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HomeMy WebLinkAbout02-City Manager CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL AcJA81GjNAl From: Fred Wilson City Manager Subject: Resolution of the Mayor and Common Council of the City of San Bernardino adopting an Expense and Reimbursement Policy for legislative bodies and an Ethics Training Policy for all elected and appointed Officials. Dept: City Manager's Office Date: March 22, 2006 MlCC Meeting Date: March 27,2006 Synopsis of Previous Council Action: March 22,2006 - Ways and Means Committee recommended approval ofthe Expense and Reimbursement Policy for legislative bodies and Ethics Training Policy for all Elected Officials. March 20,2006 - Council adopted a resolution repealing Resolution No. 12836 regarding reimbursement of expenses and costs for Council Members and referred the matter to the Ways and Means Committee to recommend a written policy to the Mayor and Common Council. June 20, 1976 - Council adopted Resolution 12836 fixing the monthly reimbursable amount for out of pocket expenses and costs for Council Members. Recommended Motion: Adopt Resolution. ~wre Contact person: Tprl R~k-f"r Phone: "yt ,~~7 Supporting data attached: StaffR'4'ort, Resolution and PolicyWard: City-Wide FUNDING REQUIREMENTS: Amount: N/A Source: (Acct. No.) (A('('t npl;;:C'1"lptl()n) Finance: Council Notes: d.!)f)6 -gh Agenda Item No. O:J . D3 - ;L l-:uxJ(P CITY OF SAN BERNARDINO - REOUEST FOR COUNCIL ACTION STAFF REPORT SUBJECT: Resolution of the Mayor and Common Council of the City of San Bernardino adopting an Expense and Reimbursement Policy for legislative bodies and an Ethics Training Policy for all elected and appointed Officials. BACKGROUND: On March 20, 2006, the Mayor and Common Council adopted a resolution rescinding Resolution No. 12836. This resolution was adopted in 1976, and established a monthly expense reimbursement in the amount of$550.00. The resolution was repealed in order to comply with Assembly Bill 1234. The new law requires the submission ofreceipts to support the expenses, which was not previously required under Resolution No. 12836. AB 1234 applies to legislative bodies as defined in the Brown Act. This definition includes the "governing body of a local agency" and any commissions, committees, boards or other body of a local agency. Therefore, AB 1234 would apply to the Mayor and Common Council and members of all commissions, committees or boards established by the Charter or by the Mayor and Common Council. Under the new law, the legislative body must adopt a reimbursement policy in order for its members to be reimbursed for expenses. That policy must require that only expenses accompanied by receipts may be reimbursed to the member. AB 1234 also requires that all elected officials and officials appointed to governing bodies, as defined, complete at least 2 hours of ethics training by January I, 2007 or within one year of election or appointment, and then an additional 2 hours every 2 years thereafter. The matter was referred to the Ways and Means Committee to discuss an expense reimbursement and ethics training policy. On March 23,2006, the Committee recommended the policy for approval by the Mayor and Common Council. Some minor modifications were made subsequent to the Committee meeting, based on Finance Department and City Attorney's Office feedback. In addition to routine expenses, this policy outlines the types of expenses for which members of the legislative body may be reimbursed and the procedure for reimbursement. Additionally, it describes the ethics training requirements. All reimbursement of actual and necessary expenses shall be pursuant to this policy. This policy is retroactive back to January 1,2006. Expenses incurred by members of the legislative body may be reimbursed back to January I, 2006 upon submission of supporting receipts. Members of a legislative body who have received reimbursements for expenses incurred after January I, 2006 must turn in receipts and/or mileage claims equal to the amount of money they have received for expenses incurred since January 1,2006 before any additional reimbursement(s) may be made. RECOMMENDATION: Adopt resolution. 1 RESOLUTION NO.~ 0) fplf 2 3 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO ADOPTING AN EXPENSE AND REIMBURSEMENT POLICY FOR LEGISLATIVE BODIES AND AN ETHICS TRAINING POLICY FOR ALL ELECTED AND APPOINTED OFFICIALS 4 5 6 WHEREAS, Government Code Section 53232 et. seq. became effective January 1,2006 and said statute requires that a legislative body that reimburses members of a legislative body for expenses incurred in the performance of official duties, the governing body must adopt a written expense and reimbursement policy. WHEREAS, the benefits of providing expense reimbursement include: I. The opportunity to discuss the community's concerns with state, federal and other regional and local officials; and 7 8 9 10 11 12 13 2. Participating in regional, state and national organizations 14 whose activities affect the City; and 15 3. Attending educational seminars designed to improve officials' skill and information levels; and 16 17 4. Promoting public service and morale by recognizing such service. l WHEREAS, 1) legislative nd other regional, state and federal agency business is frequently conducted over meals; 2) sharing a meal with regional, state and federal officials is frequently the best opportunity for a more extensive, focused and 18 19 20 21 22 uninterrupted communication about the City's issues and policy concerns; and 3) each 23 meal expenditure must comply with the limits and reporting requirements oflocal, state and federal law; and 24 25 WHEREAS, this policy provides guidance to members of legislative bodies on the use and expenditure of City resources, as well as the standards against which those expenditures will be measured; and 26 27 28 III 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO ADOPTING AN EXPENSE AND REIMBURSEMENT POLICY FOR LEGISLATIVE BODIES AND AN ETHICS TRAINING POLICY FOR ALL ELECTED AND APPOINTED OFFICIALS 2 3 4 5 WHEREAS, this policy would satisfy the requirements of Government Code sections 53232.2 and 53233.3 in the event such requirements could be constitutionally applied to charter cities; and 6 7 WHEREAS, this policy supplements the definition of actual and necessary 8 expenses for purposes of state laws relating to permissible uses of public resources; and 9 WHEREAS, this policy also supplements the definition of necessary and 10 reasonable expenses for purposes of federal and state income tax laws; and 11 WHEREAS, this policy would also satisfy the requirements of Government Code 12 13 section 53234 et. seq. requiring ethics training for elected officials and members of the City's legislative bodies. 14 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL 15 OF THE CITY OF SAN BERNARDINO AS FOLLOWS: 16 17 SECTION I. That the Mayor and Common Council hereby adopts the Expense and Reimbursement Policy for Legislative Bodies and an Ethics Training Policy for all Elected Officials, a copy of which is attached hereto and marked as Exhibit A; and SECTION 2. The attached policy is adopted in accordance with the requirements of Government Code sections 53232 through 53232.3, which became effective January I, 18 19 20 21 2006. 22 23 SECTION 3. Any member of a legislative body(s) ("Member") who has received reimbursements for expenses incurred after January I, 2006 shall provide receipts and/or mileage claims equal to the amount ofreimbursement that said Member(s) has received. 24 25 26 No further reimbursement(s) shall be made to any Member until such time as the effected Member submits such receipts and/or mileage claims. 27 III 28 III 2 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO ADOPTING AN EXPENSE AND REIMBURSEMENT POLICY FOR LEGISLATIVE BODIES AND AN ETHICS TRAINING POLICY FOR ALL ELECTED AND APPOINTED OFFICIALS 2 3 4 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the 5 6 Mayor and Common Council of the City of San Bernardino at a meeting 7 thereof, held on the day of , 2006, by the following vote, to wit: 8 Council Members: AYES NAYS ABSTAIN ABSENT 9 ESTRADA 10 BAXTER 11 MCGINNIS 12 DERRY 13 14 KELLEY 15 JOHNSON 16 MCCAMMACK 17 18 19 City Clerk 20 The foregoing resolution IS here by approved this day of ,2006. 21 22 23 Patrick Morris, Mayor City of San Bernardino 24 Approved as to Form and legal content: 25 26 JAMES F. PENMAN, City Attorney , ., 27 , ,; By: t;/). ./ i'''' ..f~{.' Y"J ri., - . 28 / .' j 3 1 EXHIBIT A CITY OF SAN BERNARDINO Expense and Reimbursement Policy for Legislative Bodies and Ethics Training Policy for Elected and Appointed Officials. 2 3 4 5 1. Purpose The purpose of this policy is to prescribe the manner in which Officials may be 6 7 reimbursed for expenditures related to City business and ethics training requirements pursuant 8 to Government Code Section 53234 et. seq. 9 Officials are encouraged to attend educational conferences and professional meetings when the purposes of such activities are to improve City operation. Hence. there is no limit as 10 11 to the number of Officials attending a particular conference or seminar when it is apparent that 12 their attendance is beneficial to the City. It is the policy of the City to encourage development and excellence of performance by 13 14 reimbursing expenses incurred for tuition, travel, lodging and meals as a result of training. 15 educational courses, participation with professional organizations, and attendance at local. state and national conferences associated with the interests of the City. 16 17 All reimbursement of actual and necessary expenses shall be pursuant to this Policy. 18 2. Scope 19 This policy applies to all Officials and is intended to result in no personal gain or loss to an 20 Official. 21 3. Definitions 22 "Official" means any member of the Legislative Body of the City of San Bernardino. "City" means the City of San Bernardino. "Director" means the Director of Finance or his/her designee "Legislative Body" has the same meaning as specified in Government Code Section 23 24 25 26 54952, commonly known as the "Brown Act." 27 "Primary Legislative Body" means the San Bernardino City Council in the case of 28 1 Council Members and the City Comrnission, Committee or Board to which the City Council 2 has confirmed the appointed member. 3 4. 4 Authorized Expenses Expenses incurred in connection with the following types of activities generally constitute authorized expenses, as long as the other requirernents of this policy are met: 5 6 a. Communicating with representatives of other local agencies, regional, state and national government on City policy positions; 7 8 b. Attending educational seminars designed to improve an Officials' skill and information levels; 9 10 c. Participating in regional, state and national organizations whose activities affect the City's interests; 11 d. Recognizing service to the City (for example, thanking a longtime employee with a retirement gift or celebration of nominal value and cost); 12 13 e. Attending City events; 14 f. Implementing a strategy for attracting or retaining businesses to the city, and 15 Expenditures not listed in items 4, 7, or 8 require prior approval by the Mayor and 16 Common Council. 17 5. Non-reimbursable Expenses 18 Examples of personal expenses that the City will not reimburse include, but are not limited to: a. The personal portion of any trip; 19 20 b. Political contributions or events; 21 22 c. Travel cornpanion expenses, including spouse, friend, or partner expenses when accompanying a mernber on Department related business, as well as children and pets. 23 24 d. Entertainment expenses, including theater, movies (either in-room or at the theater), sporting events (including gym, massage andlor golf related expenses), or other cultural events unless the event has a relationship to City business; 25 26 e. Social or other recreational events, unless the event has a relationship to City business; 27 28 f. Alcoholic beverages; 2 2 g. Non-mileage personal automobile expenses, including repairs, traffic citations, insurance or gasoline; 3 h. Expenses for which no receipts are submitted; and 4 1. Personal losses incurred while on City business. 5 6 Any questions regarding the propriety of a particular type of expense should be 7 resolved before the expense is incurred. 6. Reimbursable expenses To conserve City resources and keep expenses within community standards for 8 9 10 Officials, expenditures should adhere to the following guidelines. Unless otherwise specifically provided herein, reimbursement for travel, meals, lodging, and other actual and 11 12 necessary expenses shall be set at the Internal Revenue Service rates presently in effect as 13 established in Publication 463 or any successor publication. 7. 14 Routine City Business Expenses incurred by an Official while on City business that are properly documented with receipts shall be paid or reimbursed by the City, including but not limited to the following 15 16 instances: 17 18 a. Meals consumed while attending any conference, meeting, workshop, seminar or convention. 19 b. Meals hosted by Officials for the purpose of conducting or discussing City business. 20 21 c. Meals as part of an activity in which the Official is attending in his or her official capacity. 22 23 d. Automobile mileage. Officials shall be reimbursed for use of their personal vehicles while on official City business at the established Internal Revenue Service rates presently in effect (see www.irs.gov). These rates are designed to compensate the driver for gasoline, insurance, maintenance, and other expenses associated with operating the vehicle. This amount does not include bridge and road tolls, which are also reimbursable. 24 25 26 27 e. Social! Public Relations expenses (meals, certificates of appreciation, etc). 28 3 2 f. Home office expenses that have a relationship to City business but are not paid for from the City budget. 3 g. Telephone, Internet access, and Facsimile expenses. Officials will be reimbursed for actual telephone, internet access, and fax expenses incurred on City business. Telephone bills should identify which calls were made on City business. If Internet access at home is necessary for City business, that expense is eligible for reimbursement. 4 5 6 h. Educational materials, newspapers, periodicals, and other publications. 7 8. Out of town travel 8 9 Expenses incurred by any Official while on City business that are properly documented by receipts shall be paid or reimbursed by the City, including, but not limited to the following 10 instances: 11 12 a. Transportation 13 The most economical mode and class of transportation reasonably consistent with 14 scheduling needs and cargo space requirements must be used, using the most direct and 15 time-efficient route. 16 17 Airfare. Airfare at the best available economy class rate is reimbursable. If a 18 government rate is unavailable for the flight in question, airfare that does not exceed the average economy class fare listed on websites such as Expedia.com or an 19 20 equivalent service shall be considered reasonable and, therefore, reirnbursable. 21 22 Automobile. Automobile mileage is reimbursed at Internal Revenue Service rates 23 presently in effect (see www.irs.gov). These rates are designed to compensate the 24 driver for gasoline, insurance, rnaintenance, and other expenses associated with 25 operating the vehicle. This amount does not include bridge and road tolls, which are 26 also reimbursable. There will be no mileage reimbursement paid for rental vehicles; 27 only receipted fuel expenses will be reimbursed. 28 4 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Car rental. Charges for rental vehicles may be reimbursed under this provision if it is determined that renting a vehicle is more economical than other forms of transportation. In making such deterrnination, the cost of the rental vehicle, parking and gasoline will be compared to the combined cost of such other forms of transportation. Government and group rates must be used when available. Itemized receipts must be submitted with vehicle rental reimbursement requests. Taxis/Shuttles. Taxis or shuttle fares may be reimbursed including a 15 percent gratuity per fare. b. Lodl!inl! Lodging expenses will be reimbursed or paid for when travel on official City business reasonably requires an overnight stay. Conferences/Meetings. If such lodging is in connection with a conference, lodging expenses should not exceed the group rate published by the conference sponsor for the meeting in question if such rates are available at the tirne of booking. If the group rate is not available, see next section. Other Lodging. Travelers must request government rates, when available. A listing of hotels offering government rates in different areas is available at W\V\V .catrave lsmart.com. In the event that government rates are not available at a given time nor in a given area, lodging rates that do not exceed the median retail price for lodging for that area listed on websites like www.priceline.com or an equivalent service shall be considered reasonable and, hence, reimbursable. 5 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 c. Meals Reimbursable meal expenses and associated gratuities shall not exceed the maximum meal reimbursement for other City employees or officers, pursuant to City Charter Section 234. The City will not pay for alcohol/personal bar expenses. d. Telephone/Fax/Cellular Officials will be reimbursed for actual telephone and fax expenses incurred on City business. Telephone bills should identify which calls were made on City business. e. Internet Officials will be reimbursed for Internet access connection and/or usage fees away from home, not to exceed $15.00 per day, if Internet access is necessary for City- related business. f. Airport Parkin!!: Long-term airport parking should be used for travel exceeding 24-hours. Actual airport parking expenses and associated gratuities will be reimbursed or paid when incurred by a member of a legislative body in the performance of official duties. g. Other Baggage handling fees of up to $2 per bag and gratuities of up to 15 percent will be reimbursed or paid when incurred by an Official in performance of official duties. Miscellaneous expenses for registration, tuition, parking, educational material provided at conferences are reimbursable. Expenses for which City Officials receive reimbursement from another agency are not reimbursable. 6 9. 2 Cash advance policy From time to time, it may be necessary for an Official to request a cash advance to cover anticipated expenses while traveling or doing business on the City's behalf Such request 3 4 for an advance should be submitted to the Director of Finance pursuant to the Finance 5 Department accounts payable deadlines with the following information: 6 a. The purpose of the expenditure(s); 7 b. The benefits of such expenditure to the residents of city; 8 9 c. The anticipated amount of the expenditure(s) (for exarnple, hotel rates, meal costs, and transportation expenses); and 10 d. The dates of the expenditure(s). 11 12 The allowable amount for cash advance shall be 85 percent of the difference between the estimated cost of travel, less any expenditures paid by the City in advance. 13 14 Any unused advance must be returned to the Finance Department within five business 15 days of the Official's return, along with an expcnse report and receipts documenting how the 16 advance was used in compliance with this expense policy. 17 10. 18 Reimbursement procedure Whenever an Official desires to be reimbursed for out-of pocket expenses for item(s) or service(s) appropriately relating to City business, he/shc shall submit their requests on a 19 20 reimbursement form approved by the Director of Finance. The reimburscment forrn will 21 include, but not be limited to, an explanation of the City-related purpose for thc expenditure(s), and receipts evidencing each expense shall be attached. City shall adhere to Government Code Sections 53232 through 53232.4 when dealing with issues of remuneration and reimbursement 22 23 24 of an Official. 25 The Director of Finance will review and approve rcimbursement requests. Officials must submit their expense reports within a reasonable amount of time of an expense being incurred, accompanied by receipts documenting each expense. Inability to provide such documentation in a timely fashion may result in the expense being borne by thc Official. 26 27 28 7 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Any and all expenses that do not fall within the adopted expense and reimbursement policy or the IRS reimbursable rates are required to be approved by the Mayor and Common Council in a public meeting prior to the expense(s) being incurred. Expenses that do not adhere to the adopted expense reimbursement policy or the IRS reimbursable rates, or that do not receive prior approval from the Mayor and Common Council in a public meeting prior to the expense being incurred, shall not be eligible for reimbursement. All expenses are subject to verification that they comply with this policy. 11. Brief Reports to Governing Board At the next regularly scheduled meeting of the member's Primary Legislative Body, each Official shall briefly report, either orally or in writing, on the meetings attended at City expense. If multiple members attended the meeting at City expense, a joint report may be made. Meetings oflegislative bodies created solely by the members' Primary Legislative Body (i.e., Council Committee rneetings, City commission or committee meetings) are exempt from these reporting requirements. 12. Compliance with Laws Officials should keep in mind that some expenditures may be subject to reporting under the Political Reform Act and other laws. All agency expenditures are public records subject to disclosure under the Public Records Act. 13. Violation of This Policy Use of public resources or falsifying expense reports in violation of this policy may result in any or all of the following: I) loss of reimbursement privileges, 2) a demand for restitution to the City, 3) the agency's reporting the expenses as income to the elected Official to state and federal tax authorities, 4) civil penalties of up to $1,000 per day and three tirnes the value of the resources used, and 5) prosecution for misuse of public resources. /1/ III /11 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 14. Ethics Training All elected officials and all appointed mernbers of council created committees and commissions (collectively "Attendee(s)") shall receive two hours of training in general ethics principles and ethics laws relevant to public service either by January \,2007 or within one year of election or appointment and at least once every two years thereafter, pursuant to Government Code Sections 53234 through 53235.2. All ethics training shall be provided by entities whose curricula has been approved by the California Attorney General and the Fair Political Practices Commission. Attendees shall obtain proof of participation after completing the ethics training. City staff shall maintain records indicating both the dates that an Attendee completed the ethics training and the name of the entity that provided the training. These records shall be maintained for at least five years after the Attendee receives the training, and are public records subject to disclosure under the California Public Records Act. City staff shall provide the Attendee with information on available training that meets the requirements of this policy at least once every year. Ethics training may consist of either a training course or a set of self-study rnaterials with tests, and may be taken at home, in person or online. An Attendee who serves more than one local agency shall satisfy the requirements of this article once every two years without regard to the number of local agencies with which he or she serves. Adopted by the Mayor and Common Council of the City of San Bernardino on March 27, 2006. 9 ** FOR OFFICE USE ONLY - NOT A PUBLIC DOCUMENT ** RESOLUTION AGENDA ITEM TRACKING FORM Meeting Date (Date AdoI1ed): ~. h 1 { 0 ~ Item # Vote: Ayes to Nays Change to motion to amend original documents D d-- Abstain Companion Resolutions NulVVoid After: days / Resolution # On Attachments: D Resolution # hob.- ~~ Absent '* 3 PUBLISH D POST D RECORD W/COUNTY D Note on Resolution of attachment stored separately: D By: Date Sent to Mayor: )3.)1 ^ fJ ~ Date of Mayor's Signature: ? /fI'. D k Date ofClerk/CDC Signature: .3 - /1~Vb Date MemolLetter Sent for Signature: I" Reminder Letter Sent: Date Returned: 2'd Reminder Letter Sent: Request for Council Action & Staff Report Attached: Updated Prior Resolutions (Other Than Below): Updated CITY Personnel Folders (6413, 6429, 6433,10584,10585,12634): Updated CDC Personnel Folders (5557): Updated Traffic Folders (3985,8234,655,92-389): Copies Distributed to: Animal Control City Administrator City Attorney D V EDA D D ' ~/ D D Facilities Finance Code Compliance D ~~::::pm~;;::;:;! I { Fire Department ~ Human Resources J I v'1;"L Reso. Log Updated: 0 Seal Impressed: ~ / Reso. # on Staff Report B' Not Returned: D /' / Yes Yes Yes Yes Yes NO~BY_ No By :~" No By_ Information Services D Parks & Recreation D Police Department D Public Services D Water Department D Notes: Ready to Fite: _ Date: Revised t2/t8103