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HomeMy WebLinkAboutMINUTES - 10152002 - C.54 t�X TO: Board of SupervisorsCON T � FROM: Silvana B.Marchesi,County Counsel COSTA By: Mary Ann McNett Mason,Deputy County Counsel COUNTY DATE: October 1,2002 SUBJECT: Conflict of Interest Code of the Contra Costa.Transportation Authority SPECIFIC REQUEST(S"")OR RECOMMENDATIONS)&BACKGROUND AND JUSTIFICATION RECOMMENDATION(S): Approve amendment to the Contra Costa Transportation Authority Conflict of Interest Code to substitute the attached as said code, as shown on the attached ordinance from the District. BACKGROUND/REASON(S) FOR RECOMMENDATION(S): The Contra Costa.Transportation Authority has amended its code and submitted the amended code to the Board for approval pursuant to Government Code section 87306 and 87306.5. CONTINUED ON ATTACHMENT: YES SIGNATURE: /* RECOMMENDATION OF COUNT'ADMINISTRATOR_,,,RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER. SIGNATURE(S).- ACTION IGNATURE(S):ACTION OF BOARD ON October 15, 2002 APPROVED AS RECOMMENDED �OTHER VOTE OF SUPERVISORS: I HEREBY CERTIFY THAT THIS IS A x UNANIMOUS (ABSENT2�n2) TRUE AND CORRECT COPY OF AN AYES: NOES. ACTION TARN AND ENTERED ABSENT: ABSTAIN: ON THE MINUTES" OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. ATTESTED: October 15, 2002_ JOAN SWEETEN, CLERK OF THE BOARD OF SUPERVISORS Contact: County Counsel AND COUNTY ADMINISTRATOR cc: Clerk,Hoard of Supervisors r.-\ David Murray, CFO, Contra.Costa.Transportation Authority By: --- Deputy UJO.AWMAMbdurdco3 ecta.wpd 2€02 Local Agency Biennial Notice Name of Agency: cs..s r a.a a r s• rt. .a .. "s -o r , 9o+*1 13 5 V 1 art. �Z_ Oce l f v Stir I-r G 1 Ct 0 Mailing Address: E-1-1 4 S t.J 1-41 r_c_ t o n Contact Person: VAli I vrL A Y Office.Phone No:, W25 S t. - 4-7„ZS Fax Number. (!a,4 4 al -0 11 E-mail (optional): a rAvW r c�t-� . >n � r This agency has reviewed its conflict of interest code and has determined that: ['The code needs to be amended and the following amendments are necessary: (Check all that apply) Q Include new positions(including consultants)that must be designated 0 Revise the titles of existing positions 4 Delete the titles of positions that have been abolished d Delete the positions that manage public investments 0 Revise disclosure categories ' +� +1 + 5 - . +.�,N •.. i` ' . . k' 't"3,,i C? ., c.A^ C.J-- ,.. # 'r A. K aA�4,_4t w+ >�-»h '�G i �►w �w+ �D rat A + �}J j aw, h S to,4 i"a + i e,_c C4 fbn }s Z i c. i •- 5 r-a WTI +* . Q No amendments are necessary. The agency's code accurately designates all positions that make or participate in the making of governmental decisions;the disclosure categories assigned to those positions accurately require the disclosure of all investments,business positions,interests in real property and sources of income which may foreseeably be affected materially by the decisions made by those designated positions;and the code it scludes ail ether provisions required by Government Code Section 87302. 12 5_(Z 5r nature Chi f Executive Officer —. Date t4. M c.. You must complete this report✓regardless o;how recently your code was approved or amended. Please return this report no later than October 1,2002 to: (return address of agency) Clem of the Board of Supervisors 651 Fine Street, Room 106 Martinez, CA 94553 LA-June 2002 CCTAAdministrution & Projects Committee/Authority September 18,2002 Subject Update to CCTA Conflict of Interest Cade, Ordinance 96-01 i (Revision 1) I Summary The CCTA Administrative Code includes the Conflict of Interest Code of the Authority. The Conflict of Interest Code designates the officers and employees who need to submit a personal investments report,the content of a { disclosure statement, and the time and place of filing. The Conflict of Interest Code states the conditions for disqualification or participating in decisions j where one has a reportable financial interest. The Conflict of Interest Code also states the restrictions on travel payments,honoraria, and gifts. ( The proposed update would incorporate two changes: • Article V, Section 405.1(a)(4); and 405.1 (b) (2), page 4-4: update the levels of reportable financial interests. Exhibit A.Footnote#2,page 4-8: add a statement that the Chief Executive Officer(Executive Director) may determine disclosure of consultants' financial interests as a matter of public record. After Authority action, the amended Conflict of Interest Code would be fi ( submitted to the County, as per Current rules and notices, by October 1, 2002, Ii with the County's biennial notice worksheet. i Authority Counsel has determined that no other updates are needed to the Conflict of Interest Code at this time. 1 Recommendations Approve the updates to the CCTA Administrative Cod.. Financial lvT(A Implications � f Options Request certain changes to the updated language and sections within provisions ' of law and legal precedents. Attachments CCTA Ordinance 96-01 (revision 1) Attachment A: Administrative Code Chapter 4,Updated Conflict of Interest Code (Redline Version). i Changes from 1'he APC did not meet in September, This item was presented directly Committee to the Authority. C 1.My DocumentAWPFILES%1»CCTA MTOM02 MTGSMPT 2002M Conflict of Interest Code update 09-02.doc 2.A.9-1 U Contra Costa Transportation Authority Amending Ordinance 96-01,Revision 1 RE: AMENDMENTS TO CHAPTER 4 OF THE ADMINISTRATIVE CODE OF THE CONTRA COSTA TRANSPORTATION AUTHORITY(CONFLICT OF INTEREST CODE) Whereas,the Contra Costa Transportation Authority(the"Authority")has adopted a Conflict of Interest Code Regulating the conduct of members of the Beard of the Authority, and certain persons designated as required filers with respect to the provisions of the Political Reform Act(Cal.Gov. Code Sections 81000 et seq.)(the "Act"), and Whereas,in accordance with the provisions of the Act,the Authority is required to review and amend its Conflict of Interest Code each even numbered year and to submit any amendments to Contra Costa County(the"County")as the Authority's Code:Reviewing Agency, and Whereas,this code is incorporated in Chapter 4 of the Authority's Administrative Code,and Whereas,the Authority has determined that it would be advisable to modify the levels of reportable financial interests; and to add a statement that the Executive Director may determine disclosure of consultants' financial interests as a matter of public record. NOW,THEREFORE BE IT RESOLVED: I. Article V of Chapter 4, Conflict of Interest Code of the Authority is amended to read as set forth in the attachment to this ordinance. 2. Exhibit"A," Chapter 4,Conflict of Interest Code of the Authority, is amended to read as set forth in the Attachment to this Ordinance. 3. The Executive Director or his designee is directed to submit the proposed amendment, once approved by the Board.,to the County for its review and approval as Code Reviewing Agency. 4. The amendment to the Conflict of Interest Code(and Administrative Code)shall become effective upon approval,either as submitted or as modified by the Code Reviewing Agency. n Id P.Freitas, air This ORDINANCE was adopted at a meeting of the Contra Costa Transportation Authority held in Pleasant hill,California on September 18,2002. Attest: rExecutiveDTictor Rob Mcr CAMy D-urnenisMPFILESWEASMR02.doc CDAI"TER 4 CONFLICT OF INTEREST CODE OF THE CONTRA COSTA TRANSPORTATION AUTHORITY WITH DESIGNATED EMPLOYEES AND OFFICIALS CCTA G Redline Conflict Code.ci (919120{29 1np4) —. CHAPTER 4 CONTRA COSTA TRANSPORTATION AUTHORITY CONFLICT OF INTEREST CODE ARTICLE I PURPOSE 401.1 PuMose. Pursuant to the provisions of Government Code sections 87300, et seq., the Contra Costa Transportation Authority, hereby adopts the following Conflict of Interest Code. Nothing contained herein is intended to modify or abridge the provisions of the Political Reform Act of 1974, as amended (Government Code § 81000 et seq.). The provisions of this Code are additional to Government Code section 87100 et seq. and other laws pertaining to conflicts of interest. Except as otherwise indicated, the definitions of said Act and regulations adopted pursuant thereto are incorporated herein and this Code shall be interpreted in a manner consistent therewith. {Amended on Jury 20, 19941 ARTICLE II DESIGNATED POSITIONS 402.1 Designated Positions. The positions listed on Exhibit "A" are designated positions. Officers and employees holding those positions are designated employees and are deemed to make, or participate in the making of, decisions which may foreseeably have a material effect on a financial interest. ARTICLE III DISCLOSURE STATEMENTS 403.1 Disclosure Statements. (a) This Code does not establish any disclosure obligation for those designated employees who are also specified in Government Code section 87200 if they are designated in this Code in that same capacity or if the geographical jurisdiction of this agency is the same as or is wholly included within the jurisdiction in which those persons must report their 4-1 ,a2 'k. �- ye financial interests pursuant to Article 2 of Chapter 7 of the Political Reform Act, Government Code sections 87200, et seq. Such persons are covered by this Code for disqualification purposes only. (b) Designated positions shall be assigned to one or more of the disclosure categories set forth on Exhibit "B". With the exception of those designated employees who are exempt pursuant to subsection (a), each designated employee shall file an annual statement disclosing that employee's interest in investments, real property, business positions, and income, designated as reportable tinder the category to which the employee's position is assigned. [Amended an February 16, 1994] ARTICLE IV PLACE AND'TITME,OF FILING 404.1 Place and Time of Eilin . (a) All designated employees required to submit a statement of financial interests shall file the original with the Executive Director to the Contra.Costa"Transportation Authority. (b) In the case of agency heads and the members of beards and commissions, the Secretary of the Contra Costa Transportation Authority shall make and retain a copy and forward the original to the Clerk of the Beard of Supervisors. (c) All designated employees employed by the agency on the effective date of this Cade, as originally adopted., promulgated and approved by the code reviewing body, snail File statements within thirty days after the effective date of this Code. Thereafter, each person already in a position when it is designated by an amendment to this Code shall file an initial statement within thirty days after the effective date of the amendment. Designated employees appointed., proinoted or transferred to designated positions shall file initial statements within 30 days after the date such appointment, promotion or transfer becomes effective. (d) Annual statements shall be filed during the month of April by all designated employees. Such statements shall cover the period of the preceding calendar year. Closing statements shall be filed within 30 days of leaving a designated position. Such statements, shall cover the period from the closing date of the last statement Bled to the date of leaving the position. (e) A designated employee required to file a statement of financial interest under any other agency's conflict of interest code, or cinder Article 2 of Chapter 7 of the Political Reform.Act for a jurisdiction contained within the territorial jurisdiction of this agency may comply with the provisions of this Code by filing a duplicate copy of that statement and an 4-2 �,,r '< -6— expanded statement which covers reportable interests in that portion of this agency's jurisdiction which differs from the jurisdiction described in the other statement. (f) Any designated employee required to file a statement with. the Authority who resigns his position with the Authority within 12 months following initial appointment or within 30 days of the date of a notice mailed by the Executive Director of the Authority of the employee's filing obligation, whichever is earlier, is not deemed to assume or leave office, provided that during the period between appointment and resignation, the individual does not make, participate in making, or use the position to influence any decision of the Authority or receive, or become entitled to receive, any form of payment by virtue of being appointed to the position. Within 30 days of the date of a notice mailed by the Authority, the employee shalll do both of the following: (1) File a written resignation with the appointing power. (2) File a written statement with the Authority on a form prescribed by the Fair Political Practices Commission and signed under penalty of perjury stating that the employee, during the period between appointment and resignation, did not make, participate in the making, or use the position to influence any decision of the Authority or receive, or become entitled to receive any form of payment by virtue of being appointed to the position. [Amended on April.2.1, 1.99✓; February 16, 1994; ,July 20, 19941 ARTICLE V CONTENTS OF DISCLOSURE STATEMENTS 405.1 Contents of Disclosure Statements. Disclosure statements shall be made on forms supplied by the Clerk of Contra Costa County, and shall contain the following information: (a) Contents of Investment and Real Property Reports: When an investment, or an interest in real property, is required to be reported, the statement shall contain: (1) A statement of the nature of the investment or interest; (2) The name of the business entity in which each investment is held, and a general description of the business activity in which the business entity is engaged, (3) The address or other precise location of the real property; 4-3 . • `�M (4) A statement whether the fair market value of the investment or interest in real property equals or exceeds two thousand dollars ($ 2,000) but does not exceed ten thousand dollars ($10,000), whether it exceeds ten thousand dollars ($10,000) but does not exceed one hundred thousand dollars ($100,000), whether it exceeds one hundred thousand dollars ($.I 00,000-3, but does not exceed one million dollars $1.000.000) or whether it exceeds one million dollars ($1,000,000). This information need not be provided with respect to an interest in real property which is the principal residence of the filer or any other property which the filer utilizes exclusively as the personal residence of the filer. (b) Contents of Personal Income Reports: y^y y�yyt(y When personal income is required to be reported, the statement shall contain: Loi in: (1) The name and address of each source of income aggregating twe five hundred aR4 4.S-'-.y'-dollars ($-250D or more in value, or fifty dollars ($50) or more in value if the income was a gift, and a general description of the business activity, if any, of each source. In the case of a gift received through an intermediary, the name, address, and business activity of both the donor and the intermediary must be disclosed, (2) A statement whether the aggregate value of income from each source, or in the case of a loan, the highest amount owed to each source, was at least five hundred 4A dolla.rs ($-2509) but did not exceed one thousand dollars ($1,000). whether it was in excess of one thousand dollars ($1,000) but was not greater than ten thousand dollars ($10,000), whether it was greeter than ten thousand dollars S 10.000) but not greater than one hundred thousand dollars ($100.000). or whether it was greater than�-one_hundred_thousand dollars ($100,000); (3) A description of the consideration, if any, for which the income was received; (4) In the case of a gift, the amount and the date on which the gift was received; (5) In the case of a loan, the annual interest rate and the security, if any, given for the loan. (c) Contents of Business Entity Income Reports: When income of a business entity, including income of a sole proprietorship,is required to be reported, the statement shall contain: (1) The name, address, and a general description of the business activity of the business entity; 4-4 (2) The name of every person from whom the business entity received payments if the filer's pro rata share of gross receipts from such person was equal to or greater than ten thousand dollars ($10,000) during a calendar year. (d) Advance or reimbursement for travel: When a payment, including an advance or reimbursement, for travel is required to be reported pursuant to this section, it may be reported on a separate travel reimbursement schedule which shall be included in the filer's statement of economic interest. A filer who chooses not to use the travel schedule shall disclose payments for travel as a gift, unless it is clear from all surrounding circumstances that the services provided were equal to or greater in value from the payments for the travel, in which case the travel may be reported as income. (e) Contents of Business Position Reports: When business positions are required to be reported, designated employees shall list the name of each business entity in which they are a director, officer, partner, trustee, employee, or in which they hold any position of management, a description of the business activity in which the business entity is engaged and their position with the business entity. (f) Initial Statement: The initial statement filed by a designated employee employed on the effective date of this code shall disclose investments, business positions and interests in real property held on the effective date of this code and income received during the 12 months before the effective date of the code. Thereafter, employees appointed to a designated position shall disclose any reportable investments, business positions, and interests in real property held on, and income received during the 12 months before, the date of appointment. (g) Acquisition or Disposal During Reporting Period. In the case of a statement filed under section 4.i(d), if the investment, or interest in real property, was partially or wholly acquired or disposed of during the period covered by the statement, the date of acquisition or disposal. [Amended on April 21, 1993] 4-5 T- " AR'T'ICLE VI DISQUALIFICATION 406.1 Disqualification. Designated employees must disqualify themselves from making or participating in the making of or using their official position to influence the making of any decisions in which they have a reportable financial interest, when it is reasonably foreseeable that such interest may be materially affected by the decision. No designated employee shall be required to disqualify himself with respect to any matter with respect to which such designated employee's participation is legally required for the action or decision to be made. The fact that a designated employee's vote is needed to break a tie does not make his participation legally required for purposes of this section. [Amended on September 16, 1992;April 21, 19931 ARTICLE VII TRAVEL PAYMENTS, HONORARIA ANIS GIFTS 407.1 Definitions. For purposes of this Chapter, "honorarium" means, except as provided below, any payment made in consideration for any speech given, article published or attendance at any public or private conference, convention, meeting, social event, meal or like gathering. The term"honorarium" does not include earned income for personal services which are customarily provided in connection with the practice of a bona fide business, trade or profession, such as teaching, practicing law, medicine, insurance, real estate, banking or building contracting, unless the sole or predominant activity of the business, trade or profession is making speeches. 407.2 Honoraria prohibition, No designated employee shall accept any honorarium. 407.3. Gift limitation. No designated employee shall accept gifts from any single source in any calendaryear with a total value of more than two hundred fifty dollars ($250). This shall not prohibit or limit payments, advances or reimbursements for travel and related lodging and subsistence otherwise permitted by this Code or other applicable law, wedding gifts and gifts exchanged between individuals on birthdays, holidays and other similar occasions, provided the gifts exchanged are not substantially disproportionate in value. Beginning on January 1, 1993, the Fair Political Practices Commission shall adjust the gift limitation set forth above on January 1 of each odd numbered year to reflect changes in the Consumer Price Index, zn rounded to the nearest ten dollars ( 10). 4-6 X2 . 4. 407.4 'Travel payments, advances and reimbursements. (a) Payments, advances and reimbursements for travel, including actual transportation and related lodging and subsistence which is reasonably related to a legislative or governmental purpose, or to an issue of state, national or international public policy, are not prohibited or limited by this Chapter if either of the following apply: (1) the travel is in connection with a speech given by the designated employee, the lodging and subsistence expenses are limited to the day immediately preceding, the day of, and the day immediately following the speech, and the travel is within the United States; (2) the travel is provided by a governmental agency, a foreign government, a governmental authority, a bona fide public or private educational institution, as defined in Section 203 of the California Revenue and Taxation Code, a nonprofit charitable or religious organization which is exempt from taxation under Section 501(c)(3) of the Internal Revenue Code, or by a person domiciled outside the United States which substantially satisfies the requirements for tai exempt status under Section 501(c)(3) of the Internal Revenue Code. (b) Gifts of travel not described in (a) above are subject to the limitation in Section 407.3. (c) Subdivision (a) applies only to travel which is reported on the recipient's statement of economic interest. (d) For purposes of this Section, a gift of travel does not include any of the following: (1) travel which is paid for from campaign funds, as pem-iitted by the Political Reform Act, or which is a contribution; (2) travel which is provided by the Authority; (3) travel which is reasonably necessary in connection with a bona fide business, trade or profession and which satisfies the criteria for federal income tax deduction for business expenses in Sections 162 and 247 of the Internal Revenue Code, unless the sole or predominant activity of the business, trade orprofession is making speeches; (4) travel which is excluded from the definition of a gift by any other provision of this Code or by any provision of the Political Reform Act. (e) This section does not apply to payments, advances, or reimbursements for travel and relatedlodging and subsistence permitted or limited by Section 170.9 of the California Code of Civil Procedure. (Added on March 20, 1996] 4-7 ' / EXHIBIT «A" Designated Positions Disclosure Cate�o�ry Commissioners and Alternates (22) 1 & 2 Executive Director 1 &2 Consultants' 1 & 2 It has been determined that the positions listed below manage public investments and will file a statement of'economic interest pursuant to Government Code Section 87200. Administrative and Fiscal Officer 1 & 2 [Amended on April 21, 1993; amended on September 18, 2002] I With respect to Consultants, the ChiefE'xecutive Officer of the agency shall have the following rights and duties: 1. .The Chief Executive Ojfzcer shall have the right to determine, in accordance with the applicable authority, whether an individual performing services for an agency qualifies as a "consultant" 2. Upon the Chief Executive Officer's determination that a particular individual is a consultant, said "consultant"shall disclose his or her financial interests pursuant to the broadest disclosure category unless the Chief Executive Officer determines, in writing, that said consultant was hired to perform a limited range of duties that does not require full compliance with the general disclosure requirements. Any such determination by the Chief executive Officer shall include a description of the consultant's duties, and based upon such duties, a statement of the necessary disclosure requirements. The.ChiefExecutive Of icer's determination is a public record and shall be retained for public inspection in the same manner and location as this conflict of interest code. 4-8 EXHIBIT "B" Disclosure Cate ones An investment, interest in real property, or income is reportable if the business entity in which the investment is held, the interest in real property, or the income or source of income may foreseeably be affected materially by any decision made or participated in by the designated employee by virtue of the employee's position. I. Designated Employees in Group "I " Must Retort: All investments, interests in real property and income, and any business entity in which the person: is a director, officer, partner, trustee, employee, or holds any position of management. Financial interests are reportable only if located within Contra Costa County or if the business entity is doing business or planning to do business in the County (and such plans are known by the designated employee) or has done business within the County at any time during the two years prior to the filing of the statement. 2. Desimated Emplovees_in Croup "T' Must Report: Investments in any business entity and income from any source and status as a director, officer, partner, trustee, employee, or holder of a position of management in any business entity, which, within the last two years, has contracted, or in the future foreseeably may contract with the Contra Costa Transportation Authority to provide services, supplies, materials, machinery or equipment to the Authority. 4-9