In enacting this chapter, council finds that while monetary contributions to political campaigns are a legitimate form of participation in the political process, the financial strength of certain individuals or organizations should not permit the exercise of a disproportionate or controlling influence in a local election of candidates. Over time, the rapidly increasing costs of political campaigns have compelled many candidates to take larger amounts of money from individuals and interest groups with a specific financial stake in matters before the city council or Redevelopment Agency. This has caused a public perception that votes are being improperly influenced by monetary contributions. This perception is undermining the credibility and integrity of the governmental process and fosters the public impression that the small contributor has an insignificant role to play in political campaigns, which in turn may have a corrupting influence affecting the integrity of the governmental process, the competitiveness of campaigns and public confidence in local officials.

The purpose of this chapter is to encourage greater access and participation in the political process through the placing of limits on the amount any person may contribute or otherwise cause to be available to candidates for election to the offices of city council, city clerk, and treasurer of and for the city of Glendale, including the regulation and disposition of unexpended contributions received by or on behalf of these candidates. This in turn is intended to reduce the appearance of undue influence and access by large contributors, and countering the perception that decisions are influenced more by the size of contributions than the best interests of the people of the city of Glendale. In addition, where the Glendale Community College Board of Trustees and/or the Glendale Unified School District Board of Education, either by agreement or through consolidation agrees to be bound by this chapter, these regulations shall also be applicable to individuals seeking election to such office(s).

Chapter 1.10 is intended to supplement the Political Reform Act of 1974 as amended, including regulations adopted by the Fair Political Practices Commission (Title 2 California Code of Regulations). Where a conflict exists between the Political Reform Act of 1974 and the regulations under this chapter, the more restrictive regulations shall control. (Ord. 5621 § 1 (part), 2008)

The definitions set forth in the Political Reform Act of 1974 as amended (Government Code Sections 82000 through 82055) shall govern the interpretation of this chapter unless otherwise specified herein.

“Candidate” means an individual who is listed on the ballot or has qualified to have write-in votes on his or her behalf counted by election officials, for the offices of city council, city treasurer or city clerk, or who receives contributions or makes an expenditure or gives his or her consent for any other person to receive a contribution or make an expenditure with a view toward bringing about his or her nomination or election to the offices of city council, city treasurer or city clerk, whether or not the specific elected office for which he or she will seek nomination or election is noted at the time the contribution is received or the expenditure is made and whether or not he or she has announced his or her candidacy or filed a declaration of candidacy at such time. An individual who becomes a candidate shall retain his or her status as a candidate until such time as that status is terminated pursuant to Government Code Section 84214.

“Committee” means any person or combination of persons who directly or indirectly receives contributions or makes expenditures or contributions of one thousand dollars ($1,000.00) or more for the purpose of influencing or attempting to influence the action of voters for or against the election of one (1) or more candidates. “Committee” does not include an independent expenditure committee.

“Controlled committee” means a committee which is controlled directly or indirectly by a candidate or which acts jointly with or in coordination with a candidate or controlled committee in connection with the making of expenditures. A candidate controls a committee if such candidate, or the candidate’s agent, or any other committee such candidate controls has a significant influence on the actions or decisions of the committee or if such committee coordinates its expenditures with the expenditures of the candidate or a committee controlled by a candidate, whether or not such candidate is personally aware of such coordination.

“Election” means the election conducted by the city of Glendale for the offices of city council, city treasurer, city clerk, and where applicable, the Glendale Unified School District Board of Education and/or Glendale Community College Board of Trustees.

“Person” means an individual, proprietorship, firm, corporation, partnership, joint venture, association, limited liability entity, business trust, company, labor organization or union, or any other organization or group of persons acting in concert.

“Political Reform Act of 1974” means the Political Reform Act of 1974 as it now reads or may hereafter be amended and includes applicable regulations adopted by the Fair Political Practices Commission (Title 2 California Code of Regulations).

“Single election cycle” shall be that period of time commencing September 1st of the even-numbered year immediately preceding the April local general election and ending on August 31st of the same year. [Example: Election date April 7, 2009 - Election cycle for April 2009 election commences September 1, 2008 and ends on August 31, 2009.] (Ord. 5621 § 1 (part), 2008)

A. No intended candidate for any elected city office, and no committee acting on behalf of such candidate, shall solicit or accept, or cause to be solicited or accepted, any contribution for use in any election for such office unless and until such candidate shall have complied with the requirements of the Political Reform Act 1974 as amended.

B. No person shall contribute a total of more than one thousand dollars ($1,000.00) to any candidate for city council, city clerk, city treasurer, and to his or her controlled committee for a single election cycle. A candidate for city council, city clerk or city treasurer, and his or her controlled committee shall not accept any contribution or contributions totaling more than one thousand dollars ($1,000.00) from any person in a single election cycle. Nothing in this section is intended to limit the amount a candidate can contribute to his or her candidacy for city council, city clerk or city treasurer from his or her own personal funds.

C. No person shall make a contribution during a single election cycle for elected city office which would cause the aggregate amount of such contributions by that person to exceed a sum equal to one thousand dollars ($1,000.00) multiplied by the number of city council positions appearing on the ballot at that election plus one thousand dollars ($1,000.00) multiplied by two (2) city-wide offices appearing on the ballot at that election (city clerk and city treasurer), provided however, that a candidate shall not be limited by this subsection in the amount he or she may contribute or expend in connection with his or her own campaign.

D. Contributions by a husband and wife shall be treated as separate contributions and shall not be aggregated. Contributions by children under eighteen (18) years of age shall be treated as contributions by their parents and attributed proportionally to each parent - one-half to each parent or the total amount to a single custodial parent.

E. Contributions made or received on the day immediately after an election to and including November 1st of the same year shall only be used for the payment of debts as set forth under Section 1.10.090 or as surplus or excess funds pursuant to Section 1.10.080 to be used only as permitted under the State Political Reform Act (Government Code sections 89511 et seq.) as it now exists or may hereafter be amended.

F. The contribution limits set forth herein shall be reviewed in July of each even-numbered year commencing July 1, 2010, and shall be adjusted consistent with the cost of living index (CPI - All Urban Consumers) Los Angeles, Long Beach, Anaheim. The adjustment shall be rounded up to the nearest ten dollars ($10.00).

(Ord. No. 5668, § 1, 8-25-2009; Ord. 5621 § 1 (part), 2008)

For purposes of the limitations in this chapter, the following shall apply:

A. All contributions made by a committee to a city candidate or to an elective city officer, or to a controlled committee shall be combined with those contributions made by the sponsor(s) of the committee and the combined amount shall not exceed the contribution limits specified in this chapter.

B. Two (2) or more entities shall be treated as one (1) person when any of the following circumstances apply:

1. The entities share the majority of members of board of directors.

2. The entities share two (2) or more officers.

3. The entities are owned or controlled by the same majority shareholder or shareholders.

4. The entities are in a parent subsidiary relationship.

C. An individual in a general or limited partnership in which the individual has a controlling interest (fifty (50) percent or more), or an individual and any corporation in which the individual owns a controlling interest (fifty (50) percent or more), shall be treated as one (1) person. (Ord. 5621 § 1 (part), 2008)

A. Except as provided in this section, a loan shall be considered a contribution from the maker and the guarantor of the loan, and shall be subject to the contribution limitations of this chapter.

B. Every loan to a candidate or the candidate’s controlled committee shall be by written agreement and such written agreement shall be filed with the candidate’s committee campaign statement on which the loan is first reported.

C. The proceeds of a loan made to a candidate by a commercial lending institution in the regular course of business on the same terms available to members of the public and which is secured or guaranteed shall be subject to a maximum limit of five thousand dollars ($5,000.00).

D. No candidate, or candidate’s spouse, shall personally make loans to his or her campaign or his or her candidate’s committee which total more than five thousand dollars ($5,000.00) in the aggregate.

E. Other than loans pursuant to subsections B through D herein, an extension of credit for a period of more than thirty (30) days is subject to the contribution limitations of this chapter.

F. Nothing in this section shall prohibit a candidate from making unlimited contributions to the candidate’s own campaign. (Ord. 5621 § 1 (part), 2008)

A contribution to a candidate or committee making expenditures to support or oppose a candidate shall not be considered received if it is not cashed, negotiated, or deposited, and in addition, it is returned to the donor before the closing date of the campaign statement on which the contribution would otherwise be reported, except that a contribution to a candidate or committee making expenditures to support or oppose a candidate made before an election at which the candidate is to be voted on, but after the closing date of the last campaign statement required to be filed before the election, shall not be considered to be deemed received if it is not cashed, negotiated or deposited and is returned to the contributor within forty-eight (48) hours of receipt. For committees not addressed by this section, the determination of when contributions are considered to be received shall be governed by the provisions of Government Code Section 81000 et seq. (Ord. 5621 § 1 (part), 2008)

A. Definitions. For purposes of this section the following words and phrases shall mean:

“Applicant seeking entitlement” means any person as defined in Section 1.10.020 who has filed an application or letter with the city of Glendale or Glendale Redevelopment Agency or is an owner or lessee of property on whose behalf an application or letter is filed, seeking approval of a permit, license, conditional use permit, variance, architectural design (at any stage), franchise, administrative exception, parking reduction, review of plans, development agreement, exclusive negotiation agreement, owner participation agreement, financial assistance for a proposed project, or any other land use entitlement.

“Application is pending” means an application or letter which is subject to review, hearing or consideration by the city council or Redevelopment Agency and the application or letter seeking a permit, license, conditional use permit, variance, architectural design (at any stage), franchise, administrative exception, parking reduction, review of plans, development agreement, exclusive negotiation agreement, owner participation agreement, financial assistance for a proposed project, or any other land use entitlement has been filed and, either will be set for review, hearing or other consideration by the city council or Redevelopment Agency as a matter of right, or has been formally appealed to the city council or Redevelopment Agency. The three (3) examples set forth below are intended to provide interpretive guidance: (1) An application for a zone change is filed. Since a zone change can only be effectuated by the city council, upon filing the application it would be pending before the city council; (2) An application for a conditional use permit is filed. Only at such time as the grant or denial of a conditional use permit is appealed to the council would it be pending before the city council; (3) An application for a variance in the Downtown Specific Plan Area is filed. Since the council has original jurisdiction, the variance application would be pending before the council when filed.

“Contract” means any agreement or contract including any amendment or modification to an agreement or contract with the city of Glendale (city) for (a) the rendition of personal services; (b) the furnishing of any material, supplies or equipment; (c) the sale or lease of any land or building; or (d) a grant, loan or loan guaranty.

“Person who contracts with” includes any party or prospective party to a contract, as well as any member of that party’s board of directors, its chairperson, chief executive officer, chief financial officer, chief operating officer, any person with an ownership interest of more than ten (10) percent in the party, and any committee, as defined by this chapter and that is sponsored or controlled by the party.

B. No person who contracts with the city of Glendale shall make a contribution to an individual holding a city elective office where the agreement or contract has a total anticipated or actual value of twenty-five thousand dollars ($25,000.00) or more, or a combination or series of such agreements or contracts having a value of twenty-five thousand dollars ($25,000.00) or more, in a fiscal year of the city. No elected member of the city council, city clerk or city treasurer shall receive a contribution from a person who contracts with the city where the agreement or contract has a total anticipated or actual value of twenty-five thousand dollars ($25,000.00) or more, or a combination or series of such agreements or contracts having a value of twenty-five thousand dollars ($25,000.00) or more, in a fiscal year of the city.

C. No applicant seeking entitlement shall make a contribution to an individual holding city council elective office while such application is pending before the city council or Redevelopment Agency and for a period of ninety (90) days after the last and final approval by the city council or Redevelopment Agency has been granted. (Ord. 5621 § 1 (part), 2008)

A. No committee or candidate shall accept or receive a nonmonetary contribution with a fair market value in excess of one thousand dollars ($1,000.00). A contribution of a nonmonetary contribution of one hundred dollars ($100.00) or more shall provide the campaign treasurer with a receipt or a voucher that itemizes and identifies the goods or services contributed and states the fair market value of such goods or services. The campaign treasurer shall maintain all receipts and vouchers for a period of four (4) years from the date of the final report. The campaign treasurer shall make available to the city attorney, the city clerk, the district attorney, the California Attorney General and the Secretary of State or their designees on demand, the details of any account requested and the records supporting it.

B. Nonmonetary contributions shall be aggregated with monetary contributions. No person shall exceed the one thousand dollar ($1,000.00) limit on contributions to a candidate for local elective office as set forth in this chapter.

C. Nothing in this section shall apply to volunteer services, including but not limited to, manning of phone banks, walking precincts, or providing other similar volunteer services. The value of a volunteer’s “time” is not to be considered a nonmonetary contribution for purposes of this chapter. The use of someone’s personal residence to host a candidate either for a fund raiser, meet the candidate or candidate’s forum, shall not be considered a nonmonetary contribution. Incidental food and beverage served at a personal residence under this subsection shall not be considered a contribution under this chapter. (Ord. 5621 § 1 (part), 2008)

Up to ten thousand dollars ($10,000.00) in campaign funds in excess of expenses incurred, including payment of debts, for the campaign received by or on behalf of an individual who seeks nomination for election, or has been elected to office, or any committee or controlled committee with funds in excess of expenses incurred for the campaign of a candidate or a group of candidates seeking nomination for election, or election to office, shall be deemed to be excess campaign funds if the candidate has been elected or surplus fund if the candidate is not elected (see, Government Code Sections 89511 et seq.) and may be retained for use consistent with the Political Reform Act of 1974 as amended. All other funds in excess of ten thousand dollars ($10,000.00) shall be distributed within one hundred eighty (180) days after withdrawal, defeat, or election to office as a member of the city council, city clerk or city treasurer, as follows: return to contributors on a prorata basis, donated to any bona fide charitable, educational, religious or similar tax exempt, nonprofit organization, where no substantial part of the proceeds will have a financial effect on the former candidate or elected officer, any members of his or her immediate family, as defined by the Political Reform Act of 1974 as amended, or his or her campaign treasurer, or turned over to the general fund of the city of Glendale. The total amount of surplus or excess funds held by an individual, committee, and controlled committee for or on behalf of a candidate cannot exceed in total the aggregate sum of ten thousand dollars ($10,000.00). (Ord. 5621 § 1 (part), 2008)

A contributor may make, and a candidate or former candidate may accept, a contribution to pay off debts incurred for an election occurring prior to the date of the contribution, provided that the aggregate of contributions made to the candidate for one (1) or more city offices does not exceed the contribution limits set forth in this chapter, and the contribution is properly reported on any required campaign statement filed under the Political Reform Act of 1974 as amended or any required city supplemental statement or form. (Ord. 5621 § 1 (part), 2008)

A. Any person who believes that a violation of this chapter has occurred may file a complaint with the city attorney. The city attorney shall investigate and shall have investigative powers as are necessary for the performance of their duties under this chapter.

B. Enforcement—Civil Actions. The city attorney, or any voter, may bring a civil action to enjoin violations of or compel compliance with the provisions of this chapter. (Ord. 5621 § 1 (part), 2008)

A. Any person who knowingly or willfully violates any provision of this chapter shall be guilty of a misdemeanor, on conviction thereof shall be punished by a fine of not more than one thousand dollars ($1,000.00) for each violation or by imprisonment of not more than six (6) months or both such fine and imprisonment.

B. Civil. Any person who intentionally or negligently violates any of the provisions of this chapter, shall be liable in a civil action brought by the city attorney acting as the civil prosecutor for an amount up to one thousand dollars ($1,000.00) for each violation or three (3) times the amount not reported or the amount received in excess of the amount allowable pursuant to this chapter, whichever is greater. (Ord. 5621 § 1 (part), 2008)

This chapter shall be construed liberally in order to effectuate its purposes. No error, irregularity, informality, neglect or omission of any officer in any procedure taken under this chapter which does not directly affect the jurisdiction of the city council to control campaign contributions shall void the effect of this chapter. (Ord. 5621 § 1 (part), 2008)

If any provision of this chapter, or the application thereof, to any person or circumstances is held invalid, the validity of the remainder of the chapter and the applicability of such provisions to other persons and circumstances shall not be affected thereby. (Ord. 5621 § 1 (part), 2008)

A. Criminal. Prosecution for violation of this chapter must be commenced within one (1) year after the date of which the violation occurred.

B. Civil. No civil action alleging a violation in connection with a campaign statement required under this chapter shall be filed more than two (2) years after an audit could begin, or more than two (2) years after the date on which the violation occurred.

C. A civil action brought to collect a fine or penalties imposed under this chapter shall be commenced within two (2) years after the date on which the monetary penalty or fine was imposed. For purposes of this section, a fine or penalty is imposed when a court has issued a final decision in an enforcement action imposing a fine or penalty for a violation of this chapter. (Ord. 5621 § 1 (part), 2008)