An ordinance amending Title 2 of the Metropolitan Code of Laws to implement standards of conduct for employees of the Metropolitan Government.

NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

Section 1. Title 2 of the Metropolitan Code of Laws be and the same is hereby amended by adding the following new Chapter 2.222:

Chapter 2.222
STANDARDS OF CONDUCT, DISCLOSURE OF INTERESTS, AND ENFORCEMENT

2.222.010. Definitions for Standards of Conduct

For the purposes of this Chapter:

(1) "Anything of value" includes any financial benefit, or other item that is pecuniary or compensatory in value to a person, including, but not limited to, any valuable act, advance, award, contract, compensation, contribution, deposit, emolument, employment, favor, fee, forbearance, fringe benefit, gift, gratuity, honorarium, loan, offer, payment, perquisite, privilege, promise, reward, remuneration, service, subscription, or the promise that any of these items will be conferred in the future.

(2) For purposes of the foregoing definition, the following do not constitute part of "Anything of Value:"

(a) payment by a governmental entity of salaries, compensation, employee benefits, or authorized reimbursement of actual and necessary expenses; or payment by an employer or business other than a governmental entity of salaries, compensation, employee benefits, or authorized reimbursement of actual and necessary expenses, including, but not limited to, meals and gifts of a nominal value provided by an employer, or pursuant to a contract, when the payment is unrelated to an employee's status as a public official or employee and is not made for the purpose of influencing, directly or indirectly, the official action or decision of any such employee; or

(b) fees, expenses, or income, including those resulting from outside employment; or

(c) anything if received for the lawful exchange of consideration unrelated to the employee's position with the Metropolitan Government that is at least equal in value to the item or act conferred or performed; or

(d) campaign or political contributions that are received and reported in accordance with state law; or

(e) hospitality extended for a purpose wholly unrelated to the official business of any governmental entity; or

(f) non-cash awards of nominal or trifling value publicly presented in recognition of public service; or

(g) gifts or other tokens of recognition presented by representatives of governmental entities or political subdivisions acting in their official capacities; or

(h) anything of value, regardless of the value, when the item of value is offered to a governmental entity, is accepted on behalf of the governmental entity, and is to remain the property of the government entity; or

(i) commercially reasonable loans made in the ordinary course of a lender's business in accordance with prevailing rates and terms, and which do not discriminate directly or indirectly against or in favor of an employee because of such individual's status as a Metropolitan Government employee; or

(j) complimentary copies of trade publications; or

(k) reasonable compensation for a published work that did not involve the use of a governmental entity's time, equipment, facilities, supplies, staff, or other resources, if the payment is arranged or paid by the publisher of the work; or reasonable compensation of a published work that did involve the use of a governmental entity's time, equipment, facilities, supplies, staff, or other resources, if the payment of the compensation to the public official or employee is lawfully authorized by a representative of the governmental entity who is empowered to authorize such compensation; or

(l) any payment, gift, or other transfer of value which is unrelated to and does not arise from the recipient's holding or having held a public position, and if the activity or occasion for which it is given does not involve the use of a governmental entity's time, equipment, facilities, supplies, staff, or other resources in any manner or degree that is not available to the general public; or

(m) anything received as a devise, bequest, or inheritance; or

(n) a gift received from an immediate relative, spouse, spouse's relative, or household member.

(3) "Belief" or "Believes" denotes that the person involved actually supposed the fact in question to be true. A person's belief may be inferred from circumstances.

(4) "Direct Interest" shall have the same meaning as defined in T.C.A. 12-4-101,et seq. and 6-54-107, et seq.

(5) "Employee", except as provided in Section 2.222.030 of this chapter, means a person who is regularly employed by the Metropolitan Government and is compensated in whole or in part by the Metropolitan Government for personal services performed for the Metropolitan Government, and shall include (1) any person who is an appointed official of the Metropolitan Government, (2) any person who is an official of the Metropolitan Government who is elected by popular vote, other than Members of the Metropolitan Council, (3) any person who is regularly employed in the service of the Metropolitan Government by an elected official of the Metropolitan Government, and (4) any person who is regularly employed in the service of the Metropolitan Government and who is appointed by an elected official of the Metropolitan Government.

(6) "Indirect Interest" shall have the same meaning as defined in T.C.A. 12-4-101,et seq. and 6-54-107, et seq.

(7) "Material" or "Materially" means something that a reasonable person would consider important in assessing or determining how to act in a matter.

(8) "Reasonable" or "Reasonably" when used in relation to conduct by an employee denotes the conduct of a reasonably prudent and competent public servant.

(9) "Source" means an individual, entity, or group of individuals or entities reasonably believed by the employee to be affiliated for purposes of contact with the employee. A registered lobbyist shall be a "Source" separately as well as deemed affiliated with each of the lobbyist's clients.

(10) "Value" means the nominal face amount of the customary charges paid or assessed for the same product, access, or service by non-employees, exclusive of sales taxes, gratuities paid to others, and (as to charitable fund raising events) the deductible portion of the nominal cost.

2.222.020. Standards of Conduct

Employees:

a. Shall not accept or solicit, for personal financial gain, any benefit that might reasonably tend to influence them to act improperly in the discharge of their official duties;

b. Shall not accept or solicit bribery;

c. Shall promptly report to the district attorney or other investigative authority any attempts made to bribe the employee or any other employee;

d. Shall not accept or solicit any cash of any amount, other than in compliance with election campaign laws and fully reported pursuant to same, irrespective of the intent of the payor, if such payment or solicitation is in any way directly or indirectly related to the employee's position in the Metropolitan Government;

e. Shall not accept or solicit Anything of Value as herein defined, except as provided in subsection s of this section;

f. Shall not accept or solicit any promise of any benefit, direct or indirect, to himself, family members, or his employer which the employee believes or should reasonably believe was intended to influence action taken in the employee's official capacity;

g. Shall not receive or use for personal purposes any property, services or funds of Metropolitan Government unless authorized by law ;

h. Shall not use for personal gain, or for the gain of any family member or employer, information pertaining to Metropolitan Government which is not a matter of common knowledge, or use his or her position to secure information about any person or entity for any purpose other than the performance of official responsibility;

i. Shall not use their Metropolitan Government positions improperly to secure unwarranted privileges or exemptions for themselves, relatives or others, provided, however, that this provision does not preclude employees from acting in a manner consistent with their official duties or from zealously providing public services to anyone who is entitled to them;

j. Shall not participate in making or influencing any Metropolitan governmental decision or action in which they know that they have any material financial interest distinguishable from that of the public generally or from that of other Metropolitan officers or employees generally;

k. Shall not give reasonable basis by their conduct for the impression that any person can improperly influence, or unduly enjoy their favor in, the performance of their official duties, or that they are unduly affected by the kinship, rank, position or influence of any person;

l. Shall not use or disclose, other than in the performance of their official duties or as may be required by law, confidential information gained in the course of or by reason of their positions;

m. Shall not violate the direct or indirect conflict of interest, consulting, lobbying, or any other requirements of state law existing or which may be adopted regulating the conduct of municipal or county employees;

n. Shall not provide services for compensation, directly or indirectly, to a person or organization who is requesting an approval, action, or determination from the Metropolitan Government;

o. Shall not accept other employment or engage in outside activities which might impair their independent judgment in the performance of their public duty;

p. Shall not personally participate in a decision in a matter if the employee is in negotiation concerning or has an arrangement concerning prospective employment with a person or organization which has a financial interest in a matter under consideration by or within the jurisdiction of the Metropolitan Government. For purposes of this subsection, the term "decision" shall mean a decision, approval, disapproval, recommendation, investigation or rendering of advice, and the term "matter" shall include but not be limited to a matter, proceeding, application, request for ruling or determination, contract or claim which involves the Metropolitan Government.

q. Shall not personally represent or appear in behalf of the private interest of another before the Metropolitan Council, or any board or department of the Metropolitan Government; or, if the represented person's interest is adverse to that of the Metropolitan Government, represent any person:

(1) In any quasi judicial proceeding involving the Metropolitan Government; or

(2) In any judicial proceeding to which the Metropolitan Government is a party;

(3) Provided, that nothing in this subsection shall preclude:

(i). An employee from speaking or appearing without compensation before the Council or any board or department on their own behalf;

(ii). An employee from representing his or her personal interests consistent with state law and this Code;

(iii). An employee from testifying as a witness under subpoena in a judicial or quasi-judicial proceeding;

q. If Disclosure Statements are required to be filed by the employee in accordance with this chapter, shall not fail or refuse to file in a timely manner all Disclosure Statements and Reports, which Statements and Reports shall include all material information reasonably required to be included and shall not omit any material information reasonably necessary to make such reports complete and meaningful;

r. If related in any way, directly or indirectly, to being an employee:

(1) shall not accept promotional or hand-produced items of a Value in excess of Twenty Five Dollars ($25.00) received from a single Source in any calendar year; and

(2) shall not accept meals, beverages, food, free or discounted admissions, tickets, access to events or travel expenses from any single source of an aggregate Value in any calendar year in excess of One Hundred Dollars ($100.00), provided that an employee may accept from the sponsoring organization, on behalf of himself and a guest, free or discounted admissions, tickets or access of a face value in excess of One Hundred Dollars ($100.00) if the event is generally recognized as an annual fund raising benefit sponsored by a non-profit organization.

s. Shall not accept food and/or beverages furnished by an individual or organization that presently has entered or is seeking to enter into a contractual relationship with the Metropolitan Government.

2.222.030. Disclosure

A. In an effort to advance the favorable opinion of the public in the integrity of government, the disclosure requirements contained in this section shall apply to the following employees: (1) the Mayor; (2) all employees in the Mayor's office, including the members of the Mayor's cabinet; (3) the Metropolitan Council Office; (4) the holders of all elected offices authorized or created by the Metropolitan Charter; (5) all directors, executive directors, assistant directors, and associate directors of Metropolitan Government agencies, boards, and commissions, but not including Nashville Electric Service, the Metropolitan Nashville Airport Authority, and the Metropolitan Transit Authority.

B. Annual Disclosures

1. On or before sixty (60) days following adoption of this Ordinance and thereafter on or before January 30 of each year, each employee included in subsection A of this section shall file with the Metropolitan Clerk an Annual Disclosure Statement setting forth the information requested therein as of and for the year ended December 31 of the preceding year, with said Disclosure Statement to be personally signed by the employee and attested as being true to the best of that employee's information and belief. In completing the Disclosure form, the employee should recognize that the purpose of the Disclosure is to alleviate reasonable concerns, justified or not, of the public concerning possible conflicts and influences upon the employee's exercise of his or her official discretion. In situations involving ambiguity as to the application of the requested information to the facts of an employee's situation, the Disclosure Statement should be completed in all material respects, reasonably consistent with this intent.

2. Each employee shall amend his or her current Disclosure Statement within thirty (30) days of the occurrence of any material change to the disclosures.

4. All Disclosure Statements filed pursuant to this Section, and Amendments thereto shall be maintained by the Metropolitan Clerk, readily available to the public.

5. The Annual Disclosure Statement shall require the information set forth in the following form:

**********

ANNUAL DISCLOSURE STATEMENT

EMPLOYEE NAME: _______________________________

This Annual Disclosure Statement is submitted in compliance with Section 2.222.030 of the Metropolitan Code for the year ended December 31, ______.

Use additional sheets of paper as necessary.

1. List all sources of your income for the preceding calendar year.
Gifts from family members and relatives by blood or marriage need not be
disclosed. Additionally, an attorney, doctor, or other licensed professional whose source of income was his or her practice would name the practice entity, and to the extent permissible under applicable law and rules of professional conduct, would name any individual client(s) who each account for 15% (fifteen percent) or more of the individual's or practice entity's gross income. If such a professional Member relies on the foregoing protections to refrain from disclosing any client, that Member must file a certification with his or her annual disclosure statement stating: (A) the number of clients that the Member has not disclosed; (B) the laws or rules that the Member relied upon in so doing; and, (C) a statement that to the best of the Member's information and belief, those undisclosed clients do not have any matters pending before the Council within the next thirty days.

Sources: Percentage of your income:

____________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________

2. To the best of your knowledge, list all sources of income for your spouse for the preceding calendar year. Gifts from family members and relatives by blood or marriage need not be disclosed. Additionally, an attorney, doctor, or other licensed professional whose source of income was his or her practice would name the practice entity, and to the extent permissible under applicable law and rules of professional conduct, would name any individual client(s) who each account for 15% (fifteen percent) or more of the individual's or practice entity's gross income. If such a professional Member relies on the foregoing protections to refrain from disclosing any client, that Member must file a certification with his or her annual disclosure statement stating: (A) the number of clients that the Member has not disclosed; (B) the laws or rules that the Member relied upon in so doing; and, (C) a statement that to the best of the Member's information and belief, those undisclosed clients do not have any matters pending before the Council within the next thirty days.

Family member: Source:

_____________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________

3. Do you or your spouse presently have a financial interest of at least 5% (five percent) of any business with operations, offices, or interests in the Metropolitan Nashville area?

_____Yes _____ No

If Yes:

Yourself or Business name and address: Percent of the business Family member: represented by the interest, if known:

______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________

4. Do you or your spouse have a direct or indirect financial interest in any real property located in Davidson County, including your primary residence? Indirect interests indicate interests of greater than 5% in Real Estate Investment Trusts, other trusts in which you hold a beneficial interest in excess of 5% and other legal entities whose primary business is real estate related.

_____Yes _____ No

If Yes:

Name and address of the real property: _____________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________

5. Do you or your spouse hold any position* with any for-profit entity, non-profit entity, labor group, or educational or other institution, which position is not disclosed above as a source of income?

*These include positions from which no value is received.

_____Yes _____ No

If Yes:

Person: Position: Entity:
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________

6. Do you or your spouse have a financial interest in, or are you or a family member a party to, any litigation involving the Metropolitan Government?

_____Yes ______ No

If Yes, describe each: ___________________________________________________
_____________________________________________________________________
_____________________________________________________________________

7. Do you or your spouse have any* debts, guarantees, or endorsements of debts aggregating over $5,000 owed to any one creditor?

*Excluding liabilities owed to a family member or relative by blood or marriage, and excluding loans from established financial institutions made in the ordinary course of business on usual and customary terms.

_____Yes _____ No

If Yes, describe each: ___________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

8. Do you or your spouse have any debts in excess of $5,000 which are secured by a guarantee or collateral of any individual other than a family member or a relative by blood or marriage?

_____Yes _____ No

If Yes, describe each: ___________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

The information provided herein is, to the best of my knowledge and belief, true and complete.

__________________________________
Signature of Council Member
____________________________________
Date

Sworn to and subscribed before me this
____ day of _________________, 20__.

________________________________
Notary Public

My Commission Expires:
________________________________

*********

C. Quarterly Benefits Disclosures. In addition to the foregoing, each employee included in subsection A of this section shall file a report, in form and substance as attached below, with the Metropolitan Clerk within thirty (30) days of the end of the months of March, June, September, and December, a Benefits Report of the form and content set forth below, of Anything of Value received by the employee within the preceding quarter, exclusive of the following:

1. All donations in connection with political campaigns made and reported in compliance with Tennessee election laws;

2. Food and/or beverages of a nominal value furnished by individuals or organizations simultaneously to all similarly situated employees.

**********

QUARTERLY BENEFIT REPORTING STATEMENT

AMPLOYEE NAME: ______________________
For the quarter ending ____________________, ____ (year).

Use additional sheets of paper as necessary.
Instructions:

1. List Anything of Value you have received, as defined in Chapter 2.222 of the Metropolitan Code of Laws, since your last Quarterly Reporting Form was submitted.

a. Benefit type may be described by reference to the following abbreviations:
M = Meals, food, and beverage items
A = Admissions, tickets to events, or other access (including parking)
T = Travel expense
O = Other (describe)

b. For purposes of this report, the Member is not required to list those items set forth in Section 2.222.030 C 1and 2.

Source: Date: Benefit Type and Description: Value:
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________

2. As to each Source, set forth in Item 1, list the aggregate Value of all benefits you have received this calendar year.

Source: Value:
__________________________________________________________________
______________________________________________________________________
______________________________________________________________________

The information provided herein is, to the best of my knowledge and belief, true and complete.

_____________________________________
Signature of Employee
_____________________________________
Date

Sworn to and subscribed before me this
____ day of ____________, 20__.

________________________________
Notary Public

My Commission Expires: ____________

**********

2.222.040 Board of conduct-authority and responsibilities.

The board of conduct established pursuant to Article II of Chapter 2.04 of this code, shall have the authority to review complaints lodged against employees and to issue advisory opinions as requested by employees. Those responsibilities of the board of conduct as in regard to members of the metropolitan council shall likewise be applicable to employees of the metropolitan government. Those procedures established for the functioning of the board of conduct shall also apply to employees of the metropolitan government.

Section 2. This Ordinance shall take effect from and after its passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Michael Craddock, Jim Gotto, Charlie Tygard, Ludye Wallace, J. B. Loring, Harold White