83983 CMS Report
of 30
-
Upload
recordtrac-city-of-oakland -
Category
Documents
-
view
223 -
download
0
Transcript of 83983 CMS Report
-
8/12/2019 83983 CMS Report
1/30
-
8/12/2019 83983 CMS Report
2/30
Deanna
J .
Santana.
City
Administrator
Subject:
Election
Compliance TrackingSoftware
June 25. 2012
Overthepast4 years, the CityofOaklandhas averaged 1,119 designated filers of the Statement
ofEconomicInterest(Form 700) and currently has approximately 175 required
filers
of
CampaignStatements. TheFPPCrequires diligent oversight in thenotification,receipt, review
and tracking offilingstoensuredisclosure of interest and electionsfinancing.Over thepasttwo
years, the FPPChas increased its oversight and auditing ofmunicipalorganizations toensure
compliance
with
the mandated intricacies for
Filing
Officers.
A s
a result of the
F P P C ' s
increased
scrutiny,municipalorganizations are required todemonstratethe
full
scope of
diligence
to drive
compliance
within
organizations. Failure to
demonstrate
appropriate diligence in compliance
with FPPCrequirements may be subject to a
fine
of
$5,000
per required filer,leviedagainst the
agency.
O U T C O M E
Council
approvalw illstabilize the Cityof Oakland's compliance
with
oversight requirements in
accordance
with FPPC
standards.
NetFile
provides for submission and tracking offilingsfor
individualsand committees by maintaining reportedinformationin a structureddatabase.
Additionally,
utilizafionof
NetFile
willprovide for
greater
transparency in the disclosure of
informationto thepublic,media outlets, and other interested parties,
with
all components
availablevia the hosted website 24 hours a day, 7 days a week.
BACKGROUND/LEGISLATIVEHISTORY
Title2D ivision6,CaliforniaCode of Regulationssetsforth the scope of dufies for
Filing
Officersregarding CampaignStatementsandStatementsofEconomic
Interests
respectively. All
FPPC
filingsand the oversightofthe
file
management are
within
the ulfimatejurisdictionof the
F P P C . TheFPPCmay audh thefilingsto determine the effectiveness ofFilingOfficersand the
jurisdicfion'scompliance
with
the governing code.
ANALYSIS
TheCityofOaklandhas averaged approximately 1,191 annual filers of the Statement of
EconomicInterest(Form 700) and approximately 175 annualfilersofCampaignReports over
thepast4 years. TheFPPCrequires Statement ofEconomic
Interests
(Form 700) be
filed
upon
assuming
office,
at the annual deadline, upon need foramendment (when necessary), and upon
separation.
Filings for
campaignstatementsare due at
specific
times during the year and may
require severalfilings
within
a 12 monthperiod.TheFPPCrequires comprehensive review of
20% of required filers (approximately 233) of the
City
of
Oakland's
Statement of
Economic
Interests(Form 700)
filers.
Forall filings,
Filing
Officersare required to reviewstatementsfor
completeness and, ifthestatementsbear errors and/or are incomplete,
request
amendments. This
continuous review offilingsandrequestforamendments provide for year roundpolitical
reporting compliance monitoring for theOfficeof the
City
Clerk.
Ufilizafionof
NetFile
systems wi l lprovide for immediate and automated compliance
with
F P P C
notification,
file
receipt, completeness review, and tracking requirements. In achieving
automated compliance
with
asignificationportion ofFPPCadministration requirements, the City
Item:
Finance & Management Committee
July10,2012
-
8/12/2019 83983 CMS Report
3/30
DeannaJ .Santana, CityAdministrator
Subject:ElectionCompliance Tracking Software
June25.2012
will
be able to more
effectively
focus on other compliance objectives such as: elevating filing
compliance,
revenue
collection
and completion
of
the comprehensive reviews, which
iffound
deficient, also are subject to
FPPC
penalty.NetFile,Inc. currently is the only approved
efiler
that
provides for the filing
of
the
Statement
of
Economic
Interests(Form 700).
NetFile,
Inc. also
meets
the
FPPC
filingoversight requirements and is the only reporting system for
Statement
of
EconomicInterestsfilings
accepted by the
office
of the Secretary of
State.
PUBLIC OUTREACH/INTEREST
Increasing transparency of elections compliance documents
(Lobbyists,
Campaign Disclosure
and
Conflict
of
Interest Statements)
serve the public's interest by seamlessly
disclosing
elections
activities. Election
reports
are subject to disclosure under
state
law and are required to be
provided with 48 hours of arequest.
COORDINATION
The
Office
of the
CityClerk
coordinated
with
the
Public
Ethics
Commission,
Department of
Information Technology, Budget
Office
and
City
Attorney's
Office
in preparation
of
this report.
The
Office
of the
CityClerk
provided statistics of reporting compliance and proposed
efforts
to
increase effectiveness at the December 6, 2010
Public
Ethics
Commission specifically
in
response
to complaints by members of the
public.
The
Office
of
City
Attorney was also
consulted and assisted in drafting
of
the resolution.
COSTSUMMARY/IMPLICATIONS
In
early 2011,
NetFile
was implemented on a
trial
basis for
year at no cost to the
City
of
Oakland.
A sparto f
the 2011-13
budget
process, in anticipation of a
successfulpilot,
the Clerk's
officerequested
funding for use
ofNetFileforpolitical
reporting and tracking. These
costs
were
adopted
in
the
Officeof
the
CityClerk
Budget
F Y
2011-13.
1.
A M O U N T O F R E C O M M E N D A T I O N / C O S T OF P R OJ E C T :
Project
Delivery
$ 0.00
Construction(i f
applicable)
$ 0.00
Contingency
(if
applicable)
$ 0.00
Total
Project Costs $ 0.00
2. C O S T E L E M E N T S
O F
A G R E E M E N T / C O N T R A C T :
Sub Project/Phases $ 0.00
Management $ 0.00
Equipment $ 0.00
Software $ 0.00
Maintenance $ 0.00
Service $ 34,000.00
Item:
Finance & Management Committee
July
10, 2012
-
8/12/2019 83983 CMS Report
4/30
DeannaJ .Santana. CityAdministrator
Subject:
Election
Compliance
Tracking
Software
June
25.2012
Labor
Rates $ 0.00
Taxes and Fees* $ 0.00
T O TA L A G R E E M E N T / C O N T R A C T A M O U N T
$ 34,000 X3YearTerm = $102,000
Plus2 One-year options to renew the contract at theCity's
sole discretion at the annual contract compensation
rate
of
$34,000.00 per yearwithan annual increase ofupto 5% of
the annual compensation amount of $34,000 per year
(or $71,400 totalforthe two optionyearsif
exercised
by
the
City)
fora grand total not-to-exceed contract amount of
one Hundred Seventy-Three Thousand, Four Hundred
Dollars
($173,400);
3.
S O U R C E
O F
F U N D I N G :
Fundingw i llbe sourcedfromthe Department's approved
budget
in the General Purpose Fund (1010),Office
of
the CityClerkOrganizafion
(03121),
Miscellaneous
Services
Account
(53719),
Elecfions
Project
(A343410),
and the
Elecfions
Program (IP
15).
4.
F I S C A L I M P A C T :Approval
ofthis
resolufionw i llallow
the Department toenterinto a
Professional
Services Agreement
with
NetFile,Inc. to provide a web-hosted election
reports
filing
and tracking system for a
three
year term
with
two one-year options to
extend, at a total cost not to exceed $173,400.
PASTP ERF ORMANCE, EVALUATIONANDF OLLOW-UP
The
majority
of theCity's filingactivities are related tofilingsof
the
StatementofEconomic
Interests
(Form 700). Designated filers
of
the
Form
700, reflect nearly 7 times the number
of
requiredfilersof the Campaign
Statements.
The statistics below compareStatementofEconomic
Interestsfilingcompliancewith NetFile(2011) to the prior year (2010) whenNetFilewas not
used todemonstratetheCity'sstrugglewithreporting compliance forConflictofInterests
Statements.
Thedatafurther alludes to the
difficulties
of manual
processes
providing
notificationand tracking asinsufficientsupport tomeetthe continuous filing,tracking and
review
acUvities.
Statement of
Economic
Interests
Staff/ElectedFilines
Filincf Year
Required to
File
Filed Filed nTime
Non
Filers
Overall
Reporting
Compliance
2011
2010
834
670
805
658
619*
185
29
37
96.52 **
99.07
Item:
Finance& Management Committee
July
10,2012
-
8/12/2019 83983 CMS Report
5/30
DeannaJ .Santana, CityAdministrator
Subject:
ElectionCompliance
TrackingSoftware
June 25. 2012
S t a t e m e n t
of E c o n o m i c
Interests
B o a r d s
C o m m i s s i o n s
F i l i n g s
Required
to
Filing Year File
Filed Filed
On
Time
Non
Filers
Overall
Reporting
Compliance
2011 394
2010
573
335
467
186*
212
59
53
85.03 **
90,08
Utilization
of
NetFile
provided forsignificantimprovements and immediate on time*
FPPC
compliance asfollows:
1) On timefilingsin 2011 todate**for staff were 74%; in 2010 on time
filing
was 28%
2) On timefilingsin 2011 todate**for Boards were 47%; in 2010 on time filingwas 37%
3) The 2011
NetFile
year provided the Cityan immediate accurate log of filings.
4) The 2011
NetFile
year provided automated immediate
pre-filing nofification
without
costs associated
with
preparation,postageandcopyingof notices; in 2010notification
costs were approximately $2,500.00excluding staff
time.
NetFile,Inc. is the sole source provider forfilingsof theStatementsofEconomicInterests(Form
700).
NetFile
was established in 1998, and is the leader ine-filingadministrafionsystems; the
onlyprovider encompassing electronicfilingsforLobbyists,CampaignDisclosureandC onfiict
of Interest
Statements
used by many cities and counfies throughout California.
Addifionally,
NetFile
offers communication tools, electronic reportingfor the
filers,
audit
trial
and audit
reporting tools.
NetFile
operateson a 24/7 hostedplatform
which
results insignificantsavings in
costs associatedwithtechnical infrastructure, hardware and systemupdates,execution of
licensing
agreements,
maintenance costs, or
staff
to
perform the systems administration.
Staffrecommends
that
C ouncilwaive the advertising andmunicipalcode requirements for
compefifive biddingand award a contract toNetFile,Inc., the sole-source provider ofa
FPPC
compliantnotification,e-filing,and report trackingtransparentsystem forStatementsof
EconomicInterest.
SUSTAINABLE
OPPORTUNITIES
Economic: Approvalof the
NetFile
contract will further theCity'scompliance
with coUecfion
ofState
required reporting, mitigating
FPPC
penalties to the
City
of
Oakland
and provide for
more effective
collection
of mandated penalties
from
late and non
filers.
Environmental:
Utilization
of the
NetFile
system willeliminate the submission of excessive
paper reports.Online viewingprovides forpublicaccess by computers
with
internet access and
smart technology devices
with
an option to print reports. There is no need to travel to City Hall
to obtain access to reports.
Item:
Finance & Management Committee
July
10, 2012
-
8/12/2019 83983 CMS Report
6/30
Deanna
J.
Santana.
City
Administrator
Subject:
Election ComplianceTracking
Software
June 25. 2012
Social Equity: Approval
of the
NetFile
contract
will allow all
members of thepublic
with
access
to computers and smart technology devices toviewstatementsregardless oflocation,disability
orany otherconditionor circumstance whatwouldchallenge access.
CEOA
This
report is not a project under C E Q A .
Forquestions regarding this report, please contactTamikaThomas, AssistantCity Clerk at 510-
238-7369.
Respectfullysubmitted.
LaTondaSimmons
CityClerk Officeof theCity Clerk
Reviewed
by:
Tamika
Thomas, Assistant
City Clerk
Prepared by:
Deidre
Scott, Records Manager
Records
Division
Attachments:
A) NetFile Scope
of
Work
B) Public Ethics Commission Memo
C)SFEthics Commission Survey
D) Assembly Bills 2452, Section 84615 and 2062, Section 87500
Item:
Finance
& Management Committee
July 10,2012
-
8/12/2019 83983 CMS Report
7/30
. G R E E l S f E N T F O B .
T H E , - P E R F O F J M . 4 Js C E
OF
S E R V I C E S
B Y
A N D
B E T W E E N
C I T Y OF O A I C L A N D ,
C AL . I F O F i_NL 4
A N D
N E T F I L E
E X H I B T T
A
S C O P E
OF
S E R \ T C E S
The,
Sendees to be performed for the
Cit}^
by the-Contractor under tins Agreement are
more
fu l ly
described-m.the Coniractorsproposal-wliich isadded'to this
.Exhibit
A and
.incoq>orated"by this reference,
E X H I B I TA - C O N T R A C T S P E C I F I C S
A . Expected Outcome
NetFile wdll
develop and maintain a systemthatpermits the
Cits^
of
Oakland
("Cit>''') and
users
authorized by the
Ci t \ '
to (1)
Electronically file
F P P C
Statement
of
Economic
Interest,Form
700
("SEE')
(up to 1,650
filers
per calendar year) and to be available, at
the option of the
Ci ty
(in redacted form) for pubhc
viewing
of documents over the
Internet
through a
link
on the
City's
website: (2) maintain a
databaseof
the
F P P C SEX
forms to track
filings
and
generate filing
deadline and amendment lettersand (3)allow
the
Ci t y
to scan SEI reports/forms not submitted electronically.
NetFile w i l l
develop and maintain a systemthatpermits the
Ci ty
and all filers who have a
political
disclosure reporting
responsibility^
to the
City
and authorized by the
Ci ty
to (1)
f i le
any or
aUof
the
F P P C
Forms 450, 460, 461, 465, 470, 496, and 497 in electronic
format to be available in redacted form for
public viewing
of documents over the
Internet
through a
l ink
on the Cit],''s w^ebsite: (2) maintain a
databaseo f
the
F P P C
Forms to track
filings
and
generate filing
deadline and amendment letters; and, (3)allowthe
Ci ty
to scan
reports not submitted electronically,
B.
Deliverables
NetFile w i l l
continue to have ready for use a systemthatpermits (1) electronic
f i l ing
of
F P P C
Statement
of
EconomicInterest,Form
700 and Campaign
Disclosure
Forms 450,
460,
461, 465, 470, 496, and 497 (hereinafter
collectively
referred to as
F P P C
Forms");
(2) at the option
of
the
City, availability' o f F P PC
Forms in an electronic format to be
available
(in redacted form) for
public viewing
of documents over the
Internet
through a
Unk On
the
Cit>''s
website; (3) maintaining a
database of
the
F P P C
Forms to track
filings
and
generate f i l ing
deadline and amendment lettersand (4)
aUow
the
Ci ty
to scan reports
F P P C
Forms not submitted electronically.
-
8/12/2019 83983 CMS Report
8/30
C .
Scope of Sei>-ice
1- For one year from the date of execution of the sendee agreement,NetFile w i l l
develop and maintain a systemthat:
(a) For FilersUsingtheInternet:
i
A l l o w s
the
Ci ty
to
pro\nde
to Filers who
have theu-
omi
access
to the
Internet
a
user
ID and'password (for an
adjustable
period) which is used to log on to a
secure site hosted
on NetFile's v.'eb
sender
but accessible via the
C i t y 's
web site,
i i .
A l l o w s
Filers who
have
their own
access
to the
Internet,
to log on to,
enterdata
-
nx; and upload.to'NetFile's"secure"site electronic'formats-af
F P P C
Forms,
i i i .
Once the forms
haves been
uploaded, NetFile's
secure site
validates the submitted
fi ling
and notifies the
F i l e r
thatthe
filing
was
accepted
or, if declined, explains
wliy
the
filing
was declined.
iv . A l l o w s
Filers to print a copy, using Adobe Acrobat Reader,
of
the formsthat
they
upload to NetFile's
secure
site.
V.
A l l o w s
Filers to
access
earlier validated electronicallyfiledforms.
(b) For the
City:
i .
A l l o w s
tracking ofFilersand all electronically filedforms in adatabase.
i i .
A l lo w s Ci t y
to scan hard copy
filings
and
post
to the online
searchable
database
provided a
l iabil ity
waiver is signed by the
City
absolving
NetFile
of any
l iabil ity
associated with manually
redacted documents
not
under
the control
ofNetFile
during the redaction
process,
(c) For
A l lF P P C
Campaign Disclosure Fonns Uploaded to NetFile's Secure Site:
i .
Produces two versions m .pdf format of the
F P P C
Campaign Disclosure Forms:
one version, not accessible by the public,wi l linclude all information as filed
(non-redacted);
the
other
version, at the option ofthe
City,
accessible by the
public, wdllhaveallstreetaddressesandbank accountinformation, if applicable,
blocked
from "sdew.
(d) For the
Public:
i .
At the option of the
Ci ty ,
allows the public to search and view electromcally
filed
documents
(wdthstreet
addresses
and banl;
account
information, if applicable,
blocked
from view-) over the
Internet,
-
8/12/2019 83983 CMS Report
9/30
l i If
a
document
w as
not available
electronically,
Nettile's secure site
willnotify
the-searcher thatthe document isavailableforviewinsinthe
office
ofthe City
Clerk,
2.
NetFile's
systemw ill,among other things:
e
Issue
an
ID
number and password
for
Filers.
Grant different user access and security levelsfor
City
staff
Store and edit generalin_formationaboutFilers,
Store and edit allfilingsby
individual
statementperiods w-here applicable,
. Generatenotificationletters
telling
the
filer
of the upcoming
filing
deadline.
Indicate howfilingswere received,
e.Trackdeadlines forfilingsand amendments andgeneratelettersnotifying
Filers
ofdelinquencies.
Trackdelinquencies andgeneratelettersnotifydng
Filers
of fines,
At
the option
of
the
City,allow
the
public
to search and
view
thedatabaseand
complete hst of
electronic
filings(wdth
addresses
and bank accountinformation,if
applicable,
redacted)
via
the
Internet,
At
the option
of
the
Citv^
allow
the
public
to search and \dew thedatabaseand
complete electronicfilmgs(mthoutaddressesand banlc accountinformation
redacted) onkioskprovidedby the Citylocatedinthen
office,
Havesufficientback-up hardware and/or
software
and/or pohcies and procedures
to ensurethatdata under the control
ofNetFile,
relative to this Agreement, is not
irretrievablylost or destroyed.
3.
NetFile
wi l l
also:
Provide
unlimited
support to the
City
staff
byemail
or phoneduringNetFhe's
normal
working
business hours.
4. Allintellectual property,includingexisting source code or additional source code
wTittenfor the purpose ofdevelopingthis system for the City,
wdll
be the sole
property ofNetFile. If
NetFile
were to ceaseoperations during the contractual
period,
NetFile would
pro\dde to the
City
all source code relative to the City's
system,
D. Performance
Standai
ds
Performance standards are based upon
pro^dding
deliverablesaccordingto thetimeline
for
performance as detennined by Project Manager
(City C lerk),
and wdiether the system
meets
the expected outcome
in
teims
of
tunelmess and
functionality,
NetFile
servers have a guaranteed uptime of
99%.
-
8/12/2019 83983 CMS Report
10/30
F , Payment Schedule
Afrersigningthissendeeagi'eement, the payment forsendeesshall be asfollows: After
the
initial
gratis period of January 27, 2011 through Januan' 27, 2012,
NetFilewdll
submit an
invoice
for continuing ongoing
sendees
of
SEI
Fonns,based
on
the amount of
S3,750,per quarter (total annual amount not to e:\ceed 315,000)forup to 1,250
filers
on
an annual basis. Ifthe amiual amount offilersnthe system exceeds 1,250therewillbe
an additional quarterly fee of S250 per quarter per 100 additionalfilers.For example, if
the annual amount offilerss1,600,the total quarterly feewouldbe $4,750 (with the
total annual amount not to exceed 319,000). Afterthe
initial
gratis periodofJanuary 27,
2011 thi'ough January'27 , 2012,
NetFile
willsubmit an
in\'Qice
for continuing ongoing
services ofCampaign DisclosureFonns,inthe''amount ofS5,000,per quarter (total
annual-amount not to.exceed $20 :000 in a 12 month period),
G.Additional Terms
Submitted
byNetFile
LIMITATIONOF
LIABILIIY^
Themaximum
liability
to the
City
by
NetFile
and its hcensors, if any, under this
agreement,
or arising out ofany
claim
by the
City-
related to
NetFile'ssendees,
products,
equipment or softwarefordirect damages, wdietherincontract, tort or otherwise,shallbe
limited
to the total amount offeesreceived
during
the last 12monthsby
NetFile
fromhe
Cityhereunder up to the time thecauseof
action
givingriseo such
liability
occurred. In
no eventshall
NetFile
or its hcensors beliabletotlieCityfor any indirect, incidental,
consequential, or specialdamagesrelated to the use ofNetFile'ssendees,products, ,
equipment or softwareorNetFile's failureto perform its obligations under
tliis
agreement,
evenif
advised
ofthe
possibility
of
such
damages, regardless ofwhether
NetFile
or its licensors are negligent.
Provided,
however,
thatfor
any
peril
or exposure
insured against under the insurance required pursuant toExhibit C,the hmits ofliability
toCityby
NetFile
shah not be less than the amount ofapphcable,valid,andcollectible
insurance set forth inExhibitC.
-
8/12/2019 83983 CMS Report
11/30
f TRNESS
ITY OF O KL ND
Public Ethics Commission
JonathanStanley, Ch air
BarbaraG reen-Ajufo, Vice-Chair
Aiaric
Degrafinried
Al ex Paul
A i M o r i
OPENNESS
Richard
linger
Vacancy (Mayoral)
Daniel D . Purnell, Executive Director
O ne Frank Ogawa Piaza, 4 ' Floor, O aklan d, C A
94612
(510) 238-3593 Fa x: (510)238-3315
T O : Public Eth ics Co mm ission
F R O M :
Daniel Purnell
D A T E : N ovember 18, 2010
R E : AReportFrom TheOfficeOf TheCity Clerk Regarding Form 700
AdministrationAnd Compliance
At i ts m eeting of July 7, 2010 , the C om mis sio n considered a supplemental staff report in
connection
with
a complaint fi led by M arleen Sacks (No. 09-16). M s.Sacks alleged
that
some
members of the M eas ure Y O versight C omm ittee had f inancial confl icts of interest
with
respect
to some of the C omm ittee's dec isions . C om mis sio n staff reported init iallythat only four
members of the Committee had filed their required Statement Of Economic Interests (Form 700)
since
they were required to do so In early 201 0. The C om miss ion directedstaff,among other
things, to request a report from the Office of the City Clerk regarding Form 700 administration
andco mpliance within the C ity of O aklan d.
Attached hereto is the requested report. A tta ch m en t 1. It demo nstrates signif icant
improvement over the past three years in terms of reporting compliance. The report also
discusses efforts currently underway to improve the current system and recommendations for
further action.
Commiss ion
staff recommends
that
the C om mi ss ion receive the report and presentation from
the City Clerk. At the Commission's direction, staff will work
with
the City Clerk's Office to
develop
and prepare for future C om mis sio n considerat ion specif ic items consistentwith the
report 's recommendations.
Respectful ly
submitted.
Daniel D. Purnell
Executive Director
-
8/12/2019 83983 CMS Report
12/30
M E M O R A N D U M
T O : Members of the Public Ethics Commission
F R O M : LaTonda Simmons, CityClerk
S U B J E C T :
Form 700
F i l ing
Compliance
D A T E : December 6, 2010
Statistical
Review
and
Analysis
A t therequestof the Ethics Commission, theOfficeof the CityClerkhas compiledthreeyearsof statistics regarding
the compliance
status
of
Form
700 filings at the City ofOakland. The Information below covers electeds, staff and
commissioners.
Electeds/Staff
Requ i r edto Non-
Fil ing
Year
File
F i led F i lers Co mpl iance
2010
670 658
51
98 .21
2009
735
486 249
6 6 . 1 2
2008
731 471 260 64 .4 3
Boards Commissions
Requ i r ed
to
Non-
Fil ing
Ye a r
File
Fi led Fi lers
Com p l ia n ce
2010
573 467
106
81.50
2009
416
247
169 59.38
2008
371
174 197 46. 90
The statistics reveal
that
staff/elected compliance in 2010 reached 98.21% and commission compliance reached
81.50%. This is approximately a 30% improvement in staff compliance and a 20% improvement in commission
compliance during calendar year 2010 when compared to the 2009
fil ing
year.
Althoughtherewas marginal improvement in the number of multiple filings between calendar
years
2008 and 2009, in
bothyearsonly two-thirds ofa ll mandatedstaffmembers filed. Withinthe
same
time period, substantially less than
two-thirds of
a ll
commission
members
filed.
Changes
in Filing
Trends
The improved 2010 f i l ingstatistics are primarily due to the concerted efforts, diligence and
persistence
ofCityClerk
staff infollowingup with multiple written reminders and outreach to staff, commission
secretaries,
and the individual
staff and commission
members
who were subject to the directive to file.
-
8/12/2019 83983 CMS Report
13/30
Everyyear theconflictsupdateprocess requiresClerkstaffto workwithstaff
in
all departments and each
commission/commissionsecretary to ensure
that
ever>'
individual
identifiedas a
Form
700
filer
is compliant. The
process for doing this is detailed and labor-intensive.
For
this reason, the compliance levels achieved In 2010 are even more impressive in lighto fthe major exodus of
City
staffover calendar years 2008-2010 due tostaffingcuts, acitywidehiringfreeze, retirements and subsequent council
action
to restore staff The high volume of staff turnover and terminations resulted in an inordinate number of changes
inpositions and job titles.
This led to an unusually high volume of mismatched data and errors in citywide automated and manual support
systemsthatmade theconflictsupdateprocess more unwieldy than usual. Additionally,the numerous transitionsthat
occurred
within
the last two calendar years in the commission appointment and monitoring processes exacerbated the
2010 commissionForm700updateprocess.
Despite
these
issues and numerous vacancies
within
the
CityClerk
Department
itself,
the 2010 improvements to the
Form
700 monitoring processes and procedures areworkingas is demonstrated by the statistics. Statistics in future
years should show additional improvement asClerkandcitywide
staffing
levels, commission appointment processes,
and citywide systems and processes,
which
are the foundation of an effective
Form
700updateprocess, stabilize.
Improvements Related ToAnnual Form700 Update Process
Continuous improvements are key to the success
of
the annual
C O l update
process.
Accordingly,
the
CityClerk
Department has focused on taking a number of
steps
to
improve
both procedures and processes. In 2010 the
department began implementing a number of changes relating to the annualForm700updateprocess. Amongthese
are:
Reorganization andreclassification of records
InA p r i l 2010 Deidre Scott was hired as theCity'snew Records Manager.
M s.
Scott is a seasoned and experienced
records management professional. Thisyear the Conflictof
Interest update
project benefited greatlyfromher
oversight and dedication in the absence ofElectionsstaff whowouldnormally oversee the process. Thisproject
includedan audit of
al l C O Ifiles
and a review
o f
job title
classifications
versus titles and a
full
comparison
with
the
C O l
resolution. TheForm700
files
are now consolidated, reorganized and readily accessible forpublicreview upon
request.
Facial review of Form 700 s upon receipt
Additionally,efforts were made in the 2010 filingyear to do afacialreview andidentifyforms upon delivery
that
were
not complete and/or did not contain all attachments indicated on the coverpageor were not signed or dated, etc. In
future filingyears, all staffreceiving
these
documents wi l lbe trained toidentify
these
and
similar
elements and issues
thatcan be observedfromafacialreview and bring them to the attention of the
filer
before acceptingdelivery.
Date Stamping Each Page of the Form7
Inorder to
avoid
claims of lost attachments subsequent to the filingdate,late in the 2010 filingseason staffinitiated
the procedure of
date
stamping eachpageo fthe
Form
700
including
all schedules indicated on the cover page.
Researching
and
compiling statistics
to
analyze filing patterns
and
trends
Inorder to reach the individualswho were subject to filingthis year, staff developed anExce l spreadsheetto track
filing progress throughout the project. This allowedher to develop the statistics
that
are the subject
of
this report.
Unti lnow,therehas not been an automated system ordatabaseto track filing progress.
Proposed implementation of NetFile electronic disclosure filing system
InOctoberClerkstaff arranged a meeting
with NetFile
representatives to discuss the features ofthe
Netfile
electronic
disclosure
filing database.
TheNetFilesystem allows all data onC O I and campaign disclosure forms to be entered, tabulated and filed
electronically. TheNetFilesystem,whichhas been endorsed by the
F P P C ,
greatly
simplifies
the task ofindividual
filersand automaticallycreatesand maintains a log offilingsforthe
filer
and the F i l ingOfficer.Thissystem is hosted
-
8/12/2019 83983 CMS Report
14/30
on NetFileservers and is available 24/7 on the internet for the
filer
and Fil ingOfficeras
well
as the public and the
press
to
view.
Documents are accessible
from
the moment they are
filed
in the system.
Fromthe perspective of the
filer,
the system greatly simplifiesthe filingprocess and alerts the
filer
when s/he has not
providedthe proper information. The help prompts also provide filing assistance and explanations.
NetFile
has its servers based
locally
in Oakland, and the
Netfile
system has been
successfully
implemented in San
Francisco, Berkeley,Sacramento and San Diego among other cities. Phone inquiries to user/owners in
these
cities
revealed extremely positive reviews about
NetFile
service both from cit>' staff
and
from end users, for whom this made
the
filing
process far easier.
Staff in
all the cities contacted Indicated
that
compliance increased markedly after the system was implemented. The
factthatthe redacting of personal information can be performed in the system and the documents can be made
immediatelyavailable on the internet
saves
a tremendous amount of staff time formerlyspentscanning or
photocopying
the documents for multiplePublicRecords Act
requests.
A ll the communities contacted reported
that
the
NetFile
system resulted in an extremely
transparent
disclosure system
for
their residents and other interested parties, particularly the press, who no longer had to
visit City Hall
to obtain the
detailed information they regularly
seek.
Additionally,
the
NetFile
system also can be used to track campaign
disclosure
filings.
The
NetFile
system can be implemented on a day forward basis. Should the
City
choose, older data can be mapped
and migrated into the system at the
same
or a later time. If implemented in early 2011, a day forward
NetFile
implementation
wi l l
result in the system being immediately able to support a
full
monitoring and tracking system for
the 2011 annual
Form
700
update
process.
Implementation of F P P C "bestpractices" monitoring and enforcement processes and procedures
In addition to
working
on a plan to implement theNetFileelectronic filingsystem, the
Clerk's
Officeis
simultaneously
working
on a plan to
enhance
and improve the annual COI updateand monitoring process. Clerkstaff
isworking directly
with
both the F P P CTechnicaland Enforcement
Divisions
on a project to implement a new
"best
practices" plan for the
City
ofOakland. This
wi l l
include detailed instructions forstaff
that
cover
all
aspects
of
the
annual
COI update
process,
including
the need for periodic written reminders and correspondence, tracking
procedures, fines, penalties and waivers, and, ultimately, standardized procedures for referring late and
non-filers
to
the F P P C .
The implementation
of
the
NetFile
system
would
greatly
enhance
the new procedures and processes as the system can
be programmed to both monitor
these
procedures and calculate fines and penalties at the
local level.
It wi l l also
allow
reports to be electronically generated regarding late ornon-filers.
Revisions toMasterFee Schedule
TheClerkDepartment is in the process ofmaking modificationsto its Master Fee Schedule to memorialize
locally
the
F P P C
mandated penalty and fee schedules for
Form
700 and campaign disclosure
statement
late and
non-filers.
This
is
in addition to any penalties or
feesthat
might be
levied
by the F P P Cas
part
of
any
audit or enforcement process they
undertake.
Regularf o l l o w
up reporting to
departments
regardingstaff
compliance
A
number of issues contributed to filingdelays in 2010. These included:
1) discrepancies between an employee's
"classification"
in the personnel
database
as opposed to the position "title" on
the
C O l
resolution; 2) delays in receipts
of
the current boards and commissions rosters; 3) misconceptions about
disclosure categories; 4) misunderstandings regarding the event
that
initiates the requirement to
file
(i.e., assuming
office,position change, etc.); 5) delays in forms being forwarded by board secretaries after receipt fromindividual
filers,
and 6) changes in the
staffing
assignments to the Boards and Commissions.
Therefore, as an adjunct to the"bestpractices" processes and procedures thatare being implemented per F P P C
recommendations. ClerkDepartment staffisalso developing and implementing acitywidesystem of department
-
8/12/2019 83983 CMS Report
15/30
liaisoncoordinators andcommissionsecretaries through whom regular communications to
citywide
staff and
commissioners
wi l l be routed and received,particularlyregarding disclosure requirements and filingdeadlines.
This
effort
will provide broader and moreeffective disseminafionof employeeclassificationand designationupdates
and informationas wellas disclosure requirements and filingdeadlines.
Training
and
working
withtheliaison in each
department willallow ClerkDepartment staffto focus on, understand and resolve issues,withthe aid of the
department
liaison,
that
are unique to eachdepartment.
Next
Steps:
Staff is pursuing the followingactions in order tofacilitatethe filingprocess forindividual
filers
and maximize
compliance. Theseseparatebut inter-dependent projects include:
Implement
the
NetFile electronic filing system
fo r
Form
70 0and
campaign statement filing
A s statedpreviously in this report, theNetFilesystem willprovide many ofthe tracking andmonitoringelements
required
for a
successful
C OI system. It makes the
filing
process easier for
filers
and the
Fil ing
Officer. It also makes
all filings accessible to the press, and thepublic. A more completefollow-upreport to thePublic
Ethics
Commission
on this topicwi l l beforthcomingas the project movesforward. However,it should be notedthathaving the support of
thePublicEthics
Commission
forthis veryusefuland valuable projectwill help
ensure
its implementation and
success.
Draft
an
ordinance containing disciplinary provisions
fo r
non-filers
In order to provide aneffectiveenforcement mechanism, an ordinanceneedsto be draftedthatcovers the
consequences ofafailureto
file.
For example, employeeswouldbe subject todisciplineby the CityAdministrator
and Commissionerswouldaccept appointments conditioned on filingor be subject to removal for afailureto file.
Th e routine andtimely filing oftheForm700 might be made aconditionof the contract for any contractors employed
by the City, A nordinance containing
these
and/or other types of requirements
would
provide a needed
local
enforcement mechanism. Guidance and input
from
the
Public
Ethics
Commission
wi l l play a
vital
role in this effort.
-
8/12/2019 83983 CMS Report
16/30
DraftanAdministrativeInstruction establishing thefailureto
f i l e
as adisciplinaryaction
A nAdministrative Instruction (AI)
would
provide an enforcement mechanism forstaff
similar
to the ordinance
previouslysuggested. The A l lays out for all employees requirements for the filing ofForm700 and the consequences
of afailureto file. Thiswould provide a framework for subsequent disciplinaryaction by the CityAdministrator if an
employee
fails
to meet the required standard for continued employment.
Implement an d publicize asystem o flocal penalties fo r lateandnon-filers
To support the
effort
to fine late andnon-filers,theOfficeof the CityClerk wi l ldevelop and enforce, beginning April
1, 2011, a schedule of penalties/fines as wellas a processing systemthatincludes the appropriate use ofwaiverletters,
depending on the circumstances of
each
case. The fee and processing structures
wi l l
be based on
F P P Cmandates
and
recommendations
that
are currently in place and enforceable.
However,
taking the
localsteps
defined above
wi l l
provide a foundation for andpublicizethe fact
that
the
City
Administration is taking a unilateral
affirmative
stand on this issue. It
will
formthe basis of the filingordinance and
AdministrativeInstruction.
Both
implementing and
enforcing
this system as acitywideeffortwillrequire the support
ofthe
Public
EthicsCommissionand theAdministration.
A n
effective
implementationwi l l be
primarily
based on theability oftheOfficeof the CityClerkto maintainadequate
staffing
levels,
which
it has not been able to achieve over the last
three
years. As previously mentioned, dynamic
staffingissues,including fivelevels of council-mandated staffcuts,hiringfreezes and layoffs
from
2008 through
2010, leftCitydepartments and theClerk's Officegrossly understaffed and without an
Elecfion
D ivis ion to perform
the most routinedailyfunctions.
Training fo r department managers/unit supervisors
Training
for department managers and unit supervisors regarding what constitutes aconfiictof interest wi l lresult in a
more standardized approach and understanding
of
the
conflict
of interest process.
A s
a result,fliture
updatesof
the
CO I
resolution
wi l l
begin to demonstrate an improved inter-agency understanding of the substance and purpose
of
the*
CO I process and demonstrate and reflect a more standardized approach in citywide reporting schedules.
Cohesive structure for job titles/classifications
Manyof the problemsthatwere encountered withthe COI updateprocess this year resulted
from
a lack of
cohesiveness between job titles and
classifications.
WhenOakland
originally
developed its personnel system in
Oracle,
it was ahead of its time in
including
the
CO I status
for each
position.
The fact
that
the personnel
database
was
designed to track the C O l mandate at the
individual
employeelevelgives the
City
ofOaklanda distinct advantage
over othermunicipalities
that
do not have thiscapabilitybuih into their personnel systems.
However,over time job titles andclassificationshave become disassociated. Thisnow makes it verydifficuhto
determine
whichtitles/classificafions
are currently subject to the
conflict
of interest code.
Clerk staffwi l l
need to
workon a projectwithstaffinciWwidedepartments and Personnel to remedy the disparities.
Although
this is a time
and labor-intensive process, itwi l l result inbetterand simpler futureupdateso ftheconflictof interest code and a more
standardized citywide C OI process.
The
Officeof the
City
Clerk looksforwardtoworking
with
the
Public
EthicsCommissionon
these
and additional
elementsthatare required to buildand maintain a
successful
conflictof interest disclosure program for the Cityof
Oakland.
A P P R O V E D B Y : P R E P A R E D B Y :
-
8/12/2019 83983 CMS Report
17/30
LaTonda
Simmons,
City Clerk
Sara
Cox
Assistant
City Clerk
Deidre Scott,
Citywide
Records Manager
-
8/12/2019 83983 CMS Report
18/30
ETHICS
COMMISSION
CITY
AND
C O U N T Y OFSAN
FRANCISCO
SUSAN
J.HARRIMAN
CHAIRPERSON
EM]GUSUKLMA
VICE-CHAIRPERSON
EILEEN HANSEN
COMMISSIONER
JAMIENNE S. STUDLEY
COMMISSIONER
CHARLES L.WARD
COMMISSION'ER
JOHN ST. CROIX
EXECUTIVE DIRECTOR
Date:
T o :
From;
B y :
Re:
March
6, 2007
Members,Ethics
Commission
JohnSt.
C r o i x ,
Executive Director
Steven
Massey, Information Technology'
Officer
Survey
of
VendorsApproved
for
Electronic F i l i n g
in
California
with
the Secretary of
State
A tits last meeting, the Department of
Telecommunications
and Information Services
(DTIS)
informed
the
Commission
it
w i ll
no longer provide suppon for the
On-Line
F i l i ngSystem in
F Y
07-08.
D T I S
now
estimatesthat
developing a replacement system
would
cost the
Commission
at least two to
three
times the amount it estimated prior to
its reorganization, putting the total cost of development at roughly $200,000 to
$300,000. A software system of this size
would
take
D T I S
time to develop andcould
leave theCommissionwithout a supported system in the
interim.
It is
vitalthat
the
Commissionhave the necessary staff supportfromprogrammers and I.T. to maintain a
reliablesystem for
filers.
Ethics
Commission
software development projects have not
been a priority for
D T I S
in the
past
and I see
little
reason why their recent
reorganization w i l lbe any reason for change.
D T I S
staff has been very candid
that
this
is
largely
because
theCommissionhas never had thefinancial
means
to fund ongoing
software development.
This
puts
considerablepressureon the
Commission
to
f ind
a
suitable replacement system
that
can be deployed to the
filers
by next
f iscal
year and is
within
budget constraints. The on-linef i l i n gsystem is the mostcriticaltool the
Commissionhas for auditing and enforcing campaign finance laws and keeping
the public informed about money in
politics.
TheCommissionis in need ofon-line f i l ingsystem softwarethatcontainsthree
software components: an electronic
f i l i n g
system, agency
back-office
management
system/database, and a web-based search engine. The Secretary of
State
mamtains a
list
of
21
vendors it has approved for electronic
f i l ing
system software in
C al i forn ia .
It
is
comprised of
California-based
and national vendors. The
list
is intended toinform
committees and
P A C s
of vendors
that
are
certified
to produce the electronic
f i l ing
system component of the on-line
f i l ing
system software. It is not a
list
of vendors
offering
an agency on-linef i l i n gsystem
that
contains the
back-office
management
system/database
and web-based search engine soft>vare components.
Staff
has already been in contact
with
two vendors of
tested
agency on-line
f i l ing
systems
that
are currently in use by otherjurisdictions:
Netfile
and theCit>'ofLos
25
Van
NessAvenue,Suite
220 San
Francisco,CA 94102-6053
Phone (415) 252-3100
Fax
(415) 252-3112
E-Mail
Address: ethics.commissionfaj.sfgQv.ori Website: hltp://www.5fgov-or /ethics
-
8/12/2019 83983 CMS Report
19/30
Angeles.
Staff
has hadmultipleconversationswithLos
Angeles
EthicsI.T.
staff
whohave
stated
thatthe Los
Angelessystem
would onlybesoldas-is. The Los
Angelessystem
canonly
fileaForm 460Recipient CommitteeCampaignStatementandcontainsan
inadequate
back-
office systemformanagingand
auditing
reports. Itlacks anequivalentto the CampaignFinance
Log, currentlyin use byCommission
staff,
and
many
criticalautomatedsoftware componentsfor
producing
letters
and
publishing data
on the
Internet
for
public
viewing.
Upgrading and
redeveloping
the Los
Angelessystem
would
requireasignificant
investmentto
meet
the
Commission'sneeds.
Since
theCommissiondoesnothaveprogrammersonstaff,
this
work
wouldneedto be
completed
by DTIS. I do not
believe
purchasing
the Los
Angelessystem
would
provide
DTISwith
enough
ofahead
start
ondevelopinga newsystemtojustifythe
cost.
Staffhas
recently expanded
its
search
to
ensure there
are no
other vendorswithatestedsystem
thatcan bedeployedin ashortperiodoftime. Stevenhaspersonally calledall of the
vendors
basedin California on theSecretaryofState's
vendor
list. Elevenof thetwelveCalifornia
vendors
respondedto the inquiry. All of the
vendors
have been extremely
cooperative
and
helpful
and
have
confirmed
what
staffalready
suspected
about
the
market
for
agency
on-line
filingsystems.Noprivate vendor
other
than
Netfile
currentlymaintainsanagency
on-line
filing
systemfor any Californiajurisdictionatthis timeor has a
comparable
system
currentlyunder
development.
Staffhas also been in contactwiththe Cityof SantaCruz,Cityof
Burlingame,
Cityof
San
Jose,
Cityof Sacramento, County of SantaClara,and the County ofSan Bernardino to determine how
thesejurisdictions
handle electronic
filing.
The County of San Bernardino issued the most
recentR F P tobuilda campaign finance system in 2006 andNetfilewas the only vendor to
respond to the
request.
Staffhas discussedNetfile withthe Cityof
San
Jose, County of Santa
Claraand the County ofSan Bernardino andallhave indicated
that
they are satisfied with
Netfile'sservice.Netfile'sagency on-line
filing
system is currently deployed in the County of
SantaClara,Cityof SantaClara,CityofAnaheim,County ofSan Bernardino,CityofSan Jose,
CityofSan
Diego,
and the County ofAlameda. Manyofthesejurisdictionsare expanding
electronicfilingbeyond campaign finance reports. Netfileis capable of expanding electronic
reporting intoareassuch asStatementsofEconomicInterests,SunshineCertifications,lobbyist
reports, and campaign consultant reports.- Thispresentsa
significant
opportunity for the public
to gain
access
on theInternetto the wealth ofinformationstored in the Commission's
office
in
paperformat-
Staff
has arranged for an
Interested
Persons Meeting onMarch29, 2007 to discuss what
featuresfilers and consumers of campaign financedataarelookingfor in a new system.
Staff
will
also listen to concerns
about
private vendors
providing
the
Commission
with on-line
filingsystem software and maintainingCit>'electronic data.
S : \ C A M P A l G N \ O L F S \ E f i l i n g Report\Memo to the
Commission
regarding OLFSSurvey ofVendors.doc
-
8/12/2019 83983 CMS Report
20/30
C A L I F O R N I A
L E G I S L A T U R E
2011-12
R E G U L A R
S E S S I O N
A S S E M B L Y
B I L L
No. 45
Introduced by
AssemblyMemberAmmiano
February 24,2012
A nact to addSection84615 to the GovernmentCode,relating to the
PoliticalReform
Act
of 1974.
L E G I S L A T I V E
C O U N S E L ' S D I G E S T
A B
2452, as introduced,
Ammiano.
Political
Reform
Act of 1974:
onlinedisclosure.
The
Political
Reform Act of 1974 requires specified candidates,
committees, slate mailer organizations, and lobbyists,
lobbying firms,
and lobbyist employers to
file
campaignstatementsand reports online
or electronically
with
the Secretary of State, as specified. The act
requires certain oftheseentities to also
file
campaignstatementsand
reports
with
local
filing
officers,asspecified.
This
bill
wouldauthorize a localgovernment agency to require an
electedofficer,candidate, committee, or other person required to
file
specifiedstatements,reports,
or
other documents tofilehose statements,
reports, or other documents online or
electronically
withalocalfiling
officer.
The bill
wouldprescribe
criteriathat
must be
satisfiedby a
local
government agencythatrequiresonlineor
electronicfiling
of
statements,
reports, or other documents, asspecified,
including,
among others,that
the system be available free of charge to filers and to the public for
viewing filings,
andthatthe system include a procedure for
filers
o
comply
with
the requirementthatthey
sign
statementsand reports under
penalty of perjury.
The Political ReformAct of 1974, an initiative measure, provides
that
the Legislature may amend the act to further the act'spurposes
99
-
8/12/2019 83983 CMS Report
21/30
AB
45
7 ^
Upona H voteofeach house and comphancewithspecifiedprocedural
requirements.
This billwoulddeclare
that
it furthers the purposes of the act.
Vote: Vs. Appropriation: no.
Fiscal
committee: no.
State-mandated
local
program: no.
777e people
of the
State
o f
California
do
enact
a s
follows:
1 S E C T I O NI. Section84615 isaddedtothe GovernmentCode,
2
to read:
3 84615. A
local
government agency may require an elected
4
officer,
candidate, committee, or other person required to file
5 statements, reports, or other documents required by Chapter 4
6
(commencing
withSection84100) tofilehose
statements,
reports,
7 or other documents online or electronicallywith a
local
filing
8 officer. A local government agency that requires online or
9 electronicfilingpursuant to this sectionshallcomplywithall of
10 the
following:
11 (a) The
legislative
body for the
local
government agency
shall
12 adopt an ordinance
approving
the useof
online
orelectronicfiling,
13
which shall
include
a
legislative
finding
hattheonline
orelectronic
14 filing systemw i lloperatesecurely andeffectivelyand
would
not
15 unduly burdenfilers.The ordinance adopted by the legislative
16 body for the
local
govermnent agency may, at the discretion of
17 thatlegislative body, specifythatthe electronic or online filing
18 requirements apply
only
to
specifically
identifiedtypes of filings
19 or are triggered
only
by
identified
monetary thresholds.
20 (b) The online or electronic filingsystem
shall only
accept a
21 filing in the standardized record formatthatis developed by the
22 Secretary of State pursuant to paragraph (2) ofsubdivision(a) of
23 Section 84602 and
that
iscompatiblewiththe SecretaryofState's
24 system
forreceiving
an online or electronic
filing.
25 (c) The online or electronic filing system
shall
ensure the
26
integrity
ofthe data transmittedand shall
include
safeguards against
27 efforts to tamper
with,
manipulate, alter, or subvert the
date.
28 (d) Thedate offiling
for a
statement,report, or other document
29 that is filedonline or electronically
shall
be the day thatit is
30 received by the localfilingofficer.
31 (e) The
local
filing
officer shall
make
al l
the datafiledavailable
32 on theInternetin an easily understood fonnatthatprovides the
99
-
8/12/2019 83983 CMS Report
22/30
3 A B
2452
1
greatest
pubhc access. The datashallbe made available free of
2 charge and as soon as possible afrer receipt. The data made
3 available on the Internet shallnot contain the
street
name and
4 buildingnumberof
the
persons or entity representanves listedon
5 theelectronically
filed
fonns or any bank account numberrequired
6 to be
disclosed
by the filer.
7 (f) The online or electronic
filing
system
shall
include a
8 procedureforfilersocomply
with
the requirementthattheysign
9 statementsandreports under penaltyofperjurypursuanttoSection
10 81004.
11 (g) Thelocalgovernment agencyshallenablefilersto submit
12
filings
freeof
charge.
13 (h) The local filingofficer shallmaintain, for a period of 10
14 yearscommencingfromthe
date
filed,a secured,
official
version
15 of each online or electronic statement, report, or other document
16
filed
pursuant to this section,which shaUserve as theofficial
17 version of
that
record for purpose of audits and any otherlegal
18 purpose.
19 (i)
Notwithstanding
any other
provision
of
law,
any statement,
20
report, or other document
filed
online orelectronicallypursuant
21 to this sectionshallnotberequiredtobe
filedwith
thelocal
filing
22
officer in
paper format.
23 S E C .2. The
Legislature
findsand declares
that
thisbillfurthers
24 the purposes of the
Political
ReformAct of 1974
within
the
25 meaning of
subdivision
(a) of
Section
81012 of the Government
26
Code.
0
99
-
8/12/2019 83983 CMS Report
23/30
B I L L NUI lBER:AB
2062 AI4ENDED
B I L L TEXT
AMENDED INASSEMBL Y MAY 25,2012
AI-^ENDEDINASSEMBL Y APRI L 24,2012
INTRODUCEDBY A s s e m b l y
Member
D a v i s
FEBRUARY
23, 2 012
A n a c tto addS e c t i o n 87500.2to theGovernment
Code,
r e l a t i n gto
t h e
P o l i t i c a l
R e f o r m A c tof1974,andd e c l a r i n g t h e u r g e n c y t h e r e o f ,
t o
t a k e
e f f e c t i m m e d i a t e l y .
L E G IS LAT I V E COUNSEL S DIGEST
AB 2062,asa m e nd ed,
D a v i s . P o l i t i c a l
R e f o r m A c tof 1974:
s t a t e m e n t sofe c o n o m i c i n t e r e s t s : e l e c t r o n i c f i l i n g .
E x i s t i n glawe s t a b l i s h e s ,
u n t i l De c e m b e r 31, 2012,
a
p i l o t p r o g r a m
a u t h o r i z i n g s p e c i f i e d l o c a l g o v er n m e nt a g e n c i e stod e v e l o pand
i m p l e m e n ta s y s t e m f o rthee l e c t r o n i c f i l i n gofs t a t e m e n t sof
e c o n o m i c i n t e r e s t sby c e r t a i n p u b l i c
o f f i c i a l s ,
as s p e c i f i e d .
T h i s
j i l l w o u l d a u t h o r i z e a l l a g e n c i e stop e r m i tthe e l e c t r o n i c
f i l i n g of a s t a t e m e n tofe c o n o m i c i n t e r e s t s , i n a c c o r d a n c e w i t h
r e g u l a t i o n s a d o p t e dbyt h e F a i r
P o l i t i c a l
P r a c t i c e s C o m m i s s i o n .The
b i l l
w o u l d r e q u i r e theC o m m i s s i o ntoa p p r o v eandc e r t i f yan
e l e c t r o n i c f i l i n g
s y s t e m p r o p o s e d
by an
a g e n c y , u p o n p a y m e n t
by
Che age ncy o f a f e e o f $1, 00 0 to the Commiss ion, i fthes y s t e m
m e e t s
p r e s c r i b e d r e q u i r e m e n t s .The b i l l w o u l d a l s o a u t h o r i z ethe
C o m m i s s i o ntoc o n d u c t d i s c r e t i o n a r y a u d i t s of ana g en c y s e l e c t r o n i c
f i l i n g s y s t e mto
e v a l u a t e
i t s p e r f o r m a n c eandc o m p l i a n c e
w i t h
the
r e q u i r e m e n t sof t h i s
b i l l .
The
b i l l
w o u l d r e q u i r e theC o m m i s s i o nto
a c c e p t
e l e c t r o n i c
c o p i e s
of
s t a t e m e n t s
of
e c o n o m i c
i n t e r e s t s
f o r w a r d e dt oi tby ana g e n c y t h a t hasr e c e i v e dane l e c t r o n i c a l l y
f i l e d st5-tement fro m f i l e r s .
-
8/12/2019 83983 CMS Report
24/30
T h e b i l l w o u l d a u t h o r i z e
a
c i t y
or
c o u n t y
t h a t
d e v e l o p e d
an
e l e c t r o n i c
f i l i n g
s y s t e m
p u r s u a n t
to the
p i l o t p r o g r a m
to
c o n t i n u e
to
u s e t h a t s y s t e m d u r i n g
the
t i m e i t t a k e s
the
C o m m i s s i o n
to
a d o p t
the
r e g u l a t i o n sto
g o v e r n
thee l e c t r o n i c
f i l i n g
s y s t e m p r o g r a m ,
but
w o u l d
r e q u i r e the
c i t y
or
c o u n t y
to
s u b m i t
a d e s c r i p t i o nofi t s
e l e c t r o n i c f i l i n g s y s t e m
to theC o m m i s s i o n f o r a p p r o v a land
c e r t i f i c a t i o n
a f t e rtheC o m m i s s i o n s r e g u l a t i o n s
t a k e
e f f e c t ,as
s p e c i f i e d .
E x i s t i n g
law
m a k e s
a
k n o w i n g
or
w i l l f u l v i o l a t i o n
of the P o l i t i c a l
R e f o r m A . c tof 1974 am i s d e m e a n o rand s u b j e c t s o f f e n d e r s to c r i m i n a l
p e n a l t i e s .
B y c r e a t i n g a d d i t i o n a l c r i m e s , t h i s b i l l w o u l d i m p o s e
a
s t a t e - m a n d a t e d
l o c a l
p r o g r a m .
T h e C a l i f o r n i a C o n s t i t u t i o n r e q u i r e s the s t a t eto
r e i m b u r s e l o c a l
a g e n c i e s
and
s c h o o l d i s t r i c t s f o r c e r t a i n c o s t s m a n d a t e d
by the
s t a t e . S t a t u t o r y p r o v i s i o n s e s t a b l i s h
p r o c e d u r e s
f o r m a k i n g t h a t
r e i m b u r s e m e n t .
T h i s b i l l w o u l d p r o v i d e t h a t
no
r e i m b u r s e m e n t
i s
r e q u i r e d
by
t h i s
a c t f o r
a
s p e c i f i e d r e a s o n .
T h e P o l i t i c a l R e f o r mAct of 1974, an i n i t i a t i v e m e a s u r e , p r o v i d e s
t h a t
the
L e g i s l a t u r e
may
amend
the act to
f u r t h e r
the
a c t s p u r p o s e s
u p o n
a 2/3
v o t e
of
e a c h h o u s e
and
c o m p l i a n c e
w i t h s p e c i f i e d
p r o c e d u r a l r e q u i r e m e n t s .
T h i s b i l l
w o u l d
d e c l a r e t h a t i t f u r t h e r s the
p u r p o s e s
of the a c t .
T h i s b i l l
w o u l d
d e c l a r e t h a t i ti s tot a k e e f f e c t
i m m e d i a t e l y
as
a n u r g e n c y s t a t u t e .
V o t e :
2/3.A p p r o p r i a t i o n : no.
F i s c a l c o m m i t t e e :
yes.
S t a t e - m a n d a t e d l o c a l
p r o g r a m :yes.
THE
P EOP L E
OF THE
STATE
OF
C A L I F O R N I A
DO ENACT AS FOLLOWS:
SECTION
1.
S e c t i o n 87500.2
i s
a d d e d
to the
G o v e r n m e n t C o d e ,
to
r e a d :
87500.2.
(a) An
a g e n c y
may
p e r m i t
the
e l e c t r o n i c
f i l i n g
of a
s t a t e m e n t
of
e c o n o m i c i n t e r e s t s r e q u i r e d
by
A r t i c l e
2
( c o m m e n c i n g
-
8/12/2019 83983 CMS Report
25/30
w i t h S e c t i o n 87200)
o r A r t i c l e 3
{com m e n c i n g w i t h S e c t i o n
87300),
i n c l u d i n g a m e nd m e n t s , i n a c c o r d a n c e
w i t h r e g u l a t i o n s
a d o p t e d b y t h e
C o m m i s s i o n .
(b )
I n c o n s u l t a t i o n w i t h i n t e r e s t e d
a g e n c i e s ,
t h e
C o m m i s s i o n s h a l l
u s e
common
d a t a b a s e
i n t e g r a t i o n f e a t u r e s
i n d e v e l o p i n g d a t a b a s e
d e s i g n
r e q u i r e m e n t s
f o r a l l e l e c t r o n i c f i l i n g s t h a t may be
u s ed.
c) 1)
An
agency that intends to permit electronic filing of a
statement of economic interests shall submit a proposal, which shall
include a description of the electronic filing system that the agency
proposes to use, along w it h a f ee o f one t housand dol l ar s
( $ 1 , 0 0 0 ) , t o t h e
C o mm i s si o n f o r a p p r o v a l
a n d
c e r t i f i c a t i o n .
{2)
An agen cy sha l l no t charge a person to electronical ly
f i l e a s t a te m e n t o f e c o n o m ic i n te r e s ts
(3 ) Th e C o m m i s s i o n s h a l l r e v i e w a n a g en c y s p r o p o s a l f o r c o m p l i a n c e
w i t h
t h e
s y s t e m r e q u i r e m e n t
r e g u l a t i o n s
a d o p t e d p u r s u a n t
t o s u b d i v i s i o n s ( a ) a n d
(b ) a n d t h e r e q u i r e m e n t so f
s u b d i v i s i o n
( d ) .I f t h ep r o p o s e d s y s t e m c o m p l i e s
w i t h
t h e s e r e q u i r e m e n t s ,
t h e
C o m m i s s i o n s h a l l a p p r o v e
a n d
c e r t i f y
t h e
a g e n c y s
e l e c t r o n i c
f i l i n g s y s t e m a s s o o n a s
p r a c t i c a b l e a f t e r r e c e i v i n g
t h e
a g e n c y s s u b m i t t e d
p r o p o s a l .
(d) An a ge n c y s p r o p o s e d
e l e c t r o n i c
f i l i n g s y s t e m s h a l l m e e t t h e
f o l l o w i n g
r e q u i r e m e n t s :
(1 ) A s t a t e m e n t o f e c o n o m i c
i n t e r e s t s
f i l e d e l e c t r o n i c a l l y s h a l l
i n c l u d e
a n
e l e c t r o n i c t r a n s m i s s i o n t h a t
i s s u b m i t t e d u n d e r
p e n a l t y
o f
p e r j u r y
a n d
t h a t
c o n f o r m s t o
s u b d i v i s i o n
( b ) o f
S e c t i o n 1633. 11
o f
t h e
C i v i l
Code.
(2) (A) The a g e n c y s f i l i n g o f f i c e r s h a l l
i s s u e
t o a p e r s o n who
e l e c t r o n i c a l l y f i l e s
h i s o r h e r
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s o r
a m e n d me n t a n
e l e c t r o n i c c o n f i r m a t i o n t h a t
n o t i f i e s t h e f i l e r
t h a t
h i s
o r h e r
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s o r a m e n d m e n t w a s r e c e i v e d .
Th e
c o n f i r m a t i o n
s h a l l
i n c l u d e
t h e d a t e a n d t h e t i m e
t h a t
t h e
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s o r am e n d me n t w a s r e c e i v e d b y t h e
f i l i n g o f f i c e r a n d t h e
m e t h o d
b y w h i c h t h e f i l e r may v i e w a n d
p r i n t
t h e
d a t a
r e c e i v e d b y t h e
f i l i n g o f f i c e r .
(B )
A
c o p y
r e t a i n e d b y t h e
f i l e r
o f a
s t a t e m e n t
o f
e c o n o m i c
-
8/12/2019 83983 CMS Report
26/30
i n t e r e s t s o r a m e n d m e nt t h a t w^as e l e c t r o n i c a l l y
f i l e d
a n d t h e
c o n f i r m a t i o n i s s u e d
p u r s u a n t t o s u b p a r a g r a p h (A)
t h a t
s h o w s
t h a t
t h e
f i l e r
t i m e l y f i l e d
h i s
o r h e r
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s o r
amend ment s h a l l
c r e a t e
a
r e b u t t a b l e
p r e s u m p t i o n
t h a t
t h e f i l e r
t i m e l y
f i l e d
h i s
o r h e r
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s o r a m e n dm e n t .
(3 ) Th e a g e n c y s h a l l u t i l i z e a n
e l e c t r o n i c
f i l i n g s y s t e m
t h a t
i n c l u d e s l a y e r e d s e c u r i t y t o
e n s u r e d a t a
i n t e g r i t y . Th e
s y s t e m s h a l l
h a v e t h e
c a p a b i l i t y
t o
u n i q u e l y
i d e n t i f y a f i l e r e l e c t r o n i c a l l y w h e n
he
o r s h e
a c c e s s e s
t h e e l e c t r o n i c f i l i n g
s y s t e m .
Th e o p e r a t i o n a l
p r o c e s s f o r t h es y s t e m s h a l l
i n c l u d e i n d u s t r y
b e s t
p r a c t i c e s
t o
e n s u r e
t h a t t h e s e c u r i t y a n d i n t e g r i t y o f t h e
d a t a
a n d i n f o r m a t i o n
c o n t a i n e d
i n t h es t a t e m e n t o f e c o n o m i c
i n t e r e s t s
a r e n o t
j e o p a r d i z e d
o r
c o m p r o m i s ed.
(4)
Th e
a g e n c y s h a l l
p r o v i d e t h e p u b l i c w i t h a
c o p y
o f a n o f f i c i a l
s s t a t e m e n t o f e c o n o m i c
i n t e r e s t s u p o n r e q u e s t ,
i n a c c o r d a n c e
w i t h
S e c t i o n
81008.
Th e
c o p y
o f t h e e l e c t r o n i c a l l y f i l e d
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s
s h a l l b e i d e n t i c a l t o t h e s t a t e m e n t o f e c o n o m i c
i n t e r e s t s p u b l i s h e d b y t h e
C o m m i s s i o n
a n d
s h a l l
i n c l u d e t h e
d a t e
t h a t
t h e
s t a t e m e n t wa s f i l e d .
( e ) Th e
C o m m i s s i o n
may
a d o p t
r e g u l a t i o n s no r e q u i r e t h a t a n
a g e n c y
r e d a c t i n f o r m a t i o n
o n a s t a t e m e n t o f e c o n o m i c
i n t e r e s t s p r i o r
t o
p o s t i n g t h e
s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s o n t h e I n t e r n e t .
( f ) Th e C o m m i s s i o n may c o n d u c t
d i s c r e t i o n a r y a u d i t s
o f a n a g e n c y s
a p p r o v e d
a n d c e r t i f i e d
e l e c t r o n i c
f i l i n g
s y s t e m
t o
e v a l u a t e
i t s
p e r f o r m a n c e
a n d
c o m p l i a n c e
w i t h t h e
r e q u i r e m e n t s
o f t h i s s e c t i o n .
(g) Th e C o m m i s s i o n s h a l l a c c e p t a n
e l e c t r o n i c
c o p y o f a s t a t e m e n t
o f
e c o n o m i c
i n t e r e s t s t h a t i s
f o r w a r d e d
t o
i t
b y a n
a g e n c y
t h a t h a s
r e c e i v e d
a n e l e c t r o n i c a l l y f i l e d s t a t e m e n t f r o m a f i l e r p u r s u a n tt o
t h i s
s e c t i o n .
{h)
A c i t y o r
c o u n t y
t h a t
d e v e l o p e d
a n e l e c t r o n i c f i l i n g
s y s t e m
p u r s u a n t t o t h e p i l o t p r o g r a m
e s t a b l i s h e d
b y
S e c t i o n 87500.1
may
c o n t i n u e t o u s e t h a t
system,
f o r
p u r p o s e s
o f t h i s s e c t i o n , i n c l u d i n g ,
b u t n o t
l i m i t e d
t o , t h e t i m e
d u r i n g
w h i c h t h e C o m m i s s i o n i s
a d o p t i n g
t h e r e g u l a t i o n s r e q u i r e d b y t h i s s e c t i o n . H owe v e r , a f t e r t h e
C o m m i s s i o n s
r e g u l a t i o n s
t a k e
e f f e c t ,
t h e c i t y o r c o u n t y s h a l l s u b m i t
-
8/12/2019 83983 CMS Report
27/30
a d e s c r i p t i o n o f i t s e l e c t r o n i c
f i l i n g
s y s t e m
t o t h e
C o m m i s s i o n
f o r
a p p r o v a l a n d
c e r t i f i c a t i o n ,
w i t h i n a r e a s o n a b l e
t i m e
t o b e
d e t e r m i n e d
b y t h e C o m m i s s i o n .
A c i t y
o r
c o u n t y
s h a l l
n o t c o n t i n u e t o u s e a n
e l e c t r o n i c
f i l i n g
s y s t e m
o r i g i n a l l y d e v e l o p e d
f o r p u r p o s e s o f S e c t i o n
87500.1 i f t h e
C o m m i s s i o n d o e s
n o t
a p p r o v e
a n d
c e r t i f y
t h a t
e l e c t r o n i c
f i l i n g
s y s t e m a s
c o m p l y i n g
w i t h t h e
r e q u i r e m e n t s
o f t h e
C o m m i s s i o n s
r e g u l a t i o n s a n d t h e o t h e r
r e q u i r e m e n t s
o f
t h i s
s e c t i o n .
S E C . 2 . N o
r e i m b u r s e m e n t
i s r e q u i r e d b y
t h i s
a c t
p u r s u a n t
t o
S e c t i o n 6 o f
A . r t i c l e
X I I I B o f t h e
C a l i f o r n i a
C o n s t i t u t i o n b e c a u s e
t h e o n l y c o s t s t h a t m a y b e i n c u r r e d b y a
l o c a l
a g e n c y o r s c h o o l
d i s t r i c t
w i l l
-b e i n c u r r e d b e c a u s e t h i s a c t c r e a t e s a n e w
c r i m e
o r
i n f r a c t i o n ,
e l i m i n a t e s a
c r i m e
o r
i n f r a c t i o n ,
o r
c h a n g e s
t h e p e n a l t y
f o r
a
c r i m e
o r i n f r a c t i o n , w i t h i n t h e m e a n i n g o f S e c t i o n 17 556 o f t h e
G o v e r n m e n t C o d e , o r
c h a n g e s
t h e
d e f i n i t i o n
o f a
c r i m e
w i t h i n t h e
m e a n i n g o f S e c t i o n 6 o f
A r t i c l e
X I I I B o f t h e C a l i f o r n i a
C o n s t i t u t i o n .
S E C . 3 . T h e L e g i s l a t u r e f i n d s a n d d e c l a r e s t h a t
t h i s b i l l
f u r t h e r s
t h e p u r p o s e s o f t h e P o l i t i c a l R e f o r m A c t o f 1 9 7 4 w i t h i n t h e m e a n i n g
o f s u b d i v i s i o n ( a ) o f S e c t i o n 8 1 01 2 o f t h e G o v e r n m e n t Code.
S E C . 4 . T h i s a c t i s a n u r g e n c y s t a t u t e n e c e s s a r y f o r t h e i m m e d i a t e
p r e s e r v a t i o n o f t h e p u b l i c
p e a c e ,
h e a l t h , o r s a f e t y w i t h i n t h e
m e a n i n g
o f
A r t i c l e
I V o f t h e C o n s t i t u t i o n a n d
s h a l l
g o i n t o
i m m e d i a t e
e f f e c t .
T h e f a c t s c o n s t i t u t i n g t h e n e c e s s i t y a r e :
I n o r d e r t o a l l o w t h e F a i r
P o l i t i c a l
P r a c t i c e s
C o m m i s s i o n t i m e
t o
d e v e l o p
r e g u l a t i o n s a n d
p r o c e d u r e s c r i t i c a l
t o t h e
i m p l e m e n t a t i o n
o f
a
s y s t e m
f o r t h e e l e c t r o n i c
f i l i n g
o f
s t a t e m e n t s
o f e c o n o m i c
i n t e r e s t s p r i o r t o t h e 2 0 1 3
f i l i n g
p e r i o d , w h i c h
w i l l
a l l o w s t a t e a n d
l o c a l a g e n c i e s
t o
a c h i e v e s i g n i f i c a n t
s a v i n g s , a n d t o a l l o w t h e
c i t y
a n d
c o u n t y
a g e n c i e s t h a t p a r t i c i p a t e d i n t h e
p i l o t
p r o g r a m t o
c o n t i n u e u s i n g e l e c t r o n i c
f i l i n g
w h i l e t h e C o m m i s s i o n
d e v e l o p s
t h e
n e c e s s a r y r e g u l a t i o n s i n o r d e r t o p r e s e r v e t h e s u b s t a n t i a l
i n v e s t m e n t
t h o s e a g e n c i e s h a v e
a l r e a d y made i n d e v e l o p i n g e l e c t r o n i c
f i l i n g
s y s t e m s , i t i s n e c e s s a r y t h a t t h i s a c t t a k e i m m e d i a t e e f f e c t .
-
8/12/2019 83983 CMS Report
28/30
A p p r o v e d - a s ' i p 'M r m
a n d
f upAKltAND CITY COUNCIL
OFFICE
ovTv ew o
R E ^y ^O N No C M S
In t roduced by Off ice of Ci ty Clerk
RESOLUTION WAIVING ADVERTISING AND COMPETITIVE
BIDDING
REQUIREMENTS OF TH EOAK LAND MUNICIPAL COD EAND
AUTHORIZING TH E CITY ADMINISTRATOR TO CON TRA CT WITH
NETF ILEFOR HOST-SITE SOFTW ARE FILING SYSTEM SERVICE FOR
A
THREE-YEAR
TERM IN A COMPENSATION AM OUN T OF 102,000.00
(ONE HUNDRED TWO THOUSAND DOLLARS) PLUS TWO (2) ONE-
YEAR
OPTIONS
TO RENEW THE CONTRAC T AT TH E CITY'S SOLE
DESCRETION AT AN ANNUALCONTRACTCOMPENSATION
RATE
OF
34,000.00WITH AN ANNU AL INCREASEOFUP TO FIVE PERCENT(5%)
OF
TH E ANNUAL COMPENSATION AMOUNT (OR 71, 4000.00
TOTAL
FORT H E TW O OPTION YEARS IF EX CERCISED BY TH E CITY) FOR A
GRAND T O T A L N O T - T O - E X C E E D C O N T R A C T A M O U N T
OF
ONE
HUNDRED
SEVENTY-THREE
THOUSAND, FOUR HUNDRED DOLLAR S
( 173,400,00)
W H E R E A S ,
theStateof C alifornia has mandatoryfiling
requirements
for Lobbyist
Disclosures, Campaign DisclosureStatements
and C onflict ofhiterest
Statements("election
related documents"); and
W H E R E A S ,
Title 2, D ivision 6,
of
the California
Code
of
Regulationstipulates
the
duties
of
Filing Officers; and
W H E R E A S , the Officeof the City C lerk, is the F iling O fficer for allelectionrelated documents
regulatedby the
State
of C alifornia's Fair Political
Practices
Commission (FPPC); and
W H E R E A S , the F PPCrequiresfiling
officers
totrackandacceptforfilingany
election
related
documents
required by the Political Reform Act (The Act) and todetermine whetherthose
documents have been
filed in
conformance
with The Act; and
W H E R E A S ,
the O ffice of the C ity Clerk
must
provide
public
access
to all
election
related
documentsandmaintaina log ofallstatementsfiled; and
W H E R E A S , diminished
City Clerk
staff
hasmadeit
increasingly
difficu lt to
manageelection
related
documentsmanually;
and
-
8/12/2019 83983 CMS Report
29/30
W H E R E A S , increased oversight by the FPPCrequires theOfficeof theCit>' Clerk toutilize
more sophisticated tracking andfilingsystems to enforce mandator}' regulations set forth by the
F P P C ;and
W H E R E A S ,NetFile,provides host-site software
filing
system services forallelection related
documents for over 20localCaliforniaGovermnents; and
W H E R E A S ,
Secfion
2.04.040.B 2 and 2.04.050.A and E of theOakland
M unicipal
Code (the
O M C )
require
formal
advertising
for
the
solicitation
for bids
for
products and incidental
services related to the products, andif anaward is made, the Citymust award to the lowest
responsive bidder; and
W H E R E A S ,
Council
may waivetheseadvertising andbiddingrequirements under Section
2.04.050.15when itfindsand determinesthatit isinthebestinterests of the Cityto do so; and
W H E R E A S , waivingof the advertising and competitive bid requirement is in thebest interests
ofthe City,because
NetFile
is the sole-source provider ofapublic
viewing
portal,
efiled
documents automaticallycreatestateforms,doesnot requirelicensingagreementsor software
updatesand upon
viewing efiled
documents
redacts
specificpersonalinformationas required by
thestate;and
W H E R E A S , theOffice ofthe CityClerkhas realizedsignificantincreases in compliance and
trackingsince
