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101 Attendance Reports of the Plannin9 Commission~ Park and Recreation Commission, and Human Services Commission for the Past Six Months Mr. Walker presented the attendance reports for the Planning Commission, Park and Recreation Commission, and Human Services Commission for the past six months. No action was required or taken by Council on the item. Community Development Agency - Letter Concerning Interest Disclosure Requirements Mr. MacDonald read into the record a letter relating to Community Develop- ment Agency Conflict of Interest disclosures, as follows: "The purpose of this letter is to inform all concerned of the requirements of Section 33130 of the Health and Safety Code which (1) prohibits the acquisition of a financial interest in a redevelopmerit project area; and {2) requires the disclosure of any existing financial interest within the project area. This Section is separate from and imposes different re- quirements from those of the Political Reform Act of 1974. The requirements of the Section apply to any Agency or City officer or employee who, in the course of his or her duties, is required to help for- mulate or to approve plans or policies for the redevelopment of a project area. Thus, it includes not only the Community Development Agency members and members of the City Council, but also the City Manager, Planning Com- missioners and City and Agency staff. The Section has three specific provisions. First, it requires that any such officer or employee who owns or has any direct or indirect financial interest in any property included within a project area immediately make a written disclosure of that interest to the Agency and the City Council, and that the disclosure be entered on the Agency's and City Council's mi- nutes. Failure to make such disclosure constitutes misconduct in office. Preferably, this disclosure should be done when a survey area is desig- nated and should be done in all cases immediately after the Planning Com- mission has selected a project area. Second, except as described in the following paragraphs, Section 33130 strictly prohibits any officer or employee from acquiring any interest in any property included within a project area. The Section provides an ex- ception for an officer or employee who is acquiring an interest as an owner or is reentering a business and who has owned a substantially equal interest as that being acquired for the three years immediately preceding the selection of the project area. Third, Section 33130 provides that a rental agreement or lease of property which meets all of the conditions described below is not an interest in property for purposes of the prohibition. The four co"6'~itions are: 1. The rental or lease agreement contains terms which are substantially equivalent to the terms of a lease available to the public for com- parable property in the project area. 2.The rental or lease agreement prohibits subleasing the property for a rate higher than the one set in the original agreement. 3. The property being rented is used in the pursuit of the principal business, occupation or profession of the officer or employee. - 3 1-5-88