Bill Text: TX SB1845 | 2025-2026 | 89th Legislature | Introduced
Bill Title: Relating to the registration as a lobbyist of persons who engage in certain lobbying activities on behalf of a foreign adversary and to prohibitions on the receipt of compensation related to those lobbying activities; providing a civil penalty.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced) 2025-03-04 - Filed [SB1845 Detail]
Download: Texas-2025-SB1845-Introduced.html
89R14789 CJD-F | ||
By: Hughes | S.B. No. 1845 |
|
||
|
||
relating to the registration as a lobbyist of persons who engage in | ||
certain lobbying activities on behalf of a foreign adversary and to | ||
prohibitions on the receipt of compensation related to those | ||
lobbying activities; providing a civil penalty. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 305.003(a), Government Code, is amended | ||
to read as follows: | ||
(a) A person must register with the commission under this | ||
chapter if the person: | ||
(1) makes a total expenditure of an amount determined | ||
by commission rule but not less than $200 in a calendar quarter, not | ||
including the person's own travel, food, or lodging expenses or the | ||
person's own membership dues, on activities described in Section | ||
305.006(b) to communicate directly with one or more members of the | ||
legislative or executive branch to influence legislation or | ||
administrative action; [ |
||
(2) receives, or is entitled to receive under an | ||
agreement under which the person is retained or employed, | ||
compensation or reimbursement, not including reimbursement for the | ||
person's own travel, food, or lodging expenses or the person's own | ||
membership dues, of more than an amount determined by commission | ||
rule but not less than $200 in a calendar quarter from another | ||
person to communicate directly with a member of the legislative or | ||
executive branch to influence legislation or administrative | ||
action; or | ||
(3) communicates directly with one or more members of | ||
the legislative or executive branch to influence legislation or | ||
administrative action on behalf of a foreign adversary, a foreign | ||
adversary client, or a foreign adversary political party, as those | ||
terms are defined by Section 305.030. | ||
SECTION 2. Subchapter B, Chapter 305, Government Code, is | ||
amended by adding Section 305.030 to read as follows: | ||
Sec. 305.030. COMPENSATION FROM FOREIGN ADVERSARY AND | ||
RELATED PERSONS PROHIBITED; CIVIL ENFORCEMENT. (a) In this | ||
section: | ||
(1) "Control" means the direct or indirect power to | ||
determine, direct, dictate, or decide important matters affecting | ||
an entity, including through: | ||
(A) the ownership of at least 20 percent of the | ||
total outstanding voting interest in an entity; | ||
(B) board representation; | ||
(C) the ability to appoint or discharge a board | ||
member, officer, director, employee, or contractor; | ||
(D) proxy voting, a special share, a contractual | ||
arrangement, a legal obligation, or a formal or informal | ||
arrangement to act in concert; or | ||
(E) another means of exercising power. | ||
(2) "Foreign adversary" means: | ||
(A) a foreign government or foreign | ||
nongovernment person designated as a foreign adversary by the | ||
United States secretary of commerce under 15 C.F.R. Section 791.4; | ||
(B) an agency or entity under the control of a | ||
country described by Paragraph (A); | ||
(C) a person wholly or partly owned or operated | ||
by or subject to the control of a country described by Paragraph | ||
(A); | ||
(D) a subsidiary or parent of a person described | ||
by Paragraph (C); | ||
(E) a person organized under the laws of or that | ||
has its principal place of business in a country described by | ||
Paragraph (A); and | ||
(F) a subsidiary of a person described by | ||
Paragraph (E). | ||
(3) "Foreign adversary client" means: | ||
(A) a current or former: | ||
(i) official in the executive, legislative, | ||
administrative, military, or judicial branch of a foreign | ||
adversary; | ||
(ii) official of a foreign adversary | ||
political party; or | ||
(iii) executive or officer of a foreign | ||
adversary; | ||
(B) a corporation, business, or other entity that | ||
has been formed by, or for the benefit of, a person described by | ||
Paragraph (A); and | ||
(C) an immediate family member of a person | ||
described by Paragraph (A), including the person's spouse, parent, | ||
sibling, and child and a parent or sibling of the person's spouse. | ||
(4) "Foreign adversary political party" means an | ||
organization or a combination of individuals in the jurisdictional | ||
limits of a foreign adversary, including a unit or branch of a | ||
foreign adversary's government, that is engaged in an activity | ||
wholly or partly devoted to or whose aim or purpose is to: | ||
(A) establish, administer, control, or acquire | ||
the administration or control of a foreign adversary or a | ||
subdivision of a foreign adversary; or | ||
(B) further or influence the political or public | ||
interests, policies, or relations of a foreign adversary or a | ||
subdivision of a foreign adversary. | ||
(5) "Wholly or partly owned or operated" means: | ||
(A) for a person that is a publicly traded | ||
company, that a foreign adversary has: | ||
(i) the ability to exercise control over | ||
the company; | ||
(ii) access to any material, nonpublic, and | ||
technical information in the company's possession; or | ||
(iii) other rights or involvement in | ||
controlling or participating in the decision-making of the company | ||
beyond those available to a retail investor holding an equivalent | ||
share of ownership; and | ||
(B) for a person that is a privately held | ||
company, that a foreign adversary has any share of ownership of the | ||
company. | ||
(b) A registrant who is required to register under Section | ||
305.003(a)(3) may not receive or agree to receive direct or | ||
indirect compensation, including intangible or in-kind | ||
compensation, from a foreign adversary, a foreign adversary client, | ||
or a foreign adversary political party on whose behalf the | ||
registrant communicates directly with one or more members of the | ||
legislative or executive branch to influence legislation or | ||
administrative action. | ||
(c) The attorney general may bring an action for injunctive | ||
relief against a registrant who violates this section or is | ||
threatening to violate this section. In an injunction issued under | ||
this section, a court may include reasonable requirements to | ||
prevent further violations of this section. | ||
(d) In addition to injunctive relief under Subsection (c), | ||
the attorney general may bring an action for civil penalties | ||
against a registrant who violates this section. A civil penalty | ||
assessed under this section must be in an amount not to exceed: | ||
(1) $10,000 for each violation; and | ||
(2) the amount of any compensation the registrant | ||
received in violation of this section. | ||
(e) The attorney general may recover reasonable expenses | ||
incurred in bringing an action under this section, including court | ||
costs, reasonable attorney's fees, investigative costs, witness | ||
fees, and deposition costs. | ||
SECTION 3. The changes in law made by this Act apply only to | ||
conduct requiring a person to register as a lobbyist or to | ||
compensation received by a person required to register as a | ||
lobbyist under Chapter 305, Government Code, that occurs or is | ||
received on or after the effective date of this Act. Conduct that | ||
occurs or compensation received before the effective date of this | ||
Act is governed by the law in effect on the date the conduct | ||
occurred or compensation was received, and the former law is | ||
continued in effect for that purpose. | ||
SECTION 4. This Act takes effect September 1, 2025. |