BILL NUMBER: S10657
SPONSOR: RAMOS
TITLE OF BILL:
An act to amend the public officers law, in relation to extending
certain conflict of interest prohibitions to spouses, domestic or roman-
tic partners, persons residing in the same household, or immediate fami-
ly members of members of the legislature
PURPOSE:
To address indirect conflicts of interest that arise when a spouse,
domestic or romantic partners, household member, and immediate family
member of a legislator receives compensation or other financial benefits
from entities that have business before governmental bodies and may
benefit from the legislator's official actions.
SUMMARY OF PROVISIONS:
Section 1 of the bill adds a new section 75-b to the Public Officers
Law. This provides that, for the purpose of conflict of interest analy-
sis, any financial interest, compensation arrangement, contractual
relationship, or other pecuniary benefit held by the spouse of a member
of the legislature shall be deemed an indirect interest of that legisla-
tor.
The bill further prohibits the spouse, domestic, or romantic partner,
person residing in the same household, or immediate family of a member
of the legislature from knowingly soliciting, negotiating for, accept-
ing, or receiving compensation from any person from a corporation,
limited liability company, partnership, developer, contractor, or other
entity that has a matter pending before a state agency, public authori-
ty, or local governmental entity within a County represented in whole or
in part by the legislator.
The bill establishes a cure provision whereby a violation shall be
deemed cured if the compensation, financial interest, or other benefit
is fully returned to the payer or otherwise divested by the spouse,
domestic, or romantic partner, person residing in the same household, or
immediate family within 14 days after the legislator or a spouse, domes-
tic, or romantic partner, person residing in the same household, or
immediate family knew or reasonably should have known of the prohibited
indirect interest.
Section 2 provides the effective date.
JUSTIFICATION:
Public confidence in government depends upon the assurance that elected
officials act solely in the public interest and not for personal finan-
cial gain. While existing ethics laws and guidance regulate direct
Financial interests and outside income, concerns remain that financial
relationships involving a legislative spouse and other close partners
and family may create the appearance of undue influence or provide a
means of circumventing existing conflict of interest safeguards.
When a spouse, domestic or romantic partner, person residing in the same
household, or immediate family member receives compensation from enti-
ties that have matters before governmental agencies or stand to benefit
from a legislator's actions, the public may reasonably question whether
private financial considerations are influencing governmental decisions.
Even where no improper conduct occurs, the appearance of a conflict can
undermine trust in public institutions.
This legislation closes potential ethics loopholes by treating certain
financial interests as indirect interests of the legislator and prohib-
iting compensation arrangements that present a substantial risk of
financial conflicts. At the same time, the bill includes a reasonable
cure provision that allows inadvertent violations to be remedied through
the return of compensation. By enhancing transparency and accountabil-
ity, this legislation will help protect the integrity of the legislative
process and strengthen public confidence in state and local government.
LEGISLATIVE HISTORY:
New Bill.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None.
EFFECTIVE DATE:
Immediately.