No officer or employee of the city or any city agency shall directly or through others undertake, execute, hold, or enjoy, in whole or in part, any contract made, entered into, awarded or granted by the city or a city agency, except as follows:
(A) The prohibition above shall not apply to contracts entered into before an elected officer filed as a candidate for city office, before an officer was appointed to a city or city agency office, or before an employee was hired by the city or a city agency. However, if any contract entered into by a city or city agency officer or employee before he or she became a candidate, was appointed to office, or was hired as an employee, is renewable after he or she becomes a candidate, assumes the appointed office, or is hired as an employee, then the prohibition above shall apply to the renewal of the contract.
(B) The prohibition above shall not apply if the contract is awarded after public notice and competitive bidding, unless the officer or employee is authorized to participate in establishing the contract specifications, awarding the contract, or managing contract performance after the contract is awarded. If the officer or employee has any of the authorities as set forth in the preceding sentence, then the officer or employee shall have no interest in the contract, unless the requirements set forth in subsection (C) are satisfied.
(C) The prohibitions in this section shall not apply in any case where the following requirements are satisfied:
(1) The specific nature of the contract transaction and the nature of the officer’s or employee’s interest in the contract are publicly disclosed at a meeting of the governing body of the city or city agency.
(2) The disclosure is made a part of the official record of the governing body of the city or city agency before the contract is executed.
(3) A finding is made by the governing body of the city or city agency that the contract with the officer or employee is in the best interest of the public and the city or city agency because of price, limited supply, or other specific reasons.
(4) The finding is made a part of the official record of the governing body of the city or city agency before the contract is executed.
(D) Any violation of this section shall constitute a Class A misdemeanor, and upon conviction, the court may void any contract entered into in violation of this section. A violation of this section shall be grounds for removal from office or employment with the city in accordance with any applicable provisions of state law and ordinance, rules, or regulations of the city.
(Ord. 09-1994, passed 12-1294)
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Cross reference:
Penalty for violation, § 25.999