HB4631 103RD GENERAL ASSEMBLY

LRB103 38537 JAG 68673 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4631

Introduced 1/31/2024, by Rep. Maurice A. West, II

SYNOPSIS AS INTRODUCED:

25 ILCS 170/3

from Ch. 63, par. 173

Amends the Lobbyist Registration Act. Exempts from registration under the Act persons or entities that (i) communicate with officials solely for the purpose of discussing and negotiating economic incentive agreements and awards provided through various specified statutory provisions, statutory funds, and local government programs and (ii) do not make expenditures that are reportable under the Act. Specifies that the exemption does not apply if a person or entity performs any other actions that would require registration under the Act.

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Lobbyist Registration Act is amended by changing Section 3 as follows:

(25 ILCS 170/3) (from Ch. 63, par. 173)

Sec. 3. Persons required to register.

(a) Except as provided in Section 9, any natural person who, for compensation or otherwise, undertakes to lobby, or any person or entity who employs or compensates another person for the purposes of lobbying, shall register with the Secretary of State as provided in this Act, unless that person or entity qualifies for one or more of the following exemptions.

(1) Persons or entities who, for the purpose of influencing any executive, legislative, or administrative action and who do not make expenditures that are reportable pursuant to Section 6, appear without compensation or promise thereof only as witnesses before a legislative committee for the purpose of explaining or arguing for or against the passage of or action upon any legislation, ordinance, or regulation then pending before the committee, or who seek without compensation or promise thereof the approval or veto of any legislation or ordinance.

(1.4) A unit of local government, State government, or agencies, departments, commissions, boards, or task forces thereof.

(1.5) An elected or appointed official or an employee of a unit of local government who, in the scope of his or her public office or employment, seeks to influence executive, legislative, or administrative action exclusively on behalf of that unit of local government.

(2) Persons or entities who own, publish, or are employed by a newspaper or other regularly published periodical, or who own or are employed by a radio station, television station, or other bona fide news medium that in the ordinary course of business disseminates news, editorial or other comment, or paid advertisements that directly urge the passage or defeat of legislation. This exemption is not applicable to such an individual insofar as he or she receives additional compensation or expenses from some source other than the bona fide news medium for the purpose of influencing executive, legislative, or administrative action. This exemption does not apply to newspapers and periodicals owned by or published by trade associations and not-for-profit corporations engaged primarily in endeavors other than dissemination of news.

(3) Persons or entities performing professional services in drafting bills or in advising and rendering opinions to clients as to the construction and effect of proposed or pending legislation when those professional services are not otherwise, directly or indirectly, connected with executive, legislative, or administrative action.

(4) Persons or entities who are employees of departments, divisions, or agencies of State or local government for the purpose of explaining how the executive, legislative, or administrative action will affect those departments, divisions, or agencies of State or local government.

(5) Employees of the General Assembly, legislators, legislative agencies, and legislative commissions who, in the course of their official duties only, engage in activities that otherwise qualify as lobbying. Legislators whose activities are limited to occasional communications with an official of a unit of local government on behalf of their employer in the ordinary course of their non-public employment where (1) the primary duties of the employment are not to influence executive, legislative, or administrative action and (2) the legislator does not make any expenditures that are reportable pursuant to Section 6.

(6) Persons or entities in possession of technical skills and knowledge relevant to certain areas of executive, legislative, or administrative actions, whose skills and knowledge would be helpful to officials when considering those actions, whose activities are limited to making occasional appearances for or communicating on behalf of a registrant, and who do not make expenditures that are reportable pursuant to Section 6 even though receiving expense reimbursement for those occasional appearances.

(7) Any full-time employee of a bona fide church or religious organization who represents that organization solely for the purpose of protecting the right of the members thereof to practice the religious doctrines of that church or religious organization, or any such bona fide church or religious organization.

(8) Persons or entities that receive no compensation other than reimbursement for expenses of up to $500 per year while engaged in lobbying, unless those persons make expenditures that are reportable under Section 6.

(9) Any attorney or group or firm of attorneys (1) in connection with the practice of law or (2) in the course of representing a client in relation to any administrative, judicial, quasi-judicial proceeding, or any witness providing testimony in any administrative, judicial, or quasi-judicial proceeding, and who does not make expenditures that are reportable pursuant to Section 6.

(9.5) Any attorney or group or firm of attorneys in the course of representing a client in an administrative or executive action involving a contractual or purchasing arrangement and who does not make expenditures that are reportable pursuant to Section 6.

(10) Persons or entities who, in the scope of their employment as a vendor, offer or solicit an official for the purchase of any goods or services when (1) the solicitation is limited to either an oral inquiry or written advertisements and informative literature; or (2) the goods and services are subject to competitive bidding requirements; or (3) the goods and services are for sale at a cost not to exceed $5,000; and (4) the persons or entities do not make expenditures that are reportable under Section 6.

(11) Persons or entities that (i) communicate with officials solely for the purpose of discussing and negotiating economic incentive agreements or awards made under or through the Reimagining Energy and Vehicles in Illinois Act; Section 605-1025 of the Department of Commerce and Economic Opportunity Law; the Manufacturing Illinois Chips for Real Opportunity (MICRO) Act; the Economic Development for a Growing Economy Tax Credit Act; the Illinois Enterprise Zone Act; the Invest in Illinois Act; the Community Development/Small Cities Block Grant Fund; the Workforce, Technology, and Economic Development Fund; the Film Production Services Tax Credit Act of 2008; the Historic Preservation Tax Credit Act; River Edge Redevelopment Zone Act; the County Economic Development Project Area Tax Increment Allocation Act of 1991; the Economic Development Project Area Tax Increment Allocation Act of 1995; the Economic Development Area Tax Increment Allocation Act; or any other statutory provision, statutory fund, or local government program through which economic incentives are provided to encourage businesses to expand or relocate operations in Illinois and (ii) do not make expenditures that are reportable pursuant to Section 6. If a person or entity performs any other actions that would require registration under this Section, that person or entity must register with the Secretary of State as set forth in Section 3, regardless of the exemption created under this paragraph (11).

(a-5) If, in the course of providing services as a consultant, the consultant communicates with an official on behalf of the lobbyist or lobbying entity for the ultimate purpose of influencing any executive, legislative, or administrative action, or makes an expenditure on behalf of or benefiting an official, the consultant shall register as a lobbyist within 2 business days of engaging in the communication with the official or making the expenditure benefiting the official.

(b) It is a violation of this Act to engage in lobbying or to employ any person for the purpose of lobbying who is not registered with the Office of the Secretary of State, except upon condition that the person register and the person does in fact register within 2 business days after being employed or retained for lobbying services.

(c) The Secretary shall promulgate a rule establishing a list of the entities required to register under this Act, including the name of each board, commission, authority, or task force. The Secretary may require a person or entity claiming an exemption under this Section to certify the person or entity is not required to register under this Act. Nothing prohibits the Secretary from rejecting a certification and requiring a person or entity to register.

(Source: P.A. 102-664, eff. 1-1-22.)