Agenda - Council - 07/11/1995 - Laserfiche WebLink

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I I I I I I I I i I I I I I Background: CONFLICT OF INTEREST By: Ryan R. Schroeder, City Administrator CASE # In early 1994, it was alleged that then Councilmember Hardin had a conflict of interest regarding the approval oflthe Amber Ridge Subdivision. This was responded to by City Attorney Goodrich with his April 15, 1994 memorandum, which is attached. On April 3, 1995, it was alleged that Mayor Hardin ihad a conflict related to the Section 22 drainage project. I responded to this assertion by th~ enclosed April 19, 1995 memorandum. Mr. Terry Hendriksen asserted a differing opinion in his a~ttached April 26, 1995 memo. I have also inc!uded various other memorandums herein that complete my file regarding a data practices request and various positions regarding the above. Most recently, the League of Minnesota Cities (LMC) has responded with a June 28, 1995 and July 5, 1995 letter on the issue. Further, City A~ttorney Goodrich has been requested to respond to the most recent allegation of a violation of MS 471.87 and 471.88. Any additional information which I receive will be added to these materials at the table. It has been suggested to me that this issue needs additional discussion and perhaps Council action. Some have suggested a full investigation of Council and City Commissions as it relates to past potential confficts. Discussions I have heard since this issue has been raised have included potential conflicts by one City-elected or appointed official or another with: land purchases, roadway alignments, labor negotiations, land use controls, develol~ment agreements, banking relationships, school or county contracts (such aS community education). I have asked A.'ttorney Goodrich to discuss the issue with the County Attorney. I have also asked our auditors fo~ a bid on an audit of our investment activities. I am in searchlof actions that will bring closure to this issue. I am unsure of what this may be, short of a fulllinvestigation of everybody. It seems from a review of the file that less than a complete resolution of one allegation of inappropriate behavior has resulted only in the same allegation on a!different issue. In any case, i~ has been suggested that there are a few questions regarding conflict issues that perhaps should be addressed by Council. Some of these are: 1) 2) 3) 4) 5) .What is a conflict of interest. rWhen and in what manner should a potential conflict be stated. In what situations must one absent himself/herself from the discussion, the vote, or ;the room. ~Are there issue areas of which the City is aware at this time that should receive an iautomatic abstention of any member of Council or a Commission. · When issues of conflict are raised, such as the above, who can best advise Council. [Does the City Attorney have an attorney/client conflict relative to this discussion. Depending on what other issues may be raised resulting from the above, Council may wish to schedule a work session to hash these ~ssues out. Council Action: Based on discussion. Reviewed City Administrator City Attorney cc: 07/11 95 /jmt I0~