A coalition of business groups have filed a lawsuit against the Fair Political Practices Commission, seeking to stop enforcement of new pay-to-play restrictions in Senate Bill 1439.

The new law removed the exception for locally elected officials and extended the restricted period from three to 12 months.

The lawsuit seeks to throw out the new law, claiming the bill is unconstitutional, both in the manner it altered the Political Reform Act and in practice.

Plaintiffs allege Senate Bill 1439 does not further the original purpose of the Political Reform Act, but directly conflicts with the original provisions regulating certain financial conflicts of interest of public officials.

Additionally, the plaintiffs claim the bill is unconstitutional on freedom of speech grounds, stating the bill significantly restricts the making and receiving of campaign contributions to local elected officials throughout the state.

No trial date has been set at this time.

The Orange County Council has voted to raise the campaign contribution limit from $2,200 to $2,500 per election cycle.

The Orange County Campaign Reform Ordinance requires the board to adjust the campaign contribution limitation in February of every odd year.

The Orange County Council adjusts the contribution limit according to changes in the Consumer Price Index and rounds to the nearest $100.

The city of Anaheim raised campaign contribution limits to $2,500 per election cycle.

Anaheim reevaluates contribution limits at the start of every odd-numbered year and alters them based on the consumer price index (CPI) of the Los Angeles-Long Beach-Anaheim region.

The area’s CPI increased by 11.8% and the contribution limit was changed, rounded to the nearest $100, to reflect this change from the previous limit of $2,200.

The Los Angeles’ Ad hoc committee on governance reform has recommended the approval of an ethics commission report that would change the rules on persons and organizations lobbying the city.

The commission, whose origins revolves around a controversial leaked audio tape from two former members of the city council, have been tasked on overhauling the city’s ethics laws.

The commission recommended setting a compensation threshold of $5,000 per year that would require a person to register as a lobbyist.

The recommendation also included a requirement for lobbyists to identify their positions on matters about which they are lobbying and lowering the threshold which triggers disclosures when lobbyists distribute political fundraiser solicitations to 15 or more people, down from a threshold of 50 people.

The next step is for the City Council to vote on the commission’s recommendations at their next meeting.

The California Fair Political Practices Commission (FPPC) held its November meeting, approving many changes for 2023.

The FPPC raised the annual gift limit to $590 and clarified the phrase “arrange for the making of a gift.”

The FPPC also expanded and further explained how a lobbyist or lobbying firm “places an official under personal obligation.”

The contribution limits have been adjusted to match increases in the cost of living, raising the limit for Senate or Assembly to $10,900 and $36,400 for governor.

The new limits take effect January 1, 2023.

Voters have approved Proposition H.

Proposition H changes city elections to even-numbered years.

The Mayor, Sheriff, District Attorney, City Attorney, and Treasurer will have their terms end on January 8, 2025, rather than in 2024 to accommodate for the new even-numbered year elections.

City Council approved a special election to fill the empty District 6 seat on April 4, 2023, with a runoff taking place June 27 if necessary.

The election follows Nury Martinez’s resignation after a leaked conversation about redistricting was made public.

In the recording, Martinez with fellow council members Gil Cedillo and Kevin De Leon were heard using racist and demeaning language when discussing how to manipulate the city’s redistricting process.

After pressure for all three to resign, only Martinez has stepped down.

Anaheim City Council has voted to modify the city’s Sunshine Ordinance in response to the Angels Stadium corruption case.

The change mandates city employees must retain emails on their server for at least two years.

The new ordinance makes certain violations of the lobbying code misdemeanors and requires all reports filed by the lobbyists be done so under penalty of perjury.

The new ordinance also changes the due dates for quarterly reports from the last day of the month to 30 days from the end of the quarter.

California Gov. Gavin Newsom announced he plans to call a special legislative session on December 5 to tackle California’s escalating gas prices.

Currently, California’s average gas price is consistently over $2 more than the national average.

Newsom has requested the Legislature to approve a new tax that would require oil companies to pay back excessive profits to consumers.

California Gov. Gavin Newsom signed Senate Bill 1439, expanding pay-to-play regulations.

The prohibition on agency officials accepting a contribution of more than $250 during and following a proceeding involving a license, permit, or other entitlement for use is extended by the bill from three months to 12 months following the final decision.

The bill removes the exception for elected local government officials, applying to them the same restrictions as state officials.

The bill also creates a duty for a party to a proceeding to disclose whether that party or the party’s agent has made a contribution of more than $250 in the 12 months before the proceeding.

This bill becomes effective January 1, 2023.

The California State Legislature has adjourned for the year, but not before passing several bills concerning lobbying, campaign finance, and procurement in the twilight hours of the session.

Among the bills currently awaiting signature by Gov. Gavin Newsom are Senate Bill 459 and Senate Bill 1360.

Senate Bill 459 requires lobbyists, lobbying firms, and lobbyist employers to include information in the quarterly reports that identifies each bill or administrative action lobbied.

Senate Bill 459 also requires lobbying firms to file additional disclosures for lobbying activity during the last 60 days of a scheduled legislative session and requires specified reports for issue lobbying advertisements if a person spends $5,000 or more in a calendar quarter.

Senate Bill 1360 requires certain political advertisements to identify the top contributors to the campaign committee paying for the advertisement without regard to any minimum contribution threshold.

The bill also makes additional changes to the disclosure requirements for political advertisements, including changes to the required form, content, and presentation of the disclosures depending on the medium in which the advertisement appears.

The Fair Political Practices Commission (FPPC) of California voted to allow contributions to political candidates in cryptocurrency.

Until now, contributions made in cryptocurrency were banned under all circumstances.

Under the new regulation, the contribution must immediately be converted into dollars upon making the contribution and the cryptocurrency must be processed through an exchange registered with the U.S. Department of Treasury, Financial Crimes Enforcement Network.

An exchange is the marketplace where cryptocurrency is converted to different types of tender, including USD and the exchange can charge transaction fees.

The limits on cryptocurrency are the same as any non-cash contribution.

When reporting cryptocurrency contributions, the amount of the contribution is the fair market value of the cryptocurrency at the time the exchange obtains possession of the contribution and any amounts charged or withheld by the exchange must be reported by the committee as expenditures at the time the fees are deducted or charged.

Santa Ana city council unanimously passed the first reading of a new lobbyist registration ordinance, outlining who must register, when reports are required, and the penalties for failing to follow the rules laid out in the ordinance.

The ordinance defines a lobbyist as any individual, business entity or organization, including a non-profit organization, that receives or becomes entitled to receive five hundred dollars or more in consideration in a month to lobby.

Once an individual becomes a lobbyist, they are required to register with the city clerk within 15 days.

If the ordinance follows the typical path to become law, the bill will need to be voted on two more times before it officially passes.

San Francisco voters have approved a ballot proposition prohibiting behested payments from contractors with contracts approved by the Board of Supervisors.

Proposition E also allows the city’s behested payment law to be amended if the city’s Ethics Commission and two-thirds of the Board of Supervisors approve the changes.

The new law will come into effect June 17, 2022.