For the purposes of this subchapter the following words and phrases, when used in this subchapter, shall have the meanings ascribed to them, except where the context dearly indicates a different meaning:
COMPENSATION. Any economic benefit received in return for services, property or investment.
DISCRETIONARY AUTHORITY. The power to exercise any judgment in a decision or action.
ECONOMIC BENEFIT. Any money, real or personal property, purchase, sale, lease, contract, option, credit, loan, discount, service or other tangible or intangible thing of value, whether similar or dissimilar to those enumerated.
ENTITY. A sole proprietorship, partnership, limited partnership, firm, corporation, professional corporation, holding company, joint stock company, receivership, trust or any other entity recognized by law through which business may be conducted.
GIFT. A favor, hospitality or economic benefit, other than compensation.
NON-CITY BOARD COMMITTEE OR COMMISSION. A board, committee, commission or other governing or advisory body or panel of an organization, business entity or governmental entity that is not a city-appointed board, committee or commission. Examples include, but are not limited to, serving on the board of directors (or similarly-situated governing or advisory body or panel) of a water district, municipal management district, hospital district regional council of government organization or appraisal district.
OFFICER or OFFICIAL. Any member of the City Council and any city-appointive member of a board, commission, authority or committee set up by ordinance, state law, or otherwise on a temporary or permanent basis, including all members of a board, commission’ authority or committee which functions only in an advisory or study capacity and which has no discretionary, governmental, quasi-judicial or administrative authority.
RELATIVE. Any person related to an officer or official within the first degree by consanguinity or affinity and shall include a spouse, father, mother, son, daughter, brother or sister.
SUBSTANTIAL INTEREST. An interest in another person or an entity if:
(1) The interest is ownership of 10% or more of the voting stock, shares or equity of the entity of ownership of $5,000 or more of the equity or market value of the entity;
(2) Funds received by the person from the other person or entity either during the previous 12 months or the previous calendar year equaled or exceeded $5,000 in salary, bonuses, commissions or professional fees or $20,000 in payment for goods, products or non-professional services or ten percent of the person’s gross income during that period, whichever is less;
(3) The person serves as a corporate officer or member of the board of directors or other governing board of the for-profit entity, other than a corporate entity owned or created by the City Council; or
(4) The person is a creditor, debtor or guarantor of the other person or entity in an amount of $5,000 or more.
SUBSTANTIAL INTEREST IN PARTNERSHIPS, PROFESSIONAL CORPORATIONS AND OTHER BUSINESS ENTITIES. If a city officer or official is a member of a partnership or professional corporation, or conducts business through another entity, a substantial interest of the partnership,
professional corporation or business entity shall be deemed to be a substantial interest of the city officer or official if:
(1) The partnership or professional corporation has fewer than 20 partners or shareholders;
(2) Regardless of the number of partners or shareholders, the officer or official has an equity interest, share of draw equal to or greater than five percent of the capital or revenues of the partnership, professional corporation or other entity; or
(3) With regard to the partnership, professional corporation or other entity’s substantial interest in a particular client, the officer or official has personally acted within the preceding 24 months in a professional or fiduciary capacity for that client.
SUBSTANTIAL INTEREST IN REAL PROPERTY. An interest in real property which is an equitable or legal ownership with a fair market value of $2,500 or more.
(Ord. 2019-6, passed 1-15-2019)