HomeMy WebLinkAboutItem 4.5 - 3304 Elections Electronic Filing DMC Update (2)
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STAFF REPORT
CITY COUNCIL
DATE: July 21, 2020
TO: Honorable Mayor and City Councilmembers
FROM:
Linda Smith, City Manager
SUBJECT:
Second Reading of an Ordinance Amending the Dublin Municipal Code
and Adding Section 2.30, "Electronic Filing of Campaign Disclosure
Statements"
Prepared by: Marsha Moore, MMC, City Clerk
EXECUTIVE SUMMARY:
The City Council will consider adopting an ordinance revising the Dublin Municipal Code
to add Section 2.30, relating to electronic and paperless filin g of Fair Political Practices
Commission Campaign Disclosure Statements. The first reading of this ordinance was
held at the June 16, 2020, Regular City Council Meeting.
STAFF RECOMMENDATION:
Waive the reading and adopt the Ordinance Adding Section 2.30 to the Dublin
Municipal Code, Relating to Electronic and Paperless Filing of Fair Political Practices
Commission Campaign Disclosure
FINANCIAL IMPACT:
The City entered into an agreement with NetFile in December 2016 for the electronic
filing of campaign disclosure statements (400 series) and Form 700 Statement of
Economic Interest. The Annual Subscription Charges for this service are included in the
Fiscal Year 2020-21 budget.
DESCRIPTION:
Government Code section 84615 allows local government agencies to require an
elected and appointed official, candidate, or committee to file FPPC campaign
statements, reports, or other documents online or electronically with a local filing officer.
The City Clerk is the local filing officer for the City of Dublin.
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In order for the City of Dublin to accept electronically filed statements, the City Council
must adopt an ordinance permitting the use of an online filing system as an option for
filing and designating the filings received electronically by the City Clerk’s Office as the
filings of record for the City. In addition, the system must operate securely and
effectively, be no cost to filers, be available to the public to view filings, not place any
unduly burden on filers, and include procedures for filers to comply with the requirement
that they sign statements and reports under penalty of perjury.
On December 15, 2016, the City entered into a contract with NetFile, an electronic and
paperless filing system for both Statement of Economic Interest (Form 700) and
Campaign Finance Disclosure forms. The NetFile system is created specifically for
cities and counties responsible for administering campaign finance filings and
Statements of Economic Interest, meets the requirements of the Secretary of State, and
allows for electronic and paperless filing of campaign statements. Staff has prepared
the proposed ordinance related only to the campaign finance component of the NetFile
system.
Adoption of the proposed ordinance is required to implement electronic filings of t he
campaign finance component (400 series) of the NetFile system and will only apply to
those filers that exceed a threshold of $2,000 for expending or receiving campaign
funds. This threshold is consistent with the Political Reform Act (the “Act”), which
recognizes campaigns that spend or raise more than $2,000 as “Controlled
Committees.” Under the Act, these types of committees are obligated to file detailed
campaign finance disclosure statements, also known as Form 460s. For those smaller
campaigns that do not exceed the $2,000 threshold, they may continue to file paper
versions of the Form 470 disclosure forms. It should be noted that the NetFile system is
able to accommodate the online filing of several types of required forms by the FPPC,
including Forms 460, 470, 496, and 497, which are the most commonly used in Dublin’s
local election campaigns.
Although Government Code 84615 authorizes a local agency to mandate electronic
filing, Staff recognizes that such mandates could have a direct effect on those
committees or individuals who do not have computer access or familiarity with computer
programs. In addition, Staff recognizes the impact of a mandate becoming effective
after the nomination period has closed for the November 3, 2020 General Election. To
prevent any hardship or negative impacts, Staff is proposing a more moderate approach
by drafting an ordinance that allows candidates or committees to familiarize themselves
with the system. During the period commencing with the effective date of this Ord inance
and ending January 1, 2021, an elected officer, candidate, appointee, committee, or
consultant may choose to utilize the electronic filing system by electronically filing a
Statement that is required to be filed with the City Clerk pursuant to Chapt er 4 of the
Political Reform Act. Once the elected officer, candidate, appointee, committee, or
consultant has filed electronically, all subsequent Statements shall be filed
electronically. From and after January 1, 2021, electronic filing is mandatory unless the
officer, candidate, or committee is exempt as described in Section 2.31.010(A). This
approach will provide potential filers with the opportunity to receive training and
establish a level of comfort and familiarity in using the system prior to the J anuary 1,
2021 deadline.
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Staff will schedule training as needed for filers and NetFile offers free online training that
will cover the entire electronic filing process. This will include the set -up of filer
accounts, explaining the online filing process, showing how to input data and save
reports, preparing statements for e-signature, and finalizing statements for electronic
filing.
Implementation of the NetFile system and adoption of this ordinance will promote
transparency and make it more convenient for committees, individuals, and the public. It
provides 24-hour filing and viewing accessibility of campaign finance information from
any computer, anywhere. In certain instances, the NetFile program will also increase
accuracy of filed campaign statements by prohibiting any filings that may have
inadvertently omitted required information under the Act (e.g. missing addresses or
stated occupation of individual donors).
STRATEGIC PLAN INITIATIVE:
Strategy 4: Become a 24/7 City Hall to enhance Resident and Business Engagement.
NOTICING REQUIREMENTS/PUBLIC OUTREACH:
None.
ATTACHMENTS:
1. Ordinance Adding Section 2.30 to the Dublin Municipal Code, Relating to Electronic
and Paperless Filing of Fair Political Practices Commission Campaign and Disclosure
Statements
ORDINANCE NO. xx – 20
AN ORDINANCE OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
* * * * * * * * * * * * * *
ADDING SECTION 2.30 TO THE DUBLIN MUNICIPAL CODE, RELATING TO ELECTRONIC
AND PAPERLESS FILING OF FAIR POLITICAL PRACTICES COMMISSION CAMPAIGN
DISCLOSURE STATEMENTS
WHEREAS, California Government Code Section 84615 provides that a legislative body of a
local government agency may adopt an ordinance that requires an elected officer, candidate,
committee, or other person required to file statements, reports, or other document required by
Chapter 4 of the Political Reform Act to file such statements, reports, or other documents online
or electronically with the City Clerk; and
WHEREAS, the City has entered into an agreement with NetFile, a vendor approved by the
California Secretary of State, to provide an online electronic filing system (“System”) for
campaign disclosure statements and statements or economic interest forms; and
WHEREAS, the System will operate securely and effectively and will not unduly burden filers.
Specifically: (1) the System will ensure the integrity of the data and includes safeguards against
efforts to tamper with, manipulate, alter, or subvert the data; (2) the System will only accept a
filing in the standardized record format developed by the Secretary of State and compatible with
the Secretary of State’s system for receiving an online or electronic filing; and (3) the System
will be available free of charge to filers and to the public for viewing filings; and
NOW, THEREFORE, the City Council of the City of Dublin does ordain as follows:
Section 1: Chapter 2.30 Added
Chapter 2.30 is added to the Dublin Municipal Code to read in full as follows:
CHAPTER 2.30
Electronic Filing of Campaign Disclosure Statements
2.30.010 Purpose
The purpose of the Chapter is to allow, prior to January 1, 2021, and require, beginning January
1, 2021, elected officials, candidates, or committees to electronically file Campaign Disclosure
Statements, except where state law does not authorize the City to require electronic filing. The
City Council enacts this Chapter in accordance with the authority granted to cities by state law.
This ordinance is intended to supplement, and not conflict with, the Political Reform Act.
2.30.020 General
A. Any elected officer, candidate, committee, or other person required to file statements,
reports, or other documents (“Statements”) as required by Chap ter 4 of the Political
Reform Act (California Government Code Section 84100 et seq.) may file such
Statements using the City Clerk’s online system according to procedures established by
the City Clerk. These procedures shall ensure that the online system c omplies with the
Ord No. XX-20, Item X.X, Adopted XX/XX/20 Page 2 of 3
requirements set forth in Section 84615 of the Government Code. From and after
January 1, 2021, elected officers, candidates and committees required to file Statements
must file such Statements using the City Clerk’s online system, unless exempt from the
requirement to file online pursuant to Government Code Section 84615.
B. The online filing system shall ensure the integrity of the data transmitted and shall include
safeguards against efforts to tamper with, manipulate, alter, or subvert the data.
C. The online filing system shall only accept a filing in the standardized record format that is
developed by the California Secretary of State pursuant to Section 84602(a)(2) of the
California Government Code and that is compatible with the Secretary of State’s system
for receiving an online or electronic filing.
D. The online filing system shall include a procedure for filers to comply with the requirement
that they sign statements and reports under penalty of perjury pursuant to Section 81004
of the Government Code.
2.30.030 Procedures for Utilizing Online Filing
A. During the period commencing with the effective date of this Ordinance and ending
January 1, 2021, an elected officer, candidate, appointee , committee or consultant may
choose to utilize the electronic filing system by electronically filing a Statement that is
required to be filed with the City Clerk pursuant to Chapter 4 of the Political Reform Act.
Once the elected officer, candidate, appointee, committee or consultant has filed
electronically, all subsequent Statements shall be filed electronically. From and after
January 1, 2021, electronic filing is mandatory unless the officer, candidate, or committee
is exempt as described in Section 2.30.010(A).
B. Any elected officer, candidate, appointee, committee or consultant who has electronically
fled a Statement using the City Clerk’s online system is not required to file a copy of that
document in paper format with the City Clerk.
C. The City Clerk shall issue an electronic confirmation that notifies the filer that the
Statement was received, which notification shall include the date and the ti me that the
Statement was received and the method by which the filer may view and print the data
received by the City Clerk. The date of filing for a Statement filed online shall be the day
that it is received by the City Clerk.
D. If the City Clerk’s system is not capable of accepting a Statement due to technical
difficulties, an elected officer, candidate, or committee shall file that Statement in paper
format with the City Clerk.
E. The online filing system shall enable electronic filers to complete and submit filings free of
charge.
2.30.040 Availability of Statements for Public Review; Record Retention
Ord No. XX-20, Item X.X, Adopted XX/XX/20 Page 3 of 3
A. The City Clerk’s system shall make all data filed available on the City’s webpage in an
easily understood format that provides the greatest public access. The data shall be
made available free of charge as soon as possible after receipt. The data made available
on the City’s webpage shall not contain the street name and building number of the
persons or entity representatives listed on the electronically filed forms or any bank
account number required to be disclosed by the filer. The City Clerk’s office shall make a
complete, unredacted copy of the statement, including any street names, building
numbers, and bank account numbers disclosed by the filer, av ailable to any person upon
request.
B. The City Clerk’s Office shall maintain, according to the City’s Retention Schedule, a
secured, official version of each online or electronic statement which shall serve as the
official version of that record for purpose of audits and any other legal purpose.
Section 2: Effective Date and Posting of Ordinance
This Ordinance shall take effect and be in force thirty (30) days from and after the date of its
final adoption. The City Clerk of the City of Dublin shall cause this Ordinance to be posted in at
least three (3) public places in the City of Dublin in accordance with Section 36933 of the
Government Code of California.
PASSED, APPROVED, AND ADOPTED BY the City Council of the City of Dublin on this 21st
day of July 2020, by the following votes:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________
Mayor
ATTEST:
___________________________________
City Clerk