2�pW N 0
DATE:
TO:
FROM:
SUBJECT:
COUNCIL AGENDA REPORT
MARCH 6, 2013
MAYOR AND TOWN COUNCIL
GREG LARSON, TOWN MANAGER
MEETING DATE: 03/18/2013
ITEM NO.
RESOLUTION ADOPTING THE FAIR POLITICAL PRACTICES
COMMISSION FORM 806 — AGENCY REPORT OF PUBLIC OFFICIAL
APPOINTMENTS
RECOMMENDATION:
1) Adopt a Resolution adopting FPPC Form 806 listing all Town Council appointments for
which compensation of $250 or more in a 12 -month period is received; and 2) direct the Clerk
Administrator to post FPPC Form 806 on the Town's website and update the form as necessary
to reflect current Town appointments required to be listed on FPPC Form 806.
BACKGROUND:
The California Fair Political Practices Commission (FPPC) amended Section 18705.5 of Title 2
of the California Code of Regulations (Materiality Standard: Economic Interest in Personal
Finances). Prior to that amendment, public officials were technically prohibited from voting on
or influencing their own (or an immediate family member's) appointment to a committee, board,
or commission that would provide compensation of $250 or more in any 12 -month period.
Section 18705.5 now allows a public official to participate in decisions to appoint him or herself,
or immediate family members, to compensated positions as long as the public entity adopts
FPPC Form 806 "Agency Report of Public Official Appointments" ( "Form 806 ") and discloses
certain information on the Form 806 via the public entity's website. The Form 806 must set forth
each appointed position for which compensation is paid, the salary or stipend for each appointed
position, the name of the public official who has been appointed, including any alternate, and the
term of the position. Adoption and use of the Form 806 allows Town officials to participate in
certain decisions from which they would otherwise be forced to recuse themselves.
PREPARED BY: MAZARIN VAKHARIA, CLERK ADMINISTRATOR
. JJV
Reviewed by: jV-- Assistant Town Manager Town Attorney Finance
MAYOR AND TOWN COUNCIL
SUBJECT: RESOLUTION ADOPTING THE FAIR POLITICAL PRACTICES
COMMISSION FORM 806 — AGENCY REPORT OF PUBLIC OFFICIAL
APPOINTMENTS
MARCH 6, 2013
DISCUSSION:
The new FPPC regulation permits a public official to participate in a decision to appoint him or
herself, or an immediate family member, to a position that entails compensation of $250 or more
over a 12 -month period as long as the Form 806 has been adopted by Council and the decision to
appoint him or herself to the compensated position is done in a manner consistent with the
requirements of Section 18705.5.
The Clerk Administrator will be responsible for updating the Form 806 with all appointments
that meet these requirements. Upon adoption of Form 806 by the Town Council, the Town is
required to post the Form 806 on the Town's website. As new appointments are made, the Form
806 must be amended to reflect those new appointments. Therefore, after its initial adoption, the
Form 806 will need to be updated from time to time to reflect current Council appointments.
The attached resolution directs the Clerk Administrator to make those updates.
Note, however, that the Form 806 exception would only apply to appointments, and not
nominations. Nominations would still be subject to the case -by -case FPPC conflict of interest
analysis. Generally speaking, a decision by the Town Council to nominate a councilmember as a
candidate for an outside board is too attenuated from the actual "decision" that ultimately results
in additional money to be considered a conflict of interest under the FPPC. In those situations, it
is the outside board that is making the ultimate decision to appoint its members, thus it is not
guaranteed that the member is influencing his or her own finances by voting on his /her own
nomination.
FISCAL IMPACT:
There is no fiscal impact associated with completing and posting the Form 806 on the Town's
website.
Attachments:
1. Resolution
2. FPPC Form 806
�.Y�7�i�[��►1
RESOLUTION OF THE TOWN COUNCIL OF THE
TOWN OF LOS GATOS APPROVING AND AUTHORIZING
THE ADOPTION OF CALIFORNIA FAIR POLITICIAL PRACTICES
COMMISSION FORM 806 LISTING THE AGENCY'S REPORT OF
PUBLIC OFFICIAL APPOINTMENTS
WHEREAS, the Political Reform Act prohibits public officials from using their official position
to influence a governmental decision that will have a reasonably foreseeable, material, financial
effect on their personal finances; and
WHEREAS, the California Fair Political Practices Commission (FPPC) amended Section
18705.5 of Title 2 of the California Code of Regulations (Materiality Standard: Economic
Interest in Personal Finances) to permit a public official to participate in a decision to appoint
him or herself, or an immediate family member, to a position that provides compensation of
$250 or more in a 12 -month period provided that the public entity adopts and uses the Form 806,
"Agency Report of Public Official Appointments, "; and
WHEREAS, the FPPC adopted Form 806 as the official form to be posted in compliance with
Section 18705.5.
NOW, THEREFORE, the Town Council of the Town of Los Gatos does RESOLVE as follows:
That it does hereby adopt FPPC Form 806, attached to this Resolution and direct the Clerk
Administrator to: 1) post the FPPC Form 806 on the Town's website; and 2) update the Form
806 as necessary to reflect current appointments as required by Section 18705.5 of Title 2 of the
California Code of Regulations.
11
ATTACHMENT 1
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos,
California, held on the 18t" day of March 2013, . by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
Agency Report of:
Public Official Appointments
1. Agency Name
Division, Department, or Region (If App
gnated Agency Contact (Name,
2. Appointments
A Public Document
Warn 1 If
(Last, First) Appt Date
Alternate, if any ►
(Lest, .First) Length or Tenn
►Name 1 �-
(Last, First) Appt Date
Alternate, if any /
(Lost First) Length of Term
Warne I' Appl Date /
(Last, First)
Alternate, if any
.(Last, First) I Length of Tenn
(Name ► �_
(Last, First) Appt Date
Alternate, if any ►
(Last, First) Length of Term
Per Meeting: $
1 Estimated Annual:
❑ $o- $1,000 ❑ $2,001- $3,000
❑$1,001- $2,000 ❑
Other
1 Per Meeting: $
/ Estimated Annual:
❑ $0- $1,000 ❑ $2,00143;000
F-1 $1,00142,000 ❑
Other
► Per Meeting: $
1 Estimated Annual:
❑ $0- $1,000 ❑ $2,001 43;000
❑ $1,00142,000 ❑
Other
1 Per Meeting: $
► Estimated Annual:
❑ $0- $1;000 ❑ $2,001- $3,000
❑ $1,00142,000 ❑
Other
3. Verification
I have read and understand FPPC Regulation 18705.5. 1 have verified that the appointment and information identified above is true to the best of my information and belief.
Signature of Agency Head or Designee Print Name Title (Month, Day, Year)
Comment: ATTACHMENT 2
FPPC Form 806 (5112)
FPPC Toll -Free Helpline: 866/ASK-FPPC (8661275 -3772)
Agency Report of:
Public Official Appointments
Background
This form is used to report additional compensation that
officials receive when appointing themselves to positions
on committees, boards or commissions of a public agency,
special district, and joint powers agency or authority. For
example, a city councilmember may be appointed to serve as
the city's representative on a joint powers insurance authority
or a metropolitan planning organization or mayor. (Regulation
18705.5, amended 03.2012)
Each agency must post on its website a single Form 806 which
lists all the paid appointed positions. When there is a change in
compensation or a new appointment, the Form 806 is updated
to reflect the change. The form must be updated promptly as
changes occur.
Initial Agency Posting
As soon as possible, each agency should prepare a Form
806 identifying all of the current paid appointments to other
governmental agencies. Thereafter, the form may be amended to
include the future appointments.
Instructions
This form must be posted prior to a vote (or consent item) to
appoint a governing board member to a paid position on another
agency.
Part 1. Agency Identification
Identify the agency name and information on who should be
contacted for information.
Part 2. Appointments
Identify the name of the other agency, board or commission. List
the name of the official, and an alternate, if any.
List the appointment date and the length of term the agency
official will serve. Disclose the stipend provided per meeting and
the estimated annual payment. The annual salary is an estimate
as it will likely vary depending on the number of meetings. It is
not necessary to revise the estimate at the end of the calendar
year.
Part 3. Verification
The agency head or his /her designee must sign the verification
Frequently Asked Questions (FAQs)
When does an agency need to complete the Form 806?
A Form 806 is required when an agency's board members
vote on an appointment for a board member to serve on
another governmental agency and pay is provided.
2. The city council votes to serve as the city's housing authority,
a separate entity. Will the Form 806 be required?
If the council members receive an additional compensation
for serving on the housing authority, the Form 806 is required.
If there is no payment, the Form 806 is not required.
A Public Document
3. Are appointments made by a governing board to appoint
one of its members to serve as an officer of that board for
additional pay (e.g. mayor) required to be disclosed on Form
806?
Yes. Regulation 18705.5 permits voting on your own
appointment to position of mayor as well as other boards and
commissions so long as proper disclosure on the Form 806 is
made. This exception and disclosure apply to agencies with
governing boards that are elected or appointed.
4. In determining the salary, must the agency include mileage
reimbursements, travel payments, health benefits, and other
compensation?
No. The FPPC regulation only requires the reporting of the
stipend or salary.
5. Which agency must post the Form 806?
The agency that is voting to appoint a public official must post
the Form 806 on its website, The agency that the official will
serve as a member is not required to post the Form 806. The
form is not sent to the FPPC.
6. When must the Form 806 be amended?
The Form 806 should be amended promptly upon any of
the following circumstances: (1) the number of scheduled
meetings is changed, (2) there is a change in the
compensation paid to the members, or (3) there is a change
in membership on the board or commission.
7. When a body meets irregularly, how should the annual
compensation be estimated?
The agency should estimate compensation using the highest
number of meetings.
8. In 2013 our agency will have a new appointment to a new
agency. How is the Form 806 updated?
Before the agency votes on the appointment, the agency
should update the Form 806 and identify the other
governmental entity's name. If known, also include other
information such as the number of meetings and stipend.
As long as that information is posted prior to a vote of
the governing board on an appointment, the agency is in
compliance with Regulation 18705.5. Following the vote, the
agency must update the form to identify the individual that
will serve.
Privacy Information Notice
Information requested by the FPPC is used to administer and
enforce the Political Reform Act. Failure to provide information
may be a violation subject to penalties. All reports are public
records available for inspection and reproduction. Direct
questions to FPPC's General Counsel. Fair Political Practices
Commission, 428 J Street, Ste, 620, Sacramento, CA 95814,
FPPC Form 806 (5/12)
FPPC Toll -Free Helpline: 8661ASK -FPPC (8661275 -3772)
Agency Report of:
Public Official Appointments
Continuation Sheet
A Public Document
Page of
1. Agency Name
Date Posted:
(Month, Day. Year)
2. Appointments
Aaencv. Board
/Name ► �_
(Last, First) Appt Date
Alternate, if any (Last, First) 1 Length of Term
1 Per Meeting: $
► Estimated Annual:
❑$0- $1,000 ❑$2,001- $3,000
❑ $1,001- $2,000 ❑
Other
► 1 Per Meeting: $
/Name
(Lest First) Appt Date ► Estimated Annual.,
❑ $0- $1,000 E:1$2,001-$3,000
Alternate, if any /
(Last, First) Length of Term
[:1$1,001.$2,000 ❑
Other
►N ► 1 Per Meeting: Warne
(Last, First) Appt .Date ► Estimated Annual:
❑ $0- $1,000 ❑ $2,00143,000
Alternate, if any 1
(Last, First) Length of Term
❑ $1,00142,000 ❑
Other
►NMarne ► 1 Per Meeting: $
(Last, First) Appi Date ► Estimated Annual:
❑ $o- $1,000 ❑ $2,001 43,000
Alternate, if any /
(Last, First) Length of Term
❑.$1,001 - $2,000 ❑
Other
FPPC Form 806 (5112)
FPPC Toll -Free Helpline: 866 /ASK -FPPC (866/275 -3772)
1
► Per Meeting: $
bName
(Last, First)
Appt Date
► Estimated Annual:
❑ $0- $1,000 ❑ $2,001 43,000
Alternate, if any
(Last, First)
Length of Term
❑= $1,00142,000 ❑�„__
Other
►
1 Per Meeting:
Warne
►N
(Last, First)
Appt Date
► Estimated Annual.
❑ $0- $1,000 ❑ $2,00143,000
Alternate, if any
/
(Last, First)
Length of Term
❑$1,00142,000
Other
►NMarne ► 1 Per Meeting: $
(Last, First) Appi Date ► Estimated Annual:
❑ $o- $1,000 ❑ $2,001 43,000
Alternate, if any /
(Last, First) Length of Term
❑.$1,001 - $2,000 ❑
Other
FPPC Form 806 (5112)
FPPC Toll -Free Helpline: 866 /ASK -FPPC (866/275 -3772)
THIS PAGE
INTENTIONALLY
LEFT BLANK