HF4239

Purpose

This bill would change how certain political actors report lobbying activity and related spending. It aims to increase transparency by requiring more detailed, category-specific reporting of money spent to influence government decisions, including online advertising and outreach to the public.

Main Provisions

• Reporting obligation and deadline

  • A “principal” must file annual lobbying reports with the board by March 15 for the previous calendar year.

• Types of lobbying to be reported

  • Four categories: 1) Lobbying to influence legislative action 2) Lobbying to influence administrative action (excluding the type in category 1) 3) Lobbying to influence administrative action in rate setting, power plant and powerline siting, and granting of certificates of need under section 216B.243 4) Lobbying to influence official action of a political subdivision

• Required reporting for each type

  • For each category, the principal must report a total that includes:
  • The portion of all direct payments for compensation and benefits paid to lobbyists in the state for that category
  • The portion of all expenditures for advertising, mailing, research, consulting, surveys, expert testimony, finance professionals, studies, reports, analysis, compilation and dissemination of information, communications, and staff costs used to urge the public to contact officials to influence official actions; plus social media and public relations campaigns and legal counsel used to support that category
  • A reasonable good-faith estimate of the portion of all salaries and administrative overhead attributable to activities for that category

• Paid advertising disclosure threshold and details

  • Disbursements and obligations exceeding $2,000 for paid advertising aimed at urging the public to contact officials must be reported.
  • Paid advertising includes costs to boost an advertisement on social media.
  • Required disclosures for such advertising include:
  • The purchase date
  • The vendor’s name and address
  • A description of the advertising
  • Any specific subjects addressed by the ad

Significant Changes to Existing Law

• Expanded and more granular reporting

  • Adds detailed, category-specific reporting for lobbying expenditures, including both direct payments to lobbyists and indirect costs (advertising, PR, research, etc.) tied to each category of lobbying.
  • Explicitly requires reporting of costs related to urging the public to contact public or local officials, including social media campaigns and legal counsel.

• New reporting scope and thresholds

  • Introduces a $2,000 threshold for reporting paid advertising related to influencing official actions.
  • Requires full disclosure of advertising purchases, including vendor information and subject matter.

• Codification in Chapter 10A

  • Proposes adding new law provisions within Minnesota Statutes, chapter 10A, to implement these reporting requirements.

How this Affects Stakeholders

• Greater transparency about who is lobbying, how money is spent, and what methods (including online ads and public outreach) are used to influence government actions.
• More precise data for voters and regulators about lobbying activity and its costs.

Relevant Terms - principal - board - lobbying - legislative action - administrative action - rate setting - power plant siting - powerline siting - certificate of need - section 216B.243 - official action - political subdivision - direct payments - compensation and benefits - lobbyists - advertising - mailing - research - consulting - surveys - expert testimony - finance professionals - studies - reports - analysis - dissemination of information - communications - staff costs - social media - public relations campaigns - legal counsel - salaries - administrative overhead - paid advertising - boost (social media) - vendor - date of purchase - vendor name and address - description of advertising - subjects - reporting threshold - March 15 - preceding calendar year - advocacy - public outreach - transparency - influence policy - grassroots messaging (conceptual term)