- New rules require filings to be signed by an authorized and legally responsible person.
- Mandatory ethics training for key personnel and lobbyists.
- Updated rules regarding late fees.
The New York State Commission on Ethics and Lobbying Government (COELIG or Commission) has designated significant regulatory changes and corresponding updates to its online lobbying and filing system to be implemented this year and next. This legal alert will outline those significant changes and updates for lobbyists and their clients.
Responsible Parties on Lobbying Filings
The most notable changes pertain to the designation of the “Responsible Party.” Starting Dec. 1, all lobbying filings submitted to COELIG must be “signed and attested” by a responsible party who has the authority to legally bind the lobbyist or client.
In other words, while anyone can serve as a “Preparer” to prepare and draft lobby filings, lobbyists and their clients must designate individuals with binding authority to certify those filings.
This new rule amending 19 NYCRR Part 943, places a new burden on lobbyists and their clients by requiring the “responsible party” to not only have legal authority binding the organization, but also to now be responsible for attesting to the completeness and truthfulness of the filing. This legislation will impact many organizations because people and entities employed by a lobbyist or client to prepare and certify filings will no longer be able to submit or attest to the truthfulness of those filings.
Although COELIG has removed the option allowing reports to be signed and attested to by someone whom the responsible party has delegated authority, organizations under this new amendment will have the ability to name two different responsible parties from within the organization. Organizations should consider this option, because if one responsible party is unavailable to sign and submit a report when due, the other can sign and submit the filing to ensure timely responses.
Ethics Training for Lobbyists and Clients
Starting Jan. 1, 2025, the Commission will require both the responsible party, and all individuals listed as lobbyists, to complete an online mandatory ethics training course. This amendment now places the burden on the responsible party to submit the information regarding the completion of the course and requires such individuals to retain an executed training completion form, provided by the Commission for a period of three years. The original amendment would have required an affidavit of training completion from each individual lobbyist. However, an emergency amendment was passed on Oct. 23, 2024, no longer requiring an affidavit, to “more effectively streamline regulatory requirements.” 19 CRR-NY §943.5. The Commission released a memorandum suggesting this change.
Late Fees
Effective Jan.1, 2025, the Commission has set forth a new and more detailed process for seeking late penalty waivers or reductions. The amendment sets forth new requests that lobbyists or clients may use when applying for a waiver or reduction, such as a death or serious illness of the responsible party or immediate family, an event that is out of the control of the responsible party, such as a natural disaster or pandemic, or any other situations that might impact the lobbyist’s or client’s ability to timely file. The Commission will look at the amount of time that has passed from when the report was due and other past or present considerations that might have impacted the late submission.
This amendment gives lobbyists and clients a clearer understanding of the requirements and processes when seeking a waiver and reduction.
Miscellaneous Regulations
Beginning Jan. 1, 2025, structured coalitions will be required to file a Source of Funding Report, in which they must name a member of the coalition. Structured coalitions are a group of individuals, organizations or businesses pooling funds and resources on behalf of its members. A structured collation is not a legal entity but is still required to file and disclose all lobbying activities.
Additionally, co-lobbyists or sub-lobbyists are not required to be reported on semiannual reports at this time, but this could be subject to change.
