California Code of Regulations › Title 2 - Administration › Division 6 - Fair Political Practices Commission › Chapter 7 - Conflicts of Interest › Article 1 - Conflicts of Interest; General Prohibition › Section 18702.5 - Materiality Standard: Financial Interest in an Official's Personal Finances

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) A governmental
				  decision's reasonably foreseeable financial effect on a public official's
				  financial interest in personal finances or those of immediate family, also
				  referred to as a "personal financial effect," is material if the decision may
				  result in the official or the official's immediate family member receiving a
				  financial benefit or loss of $500 or more in any 12-month period due to the
				  decision.
(b) Notwithstanding
				  subdivision (a), a personal financial effect is not material if the decision
				  would:
(1) Affect only the salary, per diem,
				  or reimbursement for expenses the public official or a member of the official's
				  immediate family receives from a federal, state, or local government agency
				  unless the decision is to appoint (other than an appointing decision permitted
				  under subdivision (b)(2) and (3)), hire, fire, promote, demote, suspend without
				  pay or otherwise take disciplinary action with financial sanction against the
				  official or a member of the official's immediate family, or to set a salary for
				  the official or a member of the official's immediate family which is different
				  from salaries paid to other employees of the government agency in the same job
				  classification or position, or when the member of the public official's
				  immediate family member is the only person in the job classification or
				  position.
(2) Appoint the official
				  to be a member of any group or body created by law or formed by the official's
				  agency for a special purpose. However, if the official will receive a stipend
				  for attending meetings of the group or body aggregating $500 or more in any
				  12-month period, the effect on the official's personal finances is material
				  unless the appointing body posts all of the following on its website:
(A) A list of each appointed position and its
				  term.
(B) The amount of the stipend
				  for each appointed position.
(C)
				  The name of the official who has been appointed to the position.
(D) The name of any official who has been
				  appointed to be an alternate for the position.
(3) Appoint the official to be an officer of
				  the governing body of which the official is already a member, such as a
				  decision to appoint a city councilmember to be the city's mayor.
(4) Establish or change the benefits or
				  retirement plan of the official or the official's immediate family member, and
				  the decision applies equally to all employees or retirees in the same
				  bargaining unit or other representative group.
(5) Result in the payment of any travel
				  expenses incurred by the official or the official's immediate family member
				  while attending a meeting as an authorized representative of an
				  agency.
(6) Permit the official's
				  use of any government property, including automobiles or other modes of
				  transportation, mobile communication devices, or other agency-provided
				  equipment for carrying out the official's duties, including any nominal,
				  incidental, negligible, or inconsequential personal use while on
				  duty.
(7) Result in the official's
				  receipt of any personal reward from the official's use of a personal charge
				  card or participation in any other membership rewards program, so long as the
				  reward is associated with the official's approved travel expenses and is no
				  different from the reward offered to the public.