Business entity.
A sole proprietorship, partnership, firm, corporation, holding company, joint-stock company, receivership, trust, or any other entity recognized by law.
Complaint.
A government record of an alleged violation of the standards of conduct as established and set forth in section 2.05.003, against a local public official.
Confidential information.
Attorney-client privileged communications and any information to which a local public official has access in such person's official capacity including [information] which may not be disclosed to the public except pursuant to state or federal law, and which is not otherwise a matter of public record or public knowledge.
Local public official.
Unless otherwise expressly defined, means all elected officials or any person appointed by the city council, and members of any committee, commission or board established or appointed by the city council. The city manager, city secretary, city attorney, and municipal court judge shall be subject to the city's personnel policies code of conduct in lieu of this article.
Permissible gifts/gratuities.
A thing of nominal value given (not to exceed $50.00 in value), not to request a specific favor or special treatment, or influence a local public official. Marketing advertisement items of nominal value, or certificates or plaques having no intrinsic value, are considered permissible gifts or gratuities. The purchase of meals of nominal value, provided there is a rotation of purchasing, is considered a permissible gift or gratuity. The provision of training/education programs of a general nature is considered a permissible gift or gratuity. Items that exceed $50.00 in value, if divided (e.g., holiday food) or donated for a city-sponsored function, are considered permissible gifts and/or gratuities.
Substantial interest.
Has the meaning as defined in V.T.C.A., Local Government Code section 171.002, as amended.
(1) 
For purposes of this article, a person has a substantial interest in a business entity if:
(A) 
The interest is ownership of ten percent or more of the voting stock or shares of the business entity or owns [ownership] of either ten percent or more or $15,000.00 or more of the fair market value of the business entity; or
(B) 
Funds received by the person from the business entity exceed ten percent of the person's gross income for the previous year.
(2) 
A person has a substantial interest in real property if the interest is an equitable or legal ownership interest with a fair market value of $2,500.00 or more.
(3) 
A person has a substantial interest if a person related to the official in the first degree by consanguinity or affinity, as determined under V.T.C.A., Government Code ch. 573, has a substantial interest under this section.
(1999 Code, sec. 28-1)
The city council has determined that it is advisable to list ethical guidelines for official conduct of local public officials:
(1) 
Principle of public office as a public trust.
Local public officials should treat their office as a public trust, only using the powers and resources of a public office to advance public interests, and not to attain personal benefits or pursue any other private interest incompatible with the public good.
(2) 
Principle of independent objective judgment.
Local public officials should employ independent objective judgment in performing their duties, deciding all matters on the merits, free from conflicts of interest and both real and apparent improper influences.
(3) 
Principle of accountability.
Local public officials should ensure that government is conducted openly, efficiently, equitably and honorably in a manner that permits the citizenry to make informed judgments and hold government officials accountable.
(4) 
Principle of democratic leadership.
Local public officials should honor and respect the principles and spirit of representative democracy and set a positive example of good citizenship by scrupulously observing the letter and spirit of laws and rules.
(5) 
Principle of respectability and fitness for public office.
Local public officials should safeguard public confidence in the integrity of government by being honest and fair, and by avoiding conduct creating the appearance of impropriety or which is otherwise unbefitting a public official.
(1999 Code, sec. 28-2)
(a) 
A local public official shall:
(1) 
Comply with all federal, state and local laws in the performance of their public duties. These laws include but are not limited to: the United States and Texas constitutions, and laws pertaining to conflicts of interest, election campaigns, financial disclosures, employer responsibilities, open government and city ordinances.
(2) 
File an affidavit as required by V.T.C.A., Local Government Code ch. 171, disclosing a substantial interest in a business entity or property if the decision on the matter would confer a substantial economic benefit on the business entity or property, and thereafter abstain from further participation in the discussion and voting on the matter.
(3) 
File a conflicts disclosure statement within seven business days as required by V.T.C.A., Local Government Code ch. 176, if the local public official or the official's family member within the first degree by consanguinity or affinity as defined by V.T.C.A., Texas Government Code ch. 573:
(A) 
Has an employment or business relationship that results in taxable income with a person who has contracted with the city or with whom the city is considering doing business.
(B) 
Receives and accepts one or more gifts with an aggregate value of $250.00 or more in the preceding 12 months from a person or entity (profit or nonprofit) that conducts business or is being considered for business with the city (also see permissible gifts/gratuities as defined herein).
(b) 
A local public official shall not:
(1) 
Accept any gift, favor, privilege or employment from any person that might reasonably tend to influence the discharge of the person's official duties, or grant in the discharge of those duties any improper favor, service or thing of value as specified in section 10.09 of the city charter (but excluding permissible gifts/gratuities as defined herein).
(2) 
Disclose confidential information gained solely by reason of official position for the private interest of others.
(3) 
Intentionally or knowingly solicit, accept or agree to accept any benefit for having exercised the local public official's powers. (V.T.C.A., Penal Code ch. 39)
(4) 
Intentionally or knowingly misuse government property, services, personnel or any other thing of value belonging to the government that has come into the local public official's custody or possession by virtue of the local public official's office. (V.T.C.A., Penal Code ch. 39)
(1999 Code, sec. 28-3)
(a) 
The review of the application of this article shall be charged to a five-member board of ethics, whose members shall be appointed by the city council. The members of the board shall serve staggered terms of two years.
(b) 
Members of the board must continuously meet the following criteria:
(1) 
Qualified to be a registered voter of the city.
(2) 
Current in payment of local taxes and other liabilities to the city.
(3) 
Not a party to litigation involving an adverse interest to the city.
(c) 
Of the five members, the board may consist of representative board members of other city boards, commissions, and committees. The board shall be comprised of a minimum of three citizens at large. The board shall annually select a chairperson.
(d) 
The board shall adopt the necessary rules which will enable it to carry out its powers, duties and functions, including the authority to issue subpoenas for witnesses and obtain documents needed for the performance of the board's duties or the exercise of its powers.
(e) 
Meetings of the board shall be held at the call of the chairperson, semi-annually or as necessary to act on a complaint.
(f) 
The board shall have the authority to render advisory findings as to the application of this article at any time at the request of an official of the city. In addition, the board shall have the authority to investigate complaints.
(g) 
The board's findings concerning this article's standards of conduct based upon a sworn complaint and investigation shall be referred to the city council in writing and shall require a vote of the majority of the board's entire membership and shall contain conclusions with appropriate recommended actions.
(1999 Code, sec. 28-4)
(a) 
No local public official shall reveal information relating to the filing or processing of a complaint, except as may be required in the performance of official duties.
(b) 
Ex parte communications by or to members of the board of ethics shall be prohibited. It shall be a violation of this article for the complainant, the person charged in the complaint, or any person acting on their behalf to engage or attempt to engage, directly or indirectly, in any ex parte communication about the subject matter of a complaint with a member of the board. It shall be a violation of this article for a member of the board to knowingly entertain an ex parte communication as stated in the foregoing sentence or knowingly communicate, directly or indirectly, with any person, other than another board member, city staff, or legal counsel, about any issue of fact or law relating to the complaint.
(c) 
All papers and communications relating to a complaint shall be treated as confidential to the extent allowed by law.
(d) 
The confidentiality of the proceedings shall be in accordance with the Public Information Act, and Open Meetings Act, V.T.C.A., Government Code chs. 552 and 551, respectively, as they may be amended.
(e) 
Any person who intentionally or knowingly makes a false statement on a governmental record shall commit a violation of this article and shall be subject to prosecution to the extent allowed by law, including but not limited to perjury charges in accordance with V.T.C.A., Penal Code ch. 37.
(1999 Code, sec. 28-5)
The city attorney shall have the responsibility to render legal advice to the board regarding the investigation and determination of any advisory finding or complaint regarding violation of this article. The city attorney shall not represent or render legal advice to the complainant or defendant throughout the process. When deemed appropriate and necessary, the city attorney may recommend that special counsel be retained (section 4.03 of the city charter). When a complaint involves a current city council member, the city attorney shall recuse himself/herself.
(1999 Code, sec. 28-6)
(a) 
Submission of complaint.
(1) 
Any resident of the city or any person doing business or attempting to do business with the city who believes there has been a violation of the standards of conduct of this article as set forth in section 2.05.003 may file a written, sworn and notarized complaint. A complaint shall be made to the city secretary using the complaint form [attached to Ordinance 07-1025 as exhibit 1]. Complaints are made under penalty of perjury. Complaints shall be filed with a written acknowledgement by the complainant that the proceedings are to be kept confidential, consistent with the Texas Open Meetings Act and Texas Public Information Act.
(2) 
A complaint must be filed within two years of the action alleged as a violation. The board of ethics (hereafter referred as "the board") will not consider a duplicate alleged violation unless significant new information is brought forward, and the initial complaint has not proceeded to a hearing.
(3) 
A complaint should set forth the following:
(A) 
The identity of the person or persons who allegedly committed the violation;
(B) 
A statement of facts on which the complaint is based;
(C) 
To the extent possible;
(D) 
Possess direct knowledge of the relevant facts upon which the allegation is based;
(E) 
Include all potential witnesses or persons with knowledge;
(F) 
Include all other sources of evidence, if any, that the complainant recommends should be considered by the board; and
(G) 
Reference citation to the pertinent provisions of section 2.05.003 allegedly violated.
(4) 
The city secretary will log receipt of the complaint (complaint form, notice of penalty of perjury, and notice of Open Meetings Act) and forward the complaint to the board chairperson. Within 30 days of the receipt of the complaint, the chairperson will review the complaint and determine if it is in proper form. If in proper form, the chairperson will notify the city secretary to distribute copies to the board of ethics, the city attorney, and the person complained against.
(5) 
If the complaint form is found to be in some way defective, the chairperson will direct the city secretary to return the form to the complainant with instructions as to what is required for the form to be in proper form.
(6) 
If a citizen requires assistance in completing the complaint form, or is concerned with issues of privacy, the citizen may discuss the concern (including any basis for anonymity) and/or file a report with the city attorney.
(b) 
Review of complaint.
(1) 
If a complaint involving a local public official is found by the chairperson to be in proper order, the chairperson will convene the board to review the complaint and to determine whether the complaint states a claim under this article and is supported by just cause. "Just cause" means such cause as is found to exist upon a reasonable inquiry that would induce a reasonably intelligent and prudent person to believe that a person has committed an act or acts constituting an ethical violation under this article.
(2) 
The person charged in the complaint shall have the opportunity to submit a sworn statement, together with such other information deemed to be relevant to the proceedings, within ten business days of receiving the complaint, unless an extension of time is granted by the chairperson.
(3) 
If just cause is not found to exist, the matter shall be dismissed. The board shall contact the complainant and the defendant in writing, identifying the reason for the dismissal. A complaint may be refiled one time within two years upon a showing of new evidence.
(4) 
If just cause is found, the complaint proceeds to an investigation and hearing. An affirmative vote of a majority of the entire membership (three affirmative votes) is required for the board to proceed to investigation and hearing. If the board decides to proceed to investigation and hearing, the board will notify the complainant, the defendant, the city secretary, the city council and the city attorney within seven business days.
(5) 
Any hearing involving a city council member shall be abated on or after 60 calendar days before a city municipal election.
(c) 
Investigation and hearing of complaints.
(1) 
If a complaint proceeds to a hearing, the board will administer oaths and affirmations, take evidence, request and issue subpoenas for witnesses to attend and testify, and request and issue subpoenas for evidence needed for the performance of the board's duties or the exercise of its powers. The complainant and the defendant may ask the board to subpoena certain persons and written evidence for the investigation or hearing.
(2) 
Notice of the hearing must be provided to the complainant and the defendant not less than 15 business days prior to the date of the hearing. Such notice must be by certified mail return receipt requested, electronic correspondence, facsimile, or personal delivery. The notice must state the specific provision or provisions of this article alleged in the complaint to have been violated, as determined by the preliminary review. The defendant will only be found to be in violation if the defendant received notice of the hearing as set forth herein.
(3) 
Either party may be represented by counsel, and each party shall provide written notice to the board and the other party of an intention to have counsel present ten days before the hearing. The notice shall include counsel's name, address, and phone number.
(4) 
Each party shall provide a list of the names of the witnesses he or she intends to call at the hearing to the board and to all other parties not less than ten days prior to the hearing. Each party shall arrange for his or her witnesses to be present at the time and place designated for the hearing.
(5) 
The notices required above and all other notices or requests shall be made to the staff liaison designated by the ethics board and to other parties involved (e.g., defendant(s)/complainant(s)). The parties shall not discuss the case with any member of the board of ethics prior to the hearing or after the hearing and prior to announcement of the decision.
(6) 
Any party may request that subpoenas be issued for witnesses to attend and testify at the hearing or for physical evidence to be produced at the hearing. All requests for subpoenas must be made in writing no later than ten days before the hearing and delivered to the staff liaison with a copy being sent to all other parties. All requests for subpoenas must give the full name of the person to be subpoenaed, the complete address of the location where it should be served, and a complete description of any evidence requested to be produced. All subpoenas meeting the requirements will be signed by the chairperson of the ethics board and will be returned to the person who requested the issuance of the subpoena. Proof of service shall be by certification of the server or by certified mail return receipt. It shall be the sole responsibility and at the sole expense of the person requesting the subpoena to have the subpoena served.
(7) 
The board of ethics may subpoena additional witnesses and/or request the production of books, documents, papers, banking records and other physical evidence. In this case the chairman of the board of ethics may designate a staff liaison to have the subpoena served.
(8) 
During an officially convened meeting, the board shall hold a hearing on the case and shall hear such testimony as is presented by any city department, the complainant, any witnesses and the defendant. All witnesses must be sworn, and members of the board or its legal counsel shall conduct the questioning of the witnesses.
(9) 
The board is not bound by the rules of evidence.
(10) 
The defendant shall have the right to attend the hearing, the right to make a statement, the right to present and cross-examine witnesses and the right to be represented by legal counsel.
(11) 
The complainant has the right to attend the hearing, the right to make a statement, and the right to be accompanied by legal counsel. The legal representative may advise the complainant during the proceedings, and may speak on behalf of the complainant. The complainant and his/her legal representative may present or cross-examine witnesses.
(d) 
Conclusion of complaint process.
(1) 
The board will determine whether a violation of this article has occurred. The board shall make its determination based on the preponderance of the evidence (the greater weight and degree of the credible evidence and testimony). The affirmative vote of a majority of the entire membership (three affirmative votes) is required for any action or determination by the board.
(2) 
The board shall make all reasonable efforts to issue a written decision within 90 days after receipt of a complaint. The board shall state its findings in the written decision. The written decision must either: (i) dismiss the complaint, with the grounds for dismissal set forth in the decision, or (ii) find that there has been a violation of this article and identify in the decision the particular provision or provisions violated and the conduct forming the basis of the violation. The board shall deliver written notice of the determination within ten business days of the decision to the complainant, the defendant, the city secretary, the city council and the city attorney.
(1999 Code, sec. 28-7)
(a) 
If the defendant does not notify, in writing, the chairperson of the board of ethics of his/her objection to the findings within ten business days of receipt, the recommendation will be forwarded to the city council for action.
(b) 
Should the defendant object to the findings, he/she may employ an attorney of his/her choice to present his/her appeal. The city attorney will consult with the attorney of the defendant and select a mutually acceptable third party to review the record of proceedings and the findings. The city will pay the cost of the third party services up to eight billable hours at no more than $200.00 per hour. If the defendant is found to be in no violation of this article, the matter will be dismissed and the city council and the board of ethics notified by the city attorney. If the defendant is found to be in violation, the findings will be forwarded to the city council for action.
(1999 Code, sec. 28-8)
(a) 
Recommendation of penalties.
If the board determines that a violation of this article has occurred, it shall recommend penalties to the city council. The city council may request additional testimony or statements before taking action on the board's determination and recommendation.
(b) 
Referral to city council.
If the board determines that a local public official has violated this article, the board may refer the matter to the city council. The board, in its referral, may recommend the following:
(1) 
Letter of notification.
A letter of notification may be recommended when the board finds that a violation of this article was clearly unintentional or when the action or conduct found to have been a violation of this article was performed by the official in reliance on a public written opinion of the city attorney. The letter of notification must advise the official to whom the letter is directed of any steps to be taken to avoid future violations.
(2) 
Letter of admonition.
A letter of admonition may be recommended where the board finds that violation of this article was minor and/or may have been unintentional, but where the circumstances call for a more substantial response than a letter of notification.
(3) 
Reprimand.
A reprimand may be recommended when the board finds that a violation of this article was committed intentionally or through disregard of this article.
(4) 
Removal or suspension from office.
Removal or suspension from office may be recommended when the board finds that a serious or repeated violation of this article was committed intentionally or through culpable disregard of this article. The board may include the length of any suspension in its recommendation.
(c) 
Referral to other governmental agencies.
(1) 
Should the board of ethics determine that the violation warrants review by a governmental agency (e.g., attorney general, district attorney, state ethics commission), the board shall include the referral along with the appropriate action in its recommendation to the city council.
(2) 
If the city council is unable to consider the matter due to lack of quorum, the board's recommendation shall be forwarded to the appropriate governmental agency.
(1999 Code, sec. 28-9)
After the board of ethics has issued a written opinion at the conclusion of the hearing, the complainant and defendant may be eligible for reimbursement of reasonable expenses related to the complaint. Expenses include subpoena of witnesses, consultation with an attorney, legal representation at the hearing, and other reasonable costs. Reimbursement of expenses shall not exceed $1,600.00, and receipts shall be presented to the staff liaison to the board of ethics. Receipts for reasonable expenses related to the complaint shall be submitted within one calendar year of the written opinion from the board of ethics.
(1999 Code, sec. 28-10)
If at any time in the complaint process the local public official elects to resign from office, the city secretary shall notify the staff liaison to the board of ethics, who will then notify the complainant, defendant, city attorney, and board of ethics. The complaint shall then be dismissed without prejudice.
(1999 Code, sec. 28-11)
The city secretary shall furnish a copy of this article to local public officials and provide an acceptance form to be signed by all such local public officials.
(1999 Code, sec. 28-12)
V.T.C.A., Local Government Code ch. 171, as amended, being the statute which regulates conflicts of interest of officers of municipalities in the state, is hereby adopted and made a part of this article for all purposes with the provision that, in the case of a conflict between the provisions of this article and the state statute, the more restrictive provision shall govern. Nothing in this article shall exempt an individual from seeking remedy under the Texas Local Government Code, Texas Penal Code, or state or federal law.
(1999 Code, sec. 28-13)
(a) 
The failure of any local public official to comply with the provisions of section 2.05.003, when such failure is known or should have been known, with reasonable inquiry, shall constitute grounds for disciplinary action up to and including removal from office. Notwithstanding the foregoing, removal of any city council member shall be in accordance with the city charter and state law.
(b) 
In the case of a local public official, the matter shall be referred to the board of ethics for review and recommendation.
(c) 
To the extent possible, or by order of an appropriate court of competent jurisdiction, any local public official who incurs financial or monetary gain as a result or consequence of violations of this chapter shall fully return same to the city or to such appropriate third parties.
(1999 Code, sec. 28-14)