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<br />. <br /> <br />. <br /> <br />. <br /> <br />ITEM 7.6 <br /> <br />MEMORANDUM <br /> <br />LARKIN, HOFFMAN, DALY & LINDGREN, LTD. <br /> <br />1500 Norwest Financial Center <br />7900 Xerxes Avenue South <br />Bloomington. Minnesota 55431 <br />(612) 835-3800 <br /> <br />TO: <br /> <br />Mayor Hank Duitsman <br />Members of the City Council <br /> <br />FROM: <br />DATE: <br />RE: <br /> <br />Peter Beck, City Attorney <br /> <br />March 10, 1993 <br /> <br />Code of Ethics/Conflict of Interest <br /> <br />At its meeting on February 1, 1993, the City Council directed me <br />to review the Sherburne County conflict of interest policy and <br />advise the City Council regarding the potential adoption of a <br />code of ethics/conflict of interest/disclosure policy. I have <br />reviewed the County materials, the relevant state statutes, and <br />the City's existing personnel policies and make the following <br />report. <br /> <br />The City adopted a conflict of interest policy for employees <br />several years ago. The policy, which applies only to City <br />employees, is set forth in the City's Code of Ordinances, at <br />Section 218.08(9) (pages 2.46-2.47 of the City Code). A copy of <br />the existing policy is attached as Exhibit A for your <br />information. The policy directs City employees to avoid any <br />activity which suggests a conflict of interest between their City <br />responsibilities and their personal or family interests; defines <br />"family members;" sets forth several examples of activities to be <br />avoided; and directs employees engaging in any activity involving <br />either an actual or potential conflict of interest, or having <br />knowledge of such activity by another employee, to promptly <br />report said activity to the City Administrator. The policy does <br />not require annual disclosure of potential conflicts of interest. <br /> <br />The only conflict of interest policy currently applicable to the <br />City Council is found in Minnesota Statutes ~ 471.87-471.89. <br />This statute provides that a city council member may not have a <br />personal financial interest, either directly or indirectly, in <br />any contract the city makes. <br /> <br />The Minnesota State Ethics in Government Act, Minnesota Statutes <br />Chapter lOA, also addresses conflicts of interest. This law <br />requires that "public officials" and "local officials in a <br />metropolitan governmental unit" file annual statements of <br />economic interest with the State Ethical Practices Board and <br />disclose potential conflicts of interest by means of a written <br />