Bill Text: CT SB00474 | 2010 | General Assembly | Introduced

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Bill Title: An Act Defining Grass Roots Lobbying.

Spectrum: Committee Bill

Status: (Introduced - Dead) 2010-03-12 - Referred to Joint Committee on Government Administration and Elections [SB00474 Detail]

Download: Connecticut-2010-SB00474-Introduced.html

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General Assembly		Raised Bill No. 474
February Session, 2010		LCO No. 2161
		*02161_______GAE*
Referred to Committee on Government Administration and Elections
Introduced by:
(GAE)

AN ACT DEFINING GRASS ROOTS LOBBYING.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 1-91 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

When used in this part, unless the context otherwise requires:

[(a)] (1) "Administrative action" means any action or nonaction of any executive agency of the state with respect to the proposal, drafting, development, consideration, amendment, adoption or repeal of any rule, regulation or utility rate, and any action or nonaction of any executive agency or quasi-public agency, [as defined in section 1-79,] regarding a contract, grant, award, purchasing agreement, loan, bond, certificate, license, permit or any other matter which is within the official jurisdiction or cognizance of such an agency.

[(b)] (2) "Candidate for public office" means any person who has filed a declaration of candidacy or a petition to appear on the ballot for election as a public official, or who has raised or expended money in furtherance of such candidacy, or who has been nominated for appointment to serve as a public official; but shall not include a candidate for the office of senator or representative in Congress.

[(c)] (3) "Board" means the Citizen's Ethics Advisory Board established under section 1-80, as amended by this act.

[(d)] (4) "Compensation" means any value received or to be received by a person acting as a lobbyist, whether in the form of a fee, salary or forbearance.

[(e)] (5) "Executive agency" means a commission, board, agency, or other body or official in the executive branch of the state government and any independent body of the state government that is not a part of the legislative or judicial branch.

[(f)] (6) "Expenditure" means any advance, conveyance, deposit, distribution, transfer of funds, loan, payment, unless expressly excluded; any payments for telephone, mailing, postage, printing and other clerical or office services and materials; any paid communications, costing fifty dollars or more in any calendar year, disseminated by means of any printing, broadcasting or other medium, provided such communications refer to pending administrative or legislative action; any contract, agreement, promise or other obligation; any solicitation or solicitations, costing fifty dollars or more in the aggregate for any calendar year, of other persons to communicate with a public official or state employee for the purpose of influencing any legislative or administrative act and any pledge, subscription of money or anything of value. "Expenditure" [shall] does not include (A) the payment of a registrant's fee pursuant to section 1-95, (B) any expenditure made by any club, committee, partnership, organization, business, union, association or corporation for the purpose of publishing a newsletter or other release [to] intended primarily for its members, shareholders or employees, whether in written or electronic form or made orally during a regularly noticed meeting, (C) any expenditure made by any club, committee, partnership, organization, business, union, association or corporation for the purpose of transporting its members, shareholders or employees to and from a specific site, where such members, shareholders or employees receive no other compensation or reimbursement for lobbying from such club, committee, partnership, organization, business, union, association or corporation, or (D) contributions, membership dues or other fees paid to associations, nonstock corporations or tax-exempt organizations under Section 501(c) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as from time to time amended.

[(g)] (7) "Gift" means anything of value, which is directly and personally received, unless consideration of equal or greater value is given in return. "Gift" [shall] does not include:

[(1)] (A) A political contribution otherwise reported as required by law or a donation or payment described in subdivision (9) or (10) of subsection (b) of section 9-601a;

[(2)] (B) Services provided by persons volunteering their time, if provided to aid or promote the success or defeat of any political party, any candidate or candidates for public office or the position of convention delegate or town committee member or any referendum question;

[(3)] (C) A commercially reasonable loan made on terms not more favorable than loans made in the ordinary course of business;

[(4)] (D) A gift received from [(A)] (i) the individual's spouse, fiance or fiancee, [(B)] (ii) the parent, brother or sister of such spouse or such individual, or [(C)] (iii) the child of such individual or the spouse of such child;

[(5)] (E) Goods or services [(A)] (i) which are provided to a state agency or quasi-public agency [(i)] (I) for use on state or quasi-public agency property, or [(ii)] (II) that support an event, and [(B)] (ii) which facilitate state or quasi-public agency action or functions. As used in this subdivision, "state property" means [(i)] property owned by the state or a quasi-public agency, or [(ii)] property leased to a state or quasi-public agency;

[(6)] (F) A certificate, plaque or other ceremonial award costing less than one hundred dollars;

[(7)] (G) A rebate, discount or promotional item available to the general public;

[(8)] (H) Printed or recorded informational material germane to state action or functions;

[(9)] (I) Food or beverage or both, costing less than fifty dollars in the aggregate per recipient in a calendar year, and consumed on an occasion or occasions at which the person paying, directly or indirectly, for the food or beverage, or his representative, is in attendance;

[(10)] (J) Food or beverage or both, costing less than fifty dollars per person and consumed at a publicly noticed legislative reception to which all members of the General Assembly are invited and which is hosted not more than once in any calendar year by a lobbyist or business organization. For the purposes of such limit, [(A)] (i) a reception hosted by a lobbyist who is an individual shall be deemed to have also been hosted by the business organization which he owns or is employed by, and [(B)] (ii) a reception hosted by a business organization shall be deemed to have also been hosted by all owners and employees of the business organization who are lobbyists. In making the calculation for the purposes of such fifty-dollar limit, the donor shall divide the amount spent on food and beverage by the number of persons whom the donor reasonably expects to attend the reception;

[(11)] (K) Food or beverage or both, costing less than fifty dollars per person and consumed at a publicly noticed reception to which all members of the General Assembly from a region of the state are invited and which is hosted not more than once in any calendar year by a lobbyist or business organization. For the purposes of such limit, [(A)] (i) a reception hosted by a lobbyist who is an individual shall be deemed to have also been hosted by the business organization which he owns or is employed by, and [(B)] (ii) a reception hosted by a business organization shall be deemed to have also been hosted by all owners and employees of the business organization who are lobbyists. In making the calculation for the purposes of such fifty-dollar limit, the donor shall divide the amount spent on food and beverage by the number of persons whom the donor reasonably expects to attend the reception. As used in this [subdivision] subparagraph, "region of the state" means the established geographic service area of the organization hosting the reception;

[(12)] (L) A gift, including, but not limited to, food or beverage or both, provided by an individual for the celebration of a major life event, provided any such gift provided by an individual who is not a member of the family of the recipient shall not exceed one thousand dollars in value;

[(13)] (M) Gifts costing less than one hundred dollars in the aggregate or food or beverage provided at a hospitality suite at a meeting or conference of an interstate legislative association, by a person who is not a registrant or is not doing business with the state of Connecticut;

[(14)] (N) Admission to a charitable or civic event, including food and beverage provided at such event, but excluding lodging or travel expenses, at which a public official or state employee participates in his official capacity, provided such admission is provided by the primary sponsoring entity;

[(15)] (O) Anything of value provided by an employer of [(A)] (i) a public official, [(B)] (ii) a state employee, or [(C)] (iii) a spouse of a public official, [or] state employee to such official, employee or spouse, provided such benefits are customarily and ordinarily provided to others in similar circumstances;

[(16)] (P) Anything having a value of not more than ten dollars, provided the aggregate value of all things provided by a donor to a recipient under this subdivision in any calendar year shall not exceed fifty dollars; or

[(17)] (Q) Training that is provided by a vendor for a product purchased by a state or quasi-public agency which is offered to all customers of such vendor.

(8) "Grass roots lobbying" means any attempt to influence legislative or administrative action by means of affecting the opinions of the general public or any segment of the general public by using a communication that (A) makes a reference to specific legislative or administrative action; (B) expresses a view on such legislative or administrative action; and (C) encourages the recipient of such communication to contact an official of the legislative branch of government, an executive agency or quasi-public agency, or a staff member of such an official, for the purpose of influencing legislative or administrative action.

[(h)] (9) "Immediate family" means any spouse, dependent children or dependent relatives who reside in the individual's household.

[(i)] (10) "Individual" means a natural person.

[(j)] (11) "Legislative action" means introduction, sponsorship, consideration, debate, amendment, passage, defeat, approval, veto, overriding of a veto or any other official action or nonaction with regard to any bill, resolution, amendment, nomination, appointment, report, or any other matter pending or proposed in a committee or in either house of the legislature, or any matter which is within the official jurisdiction or cognizance of the legislature.

[(k)] (12) "Lobbying" means communicating directly or soliciting others to communicate with any official or his staff in the legislative or executive branch of government or in a quasi-public agency, for the purpose of influencing any legislative or administrative action except that the term "lobbying" does not include [(1)] (A) communications by or on behalf of a party to, or an intervenor in, a contested case, as described in regulations adopted by the [commission] Office of State Ethics in accordance with the provisions of chapter 54, before an executive agency or a quasi-public agency, as defined in section 1-79, [(2)] (B) communications by a representative of a vendor or by an employee of the registered client lobbyist which representative or employee acts as a salesperson and does not otherwise engage in lobbying regarding any administrative action, [(3)] (C) communications by an attorney made while engaging in the practice of law and regarding any matter other than legislative action as defined in [subsection (j)] subdivision (11) of this section or the proposal, drafting, development, consideration, amendment, adoption or repeal of any rule or regulation, or [(4)] (D) other communications exempted by regulations adopted by the [commission] Office of State Ethics in accordance with the provisions of chapter 54. As used in this subdivision, "soliciting others to communicate" means: (i) Providing compensation, reimbursement, or both, to other persons to communicate directly or to organize grass roots lobbying, or (ii) organizing grass roots lobbying.

[(l)] (13) "Lobbyist" means a person who in lobbying and in furtherance of lobbying makes or agrees to make expenditures, or receives or agrees to receive compensation, reimbursement, or both, and such compensation, reimbursement or expenditures are two thousand dollars or more in any calendar year or the combined amount thereof is two thousand dollars or more in any such calendar year. Lobbyist shall not include:

[(1)] (A) A public official, employee of a branch of state government or a subdivision thereof, or elected or appointed official of a municipality or his designee other than an independent contractor, who is acting within the scope of his authority or employment;

[(2)] (B) A publisher, owner or an employee of the press, radio or television while disseminating news or editorial comment to the general public in the ordinary course of business;

[(3)] (C) An individual representing himself or another person before the legislature or a state agency other than for the purpose of influencing legislative or administrative action;

[(4)] (D) Any individual or employee who receives no compensation or reimbursement specifically for lobbying and who limits his activities solely to formal appearances to give testimony before public sessions of committees of the General Assembly or public hearings of state agencies and who, if he testifies, registers his appearance in the records of such committees or agencies;

[(5)] (E) A member of an advisory board acting within the scope of his appointment;

[(6)] (F) A senator or representative in Congress acting within the scope of his office;

[(7)] (G) Any person who receives no compensation or reimbursement specifically for lobbying and who spends no more than five hours in furtherance of lobbying unless such person [(A)] (i) exclusive of salary, receives compensation or makes expenditures, or both, of two thousand dollars or more in any calendar year for lobbying or the combined amount thereof is two thousand dollars or more in any such calendar year, or [(B)] (ii) expends fifty dollars or more for the benefit of a public official in the legislative or executive branch, a member of his staff or immediate family;

[(8)] (H) A communicator lobbyist who receives or agrees to receive compensation, reimbursement, or both, the aggregate amount of which is less than two thousand dollars from each client in any calendar year.

[(m)] (14) "Member of an advisory board" means any person appointed by a public official as an advisor or consultant or member of a committee, commission or council established to advise, recommend or consult with a public official or branch of government or committee thereof and who receives no public funds other than per diem payments or reimbursement for his actual and necessary expenses incurred in the performance of his official duties and who has no authority to expend any public funds or to exercise the power of the state.

[(n)] (15) "Person" means an individual, a business, corporation, limited liability company, union, association, firm, partnership, committee, club or other organization or group of persons.

[(o)] (16) "Political contribution" has the same meaning as in section 9-601a except that for purposes of this part, the provisions of subsection (b) of [that] said section shall not apply.

[(p)] (17) "Public official" means any state-wide elected state officer, any member or member-elect of the General Assembly, any person appointed to any office of the legislative, judicial or executive branch of state government by the Governor, with or without the advice and consent of the General Assembly, the spouse of the Governor and any person appointed or elected by the General Assembly or any member of either house thereof; but shall not include a member of an advisory board or a senator or representative in Congress.

[(q)] (18) "Registrant" means a person who is required to register pursuant to section 1-94.

[(r)] (19) "Reimbursement" means any money or thing of value received or to be received in the form of payment for expenses as a lobbyist, not including compensation.

[(s)] (20) "State employee" means any employee in the executive, judicial or legislative branch of state government, whether in the classified or unclassified service and whether full or part-time.

[(t)] (21) "Business organization" means a sole proprietorship, corporation, limited liability company, association, firm or partnership, other than a client lobbyist, which is owned by, or employs one or more individual lobbyists.

[(u)] (22) "Client lobbyist" means a lobbyist on behalf of whom lobbying takes place and who makes expenditures for lobbying and in furtherance of lobbying.

[(v)] (23) "Communicator lobbyist" means a lobbyist who communicates directly or solicits others to communicate with an official or his staff in the legislative or executive branch of government or in a quasi-public agency for the purpose of influencing legislative or administrative action.

[(w)] (24) "State agency" means any office, department, board, council, commission, institution, constituent unit of the state system of higher education, vocational-technical school or other agency in the executive, legislative or judicial branch of state government.

[(x)] (25) "Quasi-public agency" means quasi-public agency, as defined in section 1-79.

Sec. 2. Subsection (b) of section 1-80 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

(b) All members shall be electors of the state. No member shall be a state employee. No member or employee of such board shall (1) hold or campaign for any public office; (2) have held public office or have been a candidate for public office for a three-year period prior to appointment; (3) hold office in any political party or political committee or be a member of any organization or association organized primarily for the purpose of influencing legislation or decisions of public agencies; or (4) be an individual who is a registrant as defined in [subsection (q) of] section 1-91, as amended by this act.

Sec. 3. Subsection (a) of section 1-92 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

(a) The Citizen's Ethics Advisory Board shall adopt regulations, in accordance with chapter 54, to carry out the purposes of this part. Such regulations shall not be deemed to govern the conduct of any judge trial referee in the performance of such judge trial referee's duties pursuant to this chapter. Not later than January 1, 1992, the board shall adopt regulations which further clarify the meaning of the terms "directly and personally received" and "major life event", as used in subsection (e) of section 1-79 and [subsection (g)] subdivision (7) of section 1-91, as amended by this act.

Sec. 4. Subsection (e) of section 1-96 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

(e) Each client lobbyist registrant financial report shall be on a form prescribed by the board and shall state expenditures made and the fundamental terms of contracts, agreements or promises to pay compensation or reimbursement or to make expenditures in furtherance of lobbying. Any such fundamental terms shall be reported once in the monthly, quarterly or post-termination report next following the entering into of such contract. Such financial report shall include an itemized statement of each expenditure of ten dollars or more per person for each occasion made by the reporting registrant or a group of registrants which includes the reporting registrant for the benefit of a public official in the legislative or executive branch, a member of his staff or immediate family, itemized by date, beneficiary, amount and circumstances of the transaction. The requirement of an itemized statement shall not apply to an expenditure made by a reporting registrant or a group of registrants which includes the reporting registrant for (1) the benefit of the members of the General Assembly at an event that is a reception to which all such members are invited or all members of a region of the state, as such term is used in [subdivision (11) of subsection (g)] subparagraph (K) of subdivision (7) of section 1-91, as amended by this act, are invited, unless the expenditure is thirty dollars or more per person, or (2) benefits personally and directly received by a public official or state employee at a charitable or civic event at which the public official or state employee participates in his official capacity, unless the expenditure is thirty dollars or more per person, per event. If the compensation is required to be reported for an individual whose lobbying is incidental to his regular employment, it shall be sufficient to report a prorated amount based on the value of the time devoted to lobbying. On the first financial report following registration each client lobbyist registrant shall include any expenditures incident to lobbying activities which were received or expended prior to registration and not previously reported to the Office of State Ethics.

Sec. 5. Section 1-96d of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

Each registrant or business organization that hosts a legislative reception to which all members are invited, or all members of a region in the state, as such term is used in [subdivision (11) of subsection (g)] subparagraph (K) of subdivision (7) of section 1-91, as amended by this act, are invited, shall include in its invitation or any published notice of such reception whether the registrant or business organization reasonably expects such expenditures to be reportable pursuant to subsection (e) of section 1-96, as amended by this act.

Sec. 6. Subsection (a) of section 1-97 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

(a) No registrant or anyone acting on behalf of a registrant shall knowingly give a gift, as defined in [subsection (g) of] section 1-91, as amended by this act, to any state employee, public official, candidate for public office or a member of any such person's staff or immediate family. Nothing in this section shall be construed to permit any activity prohibited under section 53a-147 or 53a-148.

Sec. 7. Section 2-16a of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

No state representative or state senator who is elected at the 1994 state election or any election thereafter shall engage in the profession of lobbyist, as [that] such term is defined in [subsection (l) of] section 1-91, as amended by this act, until one year after the expiration of the term for which such state representative or state senator was elected.

Sec. 8. Subdivision (1) of subsection (b) of section 3-13l of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

(1) "Finder's fee" means compensation in the form of cash, cash equivalents or other things of value paid to or received by a third party in connection with an investment transaction to which the state, any political subdivision of the state or any quasi-public agency, as defined in section 1-120, is a party for any services, and includes, but is not limited to, any fee paid for lobbying, as defined in [subsection (k) of] section 1-91, as amended by this act, and as defined by the Citizen's Ethics Advisory Board, in consultation with the Treasurer, in the regulations adopted under subparagraph (C)(ii) of subdivision (3) of this subsection or as prescribed by the Treasurer until such regulations are adopted.

This act shall take effect as follows and shall amend the following sections:
Section 1	October 1, 2010	1-91
Sec. 2	October 1, 2010	1-80(b)
Sec. 3	October 1, 2010	1-92(a)
Sec. 4	October 1, 2010	1-96(e)
Sec. 5	October 1, 2010	1-96d
Sec. 6	October 1, 2010	1-97(a)
Sec. 7	October 1, 2010	2-16a
Sec. 8	October 1, 2010	3-13l(b)(1)

Statement of Purpose:

To define "grass roots lobbying" and clarify the exemptions to the term "expenditure".

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]