[Federal Register Volume 59, Number 21 (Tuesday, February 1, 1994)] [Unknown Section] [Page 0] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 94-1308] [[Page Unknown]] [Federal Register: February 1, 1994] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Office of the Secretary 24 CFR Part 86 [Docket No. R-94-1703; FR-3575-F-01] Requirements Governing the Lobbying of HUD Personnel; Section 112 of the Reform Act Reporting Requirements AGENCY: Office of the Secretary, HUD. ACTION: Interpretive rule. ----------------------------------------------------------------------- SUMMARY: To implement section 112 of the Housing and Urban Development Reform Act of 1989, the Department published a final rule in the Federal Register on May 17, 1991, at 56 FR 22912, establishing the requirements governing the lobbying of HUD personnel. The final rule established a new part 86 in title 24 of the Code of Federal Regulations. This interpretive rule relaxes the level of detail required to comply with the registrant reporting requirements of that final rule. EFFECTIVE DATE: January 6, 1994. FOR FURTHER INFORMATION CONTACT: Garry Phillips, Acting Director, Office of Ethics, room 2158, Department of Housing and Urban Development, 451 Seventh Street, SW., Washington, DC 20410. Telephone: (202) 708-3815; TDD number (202) 708-1112. (These are not toll-free numbers.) SUPPLEMENTARY INFORMATION: Section 112 of the Department of Housing and Urban Development Reform Act of 1989, Public Law 101-235, approved December 15, 1989, (the ``Reform Act'') added a new section 13 to the Department of Housing and Urban Development Act, 42 U.S.C. 3531, et seq. Section 13 requires, among other things, that: --Persons that make expenditures to influence a HUD officer or employee in the award of financial assistance or the taking of a management action by the Department must keep records, and report to HUD, on the expenditures; and --Persons that are engaged to influence a HUD officer or employee in the award of financial assistance or the taking of a management action must register with HUD and report to HUD on their lobbying activities. On May 17, 1991, at 56 FR 22912, the Department promulgated a final rule to implement section 13. On January 23, 1992, at 57 FR 2677, the Department published in the Federal Register an interpretive rule which required that the registrant report on all amounts provided in the retaining agreement for the lobbying activities involved. Under that interpretation, all amounts received, and all amounts expended, under the agreement during the reporting year must be reported. Each side of the ledger--receiving and expending (which shall include the fee retained)--should total the same amounts. The preamble to the January 23, 1992 interpretive rule stated-- The Department believes that the registrant must report on all amounts received pursuant to the retaining agreement with respect to the lobbying activity. On the receipt side, the statute reaches ``all money received * * * in carrying out the work * * *.'' In the Department's view, the amounts agreed upon in the agreement define the ``work'' to be carried out--they are the amounts that comprise the overall lobbying effort. This includes amounts directly related to the lobbying activities (such as the preparation of documents), as well as amounts indirectly related (such as travel and accommodation expenses). Direct or indirect, the agreed-upon amounts define the lobbying job. However, in that interpretive rule, the Department relieved some of the burden of strict compliance with the above statement by stating that-- The Department does not believe that it is necessary to report in a line-by-line itemization every taxicab fare, tuna sandwich, or telephone call. Reasonable aggregations of expenses by type of expenditure with appropriate labeling are sufficient, provided the aggregations are related to the same lobbying activity; i.e., the same award for financial assistance or the same management action. Examples of labels of reasonable aggregations are ``meals,'' ``transportation,'' ``lodging,'' and ``document preparation.'' Because of the difficulty in complying with the reporting requirement described above and strong protest as to the need for the amount of detail needed to make each side of the ledger equal the same amount, the Department has re-examined the requirement and has concluded that, even with the aggregations of expenses described above, it does not need the amount of information now required to be disclosed. The vast majority of the information is of little value in enforcing the statute, and the ``all money * * * expended * * * in carrying out the work * * *'' does not include amounts indirectly related (such as travel and accommodation expenses). The disclosure of this type of information is not necessary in order to be consistent with the intent and purpose of the statute which is to disclose ``lobbying'' activities. This rule eliminates the idea that receipts must equal expenditures. However, the Department does believe that information regarding fees--and other things in lieu of fees paid--by the lobbyist to retain another lobbyist in the lobbying effort should still be collected. It is a valuable cross-check to ensure that where a second lobbyist is hired, the second lobbyist meets Section 13's registration and reporting requirements. Therefore, persons required to file an annual report must report only fees--and other things of value in lieu of fees--paid to other lobbyists retained for lobbying activities in the form HUD-2882-B ``Lobbyist & Consultant Activity Annual Report of Persons Receiving Payment for Lobbying Activities.'' Form HUD-2882-B and the instructions for completing the form have been revised accordingly. The revised form HUD-2882-B is appended to this interpretive rule. It is not necessary to report merely incidental expenses. Authority: Secs. 7(d) and 13(g), Department of Housing and Urban Development Act (42 U.S.C. 3535(d) and 3537b(g)). Dated: January 6, 1994. Henry G. Cisneros, Secretary. 1. Accordingly, the Department adds the discussion contained in the ``Supplementary Information'' section of this document to the end of appendix C of 24 CFR part 86, as ``Interpretive rule dated January 6, 1994''. 2. Appendix C of part 86 is further amended by adding an appendix to the Interpretive rule dated January 6, 1994, to read as follows: Appendix C to Part 86--Interpretive Rules of the Department Pertaining to Requirements Governing the Lobbying of HUD Personnel * * * * * Interpretive rule dated January 6, 1994. * * * * * Appendix to Interpretive Rule Dated January 6, 1994--Form HUD- 2882-B. BILLING CODE 4210-32-P![]()
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TR01FE94.013 [FR Doc. 94-1308 Filed 1-31-94; 8:45 am] BILLING CODE 4210-32-C