BILL NUMBER: AB 1200 AMENDED
BILL TEXT
AMENDED IN SENATE AUGUST 26, 2015
AMENDED IN SENATE JUNE 30, 2015
AMENDED IN ASSEMBLY MAY 19, 2015
AMENDED IN ASSEMBLY APRIL 7, 2015
INTRODUCED BY Assembly Member Gordon
FEBRUARY 27, 2015
An act to amend Section 82002 of, and to add Section
86205.5 to, Sections 82002 and 82039 of the
Government Code, relating to the Political Reform Act of 1974.
LEGISLATIVE COUNSEL'S DIGEST
AB 1200, as amended, Gordon. Political Reform Act of 1974:
lobbying: procurement contracts.
Existing provisions of the Political Reform Act of 1974 regulate
the activities of lobbyists, lobbying firms, and lobbyist employers
, as defined, in connection with attempts to
influence legislative and administrative action by legislative and
other state officials, including requirements that lobbyists,
lobbying firms, and lobbyist employers register and file periodic
reports with the Secretary of State. The act also prohibits
a lobbyist or lobbying firm from engaging in certain activities,
including, among others, accepting any payment that is contingent
upon the defeat, enactment, or outcome of any proposed legislative or
administrative action. For purposes of these provisions,
"administrative action" is defined to include the proposal, drafting,
development, consideration, amendment, enactment, or defeat by any
state agency of any rule, regulation, or other action in any
ratemaking proceeding or any quasi-legislative proceeding.
For purposes of these provisions, "lobbyist" is defined, in
part, as an individual who receives $2,000 or more in economic
consideration in a calendar month, or whose principal duties as an
employee are, to communicate with specified officials for the purpose
of influencing legislative or administrative action.
This bill would additionally define the term "administrative
action" to include governmental procurement, which would be defined
to include various actions regarding a state procurement contract for
which the total estimated cost exceeds $250,000, thereby making the
above-described lobbying requirements applicable to actions that
attempt to influence governmental procurement. The bill would also
exclude certain actions from the definition of "government
procurement," including, among others, submitting a bid or fee
proposal, testifying at a public hearing relating to a procurement
contract, or any activity undertaken by a bona fide salesperson or a
placement agent, as those terms are defined.
This bill would also authorize a lobbyist, other than a placement
agent, to be compensated on a commission basis for lobbying
activities related to influencing administrative action relating to
governmental procurement, as specified.
This bill would revise the definition of "lobbyist" to include
specified conduct by an individual acting on behalf of any person
other than his or her employer for the purpose of influencing
administrative action that is governmental procurement, which is
further defined to include various actions regarding a state
procurement contract for which the total estimated cost exceeds
$250,000, thereby making the above-described lobbying requirements
applicable to the specified attempts to influence governmental
procurement.
Because a willful violation of the act's provisions is punishable
as a misdemeanor, this bill would impose a state-mandated local
program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
The Political Reform Act of 1974, an initiative measure, provides
that the Legislature may amend the act to further the act's purposes
upon a 2/3 vote of each house and compliance with specified
procedural requirements.
This bill would declare that it furthers the purposes of the act.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 82002 of the Government Code is amended to
read:
82002. (a) "Administrative action" means any of the following:
(1) The proposal, drafting, development, consideration, amendment,
enactment, or defeat by any state agency of any rule, regulation, or
other action in any ratemaking proceeding or any quasi-legislative
proceeding, which shall include any proceeding governed by Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2.
(2) With regard only to placement agents, the decision by any
state agency to enter into a contract to invest state public
retirement system assets on behalf of a state public retirement
system.
(3) Governmental procurement.
(b) "Ratemaking proceeding" means, for purposes of a proceeding
before the Public Utilities Commission, any proceeding in which it is
reasonably foreseeable that a rate will be established, including,
but not limited to, general rate cases, performance-based ratemaking,
and other ratesetting mechanisms.
(c) "Quasi-legislative proceeding" means, for purposes of a
proceeding before the Public Utilities Commission, any proceeding
that involves consideration of the establishment of a policy that
will apply generally to a group or class of persons, including, but
not limited to, rulemakings and investigations that may establish
rules affecting an entire industry.
(d) (1) "Governmental procurement" means any of the following with
respect to influencing a state procurement contract for
which the total estimated cost exceeds two hundred fifty thousand
dollars ($250,000):
(A) Preparing the terms, specifications, bid documents, request
for proposals, or evaluation criteria for the procurement contract.
(B) Soliciting for the procurement contract.
(C) Evaluating the procurement contract.
(D) Scoring criteria for the procurement contract.
(E) Awarding, approving, denying, or disapproving the procurement
contract.
(F) Approving or denying an assignment, amendment, other than an
amendment authorized and payable under the terms of the procurement
contract as the procurement contract was finally awarded or approved,
renewal, or extension of the procurement contract, or any other
material change in the procurement contract resulting in financial
benefit to the offeror.
(2) "Governmental procurement" does not include any of the
following with respect to a state procurement contract for which the
total estimated cost exceeds two hundred fifty thousand dollars
($250,000):
(A) Submitting a bid or fee proposal on the state procurement
contract that does not involve any activity described in paragraph
(1), including attending a bidders' conference or responding to
requests for information; or responding to a competitive selection
process based on qualifications.
(B) Testifying at a public hearing regarding the state procurement
contract.
(C) Any activity undertaken by a bona fide salesperson of an
article of procurement. For purposes of this subparagraph, a "bona
fide salesperson" is an individual who satisfies all of the
following:
(i) The primary purpose of the individual's employment is the sale
of an article of procurement.
(ii) The primary purpose of the individual's employment is not to
influence the actions of a public officer or state agency, as
described in paragraph (1).
(iii) The individual does not engage in any other activity that
would qualify him or her as a lobbyist.
(D) Any activity undertaken by a placement agent, as that term is
defined in Section 82047.3.
(E) Any activity relating to a contract awarded by the state
through the California Multiple Award Schedule (CMAS) or a contract
awarded through government multi-jurisdiction purchasing schedules.
(2) "Governmental procurement" does not include any activity
undertaken by a placement agent, as that term is defined in Section
82047.3.
SEC. 2. Section 86205.5 is added to the
Government Code, to read:
86205.5. Notwithstanding Section 86205, a lobbyist, other than a
placement agent, may be compensated on a commission basis only with
respect to lobbying activities related to influencing administrative
action for governmental procurement, as defined in subdivision (d) of
Section 82002.
SEC. 2. Section 82039 of the Government
Code is amended to read:
82039. (a) "Lobbyist" means either any
of the following:
(1) Any individual who receives two thousand dollars ($2,000) or
more in economic consideration in a calendar month, other than
reimbursement for reasonable travel expenses, or whose principal
duties as an employee are, to communicate directly or through his or
her agents with any elective state official, agency official, or
legislative official for the purpose of influencing legislative or
administrative action , except for administrative
action that is governmental procurement, as defined in subdivision
(d) of Section 82002 .
(2) A placement agent, as defined in Section 82047.3.
(3) Any individual who receives two thousand dollars ($2,000) or
more in economic consideration in a calendar month, other than
reimbursement for reasonable travel expenses, to communicate directly
or through his or her agents on behalf of any person other than his
or her employer with any elective state official, agency official, or
legislative official for the purpose of influencing administrative
action that is governmental procurement, as defined in subdivision
(d) of Section 82002.
(b) An individual is not a lobbyist by reason of activities
described in Section 86300.
(c) For the purposes of subdivision (a), a proceeding before the
Public Utilities Commission constitutes "administrative action" if it
meets any of the definitions set forth in subdivision (b) or (c) of
Section 82002. However, a communication made for the purpose of
influencing this type of Public Utilities Commission proceeding is
not within subdivision (a) if the communication is made at a public
hearing, public workshop, or other public forum that is part of the
proceeding, or if the communication is included in the official
record of the proceeding.
SEC. 3. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.
SEC. 4. The Legislature finds and declares that this bill furthers
the purposes of the Political Reform Act of 1974 within the meaning
of subdivision (a) of Section 81012 of the Government Code.