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HomeMy WebLinkAboutAgenda - Full - Ethics Review Board - 07/07/2025 -Agenda Ethics Review Board July 7, 2025, 3:30 pm to 5:00 pm CIC Conference Room, City Hall, 300 Laporte Ave and via Microsoft Teams Join the meeting now Meeting ID: 298 749 105 116 Passcode: fV9nu9gi Remote Participation Available Upon request, the City of Fort Collins will provide language access services for individuals who have limited English proficiency, or auxiliary aids and services for individuals with disabilities, to access City services, programs and activities. Contact 970.221.6515 (V/TDD: Dial 711 for Relay Colorado) for assistance. Please provide advance notice. Requests for interpretation at a meeting should be made by noon the day before. 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A.Call to Order B.Roll Call C.Approval of June 2, 2025, Minutes D.Possible Board Recommendation regarding Gift Restrictions Code Amendments E.Possible Board Recommendation regarding Gift Reporting Code Amendments F.Possible Board Recommendation regarding Financial Disclosure Code Amendments G.Cancel or Continue August 4, 2025, Meeting H.Other Business I.Adjournment 001 May 5, 2025, 3:30 pm ETHICS REVIEW BOARD MEETING MINUTES COMMITTEE MEMBERS PRESENT: Mayor Jeni Arndt, Councilmember Julie Pignataro, Councilmember Tricia Canonico STAFF PRESENT: Sarah Kane, Briana McCarten, Carrie Daggett OTHER PRESENT: Halee Wahl Call Meeting to Order Roll Call Approval of May 5, 2025, Minutes Councilmember Pignataro moved, seconded by Mayor Arndt, to approve the May 5, 2025, minutes. The motion passed unanimously. Gift Reporting City Attorney Carrie Daggett stated to the Ethics Review Board (ERB) that the purpose of the meeting is to review the City’s requirements around the acceptance of gifts, gift disclosures, and financial disclosures and to recommend changes. Daggett presented an overview of exceptions to gift restrictions that the ERB considered at its last meeting. Daggett provided an overview of Colorado law gift disclosure requirements. Pignataro expressed a desire to continue quarterly gift reporting. Pignataro expressed a desire to have the City’s gift reporting requirement mirror the gifts that are acceptable under the Code amendments. Items provided to councilmembers, such as memberships to a City facility and parking passes, are a benefit to Councilmembers and not gifts. The ERB all expressed their desire to revise the City’s code provision to set a gift acceptance threshold of $75 and mirror the State’s gift acceptance statute. The ERB discussed that items valued over $75 shouldn’t be accepted and that items under $75 in value do not need to be reported. Other gifts, as permitted by the proposed gift acceptance code amendments and over the $75 threshold, should be reported. Daggett suggested a councilmember does not need to report a charitable event ticket valued over $75 that is given to the City for the purpose of requesting representation by a councilmember at the event; the ERB agreed to such a provision. The ERB suggested to exclude the following from reporting requirements: • Scholarships and financial aid for educational purposes; 002 • Tickets given to the City and distributed to councilmembers; • Prizes given at competitions or drawings open to the public; • Reasonable cost for conferences paid by for by the City, a City-owned entity, an organization to which the City belongs, or a governmental entity; • Compensation for speaking engagements paid to the City; • City-sponsored educational events; • Perishable or consumable gifts given to the City or a City group; • Gifts accepted in a person’s official capacity that will become property of the City; • Discounts that are available to all employees or the public generally; and • Exceptions approved by the ERB. The ERB suggests that the following should be reported: • Unsolicited items of value over $75; • Ticket or admission valued over $75 to a charity event attended on behalf of the City through an individual invitation; • Reasonable cost for conferences not paid by the City or a City-owned entity; and • Reasonable cost of meals and tickets above $75 if it does not affect a direct official action. Financial Disclosures Daggett presented an overview of the State’s and other municipalities’ categories of disclosure requirements. The ERB did not find value in reporting property owned outside of the growth management area and direct or indirect investment or interest, including stock investment, in a business located outside of the growth management area. The ERB believes the following should be reported: • Direct or indirect investment or interest, including stock investment, in a business located within the growth management area with a value over $15,000 (there is a desire for this amount to automatically adjust for inflation to a rounded number); and • Anything that could possibly impact a councilmember’s decision-making. • The name of all offices and directorships held in a councilmember’s personal capacity The ERB discussed the requirement to report the name of each of a councilmember’s creditors. There is a desire to adjust the dollar threshold for the amount of credit owed for inflation according to the Consumer Price Index and to a rounded number. Daggett stated that the attorney’s office will review and propose new timing for when the adjustment should occur and will explain their proposal at the next ERB meeting. The ERB suggested that disclosures should only apply to the reporting person and their 003 spouses because the charter definition of conflict of interest only applies to the councilmember and their spouses. Disclosures should not apply to all other members of a reporting person’s household. The ERB wishes to continue to report any business in which the reporting person or their spouse is associated with that is regulated by the City. Draft Gift Restrictions Code Amendment The ERB did not discuss draft gift restriction code amendments because time did not permit. Other Business The ERB did not discuss any other business. Next Meeting The next ERB meeting is scheduled for Monday, July 7, 2025. Adjournment The meeting adjourned by unanimous consent at 4:52 p.m. Minutes approved by the Chair and a vote of the Board on July 7, 2025. 004 Headline Copy Goes Here Jenny Lopez Filkins Carrie Daggett City Attorney’s Office Gift Restrictions, Gift Reporting and Financial Disclosure Code Amendments and Recommendations to City Council 07-07-25 005 Headline Copy Goes Here 2 Council Priority to Review and Update Ethics Code • At its January 21, 2025, meeting, City Council asked the Ethics Review Board to review the City’s requirements around the acceptance of gifts, gift disclosures, and financial disclosures and consider recommended changes. • ERB has met three times and considered various amendments to the ethics and related code provisions, including:•Gifts restrictions•Gift reporting•Financial disclosures. 006 Headline Copy Goes Here 3 Topics for Discussion A.Gifts restrictions amendments B.Gift reporting amendments C.Financial disclosure amendments D.Consider motions recommending amendments to the City Council 007 Headline Copy Goes Here 4 A. Gift Restrictions Amendments A. Gift restrictions •Draft presented for this meeting is very similar to the version considered during June 2 meeting •A few amendments based on June 2 meeting feedback:⎻Subsection (e) intro paragraph reworded⎻Compensation exception now also includes taxable employee benefits ⎻Added entities affiliated with the City to a few exceptions⎻Added organizations to which the City Council has appointed the Councilmember to a few exceptions 008 Headline Copy Goes Here 5 A. Gift Restrictions Amendments A. Gift Restrictions •Does the ERB have any additional input about the draft gift restrictions? •Any outstanding questions about the draft? 009 Headline Copy Goes Here 6 B. Gift Reporting Amendments B. Gift Reporting Draft amendments reflect feedback received during the June 2 meeting, which include: •Require report of unsolicited gifts valued at more than $10 (and presumably less than amount set by state law (currently $75)) •Require report of costs to attend charity events if the event admission was given by individual invitation to the official and the value is greater than $75 •Require report of costs of conferences, seminars events or meetings •Require report of costs of City-sponsored educational events if valued at more than $75 010 Headline Copy Goes Here 7 B. Gift Reporting Amendments B. Gift Reporting Draft amendments reflect feedback received during the June 2 meeting, which include: •For each of the reporting obligations, clarify that gifts and benefits given or paid by City, an entity affiliated with or formed by the City or an organization to which the City Council appointed the official, the reporting obligations do not apply •Clarify that there is no duty to file a gift report if the official has not received a gift that is required to be reported in the past quarter 011 Headline Copy Goes Here 8 B. Gift Reporting Amendments B.Gift Reporting •Does the ERB have any additional input about the draft gift reporting amendments? •Any outstanding questions about the draft? 012 Headline Copy Goes Here 9 C. Financial Disclosure Amendments C. Financial Disclosures Draft amendments reflect feedback received during the June 2 meeting, which include: •Limit the requirement to disclose real estate owned to property within the City’s growth management area (GMA) •Limit the requirement to disclose direct or indirect investment or interest in any business to businesses located or doing business within the GMA •Limit the list of businesses that do business with or are regulated by the City to businesses that are located or doing business within the GMA 013 Headline Copy Goes Here 10 C. Financial Disclosure Amendments C. Financial Disclosures Draft amendments reflect feedback received during the June 2 meeting, which include: • Increase the threshold amount for reporting debts and interests and investments from $10K to $15K •Adjust the threshold amount based on % changes in applicable consumer price index 014 Headline Copy Goes Here 11 C. Financial Disclosure Amendments C. Financial Disclosures Draft amendments also include staff changes: • Reorganize Sec. 2-636 for ease of reading •Clarifying the Clerk’s role in providing notice of the obligation to file a disclosure 015 Headline Copy Goes Here 12 C. Financial Disclosure Amendments C. Financial Disclosures •Does the ERB have any additional input about the draft gift reporting amendments? •Any outstanding questions about the draft? 016 Headline Copy Goes Here 13 D. Draft Motions A.Draft motion: “I move to recommend adoption of the draft gift restriction amendments considered at this meeting to the City Council.” B.Draft motion: “I move to recommend adoption of the draft gift reporting amendments considered at this meeting to City Council. C.Draft motion: “I move to recommend adoption of draft financial disclosure amendments considered at this meeting to City Council.” 017 Headline Copy Goes Here 018 City Council ERB Agenda Item Summary – City of Fort Collins Page 1 of 2 Agenda Item 1 July 7, 2025 AGENDA ITEM SUMMARY City Council – Ethics Review Board Carrie Daggett, City Attorney , Senior Deputy City Attorney SUBJECT and consider whether to recommend proposed changes to the City’s gift restrictions to City Council. EXECUTIVE SUMMARY review draft Code amendments to the City’s gift restrictions . STAFF RECOMMENDATION Not applicable. BACKGROUND / DISCUSSION Under “other business” at its January 21, 2025, City Council meeting, several members of the City Council asked the Ethics Review Board (ERB) to review the City’s requirements related to the acceptance of gifts, gift disclosures, and financial disclosures and consider recommended changes. At its April 7, 2025, meeting, the ERB decided to review the rules related to acceptance of gifts and determine whether to make any recommended changes. At its May 5, 2025, meeting, the ERB reviewed various gift restriction requirements, including those of the City of Colorado Springs, and provided feedback about changes they are interested in considering. City staff prepared a preliminary draft of the gift restrictions changes and, at is June 2, 2025, meeting, the ERB discussed these requirements in its review of the gift reporting requirements. A few minor amendments to the draft gift reporting requirements were identified. There was support for amending the gift reporting exception for compensation to clarify that taxable employee benefits are included in the exception. Another exception to the gift reporting requirement allows covered officials and employees to accept reasonable costs to attend conferences, seminars, events or meetings if the cost is paid by a governmental entity. The ERB expressed support for broadening this exception to include costs paid by an organization to which the City Council has appointed the Councilmember or an entity affiliated with or formed by the City. A copy of §2-576 with draft amendments is provided and marked as Exhibit A, attached for reference. The redline markings reflect draft changes made based on input provided at the June 2, 2025, meeting. If the ERB supports moving forward with the proposed gift restriction code changes, staff requests a motion to that effect. 019 City Council ERB Agenda Item Summary – City of Fort Collins Page 2 of 2 CITY FINANCIAL IMPACTS Not applicable. BOARD / COMMISSION / COMMITTEE RECOMMENDATION Not applicable. PUBLIC OUTREACH Not applicable. ATTACHMENTS A. Draft proposed changes to City Code §2-576 020 DRAFT—FOR DISCUSSION PURPOSES ONLY AND SUBJECT TO CHANGE Sec. 2-576. Ethical rules of conduct—Officers and employees. ***** (b) Hospitality and Gifts: No covered person or immediate family member shall solicit, accept, or give any gift related to the covered person’s duties and responsibilities on behalf of the City. All officers and employees shall refrain from accepting payment for any speeches, debates or other public events and shall further refrain from accepting any gift or favor which, in the judgment of a reasonably prudent person, would tend to impair the officer's or employee's independence of judgment in the performance of his or her official duties. The following shall not constitute prohibited gifts or favors under this Section: (1) Campaign contributions reported as required by Chapter 7, Article V of this Code; (2) A nonpecuniary award publicly presented by a nonprofit organization in recognition of public service; (3) Payment of or reimbursement for actual and necessary expenditures for travel and subsistence for attendance at a convention or other meeting at which an officer or employee is scheduled to participate; (4) Reimbursement for or acceptance of an opportunity to participate in a social function or meeting which is offered to an officer or employee which is not extraordinary when viewed in light of the position held by such officer or employee; (5) Items of perishable or nonpermanent value that are insignificant in value, including, but not limited to, meals, lodging, travel expenses or tickets to sporting, recreational, educational or cultural events; and (6) Payment of salary from employment, including other employment in addition to that earned from being an officer or employee. (c) All officers and employees shall refrain from soliciting or accepting any gifts from a donor who has a matter pending before City Council. (d) All officers and employees shall refrain from accepting payment for any speeches, debates or other public events. and shall further refrain from accepting any gift or favor which, in the judgment of a reasonably prudent person, would tend to impair the officer's or employee's independence of judgment in the performance of his or her official duties. The following shall not constitute prohibited gifts or favors under this Section: (e) Exceptions: Providing that the gift could not be reasonably considered a bribe or a means of improper influence on a direct official action, the following are not prohibited under this sectionno violation of these ethics rules shall be found to apply to the following: (1) Campaign contributions as defined by law and reported as required by Chapter 7, Article V of this Code; 021 DRAFT—FOR DISCUSSION PURPOSES ONLY AND SUBJECT TO CHANGE (2) An unsolicited item or items of value less than the dollar amount established and adjusted in Colorado Constitution, aArticle XXIX, sSection 3, per vendor or third party per year. As of January 1, 2025, that amount is seventy-five ($75). (a) The cost of the gift is the retail value of the item unless the receiver has knowledge that the giver paid more than the retail value, in which case the cost is the amount actually paid. (b) For a charity event, the cost of the event is the amount the event organizer reports to the Internal Revenue Service as the non-deductible portion of the event. (c) It is not permissible to pay part of the cost of a gift that is offered with a value exceeding the amount set forth in subsection (e)(2) of this section to reduce the value to less than the amount set forth in subsection (e)(w) of this section and then accept the gift. (d) Immediate family members of covered persons, except those of elected officials, may only accept a free or discounted event ticket if they attend the event with a covered person. Event tickets for elected officials are covered under subsection (e)(16) of this section. (3) An unsolicited, nonpecuniary token or award of appreciation that is reasonable in value and purpose, such as plaques and professional awards, publicly presented by a nonprofit organization in recognition of public service; (4) A component of compensation paid or other recognition given in the normal course of employment, appointment, volunteer services, or business, including taxable employee benefits. (5) Any scholarship or grant or other financial aid for education given to any covered person or immediate family member for any reason. (6) Any charity event attended on behalf of the City or any of its affiliated organizations. (7) Any gift solicitation for a charitable purpose as determined to be appropriate by the City or its affiliated organization entities. (8) Any gift, whether solicited or not, given to and accepted on behalf of the City to benefit a public safety or community purpose. (9) Awards or prizes given at competitions or drawings at events where no admission is charged and open to the public. (10) For elected officials, City Attorney and City Manager, reasonable cost (e.g., fees, meals, lodging, and/or transportation) and frequency of conferences, seminars, events, or meetings, so long as the conference, event, or meeting is attended on behalf of the City and is documented, and: (a) The officer is scheduled to deliver a speech, participate in a presentation, participate on a panel, or receive an award, or the officer is wearing their City of Fort Collins name tag identifying them as a Councilmember; and 022 DRAFT—FOR DISCUSSION PURPOSES ONLY AND SUBJECT TO CHANGE (b) The cost of the conference, seminar, event, or meeting is paid pursuant to a vendor agreement or contract; or (c) The cost of the conference, seminar, event, or meeting is paid by a governmental entity or an IRC 501(c)(3) organization to which the City Council has appointed the Councilmember, or an entity affiliated with or formed by the City; or (d) The officer has been asked by the City Manager’s Office to attend the event on behalf of the City. (11) Reasonable cost and frequency of City sponsored educational events, so long as the events are reported on the disclosures required under City Code section 2-656. (12) For employees, reasonable cost (e.g., fees, meals, ticket to event, lodging and transportation) and frequency of conferences, seminars events or meetings attended on behalf of the City and documented and: (a) , provided the employee is scheduled to deliver a speech, participate in a presentation, participate on a panel or receive an award; and: (ab) the cost of the conference, seminar, event or meeting is paid by a governmental entity or an IRC 501(c)(3) organization or an entity affiliated with or formed by the City; or (bc) the officer employee has been asked by the City managementManager’s Office to attend the event on behalf of the City. (13) Reasonable cost and frequency of business meals for covered persons, so long as the meals are documented. (14) Perishable or consumable gifts given to a City department or group. (15) Gifts accepted in a covered person’s official capacity that will become property of the City. (16) For elected officials and their immediate family members, reasonable cost and frequency of meals and event tickets pertaining to their official duties as Mayor or members of City Council so long as the gift is documented and is not intended, and does not affect, a direct official action. (17) A non-pecuniary award of reasonable value and frequency publicly presented by an IRC 501(c)(3) organization entity affiliated with or formed by the City or to which the City Council has appointed the Councilmember or employee and in recognition of their service as a City official or City employee public service. (18) Discounts that are similarly available to all employees of the City, or discounts that are offered to the public generally or to a large segment of the public (i.e., all uniformed personnel, all government employees, or all first responders). (19) Any other exceptions as may be approved in an advisory opinion of the Ethics Review Board. 023 DRAFT—FOR DISCUSSION PURPOSES ONLY AND SUBJECT TO CHANGE (20) Reasonable cost of travel on behalf of the City (e.g., fees, meals, lodging, and/or transportation) to another City, whether in Colorado or out-of-state, to observe programs, projects or operations in that City and/or of its City Council. (f) Inappropriate Hospitality And Gifts: Inappropriate hospitality or gifts involves offering or receiving accommodations, tours, event tickets, recreation, entertainment, meals or other similar personal benefits when a substantial interest exists that could influence or be perceived to influence objectivity when interacting with, representing, or conducting business for or on behalf of the City. ***** 024 City Council ERB Agenda Item Summary – City of Fort Collins Page 1 of 2 Agenda Item 2 July 7, 2025 AGENDA ITEM SUMMARY City Council – Ethics Review Board Carrie Daggett, City Attorney , Senior Deputy City Attorney SUBJECT proposed changes to City Code sections 2-656. EXECUTIVE SUMMARY review draft amendments to the City’s gift reporting requirements and . STAFF RECOMMENDATION Not applicable. BACKGROUND / DISCUSSION Under “other business” at its January 21, 2025, City Council meeting, several members of the City Council asked the Ethics Review Board (ERB) to review the City’s requirements related to gift disclosures and consider recommended changes. At its April 7, 2025, meeting, the ERB decided to review the rules related to acceptance of gifts and determine whether to make any recommended changes. At its May 5, 2025, meeting, the ERB decided to review the rules related to gift reporting and determine whether to make any recommended changes at its June 2, 2025, meeting. At its June 2, 2025, meeting, the ERB reviewed gift reporting requirements of other Colorado municipalities and Colorado’s statutory requirements. The ERB expressed support for: • Adding clarity to the current Code language about what must be reported; • Requiring disclosure of unsolicited gifts valued at more than $10 and less than the dollar amount established in Colorado Constitution, Article XXIX, Section 3; • Requiring disclosure of costs to attend charity events if the event admission was given by individual invitation to the Councilmember and the value of the admission is greater than seventy-five dollars; • Requiring disclosure of costs of conferences, seminars, events or meetings; • Requiring disclosure of costs of City-sponsored educational events if the value is above $75; • Clarifying that, if a Councilmember has not received a gift or benefit that is required to be reported in the previous quarter, the Councilmember is not required to file a report; • Clarify that gifts and benefits given or paid by the City, an entity affiliated with or formed by the City or organization to which the City Council appointed the Councilmembers, the reporting obligations do not apply. 025 City Council ERB Agenda Item Summary – City of Fort Collins Page 2 of 2 A copy of §2-656, the City Code section that addresses gift reporting requirements, is marked as Exhibit A, attached for reference. If the ERB supports moving forward with these proposed code changes, staff requests a motion to that effect. CITY FINANCIAL IMPACTS Not applicable. BOARD / COMMISSION / COMMITTEE RECOMMENDATION Not applicable. PUBLIC OUTREACH Not applicable. ATTACHMENTS A. Draft proposed changes to City Code §2-656 026 DRAFT—FOR DISCUSSION PURPOSES ONLY AND SUBJECT TO CHANGE Page 1 of 1 Sec. 2-656. Report required. (a) Every Councilmember who receives from any other person any gifts, honoraria or other benefits in connection with the Councilmember's public service shall file, on or before January 15, April 15, July 15 and October 15 of each year, a report covering the period since the last report about receipt of gifts, honoraria and other benefits. (b) Gifts and benefits that meet the criteria below and that were given or paid by the City, an entity affiliated with or formed by the City or an organization to which the City Council has appointed the Councilmember are excluded from these reporting requirements. (c) Reports of the following gifts and benefits must be provided: (1) Any unsolicited item or items accepted pursuant to Code §2-576(e)(2), if valued at more than ten dollars ($10); and (2) Costs to attend a charity event attended on behalf of the City or any of its affiliated entities as described in Code §2-576(e)(6) if the event admission was given by individual invitation to the Councilmember and the value of the admission is greater than seventy-five ($75) dollars; and (3) Costs of conferences, seminars, events or meetings (e.g., fees, meals, lodging, and/or transportation) and as described in Code §2-576(e)(10); and (4) Cost of City-sponsored educational events as described in Code §2- 576(e)(11) if the value is above seventy-five ($75) dollars. [Cost of business meals as described in Code §2-576(e)(13)?; and] [Costs of meals and event tickets pertaining to their official duties as Mayor and City Councilmembers as described in§2-576(e)(16) if the value is above seventy-five ($75) dollars?] (d) If a Councilmember has not received a gift, honoraria or benefit that is required to be reported in the previous quarter, the Councilmember is not required to file a report. the of Section 24-6-203, C.R.S. 027 City Council ERB Agenda Item Summary – City of Fort Collins Page 1 of 2 Agenda Item 3 June 2, 2025 AGENDA ITEM SUMMARY City Council – Ethics Review Board Carrie Daggett, City Attorney SUBJECT he City’s financial disclosures to City Council. EXECUTIVE SUMMARY review and consider draft changes to the and consider whether to recommend such changes to the City Council. STAFF RECOMMENDATION Not applicable. BACKGROUND / DISCUSSION Under “other business” at its January 21, 2025, City Council asked the Ethics Review Board to review the City’s financial disclosure requirements. City Code Section 2-636 requires every Council candidate to file with the City Clerk a written financial disclosure statement at the time of filing their acceptance of nomination with the City Clerk. City Code Section 2-636 also requires each Councilmember to file a financial disclosure, no later than January 10 after their election re-election, retention, or appointment, the same written financial disclosure. Similarly, the City Manager and City Attorney are required to file such written financial disclosure within 30 days of their appointment and each year by January 10. City Code Section 2-637 lists the financial interests that must be disclosed. Proposed amendments to City Code Sections 2-636 through 2-638 are shown in Exhibit A. A clean copy of the current Code section is marked as Exhibit B, attached for reference At its April 7, 2025, meeting, the ERB decided to review the rules related to financial reporting and determine whether to make any recommended changes. At its May 5, 2025, meeting, the ERB reviewed various financial reporting requirements and provided feedback about changes they are interested in considering. At its June 2, 2025, meeting, the ERB discussed the City’s current financial disclosure requirements and those of other Colorado municipalities and Colorado’s statutory requirements. The ERB expressed support for: • maintaining the current list of items to be disclosed; • not adding other disclosure requirements; 028 City Council ERB Agenda Item Summary – City of Fort Collins Page 2 of 2 • limiting the requirement to disclose real estate owned to property within the City’s growth management area; • limiting the requirement to disclose direct or indirect investment or interest in any business to businesses located or doing business within the growth management area; • limiting the requirement to disclose a list of buinesses with which the person making disclosure or such person’s sponse to businesses that are located or doing business within the growth management area; • adjusting the threshold amounts identified in Sec. 2-637 from $10,000 to $15,000; and • adjusting amounts stated in these requirements for inflation based on the applicable consumer price index. Staff made a few additional amendments for ERB’s consideration related to ease of readability of Sec. 2- 636, excluding compensation from the City from sources of income, and clarifying that the influation adjustment will take effect on January 11 of each year and apply to all subsequent disclosures. Staff has a question about continuing to allow individuals subject to the financial disclosure requirements the alternative to file their federal income taxes with the City Clerk. Proposed changes to Sections 2-636, 2-637, and 2-638 are provided for input, and if the ERB supports moving forward with these proposed code changes, staff requests a motion to that effect. CITY FINANCIAL IMPACTS Not applicable. BOARD / COMMISSION / COMMITTEE RECOMMENDATION Not applicable. PUBLIC OUTREACH Not applicable. ATTACHMENTS A. Draft Code amendments to Sections 2-636 through 2-638 B. Other entities’ financial disclosure requirements: State of Colorado, Arvada, Aurora, Colorado Springs, Denver, Louisville, and Loveland in one pdf that is bookmarked. C. A list of financial reporting requirements in Colorado municipalities 029 Sec. 2-636. Financial disclosure required. (a) Any candidate for the office of City Councilmember shall, at the time of filing their acceptance of nomination with the City Clerk, file with the City Clerk a written disclosure statement that conforms to the requirements of § 2-637. Such a written disclosure statement shall also be filed with the City Clerk by the City Manager and the City Attorney not later than thirty (30) days after their appointment, and then each subsequent year in office no later than January 10. (b) Each member of the City Council who is elected, re-elected, appointed or retained in office shall also file such a written disclosure statement with the City Clerk not later than January 10 next after their election, re-election or appointment, and then each subsequent year in office no later than January 10. However, any City Councilmember who is elected or re-elected and who has, prior to said election or re-election, filed a written disclosure statement within ten (10) days after filing acceptance of nomination, may file an amended statement with the City Clerk or notify the City Clerk in writing that there has been no change in the disclosures made therein, since the date of filing of the same. (c) The City Manager and City Attorney must also file a written disclosure statement with the City Clerk no later than thirty (30) days after their appointment, and then each subsequent year in office no later than January 10. Sec. 2-637. Requirements. (a) Financial disclosure shall include: (1) Excluding compensation from the City, tThe source or sources of any income, including capital gains whether or not taxable of the person making disclosure and such person's spouse; (2) Any financial interest in Any direct or indirect investment or interest, including stock investment, in any business located or doing business within the growth management area with a value in excess of ten fifteen thousand dollars ($10,000.15,000in any business entity; (3) The legal description of any interest in real property located or doing business within the growth management area and owned by the person making disclosure or such person's spouse; (4) The identity by name of all offices and directorships held by the person making disclosure and such person's spouse; (5) The name of each creditor to whom the person making disclosure or such person's spouse owes money in excess of ten fifteen thousand dollars ($10,000.15,000); (6) A list of businesses located or doing business within the growth management area with which the person making disclosure or such person's spouse are associated that do business with or are regulated by the City and the nature of such business or regulation; 030 (7) Such additional information as the person making disclosure might desire. (b) Effective each January 11 for all subsequent disclosures, the amounts identified in subsection (a)(2) and (5) will be adjusted based upon the percentage change over a one-year period in the United States Bureau of Labor Statistics Consumer Price Index for Denver-Aurora-Lakewood, all urban consumers, or its successor index, rounded to the nearest ten dollars ($10). Sec. 2-638. Notice. To assist with compliance, tThe City Clerk wishall give written notice to each person required to make disclosure at least thirty (30) days before such disclosure is required to be filed. Sec. 2-639. Public record. Each disclosure statement, amended statement or a notification that no amendment is required shall be public information available to any person upon request during normal working hours. Sec. 2-640. Federal income tax alternative. Any person subject to the provisions of this Division may elect to file with the City Clerk annually a copy of such person's federal income tax return and any separate federal income tax return filed by such person's spouse together with a statement of any investments held by such person or such person's spouse which are not reflected by the income tax returns in lieu of complying with the provisions of §§ 2-636, 2-637 and 2-638 which tax return and any statement filed under the provisions of this Section shall be public information. Sec. 2-641. Penalty. Any person who willfully files a false or incomplete disclosure statement, amendment or notice that no amendment is required or who willfully files a false or incomplete copy of any federal income tax return or a false or incomplete certified statement of investments or who willfully fails to make any filing required by this Division shall be guilty of a violation of the Code punishable as a misdemeanor, and shall upon conviction be punished by a fine not to exceed the limits established in § 1-15. 031 § 24-6-202. Disclosure--contents--filing--false or incomplete..., CO ST § 24-6-202 © 2025 Thomson Reuters. No claim to original U.S. Government Works.1 West's Colorado Revised Statutes Annotated Title 24. Government--State Administration Article 6. Colorado Sunshine Law (Refs & Annos) Part 2. Public Official Disclosure Law (Refs & Annos) C.R.S.A. § 24-6-202 § 24-6-202. Disclosure--contents--filing--false or incomplete filing--penalty Currentness (1) Not later than January 10 of each calendar year, each of the following individuals shall file an annual disclosure statement with the secretary of state of Colorado in such form as the secretary of state prescribes, stating the information specified in subsection (2) of this section: (a) Each member of the general assembly; (b) The governor, lieutenant governor, secretary of state, attorney general, and state treasurer; (c) Each justice or judge of a court of record; (d) Each district attorney; (e) Each member of the state board of education; (f) Each member of the board of regents of the university of Colorado; (g) Each member of the public utilities commission. (h) Repealed by Laws 1985, S.B.179, § 1. (1.3) If an individual begins serving in one of the positions specified in subsection (1) of this section after January 10 and has not filed a disclosure statement within the previous thirty days, the individual shall file a disclosure statement no later than ten days after assuming the position. (1.5) The provisions of subsection (1) of this section apply to any individual who is serving in any position specified in subsection (1) of this section on or after January 1, 2024. If an individual who is specified in subsection (1) of this section is serving in office in the 2024 calendar year but has not filed an annual disclosure statement in the AIS 3 - Financial Reporting Exhibit B 032 § 24-6-202. Disclosure--contents--filing--false or incomplete..., CO ST § 24-6-202 © 2025 Thomson Reuters. No claim to original U.S. Government Works.2 2024 calendar year, the individual shall file a disclosure statement no later than July 1, 2024, or in accordance with the requirements specified in subsection (1.3) of this section, whichever is sooner. (1.7) Repealed by Laws 2024, Ch. 468 (S.B. 24-210), § 51, eff. June 6, 2024. (2) Disclosure must include the following for the previous calendar year, unless otherwise specified: (a) The names, and amounts, disclosed as a range as provided in the form prescribed by the secretary of state, of any source or sources of any income, including capital gains, whether or not taxable, of the person making disclosure, the person's spouse, and any minor children residing with the person making the disclosure; (b) The name of each business, insurance policy, or trust in which he, his spouse, or minor children residing with him has a financial interest in excess of five thousand dollars; (c) The legal description of any interest in real property, including an option to buy, in the state in which the person making disclosure, his spouse, or minor children residing with him have any interest, direct or indirect, the market value of which is in excess of five thousand dollars; (d) The identity, by name, of all offices, directorships, and fiduciary relationships held by the person making disclosure, the person's spouse, and any minor children residing with the person making the disclosure, including whether the position is compensated or uncompensated; (e) The identity, by name, of any person, firm, or organization for whom compensated lobbying is done by any person associated with the person making disclosure if the benefits of such compensation are or may be shared by the person making disclosure, directly or indirectly; (f) The name of each creditor to whom the person making disclosure, the person's spouse, or the person's minor children owe money in excess of one thousand dollars, including the interest rate and the highest amount owed, disclosed as a range as provided in the form prescribed by the secretary of state, for the calendar year covered in the statement; (g) A list of businesses with which the person making disclosure or his spouse are associated that do business with or are regulated by the state and the nature of such business or regulation; (h) The sources of compensation exceeding five thousand dollars received by the person making the disclosure or the person's business affiliation for services provided directly by the person making the disclosure during the current year and during the prior calendar year, if the source is a person or entity that is regulated by the state or pays for a lobbyist that conducts lobbying at the general assembly or at a state regulatory body. This includes the names of clients and customers of any affiliated corporation, firm, partnership, or other business enterprise and a description of the duties performed or services rendered for each source of compensation if the person making the disclosure directly provided the services generating a fee or payment of more than five thousand dollars. The person making the disclosure may exclude any information considered confidential as a result of a privilegedAIS 3 - Financial Reporting Exhibit B 033 § 24-6-202. Disclosure--contents--filing--false or incomplete..., CO ST § 24-6-202 © 2025 Thomson Reuters. No claim to original U.S. Government Works.3 relationship recognized by law. If the person making the disclosure withholds information as a result of a privileged relationship, the person shall still disclose the existence of the source of compensation and an explanation for why information was withheld. (i) Any additional information that the person making the disclosure deems necessary. (3) Any disclosure statement shall be amended no more than thirty days after any termination, acquisition, or substantial change of interests as to which disclosure is required. (4) Repealed by Laws 2024, Ch. 468 (S.B. 24-210), § 51, eff. June 6, 2024. (5) Each disclosure statement is public information and shall be made available on the secretary of state's website. (6) Repealed by Laws 2024, Ch. 468 (S.B. 24-210), § 51, eff. June 6, 2024. (7) Any person who willfully files a false or incomplete disclosure statement, or who willfully fails to make any filing required by this section is guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not less than one thousand dollars nor more than five thousand dollars. (8) In addition to any other process provided in law or rule, including article XXIX of the state constitution, any person who believes an official listed in subsection (1)(a) of this section is not substantially complying with the requirements of this section may file a complaint with the following: (a) The secretary of the senate and the president of the senate for members of the senate; and (b) The chief clerk of the house of representatives and the speaker of the house of representatives for members of the house of representatives. (9) Upon receiving a complaint, the person or persons receiving the complaint shall follow any existing procedures for investigating ethics complaints or violations. (10) If an official specified in subsection (1)(a) of this section does not timely file the required annual disclosure statement, the secretary of state shall forward notification to the appropriate individual specified in subsection (8) of this section. Credits Amended by Laws 1979, S.B.229, §§ 1, 2; Laws 1985, S.B.179, §§ 1, 6; Laws 2010, Ch. 151, § 5, eff. July 1, 2010; Laws 2022, Ch. 108 (H.B. 22-1156), § 3, eff. Aug. 10, 2022; Laws 2023, Ch. 399 (S.B. 23-276), § 53, eff. Jan. 1, 2024; Laws 2024, Ch. 468 (S.B. 24-210), § 51, eff. June 6, 2024. AIS 3 - Financial Reporting Exhibit B 034 § 24-6-202. Disclosure--contents--filing--false or incomplete..., CO ST § 24-6-202 © 2025 Thomson Reuters. No claim to original U.S. Government Works.4 Notes of Decisions (2) C. R. S. A. § 24-6-202, CO ST § 24-6-202 Current through legislation effective March 24, 2025 of the First Regular Session, 75th General Assembly (2025). Some statute sections may be more current. See credits for details. End of Document © 2025 Thomson Reuters. No claim to original U.S. Government Works. AIS 3 - Financial Reporting Exhibit B 035 ARVADA Sec. 2-411. Persons affected; time. (a)Not more than 30 days after their election, re-election, appointment or retention in office, written disclosure, stating the items named in section 2-412, shall be made to and filed with the city clerk by: (1)Each member of the city council. (2)Each member of the planning commission of the city. (3)The city manager and city attorney. (4)Each member of the board of adjustment of the city. (b)Such disclosure shall also be filed by any candidate for the office of city councilmember within ten days after the filing of a nomination petition with the city. (Code 1960, § 2-3.4(a); Code 1981, § 2-3) Sec. 2-412. Contents. The disclosure provided for in section 2-411 shall include the: (1)Source of any income, including capital gains, whether or not taxable, of the person making disclosure and of such person's spouse. (2)Legal description of any interest in real property within the city, or within three miles of the perimeter of the city limits of the city, held by the person making disclosure or by such person's spouse. (Code 1960, § 2-3.4(b); Code 1981, § 2-4) Sec. 2-413. Submitted annually. Any person required by this article to file a disclosure statement shall, on or before June 1 of each calendar year, file an amended statement with the city clerk or notify the city clerk in writing that such person has had no change of condition since the previous filing of a disclosure statement. The city clerk shall give written notice to each person required to make disclosure hereunder at least 30 days before such disclosure is required to be filed. (Code 1960, § 2-3.4(c); Code 1981, § 2-5) AIS 3 - Financial Reporting Exhibit B 036 Created: 2025-02-18 13:25:16 [EST] (Supp. No. 64) Page 2 of 2 Sec. 2-414. Public information. Each disclosure statement, amended statement or a notification that no amendment is required shall be public information available in the city clerk's office to any person upon request during normal working hours. (Code 1960, § 2-3.4(d); Code 1981, § 2-6) Sec. 2-415. Income tax return; statement of investment. In lieu of complying with provisions of sections 2-411 and 2-412, any person subject to the provisions of sections 2-411—2-416 may elect to file with the city clerk annually a copy of such person's federal income tax return and any separate federal income tax return filed by such person's spouse, together with a statement of any investment held by such person or such person's spouse which is not reflected by the income tax returns, which tax return and any statement filed under the provisions of this section shall be public information. (Code 1960, § 2-3.4(e); Code 1981, § 2-7) Sec. 2-416. Penalty. Any person who willfully files a false or incomplete disclosure statement, amendment or notice that no amendment is required or who willfully files a false or incomplete copy of any federal income tax return or a false or incomplete certified statement of investments or who willfully fails to make any filing required by sections 2- 411—2-416 shall be guilty of a violation of the ordinances of the city, punishable as a misdemeanor, and shall, upon conviction thereof, be punished by a fine not to exceed the limits established in section 1-5. (Code 1960, § 2-3.4(f); Code 1981, § 2-8) State law reference(s)—Issuing a false financial statement, C.R.S. § 18-5-209. AIS 3 - Financial Reporting Exhibit B 037 AURORA Sec. 1-63. Annual financial disclosure statement. (a)On or before the second Monday in January of each year, financial disclosure statements, on forms to be supplied by the city clerk, shall be made to and filed with the city clerk by the following people: (1)Mayor and each member of the city council. (2)City manager. (3)City attorney. (4)All appointed members of the planning and zoning commission and the board of adjustments and appeals. (b)Each financial disclosure statement shall contain the following information: (1)The source of any income or losses, including sources of income, losses and capital gains held by the spouse of the person making the disclosure or held jointly with the spouse of the person making the disclosure and also including the source of any other income, losses or capital gains sustained by the person making the disclosure held or owned jointly with any other third party, not the spouse of the person making the disclosure, over which the person making such disclosure has the right to the majority control of such source of income, losses or capital gains when: a.The appointed or elected official is in a position to take direct official action with the entity that is the source of income, losses or capital gains; or b.The city has an existing, ongoing, or pending contract, business, or regulatory relationship with the entity that is the source of income, loss or capital gains. (2)Any insurance policy or trust owned by or created and endowed by a third person, other than the person making the disclosure and such person's spouse, the value of which is in excess of $5,000, which the person making the disclosure or the person making the disclosure and such person's spouse are joint beneficiaries. (3)Indicate whether and how many real properties and mineral rights leases are located in the city in which the person making the disclosure, solely or jointly with such person's spouse, has an interest if the value exceeds$5,000. This subsection shall not apply to the appointed or elected official's personal residence or appurtenances thereto. AIS 3 - Financial Reporting Exhibit B 038 (4)The identity, by name, of all offices, directorships and fiduciary positions held by the person making the disclosure and such person's spouse, if such positions are with groups or organizations organized for profit. (5)The identity, by name, of any person for whom lobbying is done, other than a municipal corporation or organization sponsored by a municipal corporation, and the identity of each lobbyist associated with the person making the disclosure. (6)Businesses for profit located in or doing business in the city in which the person making the disclosure engages in a transaction for mutual gain. (c)All financial disclosure statements filed pursuant to this section shall be public records. (Ord. No. 2020-06, § 1, 4-6-2020; Ord. No. 2019-51, § 2, 8-19-2019; Ord. No. 2016-35, § 16, 8-8-2016) AIS 3 - Financial Reporting Exhibit B 039 COLORADO SPRINGS 5.2.103: CANDIDATE AND ELECTED OFFICIAL DISCLOSURE REQUIRED: A.In addition to any other disclosure required by part 2 of this article, every candidate shall file a Disclosure of Substantial Private Business Interests form disclosing his or her substantial private business interests, and the substantial private business interests of his or her spouse, within ten (10) days after filing an Affidavit of Independent Candidacy, except that the candidate shall not be required to disclose information about real property used as the primary residence of the candidate or the candidate's spouse. B.In addition to any other disclosure required by part 2 of this article, every elected official shall file a Disclosure of Substantial Private Business Interests form disclosing his or her substantial private business interests, and the substantial private business interests of his or her spouse, by April 30 each year if the elected official is in office on that date, except that the elected official shall not be required to disclose information about real property used as the primary residence of the elected official or the elected official's spouse. C.Every Disclosure of Substantial Private Business Interests form shall be signed under penalty of perjury, filed with the City Clerk, and in the following form: DISCLOSURE OF SUBSTANTIAL PRIVATE BUSINESS INTERESTS Name of Elected Official or Candidate Residence Address SECTION 1 INTERESTS IN ENTITIES List each investment or any other interest, whether direct or indirect, in every business entity, commercial venture, or real property, or a beneficial interest in a trust or any asset if the investment, interest, business entity, commercial venture, real property, trust, or other asset is one that does business in or is located in El Paso County, Colorado. Entity, Address, Nature of Business (Includin g Commer cial Venture Interes t Held Directl y or Indirec tly s conduct ed in El Paso County, CO Interest (Stock, Investm ent, Other) Market Value of Financi al Interest s (as of Reporti ng Owners hip of 5 Percent or Greater ns Held in Entity (Office r, Direct or) st is Held by: (Self, Spous e, Both) nts AIS 3 - Financial Reporting Exhibit B 040 and Interests Held By Another Person on Your le or Dec. 31 if Not Availab SECTION 2 REAL ESTATE Address (El Paso County Only, Exclude Personal Residence) Held Directly or Indirectly (as of Reporting Date if Available or Dec. 31 if Not (Self, Spouse, Both) Use additional pages as necessary Page 1 of Under penalty of perjury I certify that to the best of my knowledge and belief the information contained on this form is true and correct. Printed Name: Signature: Date: D.The form required by this section may be filed and signed electronically under a system maintained by the City Clerk. E.The computation of time for filings under this part shall be controlled by section 1.1.105 of this Code. (Ord. 12-91) AIS 3 - Financial Reporting Exhibit B 041 DENVER Sec. 2-72. Annual financial disclosure statement and semi-annual gift disclosure statement. (a) Form of statement; duty of clerk. The clerk shall prepare forms for reports required by this article and furnish the forms free of charge for use by officers who are required by this article to make reports. The report forms will not include any requirement to disclose sensitive personally identifying information, such as social security numbers or bank account numbers. (b) Annual financial disclosure statement required. Officers shall file their annual financial report for calendar year 2016 no later than January 31, 2017, under the reporting requirements in effect during 2016. Beginning in 2018, every officer as defined in section 2-71(4) shall file a financial disclosure statement with the clerk no later than January 31 of each year. The report shall cover the period from January 1 to December 31 of the prior year. (c) Semi-annual gift disclosure statement required. Beginning on July 31, 2017, every officer as defined in section 2-71(4) shall file a gift disclosure with the clerk on or before January 31 and July 31 of each year. The January 31 report shall cover the period from July 1 to December 31 and the July 31 report shall cover the period from January 1 to June 30. The report shall include the identification, estimated value, and the source of any gifts which were accepted under sections 2-60(b)(4), (7), (9) and (10) received by the officer during the reporting period. Officers are required to report gifts from persons pursuing business with the city or with whom the city has an existing, ongoing, or pending contract, business, or regulatory relationship and over whom the officer may take direct official action as defined in section 2-52(b). (d) Information required in financial disclosure statement. The financial disclosure statement required of officers shall contain the following information for the reporting year (excluding the actual dollar amounts): (1) The name of each business in which the officer and/or that officer's spouse owned any securities or other financial interest in excess of one (1) percent or five thousand dollars ($5,000.00), and the name of the person holding the financial interest; (2) The names of any sources of income received by the officer, including capital gains, whether or not taxable, which exceeded two thousand dollars ($2,000.00); provided, that the amounts of such incomes need not be disclosed; (3) The names of all persons or employers, other than the city, for whom the officer performed compensated lobbying; (4) The names of the creator, beneficiaries or ownership of any private trust for the benefit of the officer and a description of the assets held by the trust when the value exceeds five thousand dollars ($5,000.00); AIS 3 - Financial Reporting Exhibit B 042 (5)A listing of all real property or interest therein owned by the officer at any time during the reporting year, including options to purchase, located in the state, together with the location and name, if any, by which such property is commonly known, whether the real property was owned outright or held in whole or in part under a corporation or partnership; except that, home addresses of the officer or family immediate members need not be listed; (6)The transfer by the officer of any assets with a value in excess of five thousand dollars ($5,000.00) to an immediate family member during the reporting year or during the previous two (2) years; (7)The name of each creditor owed an amount in excess of five thousand dollars ($5,000.00); and (8)The names of any current employer and any employer for whom the officer worked during the period from July 1 of the year prior to the calendar year through December 31 of the reporting year. (e)Disclosure with respect to immediate family members. The officer shall also disclose the information described in subsection (d) for any financial interest of an immediate family member which is held jointly, derived from the income or assets of the officer, or may be materially affected by a direct official action of the officer as defined in section 2-52(b) DRMC; and shall list the name of the person holding the financial interest. (f)Public records. Financial disclosure statements filed pursuant to section 2-72(b) and gift disclosure statements filed pursuant to section 2-72(c) shall be public records. The city clerk will make the completed statements available to the public on line within a reasonable time, not to exceed seven (7) business days after the date of receipt of the completed statements. (Code 1950, § 115.3; Ord. No. 846-94, § 1, 10-24-94; Ord. No. 456-95, § 1, 6-26-95; Ord. No. 1098-02, § 1, 12-30-02; Ord. No. 113-09, § 3, 2-23-09; Ord. No. 919-16, § 1, 1-9-17; Ord. No. 1202-16, § 12, 3-6-17; Ord. No. 794-17, § 1, 8-21-17; Ord. No. 614-18, § 3, 7- 9-18) AIS 3 - Financial Reporting Exhibit B 043 LOUISVILLE Section 5-11. Code of Ethics—Filing of Financial Disclosure Statement. (a)Within three (3) working days after a person has filed a nomination petition or write- in affidavit of intent for the office of Mayor or Councilmember, and within five (5) working days after a person has been appointed to fill a vacancy in such office, the person shall complete, sign, and file with the City Clerk a disclosure statement that contains: (1)The person's employer and occupation and the nature of any income in excess of one thousand dollars ($1,000.00) per year per source, including without limitation, capital gains whether or not taxable, dividends, interest, wages, salaries, rents, and profits; (2)The name, location, and nature of activities of any business entity with holdings of real or personal property or with business dealings in Boulder County, in which the person has any interest, and the nature of the interest; (3)The location of any real property within Boulder County in which the person has an interest or, if the person has a controlling interest in an entity or enterprise disclosed pursuant to Paragraph (2), in which the controlled entity or enterprise has any interest and the nature of such interest; (4)A sworn or verified statement signed by the person, under penalty of perjury, stating that to the best of the person's knowledge, information, and belief, the person has provided, accurately and completely, all of the information required by the disclosure form in compliance with the Code of Ethics. The statement shall contain: (A)An acknowledgment that, for the purposes of Sections 5-9 and 5-10, the person is deemed to have an interest in his or her own financial affairs, and in that of the person's spouse and other relatives as specified in the Code of Ethics; and (B)An acknowledgment that, for the purposes of Sections 5-9 and 5-10, the person understands that he or she must disclose such an interest pursuant to Section 5-10 and comply with the non-participation provisions thereof, and that it is a violation of the Code of Ethics to fail to file the statement within the time required herein; and (C)Such additional information as the person making the disclosure desires. (b)Except as specifically provided herein, the form and content of the disclosure statement referred to in Subsection (a) shall be established by resolution of the City Council. AIS 3 - Financial Reporting Exhibit B 044 (c)Notwithstanding any other provision of this section, no candidate, officer, or public body member shall be required to disclose any confidential relationship protected by law. (d)By no later than September 10 of each year, each officer shall file an amended disclosure statement with the City Clerk, or notify the City Clerk in writing that the officer has no change of financial condition regarding the disclosed items since the previously filed disclosure statement. (Chart. Code, 2009) AIS 3 - Financial Reporting Exhibit B 045 LOVELAND 2.14.010 Disclosure of conflicts of interest and finances. … I. The city manager and each member of the city council shall file with the city clerk a financial disclosure statement within 30 days of election or appointment to or retention in office. 1. The financial disclosure statement shall contain the following information: a. The name and nature of any entity (other than the city and corporate bodies organized by the city) which provides a source of income directly or indirectly to the person making the disclosure and the entity; and b. The name and nature of any entity (other than the city and corporate bodies organized by the city): i. Of which the person making disclosure is an officer, director, trustee, or beneficiary, or ii. In which the person making disclosure has any interest or control, through stock ownership other than listed securities, or otherwise, and from which the person has the potential for receiving pecuniary gain; and c. The legal description of real property located within the planning jurisdiction of the city in which the person making disclosure has any direct or indirect interest, including but not limited to an option to purchase, the market value of which is in excess of $5,000.00; and d. The name of each creditor to whom the person making disclosure owes money in excess of $1,000.00. 2. The words "indirect" and "indirectly" as used in Subsection I.1 of this section shall include, but not be limited to, income and interests of a spouse or minor child residing with the person making disclosure to the extent that: a. The income or interest is known to the person making disclosure; and b. The person making the disclosure receives a pecuniary benefit from or has the potential of receiving a pecuniary benefit from the income or interest. 3. Nothing contained in this section shall authorize or require the disclosure of any communications which are privileged under the rules of evidence for courts of this state, or the disclosure of the names of tenants, customers, patients or AIS 3 - Financial Reporting Exhibit B 046 clients of the person making disclosure, or the disclosure of the names of tenants, customers, patients or clients of the person's spouse or minor children. J.Any person required to file a disclosure statement shall file with the city clerk an amended statement on or before June 1st of each calendar year, reflecting changes in the information previously filed, or a notification that no amendment is needed. An amended statement shall also be filed within 30 days after termination or acquisition of interests as to which disclosure is required. K.Each disclosure statement, amended statement, or notification that no amendment is required shall be public information, available to any person upon request to the city clerk during normal working hours. … N.Any person who knowingly falsifies statements required by Subsections I, J, L and M of this section, or who knowingly fails to file a statement required by Subsections I, J, L and M of this section, is guilty of a violation of this Code and shall be punished by a fine of not more than $300.00 or by imprisonment of not more than 90 days, or by both such fine and imprisonment. O.If any subsection, sentence, clause, or phrase used in this section is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this section, provided such other portions can be given effect without the invalid subsection, sentence, clause or phrase. The city council declares that it would have adopted the remainder of this section irrespective of the fact that any particular subsections, sentences, clauses or phrases had been declared invalid or unconstitutional. (Ord. 4411 §§ 1, 2, 1999; Ord. 3979 §§ 1, 2, 1994; Ord. 1602 § 1 (part), 1977) AIS 3 - Financial Reporting Exhibit B 047 FINANCIAL DISCLOSURE REQUIREMENTS OF COLORADO MUNICIPALITIES A.Source of any income: •Of reporting person and spouse. (Arvada, Aurora) •Of reporting person, spouse, and minor children. (Colorado, Loveland) •Includes capital gains, whether or not taxable. (Arvada, Colorado, Denver, Louisville) •Includes losses. (Aurora) •Applies only when the official is in a position to take direct official action with the entity that is the source or the city has an existing contract business, or regulatory relationship with the entity. (Aurora) •Must report for reporting person and any third party for which the reporting person has the right to the majority control. (Aurora) •With a value threshold in excess of: o $2,000 but need not disclose the amount. (Denver) o $1,000 per year per source. (Louisville) •Includes dividends, interest, wages, salaries, rents, and profits. (Louisville) •Direct or indirect income and nature of source. (Loveland) o “Indirect” means income and interests if the income or interest is known and the reporting person has the potential for pecuniary benefit. (Loveland) B.Legal description of any interest in real property: •Held by reporting person or spouse. (Arvada) •Real property means within the city or three miles of its perimeter. (Arvada) •Has a market value threshold In excess of $5,000. (Aurora, Loveland) •Does not apply to personal residence. (Aurora, Denver, Colorado Springs) •Applies to direct or indirect interest. (Colorado) •Includes an option to buy. (Colorado, Loveland) •Located in: o The state. (Colorado, Denver) o The county. (Louisville) o The planning jurisdiction of the city. (Loveland) •With a market value in excess of $5,000 (Colorado) •Applies to reporting person, spouse, or minor children (Colorado) •Whether owned outright or in part under a corporation or partnership. (Denver) AIS 2 - Financial Reporting Exhibit C 048 Financial Disclosure Requirements Of Colorado Municipalities Page 2 C.Name and nature of businesses: •Applies to reporting person and spouse. (Colorado, Colorado Springs, Denver) •Doing business: o In the state. (Colorado) o In the county. (Louisville) o In the city. (Aurora) •Must report “substantive” private business interest. (Colorado Springs) •Must report direct or indirect investment or interest, including stock investment and also applies to commercial venture, real property, or trust doing business in the county. (Colorado Springs) •Only need to report for a financial interest in excess of 1% or $5,000. (Denver) •With real estate holdings. (Louisville) •If reporting person has any potential of pecuniary gain. (Aurora, Loveland) D.Name of each creditor: •Applies to reporting person, spouse, or minor children (Colorado) •Money owed exceeds: o $1,000 (Colorado, Loveland) o $5,000 (Denver) •Must report interest rate and highest amount owed for the calendar year (Colorado) E.Insurance policy or trust in which there is a financial interest: •That is owned by or created and endowed by a third person, other than the reporting person or their spouse. (Aurora) •Has a value threshold: o Exceeds $5,000 (Aurora, Colorado) Applies if the reporting person and spouse are joint beneficiaries. (Aurora) •Applies to reporting person, spouse, or minor children (Colorado) F.Name of all offices held: •Includes directorships and fiduciary positions held by the reporting person or spouse if the position is for a for-profit entity. (Aurora) AIS 2 - Financial Reporting Exhibit C 049 Financial Disclosure Requirements Of Colorado Municipalities Page 3 •Includes minor children (Colorado) •Report nature of the office and includes positions director, trustee, or beneficiary. (Loveland) G.Names of persons or employers for whom the officer: •Applies to the period from July1 of prior year through December 31 of reporting year. (Denver) •Performed compensated lobbying. (Denver) •Must include occupation (Louisville) H.Mineral rights leases in held by the reporting person and their spouse with an interest of value exceeding $5,000. (Aurora) I.Any gifts permissible by code. (Denver) J.Names of the creator and beneficiaries of any private trust for the benefit of the officer and a description of its assets with a value in excess of $5,000. (Denver) K.Transfer of assets with a value exceeding $5,000 to immediate family member. (Denver) L.Reporting requirements apply to specific positions: •Mayor, city council, city manager, city attorney, all members of the planning and zoning commission and the board of adjustments and appeals. (Arvada, Aurora) •City council and City Manager (Loveland) M.Anything else deemed necessary. (Colorado) AIS 2 - Financial Reporting Exhibit C 050