambling. ' (31) To restrain and punish vagrants, mendicants, lewd persons and prostitutes; Io prevent and punish drunkenness, prize fights and all offensive, immoral, indecent and disorderly conduct and practices in the city. (32) To levy and collect taxes upon all the real and personal property within the city subject to the limitations elsewhere in this charter provided. (33) To order the repaying by the treasurer of any taxes, percentages or costs erroneously or illegally collected. (34) To fix the fees and charges for all official services not otherwise provided for in this charter. (35) To provide an urgent necessity fund not exceeding five hundred dollars a year. to be expended under the direction of the mayor. (36) To provide for the lease of any lands now or hereafter owned by the city, but all leases shall be made at public auction to the highest responsible bidder at the bighest monthly rent, after publication of notice hereof for at least one week, stating explicitly the time and conditions of he proposed lease: provided, that the council may in its discretion reject any and all bids. (37) To provide for the purchase of property levied upon or under execution in favor of the city, but the amount bid on such purchase shall not exceed the amount of judgment and costs (33) To provide for the sale at public auction, after advertising for five days, of petsooal property nafit or unnecessary for the use of the city. (39) To provide for the execution of all trusts confided to the city. (41 To establish or change the grade of any street or public place. (41 To grade or regrade to the official grade, plank or rep k, pave or repave, macadamize or remacadamize, gravel or regravel, pile or repile, cap or recap, sewer or resewer. surface or resurface the whole or any part of any street, avenue, lane, alley, court or place within the city, and to lay and construct sidewalks, manholes, rniverts, cesspools, glitters, tunnels, curbing and crosswalks, breakwaters, levees, or walls of rock or other material to protect the same and also any other work or improvement within the city • and to order any of the above work to be done in accordance with the general laws of the State of California. Also to provide for the care of shade trees planted therein and to cause shade trees to be planted, set cut and cultivated therein. Also to order drainage or sanitary sewers or storm water *were to be constructed on or through private property., Whenever, in the judgment of the council or of the people, the cost and expense Of any of the foregoing improvements is to be paid by special assessments on private property, the general laws of the State of California in force at the time of the improvement shall govern and control, and all proceedings shall be in conformity thereto; provided, however. that at least one-fourtb of the cost and expense of sradiag or regrading to the official grade, planking or replanking, paving or repaving, macadamising or remacadamizing, graveling or regraveling, piling or repiling, cap- ping or recapping, surfacing or resurfacing the whole or any part of any street orenue, lane, alley, court or place within the city, shall be paid by the said city, out of such fund as the council may designate, and no Special assessment as afore- said for any of such work shall be made on private property nor become a lien on the same in amount greater than three-fourths of the total cost ani expenses of such work or improvement; and the council shall, before any asnPgsmPnt for any such work is made up, designate by resolution the proportion of the total cost and expense of the same to be paid by the municipality, which shall not be less than one-fourth thereof. and in making up such assessment there shall be deducted from the whole cost and expense such part hereof as has been so ordered to be paid out of the municipal treasury, and the remainder of said cost and expenses aboll be assessed proportionately upon the lots. parts of lots and lands liable to be assessed therefor in accordance with the general laws of the said State of California. (42) To open, extend, widen, straighten or close any street, lane, alley, court or public place within the city, or to order the same to be done in accordance with the general laws of the State of California, and to condemn and acquire any and all Proporty necessary or convenient for that purpose. Whenever, in the judgment of the council or of the people, the coat and expense of any of the foregoing improvements is to be paid b7 special assessment on private Property, h shall the general laws of the State of California in force at the time of the improthereto, except that govern ll he duties control. he8commiss nd all proceedings and shall shall be per- formed by or under the direction of the commissioner of public works of the city, who shall receive no compensation therefor. (431 To provide for the lighting of the streets, highways, public places, and public buildings and for supplying the city with water for municipal purposes. 13--SAJ j Diyilized by Google 194 SENATE JOURNAL. [Jan. 16,1911 (44) Whenever any street or portion of a street shall be abandoned or closed by ordinance, to convey. by deed such street or portion of street so abandoned or closed, to the owners o the lands adjacent thereto in such wise as the council shall deem that equity requires. (45) To fix and determine by ordinance in the month of February of each year, to take effect on the first day of July thereafter, the rates or compensation to be collected by any person, firm or corporation in the city, for the use of water, .heat. light, power, telephone or transportation service, supplied to the city or to the inhab- itants thereof, and to prescribe the quality of the service. (46) To have general supervision and control of the business of all persons„ firms or corporations engaged in furnishing water, heat, light, power or telephone service to the city or to inhabitants thereof, or acting as common carriers of Vas- 8 o ngers or freight within the city; to keep informed as to their general condition, their capitalization, their franchises and the manner in which their business is man- aged. conducted and operated, not only wth respect to the adequacy, security, and accommodation afforded by their service, but also with respect to their compliance - with all provisions of law and of this charter; to robibit all unjust discriminations, and unreasonable preferences in the rates char or service furnished; to provide that the service rendered and the facilities furnished shall be safe and adequate and in all respects just and reasonable; to order such repairs, improvements, changes or additions as may be necessary to make such service adequate, just and reasonable; and to provide by ordinance for the punishment, by fine or imprisonment, of any ner- son, firm or corporation. or agent, officer, or employee thereof, who shall fail to o - observe and comply with its orders and regulations in any of the above respects. (47) To require every railroad company to keep the streets in repair between the tracks, and along and within the distance of two feet upon each side of the tracks occupied byy the company. (48) To cause the removal and. placing underground of all telephone= telegraph, electric light or other wires within the city, or wilin any designated portion thereof, and to regulate or prohibit the placing of poles and suspending of wires along or across. any of the streets. highways and public places in the city. (49) To regulate the size and location of all water pipes, gas pipes, and all other pipes and conduits laid or constructed in the streets and public places, and to require the filing of charts and maps of such pipes and conduits. (50) To make all rules and regulations governing elections not inconsistent with - this charter. (51) To establish a park commission, and to appoint commissioners thereon, to serve without compensation, with such powers and duties as may be fixed by the council. (52) To provide a suitable procedure for taking over or otherwise acquiring municipal ownership of public utilities. (53) To provide for public concerts which shall be free to the public. (54) To provide that copies of all maps, plats, profilea, field notes, estimates and other memoranda of surveys and other professional work done by the city engineer or other officer of the city shall be filed with the city clerk. . (55) To provide for and regulate the inspection of meats, poultry, fish, game. bread, butter, cheese, lard, eggs, vegetables, breadstuffs, milk and other foot products offered for sale in the city, and to provide for the taking and summarily destropinR of Puy such products as are unsound, spoiled, adulterated, or unwholesome, and to regu- late and prevent bringing into the city or having or keeping within the city any such unsound, spoiled, adulterated or unwholesome products. (56) To enact appropriate legislation and do and perform any and all other sets - and things which may be necessary and proper to carry out the general powers of the city. or any of the provisions of this charter, and to exercise all powers not in conflict with the constitution of the state, with this charter or with ordinances adopted by the people of the city. AsTICLE VIII. CITY CLEM. SEC. 46. General Duties. The city clerk shall have the custody and be responsible - for thee seal, and all books, papers. records and archives belonging to the city not in actual use by other officers. or otherwise by special provisions committed to their custody. He shall be clerk of the council and shall keep a complete record of all its proceedings. He shall also perform the duties of assessor. He shall per- form such other duties as are or shall be imposed upon him by this charter or by ordinance. Awn= IR. FINANCE AND TAXATION. SEC. 47. Fiscal Year. The fiscal year of the city shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SEC. 48. Tax System. The council shall by ordinance provide a system for the assessment, levy and collection of all city taxes not inconsistent with the provisions_ of this cha.cer. Digitized by GOOQle Jan. 16, 1911 ] SENATE JOURNAL. 19! The council shall have power to avail itself by ordinance of any law of the State of California now or hereafter in force and comply with therequirements thereaf whereby assessments may be made by the assessor of the county in which the city of San Luis Obispo is situated and taxes collected by the tax collector of said county for and on behalf of the city of San Luis Obispo. Other provisions of this charter concerning the assessment, levy and collection of taxes shall be subject to the pro- visions of any such ordinance while the same shall be in force. SEc. 49. Department Eatimates. On or before the second Monday in May in each year or on such date in each year as shall be fixed by the council, the heads of departments, officers, boards and commissions shall send to the commissioner of finance and revenue a careful estimate in writing of the amounts, specifying in detail the objects thereof, required for the business and proper conduct of their respective departments, offices, boards and commisisous, (luring the next en_suingr fiscal year. SEc. 50. Estimate of Commissioner of Finance and Rerenue. On or before the second Monday in June, in each year. or on such date in each year as shall be fixed by the council, the commissioner of finance and revenue shall submit to the council an estimate of the probable expenditures of the city government for the next ensuing fiscal year, stating the amount required to meet the interest and sinking funds for the outstanding funded indebtedness of the city, and the wants of all the depart- ments of the municipal government in detail, and showing specifically the amount necessary to be provided for each fund and *department; also an estimate of the amountof income from fines, licenses and other sources of revenue exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SEc. 51. Annual Budget. The council shall meet annually prior to fixing the tax levy and make a budget of the estimated amounts required to pay the expense of 'oadncting the business of the city government for the next ensuing fiscal year. The budget shall he prepared in such detail as to the aggregate sum and the items thereof allowed to each department, office, board or commission as the council may deem advisable. SEc. 32. Board of Equalisation. The council shall meet at their usual pla^e of holding meetings on the first Monday in August of each year, at ten o'clock in the forenoon of said day, and sit as It board of equalization, and shall continue in cession from day to day until the second Monday in August. They shall have power to hear complaints and to correct, modify, strike out or to raise any assess- ment. provided that notice shall be given to the party whose assessment is to be raised. Sec. 53. Annual Tax Levy. The council mast finally adopt, not later than the first Tuesday in September, an ordinance levying upon the assessed valuation of the property in the city, subject to the provisions of this charter, a rate of taxation upon each one hundred dollars of valuation sufficient to raise the amounts estimated to be required in the annual budget, less the amounts estimated to be received from fines, licenses and other sources of revenue. They shall then deliver the assessment roll to the city clerk, who shall compute and carry out the amount of the tax so levied upon each parcel of property contained in said assessment roll. The cor- rected list for each tax shall be the assessment roll of Raid tax for said year, and it shall be certified by the city clerk as being the assessment roll of said tax. Sas. 54. Limit of Tax Levy. The tax levy authorized by the council for any one year for all municipal purposes, other than for the payment of principal or interest on any bonds of the city, or for school purposes, shall not exceed eighty- five cents on each one hundred dollars worth of taxable property in said city, except as herein provided. SEc. 55. Tax Liens. All taxes assessed. together with any percentage imposed for delinquency and the cost of collection, shall constitute liens on the property assessed; every tax upon personnl property shall be a lien upon the real property of the owner t$ereof The bens provided for in this section shall attach as of the first Monday in March in each year, and may be enforced by actions in any court of competent jurisdiction to foreclose such liens. or by a sale of the property affected and the execution and delivery of all necessary certificates and deeds therefor, under such regulations as may be prescribed by. ordinance, prcrided, that when real estate is offered for sale for city taxes due thereon. the same shill he struck off and sold to the city, in like case and in like manner and with like effect and with like right of redemption, as it may be struck off and sold to the state when offered for sale for state and county taxes; and the council shall have power to provide for the procedure to be followed in such sales to the city and redemption thereafter. SEc. 56. Claims Against City. Additional Duties of Clerk. Money shall he drawn from the treasury only upon warrants as herein authorized. Every demand against the city from whatever source, including the school department and the free public library when allowed by the council or proper board, shall he signed by the president and secretary or clerk of such body, and a warrant numbered and dated the same as the demand issued and signed by the same officers, and both must, before it can be paid, be presented to the city clerk, who shall satisfy himself whether o ya Zed.by Google 196 SENATE JOURNAL. [Jan.16,1911 the money is legally due and its payment authorized by law. If he allow it. he shall endorse upon the warrant the word "allowed," and the date of such allowance. and sign his name thereto. No demand shall be approved, allowed, audited or paid unless it specify each 'Special item, and the date thereof. It shall be the duty of the city clerk to be constantly acquainted with the exact condition of the treasury. Ile shall, on application of any person indebted to the city, holding, money payable into the city treasury or desiring to pay money therein, certify to the treasurer the amount thereof, to what fund applicable, and by whom to be paid. He shall charge the treasurer with the amount received. It shall be his duty to apportion among the several funds all public money at any time in the. city treasury, not by law or ordinance specifically apportioned and appropriated, and forthwith notify the treasurer of such apportionment or appropriation. Ile shall countersign and de- liver to the proper officers all licenses and other receipts, charging them therewith, and taking their receipt therefor. He shall on the first Monday of each month, or oftener if required, report in writing to -the council the condition of each fund in the treasury. IIe shall keep a complete set of books for the city, in which be shall set forth in a plain anti businesslike manner, every money transaction of the city so that he can at any time tell the exact condition of the city's finances. and draw all warrants on the treasury. He shall perform such other duties as may be required of him by this charter or by ordinance. SEC. JT. Disposition of Money Collected. Every officer collecting or receiving nay moneys belonging to or for the use of th(- city shall settle for the srme with the city clerk on or before the -last day of each month. or at more frequent inter- vals as may be directed by the council. and immediately pay all the same into the treasury. on the order of the city clerk, for the benefit of the funds to which such moneys severally belong. \Mien the last day of the month falls upon Sunday or a legal holiday, the said payments shall be made on the next preceding husiuesc day. The council may provide. in its discretion, for the deposit of the city moneys in banks in accordance with the state law. SEC. 58. Uniform Accounts. The council shall prescribe uniform forms of accounts, which shall be observed by all officers and departments of the city which receive or disburse moneys. ARTICLE X. PUBLIC WORK AND SUPPLIES. SEC. 59. Income From Public Utilities. All income derived from the operation and management of any public utility by the city shall be devoted exclusively to the payment of the expense of operating. maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating or maintaining of such utility. SEC. 60. Form of Contracig. All contracts shall be drawn under the super- vision of the city attorney. All contracts must be in writing, executed in the name of the city of San Luis Obispo by an officer or officers authorized to sign the same. and must be countersigned by the city clerk, who shall number and register the same in a book kept for that purpose. SEC. 61. Public Work to be Done by Contract. In the erection. improvement and repair of all public buildings and public works. in all street and sewer work. and in furnishing any supplies and materials for the same, or for any other use by the city, when the expenditure requiivd for the same exceeds the sum of three hundred dollars. the same shall be done by contract, and shall be let to the lowest responsible bidder, after advertising for sealed proposals for the work contemplated for five consecutive days in the official newspaper. Such notice shall distinctly and specifically state the work contemplated to be Sone. Provided, hotcever. the council may reject any and all bids, if deemed excessive. and re -advertise for bids, or may require the commissioner of public works to submit a detailed estimate of what the, work may be done for by the department of public works_ and if such estimate is lower than the lowest bid, the council may order the work to be done by the depart- ment of public works, but the department of public works must not be allowed a larger sum to complete such work than called for by the aforesaid estimate. In case no bid is received, the council may provide for the work to be done by the department of public works. SEC. 62 Contracts for Advertising. The council shall let annually contracts for the official advertising for the ensuing fiscal year. For this purpose the council shall advertise for five consecutive days, setting forth distinctly and specifically the work contemplated to be done, and asking 'for sealed proposals therefor. The pro- posals shall specify the type and spacing to be used at the rate or rates named in the bids. The council shall let the contracts for such official advertising to the lowest responsible bidder publishing a daily newspaper in the city which is a newspaper of general circulation and has been in existence at the time of the awarding of the contract at least one year: provided, that the council may reject any or all bids it found excessive, and advertise for new bids. The newspaper to which the award of such advertising is made shall be known and designated as the "official newspaper." Digitized by GOOK le Jan. 16, 1911 SENATE eJOVRNAL. 197 Sac. 63. Contracts for Lighting. No contracts for lighting streets, public build- ings, places or offices shall be made for a longer period than one year, nor shall any contract to pay for electric light or any illumination material at a higher rate than the minimum price charged to any other consumer be valid. Sec. 61. Collusion With Bidder. Any officer of the city, or of any department thereof, who shall aid or assist a bidder in securing a contract to furnish labor, material or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another by giving or withholding information, or who shall wilfully mislead any bidder in regard to character• of the material or supplies called for, or who shall knowingly accept material or supplies of a quality inferior to those called for by the contract, or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of material or supplies than has been actually received, shall be deemed guilty of malfeasance and shall be removed from office. SEc. 63. Collusion by Bidder. If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bid being made, thea the contract so awarded shall be null and void. and the council shall advertise for a new contract for said work, or provide for such public work to be done by the department of public works, as herein provided. SEc. Gtr. Certain Acta Forbidden. Every officer or employee of the city is for- bidden and prohibited from soliciting, accepting or receiving, directly or indirectly, and ery public service corporation, person having or contemplating any contract with the city or grantee of s franchise granted by the city, or agent, officer, attorney in employee thereof, is forbidden and prohibited from offering or giving. directly or indirectly, to any such officer or employee, any commodity or service furnished by such public service corfioratioa or owner of n franchise, or any reduction in the rate thereof to which the public generally are not entitled, or any present, gift or gratuity of any kind. A violation of any of the provisions of this section shall be deemed a misdemeanor. Every officer or employee of the city who violates any of the pro- visions of this section shall be guilty of malfeasance and shall be removed from office. ARTICLE XI. ELECTIONS SEC, 61. General and Special -Municipal Elretinns. A municipal election shall be held in the city on the first Monday in May in the year 1911, and on the first Monday in April. 1915, and on the first Monday in April in every second year thereafter, and shall be known as the general municipal election. All other municipal elections that may be held by authority of this charter or of general law shall be known as special municipal elections. SEC. 68. Nominations and Election of G'itg offlerrs. (1) The mode of nomina- tion and election of all elective officers of the city to be veted for at any municipal Flection sliall be as follows and not otherwise: (2) The name of a candidate shall be printed upon the ballot when a petition of nomination shall have been filed in his behalf in the manner and form and under the tnnaitions hereinafter set forth. (3) The petition of nomination shall consist of not less than twenty-five nor more than one hundred individual certificates, which shall read substantially as follows: PETITION OF NOMINATION. STATE OF CALIFORNIA. Cou,gTY OF ..SAN Luis OnISPO, as. CITY OF SA_N LUIS ORisro. 1, the undersigned, do solemnly swear (or affirm) that I am a qualified elector of precinct No. _----_ of the city of San Luis Obispo, and I hereby join in a petition for the nomination of ------------ whose residence is at No. ____ _________ street. San Luis Obispo, for the office of ______________ to be voted for at the municipal oleetion to be held in the city of San Luis Obispo on the ______ clay of ------------ : and I further declare that I am not at this time a signer of any other petition nomi- nating any other candidate for the above named office. or, in case there are several places to be filled in the above named office, that I have not sighed more petitions than there are places to be filled in the above named office. ---------------------------- Subscribed and sworn to before me this ------ day of ---------------------------- Notary or verification deputy. The petition of nomination of which this certificate forms a part shall if found inmficient. be returned to ____________ at No. ____ ____________ street, San Luis Obispo, California. (4) it shall be the duty of the city clerk to furnish upon application a reasonable number of forms of individual certificates of the above character. (5) Each certificate must be a separate paper. All certificates must be of uniform size as determined by the city clerk. Each certificate must contain the name of one signer thereto and no more. Each certificate shall contain the natne of one candidate and no more. Each signer must he a qualified elector. must not at the time of Digitized byGooSle 198 SENATE JOURNAL. [Jan. 16,1911 signing a certificate have his name signed to any other certificate for any other candidate for the same office, nor, in case there are several places to be filled in the Same office, signed to more certificates for candidates for that office than there are places to be filled in such office. In case an elector has signed two or more con- flicting certificates, all such certificates shall be rejected. Each signer must verify his certificate and make oath that the same is true before a notary public or a verification deputy, as provided for in this section. Each certificate shall further contain the name and address of the person to whom the petition is to be returned In case petition is found insufficient. (G) Verification deputies, underthis section, must be qualified electors of the city and shall be appointed by the city clerk upon application in writing signed by not less than five qualified electors of the city. The application shall set forth that the signers thereto desire to procure the necessary signatures of electors for the nomina- tion of candidates for municipal office at an election therein specified, and that the applicants desire the person or persons whose names and addresses are given, appointed as verification deputies. who shall upon appointment be authorized and empowered to take the oath of verification of the signers of petitions of nomination. Such verification deputies need not use a seal, and shall not have power to take oatlis for any other purpose whatsoever, and their appointments shall continue only until nil petitions of nomination, under this section shall have been filed by the city clerk. (i) A petition of nomination, consisting of not less than twenty-five nor more than one hundred individual certificates for any one candidate, may be presented to the city clerk not earlier than forty-five days nor later than thirty days before the election. The clerk shall endorse thereon the date upon which the petition was pre- sented to him. (8) When a petition of nomination is presented for filing to the city clerk. he shall forthwith examine the same, and ascertain whether it conforms to the provisions of this section. If found not to conform thereto, he shall then and there in writing designate on said petition the defect or omission or reason why such petition can not be filed, and shall return the petition to the person named as the person to whom the same may be returned in accordance with this section. The petition may then be amended and again presented to the clerk as in the first instance. The clerk shall forthwith proceed to examine the petition as hereinbefore provided. If neces- sary, the council shall provide extra help to enable the clerk to perform satisfactorily and promptly the duties imposed by this section. (9) Any signer to a petition of nomination and certificate may withdraw his name from the same by filing with the city clerk a verified revocation of his signature before the filing of the petition by the clerk, and not otherwise. He shall then be at liberty to sign a petition for another candidate for the same office. (10) Any person whose name has been presented under this section as a candidate may, not later than twenty-five pinys before the day of election, cause his name to be withdrawn from nomination by filing with the city clerk a request therefor in writing, and no name so withdrawn shall be printed upon the ballot. If upon such withdrawal the number of candidates remaining does not exceed the number to be elected, then other nominations may be made by filing petitions therefor not later than twenty days prior to such election. (11) If either the original or the amended petition of nomination be found suffi- ciently signed as hereinbefore provided, the clerk shall file the. same twenty-five days before the date of the election. When a petition of nomination shall have been filed by the clerk it shall not be withdrawn nor added to and no signature shall be revoked 1 bereafter. (13) The city clerk shall preserve in his office for a period of two years all peti- tions of nomination and all certificates belonging thereto filed under this section. (13) Immediately after such petitions are filed, the clerk shall enter the names of the candidates in a list, with the offices to be filled, and shall not later than twenty days before the election certify such list as being the list of candidates nominated as required by the charter of San Luis Obispo, and the council shall cause said certi- fied list of names and the offices to be filled, designating whether for a full term or unexpired term to be published in the proclamation calling the election at least ten successive days before the election in not more than two daily newspapers of general circulation published in the city of San Luis Obispo. Said proclamation shall con- form in all respects to the general state law governing the conduct of municipal elections, now or hereafter in force, except as above required. t 1.1) The city clerk shall cause the ballots to be printed and bound and numbered as provided for by state paw except as otherwise required in this charter. The ballots shall contain the list of names and the respective officers, as published in the procla- mation and shall be in substantially the following form: GENERAI. (OR 14PECIAL) MUNICIPAL ELECTION, CITY OF SAN LUIS OBISPO. (Inserting date thereof) lnatrurtions to Voters: To vote, stamp or write a cross (t) opposite the name of the candidate for whom you desire to vote. All marks otherwise made are for - Digitized b, GooglL Jan. 16, 1911] SENATE JOURNAL. 199 hidden. All distinguishing marks are forbidden and make a ballot void. If you wrongly mark, tear or deface this ballot, return it to the inspector of election, and obtain another. (16) All ballots printed shall beprecisely on the same size. quality, tint of paler, kind of type, and color of ink, so that without the number it would be impossible to distinguish one ballot from another; and the names of all candidates printed upon the ballot shall be in type of the same size and style. A column may be provided on the right hand side for charter amendments or other questions to be voted upon at the municipal elections, as provided for under this charter. The names of the candidates for each office shall be arranged in alphabetical order. and nothing on the ballot shall be indicative of the source of the candidacy or of the support of any candidate. (16) The name of no candidate, who has been duly and regularly nominated, and who has not withdrawn his name as herein provided, shall be omitted from the ballot. (17) The offices to be filled shall be arranged in separate columns in the following order: "For mayor (if any) vote for one." "For city clerk (if any) vote for one." "For councilman (if any) vote for (giving number)." "For school directors (if any) vote for (giving number)." (18) Half-inch square shall be provided at the right of the name of each candI- date wherein to mark the cross. (19) Half-inch spaces shall be left below the printed names of candidates for each office equal in number to the number to be voted for, wherein the voter may write the name of any person or persons for whom he may wish to vote. (20) The clerk shall cause to be p 'nted sample ballots identical with the ballot to be used at the election and shall furnish copies of the same on application to registered voters at his office at least five days before the date fixed for such election, and shall mail one such ballot to each voter entitled to vote at such election, so that all of said sample ballots shall have been mailed at least three whole daps before said election. (21) The candidates equal in number to the persons to be elected who shall receive the highest number of votes at such election shall be declared elected to the office for which they are candidates. (22) If a person elected fails to qualify, the office shall be filled as if there were a vacancy in such office, as herein provided. (23) No informalities in Conducting municipal elections shall invalidate the same. if they have been conducted fairly and in substantial conformity to the require- ments of this charter. $Ec. 69. General Election Regulations. (1) The provisions of the state law relating to the qualifications of electors, the manner of voting, the duties of election officers. the canvassing of returns, and all other particulars in respect to the manage- ment of elections, so far as they may be applicable, shall govern all municipal elections: provided, that the council shall meet as a canvassing board and duly canvass the election returns within four days after any municipal election. (2) In case voting machines shall be used at municipal elections, the council shall have power, by ordinance. to modify the provisions of section sixty-eight so far as may be necessary to adapt them to the use of voting machines. ARTICLE CII. RECALL OF ELECTIVE OFFICERS. SEC. 70. Procedure Relating Thereto. (1) Every incumbent of an elective office. whether elected by popular vote or appointed to fill a vacancy, is subject to recall by the voters of the city. The procedure to effect such removal from office shall be as follows: (2) A petition signed by qualified electors equal in number to twenty-five per centum of the entire vote cast for mayor at the last preceding general municipal election at which a mayor was elected, demanding an election of a successor of the officer sought to be removed, shall be addressed to the council and presented to the city clerk. The petition may request such election to be held at a special municipal election or at the next general municipal election. The petition must contain a statement of the reasons for the demand. (3) The provisions of section sixty-eight respecting the forms and conditions of the petition and the mode of verification and certification and filing shall be sub- stantially followed, with such modifications as the nature of the case requires. (4) If the officer sought to be removed shall not resign within five days after the petition is filed by the city clerk, and if the petition requests a special election, the council shall cause a special election to be held within forty-five days to determine whether the people will recall said officer, or, if a general municipal election is to occur within sixty days, the council may in its discretion postpone the holding of such election to such general municipal election. (5) In the published call for the election there shall be printed in not more thea two hundred words the reasons for demanding the recall of the officer as set Diyilized by Google 200 SENATE JOURNAL. [Jan. 16, 1911 forth in the recall petition, and in not more than two hundred words the officer may justify his course in office. (6) The officer sought to be removed shall be deemed a candidate, and, unless he resigns, his name shall be printed on the ballot. The nomination of other candi- dates and the election shall be in accordance with the provisions of section sixty- eight. (T) The officer sought to be removed shall, if he do not resign, continue to per form the duties of his office until the election, and. if he fail of election, he shall be deemed removed from office. (8) No recall petition shall be filed against any officer until he has actually held his office for at least three months. (9) No person who has been recalled from an elective office, or who has resigned from such office while recall proceedings were pending against him. shall be appointed to any office within one year after such recall or resignation. (30) The council may by ordinance make such further regulations as may be necessary to carry out the provisions of this section, and to adapt the provisions of section sixty-eight thereto. ARTICLE \III. THE INMATIVE. SEs. 71. Procedure Relating Thereto. (1) Any proposed ordinance may be submitted to the council by a petition signed by registered electors of the city equal in number to the percentage hereinafter rquired. (2) The provisions of see ion sixty-eight of Article NI res )ecting the forms and conditions of the petition and the mode of verification and certiAcation and filing shall be substantially followed, with such modifications as the nature of the case requires. (3) If the petition accompanying the proptased ordinance be signed by electors: equal in number to twenty-five per centum of the entire vote cast for all candidates for mayor at the last preceding general municipal election at which a mayor was elected. and contain a request that said ordinance be submitted forthwith to the vote of the people at a special election, then the council shall either: (a) Pass said ordinance without alteration within twenty days after the attach- ment of the clerk's certificate of sufficiency to the accompanying petition (subject to a referendary vote, under the provisions of Article \I1' of ibis charter) or. (b) Within twenty-five days after the clerk shall have attached to the petition accompanying such ordinance his certificate of sufficiency. the council shall proved to call a special election at which said ordinance without alteration shall be sub- mitted to a vote of the people. (4) If the petition be signed by electors equal in number to at least ton. but less than twenty-five, per centum of the entire votes cast for all candidates for mayor at the last preceding general municipal election at which a mayor was elected. and said ordinance be not passed by the council as provided in the preceding sub- division, then such ordinance, without alteration. shall be submitted by the council to a vote of the people at the next general municipal election that shall occur at any- time after twenty days from the date of the clerks certificate of sufficiency attached to the petition accompanying such ordinance. (5) Whenever any ordinance or proposition is required by this charter to be sub- mitted to the voters of the city at any election either (a) the council shall cause the ordinance or proposition to be printed and it shall tie the duty of the clerk to enclose a printed copy thereof in an envelope with a sample ballot and mail the same to each voter, at least three days prior to the election. or (b) the council may order such ordinance or proposition to be printed in the official newspaper of the city and published in like manner as ordinances ndopted by the council are required to he published, and may order that each publication shall take the places of the prititin- and mailing of the ordinance or proposition and of the sample ballots as first above provided. (6) The ballots used when voting upon such proposed ordinance shall contain the words "For the Ordinance" (setting forth in full the title thereof and statin_ the general nature of the proposed ordinance) and "Against the Ordinance," (settiu;z forth in Atli the title thereof and stating the general nature of the proposed ordi- nance). If a majority of the qualified electot:s voting on said proposed ordinance shall Cote in favor thereof, such ordinance shall thPeculion become a valid and binding ordinance of the city. (T) Any number of proposed ordinances may be voted upon at the same election. in accordance with the provisions of this article. (8) There shall not be held under this article of the clinrter more than one special election in any period of six months. (9) The council may submit a proposition for the repeal of any such ordinance. or for amendments thereto, to be voted upon at any succeeding general municipal election; and should such proposition, so submitted, receive a majority of the votes cast thereon at such election, such ordinauce shall be repealed or amended accord- ingly. An ordinance proposed by petition, or adopted by a vote of the people, can not be repealed or emended except by a vote of the people. (10) The council may, by ordivanev. make such further regulations as may be, necessary to carry out the provisions of this section, and in adapt the .provisions of section sixty-eight of Article \I thereto. Digi fl.0 ny G 00g le Jam 167 1911 ] SENATE JOURNAL. 201 ARTICLE XI\'. THE REFERENDUM. $Ec. 72. Mode of Protesting Against Ordinances. No ordinance passed by the council Shall go into effect before thirty days from the time of its final passage exc tt when otherwise required by the general laws of the State or by the provisions of this Charter respecting street improvements. and except the ordinance making the annual tax levy, and except an ordinance for the immediate preservation of the public peace, health or safety. which contains it statement of its urgency, and is passed by a four-fifths vote of the council; provided, that no grant of any franchise shall be construed to be an urgency measure, but all franchises shall be subject to the referendum vote herein provided. If during said thirty days a petition signed by qualified electors of the city equal in number to at least ten per centum of the entire vote cast for all candidates for mayor at the last preceding general municipal election at which a manor was elected, protesting against the passage of such ordinance, be presented to ties council, the same shall thereupon be suspended from going into operation and it shall be the duty of the council to reconsider such ordinance, and if the same be not entirely repealed. the council shall submit the ordinance, as is provided in Article XIII of this charter, to the vote of the electors of the city, either at the next general municipal election or at a special election to he called for that purpose, and such ordinance shall not go into effect or become operative unless a majority of the qualified electors voting on the same shall vote to favor thereof. The provisions of section sixty-eight of Article 4I respecting the forms and condi- tions of the petition and the mode of verification and certification and filing shall be substantially followed, with such modifications as the nature of the case requires. SEC. i3. Reference of Measures to Popular Vote. Any ordinance or measure that the council or the qualified electors of the city shall have authority to enact, the council may of its own motion submit to the electors for adoption or rejection at a general or special municipal election, in the same manner and with the same force and effeet as is provided in this charter for ordinances or measures submitted on petition. At any special election called under the provisions of this charter, there shall be no bar to the submission of other questions to a vote of the electors in addi- tion to the ordinances or measures herein provided for. if said other questions are such as may legally be submitted at such election. If the provisions of two or more measures approved or adopted at the same election conflict, then the measure receiving the highest affirmative vote shall control. SEC. 74. Further Regulations. The council mayt, by ordinance, make such further regulations as may be necessary to carry out the provisions of this article, and to adapt the provisions of section sixty-eight of Article SI thereto. ARTICLE XV TILE PUBLIC SCHOOLS. SEC. 75. School Department. The school department of the city of San Luis Obispo shall comprise all the schools within the city of flan Luis Obispo. the Mission school district, and all territory that is now or may hereafter be annexed for school purposes; and shall be known as "San Luis Obispo School District." which' shall succeed to all the obligations. property, rights and privileges of the ,fission school district and the San Luis Obispo high school district. SEc. 7fi. Elections. All territory included within the limits of the San Luis Obispo school district, but not within the city limits, shall be deemed a part of said city for the Purpose of holding municipal elections, and shall constitute one or more separate precincts, and the qualified electors therein shall tote only for the school directors and on questions submitted to a vote of the people pertaining to school matters; and said outside territory shall be deemed a part of said city for all mntters connected with the school department and with the levying and collecting of .all taxes for school purposes. SEC. 77. The Board of Education. The board of education shall have entire control and management of the public schools in the city in accordance with the constitution and. general laws of the State, and is hereby vested with all tlrs powers and charged with all the duties provided by this charter and by the general laws of the State for city boards of education. SEC. 78. President of Board. The board of education shall annually oleet cue of its own members to be president of the board. He may be removed by the affirmative vote of four members. The president shall have no other vote [Ilan his vote as member of the board. SEC. 9. Mcctinga. The board of education ;hall meet at such times as may be designated by resolution of said board and in the place provided therefor by the council. The board shall provide the manner in which special m?etings shall be called. SEC. So. (Quorum. Three members of the lionrd shall constitute a quorum, and the affirmative votes of three members shall be necessary to Pass any measure. bat a less number than three may ad.ionrn from day to day- and compel the at- tendantt. of alx ent members iu such manner as the board may prescribe. Digitized by, Google 202 SENATE JOMWAL. [Jan.16,1911 SEC. 81. Rules. The board of education may determine the rales of Its pro- ceedings. SEC. 82. Meetings to Be Public. All meetings of the board of education shall be public. SEC. 83. Superintendent of Schools. The board of education iahall appoint a s4erintendent of schools and fix his compensation. SEC. S} Powers and Duties of Superintendent. The superintendent of schools shall he the executive officer of the board of education and he shall give his full time to the duties of his office. He shall be subject only to the board of education and all orders of the board relating to the direction of the principals, teachers, and janitors shall be given through him. He must examine all plans for the construc- tion or reconstruction of school buildings and report in writing to the board any objections he may find thereto. He shall have supervision of the course of instruc- tion and of the discipline and conduct of the schools. He, or a deputy superintend- ent, may be required to act as secretary of the board of education. SEC. 95. Teachers. How Nominated.. The superintendent of schools shall nomi- nate and recommend all teachers and principals for election by the board of educa- tion. He shall assign all teachers and principals and make all transfers necessary to the successful operation of the schools. SEc. 80. Election of Teachers. The board of education shall elect all teachers, but only from a list of candidates nominated and recommended by the superintendent of schools. The board of education may make rules in accordance with which the superintendent must make such nominations and recommendations. SEC. 8T. School Warrants. Every claim payable out of the school fund shall be filed with the secretary of the board of education, and after it shall have been approved by the board a certificate of such approval shall be endorsed thereon, signed by the president and secretary, and a warrant upon the school fund shall be issued thereon for the payment of such claim. Said, warrant shall be signed by the president and countersigned by the secretary and shall specify the purpose for which it is drawn and receive the approval of the city clerk as provided in section fifty-six. SEc. S8. Annual Estimates of Expenses. The board of education shall annually, on such date as shall be fixed by the council. submit In writing to the council a careful estimate of the whole amount of money to be received from the State and county for the support of the public schools in the city, together with a careful estimate of the amounts, specifying in detail the objects thereof, required from the city for the adequate support of the public schools for the ensuing year. The amonnt estimated to be required from the city shall, subject to the provisions of this charter, be assessed and collected in the annual tax levy. The proceeds of such tax shall be immediately paid into the school fund of the city, to be drawn out only upon the order of the board of education. ARncLF YCI. ' FRANCHISES. SEC. ,40. Property Rights Inalienable. The right of the city in anis to its streets, highways, parks and all other public places, except as otherwise provided in this charter, are hereby declared inalienable. SEc. 90. Franchise Required. No person, firm or corporation shall ere; exer- cise any franchise or privilege mentioned in this article except in so far Re he or. it may be entitled to do so by direct authority of the constitution of California or of the constitution and laws of the United States, in, upon, over, under and along any street, highway or other public plane In the city unless he or it shall have obtained a grant therefor in accordance with the provisions of this article of this charter. SEC. 91. Franchises. How Granted. Every franchise or privilege to construct or operate street, suburban or interurban railroads along, upon, over or under any street, highway, or other public place or to lay pipes or conduits or to erect poles or -wires or other structures in, upon, over, under or along any street, highway or other public place in the city for the transmission of gas or electricity, or for any purpose whatever, shall be granted upon the conditions in this article provided, and not otherwise. SEC. 92.. Manner of Granting Franchises. The provisions of the state law relating to the application for, conditions of, and method and manner granting franchises, in so far as they do not conflict with the provisions of this charter and so far as they may be applicable, shall apply to the granting of all franchisee by the city. SEC. 93. Life of Franchise. The maximum length of time for which a franchise or privilege to use the streets, highways or other public places of the city may be granted to any person, firm or corporation shall be thirty-five (33) years. SEC. 94. Service and Accommodation. The grant of every franchise or priv- ilege shall be subject to the right of the city, whether reserved or not, to make all regulations which shall be necessary to secure in the most ample manner the safety. welfare and accommodation of the public, including among other things the Digitized by G®OSIe Jan. 1671911 ] SENATE JOURNAL. 203 right to pass and enforce ordinances to protect the public from danger and incon- venience in the operation of any work or business authorized by the grant of the franchise and the right to make and enforce all such regulations as shall be reason- ably necessary to secure adequate, sufficient and proper service and accommodation. for the people and insure their comfort and convenience. SEc. 95. hates and Charges. The grant of every franchise or privilege shall be subject to the right of the city, whether reserved or not, to prescribe and regulate the rates, fares, rentals or charges made for the service rendered under such franchise. but in no case shall the value of the franchise of the grantee (exclusive of the amount ori-,inally paid to the city for such franchise and of any tax or annual charge) be considered or taken into account in prescribin4 and regulating such rates, fares. tentals or charges. The grant of every franchise for a street, suburban or later - urban railroad shall provide that all United States mail carriers, policemen and fire - n. n of the city shall at all times, while -in the actual discharge of their duties, be allowed to ride on the mars of such railroad within the boundaries of the city, without laying therefor and with all the rights of other passengers. Syc. W. Right of City to Assume Ownership. Every ordinance granting any franchise shall provide that at the expiration of the period for which the franchise was granted, or at any time before as stated in the ordinance, the city, at its election and upon the payment of a fair valuation therefor to be made in the mannerro- vided in the ordinance making the grant, may .purchase and take over to itself the property -and plant of the grantee in its entirety. but in no mase shall the value of the franchise of the grantee (exclusive of the amount originally paid to the city therefor) be considered or taken into account in fixing such valuation. Or it may be provided in the ordinance granting any franchise that the property and plant of the grantee shall, at the expiration of the period for which the franchise was granted. become the property of the city, without any compensation to the -grantee. Sw. 97. No Conveyance Necessary. Every ordinance granting any franchise shall further provide that upon the payment by the city of a fair valuation in the canner provided in the ordinance, the plant and property of the grantee shall become the property of the city by virtue of the grant in payment thereunder, and without the execution of any instrument or conveyance. Or in mase it is provided in the ordinance granting any franchise that the property and plant of the grantee shall at the expiration of the period for which it was granted, become the property of 'the city -without any compensation to the grantee., the property and plant of the grantee shrill then become the property of the city by vir file .qf the grant and without the eac-c•urion of any instrument or conveyance. SE(-. 98. Lease or Assignment of Franchises. Any franchise granted by the city shall not be leased, assigned or otherwise alienated without the express consent of the city, and no dealings with a lessee or assignee on the part of the city to require the 1„•rformance of any act or payment of any compensation by the lessee or assignee sEall be deemed to operate as such consent; provided, that nothing herein shall be ec-nsrrued to prevent the Grantee of such franchise from including in it a mortgage gr trust deed executed for the purpose of obtaining money for corporate objects. St -c- 99. Strect Sprinkling. Cleaning and Parting. Every grant of any franchise or privilege in. over. under or along any of the streets, highways or public places in the city for railway purposes, shall be subject to the conditions that the person, firm or corporation, exercising or enjoying the same shall sprinkle, clean, keep in repair, and pave and repave so much of said street, highway or other public place as may be occupied by said railway as lies between the rails of each railway track. and between the linea of doable track, and for a space of two feet outside of said tracks. SEC.. 100. Examination of Books. The city of San Luis Obispo, by its city clerk. or accountants authorized by the city clerk, or by the council, shall have the right al all reasonable times to examine all books, vouchers and records of any person. Frm or corporation exercisinkr or enjoying any franchise or privilege granted by the city for the purpose of verifying any of the statements of gross receipts provided for. and for any other purpose whatsoever connected with the duties or privileges of the city or of such person, firm or corporation arising from this charter or from the ordinance granting the franchise. and may audit the same at the end of each year. SEc. 101. Annual Reports. Every person. firm or corporation operating any business under A franchise granted under this article. after five years from the rrsntin_ thereof, shall file annually with the city clerk on such date as shall be fixed hr the council a report for the preceding year. Much report shall be in writing. verified by the affidavit of such person or persons, or officer of the corporation. as the council shall direct, and shall contain a state- ment. in such form and detail as %hall from time to time be prescribed by the council of all the gross receipts arising from all the business done by said person, firm or corporation within the city of San Luis Obispo for the year immediately preceding such report. Such report shall contain such further statements as may be required by the council concerning the character and amount of business done and the amount of receipts and expenses connected therewith, and also the amount expended for new onnstruction, repairs and betterments during such year. Diglized by Goode `LOT SENATE JOURNAL. [Jan. 16,1911 SEc. 102. Payment of Gross Receipts. The stipulated percentage of gross receipts shall be paid annually at the time of filing the annual report. Failure to pay such lx•rcentage shall work a forfeiture of the franchise. The provisions as to payment of gross receipts shall apply to every person, firm or corporation using or operating the works constructed under such franchise. SEc. 103. Forfeiture. Every ordinance granting any franchise or privilege shall provide for the termination and forfeiture thereof for any breach or failure to comply rrth any of the terms, limitations or conditions thereof. and in all such cases the council shall have power to declare the termination and forfeiture of any such fran- chise or privilege, the same as though in each instance such power was expressly reserved. SEs. 104. Franchises Not in Use Forfeited. All franchises and privileges here- tofore granted by the city which are not in actual use or enjoyment or which the grantees thereof have not in good faith commenced to exercise, shall be declared for felted and invalid, unless such grantees or their assigns shall, within six months after this charter takes effect, in good faith commence the exercise and enjoyment of such privilege or franchise. Awn= XVII. 30scELL&NEovs. SEC. 103. When This Charter Takes Effect. For the purpose of nominating can- didates and electing mayor, city clerk, councilmen and school directors in accordance with this charter. this charter shall take effect from the time of the approval of the same by the legislature; for all other purposes it shall take effect on the 15th day of Mag. 1911. SEc. 106. First Election. The board of trustees of the city of San Luis Obispo in office at the time this charter is approved by the legislature shall provide for the holding of the first election of officers under this charter, shall canvass the votes. declare the result and approve the bonds of all officers elected at such election. SEC. 107. Ten=s of Incumbents in Office. The members of the board of trustees. the city clerk and the members of the board of education in office at the time of the approval of this charter by the 1 islature shall continue to hold office and discharge their duties until the election and qualification of the mavor, city clerk, councilmen and school directors, respectively, first elected under this charter. The term of each of all the other officers in office at the time this charter takes effect shall cease and terminate when the council first elected hereunder shall by reso- lution so declare. SEC. 108. Existing Ordinances Continued in Force. All lawful city ordinances, resolutions and regulations in force at the time this charter takes effect and not incon- sistent with the provisions thereof are hereby continued in force until the same shall be duly nmended or repealed. SEC. 109. Conduct of Legal Proceedings. The city attorney shall prosecute, in behalf of the people, all criminal cases mising from violations of the provisions of this charter and the ordinances of the city, and shall attend to all suits and pro- ceedings in which the city may be legally interested: prorkled. the council shall have control of all litigation of the city and map employ other attorneys to take charge of any litigation or to assist the city attorney therein. SEC. 110. Violation of Charter and Ordinances. The violation of any of the pro- visions of this charter or of any ordinance of the city shall bp deemed a misdemeanor. Mid mayhe prosecuted by the authorities of the city' in the name of the people of the state of California, or may be redressed by civil action, at the option of said authori- ties. Any person sentenced to imprisonment for the violation of a provision of this charter or of an ordinanc- cony he imprisoned in the citV jail, or, if the council by ordinance shall so prescribe. in the county jail of the county in which the city of San Luis Obispo is situntpd. in which case the expense of such imprisonment shall be a charge in favor of such county against the city of San Luis Obispo. CERTIFICATE. WneaEAs. The city of can Luis Obispo. it city containing a population of more than throe thousand and five hundred and less than ten thousand inhabitants, on the eleventh day of April. nineteen hundred and ten. at n general election. andunder and in accordance with the provisions of section eight, article eleven of the con- stitution of the State of California. did elect Geo. H. Andreas. S. D. Ballou. Jnm• s Blackburn. Forrest E. Brown. A. L. Dutton. J. F. Hayes, Warren M. John, W. A. Kesler: W. H. Metz. A. McAlister. Howard M. Paynp. L. F. Sinsbeimer. F. L. Smith, 1t. M. Smith and W. �f. Stover a board of fifteen freeholders to prepare and pronose a charter for said city: BE IT Ksowv. That in pursunnee of said provisions of the constitution and within a period of ninety clays. nfter said election. said board of freeholders has prepared and does propose the. foregoing as and for the charter of the city of San Luis Obispo. and thnt in submitting and proposing such charter. the board of frpti holders, pursuant to said provision of the constitution, also presents therewith for the choice of the voters. and to be voted on separntely. without prejudice to the other provisions enntnined in the chnrtpr. an nitornntic•e proposition hereinafter stated. Digilized by Goo�le oan.16,19111 SENATE JOURNAL. 205 Said alternative proposition shall, if approved by the voters, take the place of Section 67 of Article XI of the proposed charter, which reads as follows: "A municipal election shall be held in the city on the first Monday in May in the year 1911. and on the first Monday in April in 1913, and on the first Monday in April in every second year thereafter, and shall be known as the general municipal election. All other municipal elections that may be held by authority of this charter or of zeneral law shall be known as special nn. 1pal elections"; and also of Subdivision 21 of Section 68 of Article XI os the prmoposed charter, which reads as follows: "The candidates equal in number to the persons to be elected who shall receive the highest number of votes at such election shall be declared elected to the office for which they are candidates." Said alternative proposition shall be submitted to the voters for their approval or rejection at the same election at which the charter shall be submitted, and upon the ballots shall be printed. "Shall the alternative proposition, providing for second elections, take the place of Section 6i of Article XI and Subdivision 21 of Section 68 of article XV' Said alternative proposition is as follows: SEc. 67. A municipal election shall be held in the city on the second Monday in .April in the year 1911, and on the first Monday in April in 1913, and on the first Monday in April in every second year thereafter, and shall be known as the general municipal election. A second election shall be held, when necessary, as provided in Subdivisions 21 of Section 68, on the third Monday after said general municipal election, and shall be known as the second general municipal election. All ether municipal elections that may be held by authority of this charter or of general law shall be known as special municipal elections. Sac. 68. (21) In case there is but. one person to be elected to any office, the candidate receiving a majority of the votes cast for all the candidates for that office shall be declared elected; in case there are two or more persons to be elected to an office, as that of councilman, or school director, then those candidates equal in number to the number to be elected, who receive the highest number of votes for each office shall be declared elected; provided, howcscr, that no person shall be declared elected to any office at such first election unless the number of votes received by him shall be greaterthan one half of the number of ballots cast at such election. If at any election held as above provided there be any office to which the required number of persons was not elected, then as to such office the said first election Anil be considered to have been a primary election for the nomination of candi- dates, and a second election shall be held to fill said office. .The candidates not elected at such first election, equal in number to twice the number to be elected to any given office, or less if so there be, who receive the highest number of votes for the respective offices at such first election, shall be the only candidates at such second election, provided, that if 'there be any person, who, under the provisions of this subdivision, would have been entitled to become a candidate for any office except for the fact that some other candidate received an equal number of .votes therefor. then all such persons receiving such equal number of vo%es shall likewise become candidates for such office. The candidates equal in number to the persons to be elected who shall receive the highest number of votes at such second election shall be declared elected to such office. The said second election, if necessary to be held, shall be held three weeks after the first election. All the provisions and conditions above set forth as to the conduct of an election, so far as they may be applicable, shall govern the second election, except that notice of election need be published twice only, and provided also that the same precincts and polling places shall, if possible, be used. IN Wrrigkss AECasoF, We have hereunto set our bands in duplicate this 8th day of July, one thousand nine hundred and ten. WARREN M. JOHN. President HOWARD M. PAYNE, Secretary. A. McALISTER. F. L. SMITH. J. F. HAYES. W. M. R. M. S.D.] Digitized by l oc®Sle 206 SENATE JOURNAL. [Jan.16,1911 STATE of CALIF wrA, CouNTY of SAN Luis OBIspo, ss Orr of SAN Luis OBtspo. I, E. W. CLAsx, president of the board of trustees of the city of San Luis Obispo, State of California, do hereby certify that I now am and at all the times herein mentioned was the duly elected, qualified and acting president of said board of trustees of the city of San Luis Obispo; That Warren 31. John, Howard M. Payne, A. McAlister. F. L. Smith, J. F. Hayes, W. A. Kesler, James Blackburn. Geo. H. Andrews, A. L. Dutton, Forrest E. Brown, W. M. Stover, R. M. Smith, S. D. Ballou, L. F. Sinsheimer and W. H. Metz, a majority of whose names appear signed to the foregoing proposed charter and the alternative proposition were and each of them was on the 11th day of April.. 1910, duly elected by the qualified voters of said city as a board of free- holders to prepare and propose a charter for said city; that each of the persons so, elected was a freeholder and was at the time of said election, and had been con- tinuously for more than five (b) years immediately prior thereto a qualified elector of said city of San Luis Obispo; that said board of freeholders in accordance with law. prepared and proposed a charter and prepared and proposed the foregoing alternative proposition for said city of San Luis Obispo in duplicate; that the foregoing is a full, true and correct copy of said proposed charter for said city of San Luis Obispo, including the said alternative proposition. which were prepared and proposed by said board of freeholders, one cOpy,of which said proposed charter and .of said proposed alternative proposition was duly returned to me, as president of the said board of trustees of the city of San Luis Obispo and the other copy thereof was duly returned to and filed with the recorder of the county of San Luis Obispo, all within ninety (90) days after said election, as required by Sec- tion 8 of Article 11 of the Constitution of this State; thatsuch yroposed charter and the said alternative proposition were then published in the "Morning Tribune" (the same being a daily newspaper of general circulation in said city) for more than twenty (20) days and the first publication thereof was made within twenty days after completion of said proposed charter and said alternative proposition; that within thirty (30) days after the publication of said proposed charter and the said alternative proposition as aforesaid and as required by said Section 8 of. Article 11 of said Constitution, to wit: On the 12th day of September, 1910, said proposed charter and said alternative proposition were submitted at a special election duly beld and called therein for the purpose of ratifying or rejecting said pro charter and the alternative proposition submitted therewith; that by a majority of the votes of the qualified electors voting at said election, said proposed charter was ratified as a whole and said alternative proposition therein contained being voted upon separately was rejected, by a majority of such votes: that the returns of said election were duly canvassed by the board of trustees of said city of San Luis Obispo, on the 19th day of September, 1910, and the result thereof declared as above set forth; that in all matters and things pertaining to said proposed charter and the said alternative proposition the provisions of Section 8 of Article 11 of the constitution and the laws of the State of California pertaining to the adoption of add proposed charter and of said alternative proposition have in every particular been fully complied with. IN WrrNEss WE[Emr, I hereunto set my hand and cause the corporate seal of Said city of Sun Luis Obispo to be affixed, this 22nd day of December, 1910. E. W. CLARK. [REAL] President of the Board of Trustees of the City of San Luis Obispo. Attest : W. J. MILES. City Clerk and ex officio Clerk of the Board of Trustees of the City of San Luis Obispo. AND WnEmAs. said proposed charter has been duly presented and submitted to the Legislature of the State of California for approval or rejection without power of alteration or amendment. in accordance with Section 8 of Article 11 of the Con- stitution of the State of. California; now, therefore, be it Resolred by the Senate of the State of .California. the Assembly thereof con- curring (a majority of all the members elected to each house voting for the adoption of this resolution and concurring therein) that said charter of the city of San Luis Obispo as presented to, adopted and ratified by the qualified electors of said city be. and the same is hereby, approved .as a whole as and for the charter of the said city - of San Luis Obispo. Senate concurrent resolution read. The question being upon the adoption of the Senate concurrent resolution. The roll. was called, and Senate Concurrent Resolution No. 4 adopted b}• the following vote: AYES—Senators Acey. Behan. Bell. Bilis, Black. Boynton. Burnett, Caminetti, Campbell, Cassidy. Fstudillo, Finn. Gates, Ilans. Holoban. Hutd,Juilliard, Larkins' Digitized by Google Jan. 16, 19111 SENATE JOURNAL. 207 Lewis. Martinelli, Regan, Roseberry, Rush, Sanford, Shanahan, Stetson, Thompson, Tyrrell, Walker, Welch, and Wolf"I. INdw—None. Senate Concurrent Resolution No 4 ordered engrossed and trans- mitted to the Assembly. Senate Bill No. 115—An Act to amend the Political Code by adding to Article XIII of Chapter IV, Title II, Part IV thereof, a new section, to be numbered section four thousand and eighty-eight a, relating to the issuance of county bonds. Read third time. The question being on the passage of the bill. The roll was called, and Senate Bill 'No. 115 passed by the following vote: AYs--Senators Avey, Beban, Bell. Bills, Birdsall. Black, Bo}nton, Bryant. Bar- nett. Caminetti, Campbell, Cassid)�. Curtin. Estudillo. Finn. Gates, Hans. Hurd, Juilliard, Larkins, Lewis, Martinelli, Refan. Roseberry, Rush, Shanahan, Stetson, Strobridge, Thompson, Tyrrell, Walker, R elch, Wolfe, and Wright -34. Nose --Done. Title read and approved. Bill ordered transmitted to the Assembly. SECOND READING OF BILLS. Senate Bill No. 43—An Act to amend an Act entitled "An Act con- eerning dependent and delinquent minor children, providing for their este, custody and maintenance until twenty-one years of age.; providing for their commitment to the Whittier State School and the Preston State Sehool of Industry, and the manner of such commitment and release therefrom, establishing a probation committee and probation officers to deal with such children, and fixing the salaries of probation officers; providing for detention homes for said children; providing for the punishment of persons responsible for, or contributing to, the depend- ency or delinquency of children; and giving to the Superior Court jurisdiction of such offenses, and repealing inconsistent Acts," ap- proved March 8, 1909, by amending Section 10 j, relating to probation officers in counties of the eighth, tenth, sixteenth and seventeenth classes, and providing for an assistant probation. officer in counties of the eighth elass. Bill read second time, ordered engrossed, and on file for third reading. MOTION. Senator. Wolfe moved that Senate Bill No. 43 be recalled from engrossment, and referred to Committee on County Government. Motion carried. SECOND READING OF BILLS -RESUMED). Senate Bill No. 133—An Act to amend section seven hundred and eighty-nine of an Act entitled "An Act to establish a Civil Code," approved March 21, 1872, relating to termination of estates. Bill read second time, ordered engrossed, and on file for third reading. DVrRODUCTION AND FIRST READING OF BILLS, ETC.—(OT:T OF ORDER). By Senator Curtin: Senate Bill No. 372—An Act to amend sections six hundred eighty and six hundred eighty-one of the Political Code, Digitized by Goode CHARTER of the City of San Luis Obispo California Adopted on June 6, 1978 With Amendments Adopted Through November 7, 2000 Filed with the Secretary of State State of California January 8, 2001 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application............................................................... 1 ARTICLE II. Form and Powers of Municipality ......................................................... 2 ARTICLE M. Municipal Elections.............................................................................. 3 ARTICLE IV. Elective Officials.................................................................................. 4 ARTICLE V. Council Powers and Procedures........................................................... 6 ARTICLE VI. Legislative Actions.............................................................................. 7 ARTICLE VII. Appointive Officials............................................................................ 9 ARTICLE VIII. Fiscal Administration............................................................._.._.._...... 12 ARTICLE IX. Public Works Contracts...................................................................... 14 ARTICLE X. Licenses and Franchises...................................................................... 16 ARTICLE XI. Personnel Administration.................................................................... 18 ARTICLE XII. Boards and Commissions.................................................................... 22 INDEX........................................................................................................... 23 ARTICLE I. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal Corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter. This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall' is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word "Council" when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charteris made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated. The City Administrative Officer shall be responsible for the enforcement of the provisions of the Charter. (Amended November 5,1996 - Measure "It".) ARTICLE H. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor - Administrative Officer" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall, except as herein otherwise provided, be exercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter, shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. SECTION 203. Powers of City. 0) The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such functions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE III. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. (Amended April 9, 1991- Measure "C".) SECTION 303. Special Municipal Elections. 3 All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Council Members each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ticket from the City at large. The Council Members shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Council Member of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Council Members shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. (C) (Deleted November 5,1996 - Measure "S".) SECTION 405. Limitation of Terms. 4 Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. (Amended November 5,1985 - Measure "C".) SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Council Member's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused there from by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new term takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article M. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. (Amended November 5, 1996 - Measure "Q".) SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the Administrative Officer in matters of policy. The Mayor shall present an annual work program to the Council for its consideration at the first meeting in May. The Mayor shall have the responsibility for forwarding the work program approved by the Council. The Mayor shall be recognized as the official head of the City for all ceremonial purposes and Mayor shall be Chairperson of the Disaster Council during an emergency. The Mayor shall exercise such other powers and perform such other duties as may be prescribed by law or ordinance or by resolution of the Council, except as limited by this Charter. (Amended November 5,1996 - Measure "T".) SECTION 408. Mayor Pro Tempore 5 The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Council Member to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Council Member shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Council Members. (Amended November 5,1996 - Measure "U".) Compensation for Mayor and Council Members shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective January 1st of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Council Member expenses incurred for official business shall be reimbursed. (Amended June 3,1986 - Measure "C".) ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the 6 public. SECTION 503. Quorum. A majority of the Council Members shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote. Failure or refusal to vote shall be construed as an affirmative vote. SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council. The Council shall have the power and authority to compel the production of evidence before it. Subpoenas may be issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral 7 motion duly made and passed. Ordinances shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. (Amended November 5,1985 - Measure "D".) SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: "Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: "Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. il Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. (Amended November 5, 1985 - Measure "D".) SECTION 607. Repeal. No ordinance or section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. (Amended June 3,1986 - Measure "D".) ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Administrative Officer, a City Treasurer, a City Clerk, a City Attorney, and such assistants or deputies, as the Council may deem necessary. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Administrative Officer. z SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Administrative Officer, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Administrative Officer. The City Administrative Officer shall be the administrative head of the government of the City. As such, the City Administrative Officer shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government that the office controls. Any action, determination or omission of the Administrative Officer or staff shall be subject to review by the Council but no individual Council Member or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The Administrative Officer shall advise and make recommendations to the Council concerning any conditions or governmental situations that need Council direction or policy determination. The Administrative Officer will insure that the Council, as a whole or as individuals, are permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Administrative Officer shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Council Members. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Administrative Officer. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Administrative Officer from supplementing the provisions of this section. In SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt a Personnel Policy by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Administrative Officer shall be terminated within the three (3) months immediately following the appointment of a new City Administrative Officer. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Personnel Department. (Amended November 5,19% - Measure "V".) SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the City Administrative Officer. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADNIINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Administrative Officer shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Administrative Officer shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and raised by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Administrative Officer and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an 12 application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Administrative Officer, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. 13 ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (Amended November 5, 1996 - Measure "X".) (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Administrative Officer, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversized facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider on a fixed formula basis established at least annually by Council resolution. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called.for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed, or to the receipt of a greater amount or different kind of materials or supplies than has been actually received, any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. 14 (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council by ordinance or resolution shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law governing the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work. SECTION 906. Sale or Lease of City Property. The following regulations shall be applicable to City -owned property: No sale or lease of real property nor any sale of personal property of a value in excess of one hundred dollars ($100.00) nor any lease of personal property for a period exceeding three (3) years shall be authorized by the 15 Council except by resolution passed by the affirmative vote of three-fifths (3/5) of all the members of the Council. SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a. manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. (Amended November 5,1985 - Measure "E".) SECTION 909. Use of Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and not to allow additional development. (Added November 5, 19% - Measure "P".) ARTICLE X. LICENSES AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the Ti terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) or more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it is indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipal or public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of 17 eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City and facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Administrative Officer shall be responsible for the enforcement of all provisions of the grant. SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XI. PERSONNEL ADMINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Administrative Officer, 1R the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. (Amended June 6,1978 - Measure "F".) SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California that shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. SECTION 1106. Reserved for Future Use. SECTION 1107. Impartial and Binding Arbitration For San Luis Obispo Police Officers Association and ,San Luis Obispo Firefighters Association, IAFF Local 3523, Employee Disputes. (A) Declaration of Policy. It is hereby declared to be the policy of the City of San Luis Obispo that strikes by firefighters and police officers are not in the public interest and should be prohibited, and that a method should be adopted for peacefully and equitably resolving disputes that might otherwise lead to such strikes. (B) Prohibition Against Strikes. No City of San Luis Obispo firefighter or police officers shall willfully engage in a strike against the City. Any such employee against whom the City brings charges of failing to report for work as part of a strike shall be subject to dismissal from his or her employment in the event the charges are sustained upon conclusion of the proceedings that are required by law for the imposition of disciplinary action upon said employee. Lei (C) Obligation to Negotiate in Good Faith. The City, through its duly authorized representatives, shall negotiate in good faith with the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, as the exclusive representatives of representation units comprised solely of employees of the police department and/or the fire department, as such units are currently constituted or as they may be amended through negotiation or arbitration as provided in this section, on all matters relating to the wages, hours, and other terms and conditions of City employment. Unless and until agreement is reached through negotiations between authorized representatives of the City and said employee organization or organizations or a determination is made through the impartial arbitration procedure hereinafter provided, no existing benefit, term or condition of employment for employees represented by the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, shall be altered, eliminated or changed. (D) Impasse Resolution Procedures. (1) All disputes, controversies and grievances pertaining to wages, hours or terms and conditions of City employment which remain unresolved after good faith negotiations between the City and said employee organization shall be submitted to a three member Board of Arbitrators upon the declaration of an impasse by the City or by said employee organization. Upon declaration of impasse by either party, the City and employee organization shall each exchange a written last offer of settlement on each of the issues remaining in dispute. Written last offer of settlement shall be exchanged between parties within two days of the declaration of impasse. (2) Representatives designated by the City and representatives of the employee organization shall each select and appoint one arbitrator to the Board of Arbitrators within three (3) business days after either party has notified the other, in writing, of the declaration of impasse and the desire to proceed to arbitration. The third member of the Board of Arbitrators shall be selected by agreement between the City's and the employee's organization representative within ten (10) business days of the declaration of impasse. This third member shall serve as the neutral arbitrator and Chairperson of the Board. In the event that the City and the employee organization cannot agree upon the selection of the neutral arbitrator within ten (10) business days from the date that either party has notified the other that it has declared an impasse, either party may then request the State Mediation and Conciliation Service of the State of California Department of Industrial Relations to provide a list of seven (7) persons who are qualified and experienced as labor arbitrators. If the arbitrators selected by the City and the employee organization cannot agree within three (3) days after receipt of such list on one of the seven (7) to act as the third arbitrator, they shall have five (5) business days to alternately strike names, with the City's arbitrator striking first, from the list of nominees until one name remains and that person shall then become the neutral arbitrator and Chairperson of the Board of Arbitrators. (3) Any arbitration proceeding convened pursuant to this Article shall be conducted in conformance with, subject to, and governed by Title 9 of Part 3 of the California Code of Civil Procedure. The Board of Arbitrators shall hold public hearings, receive evidence from the parties and cause a transcript of the proceedings to be prepared. The Board of Arbitrators may adopt by unanimous consent such other procedures that are designed to encourage an agreement between the parties, expedite the arbitration hearing process, or reduce the costs of the arbitration process. (4) In the event no agreement is reached prior to the conclusion of the arbitration 20 hearings, the Board of Arbitrators shall direct each of the parties to submit, within such time limit as the Board of Arbitrators may establish, but not to exceed thirty (30) business days, a last offer of settlement on each of the remaining issues in dispute. The Board of Arbitrators shall decide each issue by majority vote by selecting whichever last offer of settlement on that issue it finds most nearly conforms to those factors traditionally taken into consideration in the determination of wages, hours, benefits and terms and conditions of public and private employment, including, but not limited to the following: changes in the average consumer price index for goods and services using the San Francisco -Oakland -San Jose index, as reported at the time impasse is declared for the preceding twelve (12) months, the wages, hours, benefits and terms and conditions of employment of employees performing similar services in comparable cities; and the financial condition of the City of San Luis Obispo and its ability to meet the costs of the decision of the Board of Arbitrators. (5) After reaching a decision, the Board of Arbitrators shall mail or otherwise deliver a true copy of its decision to the parties. The decision of the Board of Arbitrators shall not be publicly disclosed and shall not be binding until ten (10) days after it is delivered to the parties. During that ten (10) day period the parties shall meet privately, attempt to resolve their differences, and by mutual agreement amend or modify the decision of the Board of Arbitrators. At the conclusion of the ten (10) day period, which may be extended by mutual agreement between the parties, the decision of Board of Arbitrators, as it may be modified or amended by the parties, shall be publicly disclosed and shall be binding on the parties. The City and the employee organization shall take whatever action is necessary to cant' out and effectuate the arbitration award. No other actions by the City Council or by the electorate to conform or approve the decision of the Board of Arbitrators shall be permitted or required. (6) The expenses of any arbitration proceeding convened pursuant to this Article, including the fee for the services of the chairperson of the Board of Arbitrators and the costs of preparation of the transcript of the proceedings shall be borne equally by the parties. The expenses of the arbitration, which the parties may incur individually, are to be borne by the party incurring such expenses. Such expenses include, but are not limited to, the expense of calling a party's witnesses, the costs incurred in gathering data and compiling reports, and any expenses incurred by the party's arbitrator. The parties may mutually agree to divide the costs in another manner. (7) The proceedings described herein shall supercede the dispute resolution process for the San Luis Obispo Police Officers Association and the San Luis Obispo Firefighters Association which is set forth in Sections 13.2 and 14.1 of City of San Luis Obispo Resolution No. 6620, to the extent that such language is in conflict with this amendment. Furthermore, the proceedings described herein shall supercede any language within the Employer -Employee Resolution, the Personnel Rules and Regulations, any Memorandum of Agreement with the employee associations or any written policy or procedure relating to wages, hours or other terms and conditions of City employment, to the extent that such language is in conflict with this amendment. However, nothing in this section shall preclude the parties from mutually agreeing to use dispute resolution processes other than the binding arbitration process herein set forth. Nor, does it preclude the parties from negotiating, and submitting to the arbitration process set forth herein, a grievance process, which includes a form of binding arbitration that differs from the one, set forth herein. (Added November 7, 2000 - Measure "S".) K ARTICLE XII. BOARDS AND COMNIISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. By May 1 of each year, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. OX =1 1 Administrative Officer, City SECTION PAGE Annual budget, providing for 802 12 Appointment of certain officers and department heads 701 9 Compensation 711 11 Council shall appoint 703 10 Councilmen, eligibility of 705 10 Oath of Office 710 11 Powers and duties 702 10 Relative ineligible to serve as City Officer 707 10 Public works performed by City 901(c) 14 Qualifications of 704 10 Annexation 1203 22 Development of Annexed Lands 908 16 Appointments 712 11 City Officers; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 22 Attorney, City 804 12 Appointment of and term of 701 9 Compensation of 711 11 Duties of 702 10 Oath of Office 710 11 Audit Annually by certified public accountant 810 13 Binding Arbitration 1107 19 Boards and Commissions Annual Report 1205 22 Appointment 1202 22 Authority 1201 22 Bylaws and procedures 1204 22 Eligibility 1202 22 Functional review 1206 22 Term, length of 1202 22 Vacancies 1203 22 Bond of Officers Council may determine 712 11 Boundaries Established City limits 102 1 Budget Adoption of 804 12 23 Hearing and notice 803 12 Providing for 802 12 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Property Sale and lease of 906 15 Clerk, City Actions against City presented to City Clerk 809 13 Appointment of and term of 701 9 Bond of, filed with Administrative Officer 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Duties of officials 702 10 Oath of Office 710 11 Collusion 902 14 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 10 Contracts Abridgement of 904 15 Collusion 902 14 Progress payments 905 15 Public Works by 901 14 Council Actions, methods of 601 7 Appointments City Officer; term and removal 701 9 Relatives of City Officials and employees prohibited 707 10 Boards and Commissions 1202 22 Budget Adoption of 804 12 Date fixed by 804 12 Hearing and notice 803 12 Compensation of 410 6 Duties and powers, enumeration of 501 6 Duties, limitation of 508 7 24 Election at large 402 4 Emergency legislation 605 8 Franchises, granting 1001 16 Governing body of City 202 2 Holding certain other offices prohibited 508 7 Majority vote of, required for passage of ordinance, resolution, or motion 506 7 Mayor Pro Tempore (Vice Mayor) 408 5 Meetings Place of, public 502 6 Quorum, majority to constitute 503 7 Rules of procedures 504 7 Special may be called 502 6 Oath of Office 710 11 Oath, power to administer 507 7 Offices and departments, may provide for conduction, etc., of, or additional 702 10 Ordinances and resolutions, ayes and noes take on passage of 505 7 Powers generally of 501 6 Reimbursement for authorized travel and other expenses 410 6 Subpoena, power to compel attendance of witnesses 507 7 Tenns, limitation of 405 4 Vacancies in, filling 406 5 Voting 505 7 County Council may consolidate function of City with 205 3 Demand Against City Filing, rejection, etc. 809 13 Department of Public Works May perform work normally contracted 901(c) 14 Departments Council may provide for operation, etc., of, or additional 204 3 Elections At large, Mayor and Council 402 4 Eligibility for office 403 4 General municipal, time to hold 302 3 Initiative, referendum and recall, State law to apply 304 4 Mayor and Council 402 4 Procedure for holding, State law to apply 301 3 Special municipal, defined 303 3 25 Electricity and Electric power exempted 907 16 Eminent Domain Right not impaired by franchise grant 1005 17 Enumeration 401 4 Equipment Purchase of 903 15 Firefighters Association Binding Arbitration 1107 19 Fiscal Administration Accounts Payable 808 13 Claims against the City 809 13 Grants 805 12 Subsidies 805 12 Fiscal Year Defined 801 12 Form of Government of City 201 2 Franchises Duty of grantee 1006 18 Eminent Domain not impaired by granting 1005 17 Granting 1001 16 Notice 1002 16 Public hearing 1002 16 Term of 1003 17 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 12 Income from public utilities 806 13 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 5 Compensation of 410 6 Election of, at large 402 4 Powers and duties 407 5 Term of office 404 4 Pro Tempore, selection of 408 5 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of, filling 406 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 13 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 16 Nepotism Prohibited 707 10 Oaths Council has power to administer 507 7 Offices and Employees Bond of, Council may determine amount of 712 11 Combining Offices 706 10 Compensation of, fixed by ordinance or resolution 711 11 Consists of certain named officials 701 9 Duties of 702 10 Eligibility for office 403 4 Employee may become candidate for public office 1104 19 Employment policy 709 11 Enumeration of 401 4 Equal Opportunity Employer 708 11 Fees collected by, must be paid into City Treasury 711 11 Mayor and Councilmen, elected at large 402 4 Nepotism 707 10 Oath of Office to be taken by 710 11 Political activities, employee 1103 19 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 10 Ordinances Adoption of certain provisions by reference permitted 608 9 Amending 606 9 Creation of 601 7 Codification of 608 9 Effective date 604 8 Emergency, adoption of 605 8 Emergency, effective 605 8 Enacting clause of 603 8 Repeal of 607 9 Requirements of 602 8 Violation of, punishment 609 9 Organization of City Government 204 3 Personnel System Binding Arbitration 1107 19 Personnel Board or Personnel Hearing Board, establishing 1102 19 Retirement 1105 19 Rules and regulations 1101 18 27 Police Officers Association Binding Arbitration 1107 19 Political Activities Employee shall not take active part in 1103 19 Powers of City 203 2 Procedures City may act pursuant to established 203 2 Public Utilities Income derived from, disposition of 806 13 Public Works and Contracts City may perform work 901(c) 14 Collusion 902 14 Contract for, requirements 901 14 Contract, rejection of bid 901(c) 14 Contract, security required with bid 901(b) 14 Purchasing Equipment and supplies 903 15 Recall 304 4 Resolutions Ayes and nays taken by Council 601 7 Referendum 304 4 Retirement System Contract with State authorized 1105 19 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies Purchase of 903 15 Telephone Service exempted 907 16 Terms of Office Mayor and Councilmen 404 4 Treasurer, City Appointment of and term of 701 9 Bond of, filed with City Clerk 712 11 Compensation of officials 711 11 Council shall appoint 701 9 Treasurer, City (cont'd) Duties of officials 702 10 Monies drawn from, method and manner of 808 13 Oath of office 710 11 Vacancy in Elective Office Occurs when 406 5 Water Reliability Reserve 909 16 W CHARTER of the City of San Luis Obispo California Adopted on June 6,1978 With Amendments Adopted Through November 4, 2008 Filed with the Secretary of State State of California December 9, 2008 TABLE OF CONTENTS TITLE DESCRIPTION PAGE NO. ARTICLE I. Incorporation and Application............................................................... 1 ARTICLE II. Form and Powers of Municipality......................................................... 2 ARTICLE III. - Municipal Elections.............................................................................. 3 ARTICLE IV. Elective Officials.................................................................................. 4 ARTICLE V. Council Powers and Procedures........................................................... 7 ARTICLE VI. Legislative Actions .............................................................................. 8 ARTICLE VII. Appointive Officials ............................................................................ 10 ARTICLE VIII. Fiscal Administration ............................................ I............................. 13 ARTICLE DX. Public Works Contracts ...................................................................... 15 ARTICLEX. Licenses and Franchises ...............................................:...................... 18 ARTICLE XI. Personnel Administration .................................................................... 21 ARTICLE XII. Boards and Commissions .................................................................... 24 INDEX ................................................................................................... 26 ARTICLE 1. INCORPORATION AND APPLICATION SECTION 101. Name of the City. The Municipal Corporation now existing and known as "The City of San Luis Obispo" shall remain and continue a body politic and corporate, as at present, in fact and in law, and by such name shall have perpetual succession. SECTION 102. Boundaries. The boundaries of the City of San Luis Obispo shall continue as now established until changed in a manner authorized by law. SECTION 103. Effective Date of Charter This Charter shall not take effect until accepted and filed by the Secretary of State pursuant to the provisions of Section 34464 of the Government Code. SECTION 104. General Law Applicable. All general laws of the State applicable to municipal corporations, now or hereafter enacted and which are not in conflict with the provisions of this Charter or with ordinances or resolutions adopted in pursuance of this Charter, shall be applicable to the City. SECTION 105. Amendments. This Charter may be amended in accordance with the provisions of the Constitution and laws of the State of California. SECTION 106. Definitions. When used in this Charter the masculine gender includes the feminine and neuter. The present tense includes the past and future tenses, and the future, the present. The singular number includes the plural, and the plural, the singular. "Shall" is mandatory and "May" is permissive. "Oath" includes affirmation. The word "City" wherever it occurs in this Charter, means the City of San Luis Obispo, and every Commissioner, Commission, Board, Officer, Employee, wherever mentioned in this Charter means the Commissioner, Commission, Department, Board, Officer, or Employee, as the case may be, of the City of San Luis Obispo. The word :"Council" when used in this Charter means the Council of the City of San Luis Obispo. SECTION 107. Conflicts. Any municipal ordinance, resolution, or motion duly approved by the City Council which is in effect at the time this Charter is made effective shall continue in force unless it is in conflict with any provision of this Charter, at which time it shall become null and void. SECTION 108. Validity of Charter. If any section, subsection, sentence, clause or phrase of this Charter is for any reason held to be unconstitutional or void, such decision shall not affect the validity of the remaining separable portions of this Charter. The people of the City of San Luis Obispo hereby declare that they would have adopted this Charter and each section, subsection, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional or void. SECTION 109. Violation of Charter. The violation of any provision of this Charter shall be deemed a misdemeanor, and may be prosecuted by the authorities of the City in the name of the people of the State of California, or may be redressed by civil action, at the option of said authorities. The maximum penalty upon conviction for the violation of any provision of this Charter shall.be a fine not exceeding one thousand dollars ($1,000.00) or imprisonment for a term not exceeding one (1) year or both such fine and imprisonment. Any person sentenced to imprisonment for the violation of a provision of this Charter may be imprisoned in the County jail of the county in which the City of San Luis Obispo is situated. The City Manager shall be responsible for the enforcement of the provisions of the Charter. ARTICLE II. FORM AND POWERS OF MUNICIPALITY SECTION 201. Form of Government. The municipal government provided by this Charter shall be known as the "Council -Mayor - City Manager" form of municipal government. SECTION 202. Governing Body. All power herein granted to and vested in the City of San Luis Obispo shall; except as herein otherwise provided, beexercised by a Council to be designated the Council of the City. The Council shall be the governing body of the City and, subject to express limitations of this Charter; shall be vested with all powers of legislation in municipal affairs adequate to a complete system of local government consistent with the Constitution and laws of the State of California. FA SECTION 203. Powers of City. The City shall have the power to make and enforce all laws and regulations in respect to municipal affairs, subject only to such restrictions and limitations as may be provided in this Charter and in the constitution and laws of the State of California. It shall also have the power to exercise any and all rights, powers and privileges heretofore or hereafter established, granted or prescribed by any law of the State, by this Charter, or by other lawful authority, or which a municipal corporation might or could exercise under the Constitution and laws of the State of California. The enumeration in this Charter of any particular power shall not be held to be exclusive of or any limitation upon this general grant of power. SECTION 204. Organization of City Government. After obtaining and considering the recommendations of the City Manager, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for the powers and duties of all officials and employees of the City and for the organization, function, conduct, and operation of the various departments of the City and may provide for the creation of additional departments, divisions, offices, and agencies, and for their consolidation, alteration, or abolition. SECTION 205. Consolidation of Functions. The Council may transfer or consolidate functions of the City government to or with appropriate functions of the State or County government, or may make use of such fi.mctions of the State or County government, and in case of any such transfer or consolidation, the provisions of this Charter providing for the function of the City government so transferred or consolidated, shall be deemed suspended during the continuance of such transfer or consolidation, to the extent that such suspension is made necessary or convenient and is set forth in the ordinance or resolution establishing such transfer or consolidation. Any such transfer or consolidation may be repealed in like manner. ARTICLE III. MUNICIPAL ELECTIONS SECTION 301. Procedure. Unless otherwise provided by ordinance hereafter enacted, all elections shall be held in accordance with the provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended. it, SECTION 302. General Municipal Elections. General municipal elections to fill elective offices shall be held in the City on the first Tuesday after the first Monday in November in each even -numbered year. SECTION 303. Special Municipal Elections. All other municipal elections that may be held by authority of this Charter, or of general law, or by ordinance, shall be known as special municipal elections. SECTION 304. Initiative, Referendum and Recall. The provisions of the Elections Code of the State of California, as the same now exists or may hereafter be amended governing the initiative, referendum and recall of municipal officers, shall apply to the use thereof in this City insofar as the provisions of the Elections Code are not in conflict with this Charter. ARTICLE IV. ELECTIVE OFFICIALS SECTION 401. Enumeration. The elective officers of the City of San Luis Obispo shall be a Mayor and four Council Members each of whom, including the Mayor, shall have the right to vote on all questions coming before the Council.. SECTION 402. Election at Large. The Mayor shall be elected at the general municipal election on a general ricket from the City at large. The Council Members shall be elected at the general municipal election from the City at large, two being selected biennially. SECTION 403. Eligibility for Office. No person shall be eligible for election to, or to hold, the office of Mayor or Council Member of said City unless said person is and shall have been a resident thereof, or of territory legally annexed thereto, on or prior to the date of such election or appointment, for at least thirty (30) days next preceding said person's election thereto or appointment to fill a vacancy therein, and is an elector thereof at the time of such election or appointment. 4 SECTION 404. Terms of Office. (A) The term of the Mayor shall be two years, and the terms of the Council Members shall be four years. (B) Terms shall commence on the first day of December at twelve o'clock noon following the election and each shall serve until a successor is elected or appointed and qualified. Ties in voting shall be settled by the casting of lots. SECTION 405. Limitation of Terms. Neither the Mayor nor any member of the Council shall serve in the same office for more than eight (8) years in succession; provided, however, that any time in office resulting from a partial term which is less than one-half (1/2) the length of the full term for that office, shall not be considered. SECTION 406. Vacancies. An elective office becomes vacant when the incumbent thereof dies, resigns, is removed from office under recall proceedings, is adjudged insane, convicted of a felony, or of an offense involving a violation of the Mayor or Council Member's official duties, or ceases to be a resident of the City, or has been absent from the State without leave granted by the City Council for more than sixty (60) consecutive days, or fails to attend the meetings of the Council for a like period without being excused there from by said body. A vacancy in the Council shall be filled for the remainder of the unexpired term, if any, at the next regular municipal election following not less than seventy-two (72) days upon the occurrence of the vacancy, but the Council by a majority vote of its remaining members shall appoint a qualified person to fill the vacancy until the person elected to serve the remainder of the unexpired term or new tern takes office. If the term still has two (2) years until expiration at the time of the next regular municipal election, the election to that seat shall be separated from the election for the other Council candidates. If the Council fails to fill the vacancy within thirty (30) days following'its occurrence, it shall call a special municipal election to fill the vacancy, to be held not sooner than ninety (90) days or not later than one hundred and fifty (150) days following the occurrence of the vacancy. The election shall be governed by the provisions of Article III. A person elected to fill a Council vacancy for an unexpired term shall take office on the first Tuesday following his election. Notwithstanding any other provisions of this Charter, a minority of the members of the Council may fill vacancies on the Council by appointment in the event that a majority of the Council seats becomes vacant. 5 SECTION 407. Mayor - Powers and Duties. The Mayor shall preside at all meetings of the City Council and perform such other duties consistent with the office as may be imposed by the Council or by vote of the people.. The Mayor shall be entitled to, and must vote when present, but shall possess no veto power. As presiding officer of the Council, the Mayor will faithfully communicate the will of the Council majority to the City Manager in matters of policy. The Mayor shall be recognized as the official head of the City for all ceremonial purposes. SECTION 408.. Mayor Pro Tempore The Council shall elect one of its members to be Vice Mayor. During the temporary absence or disability of the Mayor, the Vice Mayor shall act as Mayor Pro Tempore. In case of the temporary absence or disability of both the Mayor and Vice Mayor, the Council shall elect one of its members to be Mayor Pro Tempore. In case of vacancy in the office of Mayor, the Vice Mayor shall act as Mayor until such vacancy can be filled as provided in this Charter. SECTION 409. Council Member to Hold No Other Office. No member of the Council shall hold any other municipal office or hold any office or employment, the compensation of which is paid out of the municipal monies; nor be elected or appointed to any office created or compensation of which is increased by the Council, while a member thereof, until one year after the expiration of the term for which elected. SECTION 410. Compensation. The Mayor and each Council Member shall receive compensation for services payable according to the regular City payroll schedule, with the Mayor receiving greater compensation than the other Council Members. Compensation for Mayor and Council Members shall be reviewed biennially in even - numbered years. When warranted, said compensation may be adjusted by Council resolution, to be effective the first full pay period in January of the year following the review. The compensation rate may be revised by the electorate by initiative. Mayor and Council Member expenses incurred for official business shall be reimbursed. M ARTICLE V. COUNCIL POWERS AND PROCEDURES SECTION 501. General Powers of the Council. Subject to the provisions and restrictions contained in this Charter and the delegation of power, if any, to any person, Officer, Board, or Commission, the Council shall have the power in the name of the City, to do and perform all acts and things appropriate to a municipal corporation and the general welfare of its inhabitants and which are not specifically forbidden by the Constitution and laws of the State of California, or which now or hereafter it would be competent for this Charter to specifically enumerate. No enumeration or specific statement herein of any particular powers shall be held to be exclusive of, or a limitation of, the foregoing general grant of powers. SECTION 502. Meetings of Council. The Council shall provide by ordinance for the time and place of holding its meetings and the manner in which its special meetings may be called. Public interest and convenience shall be the primary considerations when decisions are made as to time, location, and frequency. Except as otherwise provided by law, all meetings of the Council shall be open to the public. SECTION 503. Quorum. A majority of the Council Members shall constitute a quorum for the transaction of business. SECTION 504. Rules of Procedure. The Council shall determine its own rules of procedures. SECTION 505. Voting. The ayes and noes shall be taken upon the passage of all ordinances and resolutions and entered upon the journal of the proceedings of the Council. Upon the request of any member, the ayes and noes shall be taken and recorded on any vote. All members, when present, must vote, except in the case of a recusal due to a conflict of interest. Failure or refusal to vote shall be construed as an affirmative vote. 7 .SECTION 506. Majority Rule. No ordinance, resolution or motion shall be passed or become effective without receiving the affirmative vote of at least three (3) members of the Council. SECTION 507. Administering Oaths: Subpoenas. Each member of the Council shall have the power to administer oaths and affirmations in any investigation or proceeding pending before the Council The Council shall have the power and authority to compel the production of evidence before it. Subpoenas maybe issued in the name of the City and be attested by the City Clerk. Disobedience of such subpoena or the refusal to testify (upon other than constitutional grounds), shall be deemed contempt and shall be punishable as provided by the general laws of this State. SECTION 508. Limitations. No member of the Council shall be appointed to or serve as a voting member of any City Board, Committee, Commission, or Authority, whether composed of citizen volunteers, City employees, or a combination of both. This is not to be construed as prohibiting members of the Council from serving on Committees or subcommittees of the Council itself, or of agencies representing other levels of government. ARTICLE VI. LEGISLATIVE ACTIONS SECTION 601. Method of Action by Council. All action by the Council shall be taken only by means of ordinance, resolution, or oral motion duly made and passed. Ordinances that prescribe rules applicable generally within the jurisdiction shall become a part of the Municipal Code and so remain until amended or voided. All municipal laws relating to taxation or to possible criminal action against an offender shall be in the form of ordinances. Resolutions shall be serially numbered and filed sequentially in the office of the City Clerk. Oral motions shall be recorded only in the minutes of any regular or special meeting of the Council. SECTION 602. Requirements of Ordinances. (A) With the sole exception of ordinances which take effect upon adoption referred to in this article, no ordinance shall be passed by the Council on the day of its introduction nor within five (5) days thereafter, nor until its publication at least once in full in a newspaper of the City of San Luis Obispo at least three (3) days before its adoption; and in case of amendment being made thereto before the final adoption of the ordinance, the amended portion or portions of said ordinance must in like manner be republished at least one (1) day before its adoption as amended, provided that no less than a full subsection shall be published. The correction of typographical or clerical errors shall not constitute an amendment within the meaning of the foregoing sentence. (B) The publication of ordinances as required by subdivision (A) may be satisfied by the publication of a summary of the proposed ordinance in lieu of publication of the full text as required in subdivision (A). At the time the proposed ordinance is introduced, the Council shall determine whether the full text of the ordinance shall be published or whether a summary shall be published; if the Council fails to so determine, the full text shall be published. If the Council determines that a summary shall be published, the summary shall be approved by the City Attorney. A copy of the full text of the proposed ordinance shall be on file in the office of the City Clerk on and after the first business day following its introduction, and shall be available to any interested member of the public. SECTION 603. Enactment. The enacting clause of every ordinance passed by the Council shall be: "Be it ordained by the Council of the City of San Luis Obispo." The enacting clause of every ordinance initiated by the people shall be: "Be it ordained by the People of the City of San Luis Obispo." SECTION 604. Effectiveness. Except as otherwise provided in this Charter, every ordinance and every measure passed by the Council shall go into effect at the expiration of thirty (30) days after its final passage, unless otherwise provided in said ordinance or measure; provided, however, that no such ordinance or measure shall go into effect in less than thirty (30) days from its final passage. But ordinances declared by the Council to be necessary as emergency measures as hereinafter provided, ordinances relating to public improvements, the cost of which is to be borne wholly or in part by special assessments, and taxing ordinances, may go into effect at the will of the Council. SECTION 605. Emergency Legislation. Any ordinance declared by the Council to be necessary as an emergency measure, for preserving the public peace, health or safety, and containing a statement of the reasons for its urgency, may be introduced and adopted at once at the same meeting if passed by at least four (4) affirmative votes. 9 SECTION 606. Amending Ordinances. No ordinance shall be amended by reference to its title, but the subsections thereof to be amended shall be re-enacted at length as amended; and any amendments passed contrary to the provisions of this section shall be void. SECTION 607. Repeal. No ordinance or section thereof shall be repealed except by an ordinance adopted in the manner provided in this Charter. This is not to prohibit the voiding or expiration of any ordinance when such voiding or expiration is provided for in the ordinance itself. SECTION 608. Codification of Ordinances. Any or all ordinances of the City which have been enacted and published in the manner required at the time of their adoption, and which have not been repealed, may be compiled and codified in accordance with the provisions of the laws of the State of California as the same now exist or may hereafter be amended. Detailed regulations pertaining to the construction of buildings, plumbing and wiring, fire prevention and similar matters, when arranged as a comprehensive code, may likewise be adopted by reference in the manner provided by State law. SECTION 609. Violation of Ordinances. The violation of any ordinance adopted and published by the City Council shall constitute a misdemeanor unless by ordinance it is made an infraction, provided that the City Attorney may elect to prosecute any misdemeanor as an infraction. Both misdemeanors and infractions may be prosecuted or may be redressed in the manner provided by the general law of the State. ARTICLE VII. APPOINTIVE OFFICIALS SECTION 701. General Description. The officials of the City of San Luis Obispo shall consist of a City Manager and a City Attorney. Such officials shall be appointed by and may be removed only by the affirmative votes of a majority of the members of the Council. All other officials and department heads of the City shall be appointed by and may be removed by the City Manager. 10 SECTION 702. Duties of Officials and Employees. After obtaining and considering the recommendations of the City Manager, the Council shall provide in a manner not inconsistent with this Charter, for the powers and duties of all officials and employees of the City. SECTION 703. City Manager. The City Manager shall be the administrative head of the government of the City. As such, the City Manager shall be responsible to the Council for the efficient implementation of its policy and effective administration of all the affairs of the City government that the office controls. Any action, determination or omission of the City Manager or staff shall be subject to review by the Council but no individual Council Member or the Mayor shall overrule, change or modify any such action, determination or omission except by affirmative vote of at least three (3) members of said Council at a duly constituted session. The City Manager shall advise and make recommendations to the Council concerning any conditions or governmental situations that need Council direction or policy determination. The City Manager will insure that the Council, as a whole or as individuals, is permitted timely and complete freedom of access to requested information. SECTION 704. Qualifications. The City Manager shall be chosen on the basis of administrative qualifications; need not be a resident of the City or the State at the time of appointment, but during tenure in office shall reside within the City. SECTION 705. Eligibility of Council Members. No member of the City Council shall, during the term for which elected or appointed, or for one year thereafter, be eligible to hold the position of City Manager. SECTION 706. Combining of Offices. Where the positions are not incompatible, the Council may combine in one person the powers and duties of two or more offices created or provided for in the Charter. SECTION 707. Nepotism. The Council shall not appoint to a salaried position under the City government, any person who is a relative by blood or marriage within the third degree of any one or more members of such Council, and neither shall any department head or other officer having appointive power appoint any relative of the Council or themselves within such degree to any such position. Nothing herein shall prevent the City Manager from supplementing the provisions of this section. SECTION 708. Equal Opportunity Employment. All persons seeking employment with the City and all City employees shall be treated equally and without discrimination prohibited by Federal, State or local laws. SECTION 709. Employment Policy. The City Council shall adopt Personnel Regulations by ordinance or resolution, prescribing hiring, discharge and performance standards for Council appointees, department heads, and other appointive officials. No official appointed by the City Council shall be terminated within the three (3) months following a municipal election. No official subject to appointment by the City Manager shall be terminated within the three (3) months immediately following the appointment of a new City Manager. Any notice of termination, transfer, or demotion shall state the effective date of the action and a copy shall be filed with the Human Resources Department. SECTION 710. Oath of Office. Every official of the City, before entering upon the duties of the office, shall take the oath of office as provided for in the Constitution of this State, and shall file the same with the City Clerk. SECTION 711. Compensation of Officials and Employees. The compensation of all City officials and employees, except as otherwise provided in this Charter, shall be by salary to be fixed by ordinance or resolution. No official or employee shall be allowed any fees, perquisites, emoluments, rewards or compensation for any work performed as an official or employee, aside from the salary or compensation as fixed by the Council, but all fees received in connection with official duties shall be paid into the City Treasury. SECTION 712. Official Bonds. The Council shall, by ordinance or resolution, determine what officials and other persons in the service of the City shall give bond either of an individual type or be included in a master bond, for the faithful performance of their duties and/or honesty, and shall fix the amounts of such bond or bonds, and each of such officers and other persons shall before entering upon the duties of office or employment, execute a resolution, including in the same bond the duties of all offices of which the official or person is made, by this Charter or otherwise, ex officio incumbent. Such bonds must be examined by the City Attorney and approved by the City Council. All bonds when approved shall be filed with the City Clerk, except the City Clerk's bond, if any, which shall be filed with the 12 City Manager. All the provisions of any law of this State relating to the official bonds of officials as then existing shall apply to such bonds, except as herein otherwise provided. In all cases where surety company bonds are approved by the Council, the premium therefore shall be paid by the City. ARTICLE VIII. FISCAL ADMINISTRATION SECTION 801. The Fiscal Year. The fiscal year of the City shall commence upon the first day of July of each year, or at such other time as may be fixed by ordinance. SECTION 802. Annual Budget. On such date in each year as shall be fixed by the Council, the City Manager shall send to the Council a careful estimate, in writing, of the amounts, specifying in detail the objects thereof required for the business and proper conduct of the various departments, offices, Boards and Commissions of the City, over which the office has control, during the next ensuing year. The City Manager shall also at said time submit to the Council an estimate of the amount of income from all sources of revenue, exclusive of taxes upon property, and the probable amount required to be levied and ral'sed by taxation. SECTION 803. Public Hearing on the Budget. After reviewing the proposed budget as submitted by the City Manager and making such revisions as it may deem advisable, the Council shall determine the time for holding of a public hearing, and shall cause a notice thereof to be published not less than ten (10) days prior to said hearing by at least one insertion in a newspaper in the City of San Luis Obispo. Copies of the proposed budget shall be available for inspection by the public at the office of the City Clerk at least ten (10) days prior to said hearing. At the time so advertised or at any time to which such public hearing shall from time to time be adjourned, the Council shall hold a public hearing on the proposed budget at which interested persons desiring to be heard shall be given such opportunity. SECTION 804. Adoption of the Budget. After the conclusion of the public hearing the Council shall further consider the proposed budget and make any revisions thereof that it may deem advisable and thereafter it shall adopt the budget with revisions, if any. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the various departments or activities therein described. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered. At any meeting after the adoption of the budget, the 13 Council may amend or supplement the budget by motion adopted by a majority vote of the Council. SECTION 805. Grants and Subsidies. Sufficient funds may be budgeted by the Council for grants, subsidies, contributions, subventions and the like to economic, promotional, environmental, cultural, or other agencies whose operations are unrelated to those of the City but who contribute largely to the quality of life of the City. Such funds shall be allotted only after a public hearing on consideration of an application by the requesting group or agency. Such application shall include complete justification of the need for the requested aid. SECTION 806. Income from Public Utilities. All income derived from the operation and management of any public utility by the City shall be devoted exclusively to the payment of the expenses of operating, maintaining, improving, or bettering such public utility, and to the payment of any debts and interest thereon which may have been incurred for the acquiring, improving, operating, or maintaining of such utility. SECTION 807. (Deleted - November 5,1996 - Measure "W".) SECTION 808. Accounts Payable. Monies shall be drawn from the City Treasury only in the manner prescribed by ordinance of the Council. SECTION 809. Claims Against the City. (A) No suit shall be brought on any claim for money or damages against the City or any Board, or official thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part. If rejected in part, suit may be brought to recover the whole. All claims for damages against the City must be presented to the City Clerk within the time limits prescribed by the laws of the State of California after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence and the extent of the injuries or damages received. (B) The provisions of the foregoing subsection (A) shall not prohibit payment on invoice, claims for goods, wares, materials, and/or services supplied to the City, and the provisions for payment on account of said items shall be set out by an ordinance adopted by the Council. 14 SECTION 810. Independent Audits. The Council shall employ, at the beginning of each fiscal year, an independent certified public accountant who, at such time or times as may be specified by the Council, at least annually, shall examine the books, records, inventories, and reports of all officials, employees, departments, and agencies who receive, handle, or disburse public funds. As soon as practicable after the end of the fiscal year, a final audit and report shall be submitted by such accountant to the Council, one copy thereof to be distributed to each member, one each to the City Clerk, the City Treasurer, the City Manager, and City Attorney respectively, and three (3) additional copies to be placed on file in the office of the City Clerk where they shall be available for inspection by the general public for the period required by the laws of the State of California. Restricted and special assessment district funds shall be segregated in the audit report. ARTICLE IX. PUBLIC WORKS AND CONTRACTS SECTION 901. Public Works To Be Done By Contract. (A) Except as provided in subsection (D) of this section, every project involving an expenditure of City monies of more than the amount specified in Section 20162 of the Public Contract Code of the State of California, as the same now exists or may hereafter be amended for the construction or improvement of public buildings, works, drains, sewers, utilities, parks, playgrounds, and streets (exclusive of projects for resurfacing, maintenance, and repair of streets) shall be let by contract to the lowest responsible bidder after notice by publication in the official newspaper by one or more insertions the first of which shall be at least ten (10) calendar days before the time for opening bids. (B) All bids shall be accompanied by either a certified or cashier's check, or a bidder's bond executed by a corporate surety authorized to engage in such business in California, made payable to the City. Such security shall be in an amount not less than that specified in the notice inviting bids or in the specifications referred to therein, or if no amount be so specified then in an amount not less than ten percent (10%) of the aggregate amount of the bid. If the successful bidder neglects or refuses to enter into the contract, within the time specified in the notice inviting bids or specifications referred to therein, the amount of the bidder's security shall be declared forfeited to the City and shall be collected and paid into its general fund and all bonds so forfeited shall be prosecuted and the amount thereof collected and paid into such fund. The Council may reject any and all bids presented and may readvertise at its discretion. (C) The Council, after rejecting bids or if no bids are received, may declare and determine that, in its opinion, based on estimates approved by the City Manager, the work in question may be performed better or more economically by the City with its own employees and after the adoption of a resolution to this effect by at least four (4) affirmative votes of the Council and containing a declaration of the facts constituting such urgency. 15 (D) Nothing in this section shall be construed to apply to any project involving the expenditure of City monies by the City for public works in cooperation with a developer or subdivider for oversized facilities or such cooperative extension or replacement of mains and appurtenances. For those projects the City shall have the authority to make funds available to the cooperating developer or subdivider through a Reimbursement Agreement as established by Council ordinance or resolution. (E) Notwithstanding any provisions of this Charter to the contrary, the City may perform maintenance related projects using a unit price contract for all necessary labor, materials, and equipment provided such contracts are secured on a competitive basis as otherwise required by Public Contract Code Section 20128.5. The City Council shall establish by ordinance, guidelines for the award and use of such unit price contracts, and may set an amount below which the City Manager may award such contracts. (F) Notwithstanding any provision of this Charter to the contrary, public projects, as defined by the Uniform Public Construction Cost Accounting Act, sections 22000 et seq. of the Public Contract Code, of one hundred thousand dollars ($100,000) or less may be let to contract by informal procedures as set forth in Sections 22032 et seq. of that code. The City Council shall establish by ordinance guidelines for the use of such contracts. SECTION 902. Collusion. (A) Any officer or employee of the City, or of any department thereof, who shall willfully aid or assist a bidder in securing a contract to furnish labor, materials or supplies at a higher price than that proposed by any other bidder, or who shall favor one bidder over another, or who shall willfully mislead any bidder in regard to the character of the materials or supplies called for, or who shall knowingly accept materials or supplies of a quality inferior to those called for by the contract or who shall knowingly certify to a greater amount of labor performed than has been actually performed; or to the receipt of a greater amount or different kind of materials or supplies than has been actually received,' any of the above which is to the detriment of the City, shall be deemed guilty of malfeasance and shall be removed from office. (B) If at any time it shall be found that the person to whom a contract has been awarded has, in presenting any bid or bids, colluded with any other party or parties for the purpose of preventing any other bids being made, then the contract so awarded shall be null and void, and the Council shall advertise for a new contract for said work, or provide for such public work to be done by the City. (C) If at any time it shall be found that the person to whom a contract has been awarded has colluded with any other party or parties, including a City officer or employee, during the administration of the contract, then the contract so awarded shall be null and void and any funds paid pursuant to it shall be returned to the City. Any City officer or employee guilty of such 16 collusion to the detriment of the City may be prosecuted pursuant to State law or charged with a misdemeanor for violation of this Charter. SECTION 903. Purchases of Supplies and Equipment. The City Council, by ordinance or resolution, shall adopt policies and procedures, including appropriate bidding regulations, governing purchases of supplies and equipment. 'Purchases of supplies and equipment shall be made only in accordance with the adopted policies and in accordance with all provisions of law governing the same. The City Council also shall by ordinance or resolution adopt policies and procedures for contracting for personal services. Such personal services shall be contracted for only in accordance with the adopted procedures and in accordance with all provisions of law goveming the same. SECTION 904. Abridgement of Contract. Inasmuch as a contract is a legal document attesting to the terms of an agreement providing for an exchange of services for a mutually -agreed-upon compensation in return, each separate deletion, modification, or addition shall be completed in writing, signed by authorized representatives of the contractor and the City, and filed with the City Clerk within thirty (30) calendar days. Any willful abridgement of any provision of a contract, without a written memorandum as required above, shall be considered a breach of contract and a misdemeanor. SECTION 905. Progress Payments. Any contract may provide for progressive payments if the ordinance or resolution authorizing such work includes such a provision. No progressive payments may be provided for or made at any time which with prior payments, if there have been such, shall exceed in amount at any time ninety percent (90%) of the value of the labor done and the materials used up to that time, and no contract shall provide for or authorize or permit the payment of more than ninety percent (90%) of the contract price before the completion and acceptance of the work, unless otherwise required by Federal Law. SECTION 906. Sale or Lease of City Property. The City Council, by ordinance or resolution, shall adopt policies and procedures that shall be applicable to the sale or lease of City property. 17 SECTION 907. Exemptions. Nothing in this article shall be construed to apply to the acquisition or purchase of natural gas, telephone service, electricity, electric power or electric energy by the City for any use or purpose. SECTION 908. Development of Annexed Lands. Lands annexed to the City may only be developed at a time and in a manner consistent with the General Plan adopted by the City and as may be amended from time to time by the Council. SECTION 909. Use of Reliability Reserve. As identified in the Water Management Element of the General Plan, the City shall strive to acquire additional water supplies as a "reliability reserve" to protect the City from future water shortages.. Once the City has acquired a portion or all of the reliability reserve, the additional water supply shall only be used to meet City needs during unpredictable changes such as a new worst case drought, loss of one of the City's water sources, contamination of a source, or failure of a new source to provide projected yield, and not to allow additional development. ARTICLE X. LICENSES -AND FRANCHISES SECTION 1001. Granting of Franchises. The City Council is empowered to grant by ordinance a franchise to any person, firm or corporation, whether operating under an existing franchise or not, to furnish the City and its inhabitants with transportation, communication, terminal facilities, water, light, heat, power, refrigeration, storage, or any other public utility of public service, and to use the public streets, ways, alleys, and other places, as the same now or may hereafter exist, for the construction and operation of plants, works, or equipment necessary or convenient for traversing any portion of the City for the transmitting or conveying of any service elsewhere. The City Council may prescribe the terms and conditions of any such grant. It may also provide, by procedural ordinance, the method of procedure and additional terms and conditions for making such grants, subject to provisions of this Charter. The City Council may, by ordinance or resolution, establish fees or charges for the granting of licenses or franchises. SECTION 1002. Resolution of Intention, Notice, and Public Hearing. Before granting any franchise, the City Council shall pass a resolution declaring its intention to grant the same, stating the name of the proposed grantee, the character of the franchise and the terms and conditions upon which it is proposed to be granted. Such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any 18 objection to the granting thereof may appear before the City Council and be heard thereon. It shall direct the City Clerk to publish said resolution at least once within fifteen (15) days of the passage thereof in a newspaper in the City of San Luis Obispo. The time fixed for such hearing shall not be less than twenty (20) or more than sixty (60) days after the passage of said resolution. At the time set for the hearing, the City Council shall proceed to hear and pass upon all protests, and its decision thereon shall be final and conclusive. Thereafter, it may grant or deny the franchise, subject to the right of referendum of the people. SECTION 1003. Term of Franchise. Every franchise shall state the term for which it is granted, which, unless it is indeterminate as provided for herein, shall not exceed thirty-five (35) years. No franchise may be renewed until three (3) years before its term expires. A franchise grant may be indeterminate, that is to say, it may provide that it shall endure in full force and effect until the same, with the consent of the Public Utilities Commission of the State of California, shall be voluntarily surrendered or abandoned by its possessor, or until the State of California or some municipalor public corporation, thereunto duly authorized by law, shall purchase by voluntary agreement or shall condemn and take, under the power of eminent domain, all property actually used and useful in the exercise of such franchise and situated within the territorial limits of the State, municipal or public corporation purchasing or condemning such property, or until the franchise shall be forfeited for non-compliance with its terms by the possessor thereof. SECTION 1004. Grant to be in Lieu of All Other Franchises. Any franchise granted by the City with respect to any given utility service shall be in lieu of all other franchises, rights, or privileges owned by the grantee, or by any successor of the grantee to any rights under such franchise, for the rendering of such utility service within the limits of the City as they now or may hereafter exist, except any franchise derived under Section 19 of Article XI of the Constitution of California as said section existed prior to the amendment thereof adopted October 10, 1911. The acceptance of any franchise hereunder shall operate as an abandonment of all such franchises, rights, and privileges within the limits of the City as such limits shall at any time exist, in lieu of which such franchise shall be granted. Any franchise granted hereunder shall not become effective until written acceptance thereof shall have been filed by the grantee thereof with the City Clerk. Such acceptance shall be filed within ten (10) days after the adoption of the ordinance granting the franchise and when so filed, such acceptance shall constitute a continuing agreement of such grantee that if and when the City shall thereafter annex, or consolidate with, additional territory, any and all franchises, rights, and privileges owned by the grantee therein, except a franchise derived under said constitutional provision, shall likewise be deemed to be abandoned within the limits of such territory. 19 SECTION 1005. Eminent Domain. No franchise grant shall in any way or to any extent impair or affect the right of the City to acquire the property of the grantee thereof either by purchase or through the exercise of the right of eminent domain, and nothing herein contained shall be construed to contract away or to modify or to abridge either for a term or in perpetuity the City's right of eminent domain with respect to any public utility. Every franchise grant shall reserve to the City the right to purchase the property of such utility either at an agreed price or a price to be determined in a manner to be prescribed in the grant, or in the procedural ordinance hereinabove mentioned. In fixing the price to be paid by the City for any utility, no allowance shall be made for franchise value (other than the actual amount paid to the City at the time of the franchise acquisition), goodwill, going concern, earning power, increased cost of reproduction, severance damage, or increased value of right of way. SECTION 1006. Duties of Grantee.. By its acceptance of any franchise hereunder, the grantee shall covenant and agree to perform and be bound by each and all of the terms and conditions imposed in the grant or by procedural ordinance, and shall further agree to: (A) Comply with all lawful ordinances, rules, and regulations theretofore or thereafter adopted by the City Council in the exercise of its police power, governing the construction, maintenance, and operation of its plants, works, or equipment; (B) Pay to the City on demand the cost of all repairs to public property made necessary by any of the operations of the grantee under such franchise; (C) Pay to the owner on demand the cost of all repairs to private property made necessary by any of the operations of the grantee under such franchise; (D) Indemnify and hold harmless the City and its officials from any and all liability for damages proximately resulting from any operations under such franchise; (E) Remove and relocate without expense to the City any facilities installed, used and maintained under the franchise if and when made necessary by any lawful change of grade, alignment, or width of any public street, way, alley, or place, including the construction of any subway or viaduct; and (F) Pay to the City during the life of the franchise, a percentage, to be specified in the grant, of the gross annual receipts of the grantee within the limits of the City, or such other compensation as the City Council may prescribe in the grant. The City Manager shall be responsible for the enforcement of all provisions of the grant. 20 SECTION 1007. Violations. The exercise by any person, firm or corporation of any privilege for which a franchise is required, without procuring such franchise, shall be a misdemeanor, and each day that such condition continues to exist shall constitute a separate violation. ARTICLE XI. PERSONNEL ADMINISTRATION SECTION 1101. Rules and Regulations. After obtaining and considering the recommendations of the City Manager, the Council shall provide by ordinance or resolution, not inconsistent with this Charter, for personnel rules and regulations governing all City employees. SECTION 1102. Personnel Board. The Council shall establish a Personnel Board consisting of five (5) members whose duties shall be advisory only. SECTION 1103. Political Activities. The political activities of all City employees shall conform to pertinent provisions of the Federal and State laws. SECTION 1104. Employee Candidacy for Public Office. Nothing in Section 1103 shall be construed to prevent any full-time employee from seeking election or appointment to public office. Upon becoming a candidate for elective office for the City of San Luis Obispo, any such person shall request and be granted a leave of absence, without pay, to remain in effect during the period of time such person is a candidate. SECTION 1105. Retirement. The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees' Retirement System of California that shall include all employees of the City of San Luis Obispo. Should the contract at any time be broadened, the City Council may have the contract amended to provide the improved coverage. The Council may terminate the contract or negotiate another contract with reduced employee coverage with the Board of Administration of the Public Employees' Retirement System only upon authority approved by a majority vote of the electorate. 21 SECTION 1106. Reserved for Future Use. SECTION 1107. Impartial and Binding Arbitration For San Luis Obispo Police Officers Association and San Luis Obispo Firefighters Association, IAFF Local 3523, Employee Disputes. (A) Declaration of Policy. It is hereby declared to be the policy of the City of San Luis Obispo that strikes by firefighters and police officers are not in the public interest and should be prohibited; and that a method should be adopted for peacefully and equitably resolving disputes that might otherwise lead to such strikes. (B) Prohibition Against Strikes. No City of San Luis Obispo firefighter or police officers shall willfully engage in a strike against the City. Any such employee against whom the City brings charges of failing to report for work as part of a strike shall be subject to dismissal from his or her employment in the event the charges are sustained upon conclusion of the proceedings that are required by law for the imposition of disciplinary action upon said employee. (C) Obligation to Negotiate in Good Faith. The City, through its duly authorized representatives, shall negotiate in good faith with the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, as the exclusive representatives of representation units comprised solely of employees of the police department and/or the fire department, as such units are currently constituted or as they may be amended through negotiation or arbitration as provided in this section, on all matters relating to the. wages, hours, and other terms and conditions of City employment. Unless and until agreement is reached through negotiations between authorized representatives of the City and said employee organization or organizations or a determination is made through the impartial arbitration procedure hereinafter provided, no existing benefit, term or condition of employment for employees represented by the San Luis Obispo Police Officers Association and/or the San Luis Obispo Firefighters Association, IAFF Local 3523, shall be altered, eliminated or changed. (D) Impasse Resolution Procedures.. (1) All disputes, controversies and grievances pertaining to wages, hours or terms and conditions of City employment which remain unresolved after good faith negotiations between the City and said employee organization shall be submitted to a three member Board of Arbitrators upon the declaration of an impasse by the City or by said employee organization. Upon declaration of impasse by either party, the City and employee organization shall each exchange a written last offer of settlement on each of the issues remaining in dispute. Written last offer of settlement shall be exchanged between parties within two days of the declaration of impasse. 22 (2) Representatives designated by the City and representatives of the employee organization shall each select and appoint one arbitrator to the Board of Arbitrators within three (3) business days after either party has notified the other, in writing, of the declaration of impasse and the desire to proceed to arbitration. The third member of the Board of Arbitrators shall be selected by agreement between the City's and the employee's organization representative within ten (10) business days of the declaration of impasse. This third member shall serve as the neutral arbitrator and Chairperson of the Board. In the event that the City and the employee organization cannot agree upon the selection of the neutral arbitrator within ten (10) business days from the date that either party has notified the other that it has declared an impasse, either party may then request the State Mediation and Conciliation Service of the State of California Department of Industrial Relations to provide a list of seven (7) persons who are qualified and experienced as labor arbitrators. If the arbitrators selected by the City and the employee organization cannot agree within three (3) days after receipt of such list on one of the seven (7) to act as the third arbitrator, they shall have. five (5) business days to alternately strike names, with the City's arbitrator striking first, from the list of nominees until one name remains and that person shall then become the neutral arbitrator and Chairperson of the Board of Arbitrators. (3) Any arbitration proceeding convened pursuant to this Article shall be conducted in conformance with, subject to, and governed by Title 9 of Part 3 of the California Code of Civil Procedure. The Board of Arbitrators shall hold public hearings, receive evidence from the parties and cause a transcript of the proceedings to be prepared. The. Board of Arbitrators may adopt by unanimous consent such other procedures that are designed to encourage an agreement between the parties, expedite the arbitration hearing process, or reduce the costs of the arbitration process. (4) In the event no agreement is reached prior to the conclusion of the arbitration hearings, the Board of Arbitrators shall direct each of the parties to submit, within such time limit as the Board of Arbitrators may establish, but not to exceed thirty (30) business days, a last offer of settlement on each of the remaining issues in dispute. The Board of Arbitrators shall decide each issue by majority vote by selecting whichever last offer of settlement on that issue it finds most nearly conforms to those factors traditionally taken into consideration in the determination of wages, hours, benefits and terms and conditions of public and private employment, including, but not limited to the following: changes in the average consumer price index for goods and services using the San Francisco -Oakland -San Jose index, as reported at the time impasse is declared for the preceding twelve (12) months, the wages, hours, benefits and terns and conditions of employment of employees performing similar services in comparable cities; and the financial condition of the City of San Luis Obispo and its ability to meet the costs of the decision of the Board of Arbitrators. (5) After reaching a decision, the Board of Arbitrators shall mail or otherwise deliver a true copy of its decision to the parties. The decision of the Board of Arbitrators shall not be publicly disclosed and shall not be binding until ten (10) days after it is delivered to the parties. During that 23 ten (10) day period the parties shall meet privately, attempt to resolve their differences, and by mutual agreement amend or modify the decision of the Board of Arbitrators. At the conclusion of the ten (10) day period, which may be extended by mutual agreement between the parties, the decision of Board of Arbitrators, as it may be modified or amended by the parties, shall be publicly disclosed and shall be binding on the parties. The City and the employee organization shall take whatever action is necessary to carry out and effectuate the arbitration award. No other actions by the City Council or by the electorate to conform or approve the decision of the Board of Arbitrators shall be permitted or required. (6) The expenses of any arbitration proceeding convened pursuant to this Article, including the fee for the services of the chairperson of the Board of Arbitrators and the costs of preparation of the transcript of the proceedings shall be -borne equally by the parties. The expenses of the arbitration, which the parties may incur individually, are to be borne by the party incurring such expenses. Such expenses include, but are not limited to, the expense of calling a party's witnesses, the costs incurred in gathering data and compiling reports, and any expenses incurred by the party's arbitrator. The parties may mutually agree to divide the costs in another manner. (7) The proceedings described herein shall supercede the dispute resolution process for the San Luis Obispo Police Officers Association and the San Luis Obispo Firefighters Association which is.set forth in Sections 13.2 and 14.1 of City of San Luis Obispo Resolution No. 6620, to the extent that such language is in conflict with this amendment. Furthermore, the proceedings described herein shall supercede any language within the Employer -Employee Resolution, the Personnel Rules and Regulations, any Memorandum of Agreement with the employee associations or any written policy or procedure relating to wages, hours or other terms and conditions of City employment, to the extent that such language is in conflict with this amendment. However, nothing in this section shall preclude the parties from mutually agreeing to use dispute resolution processes other than the binding arbitration process herein set forth. Nor, does it preclude the parties from negotiating, and submitting to the arbitration process set forth herein, a grievance process, which includes a form of binding arbitration that differs from the one, set forth herein. ARTICLE XII. BOARDS AND COMMISSIONS SECTION 1201. Authority. The City Council shall have the authority to establish by ordinance citizen Committees, Commissions, Boards, and Authorities as required by the State of California or as the Council deems necessary to give it advice or assistance. Such authorizing ordinances shall clearly define goals, responsibilities, and jurisdiction of such a body. 24 The Council shall have the authority to establish by resolution any temporary or "ad hoc" citizen Committees with limited lifespan and clearly define objectives specified in such a resolution. SECTION 1202. Eligibility, Appointment, and Length of Terms. All registered voters within the City, except part or full-time officials and management employees of the City, shall be eligible for appointment, and shall be selected and appointed by any method deemed appropriate by the Council. Participation on citizen committees, commissions, boards and authorities by non -registered voters or non -city residents may be permissible depending upon the nature and purpose of the advisory body, as determined by the City Council. No Committee member shall be appointed to a term exceeding four (4) years. Committee members may be reappointed to serve additional terms. SECTION 1203. Vacancies. If a vacancy occurs in the body created by the Council, that vacancy may be filled by the Council for the unexpired term of such a position. A member of any such body may be removed by three (3) affirmative votes of the Council. SECTION 1204. Bylaws and Procedures. Each body established by ordinance shall present in writing to the Council for approval its bylaws for procedure: purpose, specific function, meetings, officers, budget, etc. SECTION 1205. Annual Reports. On an annual basis, each established body shall report to the Council on its activities for the preceding year, as well as its proposed activities and requested budget for the forthcoming year. SECTION 1206. Functional Review. Every five (5) years of a standing Committee's life, the activities of such a body shall be reviewed by a citizens' "ad hoc" Committee and recommendations presented to the Council for modification or continuation of function, or for termination. The Council, at its discretion, may refer this task to the Personnel Board. 25 INDEX Annexation SECTION PAGE Development of Annexed Lands 908 18 Appointments 1107 22 City Officers; term and removal 701 10 Relatives of City Officials and employees prohibited 707 11 Boards and Commissions 1202 25 Attorney, City 1201 24 Appointment of and term of 701 10 Compensation of 711 12 Duties of 702 11 Oath of Office 710 12 Audit Annually by certified public accountant 810 15 Binding Arbitration 1107 22 Boards and Commissions Annual Report 1205 25 Appointment 1202 25 Authority 1201 24 Bylaws and procedures 1204 25 Eligibility 1202 25 Functional review 1206 25 Term, length of 1202 25 Vacancies 1203 25 Bond of Officers Council may determine 712 12 Boundaries Established City limits 102 1 Budget Adoption of 804 13 Hearing and notice 803 13 Providing for 802 13 Charter Amendment of 105 1 Conflicts 107 2 Definitions 106 1 Effective date 103 1 Validity of 108 2 Violation of, penalty 109 2 City Manager Annual budget, providing for 802 13 Appointment of certain officers and department heads 701 10 Compensation 711 12 Council shall appoint 703 11 26 Councilmen, eligibility of 705 11 Oath of Office 710 12 Powers and duties 702 11 Relative ineligible to serve as City Officer 707 11 Public works performed by City 901(c) 15 Qualifications of 704 11 City Property Sale and lease of 906 17 Clerk, City Actions against City presented to City Clerk 809 14 Appointment of and term of 701 10 Bond of, filed with Administrative Officer 712 12 Compensation of officials 711 12 Council shall appoint 701 10 Duties of officials 702 11 Oath of Office 710 12 Collusion 902 16 Commissions, Boards and (See Boards and Commissions) Consolidation of functions, offices With County or State 205 3 Within City 706 11 Contracts Abridgement of 904 17 Collusion 902 16 Progress payments 905 17 Public Works by 901 15 Council Actions, methods of 601 8 Appointments City Officer; term and removal 701 10 Relatives of City Officials and employees prohibited 707 11 Boards and Commissions 1202 25 Budget Adoption of 804 13 Date fixed by 804 13 Hearing and notice 803 13 Compensation of 410 6 Duties and powers, enumeration of 501 7 Duties, limitation of 508 8 Election at large 402 4 Emergency legislation 605 9 Franchises, granting 1001 18 Holding certain other offices prohibited 508 8 Majority vote of, required for passage of ordinance, resolution, or motion 506 8 27 Mayor Pro f empore (Vice Mayor) Meetings Place of, public Quorur;,, majority to constitute Rules of procedures Special may be called Oath of Office Oath, power to administer Offices and departments, may provide for conduction, etc., of, or additional Ordinances and resolutions, ayes and noes take on passage of Powers generally of Reimbursement for authorized travel and other expenses Subpoena, power to compel attendance of witnesses Terms, limitation of Vacancies in, filling Voting County Council may consolidate function of City with Demand Against City Filing, rejection, etc. Department of Public Works May perform work normally contracted Departments Council may provide for operation, etc., of, or additional Elections At large, Mayor and Council Eligibility for office General municipal, time to hold Initiative, referendum and recall, State law to apply Mayor and Council Procedure for holding, State law to apply Special municipal, defined Electricity and Electric power exempted Eminent Domain Right not impaired by franchise grant Enumeration Equipment Purchase of Firefighters Association Binding Arbitration Fiscal Administration Accounts Payable 28 502 7 503 7 504 7 502 7 710 12 507 8 702 505 7 501 7 410 6 507 8 405 5 406 5 505 7 205 3 809 14 901(c) 15 204 3 402 4 403 4 302 4 304 4 402 4 301 3 303 4 907 18 1005 20 401 4 903 17 1107 22 808 14 Claims against the City 809 14 Grants 805 14 Subsidies 805 14 Fiscal Year Defined 801 13 Form of Government of City 201 2 Franchises Duty of grantee 1006 20 Eminent Domain not impaired by granting 1005 20 Granting 1001 18 Notice 1002 18 Public hearing 1002 18 Term of 1003 19 General Laws Applicable to City 104 1 Governing body 202 2 Grants and subsidies 805 14 Income from public utilities 806 14 Initiative Ordinance Enacting clause 304 4 Mayor Absence or disability, selection of Mayor Pro Tempore 408 6 Compensation of 410 6 Election of, at large 402 4 Powers and duties 407 6 Term of office 404 5 Pro Tempore, selection of 408 6 Reimbursement for authorized travel and other expenses 410 6 Vacancy in office of, filling 406 5 Mayor Pro Tempore 408 6 Monies Drawn from City Treasury 808 14 Name of City 101 1 Natural Gas, Telephone Service, Electricity exempted 907 18 Nepotism Prohibited 707 11 Oaths Council has power to administer 507 8 Offices and Employees Bond of, Council may determine amount of 712 12 Combining Offices 706 11 Compensation of, fixed by ordinance or resolution 711 12 Consists of certain named officials 701 10 Duties of 702 11 Eligibility for office 403 4 Employee may become candidate for public office 1104 21 Employment policy 709 12 29 Enumeration of 401 4 Equal Opportunity Employer 708 12 Fees collected by, must be paid into City Treasury 711 12 Mayor and Councilmen, elected at large 402 4 Nepotism 707 11 Oath of Office to be taken by 710 12 Political activities, employee 1103 21 Vacancy in elective office 406 5 Offices Council may provide for operation, etc., of or reassignment of 702 11 Ordinances Adoption of certain provisions by reference permitted 608 10 Amending 606 10 Creation of 601 8 Codification of 608 10 Effective date 604 9 Emergency, adoption of 605 9 Emergency, effective 605 9 Enacting clause of 603 9 Repeal of - 607 10 Requirements of 602 9 Violation of, punishment 609 10 Organization of City Government 204 3 Personnel System Binding Arbitration 1107 22 Personnel Board or Personnel Hearing Board, establishing 1102 21 Retirement 1105 21 Rules and regulations 1101 21 Police Officers Association Binding Arbitration 1107 22 Political Activities Employee shall not take active part in 1103 21 Powers of City 203 3 Procedures City may act pursuant to established 203 3 Public Utilities Income derived from, disposition of 806 14 Public Works and Contracts City may perform work 901(c) 15 Collusion 902 16 Contract for, requirements 901 15 Contract, rejection of bid 901(c) 15 Contract; security required with bid 901(b) 15 Purchasing 30 Equipment and supplies 903 17 Recall 304 4 Resolutions Ayes and nays taken by Council 601 8 Referendum 304 4 Retirement System Contract with State authorized 1105 21 State Council may consolidate function of City with 205 3 Subpoenas Council has power to compel attendance of witnesses 507 7 Supplies Purchase of 903 17 Telephone Service exempted .907 18 Terms of Office Mayor and Councilmen 404 5 Treasurer, City Appointment of and term of 701 10 Bond of, filed with City Clerk 712 12 Compensation of officials 711 12 Council shall appoint 701 10 Treasurer, City (cont'd) Duties of officials 702 11 Monies drawn from, method and manner of 808 14 Oath of office 710 12 Vacancy in Elective Office Occurs when 406 5 Water Reliability Reserve 909 18 31 C cr U) m W N N i N N O m Ci W CO -1 -1 CO 0 O 0 O Z m 0 D D D Dz z y n = CD CL CD a CD a a s � n v m m ZG wn D3 w� CD ym C M Z M O Cl) CD m� 0 0 cs n n y m� m 0 m n > A > CT..a - " - -q ACA O 0 z 0 s C: vn 61dS. m; 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E /0\ §k5 !c 75°> �@_�_ � 0 (D ! 3 . j 7 cc ) ktk &D otq caCD D > 2 0 2CD §f g�/a �\kk a0o� §0w __<< <2 7 ) °) ))2\ $�(k cU) <ma<m 1 [Vol 2k %E �c / / CHARTER AMENDMENTS 310 311 - Adopted Charters -listed numerically with amendments 312 - Citizens' Charter Committee 313 - Council Compensation Committee CHARTER AMENDMENTS 311 1910 Charter with amendments 1949 Charter not adopted -S& 1955 Charter with amendments 5/ 1967 Charter amendments - 1/12/67 1967 Charter amendments - 5/1/67 1976 Charter - not adopted 1978 Charter - 6/6/78 7rcrp', W17' 1981 Charter - 3/3/81 EJC;,ro ,07: STORED .IN VAULT 1985 Charter - 11/5/85 1986 Charter - 6/3/86 1978 Charter Committee (312) CHARTER AMENDMENT - MAJORITY ELECTIONS 11/16/93 - Consideration of recommendations of the Campaign Reg. Comm. regarding a proposed Charter Amendment to elect Mayor and City Council by majority vote. No action taken to place proposal on the 11 94 ballot. (324) MICRORCHED /ye CA Codes (gov:34450-34462) http://www.leginfo.ca.gov/cgi-bin/rI�--la...n=gov&group=34001-35000&file=34450-34462 4 GOVERNMENT CODE SECTION 34450-34462 34450. Any city or city and county may enact, amend, or repeal a charter for its own government according to this article or Article 3 (commencing with Section 9255) of Chapter 3 of Division 9 of the Elections Code. -- -- - - ---- •---- - m- — - -- -- 34451:—The-charter may_be..proposed,by.a._charter commission chosen by--the--voters-of the -city -or -city -and -county, --at any general."or spe al` election,- btiit no person shall be eligible as a candidate for -the commission unless he or she is a registered voter.of the city or city and county. 34452. (a),- -election_for_c_hoosing.._charter commissioners- may -be_ called-by`a-majority-vote_of the governing body of a city_or-city and county, or on presentation of a petition signed by not less than 15 percent of the registered voters of the city or city and county. The petition shall be verified by the authority having charge of the registration records of the city or city and county and the expenses of the verification shall be provided by the governing body thereof. The governing body shall call an election pursuant to Sections 1000 and 10403 of the Elections Code. (b) If any vacancy arises in a charter commission established for a city or city and county pursuant to this chapter, the vacancy shall be filled by an appointment by the mayor of the city or city and county. ---------------- 34453:--At an election the-voters__shall_vote_first.-on-the question "Shall a charter commission_be_elected to_propose a new -charter? and, secondly, for the candidates of the office of charter commissioner. If the first question receives a majority of the votes of the qualified voters voting thereon at the election, the 15 candidates for the office of charter commissioner receiving the highest number of votes shall forthwith organize as a charter commission. However, if the first question receives less than a majority of the votes of the qualified voters voting thereon at the election no charter commission shall be deemed to have been elected. 34454. Candidates for the office of charter commissioner shall be nominated either in the same manner provided for the nomination of officers of the municipal or city and county government, or by petition substantially in the same manner provided by general laws for the nomination by petition of candidates for public offices to be voted for at general elections. 34455. The charter commissioners shall propose a charter and may propose amendments to a charter, for the government of the city or city and county. The charter so prepared shall be signed by a majority of the charter commissioners and shall be filed in the office of the clerk of the governing body of.the city or city and I of 3 12/28/99 8:10 AM CA Codes (gov:34450-34462) http://www.leginfo.ca.gov/cgi-bin/d'--la ... n=gov&group=34001-35000&file=34450-34462 county. 34456. In any city or city and county, the governing body shall cause copies of the charter to be printed in type of not less than 10 -point. If the governing body causes copies of the proposed charter to be mailed to the voters, the text of the proposed charter may show the difference from existing provisions of law by the use of distinguishing type styles. 34457. After the charter prepared by the charter commission has been filed in the office of the clerk of the governing body of the city or city and county pursuant to Section .34455, the proposed charter shall be submitted to the voters of the city or city and county at either a special election called within 14 days by the governing body for that purpose to be conducted at least 95 days after the date the special election is called, or at the next established municipal election date or at the next established election date pursuant to Section 1000 of the Elections Code, provided there are at least 95 days before the election. - 34458.`" -As --an alternative to the procedure provided for in Sections 34450 .to 34457; inclusive, the governing body of any city or city and county,`on its own motion may propose or cause to be proposed, amend or cause to be amended, or repeal or cause to be repealed, a charter and may submit the proposal for the adoption, or the amendments or repeal thereof, to the voters at either a special election called for that purpose or at any established municipal election date or at any, established election date pursuant to Section 1000 of the Elections Code, provided there are at least 88 days before the election. 34459. If the voters vote in favor of the charter proposal, amendment, or repeal, it shall be deemed to be ratified, but shall not take effect until accepted and filed by the Secretary of State pursuant to Section 34460. 34460. Two copies of the complete text of a charter proposal or of any amended or repealed section ratified by the voters of a city or city and county shall be certified and authenticated by the chairperson and the clerk of the governing body and attested by the city clerk, setting forth the submission of the charter to the voters of the city, and its ratification by.them. One copy shall be filed with the recorder of the county in which the city is located, and one in the archives of the city. In the case of a city and county, one copy shall be filed with the recorder thereof, and one in the archives of the city and county. Each copy filed with the recorder of the county or city and county and in the archives of the city or city and county shall be filed with the following: (a) Certified copies of all publications and notices required of the city by this chapter or by the laws of this state in connection with the calling of an election to propose, amend, or repeal a city charter. (b) Certified copies of any arguments for or against the charter proposal, amendment, or repeal which were mailed to voters pursuant to Sections 9281 and 13303 of the Elections Code. (c) A certified abstract of the vote at the election at which the charter proposal, amendment, or repeal was approved by the voters. 2 of 3 12/28/99'8: 10 AM CA Codes(gov:34450-34462) http://www.leginfo.ca.gov/cgi-bin/r' -*�a... n=gov&group=34001-35000&Fde=34450-34462 J 34461. A charter proposal, amendment, or repeal by the voters of a city or city and county and submitted to the Secretary of State in compliance with this chapter shall be accepted and filed by the Secretary of State. The charter proposal, amendment, or repeal shall be published in the statutes in a charter chapter series under the designation "Statutes of (year), Charter Chapter Under the chapter number, the date of the ratification election and the date of filing with the Secretary of State shall be indicated. After a charter proposal, amendment, or repeal is accepted and filed by the Secretary of State, the courts shall take judicial notice thereof. 34462. (a) A charter commission established for a city and county pursuant to this chapter shall complete a proposed or amended charter and submit the charter to the voters of the city and county within two years of the date of the election of the charter commissioners, and at the expiration of that period is abolished. (b) A charter commission may submit portions of the proposed or amended charter to the voters periodically. 3 of 3 12/28/99 8:10 AM EKSOLU3?01T No. 223 (New Series Declaring and finding that the. two. propositions of ascend— ing the charter of the: city of San Luis Obispo submitted to the qualified voters of said city an April 4th. 19.27, received the nate: of a majority of all thevoters voting on such propositions. Be it resolved by the council of the. city of San Buis Obispo as fallowat 1hereas the city counci.I. of the city of San Luis Obispo, did on the 21st. day of February, 192% by resolution No. 215 (Neer Series) submit to the qualified electors of the city of San Luis Obispo, tuo proposals for the amendment of the charter of said.city, which said proposals were: as foll.owa, tor -wit: Charter Amendment No. 3. Section 14 of Article = of -the. Charter of the City of San Luis: Obispo is- hereby amended - so that the same shah be and read as follows t Sec. 10. TEEM OF OI'FICL 07 X&YOR AND CLEMX. 'The mayor'. shall hold office for a term of two years from and after the 15th. day of 11ay after his election, and until his successor is elected and qualified. The city clerk shall hold office fvr a term of four years from and after the 15th, day of May after his, e lec tion, and until his succe:szor is elected and qualified. Charter Amendment bio-. 4. Section 15 of Article M of. the Charter of the ' C:i ty of San Luis. Obispo is hereby amended so, that. the same. shall be. anal read. as. fall.aws Sec. 15, MUARM, The mayor sha31 recei-Te. an annual salary of six hundred dollars, payable in equal monthly installments. The -city clerk. shall receive an annual salaxy of one thousand nj=e.hundred twenty dollars, payable in equal monthly. installments. .. Each councilman shall receive an annual salary of five hundred dollars, Payable in equal monthly installments. Each school director shall receive two and one-iwalf dollars for eac# regular meeting of the board of education vuhi.ch he shall attend, provided that he.. shall not re-ceive.. more: than ten d6lI.are` in any one month. And whereas said two, proposals were. duly submitted to the q alifieri voters of said city at the general municipal election held on the. 4th. day of Aprils. 1927, zndi,said council having canvassed- the returns of said election finds the same to be as hereinafter set, forth. amen dne.ntsiand to da such further acts and things as mag be required to secure. the approval of said amendments, by the Legislature of the State of C911fornia. T033IICED A8Il ADOPII this 6i4ay of April. 1.927, e by the f a4awing votesx A4 S:C-MCaV nter, dohu Chapek, Chas, Pothe v $.E.Coz. L.F.Sinsheimer NOES 1 11 I' It ishereby resolved,,, fa=d and declared that the run ex of voters (voting an said charter amendment number three was 2093 x and that °i - voters voted in favor thereof. It is hereby reaalved,. found and declared that the num=ber of voters 'voting an said charter I amendment numb= four vias. :2089 and that35� votera voted in favor thereaf,� It is further reaalved,, P f(xmd and declared that a majority of the qualified voters voted in favor of each of said amendments and ratified the same. i 1t is further resolved that the: mayor and ,city clerk be., and they are hereby authorized to certify to the adoption of said amen dne.ntsiand to da such further acts and things as mag be required to secure. the approval of said amendments, by the Legislature of the State of C911fornia. T033IICED A8Il ADOPII this 6i4ay of April. 1.927, e by the f a4awing votesx A4 S:C-MCaV nter, dohu Chapek, Chas, Pothe v $.E.Coz. 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