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HomeMy WebLinkAbout1985-134-08/20/1985-PROMULGATING RULES AND REGULATIONS WITH REGARD TO THE INVESTMENT PRACTICES OF THE CITY AND WITH REGA 1 RESOLUTION 85-134 OF THE COUNCIL OF THE CITY OF FORT COLLINS PROMULGATING RULES AND REGULATIONS WITH REGARD TO THE INVESTMENT PRACTICES OF THE CITY AND WITH REGARD TO THE PURCHASES OF SUPPLIES AND CONTRACTUAL SERVICES BY THE CITY AS SUCH INVESTMENTS AND PURCHASES RELATE TO THE REPUBLIC OF SOUTH AFRICA WHEREAS, the legally enshrined policy of apartheid practiced by the government of South Africa is morally repugnant to the people of the City of Fort Collins; and WHEREAS, under apartheid, the South African government uses the processes of law to deprive the black majority of basic human freedom and dignity; and WHEREAS, apartheid is maintained by the regressive tactics of a police state; and WHEREAS, non-whites seeking to exercise fundamental human freedoms individually or collectively are swiftly subjected to brutal repression; and WHEREAS, the Council of the City of Fort Collins has determined to utilize its control of the investment and expenditure of public monies, to the extent possible, to insure that purchases, deposits, and investments are made consistently with moral standards and in a manner which promotes the public welfare; and WHEREAS, the Council does further seek to protect the financial interests of the City by limiting the number of City contracts which may depend for their satisfaction on the internal security of the Republic of South Africa, where relentless oppression has led to increasing civil disturbances, making sabotage of business interests and revolution possible; and WHEREAS, it is the intention of the Council that these provisions operate prospectively, and that contracting decisions shall not be based upon a contractor's dealings with the South African government prior to the effective date of this Resolution; and WHEREAS, Article V, Section 23(E) provides that the Director of Finance shall invest City funds as directed by the City Council by resolution; and WHEREAS, Section 2-56 of the Code of the City provides that the Purchasing Agent shall effect purchases of supplies and contractual services in accordance with, among other things, the rules and regulations of the City; and WHEREAS, it is the purpose of this Resolution to instruct the Director of Finance with regard to the investment of City funds and to promulgate rules and regulations with regard to the purchase of supplies and contractual services by the Purchasing Agent. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That no bank, trust company, brokerage firm or other financial or investment institution shall be utilized for the purpose of depository or investment of City funds unless: (1) It does not provide the following services, either directly or through a subsidiary or agent: (A) Advertising or otherwise promoting the sale, outside of the Republic of South Africa or Namibia, of krugerrands or other coins minted in the Republic of South Africa or Namibia, (B) Underwriting securities of the government of the Republic of South Africa, (C) Making loans to, investments in or transacting any other business with such government other than loans for educational , housing or health facilities available to all persons on a totally nondiscriminatory basis and located in geographic areas accessible to all population groups without any legal or administrative restrictions, (D) Making loans to, investments in or transacting any other business with persons, firms, corporations or business entities, howsoever constituted, with either a principal or subsidiary place of operation located in the Republic of South Africa, unless such person, firm, corporation or business entity has affirmatively adopted the Sullivan Principles annexed hereto and incorporated herein by reference, such affirmation to be duly adopted by its Board of Directors or other governing body. (E) Making loans to, investments in or transacting any other business with persons, firms, corporations or business entities, howsoever constituted, who transact business directly with any individual or organizations enumerated in subparagraph (D) hereof. (2) Notwithstanding the provisions of paragraph 1 above, the Director of Finance (a) may engage the services of a bank, trust company, brokerage firm or other financial or investment institution which does not meet the above stated criteria upon a determination, made in writing and forwarded to the Council , that deposit or investment of City monies in such institution is necessary to obtain essential services which are not reasonably obtainable from another such institution. (3) If the Finance Director shall decide that such policy not to discriminate or provide services to the government of the Republic of South Africa has been violated after giving the institution opportunity to be heard, then upon 30 days notice to the institution, he may declare the institution to be in default and may exercise such rights and remedies as are legally available to the City upon such declaration. -2- Section 2. That the Council does hereby establish and promulgate, as rules and regulations pursuant to Section 2-56 of the Code of the City of Fort Collins the following: (1) No city agency shall contract for the supply of goods or services with any person who does not agree to stipulate to the following as material conditions of the contract if there is another person who will contract to supply goods or services of comparable quality at a comparable price: (A) That the contractor and its substantially owned subsidiaries shall not during the term of such contract sell or agree to sell , goods or services other than food or medical supplies directly to the following agencies of the South African Republic government or directly to a corporation owned or controlled by such government and established expressly for the purpose of procuring such goods and services for such specific agencies: - the police, - the military, - the prison system, or - the department of cooperation and development. (8) In the case of a contract to supply goods, that none of the goods to be supplied to the City originated in the Republic of South Africa or Namibia unless the manufacturer or supplier of such goods has affirmatively adopted the Sullivan Principles annexed hereto. (C) That the contractor and its substantially owned subsidiaries shall not during the term of such contract sell or agree to sell goods or services to any individual , firm, corporation or other business entity, howsoever constituted, which has either a principal or subsidiary place of operation in the Republic of South Africa, unless such person, firm, corporation or other business entity has affirmatively adopted the Sullivan Principles annexed hereto. (D) That the contractor and its substantially owned subsidiaries shall not during the term of such contract sell or agree to sell goods or services to any individual , firm, corporation or other business entity, howsoever constituted, who transact business directly with any individual or organization as enumerated in paragraph (C) hereof. (2) In the case of contracts subject to public letting under sealed bids pursuant to Section 2-58 of the City Code, whenever the lowest responsible bidder has not agreed to stipulate to the conditions set forth in paragraph 1 of this section and another bidder who has agreed to stipulate to such conditions has submitted a bid within five percent of the lowest responsible bid for a contract to supply goods or services of comparable quality, the Purchasing Agent may determine that it is in the public interest that the contract shall be awarded to such other bidder. -3- r 14 ' • (3) Upon receiving information that a contractor who has agreed to the conditions set forth in paragraph 1 of this section is in violation thereof, the Purchasing Agent shall review such information and offer the contractor an opportunity to respond. If the Purchasing Agent finds that a violation of such conditions has occurred, the Purchasing Agent shall take such action as may be appropriate and provided for by law, rule or regulation, or contract, including but not limited to imposing sanctions, seeking compliance, recovering damages and declaring the contractor in default. Passed and adopted at a regular meeting of the Council of the City of Fort Collins held this 20th day of August, A.D. 1985. Mayor ATTEST: City Clerk -4- ♦ .' .�: 4 STATEMENT OF PRINCIPLES Principle 1 — Nonsegregation of the Races in All Eating, Comfort, Locker Rooms, and Work Facilities Principle 2 — Equal and Fair Employment Practices for All Employees Principle 3 — Equal Pay for All Employees Doing Equal or Com- parable Work for the Same Period of Time Principle 4 — Initiation and Development of Training Programs that Will Prepare Blacks, Coloureds, and Asians in Substantial Numbers for Supervisory, Administrative, Clerical and Technical Jobs Principle 5 — Increasing the Number of Blacks, Coloureds, and Asians in Management and Supervisory Positions Principle 6 — Improving the Quality of Employees' Lives Outside the Work Environment in Such Areas as Housing, Transportation, Schooling, Recreation, and Health Facilities. 43 SULLIVAN PRINCIPLES (1979) Rev. Leon H. Sullivan in May 1979 published an amplified version of his six principles of equal employment practices for U.S. firms operating in South Africa. Following is the text of the amplified principles: PRINCIPLE I - Non-segregation of the races in all eating, comfort and work facilities. Each signator of the Statement of Principles will proceed immediately to: • Eliminate all vestiges of racial discrimination. • Remove all race designation signs. • Desegregate all eating, comfort and work facilities. PRINCIPLE II - Equal and fair employment practices for all employees. Each signator of the Statement of Principles will proceed immediately to: • Implement equal and fair terms and conditions of employment. • Provide non-discriminatory eligibility for benefit plans. • Establish an appropriate comprehensive procedure for handling and resolving individual employee complaints. • Support the elimination of all industrial racial discriminatory laws which impede the implementation of equal and fair terms and conditions of employment, such as abolition of job reservations, job fragmentation, and apprenticeship restrictions for blacks and other non-whites. • Support the elimination of discrimination against the rights of blacks to form or belong to government registered unions, and acknowledge generally the right of black workers to form their own union or be represented by trade unions where unions already exist. PRINCIPLE III - Equal pay for all employees doing equal or comparable work for the same period of time. Each signator of the Statement of Principles will proceed immediately to: • Design and implement a wage and salary administration plan which is applied equally to all employees regardless of race who are performing equal or comparable work. • Ensure an equitable system of job classifications, including a review of the distinction between hourly and salaried classifications. • Determine whether upgrading of personnel and/or jobs in the lower echelons is needed, and if so, implement programs to accomplish this objective expeditiously. • Assign equitable wage and salary ranges, the minimum of these to be well above the appropriate local minimum economic living level. FROM: Kenneth Propp, The Domestic Debate over South Africa, Investor Responsibility Research Center, Inc. , 1979. 'v 44 PRINCIPLE IV - Initiation of and development of training programs that will prepare, in substantial numbers, blacks and other non-whites for supervisory, administrative, clerical and technical jobs. Each signator of the Statement of Principles will proceed immediately to: i • Determine employee training needs and capabilities, and identify employees with potential for further advancement. • Take advantage of existing outside training resources and activities, such as exchange programs, technical colleges, vocational schools, continuation classes, supervisory courses and similar institutions or programs. • Support *he development of outside training facilities individually or collectively, including technical centers, professional training exposure, correspondence and extension courses, as appropriate, for extensive training outreach. • Initiate and expand inside training programs and facilities. PRINCIPLE V - Increasing the number of blacks and other non-whites in management I and supervisory positions. Each signator of the Statement of Principles will proceed immediately to: • Identify, actively recruit, train and develop a sufficient and significant number of blacks and other non-whites to assure that as quickly as possible there will be appropriate representation of blacks and other non-whites in the management group of each company. • Establish management development programs for blacks and other non-whites, y as appropriate, and improve existing programs and facilities for developing management skills of blacks and other non-whites. • Identify and channel high management potential blacks and other non-white employees into management development programs. PRINCIPLE VI - Improving the quality of employees' lives outside the work environment in such areas as housing, transportation, schooling, recreation and health facilities. Each signator of the Statement of Principles will proceed immediately to: 9 Evaluate existing and/or develop programs, as appropriate, to address the specific needs of black and other non-white employees in the areas of housing, health care, transportation and recreation. • Evaluate methods for utilizing existing, expanded or newly established in-house medical facilities or other medical programs to improve medical care for all non-whites and their dependents. • Participate in the development of programs that address the educational needs of employees, their dependents and the local community. Both individual and collective programs should be considered, including such activities as literacy education, business training, direct assistance to local schools, contributions and scholarships. • Support changes in influx control laws to provide for the right of black migrant workers to normal family life. 45 • Increase utilizati n of and assist in the developmelof Black and non-white owned and operated business enterprises including distributors, suppliers of goods and services and manufacturers. • With all the foregoing in mind, it is the objective of the companies to involve and assist in the education and training of large and telling numbers of blacks and other non-whites as quickly as possible. The ultimate impact of this effort is intended to be of massive proportion, reaching millions. r PERIODIC REPORTING The signator companies of the Statement of Principles will proceed immediately to: • Utilize a standard format to report their progress to Dr. Sullivan through the independent administrative unit which he established on a 6-month basis. • Ensure periodic reports on the progress that has been accomplished on the implementation of these principles.