LBD12084-11-6
S. 8160 2
PART A
Section 1. Subdivision 1 of section 14-107 of the election law, as
amended by section 8 of part CC of chapter 56 of the laws of 2015, is
amended to read as follows:
1. For purposes of this article:
(a) "Independent expenditure" means an expenditure made by [a person]
AN INDEPENDENT EXPENDITURE COMMITTEE conveyed to five hundred or more
members of a general public audience in the form of (i) an audio or
video communication via broadcast, cable or satellite, (ii) a written
communication via advertisements, pamphlets, circulars, flyers,
brochures, letterheads or (iii) other published statements which: (i)
irrespective of when such communication is made, contains words such as
"vote," "oppose," "support," "elect," "defeat," or "reject," which call
for the election or defeat of the clearly identified candidate, (ii)
refers to and advocates for or against a clearly identified candidate or
ballot proposal on or after January first of the year of the election in
which such candidate is seeking office or such proposal shall appear on
the ballot, or (iii) within sixty days before a general or special
election for the office sought by the candidate or thirty days before a
primary election, includes or references a clearly identified candidate.
An independent expenditure shall not include communications where such
candidate, the candidate's political committee or its agents, a party
committee or its agents, or a constituted committee or its agents or a
political committee formed to promote the success or defeat of a ballot
proposal or its agents, did authorize, request, suggest, foster or coop-
erate in such communication.
(b) Independent expenditures do not include expenditures in connection
with:
(i) a written news story, commentary, or editorial or a news story,
commentary, or editorial distributed through the facilities of any
broadcasting station, cable or satellite unless such publication or
facilities are owned or controlled by any political party, political
committee or candidate; or
(ii) a communication that constitutes a candidate debate or forum; or
(iii) internal communication by members to other members of a member-
ship organization of not more than five hundred members, for the purpose
of supporting or opposing a candidate or candidates for elective office,
provided such expenditures are not used for the costs of campaign mate-
rial or communications used in connection with broadcasting, telecast-
ing, newspapers, magazines, or other periodical publication, billboards,
or similar types of general public communications; or
(iv) internal communications by members to other members of a member-
ship organization of not more than five hundred members or communi-
cations by a corporation organized for charitable purposes pursuant to
S501(c)(3) of the internal revenue code, within sixty days before a
general or special election for the office sought by the candidate or
thirty days before a primary election, that includes or references a
clearly identified candidate but does not otherwise qualify as an inde-
pendent expenditure under this section.
(v) a communication published on the Internet, unless the communi-
cation is a paid advertisement.
(c) [For purposes of this section, the term "person" shall mean
person, group of persons, corporation, unincorporated business entity,
labor organization or business, trade or professional association or
organization, or political committee; provided, however, that such defi-
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nition shall not include any party or constituted committee,] AN INDE-
PENDENT EXPENDITURE COMMITTEE SHALL NOT INCLUDE PAYMENTS OR EXPENDITURES
MADE BY A PARTY OR CONSTITUTED COMMITTEE that is required to file
disclosure reports under this chapter.
(D) INDEPENDENT EXPENDITURES SHALL NOT INCLUDE PAYMENTS OR EXPENDI-
TURES WHERE COORDINATION OCCURS IN THE CREATION, FORMATION, OR OPERATION
OF THE INDEPENDENT EXPENDITURE COMMITTEE MAKING THE PAYMENT OR EXPENDI-
TURE.
COORDINATION SHALL INCLUDE:
(I) THE CANDIDATE OR THE CANDIDATE'S AUTHORIZED COMMITTEE, OR AN AGENT
OF THE CANDIDATE OR CANDIDATE'S AUTHORIZED COMMITTEE, PARTICIPATED IN
THE CREATION OR FORMATION OF THE INDEPENDENT EXPENDITURE COMMITTEE WITH-
IN TWO YEARS OF THE GENERAL ELECTION, PRIMARY OR SPECIAL ELECTION IN
WHICH THE CANDIDATE IS A CANDIDATE FOR NOMINATION OR ELECTION AND THE
PAYMENT OR EXPENDITURE MADE IS FOR THE BENEFIT OF THAT CANDIDATE.
(II) THE CANDIDATE OR AN AGENT OF THE CANDIDATE APPEARS AT ANY
FUNDRAISING EVENT HOSTED BY AN INDEPENDENT EXPENDITURE COMMITTEE, OR ITS
AGENT, MAKING A PAYMENT OR EXPENDITURE THAT BENEFITS THAT CANDIDATE
WITHIN TWO YEARS OF THE GENERAL ELECTION, PRIMARY OR SPECIAL ELECTION IN
WHICH THE CANDIDATE IS A CANDIDATE FOR NOMINATION OR ELECTION.
(III) THE INDEPENDENT EXPENDITURE COMMITTEE MAKING THE PAYMENT OR
EXPENDITURE, OR ITS AGENT, EMPLOYED OR RETAINED AN INDIVIDUAL, OTHER
THAN AN INDIVIDUAL DESCRIBED IN SUBPARAGRAPH (VIII) OF THIS PARAGRAPH,
WHO WAS EMPLOYED BY THE CANDIDATE, THE CANDIDATE'S AUTHORIZED COMMITTEE
OR AN AGENT OF THE CANDIDATE OR HAS HELD A POLICYMAKING, NON-ADMINISTRA-
TIVE POSITION IN THE OFFICE OF THE CANDIDATE'S ELECTED OFFICE WITHIN TWO
YEARS OF THE GENERAL ELECTION, PRIMARY OR SPECIAL ELECTION IN WHICH THE
CANDIDATE IS A CANDIDATE FOR NOMINATION OR ELECTION, AND THE PAYMENT OR
EXPENDITURE IS MADE FOR THE BENEFIT OF THAT CANDIDATE.
(IV) THE INDEPENDENT EXPENDITURE COMMITTEE MAKING THE PAYMENT OR
EXPENDITURE, OR ITS AGENT, IS A MEMBER OF THE CANDIDATE'S IMMEDIATE
FAMILY OR IS ESTABLISHED, DIRECTED, OR MANAGED BY A MEMBER OF THE IMME-
DIATE FAMILY OF THE CANDIDATE, AND THE PAYMENT OR EXPENDITURE IS MADE
FOR THE BENEFIT OF THAT CANDIDATE.
(V) THE INDEPENDENT EXPENDITURE COMMITTEE MAKING THE PAYMENT OR
EXPENDITURE BENEFITING THE CANDIDATE, REPUBLISHES, DISSEMINATES, OR
DISTRIBUTES, IN WHOLE OR IN PART, ANY VIDEO, AUDIO, WRITTEN, OR OTHER
CAMPAIGN-RELATED MATERIAL PREPARED BY THE CANDIDATE OR THE CANDIDATE'S
AUTHORIZED COMMITTEE OR BY AN AGENT OF THE CANDIDATE OR THE CANDIDATE'S
AUTHORIZED COMMITTEE. THIS PARAGRAPH SHALL NOT APPLY IF THE INDEPENDENT
EXPENDITURE COMMITTEE MAKING THE PAYMENT OR EXPENDITURE OBTAINS THE
COMMUNICATION OR MATERIALS FROM A PUBLICLY AVAILABLE SOURCE.
(VI) THE CANDIDATE OR THE CANDIDATE'S AUTHORIZED COMMITTEE, OR AN
AGENT OF THE CANDIDATE OR THE CANDIDATE'S AUTHORIZED COMMITTEE, SHARES
OR RENTS SPACE FOR A CAMPAIGN-RELATED PURPOSE WITH OR FROM THE INDEPEND-
ENT EXPENDITURE COMMITTEE, OR ITS AGENT, MAKING THE PAYMENT OR EXPENDI-
TURE BENEFITTING THE CANDIDATE.
(VII) THE INDEPENDENT EXPENDITURE COMMITTEE, OR ITS AGENT, MAKING THE
PAYMENT OR EXPENDITURE BENEFITTING THE CANDIDATE HAS PARTICIPATED IN
STRATEGIC DISCUSSIONS WITH THE CANDIDATE, THE CANDIDATE'S AUTHORIZED
COMMITTEE, OR AN AGENT OF THE CANDIDATE OR THE CANDIDATE'S AUTHORIZED
COMMITTEE WITHIN TWO YEARS OF THE GENERAL ELECTION, PRIMARY OR SPECIAL
ELECTION IN WHICH THE CANDIDATE IS A CANDIDATE FOR NOMINATION OR
ELECTION. DISCUSSIONS SHALL BE DEEMED STRATEGIC IF INFORMATION ABOUT
THE CANDIDATE'S OR OPPONENT'S ELECTORAL CAMPAIGN PLANS, PROJECTS, OR
ACTIVITIES THAT IS NOT OBTAINED FROM A PUBLICLY AVAILABLE SOURCE IS
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CONVEYED TO THE INDEPENDENT EXPENDITURE COMMITTEE, OR ITS AGENT, MAKING
THE PAYMENT OR EXPENDITURE. THIS PARAGRAPH SHALL ONLY APPLY TO
DISCUSSIONS OCCURRING AFTER THE INDEPENDENT EXPENDITURE COMMITTEE IS
FORMED OR, ONE WEEK AFTER THE CANDIDATE HAS BEEN CERTIFIED FOR THAT
ELECTION, WHICHEVER OCCURS FIRST.
(VIII) THE INDEPENDENT EXPENDITURE COMMITTEE, OR ITS AGENT, MAKING THE
PAYMENT OR EXPENDITURE BENEFITTING THE CANDIDATE, AND THE CANDIDATE OR
THE CANDIDATE'S AUTHORIZED COMMITTEE KNOWINGLY RETAIN THE SAME INDIVID-
UAL OR ENTITY TO PROVIDE PROFESSIONAL CAMPAIGN SERVICES WITHIN TWO YEARS
OF THE GENERAL ELECTION, PRIMARY OR SPECIAL ELECTION IN WHICH THE CANDI-
DATE IS A CANDIDATE FOR NOMINATION OR ELECTION, AND THE PROFESSIONAL
CAMPAIGN SERVICES PROVIDER DISCLOSES STRATEGIC INFORMATION REGARDING ONE
PARTY WITH THE OTHER PARTY. INFORMATION SHALL BE DEEMED STRATEGIC IF IT
RELATES TO EITHER PARTY'S RESPECTIVE CAMPAIGN OR INDEPENDENT EXPENDITURE
PLANS, PROJECTS, OR ACTIVITIES THAT ARE NOT OBTAINED FROM A PUBLICLY
AVAILABLE SOURCE. THIS SUBPARAGRAPH SHALL NOT PROHIBIT A CANDIDATE, A
CANDIDATE'S AUTHORIZED COMMITTEE, OR AN AGENT OF THE CANDIDATE OR THE
CANDIDATE'S AUTHORIZED COMMITTEE FROM RETAINING THE SAME PROFESSIONAL
CAMPAIGN SERVICES PROVIDER AS THE INDEPENDENT EXPENDITURE COMMITTEE, OR
ITS AGENT, MAKING THE PAYMENT OR EXPENDITURE BENEFITTING THE CANDIDATE
UPON THE PROFESSIONAL CAMPAIGN SERVICES PROVIDER ENTERING INTO A CONFI-
DENTIALITY AGREEMENT WITH BOTH PARTIES EXPRESSLY STATING THAT IT WILL
NOT DISCLOSE STRATEGIC INFORMATION REGARDING EACH PARTY WITH THE OTHER
PARTY.
(IX) THE INDEPENDENT EXPENDITURE COMMITTEE, OR ITS AGENT, MAKING THE
PAYMENT OR EXPENDITURE BENEFITTING THE CANDIDATE, UTILIZES STRATEGIC
INFORMATION OR DATA RELATED TO THE CANDIDATE, THAT IS NOT FROM A PUBLIC-
LY AVAILABLE SOURCE AND IS NOT OTHERWISE AVAILABLE BY SUBSCRIPTION, FROM
AN INDIVIDUAL WHO HAS BEEN PREVIOUSLY COMPENSATED, REIMBURSED OR
RETAINED BY THE CANDIDATE AS A CONSULTANT, POLITICAL, MEDIA OR FUNDRAIS-
ING ADVISOR, VENDOR OR CONTRACTOR WITHIN TWO YEARS OF THE GENERAL
ELECTION, PRIMARY OR SPECIAL ELECTION IN WHICH THE CANDIDATE IS A CANDI-
DATE FOR NOMINATION OR ELECTION.
(E) THE FOLLOWING SHALL NOT BE COORDINATION:
(I) A CANDIDATE'S OR A PARTY OR CONSTITUTED COMMITTEE'S RESPONSE TO AN
INQUIRY ABOUT THAT CANDIDATE'S OR PARTY OR CONSTITUTED COMMITTEE'S POSI-
TIONS ON LEGISLATIVE OR POLICY ISSUES.
(II) A PUBLIC COMMUNICATION IN WHICH A CANDIDATE IS CLEARLY IDENTIFIED
ONLY IN HIS OR HER CAPACITY AS THE OWNER OR OPERATOR OF A BUSINESS THAT
EXISTED PRIOR TO THE CANDIDACY IS NOT A COORDINATED COMMUNICATION WITH
RESPECT TO THE CLEARLY IDENTIFIED CANDIDATE IF: (A) THE MEDIUM, TIMING,
CONTENT, AND GEOGRAPHIC DISTRIBUTION OF THE PUBLIC COMMUNICATION ARE
CONSISTENT WITH PUBLIC COMMUNICATIONS MADE PRIOR TO THE CANDIDACY; AND
(B) THE PUBLIC COMMUNICATION DOES NOT PROMOTE, SUPPORT, ATTACK, OR
OPPOSE THAT CANDIDATE OR ANOTHER CANDIDATE IN THEIR CAPACITY AS CANDI-
DATES WHO SEEKS THE SAME OFFICE AS THAT CANDIDATE.
(F) FOR PURPOSES OF THIS SECTION, THE TERM "IMMEDIATE FAMILY" MEANS
SPOUSE, CHILD, PARENT, GRANDPARENT, BROTHER, HALF-BROTHER, SISTER, OR
HALF-SISTER OF THE CANDIDATE, AND THE SPOUSES OF SUCH PERSONS.
(G) FOR PURPOSES OF THIS SECTION, "AGENT" MEANS A PERSON AUTHORIZED BY
THE CANDIDATE OR THE CANDIDATE'S AUTHORIZED COMMITTEE, WHO ACTS ON
BEHALF OF OR AT THE DIRECTION OF A CANDIDATE OR THE CANDIDATE'S AUTHOR-
IZED COMMITTEE; OR A PARTY COMMITTEE OR CONSTITUTED COMMITTEE ACTING ON
BEHALF OF A CANDIDATE; OR A PERSON AUTHORIZED BY AN INDEPENDENT EXPENDI-
TURE COMMITTEE WHO ACTS ON BEHALF OF OR AT THE DIRECTION OF SUCH COMMIT-
TEE.
S. 8160 5
S 2. Subdivision 2 of section 14-107 of the election law, as added by
section 4 of subpart C of part H of chapter 55 of the laws of 2014, is
amended to read as follows:
2. Whenever any person makes an independent expenditure that costs
[more than] one thousand dollars OR MORE in the aggregate, such communi-
cation shall clearly state the name of the person who paid for, or
otherwise published or distributed the communication and state, with
respect to communications regarding candidates, that the communication
was not expressly authorized or requested by any candidate, or by any
candidate's political committee or any of its agents.
S 3. Subdivision 3 of section 14-107 of the election law, as added by
section 4 of subpart C of part H of chapter 55 of the laws of 2014, is
amended to read as follows:
3. [(a)] Any person prior to making any independent expenditure shall
first register with the state board of elections as a political commit-
tee AND AS AN INDEPENDENT EXPENDITURE COMMITTEE in conformance with this
article. Such person shall comply with all disclosure obligations
required for political committees by law[.
(b) Any person who has registered with the state board of elections
pursuant to paragraph (a) of this subdivision shall disclose to the
state board of elections electronically, once a week on Friday any
contribution to such person over one thousand dollars or expenditures by
such person over five thousand dollars made prior to thirty days before
any primary, general, or special election.
(c) Any person who has registered with the state board of elections
pursuant to paragraph (a) of this subdivision shall disclose to the
state board of elections electronically, within twenty-four hours of
receipt, any contribution to such person over one thousand dollars or
expenditure by such person over five thousand dollars made within thirty
days before any primary, general, or special election.
(d) A knowing and willful violation of the provisions of this subdivi-
sion shall subject the person to a civil penalty equal to five thousand
dollars or the cost of the communication, whichever is greater, in a
special proceeding or civil action brought by the board or imposed
directly by the board of elections.] AND SHALL PROVIDE THE FOLLOWING
ADDITIONAL INFORMATION UPON REGISTRATION:
(A) WHERE THE PERSON MAKING THE STATEMENT IS AN INDIVIDUAL, THE NAME,
ADDRESS, OCCUPATION AND EMPLOYER OF THE PERSON.
(B) WHERE THE PERSON MAKING THE STATEMENT IS AN ENTITY, THE NAME AND
EMPLOYER OF ANY INDIVIDUAL WHO EXERTS OPERATIONAL OR MANAGERIAL INFLU-
ENCE OR CONTROL OVER THE ENTITY, AS WELL AS ANY SALARIED EMPLOYEE OF THE
ENTITY. THE DISCLOSURES REQUIRED BY THIS PARAGRAPH SHALL INCLUDE THE
NAME OF AT LEAST ONE NATURAL PERSON.
(C) IDENTIFICATION OF INDIVIDUALS NAMED IN PARAGRAPHS (A) AND (B) OF
THIS SUBDIVISION WHO HAVE, DURING THE TWO-YEAR PERIOD BEFORE THE STATE-
MENT IS FILED, BEEN EMPLOYED OR RETAINED AS A POLITICAL, MEDIA, OR
FUNDRAISING ADVISER OR CONSULTANT FOR A CANDIDATE, ANY ENTITY DIRECTLY
CONTROLLED BY A CANDIDATE, OR ANY PARTY COMMITTEE OR CONSTITUTED COMMIT-
TEE, OR HAVE HELD A FORMAL POSITION IN THE OFFICE OF A CANDIDATE'S
ELECTED OFFICE, OR ANY PARTY COMMITTEE OR CONSTITUTED COMMITTEE, AND THE
NAME OF THE RELEVANT EMPLOYER.
(D) IDENTIFICATION OF INDIVIDUALS NAMED IN PARAGRAPHS (A), (B) AND (C)
OF THIS PARAGRAPH WHO ARE MEMBERS OF A CANDIDATE'S IMMEDIATE FAMILY.
(E) THE INFORMATION PROVIDED PURSUANT TO THIS SUBDIVISION SHALL BE
UPDATED WITHIN TWENTY-FOUR HOURS OF ANY CHANGE IN OWNERSHIP OR CONTROL
OF ANY REGISTERED ENTITY.
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S 4. Subdivision 4 of section 14-107 of the election law, as added by
section 4 of subpart C of part H of chapter 55 of the laws of 2014, is
amended to read as follows:
4. (A) REQUIRED DISCLOSURES. (I) ANY INDEPENDENT EXPENDITURE COMMITTEE
WHO HAS REGISTERED PURSUANT TO SUBDIVISION THREE OF THIS SECTION SHALL
DISCLOSE TO THE STATE BOARD OF ELECTIONS ELECTRONICALLY, ONCE A WEEK ON
MONDAY ANY CONTRIBUTION TO SUCH COMMITTEE OF ONE THOUSAND DOLLARS OR
MORE OR EXPENDITURES BY SUCH PERSON OVER FIVE THOUSAND DOLLARS MADE
DURING THE REPORTING PERIOD.
(II) ANY INDEPENDENT EXPENDITURE COMMITTEE WHO HAS REGISTERED WITH THE
STATE BOARD OF ELECTIONS PURSUANT TO SUBDIVISION THREE OF THIS SECTION
SHALL DISCLOSE TO THE STATE BOARD OF ELECTIONS ELECTRONICALLY, WITHIN
TWENTY-FOUR HOURS OF RECEIPT, ANY CONTRIBUTION TO SUCH INDEPENDENT
EXPENDITURE COMMITTEE OF ONE THOUSAND DOLLARS OR MORE MADE WITHIN THIRTY
DAYS BEFORE ANY PRIMARY, GENERAL, OR SPECIAL ELECTION.
(B) The disclosures required by [subdivision three] PARAGRAPH (A) of
this [section] SUBDIVISION shall include, in addition to any other
information required by law:
[(a)] (I) the name, address, occupation and employer of the person
making the statement;
[(b) the name, address, occupation and employer of the person making
the independent expenditure;
(c) the name, address, occupation and employer of any person providing
a contribution, gift, loan, advance or deposit of one thousand dollars
or more for the independent expenditure, or the provision of services
for the same, and the date it was given;
(d)] (II) FOR EACH EXPENDITURE OR PAYMENT MADE: (1) the dollar amount
paid for each independent expenditure, the name and address of the
person or entity receiving the payment, the date the payment was made
and a description of the independent expenditure; [and
(e)] (2) the election to which the independent expenditure pertains
and the name of the clearly identified candidate or the ballot proposal
referenced AND WHETHER THE CANDIDATE OR BALLOT PROPOSAL IS SUPPORTED OR
OPPOSED; AND
(3) A LIST OF ALL EXPENDITURES MADE BY AND LIABILITIES INCURRED FOR
SERVICES RENDERED DURING THE RELEVANT REPORTING PERIOD.
(III) FOR EACH CONTRIBUTION RECEIVED THE NAME, ADDRESS, OCCUPATION AND
EMPLOYER OF ANY PERSON PROVIDING A CONTRIBUTION, GIFT, LOAN, ADVANCE OR
DEPOSIT OF ONE THOUSAND DOLLARS OR MORE FOR THE INDEPENDENT EXPENDITURE,
OR THE PROVISION OF SERVICES FOR THE SAME AND THE DATE IT WAS GIVEN.
S 5. Section 14-107 of the election law is amended by adding a new
subdivision 8 to read as follows:
8. (A) ALL CRIMINAL LIABILITY RELATED TO THIS SECTION SHALL REQUIRE
KNOWING AND WILLFUL VIOLATIONS IN ACCORDANCE WITH SECTION 14-126 OF THIS
ARTICLE.
(B) A KNOWING AND WILLFUL VIOLATION OF THE PROVISIONS OF SUBDIVISIONS
THREE AND FOUR OF THIS SECTION SHALL SUBJECT THE PERSON TO A CIVIL
PENALTY EQUAL TO FIVE THOUSAND DOLLARS OR THE COST OF THE COMMUNICATION,
WHICHEVER IS GREATER, IN A SPECIAL PROCEEDING OR CIVIL ACTION BROUGHT BY
THE BOARD.
S 6. The opening paragraph of paragraph 3 of subdivision 9 of section
14-100 of the election law, as amended by chapter 70 of the laws of
1983, is amended to read as follows:
any payment, by any person other than a candidate or a political
committee authorized by the candidate, made in connection with the nomi-
nation for election or election of any candidate, INCLUDING ANY PAYMENT
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OR EXPENDITURE WHERE COORDINATION HAS OCCURRED AS DEFINED IN SECTION
14-107 OF THIS ARTICLE, or any payment made to promote the success or
defeat of a political party or principle, or of any ballot proposal
including but not limited to compensation for the personal services of
any individual which are rendered in connection with a candidate's
election or nomination without charge; provided however, that none of
the foregoing shall be deemed a contribution if it is made, taken or
performed by a candidate or his spouse or by a person or a political
committee independent of the candidate or his agents or authorized poli-
tical committees. For purposes of this article, the term "independent of
the candidate or his agents or authorized political committees" shall
mean that the candidate or his agents or authorized political committees
did not authorize, request, suggest, foster or cooperate in any such
activity; and provided further, that the term contribution shall not
include:
S 7. Section 14-100 of the election law is amended by adding two new
subdivisions 15 and 16 to read as follows:
15. "INDEPENDENT EXPENDITURE COMMITTEE" MEANS A POLITICAL COMMITTEE,
THAT MAKES ONLY INDEPENDENT EXPENDITURES AS DEFINED IN THIS ARTICLE, AND
DOES NOT COORDINATE WITH A CANDIDATE, CANDIDATE'S AUTHORIZED COMMITTEES
OR AN AGENT OF THE CANDIDATE AS DEFINED IN PARAGRAPH (G) OF SUBDIVISION
ONE OF SECTION 14-107 OF THIS ARTICLE.
FOR PURPOSES OF THIS SECTION, AN INDEPENDENT EXPENDITURE COMMITTEE MAY
BE CREATED BY A PERSON, GROUP OF PERSONS, CORPORATION, UNINCORPORATED
BUSINESS ENTITY, LABOR ORGANIZATION OR BUSINESS, TRADE OR PROFESSIONAL
ASSOCIATION, OR ORGANIZATION, OR POLITICAL COMMITTEE.
16. "POLITICAL ACTION COMMITTEE" MEANS A POLITICAL COMMITTEE WHICH
MAKES NO EXPENDITURES TO AID OR TAKE PART IN THE ELECTION OR DEFEAT OF A
CANDIDATE, OR TO PROMOTE THE SUCCESS OR DEFEAT OF A BALLOT PROPOSAL,
OTHER THAN IN THE FORM OF CONTRIBUTIONS, INCLUDING IN-KIND CONTRIB-
UTIONS, TO CANDIDATES, CANDIDATE'S AUTHORIZED COMMITTEES, PARTY COMMIT-
TEES, CONSTITUTED COMMITTEES, OR INDEPENDENT EXPENDITURE COMMITTEES
PROVIDED THERE IS NO COMMON OPERATIONAL CONTROL BETWEEN THE POLITICAL
ACTION COMMITTEE AND THE INDEPENDENT EXPENDITURE COMMITTEE; OR IN THE
FORM OF COMMUNICATIONS THAT ARE NOT DISTRIBUTED TO A GENERAL PUBLIC
AUDIENCE AS DESCRIBED IN SUBDIVISION THIRTEEN OF THIS SECTION.
FOR PURPOSES OF THIS PARAGRAPH, "COMMON OPERATIONAL CONTROL" MEANS
THAT (I) THE SAME INDIVIDUAL OR INDIVIDUALS EXERCISE ACTUAL AND STRATE-
GIC CONTROL OVER THE DAY-TO-DAY AFFAIRS OF BOTH THE POLITICAL ACTION
COMMITTEE AND THE INDEPENDENT EXPENDITURE COMMITTEE, OR (II) EMPLOYEES
OF THE POLITICAL ACTION COMMITTEE AND THE INDEPENDENT EXPENDITURE
COMMITTEE ENGAGE IN COMMUNICATIONS RELATED TO THE STRATEGIC OPERATIONS
OF EITHER COMMITTEE.
S 8. Section 14-112 of the election law, as amended by chapter 930 of
the laws of 1981, is amended to read as follows:
S 14-112. Political committee authorization statement. Any political
committee aiding or taking part in the election or nomination of any
candidate, other than [by making contributions] A POLITICAL ACTION
COMMITTEE, shall file, in the office in which the statements of such
committee are to be filed pursuant to this article, either a sworn veri-
fied statement by the treasurer of such committee that the candidate has
authorized the political committee to aid or take part in his election
or that the candidate has not authorized the committee to aid or take
part in his election.
S 9. Subdivision 1 of section 14-118 of the election law, as amended
by chapter 156 of the laws of 2010, is amended to read as follows:
S. 8160 8
1. Every political committee shall have a treasurer and a depository,
and shall cause the treasurer to keep detailed, bound accounts of all
receipts, transfers, loans, liabilities, contributions and expenditures,
made by the committee or any of its officers, members or agents acting
under its authority or in its behalf. All such accounts shall be
retained by a treasurer for a period of five years from the date of the
filing of the final statement with respect to the election, primary
election or convention to which they pertain. No officer, member or
agent of any political committee shall receive any receipt, transfer or
contribution, or make any expenditure or incur any liability until the
committee shall have chosen a treasurer and depository and filed their
names in accordance with this subdivision. There shall be filed in the
office in which the committee is required to file its statements under
section 14-110 of this article, within five days after the choice of a
treasurer and depository, a statement giving the name and address of the
treasurer chosen, the name and address of any person authorized to sign
checks by such treasurer, the name and address of the depository chosen
and the candidate or candidates or ballot proposal or proposals the
success or defeat of which the committee is to aid or take part;
provided, however, that such statement shall not be required of a
constituted committee and provided further that a political ACTION
committee which makes no expenditures, to aid or take part in the
election or defeat of a candidate, other than in the form of contrib-
utions, shall not be required to list the candidates being supported or
opposed by such committee AND SHALL ALSO DISCLOSE THE NAME AND EMPLOYER
FOR ANY INDIVIDUAL WHO EXERTS OPERATIONAL CONTROL OVER THE POLITICAL
ACTION COMMITTEE AS WELL AS ANY SALARIED EMPLOYEE OF THE POLITICAL
ACTION COMMITTEE. Such statement shall be signed by the treasurer and
all other persons authorized to sign checks. Any change in the informa-
tion required in any statement shall be reported, in an amended state-
ment filed in the same manner and in the same office as an original
statement filed under this section, within two days after it occurs,
except that any change to the mailing address on any such statement
filed at the state board may also be made in any manner deemed accepta-
ble by the state board. Only a banking organization authorized to do
business in this state may be designated a depository hereunder.
S 10. The election law is amended by adding a new section 14-107-a to
read as follows:
S 14-107-A. PROHIBITED SPENDING BY INDEPENDENT EXPENDITURE COMMITTEES
AND POLITICAL ACTION COMMITTEES. 1. AN INDEPENDENT EXPENDITURE COMMITTEE
SHALL NOT CONTRIBUTE TO ANY CANDIDATE, CONSTITUTED COMMITTEE, POLITICAL
COMMITTEE, OR PARTY COMMITTEE.
2. (A) A POLITICAL ACTION COMMITTEE SHALL NOT MAKE ANY INDEPENDENT
EXPENDITURES AND MAY ONLY MAKE CONTRIBUTIONS TO ANY INDEPENDENT EXPENDI-
TURE COMMITTEE IF SUCH COMMITTEE DOES NOT HAVE COMMON OPERATIONAL
CONTROL. FOR PURPOSES OF THIS PARAGRAPH, "COMMON OPERATIONAL CONTROL"
MEANS THAT (I) THE SAME INDIVIDUAL OR INDIVIDUALS EXERCISE ACTUAL AND
STRATEGIC CONTROL OVER THE DAY-TO-DAY AFFAIRS OF BOTH THE POLITICAL
ACTION COMMITTEE AND THE INDEPENDENT EXPENDITURE COMMITTEE, OR (II)
EMPLOYEES OF THE POLITICAL ACTION COMMITTEE AND THE INDEPENDENT EXPENDI-
TURE COMMITTEE ENGAGE IN COMMUNICATIONS RELATED TO THE STRATEGIC OPER-
ATIONS OF EITHER COMMITTEE.
(B) NO CANDIDATE, CANDIDATE'S AUTHORIZED COMMITTEE, PARTY COMMITTEE,
OR CONSTITUTED COMMITTEE SHALL CONTRIBUTE TO AN INDEPENDENT EXPENDITURE
COMMITTEE THAT IS MAKING EXPENDITURES BENEFITTING THE CANDIDATE OR THE
CANDIDATE SUPPORTED BY SUCH PARTY OR CONSTITUTED COMMITTEE.
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S 11. Section 14-126 of the election law is amended by adding a new
subdivision 3-a to read as follows:
3-A. ANY PERSON WHO, ACTING AS OR ON BEHALF OF AN INDEPENDENT EXPENDI-
TURE COMMITTEE OR A POLITICAL ACTION COMMITTEE, KNOWINGLY AND WILLFULLY
VIOLATES THE PROVISIONS OF SECTION 14-107-A OF THIS ARTICLE SHALL BE
SUBJECT TO A CIVIL PENALTY, UP TO ONE THOUSAND DOLLARS OR UP TO THE COST
OF THE COMMUNICATION, WHICHEVER IS GREATER, TO BE RECOVERABLE IN A
SPECIAL PROCEEDING OR CIVIL ACTION TO BE BROUGHT BY THE STATE BOARD OF
ELECTIONS.
S 12. Severability. If any clause, sentence, subdivision, paragraph,
section or part of this act be adjudged by any court of competent juris-
diction to be invalid, such judgment shall not affect, impair or invali-
date the remainder thereof, but shall be confined in its operation to
the clause, sentence, subdivision, paragraph, section or part thereof
directly involved in the controversy in which such judgment shall have
been rendered.
S 13. This act shall take effect on the thirtieth day after it shall
have become a law.
PART B
Section 1. Subdivision 3 of section 14-124 of the election law, as
amended by chapter 71 of the laws of 1988, is amended to read as
follows:
3. The contribution and receipt limits of this article shall not apply
to monies received and expenditures made by a party committee or consti-
tuted committee to maintain a permanent headquarters and staff and carry
on ordinary activities which are not for the express purpose of promot-
ing the candidacy of specific candidates; PROVIDED THAT SUCH MONIES
DESCRIBED IN THIS SUBDIVISION SHALL BE DEPOSITED IN A SEGREGATED
ACCOUNT.
S 2. This act shall take effect immediately.
PART C
Section 1. Subdivision 1 of section 14-104 of the election law, as
amended by chapter 430 of the laws of 1997, is amended to read as
follows:
1. Any candidate for election to public office, or for nomination for
public office at a contested primary election or convention, or for
election to a party position at a primary election, shall file state-
ments sworn, or subscribed and bearing a form notice that false state-
ments made therein are punishable as a class A misdemeanor pursuant to
section 210.45 of the penal law, at the times prescribed by this article
setting forth the particulars specified by section 14-102 of this arti-
cle, as to all moneys or other valuable things, paid, given, expended or
promised by him OR HER to aid his OR HER own nomination or election, or
to promote the success or defeat of a political party, or to aid or
influence the nomination or election or the defeat of any other candi-
date to be voted for at the election or primary election or at a conven-
tion, including contributions to political committees, officers, members
or agents thereof, and transfers, receipts and contributions to him OR
HER to be used for any of the purposes above specified, or in lieu ther-
eof, any such candidate may file such a sworn statement at the first
filing period, on a form prescribed by the state board of elections that
such candidate has made no such expenditures and does not intend to make
S. 8160 10
any such expenditures, except through a political committee authorized
by such candidate pursuant to this article. SUCH CANDIDATE MAY DESIG-
NATE A COMMITTEE OF NO LESS THAN THREE PERSONS WHO SHALL BE AUTHORIZED
TO APPOINT AND REMOVE THE TREASURER OF ANY AUTHORIZED COMMITTEE OF THE
CANDIDATE. THE DESIGNATION OR REVOCATION OF THE COMMITTEE SHALL BE
EVIDENCED IN A WRITING FILED WITH THE STATE BOARD OF ELECTIONS BY THE
CANDIDATE AUTHORIZING THE COMMITTEE. THE CANDIDATE MAY REVOKE SUCH
DESIGNATION AT ANY TIME. A committee authorized by such a candidate may
fulfill all of the filing requirements of this act on behalf of such
candidate.
S 2. The election law is amended by adding a new section 14-132 to
read as follows:
S 14-132. DISPOSITION OF CAMPAIGN FUNDS. 1. UPON THE DEATH OF A
CANDIDATE, FORMER CANDIDATE OR HOLDER OF ELECTIVE OFFICE, WHERE SUCH
CANDIDATE OR CANDIDATE'S AUTHORIZED COMMITTEE RECEIVED CAMPAIGN CONTRIB-
UTIONS, ALL SUCH FUNDS SHALL BE DISPOSED OF BY ANY OF THE FOLLOWING
MEANS, OR ANY COMBINATION THEREOF, WITHIN TWO YEARS OF THE DEATH OF SUCH
PERSON:
(A) RETURNING, PRO RATA, TO EACH CONTRIBUTOR THE FUNDS THAT HAVE NOT
BEEN SPENT OR OBLIGATED;
(B) DONATING THE FUNDS TO A CHARITABLE ORGANIZATION OR ORGANIZATIONS
THAT MEET THE QUALIFICATIONS OF SECTION 501(C)(3) OF THE INTERNAL REVEN-
UE CODE;
(C) DONATING THE FUNDS TO THE STATE UNIVERSITY OF NEW YORK OR THE CITY
UNIVERSITY OF NEW YORK;
(D) DONATING THE FUNDS TO THE STATE'S GENERAL FUND; OR
(E) CONTRIBUTING OR TRANSFERRING THE FUNDS TO A CANDIDATE, PARTY,
CONSTITUTED OR POLITICAL COMMITTEE IN ACCORDANCE WITH THE APPLICABLE
LIMITS, IF ANY, SET FORTH IN THIS ARTICLE.
2. NO SUCH CANDIDATE'S AUTHORIZED POLITICAL COMMITTEE SHALL DISPOSE OF
CAMPAIGN FUNDS BY MAKING EXPENDITURES FOR PERSONAL USE AS DEFINED IN
SECTION 14-130 OF THIS ARTICLE.
3. IF FUNDS ARE NOT DISPOSED OF WITHIN THE TIME REQUIRED BY THIS
SECTION, SUCH FUNDS SHALL BE RECOVERABLE BY THE CHIEF ENFORCEMENT COUN-
SEL OF THE STATE BOARD OF ELECTIONS IN A SPECIAL PROCEEDING IN STATE
SUPREME COURT IN THE MANNER PRESCRIBED BY SECTION 16-116 OF THIS CHAPTER
AND DEPOSITED INTO THE STATE'S GENERAL FUND.
S 3. This act shall take effect July 1, 2017, provided, however, that
where the applicable time frame for disposing of funds established by
section 14-132 of the election law, as added by section two of this act,
has elapsed on such effective date, all funds shall be disposed of with-
in 12 months of such effective date. INSERT
PART D
Section 1. Paragraph 4 of subdivision (c) of section 1-h of the
legislative law, as added by section 1 of part B of chapter 399 of the
laws of 2011, is amended to read as follows:
(4) Any lobbyist registered pursuant to section one-e of this article
whose lobbying activity is performed on its own behalf and not pursuant
to retention by a client:
(i) that has spent over [fifty] FIFTEEN thousand dollars IN THE AGGRE-
GATE for reportable compensation and expenses for lobbying, either
during the calendar year, or during the twelve-month period, prior to
the date of this bi-monthly report, and
S. 8160 11
(ii) at least three percent of whose total expenditures during the
same period were devoted to lobbying in New York shall report to the
commission the names of each source of funding THAT HAS CONTRIBUTED over
[five] TWO thousand FIVE HUNDRED dollars from a single source that were
used to fund the lobbying activities reported and the [amounts] AMOUNT
OF EACH CONTRIBUTION received from each identified source of funding;
PROVIDED, HOWEVER, THAT AMOUNTS RECEIVED FROM EACH IDENTIFIED SOURCE OF
FUNDING SHALL NOT BE REQUIRED TO BE DISCLOSED IF SUCH AMOUNTS CONSTITUTE
MEMBERSHIP DUES, FEES, OR ASSESSMENTS CHARGED BY THE REPORTING ENTITY TO
ENABLE AN INDIVIDUAL OR ENTITY TO BE A MEMBER OF THE REPORTING ENTITY.
This disclosure shall not require disclosure of the sources of funding
whose disclosure, in the determination of the commission based upon a
review of the relevant facts presented by the reporting lobbyist, may
cause harm, threats, harassment, or reprisals to the source or to indi-
viduals or property affiliated with the source. The reporting lobbyist
may appeal the commission's determination and such appeal shall be heard
by a judicial hearing officer who is independent and not affiliated with
or employed by the commission, pursuant to regulations promulgated by
the commission. The reporting lobbyist shall not be required to disclose
the sources of funding that are the subject of such appeal pending final
judgment on appeal.
The disclosure shall not apply to:
(i) any corporation registered pursuant to article seven-A of the
executive law that is qualified as an exempt organization by the United
States Department of the Treasury under I.R.C. S 501(c)(3); PROVIDED,
HOWEVER, THAT THIS DISCLOSURE SHALL APPLY TO ANY IN-KIND DONATIONS OF
STAFF, STAFF TIME, PERSONNEL, OFFICES, OFFICE SUPPLIES, FINANCIAL
SUPPORT OF ANY KIND OR ANY OTHER RESOURCES TO ANY CORPORATION OR ENTITY
THAT IS QUALIFIED AS AN EXEMPT ORGANIZATION BY THE UNITED STATES DEPART-
MENT OF THE TREASURY UNDER I.R.C. 501(C)(4) WHEN SUCH IN-KIND DONATIONS
ARE OVER TWO THOUSAND FIVE HUNDRED DOLLARS AND FROM ANY CORPORATION OR
ENTITY THAT IS QUALIFIED AS AN EXEMPT ORGANIZATION BY THE UNITED STATES
DEPARTMENT OF THE TREASURY UNDER I.R.C. 501(C)(3). IN SUCH CASE THE
ENTITY RECEIVING SUCH IN-KIND DONATIONS SHALL DISCLOSE THE FAIR MARKET
VALUE AND IDENTIFY THE I.R.C. 501(C)(3) ENTITY PROVIDING SUCH IN-KIND
DONATIONS AND GIVE NOTICE WITHIN A REASONABLE TIME TO THE 501(C)(3)
ENTITY THAT IT SHALL BE REQUIRED TO FILE A REPORT WITH THE DEPARTMENT OF
LAW PURSUANT TO SECTION ONE HUNDRED SEVENTY-TWO-E OF THE EXECUTIVE LAW;
(ii) any corporation registered pursuant to article seven-A of the
executive law that is qualified as an exempt organization by the United
States Department of the Treasury under I.R.C. S 501(c)(4) and whose
primary activities concern any area of public concern determined by the
commission to create a substantial likelihood that application of this
disclosure requirement would lead to harm, threats, harassment, or
reprisals to a source of funding or to individuals or property affil-
iated with such source, including but not limited to the area of civil
rights and civil liberties and any other area of public concern deter-
mined pursuant to regulations promulgated by the commission to form a
proper basis for exemption on this basis from this disclosure require-
ment; or
(iii) any governmental entity.
The joint commission on public ethics shall promulgate regulations to
implement these requirements.
S 2. Paragraph 4 of subdivision (c) of section 1-j of the legislative
law, as added by section 2 of part B of chapter 399 of the laws of 2011,
is amended to read as follows:
S. 8160 12
(4) Any client of a lobbyist that is required to file a semi-annual
report and:
(i) that has spent over [fifty] FIFTEEN thousand dollars IN THE AGGRE-
GATE for reportable compensation and expenses for lobbying, either
during the calendar year, or during the twelve-month period, prior to
the date of this semi-annual report, and
(ii) at least three percent of whose total expenditures during the
same period were devoted to lobbying in New York shall report to the
commission the names of each source of funding THAT HAS CONTRIBUTED over
[five] TWO thousand FIVE HUNDRED dollars from a single source that were
used to fund the lobbying activities reported and the [amounts] AMOUNT
OF EACH CONTRIBUTION received from each identified source of funding;
PROVIDED, HOWEVER, THAT AMOUNTS RECEIVED FROM EACH IDENTIFIED SOURCE OF
FUNDING SHALL NOT BE REQUIRED TO BE DISCLOSED IF SUCH AMOUNTS CONSTITUTE
MEMBERSHIP DUES, FEES, OR ASSESSMENTS CHARGED BY THE REPORTING ENTITY TO
ENABLE AN INDIVIDUAL OR ENTITY TO BE A MEMBER OF THE REPORTING ENTITY.
This disclosure shall not require disclosure of the sources of funding
whose disclosure, in the determination of the commission based upon a
review of the relevant facts presented by the reporting client or lobby-
ist, may cause harm, threats, harassment, or reprisals to the source or
to individuals or property affiliated with the source. The reporting
lobbyist may appeal the commission's determination and such appeal shall
be heard by a judicial hearing officer who is independent and not affil-
iated with or employed by the commission, pursuant to regulations
promulgated by the commission. The reporting lobbyist shall not be
required to disclose the sources of funding that are the subject of such
appeal pending final judgment on appeal.
The disclosure shall not apply to:
(i) any corporation registered pursuant to article seven-A of the
executive law that is qualified as an exempt organization by the United
States Department of the Treasury under I.R.C. S 501(c)(3); PROVIDED,
HOWEVER, THAT THIS DISCLOSURE SHALL APPLY TO ANY IN-KIND DONATIONS OF
STAFF, STAFF TIME, PERSONNEL, OFFICES, OFFICE SUPPLIES, FINANCIAL
SUPPORT OF ANY KIND OR ANY OTHER RESOURCES TO ANY CORPORATION OR ENTITY
THAT IS QUALIFIED AS AN EXEMPT ORGANIZATION BY THE UNITED STATES DEPART-
MENT OF THE TREASURY UNDER I.R.C. 501(C)(4) WHEN SUCH IN-KIND DONATIONS
ARE OVER TWO THOUSAND FIVE HUNDRED DOLLARS AND FROM ANY CORPORATION OR
ENTITY THAT IS QUALIFIED AS AN EXEMPT ORGANIZATION BY THE UNITED STATES
DEPARTMENT OF THE TREASURY UNDER I.R.C. 501(C)(3). IN SUCH CASE THE
ENTITY RECEIVING SUCH IN-KIND DONATIONS SHALL DISCLOSE THE FAIR MARKET
VALUE AND IDENTIFY THE I.R.C. 501(C)(3) ENTITY PROVIDING SUCH IN-KIND
DONATIONS AND GIVE NOTICE WITHIN A REASONABLE TIME TO THE 501(C)(3)
ENTITY THAT IT SHALL BE REQUIRED TO FILE A REPORT WITH THE DEPARTMENT OF
LAW PURSUANT TO SECTION ONE HUNDRED SEVENTY-TWO-E OF THE EXECUTIVE LAW;
(ii) any corporation registered pursuant to article seven-A of the
executive law that is qualified as an exempt organization by the United
States Department of the Treasury under I.R.C. S 501(c)(4) and whose
primary activities concern any area of public concern determined by the
commission to create a substantial likelihood that application of this
disclosure requirement would lead to harm, threats, harassment, or
reprisals to a source of funding or to individuals or property affil-
iated with such source, including but not limited to the area of civil
rights and civil liberties and any other area of public concern deter-
mined pursuant to regulations promulgated by the commission to form a
proper basis for exemption on this basis from this disclosure require-
ment; or
S. 8160 13
(iii) any governmental entity.
The joint commission on public ethics shall promulgate regulations to
implement these requirements.
S 3. This act shall take effect on the thirtieth day after it shall
have become a law.
PART E
Section 1. Subdivision (b) of section 1-k of the legislative law, as
amended by chapter 1 of the laws of 2005, is amended to read as follows:
(b) No person shall accept such a retainer or employment. [A violation
of] ANY PERSON WHO VIOLATES this section shall be SUBJECT TO A CIVIL
PENALTY NOT TO EXCEED THE GREATER OF TEN THOUSAND DOLLARS OR THE VALUE
OF THE CONTINGENT FEE, AND SUCH VIOLATION SHALL BE a class A misdemea-
nor.
S 2. This act shall take effect immediately.
PART F
Section 1. The executive law is amended by adding a new section 172-e
to read as follows:
S 172-E. DISCLOSURE OF CERTAIN DONATIONS BY CHARITABLE NON-PROFIT
ENTITIES. 1. DEFINITIONS. FOR THE PURPOSES OF THIS SECTION:
(A) "COVERED ENTITY" SHALL MEAN ANY CORPORATION OR ENTITY THAT IS
QUALIFIED AS AN EXEMPT ORGANIZATION OR ENTITY BY THE UNITED STATES
DEPARTMENT OF THE TREASURY UNDER I.R.C. 501(C)(3) THAT IS REQUIRED TO
REPORT TO THE DEPARTMENT OF LAW PURSUANT TO THIS SECTION.
(B) "IN-KIND DONATION" SHALL MEAN DONATIONS OF STAFF, STAFF TIME,
PERSONNEL, OFFICES, OFFICE SUPPLIES, FINANCIAL SUPPORT OF ANY KIND OR
ANY OTHER RESOURCES.
(C) "DONATION" SHALL MEAN ANY CONTRIBUTION, INCLUDING A GIFT, LOAN,
IN-KIND DONATION, ADVANCE OR DEPOSIT OF MONEY OR ANYTHING OF VALUE.
(D) "RECIPIENT ENTITY" SHALL MEAN ANY CORPORATION OR ENTITY THAT IS
QUALIFIED AS AN EXEMPT ORGANIZATION OR ENTITY BY THE UNITED STATES
DEPARTMENT OF THE TREASURY UNDER I.R.C. 501(C)(4) THAT IS REQUIRED TO
FILE A SOURCE OF FUNDING REPORT WITH THE JOINT COMMISSION ON PUBLIC
ETHICS PURSUANT TO SECTIONS ONE-H AND ONE-J OF THE LEGISLATIVE LAW.
(E) "REPORTING PERIOD" SHALL MEAN THE SIX MONTH PERIOD WITHIN A CALEN-
DAR YEAR STARTING JANUARY FIRST AND ENDING JUNE THIRTIETH OR THE SIX
MONTH PERIOD WITHIN A CALENDAR YEAR STARTING JULY FIRST AND ENDING
DECEMBER THIRTY-FIRST.
2. FUNDING DISCLOSURE REPORTS TO BE FILED BY COVERED ENTITIES. (A) ANY
COVERED ENTITY THAT MAKES AN IN-KIND DONATION IN EXCESS OF TWO THOUSAND
FIVE HUNDRED DOLLARS TO A RECIPIENT ENTITY DURING A RELEVANT REPORTING
PERIOD SHALL FILE A FUNDING DISCLOSURE REPORT WITH THE DEPARTMENT OF
LAW. THE FUNDING DISCLOSURE REPORT SHALL INCLUDE:
(I) THE NAME AND ADDRESS OF THE COVERED ENTITY THAT MADE THE IN-KIND
DONATION;
(II) THE NAME AND ADDRESS OF THE RECIPIENT ENTITY THAT RECEIVED OR
BENEFITTED FROM THE IN-KIND DONATION;
(III) THE NAMES OF ANY PERSONS WHO EXERT OPERATIONAL OR MANAGERIAL
CONTROL OVER THE COVERED ENTITY. THE DISCLOSURES REQUIRED BY THIS PARA-
GRAPH SHALL INCLUDE THE NAME OF AT LEAST ONE NATURAL PERSON;
(IV) THE DATE THE IN-KIND DONATION WAS MADE BY THE COVERED ENTITY;
S. 8160 14
(V) ANY DONATION IN EXCESS OF TWO THOUSAND FIVE HUNDRED DOLLARS TO THE
COVERED ENTITY DURING THE RELEVANT REPORTING PERIOD INCLUDING THE IDEN-
TITY OF THE DONOR OF ANY SUCH DONATION; AND
(VI) THE DATE OF ANY SUCH DONATION TO A COVERED ENTITY.
(B) THE COVERED ENTITY SHALL FILE A FUNDING DISCLOSURE REPORT WITH THE
DEPARTMENT OF LAW WITHIN THIRTY DAYS OF THE CLOSE OF A REPORTING PERIOD.
3. PUBLIC DISCLOSURE OF FUNDING DISCLOSURE REPORTS. THE DEPARTMENT OF
LAW SHALL PROMULGATE ANY REGULATIONS NECESSARY TO IMPLEMENT THESE
REQUIREMENTS AND SHALL FORWARD THE DISCLOSURE REPORTS TO THE JOINT
COMMISSION ON PUBLIC ETHICS FOR THE PURPOSE OF PUBLISHING SUCH REPORTS
ON THE COMMISSION'S WEBSITE, WITHIN THIRTY DAYS OF THE CLOSE OF EACH
REPORTING PERIOD; PROVIDED HOWEVER THAT THE ATTORNEY GENERAL, OR HIS OR
HER DESIGNEE, MAY DETERMINE THAT DISCLOSURE OF DONATIONS TO THE COVERED
ENTITY SHALL NOT BE MADE PUBLIC IF, BASED UPON A REVIEW OF THE RELEVANT
FACTS PRESENTED BY THE COVERED ENTITY, SUCH DISCLOSURE MAY CAUSE HARM,
THREATS, HARASSMENT, OR REPRISALS TO THE SOURCE OF THE DONATION OR TO
INDIVIDUALS OR PROPERTY AFFILIATED WITH THE SOURCE OF THE DONATION. THE
COVERED ENTITY MAY APPEAL THE ATTORNEY GENERAL'S DETERMINATION AND SUCH
APPEAL SHALL BE HEARD BY A JUDICIAL HEARING OFFICER WHO IS INDEPENDENT
AND NOT AFFILIATED WITH OR EMPLOYED BY THE DEPARTMENT OF LAW, PURSUANT
TO REGULATIONS PROMULGATED BY THE DEPARTMENT OF LAW. THE COVERED ENTI-
TY'S SOURCES OF DONATIONS THAT ARE THE SUBJECT OF SUCH APPEAL SHALL NOT
BE MADE PUBLIC PENDING FINAL JUDGMENT ON APPEAL.
S 2. This act shall take effect on the ninetieth day after it shall
have become a law.
PART G
Section 1. The executive law is amended by adding a new section 172-f
to read as follows:
S 172-F. DISCLOSURE OF CERTAIN ACTIVITIES BY NON-CHARITABLE NON-PROFIT
ENTITIES. 1. DEFINITIONS. (A) "COVERED ENTITY" MEANS ANY CORPORATION
OR ENTITY THAT IS QUALIFIED AS AN EXEMPT ORGANIZATION OR ENTITY BY THE
UNITED STATES DEPARTMENT OF THE TREASURY UNDER I.R.C. 501(C)(4).
(B) "COVERED COMMUNICATION" MEANS A COMMUNICATION, THAT DOES NOT
REQUIRE A REPORT PURSUANT TO ARTICLE ONE-A OF THE LEGISLATIVE LAW OR
ARTICLE FOURTEEN OF THE ELECTION LAW, BY A COVERED ENTITY CONVEYED TO
FIVE HUNDRED OR MORE MEMBERS OF A GENERAL PUBLIC AUDIENCE IN THE FORM
OF: (I) AN AUDIO OR VIDEO COMMUNICATION VIA BROADCAST, CABLE OR SATEL-
LITE; (II) A WRITTEN COMMUNICATION VIA ADVERTISEMENTS, PAMPHLETS, CIRCU-
LARS, FLYERS, BROCHURES, LETTERHEADS; OR (III) OTHER PUBLISHED STATEMENT
WHICH: REFERS TO AND ADVOCATES FOR OR AGAINST A CLEARLY IDENTIFIED
ELECTED OFFICIAL OR THE POSITION OF ANY ELECTED OFFICIAL OR ADMINISTRA-
TIVE OR LEGISLATIVE BODY RELATING TO THE OUTCOME OF ANY VOTE OR
SUBSTANCE OF ANY LEGISLATION, POTENTIAL LEGISLATION, PENDING LEGIS-
LATION, RULE, REGULATION, HEARING, OR DECISION BY ANY LEGISLATIVE, EXEC-
UTIVE OR ADMINISTRATIVE BODY.
COVERED COMMUNICATION SHALL NOT INCLUDE: (I) COMMUNICATIONS WITH A
PROFESSIONAL JOURNALIST OR NEWSCASTER, INCLUDING AN EDITORIAL BOARD OR
EDITORIAL WRITER OF A NEWSPAPER, MAGAZINE, NEWS AGENCY, PRESS ASSOCI-
ATION OR WIRE SERVICE, RELATING TO NEWS, AS THESE TERMS ARE DEFINED IN
SECTION SEVENTY-NINE-H OF THE CIVIL RIGHTS LAW, AND COMMUNICATIONS
RELATING TO CONFIDENTIAL AND NON-CONFIDENTIAL NEWS AS DESCRIBED IN
SUBDIVISIONS (B) AND (C) OF SECTION SEVENTY-NINE-H OF THE CIVIL RIGHTS
LAW RESPECTIVELY AND COMMUNICATIONS MADE PURSUANT TO COMMUNITY OUTREACH
EFFORTS FOR BROADCAST STATIONS REQUIRED BY FEDERAL LAW; OR
S. 8160 15
(II) A COMMUNICATION THAT IS: (A) DIRECTED, SENT OR DISTRIBUTED BY THE
COVERED ENTITY ONLY TO INDIVIDUALS WHO AFFIRMATIVELY CONSENT TO BE
MEMBERS OF THE COVERED ENTITY, CONTRIBUTE FUNDS TO THE COVERED ENTITY,
OR, PURSUANT TO THE COVERED ENTITY'S ARTICLES OR BYLAWS, HAVE THE RIGHT
TO VOTE DIRECTLY OR INDIRECTLY FOR THE ELECTION OF DIRECTORS OR OFFI-
CERS, OR ON CHANGES TO BYLAWS, DISPOSITION OF ALL OR SUBSTANTIALLY ALL
OF THE COVERED ENTITY'S ASSETS OR THE MERGER OR DISSOLUTION OF THE
COVERED ENTITY; OR (B) FOR THE PURPOSE OF PROMOTING OR STAGING ANY
CANDIDATE DEBATE, TOWN HALL OR SIMILAR FORUM TO WHICH AT LEAST TWO
CANDIDATES SEEKING THE SAME OFFICE, OR TWO PROPONENTS OF DIFFERING POSI-
TIONS ON A REFERENDUM OR QUESTION SUBMITTED TO VOTERS, ARE INVITED AS
PARTICIPANTS, AND WHICH DOES NOT PROMOTE OR ADVANCE ONE CANDIDATE OR
POSITION OVER ANOTHER.
(C) "EXPENDITURES FOR COVERED COMMUNICATIONS" SHALL MEAN: (I) ANY
EXPENDITURE MADE, LIABILITY INCURRED, OR CONTRIBUTION PROVIDED FOR
COVERED COMMUNICATIONS; OR (II) ANY OTHER TRANSFER OF FUNDS, ASSETS,
SERVICES OR ANY OTHER THING OF VALUE TO ANY INDIVIDUAL, GROUP, ASSOCI-
ATION, CORPORATION WHETHER ORGANIZED FOR PROFIT OR NOT-FOR-PROFIT, LABOR
UNION, POLITICAL COMMITTEE, POLITICAL ACTION COMMITTEE, OR ANY OTHER
ENTITY FOR THE PURPOSE OF SUPPORTING OR ENGAGING IN COVERED COMMUNI-
CATIONS BY THE RECIPIENT OR A THIRD PARTY.
(D) "DONATION" SHALL MEAN ANY CONTRIBUTION, INCLUDING IN-KIND, GIFT,
LOAN, ADVANCE OR DEPOSIT OF MONEY OR ANYTHING OF VALUE MADE TO A COVERED
ENTITY UNLESS SUCH DONATION IS DEPOSITED INTO AN ACCOUNT THE FUNDS OF
WHICH ARE NOT USED FOR MAKING EXPENDITURES FOR COVERED COMMUNICATIONS.
(E) "REPORTING PERIOD" SHALL MEAN THE SIX MONTH PERIOD WITHIN A CALEN-
DAR YEAR STARTING JANUARY FIRST AND ENDING JUNE THIRTIETH OR THE SIX
MONTH PERIOD WITHIN A CALENDAR YEAR STARTING JULY FIRST AND ENDING
DECEMBER THIRTY-FIRST.
2. DISCLOSURE OF EXPENDITURES FOR COVERED COMMUNICATIONS. (A) ANY
COVERED ENTITY THAT MAKES EXPENDITURES FOR COVERED COMMUNICATIONS IN AN
AGGREGATE AMOUNT OR FAIR MARKET VALUE EXCEEDING TEN THOUSAND DOLLARS IN
A CALENDAR YEAR SHALL FILE A FINANCIAL DISCLOSURE REPORT WITH THE
DEPARTMENT OF LAW. THE FINANCIAL DISCLOSURE REPORT SHALL INCLUDE:
(I) THE NAME AND ADDRESS OF THE COVERED ENTITY THAT MADE THE EXPENDI-
TURE FOR COVERED COMMUNICATIONS;
(II) THE NAME OR NAMES OF ANY INDIVIDUALS WHO EXERT OPERATIONAL OR
MANAGERIAL CONTROL OVER THE COVERED ENTITY. THE DISCLOSURES REQUIRED BY
THIS PARAGRAPH SHALL INCLUDE THE NAME OF AT LEAST ONE NATURAL PERSON;
(III) A DESCRIPTION OF THE COVERED COMMUNICATION;
(IV) THE DOLLAR AMOUNT PAID FOR EACH COVERED COMMUNICATION, THE NAME
AND ADDRESS OF THE PERSON OR ENTITY RECEIVING THE PAYMENT, AND THE DATE
THE PAYMENT WAS MADE; AND
(IV) THE NAME AND ADDRESS OF ANY INDIVIDUAL, CORPORATION, ASSOCIATION,
OR GROUP THAT MADE A DONATION OF ONE THOUSAND DOLLARS OR MORE TO THE
COVERED ENTITY AND THE DATE OF SUCH DONATION.
(B) THE COVERED ENTITY SHALL FILE A FINANCIAL DISCLOSURE REPORT WITH
THE DEPARTMENT OF LAW WITHIN THIRTY DAYS OF THE CLOSE OF A REPORTING
PERIOD.
(C) IF A COVERED ENTITY KEEPS ONE OR MORE SEGREGATED BANK ACCOUNTS
CONTAINING FUNDS USED SOLELY FOR COVERED COMMUNICATIONS AND MAKES ALL OF
ITS EXPENDITURES FOR COVERED COMMUNICATIONS FROM SUCH ACCOUNTS, THEN
WITH RESPECT TO DONATIONS INCLUDED IN SUBPARAGRAPH (IV) OF PARAGRAPH (A)
OF THIS SUBDIVISION, THE FINANCIAL REPORT NEED ONLY INCLUDE DONATIONS
DEPOSITED INTO SUCH ACCOUNTS.
S. 8160 16
3. THE DEPARTMENT OF LAW SHALL MAKE THE FINANCIAL DISCLOSURE REPORTS
AVAILABLE TO THE PUBLIC ON THE DEPARTMENT OF LAW WEBSITE WITHIN THIRTY
DAYS OF THE CLOSE OF EACH REPORTING PERIOD, PROVIDED HOWEVER THAT THE
ATTORNEY GENERAL, OR HIS OR HER DESIGNEE, MAY DETERMINE THAT DISCLOSURE
OF DONATIONS SHALL NOT BE MADE PUBLIC IF, BASED UPON A REVIEW OF THE
RELEVANT FACTS PRESENTED BY THE COVERED ENTITY, SUCH DISCLOSURE MAY
CAUSE HARM, THREATS, HARASSMENT, OR REPRISALS TO THE SOURCE OF THE
DONATION OR TO INDIVIDUALS OR PROPERTY AFFILIATED WITH THE SOURCE OF THE
DONATION. THE COVERED ENTITY MAY APPEAL THE ATTORNEY GENERAL'S DETERMI-
NATION AND SUCH APPEAL SHALL BE HEARD BY A JUDICIAL HEARING OFFICER WHO
IS INDEPENDENT AND NOT AFFILIATED WITH OR EMPLOYED BY THE DEPARTMENT OF
LAW, PURSUANT TO REGULATIONS PROMULGATED BY THE DEPARTMENT OF LAW. THE
COVERED ENTITY SHALL NOT BE REQUIRED TO DISCLOSE THE SOURCES OF
DONATIONS THAT ARE THE SUBJECT OF SUCH APPEAL PENDING FINAL JUDGMENT ON
APPEAL.
S 2. This act shall take effect on the thirtieth day after it shall
have become a law.
PART H
Section 1. The executive law is amended by adding a new section 109 to
read as follows:
S 109. REGISTRATION OF CERTAIN SERVICE PROVIDERS. 1. FOR PURPOSES OF
THIS SECTION:
(A) "CLIENT" SHALL MEAN A PERSON OR ENTITY WHO IN THE PRECEDING CALEN-
DAR YEAR RETAINED OR HIRED THE POLITICAL CONSULTANT RELATING TO MATTERS
BEFORE ANY STATE OR LOCAL GOVERNMENT AGENCY, AUTHORITY OR OFFICIAL,
INCLUDING SERVICES, ADVICE OR CONSULTATION RELATING TO ANY STATE OR
LOCAL GOVERNMENT CONTRACT FOR REAL PROPERTY, GOODS OR SERVICES, AN
APPEARANCE IN A RATEMAKING PROCEEDING, AN APPEARANCE IN A REGULATORY
MATTER, OR AN APPEARANCE IN A LEGISLATIVE MATTER OTHER THAN MATTERS
DESCRIBED IN SUBPARAGRAPH (E) OF THE SECOND UNDESIGNATED PARAGRAPH OF
SUBDIVISION (C) OF SECTION ONE-C OF THE LEGISLATIVE LAW.
(B) "POLITICAL CONSULTING SERVICES" SHALL MEAN SERVICES PROVIDED BY A
POLITICAL CONSULTANT TO OR ON BEHALF OF AN ELECTED PUBLIC OFFICIAL IN
NEW YORK STATE OR TO OR ON BEHALF OF A CANDIDATE FOR ELECTED OFFICE IN
NEW YORK STATE, OR TO OR ON BEHALF OF A PERSON NOMINATED FOR ELECTED
PUBLIC OFFICE WHICH SERVICES: (1) ASSIST OR ARE INTENDED TO ASSIST IN A
CAMPAIGN FOR NOMINATION FOR ELECTION OR ELECTION TO OFFICE IN NEW YORK
STATE, INCLUDING FUNDRAISING ACTIVITIES, VOTER OUTREACH, COMPOSITION AND
DISTRIBUTION OF PROMOTIONAL LITERATURE, ADVERTISEMENTS, OR OTHER SIMILAR
COMMUNICATIONS, AS SET FORTH IN SECTION 14-106 OF THE ELECTION LAW, OR
(2) CONSIST OF POLITICAL ADVICE TO AN ELECTED PUBLIC OFFICIAL OR CANDI-
DATE FOR ELECTED PUBLIC OFFICE IN NEW YORK STATE OR PERSON NOMINATED FOR
ELECTED PUBLIC OFFICE; PROVIDED, HOWEVER, THAT POLITICAL CONSULTING
SERVICES SHALL NOT INCLUDE BONA FIDE LEGAL WORK DIRECTLY RELATED TO
LITIGATION OR LEGAL ADVICE WITH REGARD TO SECURING A PLACE ON THE
BALLOT, THE PETITIONING PROCESS, THE CONDUCT OF AN ELECTION, OR WHICH
INVOLVES THE ELECTION LAW.
(C) "POLITICAL CONSULTANT" SHALL MEAN A PERSON WHO HOLDS HIMSELF OR
HERSELF OUT TO PERSONS IN THIS STATE AS A PERSON WHO PERFORMS POLITICAL
CONSULTING SERVICES IN A PROFESSIONAL CAPACITY AND WHO IS USUALLY
COMPENSATED, EXCLUDING REIMBURSEMENT FOR EXPENSES, FOR SUCH SERVICES.
2. THE SECRETARY OF STATE SHALL PROMULGATE RULES AND REGULATIONS
PRESCRIBING A REGISTRATION FORM TO BE USED BY ANY POLITICAL CONSULTANT
WHO PROVIDES POLITICAL CONSULTING SERVICES TO A SITTING ELECTED PUBLIC
S. 8160 17
OFFICIAL, CANDIDATE FOR ELECTED PUBLIC OFFICE OR PERSON NOMINATED FOR
ELECTED PUBLIC OFFICE AND WHO HAS ALSO BEEN RETAINED BY A CLIENT FOR
SUCH SERVICES.
3. SUCH REGISTRATION FORM SHALL IDENTIFY:
(A) THE NAME, ADDRESS, AND TELEPHONE NUMBER OF THE POLITICAL CONSULT-
ANT;
(B) THE NAME, ADDRESS, AND TELEPHONE NUMBER OF EACH SITTING ELECTED
PUBLIC OFFICIAL, CANDIDATE FOR ELECTED PUBLIC OFFICE, AND PERSON NOMI-
NATED FOR ELECTED PUBLIC OFFICE WHO THE POLITICAL CONSULTANT PROVIDED
POLITICAL CONSULTING SERVICES TO;
(C) THE NAME, ADDRESS, AND TELEPHONE NUMBER OF EACH CLIENT WHO RETAINS
OR HIRES A POLITICAL CONSULTANT IN THE PRECEDING CALENDAR YEAR PROVIDED,
THAT IN THE EVENT THE CLIENT IS AN ENTITY, AT LEAST ONE NATURAL PERSON
WHO HAS A CONTROLLING INTEREST IN SUCH ENTITY SHALL BE IDENTIFIED; AND
(D) A BRIEF DESCRIPTION OF THE NATURE OF THE POLITICAL CONSULTING
SERVICES PROVIDED TO EACH IDENTIFIED CLIENT.
4. SUCH REGISTRATION SHALL BE FILED WITH THE DEPARTMENT OF STATE AND
SHALL COVER A SIX MONTH REPORTING PERIOD. THE REPORTING PERIOD SHALL
MEAN THE SIX MONTH PERIOD WITHIN A CALENDAR YEAR STARTING JANUARY FIRST
AND ENDING JUNE THIRTIETH OR THE SIX MONTH PERIOD WITHIN A CALENDAR YEAR
STARTING JULY FIRST AND ENDING DECEMBER THIRTY-FIRST.
5. THE SECRETARY OF STATE SHALL POST THE COMPLETED FORMS ON THE
DEPARTMENT OF STATE'S WEBSITE WITHIN THIRTY DAYS OF THE CLOSE OF EACH
REPORTING PERIOD.
6. THE DEPARTMENT OF STATE MAY IMPOSE A CIVIL PENALTY OF UP TO SEVEN
HUNDRED FIFTY DOLLARS UPON ANY POLITICAL CONSULTANT WHO FAILS TO FILE A
REGISTRATION REQUIRED BY THIS SECTION PROVIDED, HOWEVER, THAT THE SECRE-
TARY SHALL PROVIDE SUCH POLITICAL CONSULTANT A REASONABLE OPPORTUNITY TO
CURE SUCH A FAILURE.
7. THE DEPARTMENT OF STATE SHALL ADOPT, AMEND AND RESCIND RULES AND
REGULATIONS DEFINING THE DEGREE AND EXTENT OF POLITICAL CONSULTING
SERVICES NECESSARY TO REQUIRE THE REPORTING PURSUANT TO THIS SECTION.
S 2. This act shall take effect on the sixtieth day after it shall
have become a law.
PART I
Section 1. Subparagraph (B) of the second undesignated paragraph of
subdivision (c) of section 1-c of the legislative law, as added by chap-
ter 1 of the laws of 2005, is amended to read as follows:
(B) (I) Newspapers and other periodicals and radio and television
stations, and owners and employees thereof, provided that their activ-
ities in connection with proposed legislation, rules, regulations or
rates, municipal ordinances and resolutions, executive orders, tribal-
state compacts, memoranda of understanding or other tribal-state agree-
ments related to Class III gaming as provided in 25 U.S.C. S 2701, or
procurement contracts by a state agency, municipal agency, local legis-
lative body, the state legislature, or the unified court system, are
limited to the publication or broadcast of news items, editorials or
other comments, or paid advertisements;
(II) COMMUNICATIONS WITH A PROFESSIONAL JOURNALIST, OR NEWSCASTER,
INCLUDING AN EDITORIAL BOARD OR EDITORIAL WRITER OF A NEWSPAPER, MAGA-
ZINE, NEWS AGENCY, PRESS ASSOCIATION OR WIRE SERVICE, RELATING TO NEWS,
AS THESE TERMS ARE DEFINED IN SECTION SEVENTY-NINE-H OF THE CIVIL RIGHTS
LAW, AND COMMUNICATIONS RELATING TO CONFIDENTIAL AND NON-CONFIDENTIAL
NEWS AS DESCRIBED IN SUBDIVISIONS (B) AND (C) OF SECTION SEVENTY-NINE-H
S. 8160 18
OF THE CIVIL RIGHTS LAW RESPECTIVELY AND COMMUNICATIONS MADE PURSUANT TO
COMMUNITY OUTREACH EFFORTS FOR BROADCAST STATIONS REQUIRED BY FEDERAL
LAW.
S 2. This act shall take effect immediately.
PART J
Section 1. Paragraph (a) of subdivision 13 of section 94 of the execu-
tive law, as amended by section 6 of part A of chapter 399 of the laws
of 2011, is amended to read as follows:
(a) Investigations. If the commission receives a sworn complaint
alleging a violation of section seventy-three, seventy-three-a, or
seventy-four of the public officers law, section one hundred seven of
the civil service law or article one-A of the legislative law by a
person or entity subject to the jurisdiction of the commission including
members of the legislature and legislative employees and candidates for
member of the legislature, or if a reporting individual has filed a
statement which reveals a possible violation of these provisions, or if
the commission determines on its own initiative to investigate a possi-
ble violation, the commission shall notify the individual in writing,
describe the possible or alleged violation of such laws, PROVIDE A
DESCRIPTION OF THE ALLEGATIONS AGAINST HIM OR HER AND THE EVIDENCE, IF
ANY, SUPPORTING SUCH ALLEGATIONS, PROVIDED HOWEVER THAT THE JOINT
COMMISSION SHALL REDACT ANY INFORMATION THAT MIGHT, IN THE JUDGMENT OF
THE COMMISSION, BE PREJUDICIAL TO EITHER THE COMPLAINANT OR THE INVESTI-
GATION; THE LETTER ALSO SHALL SET FORTH THE SECTIONS OF LAW ALLEGED TO
HAVE BEEN VIOLATED and provide the person with a fifteen day period in
which to submit a written response, INCLUDING ANY EVIDENCE, STATEMENTS,
AND PROPOSED WITNESSES, setting forth information relating to the activ-
ities cited as a possible or alleged violation of law. The commission
shall, within [forty-five] SIXTY calendar days after a complaint or a
referral is received or an investigation is initiated on the commis-
sion's own initiative, vote on whether to commence a full investigation
of the matter under consideration to determine whether a substantial
basis exists to conclude that a violation of law has occurred. The staff
of the joint commission shall provide to the members prior to such vote
information regarding the likely scope and content of the investigation,
and a subpoena plan, to the extent such information is available. Such
investigation shall be conducted if at least eight members of the
commission vote to authorize it. Where the subject of such investigation
is a member of the legislature or a legislative employee or a candidate
for member of the legislature, at least two of the eight or more members
who so vote to authorize such an investigation must have been appointed
by a legislative leader or leaders from the major political party in
which the subject of the proposed investigation is enrolled if such
person is enrolled in a major political party. Where the subject of such
investigation is a state officer or state employee, at least two of the
eight or more members who so vote to authorize such an investigation
must have been appointed by the governor and lieutenant governor. Where
the subject of such investigation is a statewide elected official or a
direct appointee of such an official, at least two of the eight or more
members who so vote to authorize such an investigation must have been
appointed by the governor and lieutenant governor and be enrolled in the
major political party in which the subject of the proposed investigation
is enrolled, if such person is enrolled in a major political party.
S. 8160 19
S 2. Paragraph (b) of subdivision 13 of section 94 of the executive
law, as amended by section 6 of part A of chapter 399 of the laws of
2011, is amended to read as follows:
(b) Substantial basis investigation. Upon the affirmative vote of not
less than eight commission members to commence a substantial basis
investigation, written notice of the commission's decision shall be
provided to the individual who is the subject of such substantial basis
investigation. Such written notice shall include a copy of the commis-
sion's rules and procedures and shall also include notification of such
individual's right to be heard within thirty calendar days of the date
of the commission's written notice. IF THE COMMISSION VOTES TO COMMENCE
A SUBSTANTIAL BASIS INVESTIGATION, THE COMMISSION SHALL PROVIDE TO THE
INDIVIDUAL A NOTICE SETTING FORTH THE ALLEGED VIOLATIONS OF LAW AND THE
FACTUAL BASIS FOR THOSE ALLEGATIONS. THE COMMISSION SHALL PROVIDE TO
THE INDIVIDUAL ANY ADDITIONAL EVIDENCE SUPPORTING THE ALLEGATIONS NOT
SET FORTH IN THE LETTER SENT PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVI-
SION IN SUFFICIENT DETAIL TO ENABLE THE INDIVIDUAL TO RESPOND, AT LEAST
SEVEN DAYS BEFORE THE HEARING. SUCH HEARING SHALL AFFORD THE INDIVIDUAL
WITH A REASONABLE OPPORTUNITY TO APPEAR IN PERSON, AND BY ATTORNEY, GIVE
SWORN TESTIMONY AND PRESENT EVIDENCE. SUCH HEARING SHALL OCCUR BEFORE
THE COMMISSION VOTES ON WHETHER OR NOT TO ISSUE A SUBSTANTIAL BASIS
REPORT. The commission shall also inform the individual of its rules
regarding the conduct of adjudicatory proceedings and appeals and the
other due process procedural mechanisms available to such individual. If
the commission determines at any stage that there is no violation [or],
that any potential [conflict of interest] violation has been rectified,
OR IF THE INVESTIGATION IS CLOSED FOR ANY OTHER REASON, it shall so
advise the individual and the complainant, if any IN WRITING WITHIN
FIFTEEN DAYS OF SUCH DECISION. All of the foregoing proceedings shall
be confidential.
S 3. This act shall take effect immediately.
PART K
Section 1. Subdivision 3 of section 73 of the public officers law, as
amended by chapter 242 of the laws of 1989, is amended to read as
follows:
3. (a) No statewide elected official, member of the legislature,
legislative employee, full-time salaried state officer or employee shall
receive, directly or indirectly, or enter into any agreement express or
implied for, any compensation, in whatever form, for the appearance or
rendition of services by himself, HERSELF or another against the inter-
est of the state in relation to any case, proceeding, application or
other matter before, or the transaction of business by himself, HERSELF
or another with, the court of claims.
(b) No state officer or employee who is required to file an annual
statement of financial disclosure pursuant to the provisions of section
seventy-three-a of this article, and is not otherwise subject to the
provisions of this section, shall receive, directly or indirectly, or
enter into any agreement express or implied, for any compensation, in
whatever form, for the appearance or rendition of services by himself,
HERSELF or another against the interest of the state agency by which he
OR SHE is employed or affiliated in relation to any case, proceeding,
application or other matter before, or the transaction of business by
himself, HERSELF or another with, the court of claims.
S. 8160 20
S 2. Subdivision 5 of section 73 of the public officers law, as
amended by chapter 14 of the laws of 2007, is amended to read as
follows:
5. No statewide elected official, state officer or employee, individ-
ual whose name has been submitted by the governor to the senate for
confirmation to become a state officer or employee, member of the legis-
lature or legislative employee shall, directly or indirectly:
(a) solicit, accept or receive any gift having more than a nominal
value, whether in the form of money, service, loan, travel, lodging,
meals, refreshments, entertainment, discount, forbearance or promise, or
in any other form, under circumstances in which it could reasonably be
inferred that the gift was intended to influence him OR HER, or could
reasonably be expected to influence him OR HER, in the performance of
his OR HER official duties or was intended as a reward for any official
action on his OR HER part. No person shall, directly or indirectly,
offer or make any such gift to a statewide elected official, or any
state officer or employee, member of the legislature or legislative
employee under such circumstances.
(b) solicit, accept or receive any gift, as defined in section one-c
of the legislative law, from any person who is prohibited from deliver-
ing such gift pursuant to section one-m of the legislative law unless
under the circumstances it is not reasonable to infer that the gift was
intended to influence him OR HER; or
(c) permit the solicitation, acceptance, or receipt of any gift, as
defined in section one-c of the legislative law, from any person who is
prohibited from delivering such gift pursuant to section one-m of the
legislative law to a third party including a charitable organization, on
such official's designation or recommendation or on his or her behalf,
under circumstances where it is reasonable to infer that the gift was
intended to influence him OR HER.
S 3. Subdivisions 6 and 7 of section 73 of the public officers law, as
amended by chapter 813 of the laws of 1987, paragraph (a) of subdivision
6 as amended by section 3 of part A of chapter 399 of the laws of 2011,
paragraph (b) of subdivision 6 as amended by chapter 14 of the laws of
2007, and paragraph (a) of subdivision 7 as amended and paragraph (h) of
subdivision 7 as added by chapter 530 of the laws of 2004, are amended
to read as follows:
6. (a) Every legislative employee not subject to the provisions of
section seventy-three-a of this chapter shall, on and after December
fifteenth and before the following January fifteenth, in each year, file
with the joint commission on public ethics and the legislative ethics
commission a financial disclosure statement of
(1) each financial interest, direct or indirect of himself OR HERSELF,
his OR HER spouse and his OR HER unemancipated children under the age of
eighteen years in any activity which is subject to the jurisdiction of a
regulatory agency or name of the entity in which the interest is had and
whether such interest is over or under five thousand dollars in value.
(2) every office and directorship held by him OR HER in any corpo-
ration, firm or enterprise which is subject to the jurisdiction of a
regulatory agency, including the name of such corporation, firm or
enterprise.
(3) any other interest or relationship which he OR SHE determines in
his OR HER discretion might reasonably be expected to be particularly
affected by legislative action or in the public interest should be
disclosed.
S. 8160 21
(b) Copies of such statements shall be open for public inspection and
copying.
(c) Any such legislative employee who knowingly and wilfully with
intent to deceive makes a false statement or gives information which he
OR SHE knows to be false in any written statement required to be filed
pursuant to this subdivision, shall be assessed a civil penalty in an
amount not to exceed ten thousand dollars. Assessment of a civil penalty
shall be made by the legislative ethics [committee] COMMISSION in
accordance with the provisions of subdivision [twelve] TEN of section
eighty of the legislative law. For a violation of this subdivision, the
[committee] COMMISSION may, in lieu of a civil penalty, refer a
violation to the appropriate prosecutor and upon conviction, but only
after such referral, such violation shall be punishable as a class A
misdemeanor.
7. (a) No statewide elected official, or state officer or employee,
other than in the proper discharge of official state or local govern-
mental duties, or member of the legislature or legislative employee, or
political party chairman shall receive, directly or indirectly, or enter
into any agreement express or implied for, any compensation, in whatever
form, for the appearance or rendition of services by himself, HERSELF or
another in relation to any case, proceeding, application or other matter
before a state agency where such appearance or rendition of services is
in connection with:
(i) the purchase, sale, rental or lease of real property, goods or
services, or a contract therefor, from, to or with any such agency;
(ii) any proceeding relating to rate making;
(iii) the adoption or repeal of any rule or regulation having the
force and effect of law;
(iv) the obtaining of grants of money or loans;
(v) licensing; or
(vi) any proceeding relating to a franchise provided for in the public
service law.
(b) No political party chairman in a county wholly included in a city
having a population of one million or more shall receive, directly or
indirectly, or enter into any agreement express or implied for, any
compensation, in whatever form, for the appearance or rendition of
services by himself, HERSELF or another in relation to any case,
proceeding, application or other matter before any city agency where
such appearance or rendition of services is in connection with:
(i) the purchase, sale, rental or lease of real property, goods or
services, or a contract therefor, from, to or with any such agency;
(ii) any proceeding relating to ratemaking;
(iii) the adoption or repeal of any rule or regulation having the
force and effect of law;
(iv) the obtaining of grants of money or loans;
(v) licensing. For purposes of this paragraph, the term "licensing"
shall mean any city agency activity respecting the grant, denial,
renewal, revocation, enforcement, suspension, annulment, withdrawal,
recall, cancellation or amendment of a license, permit or other form of
permission conferring the right or privilege to engage in (i) a profes-
sion, trade, or occupation or (ii) any business or activity regulated by
a regulatory agency of a city agency which in the absence of such
license, permit or other form of permission would be prohibited; and
(vi) any proceeding relating to a franchise.
(c) Nothing contained in this subdivision shall prohibit a statewide
elected official, or a state officer or employee, unless otherwise
S. 8160 22
prohibited, or a member of the legislature or legislative employee, or
political party chairman, from appearing before a state agency in a
representative capacity if such appearance in a representative capacity
is in connection with a ministerial matter.
(d) Nothing contained in this subdivision shall prohibit a member of
the legislature, or a legislative employee on behalf of such member,
from participating in or advocating any position in any matter in an
official or legislative capacity, including, but not limited to, acting
as a public advocate whether or not on behalf of a constituent. Nothing
in this paragraph shall be construed to limit the application of the
provisions of section seventy-seven of this chapter.
(e) Nothing contained in this subdivision shall prohibit a state offi-
cer or employee from appearing before a state agency in a representative
capacity on behalf of an employee organization in any matter where such
appearance is duly authorized by an employee organization.
(f) Nothing contained in this subdivision shall prohibit a political
party chairman from participating in or advocating any matter in an
official capacity.
(g) Nothing contained in this subdivision shall prohibit internal
research or discussion of a matter, provided, however, that the time is
not charged to the client and the person does not share in the net
revenues generated or produced by the matter.
(h) Nothing contained in this subdivision shall prohibit a state offi-
cer or employee, unless otherwise prohibited, from appearing or render-
ing services in relation to a case, proceeding, application or trans-
action before a state agency, other than the agency in which the officer
or employee is employed, when such appearance or rendition of services
is made while carrying out official duties as an elected or appointed
official, or employee of a local government or one of its agencies.
S 4. Subdivision 8-b of section 73 of the public officers law, as
added by chapter 540 of the laws of 2004, is renumbered subdivision 8-c.
S 5. Subdivision 10 of section 73 of the public officers law, as
amended by section 13 of part A of chapter 399 of the laws of 2011, is
amended to read as follows:
10. Nothing contained in this section, the judiciary law, the educa-
tion law or any other law or disciplinary rule shall be construed or
applied to prohibit any firm, association or corporation, in which any
present or former statewide elected official, state officer or employee,
or political party chairman, member of the legislature or legislative
employee is a member, associate, retired member, of counsel or share-
holder, from appearing, practicing, communicating or otherwise rendering
services in relation to any matter before, or transacting business with
a state agency, or a city agency with respect to a political party
chairman in a county wholly included in a city with a population of more
than one million, otherwise proscribed by this section, the judiciary
law, the education law or any other law or disciplinary rule with
respect to such official, member of the legislature or officer or
employee, or political party chairman, where such statewide elected
official, state officer or employee, member of the legislature or legis-
lative employee, or political party chairman does not share in the net
revenues, as defined in accordance with generally accepted accounting
principles by the joint commission on public ethics or by the legisla-
tive ethics [committee] COMMISSION in relation to persons subject to
their respective jurisdictions, resulting therefrom, or, acting in good
faith, reasonably believed that he or she would not share in the net
revenues as so defined; nor shall anything contained in this section,
S. 8160 23
the judiciary law, the education law or any other law or disciplinary
rule be construed to prohibit any firm, association or corporation in
which any present or former statewide elected official, member of the
legislature, legislative employee, full-time salaried state officer or
employee or state officer or employee who is subject to the provisions
of section seventy-three-a of this article is a member, associate,
retired member, of counsel or shareholder, from appearing, practicing,
communicating or otherwise rendering services in relation to any matter
before, or transacting business with, the court of claims, where such
statewide elected official, member of the legislature, legislative
employee, full-time salaried state officer or employee or state officer
or employee who is subject to the provisions of section seventy-three-a
of this article does not share in the net revenues, as defined in
accordance with generally accepted accounting principles by the joint
commission on public ethics or by the legislative ethics [committee]
COMMISSION in relation to persons subject to their respective jurisdic-
tions, resulting therefrom, or, acting in good faith, reasonably
believed that he or she would not share in the net revenues as so
defined.
S 6. Paragraph 8 of subdivision 3 of section 73-a of the public offi-
cers law, as amended by section 37 of subpart A of part H of chapter 55
of the laws of 2014, subparagraphs (a), (b) and (c) as amended by
section 1 and subparagraphs (b-1) and (b-2) as added by section 2 of
part CC of chapter 56 of the laws of 2015, is amended to read as
follows:
8. (a) If the reporting individual practices law, is licensed by the
department of state as a real estate broker or agent or practices a
profession licensed by the department of education, or works as a member
or employee of a firm required to register pursuant to section one-e of
the legislative law as a lobbyist, describe the services rendered for
which compensation was paid including a general description of the prin-
cipal subject areas of matters undertaken by such individual and princi-
pal duties performed. Specifically state whether the reporting individ-
ual provides services directly to clients. Additionally, if such an
individual practices with a firm or corporation and is a partner or
shareholder of the firm or corporation, give a general description of
principal subject areas of matters undertaken by such firm or corpo-
ration.
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
(b) APPLICABLE ONLY TO NEW CLIENTS OR CUSTOMERS FOR WHOM SERVICES ARE
PROVIDED ON OR AFTER JULY FIRST, TWO THOUSAND TWELVE AND BEFORE DECEMBER
THIRTY-FIRST, TWO THOUSAND FIFTEEN, OR FOR NEW MATTERS FOR EXISTING
CLIENTS OR CUSTOMERS WITH RESPECT TO THOSE SERVICES THAT ARE PROVIDED ON
OR AFTER JULY FIRST, TWO THOUSAND TWELVE AND BEFORE DECEMBER
THIRTY-FIRST, TWO THOUSAND FIFTEEN:
If the reporting individual personally provides services to any person
or entity, or works as a member or employee of a partnership or corpo-
ration that provides such services (referred to hereinafter as a
"firm"), then identify each client or customer to whom the reporting
individual personally provided services, or who was referred to the firm
S. 8160 24
by the reporting individual, and from whom the reporting individual or
his or her firm earned fees in excess of $10,000 during the reporting
period for such services rendered in direct connection with:
(i) A contract in an amount totaling $50,000 or more from the state or
any state agency for services, materials, or property;
(ii) A grant of $25,000 or more from the state or any state agency
during the reporting period;
(iii) A grant obtained through a legislative initiative during the
reporting period; or
(iv) A case, proceeding, application or other matter that is not a
ministerial matter before a state agency during the reporting period.
For purposes of this question, "referred to the firm" shall mean:
having intentionally and knowingly taken a specific act or series of
acts to intentionally procure for the reporting individual's firm or
knowingly solicit or direct to the reporting individual's firm in whole
or substantial part, a person or entity that becomes a client of that
firm for the purposes of representation for a matter as defined in
subparagraphs (i) through (iv) of this paragraph, as the result of such
procurement, solicitation or direction of the reporting individual. A
reporting individual need not disclose activities performed while
lawfully acting pursuant to paragraphs (c), (d), (e) and (f) of subdivi-
sion seven of section seventy-three of this article.
The disclosure requirement in this question shall not require disclo-
sure of clients or customers receiving medical or dental services,
mental health services, residential real estate brokering services, or
insurance brokering services from the reporting individual or his or her
firm. The reporting individual need not identify any client to whom he
or she or his or her firm provided legal representation with respect to
investigation or prosecution by law enforcement authorities, bankruptcy,
or domestic relations matters. With respect to clients represented in
other matters, where disclosure of a client's identity is likely to
cause harm, the reporting individual shall request an exemption from the
joint commission pursuant to paragraph [(i)] (I-1) of subdivision nine
of section ninety-four of the executive law, provided, however, that a
reporting individual who first enters public office after July first,
two thousand twelve, need not report clients or customers with respect
to matters for which the reporting individual or his or her firm was
retained prior to entering public office.
Client Nature of Services Provided
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
(b-1) APPLICABLE ONLY TO NEW CLIENTS OR CUSTOMERS FOR WHOM SERVICES
ARE PROVIDED ON OR AFTER DECEMBER THIRTY-FIRST, TWO THOUSAND FIFTEEN, OR
FOR NEW MATTERS FOR EXISTING CLIENTS OR CUSTOMERS WITH RESPECT TO THOSE
SERVICES THAT ARE PROVIDED ON OR AFTER DECEMBER THIRTY-FIRST, TWO THOU-
SAND FIFTEEN (FOR PURPOSES OF THIS QUESTION, "SERVICES" SHALL MEAN
CONSULTATION, REPRESENTATION, ADVICE OR OTHER SERVICES):
If the reporting individual receives income from employment reportable
in question 8(a) and personally provides services to any person or enti-
ty, or works as a member or employee of a partnership or corporation
that provides such services (referred to hereinafter as a "firm"), the
reporting individual shall identify each client or customer to whom the
S. 8160 25
reporting individual personally provided services, or who was referred
to the firm by the reporting individual, and from whom the reporting
individual or his or her firm earned fees in excess of $10,000 during
the reporting period in direct connection with:
(i) A contract in an amount totaling $10,000 or more from the state or
any state agency for services, materials, or property;
(ii) A grant of $10,000 or more from the state or any state agency
during the reporting period;
(iii) A grant obtained through a legislative initiative during the
reporting period; or
(iv) A case, proceeding, application or other matter that is not a
ministerial matter before a state agency during the reporting period.
For such services rendered by the reporting individual directly to
each such client, describe each matter that was the subject of such
representation, the services actually provided and the payment received.
For payments received from clients referred to the firm by the reporting
individual, if the reporting individual directly received a referral fee
or fees for such referral, identify the client and the payment so
received.
For purposes of this question, "referred to the firm" shall mean:
having intentionally and knowingly taken a specific act or series of
acts to intentionally procure for the reporting individual's firm or
having knowingly solicited or directed to the reporting individual's
firm in whole or substantial part, a person or entity that becomes a
client of that firm for the purposes of representation for a matter as
defined in clauses (i) through (iv) of this subparagraph, as the result
of such procurement, solicitation or direction of the reporting individ-
ual. A reporting individual need not disclose activities performed while
lawfully acting in his or her capacity as provided in paragraphs (c),
(d), (e) and (f) of subdivision seven of section seventy-three of this
article.
Client Matter Nature of Services Provided Category
of Amount
(in Table I)
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
(b-2) APPLICABLE ONLY TO NEW CLIENTS OR CUSTOMERS FOR WHOM SERVICES
ARE PROVIDED ON OR AFTER DECEMBER THIRTY-FIRST, TWO THOUSAND FIFTEEN, OR
FOR NEW MATTERS FOR EXISTING CLIENTS OR CUSTOMERS WITH RESPECT TO THOSE
SERVICES THAT ARE PROVIDED ON OR AFTER DECEMBER THIRTY-FIRST, TWO THOU-
SAND FIFTEEN (FOR PURPOSES OF THIS QUESTION, "SERVICES" SHALL MEAN
CONSULTATION, REPRESENTATION, ADVICE OR OTHER SERVICES):
(i) With respect to reporting individuals who receive ten thousand
dollars or more from employment or activity reportable under question
8(a), for each client or customer NOT otherwise disclosed or exempted in
question 8 or 13, disclose the name of each client or customer known to
the reporting individual to whom the reporting individual provided
services: (A) who paid the reporting individual in excess of five thou-
sand dollars for such services; or (B) who had been billed with the
knowledge of the reporting individual in excess of five thousand dollars
S. 8160 26
by the firm or other entity named in question 8(a) for the reporting
individual's services.
Client Services Category of Amount
Actually Provided (in Table I)
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
FOLLOWING IS AN ILLUSTRATIVE, NON-EXCLUSIVE LIST OF EXAMPLES OF
DESCRIPTIONS OF "SERVICES ACTUALLY PROVIDED":
* REVIEWED DOCUMENTS AND CORRESPONDENCE;
* REPRESENTED CLIENT (IDENTIFY CLIENT BY NAME) IN LEGAL PROCEEDING;
* PROVIDED LEGAL ADVICE ON CLIENT MATTER (IDENTIFY CLIENT BY NAME);
* CONSULTED WITH CLIENT OR CONSULTED WITH LAW PARTNERS/ASSOCIATES/MEMBERS
OF FIRM ON CLIENT MATTER (IDENTIFY CLIENT BY NAME);
* PREPARED CERTIFIED FINANCIAL STATEMENT FOR CLIENT (IDENTIFY CLIENT BY
NAME);
* REFERRED INDIVIDUAL OR ENTITY (IDENTIFY CLIENT BY NAME) FOR
REPRESENTATION OR CONSULTATION;
* COMMERCIAL BROKERING SERVICES (IDENTIFY CUSTOMER BY NAME);
* PREPARED CERTIFIED ARCHITECTURAL OR ENGINEERING
RENDERINGS FOR CLIENT (IDENTIFY CUSTOMER BY NAME);
* COURT APPOINTED GUARDIAN OR EVALUATOR (IDENTIFY COURT NOT CLIENT).
(ii) With respect to reporting individuals who disclosed in question
8(a) that the reporting individual did not provide services to a client
but provided services to a firm or business, identify the category of
amount received for providing such services and describe the services
rendered.
SERVICES ACTUALLY PROVIDED CATEGORY OF AMOUNT (TABLE I)
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
A reporting individual need not disclose activities performed while
lawfully acting in his or her capacity as provided in paragraphs (c),
(d), (e) and (f) of subdivision seven of section seventy-three of this
article.
The disclosure requirement in questions (b-1) and (b-2) shall not
require disclosing clients or customers receiving medical, pharmaceu-
tical or dental services, mental health services, or residential real
estate brokering services from the reporting individual or his or her
firm or if federal law prohibits or limits disclosure. The reporting
individual need not identify any client to whom he or she or his or her
firm provided legal representation with respect to investigation or
prosecution by law enforcement authorities, bankruptcy, family court,
estate planning, or domestic relations matters, nor shall the reporting
individual identify individuals represented pursuant to an insurance
policy but the reporting individual shall in such circumstances only
report the entity that provides compensation to the reporting individ-
ual; with respect to matters in which the client's name is required by
law to be kept confidential (such as matters governed by the family
court act) or in matters in which the reporting individual represents or
provides services to minors, the client's name may be replaced with
initials. To the extent that the reporting individual, or his or her
firm, provided legal representation with respect to an initial public
S. 8160 27
offering, and professional disciplinary rules, federal law or regu-
lations restrict the disclosure of information relating to such work,
the reporting individual shall (i) disclose the identity of the client
and the services provided relating to the initial public offering to the
office of court administration, who will maintain such information
confidentially in a locked box; and (ii) include in his or her response
to questions (b-1) and (b-2) that pursuant to this paragraph, a disclo-
sure to the office of court administration has been made. Upon such time
that the disclosure of information maintained in the locked box is no
longer restricted by professional disciplinary rules, federal law or
regulation, the reporting individual shall disclose such information in
an amended disclosure statement in response to the disclosure require-
ments in questions (b-1) and (b-2). The office of court administration
shall develop and maintain a secure portal through which information
submitted to it pursuant to this paragraph can be safely and confiden-
tially stored. With respect to clients represented in other matters not
otherwise exempt, the reporting individual may request an exemption to
publicly disclosing the name of that client from the joint commission
pursuant to paragraph [(i)] (I-1) of subdivision nine of section nine-
ty-four of the executive law, or from the office of court adminis-
tration. In such application, the reporting individual shall state the
following: "My client is not currently receiving my services or seeking
my services in connection with:
(i) A proposed bill or resolution in the senate or assembly during the
reporting period;
(ii) A contract in an amount totaling $10,000 or more from the state
or any state agency for services, materials, or property;
(iii) A grant of $10,000 or more from the state or any state agency
during the reporting period;
(iv) A grant obtained through a legislative initiative during the
reporting period; or
(v) A case, proceeding, application or other matter that is not a
ministerial matter before a state agency during the reporting period."
In reviewing the request for an exemption, the joint commission or the
office of court administration may consult with bar or other profes-
sional associations and the legislative ethics commission for individ-
uals subject to its jurisdiction and may consider the rules of profes-
sional conduct. In making its determination, the joint commission or the
office of court administration shall conduct its own inquiry and shall
consider factors including, but not limited to: (i) the nature and the
size of the client; (ii) whether the client has any business before the
state; and if so, how significant the business is; and whether the
client has any particularized interest in pending legislation and if so
how significant the interest is; (iii) whether disclosure may reveal
trade secrets; (iv) whether disclosure could reasonably result in retal-
iation against the client; (v) whether disclosure may cause undue harm
to the client; (vi) whether disclosure may result in undue harm to the
attorney-client relationship; and (vii) whether disclosure may result in
an unnecessary invasion of privacy to the client.
The joint commission or, as the case may be, the office of court
administration shall promptly make a final determination in response to
such request, which shall include an explanation for its determination.
The office of court administration shall issue its final determination
within three days of receiving the request. Notwithstanding any other
provision of law or any professional disciplinary rule to the contrary,
the disclosure of the identity of any client or customer in response to
S. 8160 28
this question shall not constitute professional misconduct or a ground
for disciplinary action of any kind, or form the basis for any civil or
criminal cause of action or proceeding. A reporting individual who first
enters public office after January first, two thousand sixteen, need not
report clients or customers with respect to matters for which the
reporting individual or his or her firm was retained prior to entering
public office.
[Client Services Category of Amount
Actually Provided (in Table I)
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________]
(c) APPLICABLE ONLY TO NEW CLIENTS OR CUSTOMERS FOR WHOM SERVICES ARE
PROVIDED ON OR AFTER DECEMBER THIRTY-FIRST, TWO THOUSAND FIFTEEN, OR FOR
NEW MATTERS FOR EXISTING CLIENTS OR CUSTOMERS WITH RESPECT TO THOSE
SERVICES THAT ARE PROVIDED ON OR AFTER DECEMBER THIRTY-FIRST, TWO THOU-
SAND FIFTEEN:
If the reporting individual receives income of ten thousand dollars or
greater from any employment or activity reportable under question 8(a),
identify each registered lobbyist who has directly referred to such
individual a client who was successfully referred to the reporting indi-
vidual's business and from whom the reporting individual or firm
received a fee for services in excess of five thousand dollars. Report
only those referrals that were made to a reporting individual by direct
communication from a person known to such reporting individual to be a
registered lobbyist at the time the referral is made. With respect to
each such referral, the reporting individual shall identify the client,
the registered lobbyist who has made the referral, the category of value
of the compensation received and a general description of the type of
matter so referred. A reporting individual need not disclose activities
performed while lawfully acting pursuant to paragraphs (c), (d), (e) and
(f) of subdivision seven of section seventy-three of this article. The
disclosure requirements in this question shall not require disclosing
clients or customers receiving medical, pharmaceutical or dental
services, mental health services, or residential real estate brokering
services from the reporting individual or his or her firm or if federal
law prohibits or limits disclosure. The reporting individual need not
identify any client to whom he or she or his or her firm provided legal
representation with respect to investigation or prosecution by law
enforcement authorities, bankruptcy, family court, estate planning, or
domestic relations matters, nor shall the reporting individual identify
individuals represented pursuant to an insurance policy but the report-
ing individual shall in such circumstances only report the entity that
provides compensation to the reporting individual; with respect to
matters in which the client's name is required by law to be kept confi-
dential (such as matters governed by the family court act) or in matters
in which the reporting individual represents or provides services to
minors, the client's name may be replaced with initials. To the extent
that the reporting individual, or his or her firm, provided legal repre-
sentation with respect to an initial public offering, and federal law or
regulations restricts the disclosure of information relating to such
work, the reporting individual shall (i) disclose the identity of the
client and the services provided relating to the initial public offering
to the office of court administration, who will maintain such informa-
S. 8160 29
tion confidentially in a locked box; and (ii) include in his or her
response a statement that pursuant to this paragraph, a disclosure to
the office of court administration has been made. Upon such time that
the disclosure of information maintained in the locked box is no longer
restricted by federal law or regulation, the reporting individual shall
disclose such information in an amended disclosure statement in response
to the disclosure requirements of this paragraph. The office of court
administration shall develop and maintain a secure portal through which
information submitted to it pursuant to this paragraph can be safely and
confidentially stored. With respect to clients represented in other
matters not otherwise exempt, the reporting individual may request an
exemption to publicly disclosing the name of that client from the joint
commission pursuant to paragraph [(i)] (I-1) of subdivision nine of
section ninety-four of the executive law, or from the office of court
administration. In such application, the reporting individual shall
state the following: "My client is not currently receiving my services
or seeking my services in connection with:
(i) A proposed bill or resolution in the senate or assembly during the
reporting period;
(ii) A contract in an amount totaling $10,000 or more from the state
or any state agency for services, materials, or property;
(iii) A grant of $10,000 or more from the state or any state agency
during the reporting period;
(iv) A grant obtained through a legislative initiative during the
reporting period; or
(v) A case, proceeding, application or other matter that is not a
ministerial matter before a state agency during the reporting period."
In reviewing the request for an exemption, the joint commission or the
office of court administration may consult with bar or other profes-
sional associations and the legislative ethics commission for individ-
uals subject to its jurisdiction and may consider the rules of profes-
sional conduct. In making its determination, the joint commission or the
office of court administration shall conduct its own inquiry and shall
consider factors including, but not limited to: (i) the nature and the
size of the client; (ii) whether the client has any business before the
state; and if so, how significant the business is; and whether the
client has any particularized interest in pending legislation and if so
how significant the interest is; (iii) whether disclosure may reveal
trade secrets; (iv) whether disclosure could reasonably result in retal-
iation against the client; (v) whether disclosure may cause undue harm
to the client; (vi) whether disclosure may result in undue harm to the
attorney-client relationship; and (vii) whether disclosure may result in
an unnecessary invasion of privacy to the client.
The joint commission or, as the case may be, the office of court
administration shall promptly make a final determination in response to
such request, which shall include an explanation for its determination.
The office of court administration shall issue its final determination
within three days of receiving the request. Notwithstanding any other
provision of law or any professional disciplinary rule to the contrary,
the disclosure of the identity of any client or customer in response to
this question shall not constitute professional misconduct or a ground
for disciplinary action of any kind, or form the basis for any civil or
criminal cause of action or proceeding. A reporting individual who first
enters public office after December thirty-first, two thousand fifteen,
need not report clients or customers with respect to matters for which
S. 8160 30
the reporting individual or his or her firm was retained prior to enter-
ing public office.
Client Name of Lobbyist DESCRIPTION Category of Amount
OF MATTER (in Table 1)
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
(d) List the name, principal address and general description or the
nature of the business activity of any entity in which the reporting
individual or such individual's spouse had an investment in excess of
$1,000 excluding investments in securities and interests in real proper-
ty.
S 7. Subdivisions 2 and 3 of section 74 of the public officers law, as
amended by chapter 1012 of the laws of 1965, paragraph d of subdivision
3 as amended by chapter 1 of the laws of 2010, are amended to read as
follows:
2. Rule with respect to conflicts of interest. No officer or employee
of a state agency, member of the legislature or legislative employee
should have any interest, financial or otherwise, direct or indirect, or
engage in any business or transaction or professional activity or incur
any obligation of any nature, which is in substantial conflict with the
proper discharge of his OR HER duties in the public interest.
3. Standards.
a. No officer or employee of a state agency, member of the legislature
or legislative employee should accept other employment which will impair
his OR HER independence of judgment in the exercise of his OR HER offi-
cial duties.
b. No officer or employee of a state agency, member of the legislature
or legislative employee should accept employment or engage in any busi-
ness or professional activity which will require him OR HER to disclose
confidential information which he OR SHE has gained by reason of his OR
HER official position or authority.
c. No officer or employee of a state agency, member of the legislature
or legislative employee should disclose confidential information
acquired by him OR HER in the course of his OR HER official duties nor
use such information to further his OR HER personal interests.
d. No officer or employee of a state agency, member of the legislature
or legislative employee should use or attempt to use his or her official
position to secure unwarranted privileges or exemptions for himself or
herself or others, including but not limited to, the misappropriation to
himself, herself or to others of the property, services or other
resources of the state for private business or other compensated non-go-
vernmental purposes.
e. No officer or employee of a state agency, member of the legislature
or legislative employee should engage in any transaction as represen-
tative or agent of the state with any business entity in which he OR SHE
has a direct or indirect financial interest that might reasonably tend
to conflict with the proper discharge of his OR HER official duties.
f. An officer or employee of a state agency, member of the legislature
or legislative employee should not by his OR HER conduct give reasonable
basis for the impression that any person can improperly influence him OR
HER or unduly enjoy his OR HER favor in the performance of his OR HER
S. 8160 31
official duties, or that he OR SHE is affected by the kinship, rank,
position or influence of any party or person.
g. An officer or employee of a state agency should abstain from making
personnel investments in enterprises which he OR SHE has reason to
believe may be directly involved in decisions to be made by him OR HER
or which will otherwise create substantial conflict between his OR HER
duty in the public interest and his OR HER private interest.
h. An officer or employee of a state agency, member of the legislature
or legislative employee should endeavor to pursue a course of conduct
which will not raise suspicion among the public that he OR SHE is likely
to be engaged in acts that are in violation of his OR HER trust.
i. No officer or employee of a state agency employed on a full-time
basis nor any firm or association of which such an officer or employee
is a member nor corporation a substantial portion of the stock of which
is owned or controlled directly or indirectly by such officer or employ-
ee, should sell goods or services to any person, firm, corporation or
association which is licensed or whose rates are fixed by the state
agency in which such officer or employee serves or is employed.
S 8. This act shall take effect immediately; and shall apply to annual
statements of financial disclosure filed for calendar years commencing
on or after January 1, 2017.
S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
S 3. This act shall take effect immediately provided, however, that
the applicable effective date of Parts A through K of this act shall be
as specifically set forth in the last section of such Parts.
