Bill Text: NY S02794 | 2011-2012 | General Assembly | Introduced
Bill Title: Creates an executive ethics and compliance commission and the New York state commission on lobbying ethics and compliance; establishes the the legislative office of ethics investigation and joint legislative commission on ethics standards; relates to ethics reports and financial disclosure of public officers; relates to a state board of elections enforcement unit and counsel; relates to personal use of campaign funds, filing requirements, political communication, independent expenditure reporting, enforcement proceedings, and penalties for violations.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2012-01-04 - REFERRED TO FINANCE [S02794 Detail]
Download: New_York-2011-S02794-Introduced.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 2794 2011-2012 Regular Sessions I N S E N A T E February 1, 2011 ___________ Introduced by Sen. SQUADRON -- read twice and ordered printed, and when printed to be committed to the Committee on Finance AN ACT to amend the executive law, in relation to establishing the exec- utive ethics and compliance commission; to amend the legislative law, in relation to the creation of the New York state commission on lobby- ing ethics and compliance; to amend the legislative law, in relation to establishing the legislative office of ethics investigation and the joint legislative commission on ethics standards and to repeal certain provisions of such law relating to ethics; and to amend the public officers law, in relation to ethics reports; to amend the legislative law and the public officers law, in relation to financial disclosure of public officers; to amend the election law, in relation to a state board of elections enforcement unit and counsel, personal use of campaign funds, filing requirements, political communication, inde- pendent expenditure reporting, enforcement proceeding and penalties for violations; to repeal certain provisions of the election law relating to filing of statements; to repeal certain provisions of the legislative law relating to prohibited activities of legislative employees; and providing for the repeal of certain provisions upon the expiration thereof THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Section 94 of the executive law, as added by chapter 813 of 2 the laws of 1987, the section heading and subdivisions 1, 2, 3, 4, 5, 6, 3 7 and 8 as amended by section 2, subdivisions 9, 10, 11, 12, 13, 14, 16 4 and 17 as amended and subdivisions 13-a, 16-a and 18 as added by section 5 2-a, paragraph (l) of subdivision 9 as amended by section 3, paragraph 6 (c) of subdivision 12 as amended by section 4, subdivision 15 as amended 7 by section 5, and paragraphs (a) and (b) of subdivision 17 as amended by 8 section 6 of chapter 14 of the laws of 2007, is amended to read as 9 follows: EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD07738-01-1 S. 2794 2 1 S 94. [Commission on public integrity; functions, powers and duties; 2 review of financial disclosure statements; advisory opinions; investi- 3 gation and enforcement] EXECUTIVE ETHICS AND COMPLIANCE COMMISSION. 1. 4 There is established within the department of state [a commission on 5 public integrity] AN EXECUTIVE ETHICS AND COMPLIANCE COMMISSION which 6 shall consist of [thirteen] SIX members and shall have and exercise the 7 powers and duties set forth in this section only with respect to state- 8 wide elected officials [and], state officers and employees, as defined 9 in sections seventy-three and seventy-three-a of the public officers 10 law, candidates for statewide elected office, [and the] A political 11 party chairman as [that term is] defined in PARAGRAPH (K) OF SUBDIVISION 12 ONE OF section [seventy-three-a] SEVENTY-THREE of the public officers 13 law, [lobbyists and the clients of lobbyists as such terms are defined 14 in article one-A of the legislative law], and individuals who have 15 formerly held such positions, [were lobbyists or clients of lobbyists, 16 as such terms are defined in article one-A of the legislative law,] or 17 who have formerly been such candidates. This section shall not revoke or 18 rescind any regulations or advisory opinions issued by the state ethics 19 commission [and], the temporary lobbying commission AND THE COMMISSION 20 ON PUBLIC INTEGRITY in effect upon the effective date of [a] THE chapter 21 of the laws of two thousand [seven] TEN which amended this section to 22 the extent that such regulations or opinions are not inconsistent with 23 any law of the state of New York, but such regulations and opinions 24 shall apply only to matters over which such commissions had jurisdiction 25 at the time such regulations and opinions were promulgated or issued. 26 The commission shall undertake a comprehensive review of all such regu- 27 lations and opinions, which will address the consistency of such regu- 28 lations and opinions among each other and with the [new] statutory 29 language. The commission shall, before April first, two thousand [eight] 30 ELEVEN, report to the governor and legislature regarding such review and 31 shall propose any regulatory changes and issue any advisory opinions 32 necessitated by such review. 33 2. The SIX members of the commission shall be appointed [by the gover- 34 nor provided, however, that one member shall be appointed on the nomi- 35 nation of the comptroller, one member shall be appointed on the nomi- 36 nation of the attorney general, one member shall be appointed on the 37 nomination of the temporary president of the senate, one member shall be 38 appointed on the nomination of the speaker of the assembly, one member 39 shall be appointed on the nomination of the minority leader of the 40 senate, and one member shall be appointed on the nomination of the 41 minority leader of the assembly. Of the seven members appointed by the 42 governor without prior nomination, no more than four members shall 43 belong to the same political party and no members shall be public offi- 44 cers or employees or hold any public office, elected or appointed.] AS 45 FOLLOWS: TWO BY THE GOVERNOR, TWO BY THE ATTORNEY GENERAL, AND TWO BY 46 THE COMPTROLLER. NO TWO APPOINTMENTS BY EACH OF THE FOREGOING OFFICERS 47 SHALL BE FROM THE SAME POLITICAL PARTY AS DEFINED IN SECTION 1-104 OF 48 THE ELECTION LAW. No member shall be OR SHALL HAVE BEEN WITHIN THE 49 PRECEDING FIVE YEARS a member of the legislature, a candidate for member 50 of the legislature, an employee of the legislature, a political party 51 chairman as defined in paragraph (k) of subdivision one of section 52 seventy-three of the public officers law, A STATE OFFICER OR EMPLOYEE AS 53 DEFINED BY PARAGRAPH (I) OF SUBDIVISION ONE OF SECTION SEVENTY-THREE OF 54 THE PUBLIC OFFICERS LAW, or a lobbyist [as defined in subdivision (a) of 55 section one-c of the legislative law] REQUIRED TO REGISTER IN NEW YORK 56 STATE OR ANY OTHER JURISDICTION. S. 2794 3 1 3. Members of the commission shall serve for terms of [five] FOUR 2 years; provided, however, that [of the members first appointed without 3 prior nomination, one shall serve for one year, one shall serve for two 4 years, one shall serve for three years, and one shall serve for four 5 years, as designated by the governor; the members first appointed on the 6 nominations of the comptroller and the temporary president of the senate 7 shall serve for four years and the members first appointed on the nomi- 8 nations of the attorney general and the speaker of the assembly shall 9 serve for two years] THE MEMBERS FIRST APPOINTED BY THE GOVERNOR SHALL 10 SERVE TWO YEAR TERMS, THE MEMBERS FIRST APPOINTED BY THE ATTORNEY GENER- 11 AL SHALL SERVE THREE YEAR TERMS AND THE MEMBERS FIRST APPOINTED BY THE 12 COMPTROLLER SHALL SERVE FOUR YEAR TERMS. 13 4. The [governor shall designate the chairman of the commission from 14 among the members thereof, who shall serve as chairman at the pleasure 15 of the governor] CHAIRPERSON OF THE COMMISSION SHALL BE ELECTED BY THE 16 MEMBERS OF THE COMMISSION BY A MAJORITY VOTE OF THE TOTAL NUMBER OF 17 MEMBERS OF THE COMMISSION. The [chairman] CHAIRPERSON or any [seven] 18 THREE members of the commission may call a meeting. 19 5. Any vacancy occurring on the commission shall be filled within 20 sixty days of its occurrence, by the governor, ATTORNEY GENERAL, OR 21 COMPTROLLER in the same manner as the member whose vacancy is being 22 filled was appointed. A person appointed to fill a vacancy occurring 23 other than by expiration of a term of office shall be appointed for the 24 unexpired term of the member he succeeds. IN THE EVENT OF A VACANCY, 25 THE APPOINTING AUTHORITY MUST APPOINT A MEMBER OF THE COMMISSION FROM A 26 POLITICAL PARTY OTHER THAN THAT OF THE APPOINTING AUTHORITY'S ALREADY 27 SEATED MEMBER OF THE COMMISSION. 28 6. [Seven] FOUR members of the commission shall constitute a quorum, 29 and the commission shall have power to act by majority vote of the total 30 number of members of the commission without vacancy. 31 7. Members of the commission may be removed by the [governor] APPOINT- 32 ING AUTHORITY for substantial neglect of duty, gross misconduct in 33 office, inability to discharge the powers or duties of office or 34 violation of this section, after written notice and opportunity for a 35 reply. 36 8. The members of the commission shall [not] receive [compensation 37 but] A PER DIEM ALLOWANCE IN THE SUM OF ONE HUNDRED DOLLARS FOR EACH DAY 38 ACTUALLY SPENT IN THE PERFORMANCE OF HIS OR HER DUTIES UNDER THIS ARTI- 39 CLE, NOT EXCEEDING, HOWEVER, THE SUM OF FIVE THOUSAND DOLLARS IN ANY 40 CALENDAR YEAR AND IN ADDITION THERETO shall be reimbursed for ALL 41 reasonable expenses ACTUALLY AND NECESSARILY incurred in the performance 42 of their official duties. 43 9. The commission shall: 44 (a) Appoint an executive director who shall act in accordance with the 45 policies of the commission. The commission may delegate authority to the 46 executive director to act in the name of the commission between meetings 47 of the commission provided such delegation is in writing and the specif- 48 ic powers to be delegated are enumerated. THE EXECUTIVE DIRECTOR SHALL 49 BE APPOINTED FOR A TERM OF THREE YEARS AND SHALL BE DISMISSED ONLY FOR 50 CAUSE BY A MAJORITY VOTE OF THE COMMISSION; 51 (b) Appoint such other staff as are necessary to carry out its duties 52 under this section; 53 (c) Adopt, amend, and rescind rules and regulations to govern proce- 54 dures of the commission, which shall include, but not be limited to, the 55 procedure whereby a person who is required to file an annual financial 56 disclosure statement with the commission may request an additional peri- S. 2794 4 1 od of time within which to file such statement, due to justifiable cause 2 or undue hardship; such rules or regulations shall provide for a date 3 beyond which in all cases of justifiable cause or undue hardship no 4 further extension of time will be granted; 5 (d) Adopt, amend, and rescind rules and regulations to assist appoint- 6 ing authorities in determining which persons hold policy-making posi- 7 tions for purposes of section seventy-three-a of the public officers 8 law; 9 (e) Make available forms for annual statements of financial disclosure 10 required to be filed pursuant to section seventy-three-a of the public 11 officers law; 12 (f) Review financial disclosure statements in accordance with the 13 provisions of this section, provided however, that the commission may 14 delegate all or part of this review function to the executive director 15 who shall be responsible for completing staff review of such statements 16 in a manner consistent with the terms of the commission's delegation. 17 SUCH REVIEW SHALL REQUIRE THAT ALL STATEMENTS OF FINANCIAL DISCLOSURE 18 FILED WITH THE COMMISSION BE EXAMINED TO ENSURE THAT EACH STATEMENT IS 19 FACIALLY COMPLETE AND SIGNED BY THE REPORTING INDIVIDUAL; 20 (g) [Receive] INITIATE OR RECEIVE complaints and referrals alleging 21 violations of section seventy-three, seventy-three-a or seventy-four of 22 the public officers law[, article one-A of the legislative law] or 23 section one hundred seven of the civil service law; 24 (h) Permit any person subject to the jurisdiction of the commission 25 who is required to file a financial disclosure statement to request the 26 commission to delete from the copy thereof made available for public 27 inspection and copying one or more items of information which may be 28 deleted by the commission upon a finding by the commission that the 29 information which would otherwise be required to be made available for 30 public inspection and copying will have no material bearing on the 31 discharge of the reporting person's official duties. If such request for 32 deletion is denied, the commission, in its notification of denial, shall 33 inform the person of his or her right to appeal the commission's deter- 34 mination pursuant to its rules governing adjudicatory proceedings and 35 appeals adopted pursuant to subdivision thirteen of this section; 36 (i) Permit any person subject to the jurisdiction of the commission 37 who is required to file a financial disclosure statement to request an 38 exemption from any requirement to report one or more items of informa- 39 tion which pertain to such person's spouse or unemancipated children 40 which item or items may be exempted by the commission upon a finding by 41 the commission that the reporting individual's spouse, on his or her own 42 behalf or on behalf of an unemancipated child, objects to providing the 43 information necessary to make such disclosure and that the information 44 which would otherwise be required to be reported will have no material 45 bearing on the discharge of the reporting person's official duties. If 46 such request for exemption is denied, the commission, in its notifica- 47 tion of denial, shall inform the person of his or her right to appeal 48 the commission's determination pursuant to its rules governing adjudica- 49 tory proceedings and appeals adopted pursuant to subdivision thirteen of 50 this section; 51 (j) Advise and assist any state agency in establishing rules and regu- 52 lations relating to possible conflicts between private interests and 53 official duties of present or former statewide elected officials and 54 state officers and employees; 55 (k) Permit any person who has not been determined by his or her 56 appointing authority to hold a policy-making position but who is other- S. 2794 5 1 wise required to file a financial disclosure statement to request an 2 exemption from such requirement in accordance with rules and regulations 3 governing such exemptions. Such rules and regulations shall provide for 4 exemptions to be granted either on the application of an individual or 5 on behalf of persons who share the same job title or employment classi- 6 fication which the commission deems to be comparable for purposes of 7 this section. Such rules and regulations may permit the granting of an 8 exemption where, in the discretion of the commission, the public inter- 9 est does not require disclosure and the applicant's duties do not 10 involve the negotiation, authorization or approval of: 11 (i) contracts, leases, franchises, revocable consents, concessions, 12 variances, special permits, or licenses as defined in section seventy- 13 three of the public officers law; 14 (ii) the purchase, sale, rental or lease of real property, goods or 15 services, or a contract therefor; 16 (iii) the obtaining of grants of money or loans; or 17 (iv) the adoption or repeal of any rule or regulation having the force 18 and effect of law; 19 (l) Prepare an annual report to the governor and legislature summariz- 20 ing the activities of the commission during the previous year and recom- 21 mending any changes in the laws governing the conduct of persons subject 22 to the jurisdiction of the commission, or the rules, regulations and 23 procedures governing the commission's conduct. Such report shall BE 24 POSTED ON THE COMMISSION'S WEBSITE AND SHALL include: (i) THE NUMBER OF 25 REPORTING INDIVIDUALS WHOSE FILES WERE REVIEWED PURSUANT TO SUBDIVISION 26 (O) OF THIS SECTION DURING THE PREVIOUS YEAR AND WHICH, IF ANY, CLASSES 27 OF REPORTING INDIVIDUALS WERE SELECTED FOR CLASS REVIEW RATHER THAN 28 RANDOM REVIEW; (II) a listing by assigned number of each complaint and 29 referral received which alleged a possible violation within its juris- 30 diction, including the current status of each complaint[,]; and [(ii)] 31 (III) where a matter has been resolved, the date and nature of the 32 disposition and any sanction imposed, subject to the confidentiality 33 requirements of this section, provided, however, that such annual report 34 shall not contain any information for which disclosure is not permitted 35 pursuant to subdivision seventeen of this section; [and] 36 (m) Determine a question common to a class or defined category of 37 persons or items of information required to be disclosed, where determi- 38 nation of the question will prevent undue repetition of requests for 39 exemption or deletion or prevent undue complication in complying with 40 the requirements of such section[.]; 41 (N) PREPARE AND ISSUE A REPORT BY DECEMBER FIRST, TWO THOUSAND TWELVE 42 TO THE GOVERNOR AND THE LEGISLATURE RECOMMENDING ANY CHANGES TO THE LAW 43 GOVERNING THE FILING OF ANNUAL STATEMENTS OF FINANCIAL DISCLOSURE, WHICH 44 SHALL INCLUDE AN ANALYSIS OF THE STATUTES WHICH REQUIRE INDIVIDUALS TO 45 FILE FINANCIAL DISCLOSURE STATEMENTS, THE SCOPE OF DISCLOSURE REQUIRED, 46 AND ALTERNATIVE APPROACHES TO THE CURRENT SYSTEM, AND RECOMMENDATIONS AS 47 TO THE APPROPRIATE SCOPE OF DISCLOSURE FOR DIFFERENT CLASSES OF INDIVID- 48 UALS, INCLUDING THOSE WHO SERVE IN UNCOMPENSATED POSITIONS; AND 49 (O) PROMULGATE GUIDELINES FOR THE COMMISSION TO CONDUCT A PROGRAM OF 50 RANDOM REVIEWS, TO BE CARRIED OUT IN THE FOLLOWING MANNER: (I) ANNUAL 51 STATEMENTS OF FINANCIAL DISCLOSURE SHALL BE SELECTED FOR REVIEW IN A 52 MANNER PURSUANT TO WHICH THE IDENTITY OF ANY PARTICULAR PERSON WHOSE 53 STATEMENT IS SELECTED IS UNKNOWN TO THE COMMISSION AND ITS STAFF PRIOR 54 TO ITS SELECTION; (II) SUCH REVIEW SHALL INCLUDE A PRELIMINARY EXAMINA- 55 TION OF THE SELECTED STATEMENT FOR INTERNAL CONSISTENCY, A COMPARISON 56 WITH OTHER RECORDS MAINTAINED BY THE COMMISSION, INCLUDING PREVIOUSLY S. 2794 6 1 FILED STATEMENTS AND REQUESTS FOR ADVISORY OPINIONS, AND AN EXAMINATION 2 OF RELEVANT PUBLIC INFORMATION, INCLUDING, BUT NOT LIMITED TO, RECORDS 3 FILED WITH THE COMMISSION ON LOBBYING ETHICS AND COMPLIANCE AND THE 4 DEPARTMENT OF STATE; (III) UPON COMPLETION OF THE PRELIMINARY EXAMINA- 5 TION, THE COMMISSION SHALL DETERMINE WHETHER FURTHER INQUIRY IS 6 WARRANTED, WHEREUPON IT SHALL NOTIFY THE REPORTING INDIVIDUAL IN WRITING 7 THAT THE STATEMENT IS UNDER REVIEW, ADVISE THE REPORTING INDIVIDUAL OF 8 THE SPECIFIC AREAS OF INQUIRY, AND PROVIDE THE REPORTING INDIVIDUAL WITH 9 THE OPPORTUNITY TO PROVIDE THE COMMISSION WITH ANY RELEVANT INFORMATION 10 RELATED TO THE SPECIFIC AREAS OF INQUIRY, AND THE OPPORTUNITY TO FILE 11 AMENDMENTS TO THE SELECTED STATEMENT ON FORMS PROVIDED BY THE COMMIS- 12 SION; AND (IV) IF THEREAFTER SUFFICIENT CAUSE EXISTS, THE COMMISSION 13 SHALL INITIATE AN INVESTIGATION TO DETERMINE WHETHER THE REPORTING INDI- 14 VIDUAL HAS FILED A DEFICIENT STATEMENT; PROVIDED, HOWEVER IF THE COMMIS- 15 SION CONDUCTS A REVIEW OF ALL STATEMENTS OF FINANCIAL DISCLOSURE FILED 16 BY A CLASS OF REPORTING INDIVIDUALS IN THE MANNER SET FORTH IN THIS 17 PARAGRAPH WITH RESPECT TO A GIVEN CALENDAR YEAR, THE INDIVIDUALS WITHIN 18 SUCH CLASS SHALL NOT BE SUBJECT TO RANDOM REVIEW. FOR THE PURPOSES OF 19 THIS PARAGRAPH, THE CLASSES OF REPORTING INDIVIDUALS ARE (A) STATEWIDE 20 ELECTED OFFICIALS, (B) CANDIDATES FOR STATEWIDE OFFICE, (C) HEADS OF 21 STATE DEPARTMENTS AND THEIR DEPUTIES AND ASSISTANTS PURSUANT TO SUBPARA- 22 GRAPH (I) OF PARAGRAPH (I) OF SUBDIVISION ONE OF SECTION SEVENTY-THREE 23 OF THE PUBLIC OFFICERS LAW, AND (D) OTHER STATE OFFICERS AND EMPLOYEES. 24 10. The commission, or the executive director and staff of the 25 commission if responsibility therefor has been delegated, shall inspect 26 all financial disclosure statements filed with the commission to ascer- 27 tain whether any person subject to the reporting requirements of section 28 seventy-three-a of the public officers law has failed to file such a 29 statement, has filed a deficient statement or has filed a statement 30 which reveals a possible violation of section seventy-three, seventy- 31 three-a or seventy-four of the public officers law. 32 11. If a person required to file a financial disclosure statement 33 with the commission has failed to file a disclosure statement or has 34 filed a deficient statement, the commission shall notify the reporting 35 person in writing, state the failure to file or detail the deficiency, 36 provide the person with a fifteen day period to cure the deficiency, and 37 advise the person of the penalties for failure to comply with the 38 reporting requirements. Such notice shall be confidential. If the person 39 fails to make such filing or fails to cure the deficiency within the 40 specified time period, the commission shall send a notice of delinquen- 41 cy: (a) to the reporting person; (b) in the case of a statewide elected 42 official, to the temporary president of the senate and the speaker of 43 the assembly; and (c) in the case of a state officer or employee, to the 44 appointing authority for such person. Such notice of delinquency may be 45 sent at any time during the reporting person's service as a statewide 46 elected official, state officer or employee, political party chair or 47 while a candidate for statewide office, or within one year after termi- 48 nation of such service or candidacy. The jurisdiction of the commission, 49 when acting pursuant to subdivision thirteen of this section with 50 respect to financial disclosure, shall continue notwithstanding that the 51 reporting person separates from state service, or ceases to hold office 52 as a statewide elected official or political party chair, or ceases to 53 be a candidate, provided the commission notifies such person of the 54 alleged failure to file or deficient filing pursuant to this subdivi- 55 sion. S. 2794 7 1 12. (a) If the commission receives a sworn complaint alleging a 2 violation of section seventy-three, seventy-three-a or seventy-four of 3 the public officers law[,] OR section one hundred seven of the civil 4 service law [or article one-A of the legislative law] by a person or 5 entity subject to the jurisdiction of the commission, or if a reporting 6 individual has filed a statement which reveals a possible violation of 7 these provisions, or if the commission determines on its own initiative 8 to investigate a possible violation, the commission shall notify the 9 individual in writing, describe the possible or alleged violation of 10 such laws and provide the person with a fifteen day period in which to 11 submit a written response setting forth information relating to the 12 activities cited as a possible or alleged violation of law. THE COMMIS- 13 SION SHALL ALSO, AT THE TIME OF PROVIDING NOTICE, INFORM THE INDIVIDUAL 14 OF ITS RULES REGARDING THE CONDUCT OF ADJUDICATORY PROCEEDINGS AND 15 APPEALS AND THE DUE PROCESS PROCEDURAL MECHANISMS AVAILABLE TO SUCH 16 INDIVIDUAL. If the commission thereafter makes a determination that 17 further inquiry is justified, it shall give the individual an opportu- 18 nity to be heard. [The commission shall also inform the individual of 19 its rules regarding the conduct of adjudicatory proceedings and appeals 20 and the due process procedural mechanisms available to such individual.] 21 If the commission determines at any stage of the proceeding, that there 22 is no violation or that any potential conflict of interest violation has 23 been rectified, it shall [so advise the individual and the complainant, 24 if any] ISSUE WRITTEN NOTICE TO THE INDIVIDUAL AND THE COMPLAINANT, IF 25 ANY, STATING THE CIRCUMSTANCES UNDER WHICH THE MATTER HAS BEEN RECTIFIED 26 AND THE COMPLAINT DISMISSED. All of the foregoing proceedings shall be 27 confidential. 28 (b) If the commission determines that there is reasonable cause to 29 believe that a violation has occurred, it shall send a notice of reason- 30 able cause: (i) to the reporting person; (ii) to the complainant if any; 31 (iii) in the case of a statewide elected official, to the temporary 32 president of the senate and the speaker of the assembly; and (iv) in the 33 case of a state officer or employee, to the appointing authority for 34 such person. 35 (c) The jurisdiction of the commission when acting pursuant to this 36 section shall continue notwithstanding that a statewide elected official 37 or a state officer or employee separates from state service, or a poli- 38 tical party chair ceases to hold such office, or a candidate ceases to 39 be a candidate, [or a lobbyist or client of a lobbyist ceases to act as 40 such,] provided that the commission notifies such individual or entity 41 of the alleged violation of law pursuant to paragraph (a) of this subdi- 42 vision within one year from his or her separation from state service or 43 his or her termination of party service or candidacy[, or from his, her 44 or its last report filed pursuant to article one-A of the legislative 45 law]. Nothing in this section shall serve to limit the jurisdiction of 46 the commission in enforcement of subdivision eight of section seventy- 47 three of the public officers law. 48 13. An individual subject to the jurisdiction of the commission who 49 knowingly and intentionally violates the provisions of subdivisions two 50 through [five,] FIVE-A, seven, eight, twelve [or], fourteen through 51 [seventeen] SIXTEEN OR EIGHTEEN of section seventy-three of the public 52 officers law, section one hundred seven of the civil service law, or a 53 reporting individual who knowingly and wilfully fails to file an annual 54 statement of financial disclosure or who knowingly and wilfully with 55 intent to deceive makes a false statement or fraudulent omission or 56 gives information which such individual knows to be false on such state- S. 2794 8 1 ment of financial disclosure filed pursuant to section seventy-three-a 2 of the public officers law shall be subject to a civil penalty in an 3 amount not to exceed forty thousand dollars and the value of any gift, 4 compensation or benefit received as a result of such violation. An indi- 5 vidual who knowingly and intentionally violates the provisions of para- 6 graph b, c, d or i of subdivision three of section seventy-four of the 7 public officers law shall be subject to a civil penalty in an amount not 8 to exceed ten thousand dollars and the value of any gift, compensation 9 or benefit received as a result of such violation. An individual who 10 knowingly and intentionally violates the provisions of paragraph a, e or 11 g of subdivision three of section seventy-four of the public officers 12 law shall be subject to a civil penalty in an amount not to exceed the 13 value of any gift, compensation or benefit received as a result of such 14 violation. [An individual subject to the jurisdiction of the commission 15 who knowingly and willfully violates article one-A of the legislative 16 law shall be subject to civil penalty as provided for in that article.] 17 Assessment of a civil penalty hereunder shall be made by the commission 18 with respect to persons subject to its jurisdiction. In assessing the 19 amount of the civil penalties to be imposed, the commission shall 20 consider the seriousness of the violation, the amount of gain to the 21 individual and whether the individual previously had any civil or crimi- 22 nal penalties imposed pursuant to this section, and any other factors 23 the commission deems appropriate. For a violation of this subdivision, 24 other than for conduct which constitutes a violation of section one 25 hundred seven of the civil service law, subdivisions twelve or fourteen 26 through [seventeen] SIXTEEN OR EIGHTEEN of section seventy-three or 27 section seventy-four of the public officers law [or article one-A of the 28 legislative law,] the commission may, in lieu of a civil penalty, refer 29 a violation to the appropriate prosecutor and upon such conviction, such 30 violation shall be punishable as a class A misdemeanor. A civil penalty 31 for false filing may not be imposed hereunder in the event a category of 32 "value" or "amount" reported hereunder is incorrect unless such reported 33 information is falsely understated. Notwithstanding any other provision 34 of law to the contrary, no other penalty, civil or criminal may be 35 imposed for a failure to file, or for a false filing, of such statement, 36 or a violation of section seventy-three of the public officers law, 37 except that the appointing authority may impose disciplinary action as 38 otherwise provided by law. The commission may refer violations of this 39 subdivision to the appointing authority for disciplinary action as 40 otherwise provided by law. The commission shall be deemed to be an agen- 41 cy within the meaning of article three of the state administrative 42 procedure act and shall adopt rules governing the conduct of adjudicato- 43 ry proceedings and appeals taken pursuant to a proceeding commenced 44 under article seventy-eight of the civil practice law and rules relating 45 to the assessment of the civil penalties herein authorized and commis- 46 sion denials of requests for certain deletions or exemptions to be made 47 from a financial disclosure statement as authorized in paragraph (h) or 48 paragraph (i) of subdivision nine of this section. Such rules, which 49 shall not be subject to the approval requirements of the state adminis- 50 trative procedure act, shall provide for due process procedural mech- 51 anisms substantially similar to those set forth in article three of the 52 state administrative procedure act but such mechanisms need not be iden- 53 tical in terms or scope. Assessment of a civil penalty or commission 54 denial of such a request shall be final unless modified, suspended or 55 vacated within thirty days of imposition, with respect to the assessment 56 of such penalty, or unless such denial of request is reversed within S. 2794 9 1 such time period, and upon becoming final shall be subject to review at 2 the instance of the affected reporting individuals in a proceeding 3 commenced against the commission, pursuant to article seventy-eight of 4 the civil practice law and rules. 5 13-a. [If] NOTWITHSTANDING ANY OTHER PROVISION OF LAW, IF the commis- 6 sion has a reasonable basis to believe that any person subject to the 7 jurisdiction of the [legislative ethics] commission ON LOBBYING ETHICS 8 AND COMPLIANCE may have violated any provisions of [section seventy- 9 three or seventy-four] ARTICLE ONE-A of the [public officers] LEGISLA- 10 TIVE law OR THAT ANY PERSON SUBJECT TO THE JURISDICTION OF THE STATE 11 BOARD OF ELECTIONS MAY HAVE VIOLATED ARTICLE FOURTEEN OF THE ELECTION 12 LAW, it shall refer such violation to the [legislative ethics commis- 13 sion] COMMISSION ON LOBBYING ETHICS AND COMPLIANCE OR TO THE BOARD OF 14 ELECTIONS, AS APPROPRIATE, unless the commission determines that such a 15 referral would compromise the prosecution or confidentiality of its 16 investigations and, if so, shall make such a referral as soon as practi- 17 cable. The referral by the commission to the [legislative ethics commis- 18 sion] COMMISSION ON LOBBYING ETHICS AND COMPLIANCE OR TO THE BOARD OF 19 ELECTIONS, AS APPROPRIATE, shall include any information relating there- 20 to coming into the custody or under the control of the commission at any 21 time prior or subsequent to the time of the referral. 22 14. A copy of any notice of delinquency or notice of reasonable cause 23 sent pursuant to subdivisions eleven and twelve of this section shall be 24 included in the reporting person's file and be available for public 25 inspection and copying. 26 15. Upon written request from any person who is subject to the juris- 27 diction of the commission and the requirements of sections seventy- 28 three, seventy-three-a or seventy-four of the public officers law, the 29 commission shall render advisory opinions on the requirements of said 30 provisions. An opinion rendered by the commission, until and unless 31 amended or revoked, shall be binding on the commission in any subsequent 32 proceeding concerning the person who requested the opinion and who acted 33 in good faith, unless material facts were omitted or misstated by the 34 person in the request for an opinion. Such opinion may also be relied 35 upon by such person, and may be introduced and shall be a defense, in 36 any criminal or civil action. Such requests shall be confidential but 37 the commission may publish such opinions provided that the name of the 38 requesting person and other identifying details shall not be included in 39 the publication. 40 16. In addition to any other powers and duties specified by law, the 41 commission shall have the power and duty to: 42 (a) Promulgate rules concerning restrictions on outside activities and 43 limitations on the receipt of gifts and honoraria by persons subject to 44 its jurisdiction, provided, however, a violation of such rules in and of 45 itself shall not be punishable pursuant to subdivision thirteen of this 46 section unless the conduct constituting the violation would otherwise 47 constitute a violation of this section; and 48 (b) Conduct training programs in cooperation with the governor's 49 office of employee relations to provide education to individuals subject 50 to its jurisdiction; and 51 (c) Administer and enforce all the provisions of this section; and 52 (d) Conduct any investigation necessary to carry out the provisions of 53 this section. Pursuant to this power and duty, the commission may admin- 54 ister oaths or affirmations, subpoena witnesses, compel their attendance 55 and require the production of any books or records which it may deem 56 relevant or material[;]. S. 2794 10 1 16-a. Within one hundred twenty days of the effective date of this 2 subdivision, the commission shall create and thereafter maintain a 3 publicly accessible website which shall set forth the procedure for 4 filing a complaint with the commission, and which shall contain the 5 documents identified in subdivision seventeen of this section, other 6 than financial disclosure statements OF STATE OFFICERS AND EMPLOYEES, 7 and any other records or information which the commission determines to 8 be appropriate. 9 16-B. (A) WHEN AN INDIVIDUAL BECOMES A MEMBER OF THE COMMISSION OR 10 STAFF OF THE COMMISSION, THAT INDIVIDUAL SHALL BE REQUIRED TO SIGN A 11 NON-DISCLOSURE STATEMENT. 12 (B) NO TESTIMONY RECEIVED OR ANY OTHER INFORMATION OBTAINED BY A 13 MEMBER OF THE COMMISSION OR STAFF OF THE COMMISSION SHALL BE DISCLOSED 14 BY ANY SUCH INDIVIDUAL TO ANY PERSON OR ENTITY OUTSIDE THE COMMISSION. 15 ANY CONFIDENTIAL COMMUNICATION TO ANY PERSON OR ENTITY OUTSIDE THE 16 COMMISSION RELATED TO THE MATTERS BEFORE THE COMMISSION MAY OCCUR ONLY 17 AS AUTHORIZED BY THE COMMISSION AS NECESSARY TO CONDUCT OFFICIAL BUSI- 18 NESS OR PURSUANT TO COMMISSION RULES OR AS REQUIRED BY LAW. 19 (C) THE COMMISSION SHALL ESTABLISH PROCEDURES NECESSARY TO PREVENT THE 20 UNAUTHORIZED DISCLOSURE OF ANY INFORMATION RECEIVED BY ANY MEMBER OF THE 21 COMMISSION OR STAFF OF THE COMMISSION. ANY BREACHES OF CONFIDENTIALITY 22 SHALL BE INVESTIGATED BY THE COMMISSION AND APPROPRIATE ACTION SHALL BE 23 TAKEN. 24 17. (a) Notwithstanding the provisions of article six of the public 25 officers law, the only records of the commission which shall be avail- 26 able for public inspection and copying are: 27 (1) the information set forth in an annual statement of financial 28 disclosure filed pursuant to section seventy-three-a of the public offi- 29 cers law except [the categories of value or amount, which shall remain 30 confidential, and] any [other] item of information deleted pursuant to 31 paragraph (h) of subdivision nine of this section; 32 (2) notices of delinquency sent under subdivision eleven of this 33 section; 34 (3) notices of reasonable cause sent under paragraph (b) of subdivi- 35 sion twelve of this section; 36 (4) notices of civil assessments imposed under this section which 37 shall include a description of the nature of the alleged wrongdoing, the 38 procedural history of the complaint, the findings and determinations 39 made by the commission, and any sanction imposed; AND 40 (5) the terms of any settlement or compromise of a complaint or refer- 41 ral which includes a fine, penalty or other remedy[; and 42 (6) those required to be held or maintained publicly available pursu- 43 ant to article one-A of the legislative law]. 44 (b) Notwithstanding the provisions of article seven of the public 45 officers law, no meeting or proceeding, including any such proceeding 46 contemplated under paragraph (h) or (i) of subdivision nine of this 47 section, of the commission shall be open to the public, except if 48 expressly provided otherwise by the commission [or as is required by 49 article one-A of the legislative law], PROVIDED HOWEVER THAT THE COMMIS- 50 SION SHALL MEET PUBLICLY WHENEVER IT ADOPTS, AMENDS OR RESCINDS ITS 51 POLICIES, RULES OR REGULATIONS, PROMULGATES ITS GUIDELINES, APPROVES 52 EDUCATIONAL MATERIAL, OR ADOPTS ITS ANNUAL REPORT. 53 (c) Pending any application for deletion or exemption to the commis- 54 sion, all information which is the subject or a part of the application 55 shall remain confidential. Upon an adverse determination by the commis- 56 sion, the reporting individual may request, and upon such request the S. 2794 11 1 commission shall provide, that any information which is the subject or 2 part of the application remain confidential for a period of thirty days 3 following notice of such determination. In the event that the reporting 4 individual resigns his office and holds no other office subject to the 5 jurisdiction of the commission, the information shall not be made public 6 and shall be expunged in its entirety. 7 18. IF THE COMMISSION BECOMES AWARE OR IS AWARE THAT ALLEGED CRIMINAL 8 CONDUCT THAT MIGHT ALSO VIOLATE SECTION SEVENTY-THREE, SEVENTY-THREE-A 9 OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW IS UNDER INVESTIGATION BY A 10 FEDERAL, STATE OR LOCAL LAW ENFORCEMENT AGENCY, OR IS BEING PROSECUTED 11 IN LOCAL, STATE OR FEDERAL COURT, THE COMMISSION SHALL HOLD THE MATTER 12 IN ABEYANCE UNTIL THE CRIMINAL MATTER IS RESOLVED. 13 19. If any part or provision of this section or the application there- 14 of to any person or organization is adjudged by a court of competent 15 jurisdiction to be unconstitutional or otherwise invalid, such judgment 16 shall not affect or impair any other part or provision or the applica- 17 tion thereof to any other person or organization, but shall be confined 18 in its operation to such part or provision. 19 S 2. Section 1-b of the legislative law, as added by chapter 2 of the 20 laws of 1999, is amended to read as follows: 21 S 1-b. Short title. This article shall be known and may be cited as 22 the "ETHICAL STANDARDS IN Lobbying act OF 2010". 23 S 3. Paragraph (i) of subdivision (c) and subdivision (j) of section 24 1-c of the legislative law, paragraph (i) of subdivision (c) as added by 25 chapter 1 of the laws of 2005 and subdivision (j) as added by chapter 14 26 of the laws of 2007, are amended and a new subdivision (w) is added to 27 read as follows: 28 (i) the passage or defeat of any legislation OR RESOLUTION by either 29 house of the state legislature or approval or disapproval of any legis- 30 lation by the governor; 31 (j) The term "gift" shall mean anything of more than nominal value 32 given to a public official in any form including, but not limited to 33 money, service, loan, travel, lodging, meals, refreshments, enter- 34 tainment, discount, forbearance, or promise, having a monetary value. 35 The following are excluded from the definition of a gift: 36 (i) complimentary attendance, including food and beverage, at bona 37 fide charitable or political events[, and food and beverage of a nominal 38 value offered other than as part of a meal]; 39 (ii) complimentary attendance, food and beverage offered by the spon- 40 sor of [an event that is] A widely attended [or was in good faith 41 intended to be widely attended, when attendance at the event is related 42 to the attendee's duties or responsibilities as a public official or 43 allows the public official to perform a ceremonial function appropriate 44 to his or her position] EVENT. THE TERM "WIDELY ATTENDED EVENT" SHALL 45 MEAN AN EVENT: (A) WHICH AT LEAST TWENTY-FIVE INDIVIDUALS OTHER THAN 46 MEMBERS, OFFICERS, OR EMPLOYEES FROM THE GOVERNMENTAL ENTITY IN WHICH 47 THE PUBLIC OFFICIAL SERVES ATTEND OR WERE, IN GOOD FAITH, INTENDED TO 48 ATTEND, AND (B) WHICH IS RELATED TO THE ATTENDEE'S DUTIES OR RESPONSI- 49 BILITIES AS DETERMINED IN ACCORDANCE WITH STANDARDS AND GUIDANCE ISSUED 50 BY THE ETHICS OVERSIGHT BODY THAT HAS JURISDICTION OVER THE ATTENDEE OR 51 WHICH ALLOWS THE PUBLIC OFFICIAL TO PERFORM A CEREMONIAL FUNCTION APPRO- 52 PRIATE TO HIS OR HER POSITION; 53 (iii) awards, plaques, and other ceremonial items which are publicly 54 presented, or intended to be publicly presented, in recognition of 55 public service, provided that the item or items are of the type custom- 56 arily bestowed at such or similar ceremonies and are otherwise reason- S. 2794 12 1 able under the circumstances, and further provided that the functionali- 2 ty of such items shall not determine whether such items are permitted 3 under this paragraph; 4 (iv) an honorary degree bestowed upon a public official by a public or 5 private college or university; 6 (v) promotional items having no substantial resale value such as pens, 7 mugs, calendars, hats, and t-shirts which bear an organization's name, 8 logo, or message in a manner which promotes the organization's cause; 9 (vi) goods and services, or discounts for goods and services, offered 10 to the general public or a segment of the general public defined on a 11 basis other than status as a public official and offered on the same 12 terms and conditions as the goods or services are offered to the general 13 public or segment thereof; 14 (vii) gifts from a family member, member of the same household, or 15 person with a personal relationship with the public official, including 16 invitations to attend personal or family social events, when the circum- 17 stances establish that it is the family, household, or personal 18 relationship that is the primary motivating factor; in determining moti- 19 vation, the following factors shall be among those considered: (A) the 20 history and nature of the relationship between the donor and the recipi- 21 ent, including whether or not items have previously been exchanged; (B) 22 whether the item was purchased by the donor; and (C) whether or not the 23 donor at the same time gave similar items to other public officials; the 24 transfer shall not be considered to be motivated by a family, household, 25 or personal relationship if the donor seeks to charge or deduct the 26 value of such item as a business expense or seeks reimbursement from a 27 client; 28 (viii) contributions reportable under article fourteen of the election 29 law; 30 (ix) travel reimbursement or payment for transportation, meals and 31 accommodations for an attendee, panelist or speaker at an informational 32 event when such reimbursement or payment is made by a governmental enti- 33 ty or by an in-state accredited public or private institution of higher 34 education that hosts the event on its campus, provided, however, that 35 the public official may only accept lodging from an institution of high- 36 er education: (A) at a location on or within close proximity to the host 37 campus; and (B) for the night preceding and the nights of the days on 38 which the attendee, panelist or speaker actually attends the event; 39 (x) provision of local transportation to inspect or tour facilities, 40 operations or property [owned or operated by the entity providing such 41 transportation] LOCATED IN NEW YORK STATE, provided, however, THAT SUCH 42 INSPECTION OR TOUR IS RELATED TO THE INDIVIDUAL'S OFFICIAL DUTIES OR 43 RESPONSIBILITIES AS DETERMINED IN ACCORDANCE WITH STANDARDS AND GUIDANCE 44 ISSUED BY THE ETHICS OVERSIGHT BOARD THAT HAS JURISDICTION OVER THE 45 INDIVIDUAL AND that payment or reimbursement of lodging, meals or travel 46 expenses to and from the locality where such facilities, operations or 47 property are located shall be considered to be gifts unless otherwise 48 permitted under this subdivision; [and] 49 (xi) meals or refreshments when participating in a professional or 50 educational program and the meals or refreshments are provided to all 51 participants; AND 52 (XII) FOOD OR BEVERAGE VALUED AT TEN DOLLARS OR LESS OFFERED OTHER 53 THAN AS PART OF A MEAL. 54 (W) THE TERM "REPORTABLE BUSINESS RELATIONSHIP" SHALL MEAN A RELATION- 55 SHIP IN WHICH COMPENSATION IS PAID BY A LOBBYIST OR BY A CLIENT OF A 56 LOBBYIST, IN EXCHANGE FOR ANY GOODS, SERVICES OR ANYTHING OF VALUE, THE S. 2794 13 1 TOTAL VALUE OF WHICH IS IN EXCESS OF ONE THOUSAND DOLLARS ANNUALLY, TO 2 BE PERFORMED OR PROVIDED BY OR INTENDED TO BE PERFORMED OR PROVIDED BY 3 (I) ANY STATEWIDE ELECTED OFFICIAL, STATE OFFICER, STATE EMPLOYEE, 4 MEMBER OF THE LEGISLATURE OR LEGISLATIVE EMPLOYEE OR (II) ANY ENTITY IN 5 WHICH THE LOBBYIST OR THE CLIENT OF A LOBBYIST KNOWS OR HAS REASON TO 6 KNOW THE STATEWIDE ELECTED OFFICIAL, STATE OFFICER, STATE EMPLOYEE, 7 MEMBER OF THE LEGISLATURE OR LEGISLATIVE EMPLOYEE IS A PROPRIETOR, PART- 8 NER, DIRECTOR, OFFICER OR MANAGER, OR OWNS OR CONTROLS TEN PERCENT OR 9 MORE OF THE STOCK OF SUCH ENTITY (OR ONE PERCENT IN THE CASE OF A CORPO- 10 RATION WHOSE STOCK IS REGULARLY TRADED ON AN ESTABLISHED SECURITIES 11 EXCHANGE). 12 S 3-a. Subdivision (f) of section 1-c of the legislative law, as 13 amended by chapter 14 of the laws of 2007, is amended to read as 14 follows: 15 (f) The term "commission" shall mean the [commission on public integ- 16 rity created by section ninety-four of the executive law] NEW YORK STATE 17 COMMISSION ON LOBBYING ETHICS AND COMPLIANCE CREATED BY SECTION ONE-D OF 18 THIS ARTICLE. 19 S 4. Section 1-d of the legislative law, as amended by chapter 14 of 20 the laws of 2007, is amended to read as follows: 21 S 1-d. [Lobby-related powers of the commission] THE NEW YORK STATE 22 COMMISSION ON LOBBYING ETHICS AND COMPLIANCE. (A) (I) THERE SHALL BE 23 ESTABLISHED A COMMISSION TO BE KNOWN AS THE NEW YORK STATE COMMISSION ON 24 LOBBYING ETHICS AND COMPLIANCE WHICH SHALL CONSIST OF SIX MEMBERS. THE 25 MEMBERS OF THE COMMISSION SHALL BE APPOINTED AS FOLLOWS: 26 (1) TWO BY THE GOVERNOR; 27 (2) ONE BY THE TEMPORARY PRESIDENT OF THE SENATE; 28 (3) ONE BY THE SPEAKER OF THE ASSEMBLY; 29 (4) ONE BY THE MINORITY LEADER OF THE SENATE; AND 30 (5) ONE BY THE MINORITY LEADER OF THE ASSEMBLY. 31 (II) OF THE TWO MEMBERS APPOINTED BY THE GOVERNOR, ONE SHALL BE A 32 MEMBER OF THE SAME POLITICAL PARTY AS THE SPEAKER OF THE ASSEMBLY AND 33 ONE SHALL BE A MEMBER OF THE SAME POLITICAL PARTY AS THE MINORITY LEADER 34 OF THE ASSEMBLY. 35 (B) THE TERM OF OFFICE OF THE MEMBERS SHALL BE FOR FOUR YEARS COMMENC- 36 ING WITH THE FIRST DAY OF AUGUST, TWO THOUSAND ELEVEN, PROVIDED, HOWEV- 37 ER, THAT OF THE INITIAL MEMBERS SO APPOINTED: ONE MEMBER APPOINTED BY 38 THE GOVERNOR SHALL SERVE A TERM OF ONE YEAR; THE MEMBER APPOINTED BY THE 39 TEMPORARY PRESIDENT OF THE SENATE AND THE MEMBER APPOINTED BY THE MINOR- 40 ITY LEADER OF THE SENATE SHALL SERVE A TERM OF TWO YEARS; AND THE MEMBER 41 APPOINTED BY THE SPEAKER OF THE ASSEMBLY AND THE MEMBER APPOINTED BY THE 42 MINORITY LEADER OF THE ASSEMBLY SHALL SERVE A TERM OF THREE YEARS. NO 43 MEMBER OF THE COMMISSION SHALL HOLD OR SHALL HAVE HELD WITHIN THE 44 PRECEDING FIVE YEARS ANY STATE OR LOCAL ELECTED OFFICE; AND NO MEMBER OF 45 THE COMMISSION SHALL BE OR HAVE BEEN WITHIN THE PRECEDING FIVE YEARS 46 EMPLOYED BY THE STATE OR BY ANY LOCAL POLITICAL SUBDIVISION SUBJECT TO 47 THIS ARTICLE. NO PERSON SUBJECT TO THE JURISDICTION OF THE COMMISSION 48 AND THE PROVISIONS OF THIS ARTICLE OR REGISTERED AS A LOBBYIST IN ANY 49 OTHER JURISDICTION WITHIN THE PRECEDING FIVE YEARS MAY SERVE ON THE 50 COMMISSION. 51 (C) THE CHAIR AND THE VICE-CHAIR OF THE COMMISSION SHALL BE ELECTED BY 52 A MAJORITY OF THE MEMBERS OF THE COMMISSION TO SERVE A ONE YEAR TERM. 53 THE CHAIR SHALL BE A MEMBER OF A DIFFERENT POLITICAL PARTY THAN THE 54 CHAIR OF THE COMMISSION DURING THE PRECEDING TERM. THE CHAIR AND VICE- 55 CHAIR SHALL EACH BE A MEMBER OF A DIFFERENT MAJOR POLITICAL PARTY AS 56 SUCH TERM IS DEFINED IN THE ELECTION LAW. S. 2794 14 1 (D) ANY MATTER UPON WHICH THE COMMISSION MUST ACT BY A VOTE OF THE 2 MEMBERSHIP MUST BE BY AN AFFIRMATIVE VOTE OF A MAJORITY OF THE MEMBERS 3 OF THE COMMISSION WITHOUT VACANCY. EACH MEMBER SHALL CONTINUE TO SERVE 4 UNTIL A SUCCESSOR IS APPOINTED IN THE MANNER PROVIDED IN THIS SECTION. 5 (E) EACH OF THE MEMBERS OF THE COMMISSION SHALL RECEIVE, AS COMPEN- 6 SATION FOR HIS OR HER SERVICES UNDER THIS ARTICLE, A PER DIEM ALLOWANCE 7 IN THE SUM OF ONE HUNDRED DOLLARS FOR EACH DAY ACTUALLY SPENT IN THE 8 PERFORMANCE OF HIS OR HER DUTIES UNDER THIS ARTICLE, NOT EXCEEDING, 9 HOWEVER, THE SUM OF FIVE THOUSAND DOLLARS IN ANY CALENDAR YEAR, AND, IN 10 ADDITION THERETO, SHALL BE REIMBURSED FOR ALL REASONABLE EXPENSES ACTU- 11 ALLY AND NECESSARILY INCURRED BY HIM OR HER IN THE PERFORMANCE OF HIS OR 12 HER DUTIES UNDER THIS ARTICLE. 13 (F) VACANCIES IN THE MEMBERSHIP OF THE COMMISSION OCCURRING FOR ANY 14 CAUSE SHALL BE FILLED FOR THE BALANCE OF THE UNEXPIRED TERM IN THE SAME 15 MANNER AS THE ORIGINAL APPOINTMENT OF THE MEMBER WHOSE OFFICE BECOMES 16 VACANT. 17 (G) MEMBERS OF THE COMMISSION MAY BE REMOVED BY THE APPOINTING AUTHOR- 18 ITY FOR SUBSTANTIAL NEGLECT OF DUTY, GROSS MISCONDUCT IN OFFICE, INABIL- 19 ITY TO DISCHARGE THE POWERS OR DUTIES OF OFFICE OR VIOLATION OF THIS 20 SECTION, AFTER WRITTEN NOTICE AND OPPORTUNITY FOR A REPLY. 21 (H) STRUCTURE OF THE COMMISSION: 22 (I) THE CHIEF ADMINISTRATIVE OFFICER OF THE COMMISSION SHALL BE THE 23 EXECUTIVE DIRECTOR, WHO SHALL BE APPOINTED BY A MAJORITY VOTE OF THE 24 COMMISSION AND SHALL SERVE A THREE YEAR TERM, EXCEPT THAT HE OR SHE 25 SHALL BE DISMISSED ONLY FOR CAUSE BY A MAJORITY VOTE OF THE COMMISSION. 26 [In addition to any other powers and duties provided by section nine- 27 ty-four of the executive law, the] (II) THE commission shall[, with 28 respect to its lobbying-related functions only,] have the power and duty 29 to: 30 [(a)] (1) administer and enforce all the provisions of this article; 31 [(b)] (2) conduct a program of random audits subject to the terms and 32 conditions of this section. Any such program shall be carried out in the 33 following manner: 34 [(i)] A. The commission may randomly select reports or registration 35 statements required to be filed by lobbyists or clients pursuant to this 36 article for audit. Any such selection shall be done in a manner pursuant 37 to which the identity of any particular lobbyist or client whose state- 38 ment or report is selected for audit is unknown to the commission, its 39 staff or any of their agents prior to selection. 40 [(ii)] B. The commission shall develop protocols for the conduct of 41 such random audits. Such random audits may require the production of 42 books, papers, records or memoranda relevant and material to the prepa- 43 ration of the selected statements or reports, for examination by the 44 commission. Any such protocols shall ensure that similarly situated 45 statements or reports are audited in a uniform manner. 46 [(iii)] C. The commission shall contract with an outside accounting 47 entity, which shall monitor the process pursuant to which the commission 48 selects statements or reports for audit and carries out the provisions 49 of [paragraphs (i) and (ii) of this subdivision] CLAUSES A AND B OF THIS 50 SUBPARAGRAPH and [certifies] CERTIFY that such process complies with the 51 provisions of such [paragraphs] CLAUSES. 52 [(iv)] D. Upon completion of a random audit conducted in accordance 53 with the provisions of [paragraphs (i), (ii) and (iii) of this subdivi- 54 sion] CLAUSES A, B AND C OF THIS SUBPARAGRAPH, the commission shall 55 determine whether there is reasonable cause to believe that any such 56 statement or report is inaccurate or incomplete. Upon a determination S. 2794 15 1 that such reasonable cause exists, the commission may require the 2 production of further books, records or memoranda, subpoena witnesses, 3 compel their attendance and testimony and administer oaths or affirma- 4 tions, to the extent the commission determines such actions are neces- 5 sary to obtain information relevant and material to investigating such 6 inaccuracies or omissions; 7 [(c)] (3) conduct hearings pursuant to article seven of the public 8 officers law. Any hearing may be conducted as a video conference in 9 accordance with the provisions of subdivision four of section one 10 hundred four of the public officers law; 11 [(d)] (4) prepare uniform forms for the statements and reports 12 required by this article; 13 [(e)] (5) meet at least once during each bi-monthly reporting period 14 of the year as established by subdivision (a) of section one-h of this 15 article and may meet at such other times as the commission, or the chair 16 and vice-chair jointly, shall determine; 17 [(f)] (6) issue advisory opinions to those under its jurisdiction. 18 Such advisory opinions, which shall be published and made available to 19 the public, shall not be binding upon such commission except with 20 respect to the person to whom such opinion is rendered, provided, howev- 21 er, that a subsequent modification by such commission of such an advi- 22 sory opinion shall operate prospectively only; and 23 [(g)] (7) submit by the first day of March next following the year for 24 which such report is made to the governor and the members of the legis- 25 lature an annual report summarizing the commission's work, listing the 26 lobbyists and clients required to register pursuant to this article and 27 the expenses and compensation reported pursuant to this article and 28 making recommendations with respect to this article. The commission 29 shall make this report available free of charge to the public. 30 (I) THE COMMISSION SHALL UNDERTAKE A COMPREHENSIVE REVIEW OF ALL 31 APPLICABLE REGULATIONS AND OPINIONS ISSUED BY THE TEMPORARY LOBBYING 32 COMMISSION AND THE COMMISSION ON PUBLIC INTEGRITY, WHICH REVIEWS WILL 33 ADDRESS THE CONSISTENCY OF SUCH REGULATIONS AND OPINIONS AMONG EACH 34 OTHER AND WITH THE STATUTORY LANGUAGE. THE COMMISSION SHALL, BEFORE 35 DECEMBER FIRST, TWO THOUSAND TWELVE, REPORT TO THE GOVERNOR AND LEGISLA- 36 TURE REGARDING SUCH REVIEW AND SHALL PROPOSE ANY REGULATORY CHANGES AND 37 ISSUE ANY ADVISORY OPINIONS NECESSITATED BY SUCH REVIEW. 38 S 5. Subdivision (b) and paragraph 3 of subdivision (c) of section 1-e 39 of the legislative law, subdivision (b) as amended by section 1 of part 40 S of chapter 62 of the laws of 2003 and paragraph 3 of subdivision (c) 41 as amended by chapter 1 of the laws of 2005, are amended to read as 42 follows: 43 (b) (i) Such statements of registration shall be kept on file for a 44 period of [three] FOUR years for those filing periods where annual 45 statements are required, and shall be open to public inspection during 46 such period; (ii) Biennial statements of registration shall be kept on 47 file for a period of [three] TWO biennial filing periods where biennial 48 statements are required, and shall be open to public inspection during 49 such period. 50 (3) if such lobbyist is retained or employed pursuant to a written 51 agreement of retainer or employment, a copy of such shall also be 52 attached and if such retainer or employment is oral, a statement of the 53 substance thereof; such written retainer, or if it is oral, a statement 54 of the substance thereof, and any amendment thereto, shall be retained 55 for a period of [three] FOUR years; S. 2794 16 1 S 5-a. Subdivision (c) of section 1-e of the legislative law is 2 amended by adding a new paragraph 8 to read as follows: 3 (8) (I) THE NAME AND PUBLIC OFFICE ADDRESS OF ANY STATEWIDE ELECTED 4 OFFICIAL, STATE OFFICER OR EMPLOYEE, MEMBER OF THE LEGISLATURE OR LEGIS- 5 LATIVE EMPLOYEE AND ENTITY WITH WHOM THE LOBBYIST HAS A REPORTABLE BUSI- 6 NESS RELATIONSHIP; 7 (II) A DESCRIPTION OF THE GENERAL SUBJECT OR SUBJECTS OF THE TRANS- 8 ACTIONS BETWEEN THE LOBBYIST OR LOBBYISTS AND THE STATEWIDE ELECTED 9 OFFICIAL, STATE OFFICER OR EMPLOYEE, MEMBER OF THE LEGISLATURE OR LEGIS- 10 LATIVE EMPLOYEE AND ENTITY; AND 11 (III) THE COMPENSATION, INCLUDING EXPENSES, TO BE PAID BY VIRTUE OF 12 THE BUSINESS RELATIONSHIP. 13 S 5-b. Subdivision (b) of section 1-j of the legislative law is 14 amended by adding a new paragraph 6 to read as follows: 15 (6) (I) THE NAME AND PUBLIC OFFICE ADDRESS OF ANY STATEWIDE ELECTED 16 OFFICIAL, STATE OFFICER OR EMPLOYEE, MEMBER OF THE LEGISLATURE OR LEGIS- 17 LATIVE EMPLOYEE AND ENTITY WITH WHOM THE CLIENT OF A LOBBYIST HAS A 18 REPORTABLE BUSINESS RELATIONSHIP; 19 (II) A DESCRIPTION OF THE GENERAL SUBJECT OR SUBJECTS OF THE TRANS- 20 ACTIONS BETWEEN THE CLIENT OF THE LOBBYIST OR LOBBYISTS AND THE STATE- 21 WIDE ELECTED OFFICIAL, STATE OFFICER OR EMPLOYEE, MEMBER OF THE LEGISLA- 22 TURE OR LEGISLATIVE EMPLOYEE AND ENTITY; 23 (III) THE COMPENSATION, INCLUDING EXPENSES, TO BE PAID BY VIRTUE OF 24 THE BUSINESS RELATIONSHIP. 25 S 6. Subparagraph (v) of paragraph 5 of subdivision (b) and paragraph 26 2 of subdivision (c) of section 1-h of the legislative law, as added by 27 chapter 2 of the laws of 1999, are amended to read as follows: 28 (v) expenses of more than fifty dollars shall be paid by check or 29 substantiated by receipts and such checks and receipts shall be kept on 30 file by the lobbyist for a period of [three] FOUR years. 31 (2) Such bi-monthly reports shall be kept on file for [three] FOUR 32 years and shall be open to public inspection during such time. 33 S 7. Subparagraph (v) of paragraph 6 of subdivision (b) and paragraph 34 2 of subdivision (c) of section 1-i of the legislative law, as added by 35 chapter 2 of the laws of 1999, are amended to read as follows: 36 (v) expenses of more than fifty dollars must be paid by check or 37 substantiated by receipts and such checks and receipts shall be kept on 38 file by such public corporation for a period of [three] FOUR years. 39 (2) Such bi-monthly reports shall be kept on file for a period of 40 [three] FOUR years and shall be open to public inspection during such 41 period. 42 S 8. Subparagraph (v) of paragraph 5 of subdivision (b) and paragraph 43 2 of subdivision (c) of section 1-j of the legislative law, as amended 44 by chapter 1 of the laws of 2005, are amended to read as follows: 45 (v) expenses of more than fifty dollars must be paid by check or 46 substantiated by receipts and such checks and receipts shall be kept on 47 file by such client for a period of [three] FOUR years. 48 (2) Such semi-annual reports shall be kept on file for a period of 49 [three] FOUR years and shall be open to public inspection during such 50 period. 51 S 8-a. Subdivision (a) of section 1-o of the legislative law, as added 52 by chapter 14 of the laws of 2007, is amended to read as follows: 53 (a) (i) Any lobbyist, public corporation, or client who knowingly and 54 wilfully fails to file timely a report or statement required by this 55 [section] ARTICLE or knowingly and wilfully files false information or S. 2794 17 1 knowingly and wilfully violates section one-m of this article shall be 2 guilty of a class A misdemeanor; and 3 (ii) any lobbyist, public corporation, or client who knowingly and 4 wilfully fails to file timely a report or statement required by this 5 [section] ARTICLE or knowingly and wilfully files false information or 6 knowingly and wilfully violates section one-m of this article, after 7 having previously been convicted in the preceding five years of the 8 crime described in paragraph (i) of this subdivision, shall be guilty of 9 a class E felony. Any lobbyist convicted of or pleading guilty to a 10 felony under the provisions of this section may be barred from acting as 11 a lobbyist for a period of one year from the date of the conviction. For 12 the purposes of this subdivision, the chief administrative officer of 13 any organization required to file a statement or report shall be the 14 person responsible for making and filing such statement or report unless 15 some other person prior to the due date thereof has been duly designated 16 to make and file such statement or report. 17 S 8-b. Section 1-p of the legislative law is amended by adding a new 18 subdivision (d) to read as follows: 19 (D) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, IF THE COMMISSION HAS 20 A REASONABLE BASIS TO BELIEVE THAT ANY PERSON SUBJECT TO THE JURISDIC- 21 TION OF THE EXECUTIVE ETHICS AND COMPLIANCE COMMISSION OR THE JOINT 22 LEGISLATIVE COMMISSION ON ETHICS STANDARDS MAY HAVE VIOLATED ANY 23 PROVISION OF SECTION SEVENTY-THREE OR SEVENTY-FOUR OF THE PUBLIC OFFI- 24 CERS LAW OR THAT ANY PERSON SUBJECT TO THE JURISDICTION OF THE STATE 25 BOARD OF ELECTIONS MAY HAVE VIOLATED ARTICLE FOURTEEN OF THE ELECTION 26 LAW, IT SHALL REFER SUCH VIOLATION TO THE EXECUTIVE ETHICS AND COMPLI- 27 ANCE COMMISSION OR THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS, 28 AS APPROPRIATE, UNLESS THE COMMISSION DETERMINES THAT SUCH A REFERRAL 29 WOULD COMPROMISE THE PROSECUTION OR CONFIDENTIALITY OF ITS INVESTI- 30 GATIONS AND, IF SO, SHALL MAKE A REFERRAL AS SOON AS PRACTICABLE. THE 31 REFERRAL BY THE COMMISSION TO SUCH ENTITIES SHALL INCLUDE ANY INFORMA- 32 TION RELATING THERETO COMING INTO THE CUSTODY OR CONTROL OF THE COMMIS- 33 SION AT ANY TIME PRIOR OR SUBSEQUENT TO THE REFERRAL. 34 S 9. Section 80 of the legislative law is REPEALED and two new 35 sections 80 and 81 are added to read as follows: 36 S 80. LEGISLATIVE OFFICE OF ETHICS INVESTIGATIONS. 1. OFFICE ESTAB- 37 LISHED. THERE IS ESTABLISHED A LEGISLATIVE OFFICE OF ETHICS INVESTI- 38 GATIONS FOR THE PURPOSE OF ASSISTING THE LEGISLATURE IN CARRYING OUT ITS 39 INVESTIGATORY AND ENFORCEMENT RESPONSIBILITIES WITH REGARD TO ITS 40 ETHICAL STANDARDS AND RECEIVING REFERRALS OF COMPLAINTS FOR INVESTI- 41 GATION FROM THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS AND 42 FROM THE STANDING COMMITTEES ON ETHICS OF THE SENATE AND ASSEMBLY, AND 43 RECEIVING COMPLAINTS FROM THE PUBLIC. 44 2. THE GOVERNING BOARD. (A) THE OFFICE SHALL BE GOVERNED BY A BOARD 45 CONSISTING OF EIGHT INDIVIDUALS OF WHOM TWO SHALL BE APPOINTED BY THE 46 SPEAKER OF THE ASSEMBLY; TWO SHALL BE APPOINTED BY THE MINORITY LEADER 47 OF THE ASSEMBLY; TWO SHALL BE APPOINTED BY THE TEMPORARY PRESIDENT OF 48 THE SENATE; AND TWO SHALL BE APPOINTED BY THE MINORITY LEADER OF THE 49 SENATE. 50 (B) THE LEGISLATIVE LEADERS EACH SHALL APPOINT INDIVIDUALS WHO ARE 51 QUALIFIED TO SERVE ON THE BOARD BY VIRTUE OF THEIR EDUCATION, TRAINING 52 OR EXPERIENCE IN ONE OR MORE OF THE FOLLOWING DISCIPLINES OR PROCESSES: 53 LEGISLATIVE, JUDICIAL, ADMINISTRATIVE, PROFESSIONAL ETHICS, BUSINESS, 54 LEGAL, AND ACADEMIC. 55 (C) THE SPEAKER AND THE TEMPORARY PRESIDENT OF THE SENATE SHALL EACH 56 DESIGNATE ONE MEMBER OF THE BOARD AS CO-CHAIRPERSON. S. 2794 18 1 (D) NO INDIVIDUAL SHALL BE ELIGIBLE FOR APPOINTMENT TO, OR SERVICE ON, 2 THE BOARD WHO CURRENTLY OR WITHIN THE LAST FIVE YEARS: 3 (I) IS REQUIRED TO REGISTER AS A LOBBYIST OR HAS BEEN A LOBBYIST IN 4 NEW YORK STATE OR IN ANY OTHER JURISDICTION; 5 (II) IS OR HAS BEEN A CANDIDATE FOR A POSITION IN THE NEW YORK STATE 6 LEGISLATURE; 7 (III) IS OR HAS BEEN A MEMBER, OFFICER, OR EMPLOYEE OF THE NEW YORK 8 STATE LEGISLATURE; OR 9 (IV) IS OR HAS BEEN A POLITICAL PARTY CHAIRMAN, AS DEFINED IN PARA- 10 GRAPH (K) OF SUBDIVISION ONE OF SECTION SEVENTY-THREE OF THE PUBLIC 11 OFFICERS LAW. 12 (E) NO BOARD MEMBER SHALL BE CURRENTLY A STATEWIDE ELECTED OFFICIAL OR 13 AN OFFICER OR EMPLOYEE OF THE NEW YORK STATE GOVERNMENT. 14 (F) THE TERM OF A BOARD MEMBER SHALL BE FOUR YEARS. 15 (G) BOARD MEMBERS SHALL RECEIVE A PER DIEM ALLOWANCE IN THE SUM OF ONE 16 HUNDRED DOLLARS FOR EACH DAY ACTUALLY SPENT IN THE PERFORMANCE OF HIS OR 17 HER DUTIES UNDER THIS ARTICLE, NOT EXCEEDING, HOWEVER, THE SUM OF FIVE 18 THOUSAND DOLLARS IN ANY CALENDAR YEAR, AND, IN ADDITION THERETO, SHALL 19 BE REIMBURSED FOR ALL REASONABLE EXPENSES ACTUALLY AND NECESSARILY 20 INCURRED BY HIM OR HER IN THE PERFORMANCE OF HIS OR HER DUTIES UNDER 21 THIS ARTICLE. 22 (H) A MAJORITY OF THE MEMBERS OF THE BOARD WITHOUT VACANCY SHALL 23 CONSTITUTE A QUORUM. 24 (I) THE BOARD SHALL MEET AT THE CALL OF THE CHAIRPERSONS OR FOUR OF 25 ITS MEMBERS PURSUANT TO ITS RULES. 26 (J) ANY VACANCY OCCURRING ON THE BOARD SHALL BE FILLED WITHIN SIXTY 27 DAYS BY THE APPOINTING AUTHORITY. 28 3. POWERS AND DUTIES OF THE BOARD. THE BOARD IS AUTHORIZED AND 29 DIRECTED TO: 30 (A) APPOINT AN EXECUTIVE DIRECTOR FOR A TERM OF THREE YEARS, WHO SHALL 31 BE DISMISSED ONLY FOR CAUSE BY A MAJORITY VOTE OF THE BOARD, APPOINT 32 SUCH OTHER STAFF AS ARE NECESSARY TO ASSIST IT TO CARRY OUT ITS DUTIES 33 UNDER THIS SECTION AND ENTER INTO CONTRACTS FOR SERVICES AS ARE NECES- 34 SARY TO ASSIST IT TO CARRY OUT ITS DUTIES UNDER THIS SECTION; 35 (B) RECEIVE AND ACT ON SWORN COMPLAINTS REGARDING PERSONS SUBJECT TO 36 ITS JURISDICTION ALLEGING A POSSIBLE VIOLATION OF SECTION SEVENTY-THREE, 37 SEVENTY-THREE-A, OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW, AND CONDUCT 38 SUCH INVESTIGATIONS AND PROCEEDINGS AS ARE AUTHORIZED AND NECESSARY TO 39 CARRY OUT THE PROVISIONS OF THIS SECTION. IN CONNECTION WITH SUCH INVES- 40 TIGATIONS, THE BOARD MAY ADMINISTER OATHS OR AFFIRMATIONS, SUBPOENA 41 WITNESSES, COMPEL THEIR ATTENDANCE AND REQUIRE THE PRODUCTION OF ANY 42 BOOKS OR RECORDS WHICH IT MAY DEEM RELEVANT OR MATERIAL; 43 (C) RECEIVE AND ACT ON, AS IF IT WERE A SWORN COMPLAINT, ANY REFERRALS 44 FROM THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS OR THE STAND- 45 ING COMMITTEES ON ETHICS OF THE SENATE AND ASSEMBLY; 46 (D) RECEIVE AND ACT ON, AS IF IT WERE A SWORN COMPLAINT, ANY REFERRAL 47 FROM ANOTHER OVERSIGHT BODY INDICATING THAT A VIOLATION OF SECTION 48 SEVENTY-THREE OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW MAY HAVE 49 OCCURRED INVOLVING PERSONS SUBJECT TO THE JURISDICTION OF THE LEGISLA- 50 TIVE OFFICE OF ETHICS INVESTIGATIONS; 51 (E) DELIVER TO THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS A 52 REPORT ON THE BOARD'S FINDINGS AND DETERMINATIONS REGARDING ANY ALLEGED 53 VIOLATIONS OF SECTIONS SEVENTY-THREE, SEVENTY-THREE-A, AND SEVENTY-FOUR 54 OF THE PUBLIC OFFICERS LAW AND DELIVER TO THE STANDING COMMITTEES ON 55 ETHICS OF THE SENATE OR ASSEMBLY, AS APPROPRIATE, A REPORT ON THE S. 2794 19 1 BOARD'S FINDINGS AND DETERMINATIONS REGARDING ANY COMPLAINT REFERRED TO 2 IT BY THE COMMITTEES; AND 3 (F) ADOPT RULES TO CARRY OUT ITS DUTIES CONSISTENT WITH THE PROVISIONS 4 OF SUBDIVISION FOUR OF THIS SECTION. 5 4. PROCEDURE. (A) PRELIMINARY REVIEW. (I) UPON RECEIPT OF A WRITTEN 6 SWORN COMPLAINT OR REFERRAL PURSUANT TO SUBDIVISION THREE OF THIS 7 SECTION, THE GOVERNING BOARD SHALL, WITHIN TEN CALENDAR DAYS: 8 (A) INITIATE A PRELIMINARY REVIEW OF ANY ALLEGED VIOLATION BY A MEMBER 9 OF THE LEGISLATURE, OFFICER, OR LEGISLATIVE EMPLOYEE OF SECTION SEVEN- 10 TY-THREE, SEVENTY-THREE-A OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW, 11 AND ANY OTHER MATTER REFERRED TO IT BY THE ASSEMBLY OR SENATE STANDING 12 COMMITTEE ON ETHICS OR THE JOINT LEGISLATIVE COMMISSION ON ETHICS STAND- 13 ARDS PURSUANT TO SUBDIVISION THREE OF THIS SECTION; 14 (B) NOTIFY IN WRITING THE JOINT LEGISLATIVE COMMISSION ON ETHICS STAN- 15 DARDS OR THE APPROPRIATE STANDING COMMITTEE ON ETHICS AND THE COMPLAIN- 16 ANT, IF THERE IS ONE, THAT THE PRELIMINARY REVIEW HAS COMMENCED; AND 17 (C) NOTIFY IN WRITING ANY INDIVIDUAL WHO IS THE SUBJECT OF SUCH 18 PRELIMINARY REVIEW AND PROVIDE SUCH INDIVIDUAL WITH A DESCRIPTION OF THE 19 POSSIBLE OR ALLEGED VIOLATION AND A COPY OF ITS RULES AND PROCEDURES, 20 WHICH SHALL INCLUDE THE DUE PROCESS PROCEDURAL MECHANISMS AVAILABLE TO 21 SUCH INDIVIDUAL AND THE OPPORTUNITY FOR SUCH INDIVIDUAL TO SUBMIT A 22 WRITTEN RESPONSE IN ACCORDANCE WITH SUBPARAGRAPH (II) OF THIS PARAGRAPH. 23 (II) THE INDIVIDUAL WHO IS THE SUBJECT OF THE PRELIMINARY REVIEW SHALL 24 HAVE THE OPPORTUNITY TO SUBMIT WITHIN FIFTEEN CALENDAR DAYS OF RECEIPT 25 OF NOTICE PURSUANT TO CLAUSE (C) OF SUBPARAGRAPH (I) OF THIS PARAGRAPH, 26 A WRITTEN RESPONSE SETTING FORTH INFORMATION RELATING TO THE ACTIVITIES 27 CITED AS A POSSIBLE OR ALLEGED VIOLATION OF LAW. 28 (III) THE GOVERNING BOARD SHALL, WITHIN FORTY-FIVE CALENDAR DAYS AFTER 29 RECEIPT OF A WRITTEN COMPLAINT OR REFERRAL UNDER SUBPARAGRAPH (I) OF 30 THIS PARAGRAPH, COMPLETE ITS PRELIMINARY REVIEW AND SHALL VOTE ON WHETH- 31 ER TO COMMENCE A SECOND PHASE REVIEW OF THE MATTER UNDER CONSIDERATION. 32 (IV) NOTWITHSTANDING THE PROVISIONS OF SUBPARAGRAPHS (I), (II) AND 33 (III) OF THIS PARAGRAPH, THE GOVERNING BOARD MAY TERMINATE A PRELIMINARY 34 REVIEW BY AN AFFIRMATIVE VOTE OF NOT LESS THAN FIVE MEMBERS AT ANY TIME 35 WITHIN THE APPLICABLE FORTY-FIVE CALENDAR DAYS UPON ITS DETERMINATION 36 THAT THE ALLEGED VIOLATION UNDER REVIEW IS DE MINIMIS IN NATURE OR 37 CURED. UPON THE TERMINATION OF A PRELIMINARY REVIEW PURSUANT TO THIS 38 SUBPARAGRAPH OR SUBPARAGRAPH (III) OF THIS PARAGRAPH, THE GOVERNING 39 BOARD SHALL NOTIFY, IN WRITING, THE JOINT LEGISLATIVE COMMISSION ON 40 ETHICS STANDARDS OR THE APPROPRIATE STANDING COMMITTEE ON ETHICS, THE 41 COMPLAINANT, IF THERE IS ONE, AND THE INDIVIDUAL WHO WAS THE SUBJECT OF 42 SUCH PRELIMINARY REVIEW, OF SUCH TERMINATION. UPON SUCH TERMINATION, THE 43 GOVERNING BOARD SHALL NOT DISCLOSE ANY MATERIALS OR INFORMATION RELATED 44 TO SUCH PRELIMINARY REVIEW. 45 (B) SECOND-PHASE REVIEW. (I) UPON THE AFFIRMATIVE VOTE OF NOT LESS 46 THAN FOUR GOVERNING BOARD MEMBERS TO COMMENCE A SECOND-PHASE REVIEW, 47 WRITTEN NOTICE OF THE GOVERNING BOARD'S DECISION SHALL BE PROVIDED TO 48 THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS OR THE APPROPRIATE 49 STANDING COMMITTEE ON ETHICS, AND TO THE INDIVIDUAL WHO IS THE SUBJECT 50 OF SUCH SECOND-PHASE REVIEW. SUCH WRITTEN NOTICE SHALL INCLUDE A COPY OF 51 THE GOVERNING BOARD'S RULES AND PROCEDURES AND SHALL ALSO INCLUDE 52 NOTIFICATION OF SUCH INDIVIDUAL'S RIGHT TO BE HEARD WITHIN THIRTY CALEN- 53 DAR DAYS OF THE DATE OF THE GOVERNING BOARD'S WRITTEN NOTICE. 54 (II) THE GOVERNING BOARD MAY HOLD SUCH HEARINGS AS MAY BE NECESSARY 55 AND SIT AND ACT ONLY IN EXECUTIVE SESSION AT SUCH TIMES AND PLACES AND 56 SOLICIT SUCH TESTIMONY AND RECEIVE SUCH RELEVANT EVIDENCE AS MAY BE S. 2794 20 1 NECESSARY TO CARRY OUT ITS DUTIES. THE BOARD SHALL PROVIDE THE INDIVID- 2 UAL WHO IS THE SUBJECT OF THE REVIEW THE OPPORTUNITY TO BE HEARD ON THE 3 MATTER WITHIN THIRTY CALENDAR DAYS OF SUCH WRITTEN NOTICE. 4 (III) NOT LATER THAN FORTY-FIVE CALENDAR DAYS AFTER THE GOVERNING 5 BOARD'S DECISION TO COMMENCE A SECOND-PHASE REVIEW, THE GOVERNING BOARD 6 SHALL PRESENT A WRITTEN REPORT TO THE JOINT LEGISLATIVE COMMISSION ON 7 ETHICS STANDARDS OR THE APPROPRIATE STANDING COMMITTEE ON ETHICS AND 8 DELIVER A COPY OF THE REPORT TO THE INDIVIDUAL WHO IS THE SUBJECT OF THE 9 REVIEW. SUCH WRITTEN REPORT SHALL INCLUDE: 10 (A) A STATEMENT THAT THE MATTER REQUIRES FURTHER REVIEW BY SUCH 11 COMMITTEE OR COMMISSION, AS APPROPRIATE; OR 12 (B) A RECOMMENDATION THAT THE MATTER UNDER REVIEW BE DISMISSED BY SUCH 13 COMMITTEE OR COMMISSION IN ACCORDANCE WITH PARAGRAPH (C) OF THIS SUBDI- 14 VISION; OR 15 (C) A STATEMENT THAT THE GOVERNING BOARD IS UNABLE TO RECOMMEND ACTION 16 BECAUSE OF A TIE VOTE. SUCH STATEMENT SHALL INCLUDE THE NUMBER OF 17 MEMBERS VOTING IN THE AFFIRMATIVE AND NEGATIVE AND A STATEMENT OF THE 18 NATURE OF THE REVIEW; AND 19 (D) A SUMMARY OF THE GOVERNING BOARD'S FINDINGS OF FACT. 20 (IV) THE GOVERNING BOARD SHALL ALSO TRANSMIT TO THE JOINT LEGISLATIVE 21 COMMISSION ON ETHICS STANDARDS OR THE APPROPRIATE STANDING COMMITTEE ON 22 ETHICS; CITATIONS TO ANY RELEVANT LAW, RULE, REGULATION OR STANDARD OF 23 CONDUCT; THE NAMES OF ALL WITNESSES; COPIES OF ANY DOCUMENTS SUBMITTED; 24 ANY CONCLUSIONS REGARDING THE VALIDITY OF THE ALLEGATIONS UPON WHICH THE 25 COMPLAINT OR REFERRAL IS BASED; AND A DESCRIPTION OF ANY RELEVANT INFOR- 26 MATION THAT THE GOVERNING BOARD WAS UNABLE TO OBTAIN AND WITNESSES IT 27 WAS UNABLE TO INTERVIEW, AND THE REASONS THEREFOR. 28 (V) THE GOVERNING BOARD MAY, BY AN AFFIRMATIVE VOTE OF A MAJORITY OF 29 ITS MEMBERS, EXTEND THE PERIOD TO PRESENT A WRITTEN REPORT PURSUANT TO 30 SUBPARAGRAPH (III) OF THIS PARAGRAPH FOR ONE ADDITIONAL PERIOD OF NOT 31 MORE THAN FOURTEEN CALENDAR DAYS. 32 (C) RECOMMENDATION TO DISMISS. PURSUANT TO CLAUSE (B) OF SUBPARAGRAPH 33 (III) OF PARAGRAPH (B) OF THIS SUBDIVISION, THE GOVERNING BOARD MAY, BY 34 AN AFFIRMATIVE VOTE OF NOT LESS THAN FOUR MEMBERS, RECOMMEND TO THE 35 JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS OR THE APPROPRIATE 36 STANDING COMMITTEE ON ETHICS THAT THE MATTER UNDER SECOND-PHASE REVIEW 37 BE DISMISSED. SUCH RECOMMENDATION TO SUCH COMMITTEE OR COMMISSION MAY BE 38 BASED ON ANY GROUND INCLUDING, BUT NOT LIMITED TO, ITS DETERMINATION 39 THAT THE ALLEGED VIOLATION: 40 (I) WAS DE MINIMIS IN NATURE; 41 (II) WAS CURED; OR 42 (III) SHOULD BE RESOLVED PURSUANT TO A SETTLEMENT AGREEMENT. 43 ANY MATTER SO DISMISSED BY SUCH COMMITTEE OR COMMISSION SHALL BE DEEMED 44 A PRELIMINARY REVIEW TERMINATION PURSUANT TO SUBPARAGRAPH (IV) OF PARA- 45 GRAPH (A) OF THIS SUBDIVISION, PROVIDED THAT SUCH COMMITTEE OR COMMIS- 46 SION SHALL MAKE PUBLIC THE TERMS OF ANY SETTLEMENT OR COMPROMISE WHICH 47 INCLUDES A FINE, PENALTY OR OTHER REMEDY. 48 (D) ADOPTION OF RULES. THE GOVERNING BOARD SHALL ADOPT RULES TO CARRY 49 OUT ITS DUTIES, WHICH SHALL INCLUDE, BUT NOT BE LIMITED TO, THE FOLLOW- 50 ING: 51 (I) A RULE REQUIRING THAT ALL WITNESSES SIGN A STATEMENT ACKNOWLEDGING 52 THE UNDERSTANDING THAT FALSE TESTIMONY AND THE SUBMISSION OF FALSE DOCU- 53 MENTS CONSTITUTES PERJURY AND IS PUNISHABLE BY LAW. 54 (II) A RULE REQUIRING THAT THERE BE NO EX PARTE COMMUNICATIONS BETWEEN 55 ANY MEMBER OF THE GOVERNING BOARD OR STAFF OF THE OFFICE AND ANY INDI- 56 VIDUAL WHO IS THE SUBJECT OF ANY REVIEW BY THE GOVERNING BOARD OR S. 2794 21 1 BETWEEN ANY MEMBER OR STAFF AND ANY INTERESTED PARTY, AND THAT NO MEMBER 2 OR OFFICER OF THE LEGISLATURE, OR LEGISLATIVE EMPLOYEE MAY COMMUNICATE 3 WITH ANY MEMBER OF THE GOVERNING BOARD OR STAFF OF THE OFFICE REGARDING 4 ANY MATTER UNDER REVIEW BY THE GOVERNING BOARD EXCEPT AS AUTHORIZED BY 5 THE BOARD. 6 (III) A RULE THAT ESTABLISHES A CODE OF CONDUCT TO GOVERN THE BEHAVIOR 7 OF ITS MEMBERS AND STAFF, WHICH SHALL INCLUDE THE AVOIDANCE OF CONFLICTS 8 OF INTEREST. 9 5. REQUESTS FROM THE ASSEMBLY OR SENATE STANDING COMMITTEE ON ETHICS. 10 IN ADDITION TO REFERRALS OF POSSIBLE VIOLATIONS OF SECTION 11 SEVENTY-THREE, SEVENTY-THREE-A OR SEVENTY-FOUR OF THE PUBLIC OFFICERS 12 LAW, THE ASSEMBLY OR SENATE STANDING COMMITTEE ON ETHICS MAY REQUEST 13 THAT THE BOARD REVIEW AND CONDUCT AN INVESTIGATION OF ANY MATTER OR 14 ASPECT OF ANY MATTER BEFORE THE COMMITTEE. NOTWITHSTANDING ANY OTHER 15 PROVISIONS OF THIS SECTION, UPON RECEIPT OF A WRITTEN REQUEST FROM THE 16 APPROPRIATE COMMITTEE THAT THE BOARD CEASE ITS REVIEW OF ANY MATTER 17 OTHER THAN A REFERRAL OF AN ALLEGED VIOLATION OF SECTIONS SEVENTY-THREE, 18 SEVENTY-THREE-A, AND SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW AND REFER 19 SUCH MATTER TO THE COMMITTEE BECAUSE OF THE ONGOING INVESTIGATION OF 20 SUCH MATTER BY THE COMMITTEE, THE BOARD SHALL REFER SUCH MATTER BACK TO 21 THE COMMITTEE AND CEASE ITS PRELIMINARY OR SECOND-PHASE REVIEW, AS 22 APPLICABLE, OF THAT MATTER AND SO NOTIFY ANY INDIVIDUAL WHO IS THE 23 SUBJECT OF THE REVIEW. IN ANY SUCH CASE, THE BOARD SHALL SEND A WRITTEN 24 REPORT TO THE COMMITTEE CONTAINING A STATEMENT THAT, UPON THE REQUEST OF 25 THAT COMMITTEE, THE MATTER IS REFERRED TO IT FOR ITS CONSIDERATION, BUT 26 NOT ANY FINDINGS. SUCH REPORT SHALL BE SUBJECT TO THE PROVISIONS OF 27 SUBPARAGRAPH (IV) OF PARAGRAPH (A) OF SUBDIVISION SEVEN OF THIS SECTION. 28 6. LIMITATIONS ON REVIEW. (A) NO REVIEW SHALL BE UNDERTAKEN BY THE 29 BOARD OF ANY ALLEGED VIOLATION OF LAW, RULE, REGULATION OR STANDARD OF 30 CONDUCT NOT IN EFFECT AT THE TIME OF THE ALLEGED VIOLATION. 31 (B) IF THE BOARD IS AWARE OR BECOMES AWARE THAT ALLEGED CRIMINAL 32 CONDUCT WHICH MIGHT ALSO VIOLATE SECTION SEVENTY-THREE, SEVENTY-THREE-A 33 OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW IS UNDER INVESTIGATION BY A 34 FEDERAL, STATE, OR LOCAL LAW ENFORCEMENT AGENCY OR IS BEING PROSECUTED 35 IN STATE OR FEDERAL COURT, IT SHALL HOLD THE MATTER IN ABEYANCE UNTIL 36 THE CRIMINAL MATTER IS RESOLVED. 37 7. PROHIBITION ON PUBLIC DISCLOSURE. (A) (I) WHEN AN INDIVIDUAL 38 BECOMES A MEMBER OF THE BOARD OR STAFF OF THE OFFICE, THAT INDIVIDUAL 39 SHALL BE REQUIRED TO SIGN A NON-DISCLOSURE STATEMENT. 40 (II) NO TESTIMONY RECEIVED OR ANY OTHER INFORMATION OBTAINED BY A 41 MEMBER OF THE BOARD OR STAFF OF THE OFFICE SHALL BE DISCLOSED BY ANY 42 SUCH INDIVIDUAL TO ANY PERSON OR ENTITY OUTSIDE THE OFFICE. ANY CONFI- 43 DENTIAL COMMUNICATION TO ANY PERSON OR ENTITY OUTSIDE THE OFFICE RELATED 44 TO THE MATTERS BEFORE THE BOARD MAY OCCUR ONLY AS AUTHORIZED BY THE 45 BOARD AS NECESSARY TO CONDUCT OFFICIAL BUSINESS OR PURSUANT TO BOARD 46 RULES. 47 (III) THE OFFICE SHALL ESTABLISH PROCEDURES NECESSARY TO PREVENT THE 48 UNAUTHORIZED DISCLOSURE OF ANY INFORMATION RECEIVED BY ANY MEMBER OF THE 49 BOARD OR STAFF OF THE OFFICE. ANY BREACHES OF CONFIDENTIALITY SHALL BE 50 INVESTIGATED BY THE BOARD AND APPROPRIATE ACTION SHALL BE TAKEN. 51 (IV) NOTWITHSTANDING THE PROVISIONS OF ARTICLE SIX OF THE PUBLIC OFFI- 52 CERS LAW, THE RECORDS OF THE BOARD ARE CONFIDENTIAL AND SHALL BE 53 DISCLOSED ONLY AS EXPRESSLY PROVIDED OTHERWISE BY THIS SECTION OR THE 54 BOARD. S. 2794 22 1 (V) NOTWITHSTANDING THE PROVISIONS OF ARTICLE SEVEN OF THE PUBLIC 2 OFFICERS LAW, NO MEETING OF THE BOARD SHALL BE OPEN TO THE PUBLIC EXCEPT 3 IF EXPRESSLY PROVIDED OTHERWISE BY THIS SECTION OR THE BOARD. 4 (B) PARAGRAPH (A) OF THIS SUBDIVISION SHALL NOT PRECLUDE BOARD MEMBERS 5 OR THE BOARD'S STAFF FROM PRESENTING A REPORT OR FINDINGS OR TESTIFYING 6 BEFORE THE ASSEMBLY OR SENATE STANDING COMMITTEE ON ETHICS OR TO THE 7 JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS RELATING TO OFFICIAL 8 CONDUCT OF ANY MEMBER, OFFICER, OR LEGISLATIVE EMPLOYEE. 9 8. PRESENTATION OF REPORTS. WHENEVER THE BOARD TRANSMITS ANY REPORT 10 TO A STANDING COMMITTEE ON ETHICS OR TO THE JOINT LEGISLATIVE COMMISSION 11 ON ETHICS STANDARDS RELATING TO OFFICIAL CONDUCT OF ANY MEMBER, OFFICER, 12 OR LEGISLATIVE EMPLOYEE, IT SHALL DESIGNATE A MEMBER OF THE BOARD OR 13 STAFF TO PRESENT THE REPORT TO SUCH COMMITTEE OR COMMISSION IF REQUESTED 14 BY SUCH COMMITTEE OR COMMISSION. 15 9. REIMBURSEMENTS. THE BOARD MAY REIMBURSE ITS MEMBERS AND STAFF FOR 16 TRAVEL, SUBSISTENCE, AND OTHER NECESSARY EXPENSES INCURRED BY THEM IN 17 THE PERFORMANCE OF THEIR DUTIES IN THE SAME MANNER AS IS PERMISSIBLE FOR 18 SUCH EXPENSES OF LEGISLATIVE EMPLOYEES. 19 10. (A) PUBLIC DISCLOSURE. NOT LATER THAN FORTY-FIVE CALENDAR DAYS 20 AFTER RECEIPT FROM THE BOARD OF A WRITTEN REPORT AND ANY FINDINGS AND 21 SUPPORTING DOCUMENTATION REGARDING A MATTER BEFORE THE BOARD, THE CHAIR- 22 PERSON OF THE ASSEMBLY OR SENATE STANDING COMMITTEE ON ETHICS OR THE 23 CHAIRPERSONS OF THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS, AS 24 APPROPRIATE, SHALL MAKE PUBLIC THE WRITTEN REPORT OF THE BOARD UNLESS 25 THE COMMITTEE OR COMMISSION, AS APPROPRIATE, DECIDES TO WITHHOLD SUCH 26 INFORMATION FOR NOT MORE THAN ONE ADDITIONAL PERIOD OF THE SAME DURA- 27 TION, IN WHICH CASE THE CHAIRPERSON OR CHAIRPERSONS SHALL UPON THE 28 TERMINATION OF SUCH ADDITIONAL PERIOD, MAKE PUBLIC THE WRITTEN REPORT, 29 AND UPON THE DAY OF SUCH DECISION OR VOTE, MAKE A PUBLIC STATEMENT THAT 30 THE COMMITTEE OR COMMISSION, AS APPROPRIATE, HAS VOTED TO EXTEND THE 31 MATTER RELATING TO THE REFERRAL MADE BY THE BOARD REGARDING THE INDIVID- 32 UAL WHO IS THE SUBJECT OF THE APPLICABLE REFERRAL. 33 (B) AT LEAST ONE CALENDAR DAY BEFORE THE COMMITTEE OR COMMISSION, AS 34 APPROPRIATE, MAKES PUBLIC ANY WRITTEN REPORT AND FINDINGS OF THE BOARD, 35 THE CHAIRPERSON OR CHAIRPERSONS SHALL NOTIFY SUCH BOARD AND THE INDIVID- 36 UAL WHO IS THE SUBJECT OF THE INVESTIGATION OF THAT FACT AND TRANSMIT TO 37 SUCH INDIVIDUAL A COPY OF THE STATEMENT ON THE COMMITTEE'S OR COMMIS- 38 SION'S DISPOSITION OF, AND ANY COMMITTEE REPORT ON, THE MATTER. 39 11. NOTWITHSTANDING PARAGRAPH (A) OF SUBDIVISION TEN OF THIS SECTION, 40 IF THE COMMITTEE OR COMMISSION, AS APPROPRIATE, VOTES TO DISMISS A 41 MATTER WHICH IS THE SUBJECT OF A REFERRAL FROM THE BOARD, THE COMMITTEE 42 OR COMMISSION IS NOT REQUIRED TO MAKE PUBLIC THE WRITTEN REPORT 43 DESCRIBED IN SUCH SUBDIVISION UNLESS THE COMMITTEE'S OR COMMISSION'S 44 VOTE IS INCONSISTENT WITH THE RECOMMENDATION OF THE BOARD. FOR PURPOSES 45 OF THE PREVIOUS SENTENCE, A VOTE BY THE COMMITTEE OR COMMISSION TO 46 DISMISS A MATTER IS NOT INCONSISTENT WITH A REPORT FROM THE BOARD 47 RESPECTING THE MATTER AS UNRESOLVED DUE TO A TIE VOTE. 48 12. NOTWITHSTANDING PARAGRAPH (A) OF SUBDIVISION TEN OF THIS SECTION, 49 IF THE BOARD TRANSMITS A REPORT RESPECTING ANY MATTER WITH A RECOMMENDA- 50 TION TO DISMISS OR AS UNRESOLVED DUE TO A TIE VOTE, AND THE COMMITTEE OR 51 COMMISSION VOTES TO EXTEND THE MATTER FOR AN ADDITIONAL PERIOD AS 52 PROVIDED IN SUBDIVISION TEN OF THIS SECTION, THE COMMITTEE OR COMMISSION 53 IS NOT REQUIRED TO MAKE A PUBLIC STATEMENT THAT THE COMMITTEE OR COMMIS- 54 SION HAS VOTED TO EXTEND THE MATTER. EXCEPT AS OTHERWISE PROVIDED, THE 55 REPORT SHALL BE MADE PUBLIC. S. 2794 23 1 13. IF THE COMMISSION OR COMMITTEE IS AWARE THAT ALLEGED CRIMINAL 2 CONDUCT WHICH MIGHT ALSO VIOLATE SECTION SEVENTY-THREE, SEVENTY-THREE-A 3 OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW IS UNDER INVESTIGATION BY A 4 FEDERAL, STATE, OR LOCAL LAW ENFORCEMENT AGENCY OR IS BEING PROSECUTED 5 IN LOCAL, STATE OR FEDERAL COURT, IT SHALL HOLD THE MATTER IN ABEYANCE 6 UNTIL THE CRIMINAL MATTER IS RESOLVED. 7 S 81. JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS. A. THERE IS 8 ESTABLISHED A JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS WHICH 9 SHALL CONSIST OF EIGHT MEMBERS AND WHICH SHALL BE RESPONSIBLE FOR TRAIN- 10 ING, EDUCATION, AND ADVICE REGARDING SECTIONS SEVENTY-THREE, 11 SEVENTY-THREE-A AND SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW AND REVIEW 12 THE ENFORCEMENT OF SUCH SECTIONS. FOUR MEMBERS SHALL BE MEMBERS OF THE 13 LEGISLATURE AND SHALL BE APPOINTED AS FOLLOWS: ONE BY THE TEMPORARY 14 PRESIDENT OF THE SENATE, ONE BY THE SPEAKER OF THE ASSEMBLY, ONE BY THE 15 MINORITY LEADER OF THE SENATE AND ONE BY THE MINORITY LEADER OF THE 16 ASSEMBLY. THE REMAINING FOUR MEMBERS SHALL NOT BE PRESENT OR FORMER 17 MEMBERS OF THE LEGISLATURE AND SHALL NOT BE AND SHALL NOT HAVE BEEN IN 18 THE PREVIOUS FIVE YEARS, CANDIDATES FOR MEMBER OF THE LEGISLATURE, 19 EMPLOYEES OF THE LEGISLATURE, OR PERSONS WHO HAVE BEEN EMPLOYEES OF THE 20 LEGISLATURE, POLITICAL PARTY CHAIRMEN AS DEFINED IN PARAGRAPH (K) OF 21 SUBDIVISION ONE OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW, OR 22 LOBBYISTS REQUIRED TO REGISTER IN NEW YORK STATE OR ANY OTHER JURISDIC- 23 TION. THE FOUR MEMBERS WHO ARE NOT LEGISLATORS SHALL BE APPOINTED AS 24 FOLLOWS: ONE BY THE TEMPORARY PRESIDENT OF THE SENATE, ONE BY THE SPEAK- 25 ER OF THE ASSEMBLY, ONE BY THE MINORITY LEADER OF THE SENATE, AND ONE BY 26 THE MINORITY LEADER OF THE ASSEMBLY. THE COMMISSION SHALL SERVE AS 27 DESCRIBED IN THIS SECTION AND HAVE AND EXERCISE THE POWERS AND DUTIES 28 SET FORTH IN THIS SECTION ONLY WITH RESPECT TO MEMBERS OF THE LEGISLA- 29 TURE, LEGISLATIVE EMPLOYEES AS DEFINED IN SECTION SEVENTY-THREE OF THE 30 PUBLIC OFFICERS LAW, CANDIDATES FOR MEMBER OF THE LEGISLATURE AND INDI- 31 VIDUALS WHO HAVE FORMERLY HELD SUCH POSITIONS OR WHO HAVE FORMERLY BEEN 32 SUCH CANDIDATES. 33 B. MEMBERS OF THE LEGISLATURE WHO SERVE ON THE COMMISSION SHALL EACH 34 HAVE A TWO YEAR TERM CONCURRENT WITH THEIR LEGISLATIVE TERMS OF OFFICE. 35 THE MEMBERS OF THE COMMISSION WHO ARE NOT MEMBERS OF THE LEGISLATURE AND 36 WHO ARE FIRST APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE, SPEAK- 37 ER OF THE ASSEMBLY, MINORITY LEADER OF THE SENATE, AND MINORITY LEADER 38 OF THE ASSEMBLY SHALL SERVE ONE, TWO, THREE AND FOUR YEAR TERMS, RESPEC- 39 TIVELY. EACH MEMBER OF THE COMMISSION WHO IS NOT A MEMBER OF THE LEGIS- 40 LATURE SHALL BE APPOINTED THEREAFTER FOR A TERM OF FOUR YEARS AND MAY BE 41 REMOVED BY THE APPOINTING AUTHORITY FOR SUBSTANTIAL NEGLECT OF DUTY, 42 MISCONDUCT IN OFFICE, INABILITY TO DISCHARGE THE POWERS OR DUTIES OF THE 43 OFFICE OR VIOLATIONS OF THIS SECTION AFTER WRITTEN NOTICE AND OPPORTU- 44 NITY FOR A REPLY. 45 C. THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF THE ASSEM- 46 BLY SHALL EACH DESIGNATE ONE MEMBER OF THE COMMISSION AS A CO-CHAIRPER- 47 SON THEREOF. THE COMMISSION SHALL MEET AT LEAST BI-MONTHLY AND AT SUCH 48 ADDITIONAL TIMES AS MAY BE CALLED FOR BY THE CO-CHAIRPERSONS JOINTLY OR 49 ANY FOUR MEMBERS OF THE COMMISSION. 50 D. ANY VACANCY OCCURRING ON THE COMMISSION SHALL BE FILLED WITHIN 51 SIXTY DAYS BY THE APPOINTING AUTHORITY. 52 E. FIVE MEMBERS OF THE COMMISSION SHALL CONSTITUTE A QUORUM, AND THE 53 COMMISSION SHALL HAVE POWER TO ACT BY MAJORITY VOTE OF THE TOTAL NUMBER 54 OF MEMBERS OF THE COMMISSION WITHOUT VACANCY. 55 F. EACH MEMBER OF THE COMMISSION WHO IS NOT A MEMBER OF THE LEGISLA- 56 TURE SHALL RECEIVE, AS COMPENSATION FOR HIS OR HER SERVICES UNDER THIS S. 2794 24 1 ARTICLE, A PER DIEM ALLOWANCE IN THE SUM OF ONE HUNDRED DOLLARS FOR EACH 2 DAY ACTUALLY SPENT IN THE PERFORMANCE OF HIS OR HER DUTIES UNDER THIS 3 ARTICLE, NOT EXCEEDING, HOWEVER, THE SUM OF FIVE THOUSAND DOLLARS IN ANY 4 CALENDAR YEAR, AND, IN ADDITION THERETO, SHALL BE REIMBURSED FOR ALL 5 REASONABLE EXPENSES ACTUALLY AND NECESSARILY INCURRED BY HIM OR HER IN 6 THE PERFORMANCE OF HIS OR HER DUTIES UNDER THIS ARTICLE. 7 G. THE COMMISSION SHALL: 8 1. APPOINT AN EXECUTIVE DIRECTOR FOR A THREE YEAR TERM WHO SHALL ACT 9 IN ACCORDANCE WITH THE POLICIES OF THE COMMISSION AND WHO SHALL BE 10 DISMISSED ONLY FOR CAUSE BY A MAJORITY VOTE OF THE COMMISSION; 11 2. APPOINT SUCH OTHER STAFF AS ARE NECESSARY TO ASSIST IT TO CARRY 12 OUT ITS DUTIES UNDER THIS SECTION; 13 3. ADOPT, AMEND, AND RESCIND POLICIES, RULES AND REGULATIONS CONSIST- 14 ENT WITH THIS SECTION TO GOVERN PROCEDURES OF THE COMMISSION WHICH SHALL 15 NOT BE SUBJECT TO THE PROMULGATION AND HEARING REQUIREMENTS OF THE STATE 16 ADMINISTRATIVE PROCEDURE ACT; 17 4. ADMINISTER THE PROVISIONS OF THIS SECTION; 18 5. SPECIFY THE PROCEDURES WHEREBY A PERSON WHO IS REQUIRED TO FILE AN 19 ANNUAL FINANCIAL DISCLOSURE STATEMENT WITH THE COMMISSION MAY REQUEST AN 20 ADDITIONAL PERIOD OF TIME WITHIN WHICH TO FILE SUCH STATEMENT, DUE TO 21 JUSTIFIABLE CAUSE OR UNDUE HARDSHIP; SUCH RULES OR REGULATIONS SHALL 22 PROVIDE FOR A DATE BEYOND WHICH IN ALL CASES OF JUSTIFIABLE CAUSE OR 23 UNDUE HARDSHIP NO FURTHER EXTENSION OF TIME WILL BE GRANTED; 24 6. PROMULGATE GUIDELINES TO ASSIST APPOINTING AUTHORITIES IN DETER- 25 MINING WHICH PERSONS HOLD POLICY-MAKING POSITIONS FOR PURPOSES OF 26 SECTION SEVENTY-THREE-A OF THE PUBLIC OFFICERS LAW AND MAY PROMULGATE 27 GUIDELINES TO ASSIST FIRMS, ASSOCIATIONS AND CORPORATIONS IN SEPARATING 28 AFFECTED PERSONS FROM NET REVENUES FOR PURPOSES OF SUBDIVISION TEN OF 29 SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW, AND PROMULGATE GUIDE- 30 LINES TO ASSIST ANY FIRM, ASSOCIATION OR CORPORATION IN WHICH ANY PRES- 31 ENT OR FORMER STATEWIDE ELECTED OFFICIAL, STATE OFFICER OR EMPLOYEE, 32 MEMBER OF THE LEGISLATURE OR LEGISLATIVE EMPLOYEE, OR POLITICAL PARTY 33 CHAIR IS A MEMBER, ASSOCIATE, RETIRED MEMBER, OF COUNSEL OR SHAREHOLDER, 34 IN COMPLYING WITH THE PROVISIONS OF SUBDIVISION TEN OF SECTION SEVENTY- 35 THREE OF THE PUBLIC OFFICERS LAW WITH RESPECT TO THE SEPARATION OF SUCH 36 PRESENT OR FORMER STATEWIDE ELECTED OFFICIAL, STATE OFFICER OR EMPLOYEE, 37 MEMBER OF THE LEGISLATURE OR LEGISLATIVE EMPLOYEE, OR POLITICAL PARTY 38 CHAIRMAN FROM THE NET REVENUES OF THE FIRM, ASSOCIATION OR CORPORATION. 39 SUCH FIRM, ASSOCIATION OR CORPORATION SHALL NOT BE REQUIRED TO ADOPT THE 40 PROCEDURES CONTAINED IN THE GUIDELINES TO ESTABLISH COMPLIANCE WITH 41 SUBDIVISION TEN OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW, BUT 42 IF SUCH FIRM, ASSOCIATION OR CORPORATION DOES ADOPT SUCH PROCEDURES, IT 43 SHALL BE DEEMED TO BE IN COMPLIANCE WITH SUCH SUBDIVISION TEN; 44 7. MAKE AVAILABLE FORMS FOR FINANCIAL DISCLOSURE STATEMENTS REQUIRED 45 TO BE FILED PURSUANT TO SUBDIVISION SIX OF SECTION SEVENTY-THREE AND 46 SECTION SEVENTY-THREE-A OF THE PUBLIC OFFICERS LAW; 47 8. REVIEW FINANCIAL DISCLOSURE STATEMENTS IN ACCORDANCE WITH THE 48 PROVISIONS OF THIS SECTION, PROVIDED HOWEVER, THAT THE COMMISSION MAY 49 DELEGATE ALL OR PART OF THE REVIEW FUNCTION RELATING TO FINANCIAL 50 DISCLOSURE STATEMENTS PURSUANT TO SECTIONS SEVENTY-THREE AND 51 SEVENTY-THREE-A OF THE PUBLIC OFFICERS LAW TO THE EXECUTIVE DIRECTOR WHO 52 SHALL BE RESPONSIBLE FOR COMPLETING STAFF REVIEW OF SUCH STATEMENTS IN A 53 MANNER CONSISTENT WITH THE TERMS OF THE COMMISSION'S DELEGATION. SUCH 54 REVIEW SHALL REQUIRE THAT ALL STATEMENTS OF FINANCIAL DISCLOSURE FILED 55 WITH THE COMMISSION BE EXAMINED TO ENSURE THAT EACH STATEMENT IS FACIAL- 56 LY COMPLETE AND SIGNED BY THE REPORTING INDIVIDUAL; S. 2794 25 1 9. PERMIT ANY PERSON REQUIRED TO FILE A FINANCIAL DISCLOSURE STATE- 2 MENT TO REQUEST THE COMMISSION TO DELETE FROM THE COPY THEREOF MADE 3 AVAILABLE FOR PUBLIC INSPECTION AND COPYING ONE OR MORE ITEMS OF INFOR- 4 MATION, WHICH MAY BE DELETED BY THE COMMISSION UPON A FINDING THAT THE 5 INFORMATION WHICH WOULD OTHERWISE BE REQUIRED TO BE DISCLOSED WILL HAVE 6 NO MATERIAL BEARING ON THE DISCHARGE OF THE REPORTING PERSON'S OFFICIAL 7 DUTIES; 8 10. PERMIT ANY PERSON REQUIRED TO FILE A FINANCIAL DISCLOSURE STATE- 9 MENT TO REQUEST AN EXEMPTION FROM ANY REQUIREMENT TO REPORT ONE OR MORE 10 ITEMS OF INFORMATION WHICH PERTAIN TO SUCH PERSON'S SPOUSE OR UNEMANCI- 11 PATED CHILDREN WHICH ITEM OR ITEMS MAY BE EXEMPTED BY THE COMMISSION 12 UPON A FINDING THAT THE REPORTING INDIVIDUAL'S SPOUSE, ON HIS OR HER OWN 13 BEHALF OR ON BEHALF OF AN UNEMANCIPATED CHILD, OBJECTS TO PROVIDING THE 14 INFORMATION NECESSARY TO MAKE SUCH DISCLOSURE AND THAT THE INFORMATION 15 WHICH WOULD OTHERWISE BE REQUIRED TO BE REPORTED WILL HAVE NO MATERIAL 16 BEARING ON THE DISCHARGE OF THE REPORTING PERSON'S OFFICIAL DUTIES; 17 11. ADVISE AND ASSIST THE LEGISLATURE IN ESTABLISHING RULES AND REGU- 18 LATIONS RELATING TO POSSIBLE CONFLICTS BETWEEN PRIVATE INTERESTS AND 19 OFFICIAL DUTIES OF PRESENT MEMBERS OF THE LEGISLATURE AND LEGISLATIVE 20 EMPLOYEES; 21 12. RECEIVE COMPLAINTS REGARDING PERSONS SUBJECT TO ITS JURISDICTION 22 ALLEGING A POSSIBLE VIOLATION OF SECTION SEVENTY-THREE, SEVENTY-THREE-A 23 OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW, AND REFER SUCH COMPLAINTS 24 FOR INVESTIGATION TO THE LEGISLATIVE OFFICE OF ETHICS INVESTIGATIONS AS 25 WELL AS ANY OTHER POSSIBLE VIOLATIONS OF SUCH SECTIONS BY SUCH PERSONS 26 THAT THE COMMISSION DETERMINES ON ITS OWN INITIATIVE WARRANTS INVESTI- 27 GATION; 28 13. RECEIVE AND REFER AS APPROPRIATE, AS IF IT WERE A SWORN COMPLAINT, 29 ANY REFERRAL FROM ANOTHER STATE OVERSIGHT BODY INDICATING THAT A 30 VIOLATION OF SECTION SEVENTY-THREE OR SEVENTY-FOUR OF THE PUBLIC OFFI- 31 CERS LAW MAY HAVE OCCURRED INVOLVING PERSONS SUBJECT TO THE JURISDICTION 32 OF THE COMMISSION; 33 14. UPON WRITTEN REQUEST FROM ANY PERSON WHO IS SUBJECT TO THE JURIS- 34 DICTION OF THE COMMISSION AND THE REQUIREMENTS OF SECTIONS 35 SEVENTY-THREE, SEVENTY-THREE-A AND SEVENTY-FOUR OF THE PUBLIC OFFICERS 36 LAW RENDER FORMAL ADVISORY OPINIONS ON THE REQUIREMENTS OF SAID 37 PROVISIONS. A FORMAL OPINION RENDERED BY THE COMMISSION, UNTIL AND 38 UNLESS AMENDED OR REVOKED, SHALL BE BINDING ON THE LEGISLATIVE OFFICE OF 39 ETHICS INVESTIGATIONS IN ANY SUBSEQUENT PROCEEDING CONCERNING THE PERSON 40 WHO REQUESTED THE OPINION AND WHO ACTED IN GOOD FAITH, UNLESS MATERIAL 41 FACTS WERE OMITTED OR MISSTATED BY THE PERSON IN THE REQUEST FOR AN 42 OPINION. SUCH OPINION MAY ALSO BE RELIED UPON BY SUCH PERSON, AND MAY BE 43 INTRODUCED AND SHALL BE A DEFENSE IN ANY CRIMINAL OR CIVIL ACTION; 44 15. ISSUE AND PUBLISH GENERIC ADVISORY OPINIONS COVERING QUESTIONS 45 FREQUENTLY POSED TO THE COMMISSION, OR QUESTIONS COMMON TO A CLASS OR 46 DEFINED CATEGORY OF PERSONS, OR THAT WILL TEND TO PREVENT UNDUE REPE- 47 TITION OF REQUESTS OR UNDUE COMPLICATION, AND WHICH ARE INTENDED TO 48 PROVIDE GENERAL GUIDANCE AND INFORMATION TO PERSONS SUBJECT TO THE 49 COMMISSION'S JURISDICTION; 50 16. DEVELOP EDUCATIONAL MATERIALS AND TRAINING WITH REGARD TO LEGIS- 51 LATIVE ETHICS FOR MEMBERS OF THE LEGISLATURE AND LEGISLATIVE EMPLOYEES; 52 17. PREPARE AN ANNUAL REPORT TO THE GOVERNOR AND LEGISLATURE SUMMARIZ- 53 ING THE ACTIVITIES OF THE COMMISSION DURING THE PREVIOUS YEAR AND RECOM- 54 MENDING ANY CHANGES IN THE LAWS GOVERNING THE CONDUCT OF PERSONS SUBJECT 55 TO THE JURISDICTION OF THE COMMISSION, OR THE RULES, REGULATIONS AND 56 PROCEDURES GOVERNING THE COMMISSION'S CONDUCT. SUCH REPORT SHALL BE S. 2794 26 1 POSTED ON THE COMMISSION'S WEBSITE AND SHALL INCLUDE: (I) THE NUMBER OF 2 REPORTING INDIVIDUALS WHOSE FILES WERE REVIEWED PURSUANT TO SUBDIVISION 3 EIGHTEEN OF THIS SECTION DURING THE PREVIOUS YEAR AND WHICH, IF ANY, 4 CLASSES WERE SELECTED FOR CLASS REVIEW RATHER THAN RANDOM REVIEW, (II) A 5 LISTING BY ASSIGNED NUMBER OF EACH COMPLAINT AND REFERRAL RECEIVED WHICH 6 ALLEGED A POSSIBLE VIOLATION WITHIN ITS JURISDICTION, INCLUDING THE 7 CURRENT STATUS OF EACH COMPLAINT, AND (III) WHERE A MATTER HAS BEEN 8 RESOLVED, THE DATE AND NATURE OF THE DISPOSITION AND ANY SANCTION 9 IMPOSED, SUBJECT TO THE CONFIDENTIALITY REQUIREMENTS OF THIS SECTION. 10 SUCH ANNUAL REPORT SHALL NOT CONTAIN ANY INFORMATION FOR WHICH DISCLO- 11 SURE IS NOT PERMITTED PURSUANT TO SUBDIVISION FOURTEEN OF THIS SECTION; 12 AND 13 18. PROMULGATE GUIDELINES FOR THE COMMISSION TO CONDUCT A PROGRAM OF 14 RANDOM REVIEWS, TO BE CARRIED OUT IN THE FOLLOWING MANNER: (I) ANNUAL 15 STATEMENTS OF FINANCIAL DISCLOSURE SHALL BE SELECTED FOR REVIEW IN A 16 MANNER PURSUANT TO WHICH THE IDENTITY OF ANY PARTICULAR PERSON WHOSE 17 STATEMENT IS SELECTED IS UNKNOWN TO THE COMMISSION, ITS STAFF AND TO THE 18 LEGISLATIVE OFFICE OF ETHICS INVESTIGATION PRIOR TO ITS SELECTION; (II) 19 SUCH REVIEW SHALL INCLUDE A PRELIMINARY EXAMINATION OF THE SELECTED 20 STATEMENT FOR INTERNAL CONSISTENCY, A COMPARISON WITH OTHER RECORDS 21 MAINTAINED BY THE COMMISSION, INCLUDING PREVIOUSLY FILED STATEMENTS AND 22 REQUESTS FOR ADVISORY OPINIONS, AND EXAMINATION OF RELEVANT PUBLIC 23 INFORMATION, INCLUDING, BUT NOT LIMITED TO, RECORDS FILED WITH THE 24 COMMISSION ON LOBBYING ETHICS AND COMPLIANCE AND THE DEPARTMENT OF 25 STATE; (III) UPON COMPLETION OF THE PRELIMINARY EXAMINATION, THE COMMIS- 26 SION SHALL DETERMINE WHETHER FURTHER INQUIRY IS WARRANTED, WHEREUPON IT 27 SHALL NOTIFY THE REPORTING INDIVIDUAL IN WRITING THAT THE STATEMENT IS 28 UNDER REVIEW, ADVISE THE REPORTING INDIVIDUAL OF THE SPECIFIC AREAS OF 29 INQUIRY, AND PROVIDE THE REPORTING INDIVIDUAL WITH THE OPPORTUNITY TO 30 PROVIDE THE COMMISSION WITH ANY RELEVANT INFORMATION RELATED TO THE 31 SPECIFIC AREAS OF INQUIRY, AND THE OPPORTUNITY TO FILE AMENDMENTS TO THE 32 SELECTED STATEMENT ON FORMS PROVIDED BY THE COMMISSION; AND (IV) IF 33 THEREAFTER SUFFICIENT CAUSE EXISTS, THE COMMISSION SHALL REFER THE 34 MATTER TO THE LEGISLATIVE OFFICE OF ETHICS INVESTIGATIONS; PROVIDED, 35 HOWEVER IF THE COMMISSION CONDUCTS A REVIEW OF ALL STATEMENTS OF FINAN- 36 CIAL DISCLOSURE FILED BY A CLASS OF REPORTING INDIVIDUALS IN THE MANNER 37 SET FORTH IN THIS PARAGRAPH WITH RESPECT TO A GIVEN CALENDAR YEAR, THE 38 INDIVIDUALS WITHIN SUCH CLASS SHALL NOT BE SUBJECT TO RANDOM REVIEW. FOR 39 THE PURPOSES OF THIS PARAGRAPH, THE CLASSES OF REPORTING INDIVIDUALS ARE 40 MEMBERS OF THE LEGISLATURE, CANDIDATES FOR MEMBER OF THE LEGISLATURE, 41 LEGISLATIVE EMPLOYEES SUBJECT TO THE PROVISIONS OF SECTION 42 SEVENTY-THREE-A OF THE PUBLIC OFFICERS LAW, AND LEGISLATIVE EMPLOYEES 43 REQUIRED TO FILE A FINANCIAL DISCLOSURE STATEMENT PURSUANT TO SUBDIVI- 44 SION SIX OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW. 45 H. THE COMMISSION, OR THE EXECUTIVE DIRECTOR AND STAFF OF THE COMMIS- 46 SION IF RESPONSIBILITY REGARDING SUCH FINANCIAL DISCLOSURE STATEMENTS 47 FILED HAS BEEN DELEGATED, SHALL INSPECT ALL FINANCIAL DISCLOSURE STATE- 48 MENTS FILED WITH THE COMMISSION TO ASCERTAIN WHETHER ANY PERSON SUBJECT 49 TO THE REPORTING REQUIREMENTS OF SUBDIVISION SIX OF SECTION 50 SEVENTY-THREE OR SECTION SEVENTY-THREE-A OF THE PUBLIC OFFICERS LAW HAS 51 FAILED TO FILE SUCH A STATEMENT, HAS FILED A DEFICIENT STATEMENT OR HAS 52 FILED A STATEMENT WHICH REVEALS A POSSIBLE VIOLATION OF SECTION SEVEN- 53 TY-THREE, SEVENTY-THREE-A OR SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW. 54 I. 1. IF A PERSON REQUIRED TO FILE A FINANCIAL DISCLOSURE STATEMENT 55 WITH THE COMMISSION HAS FAILED TO FILE A FINANCIAL DISCLOSURE STATEMENT 56 OR HAS FILED A DEFICIENT STATEMENT, THE COMMISSION SHALL NOTIFY THE S. 2794 27 1 REPORTING PERSON IN WRITING, STATE THE FAILURE TO FILE OR DETAIL THE 2 DEFICIENCY, PROVIDE THE PERSON WITH A FIFTEEN DAY PERIOD TO CURE THE 3 DEFICIENCY, AND ADVISE THE PERSON OF THE PENALTIES FOR FAILURE TO COMPLY 4 WITH THE REPORTING REQUIREMENTS. SUCH NOTICE SHALL BE CONFIDENTIAL. IF 5 THE PERSON FAILS TO MAKE SUCH FILING OR FAILS TO CURE THE DEFICIENCY 6 WITHIN THE SPECIFIED TIME PERIOD, THE COMMISSION SHALL SEND A NOTICE OF 7 DELINQUENCY: (A) TO THE REPORTING PERSON; (B) IN THE CASE OF A SENATOR, 8 TO THE TEMPORARY PRESIDENT OF THE SENATE, AND IF A MEMBER OF ASSEMBLY, 9 TO THE SPEAKER OF THE ASSEMBLY; AND (C) IN THE CASE OF A LEGISLATIVE 10 EMPLOYEE, TO THE APPOINTING AUTHORITY FOR SUCH PERSON AND TO THE TEMPO- 11 RARY PRESIDENT OF THE SENATE OR THE SPEAKER OF THE ASSEMBLY, AS APPRO- 12 PRIATE, WHO HAS JURISDICTION OVER SUCH APPOINTING AUTHORITY. SUCH 13 NOTICE OF DELINQUENCY MAY BE SENT AT ANY TIME DURING THE REPORTING 14 PERSON'S SERVICE AS A MEMBER OF THE LEGISLATURE OR LEGISLATIVE EMPLOYEE 15 OR WHILE A CANDIDATE FOR MEMBER OF THE LEGISLATURE, OR WITHIN ONE YEAR 16 AFTER SEPARATION FROM SUCH SERVICE OR THE TERMINATION OF SUCH CANDIDACY. 17 THE JURISDICTION OF THE COMMISSION, WHEN ACTING PURSUANT TO SUBDIVISION 18 K OF THIS SECTION WITH RESPECT TO FINANCIAL DISCLOSURE, SHALL CONTINUE 19 NOTWITHSTANDING THAT THE REPORTING PERSON SEPARATES FROM STATE SERVICE 20 OR TERMINATES HIS OR HER CANDIDACY, PROVIDED THE COMMISSION NOTIFIES 21 SUCH PERSON OF THE ALLEGED FAILURE TO FILE OR DEFICIENT FILING PURSUANT 22 TO THIS SUBDIVISION. 23 2. IF THE PERSON REQUIRED TO FILE FAILS TO MAKE THE REQUIRED FILING 24 WITHIN THE FIFTEEN DAYS OF THE NOTICE OF DELINQUENCY, THE COMMISSION 25 SHALL NOTIFY THE PERSON IN WRITING, DESCRIBE THE ALLEGED VIOLATION THER- 26 EOF AND PROVIDE THE PERSON WITH A FIFTEEN DAY PERIOD IN WHICH TO SUBMIT 27 A WRITTEN RESPONSE SETTING FORTH INFORMATION RELATING TO THE ALLEGED 28 VIOLATION. IF THE COMMISSION THEREAFTER MAKES A DETERMINATION THAT 29 FURTHER INQUIRY IS JUSTIFIED, IT SHALL GIVE THE PERSON AN OPPORTUNITY 30 TO BE HEARD. THE COMMISSION SHALL ALSO PROVIDE THE PERSON WITH ITS RULES 31 REGARDING THE CONDUCT OF ADJUDICATORY PROCEEDINGS AND APPEALS AND THE 32 DUE PROCESS PROCEDURAL MECHANISMS AVAILABLE TO SUCH PERSON. IF THE 33 COMMISSION DETERMINES AT ANY STAGE OF THE PROCEEDING THAT THERE IS NO 34 VIOLATION OR THAT SUCH VIOLATION HAS BEEN CURED, IT SHALL SO ADVISE THE 35 PERSON. ALL OF THE FOREGOING PROCEEDINGS SHALL BE CONFIDENTIAL. 36 J. 1. IF A REPORTING PERSON HAS FILED A STATEMENT WHICH REVEALS A 37 POSSIBLE VIOLATION OF SECTION SEVENTY-THREE, SEVENTY-THREE-A OR SEVEN- 38 TY-FOUR OF THE PUBLIC OFFICERS LAW, OR THE COMMISSION RECEIVES A REFER- 39 RAL FROM ANOTHER STATE OVERSIGHT BODY, OR THE COMMISSION RECEIVES A 40 SWORN COMPLAINT ALLEGING SUCH A VIOLATION BY A REPORTING PERSON OR A 41 LEGISLATIVE EMPLOYEE SUBJECT TO THE PROVISIONS OF SUCH LAWS, OR IF THE 42 PERSON FAILS TO MAKE THE REQUIRED FILING WITHIN FIFTEEN DAYS OF THE 43 NOTICE OF DELINQUENCY, THE COMMISSION SHALL REFER THE MATTER TO THE 44 LEGISLATIVE OFFICE OF ETHICS INVESTIGATIONS FOR INVESTIGATION AND A 45 REPORT TO THE COMMISSION CONTAINING FINDINGS AND RECOMMENDATIONS. IF THE 46 COMMISSION THEREAFTER MAKES A DETERMINATION THAT FURTHER INQUIRY IS 47 JUSTIFIED, IT SHALL GIVE THE REPORTING PERSON AN OPPORTUNITY TO BE 48 HEARD. THE COMMISSION SHALL ALSO INFORM THE REPORTING INDIVIDUAL OF ITS 49 RULES REGARDING THE CONDUCT OF ADJUDICATORY PROCEEDINGS AND APPEALS AND 50 THE DUE PROCESS PROCEDURAL MECHANISMS AVAILABLE TO SUCH INDIVIDUAL. IF 51 THE COMMISSION DETERMINES AT ANY STAGE OF THE PROCEEDING THAT THERE IS 52 NO VIOLATION OR THAT ANY POTENTIAL CONFLICT OF INTEREST VIOLATION OR 53 DEFICIENCY HAS BEEN RECTIFIED, IT SHALL SO ADVISE THE REPORTING PERSON 54 AND THE COMPLAINANT, IF ANY. ALL OF THE FOREGOING PROCEEDINGS SHALL BE 55 CONFIDENTIAL. S. 2794 28 1 2. IF THE COMMISSION DETERMINES THAT THERE IS REASONABLE CAUSE TO 2 BELIEVE THAT A VIOLATION HAS OCCURRED, IT SHALL SEND A NOTICE OF REASON- 3 ABLE CAUSE: (A) TO THE REPORTING PERSON; (B) TO THE COMPLAINANT IF ANY; 4 (C) IN THE CASE OF A SENATOR, TO THE TEMPORARY PRESIDENT OF THE SENATE, 5 AND IF A MEMBER OF THE ASSEMBLY, TO THE SPEAKER OF THE ASSEMBLY; AND (D) 6 IN THE CASE OF A LEGISLATIVE EMPLOYEE, TO THE APPOINTING AUTHORITY FOR 7 SUCH PERSON AND TO THE TEMPORARY PRESIDENT OF THE SENATE AND/OR THE 8 SPEAKER OF THE ASSEMBLY, AS THE CASE MAY BE, WHO HAS JURISDICTION OVER 9 SUCH APPOINTING AUTHORITY. 10 3. THE JURISDICTION OF THE COMMISSION WHEN ACTING PURSUANT TO THIS 11 SECTION SHALL CONTINUE NOTWITHSTANDING THAT A MEMBER OF THE LEGISLATURE 12 OR A LEGISLATIVE EMPLOYEE SEPARATES FROM STATE SERVICE, OR A CANDIDATE 13 FOR MEMBER OF THE LEGISLATURE CEASES TO BE A CANDIDATE, PROVIDED THAT 14 THE COMMISSION NOTIFIES SUCH INDIVIDUAL OF THE ALLEGED VIOLATION OF LAW 15 PURSUANT TO THIS SECTION WITHIN ONE YEAR FROM HIS OR HER SEPARATION FROM 16 STATE SERVICE OR THE TERMINATION OF HIS OR HER CANDIDACY. NOTHING IN 17 THIS SECTION SHALL SERVE TO LIMIT THE JURISDICTION OF THE COMMISSION IN 18 ENFORCEMENT OF SUBDIVISION EIGHT OF SECTION SEVENTY-THREE OF THE PUBLIC 19 OFFICERS LAW. 20 K. AN INDIVIDUAL SUBJECT TO THE JURISDICTION OF THE COMMISSION WHO 21 KNOWINGLY AND INTENTIONALLY VIOLATES THE PROVISIONS OF SUBDIVISIONS TWO 22 THROUGH FIVE-A, SEVEN, EIGHT, TWELVE, FOURTEEN, FIFTEEN OR SEVENTEEN OF 23 SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW OR A REPORTING INDIVID- 24 UAL WHO KNOWINGLY AND WILFULLY FAILS TO FILE AN ANNUAL STATEMENT OF 25 FINANCIAL DISCLOSURE OR WHO KNOWINGLY AND WILFULLY WITH INTENT TO 26 DECEIVE MAKES A FALSE STATEMENT OR GIVES INFORMATION WHICH SUCH INDIVID- 27 UAL KNOWS TO BE FALSE ON SUCH STATEMENT OF FINANCIAL DISCLOSURE FILED 28 PURSUANT TO SECTION SEVENTY-THREE-A OF THE PUBLIC OFFICERS LAW SHALL BE 29 SUBJECT TO A CIVIL PENALTY IN AN AMOUNT NOT TO EXCEED FORTY THOUSAND 30 DOLLARS AND THE VALUE OF ANY GIFT, COMPENSATION OR BENEFIT RECEIVED AS A 31 RESULT OF SUCH VIOLATION. ANY SUCH INDIVIDUAL WHO KNOWINGLY AND INTEN- 32 TIONALLY VIOLATES THE PROVISIONS OF PARAGRAPH B, C, D, OR I OF SUBDIVI- 33 SION THREE OF SECTION SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW SHALL BE 34 SUBJECT TO A CIVIL PENALTY IN AN AMOUNT NOT TO EXCEED TEN THOUSAND 35 DOLLARS AND THE VALUE OF ANY GIFT, COMPENSATION OR BENEFIT RECEIVED AS A 36 RESULT OF SUCH VIOLATION. ANY SUCH INDIVIDUAL WHO KNOWINGLY AND INTEN- 37 TIONALLY VIOLATES THE PROVISIONS OF PARAGRAPH A, E OR G OF SUBDIVISION 38 THREE OF SECTION SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW SHALL BE 39 SUBJECT TO A CIVIL PENALTY IN AN AMOUNT EQUAL TO THE VALUE OF ANY GIFT, 40 COMPENSATION OR BENEFIT RECEIVED AS A RESULT OF SUCH VIOLATION. ASSESS- 41 MENT OF A CIVIL PENALTY HEREUNDER SHALL BE MADE BY THE COMMISSION WITH 42 RESPECT TO PERSONS SUBJECT TO ITS JURISDICTION BUT NOT BEFORE ITS 43 RECEIPT OF A REPORT FROM THE LEGISLATIVE OFFICE OF ETHICS INVESTI- 44 GATIONS; PROVIDED THAT IT DOES NOT NEED TO OBTAIN SUCH REPORT BEFORE 45 ASSESSING A CIVIL PENALTY FOR FAILURE TO FILE. IN ASSESSING THE AMOUNT 46 OF THE CIVIL PENALTIES TO BE IMPOSED, THE COMMISSION SHALL CONSIDER THE 47 SERIOUSNESS OF THE VIOLATION, THE AMOUNT OF GAIN TO THE INDIVIDUAL AND 48 WHETHER THE INDIVIDUAL PREVIOUSLY HAD ANY CIVIL OR CRIMINAL PENALTIES 49 IMPOSED PURSUANT TO THIS SECTION, AND ANY OTHER FACTORS THE COMMISSION 50 DEEMS APPROPRIATE. FOR A VIOLATION OF THIS SECTION, OTHER THAN FOR 51 CONDUCT WHICH CONSTITUTES A VIOLATION OF SUBDIVISION TWELVE, FOURTEEN OR 52 FIFTEEN OF SECTION SEVENTY-THREE OR SECTION SEVENTY-FOUR OF THE PUBLIC 53 OFFICERS LAW, THE COMMISSION MAY, IN LIEU OF A CIVIL PENALTY, REFER A 54 VIOLATION TO THE APPROPRIATE PROSECUTOR AND UPON SUCH CONVICTION, BUT 55 ONLY AFTER SUCH REFERRAL, SUCH VIOLATION SHALL BE PUNISHABLE AS A CLASS 56 A MISDEMEANOR. A CIVIL PENALTY FOR FALSE FILING MAY NOT BE IMPOSED HERE- S. 2794 29 1 UNDER IN THE EVENT A CATEGORY OF "VALUE" OR "AMOUNT" REPORTED HEREUNDER 2 IS INCORRECT UNLESS SUCH REPORTED INFORMATION IS FALSELY UNDERSTATED. 3 NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, NO OTHER 4 PENALTY, CIVIL OR CRIMINAL, MAY BE IMPOSED FOR A FAILURE TO FILE, OR FOR 5 A FALSE FILING, OF SUCH STATEMENT, OR A VIOLATION OF SECTION 6 SEVENTY-THREE OF THE PUBLIC OFFICERS LAW, EXCEPT THAT THE APPOINTING 7 AUTHORITY MAY IMPOSE DISCIPLINARY ACTION AS OTHERWISE PROVIDED BY LAW. 8 THE COMMISSION SHALL BE DEEMED TO BE AN AGENCY WITHIN THE MEANING OF 9 ARTICLE THREE OF THE STATE ADMINISTRATIVE PROCEDURE ACT AND SHALL ADOPT 10 RULES GOVERNING THE CONDUCT OF ADJUDICATORY PROCEEDINGS AND APPEALS 11 TAKEN PURSUANT TO A PROCEEDING COMMENCED UNDER ARTICLE SEVENTY-EIGHT OF 12 THE CIVIL PRACTICE LAW AND RULES RELATING TO THE ASSESSMENT OF THE CIVIL 13 PENALTIES HEREIN AUTHORIZED AND COMMISSION DENIALS OF REQUESTS FOR 14 CERTAIN DELETIONS OR EXEMPTIONS TO BE MADE FROM A FINANCIAL DISCLOSURE 15 STATEMENT AS AUTHORIZED IN PARAGRAPHS NINE AND TEN OF SUBDIVISION G OF 16 THIS SECTION. SUCH RULES, WHICH SHALL NOT BE SUBJECT TO THE PROMULGATION 17 AND HEARING REQUIREMENTS OF THE STATE ADMINISTRATIVE PROCEDURE ACT, 18 SHALL PROVIDE FOR DUE PROCESS PROCEDURAL MECHANISMS SUBSTANTIALLY SIMI- 19 LAR TO THOSE SET FORTH IN SUCH ARTICLE THREE BUT SUCH MECHANISMS NEED 20 NOT BE IDENTICAL IN TERMS OR SCOPE. ASSESSMENT OF A CIVIL PENALTY OR 21 COMMISSION DENIAL OF SUCH A DELETION OR EXEMPTION REQUEST SHALL BE FINAL 22 UNLESS MODIFIED, SUSPENDED OR VACATED WITHIN THIRTY DAYS OF IMPOSITION, 23 WITH RESPECT TO THE ASSESSMENT OF SUCH PENALTY, OR UNLESS SUCH DENIAL OF 24 REQUEST IS REVERSED WITHIN SUCH TIME PERIOD, AND UPON BECOMING FINAL 25 SHALL BE SUBJECT TO REVIEW AT THE INSTANCE OF THE AFFECTED REPORTING 26 INDIVIDUALS IN A PROCEEDING COMMENCED AGAINST THE COMMISSION, PURSUANT 27 TO ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES. 28 L. IF THE COMMISSION HAS A REASONABLE BASIS TO BELIEVE THAT ANY PERSON 29 SUBJECT TO THE JURISDICTION OF ANOTHER STATE OVERSIGHT BODY MAY HAVE 30 VIOLATED SECTION SEVENTY-THREE OR SEVENTY-FOUR OF THE PUBLIC OFFICERS 31 LAW, OR THAT ANY PERSON SUBJECT TO THE JURISDICTION OF THE STATE BOARD 32 OF ELECTIONS MAY HAVE VIOLATED ARTICLE FOURTEEN OF THE ELECTION LAW, IT 33 SHALL REFER SUCH VIOLATION TO SUCH OVERSIGHT BODY OR TO THE BOARD OF 34 ELECTIONS, AS APPROPRIATE, UNLESS THE COMMISSION DETERMINES THAT SUCH A 35 REFERRAL WOULD COMPROMISE THE PROSECUTION OR CONFIDENTIALITY OF ITS OR 36 THE LEGISLATIVE OFFICE OF ETHICS INVESTIGATIONS' INVESTIGATIONS AND, IF 37 SO, SHALL MAKE SUCH A REFERRAL AS SOON AS PRACTICABLE. THE REFERRAL BY 38 THE COMMISSION SHALL INCLUDE ANY INFORMATION RELATING THERETO COMING 39 INTO THE CUSTODY OR UNDER THE CONTROL OF THE COMMISSION AT ANY TIME 40 PRIOR OR SUBSEQUENT TO THE TIME OF THE REFERRAL. 41 M. A COPY OF ANY NOTICE OF DELINQUENCY SENT PURSUANT TO SUBDIVISION I 42 OF THIS SECTION SHALL BE INCLUDED IN THE REPORTING PERSON'S FILE AND BE 43 AVAILABLE FOR PUBLIC INSPECTION AND COPYING. 44 N. 1. NOTWITHSTANDING THE PROVISIONS OF ARTICLE SIX OF THE PUBLIC 45 OFFICERS LAW, THE ONLY RECORDS OF THE COMMISSION WHICH SHALL BE AVAIL- 46 ABLE FOR PUBLIC INSPECTION AND COPYING ARE AS FOLLOWS: 47 (A) THE INFORMATION SET FORTH IN AN ANNUAL STATEMENT OF FINANCIAL 48 DISCLOSURE FILED PURSUANT TO SECTION SEVENTY-THREE-A OF THE PUBLIC OFFI- 49 CERS LAW, EXCEPT ANY ITEM OF INFORMATION DELETED PURSUANT TO PARAGRAPH 50 NINE OF SUBDIVISION G OF THIS SECTION, WHICH SHALL BE MADE AVAILABLE TO 51 THE PUBLIC NO LATER THAN THIRTY DAYS AFTER RECEIPT; 52 (B) FINANCIAL DISCLOSURE STATEMENTS FILED PURSUANT TO SUBDIVISION SIX 53 OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW WHICH SHALL BE MADE 54 AVAILABLE TO THE PUBLIC NO LATER THAN THIRTY DAYS AFTER THEIR RECEIPT; 55 (C) NOTICES OF DELINQUENCY SENT UNDER SUBDIVISION I OF THIS SECTION; S. 2794 30 1 (D) NOTICES OF CIVIL ASSESSMENT IMPOSED UNDER THIS SECTION WHICH SHALL 2 INCLUDE A DESCRIPTION OF THE NATURE OF THE ALLEGED WRONGDOING, THE 3 PROCEDURAL HISTORY OF THE COMPLAINT, THE FINDINGS AND DETERMINATIONS 4 MADE BY THE COMMISSION, AND ANY SANCTION IMPOSED; 5 (E) GENERIC ADVISORY OPINIONS; AND 6 (F) ALL REPORTS REQUIRED BY THIS SECTION. 7 2. NOTWITHSTANDING THE PROVISIONS OF ARTICLE SEVEN OF THE PUBLIC 8 OFFICERS LAW, NO MEETING OR PROCEEDING OF THE COMMISSION SHALL BE OPEN 9 TO THE PUBLIC, EXCEPT IF EXPRESSLY PROVIDED OTHERWISE BY THIS SECTION OR 10 THE COMMISSION PROVIDED, HOWEVER, THAT THE COMMISSION SHALL MEET PUBLIC- 11 LY WHENEVER IT ADOPTS, AMENDS OR RESCINDS ITS POLICIES, RULES OR REGU- 12 LATIONS, PROMULGATES ITS GUIDELINES, APPROVES EDUCATIONAL MATERIAL, OR 13 ADOPTS ITS ANNUAL REPORT. 14 3. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, THE COMMISSION SHALL 15 MAKE AVAILABLE TO THE LEGISLATIVE OFFICE OF ETHICS INVESTIGATION ALL 16 RECORDS MAINTAINED BY THE COMMISSION AND SHALL REGULARLY FORWARD TO SUCH 17 OFFICE COPIES OF ALL ADVISORY OPINIONS ADOPTED BY THE COMMISSION. 18 O. THE COMMISSION SHALL MAINTAIN A PUBLICLY ACCESSIBLE WEBSITE WHICH 19 SHALL SET FORTH THE PROCEDURE FOR FILING A COMPLAINT AND WHICH SHALL 20 CONTAIN THE DOCUMENTS IDENTIFIED IN SUBDIVISION N OF THIS SECTION, OTHER 21 THAN FINANCIAL DISCLOSURE STATEMENTS FILED BY LEGISLATIVE EMPLOYEES, AND 22 ANY OTHER RECORDS OR INFORMATION WHICH THE COMMISSION DETERMINES TO BE 23 APPROPRIATE. 24 P. THE LEGISLATIVE COMMITTEES RESPONSIBLE FOR OVERSIGHT OF THE 25 COMMISSION SHALL HOLD ONE OR MORE PUBLIC HEARINGS REGARDING THE EFFEC- 26 TIVENESS OF THE COMMISSION AT LEAST FIVE MONTHS BEFORE THIS SECTION 27 EXPIRES PURSUANT TO THE PROVISIONS OF THE CHAPTER OF THE LAWS OF TWO 28 THOUSAND TEN WHICH ADDED THIS SECTION. 29 Q. THIS SECTION SHALL NOT REVOKE OR RESCIND ANY POLICIES, RULES, 30 REGULATIONS OR ADVISORY OPINIONS ISSUED BY THE LEGISLATIVE ETHICS 31 COMMITTEE AND LEGISLATIVE ETHICS COMMISSION IN EFFECT UPON THE EFFECTIVE 32 DATE OF THIS SUBDIVISION, TO THE EXTENT THAT SUCH REGULATIONS OR OPIN- 33 IONS ARE NOT INCONSISTENT WITH ANY LAWS OF THE STATE OF NEW YORK. THE 34 COMMISSION SHALL UNDERTAKE A COMPREHENSIVE REVIEW OF ALL SUCH POLICIES, 35 RULES, REGULATIONS OR ADVISORY OPINIONS WHICH WILL ADDRESS THE CONSIST- 36 ENCY OF SUCH POLICIES, RULES, REGULATIONS OR ADVISORY OPINIONS WITH THE 37 LAWS OF THE STATE OF NEW YORK. THE COMMISSION SHALL, BEFORE DECEMBER 38 FIRST, TWO THOUSAND ELEVEN, REPORT TO THE GOVERNOR AND LEGISLATURE 39 REGARDING SUCH REVIEW AND SHALL PROPOSE ANY REGULATORY CHANGES AND ISSUE 40 ANY ADVISORY OPINIONS NECESSITATED BY SUCH REVIEW. 41 R. SEPARABILITY CLAUSE. IF ANY PART OR PROVISION OF THIS SECTION OR 42 THE APPLICATION THEREOF TO ANY PERSON IS ADJUDGED BY A COURT OF COMPE- 43 TENT JURISDICTION TO BE UNCONSTITUTIONAL OR OTHERWISE INVALID, SUCH 44 JUDGMENT SHALL NOT AFFECT OR IMPAIR ANY OTHER PART OR PROVISION OR THE 45 APPLICATION THEREOF TO ANY OTHER PERSON, BUT SHALL BE CONFINED TO SUCH 46 PART OR PROVISION. 47 S 10. The public officers law is amended by adding a new section 89-a 48 to read as follows: 49 S 89-A. ETHICS REPORTS. THE COMMITTEE ON OPEN GOVERNMENT SHALL ANNUAL- 50 LY PREPARE A REPORT THAT SUMMARIZES THE PUBLIC ACTIONS AND REPORTS OF 51 THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS, THE LEGISLATIVE 52 OFFICE OF ETHICS INVESTIGATIONS, THE STATE COMMISSION ON LOBBYING ETHICS 53 AND COMPLIANCE, THE SENATE AND ASSEMBLY STANDING COMMITTEES ON ETHICS, 54 AND THE EXECUTIVE ETHICS AND COMPLIANCE COMMISSION. IT SHALL DELIVER THE 55 REPORT TO THE GOVERNOR, THE SPEAKER OF THE ASSEMBLY, THE TEMPORARY PRES- 56 IDENT OF THE SENATE, THE MINORITY LEADER OF THE ASSEMBLY, THE MINORITY S. 2794 31 1 LEADER OF THE SENATE, THE COMPTROLLER, AND THE ATTORNEY GENERAL ON OR 2 BEFORE MARCH FIRST OF EACH YEAR. IT ALSO SHALL PUBLISH THE REPORT ON ITS 3 WEBSITE. 4 S 11. The state of New York shall appropriate during each fiscal year 5 to the New York state commission on lobbying ethics and compliance an 6 amount equivalent to not less than seven and one-half per centum of the 7 appropriation available from the general fund in the department of state 8 to pay for the expenses of such commission; it shall appropriate during 9 each fiscal year to the executive ethics and compliance commission an 10 amount equivalent to not less than seven and one-half per centum of the 11 general fund appropriation in the department of state to pay for the 12 expenses of such commission; it shall appropriate to the joint legisla- 13 tive commission on ethics standards and the legislative office of ethics 14 investigations an amount equivalent to not less than one per centum of 15 the appropriation available to the state senate. 16 S 12. Subdivisions 17 and 18 of section 73 of the public officers law 17 are renumbered subdivisions 18 and 19 and a new subdivision 17 is added 18 to read as follows: 19 17. NO LEGISLATIVE EMPLOYEE SHALL, EXCEPT WITHIN THE SCOPE OF LEGISLA- 20 TIVE EMPLOYMENT, USE HIS OR HER POSITION, INFLUENCE OR ACCESS TO DIRECT- 21 LY OR INDIRECTLY PROMOTE OR OPPOSE THE PASSAGE OF BILLS OR RESOLUTIONS 22 BY EITHER HOUSE. NOTWITHSTANDING THE PROVISIONS OF THIS SUBDIVISION, A 23 LEGISLATIVE EMPLOYEE WHO SERVES AS AN ELECTED CHIEF EXECUTIVE OFFICER OR 24 MEMBER OF A GOVERNING BODY OF A MUNICIPAL CORPORATION OR DISTRICT CORPO- 25 RATION SHALL BE AUTHORIZED TO PARTICIPATE WHILE CARRYING OUT THE OFFI- 26 CIAL DUTIES OF SUCH OFFICE IN THE DISCUSSION, DRAFTING, PREPARATION, 27 VOTING AND DISPATCH OF A RESOLUTION, MESSAGE OR PROCLAMATION ADDRESSED 28 TO EITHER HOUSE. 29 S 13. Section 66-a of the legislative law is REPEALED. 30 S 13-a. Paragraph (c) of subdivision 6 and subdivision 10 of section 31 73 of the public officers law, as amended by chapter 813 of the laws of 32 1987, are amended to read as follows: 33 (c) Any such legislative employee who knowingly and wilfully with 34 intent to deceive makes a false statement or gives information which he 35 OR SHE knows to be false in any written statement required to be filed 36 pursuant to this subdivision, shall be assessed a civil penalty in an 37 amount not to exceed ten thousand dollars. Assessment of a civil penalty 38 shall be made by the [legislative ethics committee] JOINT LEGISLATIVE 39 COMMISSION ON ETHICS STANDARDS in accordance with the provisions of 40 [subdivision twelve of] section [eighty] EIGHTY-ONE of the legislative 41 law. For a violation of this subdivision, the [committee] COMMISSION 42 may, in lieu of a civil penalty, refer a violation to the appropriate 43 prosecutor and upon conviction, but only after such referral, such 44 violation shall be punishable as a class A misdemeanor. 45 10. Nothing contained in this section, the judiciary law, the educa- 46 tion law or any other law or disciplinary rule shall be construed or 47 applied to prohibit any firm, association or corporation, in which any 48 present or former statewide elected official, state officer or employee, 49 or political party chairman, member of the legislature or legislative 50 employee is a member, associate, retired member, of counsel or share- 51 holder, from appearing, practicing, communicating or otherwise rendering 52 services in relation to any matter before, or transacting business with 53 a state agency, or a city agency with respect to a political party 54 chairman in a county wholly included in a city with a population of more 55 than one million, otherwise proscribed by this section, the judiciary 56 law, the education law or any other law or disciplinary rule with S. 2794 32 1 respect to such official, member of the legislature or officer or 2 employee, or political party chairman, where such statewide elected 3 official, state officer or employee, member of the legislature or legis- 4 lative employee, or political party chairman does not share in the net 5 revenues, as defined in accordance with generally accepted accounting 6 principles by the [state ethics commission] EXECUTIVE ETHICS AND COMPLI- 7 ANCE COMMISSION or by the [legislative ethics committee] JOINT LEGISLA- 8 TIVE COMMISSION ON ETHICS STANDARDS in relation to persons subject to 9 their respective jurisdictions, resulting therefrom, or, acting in good 10 faith, reasonably believed that he or she would not share in the net 11 revenues as so defined; nor shall anything contained in this section, 12 the judiciary law, the education law or any other law or disciplinary 13 rule be construed to prohibit any firm, association or corporation in 14 which any present or former statewide elected official, member of the 15 legislature, legislative employee, full-time salaried state officer or 16 employee or state officer or employee who is subject to the provisions 17 of section seventy-three-a of this chapter is a member, associate, 18 retired member, of counsel or shareholder, from appearing, practicing, 19 communicating or otherwise rendering services in relation to any matter 20 before, or transacting business with, the court of claims, where such 21 statewide elected official, member of the legislature, legislative 22 employee, full-time salaried state officer or employee or state officer 23 or employee who is subject to the provisions of section seventy-three-a 24 of this chapter does not share in the net revenues, as defined in 25 accordance with generally accepted accounting principles by the [state 26 ethics commission] EXECUTIVE ETHICS AND COMPLIANCE COMMISSION or by the 27 [legislative ethics committee] JOINT LEGISLATIVE COMMISSION ON ETHICS 28 STANDARDS in relation to persons subject to their respective jurisdic- 29 tions, resulting therefrom, or, acting in good faith, reasonably 30 believed that he or she would not share in the net revenues as so 31 defined. 32 S 13-b. Subparagraph (ii) of paragraph (a) and paragraphs (c), (d), 33 (f) and (g) of subdivision 2 of section 73-a of the public officers law, 34 subparagraph (ii) of paragraph (a) and paragraphs (c), (d) and (f) as 35 added by chapter 813 of the laws of 1987 and paragraph (g) as amended by 36 chapter 242 of the laws of 1989, are amended to read as follows: 37 (ii) a person who is required to file an annual financial disclosure 38 statement with the [state ethics] EXECUTIVE ETHICS AND COMPLIANCE 39 commission or with the [legislative ethics committee] JOINT LEGISLATIVE 40 COMMISSION ON ETHICS STANDARDS, and who is granted an additional period 41 of time within which to file such statement due to justifiable cause or 42 undue hardship, in accordance with required rules and regulations on the 43 subject adopted pursuant to paragraph [c] (C) of subdivision nine of 44 section ninety-four of the executive law or pursuant to [paragraph c of 45 subdivision eight of] section [eighty] EIGHTY-ONE of the legislative 46 law, shall file such statement within the additional period of time 47 granted; 48 (c) If the reporting individual is a senator or member of assembly, 49 candidate for the senate or member of assembly or a legislative employ- 50 ee, such statement shall be filed with the [legislative ethics commit- 51 tee] JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS established by 52 section [eighty] EIGHTY-ONE of the legislative law. If the reporting 53 individual is a statewide elected official, candidate for statewide 54 elected office, a state officer or employee or a political party chair- 55 man, such statement shall be filed with the [state ethics] EXECUTIVE S. 2794 33 1 ETHICS AND COMPLIANCE commission established by section ninety-four of 2 the executive law. 3 (d) The [legislative ethics committee] JOINT LEGISLATIVE COMMISSION ON 4 ETHICS STANDARDS and the [state ethics] EXECUTIVE ETHICS AND COMPLIANCE 5 commission shall obtain from the state board of elections a list of all 6 candidates for statewide office and for member of the legislature, and 7 from such list, shall determine and publish a list of those candidates 8 who have not, within ten days after the required date for filing such 9 statement, filed the statement required by this subdivision. 10 (f) A person who may otherwise be required to file more than one annu- 11 al financial disclosure statement with both the [state ethics] EXECUTIVE 12 ETHICS AND COMPLIANCE commission and the [legislative ethics committee] 13 JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS in any one calendar 14 year may satisfy such requirement by filing one such statement with 15 either body and by notifying the other body of such compliance. 16 (g) A person who is employed in more than one employment capacity for 17 one or more employers certain of whose officers and employees are 18 subject to filing a financial disclosure statement with the [same 19 ethics] EXECUTIVE ETHICS AND COMPLIANCE commission or [ethics committee] 20 THE JOINT LEGISLATIVE COMMISSION ON ETHICS STANDARDS, as the case may 21 be, and who receives distinctly separate payments of compensation for 22 such employment shall be subject to the filing requirements of this 23 section if the aggregate annual compensation for all such employment 24 capacities is in excess of the filing rate notwithstanding that such 25 person would not otherwise be required to file with respect to any one 26 particular employment capacity. A person not otherwise required to file 27 a financial disclosure statement hereunder who is employed by an employ- 28 er certain of whose officers or employees are subject to filing a finan- 29 cial disclosure statement with the [state ethics] EXECUTIVE ETHICS AND 30 COMPLIANCE commission and who is also employed by an employer certain of 31 whose officers or employees are subject to filing a financial disclosure 32 statement with the [legislative ethics committee] JOINT LEGISLATIVE 33 COMMISSION ON ETHICS STANDARDS shall not be subject to filing such 34 statement with either such commission or such committee on the basis 35 that his aggregate annual compensation from all such employers is in 36 excess of the filing rate. 37 S 14. Subdivision 3 of section 73-a of the public officers law, as 38 added by chapter 813 of the laws of 1987, the third and fourth undesig- 39 nated paragraphs of paragraph 3 as added and paragraph 4, subparagraph 40 (a) of paragraph 5, paragraphs 6, 9, 10, 11, subparagraph (b) of para- 41 graph 12 and paragraphs 13, 14, 15, 16, 17, 18 and 19 as amended by 42 chapter 242 of the laws of 1989, is amended to read as follows: 43 3. The annual statement of financial disclosure shall contain the 44 [information and shall be in the form] LANGUAGE set forth hereinbelow: 45 ANNUAL STATEMENT OF FINANCIAL DISCLOSURE - (For calendar year ________) 46 1. Name ______________________________________________________________ 47 2. (a) Title of Position _____________________________________________ 48 (b) Department, Agency or other Governmental Entity _______________ 49 (c) Address of Present Office _____________________________________ 50 (d) Office Telephone Number _______________________________________ 51 3. (a) Marital Status ______________. If married, please give spouse's 52 full name including maiden name where applicable. 53 _____________________________________________________________ . S. 2794 34 1 (b) List the names of all unemancipated children. 2 ____________________________________________________________________ 3 ____________________________________________________________________ 4 ____________________________________________________________________ 5 ____________________________________________________________________ 6 ____________________________________________________________________ 7 Answer each of the following questions completely, with respect to 8 calendar year _________, unless another period or date is otherwise 9 specified. If additional space is needed, attach additional pages. 10 Whenever a "value" or "amount" is required to be reported herein, such 11 value or amount shall be reported as being within one of the following 12 Categories: Category A - under $5,000; Category B - $5,000 to under 13 $20,000; Category C - $20,000 to under $60,000; Category D - $60,000 to 14 under $100,000; Category E - $100,000 to under $250,000; and Category F 15 - $250,000 TO UNDER $1,000,000; AND CATEGORY G - $1,000,000 or over. A 16 reporting individual shall indicate the Category by letter only. 17 Whenever "income" is required to be reported herein, the term "income" 18 shall mean the aggregate net income before taxes from the source identi- 19 fied. 20 The term "calendar year" shall mean the year ending the December 31st 21 preceding the date of filing of the annual statement. 22 4. (a) List any office, trusteeship, directorship, partnership, or 23 position of any nature, whether compensated or not, held by the 24 reporting individual with any firm, corporation, association, part- 25 nership, or other organization other than the State of New York. 26 Include compensated honorary positions; do NOT list membership or 27 uncompensated honorary positions. If the listed entity was licensed 28 by any state or local agency, was regulated by any state regulatory 29 agency or local agency, or, as a regular and significant part of the 30 business or activity of said entity, did business with, or had 31 matters other than ministerial matters before, any state or local 32 agency, list the name of any such agency. 33 State or 34 Position Organization Local Agency 35 ____________________________________________________________________ 36 ____________________________________________________________________ 37 ____________________________________________________________________ 38 ____________________________________________________________________ 39 ____________________________________________________________________ 40 (b) List any office, trusteeship, directorship, partnership, or position 41 of any nature, whether compensated or not, held by the spouse or 42 unemancipated child of the reporting individual, with any firm, 43 corporation, association, partnership, or other organization other 44 than the State of New York. Include compensated honorary positions; 45 do NOT list membership or uncompensated honorary positions. If the 46 listed entity was licensed by any state or local agency, was regu- 47 lated by any state regulatory agency or local agency, or, as a regu- 48 lar and significant part of the business or activity of said entity, S. 2794 35 1 did business with, or had matters other than ministerial matters 2 before, any state or local agency, list the name of any such agency. 3 State or 4 Position Organization Local Agency 5 ____________________________________________________________________ 6 ____________________________________________________________________ 7 ____________________________________________________________________ 8 ____________________________________________________________________ 9 ____________________________________________________________________ 10 5. (a) List the name, address and description of any [occupation,] 11 employment (other than the employment listed under Item 2 above), 12 trade, business [or], profession OR OCCUPATION engaged in by the 13 reporting individual. If such activity was licensed by any state or 14 local agency[,] OR was regulated by any state regulatory agency or 15 local agency, [or, as a regular and significant part of the business 16 or activity of said entity, did business with, or had matters other 17 than ministerial matters before, any state or local agency,] list 18 the name of any such agency. 19 State or 20 Name & Address Local 21 Position of Organization Description Agency 22 ____________________________________________________________________ 23 ____________________________________________________________________ 24 ____________________________________________________________________ 25 ____________________________________________________________________ 26 ____________________________________________________________________ 27 (b) IF THE REPORTING INDIVIDUAL DID BUSINESS WITH OR HAD MATTERS OTHER 28 THAN MINISTERIAL MATTERS BEFORE ANY STATE OR LOCAL AGENCY IN THE 29 COURSE OF ANY EMPLOYMENT, TRADE, BUSINESS, PROFESSION OR OCCUPATION 30 ENGAGED IN BY THE REPORTING INDIVIDUAL, LIST THE NAME AND ADDRESS OF 31 THE ENTITY, A BRIEF DESCRIPTION OF THE ACTIVITY AND THE NAME OF ANY 32 SUCH AGENCY. 33 STATE OR 34 NAME & ADDRESS LOCAL 35 OF ORGANIZATION DESCRIPTION AGENCY 36 ____________________________________________________________________ 37 ____________________________________________________________________ 38 ____________________________________________________________________ 39 ____________________________________________________________________ 40 ____________________________________________________________________ 41 (C) If the spouse or unemancipated child of the reporting individual was 42 engaged in any occupation, employment, trade, business or profession 43 which activity was licensed by any state or local agency, was regu- 44 lated by any state regulatory agency or local agency, or, as a regu- 45 lar and significant part of the business or activity of said entity, 46 did business with, or had matters other than ministerial matters 47 before, any state or local agency, list the name, address and S. 2794 36 1 description of such occupation, employment, trade, business or 2 profession and the name of any such agency. 3 State or 4 Name & Address Local 5 Position of Organization Description Agency 6 ____________________________________________________________________ 7 ____________________________________________________________________ 8 ____________________________________________________________________ 9 ____________________________________________________________________ 10 ____________________________________________________________________ 11 6. List any interest, in EXCESS of $1,000, held by the reporting indi- 12 vidual, such individual's spouse or unemancipated child, or partner- 13 ship of which any such person is a member, or corporation, 10% or 14 more of the stock of which is owned or controlled by any such 15 person, whether vested or contingent, in any contract made or 16 executed by a state or local agency and include the name of the 17 entity which holds such interest and the relationship of the report- 18 ing individual or such individual's spouse or such child to such 19 entity and the interest in such contract. Do NOT include bonds and 20 notes. Do NOT list any interest in any such contract on which final 21 payment has been made and all obligations under the contract except 22 for guarantees and warranties have been performed, provided, howev- 23 er, that such an interest must be listed if there has been an ongo- 24 ing dispute during the calendar year for which this statement is 25 filed with respect to any such guarantees or warranties. Do NOT list 26 any interest in a contract made or executed by a local agency after 27 public notice and pursuant to a process for competitive bidding or a 28 process for competitive requests for proposals. 29 Entity Relationship Contracting Category 30 Self, Which Held to Entity State or of 31 Spouse or Interest in and Interest Local Value of 32 Child Contract in Contract Agency Contract 33 ____________________________________________________________________ 34 ____________________________________________________________________ 35 ____________________________________________________________________ 36 ____________________________________________________________________ 37 ____________________________________________________________________ 38 7. List any position the reporting individual held as an officer of any 39 political party or political organization, as a member of any poli- 40 tical party committee, or as a political party district leader. The 41 term "party" shall have the same meaning as "party" in the election 42 law. The term "political organization" means any party or independ- 43 ent body as defined in the election law or any organization that is 44 affiliated with or a subsidiary of a party or independent body. 45 ____________________________________________________________________ 46 ____________________________________________________________________ 47 ____________________________________________________________________ 48 ____________________________________________________________________ 49 ____________________________________________________________________ S. 2794 37 1 8. (a) If the reporting individual practices law, is licensed by the 2 department of state as a real estate broker or agent or practices a 3 profession licensed by the department of education, give a general 4 description of the principal subject areas of matters undertaken by 5 such individual. IF THE NATURE OF THE REPORTING INDIVIDUAL'S PRAC- 6 TICE OR ACTIVITIES WERE SUCH THAT NO PRINCIPAL SUBJECT AREAS OR 7 MATTERS WERE UNDERTAKEN, GIVE A GENERAL DESCRIPTION OF THE PRACTICE 8 OR ACTIVITIES UNDERTAKEN. Additionally, if such an individual prac- 9 tices with a firm or corporation and is a partner or shareholder of 10 the firm or corporation, give a general description of THE principal 11 subject areas of matters undertaken by such firm or corporation. IF 12 THE MATTERS UNDERTAKEN BY SUCH FIRM OR CORPORATION WERE SUCH THAT NO 13 PRINCIPAL SUBJECT AREAS OR MATTERS WERE UNDERTAKEN, GIVE A GENERAL 14 DESCRIPTION OF THE PRACTICE OR ACTIVITIES UNDERTAKEN. Do not list 15 the name of the individual clients, customers or patients. 16 ____________________________________________________________________ 17 ____________________________________________________________________ 18 ____________________________________________________________________ 19 ____________________________________________________________________ 20 ____________________________________________________________________ 21 (b) List the name, principal address and general description or the 22 nature of the business activity of any entity in which the reporting 23 individual or such individual's spouse had an investment in excess 24 of $1,000 excluding investments in securities and interests in real 25 property. 26 ____________________________________________________________________ 27 ____________________________________________________________________ 28 ____________________________________________________________________ 29 ____________________________________________________________________ 30 ____________________________________________________________________ 31 (C) IF THE REPORTING INDIVIDUAL RECEIVED INCOME IN EXCESS OF $1,000 FROM 32 CONSULTING SERVICES, NOT INCLUDING ANY SERVICES RENDERED AS PART OF 33 ANY PRACTICE OR ACTIVITY REQUIRED TO BE DISCLOSED IN ITEM 8(A) OR 34 SERVICES RENDERED AS PART OF THE PRACTICE OR ACTIVITY IDENTIFIED IN 35 SECTIONS FORTY-FIVE HUNDRED FOUR, FORTY-FIVE HUNDRED FIVE, 36 FORTY-FIVE HUNDRED SEVEN, FORTY-FIVE HUNDRED EIGHT AND FORTY-FIVE 37 HUNDRED TEN OF THE CIVIL PRACTICE LAW AND RULES, PROVIDE THE NAME 38 AND ADDRESS OF EACH CLIENT, THE COMPENSATION RECEIVED FROM EACH 39 CLIENT, AND A GENERAL DESCRIPTION OF THE SERVICES RENDERED OR 40 CONSIDERATION GIVEN. 41 CLIENT ADDRESS SERVICES/CONSIDERATION CATEGORY OF VALUE 42 ____________________________________________________________________ 43 ____________________________________________________________________ 44 ____________________________________________________________________ 45 ____________________________________________________________________ 46 9. List each source of gifts, EXCLUDING campaign contributions, in 47 EXCESS of $1,000, received during the reporting period for which 48 this statement is filed by the reporting individual or such individ- 49 ual's spouse or unemancipated child from the same donor, EXCLUDING 50 gifts from a relative. INCLUDE the name and address of the donor. 51 The term "gifts" does not include reimbursements, which term is 52 defined in item 10. Indicate the value and nature of each such 53 gift. S. 2794 38 1 Category 2 Self, of 3 Spouse or Name of Nature Value of 4 Child Donor Address of Gift Gift 5 ____________________________________________________________________ 6 ____________________________________________________________________ 7 ____________________________________________________________________ 8 ____________________________________________________________________ 9 ____________________________________________________________________ 10 10. Identify and briefly describe the source of any reimbursements for 11 expenditures, EXCLUDING campaign expenditures and expenditures in 12 connection with official duties reimbursed by the state, in EXCESS 13 of $1,000 from each such source. For purposes of this item, the term 14 "reimbursements" shall mean any travel-related expenses provided by 15 nongovernmental sources and for activities related to the reporting 16 individual's official duties such as, speaking engagements, confer- 17 ences, or factfinding events. The term "reimbursements" does NOT 18 include gifts reported under item 9. 19 Source Description 20 ____________________________________________________________________ 21 ____________________________________________________________________ 22 ____________________________________________________________________ 23 ____________________________________________________________________ 24 ____________________________________________________________________ 25 11. List the identity and value, if reasonably ascertainable, of each 26 interest in a trust, estate or other beneficial interest, including 27 retirement plans (other than retirement plans of the state of New 28 York or the city of New York[,]) and deferred compensation plans 29 (e.g., 401, 403(b), 457, etc.) established in accordance with the 30 internal revenue code, in which the REPORTING INDIVIDUAL held a 31 beneficial interest in EXCESS of $1,000 at any time during the 32 preceding year. Do NOT report interests in a trust, estate or other 33 beneficial interest established by or for, or the estate of, a rela- 34 tive. 35 Category 36 Identity of Value* 37 ____________________________________________________________________ 38 ____________________________________________________________________ 39 ____________________________________________________________________ 40 ____________________________________________________________________ 41 ____________________________________________________________________ 42 * The value of such interest shall be reported only if reasonably 43 ascertainable. 44 12. (a) Describe the terms of, and the parties to, any contract, prom- 45 ise, or other agreement between the reporting individual and any 46 person, firm, or corporation with respect to the employment of such 47 individual after leaving office or position (other than a leave of 48 absence). S. 2794 39 1 ____________________________________________________________________ 2 ____________________________________________________________________ 3 ____________________________________________________________________ 4 ____________________________________________________________________ 5 ____________________________________________________________________ 6 (b) Describe the parties to and the terms of any agreement providing 7 for continuation of payments or benefits to the REPORTING INDIVIDUAL 8 in EXCESS of $1,000 from a prior employer OTHER THAN the State. 9 (This includes interests in or contributions to a pension fund, 10 profit-sharing plan, or life or health insurance; buy-out agree- 11 ments; severance payments; etc.) 12 ____________________________________________________________________ 13 ____________________________________________________________________ 14 ____________________________________________________________________ 15 ____________________________________________________________________ 16 ____________________________________________________________________ 17 13. List below the nature and amount of any income in EXCESS of $1,000 18 from EACH SOURCE for the reporting individual and such individual's 19 spouse for the taxable year last occurring prior to the date of 20 filing. Nature of income includes, but is not limited to, all 21 income (other than that received from the employment listed under 22 Item 2 above) from compensated employment whether public or private, 23 directorships and other fiduciary positions, contractual arrange- 24 ments, teaching income, partnerships, honorariums, lecture fees, 25 consultant fees, bank and bond interest, dividends, income derived 26 from a trust, real estate rents, and recognized gains from the sale 27 or exchange of real or other property. Income from a business or 28 profession and real estate rents shall be reported with the source 29 identified by the building address in the case of real estate rents 30 and otherwise by the name of the entity and not by the name of the 31 individual customers, clients or tenants, with the aggregate net 32 income before taxes for each building address or entity. The 33 receipt of maintenance received in connection with a matrimonial 34 action, alimony and child support payments shall not be listed. 35 Self/ Category 36 Spouse Source Nature of Amount 37 ____________________________________________________________________ 38 ____________________________________________________________________ 39 ____________________________________________________________________ 40 ____________________________________________________________________ 41 ____________________________________________________________________ 42 14. List the sources of any deferred income (not retirement income) in 43 EXCESS of $1,000 from each source to be paid to the reporting indi- 44 vidual following the close of the calendar year for which this 45 disclosure statement is filed, other than deferred compensation 46 reported in item 11 hereinabove. Deferred income derived from the 47 practice of a profession shall be listed in the aggregate and shall 48 identify as the source, the name of the firm, corporation, partner- 49 ship or association through which the income was derived, but shall 50 not identify individual clients. S. 2794 40 1 Category 2 Source of Amount 3 ____________________________________________________________________ 4 ____________________________________________________________________ 5 ____________________________________________________________________ 6 ____________________________________________________________________ 7 ____________________________________________________________________ 8 15. List each assignment of income in EXCESS of $1,000, and each trans- 9 fer other than to a relative during the reporting period for which 10 this statement is filed for less than fair consideration of an 11 interest in a trust, estate or other beneficial interest, securities 12 or real property, by the reporting individual, in excess of $1,000, 13 which would otherwise be required to be reported herein and is not 14 or has not been so reported. 15 Item Assigned Assigned or Category 16 or Transferred Transferred to of Value 17 ____________________________________________________________________ 18 ____________________________________________________________________ 19 ____________________________________________________________________ 20 ____________________________________________________________________ 21 ____________________________________________________________________ 22 16. List below the type and market value of securities held by the 23 reporting individual or such individual's spouse from each issuing 24 entity in EXCESS of $1,000 at the close of the taxable year last 25 occurring prior to the date of filing, including the name of the 26 issuing entity exclusive of securities held by the reporting indi- 27 vidual issued by a professional corporation. Whenever an interest in 28 securities exists through a beneficial interest in a trust, the 29 securities held in such trust shall be listed ONLY IF the reporting 30 individual has knowledge thereof except where the reporting individ- 31 ual or the reporting individual's spouse has transferred assets to 32 such trust for his or her benefit in which event such securities 33 shall be listed unless they are not ascertainable by the reporting 34 individual because the trustee is under an obligation or has been 35 instructed in writing not to disclose the contents of the trust to 36 the reporting individual. Securities of which the reporting individ- 37 ual or the reporting individual's spouse is the owner of record but 38 in which such individual or the reporting individual's spouse has no 39 beneficial interest shall not be listed. Indicate percentage of 40 ownership ONLY if the reporting person or the reporting person's 41 spouse holds more than five percent (5%) of the stock of a corpo- 42 ration in which the stock is publicly traded or more than ten 43 percent (10%) of the stock of a corporation in which the stock is 44 NOT publicly traded. Also list securities owned for investment 45 purposes by a corporation more than fifty percent (50%) of the stock 46 of which is owned or controlled by the reporting individual or such 47 individual's spouse. For the purpose of this item the term "securi- 48 ties" shall mean mutual funds, bonds, mortgages, notes, obligations, 49 warrants and stocks of any class, investment interests in limited or 50 general partnerships and certificates of deposits (CDs) and such S. 2794 41 1 other evidences of indebtedness and certificates of interest as are 2 usually referred to as securities. The market value for such secu- 3 rities shall be reported only if reasonably ascertainable and shall 4 not be reported if the security is an interest in a general partner- 5 ship that was listed in item 8 (a) or if the security is corporate 6 stock, NOT publicly traded, in a trade or business of a reporting 7 individual or a reporting individual's spouse. 8 Percentage 9 of corporate 10 stock owned 11 or controlled Category of 12 (if more than Market Value 13 5% of pub- as of the close 14 licly traded of the 15 stock, or taxable year 16 more than last occurring 17 10% if stock prior to 18 Self/ Issuing Type of not publicly the filing of 19 Spouse Entity Security traded, is held) this statement 20 ____________________________________________________________________ 21 ____________________________________________________________________ 22 ____________________________________________________________________ 23 ____________________________________________________________________ 24 ____________________________________________________________________ 25 17. List below the location, size, general nature, acquisition date, 26 market value and percentage of ownership of any real property in 27 which any vested or contingent interest in EXCESS of $1,000 is held 28 by the reporting individual or the reporting individual's spouse. 29 Also list real property owned for investment purposes by a corpo- 30 ration more than fifty percent 50% of the stock of which is owned or 31 controlled by the reporting individual or such individual's spouse. 32 Do NOT list any real property which is the primary or secondary 33 personal residence of the reporting individual or the reporting 34 individual's spouse, except where there is a co-owner who is other 35 than a relative. 36 Category 37 Self/ Percentage of 38 Spouse/ General Acquisition of Market 39 Corporation Location Size Nature Date Ownership Value 40 ____________________________________________________________________ 41 ____________________________________________________________________ 42 ____________________________________________________________________ 43 ____________________________________________________________________ 44 ____________________________________________________________________ 45 18. List below all notes and accounts receivable, other than from goods 46 or services sold, held by the reporting individual at the close of 47 the taxable year last occurring prior to the date of filing and 48 other debts owed to such individual at the close of the taxable year 49 last occurring prior to the date of filing, in EXCESS of $1,000, 50 including the name of the debtor, type of obligation, date due and S. 2794 42 1 the nature of the collateral securing payment of each, if any, 2 excluding securities reported in item 16 hereinabove. Debts, notes 3 and accounts receivable owed to the individual by a relative shall 4 not be reported. 5 Type of Obligation, Category 6 Date Due, and Nature of 7 Name of Debtor of Collateral, if any Amount 8 ____________________________________________________________________ 9 ____________________________________________________________________ 10 ____________________________________________________________________ 11 ____________________________________________________________________ 12 ____________________________________________________________________ 13 19. List below all liabilities of the reporting individual and such 14 individual's spouse, in EXCESS of $5,000 as of the date of filing of 15 this statement, other than liabilities to a relative. Do NOT list 16 liabilities incurred by, or guarantees made by, the reporting indi- 17 vidual or such individual's spouse or by any proprietorship, part- 18 nership or corporation in which the reporting individual or such 19 individual's spouse has an interest, when incurred or made in the 20 ordinary course of the trade, business or professional practice of 21 the reporting individual or such individual's spouse. Include the 22 name of the creditor and any collateral pledged by such individual 23 to secure payment of any such liability. A reporting individual 24 shall not list any obligation to pay maintenance in connection with 25 a matrimonial action, alimony or child support payments. Any loan 26 issued in the ordinary course of business by a financial institution 27 to finance educational costs, the cost of home purchase or improve- 28 ments for a primary or secondary residence, or purchase of a 29 personally owned motor vehicle, household furniture or appliances 30 shall be excluded. If any such reportable liability has been guaran- 31 teed by any third person, list the liability and name the guarantor. 32 Category 33 Name of Creditor Type of Liability of 34 or Guarantor and Collateral, if any Amount 35 ____________________________________________________________________ 36 ____________________________________________________________________ 37 ____________________________________________________________________ 38 ____________________________________________________________________ 39 ____________________________________________________________________ 40 The requirements of law relating to the reporting of financial 41 interests are in the public interest and no adverse inference of 42 unethical or illegal conduct or behavior will be drawn merely from 43 compliance with these requirements. 44 ___________________________________ _________________________ 45 (Signature of Reporting Individual) Date (month/day/year) 46 S 15. Transfer of employees. Upon the transfer of the functions, as 47 provided for in this act any affected employees shall be transferred to 48 the commission on lobbying ethics and compliance, the executive ethics S. 2794 43 1 and compliance commission, and the joint legislative commission on 2 ethics standards, as appropriate, in accordance with section 70 of the 3 civil service law. 4 S 16. Transfer of records. The commission on public integrity and the 5 legislative ethics commission shall deliver to the commission on lobby- 6 ing ethics and compliance, the executive ethics and compliance commis- 7 sion, and the joint legislative commission on ethics standards, as 8 appropriate, all books, papers, records, and property as requested by 9 the commission on lobbying ethics and compliance, the executive ethics 10 and compliance commission, and the joint legislative commission on 11 ethics standards, as appropriate, pursuant to this act. 12 S 17. Completion of unfinished business. Any business or other matter 13 undertaken or commenced by the commission on public integrity and the 14 legislative ethics commission pertaining to or connected with the func- 15 tions, powers, obligations and duties hereby transferred and assigned to 16 the commission on lobbying ethics and compliance, the executive ethics 17 and compliance commission, and the joint legislative commission on 18 ethics standards, as appropriate, and pending on the effective date of 19 this act may be conducted and completed by the commission on lobbying 20 ethics and compliance, the executive ethics and compliance commission, 21 and the joint legislative commission on ethics standards, as appropri- 22 ate, in the same manner and under the same terms and conditions and with 23 the same effect as if conducted and completed by the former commission 24 on public integrity and the legislative ethics commission. 25 S 18. Terms occurring in laws, contracts and other documents. Whenev- 26 er the commission on public integrity and the legislative ethics commis- 27 sion are referred to or designated in any law, contract or documents 28 pertaining to the functions, powers, obligations and duties hereby 29 transferred and assigned to the commission on lobbying ethics and 30 compliance, the executive ethics and compliance commission, and the 31 joint legislative commission on ethics standards, as appropriate, such 32 reference or designation shall be deemed to refer to the commission on 33 lobbying ethics and compliance, the executive ethics and compliance 34 commission, and the joint legislative commission on ethics standards, as 35 appropriate, as created by this act. 36 S 19. Existing rights and remedies preserved. No existing right or 37 remedy of any character shall be lost, impaired or affected by reason of 38 this act. 39 S 20. Pending actions and proceedings. No action or proceeding pending 40 at the time when this act shall take effect, brought by or against the 41 commission on public integrity or the legislative ethics commission 42 relating to the function, power or duty transferred to or devolved upon 43 the commission on lobbying ethics and compliance, the executive ethics 44 and compliance commission, and the joint legislative commission on 45 ethics standards, as appropriate, shall be affected by this act, but the 46 same may be prosecuted or defended in the name of the commission on 47 lobbying ethics and compliance, the executive ethics and compliance 48 commission, and the joint legislative commission on ethics standards, as 49 appropriate, and upon application to the court, the commission on lobby- 50 ing ethics and compliance, the executive ethics and compliance commis- 51 sion, and the joint legislative commission on ethics standards, as 52 appropriate, shall be substituted as a party. 53 S 21. Notwithstanding any contrary provision of the state finance law, 54 transfer of appropriations heretofore made to the commission on public 55 integrity and the legislative ethics commission, all appropriations or 56 reappropriations for the functions herein transferred heretofore made to S. 2794 44 1 the commission on public integrity and the legislative ethics commission 2 or segregated pursuant to law, to the extent of remaining unexpended or 3 unencumbered balances thereof, whether allocated or unallocated and 4 whether obligated or unobligated, are hereby transferred to the commis- 5 sion on lobbying ethics and compliance, the executive ethics and compli- 6 ance commission, and the joint legislative commission on ethics stand- 7 ards, as appropriate, to the extent necessary to carry out the 8 commission on lobbying ethics and compliance, the executive ethics and 9 compliance commission, and the joint legislative commission on ethics 10 standards' functions, powers and duties subject to the approval of the 11 director of the budget for the same purposes for which originally appro- 12 priated or reappropriated and shall be payable on vouchers certified or 13 approved by the commission on lobbying ethics and compliance, the execu- 14 tive ethics and compliance commission, and the joint legislative commis- 15 sion on ethics standards, as appropriate, on audit and warrant of the 16 comptroller. 17 S 22. Subdivision 3 of section 3-100 of the election law, as amended 18 by chapter 220 of the laws of 2005, is amended to read as follows: 19 3. The commissioners of the state board of elections shall have no 20 other public employment. The commissioners shall receive an annual sala- 21 ry of twenty-five thousand dollars, within the amounts made available 22 therefor by appropriation. The board shall, for the purposes of sections 23 seventy-three and seventy-four of the public officers law, be a "state 24 agency", and such commissioners shall be "officers" of the state board 25 of elections for the purposes of such sections. Within the amounts made 26 available by appropriation therefor, the state board of elections shall 27 appoint two co-executive directors, AN ENFORCEMENT COUNSEL, A SPECIAL 28 counsel, A DEPUTY ENFORCEMENT COUNSEL, WHO SHALL BE A MEMBER OF A 29 DIFFERENT MAJOR POLITICAL PARTY THAN THE ENFORCEMENT COUNSEL, A DEPUTY 30 SPECIAL COUNSEL, WHO SHALL BE A MEMBER OF A DIFFERENT MAJOR POLITICAL 31 PARTY THAN THE SPECIAL COUNSEL, and such other staff members as are 32 necessary in the exercise of its functions, and may fix their compen- 33 sation. [Anytime after the effective date of the chapter of the laws of 34 two thousand five which amended this subdivision, the] THE commissioners 35 or, in the case of a vacancy on the board, the commissioner of each of 36 the major political parties shall appoint one co-executive director. 37 Each co-executive director shall serve a term of four years. THE 38 ENFORCEMENT COUNSEL AND THE SPECIAL COUNSEL SHALL EACH SERVE A TERM OF 39 FOUR YEARS AND MAY ONLY BE REMOVED FOR CAUSE. ANY TIME AFTER THE EFFEC- 40 TIVE DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND TEN WHICH AMENDED 41 THIS SUBDIVISION, THE COMMISSIONERS, OR IN THE CASE OF A VACANCY ON THE 42 BOARD, THE COMMISSIONER, OF EACH OF THE SAME MAJOR POLITICAL PARTY AS 43 THE INCUMBENT ENFORCEMENT AND SPECIAL COUNSELS SHALL APPOINT SUCH COUN- 44 SEL. Any vacancy in the office of co-executive director, ENFORCEMENT 45 COUNSEL OR SPECIAL COUNSEL shall be filled by the commissioners or, in 46 the case of a vacancy on the board, the commissioner of the same major 47 political party as the vacating incumbent for the remaining period of 48 the term of such vacating incumbent. 49 S 23. Subdivision 3, paragraph (c) of subdivision 9-A and subdivision 50 17 of section 3-102 of the election law, subdivisions 3 and 17 as 51 amended by chapter 9 of the laws of 1978, paragraph (c) of subdivision 52 9-A as added by chapter 430 of the laws of 1997 and subdivision 17 as 53 renumbered by chapter 23 of the laws of 2005, are amended to read as 54 follows: 55 3. conduct any investigation necessary to carry out the provisions of 56 this chapter, PROVIDED, HOWEVER, THAT THE STATE BOARD OF ELECTIONS S. 2794 45 1 ENFORCEMENT COUNSEL, ESTABLISHED PURSUANT TO SECTION 3-104 OF THIS ARTI- 2 CLE, SHALL CONDUCT ANY INVESTIGATION NECESSARY TO ENFORCE THE PROVISIONS 3 OF ARTICLE FOURTEEN OF THIS CHAPTER ON BEHALF OF THE BOARD OF ELECTIONS; 4 (c) establish [a] AN EDUCATIONAL AND training program on ALL REPORTING 5 REQUIREMENTS INCLUDING BUT NOT LIMITED TO the electronic reporting proc- 6 ess and make it EASILY AND READILY available to any such candidate or 7 committee AND NOTIFY ANY SUCH CANDIDATE OR COMMITTEE OF THE AVAILABILITY 8 OF THE MOST RECENT CAMPAIGN FINANCE HANDBOOK; 9 17. HEAR AND CONSIDER THE RECOMMENDATIONS OF THE STATE BOARD OF 10 ELECTIONS ENFORCEMENT COUNSEL REGARDING THE ENFORCEMENT OF VIOLATIONS OF 11 ARTICLE FOURTEEN OF THIS CHAPTER; 12 18. perform such other acts as may be necessary to carry out the 13 purposes of this chapter. 14 S 24. Section 3-104 of the election law, subdivisions 1, 3, 4 and 5 15 as redesignated and subdivision 2 as amended by chapter 9 of the laws of 16 1978, is amended to read as follows: 17 S 3-104. State board of elections AND THE STATE BOARD OF ELECTIONS 18 ENFORCEMENT COUNSEL; enforcement powers. 1. (A) THERE SHALL BE A UNIT 19 KNOWN AS THE STATE BOARD OF ELECTIONS ENFORCEMENT UNIT ESTABLISHED WITH- 20 IN THE STATE BOARD OF ELECTIONS. THE HEAD OF SUCH UNIT SHALL BE THE 21 ENFORCEMENT COUNSEL. 22 (B) The state board of elections shall have jurisdiction of, and be 23 responsible for, the execution and enforcement of the provisions of 24 [article fourteen of this chapter and other] statutes governing 25 campaigns, elections and related procedures; PROVIDED HOWEVER THAT THE 26 ENFORCEMENT COUNSEL SHALL HAVE SOLE AUTHORITY WITHIN THE STATE BOARD OF 27 ELECTIONS TO INVESTIGATE ON HIS OR HER OWN INITIATIVE OR UPON COMPLAINT, 28 ALLEGED VIOLATIONS OF ARTICLE FOURTEEN OF THIS CHAPTER AND ALL 29 COMPLAINTS ALLEGING ARTICLE FOURTEEN VIOLATIONS SHALL BE FORWARDED TO 30 THE ENFORCEMENT UNIT. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO 31 DIMINISH OR ALTER THE STATE BOARD OF ELECTIONS' JURISDICTION PURSUANT TO 32 THIS CHAPTER. 33 2. Whenever [the state board of elections or other] A LOCAL board of 34 elections shall determine, on its own initiative or upon complaint, or 35 otherwise, that there is substantial reason to believe a violation of 36 this chapter or any code or regulation promulgated thereunder has 37 [occurred] BEEN COMMITTED BY A CANDIDATE OR POLITICAL COMMITTEE THAT 38 FILES STATEMENTS REQUIRED BY ARTICLE FOURTEEN OF THIS CHAPTER SOLELY 39 WITH SUCH LOCAL BOARD, it shall expeditiously make an investigation 40 which shall also include investigation of reports and statements made or 41 failed to be made by the complainant and any political committee 42 supporting his candidacy if the complainant is a candidate or, if the 43 complaint was made by an officer or member of a political committee, of 44 reports and statements made or failed to be made by such political 45 committee and any candidates supported by it. [The state board of 46 elections, in lieu of making such an investigation, may direct the 47 appropriate board of elections to make an investigation.] 48 (C) The state board of elections may request, and shall receive, the 49 assistance of the state police in any investigation it shall conduct. 50 [3. If, after an investigation, the state or other board of elections 51 finds reasonable cause to believe that a violation warranting criminal 52 prosecution has taken place, it shall forthwith refer the matter to the 53 district attorney of the appropriate county and shall make available to 54 such district attorney all relevant papers, documents, testimony and 55 findings relevant to its investigation. S. 2794 46 1 4. The state or other board of elections may, where appropriate, 2 commence a judicial proceeding with respect to the filing or failure to 3 file any statement of receipts, expenditures, or contributions, under 4 the provisions of this chapter, and the state board of elections may 5 direct the appropriate other board of elections to commence such 6 proceeding. 7 5.] 3. IF THE ENFORCEMENT COUNSEL DETERMINES THAT A VIOLATION OF 8 SUBDIVISION ONE OF SECTION 14-126 OF THIS CHAPTER HAS OCCURRED WHICH 9 COULD WARRANT A CIVIL PENALTY, THE ENFORCEMENT COUNSEL SHALL, UPON HIS 10 OR HER DISCRETION, SEEK TO RESOLVE THE MATTER EXTRA-JUDICIALLY OR 11 COMMENCE A SPECIAL PROCEEDING IN THE SUPREME COURT PURSUANT TO SECTION 12 16-114 OF THIS CHAPTER. 13 4. UPON RECEIPT OF A COMPLAINT AND SUPPORTING INFORMATION ALLEGING 14 ANY OTHER VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER, THE ENFORCEMENT 15 COUNSEL SHALL ANALYZE THE COMPLAINT TO DETERMINE IF AN INVESTIGATION 16 SHOULD BE UNDERTAKEN. THE ENFORCEMENT COUNSEL SHALL, IF NECESSARY, 17 REQUEST ADDITIONAL INFORMATION FROM THE COMPLAINANT TO ASSIST SUCH COUN- 18 SEL IN MAKING THIS DETERMINATION. SUCH ANALYSIS SHALL INCLUDE THE 19 FOLLOWING: FIRST, WHETHER THE ALLEGATIONS, IF TRUE, WOULD CONSTITUTE A 20 VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER AND, SECOND, WHETHER THE 21 ALLEGATIONS ARE SUPPORTED BY CREDIBLE EVIDENCE. 22 5. IF THE ENFORCEMENT COUNSEL DETERMINES THAT THE ALLEGATIONS, IF 23 TRUE, WOULD NOT CONSTITUTE A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAP- 24 TER OR THAT THE ALLEGATIONS ARE NOT SUPPORTED BY CREDIBLE EVIDENCE, HE 25 OR SHE SHALL ISSUE A LETTER TO THE COMPLAINANT DISMISSING THE COMPLAINT. 26 6. IF THE ENFORCEMENT COUNSEL DETERMINES THAT THE ALLEGATIONS, IF 27 TRUE, WOULD CONSTITUTE A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER 28 AND THAT THE ALLEGATIONS APPEAR TO BE SUPPORTED BY CREDIBLE EVIDENCE, HE 29 OR SHE SHALL NOTIFY THE STATE BOARD OF ELECTIONS OF (A) HIS OR HER 30 INTENT TO RESOLVE THE MATTER EXTRA-JUDICIALLY DUE TO THE DE MINIMUS 31 NATURE OF THE VIOLATION; OR (B) HIS OR HER INTENT TO COMMENCE AN INVES- 32 TIGATION, NO LATER THAN THE BOARD'S NEXT REGULARLY SCHEDULED MEETING. 33 NOTIFICATION SHALL SUMMARIZE THE RELEVANT FACTS AND THE APPLICABLE LAW 34 AND SHALL, TO THE EXTENT POSSIBLE, PROTECT FROM PUBLIC DISCLOSURE THE 35 IDENTITY OF THE COMPLAINANT AND THE INDIVIDUAL SUBJECT TO THE COMPLAINT. 36 7. IF, UPON CONSIDERING THE ENFORCEMENT COUNSEL'S NOTICE OF INTENT TO 37 COMMENCE AN INVESTIGATION, THE STATE BOARD OF ELECTIONS BELIEVES THAT 38 THE ALLEGATIONS, IF TRUE, WOULD NOT CONSTITUTE A VIOLATION OF ARTICLE 39 FOURTEEN OF THIS CHAPTER, OR THE ALLEGATIONS ARE NOT SUPPORTED BY CREDI- 40 BLE EVIDENCE OR, THAT ON BALANCE, THE EQUITIES FAVOR A DISMISSAL OF THE 41 COMPLAINT, THE BOARD SHALL PUBLICLY DIRECT THAT AN INVESTIGATION NOT BE 42 UNDERTAKEN NO LATER THAN SIXTY DAYS AFTER THE RECEIPT OF NOTIFICATION 43 FROM THE ENFORCEMENT COUNSEL OF HIS OR HER INTENT TO COMMENCE AN INVES- 44 TIGATION. IN DETERMINING WHETHER THE EQUITIES FAVOR A DISMISSAL OF THE 45 COMPLAINT, THE STATE BOARD OF ELECTIONS SHALL CONSIDER THE FOLLOWING 46 FACTORS: (A) WHETHER THE COMPLAINT ALLEGES A DE MINIMUS VIOLATION OF 47 ARTICLE FOURTEEN OF THIS CHAPTER; (B) WHETHER THE SUBJECT OF THE 48 COMPLAINT HAS MADE A GOOD FAITH EFFORT TO CORRECT THE VIOLATION; AND (C) 49 WHETHER THE SUBJECT OF THE COMPLAINT HAS A HISTORY OF SIMILAR 50 VIOLATIONS. DETERMINATIONS OF THE STATE BOARD OF ELECTIONS TO DISMISS A 51 COMPLAINT AND NOT PROCEED WITH A FORMAL INVESTIGATION SHALL BE VOTED 52 UPON AS PROVIDED IN SUBDIVISION FOUR OF SECTION 3-100 OF THIS TITLE AT 53 AN OPEN MEETING PURSUANT TO ARTICLE SEVEN OF THE PUBLIC OFFICERS LAW, 54 AND SHALL BE MADE ON A FAIR AND EQUITABLE BASIS AND WITHOUT REGARD TO 55 THE STATUS OF THE SUBJECT OF THE COMPLAINT. S. 2794 47 1 8. ABSENT A TIMELY DETERMINATION BY THE STATE BOARD OF ELECTIONS THAT 2 AN INVESTIGATION SHALL NOT BE UNDERTAKEN, THE ENFORCEMENT COUNSEL SHALL 3 COMMENCE AN INVESTIGATION ON A TIMELY BASIS. IF THE ENFORCEMENT COUNSEL 4 DETERMINES THAT ADDITIONAL INVESTIGATIVE POWERS, AS PROVIDED FOR IN 5 SUBDIVISIONS FOUR, FIVE AND SIX OF SECTION 3-102 OF THIS TITLE, ARE 6 NEEDED TO COMPLETE THE COUNSEL'S INVESTIGATION, HE OR SHE SHALL REQUEST 7 SUCH ADDITIONAL POWERS FROM THE STATE BOARD OF ELECTIONS. SUCH POWERS 8 SHALL BE GRANTED BY THE BOARD IN PUBLIC, AS PROVIDED IN SUBDIVISION FOUR 9 OF SECTION 3-100 OF THIS TITLE, ONLY WHEN THE BOARD FINDS THAT FURTHER 10 INVESTIGATION IS WARRANTED AND JUSTIFIED. 11 9. AT THE CONCLUSION OF ITS INVESTIGATION, THE ENFORCEMENT COUNSEL 12 SHALL PROVIDE THE STATE BOARD OF ELECTIONS WITH A WRITTEN RECOMMENDATION 13 AS TO: (A) WHETHER SUBSTANTIAL REASON EXISTS TO BELIEVE A VIOLATION OF 14 ARTICLE FOURTEEN OF THIS CHAPTER HAS OCCURRED AND, IF SO, THE NATURE OF 15 THE VIOLATION AND ANY APPLICABLE PENALTY, AS DEFINED IN SECTION 14-126 16 OF THIS CHAPTER, BASED ON THE NATURE OF THE VIOLATION; (B) WHETHER THE 17 MATTER SHOULD BE RESOLVED EXTRA-JUDICIALLY; (C) WHETHER A SPECIAL 18 PROCEEDING SHOULD BE COMMENCED IN THE SUPREME COURT TO RECOVER A CIVIL 19 PENALTY; AND (D) WHETHER A REFERRAL SHOULD BE MADE TO A DISTRICT ATTOR- 20 NEY PURSUANT TO SUBDIVISION ELEVEN OF THIS SECTION BECAUSE REASONABLE 21 CAUSE EXISTS TO BELIEVE A VIOLATION WARRANTING CRIMINAL PROSECUTION HAS 22 TAKEN PLACE. 23 10. THE STATE BOARD OF ELECTIONS SHALL ACCEPT, MODIFY OR REJECT THE 24 ENFORCEMENT COUNSEL'S RECOMMENDATION NO LATER THAN SIXTY DAYS AFTER 25 RECEIPT OF SUCH RECOMMENDATION. IN MAKING ITS DETERMINATION, THE BOARD 26 SHALL AGAIN CONSIDER: (A) WHETHER THE COMPLAINT ALLEGES A DE MINIMUS 27 VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER; (B) WHETHER THE SUBJECT 28 OF THE COMPLAINT HAS MADE A GOOD FAITH EFFORT TO CORRECT THE VIOLATION; 29 AND (C) WHETHER THE SUBJECT OF THE COMPLAINT HAS A HISTORY OF SIMILAR 30 VIOLATIONS. ALL SUCH DETERMINATIONS SHALL BE VOTED UPON AS PROVIDED IN 31 SUBDIVISION FOUR OF SECTION 3-100 OF THIS TITLE AT AN OPEN MEETING 32 PURSUANT TO ARTICLE SEVEN OF THE PUBLIC OFFICERS LAW, AND SHALL BE MADE 33 ON A FAIR AND EQUITABLE BASIS, WITHOUT REGARD TO THE STATUS OF THE 34 SUBJECT OF THE COMPLAINT. 35 11. (A) IF THE STATE BOARD OF ELECTIONS DETERMINES, AS PROVIDED IN 36 SUBDIVISION TEN OF THIS SECTION, THAT SUBSTANTIAL REASON EXISTS TO 37 BELIEVE THAT A PERSON, ACTING AS OR ON BEHALF OF A CANDIDATE OR POLI- 38 TICAL COMMITTEE UNDER CIRCUMSTANCES EVINCING AN INTENT TO VIOLATE SUCH 39 LAW, HAS UNLAWFULLY ACCEPTED A CONTRIBUTION IN EXCESS OF A CONTRIBUTION 40 LIMITATION ESTABLISHED IN ARTICLE FOURTEEN OF THIS CHAPTER, WHICH COULD 41 WARRANT A CIVIL PENALTY AS PROVIDED FOR IN SUBDIVISION THREE OF SECTION 42 14-126 OF THIS CHAPTER, THE BOARD SHALL DIRECT THE COMMENCEMENT OF A 43 SPECIAL PROCEEDING IN THE SUPREME COURT PURSUANT TO SECTION 16-120 OF 44 THIS CHAPTER. 45 (B) IF THE STATE BOARD OF ELECTIONS DETERMINES, AS PROVIDED IN SUBDI- 46 VISION TEN OF THIS SECTION THAT REASONABLE CAUSE EXISTS TO BELIEVE A 47 VIOLATION WARRANTING CRIMINAL PROSECUTION HAS TAKEN PLACE, THE BOARD 48 SHALL REFER THE MATTER TO A DISTRICT ATTORNEY AND SHALL MAKE AVAILABLE 49 TO SUCH DISTRICT ATTORNEY ALL PAPERS, DOCUMENTS, TESTIMONY AND FINDINGS 50 RELEVANT TO ITS INVESTIGATION. 51 12. UPON NOTIFICATION THAT A SPECIAL PROCEEDING HAS BEEN COMMENCED BY 52 A PARTY OTHER THAN THE STATE BOARD OF ELECTIONS, PURSUANT TO SECTION 53 16-114 OF THIS CHAPTER, THE STATE BOARD OF ELECTIONS SHALL DIRECT THE 54 ENFORCEMENT COUNSEL TO INVESTIGATE THE ALLEGED VIOLATIONS UNLESS OTHER- 55 WISE DIRECTED BY THE COURT. S. 2794 48 1 13. THE ENFORCEMENT COUNSEL SHALL PREPARE A REPORT, TO BE INCLUDED IN 2 THE ANNUAL REPORT TO THE GOVERNOR AND LEGISLATURE, SUMMARIZING THE 3 ACTIVITIES OF THE UNIT DURING THE PREVIOUS YEAR. SUCH REPORT SHALL 4 INCLUDE: (I) THE NUMBER OF COMPLAINTS RECEIVED; (II) THE NUMBER OF 5 COMPLAINTS THAT WERE FOUND TO NEED INVESTIGATION AND THE NATURE OF EACH 6 COMPLAINT; AND (III) THE NUMBER OF MATTERS THAT HAVE BEEN RESOLVED. THE 7 REPORT SHALL NOT CONTAIN ANY INFORMATION FOR WHICH DISCLOSURE IS NOT 8 PERMITTED. 9 14. The state board of elections may promulgate rules and regulations 10 consistent with law to effectuate the provisions of this section. 11 S 25. The state of New York shall appropriate during each fiscal year 12 to the New York state board of elections enforcement unit, not less than 13 thirty-five percent of the appropriation available from the general fund 14 for the state board of elections to pay for the expenses of such 15 enforcement unit. 16 S 26. The election law is amended by adding a new section 3-111 to 17 read as follows: 18 S 3-111. PERSONAL USE OF CAMPAIGN FUNDS. UPON WRITTEN REQUEST FROM ANY 19 PERSON WHO IS SUBJECT TO THE REQUIREMENTS OF SECTION 14-130 OF THIS 20 CHAPTER, THE STATE BOARD OF ELECTIONS SHALL RENDER FORMAL OPINIONS ON 21 THE REQUIREMENTS OF SAID PROVISION. AN OPINION RENDERED BY THE BOARD, 22 UNTIL AND UNLESS AMENDED OR REVOKED, SHALL BE BINDING ON THE BOARD IN 23 ANY SUBSEQUENT PROCEEDING CONCERNING THE PERSON WHO REQUESTED THE OPIN- 24 ION AND WHO ACTED IN GOOD FAITH, UNLESS MATERIAL FACTS WERE OMITTED OR 25 MISSTATED BY THE PERSON IN THE REQUEST FOR AN OPINION. SUCH OPINION MAY 26 ALSO BE RELIED UPON BY SUCH PERSON, AND MAY BE INTRODUCED AND SHALL BE 27 DEFENSE IN ANY CRIMINAL OR CIVIL ACTION. SUCH REQUEST SHALL BE CONFIDEN- 28 TIAL, BUT THE BOARD SHALL PUBLISH SUCH OPINIONS PROVIDED THAT THE NAME 29 OF THE REQUESTING PERSON AND OTHER IDENTIFYING DETAILS SHALL NOT BE 30 INCLUDED IN THE PUBLICATION. 31 S 27. Section 14-100 of the election law is amended by adding three 32 new subdivisions 12, 13 and 14 to read as follows: 33 12. "CLEARLY IDENTIFIED CANDIDATE" MEANS THAT: 34 (A) THE NAME OF THE CANDIDATE INVOLVED APPEARS; 35 (B) A PHOTOGRAPH OR DRAWING OF THE CANDIDATE APPEARS; OR 36 (C) THE IDENTITY OF THE CANDIDATE IS APPARENT BY UNAMBIGUOUS REFER- 37 ENCE. 38 13. "GENERAL PUBLIC AUDIENCE" MEANS AN AUDIENCE COMPOSED OF MEMBERS OF 39 THE PUBLIC, INCLUDING A TARGETED SUBGROUP OF MEMBERS OF THE PUBLIC; 40 PROVIDED, HOWEVER, IT DOES NOT MEAN AN AUDIENCE SOLELY COMPRISED OF 41 MEMBERS, RETIREES AND STAFF OF A LABOR ORGANIZATION OR THEIR IMMEDIATE 42 FAMILY MEMBERS OR AN AUDIENCE SOLELY COMPRISED OF EMPLOYEES OF A BUSI- 43 NESS ENTITY OR MEMBERS OF A BUSINESS, TRADE OR PROFESSIONAL ASSOCIATION. 44 14. "LABOR ORGANIZATION" MEANS ANY ORGANIZATION OF ANY KIND WHICH 45 EXISTS FOR THE PURPOSE, IN WHOLE OR IN PART, OF REPRESENTING EMPLOYEES 46 EMPLOYED WITHIN THE STATE OF NEW YORK IN DEALING WITH EMPLOYERS OR 47 EMPLOYER ORGANIZATIONS OR WITH A STATE GOVERNMENT, OR ANY POLITICAL OR 48 CIVIL SUBDIVISION OR OTHER AGENCY THEREOF, CONCERNING TERMS AND CONDI- 49 TIONS OF EMPLOYMENT, GRIEVANCES, LABOR DISPUTES, OR OTHER MATTERS INCI- 50 DENTAL TO THE EMPLOYMENT RELATIONSHIP. FOR THE PURPOSES OF THIS ARTI- 51 CLE, EACH LOCAL, PARENT NATIONAL OR PARENT INTERNATIONAL ORGANIZATION OF 52 A STATEWIDE LABOR ORGANIZATION, AND EACH STATEWIDE FEDERATION RECEIVING 53 DUES FROM SUBSIDIARY LABOR ORGANIZATIONS, SHALL BE CONSIDERED A SEPARATE 54 LABOR ORGANIZATION. 55 S 28. Subdivision 5 of section 14-102 of the election law is REPEALED, 56 subdivisions 1 and 3, as amended by chapter 8 of the laws of 1978, S. 2794 49 1 subdivision 1 as redesignated by chapter 9 of the laws of 1978 and 2 subdivision 3 as renumbered by chapter 70 of the laws of 1983, are 3 amended and a new subdivision 5 is added to read as follows: 4 1. The treasurer of every political committee which, or any officer, 5 member or agent of any such committee who, in connection with any 6 election, receives or expends any money or other [valuable thing] ITEM 7 OF VALUE or incurs any liability to pay money or its equivalent shall 8 file statements sworn, or subscribed and bearing a form notice that 9 false statements made therein are punishable as a class A misdemeanor 10 pursuant to section 210.45 of the penal law, at the times prescribed by 11 this article setting forth all the receipts, contributions to and the 12 expenditures by and liabilities of the committee, and of its officers, 13 members and agents in its behalf. Such statements shall include the 14 dollar amount of any receipt, contribution or transfer, or the fair 15 market value of any receipt, contribution or transfer, which is other 16 than of money, the name and address of the transferor, contributor or 17 person from whom received, and if the transferor, contributor or person 18 is a political committee; the name of and the political unit represented 19 by the committee, the date of its receipt, the dollar amount of every 20 expenditure, the name and address of the person to whom it was made or 21 the name of and the political unit represented by the committee to which 22 it was made and the date thereof, and shall state clearly the purpose of 23 such expenditure. IF ANY ONE EXPENDITURE IS MADE FOR MORE THAN ONE 24 PURPOSE, OR AS PAYMENT FOR GOODS OR SERVICES SUPPLIED BY MORE THAN ONE 25 SUPPLIER, SUCH STATEMENT SHALL SET FORTH SEPARATELY EACH SUCH PURPOSE OR 26 SUPPLIER AND THE AMOUNT EXPENDED FOR EACH SUCH PURPOSE OR TO EACH SUCH 27 SUPPLIER. 28 Any statement reporting a loan shall have attached to it a copy of the 29 evidence of indebtedness. Expenditures in sums under fifty dollars need 30 not be specifically accounted for by separate items in said statements, 31 and receipts and contributions aggregating not more than ninety-nine 32 dollars, from any one contributor need not be specifically accounted for 33 by separate items in said statements, provided however, that such 34 expenditures, receipts and contributions shall be subject to the other 35 provisions of section 14-118 of this article. 36 3. The state board of elections shall promulgate regulations with 37 respect to the accounting methods to be applied IN COMPLYING WITH, AND 38 in preparing the statements required by, the provisions of this article 39 and shall provide forms suitable for such statements. SUCH REGULATIONS 40 SHALL BE DRAWN TO ASSURE SUCH COMPLIANCE AND OBTAIN THE MAXIMUM POSSIBLE 41 DISCLOSURE. 42 5. (A) PURSUANT TO THE PROVISIONS OF THIS SECTION, ANY CANDIDATE 43 AND/OR POLITICAL COMMITTEE WHICH IS REQUIRED TO FILE STATEMENTS WITH A 44 COUNTY BOARD OF ELECTIONS OR WITH THE BOARD OF ELECTIONS OF THE CITY OF 45 NEW YORK, WHICH RAISES OR SPENDS OR EXPECTS TO RAISE OR SPEND MORE THAN 46 ONE THOUSAND DOLLARS DURING ANY CALENDAR YEAR, IN ADDITION TO FILING 47 SUCH STATEMENTS WITH SUCH BOARDS OF ELECTIONS IN THE FILING FORMAT 48 REQUIRED THEREBY, SHALL ALSO FILE SUCH STATEMENTS ELECTRONICALLY WITH 49 THE STATE BOARD OF ELECTIONS PURSUANT TO ITS ELECTRONIC REPORTING 50 SYSTEM, ESTABLISHED PURSUANT TO SUBDIVISION NINE-A OF SECTION 3-102 OF 51 THIS CHAPTER, OR ON PAPER IF AN EXEMPTION FROM THE ELECTRONIC FILING 52 REQUIREMENTS HAS BEEN GRANTED BY THE STATE BOARD OF ELECTIONS PURSUANT 53 TO SUBDIVISION FOUR OF THIS SECTION OR SUBDIVISION TWO OF SECTION 14-104 54 OF THIS TITLE. 55 (B) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVI- 56 SION, ANY STATEMENTS FILED ELECTRONICALLY, OR ON PAPER IF EXEMPTED, WITH S. 2794 50 1 THE STATE BOARD OF ELECTIONS BY A CANDIDATE AND/OR POLITICAL COMMITTEE 2 WHICH IS REQUIRED TO FILE SUCH STATEMENTS ELECTRONICALLY WITH THE STATE 3 BOARD OF ELECTIONS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, SHALL 4 SATISFY THE FILING REQUIREMENTS OF THIS SECTION WITH REGARDS TO FILING 5 WITH THE APPLICABLE COUNTY OR CITY BOARD OF ELECTIONS. THE COUNTY AND 6 CITY BOARDS OF ELECTIONS SHALL MAKE STATEMENTS FILED WITH THE STATE 7 BOARD OF ELECTIONS, WHICH WOULD OTHERWISE HAVE BEEN FILED SPECIFICALLY 8 WITH THEIR INDIVIDUAL BOARD PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVI- 9 SION, AVAILABLE FOR PUBLIC INSPECTION AND COPYING VIA ELECTRONIC 10 CONNECTION TO THE STATE BOARD OF ELECTIONS' WEBSITE, WHICH WILL CONTAIN 11 SUCH STATEMENTS, OR BY SUCH OTHER MODE OF ELECTRONIC COMMUNICATION THAT 12 IS AVAILABLE AND APPROVED BY THE STATE BOARD OF ELECTIONS FOR SUCH 13 PURPOSES. 14 (C) ANY CANDIDATE AND/OR POLITICAL COMMITTEE WHICH IS REQUIRED TO FILE 15 STATEMENTS WITH A COUNTY BOARD OF ELECTIONS OR WITH THE BOARD OF 16 ELECTIONS OF THE CITY OF NEW YORK PURSUANT TO THE PROVISIONS OF THIS 17 SECTION, WHICH IS NOT REQUIRED TO FILE SUCH STATEMENTS WITH THE STATE 18 BOARD OF ELECTIONS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, MAY 19 NOT ELECT TO FILE SUCH STATEMENTS WITH THE STATE BOARD OF ELECTIONS 20 PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION IN SUBSTITUTION FOR, OR IN 21 SATISFACTION OF, THE REQUIREMENT TO FILE WITH THE APPLICABLE COUNTY OR 22 CITY BOARD OF ELECTIONS. 23 S 29. Subdivision 3 of section 14-104 of the election law is REPEALED 24 and a new subdivision 3 is added to read as follows: 25 3. (A) PURSUANT TO THE PROVISIONS OF THIS SECTION, ANY CANDIDATE 26 AND/OR POLITICAL COMMITTEE WHICH IS REQUIRED TO FILE STATEMENTS WITH A 27 COUNTY BOARD OF ELECTIONS OR WITH THE BOARD OF ELECTIONS OF THE CITY OF 28 NEW YORK, WHICH RAISES OR SPENDS OR EXPECTS TO RAISE OR SPEND MORE THAN 29 ONE THOUSAND DOLLARS DURING ANY CALENDAR YEAR, IN ADDITION TO FILING 30 SUCH STATEMENTS WITH SUCH BOARDS OF ELECTIONS IN THE FILING FORMAT 31 REQUIRED THEREBY, SHALL ALSO FILE SUCH STATEMENTS ELECTRONICALLY WITH 32 THE STATE BOARD OF ELECTIONS PURSUANT TO ITS ELECTRONIC REPORTING 33 SYSTEM, ESTABLISHED PURSUANT TO SUBDIVISION NINE-A OF SECTION 3-102 OF 34 THIS CHAPTER, OR ON PAPER IF AN EXEMPTION FROM THE ELECTRONIC FILING 35 REQUIREMENTS HAS BEEN GRANTED BY THE STATE BOARD OF ELECTIONS PURSUANT 36 TO SUBDIVISION FOUR OF SECTION 14-102 OF THIS TITLE OR SUBDIVISION TWO 37 OF THIS SECTION. 38 (B) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVI- 39 SION, ANY STATEMENTS FILED ELECTRONICALLY, OR ON PAPER IF EXEMPTED, WITH 40 THE STATE BOARD OF ELECTIONS BY A CANDIDATE AND/OR POLITICAL COMMITTEE 41 WHICH IS REQUIRED TO FILE SUCH STATEMENTS ELECTRONICALLY WITH THE STATE 42 BOARD OF ELECTIONS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, SHALL 43 SATISFY THE FILING REQUIREMENTS OF THIS SECTION WITH REGARDS TO FILING 44 WITH THE APPLICABLE COUNTY OR CITY BOARD OF ELECTIONS. THE COUNTY AND 45 CITY BOARDS OF ELECTIONS SHALL MAKE STATEMENTS FILED WITH THE STATE 46 BOARD OF ELECTIONS, WHICH WOULD OTHERWISE HAVE BEEN FILED SPECIFICALLY 47 WITH THEIR INDIVIDUAL BOARD PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVI- 48 SION, AVAILABLE FOR PUBLIC INSPECTION AND COPYING VIA ELECTRONIC 49 CONNECTION TO THE STATE BOARDS OF ELECTIONS' WEBSITE, WHICH WILL CONTAIN 50 SUCH STATEMENTS, OR BY SUCH OTHER MODE OF ELECTRONIC COMMUNICATION THAT 51 IS AVAILABLE AND APPROVED BY THE STATE BOARD OF ELECTIONS FOR SUCH 52 PURPOSES. 53 (C) ANY CANDIDATE AND/OR POLITICAL COMMITTEE WHICH IS REQUIRED TO FILE 54 STATEMENTS WITH A COUNTY BOARD OF ELECTIONS OR WITH THE BOARD OF 55 ELECTIONS OF THE CITY OF NEW YORK PURSUANT TO THE PROVISIONS OF THIS 56 SECTION, WHICH IS NOT REQUIRED TO FILE SUCH STATEMENTS WITH THE STATE S. 2794 51 1 BOARD OF ELECTIONS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, MAY 2 NOT ELECT TO FILE SUCH STATEMENTS WITH THE STATE BOARD OF ELECTIONS 3 PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION IN SUBSTITUTION FOR, OR IN 4 SATISFACTION OF, THE REQUIREMENT TO FILE WITH THE APPLICABLE COUNTY OR 5 CITY BOARD OF ELECTIONS. 6 S 30. Section 14-106 of the election law, as amended by chapter 8 of 7 the laws of 1978, is amended to read as follows: 8 S 14-106. Political [advertisements and literature] COMMUNICATION. 1. 9 The statements required to be filed under the provisions of this article 10 next succeeding a primary, general or special election shall be accompa- 11 nied by a [facsimile or] copy of all BROADCAST, CABLE OR SATELLITE SCHE- 12 DULES AND SCRIPTS, advertisements, pamphlets, circulars, flyers, 13 brochures, letterheads and other printed matter purchased or produced 14 [and a schedule of all radio or television time, and scripts used there- 15 in], AND REPRODUCTIONS OF STATEMENTS OR INFORMATION CONVEYED TO FIVE 16 HUNDRED OR MORE MEMBERS OF A GENERAL PUBLIC AUDIENCE BY COMPUTER OR 17 OTHER ELECTRONIC DEVICE, purchased in connection with such election by 18 or under the authority of the person filing the statement or the commit- 19 tee or the person on whose behalf it is filed, as the case may be. Such 20 [facsimiles,] copies, schedules and scripts shall be preserved by the 21 officer with whom or the board with which it is required to be filed for 22 a period of one year from the date of filing thereof. 23 2. NO PERSON, POLITICAL PARTY OR COMMITTEE SHALL, DURING THE COURSE OF 24 ANY CAMPAIGN FOR NOMINATION OR ELECTION TO PUBLIC OFFICE OR PARTY POSI- 25 TION, PREPARE OR DISTRIBUTE ANY POLITICAL COMMUNICATION THAT FALSELY 26 IDENTIFIES THE SOURCE OF SUCH COMMUNICATION. 27 S 31. The election law is amended by adding a new section 14-107 to 28 read as follows: 29 S 14-107. INDEPENDENT EXPENDITURE REPORTING. 1. FOR PURPOSES OF THIS 30 ARTICLE: 31 (A) "INDEPENDENT EXPENDITURE" MEANS AN EXPENDITURE MADE BY A PERSON 32 FOR AN AUDIO OR VIDEO COMMUNICATION TO A GENERAL PUBLIC AUDIENCE VIA 33 BROADCAST, CABLE OR SATELLITE OR A WRITTEN COMMUNICATION TO A GENERAL 34 PUBLIC AUDIENCE VIA ADVERTISEMENTS, PAMPHLETS, CIRCULARS, FLYERS, 35 BROCHURES, LETTERHEADS OR OTHER PRINTED MATTER AND STATEMENTS OR INFOR- 36 MATION CONVEYED TO FIVE HUNDRED OR MORE MEMBERS OF A GENERAL PUBLIC 37 AUDIENCE BY COMPUTER OR OTHER ELECTRONIC DEVICES WHICH: (I) EXPRESSLY 38 ADVOCATES THE ELECTION OR DEFEAT OF A CLEARLY IDENTIFIED CANDIDATE OR 39 THE SUCCESS OR DEFEAT OF A BALLOT PROPOSAL AND (II) SUCH CANDIDATE, THE 40 CANDIDATE'S POLITICAL COMMITTEE OR ITS AGENTS, OR A POLITICAL COMMITTEE 41 FORMED TO PROMOTE THE SUCCESS OR DEFEAT OF A BALLOT PROPOSAL OR ITS 42 AGENTS, DID NOT AUTHORIZE, REQUEST, SUGGEST, FOSTER OR COOPERATE IN ANY 43 SUCH COMMUNICATION. 44 (B) INDEPENDENT EXPENDITURES DO NOT INCLUDE: 45 (I) IN A WRITTEN NEWS STORY, COMMENTARY, OR EDITORIAL OR A NEWS STORY, 46 COMMENTARY, OR EDITORIAL DISTRIBUTED THROUGH THE FACILITIES OF ANY 47 BROADCASTING STATION, CABLE OR SATELLITE UNLESS SUCH PUBLICATION OR 48 FACILITIES ARE OWNED OR CONTROLLED BY ANY POLITICAL PARTY, POLITICAL 49 COMMITTEE OR CANDIDATE; OR 50 (II) A COMMUNICATION THAT CONSTITUTES A CANDIDATE DEBATE OR FORUM; OR 51 (III) A COMMUNICATION WHICH CONSTITUTES AN EXPENDITURE MADE BY AN 52 ENTITY REQUIRED TO REPORT SUCH EXPENDITURE WITH A BOARD OF ELECTIONS 53 PURSUANT TO SECTIONS 14-102 AND 14-104 OF THIS ARTICLE. 54 (C) FOR PURPOSES OF THIS SECTION, THE TERM "PERSON" SHALL MEAN PERSON, 55 GROUP OF PERSONS, ENTITY, ORGANIZATION OR ASSOCIATION. S. 2794 52 1 2. WHENEVER ANY PERSON MAKES AN INDEPENDENT EXPENDITURE THAT COSTS 2 MORE THAN ONE THOUSAND DOLLARS IN THE AGGREGATE, SUCH COMMUNICATION 3 SHALL CLEARLY STATE THE NAME OF THE PERSON WHO PAID FOR, OR OTHERWISE 4 PUBLISHED OR DISTRIBUTED, THE COMMUNICATION AND STATE, WITH RESPECT TO 5 COMMUNICATIONS REGARDING CANDIDATES, THAT THE COMMUNICATION IS NOT 6 AUTHORIZED BY ANY CANDIDATE, ANY CANDIDATE'S POLITICAL COMMITTEE OR ANY 7 OF ITS AGENTS. 8 3. (A) ANY PERSON WHICH MAKES INDEPENDENT EXPENDITURES THAT COST MORE 9 THAN ONE THOUSAND DOLLARS IN THE AGGREGATE SHALL REPORT SUCH INDEPENDENT 10 EXPENDITURES TO THE STATE BOARD OF ELECTIONS ON STATEMENTS AS PROVIDED 11 FOR IN SECTION 14-108 OF THIS ARTICLE. 12 (B) ANY INDEPENDENT EXPENDITURE MADE AFTER THE CLOSE OF THE PERIOD TO 13 BE COVERED IN THE LAST STATEMENT FILED BEFORE ANY PRIMARY, GENERAL OR 14 SPECIAL ELECTION, BUT BEFORE SUCH ELECTION, SHALL BE REPORTED WITHIN 15 TWENTY-FOUR HOURS IN THE SAME MANNER AS PROVIDED FOR IN SUBDIVISION TWO 16 OF SECTION 14-108 OF THIS ARTICLE. 17 4. EACH SUCH STATEMENT SHALL INCLUDE: 18 (A) THE NAME AND ADDRESS OF THE PERSON MAKING THE STATEMENT; 19 (B) THE NAME AND ADDRESS OF THE PERSON MAKING THE INDEPENDENT EXPENDI- 20 TURE; 21 (C) THE NAME AND ADDRESS OF ANY PERSON OR ENTITY PROVIDING A GIFT, 22 LOAN, ADVANCE OR DEPOSIT OF ONE HUNDRED DOLLARS OR MORE FOR THE INDE- 23 PENDENT EXPENDITURE, OR THE PROVISION OF SERVICES FOR THE SAME, AND THE 24 DATE IT WAS GIVEN; PROVIDED, HOWEVER, THE NAME AND ADDRESS OF A MEMBER 25 OF A LABOR ORGANIZATION IS NOT REQUIRED FOR A GIFT, LOAN, ADVANCE OR 26 DEPOSIT OF ONE HUNDRED DOLLARS OR MORE TO A LABOR ORGANIZATION; AND 27 PROVIDED FURTHER THAT THE NAME AND ADDRESS OF AN EMPLOYEE OF A BUSINESS 28 ENTITY OR A MEMBER OF A BUSINESS, TRADE OR PROFESSIONAL ASSOCIATION IS 29 NOT REQUIRED FOR A GIFT, LOAN, ADVANCE OR DEPOSIT OF ONE HUNDRED DOLLARS 30 OR MORE TO SUCH BUSINESS ENTITY OR BUSINESS, TRADE OR PROFESSIONAL ASSO- 31 CIATION RESPECTIVELY; 32 (D) THE DOLLAR AMOUNT PAID FOR EACH INDEPENDENT EXPENDITURE, THE NAME 33 AND ADDRESS OF THE PERSON OR ENTITY RECEIVING THE PAYMENT, THE DATE THE 34 PAYMENT WAS MADE AND A DESCRIPTION OF THE INDEPENDENT EXPENDITURE; AND 35 (E) THE ELECTION TO WHICH THE INDEPENDENT EXPENDITURE PERTAINS AND THE 36 NAME OF THE CLEARLY IDENTIFIED CANDIDATE OR THE BALLOT PROPOSAL REFER- 37 ENCED. 38 5. A COPY OF ALL MATERIALS THAT PERTAIN TO THE INDEPENDENT EXPENDI- 39 TURE, INCLUDING BUT NOT LIMITED TO BROADCAST, CABLE OR SATELLITE SCHED- 40 ULE AND SCRIPTS, ADVERTISEMENTS, PAMPHLETS, CIRCULARS, FLYERS, 41 BROCHURES, LETTERHEADS AND OTHER PRINTED MATTER SHALL IMMEDIATELY BE 42 FILED WITH THE STATE BOARD OF ELECTIONS AS PROVIDED IN SECTION 14-108 OF 43 THIS ARTICLE. 44 6. WRITTEN EVIDENCE OF THE INDEBTEDNESS RELATED TO A LOAN THAT IS MADE 45 FOR AN INDEPENDENT EXPENDITURE SHALL BE PROVIDED TO THE STATE BOARD OF 46 ELECTIONS. 47 7. EVERY STATEMENT REQUIRED TO BE FILED PURSUANT TO THIS SECTION SHALL 48 BE FILED ELECTRONICALLY TO THE STATE BOARD OF ELECTIONS. 49 8. THE STATE BOARD OF ELECTIONS SHALL PROMULGATE REGULATIONS WITH 50 RESPECT TO THE STATEMENTS REQUIRED TO BE FILED BY THIS SECTION AND SHALL 51 PROVIDE FORMS SUITABLE FOR SUCH STATEMENTS. 52 S 32. Subdivision 1 of section 14-108 of the election law, as amended 53 by chapter 955 of the laws of 1983, is amended to read as follows: 54 1. The statements required by this article shall be filed at such 55 times as the state board of elections, by rule or regulation, shall 56 specify; provided, however, that in no event shall the board provide for S. 2794 53 1 fewer than three filings in the aggregate in connection with any prima- 2 ry, general or special election, or in connection with a question to be 3 voted on and two of said filings shall be before any such election, 4 including one such filing not less than thirty days nor more than 5 forty-five days prior to such election and one such filing not less than 6 eleven days nor more than fifteen days prior to such election. In addi- 7 tion, the board shall provide that every political committee which has 8 filed a statement of treasurer and depository shall make at least one 9 PERIODIC filing [every six months] DURING THE MONTHS OF JANUARY, MAY AND 10 JULY between the time such statement of treasurer and depository is 11 filed and the time such committee goes out of business. If any candi- 12 date or committee shall be required by the provisions of this section, 13 or by rule or regulation hereunder, to effect two filings within a peri- 14 od of five days OF EACH OTHER, the state board of elections may, by rule 15 or regulation, waive the requirement of filing the earlier of such 16 statements. If a statement filed by a candidate or committee after the 17 election to which it pertains is not a final statement showing satisfac- 18 tion of all liabilities and disposition of all assets, such candidate or 19 committee shall file such additional statements as the board shall, by 20 rule or regulation provide until such a final statement is filed. 21 S 33. Section 14-126 of the election law, as amended by chapter 8 of 22 the laws of 1978, subdivision 1 as amended by chapter 128 of the laws of 23 1994 and subdivisions 2, 3 and 4 as redesignated by chapter 9 of the 24 laws of 1978, is amended to read as follows: 25 S 14-126. Violations; penalties. 1. Any person who fails to file a 26 statement required to be filed by this article shall be subject to a 27 civil penalty, not in excess of [five hundred] ONE THOUSAND dollars, to 28 be recoverable in a special proceeding or civil action to be brought by 29 the state board of elections [or other board of elections] ENFORCEMENT 30 COUNSEL PURSUANT TO SECTION 16-114 OF THIS CHAPTER. ANY PERSON WHO, 31 THREE OR MORE TIMES WITHIN A GIVEN ELECTION CYCLE FOR SUCH TERM OF 32 OFFICE, FAILS TO FILE A STATEMENT OR STATEMENTS REQUIRED TO BE FILED BY 33 THIS ARTICLE, SHALL BE SUBJECT TO A CIVIL PENALTY, NOT IN EXCESS OF TEN 34 THOUSAND DOLLARS, TO BE RECOVERABLE AS PROVIDED FOR IN THIS SUBDIVISION. 35 2. ANY PERSON WHO ACTS, UNDER CIRCUMSTANCES EVINCING AN INTENT TO 36 VIOLATE SUCH LAW, UNLAWFULLY FAILS TO IDENTIFY INDEPENDENT EXPENDITURES 37 AS REQUIRED BY SUBDIVISION TWO OF SECTION 14-107 OF THIS ARTICLE SHALL 38 BE SUBJECT TO A CIVIL PENALTY EQUAL TO ONE THOUSAND DOLLARS OR THE COST 39 OF THE COMMUNICATION, WHICHEVER IS GREATER, IN A SPECIAL PROCEEDING OR 40 CIVIL ACTION BROUGHT BY THE STATE BOARD OF ELECTIONS ENFORCEMENT COUNSEL 41 PURSUANT TO SECTION 16-120 OF THIS CHAPTER. 42 3. ANY PERSON WHO, ACTING AS OR ON BEHALF OF A CANDIDATE OR POLITICAL 43 COMMITTEE, UNDER CIRCUMSTANCES EVINCING AN INTENT TO VIOLATE SUCH LAW, 44 UNLAWFULLY ACCEPTS A CONTRIBUTION IN EXCESS OF A CONTRIBUTION LIMITATION 45 ESTABLISHED IN THIS ARTICLE, SHALL BE REQUIRED TO REFUND SUCH EXCESS 46 AMOUNT AND SHALL BE SUBJECT TO A CIVIL PENALTY EQUAL TO TWO TIMES THE 47 EXCESS AMOUNT PLUS A FINE OF UP TO TEN THOUSAND DOLLARS, TO BE RECOVERA- 48 BLE IN A SPECIAL PROCEEDING OR CIVIL ACTION TO BE BROUGHT BY THE STATE 49 BOARD OF ELECTIONS ENFORCEMENT COUNSEL PURSUANT TO SECTION 16-120 OF 50 THIS CHAPTER. 51 4. Any person who knowingly and willfully fails to file a statement 52 required to be filed by this article within ten days after the date 53 provided for filing such statement or any person who knowingly and will- 54 fully violates any other provision of this article shall be guilty of a 55 misdemeanor. S. 2794 54 1 [3.] 5. Any person who knowingly and willfully contributes, accepts or 2 aids or participates in the acceptance of a contribution in an amount 3 exceeding an applicable maximum specified in this article shall be guil- 4 ty of a misdemeanor. 5 [4.] 6. Any person who shall, acting on behalf of a candidate or poli- 6 tical committee, knowingly and willfully solicit, organize or coordinate 7 the formation of activities of one or more unauthorized committees, make 8 expenditures in connection with the nomination for election or election 9 of any candidate, or solicit any person to make any such expenditures, 10 for the purpose of evading the contribution limitations of this article, 11 shall be guilty of a class E felony. 12 S 34. Section 16-100 of the election law is amended to read as 13 follows: 14 S 16-100. Jurisdiction; supreme court, county court. 1. The supreme 15 court is vested with jurisdiction to summarily determine any question of 16 law or fact arising as to any subject set forth in this article, which 17 shall be construed liberally. 18 2. The county court is vested with jurisdiction to summarily determine 19 any question of law or fact except proceedings as to a nomination or 20 election at a primary election or a nomination at a judicial convention, 21 proceedings as to the casting and canvass of ballots [and], proceedings 22 for examination or preservation of ballots AND PROCEEDINGS TO ENFORCE 23 THE PROVISIONS OF ARTICLE FOURTEEN OF THIS CHAPTER. 24 S 35. The election law is amended by adding a new section 16-120 to 25 read as follows: 26 S 16-120. ENFORCEMENT PROCEEDINGS. 1. THE SUPREME COURT OR A JUSTICE 27 THEREOF, IN A PROCEEDING INSTITUTED BY THE STATE BOARD OF ELECTIONS 28 ENFORCEMENT COUNSEL, MAY IMPOSE A CIVIL PENALTY, AS PROVIDED FOR IN 29 SUBDIVISION TWO OR THREE OF SECTION 14-126 OF THIS CHAPTER. 30 2. UPON PROOF THAT A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER, AS 31 PROVIDED IN SUBDIVISION ONE OF THIS SECTION, HAS OCCURRED, THE COURT MAY 32 IMPOSE A CIVIL PENALTY, PURSUANT TO SUBDIVISION TWO OR THREE OF SECTION 33 14-126 OF THIS CHAPTER, AFTER CONSIDERING, AMONG OTHER FACTORS, THE 34 SEVERITY OF THE VIOLATION OR VIOLATIONS, WHETHER THE SUBJECT OF THE 35 VIOLATION MADE A GOOD FAITH EFFORT TO CORRECT THE VIOLATION AND WHETHER 36 THE SUBJECT OF THE VIOLATION HAS A HISTORY OF SIMILAR VIOLATIONS. ALL 37 SUCH DETERMINATIONS SHALL BE MADE ON A FAIR AND EQUITABLE BASIS WITHOUT 38 REGARD TO THE STATUS OF THE CANDIDATE OR POLITICAL COMMITTEE. 39 S 36. Separability clause. If any clause, sentence, paragraph, section 40 or part of this act shall be adjudged by any court of competent juris- 41 diction to be invalid, such judgment shall not affect, impair or invali- 42 date the remainder thereof, but shall be confined in its operation to 43 the clause, sentence, paragraph, section or part thereof directly 44 involved in the controversy in which such judgment shall have been 45 rendered. 46 S 37. This act shall take effect July 31, 2011; provided, however, 47 sections five-a, five-b and fourteen of this act shall take effect Janu- 48 ary 1, 2012; provided further, that sections one, two, three-a, four, 49 five, six through eight and nine through eleven of this act shall expire 50 and be deemed repealed 4 years after such effective date; provided 51 further that sections twenty-two, twenty-three, twenty-four, twenty- 52 five, twenty-six, twenty-seven, twenty-eight, twenty-nine, thirty, thir- 53 ty-one, thirty-three, thirty-four, and thirty-five of this act shall 54 take effect on the sixtieth day after it shall have become a law; and 55 provided further that section thirty-two of this act shall take effect 56 on January 1, 2012.