Ethics commission directs staff to continue meet-and-confer on gift and conflict reforms; aims for November ballot

SAN FRANCISCO — The San Francisco Ethics Commission voted unanimously to direct staff to continue meet-and-confer negotiations and stakeholder outreach on proposed amendments to the city’s gift and ethics rules, including concepts that could be placed before voters in November.

The motion, made by Commissioner Dana M. Chu and seconded by Commissioner Romano, instructs staff to pursue continued negotiations with the Department of Human Resources and employee bargaining units, refine proposed regulation language, and return to the commission with monthly updates as work continues toward an August 5 deadline to place a measure on the November ballot.

Staff member Michael Canning described two revised recommendations the commission is considering: removing civil or administrative liability for members of the public who give unlawful restricted-source gifts so enforcement focuses on city officials who solicit or accept gifts, and narrowing the definition of a restricted source when someone seeks a license, permit or other entitlement so that only high-level approvals or officials "personally and substantially involved" would trigger the restriction for particular city officers.

"The idea was initially to narrow it so only high-level licenses, permits and entitlements would trigger the restricted-source rule," Canning said, adding that lower-level matters would make a person a restricted source only for officials directly involved.

Advocacy groups weighed in during public comment. "We support the proposed amendments in item number 6," said Sean McMorris of California Common Cause, reading a letter that praised focusing liability on those who are most familiar with the law and exempting ordinary members of the public from penalty. Other speakers raised concerns about limits on complimentary tickets to nonprofit fundraisers and potential disparate impacts on historically marginalized organizations. "The ballot measure, as written, will have a harmful impact on historically marginalized and disenfranchised communities," said Ralph Remington of the San Francisco Art Commission.

Deputy City Attorney Andrew Shen told commissioners that the meet-and-confer process is confidential under state law and that if bargaining reaches an impasse there are formal mediation and fact-finding steps available, though those processes can take months. Staff and the commission also noted that missing earlier deadlines meant June was no longer available and that August 5 is the next critical deadline to qualify for the November ballot.

Commissioners asked staff to clarify several points in future drafts, including how "personally and substantially involved" would be applied in practice (staff said the term is used in Section 3.234 of the municipal code and described existing regulatory guidance). Commissioners also sought a clearer definition of the proposed "greeting card" exception to ensure small, personalized items (not cash or high-value works of art hidden in cards) would not constitute a gift.

The motion directing staff to continue negotiations and outreach passed unanimously, with the moderator reporting four affirmative votes and no opposition. Staff will return with revised language and monthly status reports as the meet-and-confer process proceeds.