PRIOR PRINTER'S NO. 917 PRINTER'S NO. 4350
No. 700 Session of 2005
INTRODUCED BY MAHER, BROWNE, CLYMER, ARGALL, ARMSTRONG, BAKER, BOYD, CALTAGIRONE, CAPPELLI, CRAHALLA, CREIGHTON, DALLY, DENLINGER, FAIRCHILD, FREEMAN, GINGRICH, HANNA, HARPER, HENNESSEY, JOSEPHS, KAUFFMAN, LEVDANSKY, MANDERINO, MARKOSEK, McILHATTAN, MUNDY, NAILOR, NICKOL, READSHAW, REICHLEY, ROSS, RUBLEY, SATHER, SCHRODER, SHAPIRO, B. SMITH, STEIL, R. STEVENSON, TANGRETTI, TIGUE, TRUE, WATSON, WRIGHT, HARHART, S. MILLER, GERBER, BEYER, REED, MELIO AND HUTCHINSON, MARCH 14, 2005
AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES, JUNE 22, 2006
AN ACT 1 Amending Title 65 (Public Officers) of the Pennsylvania 2 Consolidated Statutes, providing for provisions relating to 3 lobby regulation and disclosure; making an appropriation; and 4 making a related repeal. 5 The General Assembly of the Commonwealth of Pennsylvania 6 hereby enacts as follows: 7 Section 1. Chapter 13 of Title 65 of the Pennsylvania <-- 8 Consolidated Statutes is repealed. 9 Section 2. Title 65 is amended by adding a chapter to read: 10 CHAPTER 13-A 11 LOBBYING DISCLOSURE 12 Sec. 13 1301-A. Short title of chapter. 14 1302-A. Statement of intent and jurisdiction. 15 1303-A. Definitions.
1 1304-A. Registration. 2 1305-A. Reporting. 3 1306-A. Exemption from registration and reporting. 4 1307-A. Prohibited activities. 5 1308-A. Administration and enforcement. 6 1309-A. Penalties. 7 1310-A. Filing fees; fund established; regulations. 8 1311-A. Severability. 9 § 1301-A. Short title of chapter. 10 This chapter shall be known and may be cited as the Lobbying 11 Disclosure Act. 12 § 1302-A. Statement of intent and jurisdiction. 13 (a) Intent.--The Constitution of Pennsylvania recognizes the 14 principle that all free government is founded upon the authority 15 of the people. It further provides that the power to make law in 16 this Commonwealth is vested in the General Assembly and the 17 power to enforce law is vested in the Executive Department. The 18 ability of the people to exercise their fundamental authority 19 and to have confidence in the integrity of the process by which 20 laws are made and enforced in this Commonwealth demands that the 21 identity and the scope of activity of those who attempt to 22 influence the actions of the General Assembly and the Executive 23 Department be publicly and regularly disclosed. 24 (b) Jurisdiction.--The authority to regulate persons 25 employed to influence the actions of the General Assembly and 26 the Executive Department lies within the jurisdiction of those 27 branches of government. To ensure that the intent of this 28 chapter is not evaded and that all such persons are regulated in 29 a fair and equitable manner, lobbyists and the practice of 30 lobbying shall be subject to this chapter, which shall prevail 20050H0700B4350 - 2 -
1 over any other regulation of professional activity when that 2 activity constitutes lobbying. This chapter is not intended to 3 govern professional activities which do not include lobbying and 4 which are properly the subject of regulation by the judicial 5 branch of government or by any government agency. Membership in 6 a regulated profession shall not excuse a lobbyist from 7 compliance with the provisions of this chapter. 8 § 1303-A. Definitions. 9 The following words and phrases when used in this chapter 10 shall have the meanings given to them in this section unless the 11 context clearly indicates otherwise: 12 "Administrative action." Any of the following: 13 (1) An agency's: 14 (i) proposal, consideration, promulgation or 15 rescission of a regulation; 16 (ii) development or modification of a guideline or a 17 statement of policy; 18 (iii) approval or rejection of a regulation; 19 (iv) procurement of supplies, services and 20 construction under 62 Pa.C.S. (relating to procurement), 21 except for any emergency procurement made under 62 22 Pa.C.S. § 516 (relating to emergency procurement). 23 (2) The review, revision, approval or disapproval of a 24 regulation under the act of June 25, 1982 (P.L.633, No.181), 25 known as the Regulatory Review Act. 26 (3) The Governor's approval or veto of legislation. 27 (4) The nomination or appointment of an individual as an 28 officer or employee of the Commonwealth. 29 (5) The proposal, consideration, promulgation or 30 rescission of an executive order. 20050H0700B4350 - 3 -
1 "Affiliated political action committee." A political action 2 committee as defined in section 1621(l) of the act of June 3, 3 1937 (P.L.1333, No.320), known as the Pennsylvania Election 4 Code, which has a chairman, a treasurer or another officer who 5 is a principal, an employee of a principal, a lobbyist or an 6 employee of a lobbyist, provided if an employee of a registrant 7 serves as the officer of a political action committee in what is 8 clearly a personal capacity and the goals and mission of that 9 political action committee clearly have no relationship to the 10 goals and mission of the registrant, such political action 11 committee shall not be considered an affiliated political action 12 committee for the purposes of this definition. 13 "Agency." A State agency, board, commission, authority or 14 department. 15 "Commission." The State Ethics Commission. 16 "Compensation." Anything of value, including benefits, 17 received or to be received from a principal by one acting as a 18 lobbyist. 19 "Direct influence." Any effort to lobby or communicate to a 20 State official or State employee, which is intended to affect 21 legislative or administrative action. 22 "Direct influence expense." Any expenditure for direct 23 influence, including any expenditure for research, monitoring, 24 technical, clerical or administrative services provided by a 25 lobbyist, lobbying firm or the staff of a lobbyist or lobbying 26 firm, in support of direct influence. The term does not include 27 any office expenses. 28 "Economic consideration." Anything of value offered or 29 received. 30 "Fund." The Lobbying Disclosure Fund established in section 20050H0700B4350 - 4 -
1 1310-A(b) (relating to filing fees; fund established; 2 regulations). 3 "Gift." Anything which is given or received without 4 consideration of equal or greater value. 5 "Hospitality." Includes all of the following: 6 (1) Meals. 7 (2) Beverages. 8 (3) Recreation and entertainment. 9 "Immediate family." An individual's spouse, an individual's 10 child and an individual's parent, brother, sister or like 11 relative-in-law. 12 "Indirect influence." Any effort to encourage others, 13 including the general public, to communicate to a State official 14 or employee to affect legislative or administrative action. The 15 term includes activities such as letter-writing campaigns, 16 mailings, telephone banks, print and electronic media 17 advertising, billboards, publications and educational campaigns. 18 The term does not include regularly published periodic 19 newsletters primarily designed for and distributed to members of 20 a bona fide association or charitable or fraternal nonprofit 21 corporation. 22 "Indirect influence expense." Any expenditure for indirect 23 influence, including any expenditure for research, monitoring, 24 technical, clerical or administrative services provided by a 25 lobbyist or lobbying firm, or the staff of a lobbyist or 26 lobbying firm, in support of indirect influence. The term does 27 not include any office expenses. 28 "Legislation." Bills, resolutions, amendments and 29 nominations pending or proposed in either the Senate or the 30 House of Representatives. The term includes any other matter 20050H0700B4350 - 5 -
1 which may become the subject of action by either chamber of the 2 General Assembly. 3 "Legislative action." An action taken by a State official or 4 employee involving the preparation, research, drafting, 5 introduction, consideration, modification, amendment, approval, 6 passage, enactment, tabling, postponement, defeat or rejection 7 of legislation; legislative motions; overriding or sustaining a 8 veto by the Governor; or confirmation of appointments by the 9 Governor or of appointments to public boards or commissions by a 10 member of the General Assembly. 11 "Lobbying." An effort to influence legislative action or 12 administrative action. The term includes: 13 (1) Communicating in writing, orally or by any other 14 medium to a State official or employee for the purpose of 15 influencing legislative or administrative action. 16 (2) Providing any gift, hospitality, transportation or 17 lodging to a State official or employee for the purpose of 18 advancing the interest of the lobbyist or principal. 19 "Lobbying firm." A business entity that engages in lobbying 20 for economic consideration on behalf of a principal, or 21 principals, other than the business entity itself. 22 "Lobbyist." Any individual, firm, association, corporation, 23 partnership, business trust or business entity that engages in 24 lobbying on behalf of a principal for economic consideration. 25 "Office expense." Any expenditure for offices, equipment or 26 supplies other than personnel expenses. 27 "Personnel expense." Any expenditure for salaries or other 28 forms of compensation, benefits, vehicle allowances, bonuses and 29 reimbursable expenses. 30 "Principal." Any individual, firm, association, corporation, 20050H0700B4350 - 6 -
1 partnership, business trust or business entity: 2 (1) on whose behalf a lobbyist influences or attempts to 3 influence an administrative action or a legislative action; 4 or 5 (2) that engages in lobbying on the principal's own 6 behalf. 7 "Registrant." A registered lobbyist, lobbying firm or a 8 registered principal. 9 "Regulation." Any rule, regulation, statement of policy or 10 order in the nature of a rule or regulation, including formal 11 and informal opinions of the Attorney General, of general 12 application and future effect, promulgated by an agency under 13 statutory authority in the administration of a statute 14 administered by or relating to the agency, or prescribing the 15 practice or procedure before the agency. 16 "State official or employee." An individual elected or 17 appointed to a position in State government or employed by State 18 government, whether compensated or uncompensated, who is 19 involved in legislative action or administrative action. 20 § 1304-A. Registration. 21 (a) General rule.--Unless excluded under section 1306-A 22 (relating to exemption from registration and reporting), a 23 lobbyist, principal or lobbying firm must register with the 24 commission biennially. Each biennial registration cycle shall 25 begin on January 1 of each odd-numbered year and shall conclude 26 on December 31 of the immediately following even numbered year. 27 The following shall apply: 28 (1) A lobbyist or lobbying firm must register within ten 29 days of: 30 (i) receiving compensation for lobbying from all 20050H0700B4350 - 7 -
1 principals represented in excess of $2,500 in the 2 aggregate during any reporting period; or 3 (ii) engaging in lobbying on behalf of his employer 4 where lobbying activity accounts for over $2,500 of the 5 employee's time during any reporting period based on an 6 hourly proration of the employee's compensation. 7 (2) A principal must register within ten days of 8 expending in excess of $2,500 for lobbying purposes during 9 any reporting period. 10 (b) Alternate registration.--A lobbyist, lobbying firm, 11 principal or individual who has not otherwise registered 12 pursuant to subsection (a) must register with the commission 13 within ten days of expending in excess of $500 in the aggregate 14 during any reporting period on gifts, hospitality, 15 transportation and lodging to Commonwealth officials or 16 employees or members of their immediate families. 17 (c) Registration requirements for principals and lobbying 18 firms.-- 19 (1) A principal or lobbying firm required to register 20 shall file the following information with the commission: 21 (i) Name. 22 (ii) Permanent address. 23 (iii) Daytime telephone number. 24 (iv) Name and nature of business. 25 (v) Name, registration number and acronyms of all 26 affiliated political action committees. 27 (vi) Name, permanent business address and daytime 28 telephone number of each individual or entity who will 29 for economic consideration engage in lobbying on the 30 principal's or lobbying firm's behalf. 20050H0700B4350 - 8 -
1 (vii) A principal shall disclose in its filing the 2 name, registration number and acronyms of all candidate 3 political committees for which the principal serves as a 4 treasurer or other officer. 5 (viii) A lobbying firm shall disclose in its filing 6 the name, permanent business address and telephone number 7 of each principal represented. 8 (2) If an organization or association is a principal, 9 the number of dues-paying members in the past calendar year 10 shall also be disclosed. 11 (d) Registration requirements for individuals who are 12 lobbyists.-- 13 (1) A lobbyist who is required to register shall file 14 the following information with the commission: 15 (i) Name. 16 (ii) Permanent business address. 17 (iii) Daytime telephone number. 18 (iv) A recent photograph of the lobbyist. 19 (v) Name, permanent business address and daytime 20 telephone number of each principal the lobbyist 21 represents. 22 (vi) Name, registration number and acronyms of all 23 affiliated political action committees. 24 (vii) Name, registration number and acronyms of all 25 candidate political committees for which the lobbyist 26 serves as a treasurer or other officer. 27 (2) Each lobbyist shall file a single registration 28 statement identifying all principals he or she represents. 29 (e) Amendments.-- 30 (1) When there is a change of information required for 20050H0700B4350 - 9 -
1 the registration statement under subsection (c)(1) or (d), an 2 amended statement shall be filed with the commission within 3 14 days after the change occurs. 4 (2) When there is a change in information required for 5 the registration statement under subsection (c)(2), an 6 amended statement shall be filed with the commission within 7 14 days of the end of the year in which the change occurs. 8 (f) Termination.--A lobbyist, a principal or a lobbying firm 9 may terminate registration by filing a notice with the 10 commission. No later than 15 days after receipt of the notice, 11 the commission shall issue a letter stating that the registrant 12 has terminated registration. The filing of a notice shall not 13 affect the commission's authority to conduct investigations and 14 hearings pursuant to section 1308-A(h) (relating to 15 administration and enforcement). No lobbying may occur after the 16 filing of a notice unless the lobbying is pursuant to a separate 17 registration statement which is filed with the commission and 18 which, at the time of the lobbying, has not been terminated. 19 § 1305-A. Reporting. 20 (a) General rule.--A registered principal shall, under oath 21 or affirmation, file quarterly expense reports with the 22 commission. 23 (b) Content.--The following shall apply: 24 (1) Each expense report must include the general subject 25 matter or issues being lobbied. 26 (2) Each expense report must contain the following 27 categories: 28 (i) The total costs for direct influence expenses. 29 (ii) The total costs for indirect influence 30 expenses. 20050H0700B4350 - 10 -
1 (iii) The total costs for gifts, hospitality, 2 transportation, lodging and receptions given to or 3 provided to State officials or employees or their 4 immediate families. 5 (3) In addition to reporting the totals required under 6 this subsection, the expense report must identify, by name, 7 position and each occurrence, a State official or employee 8 who receives from a principal or lobbyist anything of value 9 which must be included in the statement under section 10 1105(b)(6) or (7) (relating to statement of financial 11 interests) as implemented by section 1105(d). 12 (i) For purposes of this chapter, the amount 13 referred to in section 1105(b)(7) shall be considered an 14 aggregate amount per year. 15 (ii) For purposes of this chapter, the amount 16 referred to in section 1105(b)(7) shall not include the 17 cost of any reception, which the State official or 18 employee attends in connection with public office or 19 employment. 20 (iii) Written notice must be given to each public 21 official or employee of inclusion in the expense report 22 within seven days of the report's submission to the 23 commission. Notice under this subparagraph shall include 24 the information which will enable the public official or 25 employee to comply with section 1105(b)(6) and (7). For 26 purposes of this chapter and Chapter 11 (relating to 27 ethics standards and financial disclosure), section 28 1105(b)(6) and (7) shall constitute mutually exclusive 29 categories. 30 (iv) Regulations shall be promulgated under section 20050H0700B4350 - 11 -
1 1310-A(c) (relating to filing fees; fund established; 2 regulations) to define mutually exclusive categories 3 under section 1105(b)(6) and (7) and to determine whether 4 a thing of value is subject to disclosure under section 5 1105(b)(6) or (7). 6 (4) The expense report shall also include the name, 7 permanent business address and daytime telephone number of 8 any individual, firm, association, corporation, partnership, 9 business trust or business entity which contributed more than 10 10% of the total resources received by the principal during 11 the reporting period. 12 (5) A lobbyist or lobbying firm shall submit a report if 13 during the reporting period the lobbyist or lobbying firm 14 engaged in lobbying which was not contained in any report 15 filed by the principal or principals represented. 16 (6) A registered principal that attempts, or that 17 retains a lobbyist or lobbying firm to attempt, to influence 18 an agency's preparing, bidding, entering into or approving a 19 contract shall ensure that the related expenses are included 20 under paragraph (2). 21 (7) A lobbyist or lobbying firm shall submit a report if 22 the lobbyist or lobbying firm engaged in lobbying for 23 economic consideration on behalf of any entity that is exempt 24 under section 1306-A(6), (7), (8) and (9) (relating to 25 exemption from registration and reporting). 26 (c) Records retention.--A registrant shall retain all 27 documents reasonably necessary to substantiate the reports to be 28 made under this section for four years from the date of filing 29 the subject report. Upon request by the Office of Attorney 30 General or the commission, these materials shall be made 20050H0700B4350 - 12 -
1 available for inspection within a reasonable period of time. 2 (d) Thresholds for quarterly reporting.--A registered 3 principal shall file an expense report when the principal's 4 aggregate expenses for lobbying or gifts exceed $500 in a 5 reporting period. In a reporting period in which total expenses 6 are $500 or less, the principal shall file a statement to that 7 effect. 8 (e) Voluntary disclosure.--Nothing in this section shall 9 prevent a principal, lobbying firm or lobbyist from disclosing 10 expenses in greater detail than required. 11 § 1306-A. Exemption from registration and reporting. 12 The following activities and individuals shall be exempt from 13 registration under section 1304-A (relating to registration) and 14 reporting under section 1305-A (relating to reporting): 15 (1) Preparing testimony and testifying before a 16 committee, commission or board of the legislative or 17 executive branch. 18 (2) Serving on a working group, task force or advisory 19 board at the request of an agency or the General Assembly. 20 (3) Participating as a party or as a lawyer or 21 representative of a party in any administrative adjudication 22 pursuant to 2 Pa.C.S. (relating to administrative law and 23 procedure). 24 (4) An individual who is an employee of an entity 25 engaged in the business of publishing, broadcasting or 26 televising while engaged in the gathering and dissemination 27 of news and comment to the general public in the ordinary 28 course of business. 29 (5) An individual who does not receive economic 30 consideration or gifts, other than traveling expenses, for 20050H0700B4350 - 13 -
1 lobbying. 2 (6) An elected State officer acting in an official 3 capacity. 4 (7) A State executive officer appointed by the Governor 5 acting in an official capacity. 6 (8) An elected or appointed official or employee of a 7 political subdivision acting in an official capacity. 8 (9) An employee of the Commonwealth or independent 9 agency of the Commonwealth acting in an official capacity. 10 (10) An individual who appears on behalf of any 11 religious organization with respect to subjects of 12 legislation or regulation that directly relate to the 13 religious beliefs and practices of that organization and who 14 does not otherwise act as a lobbyist. 15 (11) Any vendor whose primary occupation is services, 16 supplies or construction. Any lobbyist or lobbying firm 17 employed by such a vendor shall not be exempt from 18 registration under section 1304-A and reporting under section 19 1305-A. 20 § 1307-A. Prohibited activities. 21 (a) Contingent compensation.-- 22 (1) No one may compensate or incur an obligation to 23 compensate any lobbyist or lobbying firm, principal or 24 individual to engage in lobbying for compensation contingent 25 in whole or in part upon any of the following: 26 (i) Passage, amendment, defeat, approval or veto of 27 legislation. 28 (ii) Occurrence, nonoccurrence or amendment of an 29 administrative action. 30 (2) No lobbyist, principal, lobbying firm or individual 20050H0700B4350 - 14 -
1 may engage in or agree to engage in lobbying for compensation 2 contingent in whole or in part upon any of the following: 3 (i) Passage, amendment, defeat, approval or veto of 4 legislation. 5 (ii) Occurrence, nonoccurrence or amendment of an 6 administrative action. 7 (b) Fee restrictions.--A lobbyist, lobbying firm, principal 8 or individual may not charge a fee or render payment of a fee, 9 compensation or other economic consideration based upon an 10 understanding, either written or oral, that any part of the fee, 11 compensation or economic consideration will be converted into a 12 contribution to a candidate for public office or a political 13 committee. 14 (c) Falsification.--No lobbyist, lobbying firm, principal or 15 individual may, for the purpose of influencing legislative 16 action or administrative action, transmit, utter or publish to 17 any State official or employee any communication, knowing that 18 such communication or any signature on the communication is 19 false, forged, counterfeit or fictitious. 20 § 1308-A. Administration and enforcement. 21 (a) Criminal enforcement.--If the commission believes an 22 intentional violation of this chapter has been committed, it 23 shall refer all relevant documents and other information to the 24 Office of Attorney General. 25 (b) Attorney General.--In addition to the authority 26 conferred upon the Attorney General under the act of October 15, 27 1980 (P.L.950, No.164), known as the Commonwealth Attorneys Act, 28 the Attorney General has the authority to investigate and 29 prosecute a violation of this chapter. 30 (c) Advice and opinions.--The commission shall provide 20050H0700B4350 - 15 -
1 advice and opinions in accordance with procedures set forth in 2 section 1107 (relating to powers and duties of commission) to a 3 lobbyist, lobbying firm or principal or State official or 4 employee who has a question regarding compliance with this 5 chapter. A principal, a lobbyist, a lobbying firm or an 6 individual who acts in good faith based on the written advice or 7 opinion of the commission shall not be held liable for a 8 violation of this chapter. 9 (d) Public inspection and copying.--The commission shall 10 make completed registration statements, expense reports, 11 termination notices and termination reports which have been 12 filed with the commission available for public inspection and 13 provide copies of these documents at a price which shall not 14 exceed the actual cost of copying. Documents that are maintained 15 and reproducible in an electronic format shall be provided in 16 that format upon request. 17 (e) Annual reporting.--The commission shall prepare and 18 publish an annual report on lobbying activities in this 19 Commonwealth. The commission shall at least annually publish a 20 listing of all registered principals, lobbyists and lobbying 21 firms and shall identify affiliated political action committees. 22 (f) Retention of records.--Completed registration 23 statements, expense reports, termination notices and termination 24 letters issued pursuant to section 1304-A(f) (relating to 25 registration) shall remain on file with the commission for a 26 four-year period. 27 (g) Audits.--The commission shall initiate, by lottery, 28 random annual audits of the registration statements and 29 disclosure reports in sufficient number to ensure compliance 30 with this chapter. The audit report and findings shall be 20050H0700B4350 - 16 -
1 confidential; however, the commission shall include the relevant 2 portion of an audit as part of its findings of fact in a 3 commission order which results from an investigation arising out 4 of an audit. 5 (h) Investigation and hearings.--The commission, through its 6 executive director, may initiate an investigation and hold a 7 hearing concerning any alleged violation of this chapter in 8 accordance with sections 1107 and 1108 (relating to 9 investigations by commission). 10 (i) Directory.--On or before May 1 of each odd-numbered 11 year, the commission shall produce and distribute a directory of 12 all registered lobbyists and lobbying firms retained by 13 registered principals, including photographs of lobbyists. 14 Copies of this directory shall be made available to the public 15 at a price not to exceed the actual cost of production. All 16 revenue received by the commission from the sales of this 17 directory shall be deposited into the fund. 18 (j) Computer file.--The Legislative Data Processing 19 Committee shall maintain updated registration statements, 20 expense reports, termination notices and termination reports. 21 (k) Inflation adjustment.--On a biennial basis commencing in 22 January 2007, the commission shall review the threshold for 23 registration under section 1304-A (relating to registration), 24 and the threshold for reporting under section 1305-A(d) 25 (relating to reporting) and may increase these amounts to rates 26 deemed reasonable for assuring appropriate disclosure. On a 27 biennial basis commencing in January 2007, the commission shall 28 review the filing fee established under section 1310-A (relating 29 to filing fees; fund established; regulations) and may adjust 30 this amount if the commission determines that a higher fee is 20050H0700B4350 - 17 -
1 needed to cover the costs of carrying out the provisions of this 2 chapter. The commission shall publish any such adjusted amounts 3 in the Pennsylvania Bulletin by June 1, 2007, and every two 4 years thereafter as necessary. 5 § 1309-A. Penalties. 6 (a) Notice of possible noncompliance.-- 7 (1) The commission shall issue a notice of possible 8 noncompliance to any lobbyist, principal, lobbying firm or 9 individual that has failed to register or report as required 10 by this chapter. The notice shall state the nature of the 11 alleged noncompliance and the civil and criminal penalties 12 for failure to register, failure to file or filing a report 13 containing a false statement. The notice shall also advise of 14 the right to a hearing before the commission and the time and 15 manner in which to request a hearing. 16 (2) If a hearing is requested, the commission shall 17 determine at the hearing whether the recipient of the notice 18 is required to register or report under this chapter, whether 19 the failure to register or report was negligent and, if the 20 failure was negligent, the amount of the civil penalty to be 21 imposed. If the commission finds that the failure to register 22 or report was intentional, it shall refer the matter to the 23 Attorney General for investigation and prosecution. Hearings 24 under this subsection shall be conducted by the commission in 25 accordance with sections 1107 (relating to powers and duties 26 of commission) and 1108 (relating to investigations by 27 commission). 28 (3) Negligent failure to register or report as required 29 by this chapter is punishable by a civil penalty of not more 30 than $50 for each late day. After a hearing under paragraph 20050H0700B4350 - 18 -
1 (2), in the case of negligent failure to register or report, 2 the commission may, upon the majority vote of its members, 3 levy a civil penalty as provided for in this subsection. The 4 total amount of the civil penalty levied shall not be limited 5 by any other provision of law. The commission shall have 6 standing to apply to Commonwealth Court to seek enforcement 7 of an order imposing a civil penalty under this section. 8 (b) Intentional violations of this chapter.-- 9 (1) Any lobbyist, lobbying firm, principal or individual 10 that intentionally fails to register or report as required by 11 this chapter commits a misdemeanor of the second degree. 12 (2) A registrant that files a report under this chapter 13 with knowledge that the report contains a false statement 14 commits a misdemeanor of the second degree. 15 (3) Any lobbyist, lobbying firm or principal or 16 individual that intentionally violates a provision of this 17 chapter other than paragraph (1) or (2) commits a misdemeanor 18 of the third degree. 19 (4) In addition to the penalties imposed pursuant to 20 this subsection, the commission may: 21 (i) Prohibit a lobbyist or lobbying firm from 22 receiving economic consideration to lobby for a period of 23 up to five years for committing an act which constitutes 24 an offense under this subsection. 25 (ii) Subject a principal to a civil fine of not more 26 than $50,000. 27 (c) Publishing of names.--The names of those found in 28 violation of this chapter shall be published in the Pennsylvania 29 Bulletin. 30 § 1310-A. Filing fees; fund established; regulations. 20050H0700B4350 - 19 -
1 (a) Filing fees.--Each principal, lobbyist, lobbying firm or 2 individual required to be registered under this chapter shall 3 pay a biennial registration fee of $100 to the commission. 4 (b) Fund established.--All money received from filing fees 5 under subsection (a) shall be deposited in a restricted receipts 6 account to be known as the Lobbying Disclosure Fund. The money 7 deposited in the fund is hereby appropriated to the commission 8 as a continuing appropriation for the exclusive purpose of 9 carrying out the provisions of this chapter. Any moneys 10 remaining in the fund established pursuant to the former section 11 1310(b) (relating to filing fees; fund established; regulations) 12 shall be transferred to the Lobbying Disclosure Fund. 13 (c) Regulations.--A committee comprised of the chairman of 14 the State Ethics Commission, the Attorney General, the General 15 Counsel to the Governor, a member of the Senate appointed by the 16 President pro tempore of the Senate, a member of the Senate 17 appointed by the Minority Leader of the Senate, a member of the 18 House of Representatives appointed by the Speaker of the House 19 of Representatives, a member of the House of Representatives 20 appointed by the Minority Leader of the House of 21 Representatives, or their designees, and two lobbyists 22 registered pursuant to the Lobbying Registration Rules of the 23 Senate on the effective date of this section, each of whom shall 24 be appointed by the Governor, shall have continuing authority to 25 promulgate regulations necessary to carry out the provisions of 26 this chapter. The chairman of the commission shall be designated 27 as the chairman of the committee. The initial proposed 28 regulations shall be submitted within 180 days of the effective 29 date of this section to the Independent Regulatory Review 30 Commission under section 5 of the act of June 25, 1982 (P.L.633, 20050H0700B4350 - 20 -
1 No.181), known as the Regulatory Review Act. Any meeting at 2 which the committee plans to approve proposed regulations shall 3 be held in accordance with Chapter 7 (relating to open 4 meetings). The committee shall also prepare and publish a manual 5 setting forth guidelines for accounting and reporting. The 6 regulations and manual shall be drafted to accommodate the use 7 of computerized recordkeeping, electronic filing of the reports 8 provided for under this chapter and retention of registration 9 statements and reports provided for under this chapter by 10 electronic means. The Department of State shall provide 11 sufficient staff and other administrative support to assist the 12 committee. Any vacancy occurring among the appointed members of 13 the committee shall be filled in the same manner as the original 14 appointment. Any committee member who is a member of the General 15 Assembly shall serve for a term that is coincident with his or 16 her term of office. 17 § 1311-A. Severability. 18 The provisions of this chapter are severable. If any 19 provision of this chapter or its application to any person or 20 circumstance is held invalid, the invalidity shall not affect 21 other provisions or applications of this chapter which can be 22 given effect without the invalid provision or application. 23 Section 3. The sum of $100,000 is hereby appropriated to the 24 State Ethics Commission for the fiscal year July 1, 2005, to 25 June 30, 2006, to carry out the provisions of this act. Any 26 funds remaining in the restricted receipts account created in 65 27 Pa.C.S. § 1310(b), may be utilized by the State Ethics 28 Commission's implementation of the provisions of 65 Pa.C.S. Ch. 29 13. 30 Section 4. This act shall take effect as follows: 20050H0700B4350 - 21 -
1 (1) The following provisions shall take effect 2 immediately: 3 (i) This section. 4 (ii) Section 3 of this act. 5 (iii) The addition of 65 Pa.C.S. §§ 1305- 6 A(b)(3)(iii) and 1310-A(c). 7 (2) The addition of 65 Pa.C.S. § 1305-A(b)(3)(i) and 8 (ii) shall take effect the earlier of: 9 (i) the effective date of the regulations 10 promulgated under 65 Pa.C.S. § 1305-A(b)(3)(iii); or 11 (ii) July 1, 2005. 12 (3) Except as provided in paragraphs (1)(iii) and (2), 13 the addition of 65 Pa.C.S. Ch. 13-A shall take effect July 1, 14 2005, or immediately, whichever is earlier. 15 (4) The remainder of this act shall take effect July 1, 16 2005, or immediately, whichever is earlier. 17 SECTION 1. CHAPTER 13 HEADING AND SECTIONS 1301, 1302, 1303, <-- 18 1304, 1305, 1306, 1307, 1308, 1309, 1310 AND 1311 OF TITLE 65 OF 19 THE PENNSYLVANIA CONSOLIDATED STATUTES ARE AMENDED TO READ: 20 [CHAPTER 13 21 LOBBY REGULATION AND DISCLOSURE 22 § 1301. SHORT TITLE OF CHAPTER. 23 THIS CHAPTER SHALL BE KNOWN AND MAY BE CITED AS THE LOBBYING 24 DISCLOSURE ACT. 25 § 1302. STATEMENT OF INTENT AND JURISDICTION. 26 (A) INTENT.--THE CONSTITUTION OF PENNSYLVANIA RECOGNIZES THE 27 PRINCIPLE THAT ALL FREE GOVERNMENT IS FOUNDED UPON THE AUTHORITY 28 OF THE PEOPLE. IT FURTHER PROVIDES THAT THE POWER TO MAKE LAW IN 29 THIS COMMONWEALTH IS VESTED IN THE GENERAL ASSEMBLY AND THE 30 POWER TO ENFORCE LAW IS VESTED IN THE EXECUTIVE DEPARTMENT. THE 20050H0700B4350 - 22 -
1 ABILITY OF THE PEOPLE TO EXERCISE THEIR FUNDAMENTAL AUTHORITY 2 AND TO HAVE CONFIDENCE IN THE INTEGRITY OF THE PROCESS BY WHICH 3 LAWS ARE MADE AND ENFORCED IN THIS COMMONWEALTH DEMANDS THAT THE 4 IDENTITY AND THE SCOPE OF ACTIVITY OF THOSE EMPLOYED TO 5 INFLUENCE THE ACTIONS OF THE GENERAL ASSEMBLY AND THE EXECUTIVE 6 DEPARTMENT BE PUBLICLY AND REGULARLY DISCLOSED. 7 (B) JURISDICTION.--THE AUTHORITY TO REGULATE PERSONS 8 EMPLOYED TO INFLUENCE THE ACTIONS OF THE GENERAL ASSEMBLY AND 9 THE EXECUTIVE DEPARTMENT LIES WITHIN THE JURISDICTION OF THOSE 10 BRANCHES OF GOVERNMENT. TO INSURE THAT THE INTENT OF THIS 11 CHAPTER IS NOT EVADED AND THAT ALL SUCH PERSONS ARE REGULATED IN 12 A FAIR AND EQUITABLE MANNER, LOBBYISTS AND THE PRACTICE OF 13 LOBBYING SHALL BE SUBJECT TO THIS CHAPTER, WHICH SHALL PREVAIL 14 OVER ANY OTHER REGULATION OF PROFESSIONAL ACTIVITY WHEN THAT 15 ACTIVITY CONSTITUTES LOBBYING. THIS CHAPTER IS NOT INTENDED TO 16 GOVERN PROFESSIONAL ACTIVITIES WHICH DO NOT INCLUDE LOBBYING AND 17 WHICH ARE PROPERLY THE SUBJECT OF REGULATION BY THE JUDICIAL 18 BRANCH OF GOVERNMENT OR BY ANY GOVERNMENT AGENCY. MEMBERSHIP IN 19 A REGULATED PROFESSION SHALL NOT EXCUSE A LOBBYIST FROM 20 COMPLIANCE WITH THE PROVISIONS OF THIS CHAPTER. 21 § 1303. DEFINITIONS. 22 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS CHAPTER 23 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 24 CONTEXT CLEARLY INDICATES OTHERWISE: 25 "ADMINISTRATIVE ACTION." ANY OF THE FOLLOWING: 26 (1) AN AGENCY'S: 27 (I) PROPOSAL, CONSIDERATION, PROMULGATION OR 28 RESCISSION OF A REGULATION; 29 (II) DEVELOPMENT OR MODIFICATION OF A GUIDELINE OR A 30 STATEMENT OF POLICY; OR 20050H0700B4350 - 23 -
1 (III) APPROVAL OR REJECTION OF A REGULATION. 2 (2) THE REVIEW, REVISION, APPROVAL OR DISAPPROVAL OF A 3 REGULATION UNDER THE ACT OF JUNE 25, 1982 (P.L.633, NO.181), 4 KNOWN AS THE REGULATORY REVIEW ACT. 5 (3) THE GOVERNOR'S APPROVAL OR VETO OF LEGISLATION. 6 (4) THE NOMINATION OR APPOINTMENT OF AN INDIVIDUAL AS AN 7 OFFICER OR EMPLOYEE OF THE COMMONWEALTH. 8 (5) THE PROPOSAL, CONSIDERATION, PROMULGATION OR 9 RESCISSION OF AN EXECUTIVE ORDER. 10 "AFFILIATED POLITICAL ACTION COMMITTEE." A POLITICAL ACTION 11 COMMITTEE AS DEFINED IN SECTION 1621(L) OF THE ACT OF JUNE 3, 12 1937 (P.L.1333, NO.320), KNOWN AS THE PENNSYLVANIA ELECTION 13 CODE, WHICH HAS A CHAIRMAN, A TREASURER OR ANOTHER OFFICER WHO 14 IS A PRINCIPAL, AN EMPLOYEE OF A PRINCIPAL, A LOBBYIST OR AN 15 EMPLOYEE OF A LOBBYIST, PROVIDED IF AN EMPLOYEE OF A REGISTRANT 16 SERVES AS THE OFFICER OF A POLITICAL ACTION COMMITTEE IN WHAT IS 17 CLEARLY A PERSONAL CAPACITY AND THE GOALS AND MISSION OF THAT 18 POLITICAL ACTION COMMITTEE CLEARLY HAVE NO RELATIONSHIP TO THE 19 GOALS AND MISSION OF THE REGISTRANT, SUCH POLITICAL ACTION 20 COMMITTEE SHALL NOT BE CONSIDERED AN AFFILIATED POLITICAL ACTION 21 COMMITTEE FOR THE PURPOSES OF THIS DEFINITION. 22 "AGENCY." A STATE AGENCY, BOARD, COMMISSION, AUTHORITY OR 23 DEPARTMENT. 24 "COMMISSION." THE STATE ETHICS COMMISSION. 25 "COMPENSATION." ANYTHING OF VALUE, INCLUDING BENEFITS, 26 RECEIVED OR TO BE RECEIVED FROM A PRINCIPAL BY ONE ACTING AS A 27 LOBBYIST. 28 "DIRECT COMMUNICATION." AN EFFORT, WHETHER WRITTEN, ORAL OR 29 BY ANY OTHER MEDIUM, MADE BY A LOBBYIST OR PRINCIPAL, DIRECTED 30 TO A STATE OFFICIAL OR EMPLOYEE, THE PURPOSE OR FORESEEABLE 20050H0700B4350 - 24 -
1 EFFECT OF WHICH IS TO INFLUENCE LEGISLATIVE ACTION OR 2 ADMINISTRATIVE ACTION. 3 "ECONOMIC CONSIDERATION." ANYTHING OF VALUE OFFERED OR 4 RECEIVED. 5 "FUND." THE LOBBYING DISCLOSURE FUND ESTABLISHED IN SECTION 6 1310(B) (RELATING TO FILING FEES; FUND ESTABLISHED; 7 REGULATIONS). 8 "GIFT." AS DEFINED IN SECTION 1102 (RELATING TO 9 DEFINITIONS). 10 "IMMEDIATE FAMILY." AN INDIVIDUAL'S SPOUSE, AN INDIVIDUAL'S 11 CHILD AND AN INDIVIDUAL'S PARENT, BROTHER, SISTER OR LIKE 12 RELATIVE-IN-LAW. 13 "INDIRECT COMMUNICATION." AN EFFORT, WHETHER WRITTEN, ORAL 14 OR BY ANY OTHER MEDIUM, TO ENCOURAGE OTHERS, INCLUDING THE 15 GENERAL PUBLIC, TO TAKE ACTION, THE PURPOSE OR FORESEEABLE 16 EFFECT OF WHICH IS TO DIRECTLY INFLUENCE LEGISLATIVE ACTION OR 17 ADMINISTRATIVE ACTION. THE TERM INCLUDES LETTER-WRITING 18 CAMPAIGNS, MAILINGS, TELEPHONE BANKS, PRINT AND ELECTRONIC MEDIA 19 ADVERTISING, BILLBOARDS, PUBLICATIONS AND EDUCATIONAL CAMPAIGNS 20 ON PUBLIC ISSUES. THE TERM DOES NOT INCLUDE REGULARLY PUBLISHED 21 PERIODIC NEWSLETTERS PRIMARILY DESIGNED FOR AND DISTRIBUTED TO 22 MEMBERS OF A BONA FIDE ASSOCIATION OR CHARITABLE OR FRATERNAL 23 NONPROFIT CORPORATION. 24 "LEGISLATION." BILLS, RESOLUTIONS, AMENDMENTS AND 25 NOMINATIONS PENDING OR PROPOSED IN EITHER THE SENATE OR THE 26 HOUSE OF REPRESENTATIVES. THE TERM INCLUDES ANY OTHER MATTER 27 WHICH MAY BECOME THE SUBJECT OF ACTION BY EITHER CHAMBER OF THE 28 GENERAL ASSEMBLY. 29 "LEGISLATIVE ACTION." AN ACTION TAKEN BY A STATE OFFICIAL OR 30 EMPLOYEE INVOLVING THE PREPARATION, RESEARCH, DRAFTING, 20050H0700B4350 - 25 -
1 INTRODUCTION, CONSIDERATION, MODIFICATION, AMENDMENT, APPROVAL, 2 PASSAGE, ENACTMENT, TABLING, POSTPONEMENT, DEFEAT OR REJECTION 3 OF LEGISLATION; LEGISLATIVE MOTIONS; OVERRIDING OR SUSTAINING A 4 VETO BY THE GOVERNOR; OR CONFIRMATION OF APPOINTMENTS BY THE 5 GOVERNOR OR OF APPOINTMENTS TO PUBLIC BOARDS OR COMMISSIONS BY A 6 MEMBER OF THE GENERAL ASSEMBLY. 7 "LOBBYING." AN EFFORT TO INFLUENCE LEGISLATIVE ACTION OR 8 ADMINISTRATIVE ACTION. THE TERM INCLUDES: 9 (1) PROVIDING ANY GIFT, ENTERTAINMENT, MEAL, 10 TRANSPORTATION OR LODGING TO A STATE OFFICIAL OR EMPLOYEE FOR 11 THE PURPOSE OF ADVANCING THE INTEREST OF THE LOBBYIST OR 12 PRINCIPAL; AND 13 (2) DIRECT OR INDIRECT COMMUNICATION. 14 "LOBBYIST." ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, 15 PARTNERSHIP, BUSINESS TRUST OR BUSINESS ENTITY THAT ENGAGES IN 16 LOBBYING ON BEHALF OF A PRINCIPAL FOR ECONOMIC CONSIDERATION. 17 THE TERM INCLUDES AN ATTORNEY WHO ENGAGES IN LOBBYING. 18 "PRINCIPAL." ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, 19 PARTNERSHIP, BUSINESS TRUST OR BUSINESS ENTITY: 20 (1) ON WHOSE BEHALF A LOBBYIST INFLUENCES OR ATTEMPTS TO 21 INFLUENCE AN ADMINISTRATIVE ACTION OR A LEGISLATIVE ACTION; 22 OR 23 (2) THAT ENGAGES IN LOBBYING ON THE PRINCIPAL'S OWN 24 BEHALF. 25 "REGISTRANT." A REGISTERED LOBBYIST OR A REGISTERED 26 PRINCIPAL. 27 "REGULATION." ANY RULE, REGULATION OR ORDER IN THE NATURE OF 28 A RULE OR REGULATION, INCLUDING FORMAL AND INFORMAL OPINIONS OF 29 THE ATTORNEY GENERAL, OF GENERAL APPLICATION AND FUTURE EFFECT, 30 PROMULGATED BY AN AGENCY UNDER STATUTORY AUTHORITY IN THE 20050H0700B4350 - 26 -
1 ADMINISTRATION OF A STATUTE ADMINISTERED BY OR RELATING TO THE 2 AGENCY, OR PRESCRIBING THE PRACTICE OR PROCEDURE BEFORE THE 3 AGENCY. 4 "STATE OFFICIAL OR EMPLOYEE." AN INDIVIDUAL ELECTED OR 5 APPOINTED TO A POSITION IN STATE GOVERNMENT OR EMPLOYED BY STATE 6 GOVERNMENT, WHETHER COMPENSATED OR UNCOMPENSATED, WHO IS 7 INVOLVED IN LEGISLATIVE ACTION OR ADMINISTRATIVE ACTION. 8 § 1304. REGISTRATION. 9 (A) GENERAL RULE.--UNLESS EXCLUDED UNDER SECTION 1306 10 (RELATING TO EXEMPTION FROM REGISTRATION AND REPORTING), A 11 LOBBYIST OR A PRINCIPAL MUST REGISTER WITH THE COMMISSION WITHIN 12 TEN DAYS OF ACTING IN ANY CAPACITY AS A LOBBYIST OR PRINCIPAL. 13 REGISTRATION SHALL BE BIENNIAL AND BE COINCIDENT WITH THE TERMS 14 OF THE MEMBERS OF THE HOUSE OF REPRESENTATIVES. 15 (B) PRINCIPALS.-- 16 (1) A PRINCIPAL REQUIRED TO REGISTER SHALL FILE THE 17 FOLLOWING INFORMATION WITH THE COMMISSION: 18 (I) NAME. 19 (II) PERMANENT ADDRESS. 20 (III) DAYTIME TELEPHONE NUMBER. 21 (IV) NAME AND NATURE OF BUSINESS. 22 (V) NAME, REGISTRATION NUMBER AND ACRONYMS OF 23 AFFILIATED POLITICAL ACTION COMMITTEES. 24 (VI) NAME AND PERMANENT BUSINESS ADDRESS OF EACH 25 INDIVIDUAL WHO WILL FOR ECONOMIC CONSIDERATION ENGAGE IN 26 LOBBYING ON THE PRINCIPAL'S BEHALF. 27 (2) IF AN ORGANIZATION OR ASSOCIATION IS A PRINCIPAL, 28 THE NUMBER OF DUES-PAYING MEMBERS IN THE PAST CALENDAR YEAR 29 SHALL ALSO BE DISCLOSED. 30 (C) LOBBYIST.-- 20050H0700B4350 - 27 -
1 (1) A LOBBYIST WHO IS REQUIRED TO REGISTER SHALL FILE 2 THE FOLLOWING INFORMATION WITH THE COMMISSION: 3 (I) NAME. 4 (II) PERMANENT BUSINESS ADDRESS. 5 (III) DAYTIME TELEPHONE NUMBER. 6 (IV) A RECENT PICTURE OF THE LOBBYIST. 7 (V) NAME, PERMANENT BUSINESS ADDRESS AND DAYTIME 8 TELEPHONE NUMBER OF THE PRINCIPAL THE LOBBYIST 9 REPRESENTS. 10 (VI) NAME, REGISTRATION NUMBER AND ACRONYMS OF 11 AFFILIATED POLITICAL ACTION COMMITTEES. 12 (2) EACH LOBBYIST SHALL FILE A SEPARATE REGISTRATION 13 STATEMENT FOR EACH PRINCIPAL HE OR SHE REPRESENTS. 14 (D) AMENDMENTS.-- 15 (1) WHEN THERE IS A CHANGE OF INFORMATION REQUIRED FOR 16 THE REGISTRATION STATEMENT UNDER SUBSECTION (B)(1) OR (C), AN 17 AMENDED STATEMENT SHALL BE FILED WITH THE COMMISSION WITHIN 18 14 DAYS AFTER THE CHANGE OCCURS. 19 (2) WHEN THERE IS A CHANGE IN INFORMATION REQUIRED FOR 20 THE REGISTRATION STATEMENT UNDER SUBSECTION (B)(2), AN 21 AMENDED STATEMENT SHALL BE FILED WITH THE COMMISSION WITHIN 22 14 DAYS OF THE END OF THE YEAR IN WHICH THE CHANGE OCCURS. 23 (E) TERMINATION.--A LOBBYIST OR A PRINCIPAL MAY TERMINATE 24 REGISTRATION BY FILING NOTICE WITH THE COMMISSION. WITHIN 30 25 DAYS OF FILING THE NOTICE, THE LOBBYIST OR PRINCIPAL SHALL FILE 26 A TERMINATION REPORT, WHICH SHALL INCLUDE ALL INFORMATION 27 REQUIRED BY SECTION 1305 (RELATING TO REPORTING) THROUGH THE 28 FINAL DAY OF LOBBYING ACTIVITY. AFTER A REASONABLE REVIEW OF THE 29 TERMINATION REPORT BUT NOT LATER THAN 90 DAYS AFTER RECEIPT OF 30 THE NOTICE, THE COMMISSION SHALL ISSUE TO THE LOBBYIST OR 20050H0700B4350 - 28 -
1 PRINCIPAL A LETTER STATING THAT THE REGISTRANT HAS TERMINATED 2 REGISTRATION. THE FILING OF NOTICE OR A TERMINATION REPORT SHALL 3 NOT AFFECT THE COMMISSION'S AUTHORITY TO CONDUCT INVESTIGATIONS 4 AND HEARINGS PURSUANT TO SECTION 1308(H) (RELATING TO 5 ADMINISTRATION AND ENFORCEMENT). NO LOBBYING MAY OCCUR AFTER THE 6 FILING OF NOTICE UNLESS THE LOBBYING IS PURSUANT TO A SEPARATE 7 REGISTRATION STATEMENT WHICH IS FILED WITH THE COMMISSION AND 8 WHICH, AT THE TIME OF THE LOBBYING, HAS NOT BEEN TERMINATED. 9 § 1305. REPORTING. 10 (A) GENERAL RULE.--A LOBBYIST AS REQUIRED BY SUBSECTION 11 (B)(6) OR A REGISTERED PRINCIPAL SHALL, UNDER OATH OR 12 AFFIRMATION, FILE QUARTERLY EXPENSE REPORTS WITH THE COMMISSION. 13 (B) CONTENT.-- 14 (1) REPORTS MUST LIST THE NAMES OF ALL LOBBYISTS BY WHOM 15 THE LOBBYING IS CONDUCTED AND THE GENERAL SUBJECT MATTER OR 16 ISSUE BEING LOBBIED. 17 (2) EXPENSE REPORTS MUST CONTAIN THE FOLLOWING 18 CATEGORIES: 19 (I) A SINGLE AGGREGATE GOOD FAITH ESTIMATE OF THE 20 TOTAL AMOUNT SPENT FOR PERSONNEL AND OFFICE EXPENSES 21 RELATED TO LOBBYING. THIS SUBPARAGRAPH INCLUDES SALARIES 22 AND OTHER FORMS OF COMPENSATION, BENEFITS, VEHICLE 23 ALLOWANCES, BONUSES AND REIMBURSABLE EXPENSES FOR THOSE 24 INVOLVED IN LOBBYING. IF COMPENSATION IS TO BE REPORTED 25 BY OR FOR AN INDIVIDUAL OR ENTITY WHOSE LOBBYING IS 26 INCIDENTAL TO REGULAR EMPLOYMENT, IT SHALL BE SUFFICIENT 27 TO REPORT A GOOD FAITH PRORATED ESTIMATE BASED ON THE 28 VALUE OF THE TIME DEVOTED TO LOBBYING. REPORTABLE 29 PERSONNEL COSTS INCLUDE COSTS FOR LOBBYING STAFF, 30 RESEARCH AND MONITORING STAFF, CONSULTANTS, LAWYERS, 20050H0700B4350 - 29 -
1 LOBBYISTS, PUBLICATIONS AND PUBLIC RELATIONS STAFF, 2 TECHNICAL STAFF AND CLERICAL AND ADMINISTRATIVE SUPPORT 3 STAFF WHO ENGAGE IN LOBBYING BUT ARE EXEMPT FROM 4 REPORTING UNDER SECTION 1306(6) (RELATING TO EXEMPTION 5 FROM REGISTRATION AND REPORTING). THIS SUBPARAGRAPH 6 INCLUDES COSTS FOR OFFICES, EQUIPMENT AND SUPPLIES 7 UTILIZED FOR LOBBYING. 8 (II) A SINGLE AGGREGATE GOOD FAITH ESTIMATE OF THE 9 TOTAL AMOUNT SPENT FOR DIRECT COMMUNICATION. 10 (III) THE TOTAL COSTS FOR GIFTS, ENTERTAINMENT, 11 MEALS, TRANSPORTATION, LODGING AND RECEPTIONS GIVEN TO OR 12 PROVIDED TO STATE OFFICIALS OR EMPLOYEES OR THEIR 13 IMMEDIATE FAMILIES. 14 (IV) A SINGLE AGGREGATE GOOD FAITH ESTIMATE OF THE 15 TOTAL AMOUNT SPENT FOR INDIRECT COMMUNICATION. 16 (3) IN ADDITION TO REPORTING THE TOTALS REQUIRED UNDER 17 THIS SUBSECTION, THE EXPENSE REPORT MUST IDENTIFY, BY NAME, 18 POSITION AND EACH OCCURRENCE, A STATE OFFICIAL OR EMPLOYEE 19 WHO RECEIVES FROM A PRINCIPAL OR LOBBYIST ANYTHING OF VALUE 20 WHICH MUST BE INCLUDED IN THE STATEMENT UNDER SECTION 21 1105(B)(6) OR (7) (RELATING TO STATEMENT OF FINANCIAL 22 INTERESTS) AS IMPLEMENTED BY SECTION 1105(D). 23 (I) FOR PURPOSES OF THIS CHAPTER, THE AMOUNT 24 REFERRED TO IN SECTION 1105(B)(7) SHALL BE CONSIDERED AN 25 AGGREGATE AMOUNT PER YEAR. 26 (II) WRITTEN NOTICE MUST BE GIVEN TO EACH PUBLIC 27 OFFICIAL OR EMPLOYEE OF INCLUSION IN THE EXPENSE REPORT 28 WITHIN SEVEN DAYS OF THE REPORT'S SUBMISSION TO THE 29 COMMISSION. NOTICE UNDER THIS SUBPARAGRAPH SHALL INCLUDE 30 THE INFORMATION WHICH WILL ENABLE THE PUBLIC OFFICIAL OR 20050H0700B4350 - 30 -
1 EMPLOYEE TO COMPLY WITH SECTION 1105(B)(6) AND (7). FOR 2 PURPOSES OF THIS CHAPTER AND CHAPTER 11 (RELATING TO 3 ETHICS STANDARDS AND FINANCIAL DISCLOSURE), SECTION 4 1105(B)(6) AND (7) SHALL CONSTITUTE MUTUALLY EXCLUSIVE 5 CATEGORIES. 6 (III) REGULATIONS SHALL BE PROMULGATED UNDER SECTION 7 1310(C) (RELATING TO FILING FEES; FUND ESTABLISHED; 8 REGULATIONS) TO DEFINE MUTUALLY EXCLUSIVE CATEGORIES 9 UNDER SECTION 1105(B)(6) AND (7) AND TO DETERMINE WHETHER 10 A THING OF VALUE IS SUBJECT TO DISCLOSURE UNDER SECTION 11 1105(B)(6) OR (7). 12 (4) A LOBBYIST MUST SIGN THE REPORTS SUBMITTED BY EACH 13 PRINCIPAL REPRESENTED TO ATTEST TO THE VALIDITY AND ACCURACY 14 TO THE BEST OF THE LOBBYIST'S KNOWLEDGE. A LOBBYIST MAY 15 ATTACH A STATEMENT TO THE REPORT OF ANY PRINCIPAL, DESCRIBING 16 THE LIMITS OF THE LOBBYIST'S KNOWLEDGE CONCERNING THE 17 EXPENDITURES CONTAINED IN THE REPORT. 18 (5) THE EXPENSE REPORT SHALL ALSO INCLUDE THE NAME, 19 PERMANENT BUSINESS ADDRESS AND DAYTIME TELEPHONE NUMBER OF 20 ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, PARTNERSHIP, 21 BUSINESS TRUST OR BUSINESS ENTITY WHICH CONTRIBUTED MORE THAN 22 10% OF THE TOTAL RESOURCES RECEIVED BY THE PRINCIPAL DURING 23 THE REPORTING PERIOD. 24 (6) A LOBBYIST SHALL SUBMIT A SEPARATE REPORT IF, DURING 25 THE REPORTING PERIOD, THE LOBBYIST ENGAGED IN LOBBYING WHICH 26 WAS NOT CONTAINED IN THE REPORTS FILED BY THE PRINCIPAL OR 27 PRINCIPALS REPRESENTED BY THE LOBBYIST. A SEPARATE LOBBYIST 28 REPORT SHALL CONTAIN THE IDENTITY OF THE PRINCIPAL FOR WHOM 29 SUCH LOBBYING WAS PERFORMED AND SHALL CONTAIN ALL INFORMATION 30 REQUIRED UNDER PARAGRAPHS (2) AND (3). 20050H0700B4350 - 31 -
1 (7) A REGISTERED PRINCIPAL OR REGISTERED LOBBYIST THAT 2 ATTEMPTS TO INFLUENCE AN AGENCY'S PREPARING, BIDDING, 3 ENTERING INTO OR APPROVING A CONTRACT SHALL ENSURE THAT THE 4 RELATED EXPENSES ARE INCLUDED UNDER PARAGRAPH (2). 5 (C) RECORDS RETENTION.--A REGISTRANT SHALL RETAIN ALL 6 DOCUMENTS REASONABLY NECESSARY TO SUBSTANTIATE THE REPORTS TO BE 7 MADE UNDER THIS SECTION FOR FOUR YEARS FROM THE DATE OF FILING 8 THE SUBJECT REPORT. UPON REQUEST BY THE OFFICE OF THE ATTORNEY 9 GENERAL OR THE COMMISSION, THESE MATERIALS SHALL BE MADE 10 AVAILABLE FOR INSPECTION WITHIN A REASONABLE PERIOD OF TIME. 11 (D) THRESHOLDS FOR REPORTING.--AN EXPENSE REPORT SHALL BE 12 FILED WHEN TOTAL EXPENSES FOR LOBBYING EXCEED $500 FOR A 13 REGISTERED PRINCIPAL OR A REGISTERED LOBBYIST IN A REPORTING 14 PERIOD. IN A REPORTING PERIOD IN WHICH TOTAL EXPENSES ARE $500 15 OR LESS, A STATEMENT TO THAT EFFECT SHALL BE FILED. 16 (E) VOLUNTARY DISCLOSURE.--NOTHING IN THIS SECTION SHALL 17 PREVENT A PRINCIPAL OR LOBBYIST FROM DISCLOSING EXPENSES IN 18 GREATER DETAIL THAN REQUIRED. 19 § 1306. EXEMPTION FROM REGISTRATION AND REPORTING. 20 THE FOLLOWING INDIVIDUALS AND ACTIVITIES SHALL BE EXEMPT FROM 21 REGISTRATION UNDER SECTION 1304 (RELATING TO REGISTRATION) AND 22 REPORTING UNDER SECTION 1305 (RELATING TO REPORTING): 23 (1) AN INDIVIDUAL WHO LIMITS LOBBYING ACTIVITIES TO 24 PREPARING TESTIMONY AND TESTIFYING BEFORE A COMMITTEE OF THE 25 LEGISLATURE OR PARTICIPATING IN AN ADMINISTRATIVE PROCEEDING 26 OF AN AGENCY. 27 (2) AN INDIVIDUAL WHO IS AN EMPLOYEE OF AN ENTITY 28 ENGAGED IN THE BUSINESS OF PUBLISHING, BROADCASTING OR 29 TELEVISING WHILE ENGAGED IN THE GATHERING AND DISSEMINATION 30 OF NEWS AND COMMENT THEREON TO THE GENERAL PUBLIC IN THE 20050H0700B4350 - 32 -
1 ORDINARY COURSE OF BUSINESS. 2 (3) ANY OF THE FOLLOWING: 3 (I) AN INDIVIDUAL WHO DOES NOT RECEIVE COMPENSATION, 4 OTHER THAN TRAVELING EXPENSES, FOR LOBBYING. 5 (II) AN INDIVIDUAL WHOSE COMPENSATION FOR LOBBYING, 6 FROM ALL PRINCIPALS REPRESENTED, DOES NOT EXCEED $2,500 7 IN THE AGGREGATE DURING ANY REPORTING PERIOD. 8 (III) AN INDIVIDUAL WHO ENGAGES IN LOBBYING ON 9 BEHALF OF THE INDIVIDUAL'S EMPLOYER AND WHERE LOBBYING 10 ACTIVITY REPRESENTS LESS THAN THE EQUIVALENT OF $2,500 OF 11 THE EMPLOYEE'S TIME DURING ANY REPORTING PERIOD, BASED ON 12 AN HOURLY PRORATION OF THE EMPLOYEE'S COMPENSATION. 13 (IV) A PRINCIPAL WHOSE TOTAL EXPENSES FOR LOBBYING 14 PURPOSES DO NOT EXCEED $2,500 DURING ANY REPORTING 15 PERIOD. 16 (4) ANY OF THE FOLLOWING: 17 (I) AN ELECTED STATE OFFICER ACTING IN AN OFFICIAL 18 CAPACITY. 19 (II) A STATE EXECUTIVE OFFICER APPOINTED BY THE 20 GOVERNOR ACTING IN AN OFFICIAL CAPACITY. 21 (III) AN ELECTED OR APPOINTED OFFICIAL OR EMPLOYEE 22 OF A POLITICAL SUBDIVISION ACTING IN AN OFFICIAL 23 CAPACITY. 24 (IV) AN EMPLOYEE OF THE COMMONWEALTH OR INDEPENDENT 25 AGENCY OF THE COMMONWEALTH ACTING IN AN OFFICIAL 26 CAPACITY. 27 (5) AN INDIVIDUAL REPRESENTING A BONA FIDE CHURCH OF 28 WHICH THE INDIVIDUAL IS A MEMBER AND THE PURPOSE OF THE 29 LOBBYING IS SOLELY FOR THE PURPOSE OF PROTECTING THE 30 CONSTITUTIONAL RIGHT TO THE FREE EXERCISE OF RELIGION. 20050H0700B4350 - 33 -
1 (6) AN EMPLOYEE, WHO IS NOT A REGISTERED LOBBYIST, OF A 2 CORPORATION WHICH: 3 (I) IS REGISTERED AS A PRINCIPAL UNDER SECTION 1304; 4 (II) HAS ONE OR MORE REGISTERED LOBBYISTS; AND 5 (III) INCLUDES IN ITS REPORTS UNDER SECTION 1305 ALL 6 OF THE EMPLOYEE'S EXPENSES RELATED TO LOBBYING. 7 § 1307. PROHIBITED ACTIVITIES. 8 (A) CONTINGENT COMPENSATION.-- 9 (1) NO ONE MAY COMPENSATE OR INCUR AN OBLIGATION TO 10 COMPENSATE ANY LOBBYIST, PRINCIPAL OR INDIVIDUAL TO ENGAGE IN 11 LOBBYING FOR COMPENSATION CONTINGENT IN WHOLE OR IN PART UPON 12 ANY OF THE FOLLOWING: 13 (I) PASSAGE OR DEFEAT, OR APPROVAL OR VETO, OF 14 LEGISLATION. 15 (II) OCCURRENCE OR NONOCCURRENCE OF AN 16 ADMINISTRATIVE ACTION. 17 (2) NO LOBBYIST, PRINCIPAL OR INDIVIDUAL MAY ENGAGE OR 18 AGREE TO ENGAGE IN LOBBYING FOR COMPENSATION CONTINGENT IN 19 WHOLE OR IN PART UPON ANY OF THE FOLLOWING: 20 (I) PASSAGE OR DEFEAT, OR APPROVAL OR VETO, OF 21 LEGISLATION. 22 (II) OCCURRENCE OR NONOCCURRENCE OF AN 23 ADMINISTRATIVE ACTION. 24 (B) POLITICAL COMMITTEES.--A LOBBYIST MAY NOT SERVE AS A 25 TREASURER OR ANOTHER OFFICER FOR A CANDIDATE'S POLITICAL 26 COMMITTEE OR A CANDIDATE'S POLITICAL ACTION COMMITTEE. 27 (C) FEE RESTRICTIONS.--A LOBBYIST MAY NOT CHARGE A FEE OR 28 RECEIVE COMPENSATION OR ECONOMIC CONSIDERATION BASED UPON AN 29 UNDERSTANDING, EITHER WRITTEN OR ORAL, THAT ANY PART OF THE FEE, 30 COMPENSATION OR ECONOMIC CONSIDERATION WILL BE CONVERTED INTO A 20050H0700B4350 - 34 -
1 CONTRIBUTION TO A CANDIDATE FOR PUBLIC OFFICE OR A POLITICAL 2 COMMITTEE. 3 (D) FALSIFICATION.--NO LOBBYIST OR PRINCIPAL MAY, FOR THE 4 PURPOSE OF INFLUENCING LEGISLATIVE ACTION OR ADMINISTRATIVE 5 ACTION, TRANSMIT, UTTER OR PUBLISH TO ANY STATE OFFICIAL OR 6 EMPLOYEE ANY COMMUNICATION, KNOWING THAT SUCH COMMUNICATION OR 7 ANY SIGNATURE ON THE COMMUNICATION IS FALSE, FORGED, COUNTERFEIT 8 OR FICTITIOUS. 9 § 1308. ADMINISTRATION AND ENFORCEMENT. 10 (A) CRIMINAL ENFORCEMENT.--IF THE COMMISSION BELIEVES AN 11 INTENTIONAL VIOLATION OF THIS CHAPTER HAS BEEN COMMITTED, IT 12 SHALL REFER ALL RELEVANT DOCUMENTS AND OTHER INFORMATION TO THE 13 OFFICE OF ATTORNEY GENERAL. 14 (B) ATTORNEY GENERAL.--IN ADDITION TO THE AUTHORITY 15 CONFERRED UPON THE ATTORNEY GENERAL UNDER THE ACT OF OCTOBER 15, 16 1980 (P.L.950, NO.164), KNOWN AS THE COMMONWEALTH ATTORNEYS ACT, 17 THE ATTORNEY GENERAL HAS THE AUTHORITY TO INVESTIGATE AND 18 PROSECUTE A VIOLATION OF THIS CHAPTER. 19 (C) ADVICE AND OPINIONS.--THE COMMISSION SHALL PROVIDE 20 ADVICE AND OPINIONS IN ACCORDANCE WITH PROCEDURES SET FORTH IN 21 SECTION 1107 (RELATING TO POWERS AND DUTIES OF COMMISSION) TO A 22 LOBBYIST, PRINCIPAL OR STATE OFFICIAL OR EMPLOYEE WHO HAS A 23 QUESTION REGARDING COMPLIANCE WITH THIS CHAPTER. A PRINCIPAL, A 24 LOBBYIST OR AN INDIVIDUAL WHO ACTS IN GOOD FAITH BASED ON THE 25 WRITTEN ADVICE OR OPINION OF THE COMMISSION SHALL NOT BE HELD 26 LIABLE FOR A VIOLATION OF THIS CHAPTER. 27 (D) PUBLIC INSPECTION AND COPYING.--THE COMMISSION SHALL 28 MAKE COMPLETED REGISTRATION STATEMENTS, EXPENSE REPORTS, 29 TERMINATION NOTICES AND TERMINATION REPORTS WHICH HAVE BEEN 30 FILED WITH THE COMMISSION AVAILABLE FOR PUBLIC INSPECTION AND 20050H0700B4350 - 35 -
1 PROVIDE COPIES OF THESE DOCUMENTS AT A PRICE WHICH SHALL NOT 2 EXCEED THE ACTUAL COST OF COPYING. DOCUMENTS THAT ARE MAINTAINED 3 AND REPRODUCIBLE IN AN ELECTRONIC FORMAT SHALL BE PROVIDED IN 4 THAT FORMAT UPON REQUEST. 5 (E) ANNUAL REPORTING.--THE COMMISSION SHALL PREPARE AND 6 PUBLISH AN ANNUAL REPORT ON LOBBYING ACTIVITIES IN THIS 7 COMMONWEALTH. THE COMMISSION SHALL ALSO ANNUALLY PUBLISH A 8 LISTING OF PRINCIPALS, IDENTIFYING AFFILIATED POLITICAL ACTION 9 COMMITTEES AND LOBBYISTS, AND A LISTING OF LOBBYISTS, 10 IDENTIFYING AFFILIATED POLITICAL ACTION COMMITTEES AND 11 PRINCIPALS. 12 (F) RETENTION OF RECORDS.--COMPLETED REGISTRATION 13 STATEMENTS, EXPENSE REPORTS, TERMINATION NOTICES AND TERMINATION 14 REPORTS SHALL REMAIN ON FILE WITH THE COMMISSION FOR A FOUR-YEAR 15 PERIOD. 16 (G) AUDITS.--THE COMMISSION SHALL INITIATE, BY LOTTERY, 17 RANDOM ANNUAL AUDITS OF THE REGISTRATION STATEMENTS AND 18 DISCLOSURE REPORTS IN SUFFICIENT NUMBER TO ENSURE COMPLIANCE 19 WITH THIS CHAPTER. THE AUDIT REPORT AND FINDINGS SHALL BE 20 CONFIDENTIAL; HOWEVER, THE COMMISSION SHALL INCLUDE THE RELEVANT 21 PORTION OF AN AUDIT AS PART OF ITS FINDINGS OF FACT IN A 22 COMMISSION ORDER WHICH RESULTS FROM AN INVESTIGATION ARISING OUT 23 OF AN AUDIT. 24 (H) INVESTIGATION AND HEARINGS.--THE COMMISSION, THROUGH ITS 25 EXECUTIVE DIRECTOR, MAY INITIATE AN INVESTIGATION AND HOLD A 26 HEARING CONCERNING NEGLIGENT CONDUCT BY A LOBBYIST OR PRINCIPAL 27 IN ACCORDANCE WITH SECTIONS 1107 AND 1108 (RELATING TO 28 INVESTIGATIONS BY COMMISSION). 29 (I) DIRECTORY.--ON OR BEFORE MAY 1 OF EACH ODD-NUMBERED 30 YEAR, THE COMMISSION SHALL PRODUCE AND DISTRIBUTE A DIRECTORY OF 20050H0700B4350 - 36 -
1 ALL REGISTERED LOBBYISTS, INCLUDING PHOTOGRAPHS. COPIES OF THIS 2 DIRECTORY SHALL BE MADE AVAILABLE TO THE PUBLIC AT A PRICE NOT 3 TO EXCEED THE ACTUAL COST OF PRODUCTION. ALL REVENUE RECEIVED BY 4 THE COMMISSION FROM THE SALES OF THIS DIRECTORY SHALL BE 5 DEPOSITED INTO THE FUND. 6 (J) COMPUTER FILE.--THE LEGISLATIVE DATA PROCESSING 7 COMMITTEE SHALL MAINTAIN UPDATED REGISTRATION STATEMENTS, 8 EXPENSE REPORTS, TERMINATION NOTICES AND TERMINATION REPORTS. 9 (K) COST-OF-LIVING ADJUSTMENT.--ON A BIENNIAL BASIS 10 COMMENCING IN JANUARY 2002, THE COMMISSION SHALL REVIEW THE 11 THRESHOLD FOR REPORTING UNDER SECTION 1305(D) (RELATING TO 12 REPORTING) AND THE THRESHOLD FOR EXEMPTION UNDER SECTION 13 1306(3)(II) THROUGH (IV) (RELATING TO EXEMPTION FROM 14 REGISTRATION AND REPORTING) AND MAY INCREASE THESE AMOUNTS TO 15 RATES DEEMED REASONABLE FOR ASSURING APPROPRIATE DISCLOSURE. THE 16 COMMISSION SHALL PUBLISH ANY SUCH ADJUSTED THRESHOLD AMOUNTS IN 17 THE PENNSYLVANIA BULLETIN BY JUNE 1, 2002, AND EVERY TWO YEARS 18 THEREAFTER AS NECESSARY. 19 § 1309. PENALTIES. 20 (A) NOTICE OF NONCOMPLIANCE.--THE COMMISSION SHALL ISSUE A 21 NOTICE OF NONCOMPLIANCE TO ANY LOBBYIST, PRINCIPAL OR INDIVIDUAL 22 THAT HAS FAILED TO REGISTER OR REPORT AS REQUIRED BY THIS 23 CHAPTER. THE NOTICE SHALL STATE THE NATURE OF THE ALLEGED 24 NONCOMPLIANCE AND THE CIVIL AND CRIMINAL PENALTIES FOR FAILURE 25 TO REGISTER, FAILURE TO FILE OR FILING A REPORT CONTAINING A 26 FALSE STATEMENT. THE NOTICE SHALL ALSO ADVISE OF THE RIGHT TO A 27 HEARING BEFORE THE COMMISSION AND THE TIME AND MANNER IN WHICH 28 TO REQUEST A HEARING. 29 (B) HEARING.--IF A HEARING IS REQUESTED, THE COMMISSION 30 SHALL DETERMINE AT THE HEARING WHETHER THE RECIPIENT OF THE 20050H0700B4350 - 37 -
1 NOTICE IS REQUIRED TO REGISTER OR REPORT UNDER THIS CHAPTER, 2 WHETHER THE FAILURE TO REGISTER OR REPORT WAS NEGLIGENT AND, IF 3 THE FAILURE WAS NEGLIGENT, THE AMOUNT OF THE CIVIL PENALTY TO BE 4 IMPOSED. IF THE COMMISSION FINDS THAT THE FAILURE TO REGISTER OR 5 REPORT WAS INTENTIONAL, IT SHALL REFER THE MATTER TO THE 6 ATTORNEY GENERAL FOR INVESTIGATION AND PROSECUTION. HEARINGS 7 UNDER THIS SUBSECTION SHALL BE CONDUCTED BY THE COMMISSION IN 8 ACCORDANCE WITH SECTIONS 1107(14) (RELATING TO POWERS AND DUTIES 9 OF COMMISSION) AND 1108(E) (RELATING TO INVESTIGATIONS BY 10 COMMISSION). 11 (C) NEGLIGENT FAILURE TO REGISTER OR REPORT.--NEGLIGENT 12 FAILURE TO REGISTER OR REPORT AS REQUIRED BY THIS CHAPTER IS 13 PUNISHABLE BY A CIVIL PENALTY NOT EXCEEDING $50 FOR EACH LATE 14 DAY. AFTER A HEARING UNDER SUBSECTION (B), IN THE CASE OF 15 NEGLIGENT FAILURE TO REGISTER OR REPORT, THE COMMISSION MAY, 16 UPON THE MAJORITY VOTE OF ITS MEMBERS, LEVY A CIVIL PENALTY AS 17 PROVIDED FOR IN THIS SUBSECTION. THE TOTAL AMOUNT OF THE CIVIL 18 PENALTY LEVIED SHALL NOT BE LIMITED BY ANY OTHER PROVISION OF 19 LAW. THE COMMISSION SHALL HAVE STANDING TO APPLY TO COMMONWEALTH 20 COURT TO SEEK ENFORCEMENT OF AN ORDER IMPOSING A CIVIL PENALTY 21 UNDER THIS SECTION. 22 (D) FAILURE TO COMPLY AFTER NOTICE.--AFTER NOTICE OF 23 NONCOMPLIANCE AND AFTER A HEARING, IF ONE IS REQUESTED, A 24 LOBBYIST OR PRINCIPAL WHO FAILS TO COMPLY WITH THE REQUIREMENTS 25 OF THIS CHAPTER MAY BE PROHIBITED FROM LOBBYING FOR UP TO FIVE 26 YEARS. THE PROHIBITION SHALL BE IMPOSED AS PROVIDED BY 27 SUBSECTION (E)(4). 28 (E) INTENTIONAL VIOLATIONS.-- 29 (1) ANY LOBBYIST, PRINCIPAL OR INDIVIDUAL THAT 30 INTENTIONALLY FAILS TO REGISTER OR REPORT AS REQUIRED BY THIS 20050H0700B4350 - 38 -
1 CHAPTER COMMITS A MISDEMEANOR OF THE SECOND DEGREE. 2 (2) A REGISTRANT THAT FILES A REPORT UNDER THIS CHAPTER 3 WITH KNOWLEDGE THAT THE REPORT CONTAINS A FALSE STATEMENT 4 COMMITS A MISDEMEANOR OF THE SECOND DEGREE. 5 (3) EXCEPT AS SET FORTH IN PARAGRAPH (1) OR (2), ANY 6 LOBBYIST, PRINCIPAL OR INDIVIDUAL THAT INTENTIONALLY VIOLATES 7 THIS CHAPTER COMMITS A MISDEMEANOR OF THE THIRD DEGREE. 8 (4) IN ADDITION TO THE CRIMINAL PENALTIES IMPOSED BY 9 THIS SUBSECTION, THE COMMISSION MAY PROHIBIT A LOBBYIST OR 10 PRINCIPAL FROM LOBBYING FOR UP TO FIVE YEARS FOR DOING AN ACT 11 WHICH CONSTITUTES AN OFFENSE UNDER THIS SUBSECTION. NO 12 CRIMINAL PROSECUTION OR CONVICTION SHALL BE REQUIRED FOR THE 13 IMPOSITION OF THE PROHIBITION AUTHORIZED BY THIS PARAGRAPH. 14 THE PROHIBITION UNDER THIS PARAGRAPH SHALL NOT BE IMPOSED 15 UNLESS THE DEFENDANT HAS BEEN AFFORDED THE OPPORTUNITY FOR A 16 HEARING, WHICH SHALL BE CONDUCTED BY THE COMMISSION IN 17 ACCORDANCE WITH SECTIONS 1107(14) AND 1108(E). 18 § 1310. FILING FEES; FUND ESTABLISHED; REGULATIONS. 19 (A) FILING FEES.--A PRINCIPAL OR LOBBYIST REQUIRED TO BE 20 REGISTERED UNDER THIS CHAPTER SHALL PAY A BIENNIAL FILING FEE OF 21 $100 TO THE COMMISSION. 22 (B) FUND ESTABLISHED.--ALL MONEY RECEIVED FROM FILING FEES 23 UNDER SUBSECTION (A) SHALL BE DEPOSITED IN A RESTRICTED RECEIPTS 24 ACCOUNT TO BE KNOWN AS THE LOBBYING DISCLOSURE FUND. THE MONEY 25 DEPOSITED IN THE FUND IS HEREBY APPROPRIATED TO THE COMMISSION 26 AS A CONTINUING APPROPRIATION FOR THE EXCLUSIVE PURPOSE OF 27 CARRYING OUT THE PROVISIONS OF THIS CHAPTER. 28 (C) REGULATIONS.--A COMMITTEE COMPRISED OF THE SECRETARY OF 29 THE SENATE, THE CHIEF CLERK OF THE HOUSE OF REPRESENTATIVES, THE 30 CHAIRMAN OF THE STATE ETHICS COMMISSION, THE ATTORNEY GENERAL, 20050H0700B4350 - 39 -
1 THE SECRETARY OF THE COMMONWEALTH, THE AUDITOR GENERAL AND THE 2 GENERAL COUNSEL, OR THEIR DESIGNEES, SHALL HAVE CONTINUING 3 AUTHORITY TO PROMULGATE REGULATIONS NECESSARY TO CARRY OUT THIS 4 CHAPTER. THE CHAIRMAN OF THE COMMISSION SHALL BE DESIGNATED AS 5 THE CHAIRMAN OF THE COMMITTEE. THE INITIAL PROPOSED REGULATIONS 6 SHALL BE SUBMITTED WITHIN 180 DAYS OF THE EFFECTIVE DATE OF THIS 7 SECTION TO THE INDEPENDENT REGULATORY REVIEW COMMISSION UNDER 8 SECTION 5 OF THE ACT OF JUNE 25, 1982 (P.L.633, NO.181), KNOWN 9 AS THE REGULATORY REVIEW ACT. ANY MEETING AT WHICH THE COMMITTEE 10 PLANS TO APPROVE PROPOSED REGULATIONS SHALL BE HELD IN 11 ACCORDANCE WITH CHAPTER 7 (RELATING TO OPEN MEETINGS). THE 12 COMMITTEE SHALL ALSO PREPARE AND PUBLISH A MANUAL SETTING FORTH 13 GUIDELINES FOR ACCOUNTING AND REPORTING. THE REGULATIONS AND 14 MANUAL SHALL BE DRAFTED TO ACCOMMODATE THE USE OF COMPUTERIZED 15 RECORDKEEPING, ELECTRONIC FILING OF THE REPORTS PROVIDED FOR 16 UNDER THIS CHAPTER AND RETENTION OF REGISTRATION STATEMENTS AND 17 REPORTS PROVIDED FOR UNDER THIS CHAPTER BY ELECTRONIC MEANS. THE 18 DEPARTMENT OF STATE SHALL PROVIDE SUFFICIENT STAFF AND OTHER 19 ADMINISTRATIVE SUPPORT TO ASSIST THE COMMITTEE. 20 § 1311. SEVERABILITY. 21 (A) GENERAL RULE.--EXCEPT AS PROVIDED IN SUBSECTION (B): 22 (1) THE PROVISIONS OF THIS CHAPTER ARE SEVERABLE. 23 (2) IF ANY PROVISION OF THIS CHAPTER OR ITS APPLICATION 24 TO ANY PERSON OR CIRCUMSTANCE IS HELD INVALID, THE INVALIDITY 25 SHALL NOT AFFECT OTHER PROVISIONS OR APPLICATIONS OF THIS 26 CHAPTER WHICH CAN BE GIVEN EFFECT WITHOUT THE INVALID 27 PROVISION OR APPLICATION. 28 (B) PRACTICE OF LAW.--IF ANY PROVISION OF THIS CHAPTER OR 29 ITS APPLICATION TO ANY PERSON OR CIRCUMSTANCE IS HELD INVALID ON 30 THE BASIS OF IMPROPER REGULATION OF THE PRACTICE OF LAW, THE 20050H0700B4350 - 40 -
1 REMAINING PROVISIONS OR APPLICATIONS OF THIS CHAPTER ARE VOID.] 2 SECTION 2. TITLE 65 IS AMENDED BY ADDING A CHAPTER TO READ: 3 CHAPTER 13-A 4 LOBBYING DISCLOSURE 5 SEC. 6 1301-A. SHORT TITLE OF CHAPTER. 7 1302-A. STATEMENT OF INTENT AND JURISDICTION. 8 1303-A. DEFINITIONS. 9 1304-A. REGISTRATION. 10 1305-A. REPORTING. 11 1306-A. EXEMPTION FROM REGISTRATION AND REPORTING. 12 1307-A. PROHIBITED ACTIVITIES. 13 1308-A. ADMINISTRATION AND ENFORCEMENT. 14 1309-A. PENALTIES. 15 1310-A. FILING FEES; FUND ESTABLISHED; REGULATIONS. 16 1311-A. GROUNDS FOR IMPEACHMENT. 17 1312-A. USE OF PUBLIC SPACE. 18 1313-A. SEVERABILITY. 19 § 1301-A. SHORT TITLE OF CHAPTER. 20 THIS CHAPTER SHALL BE KNOWN AND MAY BE CITED AS THE LOBBYING 21 DISCLOSURE ACT. 22 § 1302-A. STATEMENT OF INTENT AND JURISDICTION. 23 (A) INTENT.--THE CONSTITUTION OF PENNSYLVANIA RECOGNIZES THE 24 PRINCIPLE THAT ALL FREE GOVERNMENT IS FOUNDED UPON THE AUTHORITY 25 OF THE PEOPLE. IT FURTHER PROVIDES THAT THE POWER TO MAKE LAW IN 26 THIS COMMONWEALTH IS VESTED IN THE GENERAL ASSEMBLY AND THE 27 POWER TO ENFORCE LAW IS VESTED IN THE EXECUTIVE DEPARTMENT. THE 28 ABILITY OF THE PEOPLE TO EXERCISE THEIR FUNDAMENTAL AUTHORITY 29 AND TO HAVE CONFIDENCE IN THE INTEGRITY OF THE PROCESS BY WHICH 30 LAWS ARE MADE AND ENFORCED IN THIS COMMONWEALTH DEMANDS THAT THE 20050H0700B4350 - 41 -
1 IDENTITY AND THE SCOPE OF ACTIVITY OF THOSE WHO ATTEMPT TO 2 INFLUENCE THE ACTIONS OF THE GENERAL ASSEMBLY AND THE EXECUTIVE 3 DEPARTMENT BE PUBLICLY AND REGULARLY DISCLOSED. 4 (B) JURISDICTION.--THE AUTHORITY TO REGULATE PERSONS 5 EMPLOYED TO INFLUENCE THE ACTIONS OF THE GENERAL ASSEMBLY AND 6 THE EXECUTIVE DEPARTMENT LIES WITHIN THE JURISDICTION OF THOSE 7 BRANCHES OF GOVERNMENT. TO ENSURE THAT THE INTENT OF THIS 8 CHAPTER IS NOT EVADED AND THAT ALL SUCH PERSONS ARE REGULATED IN 9 A FAIR AND EQUITABLE MANNER, LOBBYISTS AND THE PRACTICE OF 10 LOBBYING SHALL BE SUBJECT TO THIS CHAPTER, WHICH SHALL PREVAIL 11 OVER ANY OTHER REGULATION OF PROFESSIONAL ACTIVITY WHEN THAT 12 ACTIVITY CONSTITUTES LOBBYING. THIS CHAPTER IS NOT INTENDED TO 13 GOVERN PROFESSIONAL ACTIVITIES WHICH DO NOT INCLUDE LOBBYING AND 14 WHICH ARE PROPERLY THE SUBJECT OF REGULATION BY THE JUDICIAL 15 BRANCH OF GOVERNMENT OR BY ANY GOVERNMENT AGENCY. MEMBERSHIP IN 16 A REGULATED PROFESSION SHALL NOT EXCUSE A LOBBYIST FROM 17 COMPLIANCE WITH THE PROVISIONS OF THIS CHAPTER. 18 § 1303-A. DEFINITIONS. 19 THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS CHAPTER 20 SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE 21 CONTEXT CLEARLY INDICATES OTHERWISE: 22 "ADMINISTRATIVE ACTION." ANY OF THE FOLLOWING: 23 (1) AN AGENCY'S: 24 (I) PROPOSAL, CONSIDERATION, PROMULGATION OR 25 RESCISSION OF A REGULATION; 26 (II) DEVELOPMENT OR MODIFICATION OF A STATEMENT OF 27 POLICY; 28 (III) APPROVAL OR REJECTION OF A REGULATION; 29 (IV) PROCUREMENT OF SUPPLIES, SERVICES AND 30 CONSTRUCTION UNDER 62 PA.C.S. (RELATING TO PROCUREMENT), 20050H0700B4350 - 42 -
1 EXCEPT FOR ANY EMERGENCY PROCUREMENT MADE UNDER 62 2 PA.C.S. § 516 (RELATING TO EMERGENCY PROCUREMENT). 3 (2) THE REVIEW, REVISION, APPROVAL OR DISAPPROVAL OF A 4 REGULATION UNDER THE ACT OF JUNE 25, 1982 (P.L.633, NO.181), 5 KNOWN AS THE REGULATORY REVIEW ACT. 6 (3) THE GOVERNOR'S APPROVAL OR VETO OF LEGISLATION. 7 (4) THE NOMINATION OR APPOINTMENT OF AN INDIVIDUAL AS AN 8 OFFICER OR EMPLOYEE OF THE COMMONWEALTH. 9 (5) THE PROPOSAL, CONSIDERATION, PROMULGATION OR 10 RESCISSION OF AN EXECUTIVE ORDER. 11 "AFFILIATED POLITICAL ACTION COMMITTEE." A POLITICAL ACTION 12 COMMITTEE AS DEFINED IN SECTION 1621(L) OF THE ACT OF JUNE 3, 13 1937 (P.L.1333, NO.320), KNOWN AS THE PENNSYLVANIA ELECTION 14 CODE, WHICH HAS A CHAIRMAN, A TREASURER OR ANOTHER OFFICER WHO 15 IS A PRINCIPAL, AN EMPLOYEE OF A PRINCIPAL, A LOBBYIST OR AN 16 EMPLOYEE OF A LOBBYIST, PROVIDED IF AN EMPLOYEE OF A REGISTRANT 17 SERVES AS THE OFFICER OF A POLITICAL ACTION COMMITTEE IN WHAT IS 18 CLEARLY A PERSONAL CAPACITY AND THE GOALS AND MISSION OF THAT 19 POLITICAL ACTION COMMITTEE CLEARLY HAVE NO RELATIONSHIP TO THE 20 GOALS AND MISSION OF THE REGISTRANT, SUCH POLITICAL ACTION 21 COMMITTEE SHALL NOT BE CONSIDERED AN AFFILIATED POLITICAL ACTION 22 COMMITTEE FOR THE PURPOSES OF THIS DEFINITION. 23 "AGENCY." A STATE AGENCY, BOARD, COMMISSION, AUTHORITY OR 24 DEPARTMENT. 25 "ATTORNEY AT LAW." A PERSON ADMITTED TO PRACTICE LAW IN THIS 26 COMMONWEALTH. 27 "BOARD." THE DISCIPLINARY BOARD OF THE SUPREME COURT OF 28 PENNSYLVANIA. 29 "COMMISSION." THE STATE ETHICS COMMISSION. 30 "COMPENSATION." ANYTHING OF VALUE, INCLUDING BENEFITS, 20050H0700B4350 - 43 -
1 RECEIVED OR TO BE RECEIVED FROM A PRINCIPAL BY ONE ACTING AS A 2 LOBBYIST. 3 "DEPARTMENT." THE DEPARTMENT OF STATE OF THE COMMONWEALTH. 4 "DIRECT INFLUENCE." ANY EFFORT TO LOBBY OR COMMUNICATE TO A 5 STATE OFFICIAL OR STATE EMPLOYEE, WHICH IS INTENDED TO AFFECT 6 LEGISLATIVE OR ADMINISTRATIVE ACTION. 7 "DIRECT INFLUENCE EXPENSE." ANY EXPENDITURE FOR DIRECT 8 INFLUENCE, INCLUDING ANY EXPENDITURE FOR RESEARCH, MONITORING, 9 TECHNICAL, CLERICAL OR ADMINISTRATIVE SERVICES PROVIDED BY A 10 LOBBYIST, LOBBYING FIRM OR THE STAFF OF A LOBBYIST OR LOBBYING 11 FIRM, IN SUPPORT OF DIRECT INFLUENCE. THE TERM DOES NOT INCLUDE 12 ANY OFFICE EXPENSES. 13 "ECONOMIC CONSIDERATION." ANYTHING OF VALUE OFFERED OR 14 RECEIVED. 15 "FUND." THE LOBBYING DISCLOSURE FUND ESTABLISHED IN SECTION 16 1310-A(B) (RELATING TO FILING FEES; FUND ESTABLISHED; 17 REGULATIONS). 18 "GIFT." ANYTHING WHICH IS GIVEN OR RECEIVED WITHOUT 19 CONSIDERATION OF EQUAL OR GREATER VALUE. 20 "HOSPITALITY." INCLUDES ALL OF THE FOLLOWING: 21 (1) MEALS. 22 (2) BEVERAGES. 23 (3) RECREATION AND ENTERTAINMENT. 24 "IMMEDIATE FAMILY." AN INDIVIDUAL'S SPOUSE, AN INDIVIDUAL'S 25 CHILD AND AN INDIVIDUAL'S PARENT, BROTHER, SISTER OR LIKE 26 RELATIVE-IN-LAW. 27 "INDIRECT INFLUENCE." ANY EFFORT TO ENCOURAGE OTHERS, 28 INCLUDING THE GENERAL PUBLIC, TO COMMUNICATE TO A STATE OFFICIAL 29 OR EMPLOYEE TO AFFECT LEGISLATIVE OR ADMINISTRATIVE ACTION. THE 30 TERM INCLUDES ACTIVITIES SUCH AS LETTER-WRITING CAMPAIGNS, 20050H0700B4350 - 44 -
1 MAILINGS, TELEPHONE BANKS, PRINT AND ELECTRONIC MEDIA 2 ADVERTISING, BILLBOARDS, PUBLICATIONS AND EDUCATIONAL CAMPAIGNS. 3 THE TERM DOES NOT INCLUDE REGULARLY PUBLISHED PERIODIC 4 NEWSLETTERS PRIMARILY DESIGNED FOR AND DISTRIBUTED TO MEMBERS OF 5 A BONA FIDE ASSOCIATION OR CHARITABLE OR FRATERNAL NONPROFIT 6 CORPORATION. 7 "INDIRECT INFLUENCE EXPENSE." ANY EXPENDITURE FOR INDIRECT 8 INFLUENCE, INCLUDING ANY EXPENDITURE FOR RESEARCH, MONITORING, 9 TECHNICAL, CLERICAL OR ADMINISTRATIVE SERVICES PROVIDED BY A 10 LOBBYIST OR LOBBYING FIRM, OR THE STAFF OF A LOBBYIST OR 11 LOBBYING FIRM, IN SUPPORT OF INDIRECT INFLUENCE. THE TERM DOES 12 NOT INCLUDE ANY OFFICE EXPENSES. 13 "LEGISLATION." BILLS, RESOLUTIONS, AMENDMENTS AND 14 NOMINATIONS PENDING OR PROPOSED IN EITHER THE SENATE OR THE 15 HOUSE OF REPRESENTATIVES. THE TERM INCLUDES ANY OTHER MATTER 16 WHICH MAY BECOME THE SUBJECT OF ACTION BY EITHER CHAMBER OF THE 17 GENERAL ASSEMBLY. 18 "LEGISLATIVE ACTION." AN ACTION TAKEN BY A STATE OFFICIAL OR 19 EMPLOYEE INVOLVING THE PREPARATION, RESEARCH, DRAFTING, 20 INTRODUCTION, CONSIDERATION, MODIFICATION, AMENDMENT, APPROVAL, 21 PASSAGE, ENACTMENT, TABLING, POSTPONEMENT, DEFEAT OR REJECTION 22 OF LEGISLATION; LEGISLATIVE MOTIONS; OVERRIDING OR SUSTAINING A 23 VETO BY THE GOVERNOR; OR CONFIRMATION OF APPOINTMENTS BY THE 24 GOVERNOR OR OF APPOINTMENTS TO PUBLIC BOARDS OR COMMISSIONS BY A 25 MEMBER OF THE GENERAL ASSEMBLY. 26 "LOBBYING." AN EFFORT TO INFLUENCE LEGISLATIVE ACTION OR 27 ADMINISTRATIVE ACTION. THE TERM INCLUDES: 28 (1) COMMUNICATING IN WRITING, ORALLY, ELECTRONICALLY OR 29 BY ANY OTHER MEDIUM TO A STATE OFFICIAL OR EMPLOYEE FOR THE 30 PURPOSE OF INFLUENCING LEGISLATIVE OR ADMINISTRATIVE ACTION. 20050H0700B4350 - 45 -
1 (2) PROVIDING ANY GIFT, HOSPITALITY, TRANSPORTATION OR 2 LODGING TO A STATE OFFICIAL OR EMPLOYEE FOR THE PURPOSE OF 3 ADVANCING THE INTEREST OF THE LOBBYIST OR PRINCIPAL. 4 "LOBBYING FIRM." A BUSINESS ENTITY THAT ENGAGES IN LOBBYING 5 FOR ECONOMIC CONSIDERATION ON BEHALF OF A PRINCIPAL, OR 6 PRINCIPALS, OTHER THAN THE BUSINESS ENTITY ITSELF. 7 "LOBBYIST." ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, 8 PARTNERSHIP, BUSINESS TRUST OR OTHER BUSINESS ENTITY THAT 9 ENGAGES IN LOBBYING ON BEHALF OF A PRINCIPAL FOR ECONOMIC 10 CONSIDERATION. 11 "OFFICE EXPENSE." ANY EXPENDITURE FOR OFFICES, EQUIPMENT OR 12 SUPPLIES OTHER THAN PERSONNEL EXPENSES. 13 "PERSONNEL EXPENSE." ANY EXPENDITURE FOR SALARIES OR OTHER 14 FORMS OF COMPENSATION, BENEFITS, VEHICLE ALLOWANCES, BONUSES AND 15 REIMBURSABLE EXPENSES. 16 "PRINCIPAL." ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, 17 PARTNERSHIP, BUSINESS TRUST OR OTHER BUSINESS ENTITY: 18 (1) ON WHOSE BEHALF A LOBBYIST INFLUENCES OR ATTEMPTS TO 19 INFLUENCE AN ADMINISTRATIVE ACTION OR A LEGISLATIVE ACTION; 20 OR 21 (2) THAT ENGAGES IN LOBBYING ON THE PRINCIPAL'S OWN 22 BEHALF. 23 "REGISTRANT." A REGISTERED LOBBYIST, LOBBYING FIRM OR A 24 REGISTERED PRINCIPAL. 25 "REGULATION." ANY RULE, REGULATION, STATEMENT OF POLICY OR 26 ORDER IN THE NATURE OF A RULE OR REGULATION, INCLUDING FORMAL 27 AND INFORMAL OPINIONS OF THE ATTORNEY GENERAL, OF GENERAL 28 APPLICATION AND FUTURE EFFECT, PROMULGATED BY AN AGENCY UNDER 29 STATUTORY AUTHORITY IN THE ADMINISTRATION OF A STATUTE 30 ADMINISTERED BY OR RELATING TO THE AGENCY, OR PRESCRIBING THE 20050H0700B4350 - 46 -
1 PRACTICE OR PROCEDURE BEFORE THE AGENCY. 2 "REPORTING PERIOD." ANY OF THE FOLLOWING PERIODS: 3 (1) JANUARY 1 THROUGH MARCH 31. 4 (2) APRIL 1 THROUGH JUNE 30. 5 (3) JULY 1 THROUGH SEPTEMBER 30. 6 (4) OCTOBER 1 THROUGH DECEMBER 31. 7 "STATE OFFICIAL OR EMPLOYEE." AN INDIVIDUAL ELECTED OR 8 APPOINTED TO A POSITION IN STATE GOVERNMENT OR EMPLOYED BY STATE 9 GOVERNMENT, WHETHER COMPENSATED OR UNCOMPENSATED, WHO IS 10 INVOLVED IN LEGISLATIVE ACTION OR ADMINISTRATIVE ACTION. 11 "VENDOR." A PERSON THAT, FOR ECONOMIC CONSIDERATION, SELLS 12 OR PROVIDES A SERVICE OR SUPPLY OR ENGAGES IN CONSTRUCTION. THE 13 TERM DOES NOT INCLUDE AN ATTORNEY AT LAW, A LOBBYIST OR LOBBYING 14 FIRM. 15 § 1304-A. REGISTRATION. 16 (A) GENERAL RULE.--UNLESS EXCLUDED UNDER SECTION 1306-A 17 (RELATING TO EXEMPTION FROM REGISTRATION AND REPORTING), A 18 LOBBYIST, PRINCIPAL OR LOBBYING FIRM MUST REGISTER WITH THE 19 DEPARTMENT BIENNIALLY. EACH BIENNIAL REGISTRATION CYCLE SHALL 20 BEGIN ON JANUARY 1 OF EACH ODD-NUMBERED YEAR AND SHALL CONCLUDE 21 ON DECEMBER 31 OF THE IMMEDIATELY FOLLOWING EVEN NUMBERED YEAR. 22 THE FOLLOWING SHALL APPLY: 23 (1) A LOBBYIST OR LOBBYING FIRM MUST REGISTER WITHIN TEN 24 DAYS OF: 25 (I) RECEIVING COMPENSATION FOR LOBBYING FROM ALL 26 PRINCIPALS REPRESENTED IN EXCESS OF $2,500 IN THE 27 AGGREGATE DURING ANY REPORTING PERIOD; OR 28 (II) ENGAGING IN LOBBYING ON BEHALF OF HIS EMPLOYER 29 WHERE LOBBYING ACTIVITY ACCOUNTS FOR OVER $2,500 OF THE 30 EMPLOYEE'S TIME DURING ANY REPORTING PERIOD BASED ON AN 20050H0700B4350 - 47 -
1 HOURLY PRORATION OF THE EMPLOYEE'S COMPENSATION. 2 (2) A PRINCIPAL MUST REGISTER WITHIN TEN DAYS OF 3 EXPENDING IN EXCESS OF $2,500 FOR LOBBYING PURPOSES DURING 4 ANY REPORTING PERIOD. 5 (B) REGISTRATION REQUIREMENTS FOR PRINCIPALS AND LOBBYING 6 FIRMS.-- 7 (1) A PRINCIPAL OR LOBBYING FIRM REQUIRED TO REGISTER 8 UNDER SUBSECTION (A) SHALL FILE THE FOLLOWING INFORMATION 9 WITH THE DEPARTMENT: 10 (I) NAME. 11 (II) PERMANENT ADDRESS. 12 (III) DAYTIME TELEPHONE NUMBER. 13 (IV) NAME AND NATURE OF BUSINESS. 14 (V) NAME, REGISTRATION NUMBER AND ACRONYMS OF ALL 15 AFFILIATED POLITICAL ACTION COMMITTEES. 16 (VI) NAME, PERMANENT BUSINESS ADDRESS AND DAYTIME 17 TELEPHONE NUMBER OF EACH INDIVIDUAL OR ENTITY WHO WILL 18 FOR ECONOMIC CONSIDERATION ENGAGE IN LOBBYING ON THE 19 PRINCIPAL'S OR LOBBYING FIRM'S BEHALF. 20 (VII) A PRINCIPAL SHALL DISCLOSE IN ITS FILING THE 21 NAME, REGISTRATION NUMBER AND ACRONYMS OF ALL CANDIDATE 22 POLITICAL COMMITTEES FOR WHICH THE PRINCIPAL SERVES AS A 23 TREASURER OR OTHER OFFICER. 24 (VIII) A LOBBYING FIRM SHALL DISCLOSE IN ITS FILING 25 THE NAME, PERMANENT BUSINESS ADDRESS AND TELEPHONE NUMBER 26 OF EACH PRINCIPAL REPRESENTED. 27 (2) IF AN ORGANIZATION OR ASSOCIATION IS A PRINCIPAL, 28 THE NUMBER OF DUES-PAYING MEMBERS IN THE PAST CALENDAR YEAR 29 SHALL ALSO BE DISCLOSED. 30 (C) REGISTRATION REQUIREMENTS FOR INDIVIDUALS WHO ARE 20050H0700B4350 - 48 -
1 LOBBYISTS.-- 2 (1) A LOBBYIST WHO IS REQUIRED TO REGISTER UNDER 3 SUBSECTION (A) SHALL FILE THE FOLLOWING INFORMATION WITH THE 4 DEPARTMENT: 5 (I) NAME. 6 (II) PERMANENT BUSINESS ADDRESS. 7 (III) DAYTIME TELEPHONE NUMBER. 8 (IV) A RECENT PHOTOGRAPH OF THE LOBBYIST. 9 (V) NAME, PERMANENT BUSINESS ADDRESS AND DAYTIME 10 TELEPHONE NUMBER OF EACH PRINCIPAL THE LOBBYIST 11 REPRESENTS. 12 (VI) NAME OF ANY LOBBYING FIRM WITH WHICH THE 13 LOBBYIST HAS A RELATIONSHIP INVOLVING ECONOMIC 14 CONSIDERATION. 15 (VII) NAME, REGISTRATION NUMBER AND ACRONYMS OF ALL 16 AFFILIATED POLITICAL ACTION COMMITTEES. 17 (VIII) NAME, REGISTRATION NUMBER AND ACRONYMS OF ALL 18 CANDIDATE POLITICAL COMMITTEES OF WHICH THE LOBBYIST IS 19 AN OFFICER, WHO MUST BE INCLUDED IN A REGISTRATION 20 STATEMENT UNDER SECTION 1624(B)(2) AND (3) OF THE ACT OF 21 JUNE 3, 1937 (P.L.1333, NO.320), KNOWN AS THE 22 PENNSYLVANIA ELECTION CODE. 23 (2) EACH LOBBYIST SHALL FILE A SINGLE REGISTRATION 24 IDENTIFYING ALL PRINCIPALS HE OR SHE REPRESENTS. 25 (D) AMENDMENTS.-- 26 (1) WHEN THERE IS A CHANGE IN THE INFORMATION REQUIRED 27 FOR REGISTRATION UNDER SUBSECTION (B)(1) OR (C)(1), AN 28 AMENDED REGISTRATION SHALL BE FILED WITH THE DEPARTMENT 29 WITHIN 14 DAYS AFTER THE CHANGE OCCURS. 30 (2) WHEN THERE IS A CHANGE IN INFORMATION REQUIRED FOR 20050H0700B4350 - 49 -
1 REGISTRATION UNDER SUBSECTION (B)(2), AN AMENDED REGISTRATION 2 SHALL BE FILED WITH THE DEPARTMENT WITHIN 14 DAYS OF THE END 3 OF THE YEAR IN WHICH THE CHANGE OCCURS. 4 (E) TERMINATION.--A LOBBYIST, A PRINCIPAL OR A LOBBYING FIRM 5 MAY TERMINATE REGISTRATION BY FILING A NOTICE WITH THE 6 DEPARTMENT. NO LATER THAN 15 DAYS AFTER RECEIPT OF THE NOTICE, 7 THE DEPARTMENT SHALL ISSUE A LETTER STATING THAT THE REGISTRANT 8 HAS TERMINATED REGISTRATION. THE FILING OF A NOTICE SHALL NOT 9 AFFECT THE COMMISSION'S AUTHORITY TO CONDUCT INVESTIGATIONS AND 10 HEARINGS PURSUANT TO SECTION 1308-A(H) (RELATING TO 11 ADMINISTRATION AND ENFORCEMENT). NO LOBBYING MAY OCCUR AFTER THE 12 FILING OF A NOTICE UNLESS THE LOBBYING IS PURSUANT TO A SEPARATE 13 REGISTRATION WHICH IS FILED WITH THE DEPARTMENT AND WHICH, AT 14 THE TIME OF THE LOBBYING, HAS NOT BEEN TERMINATED. 15 § 1305-A. REPORTING. 16 (A) GENERAL RULE.--A REGISTERED PRINCIPAL SHALL, UNDER OATH 17 OR AFFIRMATION, FILE QUARTERLY EXPENSE REPORTS WITH THE 18 DEPARTMENT NO LATER THAN 30 DAYS AFTER THE LAST DAY OF THE 19 QUARTER. 20 (B) CONTENT.--THE FOLLOWING SHALL APPLY: 21 (1) EACH EXPENSE REPORT MUST INCLUDE THE GENERAL SUBJECT 22 MATTER OR ISSUES BEING LOBBIED. 23 (2) EACH EXPENSE REPORT MUST CONTAIN THE FOLLOWING 24 CATEGORIES: 25 (I) THE TOTAL COSTS FOR DIRECT INFLUENCE EXPENSES. 26 (II) THE TOTAL COSTS FOR INDIRECT INFLUENCE 27 EXPENSES. 28 (III) THE TOTAL COSTS FOR GIFTS, HOSPITALITY, 29 TRANSPORTATION, LODGING AND RECEPTIONS GIVEN TO OR 30 PROVIDED TO STATE OFFICIALS OR EMPLOYEES OR THEIR 20050H0700B4350 - 50 -
1 IMMEDIATE FAMILIES. 2 (3) IN ADDITION TO REPORTING THE TOTALS REQUIRED UNDER 3 THIS SUBSECTION, THE EXPENSE REPORT MUST IDENTIFY, BY NAME, 4 POSITION AND EACH OCCURRENCE, A STATE OFFICIAL OR EMPLOYEE 5 WHO RECEIVES FROM A PRINCIPAL OR LOBBYIST ANYTHING OF VALUE 6 WHICH MUST BE REPORTED ON THE STATEMENT REQUIRED BY CH. 11 7 (RELATING TO ETHICS STANDARDS AND FINANCIAL DISCLOSURE) UNDER 8 SECTION 1105(B)(6) OR (7) (RELATING TO STATEMENT OF FINANCIAL 9 INTERESTS) AS ADJUSTED BY SECTION 1105(D). THIS PARAGRAPH 10 SHALL NOT APPLY TO ANYTHING OF VALUE RECEIVED FROM IMMEDIATE 11 FAMILY WHEN THE CIRCUMSTANCES MAKE IT CLEAR THAT MOTIVATION 12 FOR THE ACTION WAS A PERSONAL OR FAMILY RELATIONSHIP. 13 (I) FOR PURPOSES OF THIS CHAPTER, THE AMOUNT 14 REFERRED TO IN SECTION 1105(B)(7) SHALL NOT INCLUDE THE 15 COST OF ANY RECEPTION, WHICH THE STATE OFFICIAL OR 16 EMPLOYEE ATTENDS IN CONNECTION WITH PUBLIC OFFICE OR 17 EMPLOYMENT. 18 (II) WRITTEN NOTICE MUST BE GIVEN TO EACH PUBLIC 19 OFFICIAL OR EMPLOYEE IDENTIFIED IN AN EXPENSE REPORT 20 UNDER THIS PARAGRAPH WITHIN FIVE DAYS OF THE REPORT'S 21 SUBMISSION TO THE DEPARTMENT. NOTICE UNDER THIS 22 SUBPARAGRAPH SHALL INCLUDE INFORMATION UPON WHICH A 23 PUBLIC OFFICIAL OR EMPLOYEE MAY RELY IN COMPLYING WITH 24 SECTION 1105(B)(6) AND (7). FOR PURPOSES OF THIS CHAPTER 25 AND CHAPTER 11 (RELATING TO ETHICS STANDARDS AND 26 FINANCIAL DISCLOSURE), SECTION 1105(B)(6) AND (7) SHALL 27 CONSTITUTE MUTUALLY EXCLUSIVE CATEGORIES. 28 (III) REGULATIONS SHALL BE PROMULGATED UNDER SECTION 29 1310-A(D) (RELATING TO FILING FEES; FUND ESTABLISHED; 30 REGULATIONS) TO DEFINE MUTUALLY EXCLUSIVE CATEGORIES 20050H0700B4350 - 51 -
1 UNDER SECTION 1105(B)(6) AND (7) AND TO DETERMINE WHETHER 2 A THING OF VALUE IS SUBJECT TO DISCLOSURE UNDER SECTION 3 1105(B)(6) OR (7). 4 (4) THE EXPENSE REPORT SHALL ALSO INCLUDE THE NAME, 5 PERMANENT BUSINESS ADDRESS AND DAYTIME TELEPHONE NUMBER OF 6 ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, PARTNERSHIP, 7 BUSINESS TRUST OR OTHER BUSINESS ENTITY WHICH CONTRIBUTED 8 MORE THAN 10% OF THE TOTAL RESOURCES RECEIVED BY THE 9 PRINCIPAL DURING THE REPORTING PERIOD. 10 (5) A LOBBYING FIRM OR A LOBBYIST NOT ASSOCIATED WITH A 11 LOBBYING FIRM SHALL SUBMIT A REPORT IF DURING THE REPORTING 12 PERIOD THE LOBBYIST OR LOBBYING FIRM ENGAGED IN LOBBYING 13 WHICH WAS NOT CONTAINED IN ANY REPORT FILED BY A PRINCIPAL OR 14 PRINCIPALS REPRESENTED. 15 (6) A REGISTERED PRINCIPAL THAT ATTEMPTS, OR THAT 16 RETAINS A LOBBYIST OR LOBBYING FIRM TO ATTEMPT, TO INFLUENCE 17 AN AGENCY'S PREPARING, BIDDING, ENTERING INTO OR APPROVING A 18 CONTRACT SHALL ENSURE THAT THE RELATED EXPENSES ARE INCLUDED 19 UNDER PARAGRAPH (2). 20 (7) A LOBBYING FIRM OR A LOBBYIST NOT ASSOCIATED WITH A 21 LOBBYING FIRM SHALL SUBMIT A REPORT IF THE LOBBYIST OR 22 LOBBYING FIRM ENGAGED IN LOBBYING FOR ECONOMIC CONSIDERATION 23 ON BEHALF OF ANY ENTITY THAT IS EXEMPT UNDER SECTION 1306- 24 A(6), (7), (8) AND (9) (RELATING TO EXEMPTION FROM 25 REGISTRATION AND REPORTING). 26 (8) FOR EACH CATEGORY ENUMERATED IN PARAGRAPH (2)(I), 27 (II) AND (III) AND FOR EACH STATE OFFICIAL OR EMPLOYEE 28 IDENTIFIED UNDER PARAGRAPH (3), THE REPORT SHALL INCLUDE BOTH 29 THE AMOUNT INCURRED DURING THE QUARTER AND THE CUMULATIVE 30 AMOUNT INCURRED FROM JANUARY 1 THROUGH THE END OF THE 20050H0700B4350 - 52 -
1 APPLICABLE QUARTER. 2 (C) RECORDS RETENTION.--A REGISTRANT SHALL RETAIN ALL 3 DOCUMENTS REASONABLY NECESSARY TO SUBSTANTIATE A REPORT TO BE 4 MADE UNDER THIS SECTION FOR FOUR YEARS FROM THE DATE OF FILING 5 THE REPORT. UPON REQUEST BY THE OFFICE OF ATTORNEY GENERAL, THE 6 BOARD, THE DEPARTMENT OR THE COMMISSION, THESE MATERIALS SHALL 7 BE MADE AVAILABLE FOR INSPECTION WITHIN A REASONABLE PERIOD OF 8 TIME. 9 (D) THRESHOLDS FOR QUARTERLY REPORTING.--A REGISTERED 10 PRINCIPAL SHALL FILE AN EXPENSE REPORT WHEN THE PRINCIPAL'S 11 AGGREGATE EXPENSES FOR LOBBYING OR GIFTS EXCEED $2,500 IN A 12 REPORTING PERIOD. IN A REPORTING PERIOD IN WHICH TOTAL EXPENSES 13 ARE $2,500 OR LESS, THE PRINCIPAL SHALL FILE A STATEMENT TO THAT 14 EFFECT. 15 (E) COMMUNICATION.--WHENEVER ANY PERSON MAKES AN EXPENDITURE 16 FOR INDIRECT INFLUENCE UNDER THIS CHAPTER, FOR THE PURPOSE OF 17 DISSEMINATING OR INITIATING COMMUNICATION SUCH AS A MAILING, 18 TELEPHONE BANK, PRINT OR ELECTRONIC MEDIA ADVERTISEMENT, 19 BILLBOARD, PUBLICATION OR EDUCATIONAL CAMPAIGN, THE 20 COMMUNICATION SHALL CLEARLY AND CONSPICUOUSLY STATE THE NAME OF 21 THE PERSON WHO MADE OR FINANCED THE EXPENDITURE FOR THE 22 COMMUNICATION. 23 § 1306-A. EXEMPTION FROM REGISTRATION AND REPORTING. 24 THE FOLLOWING ACTIVITIES AND INDIVIDUALS SHALL BE EXEMPT FROM 25 REGISTRATION UNDER SECTION 1304-A (RELATING TO REGISTRATION) AND 26 REPORTING UNDER SECTION 1305-A (RELATING TO REPORTING): 27 (1) PREPARING TESTIMONY AND TESTIFYING BEFORE A 28 COMMITTEE, COMMISSION OR BOARD OF THE LEGISLATIVE OR 29 EXECUTIVE BRANCH. 30 (2) SERVING ON A WORKING GROUP, TASK FORCE OR ADVISORY 20050H0700B4350 - 53 -
1 BOARD AT THE REQUEST OF AN AGENCY OR THE GENERAL ASSEMBLY. 2 (3) PARTICIPATING AS A PARTY OR AS AN ATTORNEY AT LAW OR 3 REPRESENTATIVE OF A PARTY, CASE OR CONTROVERSY IN ANY 4 ADMINISTRATIVE ADJUDICATION PURSUANT TO 2 PA.C.S. (RELATING 5 TO ADMINISTRATIVE LAW AND PROCEDURE). 6 (4) AN INDIVIDUAL WHO IS AN EMPLOYEE OF AN ENTITY 7 ENGAGED IN THE BUSINESS OF PUBLISHING, BROADCASTING OR 8 TELEVISING WHILE ENGAGED IN THE GATHERING AND DISSEMINATION 9 OF NEWS AND COMMENT TO THE GENERAL PUBLIC IN THE ORDINARY 10 COURSE OF BUSINESS. 11 (5) AN INDIVIDUAL WHO DOES NOT RECEIVE ECONOMIC 12 CONSIDERATION OR GIFTS, OTHER THAN TRAVELING EXPENSES, FOR 13 LOBBYING. 14 (6) AN ELECTED STATE OFFICER ACTING IN AN OFFICIAL 15 CAPACITY. 16 (7) A STATE EXECUTIVE OFFICER APPOINTED BY THE GOVERNOR 17 ACTING IN AN OFFICIAL CAPACITY. 18 (8) AN ELECTED OR APPOINTED OFFICIAL OR EMPLOYEE OF A 19 POLITICAL SUBDIVISION ACTING IN AN OFFICIAL CAPACITY. 20 (9) AN EMPLOYEE OF THE COMMONWEALTH OR INDEPENDENT 21 AGENCY OF THE COMMONWEALTH ACTING IN AN OFFICIAL CAPACITY. 22 (10) AN INDIVIDUAL WHO APPEARS ON BEHALF OF ANY 23 RELIGIOUS ORGANIZATION WITH RESPECT TO SUBJECTS OF 24 LEGISLATION OR REGULATION THAT DIRECTLY RELATE TO THE 25 RELIGIOUS BELIEFS AND PRACTICES OF THAT ORGANIZATION AND WHO 26 DOES NOT OTHERWISE ACT AS A LOBBYIST. 27 (11) EXPENDITURES AND OTHER TRANSACTIONS SUBJECT TO 28 REPORTING UNDER ARTICLE XVI OF THE ACT OF JUNE 3, 1937 29 (P.L.1333, NO.320), KNOWN AS THE PENNSYLVANIA ELECTION CODE. 30 (12) ANY VENDOR WHOSE PRIMARY OCCUPATION IS SERVICES, 20050H0700B4350 - 54 -
1 SUPPLIES OR CONSTRUCTION. ANY LOBBYIST OR LOBBYING FIRM 2 EMPLOYED BY SUCH A VENDOR SHALL NOT BE EXEMPT FROM 3 REGISTRATION UNDER SECTION 1304-A AND REPORTING UNDER SECTION 4 1305-A. 5 § 1307-A. PROHIBITED ACTIVITIES. 6 (A) CONTINGENT COMPENSATION.-- 7 (1) NO ONE MAY COMPENSATE OR INCUR AN OBLIGATION TO 8 COMPENSATE ANY LOBBYIST OR LOBBYING FIRM, PRINCIPAL OR 9 INDIVIDUAL TO ENGAGE IN LOBBYING FOR COMPENSATION CONTINGENT 10 IN WHOLE OR IN PART UPON ANY OF THE FOLLOWING: 11 (I) OCCURRENCE, NONOCCURANCE OR AMENDMENT OF 12 LEGISLATIVE ACTION. 13 (II) OCCURRENCE, NONOCCURRENCE OR AMENDMENT OF AN 14 ADMINISTRATIVE ACTION OTHER THAN PROCUREMENT DESCRIBED IN 15 PARAGRAPH (1)(IV) OF THE DEFINITION OF "ADMINISTRATIVE 16 ACTION" UNDER SECTION 1303-A. 17 (2) NO LOBBYIST, PRINCIPAL, LOBBYING FIRM OR INDIVIDUAL 18 MAY ENGAGE IN OR AGREE TO ENGAGE IN LOBBYING FOR COMPENSATION 19 CONTINGENT IN WHOLE OR IN PART UPON ANY OF THE FOLLOWING: 20 (I) OCCURENCE, NONOCCURENCE OR AMENDMENT OF 21 LEGISLATIVE ACTION. 22 (II) OCCURRENCE, NONOCCURRENCE OR AMENDMENT OF AN 23 ADMINISTRATIVE ACTION OTHER THAN PROCUREMENT DESCRIBED IN 24 PARAGRAPH (1)(IV) OF THE DEFINITION OF "ADMINISTRATIVE 25 ACTION" UNDER SECTION 1303-A. 26 (B) FALSIFICATION.--NO LOBBYIST, LOBBYING FIRM, PRINCIPAL OR 27 INDIVIDUAL MAY, FOR THE PURPOSE OF INFLUENCING LEGISLATIVE 28 ACTION OR ADMINISTRATIVE ACTION, TRANSMIT, UTTER OR PUBLISH TO 29 ANY STATE OFFICIAL OR EMPLOYEE ANY COMMUNICATION, KNOWING THAT 30 SUCH COMMUNICATION OR ANY SIGNATURE ON THE COMMUNICATION IS 20050H0700B4350 - 55 -
1 FALSE, FORGED, COUNTERFEIT OR FICTITIOUS. 2 § 1308-A. ADMINISTRATION AND ENFORCEMENT. 3 (A) CRIMINAL ENFORCEMENT.--IF THE DEPARTMENT OR THE 4 COMMISSION BELIEVES AN INTENTIONAL VIOLATION OF THIS CHAPTER HAS 5 BEEN COMMITTED, IT SHALL REFER ALL RELEVANT DOCUMENTS AND OTHER 6 INFORMATION TO THE OFFICE OF ATTORNEY GENERAL. 7 (B) ATTORNEY GENERAL.--IN ADDITION TO THE AUTHORITY 8 CONFERRED UPON THE ATTORNEY GENERAL UNDER THE ACT OF OCTOBER 15, 9 1980 (P.L.950, NO.164), KNOWN AS THE COMMONWEALTH ATTORNEYS ACT, 10 THE ATTORNEY GENERAL HAS THE AUTHORITY TO INVESTIGATE AND 11 PROSECUTE A VIOLATION OF THIS CHAPTER. 12 (C) ADVICE AND OPINIONS.--THE COMMISSION SHALL PROVIDE 13 ADVICE AND OPINIONS IN ACCORDANCE WITH PROCEDURES SET FORTH IN 14 SECTION 1107 (RELATING TO POWERS AND DUTIES OF COMMISSION) TO 15 THE DEPARTMENT, A LOBBYIST, LOBBYING FIRM OR PRINCIPAL OR STATE 16 OFFICIAL OR EMPLOYEE WHO HAS A QUESTION REGARDING COMPLIANCE 17 WITH THIS CHAPTER. A PRINCIPAL, A LOBBYIST, A LOBBYING FIRM OR 18 AN INDIVIDUAL WHO ACTS IN GOOD FAITH BASED ON THE WRITTEN ADVICE 19 OR OPINION OF THE COMMISSION SHALL NOT BE HELD LIABLE FOR A 20 VIOLATION OF THIS CHAPTER. 21 (D) PUBLIC INSPECTION AND COPYING.--THE DEPARTMENT SHALL 22 MAKE COMPLETED REGISTRATIONS, EXPENSE REPORTS AND TERMINATION 23 NOTICES WHICH HAVE BEEN FILED WITH THE DEPARTMENT AVAILABLE FOR 24 PUBLIC INSPECTION AND PROVIDE COPIES OF THESE DOCUMENTS AT A 25 PRICE WHICH SHALL NOT EXCEED THE ACTUAL COST OF COPYING. 26 DOCUMENTS THAT ARE MAINTAINED AND REPRODUCIBLE IN AN ELECTRONIC 27 FORMAT SHALL BE PROVIDED IN THAT FORMAT UPON REQUEST. 28 (E) ANNUAL REPORTING.--THE DEPARTMENT SHALL PREPARE AND 29 PUBLISH AN ANNUAL REPORT ON LOBBYING ACTIVITIES IN THIS 30 COMMONWEALTH. THE DEPARTMENT SHALL AT LEAST ANNUALLY PUBLISH A 20050H0700B4350 - 56 -
1 LISTING OF ALL REGISTRANTS AND SHALL IDENTIFY AFFILIATED 2 POLITICAL ACTION COMMITTEES. 3 (F) RETENTION OF RECORDS.--COMPLETED REGISTRATIONS, EXPENSE 4 REPORTS, TERMINATION NOTICES AND TERMINATION LETTERS FILED OR 5 ISSUED PURSUANT TO SECTION 1304-A (RELATING TO REGISTRATION) 6 SHALL REMAIN ON FILE WITH THE DEPARTMENT FOR A FOUR-YEAR PERIOD. 7 (G) AUDITS.--THE FOLLOWING SHALL APPLY: 8 (1) EVERY TWO YEARS, THE SECRETARY OF THE COMMONWEALTH 9 SHALL CONTRACT FOR THE SERVICES OF A CERTIFIED PUBLIC 10 ACCOUNTANT OR CERTIFIED PUBLIC ACCOUNTING FIRM. THE CONTRACT 11 SHALL BE AWARDED IN A MANNER CONSISTENT WITH THE PROVISIONS 12 OF 62 PA.C.S. PT. I (RELATING TO COMMONWEALTH PROCUREMENT 13 CODE) AND NO CERTIFIED PUBLIC ACCOUNTANT OR CERTIFIED PUBLIC 14 ACCOUNTING FIRM SHALL BE ELIGIBLE TO OBTAIN SUCH A CONTRACT 15 FOR TWO SUCCESSIVE CONTRACT PERIODS. 16 (2) THE SECRETARY OF THE COMMONWEALTH SHALL RANDOMLY 17 SELECT, AT A PUBLIC DRAWING 60 DAYS FOLLOWING THE CLOSE OF 18 EACH FOURTH QUARTER REPORTING PERIOD, 3% OF ALL REGISTRATIONS 19 AND EXPENSE REPORTS FILED WITH THE DEPARTMENT UNDER THIS 20 CHAPTER. 21 (3) THE CERTIFIED PUBLIC ACCOUNTANT SHALL CONDUCT THE 22 AUDITS IN ACCORDANCE WITH GENERALLY ACCEPTED AUDITING 23 STANDARDS AND SHALL TEST AS TO WHETHER EACH REGISTRATION OR 24 EXPENSE REPORT IS MATERIALLY CORRECT. 25 (4) THE AUDIT REPORT AND FINDINGS SHALL BE CONFIDENTIAL, 26 EXCEPT THAT THE DEPARTMENT SHALL MAKE AN AUDIT REPORT AND 27 FINDINGS AVAILABLE TO THE COMMISSION WHEN THE COMMISSION IS 28 INVESTIGATING AN ALLEGED VIOLATION OF THIS CHAPTER INVOLVING 29 THE AUDITED REGISTRATION OR EXPENSE REPORT. THE COMMISSION 30 SHALL INCLUDE THE RELEVANT PORTION OF AN AUDIT AS PART OF ITS 20050H0700B4350 - 57 -
1 FINDINGS OF FACT IN A COMMISSION ORDER WHICH RESULTS FROM AN 2 INVESTIGATION ARISING OUT OF AN AUDIT. 3 (H) INVESTIGATION AND HEARINGS.--THE COMMISSION, THROUGH ITS 4 EXECUTIVE DIRECTOR, MAY INITIATE AN INVESTIGATION AND HOLD A 5 HEARING CONCERNING AN ALLEGED VIOLATION OF THIS CHAPTER IN 6 ACCORDANCE WITH SECTIONS 1107 AND 1108 (RELATING TO 7 INVESTIGATIONS BY COMMISSION). 8 (I) DISCIPLINARY BOARD.--IF THE SUBJECT OF ANY COMPLAINT 9 FILED WITH OR INVESTIGATION INITIATED BY THE COMMISSION UNDER 10 THIS CHAPTER IS AN ATTORNEY AT LAW, THE COMMISSION SHALL REFER 11 THE ALLEGED VIOLATION TO THE BOARD TO BE INVESTIGATED, 12 CONSIDERED AND RESOLVED IN A MANNER CONSISTENT WITH THE 13 PENNSYLVANIA RULES OF PROFESSIONAL CONDUCT. IF A COURT OF 14 COMPETENT JURISDICTION DETERMINES THAT A COMPLAINT FILED WITH OR 15 INVESTIGATION INITIATED BY THE COMMISSION UNDER THIS CHAPTER, 16 WHICH INVOLVES AN ATTORNEY AT LAW, IS UNDER THE JURISDICTION OF 17 THE BOARD, THE MATTER SHALL BE REFERRED BY THE COURT TO THE 18 BOARD TO BE INVESTIGATED, CONSIDERED AND RESOLVED IN A MANNER 19 CONSISTENT WITH THE PENNSYLVANIA RULES OF PROFESSIONAL CONDUCT. 20 (J) DIRECTORY.--ON OR BEFORE MAY 1 OF EACH ODD-NUMBERED 21 YEAR, THE DEPARTMENT SHALL PRODUCE AND DISTRIBUTE A DIRECTORY OF 22 ALL REGISTERED LOBBYISTS AND REGISTERED LOBBYING FIRMS RETAINED 23 BY REGISTERED PRINCIPALS. THE DIRECTORY SHALL INCLUDE 24 PHOTOGRAPHS OF EACH REGISTERED LOBBYIST. COPIES OF THE DIRECTORY 25 SHALL BE MADE AVAILABLE TO THE PUBLIC AT A PRICE NOT TO EXCEED 26 THE ACTUAL COST OF PRODUCTION. ALL REVENUE RECEIVED BY THE 27 DEPARTMENT FROM THE SALES OF THE DIRECTORY SHALL BE DEPOSITED 28 INTO THE FUND. 29 (K) COMPUTER FILE.--THE DEPARTMENT SHALL PROVIDE THE 30 LEGISLATIVE DATA PROCESSING COMMITTEE WITH ALL DATA RELATING TO 20050H0700B4350 - 58 -
1 REGISTRATIONS, EXPENSE REPORTS AND TERMINATION NOTICES. THE 2 COMMITTEE SHALL MAKE ALL SUCH INFORMATION AVAILABLE ON A 3 PUBLICLY ACCESSIBLE INTERNET WEBSITE IN A FULLY SEARCHABLE 4 FORMAT. 5 (L) INFLATION ADJUSTMENT.--ON A BIENNIAL BASIS COMMENCING IN 6 JANUARY 2009, THE DEPARTMENT SHALL REVIEW THE THRESHOLD FOR 7 REGISTRATION UNDER SECTION 1304-A (RELATING TO REGISTRATION), 8 AND THE THRESHOLD FOR REPORTING UNDER SECTION 1305-A(C) 9 (RELATING TO REPORTING) AND MAY INCREASE THESE AMOUNTS TO RATES 10 DEEMED REASONABLE FOR ASSURING APPROPRIATE DISCLOSURE. ON A 11 BIENNIAL BASIS COMMENCING IN JANUARY 2009, THE DEPARTMENT SHALL 12 REVIEW THE FILING FEE ESTABLISHED UNDER SECTION 1310-A (RELATING 13 TO FILING FEES; FUND ESTABLISHED; REGULATIONS) AND MAY ADJUST 14 THIS AMOUNT IF THE DEPARTMENT DETERMINES THAT A HIGHER FEE IS 15 NEEDED TO COVER THE COSTS OF CARRYING OUT THE PROVISIONS OF THIS 16 CHAPTER. THE DEPARTMENT SHALL PUBLISH ANY SUCH ADJUSTED AMOUNTS 17 IN THE PENNSYLVANIA BULLETIN BY JUNE 1, 2009, AND BY JUNE 1 18 EVERY TWO YEARS THEREAFTER AS NECESSARY. 19 § 1309-A. PENALTIES. 20 (A) NOTICE OF POSSIBLE NONCOMPLIANCE.-- 21 (1) THE COMMISSION SHALL ISSUE A NOTICE OF POSSIBLE 22 NONCOMPLIANCE TO ANY LOBBYIST, PRINCIPAL, LOBBYING FIRM OR 23 INDIVIDUAL THAT HAS FAILED TO REGISTER OR REPORT AS REQUIRED 24 BY THIS CHAPTER. THE NOTICE SHALL STATE THE NATURE OF THE 25 ALLEGED NONCOMPLIANCE AND THE CIVIL AND CRIMINAL PENALTIES 26 FOR FAILURE TO REGISTER, FAILURE TO FILE OR FILING A REPORT 27 CONTAINING A FALSE STATEMENT. THE NOTICE SHALL ALSO ADVISE OF 28 THE RIGHT TO A HEARING BEFORE THE COMMISSION AND THE TIME AND 29 MANNER IN WHICH TO REQUEST A HEARING. 30 (2) IF A HEARING IS REQUESTED, THE COMMISSION SHALL 20050H0700B4350 - 59 -
1 DETERMINE AT THE HEARING WHETHER THE RECIPIENT OF THE NOTICE 2 IS REQUIRED TO REGISTER OR REPORT UNDER THIS CHAPTER, WHETHER 3 THE FAILURE TO REGISTER OR REPORT WAS NEGLIGENT AND, IF THE 4 FAILURE WAS NEGLIGENT, THE AMOUNT OF THE CIVIL PENALTY TO BE 5 IMPOSED. IF THE COMMISSION FINDS THAT THE FAILURE TO REGISTER 6 OR REPORT WAS INTENTIONAL, IT SHALL REFER THE MATTER TO THE 7 ATTORNEY GENERAL FOR INVESTIGATION AND PROSECUTION. HEARINGS 8 UNDER THIS SUBSECTION SHALL BE CONDUCTED BY THE COMMISSION IN 9 ACCORDANCE WITH SECTIONS 1107 (RELATING TO POWERS AND DUTIES 10 OF COMMISSION) AND 1108 (RELATING TO INVESTIGATIONS BY 11 COMMISSION). 12 (3) NEGLIGENT FAILURE TO REGISTER OR REPORT AS REQUIRED 13 BY THIS CHAPTER IS PUNISHABLE BY A CIVIL PENALTY OF NOT MORE 14 THAN $50 FOR EACH LATE DAY. IN THE CASE OF NEGLIGENT FAILURE 15 TO REGISTER OR REPORT, THE COMMISSION MAY, UPON THE MAJORITY 16 VOTE OF ITS MEMBERS, LEVY A CIVIL PENALTY AS PROVIDED FOR IN 17 THIS SUBSECTION. THE TOTAL AMOUNT OF THE CIVIL PENALTY LEVIED 18 SHALL NOT BE LIMITED BY ANY OTHER PROVISION OF LAW. THE 19 COMMISSION SHALL HAVE STANDING TO APPLY TO COMMONWEALTH COURT 20 TO SEEK ENFORCEMENT OF AN ORDER IMPOSING A CIVIL PENALTY 21 UNDER THIS SECTION. 22 (B) INTENTIONAL VIOLATIONS OF THIS CHAPTER.-- 23 (1) ANY LOBBYIST, LOBBYING FIRM, PRINCIPAL OR INDIVIDUAL 24 THAT INTENTIONALLY FAILS TO REGISTER OR REPORT AS REQUIRED BY 25 THIS CHAPTER COMMITS A MISDEMEANOR OF THE SECOND DEGREE. 26 (2) A REGISTRANT THAT FILES A REPORT UNDER THIS CHAPTER 27 WITH KNOWLEDGE THAT THE REPORT CONTAINS A FALSE STATEMENT 28 COMMITS A MISDEMEANOR OF THE SECOND DEGREE. 29 (3) ANY LOBBYIST, LOBBYING FIRM OR PRINCIPAL OR 30 INDIVIDUAL THAT INTENTIONALLY VIOLATES A PROVISION OF THIS 20050H0700B4350 - 60 -
1 CHAPTER OTHER THAN PARAGRAPH (1) OR (2) COMMITS A MISDEMEANOR 2 OF THE THIRD DEGREE. 3 (4) IN ADDITION TO THE PENALTIES IMPOSED PURSUANT TO 4 THIS SUBSECTION, THE COMMISSION MAY: 5 (I) PROHIBIT A LOBBYIST OR LOBBYING FIRM FROM 6 LOBBYING FOR ECONOMIC CONSIDERATION FOR A PERIOD OF UP TO 7 FIVE YEARS FOR COMMITTING AN ACT WHICH CONSTITUTES AN 8 OFFENSE UNDER THIS SUBSECTION. 9 (II) SUBJECT A PRINCIPAL TO A CIVIL FINE OF NOT MORE 10 THAN $50,000. 11 (C) PUBLISHING OF NAMES.--THE NAMES OF THOSE FOUND IN 12 VIOLATION OF THIS CHAPTER SHALL BE PUBLISHED IN THE PENNSYLVANIA 13 BULLETIN. 14 (D) AFFIRMATIVE DEFENSE.--RELIANCE ON ADVISORY OPINIONS OF 15 THE COMMISSION, ANY NOTICE GIVEN UNDER SECTION 1305-A(B)(3)(II) 16 OR FAILURE TO RECEIVE NOTICE UNDER SECTION 1305-A(B)(3)(II) 17 SHALL BE A DEFENSE TO AN ACTION BROUGHT UNDER CHAPTER 11 18 (RELATING TO ETHICS STANDARDS AND FINANCIAL DISCLOSURE) OR THIS 19 CHAPTER. 20 § 1310-A. FILING FEES; FUND ESTABLISHED; REGULATIONS. 21 (A) FILING FEES.--EACH PRINCIPAL, LOBBYIST, LOBBYING FIRM OR 22 INDIVIDUAL REQUIRED TO BE REGISTERED UNDER THIS CHAPTER SHALL 23 PAY A BIENNIAL REGISTRATION FEE OF $100 TO THE DEPARTMENT. 24 (B) FUND ESTABLISHED.--ALL MONEY RECEIVED FROM FILING FEES 25 UNDER SUBSECTION (A) SHALL BE DEPOSITED IN A RESTRICTED RECEIPTS 26 ACCOUNT TO BE KNOWN AS THE LOBBYING DISCLOSURE FUND. THE MONEY 27 DEPOSITED IN THE FUND IS HEREBY APPROPRIATED TO THE DEPARTMENT 28 AS A CONTINUING APPROPRIATION FOR THE EXCLUSIVE PURPOSE OF 29 CARRYING OUT THE PROVISIONS OF THIS CHAPTER. ANY MONEYS 30 REMAINING IN THE FUND ESTABLISHED PURSUANT TO THE FORMER SECTION 20050H0700B4350 - 61 -
1 1310(B) (RELATING TO FILING FEES; FUND ESTABLISHED; REGULATIONS) 2 SHALL BE TRANSFERRED TO THE LOBBYING DISCLOSURE FUND. 3 (C) COMPUTERIZED FILING SYSTEM.--THE DEPARTMENT SHALL 4 IMPLEMENT A FULLY ACCESSIBLE SYSTEM TO ACCOMMODATE THE USE OF 5 COMPUTERIZED FILING. EACH REGISTRANT SHALL ELECT ON AN ANNUAL 6 BASIS WHETHER THE REGISTRANT WILL FILE ALL OF THE DOCUMENTS 7 REQUIRED BY THIS ACT EITHER ELECTRONICALLY OR ON PAPER WITH THE 8 DEPARTMENT. 9 (D) REGULATIONS.--A COMMITTEE COMPRISED OF THE CHAIRMAN OF 10 THE STATE ETHICS COMMISSION, THE ATTORNEY GENERAL, THE GENERAL 11 COUNSEL TO THE GOVERNOR, A MEMBER OF THE SENATE APPOINTED BY THE 12 PRESIDENT PRO TEMPORE OF THE SENATE, A MEMBER OF THE SENATE 13 APPOINTED BY THE MINORITY LEADER OF THE SENATE, A MEMBER OF THE 14 HOUSE OF REPRESENTATIVES APPOINTED BY THE SPEAKER OF THE HOUSE 15 OF REPRESENTATIVES AND A MEMBER OF THE HOUSE OF REPRESENTATIVES 16 APPOINTED BY THE MINORITY LEADER OF THE HOUSE OF 17 REPRESENTATIVES, OR THEIR DESIGNEES, SHALL HAVE CONTINUING 18 AUTHORITY TO PROMULGATE REGULATIONS NECESSARY TO CARRY OUT THE 19 PROVISIONS OF THIS CHAPTER. THE CHAIRMAN OF THE COMMISSION SHALL 20 BE DESIGNATED AS THE CHAIRMAN OF THE COMMITTEE. THE INITIAL 21 PROPOSED REGULATIONS SHALL BE SUBMITTED WITHIN 180 DAYS OF THE 22 EFFECTIVE DATE OF THIS SECTION TO THE INDEPENDENT REGULATORY 23 REVIEW COMMISSION UNDER SECTION 5 OF THE ACT OF JUNE 25, 1982 24 (P.L.633, NO.181), KNOWN AS THE REGULATORY REVIEW ACT. ANY 25 MEETING AT WHICH THE COMMITTEE PLANS TO APPROVE PROPOSED 26 REGULATIONS SHALL BE HELD IN ACCORDANCE WITH CHAPTER 7 (RELATING 27 TO OPEN MEETINGS). THE COMMITTEE SHALL ALSO PREPARE AND PUBLISH 28 A MANUAL SETTING FORTH GUIDELINES FOR ACCOUNTING AND REPORTING. 29 THE REGULATIONS AND MANUAL SHALL BE DRAFTED TO ACCOMMODATE THE 30 USE OF COMPUTERIZED RECORDKEEPING, ELECTRONIC FILING OF THE 20050H0700B4350 - 62 -
1 REPORTS PROVIDED FOR UNDER THIS CHAPTER AND RETENTION OF 2 REGISTRATIONS AND EXPENSE REPORTS PROVIDED FOR UNDER THIS 3 CHAPTER BY ELECTRONIC MEANS. THE DEPARTMENT OF STATE SHALL 4 PROVIDE SUFFICIENT STAFF AND OTHER ADMINISTRATIVE SUPPORT TO 5 ASSIST THE COMMITTEE. ANY VACANCY OCCURRING AMONG THE APPOINTED 6 MEMBERS OF THE COMMITTEE SHALL BE FILLED IN THE SAME MANNER AS 7 THE ORIGINAL APPOINTMENT. ANY COMMITTEE MEMBER WHO IS A MEMBER 8 OF THE GENERAL ASSEMBLY SHALL SERVE FOR A TERM THAT IS 9 COINCIDENT WITH HIS OR HER TERM OF OFFICE. 10 § 1311-A. SEVERABILITY. 11 THE PROVISIONS OF THIS CHAPTER ARE SEVERABLE. IF ANY 12 PROVISION OF THIS CHAPTER OR ITS APPLICATION TO ANY PERSON OR 13 CIRCUMSTANCE IS HELD INVALID, THE INVALIDITY SHALL NOT AFFECT 14 OTHER PROVISIONS OR APPLICATIONS OF THIS CHAPTER WHICH CAN BE 15 GIVEN EFFECT WITHOUT THE INVALID PROVISION OR APPLICATION. 16 SECTION 3. THE SECRETARY OF THE COMMONWEALTH SHALL TRANSMIT 17 TO THE LEGISLATIVE REFERENCE BUREAU, FOR PUBLICATION IN THE 18 PENNSYLVANIA BULLETIN, NOTICE OF FULL IMPLEMENTATION OF THE 19 COMPUTERIZED FILING SYSTEM REQUIRED UNDER SECTION 1310-A(C) 20 (RELATING TO REGISTRATION FEES; FUND ESTABLISHED; SYSTEM; 21 REGULATIONS). 22 SECTION 4. ANY FUNDS REMAINING IN THE RESTRICTED RECEIPTS 23 ACCOUNT CREATED UNDER 65 PA.C.S. § 1310(B) MAY BE UTILIZED BY 24 THE DEPARTMENT OF STATE TO IMPLEMENT THE PROVISIONS OF 65 25 PA.C.S. CH. XVIII-A. 26 SECTION 5. THIS ACT SHALL TAKE EFFECT AS FOLLOWS: 27 (1) THE FOLLOWING PROVISIONS SHALL TAKE EFFECT 28 IMMEDIATELY: 29 (I) SECTION 1310-A(D). 30 (II) THIS SECTION. 20050H0700B4350 - 63 -
1 (2) THE REMAINDER OF THIS ACT SHALL TAKE EFFECT ON THE 2 LATTER OF EITHER OF THE FOLLOWING: 3 (I) PUBLICATION OF THE NOTICE REQUIRED UNDER SECTION 4 3. 5 (II) THE EFFECTIVE DATE OF THE REGULATIONS 6 PROMULGATED UNDER SECTION 1310-A(D). B9L65SFL/20050H0700B4350 - 64 -