FINAL ADVISORY OPINION 98-01
Entities Registered as both Compensated and Employer Lobbyists
Indiana Lobby Registration Commission
(Ratification vote taken at public meeting of June 2, 1998)
VOTES ON RATIFICATION:
Chairman Bepko - yes
Vice-Chairman Krahulik - yes
Commissioner Abbs - yes
Commissioner Hicks - yes
Questions and written comments may be directed to:
Indiana Lobby Registration Commission,
115 W. Washington, Suite 1375, Indianapolis, IN 46204
(317) 232-9860
Determination
The statute requires that lobbyists who are compensated for lobbying register and report and that lobbyists who compensate others for lobbying register and report. The duty exists to register as both a compensated and an employer lobbyist when a lobbying entity which hires lobbyists is also compensated for lobbying by third parties. However, expenditures on the activity report, a report separate from the registration report, should be reflected such that double reporting of expenditures does not occur.
Example:Lobby firm "A" has 10 clients, all of whom compensate A $1,000 annually to lobby. A, in turn, pays compensation in excess of $500 each to one in-house and two independent contractor lobbyists who lobby on behalf of A’s clients. A must register and report as both an employer lobbyist and as a compensated lobbyist. A’s clients will register and report as employer lobbyists, listing A as their compensated lobbyist. A’s hired lobbyists will register and report as compensated lobbyists, listing A as their employer lobbyist.
Rationale:
The statute states the following with regard to registration requirements:
2-7-2-3 Contents; lobbyists compensated for lobbying
Sec. 3. The registration statement of each lobbyist who is compensated for lobbying shall include:
(1) his name, social security number, residence address and telephone number, business address and telephone number, and the addresses and telephone numbers of any temporary living or business quarters he has in Marion County;
(2) the name, business address, telephone number, and kind of business of each person (including the names of each officer or partner) who compensates him;
(3) his primary occupation and the name or names of his employers if different than those specified in subdivision (2); and
(4) the subject matter of his lobbying.
Sec. 4. The registration statement of each lobbyist who compensates a person for lobbying shall include:
(1) his full name, business address and telephone number, type of business, and the full name of the individual who controls the business, the partners, if any, and officers;
(2) the full name, business address, and telephone number of each person compensated by him as a lobbyist;
(3) the subject matter for which he has employed or contracted with a lobbyist.
A plain reading of the above statutory language supports the conclusion that the legislature most likely intended for any lobbyist who is compensated for lobbying (in excess of $500) to register as a compensated lobbyist and for any lobbyist who compensates another (in excess of $500) for lobbying to register as an employer lobbyist. Thus, if an entity is both compensated and compensates for lobbying (greater than $500), it must register both as an employer lobbyist and as a compensated lobbyist. However, the activity report should be completed in such a manner as to avoid double reporting of expenditures.