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HomeMy WebLinkAboutReport to Mayor and CouncilMayor Ron Morrison Council Members Alejandro Sotelo-Solis Louis Natividad Mona Rios Rosalie Zarate TO: FROM: SUBJECT: Five -Year Implementation Plan: Abstention of Members of the CDC Board; Legally Required Participation CALIFORNIA +-{* N i ►9�jIjLC Ty -NCOVVyRr on Sp Office of the City Attorney City Attorney Claudia Gacitua Silva Legal Counsel George H. Eiser, III Senior Assistant City Attorney Jodi L. Doucette Mayor and City Council City Attorney DATE: April 19, 2011 I request the following statement be made part of the record pertaining to the Five -Year Implementation Plan: The legislative body of the City of National City is the City Council. As authorized by the Community Redevelopment Law of the State of California, the City Council is also the governing board of the Community Development Commission (CDC). The Community Redevelopment Law provides that the CDC is the legislative body that holds the public hearing and adopts the resolution approving the Implementation Plan. In National City, there is no other body available to hold the public hearing or adopt the resolution approving the Implementation P lan. Political Reform Act Conflict of Interest The Political Reform Act prohibits a public official from participating in a governmental decision in which the official has a disqualifying conflict of interest. Generally, a public official has a conflict of interest if the decision will have a reasonably foreseeable material financial effect on one or more of the official's economic interests. California Code of Regulations, Section 18704.2, provides that "real property in which a public official has an economic interest is directly involved in a governmental decision if ... the real property in which the official has an interest, or any part of that real property, is located within 500 feet of the boundaries ... of the property which is the subject of the governmental decision." On tonight's agenda, the property that is the subject of the decision is the redevelopment project area, California Code of Regulations, Section 18705.2, provides that where a public official has an interest in real property which is directly involved in a governmental decision, the financial affect upon the real property is presumed to be material, unless the presumption is rebutted. This presumption may be rebutted by proof that it is not reasonably foreseeable that the governmental decision will have any financial effect on the real property. 1243 National City Boulevard; National City, California 91950-4301 Tel.: (619) 336.4220 Fax: (619) 336.4327 April 19, 2011 Page Two Mayor Morrison, Vice -Mayor Sotelo-Solis, and Councilwoman Zarate have properties located in the project area, which would be deemed to be directly involved in a governmental decision, and upon which the financial effect is presumed to be material. The residences of Vice -Mayor Sotelo-Solis and Councilwoman Zarate are located in the redevelopment project area. Mayor Morrison has an ownership interest in a residential property located in the redevelopment project area. A decision to adopt an implementation plan is being considered by the CDC. Pursuant to the provisions of the Political Reform Act and of Title 2 of Division 6 of the California Code of Regulations, Mayor Morrison, Vice -Mayor Sotelo-Solis, and Councilwoman Zarate have determined to abstain from participating in the decision to adopt the Implementation Plan, because that decision may have a material financial affect on their real property interests located in the project area. Lack of a Quorum and Legally Required Participation The abstentions of three members of the City Council with the property interests within the project area result in less than a quorum being available to consider adoption of the Implementation Plan. The absence of a quorum requires us to invoke the concept of "legally required participation." This concept allows a disqualified official to be "re -qualified" by a random selection process in the decision -making process, allows a quorum to be present, and for the re -qualified official to participate in the decision -making process until it is completed. This process was followed when the proposed Implementation Plan was considered at the March 29, 20l l meeting of the CDC. The process resulted in Boardrember Zarate being re -qualified to participate. C� rIA GVA City Attorne CGS/gmo cc: City Manager Executive Director CDC City Clerk • Page 2