Statements of Economic Interests Form 700 Filing Officer Duties

1. Statements of Economic Interests Form 700Filing Officer Duties Workshop for City Clerks, County Clerks and Multi County Filing Officers Presented By: The Technical Assistance Division Fair Political Practices Commission (866) ASK-FPPC www.fppc.ca.gov Please turn off cell phones

2. What’s In Your Packet? • Front Pocket: • Sample Gift Reports • Gift Fact Sheet • Notification Guidelines • Sample Notification Letters • Enforcement Referral Form • FPPC Fine Policy • Filing Officer Advice and Regulations List • Evaluation Form

3. What Else is in Your Packet? • Back Pocket: • Copy of Today’s Presentation • Form 700 • Form 700 Reference Pamphlet • Form With Errors • Form 700 Request For Amendment • Sample Form 700 Amendment Schedule

4. Disclosure Requirements (87200 Filers & Broad policy/Decision makers) (Designated Employee in conflict-of-interest code) Limited Disclosure Investments and business positions in, and sources of income, including gifts, loans, and travel payments from, entities that manufacture, sell, or provide computer hardware, software or computer consulting services of the type utilized by your agency Full Disclosure All interests in real property within the agency’s jurisdiction or within two miles of its boundaries All investments, business positions, and sources of income, including gifts, loans, and travel payments

5. City Filers • 87200 Filers • Mayor • Council Members • City Manager • Chief Administrative Officer • Planning Commissioners • City Attorney • City Treasurer • Public Officials who Manage Public Investments (typically retirement and pension boards) • Candidates for these offices Designated Employees Broad policy/Decision makers • Deputy Directors • Assistant City Attorney • Real Property Manager • Police Chief Employee with limited decision-making • Purchasing Agent • Fleet Manager • Data Processing Manager • Information Systems Analyst

6. County Filers 87200 Filers • Members of Boards of Supervisors • Chief Administrative Officer • District Attorney • Planning Commissioners • County Counsel • Treasurer • Public Officials who Manage Public Investments (typically retirement and pension boards) Candidates for these offices Designated Employees Broad policy/Decision makers • Director of County Engineering • Data Processing Manager • Deputy County Counsel Employee with qualifying duties • Chief Technology Officer • Director of Parking Facilities

7. Multi-County Filers 87200 Filers Designated Employees • Public Officials , Members of Boards and Commission and High-level employees who manage public investments • Treasury Manager • Director, Finance • Retirement System Admin. • 401(K)/457 Committee Members Candidates for these offices Broad policy/Decision makers • General Counsel • Director of Fiscal Services • Financial System Analyst Employee with qualifying duties • Insurance Director • Security Operations Officer

8. Judicial Filers • 87200 Filers • Supreme Court Justices • Appellate Court Justices • Superior Court Judges • Part-time Judges • Retired Judges • Court Commissioners • Candidates for these offices Designated Employees Broad policy/Decision makers • Court Administrator • Traffic Referee • Public Information Officer Employee with qualifying duties • Family Court Counselors • Supervising Court Reporter • Data Processing Manager

9. Consultants as Designated Employees Consultants - Fast Facts • Individual rather than firm files. • Reg. 18701 defines “consultants.” • Advice procedure- consultant must request determination from the local agency before requesting FPPC advice. (Reg. 18329.5) Consultants should be designated in the conflict-of-interest code.

10. Review Exercise Susan is a City Council Member and John is the Director of Information Technology. Under John’s disclosure category, he is only required to disclose income from and investments in technology companies. Who must disclose the following? • $10,000 stock in Microsoft • $15,000 stock in Starbucks • Two Kings tickets from a neighbor who works for UPS (Tickets valued at $200.) • Two tickets to Jersey Boys, the theater performance, from Apple Computer (Tickets valued at $250.) • A rental property located in the city and rented by a college student • Spouse’s income from the school district Both Susan Susan Both Susan Neither

11. New Boards and Commissions Members of newly created boards and commissions that are not solely advisory, must file Form 700 disclosing all of their economic interests pending approval of the agency’s conflict-of-interest code. EnvironmentalReview Commission (Gov. Code Section 87302.6; Regulation 18754.)

12. What’s New: Positions Not Yet Covered by a Conflict-of-Interest Code “Code Filers” (Regulation 18734, effective January 1, 2010) Individuals hired for positions that make/participate in making governmental decisions must file Form 700 before positions are added to the agency’s conflict-of-interest code. Form 700s are filed under agency’s broadest disclosure category until conflict-of-interest code is amended to include new positions. Agency may provide more limited written disclosure.

13. Expanded Statement A filer who holds a designated position with more than one agency may file an expanded statement. The official should: • Complete one “expanded” statement covering reportable interests for all jurisdictions/agencies. • File signed copies of the expanded statement with all filing officers/officials. City of Citrus Heights City Council Member Sac. Co. Fair Housing Comm. Commissioner

14. Where to File 87200 Filers: First…with you. Make a copy and send theoriginal to the FPPC. Designated Employees: Generally, original is filed with and retained by you. Exception: Statements for most public officials who manage public investments are retained by your agency.

15. Filing Official or Filing Officer? • If you are required to keep the original Form 700 filings in your office, you are the filing officer. • If you receive the original Form 700 from filers and are required to forward that original to the filing officer, you are the filing official. • You may be both a filing official and a filing officer.

16. Filing Officials:(for 87200 filers) Understanding Your Role • Notify filers of their filing obligation and distribute statements. • Date stamp statements. • Keep a log of all current statements • Make and retain a copy of statements. • Forward the original to the filing officer. • Act as liaison between filers and filing officer.

17. Filing Officers: (for designated employees) Understanding Your Role • Notify filers of their filing obligation and distribute statements. • Keep a log of all current statements. • Determine if statements are filed on time. • Notify those who fail to file. • Assess or waive fines. • Review statements. • Refer non-filers to enforcement authority.

18. FPPC Filing Officer Cities N-ZElaine Anderson Cities A-M Theresa Poon Courts, Counties & Multi-Counties Cyndi Glaser

19. Non Filer Sample Log • Use your log to sort non-filers. • May add a column for candidate statement. • This log format is designed by calendar year. 2010 Non Filer

20. Filing Deadlines Assuming/Leaving Office Statements • Due no later than 30 days after assuming or leaving the position. • The assuming officedate is either the date the official is sworn in or the date the official is authorized to serve, whichever is earlier. • Elected officials assume on the date they are sworn in. • The leaving office date is the date the official stops performing his or her official duties. (See Regulation 18722.)

21. Filing Deadlines - Exceptions Assuming/Leaving Office Statements An official who completes a term of office specified in Section 87200 and within 45 days begins a term of the same or another office in the same jurisdiction (e.g., planning commissioner is elected to city council) is not required to file an assuming or a leaving office statement. A designated employee who is re-elected or re-appointed within 30 days is not required to file an assuming or a leaving office statement. An individual who changes designated positions within the same agency or whose disclosure category has changed is not required to file an assuming or a leaving office statement.

22. Review Exercise Assuming/Leaving Office Statements 30 day Examples: • John is elected on June 8, 2010. He was sworn in on July 15, 2010. He must file an assuming office statement by August 16, 2010. • Rosemarie turned in her keys and left employment on August 30, 2010. Because she had vacation credit, her date of separation was January 2, 2011. Since she stopped performing her duties on August 30, her leaving office statement was due by September 29, 2010.

23. Filing Deadlines Annual Statement 2009 • 87200 Filers – Due by April 1 • Designated Employees - File no later than the deadline specified in the conflict-of-interest code; April 1st for most filers Period covered is generally January 1 - December 31 of previous year Exception: An individual who assumed office between October 1 and December 31, 2009, and filed an assuming office statement, will file his or her first annual statement in 2011, covering the period beginning the day after he or she assumed office through December 31, 2010.

24. Leave of Absence • Disability Leave • Parental Leave • Military Leave Filing obligation is determined on a case-by-case basis.

25. Notification Guidelines Pre-Filing Notification • Notice 30 days prior to deadline. • Notice by e-mail, fax, mail, or in person. • Form 700 is available online at www.fppc.ca.gov. Non-Filer Notification • Send written notification to non-filers within [30 or 120]* days after deadline. • Send a second notification within [30 or 60]* days after the date of the first non-filer notification. * Agencies with 50 filers or less use fewer number of days.

26. Notification Guidelines Enforcement Referral – Mandated Duty • Report non-filer after sending at least two written notices. • Make referral within [30 or 45]* days after the date the second notice is sent to a non-filer. Documentation • Maintain a log of all non-filer notices provided. • Include copies of letters and phone logs with referral to FPPC. Sample notices are in your packets.

27. Provide Your Filers With: • Form 700 • Reference Pamphlet • Conflict-of-Interest Code/Disclosure Categories (designated employees only) • Gift Fact Sheet It is extremely important that your filers are provided with their disclosure categories so they are aware of the types of interests and investments they are required to disclose.

28. E-Mail Notification Notification/reminders may be made by e-mail only if: • Procedure is in place to confirm e-mail notifications are received; • E-mail notification confirmations are saved until statement is received; and • E-mail notification confirmations are archived for filers who are delinquent or for those who fail to file. Interactive Form Available www.fppc.ca.gov

29. FORM 700 PUBLIC ACCESS • Form 700s are public documents. You must permit any member of the public to inspect and obtain a copy of any statement. • A Public Records Request cannot be required from the requestor. • Forms must be available for public inspection during the agency’s regular business hours. • No conditions may be placed on persons seeking access to the forms. • No information or identification may be required from persons seeking access. • Reproduction fees of no more than 10 cents per page may be charged. ($5 retrieval fee for statements five or more years old.)

30. Preservation of Statements Clear the Clutter Form 700: • Maintain original statements for seven years. • Copies must be maintained for not less than four years. • After two years on file, a statement may be put on a space saving device and originals may be discarded. Form 801: • Retain on website and paper for at least four years. Forms 802 : • Retain on website for at least four years. • Retain on paper for at least seven years. Form 803: • Retain on paper for at least seven years.

31. Reviewing the Form 700 FACIAL review is required for all statements Review for the following required information: • Name and address of filer • Period covered • Type of statement • Summary completed and schedules attached • Verification completed

32. Reviewing the Form 700 FULL review is required on 20% of all timely filed statements (at least one-half of which are selected at random). This includes reviewing information on all the attached schedules: • Compare with disclosure category • You are not required to conduct an investigation Remember: Fully review all late statements.

33. Take out Form 700 Quiz from your packet

34. Note: Agency address is recommended. Cover Page Cover Page Dow Debbie 530 555-1234 ddow@comcast.net CA 98311 Sunny Knoll 6500 “A” Street

35. Cover Page City of Sunny Knoll  City Council Member Northern CA Irrigation District Board Member Sunny Knoll  Yuba, Sutter, Plumas 

36. Cover Page The form is not considered filed if it is not signed. 7     March 3, 2010  Debbie Dow 

37. Schedule A-1Investments: Stocks, Bonds, and Other Interests (ownership less than 10%) Common Reportable • Common/Preferred stock Common Errors • Fair market value not checked. • Stock brokerage account reported instead of stocks itemized. • Financial statements attached in lieu of schedules. • Partnership reported on Schedule A-1, but income not reported on Schedule C.

38. Any reportable stock held through a brokerage firm should be reported if the fair market value is $2,000 or more. Schedule A-1 Comcast Dean Witter J.C. Penney Co., Inc. Department Store Communications Stock    

39. Schedule A-2Investments, Income, and Assets of Business Entities/Trusts (ownership is 10% or greater) Common Errors • Fair market value not reported. • Gross income received not reported. • Failure to disclose clients/income of $10,000. • Precise location of real property not reported. Common Reportable • Filer’s, spouse’s, or registered domestic partner’s business • Living trust holdings: • Real property • Investments - stock

40.  Schedule A-2 Anderson Construction 4560 County Road 2, Sunny Knoll, CA  1221 Wrangler Road  Builders Sunny Knoll, CA   Partner   Dave Howard Customers

41. Schedule BInterests in Real Property Common Errors • Precise location not reported. • Sources of rental income not reported. • If property disposed of during reporting period, failure to disclose income from the sale on Schedule C. Common Reportable • Rental property • Vacant land/lot

42. 1431 Hart Way Schedule B Hart Way Sunny Knoll   

43. Schedule CIncome & Business Positions Common Errors Common Reportable • Name of spouse’s or registered domestic partner’s employer not reported. • Filer’s, spouse’s, or registered domestic partner’s business only reported on Schedule C, instead of Schedule A-2. • Gross income not reported. • Spouse’s or registered domestic partner’s income (50%) • Proceeds from any sale, e.g., home or car

44. Home Depot Home  Name of spouse’s or partner’s employer required Schedule C Tina Clark John Dow 7464 Silent Drive, Sunny Knoll 4100 Main Street, Sunny Knoll Retail Home Improvement Stores Accountant   

45. Schedule C Income - Loans Loans made by a commercial lending institution in the normal course of business are not reportable. 15 years 5 Dennis Hall 124 Hilltop Drive, Sunny Knoll  Attorney 

46. Schedule DIncome - Gifts Common Errors • Value of gift not reported. • Date gift received not reported. • Description of gift not reported. • The gift limit effective 1/1/2009 – 12/31/2010 is $420. Gift(s) over $420 from one source received during 2009? If so, call FPPC for guidance. Common Reportable • Tickets to entertainment events • Meals

47. $50 Reporting Threshold Notes: No Jurisdictional Boundary $420 Annual Gift Limit Per Source (01/01/2009 through 12/31/2010) Schedule D Sunny Knoll Real Estate Co. RMHA Richard’s Midtown Hair Affair 1859 F Street, Sunny Knoll, CA 312 5th St., Redding, CA Real Estate Sales Beauty Shop 10 15 09 Haircut/Style 100.00 05 15 09 85.00 Dinner 08 20 09 350.00 Painting

48. Travel payments received from the filer’s agency are not reportable. Note: Schedule EIncome – Gifts, Travel Payments, Advances & Reimbursements Common Errors • Value of payment not reported. • Date and description of travel not reported. • Gift or income box not checked. Generally, travel payments reported on Form 801 are not required to be reported on Form 700.

49. One box must be checked. Note:  Schedule E Northern California Water Association 565 Spring Street Sacramento, CA Trade Association 03 22 09 250.00 03 21 09 Air transportation to attend a conference in San Diego, CA

50. Amendments • Notify all persons who appear to have filed incomplete or incorrect statements. • May be filed at any time. • No fines for filing amendments. • Use amendment forms provided on the FPPC’s website. Interactive Form Available www.fppc.ca.gov