Donations to Not-for-Profit Organizations Associated with Elected Officials

Adopted Rules: Closed to Comments

Effective Date: 
Friday, March 16, 2018
Agency:
Download Copy of Adopted Rule (.pdf): 

Local Law No. 181 of 2016 amended the New York City Administrative Code to regulate donations to certain not-for-profit organizations affiliated with City elected officials. This law, codified as Administrative Code §§ 3-901 to 3-907, requires reporting and public disclosure of donations to not-for-profit organizations controlled by City elected officials or their agents; limits permissible donations to some of these entities; and provides that violations of its provisions may result in civil fines up to $30,000 and may constitute a class A misdemeanor. The Conflicts of Interest Board (the “Board”) is charged with administering, enforcing, and promulgating “such rules as are necessary” to implement Local Law 181. See Administrative Code § 3-907.

The rules, codified as a new Chapter 3 of Title 53 of the Rules of the City of New York (the “Board Rules”), implement Local Law 181. Specifically, the rules: (1) establish procedures for obtaining a determination from the Board that an elected official or an agent of an elected official does not exercise control over an entity; (2) delineate factors by which the Board will determine whether an entity is affiliated with an elected official; (3) implement the reporting requirements of Administrative Code § 3-902, which take effect on January 1, 2019 for organizations affiliated with an elected official; and (4) establish record retention procedures by which the Board can ensure compliance with the requirements of Local Law 181.

The New York City Conflicts of Interest Board’s authority for these rules is found in section 1043 of the New York City Charter and Section 3-907 of the New York City Administrative Code.