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Scottsdale City Council members received $17,000 in gifts

  In 2011, Scottsdale City Council members "received tickets to events and other gifts valued at more than $17,000"

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Scottsdale Mayor Lane wants gifts policy clarified

Lane concerned about rules for city officials

by Beth Duckett - Jan. 27, 2012 08:00 AM

The Republic | azcentral.com

In 2011, Scottsdale City Council members attended sports games, rubbed elbows at fundraisers and partied at the opening night bash of the Waste Management Phoenix Open.

They received tickets to events and other gifts valued at more than $17,000. And it was all completely legal.

Scottsdale's ethics code bans elected and appointed officials from accepting any gifts from lobbyists or anyone attempting to sway decision-making.

But they are allowed to accept meals, entertainment, transportation and token mementos from other individuals and organizations, as long as they are associated with events that they attend as a city representative.

On the heels of overseas trips to Scottsdale sister cities, Mayor Jim Lane has asked for a clearer interpretation of the city's rules on gifts.

Lane said concerns about reporting lodging, meals and other gifts from outside governments prompted him to make the request. He said he wants to make the policy for elected officials clearer, more transparent and easier to follow.

"I think it's important we have that as a clearer consideration, at least for the mayor and council," Lane said.

'I buy my own ticket'

Under Scottsdale rules, gifts valued at more than $25 have to be reported to the city clerk within five business days of acceptance.

Records provided by the city clerk show Lane accepted gifts last year valued at $4,065.

Between Jan. 5 and May 14, he reported 11 gifts, mostly tickets to events.

J.P. Twist, Lane's chief of staff, said the reason Lane didn't report after May was "nothing he attended met the requirements for disclosure."

"On top of that, there isn't a whole lot of events happening during that time," Twist said.

Also in 2011, records show Councilwomen Lisa Borowsky and Suzanne Klapp each reported nine gifts, followed by Councilman Bob Littlefield, who received five gifts, and Councilmen Ron McCullagh and Dennis Robbins, who each reported four gifts.

Borowsky's gifts were the most valuable at $5,650. Lane and Borowsky attended the priciest event, the Childhelp Drive the Dream Gala last January, with tickets valued at $1,000 apiece. The event, held in conjunction with the Barrett-Jackson collector-car auction, raised $800,00 for Childhelp, a national organization that treats victims of child abuse.

Vice Mayor Linda Milhaven reported no gifts, telling The Republic that she doesn't accept them.

"If I go to an event, I buy my own ticket," Milhaven said. "If we get invited to non-profit events ... they are trying to raise money to support their efforts, so I am happy to buy my own ticket."

Councilman Bob Littlefield, who is contemplating a run against Lane in the fall mayoral election, said he thought the city's policy on gifts is "perfectly clear."

In Scottsdale, elected and appointed officials have to report gifts within several days after acceptance, unlike the Arizona Legislature, which reports them once a year,Littlefield said.

Legislators only have to report gifts valued at $500 or more, the city clerk said.

"One of the problems with the Legislature is that their reporting requirements are pretty flaky," Littlefield said.

Among the gifts reported by council members, Littlefield said he thinks many of the ticket values are inflated. If elected officials are unsure about what to report, "just report the higher value," he said.

"I think there is an excess of caution. The bottom line is, if you're not sure, report," he said. "That way, you're not going to get in trouble. If there is any doubt, you just fill out a form."

Ethics training for employees

While Littlefield argued that the policy is fine, Lane asked the city attorney to consider outlining the types of gifts that are allowed and those that are banned. He wants all city employees to go through an annual ethics training session.

"He believes there needs to be strict rules that leave little room for interpretation," Twist said.

After traveling to Scottsdale sister cities last year, Lane said he had questions about reporting gifts from outside governments, particularly when they are events that benefit the city.

Last June, Lane led an 11-member delegation to Interlaken, Switzerland, a Scottsdale sister city since 1999.

Though he and his wife, Joanne, paid all their costs, Interlaken hosted the visitors, he said.

"(T)he concerns of reporting for Interlaken were his, nobody else's. He wanted to make sure everything was reported properly," Twist said. "Trying to answer that question is what started all of this for us."

In November, Lane led another delegation to China to promote the city's tourism and reinforce business, education and cultural ties. Representatives attended the China Sports Tourism Expo in Haikou in the southern island province of Hainan, Scottsdale's sister city as of March 2010. Lane said the Chinese government sponsored the trip.

"We've got a pretty clear indication that that's not a problem," he said. At the same time, Lane said he wondered how much responsibility elected officials have to identify gifts from other governments.

The gifts policy has "room for interpretation," he said. "I would like to have it written down so we're instructed and given some instruction each year," Lane said.

In the wake of a Fiesta Bowl probe, Lane also asked the city attorney to consider incorporating recommendations made by the Maricopa County attorney on accepting and reporting gifts for state lawmakers.

In December, County Attorney Bill Montgomery wrapped up the investigation that looked at whether certain public officials inappropriately accepted or failed to report tickets and other gifts from the Fiesta Bowl in financial disclosure statements.

He decided not to charge lawmakers who did, including Rep. John Kavanagh, R-Fountain Hills, and Sen. Michele Reagan, R-Scottsdale.

Montgomery recommended that the Legislature consider a tighter gifts policy, including banning gifts or establishing a minimum threshold for reporting, and increasing the frequency of reporting.

Some recommendations may apply to Scottsdale and some may not, Lane said.

 

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