Unless the context requires otherwise, the following terms and phrases, as used in this article, shall have the meanings hereinafter designated:
Benefit
means anything reasonably regarded as pecuniary gain or pecuniary advantage, including benefit to any person in whom the beneficiary has a substantial interest, but does not include a political contribution as defined by title 15, Texas Election Code.
Employee
means any person employed by the city, whether under civil service or not (except firefighters and police officers who are covered by state civil service laws), including those individuals on a part-time basis, but such term shall not be extended to apply to any independent contractor.
Officer
means any member of the city council and any appointive member of a board, commission or committee established by ordinance, charter or state law; provided no member of a board, commission or committee that functions only in an advisory or study [capacity] shall be deemed an officer of the city.
(Ordinance 2004-109, sec. 1, adopted 4/13/04)
(a) 
A person has a substantial interest in a business entity if:
(1) 
The interest is ownership of ten (10) percent or more of the voting stock of shares of the business entity or ownership of either ten (10) percent or more or fifteen thousand dollars ($15,000.00) or more of the fair market value of the business entity (see section 171.002, Texas Local Government Code); or
(2) 
Funds received by the person from the business entity exceed ten (10) percent of the person’s gross income for the previous year (see section 171.002, Texas Local Government Code).
(b) 
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 two thousand five hundred dollars ($2,500.00) or more (see section 171.002, Texas Local Government Code).
(c) 
A person has a substantial interest under this article if the person’s spouse or a person related to the person in the first degree by consanguinity or affinity has a substantial interest under this article (see section 171.002, Texas Local Governmental Code). A person is related in the first degree by consanguinity to his or her father, mother, brother, sister, son or daughter. A person is related in the first degree by affinity to his or her father-in-law, mother-in-law, brother’s spouse, sister’s spouse, son-in-law or daughter-in-law. (As determined under chapter 573, Government Code.)
(Ordinance 2004-109, sec. 2, adopted 4/13/04)
(a) 
No city officer, employee or advisory board member, or their spouses, shall knowingly:
(1) 
Accept or solicit any benefit from any person, group or business entity that might reasonably tend to influence him in the discharge of his official duties;
(2) 
Grant in the discharge of his official duties any improper benefit to any person, group or business entity;
(3) 
Accept or solicit any benefit, including a promise of future employment, of sufficient economic value that it might reasonably tend to influence him, in the discharge of his official duties, from any person, group or business entity:
(A) 
Who is licensed or has a substantial interest in any business entity that is licensed by any city department, agency, commission or board on which the city officer, employee or advisory board member serves; or
(B) 
Who has a personal financial interest in any proposed ordinance or decision upon which the city officer, employee or advisory board member may or must act or make a recommendation; provided, however, that any city officer, employee, or advisory board member, and any spouses, may accept travel and related expenses and attend ceremonial functions, provided that such acceptance and attendance have been approved by the city council prior to the occurrence of the ceremonial function.
(4) 
Disclose any confidential information gained by reason of the position of the officer, employee or advisory board member concerning the property, operations, policies or affairs of the city, or use such confidential information to advance any personal interest, financial or otherwise, of such officer, employee, or advisory board member, or others. This subsection (4) shall not preclude disclosure of such confidential information in connection with any investigation or proceeding regarding whether there has been a violation of the standards set forth in this article.
(5) 
Use one’s position or office of employment, or city facilities, personnel, equipment or supplies, for the private gain of the city officer, employee or advisory board member, or for the private gain of his spouse.
(6) 
Engage in any exchange, purchase or sale of property, goods or services with the city, except:
(A) 
Rendering services to the city as an officer, employee or advisory board member;
(B) 
The paying of taxes, fines, utility service or filing fees;
(C) 
Executing and performing any community facilities contract or plat in compliance with laws and regulations applicable to any person; provided, however, that if any city ordinance, rule or regulation allows any discretion by the appropriate officers or employees of the city in the interpretation or enforcement of such ordinance, rule or regulation any such discretion shall be exercised in favor of the city in connection with such community facilities contract or plat;
(D) 
Members of advisory boards set up by ordinance, charter or state law who are not otherwise officers or employees of the city may engage in any exchange, purchase or sale of property, goods or services with the city, or enter into a contract with the city; provided, however, that the board of which they are a member has no advisory function or cognizance, direct or indirect, present or prospective, with respect to the transaction in which such advisory board member engages or proposes to engage.
(b) 
No member of the city council, salaried city officer or city employee shall knowingly represent, directly or indirectly, any person, group or business entity:
(1) 
Before the city council or any department, agency, board or commission of the city;
(2) 
In any action or proceeding against the interests of the city or in litigation in which the city or any department, agency, board or commission thereof is a party; or
(3) 
In any action or proceeding in the municipal court of the city which was instituted by a city officer or employee in the course of official duties, or a criminal proceeding in which any city officer or employee is a material witness for the prosecution.
(c) 
No member of a city board or commission shall knowingly represent, directly or indirectly, any person, group or business entity:
(1) 
Before the city council or the board or commission of which he or she is a member;
(2) 
In any action or proceeding against the interests of the city or in any litigation in which the city in any litigation in which the city [sic] or any department, agency, board or commission thereof is a party; or
(3) 
In any action or proceeding in the municipal court of the city which was instituted by a city officer or employee in the course of official duties, or a criminal proceeding in which any city officer or employee is a material witness for the prosecution.
(d) 
The restrictions in this section do not prohibit the following:
(1) 
A city employee or member of a city board or commission (other than the city council), or his or her spouse, appearing before the city council or a city department, agency, board or commission to represent himself or herself in a matter affecting his or her property; provided, however, that no such person, or his or her spouse, shall appear before the board or commission of which he or she is a member;
(2) 
Otherwise eligible city employees or their spouses from participating in federal or state funded programs administered through the city where the benefits of such program are available to eligible members of the general public and where the city employee has no administrative, evaluative or decision-making authority concerning the program in which he or she wishes to participate; or
(3) 
A partner, associate or relative of a member of the city council, or of a salaried city officer or employee, from representing a person, group or business entity in an action or proceeding in the municipal court of the city which was instituted by a city officer or employee in the course of official duties, or in a criminal proceeding in which a city officer or employee is a material witness for the prosecution.
(Ordinance 2004-109, sec. 3, adopted 4/13/04)
(a) 
If any city officer, employee or advisory board member has a substantial interest in any person, group or business entity, or real property, involved in any decision pending before such officer, employee, or advisory board member, or the body of which he or she is a member, such officer, employee, or advisory board member shall disclose such interest as provided in subsection (c) below and shall not, except as provided in subsection (b) below, vote or otherwise participate in the consideration of the matter.
(b) 
If any of the following interests are involved in any decision pending before any city officer, employee, or advisory board member, or the body of which he is a member, such officer, employee, or advisory board member must disclose such interest as provided in subsection (c) below, but he shall be permitted to vote on and participate in the consideration of such matter:
(1) 
A decision concerning a bank or other financial institution from which the officer, employee, or advisory board member has a home mortgage, automobile loan, or other installment loan, if the loan is not currently in default, was originally for a term of more than two (2) years and cannot be accelerated for failure to make payments according to the terms thereof;
(2) 
A decision concerning a bank or other financial institution in which the officer, employee, or advisory board member holds a savings account, checking account or certificate of deposit and which is fully insured by the U.S. government or an agency thereof;
(3) 
A decision concerning a business entity with which the officer, employee, or advisory board member has a retail or credit card account;
(4) 
A decision concerning the approval of substitution of collateral by a city depository bank;
(5) 
A decision concerning real property in which the officer, employee, or advisory board member has a substantial interest if it is not reasonably foreseeable that such decision would have a special economic effect on the value of the property, distinguishable from the effect on the public (see section 171.004, Texas Local Government Code);
(6) 
A decision concerning a business entity with which the officer, employee or advisory board member has a stock brokerage or securities account; and
(7) 
A decision concerning whether the city should accept a gift from a business entity in which the officer, employee or advisory board member has a substantial interest.
(c) 
A city officer, employee or advisory board member shall disclose the existence of any substantial interest in any person, business entity or real property involved in any decision pending before such officer, employee or advisory board member, or the body of which he is a member. To comply with this subsection, a city officer or advisory board member shall, prior to any discussion or determination of the matter, either file an affidavit of disclosure as required by section 171.004 of the Texas Local Government Code or, if not so required, shall publicly disclose in the official records of the body or of the city secretary the nature of the interest. To comply with this subsection, a city employee shall notify his superior in writing of the nature of any substantial interest he may have in a person, business entity or real property which would be affected by an exercise of discretionary authority by the city employee and such superior shall assign the matter to another employee.
(Ordinance 2004-109, sec. 4, adopted 4/13/04)
An ethics review board shall be established consisting of three members appointed by the mayor and confirmed by the city council. The board shall have the duty and authority to rule upon the appropriate disposition of allegations of violations of this article.
(Ordinance 2004-109, sec. 5, adopted 4/13/04)
All complaints or allegations of violations of this article shall be made in writing with supporting documentation, sworn to before a notary public and filed with the city secretary’s office. A general complaint lacking in detail shall be insufficient to invoke investigation and hearing procedures. Anonymous complaints will not be considered. Copies of the complaints will be provided to the city officer, employee or advisory board member. The city officer, employee, or advisory board member shall have ten (10) days to file a written response to the complaint with the ethics review board, which will then convene to review the allegation. If sufficient grounds are found by the board, a hearing will be called to dispose of the complaint.
(Ordinance 2004-109, sec. 6, adopted 4/13/04)
Upon receiving the written response to the complaint from the city officer, employee or advisory board member alleged to have violated the provisions of this article, the ethics review board will convene within five (5) days to review the allegation. If no hearing is justified, a written response stating the board’s reasoning will be provided to the city officer, employee or advisory board member, the complainant and the city secretary’s office. If a hearing is warranted, the board shall conduct the hearing within five (5) days. If the city officer, employee or advisory board member is found to have violated the provisions of this article, it shall be so determined and the decision of the board shall be final.
(Ordinance 2004-109, sec. 7, adopted 4/13/04; Ordinance adopting 2017 Code)