PRINTER'S NO. 1001
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 980
Session of
2023
INTRODUCED BY GROVE, HAMM, STAMBAUGH AND ORTITAY, APRIL 24, 2023
REFERRED TO COMMITTEE ON STATE GOVERNMENT, APRIL 24, 2023
AN ACT
1 Amending Title 65 (Public Officers) of the Pennsylvania
2 Consolidated Statutes, in lobbying disclosure, further
3 providing for registration, for reporting, for exemption from
4 registration and reporting and for administration; and making
5 an editorial change.
6 The General Assembly of the Commonwealth of Pennsylvania
7 hereby enacts as follows:
8 Section 1. The definition of "personnel expense" in section
9 13A03 of Title 65 of the Pennsylvania Consolidated Statutes is
10 amended to read:
11 § 13A03. Definitions.
12 The following words and phrases when used in this chapter
13 shall have the meanings given to them in this section unless the
14 context clearly indicates otherwise:
15 * * *
16 "Personnel expense." An expenditure for salaries or other
17 forms of compensation, benefits, vehicle allowances, bonuses and
18 reimbursable expenses paid to lobbyists, lobbying staff,
19 research and monitoring staff, consultants, publications and
20 public relations staff, technical staff, clerical and
1 administrative support staff and includes individuals who engage
2 in lobbying but are exempt from reporting under section 13A06
3 (relating to exemption from [registration and] reporting). For
4 an individual for whom lobbying is incidental to regular
5 employment, the term means a good faith prorated estimate based
6 on the value of the time devoted to lobbying.
7 * * *
8 Section 2. Section 13A04(a) of Title 65 is amended and
9 subsection (e) is amended by adding a paragraph to read:
10 § 13A04. Registration.
11 (a) General rule.--[Unless excluded under section 13A06
12 (relating to exemption from registration and reporting), a
13 lobbyist, lobbying firm or a principal must register with the
14 department electronically using the computerized filing system
15 developed by the department that is consistent with the purposes
16 of this chapter within ten days of acting in any capacity as a
17 lobbyist, lobbying firm or principal.] Registration shall be
18 biennial and shall begin January 1, 2007. Unless excluded under
19 section 13A06 (relating to exemption from reporting), the
20 following shall apply:
21 (1) A lobbyist, lobbying firm or a principal that is
22 registered at the end of a biennial term shall be
23 automatically registered for the next biennial term, unless a
24 notice of termination under subsection (e) is filed with the
25 department by January 10 of the next biennial term.
26 (2) A lobbyist, lobbying firm or a principal that is not
27 registered at the end of a biennial term or which has filed a
28 notice of termination under paragraph (1) or previously, must
29 register within 10 days of acting in any capacity as a
30 lobbyist, lobbying firm or a principal.
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1 * * *
2 (e) Termination.--
3 * * *
4 (5) A lobbyist, lobbying firm or principal may file a
5 notice of termination at the conclusion of the relationship
6 between a principal and a lobbyist or lobbying firm.
7 Section 3. Section 13A05(b)(8) and (d) of Title 65 are
8 amended and the section is amended by adding a subsection to
9 read:
10 § 13A05. Reporting.
11 * * *
12 (b) Content.--
13 * * *
14 (8) A lobbying firm or a lobbyist not associated with a
15 lobbying firm shall submit a report electronically using the
16 computerized filing system developed by the department that
17 is consistent with the purpose of this chapter if the
18 lobbying firm or lobbyist engaged in lobbying on behalf of
19 any entity that is exempt under section 13A06(7), (8), (9) or
20 (10) (relating to exemption from [registration and]
21 reporting).
22 * * *
23 (d) Thresholds for reporting.--An expense report required
24 under this section shall be filed electronically using the
25 computerized filing system developed by the department that is
26 consistent with the purpose of this chapter when total expenses
27 for lobbying exceed [$2,500] $1 for a registered principal in a
28 reporting period. [In a reporting period in which total expenses
29 are $2,500 or less, a statement to that effect shall be filed
30 electronically using the computerized filing system developed by
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1 the department that is consistent with the purpose of this
2 chapter.]
3 (d.1) Additional reporting thresholds.--An expense report
4 required under this section shall be filed electronically using
5 the computerized filing system developed by the department that
6 is consistent with the purpose of this chapter when the economic
7 consideration for campaign consulting exceeds $2,500 for a
8 registered campaign consultant.
9 * * *
10 Section 4. Sections 13A06 and 13A08(f) and (j) of Title 65
11 are amended to read:
12 § 13A06. Exemption from [registration and] reporting.
13 The following persons and activities shall be exempt from
14 [registration under section 13A04 (relating to registration)
15 and] reporting under section 13A05 (relating to reporting):
16 (1) An individual who limits lobbying to preparing
17 testimony and testifying before a committee of the General
18 Assembly or participating in an administrative proceeding of
19 an agency.
20 (2) An individual who is an employee of an entity
21 engaged in the business of publishing or broadcasting while
22 engaged in the gathering and dissemination of news and
23 comment on the news to the general public in the ordinary
24 course of business.
25 (3) An individual who does not receive economic
26 consideration for lobbying.
27 [(4) An individual whose economic consideration for
28 lobbying, from all principals represented, does not exceed
29 $2,500 in the aggregate during any reporting period.
30 (5) An individual who engages in lobbying on behalf of
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1 the individual's employer if the lobbying represents less
2 than 20 hours during any reporting period.
3 (6) Except as required under section 13A05(d), a
4 principal whose total expenses for lobbying purposes do not
5 exceed $2,500 during any reporting period.]
6 (4.1) An individual whose economic consideration for
7 campaign consulting does not exceed $2,500 in the aggregate
8 during any reporting period.
9 (7) An elected State official who acts in an official
10 capacity.
11 (8) An appointed State official acting in an official
12 capacity.
13 (9) An elected or appointed official of a political
14 subdivision who is acting in an official capacity for the
15 political subdivision.
16 (10) An employee of the Commonwealth or an agency of the
17 Commonwealth who is acting in an official capacity for the
18 Commonwealth or agency.
19 (11) An individual representing a bona fide church or
20 bona fide religious body of which the individual is a member
21 where the lobbying is solely for the purpose of protecting
22 the constitutional right to the free exercise of religion.
23 (12) An individual who is not a registered lobbyist and
24 who serves on an advisory board, working group or task force
25 at the request of an agency or the General Assembly.
26 (13) Participating as a party or as an attorney at law
27 or representative of a party, case or controversy in any
28 administrative adjudication pursuant to 2 Pa.C.S. (relating
29 to administrative law and procedure).
30 (14) Expenditures and other transactions subject to
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1 reporting under Article XVI of the act of June 3, 1937
2 (P.L.1333, No.320), known as the Pennsylvania Election Code.
3 (15) Vendor activities under 62 Pa.C.S. §§ 514 (relating
4 to small procurements), 516 (relating to emergency
5 procurements) and efforts directly related to responding to
6 publicly advertised invitations to bid and requests for
7 proposals.
8 § 13A08. Administration.
9 * * *
10 (f) Audits.--The following shall apply:
11 (1) Every two years the Secretary of the Commonwealth
12 shall contract for the services of one or more certified
13 public accountants or certified public accounting firms. The
14 contract shall be awarded in a manner consistent with the
15 provisions of 62 Pa.C.S. Pt. I (relating to Commonwealth
16 Procurement Code), and no certified public accountant or
17 certified public accounting firm shall be eligible to obtain
18 a contract for more than two successive contract periods.
19 (2) The secretary shall randomly select, at a public
20 drawing 60 days following the close of each fourth quarter
21 reporting period, 3% of all completed registrations and
22 expense reports filed with the department under this chapter.
23 (3) The certified public accountant shall conduct [the]
24 financial and performance audits in accordance with generally
25 accepted auditing standards and shall test as to whether each
26 registration or expense report is materially correct.
27 [(4) The audit report and findings shall be
28 confidential, except that the department shall make an audit
29 report and findings available to the commission if the
30 commission is investigating an alleged violation of this
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1 chapter involving the audited registration or expense report.
2 The commission shall include the relevant portion of an audit
3 as part of its findings of fact in a commission order which
4 results from an investigation arising out of an audit.]
5 (4.1) The audit reports and findings shall be made
6 public. The commission shall determine whether a report of
7 adverse findings warrants enforcement or remedial action
8 under the provisions of this chapter.
9 (5) Nothing in this subsection shall limit the authority
10 of the Department of Revenue under Article IV of the act of
11 March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
12 1971, to conduct audits to determine compliance with
13 applicable tax laws.
14 * * *
15 (j) Inflation adjustment.--On a biennial basis commencing in
16 January 2009, the department shall review the threshold under
17 section 13A06 (relating to exemption from [registration and]
18 reporting) for registration under section 13A04 (relating to
19 registration) and the threshold for reporting under section
20 13A05(d) (relating to reporting) and shall increase these
21 amounts to rates deemed reasonable for assuring appropriate
22 disclosure. On a biennial basis commencing in January 2009, the
23 department shall review the filing fee established under section
24 13A10 (relating to registration fees; fund established; system;
25 regulations) and may by regulation adjust this amount if the
26 department determines that a higher fee is needed to cover the
27 costs of carrying out the provisions of this chapter. The
28 department shall publish adjusted amounts in the Pennsylvania
29 Bulletin by June 1, 2009, and by June 1 every two years
30 thereafter as necessary.
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1 * * *
2 Section 5. This act shall take effect in 180 days.
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Statutes/Laws affected: Printer's No. 1001: 65-13, 65-03