Wednesday, November 07, 2007

Trade Associations Protest Stealth Lobbying Disclosure Provision in New Ethics Law

An article in Roll Call ($$) addresses another element of carrying out the ethics and lobbying bill that was signed into law in September, the stealth lobbying coalition disclosure provision. Coalitions will have to disclose any organization that contributes at least $5,000 per quarter and actively participates in the lobbying campaign. Trade associations are not exempt from the rule, which means they could be forced to disclose their members. As a result, many trade associations are threatening to sue, arguing that forcing groups to name their members could violate First Amendment rights. They also assert that as a 501(c)(6), they already face reporting requirements from the Internal Revenue Service (IRS). A representative from the American Society of Association Executives was quoted as planning to seek a legislative change, and other trade associations are planning on sending a letter this week to the House Clerk and Secretary of the Senate outlining their proposed guidelines.

For more information on implementation of the Honest Leadership and Open Government Act, read this article from the latest Watcher.