HomeMy WebLinkAboutOrdinance 2296
ORDINANCE NO. 2296
BE IT ORDAINED by the City Council of the City of North Richland Hills,
Texas, that:
1.
Ordinance No. 984 is hereby amended to include Section 1.2, and
attachments A & B, and now and hereafter read as follows:
"1.2 Code of Conduct
The Mayor and Council Members shall follow all Federal and State
laws and regulations, as well as the City of North Richland Hills
Charter, in regard to their actions as elected officials. Section 13 of
Article XVIII of the City Charter shall be followed (Attachment A).
State law concerning conflicts of interest is described in Chapter
171 of the State of Texas' Local Government Code, entitled
Regulation of conflicts of interest of officers of Municipalities,
Counties, and certain other local governments (Attachment B)."
PASSED AND APPROVED this 27th day of April, 1998
APPROVED
ATTEST:
(?MVÙi~
Patricia Hutson, City Secretary
APPROVED AS TO FORM AND LEG ITV:
ATTACHMENT A
CITY OF NORTH RICHIAND HILLS
CHARTER
ARTICLE XVIII
Section 13. Ethics
(1) No elected or appointed officer or employee of the City shall benefit unduly by
reason of his holding public office.
(2) No officer or employee having a direct or indirect interest in any proposed or
existing contract, purchase, work, sale or service to or by the City shall vote or render a
decision, or use his position, authority or influence in a manner that would result in his
financial betterment to any degree. Further, any elected officer shall publicly disclose any
such interest upon assumption of office or prior to consideration of any such matters. This
provision is cumulative to Article 371 and 373 of the Penal Code, and all other applicable
laws in regard to elected officers.
(3) Failure to comply with any provisions of the foregoing Section 13 (1) or 13 (2)
shall constitute malfeasance in office and any officer or employee failing to so comply shall
immediately forfeit his office or position, and said office or position shall be deemed vacant.
(4) Any violation of the foregoing Sections 13 (1) or 13 (2) with the knowledge,
express or implied, of persons or corporations contracting with the City shall render the
contract voidable by the Council.
ATTACHMENT B
CHAPTER 171. REGULATION OF CONFLICTS OF INTEREST OF OFFICERS OF
MUNICIPALITIES, COUNTIES, AND CERTAIN OTHER LOCAL GOVERNMENTS
Sec. 171.001. Definitions.
In this chapter:
(1) "Local public official" means a member of the governing body or another
officer, whether elected, appointed, paid, or unpaid, of any district (including a school
district), county, municipality, precinct, central appraisal district, transit authority or
district, or other local governmental entity who exercises responsibilities beyond those
that are advisory in nature.
(2) "Business entity" means a sole proprietorship, partnership, firm,
corporation, holding company, joint-stock company, receivership, trust, or any other
entity recognized by law.
Acts 1987, 70th Leg., ch.149, Sec. 1, eff. Sept. 1, 1987.
Sec. 171.002. Substantial Interest in Business Entity.
(a) For purposes of this chapter, a person has a substantial interest in a business
entity if:
(1) the person owns 10 percent or more of the voting stock or shares of the
business entity or owns either 10 percent or more or $15,000 or more of the fair market
value of the business entity; or
(2) funds received by the person from the business entity exceed 10 percent of
the person's gross income for the previous year.
(b) A person has a substantial interest in real property if the interest is an
equitable or legal ownership with a fair market value of $2,500 or more.
(c) A local public official is considered to have a substantial interest under this
section if a person related to the official in the first degree by consanguinity or affinity,
as determined under Chapter 573, Government Code, has a substantial interest under
this section.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
Amended by Acts 1989, 71st Leg., ch. 1, Sec. 40(a), eff. Aug. 28,1989; Acts 1991,
72nd Leg., ch. 561, Sec. 37, eff. Aug. 26,1991; Acts 1995, 74th Leg., ch. 76, Sec.
5.95(27), eff. Sept. 1, 1995.
ATTACHMENT B
Sec. 171.0025. Application of Chapter to Member of Higher Education Authority.
This chapter does not apply to a board member of a higher education authority
created under Chapter 53, Education Code, unless a vote, act, or other participation by
the board member in the affairs of the higher education authority would provide a
financial benefit to a financial institution, school, college, or university that is:
(1) a source of income to the board member; or
(2) a business entity in which the board member has an interest distinguishable
from a financial benefit available to any other similar financial institution or other school,
college, or university whose students are eligible for a student loan available under
Chapter 53, Education Code.
Added by Acts 1989, 71st Leg., ch. 1, Sec. 41(a), eff. Aug. 28,1989.
Sec. 171.003. Prohibited Acts; Penalty.
(a) A local public official commits an offense if the official knowingly:
(1) violates Section 171.004;
(2) acts as surety for a business entity that has work, business, or a contract
with the governmental entity; or
(3) acts as surety on any official bond required of an officer of the
governmental entity.
(b) An offense under this section is a Class A misdemeanor.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
Amended by Acts 1989, 71st Leg., ch. 1, Sec. 40(a), eff. Aug. 28,1989.
Sec. 171.004. Affidavit and Abstention From Voting Required.
(a) If a local public official has a substantial interest in a business entity or in real
property, the official shall file, before a vote or decision on any matter involving the
business entity or the real
property, an affidavit stating the nature and extent of the interest and shall abstain from
further participation in the matter if:
(1) in the case of a substantial interest in a business entity the action on the
matter will have a special economic effect on the business entity that is distinguishable
from the effect on the public; or
II
ATTACHMENT B
(2) in the case of a substantial interest in real property, it is reasonably
foreseeable that an action on the matter will have a special economic effect on the
value of the property, distinguishable from its effect on the public.
(b) The affidavit must be filed with the official record keeper of the governmental
entity.
(c) If a local public official is required to file and does file an affidavit under
Subsection (a), the official is not required to abstain from further participation in the
matter requiring the affidavit if a majority of the members of the governmental entity of
which the official is a member is composed of persons who are likewise required to file
and who do file affidavits of similar interests on the same official action.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
Amended by Acts 1989, 71st Leg., ch. 1, Sec. 40(a), eff. Aug. 28,1989.
Sec. 171.005. Voting on Budget.
(a) The governing body of a governmental entity shall take a separate vote on any
budget item specifically dedicated to a contract with a business entity in which a
member of the governing body has a substantial interest.
(b) Except as provided by Section 171.004(c), the affected member may not
participate in that separate vote. The member may vote on a final budget if:
(1) the member has complied with this chapter; and
(2) the matter in which the member is concerned has been resolved.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1,1987. Renumbered from Sec.
171.006 and amended by Acts 1989, 71st Leg., ch. 1, Sec. 40(a), eff. Aug. 28,1989.
Sec. 171.006. Effect of Violation of Chapter.
The finding by a court of a violation under this chapter does not render an action
of the governing body voidable unless the measure that was the subject of an action
involving a conflict of interest would not have passed the governing body without the
vote of the person who violated the chapter.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987. Renumbered from Sec.
171.008 by Acts
1989, 71st Leg., ch. 1, Sec. 40(a), eff. Aug. 28,1989.
Sec. 171.007. Common Law Preempted; Cumulative of Municipal Provisions.
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ATTACHMENT B
(a) This chapter preempts the common law of conflict of interests as applied to
local public officials.
(b) This chapter is cumulative of municipal charter provisions and municipal
ordinances defining and prohibiting conflicts of interests.
Amended by Acts 1989, 71st Leg., ch. 1, Sec. 40(a), eff. Aug. 28,1989.
Sec. 171.009. Service on Board of Corporation for no Compensation.
It shall be lawful for a local public official to serve as a member of the board of
directors of private, nonprofit corporations when such officials receive no compensation
or other remuneration from the nonprofit corporation or other nonprofit entity.
Added by Acts 1989, 71st Leg., ch. 475, Sec. 2, eff. Aug. 28, 1989.
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