STATE OF NEW YORK
________________________________________________________________________
7669--A
2015-2016 Regular Sessions
IN ASSEMBLY
May 21, 2015
___________
Introduced by M. of A. MAGNARELLI -- (at request of the State Comp-
troller) -- read once and referred to the Committee on Local Govern-
ments -- recommitted to the Committee on Local Governments in accord-
ance with Assembly Rule 3, sec. 2 -- committee discharged, bill
amended, ordered reprinted as amended and recommitted to said commit-
tee
AN ACT to amend the general municipal law, in relation to conflicts of
interest of municipal officers and employees, codes of ethics and
boards of ethics; to amend chapter 946 of the laws of 1964 amending
the general municipal law and other laws relating to conflicts of
interest of municipal officers and employees, in relation to permit-
ting local codes of ethics to prohibit activities expressly permitted
by article 18 of the general municipal law
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 3 of section 800 of the general municipal law,
2 as amended by chapter 1043 of the laws of 1965, is amended to read as
3 follows:
4 3. "Interest" means a direct or indirect pecuniary or material benefit
5 accruing to a municipal officer or employee, or his or her spouse, as
6 the result of a contract with the municipality which such officer or
7 employee serves. For the purposes of this article a municipal officer or
8 employee shall be deemed to have an interest in the contract of (a) his
9 or her spouse, minor children and dependents, except a contract of
10 employment with the municipality which such officer or employee serves,
11 (b) a firm, partnership or association of which such officer or
12 employee, or his or her spouse, is a member or employee, (c) a corpo-
13 ration of which such officer or employee, or his or her spouse, is an
14 officer, director or employee and (d) a corporation any stock of which
15 is owned or controlled directly or indirectly by such officer or employ-
16 ee, or his or her spouse.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03014-04-5
A. 7669--A 2
1 § 2. Section 801 of the general municipal law, as amended by chapter
2 1043 of the laws of 1965, is amended to read as follows:
3 § 801. Conflicts of interest prohibited. Except as provided in section
4 eight hundred two of this [chapter] article, (1) no municipal officer or
5 employee shall have an interest in any contract with the municipality of
6 which he or she is an officer or employee, when such officer or employ-
7 ee, individually or as a member of a board, has the power or duty to (a)
8 negotiate, prepare, authorize or approve the contract or authorize or
9 approve payment thereunder, (b) audit bills or claims under the
10 contract, or (c) appoint an officer or employee who has any of the
11 powers or duties set forth above [and]; (2) no chief fiscal officer,
12 treasurer, or his or her deputy or employee, shall have an interest in a
13 bank or trust company designated as a depository, paying agent, regis-
14 tration agent or for investment of funds of the municipality of which he
15 or she is an officer or employee; and (3) no municipal officer or
16 employee whose service to a municipality includes rendition of profes-
17 sional services requiring admission to the practice of law shall (a)
18 have an interest in any contract for rendition of legal services to the
19 municipality, unless (i) the contract is awarded on the basis of a
20 competitive process undertaken in accordance with the municipality's
21 procurement policies and procedures adopted pursuant to section one
22 hundred four-b of this chapter, and (ii) the municipality has the advice
23 of independent counsel with respect to the advisability of the
24 provisions of the contract, or (b) compensate any person or organization
25 from his or her personal resources to render legal services to the muni-
26 cipality. The provisions of this section shall in no event be construed
27 to preclude the payment of lawful compensation and necessary expenses of
28 any municipal officer or employee in one or more positions of public
29 employment, the holding of which is not prohibited by law.
30 § 3. Paragraphs b and j of subdivision 1 of section 802 of the general
31 municipal law, paragraph b as amended by chapter 1043 of the laws of
32 1965 and paragraph j as added by chapter 364 of the laws of 1996, are
33 amended to read as follows:
34 b. A contract with a person, firm, corporation or association in which
35 a municipal officer or employee has an interest which is prohibited
36 solely by reason of his or her employment, or his or her spouse's
37 employment, as an officer or employee thereof, if the remuneration of
38 such employment will not be directly affected as a result of such
39 contract and the duties of such employment do not directly involve the
40 procurement, preparation or performance of any part of such contract;
41 j. Purchases or public work by a municipality, other than a county,
42 located wholly or partly within a county with a population of two
43 hundred thousand or less pursuant to a contract in which a member of the
44 governing body or board has a prohibited interest, where:
45 (1) the member of the governing body or board is elected or appointed
46 and serves with or without salary or other compensation;
47 (2) the purchases or public work, in the aggregate, are less than
48 [five] ten thousand dollars in one fiscal year and:
49 (i) the governing body or board has followed its procurement policies
50 and procedures adopted in accordance with the provisions of section one
51 hundred four-b of this chapter and the procurement process indicates
52 that the contract is with the lowest dollar offer[;], or
53 (ii) the purchases, in the aggregate, are less than ten thousand
54 dollars in one fiscal year, cannot be procured from another supplier
55 located within the municipality, and the next closest supplier is
56 located more than five miles driving distance from the municipality by
A. 7669--A 3
1 way of the most direct route using public highways, roads or streets;
2 and
3 (3) the contract for the purchases or public work is approved by
4 resolution of the body or board by the affirmative vote of each member
5 of the body or board except the interested member who shall abstain.
6 § 4. Paragraph a of subdivision 2 of section 802 of the general munic-
7 ipal law, as amended by chapter 1019 of the laws of 1970, is amended to
8 read as follows:
9 a. A contract with a corporation in which a municipal officer or
10 employee has an interest by reason of stockholdings when less than five
11 per centum of the outstanding stock of the corporation is owned or
12 controlled directly or indirectly by such officer or employee and his or
13 her spouse either jointly or severally;
14 § 5. Section 805-a of the general municipal law, as added by chapter
15 1019 of the laws of 1970 and subdivision 1 as amended by chapter 813 of
16 the laws of 1987, is amended to read as follows:
17 § 805-a. [Certain action prohibited] Additional statewide standards of
18 ethical conduct. 1. No municipal officer or employee shall: a. directly
19 or indirectly, solicit any gift, or accept or receive any gift having a
20 value of seventy-five dollars or more, whether in the form of money,
21 service, loan, travel, entertainment, hospitality, thing or promise, or
22 in any other form, under circumstances in which it could reasonably be
23 inferred that the gift was intended to influence him, or could reason-
24 ably be expected to influence him, in the performance of his official
25 duties or was intended as a reward for any official action on his part;
26 b. disclose confidential information acquired by him in the course of
27 his official duties or use such information to further his personal
28 interests;
29 c. receive, or enter into any agreement, express or implied, for
30 compensation for services to be rendered in relation to any matter
31 before any municipal agency of which he is an officer, member or employ-
32 ee or of any municipal agency over which he has jurisdiction or to which
33 he has the power to appoint any member, officer or employee; or
34 d. receive, or enter into any agreement, express or implied, for
35 compensation for services to be rendered in relation to any matter
36 before any agency of his municipality, whereby his compensation is to be
37 dependent or contingent upon any action by such agency with respect to
38 such matter, provided that this paragraph shall not prohibit the fixing
39 at any time of fees based upon the reasonable value of the services
40 rendered.
41 2. a. Except as provided in paragraph b of this subdivision, no munic-
42 ipal officer or employee shall participate in any official decision or
43 take any official action with respect to any matter requiring the exer-
44 cise of discretion, including participating in official discussions and
45 voting on the matter, when he or she knows or has reason to believe that
46 action or inaction on the matter could confer a direct or indirect
47 financial or material benefit on himself or herself, a relative, or any
48 private organization in which the municipal officer or employee is
49 deemed to have an interest.
50 b. This subdivision shall not be construed as prohibiting:
51 i. performance of a ministerial act, which for the purposes of this
52 section shall mean an administrative act carried out in a prescribed
53 manner not allowing for substantial personal discretion;
54 ii. participation in any official decision or official action taken by
55 a board or similar body when paragraph a of this subdivision would
56 prohibit one or more members of the board or body from participating and
A. 7669--A 4
1 the remaining members of the board or body are insufficient in number or
2 lack sufficient voting strength to make such decision or take such
3 action; or
4 iii. participation in any official decision or official action taken
5 by a municipal officer or employee, individually, when the matter cannot
6 be lawfully delegated or assigned to another person.
7 c. Whenever paragraph a of this subdivision prohibits a municipal
8 officer or employee from participating in an official decision or taking
9 official action, such municipal officer or employee shall disclose
10 publicly the facts and circumstances requiring recusal. Whenever the
11 prohibition in paragraph a of this subdivision does not apply because of
12 the applicability of subparagraph ii or subparagraph iii of paragraph b
13 of this subdivision, the municipal officer or employee shall disclose
14 publicly the facts and circumstances that would otherwise require recu-
15 sal under paragraph a of this subdivision.
16 d. For purposes of this subdivision, the term "relative" shall mean a
17 spouse, parent, step-parent, sibling, step-sibling, sibling's spouse,
18 child, step-child, uncle, aunt, nephew, niece, first cousin, or house-
19 hold member of a municipal officer or employee, and individuals having
20 any of these relationships to the spouse of the officer or employee.
21 e. Compliance with this subdivision shall not constitute an exception
22 to section eight hundred one of this article, nor be construed as curing
23 a violation of that section.
24 3. a. Except as provided in paragraph b of this subdivision, no munic-
25 ipal officer or employee shall use or permit the use of municipal prop-
26 erty or resources for personal or private purposes.
27 b. This subdivision shall not be construed as prohibiting:
28 i. any use of municipal property or resources authorized by law or
29 municipal policy consistent with law;
30 ii. the use of municipal property or resources for personal or private
31 purposes when provided to a municipal officer or employee as part of his
32 or her compensation; or
33 iii. the occasional, minimal, non-business and non-partisan use of
34 municipal office equipment and supplies, such as telephones, computers,
35 copiers, paper and pens, for personal matters at no or nominal cost to
36 the municipality.
37 c. For purposes of this subdivision, "property or resources" shall
38 include, but not be limited to, money, facilities, furnishings, machin-
39 ery, apparatus, equipment, supplies and letterhead.
40 4. In addition to any penalty contained in any other provision of law,
41 any person who shall knowingly and intentionally violate this section
42 may be fined, suspended or removed from office or employment in the
43 manner provided by law.
44 § 6. The section heading of section 806 of the general municipal law,
45 as amended by chapter 1019 of the laws of 1970, is amended to read as
46 follows:
47 [Code] Municipal codes of ethics.
48 § 7. Paragraph (a) of subdivision 1 of section 806 of the general
49 municipal law, as amended by chapter 238 of the laws of 2006, is amended
50 to read as follows:
51 (a) The governing body of each county, city, town, village, school
52 district [and], fire district and improvement district governed by arti-
53 cle thirteen of the town law shall, and the governing body of any other
54 municipality may, by local law, ordinance or resolution, adopt a code of
55 ethics setting forth for the guidance of its officers and employees the
56 standards of conduct reasonably expected of them. Notwithstanding any
A. 7669--A 5
1 other provision of this article to the contrary, a fire district code of
2 ethics shall also apply to the volunteer members of the fire district
3 fire department. Codes of ethics shall provide standards for officers
4 and employees with respect to disclosure of interest in legislation
5 before the local governing body, holding of investments in conflict with
6 official duties, private employment in conflict with official duties,
7 future employment, nepotism, and such other standards relating to the
8 conduct of officers and employees as may be deemed advisable. Such codes
9 may: (i) regulate or prescribe conduct which is not expressly prohibited
10 by this article but may not authorize conduct otherwise prohibited[.
11 Such codes may provide for the prohibition of]; (ii) prohibit contracts
12 or conduct [or] that is either expressly or by implication permitted by
13 section eight hundred two or section eight hundred five-a of this arti-
14 cle; and (iii) provide for the disclosure of information and the classi-
15 fication of employees or officers. The governing body of each munici-
16 pality that adopts a code of ethics shall biennially review and, when
17 deemed necessary, update its code of ethics.
18 § 8. Subdivision 2 of section 806 of the general municipal law, as
19 amended by chapter 238 of the laws of 2006, is amended to read as
20 follows:
21 2. [The] Upon the adoption or amendment of a code of ethics by a muni-
22 cipality, the chief executive officer of [a] the municipality [adopting
23 a code of ethics] shall cause a copy [thereof] of such code or amendment
24 to be distributed promptly to every officer and employee of his or her
25 municipality and to the board of ethics for the municipality. In addi-
26 tion, such chief executive officer shall cause a complete and current
27 copy of the municipality's code of ethics to be posted on the munici-
28 pality's web site, if the municipality maintains a web site, and
29 distributed (a) to every person who is elected or appointed to serve as
30 an officer or employee of the municipality promptly following such
31 person's election or appointment, and (b) to all the officers and
32 employees of the municipality at least once every five years. Every
33 municipal officer and employee receiving a copy of a code of ethics or
34 amendment thereto shall acknowledge promptly in writing that he or she
35 has received and read the code of ethics or amendment and such acknowl-
36 edgement shall be filed with the clerk or secretary of the municipality.
37 The board of fire [district] commissioners of a fire district shall also
38 cause a copy of the fire district's code of ethics, including any amend-
39 ments thereto, to be posted publicly and conspicuously in each building
40 under such district's control. Failure to distribute any such copy or
41 failure of any officer or employee to receive such copy shall have no
42 effect on the duty of compliance with such code, nor the enforcement of
43 provisions thereof.
44 § 9. Section 806 of the general municipal law is amended by adding a
45 new subdivision 3 to read as follows:
46 3. The clerk of each municipality and of each political subdivision,
47 as defined in section eight hundred ten of this article, shall maintain
48 as a record subject to public inspection:
49 (a) a copy of the municipality's or political subdivision's code of
50 ethics or any amendments to any code of ethics;
51 (b) a statement that such municipality or political subdivision has
52 established a board of ethics, in accordance with section eight hundred
53 eight of this article and/or pursuant to other law, charter, code, local
54 law, ordinance or resolution, and the composition of such board; and
55 (c) a copy of the form of annual statement of financial disclosure
56 described in subdivision one of section eight hundred eleven of this
A. 7669--A 6
1 article and either a statement of the date such annual statement form
2 was promulgated by local law, ordinance or resolution of the governing
3 body, if adopted pursuant to subparagraph (i) of paragraph (a) of subdi-
4 vision one of section eight hundred eleven of this article, or a state-
5 ment that the governing body has, by local law, ordinance or resolution,
6 resolved to continue the use of an authorized form of annual statement
7 of financial disclosure in use on the date such local law, ordinance or
8 resolution is adopted, if adopted pursuant to subparagraph (ii) of para-
9 graph (a) of subdivision one of section eight hundred eleven of this
10 article, and if as of January first, nineteen hundred ninety-one, no
11 such form was promulgated and no such resolve was made to continue using
12 an existing annual statement form, a statement that the provisions of
13 section eight hundred twelve of this article apply or that it is a muni-
14 cipality which is not subject to the provisions of section eight hundred
15 twelve of this article because it is not a political subdivision as
16 defined in section eight hundred ten of this article.
17 § 10. Intentionally omitted.
18 § 11. Section 808 of the general municipal law, as amended by chapter
19 1019 of the laws of 1970 and subdivision 5 as amended by chapter 490 of
20 the laws of 2014, is amended to read as follows:
21 § 808. Boards of ethics. 1. [The governing body of any county may
22 establish a county board of ethics and appropriate moneys for mainte-
23 nance and personal services in connection therewith. The members of such
24 board of ethics shall be appointed by such governing body except in the
25 case of a county operating under an optional or alternative form of
26 county government or county charter, in which case the members shall be
27 appointed by the county executive or county manager, as the case may be,
28 subject to confirmation by such governing body. Such board of ethics
29 shall consist of at least three members, a majority of whom shall not be
30 officers or employees of such county or municipalities wholly or
31 partially located in such county and at least one of whom shall be an
32 elected or appointed officer or employee of the county or a municipality
33 located within such county. The members of such board shall receive no
34 salary or compensation for their services as members of such board and
35 shall serve at the pleasure of the appointing authority] (a) The govern-
36 ing body of (i) every county, (ii) every city, town and village having a
37 population of fifty thousand or more, and (iii) every board of cooper-
38 ative educational services (BOCES) shall establish a board of ethics.
39 Thereafter, the governing body shall appropriate annually such moneys as
40 may be necessary for the board's contractual and personal service
41 expenditures. Except as provided in paragraph (d) of this subdivision,
42 such board shall have jurisdiction to act only in relation to the offi-
43 cers and employees of the county, city, town, village or BOCES that
44 established the board.
45 (b) The governing body of every municipality not described in para-
46 graph (a) of this subdivision is authorized, but not required, to estab-
47 lish a board of ethics. If such governing body establishes a board of
48 ethics, the governing body shall appropriate annually such moneys as may
49 be necessary for the board's contractual and personal service expendi-
50 tures. Such board shall have jurisdiction to act only in relation to
51 the officers and employees of the municipality that established the
52 board.
53 (c) Two or more municipalities not described in paragraph (a) of this
54 subdivision may enter into, amend, cancel, and terminate agreements for
55 the establishment of a cooperative board of ethics. Such agreements
56 shall be consistent with the requirements of article five-G of this
A. 7669--A 7
1 chapter, except as otherwise provided in this section, including that
2 (i) the power to enter into such agreements shall extend to all munici-
3 palities as defined in this article, and shall not be limited to munici-
4 pal corporations and districts as defined in article five-G of this
5 chapter, and (ii) the duration of such agreements shall not be limited
6 to a maximum term of five years. Following the establishment of a coop-
7 erative board of ethics, the governing bodies of the municipalities that
8 are parties to the agreement establishing the board shall appropriate
9 annually such moneys as may be necessary for the board's contractual and
10 personal service expenditures, in such amounts or proportion as may be
11 provided in the agreement. A cooperative board of ethics shall be the
12 board of ethics of each municipality that is a party to the agreement
13 establishing the board, and shall have jurisdiction to act only in
14 relation to the officers or employees of such municipalities.
15 (d) In the event that a municipality described in paragraph (b) of
16 this subdivision does not establish a board of ethics and is not a party
17 to an agreement establishing a cooperative board of ethics:
18 (i) in the case of a municipality other than a school district, the
19 board of ethics of the county in which the municipality is located shall
20 serve as the board of ethics of such municipality and have jurisdiction
21 to act in relation to the officers and employees of that municipality,
22 provided that if such a municipality is located in more than one county,
23 the governing board of the municipality by resolution shall designate
24 the board of ethics of one of the counties to serve as the board of
25 ethics of the municipality;
26 (ii) in the case of a school district, other than the city school
27 district of a city having a population of one hundred twenty-five thou-
28 sand or more, the board of ethics established by the BOCES of the super-
29 visory district in which the school district is located shall serve as
30 the board of ethics of such school district and have jurisdiction to act
31 in relation to the officers and employees of such school district; and
32 (iii) in the case of a city school district of a city having a popu-
33 lation of one hundred twenty-five thousand or more, the board of ethics
34 established by the city in which the school district is located shall
35 serve as the board of ethics of such school district and have jurisdic-
36 tion to act in relation to the officers and employees of such school
37 district.
38 (e) In the case of a municipality that has not established a board of
39 ethics and is not a party to an agreement establishing a cooperative
40 board of ethics:
41 (i) The chief executive officer of the municipality, annually, within
42 thirty days following the start of the municipality's fiscal year, shall
43 notify the appropriate county, BOCES or city board of ethics that such
44 board shall serve as the board of ethics for the municipality. Such
45 notice shall be accompanied by a complete and current copy of the
46 municipality's code of ethics. If officers and employees of the munici-
47 pality are subject to annual financial disclosure requirements imposed
48 in accordance with this article, such notice shall also be accompanied
49 by a complete and current copy of all local laws, ordinances, resol-
50 utions and regulations adopted by the municipality relating to the impo-
51 sition, administration and enforcement of the filing requirement. At the
52 time such notice is given, the chief executive officer shall also cause
53 a copy of the notice to be posted on the municipality's web site, if the
54 municipality maintains a web site, and in each public building under the
55 jurisdiction of the municipality in a place conspicuous to its officers
56 and employees.
A. 7669--A 8
1 (ii) The governing body of the municipality, annually, within thirty
2 days following the start of the municipality's fiscal year, shall
3 appoint a municipal representative to the appropriate county, BOCES or
4 city board of ethics. The person appointed as municipal representative
5 shall be a resident of the municipality, and shall be knowledgeable with
6 respect to the municipality's code of ethics and the municipality's
7 annual financial disclosure requirements, if any. The municipal repre-
8 sentative shall receive notice of, and be entitled to participate, as a
9 non-voting member, in all meetings, proceedings, deliberations and other
10 activities of the board that pertain to an officer or employee of the
11 municipality. A municipal representative shall receive no salary or
12 compensation for his or her services, but within amounts appropriated
13 shall be reimbursed for actual and necessary expenses incurred in the
14 performance of his or her official duties.
15 (f) In the event that a board of ethics established by a county, BOCES
16 or city serves as the board of ethics for another municipality, and such
17 municipality shall either establish a board of ethics or become a party
18 to an agreement establishing a cooperative board of ethics, the chief
19 executive officer of the municipality shall notify the county, BOCES or
20 city board of ethics of the date as of which such board shall no longer
21 serve as the board of ethics of the municipality. Such notice shall
22 either state that the municipality has established its own board of
23 ethics or identify such cooperative board of ethics. At the time such
24 notice is given, the chief executive officer shall also cause a copy of
25 the notice to be posted on the municipality's web site, if the munici-
26 pality maintains a web site, and in each public building under the
27 jurisdiction of the municipality in a place conspicuous to its officers
28 and employees. Promptly after the date specified in such notice, the
29 county, BOCES or city board of ethics shall transfer to the municipal or
30 cooperative board of ethics all pending matters and records relating to
31 the officers and employees of the municipality; provided, however, that
32 such county, BOCES, or city board of ethics shall have the discretion to
33 retain any pending matter and records relating thereto until such time
34 as the matter is resolved.
35 (g) Every board of ethics shall consist of at least three members, a
36 majority of whom shall not be municipal officers or employees. The
37 members of every board of ethics shall serve for a fixed term of office,
38 not to exceed five years. The length of such term of office shall be
39 determined by the municipal governing body that establishes the board of
40 ethics or specified in the agreement establishing a cooperative board of
41 ethics, provided that such governing body or agreement may provide for
42 the initial appointments to the board to be made for staggered terms.
43 Appointments to the board shall be made as follows:
44 (i) The members of a county board of ethics shall be appointed by the
45 governing body of the county except in the case of a county operating
46 under an optional or alternative form of county government or county
47 charter, in which case the members shall be appointed by the county
48 executive, county manager or county administrator, as the case may be,
49 subject to confirmation by such governing body.
50 (ii) The members of a board of ethics established by a municipality
51 other than a county shall be appointed by the governing body of the
52 municipality or by such person or body as may be designated by the
53 governing body of the municipality.
54 (iii) The members of a cooperative board of ethics shall be appointed
55 in the manner provided in the agreement establishing the board.
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1 (h) The members of every board of ethics shall receive no salary or
2 compensation for their services as members of such board, but within
3 amounts appropriated shall be reimbursed for actual and necessary
4 expenses incurred in the performance of their official duties, provided,
5 that the provisions of section seventy-seven-b of this chapter shall
6 apply to the members of a board of ethics.
7 2. [The] Every board of ethics shall render advisory opinions to the
8 officers and employees [of municipalities wholly or partly within the
9 county] under the board's jurisdiction with respect to this article and
10 any code of ethics adopted pursuant hereto. Such advisory opinions shall
11 be rendered pursuant to the written request of any such officer or
12 employee under such rules and regulations as the board may prescribe
13 [and shall have the advice of counsel employed by the board, or if none,
14 the county attorney]. In addition, [it] the board may make recommenda-
15 tions with respect to the drafting and adoption of a code of ethics or
16 amendments thereto upon the request of the governing body of any munici-
17 pality [in the county] for which the board serves as the municipality's
18 board of ethics, and perform such other functions relating to the admin-
19 istration of this article as may be authorized by the governing body or
20 agreement establishing the board including, but not limited to, provid-
21 ing ethics training to the officers and employees under the board's
22 jurisdiction.
23 2-a. (a) Notwithstanding any general, special or local law, ordinance
24 or resolution to the contrary, every board of ethics shall have the
25 power to investigate potential violations of this article and a code of
26 ethics adopted pursuant to this article involving the municipal officers
27 and employees under the board's jurisdiction; provided, however, that
28 this subdivision shall not apply to a judge or justice of the unified
29 court system. The board may initiate such an investigation either upon
30 its own motion or upon receipt of a sworn complaint alleging such a
31 violation.
32 (b) At any time after receiving a sworn complaint or initiating an
33 investigation, the board may make a final determination that there has
34 been no violation of this article or a code of ethics. In such case, the
35 board shall provide written notification of such determination to the
36 municipal officer or employee who was the subject of the investigation
37 and the complainant, if any.
38 (c) After initiating an investigation, but before making a preliminary
39 determination that there has been a violation of this article or a code
40 of ethics, the board shall provide to the municipal officer or employee
41 who is the subject of the investigation written notice describing the
42 potential violation, and provide the person with at least a fifteen day
43 period to submit a written response setting forth information relating
44 to the activities cited as the potential violation.
45 (d) After the expiration of the period of time for submission of a
46 written response pursuant to paragraph (c) of this subdivision, the
47 board may make a preliminary determination that there has been a
48 violation of this article or a violation of a code of ethics. In such
49 case, the board shall provide written notification of the preliminary
50 determination to the municipal officer or employee who is the subject of
51 the investigation and provide that person with an additional opportunity
52 to be heard. Thereafter, if the board makes a final determination that
53 there has been a violation, the board shall provide written notification
54 of such final determination to the municipal officer or employee who was
55 the subject of the investigation, the complainant, if any, and the
56 appointing authority for such person or, if the person serves in an
A. 7669--A 10
1 elective office, the governing body of the municipality for which such
2 person serves.
3 (e) In cases where the board finds that a municipal officer or employ-
4 ee has willfully and knowingly violated this article or a code of
5 ethics, the board may: (i) issue a reprimand; (ii) assess a civil penal-
6 ty on behalf of the municipality in an amount not to exceed one thousand
7 dollars for each such specific violation; (iii) recommend to the
8 appointing authority for such person, if any, suspension with or without
9 pay, demotion, termination or such other disciplinary action as the
10 board deems appropriate; and (iv) in the case of a violation potentially
11 encompassed within section eight hundred five of this article, refer the
12 matter to the appropriate law enforcement agency. Assessment of a civil
13 penalty shall be final unless modified, suspended or vacated within
14 thirty days of imposition, and upon becoming final shall be subject to
15 review at the instance of such person in a proceeding against the board
16 brought pursuant to article seventy-eight of the civil practice law and
17 rules.
18 (f) Every board of ethics shall adopt rules to ensure procedural due
19 process in the conduct of adjudicatory proceedings held pursuant to this
20 subdivision. The board shall cause a copy of such rules to be provided
21 to any person who is the subject of an adjudicatory proceeding, and such
22 rules shall be available to the public for inspection and copying.
23 2-b. Notwithstanding any provision in article six or seven of the
24 public officers law to the contrary:
25 (a) all documents and records of a board of ethics relating to an
26 investigation or an adjudicatory proceeding conducted pursuant to subdi-
27 vision two-a of this section shall be confidential and shall not be
28 available to the public, except that final determinations of the board
29 with respect to whether there has been a violation of this article or a
30 code of ethics shall be available for public inspection and copying;
31 (b) advisory opinions rendered by a board of ethics shall be available
32 for public inspection and copying, provided that information identifying
33 the municipal officer or employee requesting the opinion shall be
34 redacted from the copy made available to the public; and
35 (c) no meeting of a board of ethics or portion thereof relating to the
36 conduct of an individual municipal officer or employee and no adjudica-
37 tory proceeding conducted pursuant to subdivision two-a of this section
38 shall be open to the public, unless the affected municipal officer or
39 employee requests and the board agrees to permit public attendance at
40 the meeting or proceeding.
41 3. [The governing body of any municipality other than a county may
42 establish a local board of ethics and, where such governing body is so
43 authorized, appropriate moneys for maintenance and personal services in
44 connection therewith. A local board shall have all the powers and duties
45 of and shall be governed by the same conditions as a county board of
46 ethics, except that it shall act only with respect to officers and
47 employees of the municipality that has established such board or of its
48 agencies. The members of a local board shall be appointed by such person
49 or body as may be designated by the governing body of the municipality
50 to serve at the pleasure of the appointing authority and such board
51 shall consist of at least three members, a majority of whom are not
52 otherwise officers or employees of such municipality. Such board shall
53 include at least one member who is an elected or appointed municipal
54 officer or employee.
55 4. The county board of ethics shall not act with respect to the offi-
56 cers and employees of any municipality located within such county or
A. 7669--A 11
1 agency thereof, where such municipality has established its own board of
2 ethics, except that the local board may at its option refer matters to
3 the county board.
4 5.] A board of ethics shall have the advice of counsel employed by the
5 board or, if none, the attorney for the municipality that established
6 the board or, in the case of a cooperative board of ethics, such munici-
7 pal attorney as may be designated in the agreement establishing the
8 cooperative board of ethics.
9 4. The board of ethics of a political subdivision (as defined in
10 section eight hundred ten of this article) and the board of ethics of
11 any other municipality[,] which [is required by local law, ordinance or
12 resolution to be, or which pursuant to legal authority, in practice is,
13 the repository for completed annual statements of financial disclosure
14 shall file a statement with the clerk of its municipality, that it is
15 the authorized repository for completed annual statements of financial
16 disclosure] requires filing of annual statements of financial disclosure
17 pursuant to this article, shall receive, review for completeness, and
18 serve as repository for such annual statements and enforce such filing
19 requirement.
20 5. Each member of every board of ethics shall attend and successfully
21 complete a training course approved by the state comptroller within two
22 hundred seventy days of his or her appointment or reappointment to the
23 board; provided, however, that nothing in this subdivision shall be
24 deemed to require a member of a board of ethics to successfully complete
25 such training course more than once. The course shall contain training
26 related to the provisions of this article, codes of ethics, annual
27 financial disclosure and decisional law relating to conflicts of inter-
28 est and ethics and such other topics as the comptroller deems advisable.
29 When approved in advance of attendance by the governing body of the
30 municipality establishing the board or in the manner provided in an
31 agreement establishing a cooperative board of ethics, the actual and
32 necessary expenses incurred by a board member in successfully completing
33 the training required by this section shall be a charge against the
34 municipality or the municipalities participating in the cooperative
35 board of ethics as provided in such agreement.
36 6. The provisions of this section shall not apply to a city having a
37 population of one million or more or to a county, school district, or
38 other public agency or facility therein.
39 § 12. Subdivision 9 of section 810 of the general municipal law, as
40 amended by chapter 490 of the laws of 2014, is amended to read as
41 follows:
42 9. The term "appropriate body" or "appropriate bodies" shall mean the
43 board of ethics [for the] of any political subdivision or municipality.
44 § 13. Section 13 of chapter 946 of the laws of 1964 amending the
45 general municipal law and other laws relating to conflicts of interest
46 of municipal officers and employees, is amended to read as follows:
47 § 13. Laws superseded. The provisions of article [eighteen] 18 of the
48 general municipal law, as added by this act, shall supersede any local
49 law, charter, ordinance, resolution, rule or regulation of any munici-
50 pality to the extent that such local law, charter, ordinance, resol-
51 ution, rule or regulation is inconsistent with the provisions thereof.
52 No local law, ordinance, resolution, rule or regulation shall modify or
53 dispense with any provision of article [eighteen] 18 of the general
54 municipal law, as added by this act; provided, however, that nothing
55 [herein] contained in this section shall prohibit a code of ethics
56 adopted pursuant thereto from supplementing the provisions of this act
A. 7669--A 12
1 or from being more stringent than article 18 of the general municipal
2 law.
3 § 14. Notwithstanding any general, special or local law to the contra-
4 ry, the governing body of any municipality which has prior to the effec-
5 tive date of this act: (a) established a board of ethics pursuant to
6 section 808 of the general municipal law; and (b) not established a term
7 of office for the members of such board, such governing body shall
8 establish terms of office for the members of such board pursuant to
9 paragraph (g) of subdivision 1 of section 808 of the general municipal
10 law as added by section eleven of this act to begin on a date no later
11 than the first day of the municipality's fiscal year commencing in 2017
12 and on such date the positions on such board of ethics shall be deemed
13 vacant, provided that nothing in this section shall be construed to
14 prohibit the reappointment of an incumbent board member for such term of
15 office.
16 § 15. Notwithstanding any general, special or local law to the contra-
17 ry, any person serving as a member of a board of ethics established
18 pursuant to section 808 of the general municipal law on the effective
19 date of this act shall successfully complete the training course
20 required by subdivision 5 of section 808 of such law as added by section
21 eleven of this act within one year of the effective date of this act.
22 § 16. This act shall take effect on the first of January next succeed-
23 ing the date on which it shall have become a law; provided, however,
24 that paragraph (d) of subdivision 1 of section 808 of the general munic-
25 ipal law, as added by section eleven of this act, shall take effect
26 January 1, 2018.
