(Amended by Ord. No. 183,236, Eff. 10/30/14.)
1. “Prohibited Fundraising” means the following activities:
a. Asking the underwriting firm, sub-contractor, or an employee, officer, or principal of the underwriting firm or sub-contractor to make a contribution;
b. Inviting the underwriting firm, sub-contractor, or an employee, officer, or principal of the underwriting firm or sub-contractor to a fundraising event;
c. Supplying the name of the underwriting firm, sub-contractor, or an employee, officer, or principal of the underwriting firm or sub-contractor to be used for an invitation to a fundraising event;
d. Permitting one’s name to appear on a solicitation for contributions or an invitation to a fundraising event sent to the underwriting firm, sub-contractor, or an employee or officer of one of those persons;
e. Providing the use of one’s home or business to hold a fundraising event if the underwriting firm, sub-contractor, or an employee, officer, or principal of the underwriting firm or sub-contractor attends the event;
f. Paying for at least 20 percent of the costs of a fundraising event if the underwriting firm, sub-contractor, or an employee, officer, or principal of the underwriting firm or sub-contractor attends the event;
g. Hiring another person to conduct a fundraising event if the underwriting firm, sub-contractor, or an employee, officer, or principal of the underwriting firm or sub-contractor attends the event;
h. Delivering a contribution, either in person or by mail, of the underwriting firm, sub-contractor, or to an employee, officer, or principal of the underwriting firm or sub-contractor to an elected City officer, a candidate for elected City office, or an agent of the officer or candidate; or
i. Acting as an agent or intermediary in connection with the making of a contribution by the underwriting firm, sub-contractor, or to an or employee, officer, or principal of the underwriting firm or sub-contractor to an elected City officer, a candidate for elected City office, or a City controlled committee.
2. “Sub-contractor” means a person who is expected to receive at least $100,000 as a result of performing some or all of the underwriting firm’s contract obligations but does not include an underwriting firm member of the syndicate in the applicable revenue bond sale.
3. “Underwriting firm” means any firm that seeks to provide underwriting services for noncompetitive sales of revenue bonds for the Airport, Harbor, or Water and Power Departments as provided in Charter Section 609 in response to a solicitation from an awarding authority.
B. For purposes of Charter Section 609(e), the following apply:
1. Timing of Fundraising and Contribution Restrictions. In addition to the restrictions provided in Charter Section 609(e), underwriting firms, sub-contractors, and principals may not make any contributions to or engage in prohibited fundraising for elected City officers, candidates for elected City office, or City controlled committees from the date a response is submitted to a solicitation to be included on a pre-qualified list of underwriters or any subsequent solicitation for selection of an underwriter until one of the following dates:
a. For underwriting firms that are not selected to be on the pre-qualified list, the date the list selection is made.
b. For underwriting firms that are on the pre-qualified list, but not selected to contract after a subsequent solicitation, and are not members of the syndicate providing underwriting services on the sale of the revenue bonds, 12 months following the date of the list selection, and following the solicitation, on the date of the selection of the underwriting firm for a noncompetitive bond sale, or the date the solicitation is withdrawn or canceled.
c. For underwriting firms that are on the pre-qualified list, and are selected to contract after a subsequent solicitation, or are members of the syndicate providing underwriting services on the sale of the revenue bonds, 12 months following the date of the list selection, and 12 months after the underwriter selection is made.
2. Contract Solicitations and Notifications. Each awarding authority shall include in each contract solicitation for underwriting firm services regarding a noncompetitive sale for revenue bonds, including selection of a pre-qualified list of underwriters, the form identified in Subsection B.3. and a description of the prohibitions and requirements in the City Charter Section 609(e) and this Section. (Amended by Ord. No. 186,109, Eff. 6/13/19.)
a. The awarding authority shall determine whether the form is complete for responsiveness purposes.
b. The awarding authority may permit bidders to submit the form electronically and to use electronic signatures that comply with California's electronic signature laws, but an awarding authority may not alter the content of the form.
c. The awarding authority shall electronically submit the form to the Ethics Commission, in a Portable Document Format (PDF) or other electronic format pre-approved by the Ethics Commission, within ten business days of the bid due date. The awarding authority must also comply with the reporting requirements in Section 49.5.11 B.
d. The awarding authority shall notify each underwriting firm that is not selected as pre-qualified underwriter or not selected as the underwriter on a particular noncompetitive sale of revenue bonds, the date the selection was made, terminated, or withdrawn, unless that information is available on a City website.
3. Disclosure Form. Every underwriting firm seeking to provide services regarding noncompetitive sales of revenue bonds under Charter Section 609(e) shall file a form with the awarding authority, at the time the response is submitted, the following information is submitted under oath:
a. A description of the contract, including any City reference number associated with it, or if selection is of a pre-qualified list, a short description of the services to be provided, including any City reference number associated with it;
b. The name of the awarding authority;
c. The date the bid or other response was submitted to the awarding authority;
d. The name of the underwriting firm;
e. The address of the underwriting firm;
f. The phone number of the underwriting firm;
g. The names and titles of the underwriting firm’s principals;
h. The names of the underwriting firm’s sub-contractors;
i. The names and titles of each sub-contractor's principals; (Amended by Ord. No. 182,362, Eff. 1/30/13.)
j. A certification that the underwriting firm understands, will comply with, and will notify its principals and sub-contractors of the prohibitions and restrictions in this Section and Charter Section 609(e); and (Amended by Ord. No. 182,362, Eff. 1/30/13.)
k. A certification that the underwriting firm and its principals have not made prohibited gifts or contributions during the 12 months prior to selection for a contract, unless the matter is only a selection of a pre-qualified list of underwriters.
4. Requirement to Amend Form. If the information submitted pursuant to Subsection B.3. changes after the form is submitted, the underwriting firm shall amend the form and submit it to the awarding authority within ten business days of the change. (Amended by Ord. No. 186,109, Eff. 6/13/19.)
a. The requirement to amend the form applies whenever the prohibitions and restrictions in Charter Section 609(e) apply to the underwriting firm, including after the contract approval for underwriting firms that are selected or are performing underwriting service as a member of a syndicate on the revenue bond sale.
b. The awarding authority shall electronically submit the form to the City Ethics Commission, in a Portable Document Format (PDF) or other electronic format pre-approved by the Ethics Commission, within ten business days of receipt. (Amended by Ord. No. 183,414, Eff. 3/13/15.)
5. Business Assistance Virtual Network. In the event that the City's Business Assistance Virtual Network or similar electronic system is used by a bidder to submit the forms required by this Section to the awarding authority and the Business Assistance Virtual Network or similar electronic system sends the submitted data and the forms to the Ethics Commission, the awarding authority shall not be required to submit the form(s) to the City Ethics Commission.