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SR 12-13-2022 10A City Council Report City Council Meeting: December 13, 2022 Agenda Item: 10.A 1 of 1 To: Mayor and City Council From: Douglas Sloan, City Attorney, City Attorney's Office, Administration Subject: Second Reading and Adoption of an Ordinance Amending Santa Monica Municipal Code Sections 4.85.010 and 4.85.015 Related to Lobbying Activity and Participation of Lobbyists on City of Santa Monica Boards and Commissions Recommended Action Staff recommends that the City Council adopt the attached Ordinance. Executive Summary At its meeting on October 25, 2022, the City Council introduced for first reading an Ordinance amending Santa Monica Municipal Code Sections 4.85.010 and 4.85.015 related to lobbying activity and participation of lobbyists on City of Santa Monica Boards and Commissions. The ordinance is now presented to the City Council for adoption. Prepared By: Bradley Michaud, Legal Operations Coordinator Approved Forwarded to Council Attachments: A. CC-Ord-Lobbying-2nd 10.A Packet Pg. 475 1 City Council Meeting: December 13, 2022 Santa Monica, California ORDINANCE NUMBER _________ (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING SANTA MONICA MUNICIPAL CODE SECTION 4.85.010, DEFINITIONS, AND ADDING SECTION 4.85.015 TO PROHIBIT ANY INDIVIDUAL FROM SERVING OR CONTINUING TO SERVE ON A CITY BOARD, COMMISSION, TASK FORCE, OR ADVISORY BOARD IF THAT INDIVIDUAL HAS ENGAGED IN LOBBYING ACTIVITIES IN THE CITY OF SANTA MONICA IN THE TWO YEARS PRIOR TO APPOINTMENT WHEREAS, in 2016, Council adopted Ordinance No. 2511 (CCS) requiring lobbyists to register with the City Clerk’s office; and WHEREAS, all lobbyists must register no later than ten days after qualifying as a lobbyist, and any changes to the registration information must be reported within ten days of the change; and the ordinance includes a list of exemptions intended to ensure the ordinance is narrowly tailored to achieve its purpose of transparency without impermissibly burdening First Amendment rights; and WHEREAS, at its July 13, 2021, meeting, Council directed staff to return with a proposed ordinance, similar to that in place in other municipalities, that: (1) more precisely defines what constitutes a lobbyist/legislative advocate; (2) precludes any individual who in the prior two years has been acting as a lobbyist/legislative advocate from being appointed to a board, commission, or task force; and (3) precludes any member of a board, commission, or task force from simultaneously acting as a lobbyist/legislative advocate; and WHEREAS, this ordinance addresses the items in Council’s July 13, 2021, direction to staff. 10.A.a Packet Pg. 476 Attachment: CC-Ord-Lobbying-2nd (5447 : Lobbying - Second Reading) 2 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: Section 1. Santa Monica Municipal Code Section 4.85.010 is hereby amended as follows: 4.85.010 Definitions. “Lobbyist” means any individual who receives economic consideration as the employee, representative, or contractor of a person or entity other than the City of Santa Monica for communicating with any official or employee of the City for the purpose of influencing City action. Lobbyist also includes an Expenditure Lobbyist. “Economic Consideration” means monetary or in-kind payment or remuneration in an amount in excess of $50.00, or the expectation of such remuneration, for engaging in the legislative advocacy. Compensation does not include the salary of an employee who devotes less than 20% of that employee’s work time to legislative advocacy during any one year and who engages in legislative advocacy only on behalf of a single employer. Compensation also does not include reimbursement of or payments for reasonable travel or business expenses, such as copying, telephone charges and meals. “Expenditure Lobbyist” means any person, other than any government entity, or officer or employee of a government entity acting in an official capacity, who advises regarding, or makes, payments or incurs expenditures of five thousand dollars ($5,000.00) or more during any calendar year for directing or guiding public relations, media relations, advertising, public outreach, research, investigation, reports, analyses, or studies with the intent of soliciting, requesting or urging, directly or indirectly, other persons to communicate directly with a City official in order to influence any City action. 10.A.a Packet Pg. 477 Attachment: CC-Ord-Lobbying-2nd (5447 : Lobbying - Second Reading) 3 Expenditure lobbyist shall not include: a) a person who pays compensation to a legislative advocate or who pays compensation to another representative who appears at a hearing on any City action; b) a person who pays dues to a membership organization that is ongoing in nature and whose membership services do not consist exclusively of legislative advocacy; c) an organization who makes payments to distribute communications to its members; and d) a person engaged in publication or broadcasting of news items, editorials, or commentary, provided that the person is not compensated to take a specific position. For purposes of this Chapter, “Lobbyist” does not include the following: (a) City contractors and those seeking City contracts on their own behalf through bids and proposals; (b) Licensed architects; (c) Licensed professional engineers; (d) Representatives of other government agencies. “Official” means any person who is: (a) A member of the Santa Monica City Council; (b) Appointed by the Santa Monica City Council to serve on a board or commission; (c) The City Manager, City Attorney, and City Clerk; (c) A City department director; and (d) Any other person who is required to file a Statement of Economic Interest in connection with the City of Santa Monica. SECTION 2. Santa Monica Municipal Code Section 4.85.015 is hereby added as 10.A.a Packet Pg. 478 Attachment: CC-Ord-Lobbying-2nd (5447 : Lobbying - Second Reading) 4 follows: Section 4.85.015 Prohibition on Lobbyists Serving on City Boards, Commissions, Task Forces, or Advisory Boards. (a) Any person who has been a Lobbyist in the prior two years prior to the start of a term, and once appointed, shall be ineligible to be appointed or to continue to serve on a City board, commission, task force, or advisory board. (b) The Council, by a two-thirds vote of the Council, may appoint a person to a board, commission, task force, or advisory board, despite otherwise being disqualified under this Chapter, for good cause, including but not limited to unavailability of qualified candidates. SECTION 3. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to affect the provisions of this Ordinance. SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional. SECTION 5. The Mayor shall sign and the City Clerk shall attest to the passage 10.A.a Packet Pg. 479 Attachment: CC-Ord-Lobbying-2nd (5447 : Lobbying - Second Reading) 5 of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall take effect 30 days from its adoption. APPROVED AS TO FORM: _________________________ Douglas Sloan, City Attorney 10.A.a Packet Pg. 480 Attachment: CC-Ord-Lobbying-2nd (5447 : Lobbying - Second Reading)