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G.6_Authorize Electronic or Paper Filing FPPC StatementsORDINANCE AND RESOLUTION AUTHORIZING THE ELECTRONIC OR PAPER FILING OF CAMPAIGN STATEMENTS AND STATEMENTS OF ECONOMIC INTERESTS (FORM 700) 2030 VISION STATEMENT Supports Our Core Values of Open and Inclusive Government Goal #5, Engage in Proactive Communication by Developing and Implementing a Cost Effective Proactive Communication Program BACKGROUND •Recent legislation went into effect adding GC §84615 allowing a local government agency to require by ordinance an elected officer,candidate,committee,or other person who is required to file statements,reports,or other documents under the Political Reform Act to electronically file or file online such documents. •The system must be available free of charge to filers and the public for viewing files and must include a procedure for filers to comply with the requirement that they sign statements and reports under penalty of perjury. •Additionally, FPPC supports and encourages efforts to move from a paper-based reporting system to a more transparent electronic system. Electronic filing makes it easier for officials to comply with reporting obligations and provides the public with the information in a more accessible and consistent format. As of January 1, 2021, legislation requires local government agencies to post campaign statements and reports on their agency’s website, within 72 hours of each applicable filing deadline, if they are filed in paper format. Before posting, the local filing officer shall redact the street name and building number of the persons or entity representatives listed on any statement, report, or document, or any bank account number required to be disclosed by the filer. The reports and statements must remain on the agency’s website for at least 4 years. The City Clerk’s office is the filing officer for Statement of Economic Interest and Campaign Finance Disclosure forms. Posting these documents to the City Clerk’s website, requires staff time to manually redact forms prior to posting. Advantages to Requiring Electronic Filing of Disclosure Documents: 1.The public can directly access campaign statements on the City’s website. 2.Multiple prompts can be put in place to ensure timely filing. 3.Storing previous statements for user ease. 4.Permitting single filing for multiple offices. In order to utilize an electronic filing system for Form 460s and 700s, City Council must adopt an ordinance. SECURE SYSTEM: Staff contacted NetFile and Granicus to determine which vendor would work best for the City. Both systems are approved by the Secretary of State for the filing of campaign disclosure statements pursuant to State law requirements, including: 1.The system must ensure the integrity of the data and include safeguards against efforts to tamper with, manipulate, alter, or subvert the data. 2.The system must only accept a filing in the standardized record format developed by the Secretary of State and compatible with the Secretary of State’s system for reviewing an online or electronic filing. 3.The system must be available free of charge to filers and to the public for viewing. BENEFITS FOR PUBLIC, COUNCIL AND COMMISSIONS Timely access to campaign finance data Increased transparency through searchable data base and use of open data source for higher level analytics CANDIDATE and TREASURER BENEFITS: Free campaign finance system to assist first-time treasurers and candidates System design ensures that all required data is complete, reducing the need of amendments due to errors Data entry may take place periodically or all at once, with information saved for future filings Electronic delivery provides fast and convenient filing method BENEFITS FOR THE CITY: Generates correspondence for notifying filers of filing deadlines and missing statements Automates the process for posting redacted statements online for public viewing Provides a public portal for viewing statements and reduces the number of requests for information As of April 27, 2021, FPPC has approved electronic filing systems for 54 state agencies, 46 county agencies, 185 city agencies, 64 special district agencies and 2 courts. To facilitate the full transition to electronic filing, Staff will provide detailed instruction and one-on-one training. Staff received two (2) proposals for an electronic filing system. NetFile:$3,200.00/year ongoing Granicus:$1,800.00 1st year (with yearly increases thereafter) After review of both proposals, staff determined that NetFile would provide the best economic terms and user functionality. Additionally, NetFile accounts for well over half of the electronic disclosure document filings in the State of California. RECOMMENDATION Based upon the foregoing, the proposed ordinance and resolution permits, but does not require, campaign statements be filed electronically. Anyone who wishes to paper file may continue to do so. It is therefore recommended that the City Council conduct first reading of the attached ordinance and adopt the attached resolution. QUESTIONS?