H.B. No. 266 introduces a new provision to the Government Code, specifically adding Section 305.0301, which prohibits lobbyists from representing certain clients. Under this new section, lobbyists, referred to as registrants, are barred from representing clients that include political subdivisions that impose taxes, members of the governing bodies of such political subdivisions, and nonprofit associations or organizations that primarily represent these entities. The bill aims to prevent potential conflicts of interest and ensure ethical lobbying practices.

The new regulation will only apply to contracts for representation entered into on or after the effective date of the Act, which is set to take effect 91 days after the conclusion of the legislative session. This measure is intended to enhance transparency and accountability in lobbying activities related to governmental entities that have taxing authority.

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