San Francisco’s persistent battle against corruption has reached an inflection point as watchdogs press for tighter regulations on gift-giving practices that have historically paved the way for unethical conduct, including the real estate sector.
The city is poised to address this issue directly by involving its citizens in the decision-making process, the San Francisco Standard reported.
The Ethics Commission earlier this month took a major step by voting to include a series of anti-corruption measures on the election ballot scheduled for March 5, 2024, the outlet reported. This follows two previous unsuccessful attempts in 2022 to bring corruption-related matters before voters.
The proposed ballot measure would bolster ethics standards by establishing more defined standards on gift-giving and bribery, coupled with enhanced ethics training requirements for city officials.
Additionally, the measure seeks to forbid individuals from acting as intermediaries for improper gift-giving to city officials, hold officials personally accountable for failing to disclose pertinent relationships, institute universally applicable rules on incompatible activities, and mandate supermajority consent from both the Board of Supervisors and the Ethics Commission for modifications to ethics-related protocols.
It’s designed to correct inadequacies within the city’s ethical guidelines and to preclude future instances of corruption, highlighted by the Mohammed Nuru bribery scandal that rocked the Department of Public Works.
The origin of the reforms can be traced back to 2021 when the Ethics Commission drafted its initial ballot measure following corruption scandals involving figures like Nuru. The commission identified the absence of clarity in regulations concerning gift-giving to city officials as a persistent risk for corruption.
Victor Makras, a politically connected real estate broker and investor, was convicted for bank fraud for his part in the probe that brought down former Public Utilities Commissions head Harlan Kelly and Nuru, Makras.
Nuru was sentenced to seven years, but Makras avoided serving jail time after 190 letters asking for leniency, including testimonies from former San Francisco mayors Willie Brown and Art Agnos, were filed with the court.
But there have been obstacles. A union representing city department heads was implicated in the delays of the second ballot measure in November 2022, fueling allegations of tactics designed to thwart proposed ethics reforms.
Should the ballot measure receive voter approval in March, the alterations related to gift-giving will come into effect approximately six months following the election. The financial cost of implementing these changes, estimated at $43,000 in administrative fees from the 2023-24 General Reserve, is anticipated.
In the lead-up to the election, the Ethics Commission plans to disseminate additional informational materials clarifying the practical implications of the measure.
“Our city residents and dedicated public servants alike expect and deserve a city government that works to promote the public good, not personal interests,” Ethics Commission Vice Chair Theis Finlev said, according to the outlet. “Reformed conflict of interest laws and increased training for city officials can help ensure that governmental decisions are made on a fair and impartial basis.”
— Ted Glanzer