N.J. Admin. Code § 19:25-20.11
Current through Register Vol. 56, No. 24, December 18, 2024
Section 19:25-20.11 - Expenditures(a) The following expenditures of a represented entity or governmental affairs agent, which relate to communication with, or providing benefits to, any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch, which relate to influencing legislation, regulations, or governmental processes, or to communication with the general public, shall be reported in the annual report, and shall be listed in the aggregate by category: 1. Fees, allowances, retainers, salary or other compensation paid by a represented entity to a governmental affairs agent. Compensation required to be reported pursuant to this paragraph shall be detailed as to amount, to whom paid and for what purpose and shall include consulting, legal or other fees, for services performed or to be performed, as well as expenses incurred in rendering such services. In the case of a volunteer, the above calculation shall not include any calculation of the value of the time for such volunteer, but shall include only that amount reimbursed to the volunteer for expenditures related to activities to influence legislation, influence regulation, influence governmental processes, or related to communication with the general public on behalf of the represented entity.2. Pro rata share of salary or other compensation paid to an employee of any organization whose activities on behalf of that organization qualify him or her as a governmental affairs agent. Example 1: Jones engages in lobbying activity in New Jersey and Pennsylvania for ABC Corporation. He spends one-half of his time in lobbying activity in New Jersey. Jones' total salary, as reported on his W-2 form, is $ 30,000 per year. Since more than 20 hours of his time is spent on lobbying in New Jersey, Jones is a governmental affairs agent for ABC Corporation and one-half of his salary, $ 15,000, is allocable to lobbying. ABC Corporation is a reporting represented entity and must include this amount as an expense.
Example 2: Smith, another ABC Corporation employee, has spent less than 20 hours of his time on direct lobbying on behalf of his employer, and, therefore, none of his salary is reportable by ABC Corporation.
3. Contributions or membership fees or dues paid by the represented entity, except that such contributions or fees shall not be deemed to be related to influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public, for the purpose of reporting under the Act and this subchapter unless made to a governmental affairs agent with the specific intent to influence legislation, influence regulation, influence governmental processes, or conduct communication with the general public or unless made to a represented entity whose major purpose is to engage in influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public. For the purpose of this paragraph, a represented entity shall be deemed to be engaged in influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public as its major purpose for any calendar year in which expenditures related to such activity constitute more than 50 percent of its total expenditures for all purposes. Such contributions, fees and dues (other than those made with the specific intent to influence legislation, or influence regulation) made by a represented entity to an organization, association or union, shall be reportable hereunder in the same proportion as the activities of the organization, association or union are related to influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public. Contributions, fees or dues made with the specific intent to influence legislation, influence regulation, influence governmental processes, or conduct communication with the general public, or all of the foregoing, shall be reported in full. Contributions, fees or dues required to be reported pursuant to this paragraph shall be reported in the aggregate, along with the name of any organization, association or union to whom the represented entity made a contribution in excess of $ 100.00 for the calendar year (when allocated as set forth above) as well as the date of each contribution, fee or dues.4. Costs of preparation and distribution of material related to influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public, and paid for by a represented entity or governmental affairs agent, including all disbursements for preparation and distribution of printed materials, correspondence, flyers, publications, films, slides, audio and video recordings and video tapes.5. Travel and lodging related to influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public, for the governmental affairs agent.6. Allocated cost of support personnel for the represented entity or governmental affairs agent. The allocated cost of any support personnel for the represented entity or governmental affairs agent shall be included hereunder if, in relation to the usual duties of their employment, such personnel, individually, spend, over the course of the reporting year 450 hours in activity supporting the activity of the represented entity or governmental affairs agent in influencing legislation, influencing regulation, influencing governmental processes, or conducting communication with the general public. The term "support personnel" shall include costs related to the communication by an expert or employee, other than a governmental affairs agent, when the communication is made in the company of a governmental affairs agent for the sole purpose of providing technical or expert advice. Example: Smith is in the government affairs department of ABC Corporation, a reporting represented entity, and spends all of her time engaged in activity related to lobbying. Brown, her secretary, spends his time doing work supporting Smith's activities. Jones, an analyst in the financial department at ABC Corporation, spends 50 percent of his time analyzing legislation for Smith and preparing memoranda to be used in Smith's lobbying activity. King, an attorney in ABC's legal department, does some drafting of proposed legislation for Smith. Over the course of the year, however, this accounts for less than 450 hours of his time at work. Ford spends one-third of her time preparing testimony on governmental processes for Smith. ABC Corporation, in its annual report, must include Smith's full salary (under (a)2 above), as well as Brown's full salary, one-half of Jones' salary, and one-third of Ford's full salary, as the cost of support personnel. None of King's salary will have to be included on ABC's report.
(b) The following expenditures of a represented entity or governmental affairs agent which relate to communication with, or providing benefits to, any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch ("benefit recipient") shall be reported in the Annual Report and shall be listed in the aggregate by category, except that if the aggregate expenditures on behalf of any benefit recipient exceed $ 25.00 per day, or exceed $ 200.00 per calendar year, the expenditures, together with the name and office held of the intended recipient of the benefit, shall be stated in detail and shall include the date and type of each expenditure providing a benefit, and either the reasonable commercial value of the benefit as provided in N.J.A.C. 19:25-20.1 2 with a description of the benefit sufficient for determining its reasonable commercial value, or if the cost is greater than the reasonable commercial value, the cost of the benefit to the represented entity or governmental affairs agent and the name and address of any person or entity to whom the represented entity or governmental affairs agent incurred any cost or obligation for providing the benefit. 1. Entertainment, including, but not limited to, disbursements for sporting, theatrical, and musical events provided to any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch, and paid for by a represented entity or governmental affairs agent.2. Food and beverages provided to any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch, paid for by a represented entity or governmental affairs agent. Also included are payments by represented entities or governmental affairs agents for food or beverages for any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch at conferences, conventions, banquets or other similar functions. This paragraph shall not apply to the food and beverages provided to an invited speaker who is a member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch, when the food and beverages are provided to all persons who attend the convention, banquet, or other similar function. "Invited speaker" shall mean a person who is announced as a speaker in advance of the convention, banquet, or other similar function, and shall not include a person who is merely identified and introduced to persons attending the event.3. Travel and lodging expenses paid for or provided by a represented entity or governmental affairs agent on behalf of any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch.4. Honoraria paid to any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch by a represented entity or governmental affairs agent.5. Loans to any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch from a represented entity or governmental affairs agent except for loans from financial institutions made in the ordinary course of business on substantially the same terms as those prevailing for comparable transactions with other persons.6. Allocated cost of support personnel for the lobbyist or legislative agent. The allocated cost of any support personnel for the lobbyist or legislative agent shall be included hereunder if, in relation to the usual duties of their employment, such personnel, individually, spend, over the course of the reporting year 450 hours in activity supporting the activity of the lobbyist or legislative agent in influencing legislation, or influencing regulation.(c) For purposes of reporting under the Act or this subchapter, when an expenditure included in (b) above is made to a member of the immediate family of any member of the Legislature, legislative staff, the Governor, the Governor's staff, or an officer or staff member of the Executive Branch, such expenditure shall be deemed to be made on behalf of the member of the Legislature, legislative staff, the Governor, the Governor's staff, or the officer or staff member of the Executive Branch whose family member received it. A member of the immediate family shall mean a spouse, child, parent, or sibling residing in the same household, or any dependent children.N.J. Admin. Code § 19:25-20.11
Amended by R.1992 d.32, effective 1/21/1992.
See: 23 N.J.R. 3077(a), 24 N.J.R. 298(a).
Recodified from 19:25-20.7. Revised text. Prior text at section "Responsibilities for filing annual reports: certification" recodified to 19:25-20.15.
Amended by R.1992 d.459, effective 11/16/1992.
See: 24 N.J.R. 3031(a), 24 N.J.R. 4277(a).
Revised (b) and (c).
Amended by R.1997 d.420, effective 10/6/1997.
See: 29 N.J.R. 2809(a), 29 N.J.R. 4302(a).
In (b) and (c), substituted reference to benefits recipient for reference to legislative office holders and staff; in (b), amended information to be listed on Annual Report; and in (b)1 through 6, amended to include items "provided".
Amended by R.2003 d.239, effective 6/16/2003.
See: 35 N.J.R. 1209(a), 35 N.J.R. 2739(b).
Rewrote (b)2.
Amended by R.2005 d.427, effective 12/5/2005 (operative date of January 1, 2006).
See: 37 N.J.R. 2838(a), 37 N.J.R. 4559(a).
Rewrote (a) and (c); substituted "governmental affairs" for "legislative" throughout.
Amended by R.2007 d.230, effective 8/6/2007.
See: 39 N.J.R. 626(a), 39 N.J.R. 3409(a).
In the introductory paragraph of (a), inserted a comma following "agent", deleted "or" following "Executive Branch,", and inserted "legislation, regulations, or".
Amended by R.2012 d.205, effective 12/17/2012.
See: 44 N.J.R. 2049(a), 44 N.J.R. 3077(a).
Substituted "represented entity" for "lobbyist" throughout; in (b)1, inserted a comma following "theatrical"; and in (b)2, substituted "represented entities" for "lobbyists".