Relates to legislative ethics reform; repealer

Section 2 amends subdivision (b) of section 1-d of the Legislative Law to provide that no person who has been a state or local elected official, a state employee or a registered lobbyist may serve on the State Commission on Lobbying and Ethics Compliance for 7 years after having served in such position.

Section 3 requires the appropriate legislative committees with jurisdiction over the Joint Legislative Commission on Ethics Standards to hold an oversight hearing regarding the commission's annual report and recommendations of the commission within 45 days of the release of such report by the commission.

Section 4 amends paragraph (d)(ii) of subdivision 2 of section 80 of the Legislative Law extends the prohibition on the appointment of persons who have been registered lobbyists to the Legislative Office of Ethics Investigations from 2 years to 7 years.

Section 5 amends subitem (ii) of item (a) of clause 3 of subparagraph (iv) of paragraph (a) of subdivision 4 of section 80 of the legislative law, to alter the list of information that the Legislative Office of Ethics Investigations must submit to the Joint Legislative Commission.

Section 6 amends subdivision a of section 81 of the Legislative Law to provide that no person who has been a state or local elected official, a state employee or a registered lobbyist may serve on the State Commission on Lobbying and Ethics Compliance for 7 years after having served in such position.

Section 7 is amended by adding a new Legislative Law § 80(18), which requires the Joint Legislative Commission on Ethics Standards to develop a protocol for the Legislative Office of Ethics Investigations to perform random reviews of annual statements of financial disclosure filed by persons under the Joint Legislative Commission's jurisdiction.

Section 8 adds a new Public Officers Law § 74-b to require state officers to report business dealings with lobbyists.

Section 9 amends subdivision 2 of section 94 of the Executive Law to provide that no person who has been a state or local elected official, a state employee or a registered lobbyist may serve on the Executive Ethics and Compliance Commission for 7 years after having served in such position.

Section 10 is amended by adding a new paragraph o of subdivision 8 of section 94 of the Executive Law, which requires the Executive Ethics and Compliance Commission to develop a protocol for the performance of random reviews of annual statements of financial disclosure filed by persons under the Commission's jurisdiction.

Section 11 changes the sunset date of S.6064/A.9032, from 6 years to 3 years.

Section 12 makes a conforming change to Election Law § 3-102, to add a reference to the State Board of Elections Enforcement Unit, which is created in section 9.

Section 13 repeals Election Law § 3-104 and adds a new Election Law § 3-104 to establish the State Board of Elections Enforcement Unit, which shall have sole authority within the State Board of Elections to investigate alleged campaign finance complaints and violations.

Section 14 amends Election Law § 14-102 (1) to require greater disclosure of contributor employment and campaign expenditure information.

Section 15 amends Election Law § 14-126 to increase the maximum civil penalty for a violation of New York's campaign finance laws, and to make the willful acceptance of excess contributions subject to a fine of two times the amount of the excess plus a fine of up to $10,000, and must refund the excess contribution.

Section 16 authorizes the Board of Elections Enforcement Unit to institute an enforcement in State Supreme Court for violations of the Article 14 of the Elections Law.

Section 17 provides for an effective date.

Justification

This bill seeks to improve the ethics reforms proposed in S.6064/A.9032 by:

- requiring random audits of financial disclosure statements filed by legislators and legislative staff in the same manner that the State Commission on Lobbying and Ethics Compliance would be directed to perform random audits of lobbyists and their clients; - requiring state officers to report their business dealings with lobbyists; - allowing the Legislative Office of Ethics Investigations to initiate its own investigations, rather than waiting for a referral of a complaint; - clarifying the definition of "lobbying" to include resolutions, and any other official action by the State Legislature; - extending the prohibition on the appointment of persons who have been registered lobbyists to the Legislative Office of Ethics Investigations from 2 years to 7 years; and - changing the sunset date of S.6064/A.9032, from 6 years to 3 years.

The ethics reforms proposed in S.6064/A.9032 will increase the independence and effectiveness of the state's ethics entities and fix some of the weaknesses of the current ethics oversight system.

The bill also reforms various provisions of the state's campaign finance laws, as follows:

- creates a dedicated enforcement unit within the State Board of Elections; - requires greater disclosure of campaign expenditure information; - authorizes the Board of Elections Enforcement Unit to institute an enforcement in State Supreme Court for violations of the Article 14 of the Elections Law; and - increases penalties for violations of Election Law Article 14.

Prior legislative history

New bill.

Fiscal implications for state and local governments

The ethics reforms provisions of this bill (sections 1 through 11) will have no additional fiscal impacts on the state beyond those identified in the sponsor's memorandum for S.6064/A.9032.

The campaign finance provisions of this bill (sections 12 through 16) will result in increased costs to the state as a result of the creation of a dedicated enforcement unit within the State Board of Elections. However, the increase in fines and the Board's ability to bring additional enforcement actions should offset at least some of these increased costs.

Effective date

The amendments to the Executive Law, the Legislative Law and the Public Officers Law are effective on the same date as provided for in S.6064/ A.9032. The amendments to the Election Law are effective 60 days after the bill becomes law. However, contributions lawfully received before the effective date of this act may not provide the basis for a violation of Article 14 of the Election Law.