Sacramento Municipal Code Art. IV City Employees

The provisions of this article shall apply to each designated employee required to file a statement disclosing financial interest pursuant to the conflict of interest code adopted by the city council for his or her department pursuant to the provisions of the Political Reform Act of 1974 (Government Code Sections 81000, et seq.). (Prior code § 53.04.030)

A. Each city employee shall disqualify him or herself from making or participating in the making of any decision when he or she knows or in the exercise of reasonable diligence should know that:

1. Another person, with whom the city employee has an ownership interest in real property or an investment in a business entity, is an applicant or is principally involved in a matter before the department in which the city employee is employed, or the city council or any board or commission of the city; or

2. A family relative is an applicant or is principally involved in a matter before the department in which the city employee is employed, or the city council or any board or commission of the city.

B. No such city employee shall be prevented from making or participating in the making of any decision to the extent his or her participation is legally required for the decision to be made.

C. No such city employee shall make or participate in making a decision on a matter for which disqualification is required under subsection A of this section. (Prior code § 53.04.031)

A city employee required to disqualify him or herself shall give written notice of disqualification to the city clerk, to his or her immediate supervisor and to his or her division head or department head if there is no division head. The notice of disqualification shall include the name of the applicant or person principally involved in the matter before the department, and: (1) whether the city employee has an interest in real property or an investment in a business entity with such person; or (2) who is a family relative. Such notice shall be given as soon as is reasonably possible after said employee learns, or, in the exercise of reasonable diligence should have learned, of the facts requiring disqualification and shall be made part of the official records of the city clerk. The city employee shall refrain from participation and shall not attempt in any way to use his or her official position to influence any other person with respect to the matter. (Prior code § 53.04.032)

Upon request, any city employee who is unsure of any right or obligation arising under this code may request a formal opinion or letter of advice from the city attorney. If an opinion is rendered by the city attorney stating in full the facts and the law upon which the opinion is based, compliance by the city employee may be evidence of good faith in any civil or criminal proceeding brought pursuant to law. (Prior code § 53.04.033)

For purposes of this article, the following terms have the meanings specified:

"Board" shall have the meaning specified in Section 2.16.140 of this chapter.

"Business entity" shall have the meaning specified in Section 2.16.140 of this chapter.

"City employee" means any employee identified in Section 2.16.160 of this chapter.

"Family relative" shall have the meaning specified in Section 2.16.140 of this chapter.

Investment in business entity:

1. Includes any financial interest in or security issued by a business entity, including, but not limited to, common stock, preferred stock, rights, warrants, options, deed instruments and any partnership or other ownership interest; and

2. Applies to any investment, regardless of where such business entity is located or does business; and

3. Applies to a city employee, if the employee and the person who is an applicant or is principally involved in the matter before such city employee's department, the city council or any board, each have a twenty-five thousand dollar ($25,000.00) or greater, or ten (10) percent or greater, investment in such business entity.

"Ownership interest in real property" means and includes any leasehold beneficial or ownership interest or option to acquire such an interest in real property regardless of where such property is located, if the city employee and the person who is an applicant or is principally involved in the matter before such city employee's department, the city council or any board each have a twenty-five thousand dollar ($25,000.00) or greater, or ten (10) percent or greater, interest in such property.

"Principally involved" means and includes:

1. A person who has a twenty-five (25) percent or greater investment in the business entity, or a twenty-five (25) percent or greater ownership interest in the real property for which an application is made; or

2. A person who is appealing a disciplinary action to the civil service board; or

3. A person with a financial interest in the outcome of the decision of the city employee's department, the city council or any board which will exceed five thousand dollars ($5,000.00). (Prior code § 53.04.034)

The provisions of this article are in addition to the conflict of interest provisions in the Political Reform Act of 1974 (Government Code Sections 87100, et seq.) and the conflict of interest codes for the various departments of the city and any other city ordinance or other provision of law relating to conflicts of interest. (Prior code § 53.04.035)