SPECIAL MEETING - RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS COMMITTEE. Tuesday, January 15, 2019

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1 Called by Committee Chair SPECIAL MEETING - RULES, ELECTIONS, AND INTERGOVERNMENTAL RELATIONS COMMITTEE Tuesday, January 15, 2019 JOHN FERRARO COUNCIL CHAMBER, ROOM 340, CITY HALL - 9:00 AM 200 NORTH SPRING STREET, LOS ANGELES, CA MEMBERS: COUNCILMEMBER HERB J. WESSON, JR., CHAIR COUNCILMEMBER MARQUEECE HARRIS-DAWSON (Andrew Choi - Legislative Assistant - (213) or andrew.choi@lacity.org) Click here for agenda packets Note: For information regarding the Committee and its operations, please contact the Committee Legislative Assistant at the phone number and/or address listed above. The Legislative Assistant may answer questions and provide materials and notice of matters scheduled before the City Council. Sign Language Interpreters, Communication Access Real-Time Transcription (CART), Assistive Listening Devices, or other auxiliary aids and/or services may be provided upon request. To ensure availability, you are advised to make your request at least 72 hours prior to the meeting/event you wish to attend. Due to difficulties in securing Sign Language Interpreters, five or more business days notice is strongly recommended. For additional information, please contact the Legislative Assistant listed above. ITEM NO. (1) CD 12 Motion (Wesson - Martinez - et al.) relative to the appointment of Greig Smith to fill the vacancy in the Office of the Councilmember for the Twelfth District. Community Impact Statement: None submitted. ITEM NO. (2) Los Angeles City Ethics Commission report relative to amending the Los Angeles City Employees' Retirement System's Conflict of Interest Code regarding the incorporation and certification, designated positions, and disclosure categories. (TIME LIMIT FILE - MARCH 19, 2019; LAST DAY Tuesday - January 15, PAGE 1

2 FOR COUNCIL ACTION - MARCH 19, 2019) Fiscal Impact Statement Submitted: No. Community Impact Statement: None submitted. ITEM NO. (3) Los Angeles City Ethics Commission report relative to amending the Los Angeles Municipal Code (LAMC) regarding the bidder disclosure requirements in the Campaign Finance Ordinance and the Municipal Lobbying Ordinance. (TIME LIMIT FILE - FEBRUARY 18, 2019; LAST DAY FOR COUNCIL ACTION - FEBRUARY 18, 2018) Fiscal Impact Statement Submitted: No. Community Impact Statement: None submitted. ITEM NO. (4) S6 Los Angeles City Ethics Commission report relative amending the LAMC regarding technical adjustments for filing deadlines in the Campaign Finance Ordinance. (TIME LIMIT FILE - FEBRUARY 18, 2019; LAST DAY FOR COUNCIL ACTION - FEBRUARY 15, 2019) Fiscal Impact Statement Submitted: No. Community Impact Statement: None submitted. ITEM NO. (5) S7 Chief Legislative Analyst (CLA) report and Resolutions relative to recommendations for the City's State and Federal Legislative Programs regarding support for: any federal legislation increasing support for the National Endowment for the Arts, the National Endowment for the Humanities, the Institute of Museum and Library Services; and, for state legislation increasing support for the California Arts Council, the Department of Education Arts and Educational Programming. Fiscal Impact Statement Submitted: No. Community Impact Statement: None submitted. If you challenge this Committee's action(s) in court, you may be limited to raising only those issues you or someone else raised at Tuesday - January 15, PAGE 2

3 the public hearing described in this notice, or in written correspondence delivered to the City Clerk at or prior to, the public hearing. Any written correspondence delivered to the City Clerk before the City Council's final action on a matter will become a part of the administrative record. Materials relative to items on this agenda can be obtained from the Office of the City Clerk's Council File Management System, at lacouncilfile.com by entering the Council File number listed immediately following the item number (e.g., ). Tuesday - January 15, PAGE 3

4 rules, elections, iniergovemital relations MOTION I MOVE, pursuant to Charter 409 (a), that Greig Smith be appointed to fill any vacancy that may occur in the year 2019 in the office of Councilmember, 12th District until such time as a new councilmember is elected by a vote of the people to hold that Office for the remainder of the unexpired term. PRESENTED BY: HE]. WESSON, JrT Councilman, 10th District SECONDED BY: December v, 2018 ak t Tuesday - January 15, PAGE 4

5 A *5 1 A Los Angeles City Ethics Commission December 19, 2018 The Honorable City Council c/o Holly Wolcott, City Clerk 200 North Spring Street City Hall - 3rd Floor Los Angeles, CA Re: Amended Conflict of Interests Code Los Angeles City Employees Retirement System FOR COUNCIL CONSIDERATION Action Required by March 19, 2019 Dear Councilmembers: Enclosed are proposed amendments to the conflict of interests (COI) code for the Los Angeles Employees Retirement System (LACERS). As the City s code-reviewing body, the City Council must approve, revise, or return the proposed amendments within 90 days of the date they are received. Cal. Gov t Code 82011(c), We recommend that you approve the proposed amendments. A. Background State law requires every City agency to adopt a COI code to help officials in the agency avoid financial conflicts of interest. Each COI code must identify the positions in the agency that have the authority to make or participate in government decisions, as well as the financial interests that must be reported on California Form 700 by the individuals who occupy those positions. Cal. Gov t Code 87300, 87302(a). Agencies are required to amend their COI codes when changed circumstances make amendments necessary. Cal. Gov t Code B. Elements of a COI Code A COI code consists of three sections: the incorporation and certification, a list of designated positions (schedule A), and a list of disclosure categories (schedule B). 2 Cal. Code Regs (a)-l 8730(b)(3). The incorporation and certification is a standardized introductory statement that briefly explains the function of the COI code, provides references to relevant sections of the California Political Reform Act and its regulations, and certifies that the entire COI code was approved by the City Council. The incorporation and certification is included in each agency s COI code. Schedule A is a list of specific positions in the agency that have the authority to make or participate in making decisions that could foreseeably have an effect on a personal financial interest. Each position is assigned to a disclosure category, which is found in Schedule B. The disclosure category is based on the position s type and level of decision-making authority and 200 North Spring Street, Suite 2410 Los Angeles CA phone (213) fax (213) ethics.lacity.org Tuesday - January 15, PAGE 5

6 The Honorable City Council LACERS COI Code December 19, 2018 Page 2 of 2 describes the types of investments, business positions, sources of income, and interests in real property that must be reported on a statement of economic interests (California Form 700). C. Process LACERS s COI code was last amended in 2007 and the existing COI code is provided in Attachment A. A number of staffing changes have occurred since then, and the code requires further amendment to comply with state law and to ensure the code s accuracy. In consultation with the Ethics Commission, LACERS s staff conducted a substantive review, so that the amended code would reflect the agency s current organizational structure and decision-making processes. On November 9,2018, a notice of intention to amend LACERS s COI code was ed to the staff and the unions that represent them and posted on the public bulletin boards in City Hall and City Hall East. A 30-day comment period subsequently began on November 12, 2018 and ended on December 11, During the comment period, no written comments were received, and no public hearing was requested. On December 11, 2018, Neil Guglielmo approved LACERS s proposed COI code, confirming that the Schedule A list of designated positions identifies all the individuals in LACERS who are required by state law to file statements of economic interests and that the assigned disclosure categories accurately reflect the scope of each position s decision-making authority. Copies of the proposed schedules are provided in Attachments C and D. D. Conclusion On behalf of LACERS, we urge you to approve its amended COI code, which consists of Attachments B, C, and D. Under State law, City Council action on the amended code is required by March 19, 2019 (90 days after this transmittal is received). If you have any questions, please contact Samantha Rodriguez at (213) Sincerely, Heather Holt Executive Director Attachments: A Current Agency COI Code B Incorporation and Certification C Proposed Schedule A - Designated Positions D Proposed Schedule B - Disclosure Categories cc: Assistant City Attorney Renee Stadel Tuesday - January 15, PAGE 6

7 LOS ANGELES CITY EMPLOYEES RETIREMENT SYSTEM CONFLICT OF INTEREST CODE - SCHEDULE A List of Designated Financial Disclosure Filing Positions Position Title Disctosure Category Members, Board of Administration 1 General Manager - LACERS 1 Assistant General Manager - LACERS 1 Chief Investment Officer 1 Investment Officer II 1 Investment Officer I 1 Investment/Money Manager 1 Internal Auditor IV 1 Chief Management Analyst (Admin. Services Division) 1 Principal Accountant (Chief Accounting Employee) 2 Senior Management Analyst II (Departmental Services Section) 2, 3, 4, 5 Senior Systems Analyst II 3 Chief Benefits Analyst (Health Benefits Admin. Division) 4 Senior Management Analyst II (Health Benefits Admin. Division) 4 Chief Benefits Analyst (Retirement Services Division) 4 Senior Management Analyst II (Benefits Processing Section) 4 Senior Management Analyst I (Executive Office - Strategic Planning) Senior Management Analyst I (Executive Office - Member Communications) 4 5 Consultant * Whether any individual is a consultant shall be determined by the Executive Director, who also determines which of the above categories is applicable to that consultant. Attachment A Ethics Commission 1 of 4 December 19, 2018 Tuesday - January 15, PAGE 7

8 LOS ANGELES CITY ETHICS COMMISSION Agency Report of: FEB New Positions A Public Document R5ECIVED Agency Nsme (Also Include, Division, Department, of Region (if applicable)) Q] Amendment j California < Form < LOS ANGELES CITY EMPLOYEES' RETIREMENT SYSTEM (LACERS) January 27, 2017 Date of Original Filing: Agency Contact (Last Name,First Name, Title) (month, day, year) PERRY, RUTH, SENIOR MANAGEMENT ANALYST II Area Code/Phone Number (213) New Position Information Position Title/Classification and Job Summary Q RUTH.PERRY@LACERS,ORG Assigned Category OR Disclosure Requirement Assumlng/Start Date (Optional) DEPT AUDIT MANAGER 1 Stad 07 y 01 j 12 d /m /yr INVESTMENT OFFICER III 1 Start 07 / 01 / 12 d / m / yr INFORMATION SYSTEMS MGR 3 Start _/ L/Jl d / m y yr DEPT CHIEF ACCOUNTANT III 2 07 j01 f 10 Start d /m /yr Start / / d / m / yr Start lm / d / m / yr 3. Verification Start / / d / m / yr / have read and understand FPPC Regulations and have verified that the disclosure assignment(s) set forth above, is in accordance with its provisions. SR MGMT ANALYST II RUTH PERRY 01/27/17 Print Name UCiip7iGiTt. (Use this space or s^/aiiflcnftienl for any additional information.) Tide (month, day, year) Ethics Commission Attachment A 2 of 4 FPPC Form 604 (9/11) FPPC Toll-Free Helpline: 866/ASK-FPPC (86B/ ) December 19, 2018 Tuesday - January 15, PAGE 8

9 LOS ANGELES CITY EMPLOYEES RETIREMENT SYSTEM CONFLICT OF INTEREST CODE - SCHEDULE B List of Disclosure Categories General Provision A designated employee is required to disclose that he or she is a director, officer, partner, trustee, employee, or holds any position of management in a business entity if he or she would be required to disclose income from that entity. Income includes loans and gifts. Category 1 As required by State law (Government Code 87200), positions in this classification must disclose all investments, income, and interests in real property as defined in this Conflict of Interest Code. Category 2 A. Any investment in, income from, or business positions with any person or business entity engaged in providing accounting or auditing services. B. Any investment in, income from, or business positions with any person or business entity engaged in actuarial evaluations and/or manufacturing, selling, maintaining, or distributing computer hardware or software pertaining to benefits administration, record keeping, investments, or accounting. Category 3 A. Any investment in, income from, or business positions with any person or business entity which manufactures, sells, maintains, or distributes computer systems, hardware and/or software application products, or provides computer consulting services. B. Any investment in, income from, or business positions with any person or business entity that markets computer-based training services or management services. Category 4 A. Any investment in, income from, or business positions with any person or business entity engaged in providing healthcare services or healthcare consultant services, actuarial services, auditing services, or pension fund consulting services. Ethics Commission A ttachment A 3 of 4 December 19, 2018 Tuesday - January 15, PAGE 9

10 B. Any investment in, income from, or business positions with any person or business entity engaged in providing medical evaluation reports. Category 5 Any investment in, income from, or business positions with any person or business entity engaged in providing printing services or media production services. Ethics Commission Attachment A 4 of 4 December 19, 2018 Tuesday - January 15, PAGE 10

11 LOS ANGELES CITY EMPLOYEES RETIREMENT SYSTEM CITY OF LOS ANGELES CONFLICT OF INTERESTS CODE Incorporation and Certification Page 1 of 2 Effective Date: INCORPORATION The Political Reform Act of 1974 (PRA) requires state and local government agencies to adopt and promulgate conflict of interests codes to help government employees avoid financial conflicts. See California Government Code sections et seq. The Fair Political Practices Commission (FPPC) has adopted a regulation that contains the terms of a standard conflict of interests code, can be incorporated by reference, and may be amended by the FPPC to conform to amendments to the PRA after public notice and hearings. This agency s conflict of interests code incorporates by reference that regulation (2 California Code of Regulations section 18730); the attached Schedule A, which identifies each position in the agency that is charged with making or participating in making a government decision; and the attached Schedule B, which identifies the economic interests that the Individuals in those designated positions must disclose. City officials (individuals holding, elected to, or appointed to a position in Schedule A) must periodically submit statements of economic interests that disclose the economic interests in Schedule B that they held during the reporting period. The statements must be submitted to the Ethics Commission, which makes the statements available for public inspection and reproduction (see California Government Code section 81008). City officials are required to comply with the requirements of their agency s code and the requirements of state and City law. Attachment B Ethics Commission 1 of 2 December 19, 2018 Tuesday - January 15, PAGE 11

12 LOS ANGELES CITY EMPLOYEES RETIREMENT SYSTEM CITY OF LOS ANGELES CONFLICT OF INTERESTS CODE Incorporation and Certification Page 2 of 2 Effective Date: CERTIFICATION This code accurately designates all positions in the agency that make or participate in the making of governmental decisions. The disclosure category assigned to each position accurately requires individuals who hold the position to report their investments, business positions, interests in real property, and sources of income that could foreseeably be materially affected by the City decisions they make or participate in making. This code was approved by the agency s general manager or its governing board or commission on December 11,2018 (Date) (Titlg) lull1? (Date) This code was adopted by order of the Council of the City of Los Angeles on and is effective as of. (Date) Holly Wolcott, City Clerk BY Deputy City Clerk Ethics Commission Attachment B 2 of 2 December Tuesday - January 15, PAGE 12

13 City of Los Angeles LOS ANGELES CITY EMPLOYEES RETIREMENT SYSTEM Conflict of interests Code DESIGNATED POSITIONS (Schedule A) Position Title Disclosure Category Assistant General Manager 1 Chief Benefits Analyst 8 Chief Investment Officer Consultant ** Departmental Audit Manager 1 Departmental Chief Accountant 1 Fiscal Systems Specialist 6 General Manager Information Systems Manager 2 Internal Auditor 1 Investment Officer 1 Member, Los Angeles City Employees Retirement System Board Senior Management Analyst 8 Senior Personnel Analyst 8 * Government Code Section et seq. requires that all filers in this classification disclose all investments, business positions, income, and interests in real property. ** Consultants/New Positions are included in the list of designated positions and shall disclose pursuant to the broadest disclosure category in the code, subject to the following limitation: The General Manager may determine in writing that a particular consultant, although a "designated position," is hired to perform a range of duties that is Ethics Commission Attachment C 1 of 2 Final Code 11/08/18 December 19, 2018 Tuesday - January 15, PAGE 13

14 limited in scope and thus is not required to fully comply with the disclosure requirements in this section. Such written determination shall include a description of the consultant's duties and, based upon that description, a statement of the extent of disclosure requirements. The General Manager's determination is a public record and shall be retained for public inspection in the same manner and location as this conflict of interests code. (Gov. Code Section ) Final Code 11/08/18 Ethics Commission Attachment C 2 of 2 December 19, 2018 Tuesday - January 15, PAGE 14

15 City of Los Angeles LOS ANGELES CITY EMPLOYEES RETIREMENT SYSTEM Conflict of Interests Code DISCLOSURE CATEGORIES (Schedule B) An individual whose position is identified in the Designated Positions section (Schedule A) of an agency s conflict of interests code is a filer and must disclose each economic interest identified below for the disclosure category associated with the individual s position. Disclosure must be made by filing the California Form 700 on specified schedules. The definitions for investments, business positions, sources of income, interests in real property, doing business, gifts, and other terms may be found in the California Political Reform Act, its associated regulations, and the instructions for the California Form 700. The term division means a subset of the filer s agency and, depending on the agency s structure, may also be known as a department, group, office, section, or other similar term used to indicate a subordinate unit of the agency. Economic interests must be disclosed for the applicable reporting period. In general, the following types of Form 700 filings have the following reporting periods: Annual: Assuming Office: Leaving Office: January 1 through December 31 of the previous calendar year. the date the filer assumes office for investments, business positions, and interests in real property; for income, the 12 months immediately preceding the date the filer assumes office. the last date covered by the filer s most recent filing through the date the filer left the designated position. Reporting periods may vary in individual circumstances and for other types of filings and should be verified with the Ethics Commission. Category 1 Any investment, business position, source of income, or interest in real property. Category 2 A. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s agency; 2. Provided or sought to provide services, goods, or equipment to the filer s agency; or Attachment D Ethics Commission 1 of 11 December 19, 2018 Tuesday - January 15, PAGE 15

16 3. Was a party or sought to become a party to a written agreement with the filer s agency. B. Any interest in real property that was involved in a contracting decision made by or pending with the filer s agency or is located within 500 feet of such property. C. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency. D. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s agency provided a review, recommendation, or referral. Category 3 A. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s agency. B. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's agency or is located within 500 feet of such property. Category 4 A. Any income from an individual, or an immediate family member of an individual, who was employed by or applied for any position within the filer s agency. B. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees in the filer s agency. C. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s division; 2. Provided or sought to provide services, goods, or equipment to the filer s division; or 3. Was a party or sought to become a party to a written agreement with the filer's division.. D. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Attachment D Ethics Commission 2 of 11 December 19, 2018 Tuesday - January 15, PAGE 16

17 Category 5 A. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s agency; 2. Provided or sought to provide services, goods, or equipment to the filer s agency; or 3. Was a party or sought to become a party to a written agreement with the filer s agency. B. C. D. E. F. Any interest in real property that was involved in a contracting decision made by or pending with the filer s agency or is located within 500 feet of such property. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s agency provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s agency. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's agency or is located within 500 feet of such property. Category 6 A. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s agency; 2. Provided or sought to provide services, goods, or equipment to the filer s agency; or 3. Was a party or sought to become a party to a written agreement with the filer s agency. B. Any interest in real property that was involved in a contracting decision made by or pending with the filer s agency or is located within 500 feet of such property. Ethics Commission Attachment D 3 of 11 December 19, 2018 Tuesday - January 15, PAGE 17

18 C. D. E. F. G. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s agency provided a review, recommendation, or referral. Any income from an individual, or an immediate family member of an individual, who was employed by or applied for any position within the filer s agency. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees in the filer s agency. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Category 7 A. B. C. D. E. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s agency. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's agency or is located within 500 feet of such property. Any income from an individual, or an immediate family member of an individual, who was employed by or applied for any position within the filer s agency. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees in the filer s agency. Any investment in, business position with, or income from a source that did any of the following: Provides the type of services, goods, or equipment used by the filer s division; Provided or sought to provide services, goods, or equipment to the filer s division; or Was a party or sought to become a party to a written agreement with the filer's division. F. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Ethics Commission Attachment D 4 of 11 December 19, 2018 Tuesday - January 15, PAGE 18

19 Category 8 A. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s agency; 2. Provided or sought to provide services, goods, or equipment to the filer s agency; or 3. Was a party or sought to become a party to a written agreement with the filer s agency. B. Any interest in real property that was involved in a contracting decision made by or pending with the filer s agency or is located within 500 feet of such property. C. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency. D. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s agency provided a review, recommendation, or referral. E. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s agency. F. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's agency or is located within 500 feet of such property. G. Any income from an individual, or an immediate family member of an individual, who was employed by or applied for any position within the filer s agency. H. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees in the filer s agency. I. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Category 9 A. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s division; Ethics Commission Attachment D 5 of 11 December 19, 2018 Tuesday - January 15, PAGE 19

20 2. Provided or sought to provide services, goods, or equipment to the filer s division; or 3. Was a party or sought to become a party to a written agreement with the filer s division. B. C. D. Any interest in real property that was involved in a contracting decision made by or pending with the filer s division or is located within 500 feet of such property. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the City when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s division provided a review, recommendation, or referral. Category 10 A. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s division. B. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's division or is located within 500 feet of such property. Category 11 A. B. C. Any income from an individual, or immediate family member of an individual, who was employed by or applied for any position with the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees and for whom the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that did any of the following: Provides the type of services, goods, or equipment used by the filer s division; Provided or sought to provide services, goods, or equipment to the filer s division; or Was a party or sought to become a party to a written agreement with the filer s division. Ethics Commission Attachment D 6 of 11 December 19, 2018 Tuesday - January 15, PAGE 20

21 D. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Category 12 A. Any investment in, business position with, or income from a source that did any of the following: Provides the type of services, goods, or equipment used by the filer s division; Provided or sought to provide services, goods, or equipment to the filer s division; or Was a party or sought to become a party to a written agreement with the filer s division. B. C. D. E. F. Any interest in real property that was involved in a contracting decision made by or pending with the filer s division or is located within 500 feet of such property. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s division. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's division or is located within 500 feet of such property. Category 13 A. Any investment in, business position with, or income from a source that did any of the following: Provides the type of services, goods, or equipment used by the filer s division; Provided or sought to provide services, goods, or equipment to the filer s division; or 3. Was a party or sought to become a party to a written agreement with the filer s division. Ethics Commission Attachment D 7 of 11 December 19, 2018 Tuesday - January 15, PAGE 21

22 B. C. D E. F. G. Any interest in real property that was involved in a contracting decision made by or pending with the filer s division or is located within 500 feet of such property. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s division provided a review, recommendation, or referral. Any income from an individual, or immediate family member of an individual, who was employed by or applied for any position with the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees and for whom the filer's division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Category 14 A. B. C. D. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s division. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's division or is located within 500 feet of such property. Any income from an individual, or immediate family member of an individual, who was employed by or applied for any position with the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that did any of the following: Provides the type of services, goods, or equipment used by the filer s division; Provided or sought to provide services, goods, or equipment to the filer s division; or Was a party or sought to become a party to a written agreement with the filer's division. Ethics Commission Attachment D 8 of 11 December 19, 2018 Tuesday - January 15, PAGE 22

23 E. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees and for whom the filer s division provided a review, recommendation, or referral. F. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer s division provided a review, recommendation, or referral. Category 15 A. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s division; 2. Provided or sought to provide services, goods, or equipment to the filer s division; or 3. Was a party or sought to become a party to a written agreement with the filer s division. B. Any interest in real property that was involved in a contracting decision made by or pending with the filer s division or is located within 500 feet of such property. C. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency when the filer s division provided a review, recommendation, or referral. D. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s division provided a review, recommendation, or referral. E. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s division. F. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's division or is located within 500 feet of such property. G. Any income from an individual, or immediate family member of an individual, who was employed by or applied for any position with the filer s agency when the filer's division provided a review, recommendation, or referral. H. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees and for whom the filer s division provided a review, recommendation, or referral. I Any investment in, business position with, or income from a source that provided or Ethics Commission Attachment D 9 of 11 December 19, 2018 Tuesday - January 15, PAGE 23

24 sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Category 16 A. B. C. Any income from an individual, or an immediate family member of an individual, who was employed by or applied for any position within the City when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees and for whom the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s division; 2. Provided or sought to provide services, goods, or equipment to the filer s division; or 3. Was a party or sought to become a party to a written agreement with the filer's division. D. E. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to City employees and for which the filer's division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in a personnel, investigative, enforcement, claim, or litigation matter that involved the filer's division. Category 17 A. B. C. Any investment in, business position with, or income from a source that was involved as a party, participant, or representative in an investigative, enforcement, claim, litigation, regulatory, legislative, permitting, or licensing issue made by or pending with the filer s agency. Any interest in real property that was involved in an enforcement, regulatory, legislative, permitting, or licensing decision made by or pending with the filer's agency or is located within 500 feet of such property. Any investment in, business position with, or income from a source that did any of the following: 1. Provides the type of services, goods, or equipment used by the filer s division; 2. Provided or sought to provide services, goods, or equipment to the filer s division; or Ethics Commission Attachment D 10 of 11 December 19, 2018 Tuesday - January 15, PAGE 24

25 3. Was a party or sought to become a party to a written agreement with the filer s division. D. E. F. Any interest in real property that was involved in a contracting decision made by or pending with the filer s division or is located within 500 feet of such property. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s division provided a review, recommendation, or referral. Category 18 A. B. C. Any income from an individual, or an immediate family member of an individual, who was employed by or applied for any position within the filer s agency. Any investment in, business position with, or income from a source that represented or sought to represent an employee or group of employees in the filer s agency. Any investment in, business position with, or income from a source that did any of the following: Provides the type of services, goods, or equipment used by the filer s division; Provided or sought to provide services, goods, or equipment to the filer s division; or Was a party or sought to become a party to a written agreement with the filer's division. D. E. F. G. Any investment in, business position with, or income from a source that provided or sought to provide benefits, services, goods, or equipment to the filer s agency or its employees when the filer's division provided a review, recommendation, or referral. Any interest in real property that was involved in a contracting decision made by or pending with the filer s division or is located within 500 feet of such property. Any investment in, business position with, or income from a source that rented, leased, subrented, sublet, purchased, or sold real property or facilities to or from the filer s agency when the filer s division provided a review, recommendation, or referral. Any investment in, business position with, or income from a source that applied for or received a grant from or provided grant funding to the City when the filer s division provided a review, recommendation, or referral. Ethics Commission Attachment D 11 ofll December Tuesday - January 15, PAGE 25

26 g]lss.43s! Of /> V s,> H. / #!. - Los Angeles City Ethics Commission December 19, 2018 The Honorable City Council c/o Holly Wolcott, City Clerk 200 North Spring Street City Hall - 3rd Floor Los Angeles CA Re: Amendments to Bidder Disclosure Requirements FOR COUNCIL CONSIDERATION Dear Councilmembers: On December 18, 2018, the Ethics Commission unanimously approved amendments to the bidder disclosure requirements in the Campaign Finance Ordinance (CFO) and the Municipal Lobbying Ordinance (MLO). The amendments clarify that the required disclosure forms may be submitted electronically, and the Ethics Commission urges you to adopt them. A. Background Both the CFO and the MLO require certain City bidders to submit forms with their bid proposals. 1. CFO In 2011, the Los Angeles City Charter (Charter) was amended to prohibit campaign contributions from and limit the campaign fundraising activity of bidders on certain City contracts. Charter 470(c)(12). The restrictions apply when the ultimate contract has an anticipated value of $100,000 or more and requires approval by an elected officiats office. Charter 470(c)(12)(A)(i), (B)(i), (C)(i). The restrictions extend to the bidder, the bidder s principals, the bidder s subcontractors of $100,000 or more, and principals of those subcontractors. Charter 470(c)( 12)(A)(ii) (iii), (B)(ii) (iii), (C)(ii) (iii). A bidder is required to identify all of these persons and certify that the bidder will comply with the restrictions and notify everyone else who is subject to the restrictions as a result of the bidder s bid. Charter 470(c)(12)(H). A similar disclosure and certificati on form is required of persons seeking to become underwriters for the noncompetitive sale of revenue bonds. Charter 609(e). The CFO was amended to more fully implement Charter 470(c)(12). Most City bidders are addressed in Los Angeles Municipal Code (LAMC) , while underwriting bidders are addressed in LAMC The form requirements are specified in LAMC (B) 200 North Spring Street, Suite 2410 Los Angeles CA phone (213) fax (213) ethics.lacity.org Tuesday - January 15, PAGE 26

27 The Honorable City Council Amendments to Bidder Disclosure Requirements December 19, 2018 Page 2 of5 and (B), and Forms 55 and 56 have been adopted as the forms that must be submitted in compliance with the Charter and the CFO. See ethics.lacity.org/forms. 2. MLO Since 2007, the MLO has required certain City bidders to submit a certification with their bids, stating that they agree to comply with the lobbying laws if they qualify as a lobbying entity. LAMC 48.09(H). The form is required for all construction contracts, public leases, and licenses; for financial assistance contracts valued at $100,000 or more; and goods or services contracts valued at $25,000 or more with a term of at least three months. Id.; Los Angeles Administrative Code Form 50 has been adopted as the form that must be submitted to comply with the MLO s certification requirement. See ethics.lacity.org/forms. B. Approved Amendments In an effort to increase efficiency and decrease the consumption of paper resources, more City departments are turning to electronic procurement processes. Bidders are often required to submit their bid packets entirely electronically. Some departments that require electronic bids have already begun to accept Forms 50, 55, and 56 electronically, including with electronic signatures. The City Attorney s office has advised that the CFO and MLO should be updated to specifically permit electronic submissions, while requiring that electronic signatures comply with state law and prohibiting alterations to the content of the forms. 1. CFO The Ethics Commission approved the following amendments to LAMC In addition to addressing the City Attorney s advice, the amendments also clarify that bidders submit their forms to the departments and departments electronically submit the forms to us. LAMC BIDDER CONTRIBUTION AND FUNDRAISING RESTRICTIONS. B. 2. Contract Solicitations and Notifications. Each awarding authority shall include in each contract solicitation the form identified in Subsection B(3) and a description of the prohibitions and requirements of Charter Section 470(c)(12) Tuesday a The awarding authority shall determine whether the form is complete for responsiveness purposes. b The awarding authority may permit bidders to submit the form electronically and to use electronic signatures that comply with California's electronic signature laws, but an awarding authority may not alter the content of the form - January 15, PAGE 27

28 The Honorable City Council Amendments to Bidder Disclosure Requirements December 19, 2018 Page 3 of5 The awarding authority shall ^lectronicaih submit the form to the Ethics Commission, in a Portable Document Format (PDF) or other electronic format pre-approved by the Ethics Commission, within ten business days of the bid due date. The awarding authority must also comply with the reporting requirements in Section (B) ed. The awarding authority shall either notify bidders who are not awarded a contract of the date that the contract was signed or the contract solicitation was terminated or withdrawn or notify the bidders how they may obtain or request the date that the contract was signed or the contract solicitation was terminated or withdrawn, unless that information is available on a City website 4. Requirement to Amend Form. If the information submitted pursuant to Subsection B(3) or 8(5) changes after the i torn is submitted, the bidder shall amend the form and submit it to the awarding authority within ten business days of the change a The requirement to amend the form applies whenever the prohibitions and restrictions in Charter Section 470(c)(12) apply to the bidder, including after the contract approval for successful bidders b The awarding authority shall electronically submit the form to the Ethics Commission, in a Portable Document Format (PDF) or other electronic format pre-approved by the Ethics Commission, within ten business days of receipt. 5. Contract Amendments. If a contract amendment requires approval by an elected City officer and, by itself or in combination with the original contract and any other amendments, makes the total anticipated value of the contract $100,000, or more for the first time, the restrictions in Charter Section 470(c)(12) apply from the date the awarding authority first discusses the amendment and terminates 12 months after the date the amendment is approved, disapproved, or withdrawn However, the restrictions in Charter Section 470(c)(12) do not apply to any subsequent amendments if the contract was previously subject to the restrictions and the contractor fulfilled its obligations under this Section and Charter Section 470(c)(12). a The awarding authority shall notify contractors of the requirements in this Section and Charter Section 470(c)(12) at the time the awarding authority first discusses the amendment with the contractor. b Contractors shall submit the form identified in Subsection B(3) tojhe awarding authority within ten business days of the date the awarding authority first discusses the amendment with the contractor The awarding authority shall determine whether the form is complete. c. The awarding authority shall electronically submit the form as required by Subsec-boft Bf21to the Ethics Commission in a Portable Document Format (PDF) or other electronic format pre-approved by the Ethics Tuesday - January 15, PAGE 28

29 The Honorable City Council Amendments to Bidder Disclosure Requirements December 19, 2018 Page 4 of5 Commission, within ten business days of receiving the form from the contractor The awarding authority must also comply with the reporting requirements in Section (B). This provision does not apply to the exercise of an option that has been previously approved in a written contract. For LAMC , the Ethics Commission approved the following companion amendments. LAMC UNDERWRITER CONTRIBUTION AND FUNDRAISING RESTRICTIONS. B. 2. Contract Solicitations and Notifications. Each awarding authority shall include in each contract solicitation for underwriting firm services regarding a noncompetitive sale for revenue bonds, including selection of a pre-qualified list of underwriters, the form identified in Subsection B(3) and a description of the prohibitions and requirements in the City Charter Section 609(e) and this Section a The awarding authority shall determine whether the form is complete for responsiveness purposes b. The awarding authority may permit bidders to submit the form electronically and to use electronic signatures that comply with California's electronic signature laws, but an awarding authority may not alter the content of the form. The awarding authority shall electronically submit the form to the Ethics Commission, in a Portable Document Format (PDF) or other electronic format pre-approved by the Ethics Commission within 10 business days of the due date of the proposals The awarding authority must also comply with the reporting requirements in Section (B) The awarding authority shall notify each underwriting firm that is not selected as pre-qualified underwriter or not selected as the underwriter on a particular noncompetitive sale of revenue bonds, the date the selection was made, terminated, or withdrawn, unless that information is available on a City website. 4. Requirement to Amend Form. If the information submitted pursuant to Subsection B(3) changes after the response- form is submitted, the underwriting firm shall amend the form and submit it to the awarding authority within ten business days of the change Tuesday - January 15, PAGE 29

30 The Honorable City Council Amendments to Bidder Disclosure Requirements December 19, 2018 Page 5 of 5 2. MLO The Ethics Commission approved the following amendments to LAMC 48.09(H). As with the amendments recommended above for the CFO, these amendments address the City Attorney s advice and make other technical modifications. LAMC H. Contract Bidder Certification of Compliance With Lobbying Laws. 1 Any bidder for a contract, as those terms are defined in Los Angeles Administrative Code Section , shall submit with its bid a certification, ervthrouqf a form prescribed by the City-Ethics Commission, that the bidder acknowledges and agrees to comply with the disclosure requirements and prohibitions established in the Los Angeles Municipal Lobbying Ordinance if the bidder qualifies as a lobbying entity under Section of this article. An agency may permit the electronic submission of the form and the use of electronic signatures that comply with California's electronic signature laws, but an agency may not alter the content of the form. The exemptions contained in Section of this article and Los Angeles Administrative Code Section shall not apply to this subsection C. Conclusion The growing practice among City departments is to require the electronic submission of bids. The Ethics Commission urges you to adopt the amendments to the CFO and the MLO specified above in Section B, to facilitate the efficiency and resourcefulness of electronic procurement processes throughout the City. We would be happy to discuss these recommendations with you at any time. If you have questions, please do not hesitate to contact me or Tyler Joseph, our Policy Director. Sincerely, % Heather Holt Executive Director Tuesday - January 15, PAGE 30

31 'is &,-Tju M 1 > W%? 'AoffS'v Los Angeles City Ethics Commission December 19, 2018 The Honorable City Council c/o Holly Wolcott, City Clerk 200 North Spring Street City Hall - 3rd Floor Los Angeles CA Re: Technical Amendments to Campaign Filing Deadlines FOR COUNCIL CONSIDERATION Dear Councilmembers: On December 18, 2018, the Ethics Commission unanimously approved technical amendments to filing deadlines in the Campaign Finance Ordinance (CFO). These amendments are necessary in light of the new even-year election schedule, and the Ethics Commission urges you to adopt them. A. Approved Amendments The Ethics Commission approved the language below to revise the campaign filing deadlines for City candidates, committees, and officeholders. The revisions are necessary to fully implement the change from odd-year elections to even-year elections, with general elections held in November. The revisions modify Los Angeles Municipal Code (LAMC) sections and They eliminate redundancies, take into consideration the existing filing requirements in state law, and maintain the filing frequency that has been in place since the CFO was first adopted. Importantly, these amendments to the CFO will also ensure that campaign statements will continue to be filed on the same schedule in both City and LAUSD elections. The rules that apply to LAUSD elections are housed in the Los Angeles City Charter (City), and the section regarding LAUSD filing deadlines has already been amended as part of Charter Amendment EE. See Charter 803(r)(l). LAMC CAMPAIGN STATEMENT FILING DEADLINES. Every candidate for elected City office, every candidate s City controlled committee, and every City recall committee. City ballot measure committee, City general purpose committee, committee primarily formed to support or oppose City candidates or City ballot measures, and every person who makes 200 North Spring Street, Suite 2410 Los Angeles CA phone (213) fax (213) ethics.ladty.org Tuesday - January 15, PAGE 31

32 The Honorable City Council Technical Amendments to the Filing Deadlines December 19, 2018 Page 2 of3 independent expenditure communications in City elections and qualifies as a committee under the Political Reform Act shall file the campaign statements required by the Political Reform Act and shall also file campaign statements by the following dates prior to an election in which the candidate or measure appears on the ballot; A The Friday before an election, covering activity from the close of the reporting period for the previous campaign statement through the Wednesday before the election wr-ed-by the-pelitigat-ref-or-m B October 10, covering activity from July 1 through September 30 in the years prior to a City primary election that is held in March an ebd-frumbered-year. C January 10, covering activity from October 1 through December 31 in the year prior to a City primary election that is held in March sf-an-oddrumbefed year. LAMC DISCLOSURE BY OFFICEHOLDER AND LEGAL DEFENSE COMMITTEES. In addition to the campaign statements required by the Political Reform Act and Section , an elected City officer or a candidate for elected City office who controls an officeholder or legal defense committee shall file campaign statements for that committee as follows. A Except as specified in Subsection B, quarterly statements shall be filed no later than the following dates April 30 for the quarter ending March 31, July 31 for the quarter ending June 30, October 31 for the quarter ending September 30; and January 31 for the quarter ending December B When the officeholder or candidate has filed a Declaration of Intent to Solicit and Receive Contributions for a City election, quarterly statements shall be filed no later than the following dates. 1 During the year prior to the election a. b c d 2 April 30 for the quarter ending March 31, July 31 for the quarter ending June 30; October 10 for the quarter ending September 30. and January 10 for the quarter ending December 31 During the year of the election' a before the election, covering activity Tuesday - January 15, The Friday?d bv-from the close of PAGE 32

33 The Honorable City Council Technical Amendments to the Filing Deadlines December 19, 2018 Page 3 of 3 the reporting period for the previous campaign statement through the Wednesday before the election; b c. 30, covering activity for the quarter ending Septemteep-3QMarch 31 but excluding any activity disclosed in a previous campaign statement; and January 31 of the following year, covering activity for the quarter ending December 31 but excluding any activity disclosed in a previous campaign statement. B. Conclusion To fully implement the new even-year election schedule, the Ethics Commission urges you to adopt the technical changes to the CFO s disclosure filing deadlines that are identified above in Section A. The new filing deadlines would first apply to the regular 2020 elections. We would be happy to discuss these recommendations with you at any time. If you have questions, please do not hesitate to contact me or Tyler Joseph, our Policy Director. Sincerely, Heather Holt Executive Director Tuesday - January 15, PAGE 33

34 ITEM NO. 7 REPORT OF THE CHIEF LEGISLATIVE ANALYST DATE: November 9, 2018 TO: FROM: SUBJECT: Honorable Members of the Rules, Elections, Intergovernmental Relations, and Neighborhoods Committee Sharon M. Tso^^_ Chief Legislative Analyst Assignment No: Housing State and Federal Legislative Programs CLA RECOMMENDATIONS 1. Adopt the attached Resolutions to SUPPORT and/or SPONSOR the following proposals in the City s State Legislative Program: Ellis Act Reform Eviction Data Redevelopment Financing Tool Article 34 Reform or Repeal 2. Instruct the Chief Legislative Analyst (CLA), with the assistance of the Housing and Community Investment Department, to monitor the following proposals and instruct the CLA to report and prepare Resolutions, if necessary, when additional details regarding related legislation are available: Anti-Discrimination for Section 8 and Other Rental Assistance Vouchers Cap and Trade Program Upzoning / Streamlining 3. Adopt the attached Resolutions to SUPPORT and/or SPONSOR the following proposals in the City s Federal Legislative Program: SUMMARY Low Income Housing Tax Credit Program Reform Affirmatively Furthering Fair Housing Rule National Housing Trust Fund For the State and federal Legislative Program, this Office reviewed several housing proposals from the Housing and Community Investment Department (HCID). Consistent with past actions to sponsor and support legislation to promote affordable housing, this Office recommends that Council support and/or sponsor State and federal legislation based on these proposals, and monitor others as described in this report. Tuesday - January 15, PAGE 34

35 BACKGROUND STATE LEGISLATION - SUPPORT/ SPONSOR HCID recommends support or sponsorship of proposals pertaining to Ellis Act reform, the City s ability to collect eviction data, a new redevelopment financing tool, and the reform or elimination of Article 34. Ellis Act Reform The California Ellis Act was intended to allow a property owner to exit the rental business and no longer be a landlord. However, HCID indicates that increasingly owners are using the law to evict rent control tenants and re-enter the rental market after the required waiting period. HCID recommends that the City support a bill that would provide added local control, where the City could impose new regulations; close existing loopholes that limit the ability of tenants to return to the property; impose additional requirements on new owners, in effort to limit the ability of speculators and new owners to invoke the Ellis Act during their first few years of ownership; extend the notification period for all tenants; and offer relocation assistance to tenants facing eviction. In the past, the City has supported Ellis Act reform, and as such, this Office recommends that the City support this proposal. Eviction Data The City is currently unable to access local eviction data from the superior courts. Housing evictions may be a significant constraint on households seeking housing or result in households being evicted into homelessness. HCID reports that no data is currently available to allow for an analysis of these concerns. Such data could inform the design of a Right to Counsel program, which was recently requested by Council. HCID recommends that the City support any legislation that mandates superior courts to share annual eviction data with City or County housing agencies, particularly cities or counties with Rent Stabilization Ordinances, Right to Counsel programs, and/or similar initiatives to prevent displacement of tenants. HCID recommends that the data include information on all sealed and unsealed unlawful detainers, plaintiffs names, addresses of the premises, the cause stated in the notice, if there are any stipulations, and the outcome of the case. HCID recommends that a Memorandum of Understanding between the Superior Court and a jurisdiction s housing department be required to ensure that the data is handled carefully and protects the privacy of both tenants and landlords. Redevelopment Financing Tool Following the elimination of redevelopment in the State in 2012, two new tax increment financing (TIF) tools, the Enhanced Infrastructure Financing District (EIFD) and Community Revitalization and Investment Authority (CRIA), were established to finance affordable housing, infrastructure improvements, and economic development in specified geographic areas. However, these tools remain different than the former redevelopment structure in several ways, such as restrictions on the sources of TIF available for use and the TIF s housing requirements. There is potential for new legislation that would bring back redevelopment in a structure closer to its prior form and it is anticipated that such proposals will be brought forth in the upcoming legislative session. HCID 2 Tuesday - January 15, PAGE 35

36 recommends support for any redevelopment bill that: (1) requires that at least 30 percent of all tax revenue be set aside for affordable housing; (2) offers protections for existing Rent Stabilized housing stock; and (3) requires relocation assistance for tenants in non-rso properties. This Office recommends support for HCID s proposal, without the stipulation of an affordable housing set-aside percentage until the details of a redevelopment bill are available. Article 34 Reform or Repeal In 1950, Article 34 Public Housing Project Law was added to the California Constitution. This law requires local jurisdictions to submit projects to voter referendum when public funds are allocated to low income rental housing developments. Through past propositions, the City has received Article 34 Authority to finance up to 52,500 affordable rental units, with a maximum of 3,500 units per Council District. The City is nearing its limit of units that can be funded Citywide, and even closer in reaching the ceiling in a number of Council Districts. Recently, the State s voters approved a number revenue sources for affordable housing, such as a new real estate document recording fee, a $4 million bond for existing State programs (Proposition 1), and the use of up to $2 billion in bond proceeds for the No Place Like Home Program (Proposition 2). Locally, City voters approved Proposition HHH, authorizing an additional $1.2 billion in bond proceeds to fund supportive housing. The need to amend/repeal Article 34 limits is critical for the City to meet the voters intent in approving new funding for affordable housing. This Office recommends that Council support any proposal to amend or repeal Article 34 of the State Constitution. STATE LEGISLATION - MONITOR The following proposals are still being developed and require additional analysis. Therefore, this Office recommends that they be monitored as there is insufficient information relative to their administration, enforcement, or fiscal impact. This Office will report and prepare Resolutions, if necessary, when additional details are available. Anti-Discrimination for Section 8 and Other Rental Assistance Vouchers The current Fair Employment and Housing Act (FEHA) makes housing discrimination based on source of income illegal. However, according to HCID, it has been interpreted to exclude tenant vouchers as a protected class of income. HCID recommends supporting a bill that would make it illegal for a landlord to refuse to offer a unit for rent solely based on the fact that the applicant would pay with a rental assistance voucher. In 2018, the Legislature passed AB 2219 requiring landlords to accept third-party rent payments, but excluded Section 8 vouchers. Further, it allowed landlords to opt out if accepting a voucher required entering into a contract with the government or other regulatory entity, which would be required of nearly all voucher programs according to HCID. Cap and Trade Program State law sets aside 20 percent of the Cap and Trade Program s auction proceeds to be used to build affordable housing under the Affordable Housing and Sustainable Communities (AHSC) Program. HCID reports that since the AHSC Program s inception in 2015, nearly $119 million has been allocated to 17 projects in the City of Los Angeles. HCID recommends that Council monitor any 3 Tuesday - January 15, PAGE 36