Organizations represented by lobbyists in Virginia should be aware of a new law enacted today.  The law eliminates a controversial exception to the state’s $100 limit on lobbyist gifts to legislators and officials, adds a key new exception to that law, and also includes an additional gift notification requirement for lobbyists.  The changes represent Virginia’s continued efforts to tweak its ethics laws in the wake of Gov. Bob McDonnell’s now-vacated corruption conviction.

First, all registered state lobbyists will have three weeks from the end of each legislative session to send statewide elected officials, cabinet secretaries, and legislators a summary of any gifts the lobbyist gave to that person or their family between January 1 and the end of the legislative session.

Second, the lobbyist gift rule exception for  large events open to “individuals who share a common interest” was eliminated.  These events are now subject to the $100 limit on gifts from lobbyists, their principals, and persons seeking state business.  This exception was widely criticized as a “loophole” that allowed a senior state official to attend a luxury suite at a football game.  Other exceptions for large events, such as those attended by members of a civic organization or from a particular industry, are still valid.

Third, a new “reception exception” was created.  Similar to rules that exist in the U.S. House and Senate, it is no longer considered a “gift” for an official or legislator to attend a reception where “food, such as hors d’oeuvres, and beverages that can be conveniently consumed by a person while standing or walking are offered.”  Thus, such receptions are not prohibited by the law limiting gifts from lobbyists, their principals, and persons seeking state business.

These are the most broadly-applicable changes for lobbyists and their employers, though the law includes technical amendments and smaller changes as well.  Note that the state’s executive order on ethics, governing executive branch officials and employees, remains unchanged.  Most of the changes take effect July 1, 2017.

Photo of Andrew Garrahan Andrew Garrahan

Andrew Garrahan represents and counsels clients at the intersection of law and politics. He guides them through both regulatory compliance issues and government investigations on matters including state and federal campaign finance, ethics, lobbying, and corruption, as well as in congressional investigations.

Andrew’s…

Andrew Garrahan represents and counsels clients at the intersection of law and politics. He guides them through both regulatory compliance issues and government investigations on matters including state and federal campaign finance, ethics, lobbying, and corruption, as well as in congressional investigations.

Andrew’s prior career in political fundraising gives him a unique perspective on the challenges faced by his clients, which include corporations, candidates, government officials, political and nonprofit organizations, and private individuals.

Andrew’s counseling and advisory practice includes:

  • guiding clients on structuring of and compliance for their state and federal lobbying and grassroots advocacy campaigns;
  • representing campaigns, Super PACs, corporations, trade associations, and individuals on the applicability of the Federal Election Campaign Act (FECA) and state campaign finance law;
  • counseling on Foreign Agents Registration Act (FARA) registration and disclosure, and its interaction with the Lobbying Disclosure Act (LDA);
  • helping companies comply with state and federal ethics laws, particularly on gifts and conflicts of interests, and domestic anticorruption; and
  • auditing corporate political law compliance practices.

Andrew’s investigations and defense work includes:

  • representing clients in Congressional investigations, including responding to letter requests and subpoenas;
  • preparing company officers and other individuals for testimony in Congressional investigative hearings;
  • defending clients in Department of Justice matters related to campaign finance, lobbying, ethics, and public corruption; and
  • representing clients before the FEC and state campaign finance, lobbying, and ethics regulators.