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HomeMy WebLinkAboutOrdinance No. 3803 Amending Chapter 2.07 of the Huntington B Huntington Beach Independent has been adjudged a newspaper of general circulation in Huntington Beach and Orange County by Decree of the Superior Court of Orange County State of California under date of Aug 24 1994 case A50479 PROOF OF PUBLICATION STATE OF CALIFORNIA ) ) SS COUNTY OF ORANGE ) CITY OFHUNTINGTON BEACH I am the Citizen of the United States and a LEGAL NOTICE ORDINANCE NO 3803 resident of the County aforesaid, I am over Adopted by the City(mal the age of eighteen years, and not a party On JUNE 16,2008 AN OF THE to or interested in the below entitled matter CITY O OFNANCE HUNTINGTON BEACH A I am a principal clerk of the HUNTINGTON CHAPTER 07EOFDING THE HUNTINGTON BEACH BEACH INDEPENDENT a newspaper of MUNICIPAL CODE RE LATING TO CAMPAIGN general circulation, printed and published in SREFORM YNOPSIS the City of Huntington Beach County of ON MARCH 17 2008 DURING A STUDY SES I Orange, State of California, and the SION ON CAMPAIGN CONTRIBUTION REFORM attached Notice is a true and complete copy THE CITY COUNCIL RE VIEWED THE MATRICES as was printed and published on the AND LEGISLATIVE DRAFTS OF HUNTING following date(s) BEACH MINICIPAL CODE CHATPERS 206 (CAM PAIGN DOCUMENTS) AND 207 (CAMPAING REFORM) PREPARED BY THE CITY ATTORNEY ORDINANCE NO 3803 June 26, 2008 2 07 050 AMENDS RELAT NGT TO CAMPAIGN CONTRIBU TION LIMITATIONS TO A FIVE HUNDRED DOLLAR ($500) LIMIT PER iPER SON PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meet mg held June 16 2008 by the following roll call vote S I AYES Hansen Coerper Green Carchio NOES Hardy Bohr I declare under penalty of perjury that the ACook BSTAIN None foregoing is true and correct ABSENT None THE FULL TEXT OF THE ORDINANCE IS AVAIL ABLE IN THE CITY CLERK S OFFICE This ordinance is effec Executed on June 26, 2008 trve CITYY OF HUNTINGTON at Huntin ton Beach California BEACH g 2000 MAIN STREET HUNTINGTON BEACH CA 92648 714 586 5227 1 JOAN L FLYNN CITY CLERK Published Huntington Signature 6 2008adependent June l a ORDINANCE NO 3803 LEGISLATIVE DRAFT CHAPTER 2 07 CAMPAIGN REFORM (2507 11/81 2721 10/84 2818 3/86 3220 1/94 3452 3/00 3580 10/02 3599 2103 3749 9/06) Sections 2 07 010 Name 2 07 020 Purpose 2 07 030 Relation to Political Reform Act of 1974 2 07 040 Definitions 2 07 050 Campaign contribution limitations 2 07 070 Election cycle 2 07 080 Prohibition on multiple campaign committees 2 07 090 Prohibition on transfers 207 100 Loans to city candidates and elective city officers and their controlled committee z-m-Tz 2 07 130 Transmittal of campaign contributions in city office buildings 2 07 140 Disclosure of occupation and employer 2 07 150 Reporting of cumulative contributions 2 07 180 Civil aettens- 2 072 10 St t„to f t iffi t.,tteas 2 07 220 Applicability of other laws 2 07 230 Severability 2 07 240 Interpretation of chapter 2 07 260 Effective date 2 07 010 Name This Chapter shall be known and may be cited as the "City of Huntington Beach Campaign Reform Law " (3220 1/94) 2 07 020 Purpose The purpose of this Chapter is to ensure that the financial strength of certain individuals or organizations does not permit them to exercise a disproportionate or controlling influence on the election of City candidates To achieve such purpose,this Chapter is designed to reduce the influence of large contributions,to ensure that multiple contributions in excess of the contribution limits do not originate from the same source of funds, to ensure that individuals and interest groups continue to have a fair and equal opportunity to participate in electing City candidates, and to maintain public trust in governmental institutions and the electoral process (3220 1/94) 2 07 030 Relation to Political Reform Act of 1974 This Chapter is intended to supplement the Political Reform Act of 1974 Unless the term is specifically defined in this Chapter, or the contrary is stated or clearly appears from the context, words and phrases shall have the same meaning as when they are used in Title 9 of the California Government Code, in which the Political Reform Act of 1974 is codified, as the same may be,from time to time amended (3220 1/94) Huntington Beach Municipal Code Chapter 2 07 Page 1 of 7 23189 2 07 040 Definitions (a) "City Candidate" means any person who is a candidate for the city Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach (3220 1/94) (b) 'Elective City Officer" means any person who is Mayor, a member of the City Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach, whether appointed or elected (3220 1/94) (c) "Non-elected City Official" means any person who is a member of a City of Huntington Beach board, committee, or commission, and who is not elected to that position (3220 1/94) (d) "Person" means an individual,proprietorship, firm, partnership,joint venture, syndicate, business trust, company, corporation, association, committee, and any other organization or group of persons acting in concert (3220 1/94) 2 07 050 Campaign contribution limitations (3220 1/94 3452 3/00 3599 2/03) (a}-No person shall make to any City candidate or the controlled committee of any such City candidate, and no such candidate or committee shall accept from any such person, a contribution or contributions totaling more than (3220 1/94) ('wee five hundred dollars($300 00) ($500) in a City Council, City Clerk, City Treasurer, or City Attorney election cycle—,-ef (3220 1/94) 'Thereafter said contribution limitations shall increase by the October consumer price index (CPI) of Los Angeles, Long Beach, and Anaheim areas, rounded to the nearest $10, effective at the beginning of each new election cycle (2) T„e L., ndr-ed dollars ($ eeall eleetten ey • /�g)27n 1/on (b) The e ftl„n seette shall not apply to ., ,•.did te's e f4«,l.,,t,,,,, of hfs of uv he pr-evisfena nl �-.mds to his o«her- ,ten t ee (3220 1/9e '3599 2103) �1V1JV11CL1 LLLIIL.LJ LV 111J VL 11V1 V vYil VLL111�JLL1�11 VVlllllll LLVV 2 07 060 eefttrjbuttgp� For-piffpeses of the limitations in this the 7 (3220 1/94) ffl «(ef ten .ntRee . „t olle by n e n .,,-lid to e effieer) shall be reffi ille 1 , „tl, �. �v. K�.�.......�.,�� ��.........�.. .iJ .....�..�.•...........»..� ... ..������/ .,ate»�. ..� �..___�.___�� ..____ these eefttr-ibt4tens made by the spenseir-i(s) of the eemmft4ee and the eembined affletiftt shall /'377,�4) (b) Two (2) eir-more v,•.t,tfe shall be t-fe toene ,.he Ftl, f 11 ,,,,., per-son 'yr Lila. rvuv YY aaag eir-eumstanees „ly &72 1/9e) (1) The epA ties sha fe the maj raty of Rie„ be of their-bea fds ..f,1,«eetro�1.r(3220 194) �/ (2) The ,•,t.ttes share two (2) emeir-e eff4e /moon 1/9e) (3) The entities afe evffied or-eoi4r-elled by the same majefity shareholder-of shareholders /']77r �1/94) ei4ttfes are in a par-en4 � ) Huntington Beach Municipal Code Chapter 2 07 Page 2 of 7 23189 0 siippeii4s ef opposes the sffine City eaiidf date No stieh eemmittee shall aet in eeneeft with Of sehett er make eantr-tbii4ans on behalf of any other- eefivmtuee This subdivisteil shall not apply to tfeastffefs of eenimit4ees if these tfeastifefs de not paAfetpate in or-eentfal fn any way a ,do sten on whether-the n d„d. to e 7 n dt da+os_ro .�+r�l. +, r 322o Sian)o utivis�� (e) Contfibutteas by ehildfen under-eighteen (18) years of age shall be tfeated as eoi-Affbtitf ens bi�, thetf paerts k322n 2 07 070 Election cycle (3749 9/06) (a) City Council, City Clerk, City Treasurer, and City Attorney Elections For purposes of the limits of this Chapter, as applied to elections for City Council, City Clerk, City Treasurer, and City Attorney,the final date for contributions shall be December 31 of the year in which the election for the open position was held Contributions made after the final date shall be deemed contributions for the next election cycle (3220 1/94) (b) Examples of the Election Cycle January 1, 1987,to December 31, 1990,was the "Election Cycle" for the 1990 election Pursuant to Section 2 07 070 Election Cycle,the four(4)year period for purposes of applying the interpretation of the Campaign Ordinance Election Cycle 2 07 070(a) shall be as follows (3220 1/94) Example 1 (3220 1/94) 1992 Election Cycle - Three Council Seats and City Clerk and City Treasurer January 1, 1989 -December 31, 1992 (1) The "last election" was November 1988 (2) December 31, 1988, was the last or final date for receipt of campaign contributions for the 1988 election (3) January 1, 1989, began the election cycle for the 1992 election (4) December 31, 1992, ended the election cycle for the 1992 election Example 2 (3220 1/94) 1994 Election Cycle -Four(4) Council Seats and City Attorney January 1, 1991 - December 31, 1994 (1) The "last election" was November 1990 (2) December 31 1990, was the last or final date for receipt of campaign contributions for the 1990 election (3) January 1, 1991, began the election cycle for the 1994 election (4) December 31, 1994, ends the election cycle for the 1994 election Example 3 (3220 1/94) 1996 Election Cycle - Three (3) Council Seats and City Clerk and City Treasurer January 1, 1993 - December 31, 1996 (1) The "last election" was November 1992 (2) December 31, 1992, was the last or final date for receipt of campaign contributions for the 1992 election (3) January 1, 1993, began the election cycle for the 1996 election Huntington Beach Municipal Code Chapter 2 07 Page 3 of 7 23189 (4) December 31, 1996, ends the election cycle for the 1996 election (c) Recalls For purposes of the limits of this Chapter, campaign contributions made at any time after a committee has been formed,pursuant to the provisions of the Political Reform Act, in support of a recall election or after the City Clerk has approved a recall petition for circulation and gathering of signatures,whichever occurs first, shall be considered contributions during a recall election cycle A recall election cycle shall end whenever any of the following occur (3220 1/94) (1) The recall proponents fail to return signed petitions to the City Clerk within the time limits set forth in the California Elections Code (3220 1/94) (2) All committees formed in support of the recall have been terminated pursuant to the provisions of the Political Reform Act (3220 1/94) (3) Ten(10) days after a recall election has been held (3220 1/94) 2 07 080 Prohibition on multiple campaign committees A City candidate or an elective City officer shall have no more than one campaign committee which shall have only one bank account out of which all qualified campaign and office holder expenses related to that City office shall be made This section does not prevent a City candidate or an elective City officer from establishing another campaign committee solely for the purpose of running for a state, federal, local, or other City office This section also does not prevent an elective City officer from establishing another campaign committee solely for the purpose of opposing his or her own recall (3220 1/94) 2 07 090 Prohibition on transfers (a) No funds may be transferred into any city candidate or elective city officer's campaign committee from any other campaign committee controlled by a candidate (including said City candidate) or by an elective City officer(including said elective City officer) (3220 1/94) (b) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office, nor to any committee supporting or opposing a recall of an elective City officer This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office (3220 1/94) The provision of this section shall not apply to the candidate or elected officer who forms a new committee for purposes of reelection to the same office and,to close out the prior committee, transfers the money or debt from the prior committee to the new committee and, in so doing, complies with all regulations of the political Reform Act of 1974, and as amended (3220 1/94) 2 07 100 Loans to city candidates and elective city officers and their controlled committee (a) A loan shall be considered a contribution from the maker and the guarantor of the loan and shall be subject to the contribution limitations of this Chapter (3220 1/94) (b) Every loan to a City candidate or elective City officer or their controlled committees shall be by written agreement which shall be filed with the candidate's or committee's Campaign Statement on which the loan is first reported (3220 1/94) (c) The proceeds of a loan made to a City candidate or elective City officer by a commercial lending institution in the regular course of business on the same terms available to members of the public shall not be subject to the contribution limitations of this Chapter if the loan is made directly to the City Candidate or elective City officer or his or her controlled Huntington Beach Municipal Code Chapter 2 07 Page 4 of 7 23189 7'ht91()45b7 /1/0er7a.J 60-ewa Council/Agency Meeting Held r a/ 00, Deferred/Continued to&)� //a/ XApg2d( ❑ Conditional) A roved ❑ Denied City er ignat Council Meeting Date L/ /21/08 Department ID Number CA 08 05 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO Mayor and Ci ouncil Members SUBMITTED BY Jennifer McGr ty Attorney PREPARED BY Jennifer McG Ci y Attorney SUBJECT Approve New Campaign Contribution Limitation Statement of Issue Funding Source Recommended Action Alternative Action(s) Analysis Environmental Status Attachment(s) Statement of Issue On March 17, 2008, during the Study Session on Campaign Contribution Reform the City Council directed the City Attorney to prepare an ordinance and proposed language for five different Campaign Contribution Limitations options for the City Council to review and take motion on during the next City Council meeting Funding Source N/A Recommended) Action (Motion to 1 Adopt Ordinance No 3803 relating to Campaign Contributions and titled An Ordinance of the City of Huntington Beach Amending Chapter 2 07 of the Huntington Beach Municipal Code Relating to Campaign Reform with one of the following alternative options to replace the current language in Chapter 2 07 050 of the Huntington Beach Municipal Code Option 1 Status Quo Option 2 Index the Contribution Limitation to the Cost of First Class Postage Option 3 Follow State Law Option 4 State Elective Office Limit and Option 5 Adopt an applicable Consumer Price Index Alternative Action(s) 1 Do Not Adopt Ordinance No 3803 REQUEST FOR CITY COUNCIL ACTION MEETING DATE /21/08 DEPARTMENT ID NUMBER CA 08-05 Analysis On March 17 2008 during a Study Session on Campaign Contribution Reform the City Council reviewed the matrices and legislative drafts of Huntington Beach Municipal Code Chapters 2 06 ( Campaign Documents ) and 2 07 ( Campaign Reform') prepared by the City Attorney Most of the proposed changes in the legislative drafts of Chapters 2 06 and 2 07 were to avoid duplication of state law to clarify existing law and to determine the appropriate campaign contribution limits The City Council directed the City Attorney to prepare an ordinance reflecting the proposed changes in the legislative drafts and proposed language for five different Campaign Contribution Limitations options to replace the current language in Chapter 2 07 050 The City Attorney has prepared the following five Campaign Contribution Limitation options for Councils review Option 1 Status Quo Maintain the current Campaign Contribution Limit of $300 00 per election cycle as presented in the accompanying Ordinance Amending Chapter 2 07 of the Huntington Beach Municipal Code relating to Campaign Reform Option 2 Index the Contribution Limitation to the Cost of the First Class Postage No person shall make to any City candidate or the controlled committee of any City candidate and no such candidate or committee shall accept from any such person a contribution or contributions totaling more than the amount of the current first class postage rate multiplied by one-thousand (1000) as adjusted in accordance with section 2 07 055 in a City Council, City Clerk, City Treasurer, or City Attorney election cycle (currently $410 00, adjusted every two years) 2 07 055 Adjustment of campaign contribution limits and candidates' loans (a) The campaign contribution limitations set forth in section 2 07 050 shall be adjusted biennially commencing January 1 2008 to reflect changes in the current first class postage rate The resulting figure shall be the contribution limit in effect until January 1 of the next even-numbered year The adjustment effective January 1 2008, shall reflect changes in the current first class postage rate for the period January 1 2005 to December 31 2007 The adjusted contribution limit shall be calculated as follows The current first class postage rate multiplied by one-thousand (1000) The resulting dollar amount shall be rounded to the nearest ten dollars ($10) (b) The amount of each required adjustment shall be determined by the Department of Finance of the City of Huntington Beach who shall report the adjusted amount of the contribution limit to the City Council at the first regular City Council meeting in each even- numbered year Each report shall be received and filed by the City Council upon which action the contribution limit, as adjusted shall be deemed adopted The City Clerk shall notify all candidates for city office of the amount of the contribution limit then in effect Option 3 Follow State Law Repeal in its entirety Chapter 2 07 050 relating to Campaign Contribution Limitations and follow state law which has no limit 2 4/8/2008 2 42 PM REQUEST FOR CITY COUNCIL ACTION MEETING DATE41/21/08 DEPARTMENT ID NUMBER CA 08-05 Option 4 State Elective Office Limit No person shall make to any City candidate or the controlled committee of any City candidate and no such candidate or committee shall accept from any such person, a contribution or contributions totaling more than the contribution limitation as set forth in California Government Code Section 85301 for a candidate for elective state office, as adjusted by the Consumer Price Index in January of every odd-numbered year rounded to the nearest$100 (currently at$3000) Option 5 Consumer Price Index (CPI) Language In addition per Councils request the following is proposed Consumer Price Index language to supplement the options above 2 07 055 Adjustment of campaign contribution limits and candidates' loans (a) The campaign contribution limitations set forth in section 2 07 050 shall be adjusted biennially commencing January 1, 2008 to reflect changes in the Consumer Price Index since the date of the most recent adjustment to such contribution limit and rounded to the nearest ten dollars ($10) The resulting figure shall be the contribution limit in effect until January 1 of the next even-numbered year The adjustment effective January 1 2008 shall reflect changes in the Consumer Price Index for the period January 1 2005 to December 31 2007 (b) Adjustments shall be based on the California Consumer Price Index for All Urban Consumers for the Los Angeles-Anaheim-Riverside area, published by the United States Department of Labor Bureau of Labor Statistics for the calendar year immediately preceding the year in which the adjustment is to take effect Such adjustments to the contribution limit shall be calculated as follows (1) The base dollar amount of$ shall be increased or decreased by the percentage change in the annual average California Consumer Price Index for All Urban Consumers for the Los Angeles-Anaheim-Riverside area obtained from the United States Department of Labor Bureau of Labor Statistics from January 1 to December 31 of the calendar year immediately preceding the year in which the adjustment will take effect Consumer Price Index data for the year immediately preceding the year in which the change to the contribution limit will take effect shall be based on the forecast of the annual average California Consumer Price Index for All Urban Consumers for the Los Angeles- Anaheim-Riverside area by the United States Department of Labor Bureau of Labor Statistics which forecast is most current as of November 30 of such year The resulting dollar amount shall be rounded to the nearest ten dollars ($10) (c) The amount of each required adjustment shall be determined by the Department of Finance of the City of Huntington Beach who shall report the adjusted amount of the contribution limit to the City Council at the first regular City Council meeting in each even- numbered year Each report shall be received and filed by the City Council upon which action the contribution limit as adjusted shall be deemed adopted The City Clerk shall notify all candidates for city office of the amount of the contribution limit then in effect 3 4/10/2008 2 10 PM REQUEST FOR CITY COUNCIL ACTION MEETING DATE-4/21/08 DEPARTMENT ID NUMBER CA 08-05 Strategic Plan Goal Provide quality public services with the highest professional standards to meet community expectations and needs assuring that the city is sufficiently staffed and equipped overall Environmental Status N/A Attachment(s) ® 04,611 1 Ordinance Amending Chapter 2 07 of the Huntington Beach Municipal Code Relating to Campaign Reform 2 Chapter 2 07 Legislative Draft with Corresponding State Law Provisions -4 4/8/2008 2 42 PM u ' AT-, # 1TACHMEN, ORDINANCE NO 3803 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING CHAPTER 2 07 OF THE HUNTINGTON BEACH MUNICIPAL CODE RELATING TO CAMPAIGN REFORM The City Council of the City of Huntington Beach does hereby ordain as follows SECTION 1 Sections 2 07 060, 2 07 110, 2 07 120, 2 07 160, 2 07 170 2 07 180, 2 07 190 2 07 200 2 07 210, and 2 07 250 of the Huntington Beach Municipal Code are hereby deleted in their entirety SECTION 2 Section 2 07 050 of the Huntington Beach Municipal Code is hereby amended to read as follows 2 07 050 Campaign contribution limitations No person shall make to any City candidate or the controlled committee of any such City candidate and no such candidate or committee shall accept from any such person, a contribution or contributions totaling more than five hundred dollars($500) in a City Council City Clerk City Treasurer, or City Attorney election cycle Thereafter said contribution limitations shall increase by the October consumer price index (CPI) of Los Angeles, Long Beach and Anaheim areas rounded to the nearest $10 effective at the beginning of each new election cycle SECTION 3 Section 2 07 130 of the Huntington Beach Municipal Code is hereby amended to read as follows 2 07 130 Transmittal of campaign contributions in city office buildings (a) No person shall receive or personally deliver or attempt to deliver a contribution in any office which the City owns or for which the City pays the majority of the rent where the business of the City is conducted (3220 1/94) (b) For purposes of this section (3220 1/94) (1) "Personally deliver" means delivery of a contribution in person or causing a contribution to be delivered in person by an agent or intermediary other than the United States mail (3220 1/94) (2) "Receive" includes the receipt of a campaign contribution delivered in person (3220 1/94) SECTION 4 This ordinance shall become effective immediately upon its adoption 07 1156 002/23211 1 Ordinance No 3803 PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 16th day of June 2008 ATTEST X" Mayor City Clerk REVIEWED D APPROVED APPROVED AS TO FORM /l/ -- -- M'(��L 11� City Admimstrato C�Xttonniey 5 o 07 1156 002/23211 2 Ord No 3803 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF HUNTINGTON BEACH ) I JOAN L FLYNN the duly elected, qualified City Clerk of the City of Huntington Beach, and ex officio Clerk of the City Council of said City do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven that the foregoing ordinance was read to said City Council at a regular meeting thereof held on.tune 2, 2008,and was again read to said City Council at a regular meeting thereof held on.Tune 16,2008 and was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council AWES Hansen Coerper, Green, Carchio NOES Hardy Bohr, Cook ABSENT None ABSTAIN None I loan L Flynn CH Y Cl LRK of the CuN of Huntington Beach and ex off7cio Clerk of the City Council do hereby certify that a synopsis of this ordinance has been published in the Huntington Beach Fountain ValleN Independent on June 26 2008 In accordant mth the City Charter of said City Joan L Flynn, City Clerk Cit Jerk and ex-officio rk Senior Deputy City Clerk of the City Council of the City of Huntington Beach California committee The guarantors of such a loan shall remain subject to the contribution limits of this Chapter (3220 1/94) (d) Extensions of credit(other than loans pursuant to Section 2 07 100(c) for a period of more than thirty(30) days are subject to the contribution limitations of this Chapter (3220 1/94) (e) This section shall apply only to loans and extensions of credit used or intended for use for campaign purposes or which are otherwise connected with the holding of public office (3220 1/94) (f) The monetary limitations or provisions of this section shall not apply to a candidate's loan of his or her personal funds to his or her own campaign committee (3220 1/94) (g) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office, nor to any committee supporting or opposing a recall of an elective City officer This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office (3220 1/94) sefvfees> othef than gevenimei4 ftmds, > any > agent, Yre6eding-tom 2) mefiths—This r.7cEtieir does not apply ro-anon-ezcezvd Gity viiivt..l :. Cfty (27'�4) 2 07 130 Transmittal of campaign contributions in city office buildings (a) No person shall receive or personally deliver or attempt to deliver a contribution in any office which the City owns or for which the City pays the majority of the rent where the business of the City is conducted (3220 1/94) (b) For purposes of this section (3220 1/94) (1) "Personally deliver" means delivery of a contribution in person or causing a contribution to be delivered in person by an agent or intermediary, other than the United States mail (3220 1/94) (2) "Receive" includes the preeep receipt of a campaign contribution delivered in person (3220 1194) 2 07 140 Disclosure of occupation and employer No campaign contribution shall be deposited into a campaign bank account of a City candidate or elective City officer unless the disclosure information required by the Political Reform Act, including the name, address, occupation and employer of the contributor, or, if self employed, name of business is on file in the records of the recipient of the contribution This information is to be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) Huntington Beach Municipal Code Chapter 2 07 Page 5 of 7 23189 2 07 150 Reporting of cumulative contributions A cumulative contribution for each contributor shall be based on an election cycle and shall be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) een4ftbiAfen or —azcv-rr"T/ (`hapte. „b,e afds .,n abets ., the.-pe«s.,.-, i the.,.,,1_.,tl_on of any of this � ^ 1�1J1e 0�13�ivi1 vl G111J Chapter, shall e liable tmdef the of this seetten -(32�4) f this ette a22o u944 2 07 180 Civil aettens (a) Aff per-sen who fi4ei4ieiially or-negligently violates af-i-y pfevtsf on of this Chaptef shall be- h b.l in a etvtl ette h, ght by the (`.tom, A tte of b„ pefsen ll fes dm „thbll the e jtifisdtetten fer-an ameuvA net ffiefe than di-tee (3)times the ameuiil the per-son fatled to �onuT aa94) 7 hable 77��LL7� /n ) r \ My pef „, other-than the GAy Att. e", b.ef: e fil a etyt .1^4_,oT p l.irJ UUi1G L t th.s to V LiliJ subdivision, shall fifst file wtth the City Memey a vfftRen fequest faf the Gi�y Attemey to ea-use of aetten exists The City > > shall ernlmiet an itiittal inquiry mte the merits of the eeffipliz`kfnt If the City A t+ol ie detefmiiies in good fafth that addftfeiial ttme fs needed to examine the mal4ef fiffthef,-4he sfxty (60) days the Gi. y A tt.,f ey shall ..,fe..m the e „1.,..,..,,._p aft„whethef the C-tom, YV 11V GllVi L11V �1L,' Atte,..,e„,.,to. s t file . efvfl aette o is .,,ducting ., er-ffiifnal yestig tte if the (`.tom. J L1�UG1V11 11 L11V �1L� (30) ,1. s the .,f e athe et.e be b,, ^ht, .,less the aette t, ht b, ,the r.t„ - _/ ____,_ ________-__'-i tie __—_N n_ ______may� _ - _ _ �. 1 V1VU�ilG by Lllt Lll At4afney is dismissed wfthatA goon u94) 0 0 ) shall be deposited into the City's the Ge.-,of l Fu a 22&4494) "City i Huntington Beach Municipal Code Chapter 2 07 Page 6 of 7 23189 i32�A 2 07 200 Cost f ht 2 07 220 Applicability of other laws Nothing in this Chapter shall exempt any person from applicable provisions of any other laws of this state or jurisdiction (3220 1/94) 2 07 230 Severabill If any provisions of this Chapter, or the application of any such provision to any person or circumstances, shall be held invalid,the remainder of this Chapter,to the extent it can be given effect, or the application of such provision to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby, and to this extent the provisions of this Chapter are severable (3220 1/94) 2 07 240 Interpretation of chapter This Chapter should be liberally construed to accomplish its purposes (3220 1/94) 2 07 250 Amendments a-ad additional reattife nts The Gfty Getmet! shall review t > deefeased, affiended, it shall do so by holding a publie hear-mg and adeptfng an eir-dinaflee fefleeting sue 2 07 260 Effective date The provision of this Chapter shall become effective upon adoption, pursuant to Huntington Beach City Charter Section 500(e)(1) (3220 1/94) Huntington Beach Municipal Code Chapter 2 07 Page 7 of 7 23189 RCA ROUTING SHEET INITIATING DEPARTMENT City Attorney SUBJECT Campaign Contribution Limitation COUNCIL MEETING DATE April 21 2008 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Attached Not Applicable ❑ Resolution (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable Tract Map Location Map and/or other Exhibits Attached ❑ Not Applicable Contract/Agreement (w/exhibits if applicable) Attached ❑ (Signed in full by the City Attorney) Not Applicable Subleases Third Party Agreements etc Notached El t Applicable (Approved as to form by City Attorney) Certificates of Insurance (Approved by the City Attorney) Attached ❑ Not Applicable Fiscal Impact Statement (Unbudgeted over $5 000) Attached ❑ Not Applicable Bonds (If applicable) Attached ❑ Not Applicable Staff Report (If applicable) Attached ❑ Not Applicable Commission Board or Committee Report (If applicable) Attached ❑ Not A plicable Findings/Conditions for Approval and/or Denial Attached ❑ Not Applicable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED--- FOR DED Administrative Staff ) Deputy City Administrator Initial City Administrator Initial ) ) City Clerk ( ) EXPLANATION FOR RETURN OF ITEM ® a o RCA Author JM/HH ORDINANCE NO 3803 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING CHAPTER 2 07 OF THE HUNTINGTON BEACH MUNICIP L CODE RELATING TO CAMPAIGN REFORM The City Council of the City of Huntington Beach does hereby ordain as follows SECTION 1 SectionsC07 05 2 07 060, 2 07 110, 2 07 120 2 07 170, 2 07 180, 2 07 190, 2 07 200, 2 07 210, and 2 07 250 of the Huntington Beac Municipal Code are hereby deleted in their entirety SECTION 2 Section 2 07 130 of the Huntington Beach/Mumcipal Code is hereby amended to read as follows 2 07 130 Transmittal of campaign contributions in city officer bulldmgs (a) No person shall receive or personally deliver or attempt to deliver a contribution in any office which the City owns or for which the City pays the majority of the rent where the business of the City is conducted (3220 1/94) (b) For purposes of this section (3220 1/94) (1) "Personally deliver" means delivery of a contribution in person or causing a contribution to be delivered in person/by an agent or intermediary other than the United States mail (3220 1/94) (2) "Receive" includes the receipt of Z paign contribution delivered in person (3220 1/94) SECTION 3 Section 2 07 16 of the Huntington Beach Municipal Code is hereby amended to read as follows 2 07 160 Reporting of late contributions Notwithstanding the limit contained in California r� Government Code Section 320/late independent expenditures or contributions in excess of two-hundred dollars ($200 00) shall be reported to the City Clerk within twenty-four (24) hours of the contribution or e pendrture (3220 1/94) SECTION 4 Thi ordinance shall become effective 30 days after its adoption A K r�E':NO ACTION 21902 1 Ordinance No 3803 r PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the day of / 200 J ATTEST Mayor City Clerk REVIEWED A DIAP ROVED APPPOVED AS TO FORM City Admimstrato City Attorney t l 21902 2 ORDINANCE NO 3803 LEGISLATIVE DRAFT CHAPTER 2 07 CAMPAIGN REFORM (2507 11/81 2721 10/84 2818 3/86 3220 1/94 3452 3/00 3580 10/02 3599 2/03 3749 9/06) Sections 2 07 010 Name 2 07 020 Purpose 2 07 030 Relation to Political Reform Act of 1974 2 07 040 Definitions Z 2 07 070 Election cycle 2 07 080 Prohibition on multiple campaign committees 2 07 090 Prohibition on transfers 207 100 Loans to city candidates and elective city officers and their controlled committee o e by ffiet I is tfe&ted � r+r,buter 207 130 Transmittal of campaign contributions in city office buildings 2 07 140 Disclosure of occupation and employer 2 07 150 Reporting of cumulative contributions 2 07 160 Reporting of late contributions 207 180 Civil aetiens- 207200 Cost of 1i1=rgatten (0 A 2 07 220 Applicability of other laws 2 07 230 Severability TAKEN 2 07 240 Interpretation of chapter � umcncaricnrsaxcraum avrrarrcciiir�iiicrrn 2 07 260 Effective date 2 07 010 Name This Chapter shall be known and may be cited as the "City of Huntington Beach Campaign Reform Law (3220 1/94) 2 07 020 Purpose The purpose of this Chapter is to ensure that the financial strength of certain individuals or organizations�does not permit them to exercise a disproportionate or controlling influence on the election of City candidates To achieve such purpose, this Chapter is designed to reduce the influence of large contributions,to ensure that multiple contributions in excess of the contribution limits do not originate from the same source of funds, to ensure that individuals and interest groups continue to have a fair and equal opportunity to participate in electing City candidates, and to maintain public trust in governmental institutions and the electoral process (3220 1/94) 2 07 030 Relation to Political Reform Act of 1974 This Chapter is intended to supplement the Political Reform Act of 1974 Unless the term is specifically defined in this Chapter or the contrary is stated or clearly appears from the context, words and phrases shall have the same meaning as when they are used in Title 9 of the California Government Code, in which the Political Reform Act of 1974 is codified, as the same may be, from time to time amended (3220 1/94) d I Huntington Beach Municipal Code Chapter 2 07 Page 1 of 9 21900 2 07 040 Definitions (a) "City Candidate" means any person who is a candidate for the city Council, City Cler City Treasurer, or City Attorney of the City of Huntington Beach (3220 1/94) (b) "Elective City Officer" means any person who is Mayor, a member of the City Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach, whether appointed or elected (3220 1/94) (c) "Non-elected City Official" means any person who is a member of a City of Huntington Beach board, committee, or commission, and who is not elected to that position (3220 1/94) (d) Person means an individual,proprietorship firm,partnership,jointwenture, syndicate, business trust, company, corporation, association, committee, and a other organization or group of persons acting in concert (3220 1/94) (a) No pefson shall make to ai+y City eandfdate or the eoi#.folled ZM -of a"sueh C4Y eandidate> of ll > or-eontnbutions totaling more lZ77n_1 �1nA\ C 7 f Y ' /Z2 n w ACTIOIq (7) T,,,,. b,,,,,,h- Q2nn nm „-, 11 1Zoon 1/oe� ( ���0 00) in `l feer`kxrel@c�i6ii EyE�e—(32� T A `I(b) The pir-ovfsien of thfs seetteii shall net apply te ' 1a220 1/94 3599 2A2) EN I ( Candidate's Contributions of Personal/Funds EXEMPT Same as State§85301(d) _ _ tef,the follewtng shall apply T1T9 an (b) Two (2) o e ort,t,og shall be t, .,te as v person when 'y-y -�iii. fell owing tb fvev'r'v'iiig effeumstanees ��4) (x�rn�e�rtrtte�'.inure-tI3eefi�y of memvefso>`rh:.• reEter-s (3220 (2) The entities sh--e of mefe ,'277tvrco--r1 r 3(3) The efftitteg qZALq,ie_d er-eontfolled by the same Riajefft-y shar-eholdef or-shareholders ( '�7�z.20-1/94) (4) The e t,t re in a t st b,sidt fy rol.,t,.,,,.shtp 1a2�I;-4) ­Azi --A _­ ­ / ' interest pefeent 0 (3220 1/94) /94) Huntington Beach Municipal Code Chapter 2 07 Page 2 of 9 21900 suppeii4s ef opposes the same City eandfda4e No stteh eammft4ee shall aet in eeiieeI4 with 6�f �'2'�7�� n 1/n4) theff parents '' Child Contributions Same as State§85308(b) 85311 Aggregation of Contributions Entity means any person other than an individual Majority owned means an ownership of more than 50% Two or more entities making contributions directed&controlled by a majority of the s e persons must be aggregated§85311(c) Contributions made by entities majority owned(more than 50%)by any person shall be aggregated w/ contributions of majority owner and all other entities majority owned by that person unless those entities act independently in their decisions to make contributions§85311(d) Contributions of entity directed/controlled by anyone shall be aggregate d w/contributions made by that individual and any other entity whose contributions are directed/control]ed by same individual§85311(b) 2 07 070 Election cycle (3749 9/06) (a) City Council, City Clerk, City Treasurer, and City Attorney Elections For purposes of the limits of this Chapter, as applied to elections for City Council, City Clerk, City Treasurer, and City Attorney,the final date for contributions shaft be December 31 of the year in which the election for the open position was held Contrifi'utions made after the final date shall be deemed contributions for the next election cycle (3220 1/94) (b) Examples of the Election Cycle January/ection 987,to December 31, 1990,was the "Election Cycle" for the 1990 election Pursuant to 2 07 070 Election Cycle, the four(4)year period for purposes of applying the interpretation of the Campaign Ordinance Election Cycle 2 07 070(a) shall be as follows (3220 94) Example 1 (3220 1/94) 1992 Election Cycle - Three Ca ncil Seats and City Clerk and City Treasurer January 1, 1989 - December 31, 19;alsthe (1) The "last election" wember 1988 (2) December 31, 1988, last or final date for receipt of campaign contributions for the 1988 election (3) January 1, 1989, began the election cycle for the 1992 election (4) December 31, 19 2, ended the election cycle for the 1992 election Example 2 (3220 1/94) 1994 Election Cycle - Four(4) Council Seats and City Attorney January 1, 1991 -December 31, 1994 (1) The "last/election" was November 1990 (2) December 31, 1990 was the last or final date for receipt of campaign contributions for the 1996 election (3) January 1, 1991, began the election cycle for the 1994 election (4) December 31, 1994 ends the election cycle for the 1994 election NO ACTION Huntington Beachi Municipal Code Chapter 2 07 Page 3 of 9 21900 Example 3 (3220 1/94) 1996 Election Cycle - Three (3) Council Seats and City Clerk and City Treasurer January 1, 1993 - December 31, 1996 (1) The "last election" was November 1992 (2) December 31, 1992, was the last or final date for receipt of campaign contributions for the 1992 election J (3) January 1, 1993, began the election cycle for the 1996 election f (4) December 31, 1996, ends the election cycle for the 1996 election f f (c) Recalls For purposes of the limits of this Chapter campaign contributions made at any time after a committee has been formed,pursuant to the provisions of the Political Reform Act, in support of a recall election or after the City Clerk has approved afrecall petition for circulation and gathering of signatures, whichever occurs first, shall be considered contributions during a recall election cycle A recall election cycle shall end whenever any of the following occur (3220 1/94) f (1) The recall proponents fail to return signed petitions toAhe City Clerk within the time limits set forth in the California Elections Code (3220 1/94) (2) All committees formed in support of the recall hav/e/been terminated pursuant to the provisions of the Political Reform Act (3220 1/94) (3) Ten(10) days after a recall election has been/ eld (3220 1/94) 2 07 080 Prohibition on multiple campaign committees A City candidate or an elective City officer shall have no more than one campaign committee which shall have only one bank account out of which all qualified campaign and officeholder expenses related to that City office shall be made This section does not prevent a City candidate or an elective City officer from establishing another campaign committee solely for the purpose of running for a state, federal, local, or other City office This section also does not prevent an elective City officer from establishing another campaign committee solely for the purpose of opposing his or her own recall (3220 1/94) 2 07 090 Prohibition on transfers (a) No funds may be transferred into any city candidate or elective city officer's campaign committee from any other campaign committee controlled by a candidate (including said City candidate) or by an electivetity officer(including said elective City officer) (3220 1/94) (b) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting/or opposing a City candidate for elective City office, nor to any committee supportm'g or opposing a recall of an elective City officer This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office (3220 1/94) The provision of this section shall not apply to the candidate or elected officer who forms a new committee for pu$oses of reelection to the same office and,to close out the prior committee, transfers the money or debt from the prior committee to the new committee and, in so doing, complies with all regulations of the political Reform Act of 1974 and as amended (3220 1/94) NO ACTI ON Huntington Beach Municipal Code Chapter 2 07 TAKEN 4 of 9 21900 1 1 2 07 100 Loans to city candidates and elective city officers and their controlled committee (a) A loan shall be considered a contribution from the maker and the guarantor of the to and shall be subject to the contribution limitations of this Chapter (3220 1/94) (b) Every loan to a City candidate or elective City officer or their controlled committees shall be by written agreement which shall be filed with the candidate's or committee's Campaign Statement on which the loan is first reported (3220 1/94) (c) The proceeds of a loan made to a City candidate or elective City officer by a commercial lending institution in the regular course of business on the same terms available to members of the public shall not be subject to the contribution limitations of this Chapter if the loan is made directly to the City Candidate or elective City officer or his or her/controlled committee The guarantors of such a loan shall remain subject to the contribution limits of this Chapter (3220 1/94) (d) Extensions of credit(other than loans pursuant to Section 2 07 100(c) for a period of more than thirty (30) days are subject to the contribution limitations of this Chapter (3220 1/94) (e) This section shall apply only to loans and extensions of credi�sed or intended for use for campaign purposes or which are otherwise connected with the holding of public office (3220 1/94) (f) The monetary limitations or provisions of this section shall not apply to a candidate's loan of his or her personal funds to his or her own campaign committee (3220 1/94) (g) No City candidate and no committee controlled by/a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office, nor to any committee supporting or opposing a recall of an elective City officer This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office (3220 1/94) >funds > goods e J J f -6 expenses (fneludmg legal expenses) felated to holding publie , shal. r 1 02015(a)"Contribution"means payment a forgiveness of a loan a payment of a loan by a third party or an enforceable promise to make a payment except to the extent that full and adequate consideration is received unless it is clear from the surrounding circumstances that it is not made for political purposes a payment is made for purposes related to a candidate s candidacy for elective office if all or a portion of the payment is used for election related activities §82015(b)(2)(C) §82015(c)-(d)the term/contribution includes purchase of tickets for events such as dinners luncheons rallies &similar fundraismg events the candidate s own money or property used on behalf of his/her candidacy other than personal funds /used to pay a filing fee the grantmg of discounts or rebates not extended to the public generally or the granting of discounts or rebates by television and radio stations and newpapers not extended on an equal basis to all candidates for the same office the payment of compensation by any person for the personal services or expenses of any other person if the services are rendered or expenses incurred on behalf of a candidate or committee without payment of full and adequate consideration any transfer of value received by a committee from another committee unless full and adequate consideration is received 82015 (contribution does not include volunteer personal services or payments made by an individual for his or her own travel expenses if the payments are made voluntarily without any unders`t nding l ag"re m e�nt tha°tom they shallibe directly or indirectly repaid to him or her �I i See alsoIFPPC Regulation 18215 defining Contribution TAKEN rr (3220 1/94) / 04308(b) Contribution to Officers,Disqualifications No officer of an agency shall'accept solicit or direct a contribution of more than$250 from any party or any participant while a proceeding involving a license permit or other entitlement for use is pending before the agency and for three months following the date a final decision is rendered in the proceeding if the officer knows or has reason to know that the participant has a financial interest 84� 308(c) Prior to rendering any decision in an a proceeding involving a license permit or other entitlement for use pending before an agency each officer of the agency who received a contribution withmg the preceding 12 months in an amount of more than$250 from a party or from any participant shall disclose that fact on the record of the proceeding No officer of an agency shall make participate in making or in any way attempt to use his or her official position to influence the decision in a proceedmg involving a license permit or other entitlement for use pending before the agency if the officer has willfully or knowingly received a contribution in an amount of more than$250 within the preceding 12 months4om a party or from any participant if the officer knows or has reason to know that the participant ha la financial interest in the decision 2 07 130 Transmittal of campaign contributions in city office buildings (a) No person shall receive or personally deliver or attempt to deliver a contribution in any office which the City owns or for which the City pays the majority of the rent where the business of the city is conducted (3220 1/94) (b) For purposes of this section (3220°`1/94) (1) "Personally deliver" means/delivery of a contribution in person or causing a contribution to be delivered in personaby an agent or intermediary, other than the United States mail (3220 1/94) (2) "Receive" includes tZeppr-eeept receipt of a campaign contribution delivered in person (3220 1/94) 2 07 140 Disclosure of occupation and employer No campaign contribution shall be deposited into a campaign bank/account of a City candidate or elective City officer unless the disclosure information required by the Political Reform Act, including the name, address, occupation and employer of the contributor, or, if self employed, name of business, is on file in the records of the recipient of the contribution This information is to be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) 2 07 150 Reporting of cumulative contributions A cumulative contribution for each contributor shall be based on an election cycle and shall be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) 2 07 16`0 Reporting of late contributions Notwithstanding the limit contained in California Government Code Section 320, late independent expenditures or contributions in excess of two-Hundred dollars ($200 00) shall be reported to the City Clerk within twenty-four(24) hours of the contribution or expenditure (3220 1/94) 6NO ACTION Huntington Beach Municipal Code Chapter 2 07 Page 6 of 9 21900 TA K E=N r Chap+o« or- 1,e aids andabets ue„ . athe,.per-son n the. olat e of any p �'f thi s Chaptef, shall be liable under-the pfavtstefis of thfs seetten (3220 1 ion) §91000 Criminal Misdemeanor Actions Knowing or wilfull violation is a misdemeanor plus a fine of upo to the greater of$10 000 or 3X the amount failed to report properly or unlawfully contributed for each conviction Prosecution must begin w/n 4 years after violation date a ean-vietten unless the eetfft at the time of sen neing spelel—fie-iffil lAY-4de-t—ef mines that thfs pfevfstea shall notbe appiteable A plea ef nele eentendefe shall be deemed a eeffVietf oil fe ptffposes of this (322o 1591002 Prohibition from being Candidate or holding elective office after criminal conviction If convicted of misdemeanor prohibited from being Candidate holding elective office or acting as lobbyist for 4 years after date of conviction Plea of nolo contendere is a conviction Violation of this provision is a felony +` NO ACTION 2 07 180 r,.„i ,,,,+,,.„s TAKEN liable in a etvfl aetten br-oughl by the I--- A ttefney or-by a per-son residing vathfa t vpei4 roor-tffilawfully � � o o � nor-feeetvied, o $5,000 v 01005 5 Civil Actions If no specific civil penalty is provided for a violation liable for up to$5000 per violation for a civil action brought.,by DA or elected civil attorney under§91001 or§91001 5 EXCEPT if the FPPC has issued an order for/the same violation(see §83116) 91004 Intentional or negligent violation of the reporting requirements liable in a civil action for the amount not more than the am`ount or value not properly reported Who is Renonsible for/Enforcing Civil Actions" The following are Civil Prosecutors responsible for enforcement (1)FPPC w/r/t the state or any state agency except the commission itself(2)Attorney General w/r/t to the FPPC(3)District Attorneys w/r/t any other agency Civil Prosecutors may bring any civil action which could be brought by a voter/resident or if the DA authorizes then FPPC may bring any such civil action§91001(b) The elected 9 Attorney of any charter city may act as the civil or criminal prosecutor for violations occurring w/,n the city in any case where the DA could prosecute§91001 5 91001(c)Ne2lwence or inadvertence also considered a violations YES for both criminal and civil actions and the presence or absence of good faith also considered 1 u94; $91006 Joint and Sever Liability Two or more persons responsible will be jointly&severally liable Huntington Beach Municipal Code Chapter 2 07 Page 7 of 9 21900 stibdivisten, shall first file with the City At4emey a�wttten fequest feif the etty At4e.me-, detefRitties fn good faith that additieiW time is needed to exafnfiie the maaef fu hef /sixty(60) ' days, d t s Attorney dismissed. „4het 4 pfejttdtee-+i22o-u94� 7 01007(a)Procedure for Civil Actions Any person before filing a civil action must first file with the civil prosecutor a written request for the civil prosecutor to commence the action/The request shall include a statement of the grounds for believing a cause of action exists The civil prosecutor shall respond to the person in writing indicating whether he or she intends to file a civil action // 01007(a)(1) If the civil prosecutor responds in the affirmative and files suit w/n 120 days from receipt of the written request to commence the action no other action may be brought unless the action is brought by the civil prosecutor is dismissed without prejudice as provided inn§91008 01007(a)(2) If the civil prosecutor responds in the negative w/n 120 days from receipt of the written request to commence the action the person requesting the action/may proceed to file a civil action upon receipt of the response from the civil prosecutor If the civil prosecutor does not respond w/n 120 days the civil prosecutor shall be deemed to have provided a negative written response to the person requesting the action on the 1200i day and the person shall be deemed to have received the response r o the General Fiiffd—W�/ Same as State§91009 Chap (277 � Same as State§91003(a), procedural requirements see§91007(b) e" pr-evafls41 atty ette „ hei e by this (`1 apt his r_hor e 4 F1 4 tfo i32i�i &91012 Award of Attorney's Fees/Cost of Litigation to Prevailing Plaintiff or Defendant YES EXCEPT NOT to agency Private Plaintiff required to post bond to guarantee payment of costs NU ACTI Huntington Beach Municipal Code Chapter 2 07 (PleN80, 21900 TAKEN fl pr-evtsten of this Chapte. be re-e-m—meeneed within four- (4)years aftef the date an whieh Same as State 01000(c),01011(b),&91013 5(b) Four years for Criminal and Civil ` 2 07 220 Applicability of other laws Nothing in this Chapter shall exempt any person from applicable provisions of any other laws of this state orjurisdiction (32201/94) 2 07 230 Severability If any provisions of this Chapter, or the application of any such provision to any person or circumstances, shall be held invalid,the remainder of this Chapter,to the extent it can be given effect, or the application of such provision to persons eor circumstances other than those as to which it is held invalid, shall not be affected thereby, and to this extent the provisions of this Chapter are severable (3220 1/94) 2 07 240 Interpretation of chapter This Chapter should be liberally construed to accomplish its purposes (32201/94) ations shall be mefeased, deer-eased, e No comparable State provision,but State does provide for Adiustment of Contributions Every two years in January of every odd numbered year to reflect any increase or decrease in the CPI§85316(4) 2 07 260 Effective date The provision of this Chapter shall become effective upon adoption, pursuant to Huntington Beach City Charter Section 500(e)(1) (32201/94) TAKEN �10 ACTION Huntington Beach Municipal Code Chapter 2 07 Page 9 of 9 21900 Page 1 of 3 Esparza, Patty From Dapkus Pat Sent Wednesday April 02 2008 3 31 PM To City Clerk Agenda Subject W Campaign Finance Restriction Reform The official grass roots positon For when the ordinance returns Pat bapkus (714) 536-5579 (714) 536-5233 (FAX) Save A Tree please don t print this unless you really need to From Norm Westwell [maiito normw@modern public com] Seat Wednesday, April 02, 2008 1 43 AM To CITY COUNCIL Subject Campaign Finance Restriction Reform The official grass roots position While many vocal people in our community claim to "have the answers" to fix the campaign finance issue to ensure we have qualified grass roots candidates who can compete on a level playing field in HB City Council elections, it is important to hear and understand what an ACTUAL "grass roots candidate" has to say about the issue The proposed Political Campaign Finance Reforms currently being discussed serve only to trim a few hairs from the tail of the monster The wrong end of the monster is being addressed The proposed solutions do not address the real problem corrupting our election process To "fix the problem" as everyone claims to desire, the HEAD of the monster must be attacked I am arguably the poster child for the "grass roots" candidates everyone claims they are intending to help But hear me clearly, The current proposals WOULD NOT HELP ME IN ANY MANNER In fact, limitations only serve to impede my campaign and the campaigns of other good "grass roots" candidates We are simply unable to compete against the huge independent expenditures (soft money) of the Political Action Committees If you are not doing their bidding, you will not receive their "favors" and therefore will not be elected Check the record of past elections See who benefited from PAC money and compare it to who was elected It is very lopsided indeed Candidates who believe that the PACs and their money are the root cause of our problems are unable to fairly compete in this pre-rigged, unbalanced system Some _�,/w lof 4/2/2008 � Page 2 of 3 even advocate the current limit of $300 should be reduced to $100 That is laughable If $100 is good $1 would be even better, right? This logic is politically twisted and absurd Make no mistake, the POA, HBFA, MEA, & MEO are the largest impediments to fair elections in Huntington Beach It is a direct "conflict of interest" when these "big government organizations" purchase their candidates of choice with UNLIMITED funding With a wink and a nod, everything is understood While it is technically legal, it is morally bankrupt and corrupt Every Council candidate knows it Those who benefit from the arrangement like it just the way it is, and advocate the status quo Candidates, who do not benefit, abhor it Even if unlimited funding were suddenly allowed for candidate-controlled committees, the situation would remain unbalanced due to the HUGE sums of money raised overnight by the PACs with no effort by the candidate All that is required is a wink and a nod To rectify the situation and return power and control to the citizens where it belongs, an ordinance, similar to the proposal described below is necessary Real HB Political Campaign Finance Reform An HB ordinance requiring any City Council member who has been the beneficiary of an independent expenditure (soft money) by a political action committee in excess of $300 to abstain on all matters, which pertain to the interests, advanced by the political action committee making the expenditure When the City Council figures out how to adopt such an ordinance, you will have effectively and decisively addressed the issue Until that day, the best course of action is to remove all restrictions for candidate- controlled committees It is ironic that lowly School Boards do not have these restrictions but the City Council does The school boards don't have the corruption issues like the past City Councils have experienced If these facts do not clearly guide you in your course of action YOU ARE REPRESENTING THE BIG GOVERNMENT ORGANIZATIONS and not the citizens of HB who elected you While I understand the general public can have a difficult time understanding this position, I know you to understand it intimately Thank you for your thoughtful consideration of this important issue Warmest regards, Your friend & 4-Time HB City Council "Grass Roots" Candidate, 4/2/2008 r Page 3 of 3 Norm Westwell -------------------------------------------- -------------------------------------------- Norm Westwell - Huntington Beach CA normw@ModernPublic com \ I / THERE IS A PRICE FOR BEING FREE Torch of Liberty enlightening the world 4/2/2008 April 21, 2008 To Honorable Mayor and Members of the City Council From Larry K Gallup Date April 21, 2008 Subject Council Meeting Agenda Item G-2b, Ordinance 3803 amending Chapter 2 07 of HBMC Dear Council Members Options 3 and 4 of the proposed Ordinance 3803 are in conflict with the basic premise of our existing Municipal Code Chapter 2 07,which states in 2 07 020 Purpose "The purpose of this chapter is to ensure that the financial strength of certain individuals or organizations does not permit them to exercise a disproportionate or controlling influence on the election of City candidates "Please notice the word "ensure " This section of the Municipal Code was introduced on 12/20/93 and passed by a vote of 7-0 It was approved by Council 1/3/94 by a vote of 6-0, one member absent I have talked to four of those former Council Members,they said there was no controversv that came up at that time The conclusion is that Options 3 or 4 should not be adopted Sincerely, M Larry K Gallup J 3776 Montego Dr � } Huntington Beach, Calif 92649 Copy to City Clerk, City Attorney, City Treasurer Apnl 28, 2008 To Honorable Mayor and Members of the City Council From Lary K Gallup Date April 28, 2008 Subject Proposed Ordinance 3803 amending Chapter 2 07 of HBMC Dear Council Members The proposed Ordinance 3803 has potential conflict with the basic content and premise of our existing Municipal Code Chapter 2 07,which states in 2 07 020 Purpose "The purpose of this chapter is to ensure that the financial strength of certain individuals or organizations does not permit them to exercise a disproportionate or controlling influence on the election of City candidates "Please notice the word "ensure" Raising the limit from$300 to $400 or$500 would not create a conflict, but a jump to $3000 would Adopting the State"rulers of the game"could be done and the limit at the lower level could be kept It should be noted that using"state rules" would not make the filing of campaign reports (Form 460 etc)by candidates and treasurers any easier or simple The requirements are set and monitored by the Fair Political Practices Commission(FPPC) By way of note, organizations mentioned in 2 07 020 would include PACs The FPPC does have `member organizations"and PACs on their agenda for consideration as to "who they are"and"what they can or can not do "When they will consider it is unknown at this time The sections of 2 07 of the Municipal Code now under consideration were introduced on 12/20/93 and passed by a vote of 7-0 It was approved by Council 1/3/94 by a vote of 6-0, one member absent I have talked to five of those former Council Members,they said there was no controversy that came up at that time I do not believe that proposed Ordinance 3803 should be passed until it and 2 07 020 have been reconciled Sincerely, Larry K Gallup 3776 Montego Dr Huntington Beach, Calif 92649 Copy to City Clerk, City Attorney, City Treasurer Earle Robitaille Linda Moulton-Patterson Grace Wmchell,Jim Silva Ralph Bauer Vic Leipzig, Dave Sullivan and Mark Bixby, Tim Geddes, Linda Scott, Ed Kerns 1_1_7 Co d'» A) &Z A-)/C���?0/ (f? — /6 Page I of 2 Esparza, Patty From Flynn Joan Sent Monday May 05 2008 1 32 PM To Esparza Patty Subject Fw Late Communication in support of Agenda Item G1 b Joan L Flynn CIVIC Huntington Beach City Clerk From Norm Firecracker Westwell To Flynn, Joan Sent Mon May 05 13 56 39 2008 Subject Late Communication in support of Agenda Item G1 b I strongly urge your continued support for agenda item 1b, Campaign Contribution Reform Restrictions imposed only on candidates are un-American and are currently used as a blatantly successful tool to inappropriately determine the outcome of elections The current ordinance has the unintended consequence of making it more difficult for all grass roots candidates who oppose the "big government" organizations who support their candidates through PACs In a free society people should be free to support the candidates they choose at the funding level they feel is appropriate just like the PACs Period While some in our community may not fully understand or like it this is exactly how our electoral system is intended to work Freedom and Liberty works when left unencumbered Adopting state law for this issue will help assure future elections will have the OPPORTUNITY to be fair and will streamline and simplify our ordinance It also has the added benefit of eliminating the perception that our local government by way of bad policy attempts to affect the outcome of elections urge your continued support of item G®1 b Thank you Grass-Roots City Council Candidate 2000 2002 2004 2006 - C 5/5/2008 Page 2 of 2 Norm "Firecracker" Westwell 17171 Englewood Cr HBCA 94267 --------------- --------------- Norm Firecracker Westwell normw@modernpublic com www modernpublic com There is a price for being Free 5/5/2008 Esparza, atty From Dapkus Pat Sent Monday May 19 2008 8 35 AM To City Clerk Agenda Subject FW Campaign Contribution Limits Pat Dapkus (714) 536-5579 (714) 536-5233 (FAX) P Save A Tree - please don t print this unless you really need to -----Original Message----- FromTim Geddes [mailto timgeddes@msn com] Sent Saturday May 17 2008 11 49 AM To CITY COUNCIL Subject Campaign Contribution Limits Dear Mayor Cook and City Council members I am writing to urge the entire City Council to postpone further attempts to adjust our local campaign contribution limits until after the November 2008 election If the matter is taken up in a non-election year (2009) there will be plenty of time to discuss the merits of raising limits and the appropriate course to take in doing so without the pressures and problems associated with raising limits this year with an election less than six months away In doing this the matter would also be decided by six members of the City Council (with the exception of Joe Carchio) who would not be running for reelection in 2010 This is a major improvement over having two incumbent Council members up for reelection deciding whether to raise limits that would benefit their campaigns this year one of whom has been the leading proponent of raising campaign contribution limits that could bury any of his potential challengers in 2008 There will be three open seats on the Huntington Beach City Council in the 2010 election This is the election that should benefit from any adjustment in campaign contribution limits with over a year to prepare to campaign under any changes to current provisions This is an election with only one current Council member (Joe Carchio) making decisions that could affect his future campaign financing By setting any new limits in 2009, this would allow all prospective candidates to have the same running start on using any new rules to their best advantage I further believe that there are ethical questions surrounding a Council member up for reelection formulating new campaign contribution rules that so clearly benefit his campaign to the probable detriment of any challengers not enjoying his incumbent status The Council proponent of this counterintuitive argument (that limits would somehow not level the playing field and that increased or no limits would not benefit incumbents disporportionately) is speaking nonsense in my opinion and his argument has no basis in fact This Council member ignores the whole side of the equation benefiting him in making this argument While the matter of adjusting campaign contribution limits locally has merit this matter is best taken up with plenty of lead time to discuss the merits and downsides involved (i e in 2009) The City Council will notice that there has been no public outcry to raise campaign contribution limits at this time, and indeed all of the public comments at Council meetings have been unanimous in opposition to doing so No Council members have shared any communications or correspondence of registered voters in our city demanding or even supporting raising our campaign contribution limits Please vote to defer any changes in our current campaign contribution limits until after the 2008 election Thank you for considering my views Sincerely Tim Geddes (714) 962-5924 timgeddes@msn com Give to a good cause with every e-mail Join the i m Initiative from Microsoft http //im live com/Messenger/IM/Join/Default aspx?souce=EML WL GoodCause 2 Esparza, Pa y From Dapkus Pat Sent Monday May 19 2008 8 35 AM To City Clerk Agenda Subject FW Campaign Contribution Limits Pat Dapkus (714) 536-5579 (714) 536-5233 (FAX) P Save A Tree - please don't print this unless you really need to -----Original Message----- FromTim Geddes [mailto timgeddes@msn com] Sent Saturday May 17 2008 6 47 PM To CITY COUNCIL Subject Campaign Contribution Limits Dear Mayor Cook and City Council Members It has come to my attention that there may not be a full Council seated to hear Item G-lb on the agenda at Monday's City Council meeting (5-19-08) I would urge that this item be pulled from the agenda until all members are present to consider any changes to our current campaign contribution limits This matter is a critical one to the future of Huntington Beach politics and governance and deserves the input of all of our City Council members Additionally all members of the City Council should be on hand to represent their positions and influence the views of others Assuredly if one of the presumptive Council majority members was absent when this matter came to a vote the item would be pulled until that member was present to effect a majority vote No less courtesy should be extended to the other side The citizens of Huntington Beach deserve to hear exactly where ALL of the Council members stand on the campaign contribution limits issue at the meeting where decisions are made affecting their future They also deserve to hear the exact reasons for these positions articulated by each Council member Postponing the vote until all Council members are present is the right thing to do I reiterate my belief that raising campaign contribution limits and changing the rules in an election year is a bad idea (with the election less than six months away) and only benefits incumbents and those backed by outside special interests (who can immediately take advantage of any increased limits) It would be much better to take this matter up AFTER November 2008 when the pressures and problems associated with an election year are not so pervasive Thank you for considering my views Sincerely Tim Geddes ... (714) 9 6 2-5 9 2 4 timgeddes@msn com l��J Give to a good cause with every e-mail Join the i m Initiative from Microsoft http //im live com/Messenger/IM/Join/Default aspx'�1souce=EML WL GoodCause 1 ORDINANCE NO 3803 AN ORDINANCE OF THE CITY OF HUNTINGTON BE,' AMENDING CHAPTER 2 07 OF THE HUNTINGTON BEACH M ICIPAL CODE RELATING TO CAMPAIGN REFORM The City Council of the City of Huntington Beach does here b ordain as follows SECTION 1 Sections 2 07 060, 2 07 110, 2 07 120, 2 7 160, 2 07 170, 2 07 180, 2 07 190, 2 07 200, 2 07 210, and 2 07 250 of the Huntmgto Beach Municipal Code are hereby deleted in their entirety SECTION 2 Section 2 07 050 of the Hunting-to Beach Municipal Code is hereby amended to read as follows 2 07 050 Campaign contribution limitations No per on shall make to any City candidate or the controlled committee of any such City candidat , and no such candidate or committee shall accept from any such person, a contribution contributions totaling more than three hundred dollars ($300 00) in a City Council, Cit Clerk City Treasurer, or City Attorney election cycle (3220 1/94 3452 3/00 3599 2/03) SECTION 3 Section 2 07 130 of e Huntington Beach Municipal Code is hereby amended to read as follows 2 07 130 Transmittal of campaign co ributions in city office buildings (a) No person shall receive or pe onally deliver or attempt to deliver a contribution in any office which the City owns for which the City pays the majority of the rent where the business of the City is con cted (3220 1/94) (b) For purposes of this sect n (3220 1/94) (1) "Personally deli er" means delivery of a contribution in person or causing a contribution to e delivered in person by an agent or intermediary, other than the United States all (3220 1/94) (2) "Recei/N4 ludes the receipt of a campaign contribution delivered in person (3220 1/94) SECTIThis ordinance shall become effective 30 days after its adoption ACTION TAKENtf 21902 1 PASSED AND ADOPTED by the City Council of the City of Huntmgto Beach at a regular meeting thereof held on the day of , �00 ATTEST Mayor City Clerk REVIE D A PROVED APPROVED AS TO IFORM rty Admmistrat Ci AttorAey S 1 z O NO ACTION TAKEN 21902 2 ORDINANCE NO 3803 ' LEGISLATIVE DRAFT �✓ CHAPTER 2 07 CAMPAIGN REFORM (2507 11/81 2721 10/84 2818 3/86 3220 1/94 3452 3/00 3580 10/02 3599 2/03 3749 9/06) Sections 2 07 010 Name 2 07 020 Purpose 2 07 030 Relation to Political Reform Act of 1974 2 07 040 Definitions��.ppY1�y�1 yy $, L Campaign ee'nt11 V UCfen lfmftattens { 2 07 070 Election cycle 2 07 080 Prohibition on multiple campaign committees 2 07 090 Prohibition on transfers 2 07 100 Loans to city candidates and elective city officers and their controlled committee Money z cccrVccro=y'-orrciura-trcccccd-ns-C-vircrrvzrcroir J 2 07 130 Transmittal of campaign contributions in city office buildings 2 07 140 Disclosure of occupation and emp16yer 207 150 Reporting of cumulative contributions 207 inn Tr,,,,,etiye -ehef NO ACTION 2 07 200 Cost of litigation 2 07 210—Statue of limitations 2 07 220 Applicability of other taws TAKEN 2 07 230 Severability �,/ 2 07 240 Interpretation of chapter 2 07 250 me dme ra laa,,, i is 2 07 260 Effective dat/� c 2 07 010 Name This Cr shall be known and may be cited as the "City of Huntington Beach Campaign Reform Law " (3220 1/94) 2 07 020 Purpose The purpose of this Chapter is to ensure that the financial strength of certain individuals or organizations does not permit them to exercise a disproportionate or controlling influence on the elelction of City candidates To achieve such purpose, this Chapter is designed to reduce the mfh}ence of large contributions, to ensure that multiple contributions in excess of the contribution limits do not originate from the same source of funds, to ensure that individuals and interest groups continue to have a fair and equal opportunity to participate in electing City candidates andto maintain public trust in governmental institutions and the electoral process (3220 1/94) 2 07 030 Relation to Political Reform Act of 1974 This Chapter is intended to supplement the Political Reform Act of 1974 Unless the term is specifically defined in this Chapter, or the contrary is stated or clearly appears from the context, words and phrases shall have the same meaning aslwhen they are used in Title 9 of the California Government Code in which the Political Reform Act of 1974 is codified, as the same may be, from time to time amended (3220 1/94) Huntington Beach Municipal Code Chapter 2 07 Page 1 of 9 21900 2 07 040 Definitions , (a) City Candidate means any person who is a candidate for the city Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach (3220 1/94) 1 (b) "Elective City Officer" means any person who is Mayor, a member of the City Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach, whether appointed or elected (3220 1/94) (c) "Non-elected City Official" means any person who is a member of a City of Huntington Beach board, committee, or commission, and who is not elected to thatosition (3220 1/94) (d) Person means an individual, proprietorship firm, partnership,jointy nture, syndicate, business trust, company, corporation, association, committee, and any other organization or group of persons acting in concert (3220 1/94) 2 07 050 Campaign contribution limitations (3220 1/94 3452 3/00 3599 2/03) (a)-No person shall make to any City candidate or the controlled/committee of any such City candidate, and no such candidate or committee shall accept from any such person, a contribution or contributions totaling more than-(3220 1/94) — }Ttb ee hundred dollars ($300 00) in a City Council, Crty Clerk, City Treasurer, or City Attorney election cycle fir- (3220 1194) —(2) T., 1,,,,,afed dollars ($2 eeall ... n cycle—(32o4494) (b) The pf evf sten of thts seetten shall neit app U4 A Z-fidi d a4ea's--offiffl.bvAten of his or-her.- (3220 1I94 3599 2/03) r Candidate's Contributions of Person VFunds EXEMPT Same as State§85301(d) fallowing shall apply /Z77,-oc20-1/94) /'177�4) (b) Two /7l o o „t,t.e shall l be tfe tv.l �>l,o f the f 11 w ' r � � any�r�, rviiv vv..rg eifettm (1) The ,-.t,tt s sl,n«o tl,o n f t<..,Fmembefs of the f be f tom., �A h� S ef ra�cC�vi o /'z2 ��w-1/ ( entitf es s mefe ei eefs—/"'�4; (3220 1194) (3) The epAtti q afe Led ef eentfelled by the same majer-ity shafeheldef of shafehol YA in a pafent sub sWiavy fe 6nsh+p­-(a2_v=2o- 9 4 v fi 0 nt 11 ter-eqt (lift„(500) p &4 , mefe ) shall be tfe to as n e fsip �I&,ten 1 io3Ti N .J.. u� �,�.:t....,,�.�. Huntington Beach Municipal Code Chapter 2 07 Page 2 of 9 21900 stippofts of opposes the same Gity candidate No sueh eommittee shall aet in e-.. +gipafents—(322G4-44) Child Contributions Same as State§85308(b) 85311 Ayp_rmation of Contributions Entity means any person other than an individual Majority owned means an ownership of more than 50% Two or more entities making contributions directed&controlled by a majority of the same persons must be aggregated§85311(c) Contributions made by entities majority owned(more than 50%)by any per on shall be aggregated w/ contributions of majority owner and all other entities majority owned by that person unless those entities act independently in their decisions to make contributions§85311(d) Contributions of entity directed/controlled by anyone shall be aggregated w/contributions made by that individual and any other entity whose contributions are directed/controlled by same individual§85311(b) 2 07 070 Election cycle (3749 9/06) (a) City Council, City Clerk, City Treasurer, and City Attorney Elections For purposes of the limits of this Chapter, as applied to elections fortity Council, City Clerk, City Treasurer and City Attorney the final date for contributions shall be December 31 of the year in which the election for the open position was held Contributions made after the final date shall be deemed contributions for the next election cycle (3220 1/94) (b) Examples of the Election Cycle January 1, 1987, to December 31, 1990 was the "Election Cycle" for the 1990 election Pursuant to Section 2 07 070 Election Cycle the four(4) year period for purposes of applying the interpretation of the Campaign Ordinance Election Cycle 2 07 070(a) shall be as follows (3220 1/94) Example 1 (3220 1/94) / 1992 Election Cycle Three Council Seats and City Clerk and City Treasurer Januaryu_l 1989 December 31, 1992 / > > (1) The "last election" was November 1988 (2) December 31, 1988, was the last or final date for receipt of campaign contributions, & the 1988 election (3) January 1, 1989,began the election cycle for the 1992 election Wmaw (4) December 31, 1992f ended the election cycle for the 1992 election 0 Example 2 (3220 1/94) / 2: 1994 Election Cycle - Four(4) Council Seats and City Attorney January 1, 1991 December 31 1994 (1) The last election was November 1990 (2) December 311, 1990 was the last or final date for receipt of campaign contributions for the 1990 el/ection (3) January 1 f1991,began the election cycle for the 1994 election (4) December 31, 1994, ends the election cycle for the 1994 election Huntington Beach Municipal Code Chapter 2 07 Page 3 of 9 21900 I i >i Example 3 (3220 1/94) 1996 Election Cycle Three (3) Council Seats and City Clerk and City Treasurer January 1, 1993 December 31 1996 (1) The "last election" was November 1992 (2) December 31, 1992, was the last or final date for receipt of campaign contributions for the 1992 election (3) January 1, 1993,began the election cycle for the 1996 election (4) December 31, 1996, ends the election cycle for the 1996 election (c) Recalls For purposes of the limits of this Chapter, campaign contributions made at any time after a committee has been formed, pursuant to the provisions of the Political Reform Act, in support of a recall election or after the City Clerk has approved a recall petition for circulation and gathering of signatures, whichever occurs first, shall be considered contributions during a recall election cycle A recall election cycle shall end whenever any of the following occur (3220 1/94) (1) The recall proponents fail to return signed petitions to the City Clerk within the time limits set forth in the California Elections Code (3220 1/94)/ (2) All committees formed in support of the recall have be°en terminated pursuant to the provisions of the Political Reform Act (3220 1/94) (3) Ten (10) days after a recall election has been held (3220 1/94) 2 07 080 Prohibition on multiple campaign committees A City candidate or an elective City offices shall have no more than one campaign committee which shall have only one bank account out of which all qualified campaign and office holder expenses related to that City office shall be made This section does not prevent a City candidate or an elective City officer from establishing another campaign committee solely for the purpose of running for a state, federal local, or other City office This section also does not prevent an elective City officer from establishing another campaign committee solely for the purpose of opposing his or her own recall (3220 1/94) 2 07 090 Prohibition on transfers (a) No funds may be transferred into any city candidate or elective city officer's campaign committee from any other campaign committee controlled by a candidate (including said City candidate) or by an elective City officer(including said elective City officer) (3220 1/94) (b) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office nor to any committee supporting or opposing a recall of an elective City officer This section shall not prohibit a City candidatAom making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office (3220 1/94) The provision of this section shall not apply to the candidate or elected officer who forms a new committee for purposes of reelection to the same office and to close out the prior committee transfers the money or debt from the prior committee to the new committee and, in so doing, complies with all regulations of the political Reform Act of 1974, and as amended (3220 1/94) 140 ACTION Huntington Beach Municipal Code Chapter 2 07 Page 4 of 9 21900 TAKLM 2 07 100 Loans to city candidates and elective city officers and their controlled committee (a) A loan shall be considered a contribution from the maker and the guarantor of the loa and shall be subject to the contribution limitations of this Chapter (3220 1/94) (b) Every loan to a City candidate or elective City officer or their controlled committees shall be by written agreement which shall be filed with the candidate's or committee's Campaign Statement on which the loan is first reported (3220 1/94) (c) The proceeds of a loan made to a City candidate or elective City officer b�a commercial lending institution in the regular course of business on the same terms available to members of the public shall not be subject to the contribution limitations of this Chapter if the loan is made directly to the City Candidate or elective City officer or his or her controlled committee The guarantors of such a loan shall remain subject to the/contribution limits of this Chapter (3220 1/94) (d) Extensions of credit(other than loans pursuant to Section 2 07 00(c) for a period of more than thirty(30) days are subject to the contribution limitation of this Chapter (3220 1/94) (e) This section shall apply only to loans and extensions of cr it used or intended for use for campaign purposes or which are otherwise connected wi the holding of public office (3220 1/94) (f) The monetary limitations or provisions of this section shall not apply to a candidate's loan of his or her personal funds to his or her own campat n committee (3220 1/94) (g) No City candidate and no committee controlle y a City candidate or elective City officer shall make any contribution to any other City andidate running for office or to any committee supporting or opposing a City ca didate for elective City office, nor to any committee supporting or opposing a recall f an elective City officer This section shall not prohibit a City candidate from making a c;ontnbution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office (3220 1/94) > othet:than gevefti7ment fand-q/veeeived by eleetive Gfty offieefs 4 eh Are 419 ed> 40 w to the limitatfons of thf- imbufsement fef reasonable travel expenses related to holding publie offiee hall be _,'uded from the pfevistons of this _po2n_vnn 4) 02015(a)`Contribution"ru s a payment a forgiveness of a loan a payment of a loan by a third party or an enforceable promise to make a ayment except to the extent that full and adequate consideration is received �W unless it is clear from the surr undmg circumstances that it is not made for political purposes a payment is made for purposes related to candidate s candidacy for elective office if all or a portion of the payment is used for election related activities §82015(b)(2)(C) §82015(c) (d)the term/ontribution includes purchase of tickets for events such as dinners luncheons rallies &similar fundraising events the candidate s own money or property used on behalf of his/her candidacy other than personal funds Mused to pay a filing fee the granting of discounts or rebates not extended to the public generally or the granting of discounts or rebates by television and radio stations and newpapers not extended on an equal basis to all candidates for the same office the payment of compensation by any person for the personal services or expenses of any other person if the services are rendered or expenses incurred on behalf of a candidate or committee without payment of full and adequate consideration any transfer of value received by a committee fromtanother committee unless full and adequate consideration is received 1 82§ 015(0 contribution does not include volunteer personal services or payments made by an individual for his or her own travel expenses if the payments are made voluntarily without any understanding or agreement that they shall be directly or indirectly repaid to him or her See also FPPC Regulation 18215 defining Contribution aetten pe ding bef4e the City effieial or employee E)r-has had sueh a att r-Pending dtifing the preeedfng twelve (12) menths Thts seetion does not apply to a non eleeted ZT-- (3220 1/94) 04308(b) Contribution to Officers, Disqualifications No officer of an agenc/shall accept solicit or direct a contribution of more than$250 from any party or any participant while a proceeding involving a license permit or other entitlement for use is pending before the agency and for three months following the date a final decision is rendered in the proceeding if the officer knows or has reason to know that the participant has a financial interest $84308(c) Prior to rendering any decision in an a proceeding involving a license permit or other entitlement for use pending before an agency each officer of the agency who received a contribution withing the preceding 12 months in an amount of more than$250 from a party or from any participant shall disclose that fact on the record of the proceeding No officer of an agency shall make participate in making or in any way attempt to use his or her official position to influence the decision in a preiceedmg involving a license permit or other entitlement for use pending before the agency if the officer has willfully or knowingly received a contribution in an amount of more than$250 within the preceding 12 months from a party or from any participant if the officer knows or has reason to know that the participant as a financial interest in the decision 2 07 130 Transmittal of campaign contributions in city office buildings (a) No person shall receive or personally/ellver or attempt to deliver a contribution in any office which the City owns or for which the"City pays the majority of the rent where the business of the city is Conducted (3220 1/94) (b) For purposes of this section (3220 1/94) (1) "Personally deliver" meansdelivery of a contribution in person or causing a contribution to be delivered in person/by an agent or intermediary, other than the United States mail (3220 1/94) (2) "Receive" includes t Zee pfeeept receipt of a campaign contribution delivered in person (3220 1/94) 2 07 140 Disclosure of occupation and employer No campaign contribution shall be deposited into a campaign bank/ ccount of a City candidate or elective City officer unless the disclosure information required by the Political Reform Act including the name, address, occupation and employer of the contributor, or, if self employed name of business is on file in the records of the recipient of the contribution This information is to be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) 2 07 150 Reporting of cumulative contributions A cumulative contribution for each contributor shall be based on an election cycle and shall be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) oi c t,,,., .0,,.1,t„ir�o r322n 1i94) 17q-0 1 ACTION Huntington Beach Municipal Code Chapter 2 07 Pm q,, 9 21900 Chapter-, or-who aids aiid abets any either-pefson fn the vielatfon of aliy PfON�f fon §91000 Criminal Misdemeanor Actions Knowing or wilfull violation is a misdemeanor plus a fine of upo to the greater of$10 000 or 3X the amount failed to report properly or unlawfully contributed for each conviction Prosecution must begin w/n 4 years after violation dfate / eefivfetfein unless the eotH4 at the time of sentenemg speeffically —g the date of the purposes of thfs seetien—p2zG-u94) Z 01002 Prohibition from being Candidate or holding elective office after criminal conviction If convicted of misdemeanor prohibited from being Candidate holding elective office or acting as lobbyist for 4 years after date of conviction Plea of polo contendere s a conviction Violation of this provision is a felony /� 2 07 180 CfV l aetlEffiS ccrorrr yansdietion for-an amount not Ffl---than flWee '3), t� the afflount the pefsen failed to > > > vielatfon, whtehever-fs e o f (3220 1 tnn) §91005 5 Civil Actions If no specific civil penalty is provided for a violation liable for up to$5000 per violation for a civil action brought by DA/or elected civil attorney under§91001 or§91001 5 EXCEPT if the FPPC has issued an order for the same violation(see§83116) 9§ 1004 Intentional or negligent vio/laation of the reporting requirements liable in a civil action for the amount not more than the amounfor value not properly reported Who is Reponsible for Enfo4 z Civil Actions" The following are Civil Prosecutors responsible for enforcement (1)FPPC w/r/t/the state or any state agency except the commission itself(2)Attorney General w/r/t to the FPPC/(3)District Attorneys w/r/t any other agency Civil Prosecutors may bring any civil action which could be brought by a voter/resident or if the DA authorizes then FPPC may bring any such civil action§91001(b) The elected City AtLey of any charter city may act as the civil or criminal prosecutor for violations occurring w/n the city in any case where the DA could prosecute§91001 5 91001(c)NeOw /nce of inadvertence also considered a violations YES for both criminal and civil actions and the presence or absence of good faith also considered U943 §91006 Joint and Sever Liability Two or more persons responsible will be jointly&severally liable Flu Huntington Beach Municipal Code Chapter 2 07 TAPage 7 of 9 21900 KEN (,.) Any pet! ethe f that the City n tt,,,-.,o., b e f fe filing „i aet � rt t tl„� , , rfe vii yuioi:aric �v subdtvfsten, shall first file ,vtth the City Attemey a wftttefi fequest feif the GAY Attaffley to deteftmnes fn good faith that addftfonal time is needed to exaffline the mattef ftn4hef the Attomey is dismissed without pfejtidtee--(az2G-ug4) t P1007(a)Procedure for Civil Actions Any person before filing a civil action must first file with the civil prosecutor a written request for the civil prosecutor to commence the action/The request shall include a statement of the grounds for believing a cause of action exists The civil prosecutor shall respond to the person in writing indicating whether he or she intends to file a civil action/7 01007(a)(1) If the civil prosecutor responds in the affirmative and files suit w/n 120 days from receipt of the written request to commence the action no other action may be Prought unless the action is brought by the civil prosecutor is dismissed without prejudice as provided in§91008 01007(a)(2) If the civil prosecutor responds in the negative w/n 120 days from receipt of the written request to commence the action the person requesting the actiormay proceed to file a civil action upon receipt of the response from the civil prosecutor If the civil prosecutor does not respond w/n 120 days the civil prosecutor shall be deemed to have provided a nega i e written response to the person requesting the action on the 1201h day and the person shall be deemed to have received the response violatfon and the degree of --'Ithe defendant if ajudgi�nent is entefed agaiiist the- a,motifit EE9 , The remainin.1- fit, o t /Cno%l shall be deposited into the r it y � 41 GenefalFiind -,4he entire amount shall be pafd to the General lff�-,32�/ Same as State§91009 (e) The tefm "Gity Atte.i.e., as used in this seetten and Seetion 2 07 4 90 shall mean and fefer-to the City Attafney of 0(CAPY Jf > meludfng the City Atteffley, or- sueh ethleaf le"Al e-­Ansel for-the City as appointed by the GAy Attomey of City Counefl, ma� Ghapter- ia2� / Same a/s State§91003(a),procedural requirements see§91007(b) l s in c ,. „tb,, o,l by this r'hapto b he s '1220 1/94) ��at � Lt� VF 1 1 11 t L1�C t IV Ll r $91012/ Award of Attorney's Fees/Cost of Litigation to Prevailing Plaintiff or Defendant YES EXCEPT NOT to agency Private Plaintiff required to post bond to guarantee tpa�yment�f coasts p� to � U 0 0 Huntington Beach Municipal Code Chapter 2 07 TAKL g8 of 9 21900 / 1 e J f Snme as State§91000(c), �91011(b), §91013 5(b) Four years for Criminal and Civil 2 07 220 Applicability of other laws Nothing in this Chapter shall exempt any person from applicable provisions of any other laws of this state or jurisdiction (3220 1/94) J 2 07 230 Severabihty If any provisions of this Chapter, or the application of any such provision to any person or circumstances shall be held invalid, the remainder of this Chapter, to the extent it can be given effect, or the application of such provision to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby,/and to this extent the provisions of this Chapter are severable (32201/94) / 2 07 240 Interpretation of chapter This Chapter should be/liberally construed to accomplish its purposes (32201/94) ,femain the same in the event the City Counef! at sueh hmitatfons shatil amended, it shall do so by holdfng aplulblhelhp.;I��Ir,fifild'ad t-1 J No comparable State provision,but State does provide for Adjustment of Contributions Every two years in January of every odd numbered ear to reflect any increase or decrease in the CPI§85316(4) 2 07 260 Effective date The provision of this Chapter shall become effective upon adoption, pursuant to Huntington Beach City�Charter Section 500(e)(1) (3220 1/94) NO ACTION TAKEN, 1 Huntington Beach Municipal Code Chapter 2 07 Page 9 of 9 21900 May 14, 2008 To Honorable Mayor, City Council, City Attorney, City Treasurer, City Clerk City of Huntington Beach, California Dear Elected Officials Candidates and their Treasurers need to be aware of many State Laws in order to properly complete and file the required Campaign Reports (Form 460 etc) This is a requirement they should accept when entering into their campaign The laws that control what they should or should not do are largely State Laws If they do not know the rules,they should study up,"or consider hiring a consultant to do the job for them The State Laws in the Government Code are very extensive The number of laws in the Huntington Beach Municipal Code are few Changing these Huntington Beach laws by eliminating some of them and using State Laws will not reduce what a candidate and treasurer will need to know to file reports It will not be any easier One thing that going to State Law would do, unless excluded as a change, is the change of the "campaign contribution limit" That could be left the same, or set at a modest and slightly higher amount It is important that consideration be given to the role of a treasurer in a campaign The Handbook for candidates provided by the Huntington Beach City Clerk titled"Candidate Information, Forms, Codes"has a section"Ethics"which includes excerpts from the Institute for Local Government, League of California Cities, on page 10 titled A Note About Campaign Ethics, Laws and Principles,"where it states these words "selecting a campaign treasurer with care is critical " Further in the Handbook are selections from the Fair Political Practices Commission (FPPC)Manual that discuss a Treasurer's important duties and responsibilities And referrals to where to find additional information from the Manual are listed By the way, the FPPC Manual for Candidates is rather extensive This letter with some revisions and additional items will be sent to all candidates who run in the upcoming Huntington Beach City election of November 2008 Sincerely, Larry K Gallup 3776 Montego Dr Huntington Beach, Calif 92649 Page 1 of 3 Esparza, Pafty From Norm Westwell [normw@modernpublic com] Sent Saturday May 10 2008 12 28 PM To Esparza Patty Subject Why I support HB Campaign Finance Reform Dear City Clerk, Please place this into the public record and into the agenda package when the Campaign Finance Reform item next comes before the Council Thank you Why I Support HB Campaign Reform by 4-Time Grass Roots Candidate Norm "Firecracker" Westwell The antiquated $300 contribution limit for City Council Candidates is counter- productive It tends to drive away good grass roots candidates The limit was no doubt conceived to prevent quid-pro-quo arrangements with potential elected officials receiving campaign funds That would be good With good intentions come unintended consequences Political Action Committees raise and spend unspeakable amounts of money on behalf of candidates They DO NOT have restrictions Candidates DO have restrictions THIS IS THE PROBLEM The playing field is not balanced The PAC's are overwhelming successful in getting their candidates elected Any candidate not supported by PAC money is simply not going to get elected under current regulation It would take over 250 individuals each giving the maximum $300 to generate the $75,000 or so needed for a successful campaign without PAC money This is grass roots? know grass roots In 2000 1 raised and spent $1 ,500 for a statement of qualification 1 lost of course But 1 learned how the PAC's controlled the action intentionally did not raise or spend any money in 2002, 2004 and 2006 In 2006 again I did nothing and spent nothing for the City Council race and still captured 8 5% of the vote for City Council and was elected to the School Board Those are the numbers The School Board does not have restrictions The City Council does //� �f Q,n1��,1VX C47 5/12/2008 6 - 1,6 Page 2 of 3 1 can get elected to the School Board and in fact, I did just that As a grass-roots City Council candidate I have found it to be overwhelmingly impossible to compete under the oppressive fiscal contribution limit restriction imposed by the already elected incumbents in City Hall Elections must be fair Clearly candidates like myself who do not receive PAC support are at a HUGE disadvantage It is the elephant in the room I am even OK with the disadvantage It is up to the candidate to overcome the difference It is a very large sum of money For me, it has not been worth the vigor required due to the limit restrictions The restriction also makes it impossible for someone to completely finance a candidate's campaign It is known that a very wealthy individual in my school district has openly considered completely financing a candidate How will I be able to compete? Should I work to impose campaign restrictions like City Hall to bolster my incumbency? Id' rather die Instead I will wish my wealthy opponent good luck and work harder to find my own wealthy supporter So long as I have an equal opportunity, justice is served Life is not fair However, the election PROCESS should be as fair as possible I have no problem competing in fund raising with any candidate No limit, $3,000 limit, $300 limit, $3 limit It does not matter As long as the candidates are only competing against each other It is the Political Action Committees who have upset the balance PACS can raise and spend unlimited amounts of money on behalf of a candidate Make no mistake It is the PAC money and support that gets candidates elected in HB Under these conditions it is unjust to burden grass-roots candidates with limit restrictions Another unintended consequence The limit restrictions violate my 1 st Amendment right to free speech If I ever decide to run for City Council again I most likely will have money in my school board committee Of the thousands that could be in that account, I could only "give myself' $300 per year to run for City Council This is much too oppressive This violates my free speech rights and I do not surrender any of my rights There are no findings to show that campaign finance restrictions are effective in attracting the best candidates There is no demonstrated demand driving any necessity for limit restrictions Limits serve to protect a "big government" incumbents club 5/12/2008 Page 3 of 3 Current limit restrictions have resulted in an unhealthy propensity to produce felonious candidates Clearly PAC's unjustly benefit by the imposition of restrictions on candidates Restrictions CAUSE the imbalance with PAC's Freedom works if you trust it It is unwise for government to interfere in the election process I am personally harmed by the present condition and ask you have empathy and take action to remedy this unjust liability I ask you to remove the unjust burden of campaign limits so our elections will draw the best candidates our City has to offer and finally, A freeman does not need permission from his government to raise money in order to challenge and change government through election to public office In a free society, people should be free to support the candidates they choose at the funding level they feel is appropriate I ask you to support entirely removing or greatly increasing the limit to at least $2,000 to regain harmony and balance in campaign reform and to grace all future grass-root candidates for City Council with at least a statistical possibility for success Your friend in liberty, Norm Westwell Grass-Roots City Council Candidate 2000, 2002, 2004, 2006 -------------------------------------------- -------------------------------------------- Norm Westwell - Huntington Beach CA normw@ModernPublic corn \ I / THERE IS A PRICE FOR BEING FREE Torch of Liberty enlightening the world 5/12/2008 Esparza, Patty From Dapkus Pat Sent Wednesday May 21 2008 8 41 AM To City Clerk Agenda Cc McGrath Jennifer Subject FW Campaign Contribution Limits Pat Dapkus (714) 536-5579 (714) 536-5233 (FAX) P Save A Tree - please don t print this unless you really need to -----Original Message----- FromTim Geddes [mailto timgeddes@msn com] Sent Wednesday May 21 2008 1 23 AM To CITY COUNCIL Subject Campaign Contribution Limits Dear Mayor Cook and City Council Members Once again the public was forced to endure another tedious and inconclusive discussion of campaign contribution limits at Monday's Council meeting that again demonstrated the lack of an overarching 3ustification for raising contribution limits to any new standard Once again, the salient points made in public comments and communications by concerned citizens in opposition were not addressed or considered by those seeking to adjust campaign contribution limits By the way my two communications to the Council were the only late ones cited by the Clerk Once again there was no compelling rationale given or evidence presented to support any of the motions being considered The supposed fruits of Council Member Carchio's research behind coming up with a $700 figure were never shared, leading many to suppose there actually were none While I applauded Council Member Green s reluctance to go along with the increase motion in question she has yet to respond to the constant questioning of why a city our size should give in to state law that clearly was designed to cover broader districts and regions Is this not an abdication of our responsibility to select rules and guidelines that best serve the needs and traditions of our local citizens' Why is a change to much higher limits better or more consistent than the rules that have worked well for many years here? By the way, the argument I have heard that raising contribution limits to much higher levels (or no levels at all) won t really affect the contribution levels of most donors (because they would presumably only be able to afford lower amounts) is both specious and misleading It would simply allow wealthy donors to exert a disproportiate influence over the election process It does no good for Council members to cite their own previous experiences as evidence that new guidelines wouldn t change things That is flat out wrong Obviously most maximum contributors (the ones we are concerned with) would easily step up to any higher limits if allowed I hope this particular argument is discounted and taken out of circulation This notion that higher campaign contribution limits for individuals are needed to offset the amounts lavished on candidates through independent expenditures and PACs is again specious and misleading The same candidates who benefit from most of the independent expenditures involved are also the ones raising the most money anyway from maximum contributors What is needed are enforceable restrictions on votes that benefit these ma]or donors and PACs in a quid pro quo manner If higher limit contributors trigger voting restrictions on the donors y� 1 special interests then there is at least some proper protection from undue influence or conflict of interest Though such safeguards may still not prevent undue influence, they wi11 certainly help In conclusion Council proponents of higher campaign contribution limits have repeatedly failed to clearly articulate their case They have also failed completely to address concerns raised by those in opposition They have failed to look at both sides of the equation (demonstrating an abdication of responsibility to be open and honest in their decision-making) They have failed to support their arguments with convincing and compelling evidence that justifies their contentions I maintain that any decision on raising campaign contributions be deferred until after the November election Please defer this matter until next year (when three vacant Council seats will be available) Thank you for considering my views Sincerely Tim Geddes (714) 962-5924 timgeddes@msn com Make every e-mail and IM count Join the i m Initiative from Microsof� http //im live com/Messenger/IM/Join/Default aspx?source=EML WL MakeCount 2 NO ACTIOrq ORDINANCE NO 3803 TAKE�N ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING CHAPTER 2 07 OF THE HUNTINGTON BEACH MUN IPAL CODE RELATING TO CAMPAIGN REFORM / The City Council of the City of Huntington Beach does hereby oral/tns follows SECTION 1 Section 2 07 050 of the Huntington Beach umcipal Code is hereby amended to read as follows 2 07 050 Campaign contribution limitations (3220 1/94 3452 3/00 99 2/03) No person shall make to any City candidate or the co ntr fled committee of any such City candidate and no such candidate or committee shall accep from any such person a contribution or contributions totaling more than three hundred dollars300 00) in City Council City Clerk City Treasurer or City Attorney election cycle or (3220 /94) SECTION 2 Sections 2 07 060 2 07 110/2 07 120 2 07 170, 2 07 180 2 07 190 2 07 200, 2 07 210 and 2 07 250 of the Huntingto Beach Municipal Code are hereby deleted in their entirety SECTION 3 Section 2 07 130 of the Huntington Beach Municipal Code is hereby amended to read as follows t 2 07 130 Transmittal of campaign contributions in city office buildings (a) No person shall receive or personally deliver or attempt to deliver a contribution in any office which the City owns or for which the City pays the majority of the rent where the business of the City is conducted (3220 1/94) f (b) For purposes of this section (3220 1194) B x t (1) "Personally deliver" means delivery of a contribution in person or causing a contribution to be delivered in person by an agent or intermediary other than the United States mail (3220 1/94) ° x (2) "Receive" mcludesrthe receipt of a campaign contribution delivered in person (3220 1/94) r SECTION 4 Section 2 07 160 of the Huntington Beach Municipal Cade is hereby amended to read as follows f` 2 07 160 Reportipg of late contributions Notwithstanding the limit contained in California Government Coder Section 320 late independent expenditures or contributions in excess of two- hundred dollars (1200 00) shall be reported to the City Clerk within twenty-four(24) hours of the contribution or expenditure (3220 1/94) / r 20602 1 ,ems Ordinance No 3803 SECTION S This ordinance shall become effective 30 days after its adopt n PASSED AND ADOPTED by the City Council of the City of Hunt gton Beach at a regular meeting thereof held on the day of , 200 Mayor ATTEST DROVED ASSTO FORM V City Clerk City Attorney REVIEWED paNb A7ROVED City Administr `r { ar F } 1 x r f i s 20602 2 Ordinance No 3803 LEGISLATIVE DRAFT CHAPTER 2 07 CAMPAIGN REFORM (2507 11/81 2721 10/84 2818 3/86 3220 1/94 3452 3100 3580 10/02 359 2/03) Sections 2 07 010 Name 2 07 020 Purpose 2 07 030 Relation to Political Reform Act of 1974 2 07 040 Definitions 2 07 050 Campaign contribution limitations 2 07 070 Election cycle 2 07 080 Prohibition on multiple campaign committees 2 07 090 Prohibition on transfers 2 07 100 Loans to city candidates and elective city ocers and their controlled committee z a by e ffi ials 4e a4e a —„+rffiam.,,+, business 2 07 130 Transmittal of campaign contnbutionsAn city office buildings 2 07 140 Disclosure of occupation and employer 2 07 150 Reporting of cumulative contributions 2 07 160 Reporting of late contributions 07200 Cost of h4tga4te NO ACTION Z207�Sta4ttt�tuaons — 2 07 220 Applicability of other laws 2 07 230 Severability TAKEN 2 07 240 Interpretation of chapter 2 07 260 Effective date j 2 07 010 Name This Chapter shall be known and may be cited as the City of Huntington Beach Campaign Reform L w " (3220 1/94) 2 07 020 Purpose Thep ose of this Chapter is to ensure that the financial strength of certain individuals or orgamzatpris does not permit them to exercise a disproportionate or controlling influence on the election of City candidates To achieve such purpose,this Chapter is designed to reduce the mfluence�of large contributions,to ensure that multiple contributions in excess of the contribution limit do not originate from the same source of funds,to ensure that individuals and interest groups/ontmue to have a fair and equal opportunity to participate in electing City candidates, and to amtam public trust in governmental institutions and the electoral process (3220 1/94) 2 07 030 Relation to Political Reform Act of 1974 This Chapter is intended to supplement the Political Reform Act of 1974 Unless the term is specifically defined in this Chapter, or the contrary is stated or clearly appears from the context,words and phrases shall have the same meaning as when they are used in Title 9 of the California Government Code, in which the Political Reform Act of 1974 is codified, as the same may be,from time to time amended (3220 1/94) Legislative Draft Chap 2 07 with Text Box from Matrix I 2 07 040 Definitions (a) "City Candidate" means any person who is a candidate for the city Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach (3220 1/94) (b) "Elective City Officer" means any person who is Mayor, a member of the Cit/hen City Clerk, City Treasurer or City Attorney of the City of Huntington Beach, wheted or elected (3220 1194) (c) "Non-elected City Official" means any person who is a member of a City ofjHuntmgton Beach board, committee, or commission, and who is not elected to that position (3220 1/94) (d) Person means an individual, proprietorship, firm, partnership,joint venture, syndicate, business trust, company, corporation, association, committee, and another organization or group of persons acting in concert (3220 1/94) 2 07 050 Campaign contribution limitations (3220 1/94 3452 3/00 3599 Z03) (a)-No person shall make to any City candidate or the controlled'committee of any such City candidate, and no such candidate or committee shall accept from any such person, a contribution or contributions totaling more than (3220 1/94) 0- —Tthree hundred dollars ($300 00) in a City Council, City Clerk, City Treasurer, or City Attorney election cycle, or (3220 1/94) _,/-, -- 1 Y , ( �oon- mo +i^e) NO ACT�ON ^n --^^ 2M3) 7 Candidate's Contributions f Personal Funds EXEMPT Same as State§8533J 001(d) 0 AA rff m ( f6liewing shall apply .(3220 V94) EN treated as one per-san when my of the f6liewtag o=s -R220 U94) �-Tnc-2'3?c= -c1v2- `uric`y'--i�riirczirve�s-Or-tncii-vvicraJ-oz-c�iicc-core-r,��� (2) The entftfe. shaa.,e tidbz6-(z or-mere of EGr-s--,p (3) The ent4zes are evaied er-eeiAr-elled by the same majenty shai-7eheldef ef Shfffehelder-s „troll„ g,,.,tefest (fib, (500%)p , + , o \ sha l b e treate , o v room 1�94) , cacazti-ccs-oi...� �.,.Ji.i:�:, �-a-v--n�7 Legislative Draft Chap 2 07 with Text Box from Matrix 2 suppefts of opposes the same City eandidate Ne sueh eeiiimtt4ee shall aet fn o.n— �'�'�tom-1 94) I U/U CTION Child Contributions Same as State§85308(b) i § 85311 A22re2ation of Contributions Entity means any person other than an individual TAKEN Majority owned means an ownership of more than 50% Two or more entities making contributions directed&controlled by a major ty of the same persons must be aggregated§85311(c) Contributions made by entities majority owned(more than 50%)by an person shall be aggregated w/ contributions of majority owner and all other entities majority ownedjby that person unless those entities act independently in their decisions to make contributions§85311(d) Contributions of entity directed/controlled by anyone shall be aggregated w/contributions made by that individual and any other entity whose contributions are dire ed/controlled by same individual§85311(b) 2 07 070 Election cycle (a) City Council, City Clerk, City Treasurer, and City Attorney Elections For purposes of the limits of this Chapter, as applied to elections for City Council, City Clerk, City Treasurer, and City Attorney,the final date for contributions shall be December 31 of the year in which the election for the open position was held Contributions made after the final date shall be deemed contributions for the next election cycle (3220 1/94) (b) Examples of the Election Cycle January 1, 1987, to December 31, 1990,was the "Election Cycle" for the 1990 election Pursuant to Section 2 07 070 Election Cycle,the four(4)year period for purposes of applying' the interpretation of the Campaign Ordinance Election Cycle 2 07 070(a) shall be as follows (3220 1/94) Example 1 (3220 1/94) 1992 Election Cycle -,!Three Council Seats and City Clerk and City Treasurer January 1, 1989 -December 31, 1992 (1) The "last electron" was November 1988 (2) December 31/1988,was the last or final date for receipt of campaign contributions for the 1988 election (3) January 1,/1989,began the election cycle for the 1992 election (4) December 31, 1992, ended the election cycle for the 1992 election Example 2 (3220 1/94) Y 1994 Election Cycle -Four(4) Council Seats and City Attorney January 1, 1991 -December 31, 1994 (1) The "last election" was November 1990 (2) December 31, 1990, was the last or final date for receipt of campaign contributions for Ahe 1990 election Legislative Draft Chap 2 07 with Text Box from Matrix 3 (3) January 1, 1991, began the election cycle for the 1994 election (4) December 31, 1994, ends the election cycle for the 1994 election Example 3 (3220 1/94) 1996 Election Cycle - Three (3) Council Seats and City Clerk and City Treasurer January 1, 1993 -December 31, 1996 (1) The "last election" was November 1992 (2) December 31, 1992, was the last or final date for receipt of campaign contributions for the 1992 election (3) January 1, 1993,began the election cycle for the 1996 election (4) December 31, 1996, ends the election cycle for the 1996 elect on (c) Recalls For purposes of the limits of this Chapter, campaign ontributions made at any time after a committee has been formed, pursuant to the provisions of the Political Reform Act, in support of a recall election or after the City Clerk has approved a recall petition for circulation and gathering of signatures, whichever occur first, shall be considered contributions during a recall election cycle A recall election cycle shall end whenever any of the following occur (3220 1/94) (1) The recall proponents fail to return signed pets ions to the City Clerk within the time limits set forth in the California Elections Cede (3220 1/94) (2) All committees formed in support of the recall have been terminated pursuant to the provisions of the Political Reform Act (3220 1/94) ICA (3) Ten(10) days after a recall election has been held (3220 1/94) D This sec on shall b interpreted to a w the maxim amount w Bch can be co tributeor any perso to any can date or anyone o�has been a ndidate, d ng a four(4 ear peAd,to be th aximum ount specified i Section 2 07 0 (3zzo vsa 2 07 080 Prohibition on multiple campaign committees A City candidate or an elective City 0 officer shall have no more than®ne campaign committee which shall have only one bank account emo out of which all qualified campaign and office holder expenses related to that City office shall bei=zm JU made This section does nodprevent a City candidate or an elective City officer from establishing another campaign committee solely for the purpose of running for a state, federal, local, or other City office/This section also does not prevent an elective City officer from establishing another campaign committee solely for the purpose of opposing his or her own recall (3220 1/94) C) 2 07 090 Prohibition on transfers (a) No funds may/be transferred into any city candidate or elective city officer's campaign committee from any other campaign committee controlled by a candidate (including said City candidatef or by an elective City officer(including said elective City officer) (3220 1/94) (b) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office, nor to any committee supporting or opposing a recall of an elective City officer This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office #'(3220 1/94) t The provision of this section shall not apply to the candidate or elected officer who forms a new committee for purposes of reelection to the same office and, to close out the prior committee, Legislative Draft Chap 2 07 with Text Box from Matrix 4 transfers the money or debt from the prior committee to the new committee and, in so do ng, complies with all regulations of the political Reform Act of 1974, and as amended (322 1/94) 2 07 100 Loans to cl candidates and elective cityofficers and their controlled co rttee (a) A loan shall be considered a contribution from the maker and the guarantor f the loan and shall be subject to the contribution limitations of this Chapter (3220 1/94) (b) Every loan to a City candidate or elective City officer or their controlle committees shall be by written agreement which shall be filed with the candidate's or committee's Campaign Statement on which the loan is first reported (3220 1/94) (c) The proceeds of a loan made to a City candidate or elective City officer by a commercial lending institution in the regular course of business on the same arms available to members of the public shall not be subject to the contribution hmitat>ons/of this Chapter if the loan is made directly to the City Candidate or elective City officer orAis or her controlled committee The guarantors of such a loan shall remain sub ect to the contribution limits of this Chapter (3220 1/94) (d) Extensions of credit (other than loans pursuant to Section 2 07 100(c) for a period of more than thirty(30) days are subject to the contribution 1 irtations of this Chapter (3220 1/94) (e) This section shall apply only to loans and extensio s of credit used or intended for use for campaign purposes or which are otherwise connected with the holding of public office (3220 1/94) (f) The monetary limitations or provisions of this section shall not apply to a candidate's loan of his or her personal funds to his or her own campaign committee (3220 1/94) (g) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a/6ty candidate for elective City office, nor to any committee supporting or opposmgA recall of an elective City officer This section shall not prohibit a City candidate from m4�kmg a contribution from his or her own personal funds to his or her own candidacy or to tWe candidacy of any other candidate for elective City office (3220 1/94) TAKEIV NO A C wrIO4 P Legislative Draft Chap 2 07 with Text Box from Matrix 5 02015(a)"Contribution"means a payment a forgiveness of a loan a payment of a 1 an by a third party or an enforceable promise to make a payment except to the extent that full and adequate co stderatton is received unless it is clear from the surrounding circumstances that it is not made for politica urposes a payment is made for purposes related to a candidate s candidacy for elective office if all or a ortion of the payment is used for election related activities §82015(b)(2)(C) $82015(c) (d)the term contribution includes purchase of tickets for events such as dinners luncheons rallies & similar fundraising events the candidate s own money or property use 6n behalf of his/her candidacy other than personal funds used to pay a filing fee the granting of discounts or rebates not extended to the public generally or the granting of discounts or rebates by television and radix/stations and newpapers not extended on an equal basis to all candidates for the same office the payment of compensation by any person for the personal services or expenses of any other person if the services are rendered or expenses incurred on behalf of a candidate or committee without payment of full and adequate consideration any transfer of value received by a committee from another committee unless full and adequate onsideration is received 82& 015(2) contribution does not include volunteer personal services or payments made by an individual for his or her own travel expenses if the payments are made voluntarily without any understanding or agreement that,,, they shall be directly or indirectly repaid to him or herNU AL ' /f See also FPPC Regulation 18215 defining Contribution TA K E N- pefsens who have eity busilless deahngsNo lien„r r all r ' I (3220 1/94) $84308(b) Contribution to Officers, Disqualifications No officer of an agency shall accept solicit or direct a contribution of more than$250 from any party or any participant while a proceeding involving a license permit or other entitlement for use is pending before the agency and for three months following the date a final decision is rende/ed in the proceeding if the officer knows or has reason to know that the participant has a financial interest 84§ 308(c) Prior to rend/ ing any decision in an a proceeding involving a license permit or other entitlement for use pending before an agency each officer of the agency who received a contribution wrthmg the preceding 12 months in an amount of more than$250 from a party or from any participant shall disclose that fact on the record of the proceeding No officer of an agency shall make participate in making or in any way attempt to use his or her official position to influence the decision in a proceeding involving a license permit or other entitlement for use/pending before the agency if the officer has willfully or knowingly received a contribution in an amount of more than$250 within the preceding 12 months from a party or from any participant if the officer knows rlhas reason to know that the participant has a financial interest in the decision r f rE 1 r 6 Legislative Draft Chap 2 07 with Text Box from Matrix 2 07 130 Transmittal of campaign contributions in city office buildings (a) No person shall receive or personally deliver or attempt to deliver a contribution in ny office which the City owns or for which the City pays the majority of the rent where t business ®f the city is conducted (3220 1/94) (b) For purposes of this section (3220 1/94)' (1) Personally deliver' means delivery of a contribution in person or causing a contribution to be delivered in person by an agent or intermediary, other than the United States mail (3220 1/94) P (2) "Receive" includes the pfeeept receipt of a campaign contribution delivered in person (3220 1/94) 2 07 140 Disclosure of occupation and employer No campaign contribution shall be deposited into a campaign bank account of a City candidate or elective City officer unless the disclosure information required by the Political Reform Act, including the name, address, occupation and employer of the contributor or, if self employed, name of business, is on file in the records of the recipient of the contribution This information is to be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1194) 2 07 150 Reporting of cumulative contributions A cumulative contribution for each contributor shall be based on an election cycle and shall be reported on each Campaign Statement required to be filed by the Political Reform Act (3220 1/94) 2 07 160 Reporting of late contributions Notwithstanding the limit contained in California Government Code Section 320 late independent expenditures or contributions in excess of two-hundred dollars ($200 00) shall be reporte&to the City Clerk with n,twen�°-f ur(24)h u> of the contribution or expenditure (3220 1/94) I ON 2 07 170 Cr-iminal fmsdemeanef ae4efts TAKEN r A"pefsen who willfully eatis Q. er.--/uselffettls any ethef pefsen to violate any provision of this Chaptef, of who aids and abets -er-sen tn the vtela4ien of any pfevfsten of this Chapief,-shall be liable undertl} f ef this seEtten—,��4; 01000 Criminal Misdemeanor/Actions Knowing or wilfull violation is a misdemeanor plus a fine of upo to the greater of$10 000 or 3X the amount failed to report properly or unlawfully contributed for each conviction Prosecution must begin w/n 4 years after violation date AtG1:h,,eon aetef for-a period of f6uf(4)years fellewfng the date of the pfevfsten shall netthe appheable A plea ef nAe eea4endefe shall be deemed a eeiwtetten fe 01002 Prohibition from being Candidate or holdma elective office after criminal conviction If convicted of misdemeanor prohibited from being Candidate holding elective office or acting as lobbyist for 4 years after date of conviction Plea of nolo contendere is a conviction Violation of this provision is a felony t Legislative Draft Chap 2 07 with Text Box from Matrix 7 7 07 190 Qvil ,,etiers expended, gave of feeetved, > moon +ioe� 01005 5 Civil Actions If no specific civil penalty is provided for a violation liable for p to$5000 per violation for a civil action brought by DA or elected civil attorney under§91001 or§91 t01 5 EXCEPT if the FPPC has issued an order for the same violation(see §83116) 01004 Intentional or negligent violation of the reporting requirements liable ln,a civil action for the amount not more than the amount or value not properly reported jf f Who is Renonsible for Enforcing Civil ActionO The following are Civil�Prosecutors responsible for enforcement (1)FPPC w/r/t the state or any state agency except the commission itself(2)Attorney General w/r/t to the FPPC(3)District Attorneys w/r/t any other agency fiCivil Prosecutors may bring any civil action which could be brought by a voter/resident or if the DA authorizes then FPPC may bring any such civil action§91001(b) / The elected City Attorney of any charter city may act as the civil or criminal prosecutor for violations occurring w/n the city in any case where the DA could prosecuW§91001 5 91001(c)NeOi2ence or inadvertence also considered a violation9 YES for both criminal and civil actions and the presence or absence of good faith also co siaered (b) if twe (2) of mer-e pefsens afe fespensible fe�Am,viela fen,they shall be j ett4ly and sever-all +abe J � $91006 Joint and Sever Liability Two r more persons responsible will be jointly&severally liable r ea-use of aetion exists The City subdwisten, shall first file vath fl— Q- -Avfftt4en fe"est faf the City Attemey > request, detefmines in geed fai4h that addi eeal ttine is needed to examine the mattef fiffthef,4he eamplatning pai4y shall be notified and the G."Atteffiey shall atAefiiatieally feeeive an f F A+t.,,. ey fn dtsffi ssed . ith lilt 4 i tee(32 n 01007(a)Procedure for Civil Actions Any person before filing a civil action must first file with the civil prosecutor a written request for the civil prosecutor to commence the action The request shall include a statement of the grounds1for believing a cause of action exists The civil prosecutor shall respond to the person in writing indicating Lther he or she intends to file a civil action r 01007(a)(1) If the civil prosecutor responds in the affirmative and files suit w/n 120 days from receipt of the written request to commence the action no other action may be brought unless the action is brought by the civil prosecutor is1dismissed without prejudice as provided in §91008 �91007(a)(2) If the civil prosecutor responds in the negative w/n 120 days from receipt of the written request to commence the action the person requesting the action may proceed to file a civil action upon receipt of the response from,Ithe civil prosecutor If the civil prosecutor does not respond w/n 120 days the civil prosecutor shall be deemed to have provided a negative written response to the person requesting the action on the 12V'day land the person shall be deemed to have received the response Legis 0 0 Same as State§91009 /7 190 SI-M.- - --A " " 1 Cha Same as State§91003(a), procedural requirements see §91007(b) 4494) E32-20 3 491012 Award of Attorney's Fees/Cost of Litigation to Prevaihn2 Plaintiff or Defendant YES EXCEPT NOT to agency Private Plaintiff required to post bond to guarantee payment of costs 2 07 210 Statt4e of lifnitatfans Civil aetteiis an&/ef enminal pfeseetAtens fef vtela4fens ef any pfavisten ef thfs Ghapteiz shall be eeffi—m—e-fie-7-1 -94hin fi3iif(4)yeafs aftef the date en which the Same as State 491000(c),§91011(b),&%013 5(b) Four years for Criminal and Civil C)2 07 220 Applicability of other laws INothmg in this Chapter shall exempt any person from applicable provisions of any other laws of this state or jurisdiction (32201/94) 2 07 230 Severabill If any provisions of this Chapter, or the application of any such provision to any person or circumstances, shall be held invalid,the remainder of this Chapter to the extent it can be given effect, or the application of such provision to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby, and to this extent the provisions of this Chapter are severable/(3220 1/94) 2 07 240 Interpretation of This Chapter should be liberally construed to accomplish its purposes (32201/94) 2 07 250 Amendtnefi4sLdttte'R-' No comparable State provision,but State does provide for Adjustment of Contributions Every two years in January of every odd numbered year to reflect any increase or decrease in the CPI§85316(4) Legislative Draft Chap 2 07 with Text Box from Matrix 9 2 07 260 Effective date The provision of this Chapter shall become effective upon adoption, pursuant to Huntington Beach City Charter Section 500(e)(1) (3220 1/94) i ACrj, Legislative Draft Chap 2 07 with Text Box from Matrix 10 LA V� CITY OF HUNTINGTON BEACH Interdepartmental Communication TO JOAN FLYNN, City Clerk FROM JENNIFER MCGRATH, City Attorney DATE 6/11/08 SUBJECT Ordinance amending Chapter 2 07 (Campaign Contribution) We have made a revision to Section 4 of Ordinance No 3808 to state that the ordinance is to become effective immediately upon its adoption consistent with City Charter Section 501 This revision does not change the substance of Ordinance No 3-908 and therefore does not trigger a first reading JENNIFER MCGRATH, City Attorney /K 23536 / f--F- Page 1 of 1 Esparza, Patty From Flynn Joan Sent Monday June 16 2008 1 51 PM To Norm Westwell Cc Esparza Patty Subject RE Late Communication G-1A Suport Your correspondence will be entered into the official record as part of the council communication for this item Joan L Flynn CIVIC Huntington Beach City Clerk From Norm Westwell [mailto normw@truwest com] Sent Monday, June 16, 2008 2 50 PM To Flynn, Joan Subject Late Communication G IA Suport Thank you for your support of item G-1A Campaign Finance Reform I urge you to adopt G-1A this evening and put this issue to bed Thank you again Norm Westwell ---------------- ---------------- Norm Westwell VP - truWest, Inc normw@truwest com www truwest com 800 322 3669 6/16/2008