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Lawmakers define exemptions for lobbyist disclosure

NASHVILLE, Tenn. Copyright 2005 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. — Volunteer and incidental lobbyists would be exempt from registration and disclosure requirements under the latest changes to a sweeping ethics bill.

Lawmakers in both chambers wrapped up the third week of the special session Thursday by moving their bills closer to a floor debate. Legislative leaders expressed hope that the two versions will start to more closely resemble each other as they near combination into a single bill.

The House Budget Subcommittee tightened some bill provisions and loosened others while consolidating dozens of changes proposed earlier into a single 28-page amendment. The bill will make its last committee stop next week before moving to the full House.

The measure was changed to set aside two groups of lobbyists who wouldn’t have to register: those whose lobbying activity is incidental to their regular employment and volunteers reimbursed only for their expenses up to $500 a year.

The changes were advanced after the state Chamber of Commerce and Industry expressed its opposition to the original bill’s requirement of disclosure for all lobbyists and their employers. The chamber has said those requirements would be “a government intrusion into private business that serves no public purpose.”

The trade association representing about 1,500 companies also said the measure could block access to lawmakers for some businesses not wishing to fall under the new disclosure rules.

House Speaker Jimmy Naifeh said he agreed that “we should not cut off access from these different constituencies in any way.”

But the Covington Democrat added that disclosure is one of the main purposes of the bill.

“Very simply put, I believe the public wants to know where money comes from and where the money goes,” Naifeh said.

Chamber President Deb Woolley called the new version of the bill “a positive step forward.”

“I’m pleased that they are addressing the many concerns we have,” she said.

Lobbyist disclosures are one of three main aspects of the ethics bill, which also includes proposals to create an independent ethics commission and to change campaign finance rules.

Gov. Phil Bredesen called the special session in response to last year’s Tennessee Waltz sting operation that led to five sitting and former lawmakers being charged with taking payoffs from undercover agents posing as lobbyists.

Dick Williams, director of watchdog group Tennessee Common Cause, said he remains concerned by the difference between incidental and volunteer lobbyists.

“Somebody could come up here for an hour or two every day of the session and be an effective lobbyist while still being considered incidental,” Williams said. “At the same time, somebody who spends $501 a year on parking and travel would have to register as a lobbyist.”

Other changes advanced in the House would limit contributors’ cash donations to $50 and would allow lobbyists to hold fundraisers for lawmakers but only outside their offices or homes.

A controversial proposal to allow lawmakers to accept up to $50 in meals and drinks from lobbyists’ employers was amended to limit those expenditures to when lawmakers are not collecting their $150 daily expense. But the change stripped out a provision requiring disclosure of what was spent.

In the Senate, the bill was amended to allows groups like nurse or Realtor associations receiving reimbursement for their travel to visit a lawmaker without having to register as a lobbyist.

“The amendment had been drawn so tightly that if a 4-H club came to Nashville to speak to us about an issue and their expenses were reimbursed, then they would have to register as lobbyists,” said Senate Majority Leader Ron Ramsey, the amendment’s sponsor. “This leaves the definition of lobbyist as it was before.”

Ramsey, R-Blountville, said he hopes the Senate can finish its committee review of the ethics bill Monday and hold a floor vote Tuesday.

“The governor has scheduled the State of the State address a week from Monday, and we definitely want to be finished by then,” Ramsey said.

Naifeh also expressed hope to finish soon but said state representatives have no set deadline.

“There’s no magic date for the governor giving that speech,” he said. “If we have to change it, we’re just going to have to change it.”

A glance at changes to the ethics bill
A bill to tighten ethics laws in Tennessee is being considered by a special session of the General Assembly.

A House subcommittee on Thursday advanced a version of the bill that combined several dozen previous changes into a single 28-page amendment. The changes include:

— Raising the cash campaign contribution limit to $50 per contributor per campaign. The original bill would have banned all cash contributions. Existing law allows $1,000.

— Creating disclosure exceptions for incidental and volunteer lobbyists.

— Limiting “wining and dining” of lawmakers by employers of lobbyists to $50 per event and $100 a year. Lobbyists would not be allowed to attend, and lawmakers could only accept meals and drinks on days they are not collecting their $150 expense checks. Removes disclosure requirement.

— Prohibiting lobbyists from hosting fundraisers for lawmakers in their homes or offices, but permits fundraisers held elsewhere.

— Requiring a reason for the ethics commission to audit lobbyists’ employers instead of randomly auditing 2 percent of them a year.

The Senate on Thursday advanced the following changes:

— Creating disclosure exceptions for volunteer lobbyists.

— Subjecting lobbyists and legislators to the same fines from the ethics commission.

— Requiring each multi-candidate political campaign committee to pay a registration fee with the Registry of Election Finance within 15 days of certifying its treasurer.

— Allowing the registry to decide how political action committees should reimburse corporations.

— Prohibiting fundraising during any regular or special session.

— Requiring disclosure of any income over $200 held in a retirement or deferred compensation plan.

— Placing the governor under the same restrictions as lawmakers for receiving contributions to repay a campaign loan.

— Having the ethics commission establish registration fees for employers of lobbyists based on the number of lobbyists they employ.

— Requiring lawmakers to post their expense and mileage information on the General Assembly Web site.

— Allowing complainants to the ethics commission not to have to cite the law or the rule of the alleged violation.

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HB7001/SB7001 and SB7003 at: http://www.legislature.state.tn.us/

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