HOUSE BILL REPORT

EHB 2655

As Amended by the Senate

BYRepresentatives R. Fisher and Pruitt

Changing reporting requirements for lobbyists and for employers of lobbyists.

House Committe on State Government

Majority Report:  Do pass as amended.  (9)

      Signed by Representatives Todd, Chair; Anderson, Vice Chair; McLean, Ranking Republican Member; R. Fisher, Hankins, R. King, Morris, O'Brien and Silver.

House Staff:Kenneth Hirst (786-7105)

AS PASSED HOUSE FEBRUARY 7, 1990

BACKGROUND:

Lobbying.  The public disclosure laws define "lobbying" as attempts to influence the passage or defeat of any state legislation or the adoption or rejection of any rule or similar act of a state agency under the Administrative Procedure Act.  Although persons who lobby are required to register with the Public Disclosure Commission, exemptions from this requirement are established by law for a number of lobbying activities.  Registered lobbyists must file monthly reports with the commission.  Employers of lobbyists must file annual reports with the commission.

In 1987, the Legislature enacted legislation expressly requiring registered lobbyists and employers of lobbyists to report their expenses for the following activities:  the development of legislation or rules, the development of support for or opposition to legislation or rules, and attempts to influence the development of legislation or rules.

Grass Roots Lobbying.  Special monthly reports regarding expenditures for grass roots lobbying must also be filed with the commission.  (Grass roots lobbying is lobbying directed at the public but which is designed to influence legislation.)  If the expenditures would otherwise be contained in other reports that must be filed with the commission, these special monthly reports are not required.

SUMMARY:

Lobbying.  Provisions of the public disclosure law are repealed that expressly require lobbyists and their employers to report expenditures for the development of legislation or rules, the development of support for or opposition to legislation or rules, and attempts to influence the development of legislation or rules.  An association's or organization's act of communicating with the members of that association or organization does not constitute lobbying.

Contributions by a Lobbyist's Employer.  The employer of a registered lobbyist must file a special report with the Public Disclosure Commission (PDC) if the employer makes contributions aggregating more than $100 during a calendar month to any one of the following:  a candidate, political committee, elected official, or agency officer or employee.  The report must be filed within 15 days of the end of the month during which the contributions were made.  This reporting requirement does not apply if the contributions were made through a registered lobbyist.

Grass Roots Lobbying.  Grass roots lobbying expressly includes expenditures made by a public utility for a program that is primarily for influencing legislation and that is directed at any large portion of the utility's subscribers.

The annual report of a lobbyist's employer may no longer be used for reporting grass roots lobbying in lieu of filing a grass roots lobbying report with the PDC.

EFFECT OF SENATE AMENDMENTS:  The amendments remove from the bill provisions declaring that "grass roots" lobbying includes expenditures by a public utility for a program for influencing legislation that is directed at any large portion of the utility's subscribers.

Fiscal Note:      Available.

House Committee ‑ Testified For:    Jim Justin, Washington Association of Cities; and Graham Johnson, Public Disclosure Commission (in part).

House Committee - Testified Against:      Graham Johnson, Public Disclosure Commission (in part).

House Committee - Testimony For:    Just what constitutes the "development" activities for which reporting is required under the 1987 amendments has been difficult to define. For an association such as the Association of Cities, it may include all of the background work done for a convention and convention activities even on proposals that are not adopted by the convention.

House Committee - Testimony Against:      (1) Grass roots lobbying should always be reported separately; none of the other reports required under the disclosure laws should be used in lieu of a grass roots lobbying report.  (2) Grass roots lobbying should include programs directed at any segment of the general public.

VOTE ON FINAL PASSAGE:

      Yeas 91; Absent 4; Excused 3

Absent:     Representatives Basich, King R., Meyers R., Sayan.

Excused:    Representatives Appelwick, Gallagher, O'Brien.