Ethics Commission adopts regulations to implement Proposition D on incompatible activities

The San Francisco Ethics Commission on a unanimous vote adopted regulations to implement section 3.218 of the campaign and governmental conduct code, the provision amended by Proposition D, clarifying when city officers and employees must abstain from matters that could benefit their private employment, ownership interests or nonprofit service.

Staff told commissioners the draft regulations (dashes 1–8) specify that officers may appear before their department only if they abstain from conflicting city duties, allow single‑member LLCs to be represented in limited circumstances, permit certain outside employment with guardrails, and clarify when nonprofit volunteer service is permitted so long as the officer abstains from city matters involving that nonprofit. Staff said the rules were developed after a year of stakeholder engagement and are intended to be in place for an Oct. 12 implementation of the amended code.

Commissioners pressed staff on how to read a two‑prong clause in the draft (whether the conditions are conjunctive or disjunctive) and sought guidance for department heads on when serving on an outside board should be treated as part of an employee's city duties. DCA counsel explained the draft language is framed as an affirmative statement of what is permissible, and therefore both prongs must be satisfied for the exception to apply; staff said if either prong fails, the outside activity would be incompatible.

At least one stakeholder raised concerns about the draft's impact on frontline nonprofit workers. Debbie Lerman of the San Francisco Human Services Network, a remote caller, said the proposed employment and board restrictions were “overly broad for non‑decision makers and frontline workers,” and urged exceptions or case‑by‑case approvals for staff who are not involved in contracting decisions. Staff responded that a ‘‘majority‑funded’’ guardrail was added to avoid “double‑dipping” where a city department largely funds a nongovernmental position, and that the commission would monitor requests for advice and adjust compliance materials as needed.

The commission adopted the regulations as drafted and recorded a roll‑call vote in which all five commissioners present voted in the affirmative. Staff said engagement and compliance will publish guidance materials and that additional regulations may follow if implementation reveals gaps.