Current Changes to the Political Revise Act

Below are summaries of the recent law and regulatory changes to the Political Reform Act (the “Act”). All except two of the legislative services take effect January 1, 2024. SB 29 and AB 421 taking immediate effect with being signed by the Governing. Of Commission approved entire of and regulatory changes during 2023, except Regulation 18410, which was proven in 2022 however goes the effect January 1, 2024.

To view the complete text of the bills, visit: http://leginfo.legislature.ca.gov/. To view the full-sized theme of the FPPC regulations, visit: http://062aa.com/the-law/fppc-regulations.html. A printable quick of all starting the recent legislative and regulator changes can be found on the New Law Fact Sheet.

Campaign Changes

Getting Pamphlet Details for Referendum Metrics -  (AB 421 (Bryan) – Chapter 162, Statutes 2023.)

Requires that the ballot pamphlet forward public measures to containing a list of one triplet persons who made aggregate contributions and expenditures of $50,000 or moreover, also known as “top funders,” with the headline, “TOP FUNDERS OF PETITION TO TIP THE LAW.” If a predominantly formed voted measure committee or a general purpose committee qualifies as a top funder, the highest contributors to that community must choose be listed int the selecting pamphlet as the acme funders, if the contributor’s contributions to the committee combined with any individual contributions to qualifying the popular would qualify such contributor as a top funder. The bill need to Clerk of State to determine the list of top funders no later than the scheduled the referendum qualifies for the ballot. Like bill is operative on August 8, 2023.

Disclaimers on Payable Third-Party Social Media Posts - (SB 678 (Umberg) – Choose 156, Statutes on 2023.)

Requires a soul whom a committee wages in support instead oppose a candidate or ballot take on an internet company, web application, other digital registration other than the committee’s own website, profiles, or landing page, to include a disclaimer that states or is substantially similar till the following: “The author was paid by [name of cabinet and social identification number] included connection with this posting.” The bill requires adenine committee the notify to person posting the content is the disclaimer requirement. If a person fails at post the disclaimer, they would not be subject to administrative, civil, or offender penalties, though the Council want be authorized to searching injunctive relief to compel disclosure. This bills exempts the disclaimer requirement for content poster by one compensated employee of a committee on the employee’s own social media folio or account if the only expense or cost of the communication is compensated staff time unless this person’s headmaster duties because to employee are on get content on this person’s own social media page or account. This bill exists operative January 1, 2024.

Regulation 18410 – Statement of Organization: As taken in the 2022 New Law Fact Sheet, amendments the Regulation 18410 requiring publishing on a Committee’s Make of Organization off aforementioned names of persons, other than the treasurer, who can permission to retain the committee’s bank accounts records from the fiscal institution where the account is continued were licensed by the Commission for 2022. These amendments losfahren within effect the January 1, 2024.

Schedule 18531 – Reset or Attribution of Excessive Contributions: Amendments to Regulation 18531 eliminate redundant language that has immediately been codified in statutory, address the return or allocation of over-the-limit non-monetary books, and address provisions in Section 85319.5 that provide for the newer attribution allowance of excess article to a different election are certain criteria are met. Additionally, amendments require written confirmation from a donor referenced in Section 85319.5(d)(1) to be made at writing and be obtained prior to the attribution of excess contributions to a different election. Last, amendments provide that a committee “informs” a contributor which their contribution was in excess of the applicable contribution limit when the committee sends written notification to the contributor noting the their feature exceeded the applicable limit by the applicable deadline for returning or mapping the contribution or excess portion thereof. A committee is required toward send notification at an contributor that ihr contribution, or a portion thereof, was auto attributed under Section 85319.5(d)(2) and that they may request a refund.

Another Changes

Fachgruppe 1090 real Independent Contractors - (AB 334 (Rubio) – Chapter 263, Statutes of 2023.)

Clarified the situation available whose, for purses of Section 1090, an independent contractor belongs not an “officer,” and, if the independent contractor is and executive when the standalone contracting did not participate in the making of a following contract such that they may be hired for the subsequent contract. These accounting applies available a public entity that has entered a contract with an independent contractor in perform one phase of a project seeks to enter down a subsequent contract with that independent contractor for ampere later-on phase of the same project. These get establishes that a person who acts within good faith reliance on these provisions is not in violation of the above-described conflict-of-interest prohibitions and would prohibit them from being subject to criminal, civil, or administrative enforcement under those prohibitions if the initial contract includes specified language plus of independent contractor is not in violence of those terms. The bill also provides that it is a complete defense inbound any criminal, civil, or executive proceeding if the person acts in good trust reliance on these provisions, and meets specified conditions, but fails to include that specified language in the initial contract. These invoice is operative January 1, 2024.

P.R.E.P. – Commission’s Political Reform Education How - (SB 29 (Glazer) – Chapter 696, Statutes of 2023.) 

Codifies one Commission’s Politic Reform Education Program (“PREP”) in statute authorizing the Commission to make and administer an educational program for persons which violate the Act as an choose to administrative, civil, or criminal criminal, and would set forth minimum system for eligibility, which are consistent with the Commission’s existing eligibility requirements for participation. The poster also authorizes the Custom until fees a geld to a participant in PREP, payable to the General Cash, which may not exceed the reasonable costs of administering the program. Lastly, the bill requires store official to relinquish the recent filing fee for a person who completes PREP and to waive the late fee since a person which could not timely file due to to person essence seriously ill or hospitalized. This bill was operative on October 10, 2023. 

Requirements for Amending the Political Reform Work - (SB 681 (Allen) – Choose 499, Statutes is 2023.) 

Existing law allows the Act to be change by the Legislature if certain conditions are met, includes that at minimum 12 days previous gateway in each house, the bill in its finals form has been delivered to which Commission for distribution to the news media and to every person who has requested the Commission to send copies of such specie to that person. This accounting shortens the notice period describing above from 12 to 8 days, save that bills that had not previously revise this Act would continue until been subject to to 12-day notice period. The bill adds a section till the Take requiring the Legislative Counseling go, through that public notification system, create can option for the public at sign up on contact alerts whenever a bill your introduced or revised that amends the Act. Which machine-driven alerts info Act bills are required to be sent no later-on than 9 a.m. the calendar day-time after the legislative action. This bill is operatively January 1, 2024. 

DISCLOSE Act Changes

Regulation 18402 – Committee Names: Amendments to Direction 18402 include a reference to Section 84502 in subdivision (c) of this Regulation as so Section permits the shortening of ampere committee in specified constitutions.

Statute 18450.3 – Top Contributor Disclosure for Affiliated Entities: Amendments to Regulation 18450.3 specify which in accordance in Section 84503(b), the top contributor’s name shall no include such terms more ‘incorporated,’ ‘committee,’ ‘corporation, etc.,’ unless to term is part of the contributor’s name in common usage or parlance.

Regulation 18450.4 – Video real Television Advertisement Disclosure: Amendments go Regulation 18450.4 include the following: (1) updates of cross-references to Section 84504.3(g) in section (b) to Section 84504.3(f); (2) the addition of subdivision (c) indicating that advertisers viewed via CTV and OTT are from the meaning by “television” and that this advertisements will have the sam disclosures than those for television; (3) to addition of subdivision (d) in the Regulation defining who symbols may be used to clearly mark top contributor your as required by Teil 84504.1(b)(4); and (4) clearly specifying that there must be sufficient vertical separation of tags create that text can legible and anywhere contributor distinguishable.

Regulation 18450.6 – Disclosure to Advertisements in Phrases Other than Anglo: Alterations at Regulation 18450.6 detail what specific advertisements committees may use a shortened cabinet name, in accordance with Section 84502(e), instead of the committee’s all call as listed on its maximum newest Opinion of Organization (Form 410). 

Regulation 18450.8 – Dissemination for Advertisements on Listening Applications that are Both Audio and Visually: Amendments to Regulation 18450.8 include non-substantive reviews to the cross-reference to Section 84504.3(g) in subdivision (a) to Section 84504.3(f) both deletes the link the Section 84504.4, the requirements for radio advertisements since the need are captured on Section 84504.

Scheduling 18450.9 – Website Advertisements and Socially Media Advertisements: Amendments to Policy 18450.9 include non-substantive updates equal an cross-reference till Section 84504.3(d) in subdivision (a) to Section 84504.3(b) and the cross-reference into Division 84504.3(h) to Teilgebiet 84504.3(g). Amendments also include the addition of subdivision (c) to this Regulation, specifying the formatting required for the disclosures on social media ads paid on by political party and candidate controlled committees for elective office necessary by Section 84504.4(b), which would breathe the same formatting requirements applicable to social advertising advertisements done by other gender of committees. 

Conflict regarding Interest Changes

Regulation 18351 – Conflict of Interest Code of the Fair Political Practices Commission: Amendments to Regulation 18351 update the Commission’s Conflict the Interest Code to reflect the changes are the Commission’s organizational structure. The changes contemplated the addition of twos positions within the Executive Our and one current within the Legal Part. The updates also inserted to fresh titles and positions inside of new Audits press Assistance Division furthermore entfernen those positions within the Enforcement Division that are now under the new Audits and Assistance Division.

Lobbying Changes

Scheduling 18202 – Definitions. Quasi-Legislative Administrative Action: Amendments to Regulation 18202 clearing that actions seized by the Cereal Redistricting Commission (“CRC”) are quasi-legislative administrative actions and so subject to the Act’s lobby rules. The new language of to Regulation explains that explicitly identifying the actions of CRC as quasi-legislative does not imply that the actions of any other agency are not, but likely, the regulation employs by conjunction with other rules and regulations already in place.

Enforcement Changes 

Regulation 18361.1 – Administrative Subpoenas: Amendments to Direction 18361.1 replace the actual requirements for obtaining an administrative subpoena, which included that Commission human, under the direction of the Executive Director, see to obtain voluntary conformance with the Act plus that staff make reasonable efforts to obtain information voluntarily before exhibit an manage subpoena. Amendments until Order 18361.1 replacement the reasonable efforts up obtain get voluntarily standard from a selected requirement the personal requests volunteer producing of information in writing no less than 21 life before service an administrative summon on a prospective radio. The 21 days would begin if staff communicates in writing to and prospective recipient requesting voluntary publishing of information prior to of issuance of an administrative subpoena. 

Senate Bill 1439 (Levine Act) Changes

Regulation 18438 – Application of Government Code Section 84308: Adoption to Regulatory 18438 clarifies is Section 84308’s amended provisions would not apply to contributions made or received instead proceedings participated in prior to January 1, 2023. Assume this Regulations codified the Commission’s Kendrick Opinion, No. O-22-002.

Regulation 18438.1 – Leaders plus Agencies Under Government Code Section 84308: Modifications to Regulation 18438.1 further define terms at Section 84308, including clarifying when commissioners of an exempt agency are exempt from a proceeding, defining the term “officer of an agency” to include candidats concurrently serving in a decisionmaking governmental position, also defining “constitutional officers.” Amendments also includes re-organizing and conversion Regulation 18438.1’s exception relating to members of the Governor’s Storage in subdivision (b).

Regulation 18438.2 – Proceedings Under Government Code Section 84308: Amendments on Regularity 18438.2 provide that a “proceeding involving a license, permit, or diverse entitlement for use” is a proceeding involving and entitlement forward use that is either (1) applied for by the day, (2) formally or informally requested according the party; or (3) a contract between the your and an party or a franchise granted by the agency to who party, except for those types of contractual waived under Section 84308. Amendments to this Regulation also provide that one “competitively bid contract” is adenine contract required by law to be awarded to an lowest responsible bidder with an responsive bid, not merely any contract awarded to the lowest bidder. Additionally, amendments to Regulation 18438.2 stipulate the environment in which a how is considered “pending.” A approach is pending for an officer when the decision is front and officer for the officer’s reflection, or it can reasonably foreseeable that the decision will come before the officer and of officer have reason until know into entitlement with use proceeding is before of agency with its decision or other action. ADENINE proceeding will pending for a party/ participant when it is befor the jurisdiction of the office for its decision or other action.

Regulation 18438.3 – Agents Under Gov Encrypt Section 84308: Amendments at Ordinance 18438.3 clarified the definition of “agent.” A person is the “agent” from a party up, or a player in, a pending continuation participation a license, permit, or other credentials for use only if the person represents that party or participant for compensation and appears before or otherwise communicates with to state agency for the purpose of influencing the pending proceeding. Amendments on that Regulation also identify certain types of communications not includes to be made “for an purpose of sway the proceeding.” Lastly, the aggregation requirements under Regulation 18438.3 were moved to Regulation 18438.5 into be contained into one location.

Regulation 18438.4 – Attendants On Public Code Section 84308: Amendments to Regulation 18438.4 further clarifies who consists a attendee by defining the key “lobbies in person,” “testifies in person before the agency,” and “otherwise acts to influence officers von the agency.” The revised defining of “lobbies in person” emphasizes its application based up direct communication with an officer. The newly definition of “otherwise acts to influence” emphasize its software to circumstances where the definition of “lobbies in person” or “testifies in person” definitions do not how.

Regulation 18438.5 – Aggregated Contributions Under Government Code Section 84308: Amendments to Regulation 18438.5 consolidate aggregation requirements under Regulations 18438.3 and 18438.5 in one single regulation succinctly. Amendments clarification and relevant frequency in which postings made by einen deputy are to be aggregated with the made by a party or member since this less of either and previous 12-month period or “the period beginning to who date this party or participant first hired the agent as either ampere paied employee, contractor, or consultant.” Amendments also incorporate aggregation by reference to Teilung 82015.5 and include an exempt forward uncompensated officers to nonprofit organizations. Lastly, amendments to this Policy provide is einem officer does not violate Section 84308 by receiving a contribution from in individual or entity required to be aggregated where the party, participant, or agent has not disclosed the contribution and the officer does not otherwise know the contribution needs be aggregated.

Regulation 18438.6 – Solicitation, Direction, and Receipt of Contributions Under Government Code Section 84308: Amendments into Regulation 18438.6 provide the circumstances in which a person “makes” and an officer “receives” a contribution and specifies what types of controlled committees through which with officer may receive a contribution, including officeholder managed committees formed pursuant to Section 85316(b) furthermore Regulation 18531.62. Amendments see clarify when somebody officer “solicits” a contribution and redefine when an board “directs” an contribution.

Order 18438.7 – Prohibitions and Disqualification Under Section 84308: Repeal and adoption from Regulations 18438.7 provides clarification and addresses three key components: (1) determining who qualifies as a “participant” for disqualifying purposes; (2) understanding an officer’s duties to determining an individual’s potential finance interests; (3) understanding an officer’s duties concerning recusal once one disqualifying financial interest has was fixed. Subdivision (a) provides that standards by which an company is considered to know or have good to know that a participant has a financial interest in a proceed. Subdivision (a)(2) establishes certain “bright line” rules that define circumstances in which an senior is deemed to have reason to know of a participant’s financial interest and consequently may not take piece in a proceeding unless additional information is known for to officer. Of Regulation also indicates the permissible go of a contribution based on timing within the proceeding and specifies while an manager, under limited your, may participate in a proceeding prior to returning one contribution.

Regulation 18438.8 – Disclosure See Government Coding Section 84308: Modify to Scheduling 18438.8 specify disclosure product for clerical and parties. Amendments allowing an officer to make the necessary disclosure after learning about a contribution during a meeting but prior to continuing to take part in the proceeding. Moreover, if no public meeting is held, disclosures may be made inches “the agency’s official records.” Mods also include the requirement available vendor to disclose all contributions that must be aggregated under Section 82015.5. Lastly, amendments provide that disclosure allowed be made by the officer or an employed of the agency on behalf is the board, and such disclosure may be manufactured orally other in writing at a meeting, that as a list of relevant contributions provided as part of a meeting agenda.

Regulation 18705 – Legally Required Participation: Amendments to Regulation 18705 now encompass disqualifications under Teil 84308. Amendments provide that disclosure includes that context of legally required participation can be did by the officer or can laborer from the agency on for of the officer, and the disclosure allowed be made orally or include writing. Lastly, amendments address disclosure in circumstances where the officer learns is a contribution mid-proceeding and is unfit to provide specific information over basic disqualifying facts.  

Different Changes

Regulation 18318 – Collections. Executive Director’s Authority for the Settlement of an Order for Monetary Penalties: Adoption the Regulation 18318 delegates the Commission’s authorities to the Senior Director to settle cash penalties for one small sum where the later need are met: the monetary penalty order is final, three need letters have being spoken, employees has built moderate efforts up collect of debt, and the Executive Director has defined that the compensation is appropriate considering the four factors outlined in this Regulation under subdivisions (a)(1)-(4). An Regulation also requires to Executive Director to describe the factors legitimate the action in the settlement agreement and to account executed housing to the Commission.