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2019 Ethics and Lobbying in New York State

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2019 Ethics and Lobbying in New York State Ethics & Lobbying in New York State State York New in & Lobbying Ethics The Joint Commission on Public Ethics (“JCOPE”) oversees New York State’s ethics and lobbying laws. JCOPE provides information, education, and advice A Comprehensive Guide Guide A Comprehensive about ethics and lobbying laws, issues formal and informal advisory opinions, promulgates regulations on the applicable laws, and promotes compliance through audits, investigations, and enforcement proceedings. This book will serve as a reference volume for practitioners and researchers, with extensive background on ethics and lobbying laws in New York. 2019 Edition Ethics & Lobbying NYS JOINT COMMISSION ON PUBLIC ETHICS NYS JOINT COMMISSION in New York State A Comprehensive Guide 2019 EDITION THE NEW YORK STATE JOINT COMMISSION ON PUBLIC ETHICS 540 Broadway | Albany, New York 12207 NYS JOINT COMMISSION ON PUBLIC ETHICS (800) 87-ETHICS (38442) www.jcope.ny.gov .397 in Content Type: Black & White Paper Type: White (Text: 443 ppi) Page Count: 176 ETHICS & LOBBYING IN NEW YORK STATE A Comprehensive Guide 2019 EDITION NYS JOINT COMMISSION ON PUBLIC ETHICS NEW YORK STATE JOINT COMMISSION ON PUBLIC ETHICS The Commission Michael K. Rozen, Chair Robert Cohen James E. Dering Colleen C. DiPirro William P. Fisher Julie A. Garcia Daniel J. Horwitz Marvin E. Jacob Gary J. Lavine James W. McCarthy David J. McNamara George H. Weissman James A. Yates 540 Broadway • Albany, NY 12207 Phone: (518) 408-3976 www.jcope.ny.gov Hotline: 1-800-87-ETHICS (38442) Managing Editor: Pei Pei Cheng-de Castro Editors: Monica Stamm, Walter McClure, and Katherine Santandrea Contributing Writers: Seth Agata, Kavita Bhatt, Stephanie Blattmachr, Pei Pei Cheng-de Castro, Meghann Hennigan-Cohen, Melinda Funk, Martin Levine, Erin Lynch, Carol Quinn, Leah Ramos, Michael Sande, Monica Stamm, and Keith St. John ©2019 by NYS Joint Commission on Public Ethics Cover and Interior Design: Kathi Georges Set in Adobe Garamond TABLE OF CONTENTS BRIEF HISTORY OF ETHICS LAWS IN NEW YORK STATE ................ 1 A. Constitutional Roots .............................................. 3 B. Moreland Commissions and Early Lobbying Reform ..................... 4 C. Governor Dewey and the First Code of Ethics .......................... 7 D. Governor Rockefeller’s Attempts at Reform............................. 8 E. Post-Watergate Era and Governor Carey ...............................10 F. Governor Mario Cuomo and the First Comprehensive Statutory Ethics Regimen ..............................12 G. The Public Employee Ethics Reform Act of 2007 ........................15 H. Governor Andrew Cuomo: Ethics Reform from 2011 through 2016..........18 ETHICS ENFORCEMENT OVERVIEW ..................................23 A. Jurisdiction and Authority ..........................................23 B. The Agency .....................................................25 INVESTIGATIONS AND ENFORCEMENT . 27 A. Introduction .....................................................27 B. Procedure .......................................................27 C. Guidance Letters .................................................29 D. Enforcement Partners ..............................................29 E. Enforcement Actions ..............................................29 F. Complaint Information ............................................33 GENERALLY: CONFLICTS OF INTEREST AND REGULATED CONDUCT...34 A. Conflicts of Interest ...............................................34 B. Business With or Against the State ...................................35 1. Business Against State Interest ...................................35 2. Contracting with the State .......................................35 3. Representation Before the State and Prohibited Communication .........37 4. An Affiliated Entity’s Ability to Do Business with the State .............38 5. Family Matters ................................................38 C. Former Business Relationships (Reverse Two-Year Bar) ...................40 D. Interested Board Members ..........................................42 OUTSIDE ACTIVITIES ................................................44 A. General Provisions ................................................44 B. Specific Situations.................................................46 1. Private Practice of Law and Expert Testimony .......................46 2. Paid Positions with Not-for-Profits ................................47 3. Fundraising ..................................................48 4. Outside Political Activities (As Candidate, etc.) ......................49 5. Teaching and Writing ..........................................52 6. Security Guards and Investigators .................................54 7. Boards Licensed or Regulated by the State ..........................54 a. Policymakers ...............................................54 b. Non-Policymakers . 55 8. Service on Corporate Boards in Official Capacity . 57 9. Involving Co-workers and Superiors in Private Business ................57 GIFTS, HONORARIA, AND OFFICIAL ACTIVITY EXPENSE PAYMENTS ....58 A. Introduction ....................................................58 B. Prohibited Gifts ..................................................58 1. General Rules ................................................58 2. Violations ....................................................60 C. Permitted Gifts ..................................................60 1. Contracted Items, Items Purchased at Market Value, and Certain Rewards or Prizes ...................................61 2. Awards or Plaques in Recognition of Public Service ...................61 3. Honorary Degrees .............................................61 4. Promotional Items with No Resale Value............................61 5. Discounts Available to the General Public, or a Broad Segment Thereof ...62 6. Gifts from Those with Whom There is a Familial or Personal Relationship ...63 7. Contributions Reportable under the Election Law.....................63 8. Meals for Participants at a Professional or Educational Program ..........64 9. Reimbursement for Speakers at Informational Events ..................64 10. Provision of Local Transportation to Inspect Facilities .................64 11. Food or Beverage Valued at Fifteen Dollars or Less Per Event............65 12. Complimentary Attendance at a “Widely Attended Event” ..............65 13. Complimentary Attendance, including Food and Beverage, at a “Bona Fide Charitable Event” or a “Bona Fide Political Event”........66 D. Gift Analysis.....................................................67 E. Gifts to Agencies .................................................68 F. Honoraria .......................................................69 G. Official Activity Expense Payments . 70 H. Additional Gift Rules..............................................70 I. Gifts from Lobbyists ..............................................71 J. Third Party Gifts . 72 NEPOTISM . 74 POST-EMPLOYMENT RESTRICTIONS ..................................78 A. Introduction .....................................................78 B. Two-Year Bar ....................................................80 1. Appearing or Practicing .........................................80 2. Back Room Services . 83 3. Identifying the Former Agency for Two-Year Bar Purposes ..............85 C. Lifetime Bar . 90 1. Case, Proceeding, Application, or Transaction........................91 2. Direct Concern and Personal Participation, or Active Consideration ......93 D. Executive Chamber ...............................................95 E. Applying for Private Sector Employment ...............................96 F. Government-to-Government Exception................................97 G. Closely Affiliated Corporations .....................................100 H. Students .......................................................103 I. “Volunteer” State Employee .......................................104 J. Public Officers Law § 73(8-b) Exemption .............................105 K. Volunteer Work for the Benefit of the State after Leaving State Service ......106 ANNUAL FINANCIAL DISCLOSURE STATEMENTS .....................107 A. Introduction ....................................................107 B. Who Must File ..................................................108 C. Exemption from Filing a Financial Disclosure Statement .................109 D. What Information Must Be Reported ................................109 E. Procedures for Filing ............................................. 111 1. Filing Due Dates ............................................. 111 2. Requests for Extension of Time to File a Financial Disclosure Statement . 112 3. How to File..................................................112 F. Public Inspection of Financial Disclosure Statements .................... 113 G. Requests for Redaction of Information from Public Inspection and for Exemption from Disclosing Certain Information ................. 113 1. Redaction of Information from Public Inspection and Exemption from Disclosing Information Pertaining to Spouse and/or Unemancipated Child ........................... 113 2. Exemption from Disclosing Client Information ..................... 114 H. Random Review Program ......................................... 115 I. Penalties for Failure to File, Filing a Deficient Statement, or Making a False Filing .......................................... 116 J. FDS Enforcement Actions ......................................... 117 LOBBYING REGISTRATION AND REPORTING .......................
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