HomeMy WebLinkAboutORD 2004-39 - EthicsORDINANCE * w.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
GEORGETOWN, TEXAS REPEALING THE EXISTING CHAPTER 2.20
OF THE CODE OF ORDINANCES RELATING TO "ETHICS"; AND
ADOPTING A NEW CHAPTER 2.20 TO BE ENTITLED "ETHICS"
REPEALING CONFLICTING ORDINANCES; PROVIDING A
CONFLICTS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council of the City of Georgetown acknowledges that our
government is a representative democracy, and those who are elected or appointed to
serve others as representatives accept a public trust that requires them to faithfully and
diligently fulfill their public responsibilities; and,
WHEREAS, the City Council of the City of Georgetown has determined that it is in
the best interest of the City to establish a standard of conduct to govern the activities of
City Officials in an effort to ensure public trust in the integrity of government; and,
WHEREAS, the City Council of the City of Georgetown recognizes that those
individuals who serve as public servants must adhere to a high ethical standard of
conduct since the activities of government should benefit the community as a whole and
should never benefit the individual interests of public decision makers; and,
WHEREAS, the City Council of the City of Georgetown, upon consideration of
recommendations made by the City of Georgetown Ethics Committee appointed by the
City Council on March 25, 2003, finds and determines that an Ethics Review
Commission should be created and a standard of conduct should be established to
govern the conduct of City Officials and to provide disciplinary measures for violations of
such standards.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF GEORGETOWN, TEXAS.
SECTION 1: Existing Chapter 2.20 of the Code of Ordinances of the City of
Georgetown is hereby repealed in its entirety.
SECTION 2: New Chapter 2.20 of the Code of Ordinances, to be entitled "ETHICS," is
hereby adopted and shall provide as follows:
CHAPTER 2.20 ETHICS
2.20.010. DECLARATION OF POLICY
A. It is the policy of the City that the proper operation of democratic
government requires City Officials to be independent, impartial, and
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Ethics Ordinance Revisions 2004
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responsible; and that no City Official permit any interest, financial or
otherwise, direct or indirect, or engagement in any business,
transaction, or professional activity to conflict with the proper
discharge of duties in the public interest; that governmental
decisions and policies be made in the proper channels of the
governmental structure; that public office not be used for illegal or
improper personal gain; and that City Officials shall at all times
strive to avoid even the appearance of impropriety or partisanship.
The City Council shall be maintained as a nonpartisan body.
B. This Chapter has four purposes:
1. to establish high ethical standards in official conduct by City
Officials;
2, to establish guidelines for ethical standards of conduct for all
City Officials ;
3, to require disclosure by City Officials of private financial or
other interests in matters affecting the City; and
4, to provide discipline for those who violate this Chapter.
C. The City recognizes that City Officials are also members of society
and, therefore, cannot and should not be without any personal and
economic interest in the decisions and policies of government; that
City Officials retain their rights as citizens to interests of a personal
or economic nature and their rights to publicly express their views
on matters of general public interest. It is not the intent of this
Chapter to diminish the rights of City Officials as citizens of the
community.
D. The provisions of this Chapter do not apply to political contributions,
loans, expenditures, reports, or regulation of political campaigns or
to the conduct of candidates in campaigns.
E. This Chapter defines two types of conflicts of interest and treats
them differently. A "Substantial Interest" is defined in Section
171.002 of the Texas Local Government Code, and the provisions
applicable to local Public Officials who have a "Substantial Interest"
are set forth in Chapter 171 of the Texas Local Government Code.
This Chapter is intended to go beyond the requirements of Chapter
171 of the Texas Local Government Code by addressing
"Economic Interests." An Economic Interest is more
comprehensive than a "Substantial Interest" and covers various
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Ethics Ordinance Revisions 2004
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kinds of economic benefits that might accrue to a City Official that
are not included in the Texas statute.
2.20.020. DEFINITIONS
For the purposes of this Chapter the following definitions apply.
A. Business Entity means a sole proprietorship, partnership, firm,
corporation, holding company, joint-stock company, receivership,
trust, or any other entity recognized by law.
B. City Official means the Mayor, every member of the City Council,
the City Manager, the City Secretary, the City Attorney, and all
members of any commission, committee, or board appointed by the
City Council.
C. Confidential Information means any information that a City Official
would be privy to because of the official's position but otherwise is
not available to the public under the provisions of the Texas Public
Information Act (Tex. Gov. Code ch. 552).
D. Economic Benefit means any money, real or personal property,
contract rights, sale, lease, option, credit, loan, discount, service, or
other tangible or intangible thing of value, whether similar or
dissimilar to those enumerated.
E. Economic Interest means a legal or equitable interest in real or
personal property or a fiduciary obligation to such property or
contractual right in such property that is more than minimal or
insignificant and would be recognized by reasonable persons to
have weight in deciding a case or an issue. Service by a City
Official as an officer, director, advisor, or otherwise active
participant in an educational, religious, charitable, fraternal, or civic
organization does not create an Economic Interest in the property
of that organization. Ownership of an interest in a mutual or
common investment fund that holds securities or other assets is not
an Economic Interest in the securities or other assets unless the
City Official participates in the management of the fund. A City
Official does not have an Economic Interest in a matter if the
economic impact on the City Official is indistinguishable from the
impact on the public or on the particular group affected by the
matter.
E. Family Member means the spouse, parent or child, and the parents
of a spouse, City Official, or appointee. (See Exhibit "A")
G. Gift means a favor, hospitality, or economic benefit other than
compensation but which does not include campaign contributions
reported as required by state law, gifts received from a relative if
given on account of kinship, or any value received by will, intestate
succession, or as a distribution from an inter vivos or testamentary
trust
H. Income means economic benefit received.
I. Indirect Ownership means an equity interest in a business entity
where the interest is held through a series of business entities,
some of which own interests in others.
J. Property means real estate, personal items, equipment, goods,
crops, livestock, or an equitable right to income from real estate,
personal items, equipment, goods, crops, or livestock.
K. Second Degree of Consanguinity or Affinity is defined in Exhibit A,
which is attached hereto and incorporated herein for all purposes.
L. Source of Income means any business entity, employment,
investment, or activity which earned or produced income, including
interest, dividends, royalties, or rents, which has been paid to or for
the credit of a City Official, candidate, or family member or which
would be taxable to said City Official, candidate, or family member
under the United States Internal Revenue Code, as amended, even
though not actually paid or credited.
M. Substantial Interest means an interest in a business entity if a City
Official and/or a family member (a) owns ten percent (10%) or more
of voting stock or shares of the business entity; (b) owns ten
percent (10%) or more or $15,000 or more of the fair market value
of the business entity; or (c) if funds received from the business
entity exceed ten percent (10%) or more of the person's gross
income for the previous year. A City Official has a Substantial
Interest in real property if he, his parent, or child or, if married, his
spouse or his spouse's parent, controls or has an interest in the
property and the interest has a market value of $2,500.00 or more.
2.20.030. STANDARDS OF CONDUCT
A. General Provisions
1. No City Official may disclose any Confidential Information
gained through the official's position concerning property,
operations, policies, or affairs of the City, for gain or
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advantage in an Economic Interest of the City Official or the
persons identified in Section 2.20.030.C.2.b. of the Conflicts
of Interest section of this Chapter.
2, No City Official may use the official's position or City -owned
facilities, equipment, supplies, or resources of the City for
gain in an Economic Interest of the City Official, for a political
campaign of the Official, or for any of the persons identified
in Section 2.20.030 C.2.b. of the Conflicts of Interest section
of this Chapter.
3. Except as specifically authorized by City ordinance, no City
Official may appear before the body of which the official is a
member to represent the City Official or any person identified
in Section 2.20.030.C.2.b. of the Conflicts of Interest section
of this Chapter. The City Official may designate and be
represented by a person of the official's choice in any such
matter.
4. No City Official may act as surety for any person or business
entity that has a contract with the City, or as a surety on any
bond required by the City for a City Official.
5. These General Provisions do not prohibit a City Official from
representing the City Official's interest in the City Official's
owner -occupied homestead before any City body, except the
body of which the official is a member.
B. Gifts
No City Official may solicit or accept any contribution, gift, or
economic benefit that is offered or given with the intention of
influencing the judgment or discretion of such official; or given in
consideration of the favorable exercise of the official's judgment or
discretion in the past.
C. Conflict of Interest
1. Substantial Interest
No City Official may vote on or participate in any decision-
making process on a matter concerning property or a
business entity if the official has a Substantial Interest in the
property or business entity.
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2. Economic Interest
a. No City Official may vote on or participate in any
decision-making process on a matter if the official has
an Economic Interest in the outcome of the matter
under consideration.
b. To avoid the appearance and risk of impropriety, a
City Official may not take any official action that the
official knows is likely to affect the Economic Interests
of:
i. the City Official's parent, child, step -child,
spouse, or other family member within the
second degree of consanguinity or affinity or a
client of the City Official (See Attachment "A");
ii. an employer of the City Official, the official's
parent, child, step -child, or spouse;
a business entity for which the City Official
serves as an officer or director or serves in any
policy-making position;
iv. a person or business entity from whom, within
the past twelve months, the City Official or the
official's spouse, directly or indirectly, has
solicited, received and not rejected, or
accepted an offer of employment; or
V, a person or business entity from whom, within
the past twelve months, the City Official or the
official's spouse, directly or indirectly, is
engaged in negotiations pertaining to business
opportunities.
D. DISCLOSURE OF INTEREST AND RECUSAL
1. A City Official who has an Economic Interest in the outcome
of the matter under consideration shall disclose that the
official has an Economic Interest and shall recuse
himself/herself from discussion of and voting on the matter.
2. A City Official having a Substantial Interest in the outcome of
a matter under consideration shall disclose that the official
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has a Substantial Interest and recuse himself/herself
immediately from voting and from the discussion of the
matter. The City Official shall also promptly file an affidavit
with the City Secretary disclosing the nature and extent of
the conflict, and the affidavit shall be included in the official
minutes of the body.
2.20.040. ETHICS REVIEW COMMISSION
A. Creation of Ethics Commission
1. This ordinance creates an Ethics Commission that consists
of eight (8) members, all of whom must reside within the
corporate limits of the City. Each member of the City
Council may nominate a citizen from his or her district to
serve on the Commission, and the Mayor may nominate one
citizen from the City at large. Nominations must be
confirmed by a vote of the City Council,
2. A vote to reject a nominee requires a super -majority.
Members of the Commission may not hold or be a candidate
for any City elected or appointed office at the time of their
service on the Commission.
B. Terms of Service
1. Except as provided below, members of the Commission
shall serve two-year terms. No member may serve more
than two consecutive terms.
2. The terms of the initial Commission members shall begin on
the day that is one day after the date that the City Council
approves the appointment of the first eight (8) commission
members. The terms of the initial eight Commission
members shall be staggered by members drawing lots at the
first Commission meeting such that four (4) members serve
until March 1 of the calendar year that is one year following
the calendar year that the Commission members were
initially appointed, and four (4) members shall serve until
March 1 of the calendar year that is two years following the
calendar year that the Commission members were initially
appointed. Thereafter, all terms shall be for two (2) years.
3. The second and subsequent appointments of members to
the Commission shall be staggered and shall be for terms of
two (2) years.
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C. Commission Vacancies
1. All vacancies shall be filled for unexpired terms.
2. Members hold office until their successors have been
appointed and continue to hold office after a successor has
been appointed for the limited purpose of disposing of all
complaints unresolved during that member's term.
3. No member may participate in a decision regarding a
complaint for which hearings have commenced prior to his or
her appointment.
D. Removal of Commission Members
In addition to the City Council's powers of removal, members of the
Commission may be removed by a majority vote of the City Council
for cause.
E. Officers
1. The Commission shall elect a Chairperson, Vice -
chairperson, and Secretary at its annual meeting.
2. The Vice -chairperson shall conduct meetings in the absence
of the Chairperson or in the event of a vacancy in that
position.
3. The officers serve one-year terms.
F. Quorum
Five (5) or more members of the Commission constitute a quorum,
but no action of the Commission shall be of any force or effect
unless it is adopted by the favorable vote of five (5) or more
members.
G. Meetings
1. The Commission shall meet when necessary to carry out its
responsibilities, but in any event the Commission shall hold
an annual meeting during March to elect officers and review
this Chapter.
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2. The Chairperson or three members may call a meeting
provided that reasonable notice is given to each member.
Notice of all Commission meetings shall be posted pursuant
to the Texas Open Meetings Act.
2.20.050. ROLE OF THE ETHICS REVIEW COMMISSION
A. The Ethics Review Commission has jurisdiction over ethics
complaints involving City Officials.
B. The Ethics Review Commission shall have the authority to review
and investigate complaints filed in accordance with this Chapter
and issue a written finding of the Commission's determination when
appropriate.
C. Service on the Ethics Review Commission does not preclude a
member from filing a complaint with the Commission. The
Commission member filing the complaint must recuse
himself/herself from the Commission procedure.
D. The Ethics Review Commission makes recommendations to the
City Council regarding revisions and changes to this Chapter.
E. The Ethics Review Commission may seek any necessary
assistance from the City Council and City Manager regarding
financial support needed to carry out the Commission's duties.
F. If warranted, independent legal counsel may be utilized to advise
and assist the Commission and take part in hearings.
2.20.060. ROLE OF THE CITY ATTORNEY
A. The City Attorney serves as legal counsel to the Ethics Review
Commission. When complaints are filed relating to the Mayor, City
Council members, City Manager, or City Attorney, independent
legal counsel may be utilized to advise the Commission and take
part in its proceedings.
B. The City Attorney serves as Ethics Advisor to City Officials, As
Ethics Advisor, the City Attorney is available to respond
confidentially to inquiries relating to the Ethics Ordinance (this
Chapter) and may render advisory opinions on potential conflicts of
interest or violation of this section at the request of a City Official.
The advisory opinion in any subsequent charges concerning the
matter may be used as a defense to an alleged violation of this
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section unless material facts were omitted or misstated by the
person requesting the opinion.
C. The City Attorney shall receive all sworn complaints and provide a
copy and a preliminary review of the complaint to the Commission
for action. The preliminary review does not advise on the merits of
a complaint.
D. If a complainant alleges a violation by the City Attorney, the
complaint must be filed with the Chairperson of the Ethics
Commission, with a copy to the Mayor and the City Manager,
2.20.070. COMPLAINT PROCESS
A. Filing
1. Any person who believes that there has been a violation of
this Chapter may file a sworn complaint. A complaint
alleging a violation of this Chapter must meet the
requirements of Section 2.20.070.A.2 and must be filed with
the City Secretary. A complaint alleging a violation of this
Chapter by the City Attorney must also be filed with the
persons named in Section 2.20.060.D.
2, Required Contents of a Complaint. An ethics complaint must
be in writing and under oath and must set forth in simple,
concise, and direct statements the following:
a, the name of the complainant;
b, the street or mailing address and the telephone
number of the complainant;
C, the name of the person who allegedly committed the
violation;
d, the position or title of the person who allegedly
committed the violation;
e. the nature of the alleged violation, including, if
possible, the specific rule or provision of this Chapter
alleged to have been violated;
f. a statement
of
the facts
constituting the
alleged
violation and
the
dates on
which or period of
time in
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which the alleged violation occurred; and must
contain the following:
L documents or other material available to the
complainant relevant to the allegation;
ii. a list of all documents or other material
relevant to the allegation and available to the
complainant, but that are not in the possession
of the complainant, including the location of the
documents; if known; and
iii* a list of all documents or other material
relevant to the allegation, but unavailable to the
complainant, including the location of the
documents, if known.
g. If the complaint is based on information and belief, the
complaint shall state the source and basis of the
information and belief.
3. The complaint must be accompanied by an affidavit stating
that the information contained in the complaint is either true
and correct or that the complainant has good reason to
believe and does believe that the facts alleged constitute a
violation of this Chapter.
4. Upon request, the City Secretary shall provide information to
persons about the requirements of a complaint and the
process for filing a complaint.
B. Confidentiality and Ex Parte Communications
1. No City Official may reveal information relating to the filing or
processing of a complaint except as required for the
performance of official duties.
2. All documents relating to a pending complaint are
confidential, unless they are required to be disclosed under
the Texas Public Information Act (Tex. Gov. Code Ch. 552),
3. After a complaint has been filed, and during the
consideration of a complaint by the Commission, a member
of the Commission may not communicate directly or
indirectly with any party or person about any issue of fact or
law regarding the complaint, except at a meeting of the
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Ethics Ordinance Revisions 2004
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Commission. This provision does not prevent a member of
the Commission to consult with the City Attorney regarding
procedure and legal issues.
C. Notification
1. A copy of a complaint which meets the requirements of this
section shall be promptly forwarded by the City Secretary to
the City Attorney and to the person charged in the complaint.
2. The person alleged in the complaint to have violated this
Chapter shall be provided with a copy of the Ethics
Ordinance (this Chapter) and informed that:
a, within fourteen (14) days of receipt of the complaint, a
sworn response must be filed with the City Secretary;
bo failure to file a response does not preclude the City
Attorney from processing the complaint;
C, a copy of any response to a complaint must be
provided by the City Secretary to the complainant,
who may within seven (7) days respond by sworn
writing filed with the City Secretary, who shall provide
a copy of the sworn writing to the person charged in
the Complaint.
3, City Officials have a duty to cooperate with the City Attorney,
pursuant to this Chapter.
4. All members of the Commission shall receive copies of the
complaint, any documentation, and any response at least
seven days before any hearing on the matter.
2.20.080. HEARING PROCESS
A. Preliminary Hearing
1. As soon as reasonably possible, but in no event later than
sixty (60) days after receiving a complaint, the Commission
shall conduct a Preliminary Hearing. The purpose of the
Preliminary Hearing is to determine whether there are
reasonable grounds to believe that a violation of this Chapter
has occurred.
• . . /IA
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2. The complainant and the City Official named in the complaint
have the right of representation by counsel.
3. Statements at a Preliminary Hearing shall be under oath, but
there shall be no cross examination or requests for persons
or evidence issued for the hearing.
4. The person filing a complaint shall state the alleged violation
and describe in narrative form the testimony and other
evidence which are presented to prove the alleged violation
as stated in the written complaint.
5. The City Official named in the complaint shall have the
opportunity to respond but is not required to attend or make
any statement. The official may describe in narrative form
the testimony and other evidence presented to disprove the
alleged violation. If the official agrees that a violation has
occurred, the Commission may consider the appropriate
sanction.
6. Only members of the Commission may question the
complainant, the independent counsel for the Commission,
or the City Official named in the complaint.
7. At the conclusion of the Preliminary Hearing one of the
following actions shall be taken:
a. If the Commission does not determine that there are
reasonable grounds to believe that a violation of this
Chapter has occurred, the complaint shall be
dismissed.
b. If the Commission determines that there are
reasonable grounds to believe that a violation of this
Chapter has occurred, it shall schedule a final
hearing.
C, If the City Official has agreed that a violation has
occurred, the Commission may proceed to determine
the appropriate sanction.
B. Final Hearing
1. A final hearing shall be held as expeditiously as possible
following the determination by the Commission that there are
reasonable grounds to believe that a violation of this section
• . �.: sa
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has occurred, but in no event shall it be held more than thirty
(30) days after said determination. The Commission may
grant two (2) postponements, not to exceed fifteen (15) days
each, upon the request of the City Official named in the
complaint.
2. If a complaint proceeds to a final hearing, the Commission
may request witnesses to attend and testify, administer
oaths and affirmations, take evidence and request the
production of books, papers, records, or other evidence
needed for the performance of the Commission's duties or
exercise of its powers, including its powers of investigation.
3. The issue at a final hearing is whether a violation of this
Chapter has occurred. The Commission shall make its
determination based on the evidence in the record. All
witnesses shall make their statements under oath. If the
Commission determines that a violation has occurred, it shall
state its findings in writing, identify the particular provision(s)
of this Chapter which have been violated, and within five (5)
working days deliver a copy of the findings to the
complainant, the person named in the complaint, and the
City Secretary. The City Secretary shall deliver a copy of the
findings to the City Council.
2.20.090. SANCTIONS AND VIOLATIONS
A. If the Commission determines that a violation of this Chapter has
occurred, it shall consider appropriate sanctions. The Commission may
receive additional testimony or statements before considering sanctions,
but is not required to do so.
B. If the Commission determines that a violation has occurred, it may
impose the following sanctions.
1. A letter of notification is an appropriate sanction when the
violation is clearly unintentional. The letter of notification
shall advise the official of any steps to be taken to avoid
future violations.
2. A letter of admonition is the appropriate sanction when the
Commission finds the violation is minor.
3. A letter of reprimand is the appropriate sanction when the
Commission finds a serious violation has been committed.
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4. A letter of censure is the appropriate sanction when the
Commission finds that a serious violation has occurred or
more than one serious violation or repeated serious
violations of this Chapter have been committed.
C. Copies of all sanction letters issued by the Commission under this
section shall be sent to the City Council,
D. In addition, when the seriousness of the violation warrants, the
Commission may recommend to the City Council the suspension or
removal from office of any official serving in a Council -appointed
position.
E. Except with regard to violations of Chapter 171 of the Texas Local
Government Code, a violation by any City Official as designated herein
of one or more of the provisions of this Chapter shall not be deemed to
be a Class C misdemeanor under the laws of the State of Texas.
A. The City Secretary shall make available to each new City Official
designated in this chapter, a copy of the text of this Chapter 2.20;
Chapter 171 of the Texas Local Government Code pertaining to
conflicts of interest; the Texas Open Meetings Act (Tex. Gov. Code
ch. 551); and the Texas Public Information Act (Tex. Gov. Code ch.
552) (collectively referred to in this section as the "Ethics Statutes").
B. The City Attorney shall conduct one or more annual seminars
devoted to educating City Officials on the meaning and legal
significance of the Ethics Statutes,
C. Each City Official shall file with the City Secretary a signed affidavit
in which the City Official acknowledges the existence of the Ethics
Statutes.
SECTION 3: All ordinances, parts of ordinances, or resolutions in conflict herewith are
expressly repealed.
SECTION 4: The invalidity of any section or provision of this ordinance shall not
invalidate other sections or provisions thereof.
SECTION 5: The Mayor is hereby authorized to sign this ordinance and the City
Secretary to attest. This ordinance shall become effective and be in full force and effect
in accordance with the provisions of the Charter of the City of Georgetown.
...�S, Nn V`_503�
'• leg
Page of •
READ and APPROVED on first reading this the 11th day of May, 2004.
READ,APPROV
D and ADOPTED on second reading this the day of
, 2004.
CITY OF GEORGETOWN
may
City
ATTEST:
ra D. Lee, City
APPROVED AS TO FORM:
A
Patricia E. Garls, Uty Attorney
Brown & Carls, LLP
Ordinance No.
Ethics Ordinance Revisions 2004
Page 16 of 16
rgetown, Texas
CHARTS OF AFFINITY AND CONSANGUINITY
Affinity Kinship Chart
(Marriage)
Grand-
father Grand-
daugher
Uncle
Mother Aunt
Father Daughter
Nephew Spouse
Brother Son 14'Cousin
Sister
l Niece /
Grand-
mother
c. .A
Consanguinity Kinship Chart
(Blood)
Great
Great
Grand-
Grand-
father
daughter
/ Grand-
/ father Grand -
Great daughter
Uncle Uncle
Mother
Nephew
Great
Nephew
Niece
Great
Niece
Father
Daughter
ofd
Brother
Son
Sister
1
r r.Wom
De 2 � . Ethics Ordinance
Attachment "A" — Charts of Affinity and Consanguinity
Grand-
mother
Great
Grandson
Great
Aunt
Aunt
Cousin Cousin
Great
Grand-
mother
Attachment "A"