Cal. Code Regs. Tit. 2, § 18703 - Public Generally
(a)
General Rule. A governmental decision's financial effect on a public official's
financial interest is indistinguishable from its effect on the public generally
if the official establishes that a significant segment of the public is
affected and the effect on the official's financial interest is not unique
compared to the effect on the significant segment.
(b) A significant segment of the public is:
(1) At least 25 percent of:
(A) All businesses or non-profit entities
within the official's jurisdiction;
(B) All real property, commercial real
property, or residential real property within the official's jurisdiction;
or
(C) All individuals within the
official's jurisdiction.
(2) At least 15 percent of residential real
property within the official's jurisdiction if the only interest an official
has in the governmental decision is the official's primary residence.
(c) A unique effect on a public
official's financial interest includes a disproportionate effect on:
(1) The development potential or use of the
official's real property or on the income producing potential of the official's
real property or business entity.
(2) The official's business entity or real
property resulting from the proximity of a project that is the subject of a
decision.
(3) The official's
interests in business entities or real properties resulting from the cumulative
effect of the official's multiple interests in similar entities or properties
that is substantially greater than the effect on a single interest.
(4) The official's interest in a business
entity or real property resulting from the official's substantially greater
business volume or larger real property size when a decision affects all
interests by the same or similar rate or percentage.
(5) A person's income, investments, assets or
liabilities, or real property if the person is a source of income or gifts to
the official.
(6) The official's
personal finances or those of the official's immediate family.
(d) "Jurisdiction" means the
jurisdiction of the state or local government agency as defined in Section
82035, or the designated
geographical area the official was elected to represent, or the area to which
the official's authority and duties are limited if not elected.
(e) Specific Rules for Special Circumstances.
The financial effect on a public official's financial interest is deemed
indistinguishable from that of the public generally where there is no unique
effect on the official's interest if the official establishes:
(1) Public Services and Utilities. The
decision sets or adjusts the amount of an assessment, tax, fee, or rate for
water, utility, or other broadly provided public services that is applied
equally, proportionally, or by the same percentage to the official's interest
and all businesses, properties, or individuals subject to the assessment, tax,
fee, or rate. This exception does not apply if the decision would impose the
assessment, tax or fee, or determine the boundaries of a property, or who is
subject to the assessment, tax, or fee. Under this exception, an official is
only permitted to take part in setting or adjusting the amount of the
assessment, tax, or fee, once the decisions to implement, and determine the
property or persons subject to the assessment, tax, or fee, have already been
made.
(2) General Use or Licensing
Fees. The decision affects the official's personal finances as a result of an
increase or decrease to a general fee or charge, such as parking rates,
permits, license fees, application fees, or any general fee that applies to the
entire jurisdiction.
(3) Limited
Neighborhood Effects. The decision affects residential real property limited to
a specific location, encompassing more than 50, or five percent of the
residential real properties in the official's jurisdiction, and the decision
establishes, amends, or eliminates ordinances that restrict on-street parking,
impose traffic controls, deter vagrancy, reduce nuisance or improve public
safety, provided the body making the decision gathers sufficient evidence to
support the need for the action at the specific location.
(4) Rental Properties. The decision is
limited to establishing, eliminating, amending, or otherwise affecting the
respective rights or liabilities of tenants and owners of residential rental
property, including a decision regarding a rent control ordinance or tenant
protection measures, provided all of the following criteria are met:
(A) The decision is applicable to all
residential rental properties within the official's jurisdiction other than
those excepted by the Costa-Hawkins Rental Housing Act (Civil Code Sections
1954.40, et seq.).
(B) The official
owns three or fewer residential rental units. For purposes of this regulation,
a residential rental unit is each individual unit consisting of a single-family
household.
(C) The only interests
affected by the decision are:
(i) Interests
resulting from the official's lease of residential real property, as the lessor
of the property.
(ii) An interest
in the official's primary residence as either a lessee or owner of the
property.
(5)
Required Representative Interest. The decision is made by a board or commission
and the law that establishes the board or commission requires certain
appointees have a representative interest in a particular industry, trade, or
profession or other identified interest, and the public official is an
appointed member representing that interest. This provision applies only if the
effect is on the industry, trade, or profession or other identified interest
represented.
(6) State of
Emergency. The decision is made pursuant to an official proclamation of a state
of emergency when required to mitigate against the effects directly arising out
of the emergency.
(7) Governmental
Entities. The decision affects a federal, state, or local governmental entity
in which the official has an interest.
(8) Governmental Entities that Manage
Airports or Harbors. The decision is made by a governmental entity primarily
responsible for the management of an airport or harbor and both of the
following criteria are met:
(A) The decision
affects in a similar manner those permits, licenses or other use entitlements
granted by the governmental entity that are broadly available to all others
similarly situated and are provided on substantially the same terms as for any
other recipient.
(B) The official's
interests affected by the decision relate to the official's permit, license or
other use entitlement from the government entity.
Notes
Note: Authority cited: Section 83112, Government Code. Reference: Sections 87100, 87102.5, 87102.6, 87102.8 and 87103, Government Code.
Note: Authority cited: Section 83112, Government Code. Reference: Sections 87100, 87102.5, 87102.6, 87102.8 and 87103, Government Code.
2. Amendment of subsection (d) filed 4-28-82; effective thirtieth day thereafter (Register 82, No. 18).
3. Amendment of initial paragraph only filed 11-13-85; effective thirtieth day thereafter (Register 85, No. 46).
4. Repealer and new section filed 11-29-93; operative 12-29-93 pursuant to Government Code section 11346.2(d) (Register 93, No. 49).
5. Editorial correction of printing error in subsection (a) (Register 94, No. 25).
6. Amendment of subsections (b)-(b)(3) filed 12-5-94; operative 12-5-94 pursuant to Government Code section 11346.2(d) (Register 94, No. 49).
7. Editorial correction of subsection (a)(1)(A)(i) (Register 95, No. 50).
8. Amendment filed 3-26-96; operative 3-26-96 pursuant to Government Code section 11343.4(d) (Register 96, No. 13).
9. Repealer and new section filed 11-23-98; operative 11-23-98 pursuant to the 1974 version of Government Code section 11380.2 and title 2, California Code of Regulations, section 18312(d) and (e) (Register 98, No. 48).
10. Editorial correction of History 9 (Register 2000, No. 25).
11. Amendment of section heading and repealer and new section filed 5-18-2015; operative
12. Amendment filed 10-19-2020; operative 11-18-2020 pursuant to Cal. Code Regs., tit. 2, section 18312(e). Submitted to OAL for filing pursuant to Fair Political Practices Commission v. Office of Administrative Law, 3 Civil C010924, California Court of Appeal, Third Appellate District, nonpublished decision, April 27, 1992 (FPPC regulations only subject to 1974 Administrative Procedure Act rulemaking requirements and not subject to procedural or substantive review by OAL) (Register 2020, No. 43).
13. Amendment of subsection (c)(6) filed 5-12-2021; operative
14. Amendment of subsection (e)(1) and new subsections (e)(8)-(e)(8)(B) filed 12-17-2024; operative
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