Q. Several employees from my organization engage in selling to the states.  Do they have any lobbyist registration or reporting requirements?

A. The answer to your inquiry depends on two things:  first, does the state regulate procurement lobbying, and second, is there an applicable bona fide salesperson exception to the registration requirement.  To determine whether a state regulates procurement lobbying, you can use our Executive Source Guide on Procurement Lobbying.  The regulation of individuals attempting to influence the selection of a vendor has increased significantly, and this trend is expected to continue.

In states where procurement lobbying is regulated, individuals engaging in sales activity may be exempt from the registration requirement where a bona fide salesperson exception exists.  For example, in Maryland, a regular full time employee of a vendor paid to engage primarily in sales activity on behalf of the vendor is exempt from lobbyist registration.  In New York, the exception even extends to sales agents with contracts to represent their clients for a period longer than six months.

Absent an exception, sales employees who meet the lobbyist registration threshold in a state regulating procurement lobbying will be required to register.

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.

On October 14, 2014, New Jersey will implement State of the Art Requisition Technology (NJSTART), a new eProcurement system designed to simplify the procurement process, drive efficiency, and promote competition. The system’s online business directory will be accessible by all state agencies, suppliers, and local governments. Vendors will be able to create individual profiles, receive email alerts for upcoming procurement opportunities, submit proposals, and access training manuals and reference guides.

NJSTART will replace the 25-year-old mainframe system and will allow vendors to access their profiles in real time at any time of day.

Early enrollment is available for vendors who would like to be properly registered when the new system goes live. Because vendors will only be paid if they are registered in the system, vendors on existing contracts are strongly encouraged to register in the system prior to October.

On May 21, the U.S Government Accountability Office (GAO) issued a report describing the steps taken to improve the suspension and debarment programs of some agencies with federal contracts and grants. The report, prepared for the House of Representatives Committee on Oversight and Government Reform, found “the number of suspension and debarment actions government-wide has more than doubled from 1,836 in fiscal year 2009 to 4,812 in fiscal year 2013.”

In 2011, the GAO had recommended strengthening federal agency suspension programs by implementing “dedicated staff, detailed policies and procedures, and an active referral process.” The six agencies reviewed for the report had all carried out some of the previous recommendations. The GAO did not make any new recommendations in its report. The report can be found here.

Elizabeth Bartz is the featured speaker in today’s Public Affairs Council State Procurement Strategies webinar. This presentation is the final installment of the four-part “Strengthening State Government Relations” series and will begin at 2:00 p.m.

You can find details of the webinar on the Public Affairs Council website.

Lawmakers are considering a bill to block one of the firms seeking to bid on a multibillion-dollar light rail project from winning its bid unless it agrees to pay reparations to Holocaust victims. Delegate Kirill Reznik co-sponsored House Bill 1326 to block Paris-based Keolis from winning a contract worth $6 billion for the state’s Purple Line project.

Keolis is a subsidiary of the government-owned French railway Société Nationale des Chemins de Fer Français (SNCF), which has admitted transporting about 76,000 Holocaust victims to concentration camps in Nazi-occupied France.

The bill would expand a 2011 law requiring companies to disclose involvement in transporting victims during the Holocaust.

Lobbying

“K Street gears up for Hillary” by Kevin Bogardus in The Hill.

“Groups Try to Mute the Comcast Lobby | K Street Files” by Kate Ackley in Roll Call.

Louisiana: “Former Jindal aide Rainwater looks to lobbying, consulting” by Michelle Millhollon in The Advocate.

New Jersey: “Lobbying expenditures climbed over $60 million in 2013, report finds” in PolitickerNJ.

Campaign Finance

“New Challenges to Campaign Finance Regulation” opinion piece by David Friedman in The Stanford Daily.

New York: “Women stump for campaign finance reform” by Casey Seiler in the Capitol Confidential.

Wisconsin: “Walker says he’s not focused on Republican bills affecting campaign donations, spending” by Scott Bauer (Associated Press) in The Republic.

Ethics

California: “Senate Democrats proposing revamp of campaign, gift laws” by Patrick McGreevy in the Los Angeles Times.

Campaigns and Elections

“Thought the Senate map was set?” by Jessica Taylor in The Hill.

“2014 Governors Races: A Look at the Too-Close-to-Call Contests” by Louis Jacobson in Governing.

South Carolina: “Cheers! SC Bill Aims to Lift Booze Ban on Election Day” by Drew MacKenzie in Newsmax.

Procurement

“Bringing Innovation to Procurement” by Justin Brown in Government Technology.

SB12, signed into law September 2013, goes into effect today. The bill amends the state procurement code and makes changes to procurement preferences, contract awards, small purchase procedures and thresholds, minimum competition requirements, methods of bid submission, vendor registration requirements, and applicable definitions.

Vendors may contact Chief Procurement Officer Jason Soza with any questions concerning the bill. Additionally, a summary of all changes can be found on the Department of General Services website.

The State of Michigan Department of Technology, Management, and Budget –Procurement is holding a seminar on Contracting with the State of Michigan. It will be held January 23, 2014 from 2:00pm—4:30pm at Constitution Hall, 525 West Allegan Street, Lansing MI 48933.

Topics to be addressed include finding bid opportunities, where to register as a vendor, researching upcoming solicitations, common mistakes made when writing a proposal, rules and guidelines for state contracts, purchasing preferences, and bid solicitation structures.

Interested parties can register here.

Saskatchewan Energy and Resources Minister Tim McMillan is spearheading an effort to overhaul the disadvantageous procurement practices of other Canadian provinces. Specifically, McMillan wants to see the preference for local suppliers abolished, which he believes is in violation of trade obligations between provinces. In Ontario, for example, a local company would be awarded a contract even if its bid was slightly higher than the bid of a non-Ontario company.

A preliminary legal opinion exists on the issue. A final legal opinion is needed to resolve the issue, and before taking the concern to a final resolution panel, the accusing province must inform the offending province of its alleged violation and give an opportunity to correct the practice.

McMillan, along with about two dozen Saskatchewan companies, has asked for action from the government.

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 State and Federal Communications’ digital encyclopedias for lobbying laws, political contributions, and procurement lobbying and can be found in the client portion of our website.

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

Lobbying

“Earmark Ban Hits Lobbyists’ Influence on Spending Bills” by Kate Ackley in Roll Call.

“Capital gains: Spending on contracts and lobbying propels a wave of new wealth in D .C.” by Greg Jaffe and Jim Tankersley in The Washington Post.

“D.C. awash in contracts, lobbying wealth” by Greg Jaffe and Jim Tankersley in the St. Louis Post-Dispatch.

Canada: “Don Cayo: A lobbyist’s job combines analysis and action” by Don Cayo in the Vancouver Sun.

Colorado: “Boulder to hire full-time state lobbyist” by Erica Meltzer in the Daily Camera.

Missouri: “Area lawmakers – except for one – take few lobbyists’ gifts” by Jonathan Shorman in the News-Leader.

Campaign Finance

“The Influencers 50: Enforcers” in Campaigns & Elections.

“‘Citizens United’ Ruling Helped Unions Win State Elections” by Alan Suderman in The Center for Public Integrity.

Massachusetts: “House calls for penalties on local campaign-finance violations” by Bob Katzen in the Lowell Sun.

Michigan: “Mich. Republicans split over disclosing ad funders” by The Associated Press in the Grand Haven Tribune.

Minnesota: “An accuracy challenge in election spending” by the Editorial Board of the Star Tribune.

Ethics

Hawaii: “What’s Going on Between Ethics Commission and Caldwell Administration?” by Nick Grube in the Honolulu Civil Beat.

South Carolina: “Government watchdog group insists Haley repays taxpayers for NC trip” by Seanna Adcox (Associated Press) in GoUpstate.

West Virginia: “W.Va. commission to hold ethics training session in Moorefield” by The Associated Press in The Republic.

Elections

“Parties focus on special election for Senate seat” by Catherine Lucey in the Waterloo Cedar Falls Courier.

Procurement

“5 New Approaches to Government Procurement” by Colin Wood in Government Technology.

Tech and Social Media

“How to Make Your Government Agency Cool Via Social Media” by Rachelle Chong in TechWire.

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 State and Federal Communications’ digital encyclopedias for lobbying laws, political contributions, and procurement lobbying, and can be found in the client portion of our 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 regard to lobbying laws, political contributions, and procurement lobbying.

Lobbying

“Lobby shop hires former Obama campaign staffer” by Kevin Bogardus in The Hill.

Massachusetts: “Fmr Sen. Brian Lees to join lobbying firm of former rival” by Andy Metzger on WWLP News.

Campaign Finance

“EMILY’S List Raises Almost $10 Million For Women Candidates” by Kent Cooper in Roll Call.

Missouri: “Significant campaign donor challenges proposed Mo. ballot measure seeking to cap contributions” by The Associated Press in the Daily Journal.

Virginia: “Pro-Cuccinelli PAC gets $500,000 donation from New York hedge fund executive” by Ben Pershing in The Washington Post.

Ethics

Illinois: “Jesse Jackson Jr. to be sentenced in D.C.” by The Associated Press on ABC7 News.

New York: “Ethics panel survey launched” by Rick Karlin in the Albany Times Union.

New York: “Cuomo real estate donors among Moreland subpoena targets” by Jimmy Vielkind in the Albany Times Union.

Texas: “Biggest Ethics Reforms Died on Governor’s Desk” by Ross Ramsey and Todd Wiseman in the Texas Tribune.

Utah: “House looks to hire investigators for Swallow probe” by Robert Gehrke in The Salt Lake Tribune.

Virginia: “Governor has returned ‘tangible’ gifts, legal team says” by Olympia Meola in the Richmond Times-Dispatch.

Elections

“E-Voting: It May Be a While” by Ed Smith in NCSL’s The Thicket.

Procurement

“Small Businesses Scrambling More for Federal Contracts” by Charles S. Clark in Government Executive.

Redistricting

Alabama: “Testimony concludes in lawsuit challenging legislative districts” by The Associated Press in The Birmingham News.

Alaska: “State Dem party sues over redistricting map” by The Associated Press in the Anchorage Daily News.

From the State Legislatures

Minnesota: “Dayton: No limits, no special session” by Baird Helgeson in the Star Tribune.

Campaign Finance

“Sandra Day O’Connor Tells NCSL Legislative Summit Money Poses Biggest Risk to Fair Courts” by Mary Winter on NCSL’s The Thicket.

Connecticut: “Donovan campaign aide asks for probation” by Michael P. Mayko in the Connecticut Post.

Delaware: “AG Biden won’t investigate donation of improper campaign contributions” by Jonathan Starkey in The News Journal.

District of Columbia: “Ex-Campaign Aide to D.C. Mayor Gray to Plead Guilty” by The Associated Press on WNEW CBS News.

District of Columbia: “Thies: Are Shadow Campaigns Stealing D.C. Elections?” by Churck Thies on NBC4 Washington News.

New York: “100 years ago, a NY governor was impeached” by Joseph Spector in the Star-Gazette.

Ethics

“FEC signs off on Progress Kentucky closing” by Byron Tau on Politico.

From the State Legislatures

“The coming war over voting rights” by Tal Kopan in Politico.

Oklahoma: “Governor orders special legislative session” in Tulsa World.

Procurement

“A New App Takes Government Contracting Mobile” by Joseph Marks in NextGov.

Redistricting

Arizona: “2020 Redistricting? The Arizona GOP Is ON IT” by Abby Livingston in Roll Call.