Henderson council delays acting on proposed change to ethics code

Henderson City Attorney Josh Reid said the city is not “loosening up” ethics and there is “nothing nefarious” about the amendments to the ethical standards ordinance governing public servants he presented Tuesday night to the City Council.

By recommendation from his office, the council was set to approve the amendments to the ordinance, which would narrow the definition from “family” member to “household” member, for those who have a significant financial interest and wish to bid or enter into a contract with the city.

The council, however, with objections raised by council members Debra March and John Marz, decided to continue the motion for two weeks.

“I’m still struggling to find that level of comfort,” March said.

According to Reid, the city attorney’s office determined that the current City Ethics Code definition of “family members” was too broad with regard to prohibited contracts, which he said makes policing and enforcement difficult.

“Family member” includes the third degree of consanguinity or affinity, which includes children, stepchildren, parents, stepparents in the first degree, siblings, stepsiblings, grandparents, grandchildren, stepgrandchildren in the second degree; and nephews/nieces, uncles/aunts, great-grandparents and great-grandchildren in the third degree.

“Some issues came up with a city contract where a sibling or a cousin was an employee of a company doing business with the city,” he said prior to the meeting. “When we looked at this issue, we realized we made this way too broad.”

Reid said, however, that he cannot discuss specific instances due to the confidentiality provisions in both the Nevada Revised Statutes 281A and the Henderson Ethics Code.

“If my wife gets a contract with the city, I may not have any ownership in that, but because I’m married, and we live in the same house, it’s going to benefit me,” Reid said.

Reid’s wife, he said, would fall under the “household member” category.

Marz said he was also struggling with the proposed amendments.

“I’m very uncomfortable with the household member for this council, department heads,” Marz said. “I’m an empty nester, so that means my kids don’t fall under this, and I think they should. I think my parents should, my kids should, I think my son-in-law should. I have a problem with the household portion of this. I would suggest we consider changing that portion at least so it expands to our immediate family.”

Reid said the proposed amendments governing prohibited contracts does not change the ethics rules to disclose and abstain on issues that come before council members involving family members who fall under the third degree of consanguinity.

“The only difference here is that, if somebody within that third degree of consanguinity, without your knowledge, possibly, ends up with a contract with the city, and that it may have to be voided after the fact,” Reid said.

Council approved to address the ordinance at its Aug. 2 meeting.

“For those of us who, it can indirectly be perceived that we have influence over something … I just think for the public, it would be wise not to put us, or the city in that position,” Marz said.

While also slated for approval, amendments to the ordinance regarding the registration and regulation of lobbyists were put on hold for two weeks as well.

According to Henderson Municipal Code, Henderson elected officials, employees and board and commission members cannot become “city lobbyists” for a period of one year after leaving their Henderson elected office, board or commission.

The change, up for discussion during the council’s committee meeting, would eliminate the yearlong cooling-off period for volunteer board and commission members.

“The city does not want to discourage people from serving as a volunteer on city boards and commissions in any way,” Reid said prior to the meeting.

Reid said the State Ethics Code does not require the city to have a one-year cooling-off period, and said the city’s rules are more strict than what is required and will still be so if the ordinance change is approved.

Contact Natalie Bruzda at nbruzda@reviewjournal.com or 702-477-3897. Find @NatalieBruzda on Twitter.