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HomeMy WebLinkAboutProvisional Adoption of Ordinance No. 1775, Amending Chapter 2.01 BMC.pdf Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 1 of 7 Commission Memorandum REPORT TO: City of Bozeman Ethics Board FROM: Greg Sullivan, City Attorney Chris Kukulski, City Manager SUBJECT: Provisional adoption of Ordinance 1775: An Ordinance of the City Commission of the City of Bozeman, Montana, Amending Chapter 2.01, BMC (Code of Ethics) to include provisions related to improper governmental action and others. MEETING DATE: December 7, 2009 AGENDA ITEM TYPE: Action Agenda RECOMMENDATION: We recommend you review the amendments proposed by staff and the Board of Ethics and, by motion and vote, provisionally adopt Ordinance 1775. BACKGROUND: This past summer you requested a review and evaluation of existing protections afforded to those who report alleged violations of city policy or certain standards of conduct related to interactions with the public. Essentially, you asked for information regarding “whistleblowing.” On August 31, 2009, staff presented you with a detailed report on existing local, state and federal protections for those who report alleged improper conduct. At that time, you directed the City Attorney to draft amendments to the city’s Code of Ethics that would codify (i.e. put into the city’s municipal code) more express protections for whistleblowers. You were also interested in ensuring those who reported such conduct were not retaliated against. As such, City Attorney Sullivan drafted the attached ordinance. The “whistleblowing” protections are entitled “improper governmental action.” In addition, various provisions address “retaliation” type behavior. After a discussing the process this ordinance has been through to get to you today, we will explain the details of the proposed ordinance, section by section. Process: Per you direction, the City Attorney drafted amendments to Chapter 2.01 of the Bozeman Municipal Code and presented those amendments to the Board of Ethics on October 28, 2009. At that meeting, the Board considered the whistleblower and retaliation provisions and requested specific adjustments. In addition, the Board considered other provisions in the Code of 127 Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 2 of 7 Ethics that were potentially in need of review and possible amendment. The Board of Ethics again considered the whistleblowing and retaliation provisions as well as the other provisions they were concerned about on November 18th and voted to unanimously recommend you approve Ordinance 1775. As stated, the ordinance adopted by the Board of Ethics includes the other amendments prepared by City Attorney Sullivan. City employees and officials have also been given notice and an opportunity to participate in the development of this proposed ordinance. First, in early October, City Attorney Sullivan presented initial drafts to the directors and the city’s Tuesday morning management team for review and comment. Several of them provided written comments and those suggestions were incorporated into the initial draft as presented to the Board of Ethics. Second, on November 12th, with the assistance of the city’s IT department, documents related to this proposed ordinance were placed on the city’s external website. At that time, an email was sent to all employees and all officials (i.e. board members) notifying them of the proposed ordinance and directing them to the website. Employees and officials were invited to provide written comments to the City Clerk’s office, the Board of Ethics, or to you. They were also encouraged to attend the Board of Ethics meetings as well as this meeting. In addition, around the time we placed the documents on the external website, around November 9, 2009, City Attorney Sullivan directly emailed you drafts of these proposed changes. Documents related to this ordinance remain on the city’s homepage under “Whistleblowing Ordinance.” In addition, this memo and the version of the ordinance currently before you were placed on the website as of the afternoon of Wednesday, December 2, 2009. Proposed Amendments: As stated above, Ordinance 1775 contains numerous proposed amendments to Chapter 2.01, BMC. In addition to amendments defining and providing for “improper governmental action” and amendments addressing retaliation, you will find several substantive changes to the code’s standards of conduct, its provisions related to post-employment activities, and the conflict of interest provisions. These other proposed amendments will be discussed herein as the Board of Ethics acknowledged the need to revisit these provisions for clarity and to clear up conflict between state and local law. The sections of the ordinance that contain provisions related to whistleblowing and retaliation are sections: 1, 2, 3, 5, 6, 8, and 10. Sections of the proposed ordinance that contain provision identified by the Board of Ethics and staff and not directly related to whistleblowing and retaliation include sections: 4, 7, 8, 9 and 11. 128 Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 3 of 7 The following contains a description, for each section of the ordinance in numerical order, of the proposed changes to Chpt. 2.01 of the BMC: Section 1: This proposed amendment updates the table of contents for Chpt. 2.01 and recognizes the proposed addition of a new section related to procedures for reporting “improper governmental action.” Section 2: This section of the ordinance proposes to amend the “Declaration of Policy” of the Code of Ethics by incorporating language related to accountability and retaliation. The amendments speak for themselves. Section 3: This section of the ordinance provides one of the most critical substantive changes as it creates a definition for the term “improper governmental action.” The definition of this term contains the substance of what constitutes (and what does NOT) improper governmental action. Please pay particular attention to this amendment. Also, please consider this in conjunction with section 10 of the ordinance discussed below regarding reporting of improper governmental action. Section 4: This section of the proposed ordinance contains a minor amendment to 2.01.030, BMC. The substantive amendment here is to move the existing mandate that employees and officials verify their commitment to the Code of Ethics from its original location in 2.01.110 (Post-Employment Activities). The location for this phrase is clearly more appropriately located in 2.01.030. Section 5: This section of the proposed ordinance contains language that lies at the heart of the Commission’s direction this past summer. In doing so, this section of the ordinance amends 2.01.040, BMC, by adding a new “standard of conduct” that requires all officials and employees to refrain from improper governmental action. In addition, this section of the ordinance creates a new standard of conduct prohibiting retaliation against an employee or official when that employee or official proceeds with a claim in “good faith” under the Code of Ethics. Section 6: This section of the ordinance also contains critical language per the Commission’s direction; here, the language goes directly to how employees and officials treat the public. By amending 2.01.060, this section of the ordinance provides express statements regarding how the public should be treated with regards to retaliation: “All employees and officials shall, in the exercise of their official duties, refrain from taking any action, making of any statement, or authoring any document that is intended to harass, intimidate, or retaliate against any member of the public.” 129 Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 4 of 7 Section 7: This section of the ordinance contains amendments not specifically requested by the Commission but proposed by the Board of Ethics and recommend by City Attorney Sullivan. This section of the ordinance proposes to primarily reorganize 2.01.070 (Conflicts of Interest) and propose a few substantive changes. In addition to reorganizing the provisions for clarity, the proposed changes to this section include: • Clarifying that the only officials who may participate in an action on a matter when a conflict of interest exists are the City Commissioners and only as authorized by Montana statute (see Sect. 2-2-121(10), MCA). See propose new subsections D and G to 2.01.070. • Creating new subsection (F) clarifying the relationship between state law and the city’s Code of Ethics. The proposal would make it certain the provisions of the city’s Code of Ethics regarding conflict of interest do NOT absolve any official or employee from complying with Title 2, Chpt. 2, MCA. That is, an employee and official are legally required to abide by BOTH state law and the city’s Code of Ethics. The proposed subsection continues: “If any provision of this section is in conflict with Title 2, Chpt. 2, MCA the more stringent provision, the provision that requires greater disclosure, or the provision that provides less authority to act in furtherance of a conflict, shall apply.” • Proposing a new subsection (H) that indicates the disclosure requirements of Sect. 2-2-131, MCA, must be adhered to when an employee or official takes an act under this section and when disclosure of that act will be required by law. As you will note, this new subsection is written broadly. The intent is to have employees and officials consult directly with the City Attorney to determine: (i) whether a conflict exists; (ii) whether they are permitted to act, if at all; and (iii) what steps are legally required if the employee or official is authorized to act. • Deleting from 2.01.070 the following phrase: “No employee, whether paid or unpaid, shall represent or appear on behalf of any individual or entity before any agency of the city, or take any appellate proceedings from any action of such agency, either personally or through an associate or partner.” The reason this phrase is proposed to be deleted is because it is simply duplicative and potentially conflicting with other existing provisions. These other provisions that control the same behaviors are now labeled as subsections B, C, and D. • Amending what is labeled as new subsection (E) to indicate employees or officials are not precluded from bringing before an agency of the city or the Commission a matter that affects their own individual legal rights. While newly labeled subsections A, B, and C effectively prohibit an employee of official from engaging in any action where a conflict of interest exists between their personal interests and those of the city, this newly labeled subsection does allow a person to do so BUT ONLY IF the matter is of a strictly personal interest. The employee or official doing so must still comply with all other provisions, including disclosure and a separation of their official duties from their personal interest. Examples may include a circumstance where an employee is a member of a home owners association and must present an application or issue before the City 130 Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 5 of 7 Commission. The employee may do so dependent upon compliance with all the requirements of this section. A second example would be when a member of the planning board applies for a certificate of appropriateness for a remodel to their own home. Complying with all other provision of the Code of Ethics, the planning board member may present their application before the city. o Please note: newly labeled subsection (D) has language that directly prohibits representation before any city board or agency. Currently, the interpretation of this section is that it applies to professional circumstances. The Board of Ethics is also interested in reviewing this provision in consultation with several boards and may, in the future, report to you with proposed amendments. Section 8: This section of the proposed ordinance has a few important amendments that were identified by the Board of Ethics and staff but not directly related to the Commission’s direction on whistleblowing and retaliation. These proposed amendments include: • Inserting a comma in the third line of newly labeled subsection 1(A) after the phrase “negotiate with.” This comma clarifies the prohibition during the post- employment period applies to circumstances where a former public servant desires to “negotiate[e] with” a current city decision maker. • Make certain the standards in this section work in concert with post-employment prohibitions found in state law and clarify the more stringent provision applies. Section 9: This section of the proposed ordinance was identified by the Board of Ethics and staff as important in order to clarify under what circumstances and through which process a former public servant could override the prohibitions found in 2.01.110. To do so, the proposed ordinance: • Makes it clear in subsection (A) the only acts a notice can override are those listed in 2.01.110(A)(1) or (2): in (1) “… make any formal or informal appearance before, or negotiate with, any decision maker on any matter which was under the public servant's direct responsibility as a public servant; or in (2) “… act on behalf of any party other than the City in connection with any matter in which the former public servant participated personally and substantially as a public servant.” • The proposed changes also indicate a procedure a former public servant must go through to make the notice effective including providing notice no less than ten days prior to the meeting and posting by the clerk on the city’s website. • The proposed amendments in subsection (A) also allow for relief from the ten day requirement: “If a former public servant cannot reasonably meet the ten (10) day notice period… the former public servant may appear only at a duly noticed public meeting where a formal record is made and must comply with subsection B…” • The intent of newly labeled subsection (B) is that it directly applies to meetings between a former public servant and a decision maker that are to be formally noticed. For those types of meetings, a former public servant may appear 131 Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 6 of 7 regardless of the time constraints of subsection (A) but only where the meeting meets the criteria. • Finally, like other provisions where a potential conflict exists between the standards in state law and the city’s Code of Ethics, an addition to this section makes it clear that if a conflict exists, the more stringent standard applies. The result may that while the city provision may allow a former public servant to provide notice and override the prohibitions on acting, state law may not. All former public servants are encouraged to work with the City Attorney to determine how they must comply with this section. Section 10: This section of the proposed ordinance is another section that gets to the gravamen of your direction from this past summer regarding whistleblowing and retaliation and as such should be read in conjunction with the creation of a definition for “improper governmental action.” (See sections 3 and 5 of the ordinance). • Subsection (B) is the provision that establishes a right under the Code of Ethics for any person to report “improper governmental conduct:” Right. Every City employee, official, or member of the public shall have the right to report, in good faith and in accordance with this Chapter, to a City official, employee, another government official, or member of the Board of Ethics pursuant to the procedures of this Chapter, or to any member of the public, information concerning improper governmental action • Subsection (C) of this section proposes to add specific limitations regarding the right established above. Of particular importance is the provision that requires an allegation of improper governmental conduct to be made “in good faith.” In addition, it is clear in the limitation subsection that reporting improper governmental conduct committed by one self does not grant that person immunity from further action under the Code of Ethics or discipline under the city’s personnel policies. • Finally, this section lists specific instances of conduct related to the reporting of improper governmental conduct that are protected if carried out in good faith. This list is intended to be exhaustive; meaning, that if a type of conduct is NOT listed it may not be protected under this ordinance. Please note, however, the language is quite broad. Section 11: This final substantive section of the ordinance proposes to amend 2.01.130, BMC, to provide an alternative to an annual ethics workshop for employees and officials. This proposal was not specifically requested by the Commission but is being suggested by the Board of Ethics and staff to provide flexibility and alternatives in conducting the annual ethics training. In addition to the above proposals, the Board of Ethics and staff propose amending for gender neutrality those sections of Chpt. 2.01 that were substantively amended by this ordinance. As such, you will see throughout the ordinance numerous gender-neutral amendments. 132 Staff Memorandum: Provisional Adoption Ordinance 1775 Amending Chpt. 2.01, BMC, to Include Provisions Related to Improper Governmental Action and Others Page 7 of 7 Finally, we wish to remind the Commission of two major points related to implementation of the standards provided in the Code of Ethics. First, the existing Code of Ethics has specific provisions that direct the process a person interested in filing a complaint with Board must follow. The substantive amendments included in this ordinance will also use this existing process. Second, City Manager Kukulski intends to develop an administrative order that will include, in the city’s personnel policies, express provisions related to retaliation and whistleblowing. These provisions have not yet been adopted because staff was interested in ensuring the provisions were compatible with the code changes the Commission adopts. Upon final adoption of this ordinance, changes to the personnel policies will be adopted by the City Manager. FISCAL EFFECTS: None foreseen at this time. ALTERNATIVES: As suggested by the City Commission. Attachments: • Ordinance 1775 (Version 12/2/09) Report compiled on: December 2, 2009. 133 ORDINANCE 1775 Page 1 of 15 ORDINANCE NO. 1775 Adopted by Board of Ethics 11/18/09 Version 12/2/09: For City Commission Provisional Adoption AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, AMENDING CHAPTER 2.01 OF THE BOZEMAN MUNICIPAL CODE (BMC) BY AMENDING THE TABLE OF CONTENTS OF CHAPTER 2.01 OF THE BMC TO INCLUDE A NEW SECTION ON REPORTING OF IMPROPER GOVERNMENTAL ACTION; AMENDING SECTION 2.01.010 TO ADD ACCOUNTABILITY AND RETALIATION TO THE STATEMENT OF PURPOSE; AMENDING SECTION 2.01.020 TO ADD A DEFINITION OF IMPROPER GOVERNMENTAL ACTION; AMENDING SECTION 2.01.030 TO CLARIFY REQUIREMENTS FOR COVERED PERSONS; AMENDING 2.01.040 TO ADD ADDITIONAL STANDARDS OF CONDUCT; AMENDING SECTION 2.01.060 TO ADD PROVISIONS ADDRESSING TREATMENT OF THE PUBLIC; AMENDING SECTION 2.01.070 CLARIFYING STANDARDS FOR CONFLICTS OF INTEREST; AMENDING SECTION 2.01.110 CLARIFYING PROVISIONS RELATED TO POST EMPLOYMENT ACTIVITIES; AMENDING SECTION 2.01.111 REGARDING DISCLOSURE OF POST-EMPLOYMENT ACTIVITIES; AMENDING SECTION 2.01.120 TO ADD PROVISIONS RELATED TO IMPROPER GOVERNMENTAL CONDUCT INCLUDING REPORTING AND LIMITATIONS; AMENDING SECTION 2.01.130 TO ALLOW ALTERNATIVE TO YEARLY ETHICS WORKSHOPS; RENUMBERING NUMEROUS SECTIONS; INCLUDING AN EFFECTIVE DATE; AND A CODIFICATION INSTRUCTION. WHEREAS, the Bozeman City Commission finds that the public trust is critical to a well functioning democracy and that additional provisions in the Bozeman Municipal Code related to improper governmental action including retaliation by employees and officials against those who report alleged improper governmental action are necessary to ensure the trust of the public; and WHEREAS, the specific types of actions and behavior that constitutes improper governmental action should be specifically defined so as to inform those who may allege a violation of the standards of conduct as to which behaviors constitute such misconduct; and WHEREAS, the City of Bozeman is a self-governing local government under Montana law and has clear legislative authority to establish standards for improper governmental action; and 134 ORDINANCE 1775 Page 2 of 15 WHEREAS, the Commission finds that retaliation by any City of Bozeman employee or official for reporting of improper governmental action violates the City’s established code of ethics; and WHEREAS, the City of Bozeman Ethics Board, at a duly noticed meeting, via motion and vote, passed a recommendation to the Bozeman City Commission that the Commission adopt this ordinance. NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA: Section 1 That the table of contents of Chapter. 2.01 shall be amended as follows: Chapter 2.01 Sections: 2.01.010 Declaration of Policy 2.01.020 Definitions 2.01.030 Persons Covered. 2.01.040 Standards of Conduct 2.01.050 Use of City Resources 2.01.060 Treatment of the Public 2.01.070 Conflict of Interest 2.01.080 Confidential Information 2.01.090 Gifts, Gratuities and Favors 2.01.100 Financial Disclosure Statement 2.01.110 Post Employment Activities 2.01.111 Public Notice Required 2.01.120 Reporting Improper Governmental Action/Rights 2.01.130 Board of Ethics 2.01.140 Duties and Powers of the Board 2.01.150 Who May Request Board Action 2.01.160 Limitations on Board’s Power 2.01.170 City Attorney Opinions 2.01.180 Procedures for Hearing Complaints 2.01.190 Those Subject to Removal Only by the Governing Body 2.01.200 Ex Parte Communication 2.01.210 Confidentiality of Board Information 2.01.220 Waiver of Confidentiality 2.01.230 Statute of Limitations 135 ORDINANCE 1775 Page 3 of 15 Section 2 That Section 2.01.010 of the Bozeman Municipal Code shall be amended as follows: 2.01.010 Declaration of Policy The proper operation of the city government requires that public officials and employees be independent, impartial, accountable, and responsible; that governmental policies and decisions be made in the proper channels of the governmental structure; that public office and employment not be used for personal gain nor be used to harass, intimidate, or retaliate against citizens and other employees and officials; and that the public have confidence in the integrity of its government. The purpose of this code of ethics is to set forth standards of ethical conduct, to assist public officials and employees in establishing guidelines for their conduct, to foster the development and maintenance of a tradition of responsible, accountable and effective public service, and to prohibit conflict between public duty and private interest. Nothing herein shall be construed to relieve any employee or official of the responsibilities set forth in Sections 2-2-104, 2-2-105, , 2-2-121, 2-2-131, and 7-5-4109 of the Montana Code Annotated. Where a provision or interpretation of this Chapter conflicts with a provision of the Montana Code Annotated the more stringent provision or interpretation that requires a greater level of public disclosure shall apply. Section 3 That Section 2.01.020 of the Bozeman Municipal Code shall be amended to insert the following: 2.01.020 Definitions As used in this chapter, the following terms shall have the following meanings, unless the context clearly indicates that a different meaning is intended: A. “Agency” means the City Commission and all other agencies, board, committees, departments, and offices of the city, without exception. B. “Board” means Board of Ethics. C. “City” means the "City of Bozeman", Montana. D. “Confidential information” means any information which is not available to the general public and which is obtained only by reason of an official's or employee's position. 136 ORDINANCE 1775 Page 4 of 15 E. “Direct Advantage” means a gain or benefit to the former public servant; his/her present principal or employer. F. “Employee” means all individuals employed by the City and its agencies, but does not include independent contractors hired by the City, City Commissioners, or any Municipal Judge. G. “Financial interest” means any ownership interest, contractual relationship, business relationship, or other interest which will result in a monetary or other material benefit to an official or employee, either tangibly or intangibly, which has a value of more than fifteen dollars, other than his or her duly authorized salary or compensation for his services to the city, and which interest is not common to the interest of all other citizens of the city. The following financial interest shall be imputed to be those of an official or an employee of the city: that of a spouse or child of an official or employee; that of any prime contractor or subcontractor of the city, in which the official or employee or any member of his or her immediate family has any direct or indirect interest as the proprietor, by ownership of stock or partnership interest. H. “Immediate family” means spouse and children. I. “Improper Governmental Action” includes any action taken by an official or employee during the performance of the officer’s or employee’s duties, regardless of whether the action is within the scope of the employee’s employment or the officer’s duties, and that a. Violates the standards of conduct listed in 2.01.040 or 2.01.060; b. Violates the standards prescribed by Title 2, Chpt. 2, MCA; c. Is intended to harass, intimidate, or retaliate against any other employee, official, or any member of the public for the conduct protected under this Chapter or state or federal law; d. Violates a fiduciary duty to the City of Bozeman or its citizens; or e. Creates a substantial or specific danger to the public’s health or safety. Improper Governmental Action excludes personnel actions, including but not limited to: employee grievances, complaints, appointments, promotions, transfers, assignments, reassignments, reinstatements, restorations, reemployments, performance evaluations, reductions in pay, dismissals, suspensions, demotions, reprimands, violations of collective bargaining or civil service laws, or alleged violations of agreements with labor organizations under collective bargaining. 137 ORDINANCE 1775 Page 5 of 15 A properly authorized city program or budgetary expenditure does not become an improper governmental action because a reporting person dissents from or disagrees with the city policy or decision. H.J. “Officials” means all officers and members of the city's agencies, whether elected or appointed, whether paid or unpaid, whether permanent, temporary, or alternate, and that are not employees. I.K. “Personal interest” means any interest in the matter which would affect the action of the official or employee other than a financial interest, and other than an interest because of membership in, or affiliation with, but not employment by a social, fraternal, charitable, service, educational, religious, governmental, health service, philanthropic, cultural, or similar nonprofit institution or organization. J.L.“Public servant” means officials, members of the Parking Commission and Library Board and employee as defined in this section. K.M. “Transaction” means the offer of, or the sale, purchase, or furnishing of, any real or personal property or services, by or to any person or entity directly or indirectly, as vendor or vendee, prime contractor, subcontractor, or otherwise, for the use and benefit of the city or of such other person or entity for a valuable consideration. Section 4 That Section 2.01.030 of the Bozeman Municipal Code shall be amended to insert the following: 2.01.030 Persons Covered All city officials, including members of the Parking Commission and Library Board, and all employees shall be bound by this chapter. Upon initial employment and annually thereafter each employee, public official and member of every board or committee shall verify he/she has not and will not knowingly violate any provision of this ordinance or the rules, standards of conduct or rules of ethics established by state law. 138 ORDINANCE 1775 Page 6 of 15 Section 5 That Section 2.01.040 of the Bozeman Municipal Code shall be amended to insert the following: Standards of Conduct A. Officials and employees have an obligation to act morally and honestly in discharging their responsibilities. B. Officials and employees shall conduct themselves with propriety, discharge their duties impartially and fairly, and make continuing efforts toward attaining and maintaining high standards of conduct. C. Each official or employee serving on a multimember agency is expected to devote the time and effort necessary to the successful functioning of such agency. D. No official or employee shall improperly use, directly or indirectly, his/her city position to secure any financial interest or personal interest for himself/herself, or others. E. No official or employee shall, for any reason, use or attempt to use his position to improperly influence any other official or employee in the performance of his/her official duties. F. No employee shall act in a private capacity on matters that they are directly responsible for as an employee. G. No official shall act in a private capacity on matters acted upon as an official. H. All officials and employees shall refrain from improper governmental action as defined in this Chapter. I. No official or employee shall retaliate against any employee, official, or member of the public regarding an allegation of improper governmental action because that employee, official, or member of the public proceeded or is proceeding in good faith under this Chapter including acting under 2.01.120.D. 139 ORDINANCE 1775 Page 7 of 15 Section 6 That Section 2.01.060 of the Bozeman Municipal Code shall be amended to insert the following: 2.01.060 Treatment of the Public. City officials and employees represent the city government to the public. In their contact with the public, officials and employees must bear in mind their role as public servants. Each member of the public should shall be treated courteously, impartially, and fairly. All employees and officials shall, in the exercise of their official duties, refrain from taking any action, making of any statement, or authoring any document that is intended to harass, intimidate, or retaliate against any member of the public. Section 7 That Section 2.01.070 of the Bozeman Municipal Code shall be amended as follows: A. No official or employee shall engage in any employment or business which conflicts with the proper discharge of his or her official duties. B. No official or employee shall take or influence official action if the official or employee hasve a financial or personal interest, tangibly or intangibly, in any transaction with the City. as to which he has the power to take or influence official action. unless full public disclosure is made. . If an official or employee has any tangible or intangible financial or personal interest in the outcome of any matter coming before the agency of which he is a member or by which he is employed, such official or employee shall publicly disclose on the record of the agency, or to his superior or other appropriate authority, the existence of such financial or personal interest. An official or employee having such a financial or personal interest shall not engage in deliberations concerning the matter, shall disqualify himself from acting on the matter, except in the event of a tie vote, and shall not communicate about such matter with any person who will participate in the action to be taken on such matter. B. If an official or employee has any tangible or intangible financial or personal interest in the outcome of any matter coming before the agency of which they are he is a member or by which they are he is employed, such official or employee shall publicly disclose on the record of the agency, or to their his superior or other appropriate authority, the existence of such financial or personal interest. 140 ORDINANCE 1775 Page 8 of 15 A.C. Except as authorized pursuant to 2.01.070.H, aAn official or employee having such a financial or personal interest in a matter shall not engage in deliberations concerning the matter, shall disqualify himself from acting on the matter, except, in the event of a tie vote, and shall not communicate about such matter with any person who will participate in the action to be taken on such matter. B. No employee, whether paid or unpaid, shall represent or appear on behalf of any individual or entity before any agency of the city, or take any appellate proceedings from any action of such agency, either personally or through an associate or partner. C.D. Except as authorized pursuant to 2.01.070.H, nNo official, whether paid or unpaid, shall represent or appear on behalf of any individual or entity in any action or proceeding of concern to the agency on which that official serves, either before that agency or any other agency of the city, or before the City Commission, or take any appellate proceedings from any action of such agency or the Commission. Such representation may be made by an the official's associate or partner, provided no reference to the participation of the involved official is made except for certification or other required identification on prepared documents. The involved official shall not engage in deliberations concerning a matter represented by an associate or partner, shall disqualify himself from acting on the matter, except in the event of a tie vote, and shall not communicate about such matter with any person who will participate in the action to be taken on such matter. D.E. Nothing in this section shall be interpreted or construed to prohibit any official or employee from exercising histheir own individual legal rights as to histheir own personal interests in a matter pending before the City or any of its agencies, or to prohibit an official or employee from testifying as a witness in any administrative or judicial proceeding. However, no official or employee who represents his their own personal interest before an agency of which he/she is a member, or a member of an agency to which the matter may be appealed, shall participate in the decision of that agency or the appellate agency and must, fully disclose any conflict of interest prior to the agency taking action. F. This section does not absolve any official or employee from complying with Title 2, Chpt. 2, MCA. If any provision of this section is in conflict with Title 2, Chpt. 2, MCA the more stringent provision, the provision that requires greater disclosure, or the provision that provides less authority to act in furtherance of a conflict, shall apply. 141 ORDINANCE 1775 Page 9 of 15 E.G. A City Commissioner or Mayor, as authorized pursuant to Sect. 2-2-121(10), MCA, may take action on a conflict described in this section if that Commissioner’s or Mayor’s participation is necessary to obtain a quorum or to otherwise enable the Commission to act. If so, the Commissioner or Mayor shall disclose the interest creating the conflict prior to performing the official act. F.H. Any official or employee with a conflict of interest under this section shall, in addition to other requirements in this section and when required by law, comply fully with the disclosure requirements of Sect. 2-2-131, MCA, and shall file this disclosure with the Montana Commissioner of Political Practices prior to acting. Section 8 That Section 2.01.110 of the Bozeman Municipal Code shall be amended to read: 2.01.110. Post Employment Activities. A. No former public servant: 1. during the 12 months following the date on which the public servant ceases service to the City of Bozeman, may, without complying with the provisions of 2.01.111, make any formal or informal appearance before, or negotiate with, any decision maker on any matter which was under the public servant's direct responsibility as a public servant; 2. may, for compensation, without complying with the provisions of 2.01.111 within 12 months after termination of public service act on behalf of any party other than the City in connection with any matter in which the former public servant participated personally and substantially as a public servant; or 3. shall use or continue to use any former official City title, including use on business cards or stationery, following termination of employment with the City, except that such use is not prohibited if the public servant indicates that the employment with the City was former to current employment. B. Upon initial employment and annually thereafter each employee, public official and member of any board or committee shall verify he/she has not and will not knowingly violate any provision of this ordinance or the rules, standards of conduct or rules of ethics established by state law. 142 ORDINANCE 1775 Page 10 of 15 C.B. The provisions of this Section do not absolve a public servant, official or employee from complying with the prohibitions against contracting in Sect. 2-2-105(3), MCA, or the prohibitions against obtaining employment in Sect. 2-2-201, MCA. If any provision of this section is in conflict with Title 2, Chpt. 2, MCA the more stringent provision shall apply. Section 9 That Section 2.01.111 of the Bozeman Municipal Code shall be amended as follows: 2.01.111. (Public Notice Required for Former Public Servants/Compliance with State Law). A. During the first 12 months following the date on which the former public servant ceases service to the City of Bozeman, any former public servant intending to make any formal or informal appearance before, or negotiate with, any decision maker, regarding any act prohibited under 2.01.110.A.1 and 2, shall, not less than ten (10) business days prior to the appearance, file with the Clerk of the City Commission and with the office of the City Attorney a public notice of the former public servant’s desire to negotiate, or appear informally or formally before a decision maker. Such written disclosure shall state in substance the purpose for which the former public servant wishes to appear or negotiate with the decision maker, the reason for such appearance or negotiation and a disclosure of all offices or employment held by the former public servant during the last 12 months of service to the City of Bozeman. The Clerk shall post the disclosure in a prominent location on the City’s website and other appropriate locations. Unless prohibited by Title 2, Chpt. 2, MCA, upon filing such written disclosure, the former public servant is not prohibited from the post employment activities proscribed in 2.01.110 A. 1 & 2. If a former public servant cannot reasonably meet the ten (10) day notice period described above, the former public servant may appear only at a duly noticed public meeting where a formal record is made and must comply with subsection B, below. B. If during the first 12 months following the date on which the former public servant ceases service to the City of Bozeman a former public servant wishing to appear before the City Commission or any other city board or agency at a properly noticed public meeting the former public servant shall at the onset of the appearance place upon the record the reason for such appearance and a disclosure of all offices or employment held by the former public servant during the last 12 months of service to the City of Bozeman. 143 ORDINANCE 1775 Page 11 of 15 C. Nothing herein shall be construed as to absolve any former public servant of their duty to comply with Title 2, Chpt. 2, MCA. If any provision of this section is in conflict with Title 2, Chpt. 2, MCA the more stringent provision shall apply. Section 10 That Section 2.01.120 of the Bozeman Municipal Code shall be amended to insert the following: 2.01.120. Reporting Improper Governmental Action/Rights/Limitations/Protected Conduct. A. General. 1. The provisions of this section are intended to work in harmony with the City of Bozeman Employee Handbook and provide remedies in addition to those listed in the Employee Handbook. Under no circumstances shall the provisions of this Chapter be taken as authorization for any official or member of the Board of Ethics to take or order disciplinary action be taken against a city employee for whom that official does not have authority to discipline or take action against pursuant to the Bozeman City Charter or law. 2. Nothing herein shall be deemed to reduce or interfere with the rights of an employee, official, or member of the public under Montana or federal law regarding actions that may constitute an improper governmental action. B. Right. Every City employee, official, or member of the public shall have the right to report, in good faith and in accordance with this Chapter, to a City official, employee, another government official, or member of the Board of Ethics pursuant to the procedures of this Chapter, or to any member of the public, information concerning improper governmental action. C. Limitations. 1. This section does not authorize a City employee, official, or member of the public to report information that is subject to an applicable privilege against disclosure at law, unless waived, or to make a disclosure where prohibited by law. The purpose of this Section is to protect and encourage employees, officials, and members of the public who know or in good faith believe improper governmental action has occurred to report those actions in good faith and in accordance with this Chapter. 2. An employee or official reporting of his or her own improper action does not grant the employee or official immunity from discipline (including but not limited to termination or removal from office) insofar as the employee or official’s improper action would be cause for discipline or removal from office. 144 ORDINANCE 1775 Page 12 of 15 3. This section does not grant an employee or official immunity from discipline (including but not limited to termination or removal from office) insofar as the employee or official’s reporting of alleged improper governmental action is found to have not been made in good faith or is found to have been made in an attempt to harass, intimidate or retaliate against the person who is the subject of the original allegation of improper governmental action. D. Employee/Official Protection and Protected Conduct. The following conduct by employees, an official, or a member of the public is protected under this section if carried out in good faith: 1. Reporting sexual harassment or workplace violence pursuant to the City of Bozeman’s policies; 2. Reporting any violations of Title 2, Chapter 2, MCA (Standards of Conduct) or Title 49, MCA (Human Rights); 3. Reporting any violation of the State of Montana’s or City of Bozeman’s criminal laws; 4. Reporting violations of an employee’s or official’s fiduciary duties; 5. Reporting any other improper governmental; 6. Cooperating in an investigation under this Chapter, the City of Bozeman Charter, the City of Bozeman personnel policies, Title 49, MCA, or federal law, conducted by a duly authorized city employee or official or a duly authorized agent of the state or federal government; or 7. Testifying in proceedings or prosecution arising out of an improper governmental action. Section 11 That Section 2.01.130 of the Bozeman Municipal Code shall be amended to read as follows: A. 14. In coordination with the City Attorney, City Manager, and other appropriate City personnel, arrange for the conduct of an annual workshop or training program, which shall serve as an orientation for new Board members and an opportunity for experienced members to explore specific issues in depth; attendance at this workshop shall be made a condition of service as a member of the Board, and, before taking office, Board member shall commit themselves to attend it. 145 ORDINANCE 1775 Page 13 of 15 Section 12 That all other sections of Chapter 2.01 following 2.01.020 shall be renumbered in consecutive order to reflect the amendment in Section 5 of this Ordinance. Section 13 Repealer. All provisions of the ordinances of the City of Bozeman in conflict with the provisions of this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances of the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full force and effect. Section 14 Savings Provision. This ordinance does not affect the rights and duties that matured, penalties that were incurred or proceedings that were begun before the effective date of this ordinance. All other provision of the Bozeman Municipal Code not amended by this Ordinance shall remain in full force and effect. Section 15 Severability. That should any sentence, paragraph, subdivision, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect the validity of this ordinance as a whole, or any part or provision thereof, other than the part so decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman Municipal Code as a whole. Section 16 Codification Instruction. The provisions of Section 2 shall be codified as appropriate in Chapter 2.01 of the Bozeman Municipal Code. 146 ORDINANCE 1775 Page 14 of 15 Section 17 Effective Date. This ordinance shall be in full force and effect 30 days after final adoption. PROVISIONALLY PASSED by the City Commission of the City of Bozeman, Montana, on first reading at a regular session held on the ____ day of December, 2009. ____________________________________ KAAREN JACOBSON, Mayor ATTEST: _______________________________ STACY ULMEN City Clerk APPROVED AS TO FORM: _________________________________ GREG SULLIVAN City Attorney 147 ORDINANCE 1775 Page 15 of 15 FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the City of Bozeman, Montana on second reading at a regular session thereof held on the ____ day of _______________, 2009. The effective date of this ordinance is _________________, __ 2010. _________________________________ KAAREN JACOBSON, Mayor ATTEST: _______________________________ STACY ULMEN City Clerk APPROVED AS TO FORM: _________________________________ GREG SULLIVAN City Attorney 148