§ 2-504. Conflict of interest; recusal

(a) Conflict of interest. No city official may vote on or participate in any decision-making process on a matter concerning property or a business entity if the official has a substantial interest in the real property or business entity.

(b) Recusal.

(1) A city official shall disclose the existence of any substantial interest in any business entity or real property involved in any decision pending before such city official, or the body of which he or she is a member. To comply with this subsection, a city official shall, prior to any discussion or determination of the matter, either file an affidavit of disclosure as required by V.T.C.A., Local Government Code § 171.004 or, if not so required, shall publicly disclose in the official records of the city to the city secretary the nature of the interest. To further comply with this subsection, a city official shall notify the city manager, of if the city official is the city manager, shall notify the city secretary, in writing of the nature of any substantial interest he or she may have in a business entity or real property which would be affected by an exercise of discretionary authority by the city official and the city manager or city secretary shall assign the matter to another employee. In disclosing a substantial interest in a business entity, a city official shall not be required to disclose the dollar amount of any income that he or she receives from the business entity.

(2) The city council shall take a separate vote on any budget item specifically dedicated to a contract with a business entity in which a member of the council has a substantial interest. The member of the city council that has the substantial interest may not participate in the separate vote.

(3) In addition to complying with the requirements of V.T.C.A., Local Government Code ch. 171, to avoid the appearance and risk of impropriety, a City Official should abstain from participation in, discussion of, and any vote on a matter involving a person or business entity that the official knows is likely to affect the economic interest of, or confer an economic benefit on:

(i) The city official's parent, child, step-child, spouse, or other family member within the second degree of consanguinity or affinity as defined by V.T.C.A., Government Code ch. 573, or a client of the city official;

(ii) An employer of the city official, the city official's parent, child, step-child, or spouse;

(iii) A business entity for which the city official serves as an officer or director or serves in any policy-making position;

(iv) A person or business entity from whom, within the past 12 months, the city official or the official's spouse, directly or indirectly, received an economic benefit; or

(v) A person or business entity from whom, within the past 12 months, the city official or the official's spouse, directly or indirectly, engaged in negotiations pertaining to business opportunities.

(Ord. No. 10-11-863, 2(Exh. A), 11-15-2010)