Municipal Lobbying Compliance: Everything You Need to Know

You’ve submitted your state and federal lobbying reports, but that doesn’t mean you’re quite off the hook for all of your lobbying compliance obligations. Have you met with a city council member? Or communicated with a mayor? You may have to register and report at the municipal level! Localities are easy to overlook, but they can offer their own maze of lobbying regulations. In some states, your activity at the local level must be reported on your state reports. However, some municipalities, just like states, have their own registration and reporting requirements. As with the federal and state levels, you can face fines and legal trouble for missing a deadline or failing to report correctly.

Why do some localities have their own reporting systems? It all goes back to state law. Some states include local lobbying activity in their lobbying regulations. Municipalities may not have the authority to establish their own lobbying laws or they may choose not to impose additional reporting requirements. In that case, local lobbying is only reported at the state level. For instance, in Minnesota lobbyist is defined as an individual who is compensated or spends more than $3,000 a year to “influence legislative or administrative action, or the official action of a political subdivision” through communication with public officials (Minn. Stat. § 10A.01). Correspondingly, if you try to influence the vote of a Minneapolis City Council Member, you must submit relevant expenditures to the state on bi-annual lobbyist disbursement reports. 

On the other hand, some states delegate authority over municipal lobbying to localities. Governments in these localities may then choose to regulate lobbying in order to support transparency and integrity in local government. Interestingly, the Texas Constitution does not allow counties to regulate lobbying, but it does grant such authority to cities and towns with populations of 5,000 or more. Thus, while Texas lobbying law does not include local lobbying, some cities such as Houston have their own reporting systems. If you communicate with a Houston council member to influence the passage of an ordinance, you have to register as a lobbyist in Houston and submit quarterly expenditure reports but do not have to register in Texas assuming you have no lobbying activity at the state level. 

Similarly, California does not acknowledge municipalities in its state lobbying law, and a number of cities and counties have adopted their own ordinances. In Los Angeles County, lobbyists who are compensated to communicate with county officials to attempt to influence official action and their employers must register in the county and submit quarterly reports disclosing compensation and expenses. In the City of Los Angeles, individuals compensated to spend more than 30 hours in a three-month period lobbying city officials and their employers must register with the City Ethics Commission and submit separate quarterly reports. Other prominent cities that only require local lobbying reporting at the municipal level include Denver, Seattle, Philadelphia, and Baltimore. 

And it can go beyond cities and counties. Municipal lobbying can include various niche political subdivisions from towns to school districts. For example, in addition to the city and county, the Los Angeles Unified School District also regulates lobbying. Individuals who spend more than 30 hours in a calendar quarter to influence any action under consideration by school district officials must register as lobbyists. So must organizations that receive any compensation from a client to engage in lobbying activities or spend $10,000 or more in a year to engage in lobbying activities on their own behalf. Following registration, organizations must submit quarterly disclosure reports showing payments and expenditures. It doesn't end there in Los Angeles. Compensated lobbyists and their employers who attempt to influence action of the Los Angeles County Metropolitan Transportation Authority (Metro) must register through the Metro Ethics Department ten days after qualifying as a lobbyist or employer, including a $40 or $75 fee. Additionally, they must file quarterly reports detailing expenses and contributions.

Likewise, lobbyists in Broward County, Florida should have not only Broward County regulations on their radar but also those of Broward Health, a public hospital system. A hospital system having lobbying regulations might seem out of left field, but Broward Health requires anyone who attempts to lobby its District Board of Commissioners or any of their employees to register with the District. Lobbyists must pay a $40 registration fee for each client the lobbyist represents. Additionally, the lobbyist must submit a yearly statement of expenditures. To make compliance even trickier, all forms must be physically mailed to Broward Health Corporate Offices. Similarly, in Miami-Dade County, lobbyists and vendors should be aware of Jackson Health System. Jackson Health System’s governing body, the Public Health Trust, was created by Miami-Dade County’s Board of County Commissioners. Resultantly, anyone who attempts to influence official action of the Public Health Trust or any Jackson Memorial Hospital employee must register as a Miami-Dade County lobbyist, including a $490 registration fee and mandatory ethics training. 

Finally, states can also regulate local lobbying in tandem with localities. New York State regulates attempts to influence local laws, ordinances, and more in municipalities with a population of more than 5,000 people. Employed or retained lobbyists and lobbyist clients making or spending more than $5,000 must report this activity in addition to compensation and expenses on bi-monthly and semi-annual state reports. However, even though this activity gets reported on state reports, localities like New York City have their own reporting systems with similar thresholds to the state. Lobbyists employed or designated to lobby in New York City who make or spend more than $5,000 must register and submit separate bi-monthly reports disclosing compensation, expenses, and lobbying activity to the city. Clients employing or retaining lobbyists in New York City must submit annual reports disclosing their retained lobbyist’s compensation.

Need Municipal Lobbying Compliance Help?

Keeping up with rules, deadlines, and often confusing requirements is a daunting prospect for teams of all sizes. Let us manage your federal, state, and local registration and reporting responsibilities, or manage your Campaign Finance program. Read more about our Compliance Services here, or get in touch here.