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19801007 1980-16ORDINANCE NO. 1980--16 AN ORDINANCE REGULATING THE ACTIVITY OF LOBBYISTS AND PERSONS HAVING AN INTEREST IN A CABLE TELEVISION FRANCHISE WITHIN THE CITY OF FAIRFAX. WHEREAS, Council Members are being or may be approached by individuals, associations, groups, corporations or other entities who have an interest in a cable television franchise within the City of Fairfax; and WHEREAS, lobbying for cable television has been or may be measurably more intense than the usual, customary lobbying on other topics before Council; and WHEREAS, the public good will be advanced if the affiliation and activity of these private interests are public knowledge; now, therefore, BE IT ORDAINED by the Council of the City of Fairfax, Virginia, that Article I of a new Chapter 5A entitled "Cable Television" of the Code of the City of Fairfax be and the same is hereby enacted to read in its entirety as follows: "CHAPTER 5A CABLE TELEVISION ARTICLE I - LOBBYING Sec. 5A-1 Definitions Sec. 5A-2 Offenses Sec. 5A-3 Registration Sec. 5A-4 Statements of Expenditures Sec. 5A-5 Campaign Contributions Sec. 5A-6 Communications with City Council and City Staff Sec. 5A-7 Ownership Sec. 5A-8 Duties of Clerk Sec. 5A-9 Powers of City Manager Sec. 5A-10 Penalties Sec. 5A-11 Severability Sec. 5A-1. Definitions. For purposes of this chapter, the words and phrases defined in the sections hereunder shall have the meanings therein respectively ascribed to them except where a different meaning is clearly indicated by the context. "Compensation" means a salary, gift, payment, benefit, subscription, loan, advance, reimbursement, or deposit of money or anything of value; or a contract, promise, or agreement, whethe or not legally enforceable, to make compensation. i980-16 -2- "Engage" means any arrangement whereby a person is employed or retained for compensation to act in some part to in- fluence cable television franchise legislation. "Expenditure" means payment, distribution, loan, advance deposit, reimbursement, or gift of money, real estate, or anything of value; or a contract, promise, or agreement, whether or not legally enforceable, to make an expenditure. "Influence legislation" means to promote, advocate, or oppose the passage, defeat, or executive approval or veto of cable television franchise legislation by direct communication with any member of Council, the City Manager, or a member of the managerial staff of the City. "Legislation" means ordinances, resolutions, amendments, nominations, and other matters pending before Council, including executive approval or veto of any matter acted upon by the Council pertaining to a cable television franchise. "Person" or "Applicant" means any individual, partnershi , trust, estate, business trust, association, corporation, or entity being a bidder or prospective bidder for a cable television franchise or having a financial relationship therein, through employment, stock interest or otherwise. Sec. 5A-2. Offenses. (a) No person engaged to influence cable television franchise legislation shall fail to register as required under Sec. 5A-3 of this chapter. (b) No person engaged to influence cable television franchise legislation shall fail to keep a receipt or maintain a record as required by Sec. 5A-4 of this chapter. (c) No person engaged to influence cable television franchise legislation shall fail to file a statement as required by Sec. 5A-3 of this chapter. Sec. 5A-3. Registration. (a) Any person seeking to influence cable television franchise legislation, directly or through another, shall file 1980-16 -3- with the clerk a registration statement showing all of the following: (1) The person's name, business address, and occupation (2) The name and business address of the person(s) who is (are) compensating such person to influence the legislation, or a description of the financial relationship involved; (3) A brief description of the legislation such person is being compensated to influence. (b) Upon a change in any information required by this section, the registration statement filed pursuant to this section shall be amended, within 30 days, to reflect such change. (c) No registration statement shall be valid beyond the 31st day of December of each even-numbered year. (d) No registration fee shall be charged. Sec. 5A-4. Statement of Expenditures. (a) Each person who is compensated to influence cable television franchise legislation shall file in the office of the ~lerk a statement of expenditures. The statement shall show the ~otal amount of expenditures made by the person filing the statemer to influence such legislation and the specific purpose of the expenditure. The person shall also state the name of the public body, public officer or employee to whom or on whose behalf the expenditure was made, the total amount of the expenditure, and the exact legislation sought to be influenced, by ordinance or resolution number. The statements shall be filed on or before the fifth day of each month. Each statement shall cover expendi- tures made during the preceding month. In cases in which it is impractical or impossible to determine exact dollar amounts or values of expenditures, g of good faith estimates, based upon reasonable accounting )rocedures, shall constitute compliance with this section. (b) All persons who are compensated to influence cable ~elevision franchise legislation shall retain receipts or maintain )rds for all expenditures that are required to be reported pur- nt to this section. These receipts or records shall be · ' i980-16 -4- maintained for a period ending on the 31st day of December of the second calendar year after the year in which the expenditure was made. Sec. 5A-5. Campaign Contributions. All persons who are compensated to influence cable television legislation shall report any campaign contributions which have been made to members of the City Council. Such report shall be filed when a franchise proposal is submitted and within sixty (60) days after the contribution is made during the term of any franchise. The report of campaign contributions will be filed with the expenditure statements in Sec. 5A-4. Sec. 5A-6. Communications with City Council and City Staff. Communication with the City Council by applicants, their agents and their representatives concerning cable television matters as covered by this Chapter shall be limited to public sessions. Such communication with individual City Council members officers and employees of the City by applicants, their agents and their representatives is prohibited, except that requests for information or for meetings to exchange necessary informa- tion may be addressed to the City Manager or his designee. City Council members, the City Manager and other City officials are required to disclose any discussions held, information provided or meetings attended other than Council's public sessions with applicants, their agents and their representatives. The aforesaid disclosure shall be made by filing a statement with the City Clerk summarizing the discussions within one week of the contact. The statement shall contain the name or names of the persons contacting the official; the method of communication, with a copy of it attached, if written; and the dat. place and subject matter of the communication. The Clerk shall keep these statements in accordance with Sec. 5A-8. Communication is prohibited by applicants, their agents and their representatives with the City's cable television consultant. Sec. 5A-7. Ownership. The ownership structure of the applicant is a matter to be determined by the applicant, but the City discourages the 1980-16 -~- solicitation and/or use of local citizens or affiliations for the purpose of influencing the award of a franchise. If local participation is a component of the ownership structure of the applicant, then the City desires that such local interests have a bona fide investment in that company. Local ownership is not a requirement for receiving the award of the franchise. If an applicant includes participation of citizens of the City of Fairfax in its ownership structure, the City encourages innovative methods of structuring to maximize that participa- tion. In reviewing ownership interests, the City will look with disfavor on proposals containing the following elements: (a) Proposals in which any investor's percentage of stock is greater than the percentage of total funds or services actually invested. Services contributed in lieu of monetary investment may include personal services, materials, equipment or facilities, but such must be quantifiable. (b) Proposals where investors have received loans or assurances of loans in the future from the cable company with which to purchase stock. (c) Proposals where a cable company guarantees the investors little or no financial risk. Sec. 5A-8. Duties of Clerk. The Clerk shall keep on file the statements required by Sections 5A-3 and 5A-4 of this chapter. Such state- ments are public records and open to public inspection. The Clerk shall provide copies of the statements to the general public upon request and may charge a reasonable fee not to exceed the cost of copying and delivering the statement. Sec. 5A-9. Powers Of the Cit~y Manager. The City Manager or his designee may investigate compliance with this chapter and, in the event of an apparent violation, shall institute such proceedings as are appropriate. Sec. 5A-10. Penalties. A violation of any provision of this chapter is a Class 3 misdemeanor. 1980-16 -6- The City Council in its discretion may eliminate from consideration any applicant for the award of a cable television franchise within the City because of a violation or violations of the provisions of this chapter by any of its members, agents or representatives. Sec. 5A-11. Severabilit.y. If any section, subsection, paragraph, sentence, clause, or phrase of this chapter should be declared invalid for any reason whatsoever, such decision shall not affect the remaining portion of this chapter, which shall remain in full force and effect; and to this end the provisions of this chapter are hereby declared to be severable." This ordinance shall become effective immediately upon its adoption by the City Council of the City of Fairfax, Virginia. Introduced: September 23, 1980 Adopted: October 7, 1980 ATTEST: Mayor