(a) This Section sets forth the procedures and standards by which the City will review a request for an exemption to Government Code Section 87300 from an entity for which the City Council is the code reviewing body. Nothing in this section shall be construed to mean that an entity is not required to adopt a conflict of interest code if it has not requested and been granted an exemption.
(b) An entity may submit a request to the City Ethics Commission for exemption from the provisions of Government Code Section 87300 requiring adoption and promulgation of a Conflict of Interest Code.
(c) A request for exemption shall be approved by the City Ethics Commission if it finds:
(i) That if the entity requesting the exemption were to adopt a Conflict of Interest Code, there would be no "designated employees," within the meaning of Government Code Section 82019 and 87302(a), subject to its provisions; or
(ii) That the entity is, or soon will be, inoperative and non-functioning.
(d) A request for exemption to Government Code Section 87300 may be approved by the City Ethics Commission when the entity requesting the exemption would have no "designated employees" within the meaning of Government Code Sections 82019 and 87302(a) because all of the following apply:
(i) The entity does not have regulatory, quasi-regulatory, permit, licensing or planning authority or functions;
(ii) The entity will not acquire real property in the foreseeable future; and
(iii) The annual operating budget exclusive of salaries for the agency is less than $70,000.
(e) In all other circumstances, the City Ethics Commission will consider the requests for exemptions on a case-by-case basis.
(f) A request for exemption under subsection (c)(1) shall be signed by the chief executive officer, president or a designated representative of the entity and shall be accompanied by:
(i) A list of every position in the entity, including each officer, employee, member and consultant with the entity;
(ii) A copy of the job description for each position listed in subsection (1) above;
(iii) A copy of the statutory authority under which the entity was created with specific citations to the provisions setting forth the duties and responsibilities of the entity;
(iv) Identification of the person or body to whom the entity reports;
(v) A copy of the annual or regular report submitted by the entity to the person or body to whom the entity reports;
(vi) A detailed justification of the request for exemption including an explanation of why none of the positions listed in subsection (1) above is a designated employee. In preparing this justification, particular note should be taken of Government Code Section 82019.
(g) A request for exemption under subsection (c)(2) shall be signed by the chief executive officer, president or a designated representative of the entity and shall be accompanied by:
(i) A copy of the statutory or legal authority under which the entity ceased, or soon will cease to operate or function;
(ii) The date, time and place of the last meeting of the entity;
(iii) Identification of the positions and names of any staff who continue to work for or represent the entity, whether salaried or unsalaried; and
(iv) A detailed explanation of the reasons the entity is, or soon will be, inoperative and non-functioning.
(h) Within 90 days after receiving the request for exemption, the Ethics Commission shall:
(i) Approve the request;
(ii) Deny the request;
(iii) Return the request for additional information and resubmission within 60 days. Upon resubmission, the Ethics Commission shall, within 60 days, either approve the request for exemption or deny the request.
(i) When a request for exemption is approved, the Ethics Commission shall issue an exemption letter and transmit it to the requesting entity. Within 60 days, any interested party may submit a request to the City Council that the approval be reconsidered by the City Council. The City Council shall consider the request for reconsideration and if good cause exists for reconsideration, the City Council shall schedule the matter for a hearing before the City Council. The City Council's determination to approve or disapprove a request for exemption after a hearing on the issue shall be final. If the City Council disapproves the exemption request, the City Council shall set a deadline within a 6 month period by which the entity requesting the extension shall adopt and promulgate a Conflict of Interest Code pursuant to Section 87300 of the Government Code.
(j) When a request for exemption is denied, the Ethics Commission shall issue a letter denying the request for an exemption and transmit it to the requesting entity. Within 60 days, the requesting entity or any interested party may submit a request to the City Council that the denial be reconsidered by the City Council. The City Council shall consider the request for reconsideration and if good cause exists for reconsideration, the City Council shall schedule the matter for a hearing before the City Council. The City Council's determination to approve or disapprove a request for exemption after a hearing on the issue shall be final. If the City Council disapproves the exemption request, the City Council shall set a deadline within a 6 month period by which the entity requesting the extension shall adopt and promulgate a Conflict of Interest Code pursuant to Section 87300 of the Government Code.
(k) Any entity granted an exemption pursuant to subsection (d) or (e) shall notify the Ethics Commission within 30 days if one or more of the following occurs:
(i) The entity obtains authority to engage in regulatory, quasi-regulatory, permit, licensing or planning authority or functions;
(ii) The entity acquires real property; and
(iii) The annual operating budget exclusive of salaries for the agency exceeds $70,000.
(l) If the Ethics Commission receives notice from an entity under subsection (k) or otherwise learns of facts or circumstances that indicate that an entity may no longer be eligible for an exemption from the provisions of Government Code Section 87300 requiring adoption and promulgation of a Conflict of Interest Code, the Ethics Commission may reconsider the exemption and may issue a letter notifying the entity that it is no longer eligible for an exemption from the provisions of Government Code Section 87300 requiring adoption and promulgation of a Conflict of Interest Code.
(m) Within 60 days of receiving a letter under subsection (l) from the Ethics Commission stating that an entity is no longer eligible for an exemption, the entity or any interested party may submit a request to the City Council that the exemption revocation be reconsidered by the City Council. The City Council shall consider the request for reconsideration and if good cause exists for reconsideration, the City Council shall schedule the matter for a hearing before the City Council. The City Council's determination to approve or disapprove an exemption revocation after a hearing on the issue shall be final. If the City Council approves the exemption revocation, the City Council shall set a deadline within a 6 month period by which the entity requesting the extension shall adopt and promulgate a Conflict of Interest Code pursuant to Section 87300 of the Government Code.
SECTION HISTORY
Added by Ord. No. 176,477, Eff. 3-28-05.