Senate Democratic Conference Introduce The "Clean Up Albany" Legislative Package

For Immediate Release: February 9, 2015
Contact: Gary Ginsburg | ginsburg@nysenate.gov | 518-455-2415
Senate Democratic Conference Introduce The Clean Up Albany

Legislative Package
Includes Legislation that Restricts Outside Income, Closes LLC Loophole, Ends State
Reimbursements for Legal Defense and Strips Pensions from Corrupt Officials
(Albany, NY) The Senate Democratic Conference today unveiled a major legislative package to
deal with the ongoing ethics crisis in State Government. This package of groundbreaking bills
will cap legislators outside incomes, end the LLC loophole, bar elected officials from using
campaign funds for criminal defense and personal use and end the practice of taxpayer funded
reimbursements of legal fees. The Senate Democrats also introduced measures to strip corrupt
officials of taxpayer funded pensions and reform how campaigns are funded. Unfortunately, the
Senate Republican Majority has consistently blocked all meaningful ethics reforms initiatives.
These scandals have become too common and are something that we must deal with
immediately. We are facing a crisis of mistrust in Albany, Senate Minority Leader Andrea
Stewart-Cousins said. The legislation offered by the Senate Democratic Conference will help
rebuild the trust in our state government that has been rocked by repeated scandals. I urge the
Senate Republicans to end their opposition to cleaning up Albany and finally join with the Senate
Democratic Conference to pass these good government reforms.
The Senate Democratic Conference ethics reforms initiatives are intended to return the publics
trust in state government by restricting outside income, closing loopholes and reforming how
campaigns are funded and how campaign funds can be utilized. Bills introduced by the Senate
Democratic Conference include legislation that will:
Restrict Legislators Outside Income (Senator Hoylman):

o This initiative will restrict the type and nature of outside income to mirror U.S.
Congress cap of 15% of gross legislative salary.
o The bill will also establish the Commission on Legislative Compensation that will
convene every four years to examine, evaluate, and make recommendations on
adequate levels of compensation and non-salary benefits for state legislators.
Closing the LLC Loophole (Senator Squadron):

o This initiative will close a loophole in current Election Law which does not
adequately address the amount of political contributions that a limited liability
company (LLC) may make to candidates, parties and political committees.
As a result, the State Board of Elections allows LLCs to be treated as

individuals for purposes of a limit and, therefore, they can donate up to
$150,000 in any one year.
o This legislation would close that loophole and reduce the contribution limit for
both LLCs and corporations to $1,000.
Require Additional Financial Disclosure (Senator Comrie):

o This bill will require state elected officials to disclose the source and nature of all
income and report all clients of, or referrals to, a firm or practice the elected
officials works at.
o Under this legislation, all reporting must include a clear and complete explanation
of the services rendered in exchange for the income or fees earned by the
reporting official, or by the firm or corporation with which the elected official
practices.
Prohibit the Taxpayer Reimbursement of Campaign and Legal Defense Fund

Accounts for legal fees in Criminal Cases (Democratic Conference Deputy Leader,
Senator Gianaris):
o This initiative will prohibit any state reimbursement to a campaign account or
legal defense account for attorneys fees and litigation expenses to a public official
after an acquittal or dismissal.
Retroactively Strip Pension Benefits from any State or Local Official Convicted of a
Felony involving Breach of Public Trust (Senator Breslin):
o The current law only regulates officials that joined the pension system after 2011
when the last ethics package passed. This legislation will affect all members of
the pension system.
o This resolution has been introduced as a constitutional amendment since it affects
an officials pension.
Strengthen Regulations regarding use of Campaign Funds (Senator Krueger):

o This bill addresses a number of concerns with how campaign funds are raised and
expended. Currently, New Yorks election law, allowing candidates to spend
campaign funds for any lawful purpose, is among the most lax in the nation
Bar the Use of Campaign Money for Criminal Defense (Senator Hoylman):
o This bill will outlaw campaign funds from being used for attorneys fees or any
costs for defending against criminal or civil prosecution for alleged violations of
any state or federal law.
Lower Contribution Limits (Democratic Conference Deputy Leader, Senator Gianaris):
o Current state campaign regulations allow donors to provide far greater amounts of
contributions than are allowed in other states, or for federal candidates.
o These high limits threaten the integrity of elections in New York State by allowing
small numbers of wealthy contributors to disproportionately affect their outcomes.
This initiative will drastically reduce the limits on contributions to safeguard the
integrity of New Yorks elections.
Cap Contributions to Soft Money Accounts (Senator Krueger):

o Currently, donors are able to provide unlimited contributions to soft money
accounts. This legislation would reform the campaign finance system by capping
donations to soft money accounts at $25,000.
Require the Disclosure of Bundles (Senator Rivera):

o Under the current law, state campaigns are not required to disclose to the State
Board of Election when bundling contributions are received. This bill would
enhance state campaign finance disclosure reporting requirements by making it
necessary for said reports to contain information about those who bundle
contributions.
End Undisclosed Self-Dealing (Senator Hoylman):

o This legislation will create a Class-C and Class-D felony for public servants who
knowingly steer public contracts or grants to certain institutions or organizations
in order to benefit themselves, their families or a person with whom a public
servant has a business or other financial relationship with.
o Self-dealing in the first degree triggers when public contracts have a value in
excess of ten thousand dollars.
o Self-dealing in the second degree triggers when public contracts have a value in
excess of three thousand dollars.
Establish a Public Financing System for State Campaigns and Require Greater
Disclosure of Campaign Donations (Senate Minority Leader, Senator Stewart-Cousins):
o Under this legislation, eligible contributions to candidates for statewide office up
to $250 would be matched at the rate of $6 for every $1.
o Participating candidates could only receive donations of $2,000
o Candidates who are unopposed in a general or special election may not receive
public funds
o All unspent public funds must be returned 30 days after the election.
Senate Democratic Conference Deputy Leader Michael Gianaris said, Our state government
is in desperate need of real ethics reform. I am proud to author bills that would lower campaign
contribution limits as well as prevent public reimbursement of campaign committees for legal
defense, and I am proud to support the entire Senate Democratic ethics package. I hope Senate
Republicans realize the urgency of this issue and work with us to immediately pass these
common sense reforms so that the people's faith in their government can be restored.
Bill Sponsor, Senator Neil Breslin said, It is unacceptable that hard working New Yorkers are
expected to support corrupt politicians after they have been convicted of betraying the publics
trust. State Officials who are convicted of felonies resulting from their unethical behavior simply
dont deserve taxpayer funded pension benefits. Until this injustice is corrected I will continue to
fight for my legislation to amend the State Constitution to close this loophole.
Bill Sponsor, Senator Leroy Comrie said, Government has a responsibility to continuously
monitor and improve itself and take meaningful action when serious concerns are brought to
light. Transparent disclosure of outside income is a key step in restoring the publics trust in its
institutions and places the focus back on our commitment to the 19 million New Yorkers that we
as public officials have been elected and entrusted to serve. As the ranking member of the Senate
Elections Committee, I am committed to reform that helps government to operate openly and for
the betterment of all people.
Bill Sponsor, Senator Brad Hoylman said, New Yorkers have understandably lost faith in state
government as a result of the shameful slew of corruption charges brought against Albany
elected officials in recent weeks and months. To truly reform the way business is done at the
Capitol, its essential to limit the outside income of state legislators that contribute to conflicts of
interest. My bill would apply the same restrictions to Albany legislators that already exist for
members of Congress and help to ensure our state government works for the people, not special
interests.
Bill Sponsor, Senator Liz Krueger said, There is a corruption crisis in Albany that demands
meaningful ethics reforms. Individuals should not be able to donate unlimited amounts of soft
money to political parties, and candidates should not be able to treat campaign accounts like
personal ATMs. The people of New York are calling for these common sense, basic reforms, and
all elected officials, regardless of party, should be able to come together to support them.
Bill Sponsor, Senator Gustavo Rivera said, Passing the Senate Democratic Conferences
ethics package will help us combat the corruption that unfortunately continues to plague our state
government. This package increases transparency, accountability and places barriers that will
help prevent cases similar to the ones we have seen emerge in the last few years. Every time
allegations about elected officials integrity arise, it disrupts the business of governing but, more
importantly, it weakens the trust New Yorkers have in their state government. We cannot wait
any longer to pass reforms that ensure that all New Yorkers are represented by elected officials
that are committed to serving in the best interest of their constituents.
Bill Sponsor, Senator Daniel Squadron said, Theres no single solution that will restore New
Yorkers faith in our state government. But theres no question that laws like the LLC loophole
which allows invested interests to direct unlimited sums to state elected officials is one glaring
reason for New Yorkers to be shaken. From ethics oversight to campaign finance reform to the
culture of the capital, it is critical that comprehensive changes are made. I look forward to
working with my colleagues, hopefully on both sides of the aisle, to enact the reforms we need.
Senator Martin Malav Dilan said, Allegations of corruption, arrests and convictions have
become commonplace in Albany, and the publics perception of the State Legislature has gone
from distrust to disdain. As public officials stand trial or serve sentence, entire constituencies go
without representation during key discussions and decisions. Hearings, public forums and the
day-to-day business of the peoples work is being disrupted by new allegations and more arrests.
The State Legislature is at a critical juncture and we need to act now. Any hope of restoring order
and regaining the publics trust lies with these comprehensive reforms.
Senator Jesse Hamilton said, These proposals will help restore New Yorkers faith in Albany.
As legislators, we need to take steps that demonstrate our independence from special interests,
our commitment to acting in line with both the letter and spirit of the law, and our respect for the
immense responsibility that has been placed in us by our communities. These reforms deliver,
setting forth new guidelines so that New York will know our deliberations have the publics
interests at heart.
Senator Timothy Kennedy said, There are two things all of these reforms have in common:
they're all aimed at cleaning up the rampant corruption that has plagued New York State
government, and they're all long overdue. By rolling out this ethics reform legislation, we are not
only attempting to close the loopholes that exist in Albany, but aiming to return the trust in
elected leaders that has been lost at the Capitol. New Yorkers have grown tired of seeing
lawmakers make headlines for lacking integrity and accountability and putting themselves above
the law, and this is the next step towards making sure comprehensive changes are made from top
to bottom.
Senator Bill Perkins said, The cornerstone of good government is collectively laid by elected
officials who empower the people and serve, every second, with a passion for the common good.
The foundation of good government is fundamental and comprehensive ethics laws that keep the
cornerstone inviolable and sacrosanct. The entire structure is held up by the faith and belief that
citizens have in our system of government. The Senate Democratic Conference Ethics Reform
Legislative Package will dynamically change things from the ground up and give all New
Yorkers a government they can truly identify with and believe in.
Senator Jos M. Serrano said, Throughout my career Ive sought to work with my colleagues
toward improved ethics and transparency within New York State government. The unsettling
reality is that with every scandal, the public loses more and more trust in their government. By
strengthening our campaign finance rules, increasing transparency and creating harsher
punishments for those who abuse their position in government, we can take a big step towards
cleaning up Albany. I applaud our Senate Democratic Conference Leader Andrea StewartCousins, and all my colleagues for their strong commitment to reform, and I look forward to
passing this legislative package as soon as possible.
Senator Toby Ann Stavisky said, New York has always been a leader on government reform,
and we cannot afford to let that mantle slip. The recent allegations against elected officials do not
represent those of us with a true commitment to service. Anyone who believes that government
must serve the people, not personal gain, should join me in supporting ethics reform.
###
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New York State Senate | DemocraticConferenceNews@nysenate.gov | 518-455-2415

Senate Democratic Conference Introduce The "Clean Up Albany" Legislative Package

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For Immediate Release: February 9, 2015

Contact: Gary Ginsburg | ginsburg@nysenate.gov | 518-455-2415

Senate Democratic Conference Introduce The Clean Up Albany

Restrict Legislators Outside Income (Senator Hoylman):

Closing the LLC Loophole (Senator Squadron):

As a result, the State Board of Elections allows LLCs to be treated as

Require Additional Financial Disclosure (Senator Comrie):

Prohibit the Taxpayer Reimbursement of Campaign and Legal Defense Fund

Strengthen Regulations regarding use of Campaign Funds (Senator Krueger):

Cap Contributions to Soft Money Accounts (Senator Krueger):

Require the Disclosure of Bundles (Senator Rivera):

End Undisclosed Self-Dealing (Senator Hoylman):

Follow on Twitter at http://www.twitter.com/NYSenDems

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