Loading...
HomeMy WebLinkAboutagenda.council.worksession.20220711.updated1 AGENDA CITY COUNCIL WORK SESSION July 11, 2022 4:00 PM, City Council Chambers 427 Rio Grande Place, Aspen ZOOM MEETING INSTRUCTIONS Join from a PC, Mac, iPad, iPhone or Android device: Please click this URL to join. https://zoom.us/j/99294208261?pwd=eTdaWmhsTVJMVnp1VVJFbnpyMWQrdz09 Passcode: 81611 Or join by phone: Dial: US: 1 346 248 7799 Webinar ID: 992 9420 8261 Passcode: 81611 International numbers available: https://zoom.us/u/a5eXXzYkL I.WORK SESSION I.A.CIRSA Elected Officials Liability Training 1 MEMORANDUM TO:Mayor Torre and City Council FROM:Sara Ott, City Manager MEMO DATE:July 6, 2022 MEETING DATE:July 11, 2022 RE:Elected Officials Liability Training REQUEST OF COUNCIL: Annually the City participates in a risk management assessment process with the City’s insurance carrier. It has been several years since the City Council participated in elected official liability training. Sam Light, general counsel for the Colorado Intergovernmental Risk Sharing Agency (“CIRSA”) will be present to present the training during the work session. Mr. Light is completing his slide deck this week and it will be forwarded separately via email. 2 Elected Officials Presentation Presented by Sam Light, CIRSA General Counsel 6.11.22 3 2 Introduction Presentation Overview •Suggestions that will enhance your effectiveness and success and as a City official –which in turn will reduce risk for the City and you individually. Topics we will touch on include: •The role of public official •Transparency rules •Organizational structure & liability •Due process requirements •Ethical obligations •Presentation is a training resource only; is not intended to address or provide legal advice on any specific, pending issues. 4 3 One: Commit to the Role of Public Official •Being a public official means your role has changed: •Citizen → government official (24/7!) •Outsider → insider •Critic/proponent → representative-fiduciary-ambassador •The role requires an understanding that in the eyes of the community, you are always a public official. 5 4 One: Commit to the Role of Public Official •Whatever your role may have been to the City previously, you are now all elected leaders –guardians –stewards –fiduciaries -of the City. •The protection of the City ’s interests and assets is perhaps your most critical function now. •The guiding principle in decision making should always be, “what is the right thing for the City?” 6 5 One: Commit to the Role of Public Official •When you became a City official, you agreed to uphold and follow applicable laws, including the City’s charter, ordinances, policies, etc. What does that commitment embody? •A commitment to respect your role/responsibility in the City structure. •A commitment to lawful conduct, including following the City’s rules, procedures and criteria in making decisions. •A commitment to ethical practices. •A commitment to professional courtesy and respect for one another’s divergent viewpoints and styles. 7 6 One: Commit to the Role of Public Official •As local government officials, part of your role is delivering good governance which, at root, is based both practically and legally on a few core concepts: •Openness & Transparency (open meetings/records laws); •Fundamental Fairness (due process); •Predictability & Evenhandedness (equal protection, certiorari claims, etc.); and •Mutuality of Respect 8 7 Two: Commit to Supporting the City Structure •Another role for everyone within the organization is to recognize and honor their role—it is important that everyone “stay in their lane” to avoid risks of liability, including the risk of personal liability! •You have protection from personal liability if you are “within the scope of employment” and not acting “willfully and wantonly.” •Means everyone needs to know and respect their “job description.” •Conduct that is “outside the scope” or “willful and wanton” can result in a loss of governmental immunity and create liability, including the potential of personal liability for you. Can also result in potential loss of insurance coverage. 9 8 Two: Commit to Supporting the City Structure •Tips to support the structure and avoid concerns around “role discipline” and “scope”: •Understand “job description” and stay within it. Respect the delegations of power and authority already made via your ordinances and organizational structure. •Your role is a group role; if you are thinking of acting individually, ask whether you have authority to act (and if you don’t, don’t do it). •Recognize that elected officials act primarily as a BODY and exercise responsibilities mainly by VOTING in a PUBLIC MEETING. •Therefore, think “We” ... not “I”! If you find yourself about to act in terms of “I” rather than “we” ...that’s a red flag. Another warning sign: He/she/they did what?! 10 9 Two: Commit to Supporting the City Structure •Role discipline (and its positive impacts) requires recognition that the governing body is not “five councils of one” but rather one council of five…the VOICE OF THE COUNCIL. •This commitment sometimes requires: •Setting aside a personal interest or agenda when there is lack of support. •Accepting “the Council has spoken” though one may have preferred a different outcome. •Patience in terms of waiting until a matter is “ripe” for council’s discussion and decision. A corresponding risk to having the power to decide is that others may look to hold you accountable for “making promises” or “assuring outcomes.” 11 10 Two: Commit to Supporting the City Structure •Adherence to the organizational structure is important in the area of employee relations. Except for the Council’s few direct reports, elected officials are not employee supervisors. Thus: •Don’t get individually and improperly involved in personnel issues, or engage in or facilitate activities that bypass the City’s chain of command. •Remember your Charter: Section 6.5. Relationship of Council to Administrative Service. •Focus appropriate Council attention on supervision of direct reports. Commit to speak with one voice to your direct reports. That is how you achieve clarity, credibility and accountability. 12 11 Three: Honor Transparency •Commit to the “openness” and other requirements of the Open Meetings Law (OML). •The “openness” clause of the OML applies to 3 or more or a quorum, whichever is less. •Requires discussion/action on public business to take place at a meeting open to the public. •A “meeting” includes any gathering to discuss public business, in person, by phone, or electronically (e-mail, etc.). 13 12 Three: Transparency –Electronic Communications •Using email? See CIRSA Handout. The recently adopted HB 21-1025 will bring some clarity regarding application of the OML to e-mails; see, https://www.cirsa.org/news/how- the-colorado-open-meetings-law-applies-to-elected-officials-email/). •And while HB 21-1025 brings clarity re: certain non-meetings, it also confirms what the OML intends—discussions of the “merits or substance”—that is, “the essence”—of a matter of public business are subject to the OML’s openness requirement. •Beyond OML concerns, be cognizant of the intent of the OML –citizens expect and appreciate your full and open discussions! •Be cognizant of social media risks for public officials; see https://www.cirsa.org/wp- content/uploads/2019/06/Social-Media-Use-by-Elected-Officials.pdf. 14 13 Social Media Honor 15 14 Three: Transparency –Social Media Tips •Recognize risks -First Amendment principles will apply to official City sites and to elected official sites that are governmental in nature. In addition, as with any written/spoken words, social media activity can be a source of potential tort claims. •Don’t engage in discussions of quasi-judicial matters. •If on balance there is a need for the City and/or its officials to correct disinformation or address “true threats,” on social media, consider carefully the who, how, when and where. •Campaign activities must be on personal accounts. •Consider having a social media policy. 16 15 Four: Commit to Ethical Conduct •Ethical scandals don’t happen all that often and they can be exciting to read about—when they don’t involve us! •Become familiar with ethics rules applicable to office (e.g., City Code Chapter 2.02). Make the code of ethics your “best friend” in resolving ethics issues. Some key areas: •Conflicts of Interest: Disclose, recuse, don’t vote, and don’t influence others. •Don’t disclose or use any confidential information for personal benefit. •Decline any gifts that seem to be connected to your service (and abide by gift rules). •Avoid situations that may create an appearance of impropriety. 17 16 Four: Go Beyond Ethics! •Beyond ethical conduct, commit yourselves to high levels of personal conduct. Recognize that inappropriate personal conduct can be destructive to a public body, its agenda, and its reputation. Some problem areas we’ve seen: •“Outsider syndrome” and elected officials “going it alone”. •Accusations of lack of respect, lack of good faith, hidden agendas, preconceptions, undue partisanship, incivility, or other concerns creating a sense of distrust. •An “imbalance” of information and/or participation on the body, or bodies constantly lining up with the same split vote on every issue. •Commit to high standards of personal conduct that help strengthen the City as an entity and the Council as an institution, and to identifying and avoiding conduct that can debilitate a public body. 18 17 Five: Commit to Providing Due Process •Much of the time you’re acting as “legislators”—making policy and general rules that apply generally—or handling Council level business matters. •But sometimes you make a decision affecting a specific applicant’s property rights. For these “quasi-judicial” matters you are essentially acting as judges. In this role you have heightened responsibilities to provide “due process” and a failure to provide due process exposes you and the City to liability. •So, be familiar with the due process “rules of engagement” that apply to quasi-judicial matters. They have a familiar source: “No person shall be…deprived of life, liberty, or property, without due process of law.” •See: https://www.cirsa.org/wp-content/uploads/2020/05/Quasi-Judicial-Proceedings.mp4 19 18 Due Process -Tips for Quasi-Judges •Limit your involvement to just your participation at the Council public hearing. •Remain neutral; don't make up your mind before the hearing and don’t make prejudicial pre-hearing statements. •Don't participate if you have a prohibited conflict of interest in the matter (code of ethics). •Don't engage with one side or the other, or with your fellow Council members, before or outside the hearing (ex parte contacts). •Deliberations Matter. Make sure your deliberations are focused on, and your decision is based upon, the relevant, existing criteria and not other factors. Use Sam’s “Rule of Why.” 20 19 Six: Embrace Wise Leadership •As a body, commit to a “no surprises” approach while dealing with one another and staff. Commit to meetings free of “gotcha” moments and “staff-bashing.” •Deal effectively with discord. Every public body has disagreements but discord should not drive meetings, your agenda, or how you interact with the community, each other, or staff. •Recognize that certain liability risks—in particular civil rights claims—can be exacerbated by “bad facts” that suggest (or are perceived to be based upon) retaliatory or reactive conduct. Use courtesy, tact, and diplomacy in interactions, especially in public settings. •Recognize you set the tone for the whole organization…and always keep in mind that you are the stewards of the City’s best interests and assets. 21 20 Conclusion Thank you for your public service! And for the opportunity to present. 22 21 Resources CIRSA Elected Officials Handbook: https://www.cirsa.org/wp- content/uploads/2019/06/EthicsLiabilityBestPr acticesHandbookForElectedOfficials.pdf CIRSA Executive Director Tami Tanoue’s Webinar on Ethics, Liability, and Best Practices for Elected Officials: https://www.cirsa.org/wp- content/uploads/2020/05/Ethics-Liability-and- Best-Practices-Webinar-2020.mp4 Other CIRSA elected and appointed officials’ resources: https://www.cirsa.org/safety- training/elected-officials/. 23 22 Introduction Colorado Intergovernmental Risk Sharing Agency •Not a commercial insurance company; CIRSA is a Colorado public entity self-insurance pool for property, liability, and workers’ compensation coverages. •Formed in 1982 by an intergovernmental agreement of 18 municipalities pursuant to CML study committee recommendations. •Total membership today stands at 283 member municipalities & affiliated entities: •279 are members of the PC pool •139 are members of WC pool •CIRSA views proactive approaches to risk management as critical member services –is a win-win. •More information at www.cirsa.org. 24 23 Conclusion Speaker Bio Sam Light is General Counsel for the Colorado Intergovernmental Risk Sharing Agency (CIRSA). Previously Mr. Light was a partner with the Denver law firm of Light | Kelly, P.C., specializing in municipal and other public entity law, insurance law and defense of public entities and elected officials. Sam is a frequent speaker on municipal law and has practiced in Colorado since 1993. 25 Providing Risk Management Solutions E: info@CIRSA.org P: 303.757.5475 www.cirsa.org 1 The use of email by elected or appointed officials to discuss public business raises issues under both the Colorado Open Meetings Law (“OML”), C.R.S. § 24-6-401 et seq., and the Colorado Open Records Law (“CORA”), C.R.S. § 24-72-201 et seq. The OML recognizes that discussions by email can trigger notice and openness requirements. Specifically, the OML provides that any meeting of a quorum, or three or more members of a local public body (whichever is less), at which public business is discussed or at which formal action may occur must be open to the public. Also, the meeting must be preceded by proper notice if a quorum will be present, or any action will be taken. A meeting can include a discussion that occurs by phone or email. Additionally, CORA recognizes that public records can include emails of elected and appointed officials where the communications involve City/Town business or public funds and are made, maintained or kept by the City/Town as part of its operations. Under CORA, emails may be public records even if they do not trigger open meetings rules. Based on these rules, the following are suggested email “dos and don’ts:” Email – Okay to Do • Have a one-on-one discussion with another council/board member. • Respond to constituent emails consistent with “role discipline.” • Correspond directly with City/Town staff. • Email other council/board members concerning scheduling and availability, or posing a question for later discussion, or sharing “FYI” only information. But, such communications must not morph into a discussion of the merits or substance of any public business. • Copy other council/board members on an email, subject to the same limitation. • Do use your City/Town-assigned email address and device, if applicable. Email – Don’ts • Do not use email (or similar technology) to discuss the merits or substance of any matter of public business among a quorum or more than two members (whichever is less), whether simultaneous and/ or serial or not. • Do not use email as a substitute for open public meeting discourse. • Do not use email as a substitute for taking any official action. • Do not “reply to all” on emails sent to more than two council/board members, excepting only emails that clearly have no policy purpose (e.g., “FYI” emails). • Do not send messages that discuss both personal matter and public business. • Most importantly, do not use email to discuss pending quasi-judicial matters. By Sam Light, CIRSA General Counsel CIRSA Training: Email Suggestions for Elected & Appointed Officials Safer Together P: 800-228-7136 www.cirsa.org 1 26 Providing Risk Management Solutions E: info@CIRSA.org P: 303.757.5475 www.cirsa.org 1 The use of email by elected or appointed officials to discuss public business raises issues under both the Colorado Open Meetings Law (“OML”), C.R.S. § 24-6-401 et seq., and the Colorado Open Records Law (“CORA”), C.R.S. § 24-72-201 et seq. The OML recognizes that discussions by email can trigger notice and openness requirements. Specifically, the OML provides that any meeting of a quorum, or three or more members of a local public body (whichever is less), at which public business is discussed or at which formal action may occur must be open to the public. Also, the meeting must be preceded by proper notice if a quorum will be present, or any action will be taken. A meeting can include a discussion that occurs by phone or email. Additionally, CORA recognizes that public records can include emails of elected and appointed officials where the communications involve City/Town business or public funds and are made, maintained or kept by the City/Town as part of its operations. Under CORA, emails may be public records even if they do not trigger open meetings rules. Based on these rules, the following are suggested email “dos and don’ts:” Email – Okay to Do • Have a one-on-one discussion with another council/board member. • Respond to constituent emails consistent with “role discipline.” • Correspond directly with City/Town staff. • Email other council/board members concerning scheduling and availability, or posing a question for later discussion, or sharing “FYI” only information. But, such communications must not morph into a discussion of the merits or substance of any public business. • Copy other council/board members on an email, subject to the same limitation. • Do use your City/Town-assigned email address and device, if applicable. Email – Don’ts • Do not use email (or similar technology) to discuss the merits or substance of any matter of public business among a quorum or more than two members (whichever is less), whether simultaneous and/ or serial or not. • Do not use email as a substitute for open public meeting discourse. • Do not use email as a substitute for taking any official action. • Do not “reply to all” on emails sent to more than two council/board members, excepting only emails that clearly have no policy purpose (e.g., “FYI” emails). • Do not send messages that discuss both personal matter and public business. • Most importantly, do not use email to discuss pending quasi-judicial matters. By Sam Light, CIRSA General Counsel CIRSA Training: Email Suggestions for Elected & Appointed Officials Safer Together P: 800-228-7136 www.cirsa.org 1 27 HANDBOOK SECOND EDITION 2019 SAFERTOGETHER ETHICS, LIABILITY & BEST PRACTICES FOR ELECTED OFFICIALS EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 3EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 3 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 28 Tami A. Tanoue CIRSA Executive Director Sam Light CIRSA General Counsel Robert Widner Widner Juran LLP Linda Michow Michow Cox & McAskin LLP Christiana McCormick Michow Cox & McAskin LLP ETHICS, LIABILITY & BEST PRACTICES HANDBOOK FOR ELECTED OFFICIALS CIRSA 3665 Cherry Creek North Drive Denver, Colorado 80209 800.228.7136 www.cirsa.org CML 1144 Sherman Street Denver, Colorado 80203 303.831.6411 www.cml.org EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 5EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 5 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 29 TABLE OF CONTENTS ABOUT THE AUTHORS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 PREFACE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 FOREWORD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 CHAPTER 1: Th e Oath of Offi ce: Ethics, Liability and Best Practices . . . . . . 7 CHAPTER 2: Healing Divisions on the Governing Body: Can’t We All Just Get Along . . . . . . . . . . . . . . . . . . . . 11 CHAPTER 3: Governing Bodies and Th e Outlier Syndrome . . . . . . . . . . 17 CHAPTER 4: Liability Protections and You. . . . . . . . . . . . . . . . . . . . 21 CHAPTER 5: Open Meetings and Executive Sessions . . . . . . . . . . . . . . 25 CHAPTER 6: Ethical Conduct in Local Government . . . . . . . . . . . . . . 29 CHAPTER 7: Harassment Issues: What Elected Offi cials Need to Know . . . 35 CHAPTER 8: Elected Offi cials’ Involvement in Personnel Matters. . . . . . . 41 CHAPTER 9: Social Media Use by Elected Offi cials . . . . . . . . . . . . . . . 47 CHAPTER 10: Appointment and Removal of Offi cials in Statutory Towns . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 2 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 6EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 6 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 30 ABOUT THE AUTHORS Tami A. Tanoue Tami Tanoue has been CIRSA’s Executive Director since August, 2018. Her previous positions with CIRSA include General Counsel/ Deputy Executive Director and General Counsel/Claims Manager. She was previously in private practice with the fi rm of Griffi ths, Tanoue, Light, Harrington & Dawes, where she served CIRSA as its contract General Counsel for 12 years, and was City or Town Attorney for several Colorado municipalities. Prior to that, she was Staff Attorney for the Colorado Municipal League, where she represented the collective interests of Colorado municipalities. Tami is a regular speaker on local government liability topics and has written several publications on liability issues. Sam Light Sam Light joined CIRSA as General Counsel in 2018 and was previously in private practice with the Denver fi rm of Light Kelly PC, where he practiced for over twenty years in the areas of municipal and public entity law, and government liability and insurance issues. Sam has served as general and special counsel to home rule and statutory municipalities and other public entities throughout Colorado, and frequently provides training for municipal elected and appointed offi cials and staff . Robert Widner Robert (Bob) Widner is a founding partner with the law fi rm of Widner Juran LLP. Bob’s practice focuses on the general representation of local governments with a special emphasis in advising and training governmental bodies on best practices to foster ethics, transparency, and meeting effi ciency. Bob currently serves as the City Attorney for the City of Centennial. Prior to founding his law fi rm, Bob was a partner with the Denver law fi rm of Gorsuch Kirgis LLP where Bob served as the city, town, or county attorney for a wide variety of communities throughout Colorado. Linda Michow Linda Michow is a founding partner of the law fi rm of Michow Cox & McAskin LLP in Greenwood Village, Colorado where she maintains a robust local government practice. Ms. Michow is an experienced local government attorney well-versed in annexation, land use, urban renewal and zoning matters as well as in the day-to-day issues facing Colorado local governments including TABOR, elections, open records, and liquor licensing. Ms. Michow enjoys participating in educational seminars and training of the fi rm’s elected and appointed offi cials and municipal staff and is also a frequent presenter to the broader local government community on current and recurring local government issues. Christiana McCormick Christiana McCormick is an associate attorney at the law fi rm of Michow Cox & McAskin LLP. Her practice involves representation of local governments and covers a variety of areas, including taxation, land use, urban renewal, and law enforcement matters. Before joining Michow Cox & McAskin, Christiana served as a judicial law clerk to the Honorable Norma A. Sierra in Boulder District Court and completed a legal fellowship at the Denver City Attorney’s Offi ce, where she assisted with state and federal civil litigation matters primarily involving the Colorado Governmental Immunity Act and constitutional claims arising under 42 U.S.C. Section 1983. 3 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 7EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 7 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 31 If you’ve stepped up to the challenges of serving as an elected offi cial in your community, congratulations! You’re dedicating your energy, wisdom, and experience towards making your city or town the best it can be. But the job of an elected offi cial is not an easy one. Missteps can make you less eff ective, undermine your credibility, and even lead to liability. In this newly revised and expanded edition of the popular Ethics, Liability & Best Practices Handbook for Elected Offi cials, we discuss many of the issues of greatest concern to elected offi cials from the standpoint of maximizing excellence and eff ectiveness, while minimizing the risk of liability. Th e contributors have provided decades of service to municipalities, individually and collectively. We’ve tried to keep the content engaging, on-point, and light on the legalese. At CIRSA and CML, we pride ourselves on partnering with our member local governments. CIRSA off ers a wide range of risk management services, from providing property, liability, and workers’ compensation coverage, to managing claims, assisting in managing your risks, providing training to elected offi cials and staff , and consulting on virtually every liability-related topic. Founded in 1923, CML is a nonprofi t, nonpartisan organization providing services and resources to assist municipal offi cials in managing and serving Colorado cities and towns. CML works to empower Colorado cities and towns through legislative and legal advocacy, training, research and information, and leadership on matters of municipal interest. We hope you will fi nd this publication to be of value to you as you undertake the challenging and rewarding work of governing your community. Tami A. Tanoue Kevin Bommer CIRSA Executive Director CML Executive Director PREFACE 4 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 8EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 8 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 32 By: William E. Bell, MPA, ICMA-CM City Manager for the City of Montrose & former Executive Board President of the Colorado Municipal League (CML) and the Colorado City & County Management Association (CCCMA). We have all heard the old saying: “Ethics is doing the right thing when no one is watching.” Well, what about doing the right thing while everyone is watching? How refreshing it might be to sit in a nice quiet offi ce or out on a park bench with the birds chirping in the distance, while pondering our options prior to making a decision that aff ects hundreds, or even thousands of people for years to come. How reassuring it might be to run all of our ideas by a panel of experts to vet the pros and cons over an extended period prior to making our next decision. Sound good? Of course it does! However, that is simply not reality for a local government offi cial in today’s fast-paced world. But no matter the pace or pressures, this overarching point of municipal leadership remains the same: MAINTAINING ETHICAL INTEGRITY—AND DOING THE RIGHT THING—AT ALL TIMES IS A REQUIREMENT for elected and appointed offi cials alike. Our communities are microcosms of our society, and with an ever-changing demographic we are facing ever-changing expectations as to what role we should play as local government leaders. We are all facing the unique pressures of being public servants and although it is most defi nitely a worthwhile and rewarding calling for most of us, it can also be frustrating, unpredictable and complicated at times. More oft en than not, elected and appointed offi cials reach at least one point in their tenure where doubt creeps in, making them wonder about the true value of being in local government. Is it worth it? Can I handle this? Questioning oneself and our actions during times of uncertainty and chaos is normal and does not mean that we are doing anything wrong. In fact, I would argue the opposite. In working with thousands of constituents, hundreds of employees, and dozens of elected offi cials during my 16 years of managing communities, it is those individuals who were interested in self-refl ection and continuous improvement that I have truly admired for answering the call to public service. Th eirs is an example worthy of emulation and one that safeguards public offi cials from ethical missteps. We all struggle to fi nd our place when we are new to an organization, and it is a time when we are most susceptible to outside persuasion and manipulation. During times of transition, it is especially important to rely on each other’s experience and expertise and to reach out for support and guidance whenever there is uncertainty. Here in Colorado we are lucky to have several well-versed organizations such as CIRSA and CML at our disposal to off er advice on how to handle ethical dilemmas and complex situations. However, we must be willing to tap these valuable resources prior to getting ourselves into trouble. Asking for help is not a sign of weakness, but is rather an indication of care, thoughtfulness and wisdom. While there is no single blueprint to success for local government leaders, no recipe to follow to create the perfect outcomes, building strong and healthy relationships is the foundation of both achievement and sound ethical practice. Whether it is the idealistic vision shared between two newly elected offi cials, or the mutual respect and deference exhibited between a seasoned manager and his or her councilmembers; one thing is certain: the relationships connecting our local government leaders are what lay the foundation for sustainable and productive local governance in today’s society. I hope you are able to spend some time reviewing the information in this second edition of Ethics, Liability & Best Practices Handbook for Elected Offi cials and taking to heart its content. Th is material off ers a common ground from which all Colorado offi cials can work to make the communities of this great State even better. FOREWORD 5 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 9EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 9 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 33 6 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 10EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 10 6/4/2019 1:02:41 PM6/4/2019 1:02:41 PM 34 CHAPTER 1 By: Tami A. Tanoue, CIRSA Executive Director & Sam Light, CIRSA General Counsel THE OATH OF OFFICE: ETHICS, LIABILITY AND BEST PRACTICES A typical oath of offi ce might go as follows: “I solemnly swear or affi rm that I will support the Constitution and laws of the United States of America and the State of Colorado, [the Charter,] the ordinances and other laws of the City/Town, and that I will faithfully perform the duties of the offi ce upon which I am about to enter.” With the passage of time since you took offi ce, does your oath have continuing meaning as an ethical commitment? Th is chapter examines the oath as a commitment to best practices in carrying out your responsibilities, and as a path to avoiding liability. We’ll focus on four key areas: allocation of responsibilities, transparency in meetings, quasi- judicial rules of engagement, and personal conduct. Honoring the Allocation of Responsibilities As in other levels of government, municipal powers and responsibilities are typically allocated among the governing body, judge, staff , and possibly others, according to charter or statutory requirements. Th us, for instance, the governing body is responsible for all legislation, the municipal judge is responsible for determining ordinance violations, and the manager/administrator and staff are responsible for administrative matters. To the extent the charter or statutory provisions set forth a clear allocation of responsibilities, respecting that allocation is part of an elected offi cial’s oath. Inappropriate involvement in administrative matters, then, could be a violation of your oath. Personnel matters are among those in which inappropriate involvement tends to occur. Th e governing body typically supervises a limited number of its own direct reports— for example, the chief administrator, judge, attorney, and perhaps a few others. As an individual elected offi cial, if you are asked by an employee who’s not one of the governing body’s direct reports to become involved in an employment issue, or if you take the initiative to become involved, that could be a red fl ag in terms of your oath to respect the allocation of responsibilities. 7 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 11EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 11 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 35 From a best practices standpoint, inappropriate involvement in personnel matters can eff ectively destroy the chain of command. While most municipal offi ces are not operated according to a military-style chain of command, some version of a chain of command is critical for eff ective functioning no matter how large, small, formal, or informal your operations are. Once you allow inappropriate involvement to occur, you have eff ectively disempowered managers and supervisors throughout the organization, and sent the message that employees are free to disregard the chain of command. Personnel matters are also a high-risk liability area. Th e more you’re personally involved, the more likely it is that your name may some day appear on the wrong end of a lawsuit, or come up in an executive session where your fellow members are assessing the risks your conduct has created. So, you can see that honoring the allocation of responsibilities by staying out of most personnel matters is a means of avoiding or reducing liability. Honoring Transparency in Meetings In local government, transparency of the governing body in its discussions and decisions is a basic expectation of the citizenry. Citizens take great interest in the goings-on of the governing body, and are quick to notice when their transparency expectations are not met. A perception that governing body members are conducting discussions secretly, that executive sessions are being held for improper purposes, or that decisions are being made in “smoke-fi lled back rooms,” can quickly erode trust and confi dence in government. Transparency in meetings means that governing body meetings are open to the public and held only aft er proper public notice, that executive sessions are strictly limited to the purposes authorized by law, and that discussions of public issues take place in a meeting setting rather than by email or in hidden locations. Is this part of your oath? Most certainly! Th e statewide open meetings law applies to all local public bodies, including city councils and boards of trustees. If you’re a home rule municipality, there may be charter provisions concerning transparency as well. Is honoring transparency in governing body meetings a best practice? It is, if you want to maintain the public’s confi dence and trust! Citizens expect and appreciate your body’s commitment to discussing and deciding diffi cult issues with full transparency. And making a commitment to transparency can also help ensure that your municipality doesn’t become Exhibit A in an eff ort to make draconian changes to the open meetings law. You surely don’t want to be held up as a bad example in the legislature. It’s happened. Is honoring transparency a liability-reducing suggestion? At CIRSA, we’ve seen our members become involved in litigation over their meeting practices. Based on our experience, the answer to that question is yes. Th ere are watchdogs out there scrutinizing you, and they will pounce on you with allegations of violations and a lawsuit if your meetings practices don’t pass muster under the law. CIRSA has open meetings/executive session defense cost coverage for member governing bodies, but by honoring the letter and spirit of the open meetings laws, you can avoid costly and potentially embarrassing litigation. 8 CHAPTER 1 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 12EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 12 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 36 Honoring the Quasi-Judicial Rules of EngagementGoverning body activities can be pigeonholed broadly into two areas: legislation and quasi-judicial decision-making. Th e rules of engagement diff er depending on which pigeonhole fi ts. For legislative matters, the rules of engagement are free-wheeling. Th ink of the state legislature when it’s in session, and the lobbying that goes on there. But for quasi-judicial matters, the rules of engagement have a basis in constitutional due process requirements: when you are making a decision that aff ects individual property rights, the constitution requires a properly noticed and fair hearing before a neutral decision maker— you. Th us, in quasi-judicial matters, you must conduct yourself similarly to the way a judge does in deciding a case. No doubt your municipal attorney has discussed the quasi-judicial rules of engagement with you. Th e attorney is trying to protect the integrity of the hearing process, the defensibility of the outcome, and your prerogative to participate as a decision-maker. Th ese rules of engagement include: • You will follow the applicable legal criteria and apply those criteria to the evidence you hear at the hearing, to arrive at your decision. • You will refrain from “ex parte” or “outside the hearing” contacts regarding a pending quasi-judicial matter. • You will not participate in decision-making in a quasi-judicial matter in which you have a confl ict of interest. Th ese rules fl ow from constitutional due process requirements, so they are most certainly a part of your oath. Following these rules is also a way to avoid or reduce liability. In quasi- judicial matters, the process by which you arrive at a decision is at least as important as the substance of the decision itself. If you’ve ensured that the process is letter-perfect, then you have eliminated a huge portion of the possible quarrels that could turn into a claim. And it’s a best practice, because following the rules of engagement will enhance the reality and the perception that all who come before you with quasi-judicial matters will be heard and treated fairly. Honoring Standards of Personal Conduct Th e way you conduct yourself in relation to other members of the body, staff , and the community greatly impacts your eff ectiveness as an elected offi cial. No matter where you are on the political spectrum, you can probably agree that politics today are infected with divisiveness and incivility. Municipal government being non-partisan, its elected offi cials should, at least in theory, be able to rise above the nastiness of partisan politics! With respect to the governing body, do all members understand that governance is a team activity? An individual elected offi cial does not have the power to accomplish anything on his or her own. Rather, the allocation of responsibilities to the governing body is to the body as a whole. Only through collaboration and consensus-building can an individual’s priority become the priority of the governing body. While the governing body is comprised of individuals and will “deliberate with many voices,” all members must recognize the governing body “acts with one voice.” 9 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 13EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 13 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 37 Has the governing body been able to “gel” as a team, or are members viewing one another with a sense of distrust? Are you lining up along the same divisions on every issue? Are you unable to disagree without being disagreeable? Perhaps some team building is in order if these things are happening. With respect to staff , is an incoming council or board viewing staff as the “enemy”? A staff exists to carry out the goals set by the governing body. Sometimes, with the changing of the guard at the governing body level, there’s an assumption that there needs to be a changing of the guard at the staff level, too. But if this staff faithfully carried out the goals of the prior governing body, why wouldn’t you expect that they will be equally able and willing to carry out the goals of the new body? With respect to the community, are public comment periods turning into “public inquisition” or “public argument” periods? Is “staff bashing” or “elected offi cial bashing” happening at meetings? Perhaps another look at your rules of order, and your approach to meetings, would be appropriate. Certainly the public has every right to appear at meetings and make complaints. It’s a sign of faith in local government that people care enough to complain! But the manner in which those complaints are made, and the manner in which you respond, can mean the diff erence between a constructive, productive exchange or a nasty, embarrassing, unproductive, or morale-crushing attack. Is the observance of personal conduct standards part of your oath? At least arguably, yes. Aft er all, the oath implies faithfully performing a role where you must work with others. And you have a fi duciary duty to act in the best interests of your municipality. It doesn’t seem a far stretch to impute to your oath a commitment to respectful conduct towards one another and the best interests of the municipality. Is it a best practice to observe personal conduct standards? It certainly seems so. Maintaining harmonious and productive working relationships with your fellow elected offi cials, staff , and the public can only increase your eff ectiveness. And keep in mind that harmony doesn’t mean you all have to agree all the time. Indeed, healthy discussion, debate, and disagreement are the engine for understanding issues and solving problems. But the idea of disagreeing without being disagreeable is important to keep in mind. Does the observance of personal conduct standards help with liability reduction? We think so. In CIRSA’s experience, turmoil at the top levels of the municipality means turmoil throughout the organization. Aft er all, you know what rolls downhill. Over and over, we’ve seen that disharmony and dysfunction at the top means claims throughout the organization. Th ese types of claims not only cost dollars to defend, but also can sap the governing body’s energy, destroy staff morale and cause reputational harm, all with long- lasting impacts. Conclusion Honoring your oath of offi ce isn’t just something you do when your raise your right hand at the beginning of your term. You can look at just about any arena in which you operate as an elected offi cial, and ask yourself, “What did I commit to do when I took my oath?” By asking and answering this question, you can stay on the path of best practices, and avoid or reduce personal liability. 10 CHAPTER 1 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 14EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 14 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 38 CHAPTER 2 HEALING DIVISIONS ON THE GOVERNING BODY: CAN’T WE ALL JUST GET ALONG By: Tami A. Tanoue, CIRSA Executive Director At CIRSA, we’re seeing more and more instances of governing bodies with intractable divisions that cut across virtually all of the body’s decision-making. Th is division is aff ecting productivity, driving away opportunity, and undermining citizen confi dence. It also lends itself to disputes and claims, with corresponding risks of liability. In this chapter, we’ll explore the causes and impacts of such divisions, and explore some possible ways to break out of the patterns that cause them. Introduction First, though, let’s be clear about the situation we’re discussing: Every governing body has disagreements, and there’s nothing wrong with that. It would be strange, indeed, if all members agreed on all issues all the time. If that were the case, why would we even need fi ve, seven, or nine members? Sometimes, disagreements create a residue of misunderstanding or hurt feelings, but that’s to be expected, too. Most governing body members are able to leave that residue behind and move on to the next matter at hand. We’re also not talking about the “outlier” issue, where one or some members of the governing body have made it their mission to separate themselves from the rest of the group, with the sole goal of embarrassing the rest and proving that they are the only “ethical,” “transparent,” or “responsive” (or insert description of your choice) member of the body, at least in their opinion. Th ere are ways to address the “outlier” issue (see Chapter 3). What we’re talking about here is a governing body in a state that we can all agree is severely dysfunctional. We’re talking about a body that’s intractably divided, and whose every debate, discussion, and decision are characterized by lingering unresolved matters, mutual contempt, and hard feelings that calcify into hardline positions. We’re talking about meetings that staff and citizens refer to as the “Th ursday night fi ghts” (or insert evening of your choice). We’re talking about meetings where members regularly yell or snipe at each other, name-call, storm out, or maybe even resort to threats or fi sticuff s. 11 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 15EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 15 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 39 And even if it’s not that dramatic, meetings may still be characterized by tension, frustration, passive-aggressive behavior, an inability to see beyond the players and focus on the merits of any issue, and maybe an angry social media post or two aft er the meeting.Whatever the level of dysfunction, destructive consequences can result. Once you “write off ” or “demonize” your colleagues (“she’s just clueless,” “he’s completely hopeless,” “I can’t even look at the guy,” “there’s no reasoning with her, so why even bother”), there may be no coming back. Why Can’t We All Get Along? A Look at Some Possible Causes “ Happy families are all alike; every unhappy family is unhappy in its own way.” ~Tolstoy “ Happy councils are all alike; every unhappy council is unhappy in its own way.” ~Tanoue Th ere are any number of reasons why the “marriage” of governing body members can go bad. Here are a few: Underlying divisions. Underlying divisions within the community may be refl ected on the governing body. Communities can have fracture lines. Th ere may be friction between the “old timer” part of the community and more newly developed areas that are full of “newcomers.” Th e interests of “old timers” and “newcomers” may not always be the same. “Newcomers” may not recognize the history and traditions of the community in the same way that “old timers” do. “Old timers” may discount the concerns raised by “newcomers,” or vice versa. Th ese diff erences may be refl ected in the makeup of the governing body. Members may have been swept into offi ce as a result of a controversial issue that divided the community. Perhaps there was a recall election. Unless the slate was wiped clean, the governing body makeup may refl ect the divisions that grew from the underlying issue. It may be diffi cult to get past that issue. New or younger members may clash with veteran members. Sentiments that “you young ‘uns haven’t been around long enough to understand this town” or “you old timers are stuck in your ways” may cause unwarranted rift s. And expressing or acting on such sentiments can contribute to a feeling that each member isn’t being accorded an equal voice in discussion and decision-making. Th at sense of inequality can also be the result of partisanship, and partisanship doesn’t necessarily have to spring from the type of political partisanship that exists at other levels of government. Of course, municipal government is avowedly and proudly non-partisan in the political sense (and by law its elections are non-partisan). But an “in crowd” and an “out crowd” based on other considerations can be a type of partisanship that’s just as problematic. Personalities. Voters aren’t judging whether the individuals they elect will be compatible with each other, so it’s possible that fundamentally incompatible personalities will end up on the body. If you have some “alpha dogs” on the body who are in constant competition, friction might be a predictable result. If others then line up behind their favorite “alpha,” division can ensue. If several “alphas” dominate the meetings, resentments may arise. 12 CHAPTER 2 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 16EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 16 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 40 Sometimes, an elected offi cial’s personality and proclivities seem to be just plain incompatible with holding elected offi ce! Politics, at the governing body level, has to be a team sport: decision-making requires collaboration and consensus. One member’s “agenda” can become the “agenda” of the body only by successful team play. A “lone wolf” who lacks the capacity or desire to be a team member is not going to be successful on the body. Add a few more “lone wolfs,” and frustration and paralysis may result. Governance is also about leadership. If the voters put someone in offi ce who is afraid to take a stand, is perennially “on the fence,” or is strictly a follower, leadership qualities may be lacking. A majority of non-leaders can create a perception of a “rubber stamp” governing body, resulting in extreme frustration for those members who are willing to stick their necks out. Preconceived personal agenda. Th ere are many good reasons why citizens run for public offi ce. However, the workings of municipal government are not always clear until well aft er you’re seated. So the agenda that a candidate ran on may collide with reality, and turn out not to be a workable agenda aft er all. Under those circumstances, clinging to the preconceived agenda is only going to sow the seeds of discord. If you have several members, each bent on pursuing only his or her own particular agenda, a fractured body can result. I once spoke with a newly elected councilmember who said his one campaign promise was to ensure that water and sewer rates were lowered. But when he took offi ce, he began to understand the economic realities of operating the town’s water and sewer system, and he saw that demanding the lowering of rates was unrealistic and fi scally irresponsible. He said he had some explaining to do to the citizens, but he wasn’t going to cling to his agenda given the realities he now understood. Th at’s a smart elected offi cial. Impacts Th e impacts of severe dysfunction and discord are manifold. Th ey include: • Lack of productivity. Th e body’s agenda may hit a standstill. Or getting through it might be slow and painful. Even if decisions are made, they may not necessarily be the best decisions. • Power transfer to tie-breaker. If you’re constantly split down the middle, then you may be transferring all decision-making power to the tie-breaker (oft en the Mayor). Is that desirable? • Financial consequences. If you’ve developed a public reputation as a dysfunctional body, then your community may be missing out on economic opportunities. Businesses want a predictable environment. Volatility may be driving them away. • Public embarrassment and loss of public confi dence. If you’re airing your discord for the camera, your viewership may be up, but public confi dence will be down! Residents want to be confi dent that their elected leaders function at a high level and in their best interests. • Driving away the best and brightest. I’ve heard people say they were reluctant to run for offi ce because they witnessed the discord and didn’t want to be a part 13 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 17EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 17 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 41 of it. So you may end up repelling, not attracting, potential leaders who could make great contributions to the community. Or you may lose great members to “burnout.” Likewise, if your community’s developed a reputation for governing body dysfunction, you may not be able to attract and keep the “best and brightest” for key staff positions. So You Think You May be Part of a Dysfunctional Governing Body? You may have experienced some jolts of recognition in reviewing the foregoing. If so, condolences and congratulations! Th e condolences are self-evident, but congratulations are also due, because recognition of a problem is the fi rst step to dealing with it! So now, what do you do? Here are some steps to consider: • See if you can gain a consensus that there’s a problem. Even if you recognize it, if no one else does, you’re not going to get anywhere. If there’s a consensus, then you’re halfway to solving the problem! • Start by talking about “values.” In working with CIRSA members experiencing severe governing body dysfunction, I’ve begun to realize that the “values” discussion is a critical fi rst step. By “values,” I’m talking about the philosophical underpinnings that you want as guides for behavior in your interactions with one another. If you can agree on these values, then additional steps are possible. If you can’t, you’re going to stall out. Such values might include: • Courtesy and civility towards one another, staff , and citizens? • Non-partisanship? • Equality of participation? Th is would include equal opportunities to be part of the discussion and decision, and equal opportunities to gain, insofar as possible, the same information at the same time as needed for good decision-making. • Acknowledgement of the role of the Mayor or presiding offi cer in presiding over meetings? Every meeting needs a presiding offi cer, and in most communities, that’s the Mayor. Th e role of the presiding offi cer must be honored if you want to have orderly, productive, and effi cient meetings. And, the presiding offi cer must embrace that responsibility. If there’s no acknowledgement of this fundamental need, then you won’t get anywhere. • Engagement? Th is includes a commitment to be prepared for meetings, to arrive on time, to stay for the whole meeting, to give your undivided attention during the meeting, to participate in decision-making, and to be absent no more than necessary. • Others? • Norms or rules of conduct. If you can form a consensus around values, you’re close to the point where you can discuss (and, it’s hoped, agree upon) the norms or rules of conduct that you want for the body. Th e content of your norms or rules won’t be discussed here, because they’ll be specifi c to your community and the values that serve as the jumping-off point for them. It’s worthwhile to look at 14 CHAPTER 2 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 18EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 18 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 42 examples from other communities around the state and nation, but it’s important to develop your own norms or rules from the ground up with your values as the foundation, so there’s buy-in. Why rules OR norms? It’s because the level of formality to be accorded really depends on your governing body’s needs and desires. If you have members whose attitude is “Rules? We don’t need no stinkin’ rules,” then perhaps a soft er approach of agreeing on “norms” of conduct may be a good starting point. On the other hand, you might see reasons to elevate the adoption process by using a resolution or even an ordinance. In Despair? You Can Still Help You may feel your governing body will never come together to recognize the problem, much less move on towards seeking solutions. Should you give up? No! Th ere are still things you can do as an individual. If enough individuals on the body do these things, then perhaps there will be an opening to go further! Suggestions for individuals include: • Assume good faith and best intentions on the part of everyone on the body. Some smart person once said that we judge ourselves by our intentions, and others solely by their actions. Th is perceptual gap can lead to misunderstandings and unfounded assumptions. Let’s give everyone the same benefi t of the doubt we give ourselves, by assuming that they, too, are acting on the basis of honorable intentions. • Listen more than you talk. Do your best to see and understand things from the perspective of others. Ask questions before reaching your own conclusions, and repeat back what you think you’re hearing from others, so that you know you’re on the same page. Listen for points of agreement, and emphasize and build on them. • Try to meet others more than halfway. If everyone only goes so far to try to bridge the gaps, then you may never meet in the middle. Sometimes one person’s generosity in going more than halfway is the catalyst for breaking down misunderstandings. • Use the postures, tone, and body language of respect and engagement. Do this even if you’re not “feeling it”; “acting as if” can be helpful in bringing a hoped- for harmony closer to reality. Make sure your body language and tone of voice aren’t inadvertently communicating something you didn’t intend. Keep your voice DOWN, even if others are starting to yell. Avoid the hair-trigger, knee-jerk, angry response. • Try some things to break down barriers. Maybe switch up positions where you sit on the dais. Suggest a pre-meeting dinner; breaking bread together can be a way to get people talking (make sure you have a “no-business” rule in eff ect). Team-building, especially in a retreat setting, can be productive. An outside facilitator or mediator might be helpful in identifying issues that are hard to see from the “inside.” 15 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 19EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 19 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 43 • If you’re an experienced member, mentor the newbies! You have valuable experience from which newer members can benefi t. Show them the ropes, teach them your own hard-earned lessons, and model the behaviors you want them to emulate. And if you’re a new member, seek out mentors! • Acknowledge and appreciate when you see others making the same eff ort. Conclusion: “Until Next Election Do You Part.” A governing body might be characterized as a kind of arranged marriage—a marriage arranged by the citizens. If the conditions for civil and productive discourse are lacking from the start, it’s no wonder that such a “marriage” can go bad quickly. But divorce isn’t an option! So start looking at ways to improve your relationships, as individuals and as a body. And take to heart the idea that, by “acting as if,” your deepest hope for a strong, high-functioning team can come closer to becoming a reality. 16 CHAPTER 2 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 20EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 20 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 44 CHAPTER 3 GOVERNING BODIES AND THE OUTLIER SYNDROME By: Tami A. Tanoue, CIRSA Executive Director Th ose who have been working with municipalities for an extended period have observed a phenomenon that occurs at the governing body level. Let’s call this phenomenon the Outlier Syndrome. Th e Outlier is the “lone wolf” who sits on a city council or board of trustees and steadfastly refuses to act like a member of the team. Even while isolating himself or herself as the only person on the losing side of just about every vote, the Outlier manages to create havoc with the rest of the body. Th e Outlier may be obstreperous and obstructionist. Th e Outlier may refuse to recognize and respect the norms that guide the rest of the body’s conduct. Th e Outlier may position himself or herself as the only “ethical” or “transparent” member of the body. Th e Outlier’s every statement and action seems to be aimed at preserving that self-assumed distinction rather than making any concrete achievements. Sometimes, a governing body is unfortunate enough to have more than one Outlier. Have you ever experienced the Outlier Syndrome in action? We call it a syndrome because of the recognizable features or symptoms that seem to fester whenever an Outlier sits on a governing body. Do you have an Outlier on your governing body? Could you possibly be an Outlier? Should the Outlier Syndrome be viewed as an affl iction or malady? And if so, what can be done? We’ll explore these questions in more detail below. Power, Goals, and the Outlier To understand the Outlier’s impact on a governing body, let’s start with the idea that elected offi cials can only act as part of a body – a collaborative decision-making body. You can search throughout the laws governing statutory municipalities, or just about any home rule charter, and you’ll likely fi nd no powers or duties that are to be exercised by a singular elected offi cial (other than the mayor, who may have certain defi ned responsibilities). Th is means that, as elected offi cials, the only way you can get anything accomplished is to have a majority of the governing body on your side. It’s likely that each elected offi cial has an individual list of goals, goals that those who voted for you want you to accomplish. But your goals can be accomplished only if they’re part of the goals of the body as a whole. Th at means your success depends on creating a consensus 17 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 21EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 21 6/4/2019 1:02:42 PM6/4/2019 1:02:42 PM 45 of the majority! And where does the Outlier fi t in on a collaborative decision-making body? Why, nowhere! Perpetually being on the losing side of a vote means that the Outlier gets nowhere on his or her goals…unless, of course, he or she feels that being an Outlier is its own reward. Are You an Outlier? Perhaps you’ve met your share of Outliers, who tend to share one or more of these characteristics: • Th ere is an element of the lone crusader in them. Th ey feel they were elected to shake up the status quo in some way. Maybe they think their predecessors were too cozy with developers, not friendly enough with the business community, too close to the municipality’s staff , not close enough to the municipality’s staff , etc. • Th ey view themselves as independent thinkers. Th ey are oft en highly intelligent, but not “people persons.” In kindergarten, their report cards might have refl ected a poor score on “plays well with others.” • Th ey take a perverse glee in being the “outsider,” relish arguments for argument’s sake, and place little value on matters like courtesy and regard for the feelings of others. • Th ey hate having to endure “soft ” discussions such as a council or board retreat, the establishment of a mission or vision statement, the development of consensus around rules of procedure or rules of conduct, a session to discuss goals and priorities, or a CIRSA liability training session. • Th ey feel they are always right, and everyone else is always wrong. Th ey feel they are always ethical, and everyone else is not. Th ey feel they are looking out for the citizens, and everyone else is not. • Initially, they may just have been unfamiliar with the ways of local government, and needed to build the skills to work eff ectively in a new environment. One or more gaff es may have caused them to be pegged as Outliers and treated accordingly, initiating an unhealthy Outlier dynamic. • Th ere may have been some explosive moments in private or public with the Outlier’s colleagues, or indeed, the colleagues may have made some attempt at an “intervention.” Th ese observations may or may not be totally on the mark. But one characteristic of the Outlier cannot be denied: he or she is seldom on the prevailing side of a vote, and is oft en at loggerheads with the rest of the body. Do you think you may be an Outlier? If so, you might examine what your goals as an elected offi cial really are. Do you want to have a list of concrete accomplishments at the end of your term? Or will it be accomplishment enough to have been the “loyal opposition”? If the former, then your behavior may be working at cross-purposes with your goals. If the latter, really? Will the people who voted for you be satisfi ed with that accomplishment? Will you? 18 CHAPTER 3 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 22EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 22 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 46 Is the Outlier a Problem for the Rest of the Body? For the Municipality?Most people who’ve had to deal with an Outlier would say that yes, the Outlier is a problem! How? Well, here are some ways: • Anger and frustration build when a council or board has to deal with an Outlier, siphoning away energy that could be spent on more positive endeavors. Th is is a particular problem if tensions have built to the point that confrontations have begun to occur. No reasonable person wants to attend or view a council meeting and have a hockey game break out! It may be entertaining, but mostly, it’s embarrassing to the governing body and to the community. • Healthy teams seek to build a sense of camaraderie and cohesiveness. Th at’s not entirely possible when there’s an Outlier. It’s not healthy to build a team around a shared hatred of one of its own members, and most reasonable people would prefer not to have that happen. • Th e Outlier’s perspective tends to be oppositional. From a liability standpoint, such a perspective is risky. If you’re taking positions on an oppositional basis, are you really meeting your fi duciary duty to look out for the best interests of the entity? • A disharmonious governing body is a dysfunctional governing body. It’s been CIRSA’s experience that liability claims thrive in an environment of disharmony and dysfunction. • Your staff members are aff ected by the Outlier Syndrome, too. From the staff ’s perspective, seeing dysfunction on the governing body is a little like watching discord between one’s own parents. It’s unsettling, distressing, and morale- crushing. • Most importantly, it’s a shame for the governing body to lose a potentially valuable contributing member. In a worst case scenario, the Outlier becomes completely disempowered as he or she is ignored and marginalized. But this means that the body isn’t running on all cylinders, and is deprived of the valuable perspectives that the Outlier might otherwise bring. Ultimately, the voters, and the community, are the losers. Dealing with the Outlier Syndrome You can’t cure an affl iction until you recognize it. And you can’t recognize what you haven’t named and defi ned. If your municipality is affl icted with Outlier Syndrome, you’ve taken the fi rst steps towards a cure by naming, defi ning, and recognizing it! Here are some other steps you might consider. • Confront the issue forthrightly and compassionately in a neutral environment. A council or board meeting is likely not a neutral environment! Perhaps the matter could be discussed as one item on a retreat agenda. Be prepared with specifi c examples of how the Outlier has negatively impacted the body. 19 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 23EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 23 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 47 • Consider addressing the issue in the context of a larger discussion about governing body rules of procedure or rules of conduct. Th e “norms” that guide members’ interactions with one another may be obvious to some but not all, especially to newer members. Th ose norms could be part of the discussion, and the process of articulating them can facilitate a consensus to honor them. • Consider bringing in an outside facilitator to assist you. A governing body is a bit like a marriage that’s been arranged for you by the citizens! Th ere’s nothing wrong with getting some outside help for perspective and to fi nd solutions. If you think you might have the Outlier label pinned on you, consider these suggestions: • First, get a reality check. Find out how you’re being perceived by your peers. It may be very diff erent from your own perception of yourself. Ask each of your colleagues to give you a frank assessment. • Check your motivations. If you have concrete goals you want to accomplish as an elected offi cial, you must accept that success in your position can’t happen without collaboration and consensus building. Th ere is nothing that you can accomplish alone. So set a goal to be on the “prevailing” side…indeed to bring others over to establish a “prevailing” side. • If you’ve already burned some bridges, understand consensus-building can’t happen without mutual trust, respect, and a sense of cohesion. Th ese will take time to build. Look for a retreat or other opportunities to clear the air and start fresh. • Use staff as a resource! Your manager or administrator wants nothing more than to assist newly elected offi cials in learning the ropes, and understanding the best time, place, and approach to raising issues. Don’t get off on the wrong foot with blunders that might peg you as an Outlier. What if all eff orts to deal with the Outlier Syndrome fail? Well, it might be time for the rest of the governing body to cut its losses and move on. Don’t continue to agonize over the Outlier and his or her impact on the body’s functioning. Continue to accord the Outlier the same opportunities to participate in discussion and decision-making as any other member, but don’t allow the Outlier to keep pushing your buttons. Remember, arguments and confrontations require more than one participant. You may need to simply say “thank you” or move on to the next point of discussion. Ultimately, the responsibility for putting an Outlier into offi ce rests with the citizens, so there’s only so much you can do. Try to go about your business without having the Outlier become the dysfunctional center around which the rest of you swirl. Conclusion Governing body members don’t all have to be in lockstep, or think and behave in the same way. On the contrary, diversity of thinking, styles, opinions, experiences, and approaches are healthy and necessary for a collaborative decision-making body. Th ere is truly a collective wisdom that comes forth when many diverse minds work together on common goals. But the Outlier Syndrome is detrimental to a high-functioning governing body, and therefore, to the community. If your governing body is affl icted with the Outlier Syndrome, it’s time to do something about it! 20 CHAPTER 3 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 24EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 24 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 48 CHAPTER 4 LIABILITY PROTECTIONS AND YOU By: Tami A. Tanoue, CIRSA Executive Director & Sam Light, CIRSA General Counsel Are you acquainted with the protections you have through your entity’s membership in the CIRSA property/casualty pool? In this chapter, we provide you with a brief introduction to the two key coverage parts of the liability policy that apply to you as elected offi cials of CIRSA member entities.1 What Liability Coverages do We Have? General Liability and Auto Liability Coverage applies to claims for bodily injury, property damage, and auto liability, among others. Th is is the coverage part that pertains to most allegations of “hard” injuries, such as an allegation of physical injury to a person or to tangible property. Th us, for instance, this coverage part would respond for an auto accident while you’re driving your entity’s vehicle on public entity business. Th is coverage part also includes law enforcement liability coverage. Public Offi cials Liability Coverage applies to “wrongful acts” you are alleged to have committed. Th is coverage part applies to allegations of civil rights violations, improper activities concerning employment practices, and violations of federal and state law. Th us, for instance, this coverage part would respond when someone claims that he or she has suff ered employment-related discrimination, harassment, or a violation of constitutional rights. Who’s Covered? “Covered Parties” under the policy include, of course, your entity as a member of CIRSA. Any elected or appointed offi cial, trustee, director, offi cer, employee, volunteer, or judge of a CIRSA member is also considered a covered party. So is each governing body, board, commission, authority, or similar unit operated “by or under the jurisdiction of” a member entity. Th us, elected offi cials, board and commission members, appointed offi cials, employees, and even authorized volunteers of your entity are all considered covered parties. 21 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 25EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 25 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 49 What Limits of Coverage do We Have?2 • For general liability and law enforcement liability, the coverage limit is $10,000,000 per claim/occurrence. • For auto liability, the coverage limit is $5,000,000 million per claim/occurrence. • For public offi cials’ liability, the coverage limit is $10,000,000 per claim/ occurrence, subject to an annual per-member aggregate of $10,000,000. Defense costs are included in these limits. Th ere is also a member-selected deductible that applies to each claim/occurrence. Members have chosen deductibles that vary from $500 to as much as $250,000 per claim/occurrence, so you should check with your own CIRSA contact to fi nd out what your entity’s deductibles are. What Key Exclusions do We Need to be Concerned About? Th ere are several exclusions of concern, and a few are highlighted here. Th ese exclusions are universal in most liability policies. Th e “willful and wanton” exclusion is probably the exclusion of greatest concern to elected and other public offi cials. Th is exclusion applies to both coverage parts of the liability policy, and states that coverage does not apply to any loss arising out of the actions of any elected or appointed offi cial, trustee, director, offi cer, employee, volunteer or judge of a member entity when such acts or omissions are deemed to be willful and wanton. And remember, you are a “Covered Party” only while in the performance of your duties for the member entity, and acting within the scope of your authorized duties for the member entity. As you probably know, the Colorado Governmental Immunity Act’s protections are lost when you are determined to have been acting outside the “scope of employment,” that is, outside the course and scope of your authorized duties as an elected offi cial. But such conduct has a double consequence: the loss of your liability coverages through CIRSA. Th is is the reason that our public offi cials’ liability training places a heavy emphasis on the need to understand your “job description” as an elected offi cial, and the need to stay within the parameters of that “job description.” Staying within the “scope of employment” is also important to lessening your risks of liability where federal civil rights claims are concerned. You probably know that, under 42 U.S.C. Section 1983, you can be sued for a civil rights violation in your individual or offi cial capacity. An individual capacity suit is one that alleges that you violated someone’s constitutional or other federally protected right while acting under the auspices of your public offi ce. (An offi cial capacity suit, on the other hand, is a suit against the entity, rather than you individually.) A fi nding of individual liability in a Section 1983 suit essentially means that you’ve violated a clearly established constitutional or statutory right of which a reasonable person should have been aware, and that your conduct was unreasonable. Such conduct can fall within the “outside the scope” exclusion; violating someone’s civil rights is likely not within the “job description.” Th us, elected offi cials need to be especially cautious about conduct that could be actionable as an intentional civil rights violation. 22 CHAPTER 4 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 26EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 26 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 50 Th e sexual harassment exclusion is another exclusion that has impacts on claims based on an individual offi cial’s conduct. Th is exclusion to the Public Offi cials Liability coverage part applies to sexual harassment claims. Let’s say that a sexual harassment claim is made both against the entity, for failure to deal eff ectively with sexual harassment in the workplace, and against the harassing employee or volunteer. Under this exclusion, the entity will probably be covered. However, with respect to the individual offi cial, employee, or volunteer, the entity will have the option to direct CIRSA to defend or not defend the individual. Th us, if the entity so directs, the individual will be left out in the cold as to any defense of a sexual harassment claim against him or her! And in any event, even if the entity directs CIRSA to provide a defense, any liability imposed on the individual based upon a fi nding that harassment occurred would not be covered through CIRSA. Th e sexual abuse exclusion operates in a similar fashion. Th e punitive or exemplary damages exclusion is also pertinent in the context of an individual offi cial’s conduct. Punitive or exemplary damages can be awarded in circumstances where an individual’s conduct is willful and wanton in the disregard of someone’s rights, or callously indiff erent or motivated by evil intent. Th e purpose of punitive damages is, as the term suggests, to punish a wrongdoer for such egregious conduct. Because the punitive eff ect would be considerably blunted if an insurer were available to cover a punitive damages award, punitive damages are deemed uninsurable by the appellate courts of many jurisdictions, including Colorado. Consistently with this judicial position, the CIRSA liability policy contains an express exclusion for punitive or exemplary damages. Th e breach of contract exclusion can be pertinent to the activities of governing bodies. Governing bodies approve a wide variety of contracts, and sometimes are alleged to have dishonored them. It is not the intent of a liability policy to cover the kinds of liability that can arise when someone alleges a breach of contract, so there is an exclusion for the breach of an express or implied contract. Th is exclusion does not apply when a claim is based upon an allegation by an offi cial or employee of wrongful termination of employment. Th e condemnation/inverse condemnation exclusion can be relevant to a land use action taken by a governing body. A landowner may claim that all or a portion of his or her property was “taken” by governmental action, or that vested property rights were impaired by governmental action. Th ese types of claims, involving the value of private property, are not covered. As you can imagine, liability policies aren’t suited to cover these types of claims, because they would require insurers to try to underwrite the risk of having to pay for the property values of privately owned real estate throughout the state! Th e bonds or taxes exclusion applies to any liability based upon or arising out of the issuance of bonds, securities, or other fi nancial obligations, or taxes, fees, or assessments, or the collection, retention, or expenditure of funds. Th us, when a claim is made of an improperly levied tax, or retention of funds in violation of the Taxpayer’s Bill of Rights, or impropriety in the issuance of bonds or other fi nancial obligations, this exclusion would apply. 23 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 27EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 27 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 51 What Else Should You Know About Coverage Issues?A lawsuit against you may involve one of several responses from CIRSA. We may determine, based on the allegations, that we owe you an unconditional duty of defense (i.e., the assignment of a defense attorney) and indemnity (i.e., covering any judgment or settlement). Or we may determine that none of the allegations invoke any duty of defense or indemnity, and send you a denial letter. Sometimes, though, a suit will contain a mixture of covered claims and uncovered/potentially uncovered claims and, in this case, we will defend you under a “reservation of rights.” A “reservation of rights” letter will be sent telling you of the areas where there may be no coverage, and reserving our right not to indemnify you, and our right to terminate your defense (and potentially seek reimbursement of legal fees paid on your behalf) should circumstances warrant. One or more CIRSA defense counsel will be assigned in circumstances where we fi nd that there is a duty to defend. In some cases, a single attorney can represent multiple defendants; however, in cases where defenses may be inconsistent between or among the covered parties, or other circumstances for a confl ict of interest may exist in representation, we will assign multiple counsel. CIRSA-assigned defense attorneys, although paid by CIRSA, owe their duty of loyalty to you, their client. We hope that you never have to delve into the details of these coverages in the context of an actual claim against you, but it’s a good idea to be familiar with the broad outlines of those coverages. As always, if you have questions, please contact CIRSA. Footnotes: 1. Th is is only a summary of certain provisions of the CIRSA liability coverage documents. Th e language of the applicable coverage document must be reviewed for a complete and accurate understanding of the applicable coverages, and the application of the coverage document to any specifi c situation will require the advice of your entity’s attorney. 2. Please refer to the Declarations pages of the Liability Coverage form for more specifi c information on the limits and sublimits for all coverages. 24 CHAPTER 4 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 28EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 28 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 52 CHAPTER 5 OPEN MEETINGS AND EXECUTIVE SESSIONS By: Tami A. Tanoue, CIRSA Executive Director & Sam Light, CIRSA General Counsel At CIRSA, we’ve seen a steady stream of claims against our members for alleged violations of the open meetings law in the conduct of meetings and executive sessions. Th ese types of claims are usually excluded from most commercial insurance coverages. However, CIRSA provides some defense cost coverage for claims alleging executive session violations by governing bodies. In this chapter, we’ll go over the basics of the open meetings law and summarize CIRSA’s coverage for allegations of open meetings violations. The Open Meetings Law Under the Colorado open meetings law, C.R.S. Section 24-6-401 et seq. (COML), it is “the policy of this state that the formation of public policy is public business and may not be conducted in secret.” Note this statement’s focus on the formation of public policy. Th us, the law intends openness in the policymaking process, and councils and boards are well-served by honoring not only the letter of the COML but the spirit of this purpose statement. Th e core requirement of this law is that all meetings of a local public body (a term which includes the governing body and other formally constituted bodies of a public entity), at which public business is discussed or at which any formal action may be taken are declared to be public meetings open to the public at all times. “Full and timely notice” must be given of all meetings. Th e COML deems this requirement to have been met if notice of the meeting is posted at least 24 hours prior to the holding of the meeting; however, your charter or local ordinances may require posting further in advance. Th e notice shall include specifi c agenda information where possible. No action taken at a meeting is valid unless it meets the requirements of the open meetings law. A “meeting” under the open meetings law includes “any kind of gathering, convened to discuss public business, in person, by telephone, electronically, or by other means of communication.” Th ere are a few exceptions to this core requirement of public openness, and a properly convened executive session may be held to discuss matters that fall into those exceptions. 25 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 29EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 29 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 53 Some of the more commonly arising subjects that are proper matters for an executive session include: • Th e purchase, acquisition, lease, transfer, or sale of any real, personal, or other property interest; • Conferences with an attorney for the local public body for the purposes of receiving legal advice on specifi c legal questions; • Certain personnel matters; and • Determining positions on matters that may be subject to negotiations, developing strategy for negotiations, and instructing negotiators. Th e open meetings law should be reviewed in its entirety for all of the applicable legal requirements, and legal advice should be obtained on its meaning. Home rule municipalities may have their own meeting and executive session procedures established pursuant to their home rule powers; this discussion is not intended to cover the variances in local practice in home rule municipalities. Th e “courts of record” of the state have jurisdiction to issue injunctions to enforce the purposes of the open meetings law. Any citizen of the state may apply for such an injunction. Th e open meetings law states that, in any case in which the court fi nds a violation of the law, the court shall award the citizen prevailing in such action his or her costs and reasonable attorney fees. In addition, a citizen may apply to the court for access to the record of an executive session; if the court determines, aft er listening to the record, that the local public body engaged in substantial discussion of any matters that were not proper subjects for an executive session, or took formal action while in executive session, then the record may be made accessible to the public. Executive Session Coverage Through CIRSA Defense costs coverage for executive session claims is provided to CIRSA property/ casualty members by way of an amendment to the “non-monetary damages, fi nes or penalties” exclusion in the public offi cials liability section of the coverage document. Th is coverage is subject to the following terms: • It applies only to reasonable attorney’s fees and reasonable and necessary costs included in the defense of an action brought solely under C.R.S. Section 24-6- 402(9) of the open meetings law. • It applies only to such an action brought against the member’s governing body; subordinate boards and commissions holding executive sessions do not have this coverage. • It does not apply to any plaintiff ’s attorney fees or costs that are assessed against the member as a result of losing such an action. Such fees and costs must be borne by the member. • Th ere is a sublimit for this coverage that is shared with certain other non- monetary defense coverages. Th e sublimit is $10,000 any one action, subject to a $30,000 annual aggregate per member. Th e member deductible does not apply to this coverage. 26 CHAPTER 5 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 30EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 30 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 54 • Submitting an executive session claim to CIRSA is optional with the member; the member may choose to defend such a claim itself. If a member wants to avail itself of this coverage, the claim must be submitted to CIRSA, for handling by CIRSA-assigned defense counsel, at the time of commencement of the action. A Few Suggestions Th e risks of open meetings violations can be greatly reduced by favoring transparency and using caution in cases of uncertainty. Aft er all, the courts interpret the rules and will resolve doubts in favor of openness. Toward that end, elected and appointed offi cials should be cognizant of when their discussions will trigger open meetings requirements, so that violations can be avoided. To avoid claims of improper notice, a full meeting agenda should be timely posted, and the body and staff alike should avoid adding substantive items to the agenda at the meeting (as claims and distrust can result from such surprises). Of course, claims of executive session violations could be avoided entirely by never having an executive session! However, this may be an unrealistic goal because, as discussed above, there is a legitimate need for confi dentiality in some matters. But consider the following: • Hold executive sessions to the absolute minimum necessary to protect legitimately confi dential matters. • Confi rm with your city or town attorney that the proposed subject of the executive session is authorized under the law. Th e statutory bases for having an executive session are specifi c and narrowly construed, and bodies should resist eff orts to pound a square peg in a round hole in searching for authority where it does not exist. • Utilize an executive session “script” to help guide you in the proper procedures for convening an executive session. CIRSA members may obtain a CIRSA sample by contacting saml@cirsa.org. • When participating in an executive session, be vigilant of yourself and others to make sure that the discussion doesn’t stray from the specifi c subject that was announced in the motion to go into executive session. Participants in the executive session must commit to “stay on topic” and not stray from the specifi c subject. • Make sure you keep an electronic record of each executive session as required by the open meetings law. Th e only exception to the recording rule is an executive session for an attorney-client conference; these sessions should not be recorded. • Stay out of the loop on personnel matters when feasible. One of the more common reasons for holding an executive session is the discussion of a personnel matter. However, if the employee who is the subject of the executive session so demands, the discussion must be done in public. Moreover, personnel matters that are not personal to a particular employee are not proper subjects for an executive session (unless some other lawful basis for holding an executive session applies). Th ese and other complexities of the “personnel matters” basis for holding an executive session can be avoided if your personnel policies have been set up in a manner that delegates most personnel matters to your staff . 27 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 31EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 31 6/4/2019 1:02:43 PM6/4/2019 1:02:43 PM 55 • If you have to take one of your own governing body members to the “woodshed,” don’t do it in an executive session. Some years ago, the “personnel matters” basis for holding an executive session was amended to state that executive sessions are not permitted for discussions concerning any member of the local public body or appointment of a person to fi ll a vacancy on the local public body. Th us, the idea that the governing body can convene in executive session to discuss one of its own members as a governing body “personnel matter,” is no longer viable. • If the confi dentiality of a matter is such that it warrants an executive session, then be sure to honor that confi dentiality once the executive session is over, until and unless public discussion of the matter becomes legally permissible. Don’t act outside the scope of your legal authority as an individual member of the governing body to waive confi dentiality on your own. If the executive session concerns negotiations or other matters where some information will be shared with third parties in follow up to the session, ask “Who are our spokespersons?” and “What information will we share at this time?” and honor the answers arrived at in the session. Conclusion Open meetings missteps are hard to overcome in terms of maintaining your constituents’ trust in you. Further, each and every executive session your entity holds exacts a price in terms of expectations of open government and, if done improperly, can subject your entity to claims. By complying with the strict requirements of the open meetings law, keeping executive sessions to the minimum necessary, and observing all of the formalities for holding meetings and executive sessions, you can keep that price low and public confi dence high. 28 CHAPTER 5 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 32EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 32 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 56 CHAPTER 6 ETHICAL CONDUCT IN LOCAL GOVERNMENT By: Robert Widner, Widner Juran LLP Introduction Citizens have a right to expect ethical behavior from local government offi cials. In the municipal context, “ethical behavior” generally means the conduct of public business in a manner that will preserve or restore the public’s trust in government. In many instances, local government offi cials are unaware of the rules and guidelines governing their offi cial behavior. Th is chapter outlines a basic regulatory framework for ethical behavior for local government offi cials and advocates on the premise that limited but enforceable local regulation is necessary to protect the public trust. Th e fi rst part of this chapter focuses upon “what” ethical activity should be regulated at the local level. Th e second part focuses upon “how” local ethical standards should be enforced. Why Regulate Local Ethics? Both media stories and national studies of local government decision-making highlight the need for regulation of ethical behavior by local government offi cials. Unfortunately, ethical violations do occur at all levels of government and may range from the use of a public offi ce to help a friend secure special treatment from the government to corruption, self-dealing, or just plain poor decision-making. Although the vast majority of public offi cials ably conduct offi cial business without ethical missteps, a single publicized violation can cast a cloud upon the entire government organization and raise suspicion that other public offi cials are engaged in similar misconduct. Simply put, ethical violations erode public trust. Colorado state law attempts to describe appropriate standards of conduct for local government offi cials in Title 18, Article 24 of the Colorado Revised Statutes. Th e state law fails in many respects to articulate clearly the standards for ethical behavior or to defi ne key statutory phrases, such as what constitutes “personal or private interest.” State law further fails to serve the needs of local government by delegating the enforcement of alleged local ethical violations to the local district attorney’s offi ce. Th is delegation oft en proves ineff ective as it requires district attorneys to divert their limited resources from the enforcement of criminal conduct to the investigation and enforcement of 29 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 33EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 33 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 57 state misdemeanor ethical misconduct. Moreover, enforcement of statutory standards of conduct against elected public offi cials by elected district attorneys can—fairly or unfairly—lead observers to assume that politics, rather than justice, will dictate the outcome. In addition to state statutory law, in 2006 the Colorado voters enacted Amendment 41, a constitutional citizen initiative. Amendment 41 was codifi ed into Article XXIX of the Colorado Constitution. Th e purpose of Article XXIX was to establish new statewide rules governing the receipt of gift s and other considerations by government offi cials. It also allows a state independent ethics commission to hear complaints, issue fi ndings, and assess penalties in connection with ethics issues arising under Article XXIX and under any other state standards of conduct and reporting requirements. Th e state’s independent ethics commission has proven a less than eff ective means of addressing ethics at the local level due to lengthy hearing timelines and the need for local offi cials to defend conduct in a state tribunal located in Denver using state, and not locally, created and imposed ethics regulations. Of signifi cant importance to the creation of local ethics regulation, Article XXIX includes an explicit exemption which limits the state’s independent ethics commission’s jurisdiction: Home rule municipalities that have enacted local ethics codes which address the topics of Article XXIX are not subject to the jurisdiction of the independent ethics commission. Municipalities may overcome these state statutory and constitutional shortcomings through local regulation and local enforcement of ethical behavior. Eff ective local regulation of public offi cials’ ethics necessarily involves two distinct elements. Th e fi rst is a set of clearly written directives identifying what constitutes unacceptable or unethical behavior. Th e second is a process for enforcing the written directives in a reasonable, fair, and effi cient manner.1 What Should be Regulated? Th e most common problems with local rules of ethical conduct are vagueness and overbreadth. Sweeping general statements such as “city offi cials should comport themselves at all times in a professional manner” are too vague to help either the offi cials or their constituents understand what is and is not acceptable. Likewise, regulations that attempt to set standards for the offi cials’ personal life may seem admirable, but are really beyond the scope of good ethical regulation. Consequently, any set of ethical regulations should focus on the conduct of public offi cials while performing their public duties and should be specifi c enough to clearly defi ne what constitutes an ethical violation. Engaging in criminal conduct while in the course of one’s public responsibilities should always be an ethical violation. However, criminal acts committed by public offi cials outside of their offi cial role and in their private capacity are best left to local law enforcement or, as discussed below, the public’s right of recall. It may be true that a public offi cial’s criminal activity unrelated to public offi ce can still undermine public trust, but if your ethical code provides that “any felony or misdemeanor criminal activity” committed by a public offi cial constitutes an ethical violation, are you prepared to sanction a board or council member who receives a jaywalking ticket? A criminal act committed by a public offi cial in his private life will typically only call into question the qualifi cations of that particular public offi cial to serve the public. To that end, 30 CHAPTER 6 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 34EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 34 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 58 state law provides a remedy in the right of recall, a process by which the voters can decide whether that individual should continue to serve. Local ethical regulations, however, should avoid putting members of the municipal governing body in the role of overseeing and enforcing the private activities of one of their own. It is also customary, and a good idea, for local ethics regulations to incorporate as an ethical violation any failure of the public offi cial to adhere to important provisions of the municipal charter or ordinances, such as provisions that prohibit elected offi cials’ interference with the city manager’s supervisory role over city employees. In addition, ethics regulations should prohibit: • the intentional disclosure of confi dential governmental information; • the acceptance of gift s of substantial value; • the misuse of public resources or public equipment; and • engaging in contractual relationships for the personal benefi t of the public offi cial and/or the offi cial’s relatives or any business in which the offi cial has an interest. In summary, local ethical regulations should prohibit the conduct that will most directly impair the public’s trust in the local government organization as a whole. If draft ed with appropriate attention to specifi city, eff ective local regulation will put public offi cials on notice of precisely what constitutes inappropriate behavior related to their public service, and will clearly inform constituents of what is expected of their local representatives. Accompanying the regulations should be well-defi ned steps for disclosure and recusal in circumstances giving rise to confl icts of interest. Finally, local codes should include terms and phrases designed to avoid vagueness and ambiguity. How Should Ethics Codes be Enforced? Ethics regulations eff ectively inform offi cials what conduct is permitted and prohibited in public service. However, without a means to enforce the ethical requirements, the regulations become largely meaningless. Creating a process to enforce ethical regulations requires careful thought. Ensuring that the regulations are enforced fairly is a paramount concern. Fair enforcement is fostered when regulations clearly articulate the requirements and expectations of every step of the enforcement action. Where a step is optional, such as whether an investigation of the ethics complaint will be performed, the criteria and procedures for determining whether the step will be employed should be clearly identifi ed and followed. Th e regulations should contemplate the need for issuing subpoenas for documents and compelling witness testimony and attendance. Th e typical process will include a complaint, the identifi cation of the hearing body or hearing offi cer, an initial review, investigation, a hearing, a decision and, if appropriate, a penalty. Complaint Th e initiation of the process to enforce an ethical standard should require a written complaint or allegation of unethical conduct. Th e form of the written complaint is 31 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 35EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 35 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 59 important. Th e person charged with unethical conduct has a right to know what conduct is alleged to have violated the ethical rules. At a minimum, the complaint should include a detailed description of the action alleged to have violated the rules and citation to the ethical rules alleged to be violated by such conduct. Requiring the complaining party to verify or certify under penalty of perjury or other sanction that the allegations are truthful may aid in preventing complaints that are merely intended to harass or which might be politically motivated. Once received, the complaint must be must formally delivered or served upon the person alleged to have violated the rules. Hearing Body or Officer A critical decision for any ethical enforcement action is the selection of the appropriate hearing body or offi cer to hear the allegations, render a decision, and impose a penalty, if appropriate. Th e enforcement regulations should identify the process for selection, composition, and qualifi cations of the hearing body or hearing offi cer. Th e options are numerous. Th e hearing body might, for example, be composed of the entire governing body of the local government, a governing body subcommittee, a citizen ethics board, or an independent hearing offi cer. Moreover, the decision of the hearing body or offi cer can be considered advisory and made subject to fi nal review and ratifi cation by the governing body. Each option presents advantages and disadvantages. Th e elected governing body is a logical selection when judging the conduct of its fellow members or public servants due to its role as representing the citizens who demand ethical action by government. However, selecting the governing body or individual members of the governing body risks injecting elements of political favoritism into the ethics process, and raises complications where other members are necessary witnesses to facts alleged in the complaint. Similarly, while citizen members have a direct interest in ethical governmental action, citizens can oft entimes be politically aligned with elected offi cials or lack the experience to understand the allegations in the context of public service. Individual hearing offi cers, while perhaps free of any political motivations, may lack accountability to the citizens. Initial Review A preliminary or initial review of the complaint may be a benefi cial step. A complaint may fail to assert any actions by the public servant that constitute an ethical misstep or may assert actions that are unrelated to the servant’s public duties. In addition, a complaint may, on its face, be submitted for the sole purpose of harassing the public servant. At a preliminary review, the hearing body or offi cer can elect to dismiss the complaint, thereby saving the local government time and money in processing spurious or specious allegations. Any decision to dismiss the complaint should be made in writing and provided to the complaining party and the person against whom the allegations were raised. 32 CHAPTER 6 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 36EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 36 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 60 InvestigationFor some but not all complaints, an investigation might be warranted. If warranted and approved by the hearing body or offi cer, the investigation should be undertaken by an independent and neutral party. Th is investigation might involve the interview of witnesses and review of the evidence, and may culminate in a written summary of disputed and undisputed facts relevant to the issues to be decided by the hearing body or offi cer. Hearing For complaints that warrant prosecution, a hearing should be held to consider the complaint. In some circumstances, the hearing may include a preliminary stage whereby the hearing body or offi cer reviews the investigative report and, if appropriate, may elect to dismiss the allegations if the investigation established that the evidence does not support a fi nding of wrongdoing. Conducted in a manner similar to a judicial proceeding, the hearing should permit the presentation of evidence to support the allegations of unethical conduct and an opportunity to provide a defense against the allegations. Th e local government may employ a prosecutor to present the allegations and evidence. Any decision by the hearing body or offi cer should be made in writing to ensure an adequate record and formally conclude the proceeding. Decision and Penalty In the event that the hearing body or offi cer fi nds a violation of the ethical standards, a penalty may be in order. Obviously, the severity of the penalty can vary depending upon the seriousness of the violation. Penalties may range from a simple letter of admonition or censure, to removal of the public servant from certain duties or responsibilities, to more drastic action including removal from elective offi ce. It is exceedingly rare for ethical violations to result in a monetary fi ne. A monetary fi ne or action to void a contract resulting from unethical conduct is most appropriate where the ethical violation caused probable fi nancial harm to the community. Th ese types of violations are best prosecuted by the district attorney under the public trust provisions of state law. Importantly, removal from offi ce is a power best reserved for the governing body which holds the power of removal pursuant to the charter (for home rule municipalities) or state statutes (for statutory cities and towns). Moreover, it is important to acknowledge that elected offi cials remain accountable to the citizens and are subject to recall from offi ce should their constituents feel the ethical standards of their offi cial are lacking. For that reason, removal from offi ce should be considered only in the most egregious cases. 33 Footnote: 1 . Many home rule and statutory municipalities in Colorado have adopted local ethics regulations, ranging from comprehensive charter provisions and ordinances to a few local supplements to state law. CIRSA members can obtain examples of local ethics ordinances by contacting saml@cirsa.org. EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 37EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 37 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 61 34 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 38EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 38 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 62 CHAPTER 7 HARASSMENT ISSUES: WHAT ELECTED OFFICIALS NEED TO KNOW By: Tami A. Tanoue, CIRSA Executive Director Introduction Harassment allegations have been a media fi xture for the past few years, as the “me too” movement spreads across the world of entertainment, media, the corporate sector, and even into federal, state, and local government. In municipal government, many of us feel like seasoned veterans in dealing with harassment issues. At least in the employment arena, we know how to deal with harassment. We have the policies in place, and we take them seriously. We do regular training on the issues. We know how to undertake a fair and credible investigation when allegations surface, and we understand the need to impose appropriate consequences for well-founded allegations. But now, harassment issues are surfacing at the level of governing bodies and elected offi cials. Like an unexpected virus variant, this permutation has left some municipalities unprepared to deal with the consequences. Th e results have included ineff ective responses, public embarrassment, and loss of public confi dence. Why Should You Care About Harassment Issues at Your Level? You might be thinking that the governing body working environment is not the same as the employee workplace. You’re all co-equals, elected by and accountable only to the voters. Th e people “hired” you, and the people are the only ones who should be able to “fi re” you. You each got into this voluntarily for the love of your municipality, and not as your livelihood, and those who can’t stand the heat should get out of the kitchen. Right? Well, wrong! Let’s start by looking at your place in the municipal organization. You’re at the very top of the organizational chart and the chain of command. As such, you are a key infl uencer of the organizational climate. A recent study concludes that the organizational climate is the most potent predictor of harassment in the workplace!1 You’re setting the tone for how people throughout the organization interact with one another. If the tone you set is disrespectful, inhumane, or dysfunctional, then that behavior will be modeled and replicated throughout the organization! Do you want that? 35 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 39EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 39 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 63 Another reason you should care: the higher up in the organization a harassment issue surfaces, the more diffi cult it is to deal with. Because of legal requirements and public expectations for transparency, you must necessarily conduct most of your work in public. If you think that a harassment allegation at your level can be dealt with behind closed doors, you may be disappointed. Also, the consequence for a well-founded allegation of harassment isn’t straightforward when it comes to an elected offi cial. How is an elected offi cial to be “disciplined” by his or her peers? Concepts such as “corrective action up to and including termination” don’t necessarily translate well when applied to elected offi cials. And assuming you’ve laid out a process for dealing such allegations, who gets involved in that process? Th ose in the administrative team who normally provide you with support, advice, and assistance may well say, “sorry, this is above my pay grade,” requiring you to go outside your organization, at great expense, for help. Policies, Legal Definitions, Civil Liability Laws, and Their Limitations Th e defi nition of “harassment” diff ers from policy to policy. One common factor, though, is that harassment generally must be “severe or pervasive” in order to constitute a policy violation. Th e “severe or pervasive” standard is consistent with the U.S. Equal Employment Opportunity Commission’s (EEOC) view of off ensive conduct that violates Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, or the Americans with Disabilities Act of 1990: the conduct must be severe enough that enduring the off ensive conduct “becomes a condition of continued employment”; or must be “severe or pervasive” enough to create a work environment that a reasonable person would consider intimidating, hostile, or abusive.2 Th us, policies, as well as civil rights laws aff ording protection from harassment, set a high bar for liability. A common question, then, becomes: “well, if my conduct is short of ‘severe or pervasive,’ there’s no problem, right?” Stated diff erently, if someone’s behaving badly, but the behavior doesn’t quite hit the high bar for a policy violation or for civil liability, does that make the conduct acceptable? Another form of liability is criminal culpability. How oft en have you heard someone justifying their bad behavior in this way: “Well, I haven’t committed any conduct that could be described as criminal.” Does that make the conduct OK? Let’s think about this! In any other aspect of your work as a public offi cial, is the standard for acceptable conduct this low? When it comes to ethical or confl ict of interest issues, for example, would we be able to get by with a low bar like “well, just don’t commit a crime,” or “just don’t expose yourself or our municipality to civil liability”? No! Municipal offi cials pride themselves in meeting the highest standards of conduct when it comes to ethical issues or confl icts of interest. So why should we set such a low bar for the way we behave towards one another? And here’s another critical issue. Harassment laws are generally aimed at employment matters: employee-employee issues, supervisor-employee relationships, employer- employee responsibilities, and the like. Th ese laws aren’t designed for issues between elected offi cials, who aren’t employees, aren’t accountable to an employer, and are beyond 36 CHAPTER 7 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 40EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 40 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 64 the reach of common workplace remedies like termination, suspension, demotion, etc. Th us, you’ll run across investigations of elected offi cials’ conduct that might reach a conclusion along these lines: “Th e allegation of a hostile work environment based on sexual harassment was unfounded. Th is conclusion is reached because the Civil Rights Act of 1964 does not apply to elected offi cials.” But, does that make the conduct acceptable? Should exposure to civil liability be the standard by which conduct is gauged? Most reasonable people would not live their lives by the guideline, “I’m OK as long as I avoid civil or criminal liability.” We would want to hold ourselves to a much higher standard! And, as leaders, we certainly wouldn’t want to model such a low bar for the rest of the organization. So let’s ditch the legal parsing. Let’s focus away from the “h” word, harassment. Let’s not spend too much time arguing over defi nitions. What we need to do is to confront and articulate the expectations we should have for ourselves, and for our colleagues, in the environment in which we operate. Risk Factors for Harassment Th e EEOC has been doing some interesting work around harassment issues in recent years. Risk factors have been identifi ed that, if present, increase the likelihood that there will be harassment issues in the workplace. You can view the complete list on the EEOC’s website,3 but some of the risk factors include: • Homogeneity – lack of diversity, “currently only one minority among us.” • Workplaces where some employees don’t conform to workplace norms – “rough and tumble” or single-sex dominated workplace culture. • Cultural and language diff erences – arrival of new personnel with diff erent cultures or nationalities; segregation of personnel with diff erent cultures or nationalities. • Workplaces with “high value” personnel. • Workplaces that rely on customer service or client satisfaction. Could any of these factors apply to your governing body? For example, if diversity in terms of gender, race, ethnicity, age, and other factors is a new phenomenon on your governing body, then one might expect misunderstandings and gaff es to occur. Certainly, elected offi cials are “high value” personnel within the organization; there’s no one higher in the org chart than you! And most municipalities pride themselves on a high degree of customer service and customer satisfaction. Th ese are all things to be proud of—but they are also factors for the presence of harassment issues. So, What Can We Do? If you’ve read this far, congratulations! You’re more than halfway towards dealing with these complex issues in a positive and successful way. Th e recent work of the EEOC includes a recognition that a “committed and engaged leadership” is one of the most important factors in preventing and addressing harassment.4 So the fact that you, as an organizational leader, care about this issue is a great thing in itself. 37 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 41EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 41 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 65 First, take a look at the prevailing culture on the governing body. Are old ways of interacting with one another no longer working well? Or making some members feel like less than equal participants on the governing body? Have you had complaints or concerns raised about the behavior of one or some members? If so, it may be time to discuss the prevailing dynamics openly and honestly to start identifying the concerns. Once you know what the concerns are, then you can begin discussing how to deal with them. You can identify what types of conduct are not acceptable. You can identify the values that are important to the group. You can work towards commitments about how you will communicate and interact with one another. Th ose commitments can form the basis for norms or standards of conduct. Not everyone may end up on the same page, but the “peer pressure” brought about by the consensus of a majority is powerful! If you can get on the same page on norms or standards of conduct, it may be desirable to put them into a written document, perhaps a set of governing body rules of conduct. Th e rules can articulate the standards explicitly, so that everyone understands what is expected. A process for bringing forward concerns or complaints can be identifi ed, as well as the manner in which such concerns or complaints will be investigated. CIRSA members can obtain an example of such rules by contacting tami@cirsa.org. And very importantly, the rules can provide consequences for violations of the standards. Th ose consequences may be limited by your home rule charter (for home rule municipalities) or the state statutes (for statutory cities and towns). But even if the consequences don’t necessarily include a severe consequence like expulsion from the governing body, they are still powerful! Even a “public censure” is a powerful consequence; your wayward colleague, as well as the citizens, will understand that you take your conduct standards seriously and that violations are unacceptable. Bystanders and Peers It’s important to stress that we are all leaders, and we all have a role to play. Each of us is likely a supervisor, role model, or mentor to someone else. We may be part of a peer’s support system, sounding board, or confi dant. We may even just be a witness. And that’s where the concept of “bystander” empowerment or intervention—another concept recently embraced by the EEOC5 — comes in. Perhaps “peer” would be a better term than “bystander,” but the idea is this: that someone who doesn’t directly experience concerning behavior, but who observes it happening, can step in and make a diff erence. Th is doesn’t necessarily mean that you, as a bystander or peer, should intervene superhero-style, to swoop in and “rescue” someone that you think may be in a problematic situation. Indeed, you don’t need to expose yourself to a situation that could escalate. But what you can do is to talk to that person away from the situation: let him or her know that you saw what was happening. Say something like, “Hey, I happened to hear what Kyle said (or did) to you, and I didn’t think it was OK. Were you OK with that?” If the person responds in the affi rmative, fi ne; you can all move on. But if the person indicates that the behavior to which he or she was subjected was a problem, then think of the impacts of your intervention! First, that person knows that he or she is not alone: you are a witness. Second, you are affi rming that the behavior is not 38 CHAPTER 7 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 42EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 42 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 66 acceptable. And third, you can be of help in identifying resources for further follow-up. Bystander intervention is about empowering yourself to be part of the solution. If you’re comfortable doing so, you can talk to the person engaging in the problem behavior: “Th at joke wasn’t funny.” Or, maybe the situation calls for some kind of interruption…maybe standing in proximity will extinguish the behavior. Or, perhaps, drop something on the fl oor and create a small diversion! Th ere are other ways in which a bystander or peer can positively aff ect a problem situation. Training on this topic is available and can provide a powerful peer-to-peer tool for communicating and reinforcing workplace values.6 Although a formal complaint/ follow-up process should always be available, an eff ective bystander or peer intervention may help resolve issues without the need to escalate them into a formal process. Conclusion: It’s All About Respect In the fi nal analysis, this discussion shouldn’t be about the “h” word, harassment. It should be about the “r” word, respect. A working environment where everyone’s scrutinizing whether the harassment line has or hasn’t been crossed in any given interaction is not a good working environment. A working environment where everyone’s striving for a sense of mutual respect, trust, collegiality, and inclusion, is an environment where things are going to get done, and done well. Footnotes: 1. National Academies of Sciences, Engineering, and Medicine, 2018: Sexual Harassment of Women: Climate, Culture, and Consequences in Academic Sciences, Engineering, and Medicine. Washington, DC: Th e National Academies Press. https://doi.org/10.17226/24994. 2. https://www1.eeoc.gov/laws/types/harassment.cfm?renderforprint=1. 3. https://www.eeoc.gov/eeoc/task_force/harassment/risk-factors.cfm. 4. https://www.eeoc.gov/eeoc/publications/promising-practices.cfm. 5. https://www.eeoc.gov/eeoc/task_force/harassment/report.cfm. 6. https://hbr.org/2018/10/to-combat-harassment-more-companies-should-try-bystander-training; https://www.ocwr.gov/sites/default/fi les/compliance-bystanders.pdf. 39 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 43EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 43 6/4/2019 1:02:44 PM6/4/2019 1:02:44 PM 67 40 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 44EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 44 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 68 CHAPTER 8 ELECTED OFFICIALS’ INVOLVEMENT IN PERSONNEL MATTERS By Tami A. Tanoue, CIRSA Executive Director and Sam Light, CIRSA General Counsel Introduction CIRSA doesn’t take many member cases all the way through trial. When we do, it’s usually because we expect a jury verdict in our member’s favor. But one area where we’ve sometimes been disappointed by a jury has been in the area of employment liability. CIRSA members’ experience with employment claims in the judicial system refl ects certain realities. Every juror has probably had to deal with a “bad boss” at some time in his or her working life. It’s much harder to fi nd a juror who’s had to deal with “bad employees” as a manager or supervisor. So juries are naturally tilted in the employee’s favor rather than the employer’s. Another reality is that employment litigation is extremely stressful. Careers and reputations are at stake. Th e supervisor’s and manager’s (and sometimes elected offi cial’s) every move is subjected to scrutiny, and the documents they’ve generated are nit-picked by attorneys and blown up into super-sized exhibits. One’s fate is entrusted to the decision of a group of complete strangers. Sometimes, that fate is a dire one, indeed. One mayor in New Mexico (which is in the same federal circuit that encompasses Colorado) was handed a verdict in which a jury determined that his retaliatory and discriminatory conduct in an employment matter warranted a punitive damages award of $2,250,000 against him.1 Even when the stakes aren’t that high, no one who’s ever been through employment litigation relishes the thought of ever going through it again. Th e suggestions in this chapter are intended to help you, as an elected offi cial, to minimize the chances that you’ll be caught up in employment-related litigation and, if you are, to maximize the chances of a better outcome than that faced by the New Mexico mayor. 41 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 45EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 45 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 69 Establish a Structure That Allows Delegation of Personnel FunctionsIn a word, the single most important suggestion is: delegate! Th e chances that you’ll be pulled into an employment claim, much less sued successfully, go way down if you’ve appropriately delegated the responsibility to hire, train, evaluate, supervise, manage, and discipline all but your key employee or employees. To do this, you need to have an administrative structure in place that will permit delegation, such as a manager or administrator form of government. If your entity is fortunate enough to have a manager/administrator, the governing body should take full advantage of the organizational structure this position allows. Th e manager/administrator should be the only position (except for city/town attorney, municipal judge, and similar positions) that reports directly to the governing body. All other personnel should be accountable to the organization solely through the manager/ administrator. Every organization that has more than a few employees should strive to put such a structure into place. Honor the Structure Once you’ve achieved a manager/administrator form of government, you must honor it. Th ese types of actions, if allowed, would violate your commitment to that form and waste the resources that you’ve allocated to it, and encourage dysfunction and disorder: • Elected offi cials reaching down below the level of the manager/administrator to infl uence what goes on with personnel administration below that level. • Elected offi cials reaching down below the level of manager/administrator to give orders to employees below that level on how to do their job, particularly if the orders are contrary to the established policies and/or the direction of their supervisors. • Elected offi cials permitting an employee below the level of manager/administrator to bypass his/her own supervisor and take personnel issues directly to them. Th us, for instance, if your entity has committed to a manager/administrator form, there’s no call for elected offi cials, individually or collectively, to demand the hiring or fi ring of a specifi c employee below the level of manager/administrator. Such an action raises questions of propriety from several perspectives: • Do your personnel enactments reserve any such authority to the elected offi cials? If you have a manager/administrator, your charter, ordinances and/or personnel handbook probably don’t (and shouldn’t) call for you to be involved in decisions involving subordinate employees. If you get involved in such decisions, you may be outside the scope of your authority and could get in trouble (see “Be aware of the scope of your authority” below). • What’s the reason for doing an “end run” around the manager/administrator? Do you have a “favorite” candidate for employment, or an employee who’s on your “hit list”? Why are you championing or condemning someone rather than trusting your manager/administrator to make the right decision? Do you question his or her judgment or ability to make the right choice? If so, confront that concern; 42 CHAPTER 8 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 46EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 46 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 70 don’t skirt it with an “end run.” And, if the governing body does not share your concern about the manager/administrator, don’t “end run” your governing body’s collective decisions on oversight of its direct reports. • Could what you’re doing be perceived as retaliatory? Along with all the other reasons why involvement in personnel matters can be very risky, consider the retaliation claim. Everyone is potentially in the category of persons who are legally protected from acts of retaliation. Retaliation claims are among the most diffi cult to defend. And, these kinds of claims can lead to massive liability. But oft en, it’s not the elected offi cial who seeks, in the fi rst instance, to become inappropriately involved in a personnel matter. Rather, there’s pressure put on the offi cial from outside. For instance, a department head may have curried disfavor with a segment of the citizenry because of the perceived manner in which a service or program is being carried out. Either way, though, such involvement is the wrong thing to do. Don’t be pressured by a member of the public, for instance, to interfere in a personnel issue that’s been delegated to the manager/administrator. Th at citizen’s not going to be around to help you if you get into trouble at his or her urging! Similarly, don’t give in when a subordinate employee is trying to use you to get around his or her supervisor, or when an applicant is trying to get a leg up on employment through you. Let the process unfold the way it’s meant to unfold. If you have a concern about the way the manager/administrator is handling things, address that concern directly. If you cave in to pressure to involve yourself inappropriately, though, you may be enabling someone who wants to “game the system,” or unfairly disempowering a manager or supervisor. Be Aware of the Scope of Your Authority, and Stay Within That Scope From a liability standpoint, one of the worst things you can do is to act outside the scope of your legal authority. An area where authority issues oft en arise, particularly in smaller communities, is in the “committee,” “commissioner” or “liaison” format for personnel administration. In this format, an individual councilmember or trustee is in a supervisory or oversight relationship with respect to a department, department head, or employee. Th us, a town might designate a trustee as “water commissioner,” “police commissioner,” etc. What’s troubling about this format is that it’s oft en not described anywhere in the community’s enactments, nor is the authority of each commissioner set forth in writing. Rather, this format seems to be a relic of oral history and tradition. But the lack of written guidelines means that there are signifi cant personal risks to the commissioner. What if the commissioner takes an adverse job action, such as seeking to terminate an employee? Under what authority is the commissioner acting? If the commissioner can’t prove that the action was within the scope of his or her authority, there may be consequences from a liability and insurance coverage standpoint. Th e Governmental Immunity Act, for instance, provides protections for public offi cials only when in the performance of their authorized duties. Likewise, liability coverage 43 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 47EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 47 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 71 protections through CIRSA only apply when a public offi cial is acting within the scope and performance of offi cial duties. Finally, even if there is authority on the books, this format in particular can lend itself to uncertainty over who does what—“Is this a decision for the board, commissioner or department head?” Similar questions arise when an individual elected offi cial chooses to become involved in a personnel matter in a way that isn’t authorized by the entity’s personnel enactments. Where is the authority for such involvement? If you can’t fi nd a fi rm source of authority, you may be heading for trouble. An individual elected offi cial’s inappropriate action can not only create liability exposure for the offi cial, but put him or her crosswise with the other members of the governing body. Respect the Principle That Each Employee Should Have Only One Boss Th is seems like an obvious principle that every organization should follow. You don’t want an employee confused by multiple directions from multiple supervisors. You also don’t want an employee playing one supervisor off against another. When elected offi cials become inappropriately involved in personnel matters, this basic principle is violated, and the result is chaos. If you allow yourself to become embroiled in a personnel matter involving a subordinate employee, the employee may then feel that the word of his or her supervisor can be disregarded. You may have forever undermined that supervisor’s authority, or allowed the subordinate to do so. Likewise, if you were involved in lobbying for the hiring of a favorite applicant (even if it was for good reasons), that person may always feel that you, not his or her supervisor, are the go-to person on personnel issues. Similar principles apply with respect to your governing body’s oversight of its manager/ administrator and other direct reports. Elected offi cials should recognize the council/ board is not a group of seven or other multiple number of bosses, but one boss. Th erefore, members of the body should commit themselves to speaking with one voice to their direct reports and to exercising their oversight role—e.g. performance reviews, goal setting, etc.—as a group. Even when there are diff erences of opinion as to how to address an issue with the manager/administrator, the body should arrive at its position. If the governing body does not work to speak with one voice to its direct reports, it’s undermining its credibility as a board and its ability to gain accountability at the highest levels in the organization. Th is is not to suggest that a militaristic chain of command is required in every workplace. In fact, fl exibility in reporting relationships is desirable in some situations. For instance, you wouldn’t want to lock your employee into reporting a harassment claim only to an immediate supervisor, if the immediate supervisor is the one alleged to be engaging in the harassment. But you can maintain the needed fl exibility without collapsing into the chaos that your inappropriate involvement in personnel matters will beget. 44 CHAPTER 8 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 48EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 48 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 72 ConclusionTh ere’s certainly a place for elected offi cial-level decision-making in personnel matters, but those decisions should be reserved for the high-level issues that involve the entire organization. Examples of such high-level issues could include establishing overall policies for the entity; selection, evaluation, and discipline for the council/board’s few “direct reports”; salary and benefi ts plan for the workforce; and overall goals and priorities for departments. But when these issues begin devolving into the details of hiring, training, evaluating, supervising, managing, or disciplining particular employees below the level of your direct reports, it’s time to delegate them to your manager/administrator. Footnote: 1. Th e award was later reduced to $1,500,000 but affi rmed by the 10th Circuit Court of Appeals. Hardeman v. City of Albuquerque, 377 F.3d 1106 (10th Cir. 2004). 45 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 49EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 49 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 73 46 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 50EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 50 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 74 CHAPTER 9 SOCIAL MEDIA USE BY ELECTED OFFICIALS By: Tami A. Tanoue, CIRSA Executive Director & Sam Light, CIRSA General Counsel Social media engagement has become a regular part of life. Daily, we check our emails and texts, and then probably go on to check our favorite social media sites, such as Facebook, Instagram, Twitter, and others. Local governments and their constituents are also mutually interested in connecting via social media, whether to conveniently transact business or provide timely information about everything from street closures to street festivals. So it’s no wonder that elected offi cials, too, have integrated social media into their public lives. But if you’re an elected offi cial, you should know that, because of the powers and responsibilities conferred on you by virtue of your position, your social media use has some legal dimensions that may not apply to the rest of us. Th is chapter explores a few of them. Open Meetings Law While Chapter 5 outlines the basics of the Colorado open meetings law (COML), it’s worth examining more specifi cally how its requirements can extend to your social media use. Consider this scenario: You have a Facebook page for yourself under the category of “Politician.” You post information about city happenings and resources, and welcome others to post there as well. One day, you post on a controversial topic that the council will be tackling at its next meeting, and two of your fellow councilmembers get wind. All three of you go back and forth posting about your respective views and how you intend to vote on the topic. Is this a “meeting” within the meaning of the open meetings law? Well, it seems at least arguable that it is! Remember, a “meeting” under the law includes a gathering convened electronically to discuss public business. When there are three or more members of the local public body (or a quorum, whichever is less) participating in such a gathering, that can trigger the notice and “open to the public” requirements of the law. If triggered in this type of social media discussion, how do you comply with the 24-hour “timely” posting requirement in the COML when you’re posting on Facebook? How do you meet the “open to the public” requirement? Th ese are questions for which there are not clear answers, but you see the point…discussions of public business by the requisite number of governing 47 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 51EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 51 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 75 body members can certainly take place in an electronic forum, and then these questions (and others) may come into play.Constitutional Concerns A scenario: You post about the upcoming agenda item on your Facebook page featured in the previous scenario. For some reason, the discussion on the post starts to go completely sideways, with lots of negative comments, including some hateful attacks from the citizen you defeated in the last election, and some uncalled-for memes and photos. You decide the hateful attacks aren’t helpful to the discussion—keep it positive, people!—and so you “block” your prior campaign rival from posting and you start deleting some of the particularly disagreeable comments. A few days later you ultimately decide that the better part of valor is to just delete the whole darn post. Did your act of “blocking” your rival raise free speech concerns? It may well have! Remember, the constitution provides strong protections for free speech and generally prohibits the government from censoring speech that occurs within those venues established for the open exchange of ideas on matters of public concern. Th ese principles have raised the question of whether a public offi cial’s Facebook page or Twitter account is a public forum such that commenters cannot be blocked, or their comments removed, based on their content. While the law in this area is still developing, a few courts have concluded that if a public offi cial has a social media page or feed that essentially “walks and talks” like a governmental forum, then the medium is a public forum subject to the principles regulating free speech. So, for example, where an elected offi cial designates the page as their offi cial page as a member of an elected body, uses the page to communicate with constituents as an elected offi cial about government events, and invites followers to use that page for discussion of any topics relating to the government, the offi cial cannot block persons who post critical content. Th e takeway? A social media site can be a great way to communicate with constituents but if that’s how you use your accounts, don’t block people from posting. Also in the above scenario, if you’ve decided to delete the whole darn post: Are the post, and the comments, considered “public records” within the meaning of the Colorado Open Records Act (CORA)? Again, it seems at least arguable that they are! Th e term “public records” is defi ned to include “the correspondence of elected offi cials,” subject to certain exceptions. And public records are open for public inspection and copying. Your municipality has most likely adopted a records retention and destruction schedule that governs how long various documents, including electronic documents, must be maintained prior to destruction. So, could someone request a copy of a post that was on your Facebook page under CORA? What if you deleted the post? Is there a record retention schedule that applied? Was that schedule violated when you deleted the post? More of those infernal questions for which there isn’t a clear answer…but you see the point! If there’s a chance that the posts are subject to CORA, then it might be smart to tolerate the replies you get on your post. Alternatively, make sure you have some reasonable and defensible posting rules in place so that everyone knows up front your expectations for your page. 48 CHAPTER 9 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 52EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 52 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 76 Quasi-Judicial Rules of EngagementA further word of caution on social media concerns your duties as a decision-maker in quasi-judicial matters. Consider this scenario: A site-specifi c land use application is scheduled to be considered by the planning commission on an upcoming agenda, with the commission’s recommendation to be referred to the council for fi nal action at a later date. You consider the proposed use to be an extremely controversial one. But you’re worried that it’s a bit “under the radar,” what with summer vacations, holidays, and all. Of course, proper notice has been given by the planning department, but you’re still concerned that the proposal may get a favorable recommendation from the commission without any citizen testimony. You decide to post this on your Facebook page: “Citizens, please read this IMPORTANT NOTICE! You need to know that the planning commission is going to be considering a proposal for _____ at its upcoming meeting on _____ at 7:00 p.m. As a councilmember, I am taking no position on the proposal at this time. But if you care about our community’s future, then you will want to attend this very important hearing before the planning commission.” See any problems here? You’ve certainly stated that you’re “taking no position” at this time, right? But it may appear to others, particularly the applicant, that you are opposed to the proposal and are trying to “gin up” opposition to it! Is that congruent with the “neutral decision-maker” role that you will need to take on once this quasi-judicial proposal goes up to the council? Could the applicant take the position that it looks like you made up your mind, without evidence, long before the council hearing, and therefore, you should be recused from participation? “But, but, all I’m doing is making sure the public knows about this proposal,” you protest. Well, do you do that with EVERY proposal that comes before the planning commission, or did you just happen to pick out this one for the Facebook spotlight? Th e essence of procedural “due process” rights that attach to a quasi-judicial matter is notice and a fair hearing before neutral, impartial decision-makers. With a post like this you can see how, even if your intentions may have been honorable, doubts can be cast on your impartiality and neutrality. Th ose doubts increase if your involvement goes beyond this scenario—say, for example, that you are also posting or responding to comments about the merits of the application. When it comes to social media buzz around quasi-judicial matters, remember that due process requires you to be impartial and base your decision upon evidence presented at your public hearing. Remember also that defensible quasi-judicial decisions are about good process. As part of that process you will ultimately hear the case and have the power to make the decision—at the time that it’s ripe for your body’s decision! Avoid the temptation to leap into the social media fray, as that will protect your ability to serve as a quasi-judge, and protect your governing body’s decision. 49 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 53EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 53 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 77 Some SuggestionsSocial media use by elected offi cials implicates new and evolving legal issues, and this chapter only touches upon a few of them. Th e uncertainty is real! But you can avoid uncertainty and stay on solid ground if you follow these suggestions: • Consider whether you really need to be on social media in your elected offi cial capacity. If only 23 people “like” your page, it may not be worth the hassle. And keep in mind that only a fraction of those 23 people may even be seeing your posts. • If you feel that the use of social media is a net plus and/or a service to your constituents, be extremely careful about what is posted! Stay away from discussions of items that will be or could be on your governing body’s agenda. Th ere’s a time and place for discussion of those items, and it’s most likely not social media. Stick to public service announcements, photos and posts about things you did (“It was great to meet so many of you when I volunteered at City Cleanup Day last week”), upcoming events like “Town Halls,” re-posts of City newsletters, links to articles that tout your great city, and the like. If you’re careful about what you post, you’re not going to have to confront the uncertainties of COML, CORA, and other laws. If you stick with helpful but non-controversial posts, then there won’t be much of a need to delete posts. • Be particularly careful to stay away from commenting on a pending quasi-judicial matter. Th is is where the stakes are highest! In a worst case scenario, an imprudent post could require your recusal from participating in the matter on the basis that you’ve revealed your non-neutrality, buttress someone’s constitutional claim, serve as a basis to attack the body’s decision, or all of the above. • Check to make sure you created your page under the right category. “Politician” is more accurate than “Governmental Organization.” And don’t use the offi cial city/ town logo, to avoid any implication that yours is an “offi cial” city/town page. 50 CHAPTER 9 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 54EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 54 6/4/2019 1:02:45 PM6/4/2019 1:02:45 PM 78 CHAPTER 10 APPOINTMENT AND REMOVAL OF OFFICIALS IN STATUTORY TOWNS By: Linda Michow, Partner, and Christiana McCormick, Associate, Michow Cox & McAskin LLP, and Tami A. Tanoue, CIRSA Executive Director Introduction Colorado law grants elected offi cials in statutory towns the power to appoint and remove certain municipal offi cials, including members of the governing body and offi cers such as the clerk or treasurer. If you’re an elected offi cial in a statutory town, it’s important for you to have a working understanding of the rules and potential pitfalls in this area. An improper appointment or removal can not only result in disputes or claims, but also create uncertainty within the organization and a cloud over the governing body. Th is chapter provides information on appointment and removal of offi cials in statutory towns, including the fi lling of vacancies and guidance regarding best practices. In general, statutory cities operate under diff erent statutes, and home rule municipalities operate under charter provisions that are likely diff erent than the statutory requirements outlined in this chapter, and so neither are addressed here.1 Filling Vacancies on the Town Board A vacancy on the town board can occur under a variety of circumstances, including: resignation; inability to fulfi ll the duties of offi ce; failure or refusal to take the oath of offi ce; failure to meet residency requirements (including moving out of the ward or municipality); removal from offi ce; a seat left unfi lled aft er an election, or an offi cial passing away during the term of offi ce. Once a vacancy arises, the town board is faced with several considerations. • Sixty-day time frame. First, state law provides that a vacancy on the town board may be fi lled either by appointment or by election. However, this option only lasts for 60 days. If the town board does not fi ll the vacancy by appointment or order an election within 60 days, then the board is required to order an election to fi ll the vacancy. • Resolution declaring vacancy. Th e board should consider adopting a resolution that declares the vacancy, sets forth the vacancy eff ective date, and states whether the board chooses to fi ll the vacancy by appointment or by election. While such a resolution is not required for a statutory town, the board should consider this 51 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 55EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 55 6/4/2019 1:02:46 PM6/4/2019 1:02:46 PM 79 approach, as passing a resolution declaring a vacancy provides a written record of when the statutory 60-day clock begins and makes known the intent of the town board regarding its choice on how to fi ll the position. • Special considerations for vacancy in mayor’s offi ce. Generally, a vacancy in the offi ce of mayor is fi lled in the same manner as vacancies of other members of the town board. However, if the town board will appoint someone, it may wish to consider qualifi cations or circumstances unique to the position, including the mayor’s voting rights and role as presiding offi cer. Term of Office for an Appointee Filling a Vacancy Th e term of offi ce of a vacated seat fi lled by appointment or election only runs until the next regular election. Th is is true even if the original term would not be expiring at such election. Th ere is no authority in state law for a statutory town to extend the term of offi ce of an appointee fi lling a vacancy. If terms of offi ce are four years, this rule can sometimes create confusion at the next regular election, where some seats are up for a full four-year term while another seat is on the ballot solely for purpose of electing a person to fi ll a vacant seat for the remainder of the term. Proper parlance can reduce the confusion— candidates running for that vacant seat aren’t running for an offi ce having a new two- or four-year term but for a shortened, two-year term to fi ll the vacancy. Qualifications of an Appointee Filling a Vacancy Colorado statutes do not separately mandate qualifi cations for an appointee who is to serve in the event of a vacancy. However, the Colorado Constitution and related statutes require that persons holding any elective offi ce shall be qualifi ed. To be qualifi ed, an appointee must be: at least 18 years old as of the date of the election [or appointment]; a U.S. citizen; a resident of Colorado for at least 22 days prior to the election [or appointment]; a resident of the municipality (and ward, if applicable) for at least 12 consecutive months prior to the date of the election [or appointment]; not serving a sentence in any public prison; and registered to vote. An appointment is void if the person appointed is not qualifi ed. Th erefore, it is important to ensure that a person appointed to fi ll a vacancy in an elective offi ce has the qualifi cations set forth in state law, as summarized above. Although state law does not dictate the process for selecting a qualifi ed person to fi ll a vacancy, governing bodies should be mindful that appointments to elective positions, to some extent, remove the people’s opportunity to choose their own representative. Th erefore, it is prudent to implement a formal process with suffi cient advertisement of the vacancy to provide transparency and ample opportunity for participation. Other considerations and pitfalls to avoid include: • Making an appointment that benefi ts or appears to benefi t any member of the governing body personally (see chapter 6); • Appointing someone who will create turmoil or dysfunction within the governing body or other areas of municipal government (see chapters 1 - 3); or 52 CHAPTER 10 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 56EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 56 6/4/2019 1:02:46 PM6/4/2019 1:02:46 PM 80 • Failing to provide the appointee with proper training once appointed. Like any other person serving in an elective position, an appointee should receive proper training. Appointment of Officers in Statutory Towns State law requires the town board appoint or provide for the election of certain offi cers, including a clerk, treasurer and town attorney. Th e applicable statute, C.R.S. Section 31-4- 304, states in pertinent part: Th e board of trustees shall appoint a clerk, treasurer, and town attorney, or shall provide by ordinance for the election of such offi cers, and may appoint such other offi cers, including a town administrator, as it deems necessary for the good government of the corporation…. [N]o appointment of any offi cer shall continue beyond thirty days aft er compliance with section 31-4-401 by the members of the succeeding board of trustees. In some cases, the town board fails to act within 30 days to appoint or re-appoint offi cers of the town. Further, in many cases, these positions are staff ed with municipal employees, which can lead to uncertainty in employment when the town board fails to re-appoint an employee to one of these appointed positions. Th ese and other circumstances raise the question: What is the impact of not making appointments within the 30-day period aft er the new board members are seated? In short, if the 30-day period set forth in this section passes, the term of the offi cer expires. However, it is important to note that the expiration of the term does not necessarily or automatically oust the individual holding the offi ce from that position and create a vacancy. Rather, absent provisions to the contrary in state law or local ordinance, the public interest requires that public offi ces should be fi lled at all times without interruption. Th e Colorado Constitution adheres to this principle, stating in Article XII, Section 1 that “[e]very person holding any civil offi ce under the state or any municipality therein, shall, unless removed according to law, exercise the duties of such offi ce until his successor is duly qualifi ed….” Th erefore, an individual holding an appointive offi ce in a statutory town remains in that position aft er his or her term has expired (i.e. holds over) until a successor properly appointed by the town board takes offi ce. Moreover, if the incumbent is an employee, he or she would remain in their appointive position and on the town’s payroll as a holdover. To avoid confusion and confl ict regarding holdovers, when the term of an appointive offi ce expires, the town board should timely act to either re-appoint the incumbent or appoint a new person to the offi ce. Th e board should also seek advice of legal counsel before deciding to not re-appoint an incumbent appointive offi cer who is also an employee of the town. Removal from Office in Statutory Towns Th e following identifi es some of the key requirements pertaining to the removal of an elected offi cial in a statutory town pursuant to a proceeding under C.R.S. Section 31-4- 307. Many of these requirements are not present in the statute itself; rather, they are found in some old judicial decisions concerning the statute. Removal of an elected offi cial by 53 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 57EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 57 6/4/2019 1:02:46 PM6/4/2019 1:02:46 PM 81 the governing body essentially overrides the will of the people who elected the offi cial. For this reason, it is critical that any removal proceedings take place in accordance with the guidance provided by these decisions. Th e advice of counsel is also critical given the potential for missteps. While these decisions are more than a century old, they came into play more recently in the recommendation of a United States Magistrate Judge in a case involving a CIRSA member municipality.2 While the Magistrate Judge’s recommendation is unpublished and does not serve as precedent, it was cited with approval by the Colorado Supreme Court.3 Th us, the Magistrate Judge’s recommendation highlights the importance of these older decisions and may off er some good guidance to a statutory town contemplating a removal proceeding. Given this recent resurrection of old case law, the way in which a town may have applied Section 31-4-307 in past proceedings may not serve as a sound guide to the conduct of such proceedings today. Th us, past practice should not be used as a basis to avoid compliance with the following requirements gleaned from the old but resurrected case law: • Th e basis for removal (unless the elected offi cial has moved out of town) must be “misconduct or malfeasance in offi ce,” as those terms are used in Article XIII, Section 3 of the Colorado Constitution. Th ese constitutional provisions contemplate offi cial misconduct of such a magnitude that it aff ects the performance of the offi cer’s duties, and off enses against the town “of a character directly aff ecting its rights and interests.”4 Political or personal disagreements, or a stalemate resulting from failure to obtain a requisite number of votes on matters coming before the town board, may not be suffi cient grounds to eff ect a removal. • Th e removal proceeding is quasi-judicial in nature, subject to the safeguards commonly found in judicial proceedings. Th is means: • Th ere must be a charge or charges against the offi cial sought to be removed. Th e charges must be specifi c and stated with substantial certainty.5 Vague or general charges likely will not meet this requirement. • Th ere must be a hearing in support of the charges, and an opportunity to make a defense.6 Th e charges must in the fi rst instance be proven by testimony and evidence, with the opportunity given to the offi cer sought to be removed to rebut such testimony and evidence, and off er his or her own. • Th e hearing must be held under the same limitations, precautions, and sanctions as in other judicial proceedings.7 A basic requirement of judicial proceedings is that decision-makers must be neutral and impartial. Th is is why in most judicial proceedings, investigative, prosecutorial, and adjudicatory functions are separated. However, in removal proceedings, the adjudicatory body (the town board) may also have carried out an investigative function by establishing the charges that are the basis for the proceeding. Involvement in presenting 54 CHAPTER 10 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 58EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 58 6/4/2019 1:02:46 PM6/4/2019 1:02:46 PM 82 testimony and evidence would further diminish the separation of these functions, and the lack of separation may compromise the appearance or reality of a neutral and impartial decision-maker. Th ese requirements highlight one of the most diffi cult procedural aspects of a removal proceeding: who will present the evidence and testimony? Th e town board serves as the decision-maker. It would likely be problematic, from a fairness standpoint, if the decision-makers also served as witnesses. One option to address this issue is use of a hearing offi cer whose decision is made subject to fi nal review and action by the town board. Another option is to limit involvement in non-adjudicatory functions to one (or at most two) members of the governing body who understand their need to then recuse themselves from the board’s decision-making. • Th e decision will be subject to judicial review.8 Th is means that under Rule 106(a)(4) of the Colorado Rules of Civil Procedure, a transcript of the proceedings as well as the evidentiary record, will be produced to the district court for review. Th e standard of review will be whether the governing body’s decision was “arbitrary or capricious.” Constitutional due process violations may be raised, and considerations of bias may be raised to set aside a decision as well. Other questions and issues to consider in holding the proposed removal hearing include: • Have provisions been made for the issuance of subpoenas to compel the attendance of witnesses, the administration of oaths, the right of discovery, and the cross-examination of witnesses? • Are rules of procedure in place, has a standard of proof been established, and will rules of evidence be followed? • Does the offi cer sought to be removed have the right to be represented by counsel? Is the governing body working with the advice of counsel? • Have adequate time and opportunity been given to the offi cer sought to be removed to prepare his or her case in answer to the charges? Have provisions been made for the granting of reasonable continuances? • Has some means of recording the hearing been arranged, preferably by a stenographer who can prepare a verbatim transcript? • Who will prepare written fi ndings of facts, conclusions of law, and a fi nal decision and order? Conclusion A town board’s powers of appointment are eff ective tools. Th ey can be used to timely fi ll a board vacancy and appoint key staff who will help drive the town’s vision and success. But, if not handled appropriately, appointments can become the source of intractable disputes and potential liability. Th us, board members should work together to understand their options, duties and obligations when it comes to making appointments, and make wise use of their appointment powers. 55 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 59EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 59 6/4/2019 1:02:46 PM6/4/2019 1:02:46 PM 83 Likewise, a town board’s power of removal is undoubtedly an important one; but, an imprudent or improper removal proceeding can be the source of signifi cant liability. As noted, recently resurrected case law suggests the bar for exercising the removal power is high, for situations where serious misconduct or malfeasance in offi ce can be proven. Further, the removal power should be exercised only with the procedural safeguards summarized above in place, and only with the assistance of legal counsel. Otherwise, the governing body may be taking on an unacceptable risk of liability. Footnotes: 1. Offi cials in statutory cities and home rule municipalities should obtain from their counsel and staff information on the appointment and removal requirements specifi c to their organization. 2. Russell v. Buena Vista, 2011 WL 288453 (D. Colo. 2011). 3. Churchill v. University of Colorado, 2012 WL 3900750 (Colo. 2012). 4. Board of Trustees v. People ex rel. Keith, 59 P. 72, 74 (Colo.App. 1899). 5. Board of Alderman v. Darrow, 22 P. 784, 787 (Colo. 1889). 6. Darrow, 22 P. at 787. 7. Keith, 59 P. at 75. 8. Id. 56 CHAPTER 10 EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 60EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 60 6/4/2019 1:02:46 PM6/4/2019 1:02:46 PM 84 SAFERTOGETHER 3665 Cherry Creek North Drive Denver, Colorado 80209 800.228.7136 www.cirsa.org EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 2EthicsLiability&BestPracticesHandbookForElectedOfficialsFinal.indd 2 6/4/2019 1:02:12 PM6/4/2019 1:02:12 PM 85