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ORD 04-19 Campaign Reform Contributions from CommitteesORDINANCE NO. 4-19 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ORANGE AMENDING SECTION 2.10.090 OF THE ORANGE MUNICIPAL CODE RELATING TO CONTRIBUTIONS FROM COMMITTEES. WHEREAS, the City of Orange has adopted campaign reform laws, codified in Chapter 2.10 of the Orange Municipal Code ("Code"), which are intended to supplement the Political Reform Act of 1974; and WHEREAS, Section 2.10.090 of the Code regulates the transfer of campaign funds and contributions to a campaign committee for a City office from another campaign committee; and WHEREAS, this current Code section is unclear in some regards, and as such, is cumbersome to comply with and difficult to enforce; and WHEREAS, the proposed changes provide clarity to the transfer of campaign funds among campaign committees. NOW THEREFORE,the City Council of the City of Orange does ordain as follows: SECTION I. Orange Municipal Code Section 2.10.090 is hereby amended to read as follows: 2.10.090—Contributions from Committees. A. Contributions Transferred from Committees. Contributions from candidate controlled committees to a City Candidate Committee are prohibited except as provided in Section 2.10.090.C. B. No committee controlled by a City Candidate or Elective City Officer shall make any contribution to any other committee supporting or opposing a City Candidate for office. C. Contributions Transferred Between Controlled Committees by the Same City Candidate. If a City Candidate has more than one controlled committee, any transfers into the City Candidate's City Candidate Committee shall be governed by the following rules: 1. Transferred contributions sha11 be deemed contributed during the election cycle in which they are transferred to the receiving City Candidate Committee. 2. Transferred contributions shall be attributed to each contributor on a last in-first out LIFO) basis and shall be aggregated with any contributions made by such contributor directly to the City Candidate Committee in the same election cycle and shall be subject to the contribution limits of this chapter. Transferred contributions shall be itemized on Schedule A of Form 460 or any successor form, and shall identify the transferor committee for those contributions being transferred. 3. A one-time transfer shall be made at the time the City Candidate forms his/her controlled committee. Subsequent contributions received by the transferor committee on or after the date the City Candidate formed a committee to run for City office may not be transferred to the transferee committee established for that City,office. D. No person or committee shall accept or make any contribution that is conditioned upon all or part of the contribution being transferred to a City Candidate Committee or otherwise violates Government Code Section 84301. Any contributions received in violation of this subsection shall be paid by the City Candidate to the City's general fund within sixty (60) days of discovery of the violation. SECTION II: Should any section, subsection, clause, or provision of this Ordinance for any reason be held to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this Ordinance; it being hereby expressly declared that this Ordinance, and each section, subsection, sentence, clause and phrase hereof would have been prepared,proposed, approved and ratified irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. SECTION III: A summary of this Ordinance shall be published and a certified copy of the full text of this Ordinance shall be posted in the Office of the City Clerk at least five (5) days prior to the City Council meeting at which this Ordinance is to be adopted. A suimnary of this Ordinance shall also be published once within fifteen(15)days after this Ordinance's passage in a newspaper of general circulation,published,and circulated in the City of Orange. The City Clerk shall post in the Office of the City Clerk a certified copy of the full text of such adopted Ordinance along with the names of those City Council members voting for and against the Ordinance in accordance with Government Code Section 36933. ADOPTED this 13th day of August 2019. Mark A. Murphy, Mayor, C' y range ATTEST: Pamela Coleman, City Clerk, City of Orange Ordinance No. 04-19 2 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF ORANGE I, PAMELA COLEMAN, City Clerk of the City of Orange, California, do hereby certify that the foregoing Ordinance was introduced at the regular meeting of the City Council held on the 9th day of July 2019, and thereafter at the regular meeting of said City Council duly held on the 13th day of August 2019, was duly passed and adopted by the following vote, to wit: AYES:COiJNCILMEMBERS: Alvarez, Murphy,Nichols, Monaco NOES:COUNCILMEMBERS: None ABSENT: COLTNCILMEMBERS: None ABSTAIN: COLTNCILMEMBERS: None Pamela Coleman, City Clerk, City of Orange Ordinance No. 04-19 3