BOARD OF COUNTY COMMISSIONERS HINSDALE COUNTY, COLORADO RESOLUTION NO.

____ SERIES 2005 A RESOLUTION ESTABLISHING A CODE OF ETHICS FOR HINSDALE COUNTY
WHEREAS, C.R.S. 30-10-302 provides that the Board of County Commissioners (Board) has the general statutory authority to establish rules and regulations to govern the transaction of its business; and WHEREAS, the Board of County Commissioners desires to adopt additional rules and policies concerning the conduct of its Hinsdale County Elected Officials and Employees; and WHEREAS, these standards are essentially existing statutes plus policies that the Board of County Commissioners desires to consolidate in one location for the use and convenience of the public and the Countys Directors, Officers and Employees; and WHEREAS said policies are instrumental in the acquisition of grant funding and to prevent the conflicts that necessarily occur in a limited population county like Hinsdale County; NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of Hinsdale County, Colorado, pursuant to the authority vested in it by law, that the Code of Ethics attached hereto as Exhibit A and incorporated herein by reference is hereby approved and adopted and will be incorporated in the Hinsdale County Code. INTRODUCED by Commissioner___________________________________________, seconded by Commissioner______________________________________________, and passed this _____ day of _______________________________, 2005. BOARD OF COUNTY COMMISSIONERS OF HINSDALE COUNTY, COLORADO

By: ______________________________________ Linda Matthews, Chair ATTEST: __________________________________________ Linda Pavich Ragle, County Clerk & Recorder

Exhibit A HINSDALE COUNTY CODE OF ETHICS

I.

Statutory Code of Conduct applicable to Hinsdale County Officers and Employees a. Adopted from CRS 24-18-101: Purpose The general assembly recognizes the importance of the participation of the citizens of this state in all levels of government in the state. The general assembly further recognizes that, when citizens of this state obtain public office, conflicts may arise between the public duty of such a citizen and his or her private interest. The general assembly hereby declares that the prescription of some standards of conduct common to those citizens involved with government is beneficial to all residents of the state. The provisions of this part 1 recognize that some actions are conflicts per se between public duty and private interest while other actions may or may not pose such conflicts depending upon the surrounding circumstances. b. Adopted from CRS 24-18-102. Definitions: As used in this part 1, unless the context otherwise requires: 1. Business means any corporation, Limited Liability Company,
2. 3. 4. partnership, sole proprietorship, trust or foundation, or other individual organization carrying on a business, whether or not operated for profit. Compensation means any money, thing of value, or economic benefit conferred on or received by any person in return for services rendered or to be rendered by himself or another. Employee means any temporary or permanent employee of Hinsdale County. Financial interest means a substantial interest held by an individual which is: a. An ownership interest in a business; b. A creditor interest in an insolvent business; c. An employment or a prospective employment for which negotiations have begun; d. An ownership interest in real or personal property; e. A loan or any other debtor interest; or f. A director or officer position in a business. Local government means the government of any county, city and county, city, town, special district or school district. Local government official means an elected or appointed official of a local government but does not include an employee of a local government. Official act or official action means any vote, decision, recommendation, approval, disapproval or other action, including inaction, which involves the use of discretionary authority.

5. 6. 7.

c.

Adopted from CRS 24-18-103: Public Trust Breach of Fiduciary Duty 1. The holding of public office or employment is a public trust, created by
the confidence that the electorate reposes in the integrity of local government officials and employees. A local government official or

employee shall carry out his/her duties for the benefit of the people of the state and county.1 2. A local government official or employee whose conduct departs from his/her fiduciary duty is liable to the people of the state as a trustee of property and shall suffer such other liabilities as a private fiduciary would suffer for abuse of his/her trust. The district attorney of the district where the trust is violated may bring appropriate judicial proceedings on behalf of the people. Any moneys collected in such actions shall be paid to the general fund of the local government. Judicial proceedings pursuant to this section shall be in addition to any criminal action, which may be brought against such local government or employee. d. Adopted from CRS 24-18-104: Rules of conduct for all local government officials and employees. 1. Proof beyond a reasonable doubt of the commission of any act enumerated in this section is proof that the actor has breached his/her fiduciary duty and the public trust. A local government official or employee shall not: a. Disclose or use confidential information acquired in the course of his/her official duties in order to further substantially his/her personal financial interests; or b. Accept a gift of substantial value or a substantial economic benefit tantamount to a gift of substantial value: i. Which would tend improperly to influence a reasonable person in his/her position to depart from the faithful and impartial discharge of his/her public duties; or ii. Which he/she knows or which a reasonable person in his/her position should know under the circumstances is primarily for the purpose of rewarding them for official action they have taken. 2. An economic benefit tantamount to a gift of substantial value includes without limitation a loan at a rate of interest substantially lower than the commercial rate then currently prevalent for similar loans and compensation received for private services rendered at a rate substantially exceeding the fair market value of such services. 3. The following shall not be considered gifts of substantial value or gifts of substantial economic benefit tantamount to gifts of substantial value for purposes of this section: a. Campaign contributions and contributions in kind reported as required by section CRS 1-45-108; b. An occasional nonpecuniary gift, insignificant in value; c. A nonpecuniary award publicly presented by a nonprofit organization in recognition of public service; d. Payment of or reimbursement for actual and necessary expenditures for travel and subsistence for attendance at a convention or other meeting at which such local government official or employee is scheduled to participate; e. Reimbursement for or acceptance of an opportunity to participate in a social function or meeting which is offered to such local
1

Added to the County Code of Ethics by the Board of County Commissioners.

government official or employee which is not extraordinary when viewed in light of the position held by such local government official or employee; f. Items of perishable or nonpermanent value including but not limited to meals, lodging, travel expenses or tickets to sporting, recreational, educational, or cultural events; g. Payment for speeches, appearances, or publications reported pursuant to CRS 24-6-203; h. Payment of salary from employment, including other government employment, in addition to that earned by reason of service in other public office. 4. The provisions of this section are distinct from and in addition to the reporting requirements of CRS 1-45-108 and 24-6-203, and do not relieve an incumbent in or candidate elected to public office from such reporting an item described in subsection (3) of this section, if such reporting provisions apply. e. Adopted from CRS 24-18-105: Ethical principals for local government officials and employees. 1. The principals in this section are intended as guides to conduct and do not constitute violations as such of the public trust of office or employment in local government. 2. A local government official or employee should not acquire or hold an interest in any business or undertaking which he/she has reason to believe may be directly and substantially affected to its economic benefit by the official action to be taken by an agency over which he/she has substantive authority. 3. A local government official or employee should not, within six months following the termination of his/her office or employment, obtain employment in which he/she will take direct advantage, unavailable to others, of matters with which he/she was directly involved during his/her term of employment. These matters include rules, other than rules of general application, which he/she actively helped to formulate, and applications, claims or contested cases in the consideration of which he/she was an active participant. 4. A local government official or employee should not perform an official act directly and substantially affecting a business or other undertaking to its economic detriment when he/she has a substantial financial interest in a competing firm or undertaking. f. Adopted from CRS 24-18-108.5: Rules of Conduct for members of boards and commissions: 1. Proof beyond a reasonable doubt of the commission of any act enumerated in this section is proof that the actor has breached his/her fiduciary duty. 2. A member of a board, commission, council, or committee who receives no compensation other than a per diem allowance or necessary and reasonable expenses shall not perform an official act which may have a direct economic benefit on a business or other undertaking in which such member has a direct or substantial financial interest. g. Adopted from CRS 24-18-109: Rules of conduct for local government officials and employees.

1. Proof beyond a reasonable doubt of the commission of any act enumerated in this section is proof that the actor has breached his/her fiduciary duty and the public trusts. 2. A local government official or local government employee shall not: a. Engage in a substantial financial transaction for his/her private business purposes with a person whom he/she inspects or supervises in the course of his or her official duties; or b. Perform an official act directly and substantially affecting to its economic benefit a business or other undertaking in which he/she either has a substantial financial interest or is engaged as counsel, consultant, representative, or agent. 3. a. A member of the governing body of a local government who has a personal or private interest in any matter proposed or pending before the governing body shall disclose such interest to the governing body and shall not vote thereon and shall refrain from attempting to influence the decisions of the other members of the governing body in voting on the matter. b. A member of the governing body of a local government may vote notwithstanding paragraph a. of this subsection (3) if his/her participation is necessary to obtain a quorum or otherwise enable the body to act and if he/she complies with the voluntary disclosure procedures under section 24-18-110. 4. It shall not be a breach of fiduciary duty and the public trust for a local government official or local government employee to: a. Use local government facilities or equipment to communicate or correspond with a members constituents, family members or business associates; or b. Accept or receive a benefit as an indirect consequence of transacting local government business. h. Adopted from CRS 24-18-110. Voluntary Disclosure. A member of a board, commission council, or committee who receives no compensation other than a per diem allowance or necessary and reasonable expenses, a local government official, or an employee may, prior to acting in a manner which may impinge on his/her fiduciary duty and the public trust, disclose the nature of his/her private interests. These persons shall make the disclosure in writing to the secretary of state, with a copy to the other members of the Board of County Commissioners2, listing the amount of his/her financial interest, if any, the purpose and duration of his/her services rendered, if any, and the compensation received for the services or such other information as is necessary to describe his/her interest. If he/she then performs the official act involved, he/she shall state for the record the fact and summary nature of the interest disclosed at the time of performing the act. Such disclosure shall constitute an affirmative defense to any civil or criminal action or any other sanction. i. Adopted from CRS 24-18-201 Interests in Contracts. 1. Local government officials or employees shall not be interested in any contract made by them in their official capacity or by any body, agency, or board of which they are members or employees. A former employee may not, within six months following the termination of his/her employment, contract with or be employed by an employer who
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Added to the County Code of Ethics by the Board of County Commissioners

II.

contracts with a state agency or any local government involving matters with which he/she was directly involved during his/her employment. For purposes of this section, the term: a. Be interested in does not include holding a minority interest in a corporation. b. Contract does not include i. Contracts awarded to the lowest responsible bidder based on competitive bidding procedures; ii. Merchandise sold to the highest bidder at public auctions; iii. Investments or deposits in financial institutions which are in the business of loaning or receiving moneys; iv. A contract with an interested party if, because of geographic restrictions, a local government could not otherwise reasonably afford itself of the subject of the contract if the additional cost to the local government is greater than ten percent of a contract with an interested party or if the contract is for services that must be performed within a limited time period and no other contractor can provide those services within that time period. v. A contract with respect to which any local government official or employee has disclosed a personal interest and has not voted thereon or with respect to which any member of the governing body of a local government has voted thereon in accordance with section 24-18109(3)(b) or 31-4-404(3) CRS. Any such disclosure shall be made to the governing body, for local government officials and employees. c. Any local agency includes Hinsdale County. j. Adopted from CRS 24-18-202. Interest in sales or purchases. Local government officials shall not be purchasers at any sale or vendors at any purchase made by them in their official capacity. To the extent not inconsistent with the law of the state of Colorado, County Officers and Employees may participate in the sales and purchases, including silent auctions and raffles, at nonprofit events for which the County of Hinsdale is a sponsor, or any other purchase or sale not intended to be covered by this statute. k. Adopted from CRS 24-18-204. Dealings in warrants and other claims prohibited. County officers and all other local government officials, as well as their deputies and clerks, are prohibited from purchasing or selling or in any manner receiving to their own use or benefit of any person or persons whatever any state, county, city and county, city, or town warrants, scrip, orders, demands, claims, or other evidences of indebtedness against the state or any county, city and county, city or town thereof except evidences of indebtedness issued to or held by them for services rendered as such officer, deputy, or clerk, and evidences of the funded indebtedness of such state, county, city and county, city or town. COLORADO STATUTES APPLICABLE TO ALL ELECTED COUNTY OFFICIALS i. Adopted from CRS 24-6-203 Reporting by incumbents and elected candidates 1. Every incumbent in or candidate elected to public county office who receives any gift, honorarium or other benefit listed in the following subsection in connection with his/her public service shall file with the

III.

IV.

county clerk and recorder, on or before January 15 of each year, a report for the preceding calendar year. No report is required if the incumbent or candidate does not receive any such items. The following items shall be included in the report required in the previous subsection: a. Any money, including but not limited to a loan, pledge, advance or money, or a guarantee of a loan of money, with a value of twenty-five dollars or more; b. Any gift of real or personal property, other than money, with a value of fifty dollars or more; c. Any loan of real or personal property, other than money, if the value of the loan, defined as the cost saved by not borrowing, leasing or purchasing comparable property from a source available to the public, is fifty dollars or more; d. Any payment for a speech, appearance, or publication; e. Tickets to sporting, recreational, educational, or cultural events with a value of fifty dollars or more for any single event, or a series of tickets to sporting events of a specific team or cultural events of a specific performing company or organization with a total value of one hundred dollars or more; f. Payment of or reimbursement for actual and necessary expenses for travel and lodging for attendance at a convention or other meeting at which the incumbent or elected candidate is scheduled to participate, unless the payment of reimbursement is made from public funds, from the funds of a joint governmental agency, as defined by CRS 2-3-311, or from the funds of any association of public officials or public entities whose membership includes the incumbents or elected candidates office or the governmental entity in which such office is held; g. Any gift of a meal to a fund-raising event of a political party. ADDITIONAL STATUTES a. The statutes referenced in Parts I and II. are not exclusive; any other statutory references to ethical conduct of governmental business, whether or not expressly stated in the foregoing sections, or specifically adopted as part of this Code. Any acts of the General Assembly amending or adding to the statutes referenced in Parts I.A. and I.B. shall also be adopted as part of this Code without any further action required by the Board of County Commissioners. HINSDALE COUNTY POLICIES REGARDING CONFIDENTIAL INFORMATION APPLICABLE TO THE CONDUCT OF COUNTY ELECTED OFFICIALS AND EMPLOYEES a. County elected officials and employees shall respect the confidentiality appropriate to issues of a sensitive or legal nature obtained in the course of their duties. County Elected Officials or employees who discuss or distribute such confidential information publicly, including but not limited to attorney-client privileged materials, will be subject to censure by the majority of the Board of County Commissioners. b. Quasi-Judicial Matters. If any County Elected Official or Employee receives written individual information of any significance on any matter that is to be determined by the Board of County Commissioners, the Employee or Elected Official shall provide a copy of the information to each Commissioner as well as the County attorney.