The bill, H.B. No. 174, introduces a new provision to the Government Code that prohibits lobbyists from representing both political subdivisions and private entities simultaneously. Specifically, it adds Section 305.0301, which defines "political subdivision" and states that a registrant (lobbyist) cannot represent a political subdivision that imposes a tax if they are also representing a private entity or person. This aims to prevent conflicts of interest and ensure that lobbyists do not have divided loyalties between public and private clients.

The new regulation will only apply to contracts for representation entered into after the bill's effective date, which is set for the 91st day following the end of the legislative session. This means that any existing contracts prior to this date will not be affected by the new prohibition. The bill seeks to enhance transparency and integrity in lobbying practices within the state of Texas.

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