H.B. No. 3445
 
 
 
 
AN ACT
  relating to requirements governing registration and authorized
  activities of certain lobbyists.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 305.005(c), Government Code, is amended
  to read as follows:
         (c)  The registration fee and registration renewal fee are:
               (1)  $100 for a registrant employed by an organization
  exempt from federal income tax under Section 501(c)(3) or
  501(c)(4), Internal Revenue Code of 1986; [or]
               (2)  $50 for any person required to register solely
  because the person is required to register under Section 305.0041
  of this chapter; or
               (3)  $500 for any other registrant.
         SECTION 2.  Section 305.002(1), Government Code, is amended
  to read as follows:
               (1)  "Administrative action" means rulemaking,
  licensing, or any other matter that may be the subject of action by
  a state agency or executive branch office, including a matter
  relating to the purchase of products or services by the agency or
  office. The term includes the proposal, consideration, or approval
  of the matter or negotiations concerning the matter.
         SECTION 3.  Subchapter A, Chapter 305, Government Code, is
  amended by adding Section 305.0041 to read as follows:
         Sec. 305.0041.  EXCEPTIONS FOR CERTAIN ACTIVITIES FOR WHICH
  COMPENSATION OR REIMBURSEMENT IS RECEIVED. (a) A person is not
  required to register under this chapter in accordance with Section
  305.003(a)(2) solely because the person receives or is entitled to
  receive compensation or reimbursement to:
               (1)  communicate as an employee of a vendor of a product
  or service to a member of the executive branch concerning state
  agency purchasing decisions that do not exceed 10 million dollars
  involving a product, service, or service provider or negotiations
  regarding such decisions;
               (2)  communicate as an employee of a vendor of a product
  or service to a member of the executive branch concerning state
  agency purchasing decisions that exceed 10 million dollars
  involving a product, service, or service provider or negotiations
  regarding such decisions if the compensation for the communication
  is not totally or partially contingent on the outcome of any
  administrative action;
               (3)  communicate in a capacity other than as an
  employee of a vendor of a product or service to a member of the
  executive branch concerning state agency purchasing decisions
  involving a product, service, or service provider or negotiations
  regarding such decisions if the compensation for the communication
  is not totally or partially contingent on the outcome of any
  administrative action;
               (4)  communicate as a member of an advisory committee
  or task force if the person is appointed to serve in that capacity
  by a member of the legislative or executive branch; or
               (5)  communicate as a member of a board, task force, or
  advisory committee on which a member of the legislative or
  executive branch also serves.
         (b)  A registrant who performs an activity described by
  Subsection (a) is not required to:
               (1)  provide information concerning that activity in
  the registrant's registration statement under Section
  305.005(f)(4) or (5)(B);
               (2)  provide information concerning the person who
  reimburses, retains, or employs the registrant to perform that
  activity under Section 305.005(f)(3) or (6) unless the registrant
  performs, on behalf of that person, other activities that require
  registration under this chapter; or
               (3)  provide information concerning a person employed
  or retained by the registrant for the purpose of assisting in that
  activity under Section 305.005(f)(5)(A) unless the person is also
  employed or retained by the registrant to assist with other
  activities that require registration under this chapter. For the
  purposes of this chapter, a registrant is not required to list as an
  assistant another person who is also registered for the same client
  as the registrant.
         SECTION 4.  Section 305.022, Government Code, is amended by
  amending Subsection (c) and adding Subsections (c-1), (c-2), (c-3),
  (e), and (f) to read as follows:
         (c)  For purposes of this chapter:
               (1)  A [section, a] sales commission payable to an
  employee of a vendor of a product or service is not considered
  compensation contingent on the outcome of administrative action if
  the amount of the state agency purchasing decision does not exceed
  10 million dollars.
               (2)  A quarterly or annual compensation performance
  bonus payable to an employee of a vendor of a product or service is
  not considered compensation contingent on the outcome of
  administrative action.
         (c-1)  For purposes of this chapter, a sales commission or
  other such fee payable to an independent contractor of a vendor of a
  product or service is not considered compensation contingent on the
  outcome of an administrative action if:
               (1)  the independent contractor is a registrant who
  reports the vendor as a client under this chapter;
               (2)  the independent contractor reports the full amount
  of the commission or fee in the manner required by commission rule;
  and
               (3)  the amount of the state agency purchasing decision
  does not exceed 10 million dollars.
         (c-2)  For purposes of this chapter, a commission or fee paid
  to a person by a state agency is not considered compensation
  contingent on the outcome of an administrative action if the person
  paid a commission or a fee by a state agency:
               (1)  is a registrant who reports the state agency as a
  client under this chapter; and
               (2)  reports the full amount of the commission or fee in
  the manner required by commission rule.
         (c-3)  If the amount of compensation or fee is not known at
  the time of the disclosure required under Subsection (c-1), the
  registrant must disclose:
               (1)  a reasonable estimate of the maximum amount of the
  compensation or fee;
               (2)  the method under which the compensation or fee
  will be computed; and
               (3)  such other factors as may be required by the
  commission by rule.
         (e)  For purposes of this section, the term "employee" means
  a person employed full-time by an employer to perform services for
  compensation. The term does not include an independent contractor
  or consultant.
         (f)  The provisions of this chapter shall not be applicable
  to a transaction for the sale, lease, or services provided in
  connection with the sale or lease of any real properties or real
  properties interest owned or managed by the permanent school fund
  or General Land Office.
         SECTION 5.  Section 403.1067(b), Government Code, is amended
  to read as follows:
         (b)  Except as provided by this subsection, the [The] persons
  or entities described by Subsection (a) are not eligible to receive
  the money or participate either directly or indirectly in the
  contracts, funds, or grants awarded in Section 403.105, 403.1055,
  403.106, 403.1065, or 403.1066. A registrant under Chapter 305 is
  not ineligible under this subsection if the person is required to
  register under that chapter solely because the person communicates
  directly with a member of the executive branch to influence
  administrative action concerning a matter relating to the purchase
  of products or services by a state agency.
         SECTION 6.  Section 161.301, Health and Safety Code, is
  amended by amending Subsection (d) and adding Subsection (f) to
  read as follows:
         (d)  The commissioner may not award a contract under
  Subsection (b) to:
               (1)  a person or entity that is required to register
  with the Texas Ethics Commission under Chapter 305, Government
  Code, except as provided by Subsection (f);
               (2)  any partner, employee, employer, relative,
  contractor, consultant, or related entity of a person or entity
  described by Subdivision (1) and not described by Subsection (f);
  or
               (3)  a person or entity who has been hired to represent
  associations or other entities for the purpose of affecting the
  outcome of legislation, agency rules, or other government policies
  through grassroots or media campaigns.
         (f)  A registrant under Chapter 305, Government Code, is not
  ineligible under Subsections (d) and (e) if the person is required
  to register under that chapter solely because the person
  communicates directly with a member of the executive branch to
  influence administrative action concerning a matter relating to the
  purchase of products or services by a state agency.
         SECTION 7.  A person who is required to register under
  Chapter 305, Government Code, solely as a result of the change in
  law made by this Act is not required to register under that chapter
  before January 1, 2010.
         SECTION 8.  This Act takes effect September 1, 2009.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 3445 was passed by the House on May
  15, 2009, by the following vote:  Yeas 138, Nays 4, 1 present, not
  voting; and that the House concurred in Senate amendments to H.B.
  No. 3445 on May 29, 2009, by the following vote:  Yeas 143, Nays 0,
  1 present, not voting.
 
  ______________________________
  Chief Clerk of the House   
 
         I certify that H.B. No. 3445 was passed by the Senate, with
  amendments, on May 26, 2009, by the following vote:  Yeas 31, Nays
  0.
 
  ______________________________
  Secretary of the Senate   
  APPROVED: __________________
                  Date       
   
           __________________
                Governor