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H0707......................................................by STATE AFFAIRS LOBBYING - Amends existing law relating to lobbying to require persons attempting to influence executive or administrative actions for compensation at the state level to register and file annual and periodic reports with the Secretary of State. 02/21 House intro - 1st rdg - to printing 02/22 Rpt prt - to St Aff 02/27 Rpt out - rec d/p - to 2nd rdg 02/28 2nd rdg - to 3rd rdg 03/03 3rd rdg - PASSED - 68-0-2 AYES -- Anderson, Andrus, Barraclough, Barrett, Bastian, Bayer, Bedke, Bell, Bilbao, Black, Block, Boe, Bolz, Brackett, Bradford, Cannon, Chadderdon, Clark, Collins, Deal, Denney, Edmunson, Ellsworth, Eskridge, Field(18), Field(23), Garrett, Hart, Harwood, Henbest, Henderson, Jaquet, Kemp, Lake, LeFavour, Loertscher, Martinez, Mathews, McGeachin, McKague, Miller, Mitchell, Moyle, Nielsen, Nonini, Pasley-Stuart, Pence, Raybould, Ring, Ringo, Roberts, Rusche, Rydalch, Sali, Sayler, Schaefer, Shepherd(2), Shepherd(8), Shirley, Skippen, Smith(30), Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills, Wood NAYS -- None Absent and excused -- Crow, Mr. Speaker Floor Sponsors - Clark & Jaquet Title apvd - to Senate 03/06 Senate intro - 1st rdg - to St Aff 03/13 Rpt out - rec d/p - to 2nd rdg 03/14 2nd rdg - to 3rd rdg 03/16 3rd rdg - PASSED - 35-0-0 AYES -- Andreason, Brandt, Broadsword, Bunderson, Burkett, Burtenshaw, Cameron, Coiner, Compton, Corder, Darrington, Davis, Fulcher, Gannon, Geddes, Goedde, Hill, Jorgenson, Kelly, Keough, Langhorst, Little, Lodge, Malepeai, Marley, McGee, McKenzie, Pearce, Richardson, Schroeder, Stegner, Stennett, Sweet, Werk, Williams NAYS -- None Absent and excused -- None Floor Sponsors - Davis, Kelly & Langhorst Title apvd - to House 03/17 To enrol 03/20 Rpt enrol - Sp signed 03/21 Pres signed - To Governor 03/22 Governor signed Session Law Chapter 106 Effective: 07/01/06
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature Second Regular Session - 2006IN THE HOUSE OF REPRESENTATIVES HOUSE BILL NO. 707 BY STATE AFFAIRS COMMITTEE 1 AN ACT 2 RELATING TO ACTIONS AND EXPENDITURES BY LOBBYISTS; AMENDING SECTION 67-6601, 3 IDAHO CODE, TO INCLUDE ATTEMPTING TO INFLUENCE EXECUTIVE OR ADMINISTRATIVE 4 ACTIONS IN THE PURPOSE OF THE ACT; AMENDING SECTION 67-6602, IDAHO CODE, 5 TO ADD THE DEFINITION OF "EXECUTIVE OFFICIAL," TO PROVIDE THAT THE DEFINI- 6 TION OF "LOBBY" AND "LOBBYING" SHALL ALSO MEAN COMMUNICATING WITH AN EXEC- 7 UTIVE OFFICIAL FOR THE PURPOSE OF INFLUENCING THE CONSIDERATION, AMEND- 8 MENT, ADOPTION OR REJECTION OF ANY RULE OR RULEMAKING, OR ANY RATEMAKING 9 DECISION, PROCUREMENT, CONTRACT, BID OR BID PROCESS, FINANCIAL SERVICES 10 AGREEMENT OR BOND ISSUE AND TO PROVIDE THAT NEITHER "LOBBY" NOR "LOBBYING" 11 INCLUDES COMMUNICATING WITH AN EXECUTIVE OFFICIAL FOR THE PURPOSE OF CAR- 12 RYING OUT ONGOING NEGOTIATIONS FOLLOWING THE AWARD OF A BID OR A CONTRACT, 13 COMMUNICATIONS INVOLVING ONGOING LEGAL WORK AND NEGOTIATIONS CONDUCTED BY 14 AND WITH ATTORNEYS FOR EXECUTIVE AGENCIES, INTERACTIONS BETWEEN PARTIES IN 15 LITIGATION OR OTHER CONTESTED MATTERS, OR COMMUNICATIONS AMONG AND BETWEEN 16 MEMBERS OF THE LEGISLATURE AND EXECUTIVE OFFICIALS AND THEIR EMPLOYEES OR 17 BY STATE EMPLOYEES WHILE ACTING IN THEIR OFFICIAL CAPACITY OR WITHIN THE 18 COURSE AND SCOPE OF THEIR EMPLOYMENT; AMENDING SECTION 67-6618, IDAHO 19 CODE, TO PROVIDE THAT APPEARANCES OR PARTICIPATION IN PUBLIC MEETINGS, 20 PUBLIC HEARINGS OR PUBLIC PROCEEDINGS HELD OR INITIATED BY EXECUTIVE OFFI- 21 CIALS OR THEIR EMPLOYEES SHALL BE EXEMPT FROM REGISTRATION AND REPORTING 22 AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 67-6619, IDAHO CODE, 23 TO PROVIDE THAT LOBBYISTS COVERED UNDER THIS ACT WHOSE LOBBYING ACTIVITIES 24 ARE CONFINED ONLY TO EXECUTIVE OFFICIALS SHALL BE REQUIRED TO FILE INTERIM 25 PERIODIC REPORTS SEMIANNUALLY, TO INCLUDE EXECUTIVE OFFICIALS IN THE 26 EXPENDITURE REPORTING REQUIREMENTS AND TO REQUIRE THAT SEMIANNUAL PERIODIC 27 REPORTS CONTAIN THE SUBJECT MATTER OF ANY RULE, RATEMAKING DECISION, PRO- 28 CUREMENT, CONTRACT, BID OR BID PROCESS, FINANCIAL SERVICES AGREEMENT OR 29 BOND ISSUE WHICH THE LOBBYIST HAS BEEN ENGAGED IN SUPPORTING OR OPPOSING 30 DURING THE REPORTING PERIOD AND TO MAKE A TECHNICAL CORRECTION. 31 Be It Enacted by the Legislature of the State of Idaho: 32 SECTION 1. That Section 67-6601, Idaho Code, be, and the same is hereby 33 amended to read as follows: 34 67-6601. PURPOSE OF ACT. The purpose of this act is: 35 (a) To promote public confidence in government; and 36 (b) To promote openness in government and avoiding secrecy by those giv- 37 ing financial support to state election campaigns and those promoting or 38 opposing legislation or attempting to influence executive or administrative 39 actions for compensation at the state level. 40 SECTION 2. That Section 67-6602, Idaho Code, be, and the same is hereby 41 amended to read as follows: 2 1 67-6602. DEFINITIONS. As used in this chapter, the following terms have 2 the following meanings: 3 (a) "Candidate" means an individual who has taken affirmative action to 4 seek nomination or election to public office. An individual shall be deemed to 5 have taken affirmative action to seek such nomination or election to public 6 office when he first: 7 (1) Receives contributions or makes expenditures or reserves space or 8 facilities with intent to promote his candidacy for office; or 9 (2) Announces publicly or files for office. 10 (3) For purposes of this chapter, an incumbent shall be presumed to be a 11 candidate in the subsequent election for his or her office. Contributions 12 received by an incumbent candidate shall not be in excess of the pre- 13 scribed contribution limits for the subsequent election by which the 14 incumbent candidate's name would first appear on the ballot. An incumbent 15 shall no longer be a candidate for his or her office after the deadline 16 for the filing of a declaration of candidacy to first appear on the ballot 17 for that office has expired. 18 (b) "Compensation" includes any advance, conveyance, forgiveness of 19 indebtedness, deposit, distribution, loan, payment, gift, pledge or transfer 20 of money or anything of value, and any contract, agreement, promise or other 21 obligation, whether or not legally enforceable, to do any of the foregoing, 22 for services rendered or to be rendered, but does not include reimbursement of 23 expenses if such reimbursement does not exceed the amount actually expended 24 for such expenses and is substantiated by an itemization of such expenses. 25 (c) "Contribution" includes any advance, conveyance, forgiveness of 26 indebtedness, deposit, distribution, loan, payment, gift, pledge, subscription 27 or transfer of money or anything of value, and any contract, agreement, prom- 28 ise or other obligation, whether or not legally enforceable, to make a contri- 29 bution, in support of or in opposition to any candidate, political committee 30 or measure. Such term also includes personal funds or other property of a can- 31 didate or members of his household expended or transferred to cover expendi- 32 tures incurred in support of such candidate but does not include personal 33 funds used to pay the candidate filing fee. Such term also includes the ren- 34 dering of personal and professional services for less than full consideration, 35 but does not include ordinary home hospitality or the rendering of "part-time" 36 personal services of the sort commonly performed by volunteer campaign workers 37 or advisors or incidental expenses not in excess of twenty-five dollars 38 ($25.00) personally paid for by any volunteer campaign worker. "Part-time" 39 services for the purposes of this definition, means services in addition to 40 regular full-time employment, or, in the case of an unemployed person or per- 41 sons engaged in part-time employment, services rendered without compensation 42 or reimbursement of expenses from any source other than the candidate or 43 political committee for whom such services are rendered. For the purposes of 44 this act, contributions, other than money or its equivalents shall be deemed 45 to have a money value equivalent to the fair market value of the contribution. 46 (d) "Election" means any general, special or primary election. 47 (e) "Election campaign" means any campaign in support of or in opposition 48 to a candidate for election to public office and any campaign in support of, 49 or in opposition to, a measure. 50 (f) (1) "Electioneering communication" means any communication broadcast 51 by television or radio, printed in a newspaper or on a billboard, directly 52 mailed or delivered by hand to personal residences, or telephone calls 53 made to personal residences, or otherwise distributed that: 54 (i) Unambiguously refers to any candidate; and 55 (ii) Is broadcasted, printed, mailed, delivered, made or distributed 3 1 within thirty (30) days before a primary election or sixty (60) days 2 before a general election; and 3 (iii) Is broadcasted to, printed in a newspaper, distributed to, 4 mailed to or delivered by hand to, telephone calls made to, or 5 otherwise distributed to an audience that includes members of the 6 electorate for such public office. 7 (2) "Electioneering communication" does not include: 8 (i) Any news articles, editorial endorsements, opinion or commen- 9 tary, writings, or letter to the editor printed in a newspaper, maga- 10 zine, or other periodical not owned or controlled by a candidate or 11 political party; 12 (ii) Any editorial endorsements or opinions aired by a broadcast 13 facility not owned or controlled by a candidate or political party; 14 (iii) Any communication by persons made in the regular course and 15 scope of their business or any communication made by a membership 16 organization solely to members of such organization and their fami- 17 lies; 18 (iv) Any communication which refers to any candidate only as part of 19 the popular name of a bill or statute; 20 (v) A communication which constitutes an expenditure or an indepen- 21 dent expenditure under this chapter. 22 (g) "Executive official" means: 23 (1) The governor, lieutenant governor, secretary of state, state control- 24 ler, state treasurer, attorney general, and superintendent of public 25 instruction; 26 (2) A state department or agency director, deputy director, division 27 administrator or bureau chief as established and enumerated in sections 28 67-2402 and 67-2406, Idaho Code; 29 (3) The membership and the executive or chief administrative officer of 30 any board or commission that is authorized to make rules or conduct rule- 31 making activities pursuant to section 67-5201, Idaho Code; 32 (4) The membership and the executive or chief administrative officer of 33 any board or commission that governs any of the state departments enumer- 34 ated in section 67-2402, Idaho Code, not including public school dis- 35 tricts; 36 (5) The membership and the executive or chief administrative officer of 37 the Idaho public utilities commission, the Idaho industrial commission, 38 and the Idaho state tax commission; and 39 (6) The members of the governing board of the state insurance fund, and 40 the members of the governing board and the executive or chief administra- 41 tive officer of the Idaho housing and finance association, the Idaho 42 energy resources authority, and the Idaho state building authority. 43 (h) "Expenditure" includes any payment, contribution, subscription, dis- 44 tribution, loan, advance, deposit, or gift of money or anything of value, and 45 includes a contract, promise, or agreement, whether or not legally enforce- 46 able, to make an expenditure. The term "expenditure" also includes a promise 47 to pay, a payment or a transfer of anything of value in exchange for goods, 48 services, property, facilities or anything of value for the purpose of assist- 49 ing, benefiting or honoring any public official or candidate, or assisting in 50 furthering or opposing any election campaign. 51 (hi) "Independent expenditure" means any expenditure by a person for a 52 communication expressly advocating the election, passage or defeat of a 53 clearly identified candidate or measure that is not made with the cooperation 54 or with the prior consent of, or in consultation with, or at the consent of, 55 or in consultation with, or at the request of a suggestion of, a candidate or 4 1 any agent or authorized committee of the candidate or political committee sup- 2 porting or opposing a measure. As used in this subsection, "expressly advocat- 3 ing" means any communication containing a message advocating election, passage 4 or defeat including, but not limited to, the name of the candidate or measure, 5 or expression such as "vote for," "elect," "support," "cast your ballot for," 6 "vote against," "defeat" or "reject." 7 (ij) "Lobby" and "lobbying" each means attempting through contacts with, 8 or causing others to make contact with, members of the legislature or legisla- 9 tive committees or an executive official, to influence the approval, modifica- 10 tion or rejection of any legislation by the legislature of the state of Idaho 11 or any committee thereof or by the governor, and shall also mean communicating 12 with an executive official for the purpose of influencing the consideration, 13 amendment, adoption or rejection of any rule or rulemaking as defined in sec- 14 tion 67-5201, Idaho Code, or any ratemaking decision, procurement, contract, 15 bid or bid process, financial services agreement, or bond issue. Neither 16 "lobby" nor "lobbying" includes an association's or other organization's act 17 of communicating with the members of that association or organization; and 18 provided that neither "lobby" nor "lobbying" includes communicating with an 19 executive official for the purpose of carrying out ongoing negotiations fol- 20 lowing the award of a bid or a contract, communications involving ongoing 21 legal work and negotiations conducted by and with attorneys for executive 22 agencies, interactions between parties in litigation or other contested mat- 23 ters, or communications among and between members of the legislature and exec- 24 utive officials and their employees, or by state employees while acting in 25 their official capacity or within the course and scope of their employment. 26 (jk) "Lobbyist" includes any person who lobbies. 27 (kl) "Lobbyist's employer" means the person or persons by whom a lobbyist 28 is employed, directly or indirectly, and all persons by whom he is compensated 29 for acting as a lobbyist. 30 (lm) "Measure" means any proposal, to be voted statewide, submitted to 31 the people for their approval or rejection at an election, including any ini- 32 tiative, referendum or revision of or amendment to the state constitution. An 33 initiative or referendum proposal shall be deemed a measure when the attorney 34 general reviews it and gives it a ballot title. 35 (mn) "Nonbusiness entity" means any group (of two (2) or more individu- 36 als), corporation, association, firm, partnership, committee, club or other 37 organization which: 38 (1) Does not have as its principal purpose the conduct of business activ- 39 ities for profit; and 40 (2) Received during the preceding calendar year contributions, gifts or 41 membership fees, which in the aggregate exceeded ten percent (10%) of its 42 total receipts for such year. 43 (no) "Person" means an individual, corporation, association, firm, part- 44 nership, committee, political party, club or other organization or group of 45 persons. 46 (op) "Political committee" means: 47 (1) Any person specifically designated to support or oppose any candidate 48 or measure; or 49 (2) Any person who receives contributions and makes expenditures in an 50 amount exceeding five hundred dollars ($500) in any calendar year for the 51 purpose of supporting or opposing one (1) or more candidates or measures. 52 Any entity registered with the federal election commission shall not be 53 considered a political committee for purposes of this chapter. 54 (3) A county, district or regional committee of a recognized political 55 party shall not be considered a political committee for the purposes of 5 1 this chapter unless such party committee has expenditures exceeding five 2 thousand dollars ($5,000) in a calendar year. 3 (pq) "Political treasurer" means an individual appointed by a candidate 4 or political committee as provided in section 67-6603, Idaho Code. 5 (qr) "Public office" means any state office or position, state senator, 6 state representative, and judge of the district court that is filled by elec- 7 tion. 8 SECTION 3. That Section 67-6618, Idaho Code, be, and the same is hereby 9 amended to read as follows: 10 67-6618. EXEMPTION FROM REGISTRATION. The following persons and activi- 11 ties shall be exempt from registration and reporting under sections 67-6617 12 and 67-6619, Idaho Code: 13 (a) Persons who limit their lobbying activities to appearances before 14 public sessions of committees of the legislature or to appearances or partici- 15 pation in public meetings, public hearings or public proceedings held or ini- 16 tiated by executive officials or their employees. 17 (b) Persons who are employees of an entity engaged in the business of 18 publishing, broadcasting or televising, while engaged in the gathering and 19 dissemination of news and comment thereon to the general public in the ordi- 20 nary course of business. 21 (c) Persons who do not receive any compensation for lobbying and persons 22 whose compensation for lobbying does not exceed two hundred fifty dollars 23 ($250) in the aggregate during any calendar quarter, including persons who 24 lobby on behalf of their employer or employers, and the lobbying activity rep- 25 resents less than the equivalent of two hundred fifty dollars ($250) of the 26 employee's time per calendar year quarter, based on an hourly proration of 27 said employee's compensation. 28 (d) Elected state officers and state executive officers appointed by the 29 governor subject to confirmation by the senate; elected officials of political 30 subdivisions of the state of Idaho, acting in their official capacity. 31 (e) A person who represents a bona fide church (of which he is a member) 32 solely for the purpose of protecting the constitutional right to the free 33 exercise of religion. 34 (f) (1) Employees of a corporation, if such corporation: 35 (ai) Has registered as a lobbyist pursuant to chapter 66, title 67, 36 Idaho Code, and 37 (bii) Has designated one (1) or more of its employees as its offi- 38 cial lobbyist, and 39 (ciii) The person so designated by the corporation has also regis- 40 tered as a lobbyist. 41 (2) The corporation and the lobbyist designated pursuant to this subsec- 42 tion shall fully and accurately report all expenditures made by employees 43 who are exempt hereunder, in the manner and at the times required by sec- 44 tion 67-6618, Idaho Code, and, in addition thereto, shall report the names 45 of all employees who make or authorize expenditures in the aggregate sum 46 of fifty dollars ($50.00) or more during any calendar year on behalf of 47 the corporate lobbying activities. 48 SECTION 4. That Section 67-6619, Idaho Code, be, and the same is hereby 49 amended to read as follows: 50 67-6619. REPORTING BY LOBBYISTS. (a) Any lobbyist registered under sec- 51 tion 67-6617, Idaho Code, shall file with the secretary of state an annual 6 1 report of his activities signed by both the lobbyist and the lobbyist's 2 employers. The reports shall be made in the form and manner prescribed by the 3 secretary of state and shall be filed on January 31. In addition to the annual 4 report, while the legislature is in session, every registered lobbyist shall 5 file interim monthly periodic reports for each month or portion thereof that 6 the legislature is in session, which reports need be signed only by the lobby- 7 ist and which shall be filed within ten (10) days of the first day of the 8 month for the activities of the month just past, provided, however, that any 9 lobbyist covered under this chapter whose lobbying activities are confined 10 only to executive officials shall be required to file interim periodic reports 11 semiannually, which reports need be signed only by the lobbyist. 12 (b) Each such annual, semiannual and monthly periodic report shall con- 13 tain: 14 (1) The totals of all expenditures made or incurred by such lobbyist or 15 on behalf of such lobbyist by the lobbyist's employer (not including pay- 16 ments made directly to the lobbyist), during the period covered by the 17 report, which totals shall be segregated according to financial category, 18 including, for example, entertainment, food and refreshments; advertising; 19 providing, however, that reimbursed personal living and travel expenses of 20 a lobbyist incurred directly or indirectly for any lobbying purpose need 21 not be reported. The totals of each expenditure of more than fifty dollars 22 ($50.00) for a legislator or other holder of public office or executive 23 official shall be identified by date, place, amount, and the names of all 24 members of the state legislature or holders of public office or executive 25 officials in the group partaking in or of such financial category exclud- 26 ing any portion thereof attributable to the lobbyist's participation 27 therein. Reported expenditures for entertainment, food and refreshments 28 for legislators or other holders of public office or executive officials 29 shall be the actual cost of the entertainment, food and refreshments. 30 (2) In the case of a lobbyist employed by more than one (1) employer, the 31 proportionate amount of such expenditures in each category incurred on 32 behalf of each of his employers. 33 (3) An itemized listing of each such expenditure made by the lobbyist or 34 by the lobbyist's employer in the nature of a contribution of money or of 35 tangible or intangible personal property to any legislator or executive 36 official, or for or on behalf of any legislator or executive official. All 37 contributions made to, or for the benefit of, any legislator or executive 38 official, exempting only those contributions that are required to be 39 reported under other provisions of law, shall be identified by date, 40 amount, and the name of the legislator or executive official receiving, or 41 to be benefited by each such contribution. 42 (c) Each such annual, semiannual and monthly periodic report shall con- 43 tain the subject matter of proposed legislation and the number of each senate 44 or house bill, resolution, or other legislative activity or any rule, 45 ratemaking decision, procurement, contract, bid or bid process, financial ser- 46 vices agreement or bond which the lobbyist has been engaged in supporting or 47 opposing during the reporting period; provided, that in the case of appropria- 48 tions bills the lobbyistsshall enumerate the specific section or sections 49 which he supported or opposed.
STATEMENT OF PURPOSE RS 16006C2 This bill would add executive branch lobbyists and lobbying activities to Idaho's sunshine laws. Currently, individuals who are paid to contact legislators outside of public sessions of legislative committees, must register with the Secretary of State and file reports of expenditures on lobbying activities. This bill would require persons who attempt to influence executive or administrative actions for compensation at the state level, to register with the Secretary of State, as do legislative lobbyists, and to file semi-annual reports of lobbying activities and expenditures. FISCAL NOTE Because the responsibility for registering and recording reports of executive branch lobbyists would be added to the existing system and procedures for legislative lobbyists, this bill would have a minimal fiscal impact on the state general fund. Depending upon the number of new lobbyists who register and report, there may be some costs to the Secretary of State's office for additional staff time spent in reviewing, filing and reconciling annual and periodic reports, and for minor modifications in software and web site postings. Whether any additional staff will be needed depends on whether there is a significant increase in workload. There is no fiscal impact on any other state funds or any local government funds. Contact Names: Rep. Bruce Newcomb, Speaker, 332-1111 Rep. Lawerence Denny, Majority Leader, 332-1120 Rep. Mike Moyle, Asst. Majority Leader, 332-1120 Rep. Julie Ellsworth, Maj. Caucus Chair, 332-1120 Rep. Jim Clark, 332-1000 Rep. Wendy Jaquet, Minority Leader, 332-1130 Rep. George Sayler, Asst. Minority Leader, 332-1130 Rep. Elmer Martinez, Min. Caucus Chair, 332-1130 Sen. Bart Davis, Majority Leader, 332-1306 Sen. Joe Stegner, Asst. Majority Leader, 332-1308 Sen. Clint Stennett, Minority Leader, 332-1351 Sen. Kate Kelly, 332-1405 Sen. David Langhorst, 332-1348 STATEMENT OF PURPOSE/FISCAL NOTE H 707