Q. We’ve had some disagreement internally within our organization – please help. As a federal registrant employing in-house lobbyists, are we only required to report the time and expenses associated with our “registered” lobbyists.

A. It’s a good question. The answer to which often gets lost amongst the efforts to report lobbyists’ activities. Federal registrants are certainly required to make best efforts to track, capture, and report the lobbying activities and expenses of those employees who meet the 20% threshold standard (lobbyist employee). In addition, registrants are equally required to track, capture, and report expenditures associated with employees who do not meet the 20% threshold but still engage in lobbying activities during the course of the quarter (non-lobbyist employees.) The names of non-lobbyist employees are not included on the report and neither is information related to what issues they addressed or contacts they made. That said, the Secretary of the Senate and Clerk of the House have consistently advised that all employee time spent engaged in lobbying activities should be included when determining an organization’s lobbying expenses, even when the employee(s) does not meet the statutory definition of being a lobbyist. In line with the best efforts standard, then, it is important to have in place reasonable, demonstrable processes to capture both lobbyist and non-lobbyist activities.

You can directly submit questions for this feature, and we will select those most appropriate and answer them here. Send your questions to: marketing@stateandfed.com.

(We are always available to answer questions from clients that are specific to your needs, and we encourage you to continue to call or e-mail us with questions about your particular company or organization. As always, we will confidentially and directly provide answers or information you need.) Our replies to your questions are not legal advice. Instead, these replies represent our analysis of laws, rules, and regulations.

At any given time, more than 1,000 legislative bills, which can affect how you do business as a government affairs professional, are being discussed in federal, state, and local jurisdictions. These bills are summarized in the State and Federal Communications’ digital encyclopedias for lobbying laws, political contributions, and procurement lobbying, and can be found in the client portion of the State and Federal Communications’ website.

Summaries of major bills are also included in monthly e-mail updates sent to all clients. The chart below shows the number of bills we are tracking in regards to lobbying laws, political contributions, and procurement lobbying.

Lobbying

“Wall Street tipsters brace for exposé on their industry, scrutiny from Capitol Hill” by Kevin Bogardus in The Hill.

Wisconsin: “Bill to prevent revolving door” by Alice Coyne in the Badger Herald.

Campaign Finance

“Congressman seeks to overturn Citizens United” by the Associated Press in U.S. News & World Report.

Arizona: “Phoenix launches searchable campaign-finance website” by Dustin Gardiner in the Arizona Republic.

Florida: “House moves ahead with plan to end slush funds, raise campaign contribution limits to $10,000” by Mary Ellen Klas in the Miami Herald.

Ethics

Florida: “Former state GOP chairman Jim Greer pleads guilty to theft, money laundering” by Lucy Morgan in the Miami Herald.

Social Media

Eric Brown’s Political Activity Law blog points out that next week is Social Media Week.

“Do Governments Need Personal Social Media Policies?” by Colin Wood in Government Technology.

The first rule details when non-lobbyist employees must register as a lobbyist. In North Carolina, an employee must register as a lobbyist if a significant part of that employee’s job duties include lobbying. The new rules stipulate that this threshold is met if at least five percent of an employee’s duties include direct or goodwill lobbying during any rolling 30 day period. Once this threshold is met, the employee must register as a lobbyist within one business day.

The second rule explains what must be included when providing a description of a reportable expenditure for the lobbyist reports. The description must identify what was given, who the third party was that received the expenditure, and the name of the event or meeting where the expenditure was given.

The third rule describes how to determine the immediate family member who is connected with a reportable expenditure. On the reports, the name of the designated individual or immediate family member connected with the expenditure must be reported. The person that must be identified is the person who either received or benefited from the expenditure, or who requested the expenditure be made on someone’s behalf.

The fourth and final rule effecting lobbying details what must be reported in connection with a lobbying event. The entire cost of a lobbying event must be reported, rather than just the costs of any gifts given. Examples of the non-gift expenditures that must be reported include supplies, facility rental, food, name badges, flowers and other decorations, planning services, and all other expenses and charges incurred in connection with the lobbying event.

Lobbying

District of Columbia: “Washington lobbying is key part of Williams Mullen’s evolution” by Catherine Ho in the Washington Post.

North Dakota: “Bill would allow use of public funds to hire lobbyists” by Nick Smith in the Bismarck Tribune.

Texas: “Despite Reforms, Some Elected Officials Still Lobby” by Aman Batheja in the Texas Tribune.

Campaign Finance

“Former Rep. Jesse Jackson Jr. admits to campaign finance violationsFormer Rep. Jesse Jackson Jr. admits to campaign finance violations” by ASndrew Rafferty in NBC News.

“Review: Ex-House members still dipping into campaign funds” by Fredreka Shouten in the Montgomery Advertiser.

District of Columbia: “D.C. campaign finance proposals await more public comment” by Tim Craig in the Washington Post.

Florida: “Indicted Developer Jay Odom Set to Enter Plea in Campaign Finance Case” by Lucy Morgan in the Ledger.

Georgia: “Ralston Amends Proposed Lobbying Rules” by the Associated Press in GPB News.

Iowa: “Campaign finance bill offers new approach” by William Petroski in the Des Moines Register.

Montana: “Several campaign finance bills introduced in 2013 session” in the Missoulian.

Philadelphia, PA: “2 move to regulate campaign $” by Jan Ransom in the Philadelphia Inquirer.

Ethics

Connecticut: “Legislator pushes conflict of interest bill” by Brian Lockhart in the Connecticut Post.

Idaho: “Lawmakers propose ethics committee” by Katherine Wutz in the Idaho Mountain Express.

Oklahoma: “New Ethics Commission leader seeks better campaign-reporting software” by Barbara Hoberock in Tulsa World.

West Virginia: “Ethics Commission in contract talks with director finalist” by Phil Kabler in the Charleston Gazette.

Open Government

Oklahoma: “Disputes over Oklahoma’s open records and open meetings laws continue” by Zeke Campfield and Phillip O’Connor in the Oklahoman.

Redistricting

Ohio: “Ohio Redistricting Overhaul Gains Support” by Josh Goodman in Stateline.

Social Media

“Social Media: Becoming a Trusted Source for Political Information” by Pam Greenberg in NCSL’s The Thicket.

National:

U.S. Groups Flex Their Muscles in Brussels

From the States and Municipalities:

California – FPPC Examining Changes to California Lobbyist Disclosure

Colorado – Judge Denies Halting Ethics Probe of Gessler; Appeal Coming

Kansas – NRA Lines Up Support for Anti-Public Lobbying Bill

Maine – America’s Capital of Divided Government

Maryland – Maryland Ethics Panel Says Delegate Should Not Have Tried to Silence Football Player

Massachusetts – DiMasi, Lobbyist Ask Appeals Court to Overturn Convictions

Massachusetts – Lobbyists Win Challenge to Galvin Requirement

Missouri – Missouri Gov. Nixon Got Donation from Contractor While Decrying Big Political Money

Nebraska – Nebraska Lt. Gov. Rick Sheehy Resigns in Scandal Involving Cell Phone Calls to Four Women

New Jersey – N.J. Budget Official Questions Florida Debris Firm’s $100 Million Contract, Political Connections

New York – Two Campaign Aides Going on Trial, but Comptroller May Face Judgment

Texas – Text Donations Spread Down Ballot

State and Federal Communications produces a weekly summary of national news, offering more than 80 articles per week focused on ethics, lobbying, and campaign finance.

News You Can Use is a news service provided at no charge only to clients of our online Executive Source Guides, or ALERTS™ consulting clients.

Washington’s grassroots lobbying disclosure law is still safe after a federal appellate court dismissed a challenger’s case. The 9th U.S. Circuit Court of Appeals dismissed the claim by Many Cultures, One Voice and Conservative Enthusiasts challenging the state’s disclosure laws for grassroots lobbying. The law requires groups to disclose contributions and spending once it has spent $500 in one month or $1,000 over a three-month period for grassroots lobbying.

The court ruled the two groups did not have standing to sue, because they never actually met the threshold for having to disclose its activities. Initially, the two groups argued the disclosure requirements thwarted free speech, but the trail court ruled against the groups saying the law did not violate the First Amendment.

The groups are now planning their next course of action. They may petition the appellate court to vacate the trial court’s ruling. If this were to happen, it would free up other groups to challenge the law without the benefit of a prior ruling in favor of the state.

The New York Joint Commission on Public Ethics (JCOPE) is currently in the process of developing draft regulations for the state’s gift laws. These draft regulations will attempt to provide clarity and guidance to those regulated by the commission.

The draft regulations concerning gifts given by lobbyists allow lobbyists to follow a step-by-step guide to determine whether he or she is allowed to legally give the gift. JCOPE is accepting written comments on the draft regulations until February 15, 2013. JCOPE will then use those written comments to draft proposed regulations.

Updated February 13, 2013: The New York Joint Commission on Public Ethics has extended the deadline to submit written comments on the draft regulations to March 8, 2013.

An argument put forth by the Massachusetts Secretary of State’s office requiring lobbyists to disclose every communication with public officials “makes absolutely no sense,” wrote Superior Court Judge Janet Sanders.

Secretary of State William Galvin’s office had argued it has the authority to interpret “all direct business associations with public officials” expansively and require the names of all officials with whom a lobbyist has communicated. In reaction, a lawsuit was brought against the Secretary of State’s office by the ACLU, AirStrategies, the Associated Industries of Massachusetts, Citizens for Juvenile Justice, Common Cause, and the Conservation Law Foundation.

According to the Boston Herald, the arguments in favor of the disclosure requirement were dismissed by the judge in her decision.

Lobbying

“Senate lobbying data revamp causing problems for data watchdogs” by Dave Levinthal in the Center for Public Integrity.

“Lobbyists rush to shape immigration deal” by Kevin Bogardus in The Hill.

Georgia: “Lobbyists asked to sponsor Senate lunches” by Kristina Torres in the Atlanta Journal-Constitution.

Michigan: “Lobbying expenses add up in 2012” by Kristen M. Daum in the Battle Creek Enquirer.

Campaign Finance

Kansas: “House panel may allow politicians to rollover campaign funds” by Tim Carpenter in the Topeka Capital-Journal.

Missouri: “Seminar will focus on Missouri campaign finance laws” by Paul Hampel in the St. Louis Post-Dispatch.

South Dakota: Legislature: “Panel endorses greater campaign disclosure” in the Argus Leader.

Ethics

“Attorneys Want Public Input on Ethics Office Rules Changes” by Amanda Becker in Roll Call.

Kansas: “Bill would set term limits for Kansas Governmental Ethics Commission” by Scott Rothschild in the Lawrence Journal World.

Maryland: “Reprimand, apology recommended for lawmaker” by Erin Cox and Michael Dresser in the Baltimore Sun.

Redistricting

“Emails show legislative staff talked with party over redistricting maps” by Mary Ellen Klas in the Miami Herald.

Campaign Finance

New York: “Newest NY Senator says she’ll fight for campaign finance reform” by Karen DeWitt in North Country Public Radio.

Lobbying

“Unregistered Lobbyists Keep Business Humming” by Kate Ackley in Roll Call.

“Business Roundtable Head Says CEOs Will Be Visible Lobbyists” by Kate Ackley in Roll Call.

California: “Capitol lobbying rises” by Laurel Rosenhall” in the Sacramento Bee.

Georgia: “House vs. Senate on the lobbyist gift ban” by Chris Joyner in the Atlanta Journal-Constitution.

New Jersey:  “State watch: Hidden persuaders and local lobbying” by David Neese in the Trentonian.

Ethics

Nebraska: “Nebraska’s lieutenant governor quits amid scandal” by The Associated Press in the Los Angeles Times.

From the State Legislatures

Nevada: “All you need to know about the 77th Legislature convening today” by Anjeanette Damon and David McGrath in the Las Vages Sun.

Ohio: “Lawmaking 101: There’s a process” by Jim siegel in the Columbus Dispatch.

Wisconsin:“Lawmakers Have Mixed Feelings About Part Time Legislature” Marti Mikkelson on WUWM Milwaukee Public Radio.

NCSL’s “Legislative Social Media Sites”

Open Government

Missouri: “Mo. measure seeks to strengthen open records law” by The Associated Press in the News Tribune.

Ann Ravel, Chair of the Fair Political Practices Commission, has assigned a working group to take on issues relating to lobbying disclosure practices. Currently, lobbying disclosure forms allow reporting of huge sums in a catch-all category requiring no detailed reporting to authorities.

State law allows groups hiring lobbyists to report spending related to lobbying, but not meeting the legal definition of lobbying, as a single lump sum in a category listed as “other payments to influence.” Over the past 12 years, lobbying groups have listed in this category over one-quarter of the $2.9 billion spent on lobbying efforts.

The working group is set to include lobbyists, watchdog representatives, and political lawyers.

Federal:

Menendez Pushes Back on Scandal Implications

On K Street, Score One for the Little Guy

From the States and Municipalities:

Colorado

Accidental E-mail Attachment Gets Lobbyist in Hot Water with Senate Majority Leader

Florida

House Proposes Closing Slush Funds, Raising Contribution Limits

Georgia

Georgia Speaker Unveils Sweeping Ethics Legislation

Hawaii

Lobbying Lessons: What Hawaii can learn from other states

Idaho

Armed Man in Security Video is Sorry He Alarmed Idaho Legislators

Illinois

Ex-Illinois State Ethics Panel Member Gets Ethics Fine

Kansas

Labor Groups Suffer Blow in Kansas House

Michigan

Some Lawmakers Wonder Why It’s Necessary for Michigan to Be One of Only Four States with True Full-Time Legislature

North Carolina

N.C. Budget Chairs Change Seats, Start Lobbying Careers

Pennsylvania

Pa. Lawmaker Seeks to Change Offensive Name of Mountain

Rhode Island

RI Rep: Ban lobbyist contributions during session

South Carolina

Ethics Panel Created by Gov. Haley Releases Report

State and Federal Communications produces a weekly summary of national news, offering more than 80 articles per week focused on ethics, lobbying, and campaign finance.

News You Can Use is a news service provided at no charge only to clients of our online Executive Source Guides, or ALERTS™ consulting clients.

A bill was introduced that would prohibit lobbyists from making any political contributions to any member of the Rhode Island General Assembly during legislative sessions.

House Bill 5187, introduced by Representative John Lombardi on January 29, delineates the ban’s time-frame for each annual session from January 1 through July 1.

In his press release, Representative Lombardi states, “Perhaps buying a ticket to a legislator’s fundraiser is done with the best intentions, but it can still appear to be for a different reason entirely. Perceptions are important and there should never be the perception, even if incorrect, that a political contribution is a means to a special favor, to special treatment.”