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Home My WebLink AboutMemo - Read Before Packet - 09/16/2025 - Memorandum from Jenny Lopez Filkins re Agenda Items 18, 19, and 20 – Code Amendments Related to Gift Restrictions, Financial Disclosures, and Gift ReportingCity Attorney 300 LaPorte Avenue PO Box 580 Fort Collins, CO 80522 970.221.6520 | Office 970.221.6327 | Fax fcgov.com MEMORANDUM Date: September 15, 2025 To: Mayor and City Councilmembers From: Jenny Lopez Filkins, Senior Deputy City Attorney Subject: Agenda Items 18, 19, and 20 – Code Amendments related to Gift Restrictions, Financial Disclosures and Gift Reporting The City Attorney’s Office changed the order of its presentation slides on the proposed code changes to Gift Restrictions, Financial Disclosures, and Gift Reporting requirements. The presentation now reflects the corresponding ordinance numbers in numerical order. A copy of the updated presentation is attached. Headline Copy Goes Here Jenny Lopez Filkins Senior Deputy City Attorney City Attorney’s Office Gift Restrictions, Financial Disclosure, and Gift Reporting Code Amendments 09/16/25 Headline Copy Goes Here 2 Council Priority to Review and Update Ethics Code •City Council the Ethics Review Board consider changes to the City’s ethics rules about (1) acceptance of gifts, (2) financial disclosures and (3) gift reporting • The ERB met in April, May, June and July. • The draft amendments considered tonight include ERB recommendations. Headline Copy Goes Here 3 Topics for Discussion A.Gift Restrictions – Ordinance No. 157, 2025 B.Financial Disclosure Requirements – Ordinance No. 158, 2025 C.Gift Reporting Requirements – Ordinance No. 159, 2025 Headline Copy Goes HereGift Restriction Amendments – Ord. No. 157 4 Gift Restriction Amendments Headline Copy Goes Here 5 Gift Restriction Amendments – Ord. No. 157 Current restrictions and exceptions create confusion and similar, repeated questions for Councilmembers and staff. Headline Copy Goes Here 6 Gift Restriction Amendments – Ord. No. 157 • ERB reviewed and considered others’ gift acceptance restrictions: • the state of Colorado •Arvada, Aurora, Boulder, Broomfield, Colorado Springs, Denver, Lafayette, Lakewood, Littleton, Loveland and Westminster. Headline Copy Goes Here 7 Gift Restriction Amendments – Ord. No. 157 Common question: Is it okay to accept an unsolicited gift? • Amendments clarify • Based on current dollar amount in state law ($75) • Adjusts for inflation Headline Copy Goes Here 8 Gift Restriction Amendments – Ord. No. 157 •Some existing gift restrictions reworded or clarified: •Payment for speeches, debates or public appearances •Gifts from a donor with matter pending before City Council Headline Copy Goes Here 9 Gift Restriction Amendments – Ord. No. 157 •Some exceptions reworded or clarified: • Reported campaign contributions • Plaque in recognition of public service • Reasonable costs for attendance at conferences or similar events • Employment compensation Headline Copy Goes Here 10 Gift Restriction Amendments – Ord. No. 157 New exceptions added: •Financial aid, scholarship • Ticket or admission to charity event attended on behalf of the City and cost of admission less than state law amount ($75); • A gift solicitation for a charitable purpose as determined to be appropriate by City or its affiliated entities; Headline Copy Goes Here 11 Gift Restriction Amendments – Ord. No. 157 Additional new exceptions added: •A gift to benefit public safety or community; •Awards or prizes given at competitions or drawings; •Reasonable cost and frequency of City sponsored educational events Headline Copy Goes Here 12 Gift Restriction Amendments – Ord. No. 157 New exceptions added: •Perishable or consumable gifts given to the City or a City group; •Gifts accepted in a person’s official capacity that will become City property; Headline Copy Goes Here 13 Gift Restriction Amendments – Ord. No. 157 New exceptions added: •Awards or prizes given at competitions or drawings •Discounts that are widely available Headline Copy Goes Here 14 PAUSE FOR COUNCIL CONSIDERATION OF ORD. NO. 157, 2025 PAUSE FOR COUNCIL CONSIDERATION OF ORD. NO. 157, 2025 Headline Copy Goes Here 15 Financial Disclosure Amendments – Ord. No. 158 Current financial disclosure obligations require Councilmembers, City Manager and City Attorney to file quarterly reports of their financial interests. Headline Copy Goes Here 16 Financial Disclosure Amendments – Ord. No. 158 •ERB reviewed others’ financial disclosure requirements⎻ Colorado state’s rules⎻Arvada, Aurora, Colorado Springs, Denver, Louisville, and Loveland. Headline Copy Goes Here 17 Financial Disclosure Amendments – Ord. No. 158 •ERB discussed common questions. •ERB recommended maintain current list of financial interests to be disclosed. Headline Copy Goes Here 18 Financial Disclosure Amendments – Ord. No. 158 ERB recommended •Exclude compensation from the City from the obligation to report sources of income; •Limit requirements about disclosure of property and business interests to those within the growth management area; Headline Copy Goes Here 19 Financial Disclosure Amendments – Ord. No. 158 ERB recommended •Increase the dollar threshold regarding investment or business interest and creditors to whom they owe money from $10K to $25K; •Automatically adjust amounts for inflation. Headline Copy Goes Here 20 Financial Disclosure Amendments – Ord. No. 158 ERB recommended •Delete alternative to file a federal income tax return Headline Copy Goes Here 21 Financial Disclosure Amendments – Ord. No. 158 Changes to the specific disclosure requirements will go into effect January 1, 2026. Headline Copy Goes Here 22 PAUSE FOR COUNCIL CONSIDERATION OF ORD. NO. 158, 2025 PAUSE FOR COUNCIL CONSIDERATION OF ORD. NO. 158, 2025 Headline Copy Goes Here 23 Gift Reporting Amendments – Ord. No. 159 Sec. 2-576 currently requires every Councilmember who receives gifts or other benefits to file a quarterly gift report. No other explanation or clarification is provided. Headline Copy Goes Here 24 Gift Reporting Amendments – Ord. No. 159 •ERB discussed common questions and issues. •ERB recommends add specific gift reporting obligations to the City’s ethics rules, like other home rule cities. Headline Copy Goes Here 25 Gift Reporting Amendments – Ord. No. 159 ERB recommends not requiring Councilmembers to report gifts that are given or paid by:⎻The City⎻An entity affiliated with or formed by the City⎻An organization to which the City has appointed the Councilmember. Headline Copy Goes Here 26 Gift Reporting Amendments – Ord. No. 159 ERB supports adding specific gift reporting obligations to the ethics rules: Any unsolicited item or items accepted if valued at more than $25; Costs of conferences, seminars, events or meetings (fees, meals, lodging, registration or admission and transportation); Headline Copy Goes Here 27 Gift Reporting Amendments – Ord. No. 159 ERB supports adding specific gift reporting obligations to the ethics rules (continued): Cost of City-sponsored educational events if the dollar amount is higher than dollar amount established in state law Cost of meals and event tickets given to Councilmembers and their relatives Headline Copy Goes Here 28 Gift Reporting Amendments – Ord. No. 159 Gift reporting requirements go into effect for reports due after January 1, 2026. Headline Copy Goes Here 29 PAUSE FOR COUNCIL CONSIDERATION OF ORD. NO. 159, 2025 PAUSE FOR COUNCIL CONSIDERATION OF ORD. NO. 159, 2025 Headline Copy Goes Here 30 Flow Chart Categories: General restrictions Travel and Events Charities Financial Gain To or From the City Non-monetary Value Restriction