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SEC. 49.5.12. CONTRACTS AND MONEY LAUNDERING VIOLATIONS.
 
   A.   Competitively Bid Contracts.
 
   1.   An awarding authority shall not award a contract to a bidder if it finds the following:
 
   a.   The Ethics Commission has found that the bidder violated City Charter Section 470(k) in the previous four years; and
 
   b.   The bidder lacks integrity such that it is unfit to perform the work specified in the contract. The awarding authority shall make that finding unless there are specific facts brought to its attention in writing that indicate otherwise.
 
   2.   If the findings in paragraph 1. are made, the awarding authority shall deem the bidder to be not responsible.
 
   3.   Prior to making a finding that a bidder is not responsible, the awarding authority shall do the following:
 
   a.   Notify the bidder of its intention to consider making the finding.
 
   b.   Offer the bidder an opportunity to present evidence and argue that, despite the violation, the awarding authority should not have reason to question the bidder’s integrity and fitness to perform the contract.
 
   c.   Hold an informal hearing at which the bidder and other interested parties may make presentations.
 
   d.   Consider the presentations of the bidder and other interested parties and be satisfied that the finding is merited.
 
   B.   Contracts Awarded on a Basis Other Than Competitive Bidding. The awarding authority shall not approve a contract with a party who has been found by the Ethics Commission to have violated City Charter Section 470 (k) within the previous four years.
 
   C.   Fee Waivers. A discretionary fee waiver of more than $1,000 shall not be granted for a person who has been found by the Ethics Commission to have violated City Charter Section 470 (k) within the previous four years.
 
   D.   Notice of Violations.
 
   1.   The Ethics Commission shall provide a copy of every Commission enforcement decision relating to a violation of City Charter Section 470(k) to the general manager or other head of each agency.
 
   2.   A person who submits a bid or proposal or requests a fee waiver shall include with the submission or request a copy of the Ethics Commission’s decision of violation.
 
   3.   A report that contains sufficient information to allow a decision-making body to comply with this Section shall be submitted to the decision-making body by the following:
 
   a.   By the City Clerk, when the City Council is the decision-making body.
 
   b.   By agency staff when a City board or commission is the decision-making body.
 
   E.   Reduction of Time Period. The Ethics Commission may reduce the time during which this Section applies to not less than one year if it finds that the contracting party has done either of the following:
 
   1.   Accepted responsibility for the violation by entering into a stipulation with the Ethics Commission in which the party admits the violation or otherwise exhibits evidence of having accepted responsibility; or
 
   2.   Mitigated the wrongdoing by taking prompt remedial or corrective action.
 
   F.   Waiver of Provisions. The City Council may waive any or all of the requirements in this Section if it finds that an overriding public policy consideration justifies doing so.
 
   1.   The finding must be approved in writing by a two-thirds vote of the City Council’s entire membership.
 
   2.   The finding must identify the nature of the overriding public policy consideration and the reason why that consideration justifies the waiver. A waiver is justified if it would result in a significant community or financial benefit to the City or if it is necessary to preserve the health, safety, or welfare of the public.
 
   G.   Exception. This Section, excluding Subsection D.1., does not apply to the following proprietary City departments: Airports, City Employees Retirement System, Harbor, Library, Pensions, Recreation and Parks, and Water and Power.