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SR 02-14-2017 3A Ci ty Council Report City Council Meeting : February 14, 2017 Agenda Item: 3.A 1 of 3 To: Mayor and City Council From: Denise Anderson -Warren, City Clerk , Records and Election Services Department Subject: Electronic Filing of Statement of Economic Interests Recommended Action Staff recommends that the City Council adopt the resolution am ending Exhibit 2 of the City’s last adopted Conflict of Interest Code to require filers designated in the City's Conflict of Interest Code to electronically file Statements of Economic Interest. Executive Summary Designated officials and employees are req uired to file Statements of Economic Interest based on the City’s Conflict of Interest Code and the Political Reform Act . The resolution would require these filings to be submitted electronically , saving paper, time and postage, and increasing transparenc y and access to statements online. Background In 2014, the Fair Political Practices Commission (FPPC), approved the City’s use of NetFile for Statements of Economic Interest (Form 700). On January 26, 2016, the City Council adopted Resolution Number 1093 1 (CCS) amending the City's Conflict of Interest Code to revise the designated positions for which Statements of Economic Interest are required to be filed. Currently the filers may file electronically or on paper. The proposed resolution would mandate e lectronic filing of Statements of Economic Interest . This mandate is not anticipated to be a hardship since 92% of the City’s 655 filers currently utilize the electronic filing system. Discussion Elected officials and public employees who make or influen ce governmental decisions are required to submit a Statement of Economic Interest, also known as the Form 700. The Form 700 provides transparency and ensures accountability by providing personal financial interests to ensure that officials are making decis ions in the best interest of the 2 of 3 public and not enhancing their personal finances. Additionally, it serves as a reminder to public officials of potential conflicts so the official can abstain from making or participating in governmental decisions that are deemed as conflicts of interest. Annual statements are due on April 1 of each year. Additionally, statements must be filed within 30 days of assuming or leaving office. Statements of Economic Interests are public documents. The City Clerk’s Office mu st permit any member of the public to inspect and receive a copy of any statement. Statements must be available as soon as possible during regular business hours, but in any event not later than the second business day after the statement is received. Ac cess to the Form 700 is not subject to the Public Records Act procedures , pursuant to the Political Reform Act . Currently filers may utilize the City’s electronic filing system Netfile, or may file an original paper statement. Electronic filings will pro mote the City’s continuing efforts of transparency and sustainability and ensure consistency and availability to the public. The requirement for electronic filing will be added to Exhibit 2 of the City’s last ad opted Conflict of Interest Code. Alternativ es Although not ideal, t he City could continue to allow both paper and electronic filings. Limiting the filing method to one method and using the full functionality of the software creates consistency and offers the most efficient process. Next Steps If the Council adopts the resolution, staff will inform required filers of the new process and procedures for electronic filing in early March and require electronic filing for the 2017 annual filing period . Training will be provided to new filers and the fi ler information will be retained electronically for future filings. Financial Impacts and Budget Actions There is no immediate financial impact or budget action necessary as a result of the recommended action. 3 of 3 Prepared By: Lisa Pope, Assistant City Cl erk Approved Forwarded to Council Attachments: A. January 26, 2016 Staff Report (web link) B. Resolution Requiring Ele ctronic Filing of Statements of Economic Interest Reference:    Resolution  No. 11029    (CCS)