LobbyComply Blog

Here is your chance to “Ask the Experts” at State and Federal Communications, Inc. Send your questions to experts@stateandfed.com. (Of course, we have always been available to answer questions from clients that are specific to your needs, and we encourage you to continue to call or email us with questions about your particular company or organization. As always, we will confidentially and directly provide answers or information you need.) Our replies are not legal advice, but rather our analysis of laws, rules, and regulations.

Q.   Our company is a federal registrant, and we’ve been working with an executive branch employee who is currently on paid administrative leave after accepting a “deferred resignation” offer from the Trump administration. She is now focused on starting a new consulting business and has no involvement with her former office or any decision-making responsibilities. We would like to offer her a complimentary ticket valued at $500 to a conference covering topics relevant to her new work. Since she is no longer active in her government role, can we provide her the ticket without violating federal gift rules?

A. Not necessarily. While the individual is no longer actively engaged with her former office, employees under a “deferred resignation” arrangement are still considered federal employees and remain subject to federal ethics rules—including those governing gifts—as well as conflict of interest statutes, among others. Several agencies, guided by the Office of Government Ethics, have addressed similar situations and emphasized the continued application of these rules during such leave. Therefore, offering a complimentary ticket would only be permissible if it clearly falls under a specific exception to the gift rules.

For further guidance on gift restrictions for both executive and legislative branch employees, please refer to our online resource: the Federal Lobbying Compliance Law section.

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The Rhode Island Ethics Commission voted to initiate the formal rulemaking process to amend the state Code of Ethics Gift Rule. Proposed amendments include restricting registered lobbyists from giving gifts to state officials and employees and increasing maximum allowable gift values. The commission will now prepare amended regulations and file a notice of proposed rulemaking for public comment with the Office of Secretary of State. The public comment period will last for a minimum of 30 days before a vote to adopt the finalized amendments will take place.

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The Department of State issued a declaratory ruling clarifying an exception to the lobbying gift ban regarding expenses for officials attending conferences. In the Detroit Regional Chamber Declaratory Ruling issued March 31, the department concluded a lobbyist or lobbyist agent may provide complimentary admission to public officials attending the Mackinac Policy Conference where the officials are providing a service with a value equal to or greater than the price of admission. The burden of demonstrating a public official is providing a service is on the lobbyist or lobbyist agent. An earlier ruling issued on March 10 concluded complimentary admission was an impermissible gift, but additional evidence submitted during the public comment period demonstrated public officials attending the Mackinac Policy Conference provide a service in exchange for complimentary admission. Lawmakers are currently considering Senate Bill 101, which would codify an exception to the gift ban for admission to a conference or educational event with subject matter directly related to the duties of the public official.

The Department of State will hold a public hearing on March 18 to receive public comments on proposed changes to the Gifts Under the Lobby Act rules. The proposed changes are intended to codify two interpretive statements issued in 2024 addressing a gift loophole allowing officials to offer reimbursement for the difference between the actual gift value and the current limit. The changes are also aimed at providing additional general explanation about the regulation of gifts from lobbyists and their agents to public officials. Comments on the proposed rules may be made at the hearing, by mail, or by email at Elections-PublicComment@michigan.gov.

The California Fair Political Practices Commission (FPPC) recently drafted amended regulations to increase gift and contribution limits for the years 2025-2026.

The gift limit will increase from $590 to $630 per calendar year.

The contribution limit from individuals, corporations, and PACs made to candidates for the Legislature will increase from $5,500 to $5,900 per election.

The limit to candidates for statewide office, other than governor, will increase from $9,100 to $9,800 per election and the limits for the governor’s office will increase from $36,400 to $39,200.

The amended regulations will be considered at an FPPC meeting on or after January 14, 2025.

The County Commission has approved an ordinance to raise the monetary value limit of a gift of food and drink for elected officials from $5 to $25.

Commissioner Mark Bogen stated this ordinance will allow elected officials, candidates, and government staff to interface better with the public as the current rules prevent officials from attending functions they should be attending.

Reasoning in the ordinance states the stringent gift limitations in the County Code of Ethics unintentionally discourage personal interaction and communication between elected officials and the communities they serve.

The gift limitation was raised on November 12 after a unanimous vote for its approval.

The County Commission has proposed an ordinance to raise the monetary value limit of a gift of food and drink for elected officials from $5 to $25.

Commissioner Mark Bogen stated this proposal will allow elected officials, candidates, and government staff to interface better with the public.

Bogen also stated this change is not to allow officers to have dinner with a lobbyist but to keep officials from worrying about breaking the law for accepting food or drink that costs “more than a bagel” from constituents when attending public events.

The proposed ordinance will appear on the County Commission’s agenda on October 22.

The gift limit for food, drink, and refreshments in Louisiana increased from $77 to $79 as part of an annual increase reflecting changes in the consumer price index.

Lobbyists and non-lobbyists may now give a public servant or public employee any food, drink, or refreshment the total value of which does not exceed $79 for a single event.

The $79 limit does not apply to gatherings held in conjunction with a meeting related to a national or regional organization, or to meetings of a statewide organization of governmental officials or employees.

The Office of Secretary of State issued two interpretive statements clarifying the state’s lobbyist gift ban.

The LaBrant Interpretive Statement prohibits a lobbyist or lobbyist agent from providing a public official any gift, including tickets, if the value of the ticket is over the gift limit of $76, even if the public official reimburses the lobbyist or lobbyist agent for the value of the gift over the limit.

The Michigan Association of Health Plans Interpretive Statement indicates complimentary admission to an educational conference paid by a lobbyist or lobbyist agent for a lawmaker’s attendance is only permissible if the value of the conference admission is equal to or less than the value of the services provided by the attending public official.

The San Francisco Ethics Commission has drafted regulations, overhauling the city’s gift law.

While the regulation does not change the gift limit, the regulation heavily alters what is considered not a gift, adding more exclusions, and better defining existing exclusions.

The new regulations will only become operative if they are approved by the voters on the March 5, 2024 ballot.

Senate President Pro-Tem Caleb Rowden introduced a substitute for Senate Bill 378, which changes lobbyist and campaign finance reporting and creates a local lobbyist gift ban.

The new substitute for Senate Bill 378 changes the reporting required by lobbyists from monthly expenditure reports to an annual expenditure report filed on December 31, or if December thirty-first is a Saturday or Sunday, on the last Friday of the calendar year.

The bill also changes campaign finance reporting, deadlines and late fees.

The bill raises the threshold for expenditures required to be itemized on a disclosure report from $100 or less to $200 or less and provides for an annual increase based on the increase in the cost of living.

The bill changes filing deadlines by requiring anything filed electronically to be filed by 11:59 p.m. of the due date.

Under current law, if the last day of filing any campaign finance disclosure report falls on a Saturday, Sunday, or an official state holiday the deadline is extended to 5:00 p.m. of the next day that is not a Saturday, Sunday, or official state holiday.

In addition, the bill requires all committees to be charged $100 per day in late fees for campaign finance reports required to be filed 8 days prior to an election.

Under current law, this only applies to candidate committees.

The bill also increases the fine for all other late campaign finance reports to $20 per day late fee, rather than $10 per day as required by current law, and fees will be increased annually on January 1, based on the increase in the cost of living.

The bill also prohibits any person serving as or employed by an elected local government official from accepting directly or indirectly a gift of any tangible or intangible item, service, or thing of value from any paid lobbyist or lobbyist principle.

If passed, the bill will become effective August 28, 2023.

Q: I am a registered lobbyist in Tennessee and my employer is planning to invite the entire membership of the general assembly to an in-state reception with food and beverages provided. Is this allowed and is there anything else I should know to make sure I am compliant with state laws?

A: Yes, the event is permissible, but there are important reporting requirements to follow.

Lobbyists and employers of lobbyists may provide entertainment, food, refreshments, etc. in connection with an in-state event to which the entire membership of the general assembly has been invited. For 2023 events, the cost per person may not exceed $73 per day.

The lobbyist or employer of lobbyist must file a copy of the invitation with the Ethics Commission at least 7 days before the event and must file an In-State Disclosure form within 30 days after the event detailing the per-person and total cost of the event.

The aggregate total of all in-state events is also reported on the semi-annual lobbyist employer reports.

Proper gift disclosure can involve more than simply including the gift on your normal lobbying disclosure report. It is always a good idea to check the jurisdiction’s specific disclosure requirements on our website prior to giving a gift.

The Tennessee Bureau of Ethics and Campaign Finance has increased the lobbyist expenditure gift limit from $65 per event to $73.

The annual limit from lobbyist employers has also increased from $130 during a calendar year to $147.

The bureau is required by law to increase the limit every two years.

The law became effective January 16, 2023.

The Alabama Ethics Commission voted to increase the amount of de minimis items a lobbyist or lobbyist employer may give to public officials.

The new amounts are $32 or less per occasion with an aggregate of $64 or less per calendar year.

Previously the amount was $25 or less per occasion with an aggregate of $50 or less in a calendar year.

The change will only affect the definition of de minimis and has no effect on the exception for meals within the Alabama Code.