S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1458
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                              January 9, 2017
                                ___________
 
 Introduced  by  Sen.  AVELLA -- read twice and ordered printed, and when
   printed to be committed to the Committee on Investigations and Govern-
   ment Operations
 
 AN ACT to amend the legislative law, the executive law  and  the  public
   officers  law,  in  relation to doing away with the legislative ethics
   commission and transferring certain duties to the joint commission  on
   public  ethics;  and  to  repeal  article 5 of the legislative law, in
   relation to the legislative ethics commission
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Article 5 of the legislative law is REPEALED.
   §  2. Section 94 of the executive law, as amended by section 6 of part
 A of chapter 399 of the laws of 2011, paragraph (a) of subdivision 13 as
 amended by section 1 and paragraph (b) of subdivision 13 as  amended  by
 section  2  of  part J of chapter 286 of the laws of 2016, is amended to
 read as follows:
   § 94. Joint commission on public ethics; functions, powers and duties;
 review of financial disclosure statements; advisory  opinions;  investi-
 gation and enforcement.
   1. There is established within the department of state a joint commis-
 sion on public ethics which shall consist of [fourteen] FIVE members and
 shall  have and exercise the powers and duties set forth in this section
 with respect to statewide elected officials, members of the  legislature
 and  employees  of the legislature, and state officers and employees, as
 defined in sections seventy-three  and  seventy-three-a  of  the  public
 officers law, candidates for statewide elected office and for the senate
 or assembly, and the political party chairman as that term is defined in
 section  seventy-three-a  of  the public officers law, lobbyists and the
 clients of lobbyists as such terms are defined in article one-A  of  the
 legislative  law, and individuals who have formerly held such positions,
 were lobbyists or clients of lobbyists, as such  terms  are  defined  in
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01283-01-7

 S. 1458                             2
 
 article  one-A  of  the  legislative law, or who have formerly been such
 candidates. This section shall not be deemed to have revoked or rescind-
 ed any regulations or advisory opinions issued by the FORMER legislative
 ethics  commission, the FORMER commission on public integrity, the state
 ethics commission and the temporary lobbying commission in  effect  upon
 the effective date of chapter fourteen of the laws of two thousand seven
 which  amended this section to the extent that such regulations or opin-
 ions are not inconsistent with any law of the state  of  New  York,  but
 such  regulations  and  opinions  shall apply only to matters over which
 such commissions had jurisdiction at the time such regulations and opin-
 ions were promulgated  or  issued.  The  commission  shall  undertake  a
 comprehensive  review  of  all such regulations and opinions, which will
 address the consistency of such  regulations  and  opinions  among  each
 other  and  with the new statutory language, and of the effectiveness of
 the existing laws, regulations, guidance and ethics  enforcement  struc-
 ture  to  address  the  ethics  of  covered public officials and related
 parties. [Such review shall be conducted  with  the  legislative  ethics
 commission  and,  to  the  extent  possible, the report's findings shall
 reflect the full input and deliberations of both commissions after joint
 consultation.] The commission shall, before February first, two thousand
 fifteen, report to the governor and legislature  regarding  such  review
 and  shall  propose  any  regulatory  or statutory changes and issue any
 advisory opinions necessitated by such review.
   2. The members of the commission shall be appointed [as follows: three
 members shall be appointed by the temporary  president  of  the  senate,
 three  members  shall  be  appointed by the speaker of the assembly, one
 member shall be appointed by the minority  leader  of  the  senate,  one
 member  shall  be  appointed by the minority leader of the assembly, and
 six members shall be appointed] by  the  governor  [and  the  lieutenant
 governor. In the event that a vacancy arises with respect to a member of
 the  commission  first  appointed pursuant to the chapter of the laws of
 two thousand eleven which amended  this  subdivision  by  a  legislative
 leader,  the legislative leaders of the same political party in the same
 house shall appoint a member to fill such vacancy irrespective of wheth-
 er that legislative leader's political  party  is  in  the  majority  or
 minority.  Of  the  members appointed by the governor and the lieutenant
 governor, at least three members shall be and shall  have  been  for  at
 least three years enrolled members of the major political party in which
 the  governor  is  not enrolled. In the event of a vacancy in a position
 previously appointed by the governor and lieutenant governor, the gover-
 nor and lieutenant governor shall appoint a member of the same political
 party as the member that vacated that position. Prior  to  making  their
 respective  appointments,  the  governor and the lieutenant governor and
 the legislative leaders shall solicit and  receive  recommendations  for
 appointees from the attorney general and the comptroller of the state of
 New  York,  which recommendations shall be fully and properly considered
 but shall not be binding] WITH THE ADVICE AND CONSENT  OF  THE  LEGISLA-
 TURE, WITHOUT REGARD TO POLITICAL AFFILIATION, FROM THE LIST PROVIDED BY
 THE NOMINATING PANEL AS DESCRIBED IN SUBDIVISION TWO-A OF THIS SECTION.
   No  individual  shall  be  eligible for appointment as a member of the
 commission who currently or within the last three years:
   (i) is or has been registered as a lobbyist in New York state;
   (ii) is or has been a member of the New York state  legislature  or  a
 statewide  elected  official  or  a  commissioner of an executive agency
 appointed by the governor; or

 S. 1458                             3
 
   (iii) is or has been a political party chairman, as defined  in  para-
 graph  (k) of subdivision one of section seventy-three of [this article]
 THE PUBLIC OFFICERS LAW.
   No  individual  shall  be  eligible for appointment as a member of the
 commission who currently or within the last year is or has been a  state
 officer or employee or legislative employee as defined in section seven-
 ty-three of the public officers law.
   2-A.  THE  GOVERNOR  SHALL CREATE A NOMINATING PANEL COMPOSED OF THREE
 MEMBERS WHOSE SOLE FUNCTION SHALL BE TO NOMINATE PERSONS  FOR  CONSIDER-
 ATION  BY THE GOVERNOR FOR APPOINTMENT TO THE COMMISSION. REPRESENTATION
 ON THE PANEL AND THE SELECTION OF SUCH MEMBERS SHALL BE AS FOLLOWS:  ONE
 MEMBER  SHALL  BE  THE CHIEF JUDGE OF THE COURT OF APPEALS OR HIS OR HER
 DESIGNEE; ONE MEMBER SHALL BE THE PRESIDENT OF THE NEW  YORK  STATE  BAR
 ASSOCIATION  OR  HIS  OR HER DESIGNEE; AND ONE MEMBER SHALL BE EXECUTIVE
 DIRECTOR OF THE NOT-FOR-PROFIT ORGANIZATION, COMMON CAUSE, OR HIS OR HER
 DESIGNEE.
   3. Members of the commission shall serve  for  terms  of  five  years;
 provided,  however,  that of the members first appointed by the governor
 [and lieutenant governor], one shall serve for one year, one shall serve
 for two years, one shall serve for three years, and one shall serve  for
 four  years, as designated by the governor[; the members first appointed
 by the temporary president of the senate  and  by  the  speaker  of  the
 assembly  shall  serve for four years and the members first appointed by
 the minority leaders of the senate and the assembly shall serve for  two
 years].
   4.  The  governor  shall designate the chairman of the commission from
 among the members thereof, who shall serve as chairman at  the  pleasure
 of  the  governor.  The  chairman  or  any  [eight] THREE members of the
 commission may call a meeting.
   5. Any vacancy occurring on the  commission  shall  be  filled  within
 thirty  days  of  its  occurrence in the same manner as the member whose
 vacancy is being filled was appointed. A  person  appointed  to  fill  a
 vacancy  occurring other than by expiration of a term of office shall be
 appointed for the unexpired term of the member he or she succeeds.
   6. [Eight] THREE members of the commission shall constitute a  quorum,
 and the commission shall have power to act by majority vote of the total
 number  of  members  of  the commission without vacancy except where the
 commission acts pursuant to subdivision thirteen, subdivision fourteen-a
 or subdivision fourteen-b of this section.
   7. Members of the commission may be removed by the [appointing author-
 ity] GOVERNOR solely for substantial neglect of duty,  gross  misconduct
 in  office, violation of the confidentiality restrictions in subdivision
 nine-a of this section, inability to discharge the powers or  duties  of
 office  or  violation of this section, after written notice and opportu-
 nity for a reply.
   8. The members of the [joint] commission  shall  receive  a  per  diem
 allowance  in  the  sum  of  three hundred dollars for each day actually
 spent in the performance of his or her duties under this  article,  and,
 in  addition  thereto,  shall  be reimbursed for all reasonable expenses
 actually and necessarily incurred by him or her in  the  performance  of
 his or her duties under this article.
   9. The commission shall:
   (a) Appoint an executive director who shall act in accordance with the
 policies of the commission. The appointment and removal of the executive
 director  shall  be  made  solely by a vote of a majority of the commis-
 sion[, which majority shall include at least one member appointed by the

 S. 1458                             4

 governor from each of the two major political parties,  and  one  member
 appointed  by  a legislative leader from each of the two major political
 parties]. The commission may delegate authority to the executive  direc-
 tor to act in the name of the commission between meetings of the commis-
 sion  provided  such delegation is in writing, the specific powers to be
 delegated are enumerated, and the  commission  shall  not  delegate  any
 decisions  specified  in this section that require a vote of the commis-
 sion. The executive director shall be appointed without regard to  poli-
 tical  affiliation  and  solely  on  the basis of fitness to perform the
 duties assigned by this article, and shall be a  qualified,  independent
 professional.  The  commission  may  remove  the  executive director for
 neglect of duty, misconduct in office, violation of the  confidentiality
 restrictions  in  subdivision  nine-a  of  this section, or inability or
 failure to discharge the powers or duties of office, including the fail-
 ure to follow the lawful instructions of the commission;
   (b) Appoint such other staff as are necessary to carry out its  duties
 under this section;
   (b-1)  Review and approve a staffing plan provided and prepared by the
 executive director which shall contain, at a  minimum,  a  list  of  the
 various  units  and divisions as well as the number of positions in each
 unit, titles and their duties, and salaries,  as  well  as  the  various
 qualifications  for  each position including, but not limited to, educa-
 tion and prior experience for each position[.];
   (c) Adopt, amend, and rescind rules and regulations to  govern  proce-
 dures of the commission, which shall include, but not be limited to, the
 procedure  whereby  a person who is required to file an annual financial
 disclosure statement with the commission may request an additional peri-
 od of time within which to file such statement, [other than  members  of
 the  legislature, candidates for members of the legislature and legisla-
 tive employees,] due to justifiable cause or undue hardship; such  rules
 or  regulations  shall  provide  for a date beyond which in all cases of
 justifiable cause or undue hardship no further extension of time will be
 granted;
   (d) Adopt, amend, and rescind rules and regulations to assist appoint-
 ing authorities in determining which persons  hold  policy-making  posi-
 tions for purposes of section seventy-three-a of the public officers law
 AND  MAY  PROMULGATE GUIDELINES TO ASSIST FIRMS, ASSOCIATIONS AND CORPO-
 RATIONS IN SEPARATING AFFECTED PERSONS FROM NET REVENUES FOR PURPOSES OF
 SUBDIVISION TEN OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW, AND
 PROMULGATE GUIDELINES TO ASSIST ANY FIRM, ASSOCIATION OR CORPORATION  IN
 WHICH ANY PRESENT OR FORMER STATEWIDE ELECTED OFFICIAL, STATE OFFICER OR
 EMPLOYEE,  MEMBER  OF  THE LEGISLATURE OR LEGISLATIVE EMPLOYEE, OR POLI-
 TICAL PARTY CHAIRMAN IS A MEMBER, ASSOCIATE, RETIRED MEMBER  OF  COUNSEL
 OR  SHAREHOLDER,  IN COMPLYING WITH THE PROVISIONS OF SUBDIVISION TEN OF
 SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW  WITH  RESPECT  TO  THE
 SEPARATION  OF  SUCH PRESENT OR FORMER STATEWIDE ELECTED OFFICIAL, STATE
 OFFICER OR EMPLOYEE, MEMBER OF THE LEGISLATURE OR LEGISLATIVE  EMPLOYEE,
 OR  POLITICAL  PARTY CHAIRMAN FROM THE NET REVENUES OF THE FIRM, ASSOCI-
 ATION OR CORPORATION. SUCH FIRM, ASSOCIATION OR CORPORATION SHALL NOT BE
 REQUIRED TO ADOPT THE PROCEDURES CONTAINED IN THE GUIDELINES  TO  ESTAB-
 LISH  COMPLIANCE  WITH  SUBDIVISION  TEN OF SECTION SEVENTY-THREE OF THE
 PUBLIC OFFICERS LAW, BUT IF SUCH FIRM, ASSOCIATION OR  CORPORATION  DOES
 ADOPT  SUCH PROCEDURES, IT SHALL BE DEEMED TO BE IN COMPLIANCE WITH SUCH
 SUBDIVISION TEN;

 S. 1458                             5
 
   (d-1) Adopt, amend and rescind  rules  and  regulations  defining  the
 permissible  use  of  and  promoting  the  proper  use of public service
 announcements;
   (e) Make available forms for annual statements of financial disclosure
 required  to  be  filed  pursuant to SUBDIVISION SIX OF SECTION SEVENTY-
 THREE AND section seventy-three-a of the public officers law;
   (f) Review financial disclosure  statements  in  accordance  with  the
 provisions  of  this  section, provided however, that the commission may
 delegate all or part of this review function to the  executive  director
 who  shall be responsible for completing staff review of such statements
 in a manner consistent with the terms of the commission's delegation;
   (g) Receive complaints and referrals alleging  violations  of  section
 seventy-three,  seventy-three-a  or  seventy-four of the public officers
 law, article one-A of the legislative law or section one  hundred  seven
 of the civil service law;
   (h)  Permit  any person who is required to file a financial disclosure
 statement with the [joint] commission [on public ethics] to request that
 the commission delete from the copy thereof made  available  for  public
 inspection  and  copying  one  or more items of information which may be
 deleted by the commission upon a finding  by  the  commission  that  the
 information  which  would otherwise be required to be made available for
 public inspection and copying will  have  no  material  bearing  on  the
 discharge of the reporting person's official duties. If such request for
 deletion is denied, the commission, in its notification of denial, shall
 inform  the person of his or her right to appeal the commission's deter-
 mination pursuant to its rules governing  adjudicatory  proceedings  and
 appeals adopted pursuant to subdivision fourteen of this section;
   (i)  Permit  any person who is required to file a financial disclosure
 statement with the [joint] commission [on public ethics] to  request  an
 exemption  from  any requirement to report one or more items of informa-
 tion which pertain to such person's  spouse  or  unemancipated  children
 which  item or items may be exempted by the commission upon a finding by
 the commission that the reporting individual's spouse, on his or her own
 behalf or on behalf of an unemancipated child, objects to providing  the
 information  necessary  to make such disclosure and that the information
 which would otherwise be required to be reported will have  no  material
 bearing  on  the discharge of the reporting person's official duties. If
 such request for exemption is denied, the commission, in  its  notifica-
 tion  of  denial,  shall inform the person of his or her right to appeal
 the commission's determination pursuant to its rules governing adjudica-
 tory proceedings and appeals adopted pursuant to subdivision fourteen of
 this section;
   (i-1) Permit any person required to file a financial disclosure state-
 ment to request an exemption from any requirement to report the identity
 of a client pursuant to question 8(b) in such statement  based  upon  an
 exemption  set forth in that question. The reporting individual need not
 seek an exemption to refrain from disclosing the identity of any  client
 with  respect  to any matter he or she or his or her firm provided legal
 representation to the client in  connection  with  an  investigation  or
 prosecution  by  law  enforcement  authorities,  bankruptcy, or domestic
 relations matters; in addition, clients or customers  receiving  medical
 or  dental  services,  mental  health  services, residential real estate
 brokering  services,  or  insurance  brokering  services  need  not   be
 disclosed[.];
   (j) Advise and assist any state agency in establishing rules and regu-
 lations  relating  to  possible  conflicts between private interests and

 S. 1458                             6
 
 official duties of present or former  statewide  elected  officials  and
 state officers and employees;
   (k)  Permit  any  person  who  has  not  been determined by his or her
 appointing authority to hold a policy-making position but who is  other-
 wise  required  to  file  a financial disclosure statement to request an
 exemption from such requirement in accordance with rules and regulations
 governing such exemptions. Such rules and regulations shall provide  for
 exemptions  to  be granted either on the application of an individual or
 on behalf of persons who share the same job title or employment  classi-
 fication  which  the  commission  deems to be comparable for purposes of
 this section. Such rules and regulations may permit the granting  of  an
 exemption  where, in the discretion of the commission, the public inter-
 est does not require  disclosure  and  the  applicant's  duties  do  not
 involve the negotiation, authorization or approval of:
   (i)  contracts,  leases,  franchises, revocable consents, concessions,
 variances, special permits, or licenses as defined in  section  seventy-
 three of the public officers law;
   (ii)  the  purchase,  sale, rental or lease of real property, goods or
 services, or a contract therefor;
   (iii) the obtaining of grants of money or loans; or
   (iv) the adoption or repeal of any rule or regulation having the force
 and effect of law;
   (l) Prepare an annual report to the governor and legislature summariz-
 ing the activities of the commission during the previous year and recom-
 mending any changes in the laws governing the conduct of persons subject
 to the jurisdiction of the commission, or  the  rules,  regulations  and
 procedures   governing  the  commission's  conduct.  Such  report  shall
 include: (i) a listing by assigned number of each complaint and referral
 received which alleged a possible  violation  within  its  jurisdiction,
 including  the current status of each complaint, and (ii) where a matter
 has been resolved, the date and nature of the disposition and any  sanc-
 tion  imposed,  subject  to  the  confidentiality  requirements  of this
 section, provided, however, that such annual report  shall  not  contain
 any information for which disclosure is not permitted pursuant to subdi-
 vision nineteen of this section;
   (m)  Determine  a  question  common  to a class or defined category of
 persons or items of information required to be disclosed, where determi-
 nation of the question will prevent undue  repetition  of  requests  for
 exemption  or  deletion  or prevent undue complication in complying with
 the requirements of such section; and
   (n) Promulgate guidelines for the commission to conduct a  program  of
 random  reviews,  to  be carried out in the following manner: (i) annual
 statements of financial disclosure shall be selected  for  review  in  a
 manner  pursuant  to  which  the identity of any particular person whose
 statement is selected is unknown to the commission and its  staff  prior
 to  its selection; (ii) such review shall include a preliminary examina-
 tion of the selected statement for internal  consistency,  a  comparison
 with  other  records  maintained by the commission, including previously
 filed statements and requests for advisory opinions, and examination  of
 relevant  public  information;  (iii) upon completion of the preliminary
 examination, the commission shall determine whether further  inquiry  is
 warranted, whereupon it shall notify the reporting individual in writing
 that  the  statement is under review, advise the reporting individual of
 the specific areas of inquiry, and provide the reporting individual with
 the opportunity to provide  any  relevant  information  related  to  the
 specific areas of inquiry, and the opportunity to file amendments to the

 S. 1458                             7
 
 selected  statement  on  forms  provided  by the commission; and (iv) if
 thereafter sufficient cause exists, the commission shall take additional
 actions, as appropriate and consistent with law.
   9-a.  (a)  When  an  individual becomes a commissioner or staff of the
 commission, that individual shall be required to sign  a  non-disclosure
 statement.
   (b)  Except  as  otherwise  required  or  provided  by  law, testimony
 received or any other information obtained by a commissioner or staff of
 the commission shall not be disclosed by  any  such  individual  to  any
 person  or  entity  outside  the  commission  during the pendency of any
 matter. Any confidential communication to any person or  entity  outside
 the  commission  related  to the matters before the commission may occur
 only as authorized by the commission.
   (c) The commission shall establish procedures necessary to prevent the
 unauthorized disclosure of any information received by any member of the
 commission or staff of the commission. Any breaches  of  confidentiality
 shall  be  investigated  by the inspector general and appropriate action
 shall be taken. Any commissioner or person employed  by  the  commission
 who intentionally and without authorization releases confidential infor-
 mation received by the commission shall be guilty of a class A misdemea-
 nor.
   9-b.  During the period of his or her service as a commissioner of the
 commission, each commissioner shall refrain from making,  or  soliciting
 from  other persons, any contributions to candidates for election to the
 offices of governor, lieutenant governor, member of the assembly or  the
 senate, attorney general or state comptroller.
   10.  The  commission shall prepare materials and design and administer
 an ethics training program for  individuals  subject  to  the  financial
 disclosure  requirements  of section seventy-three-a of the public offi-
 cers law with respect  to  the  provisions  of  sections  seventy-three,
 seventy-three-a,  and  seventy-four  of  the public officers law and any
 other law, administrative regulation, or  internal  policy  that  is  of
 relevance  to the ethical conduct of such individuals in public service,
 as follows:
   (a) The commission shall develop and administer a comprehensive ethics
 training course and shall designate and  train  instructors  to  conduct
 such  training.  Such course shall be designed as a two-hour program and
 shall include practical application of the material covered and a  ques-
 tion-and-answer  participatory  segment. Unless the commission grants an
 extension or waiver for good cause shown, all individuals subject to the
 financial disclosure requirements  of  section  seventy-three-a  of  the
 public  officers  law shall complete such course within two years of the
 effective date of the chapter of the laws of two thousand  eleven  which
 amended  this  section,  or  for  those individuals elected or appointed
 after the effective date of [the] SECTION SIX OF PART A OF chapter THREE
 HUNDRED NINETY-NINE of the laws of two  thousand  eleven  which  amended
 this  section,  within  two  years  of becoming subject to the financial
 disclosure requirements of section seventy-three-a of the  public  offi-
 cers law.
   (b)  The  commission  shall  develop  and  administer an online ethics
 orientation course and shall notify all individuals newly subject to the
 financial disclosure requirements  of  section  seventy-three-a  of  the
 public  officers  law  of  such course, which shall be completed by such
 individuals within three months of becoming  subject  to  such  require-
 ments,  unless  the  commission  grants  an extension or waiver for good
 cause shown. Individuals who have  completed  the  comprehensive  ethics

 S. 1458                             8
 
 training  course  shall  not  be  required to complete the online ethics
 orientation course.
   (c)  The  commission shall develop and administer an ethics seminar or
 ethics seminars  for  individuals  who  have  previously  completed  the
 comprehensive ethics training course. Such seminars shall be designed as
 ninety-minute programs and shall include any changes in law, regulation,
 or policy or in the interpretation thereof, practical application of the
 material  covered, and a question-and-answer segment. Unless the commis-
 sion grants an extension or waiver for good cause shown,  such  individ-
 uals  shall  be  scheduled to attend a seminar at least once every three
 years after having completed the comprehensive ethics  training  course.
 In  lieu of attending an ethics seminar, such individuals may complete a
 subsequent comprehensive ethics training program.
   (d) The provisions of this subdivision  shall  be  applicable  to  the
 legislature  except  to  the  extent  that an ethics training program is
 otherwise established by the assembly or  senate  for  their  respective
 members  and  employees  and  such  program meets or exceeds each of the
 requirements set forth in this section.
   (e) On an annual basis, the [joint] commission [in  coordination  with
 the legislative ethics commission] shall determine the status of compli-
 ance  with  these  training requirements by each state agency and by the
 senate and the assembly.  Such  determination  shall  include  aggregate
 statistics  regarding  participation  in  such  training,  and  shall be
 reported to the governor and the legislature in writing.
   10-A. THE COMMISSION SHALL DEVELOP EDUCATIONAL MATERIALS AND  TRAINING
 WITH  REGARD  TO  LEGISLATIVE  ETHICS FOR MEMBERS OF THE LEGISLATURE AND
 LEGISLATIVE EMPLOYEES INCLUDING AN ONLINE ETHICS ORIENTATION COURSE  FOR
 NEWLY-HIRED  EMPLOYEES  AND, AS REQUESTED BY THE SENATE OR THE ASSEMBLY,
 MATERIALS AND TRAINING IN RELATION TO A  COMPREHENSIVE  ETHICS  TRAINING
 PROGRAM.
   11. The commission, or the executive director and staff of the commis-
 sion  if  responsibility  therefor has been delegated, shall inspect all
 financial disclosure statements filed with the commission  to  ascertain
 whether  any  person  subject  to  the reporting requirements of section
 seventy-three-a of the public officers law has failed  to  file  such  a
 statement,  has  filed  a  deficient  statement or has filed a statement
 which reveals a possible violation of  section  seventy-three,  seventy-
 three-a or seventy-four of the public officers law.
   12. If a person required to file a financial disclosure statement with
 the  commission has failed to file a disclosure statement or has filed a
 deficient statement, the commission shall notify the reporting person in
 writing, state the failure to file or detail the deficiency, provide the
 person with a fifteen day period to cure the deficiency, and advise  the
 person  of  the  penalties  for  failure  to  comply  with the reporting
 requirements. Such notice shall be confidential. If the person fails  to
 make  such  filing  or fails to cure the deficiency within the specified
 time period, the commission shall send a notice of delinquency:  (a)  to
 the  reporting  person; (b) in the case of a statewide elected official,
 member of the legislature, or a legislative employee, to  the  temporary
 president  of the senate and the speaker of the assembly; and (c) in the
 case of a state officer or employee, to  the  appointing  authority  for
 such  person.  Such notice of delinquency may be sent at any time during
 the reporting person's service as a statewide  elected  official,  state
 officer or employee, member of the assembly or the senate, or a legisla-
 tive employee or a political party chair or while a candidate for state-

 S. 1458                             9
 
 wide  office,  or  within  one year after termination of such service or
 candidacy.
   12-A.  The  jurisdiction  of  the  commission, when acting pursuant to
 [subdivision fourteen  of]  this  section  [with  respect  to  financial
 disclosure],  shall continue notwithstanding that the [reporting] person
 separates from state service, or ceases  to  hold  public  or  political
 party office, or ceases to be a candidate, provided the commission noti-
 fies  such  person  of  the alleged [failure to file or deficient filing
 pursuant to this subdivision] VIOLATION OF LAW WITHIN ONE YEAR FROM  HIS
 OR  HER  SEPARATION  FROM STATE SERVICE, THE TERMINATION FROM HIS OR HER
 OFFICE OR THE TERMINATION OF HIS OR HER CANDIDACY.
   13. (a) Investigations. If the commission receives a  sworn  complaint
 alleging  a  violation  of  section  seventy-three,  seventy-three-a, or
 seventy-four of the public officers law, section one  hundred  seven  of
 the  civil  service  law  or  article  one-A of the legislative law by a
 person or entity subject to the jurisdiction of the commission including
 members of the legislature and legislative employees and candidates  for
 member  of  the  legislature,  or  if a reporting individual has filed a
 statement which reveals a possible violation of these provisions, or  if
 the  commission determines on its own initiative to investigate a possi-
 ble violation, the commission shall notify the  individual  in  writing,
 describe  the  possible  or  alleged  violation  of such laws, provide a
 description of the allegations against him or her and the  evidence,  if
 any,  supporting  such  allegations,  provided  however  that  the joint
 commission shall redact any information that might, in the  judgment  of
 the commission, be prejudicial to either the complainant or the investi-
 gation;  the  letter also shall set forth the sections of law alleged to
 have been violated and provide the person with a fifteen day  period  in
 which  to submit a written response, including any evidence, statements,
 and proposed witnesses, setting forth information relating to the activ-
 ities cited as a possible or alleged violation of  law.  The  commission
 shall,  within  sixty  calendar  days after a complaint or a referral is
 received or an investigation is initiated on the commission's own initi-
 ative, vote on whether to commence a full investigation  of  the  matter
 under  consideration  to determine whether a substantial basis exists to
 conclude that a violation of law has occurred. The staff  of  the  joint
 commission  shall  provide to the members prior to such vote information
 regarding the likely scope and  content  of  the  investigation,  and  a
 subpoena  plan, to the extent such information is available. Such inves-
 tigation shall be conducted if at least [eight]  THREE  members  of  the
 commission  vote  to  authorize  it. [Where the subject of such investi-
 gation is a member of the legislature or a  legislative  employee  or  a
 candidate  for  member  of the legislature, at least two of the eight or
 more members who so vote to authorize such an  investigation  must  have
 been  appointed  by a legislative leader or leaders from the major poli-
 tical party in which  the  subject  of  the  proposed  investigation  is
 enrolled  if  such  person is enrolled in a major political party. Where
 the subject of such investigation is a state officer or state  employee,
 at  least two of the eight or more members who so vote to authorize such
 an investigation must have been appointed by the governor and lieutenant
 governor. Where the subject of such investigation is a statewide elected
 official or a direct appointee of such an official, at least two of  the
 eight  or  more  members  who so vote to authorize such an investigation
 must have been appointed by the governor and lieutenant governor and  be
 enrolled  in  the  major  political  party  in  which the subject of the

 S. 1458                            10

 proposed investigation is enrolled, if such  person  is  enrolled  in  a
 major political party.]
   (b)  Substantial basis investigation. Upon the affirmative vote of not
 less than [eight] THREE commission members  to  commence  a  substantial
 basis  investigation,  written notice of the commission's decision shall
 be provided to the individual who is the  subject  of  such  substantial
 basis  investigation.  Such  written  notice shall include a copy of the
 commission's rules and procedures and shall also include notification of
 such individual's right to be heard within thirty calendar days  of  the
 date  of  the  commission's  written  notice. If the commission votes to
 commence a substantial basis investigation, the commission shall provide
 to the individual a notice setting forth the alleged violations  of  law
 and  the  factual  basis  for  those  allegations.  The commission shall
 provide to the individual any additional evidence supporting the allega-
 tions not set forth in the letter sent pursuant to paragraph (a) of this
 subdivision in sufficient detail to enable the individual to respond, at
 least seven days before the hearing. Such hearing shall afford the indi-
 vidual with a reasonable opportunity to appear in person, and by  attor-
 ney, give sworn testimony and present evidence. Such hearing shall occur
 before  the  commission  votes  on whether or not to issue a substantial
 basis report. The commission shall also inform  the  individual  of  its
 rules  regarding the conduct of adjudicatory proceedings and appeals and
 the other due process procedural mechanisms available to  such  individ-
 ual.  If  the  commission  determines  at  any  stage  that  there is no
 violation, that any potential violation has been rectified,  or  if  the
 investigation  is  closed  for  any other reason, it shall so advise the
 individual and the complainant, if any in writing within fifteen days of
 such decision. All of the foregoing proceedings shall be confidential.
   (c) The jurisdiction of the commission when acting  pursuant  to  this
 section shall continue notwithstanding that a statewide elected official
 or  a state officer or employee or member of the legislature or legisla-
 tive employee separates from state service, or a political  party  chair
 ceases  to hold such office, or a candidate ceases to be a candidate, or
 a lobbyist or client of a lobbyist ceases to act as such, provided  that
 the  commission  notifies  such  individual  or  entity  of  the alleged
 violation of law pursuant to paragraph (a) of  this  subdivision  within
 one  year  from  his  or her separation from state service or his or her
 termination of party service or candidacy, or from his, her or its  last
 report  filed pursuant to article one-A of the legislative law.  Nothing
 in this section shall serve to limit the jurisdiction of the  commission
 in  enforcement  of  subdivision  eight  of section seventy-three of the
 public officers law.
   14. An individual subject to the jurisdiction of  the  commission  who
 knowingly  and intentionally violates the provisions of subdivisions two
 through five-a, seven, eight, twelve or fourteen  through  seventeen  of
 section  seventy-three  of  the public officers law, section one hundred
 seven of the civil service law, or a reporting individual who  knowingly
 and  wilfully  fails to file an annual statement of financial disclosure
 or who knowingly and wilfully with  intent  to  deceive  makes  a  false
 statement  or  fraudulent omission or gives information which such indi-
 vidual knows to be false on such statement of financial disclosure filed
 pursuant to section seventy-three-a of the public officers law shall  be
 subject  to  a  civil  penalty in an amount not to exceed forty thousand
 dollars and the value of any gift, compensation or benefit received as a
 result of such violation. An individual who knowingly and  intentionally
 violates  the provisions of paragraph a, b, c, d, e, g, or i of subdivi-

 S. 1458                            11
 
 sion three of section seventy-four of the public officers law  shall  be
 subject  to  a  civil  penalty  in  an amount not to exceed ten thousand
 dollars and the value of any gift, compensation or benefit received as a
 result  of  such violation. An individual subject to the jurisdiction of
 the commission who knowingly and willfully violates article one-A of the
 legislative law shall be subject to civil penalty  as  provided  for  in
 that  article.  [Except  with  respect to members of the legislature and
 legislative employees, assessment] ASSESSMENT of a civil  penalty  here-
 under shall be made by the commission with respect to persons subject to
 its  jurisdiction.  With  respect  to  a violation of any law other than
 sections seventy-three, seventy-three-a, and seventy-four of the  public
 officers law, where the commission finds sufficient cause by a vote held
 in the same manner as set forth in paragraph (b) of subdivision thirteen
 of  this section, it shall refer such matter to the appropriate prosecu-
 tor for further investigation. In assessing  the  amount  of  the  civil
 penalties  to  be imposed, the commission shall consider the seriousness
 of the violation, the amount of gain to the individual and  whether  the
 individual previously had any civil or criminal penalties imposed pursu-
 ant  to  this section, and any other factors the commission deems appro-
 priate. [Except with respect to members of the legislature and  legisla-
 tive employees, for] FOR a violation of this subdivision, other than for
 conduct  which  constitutes  a violation of section one hundred seven of
 the civil service law, subdivisions twelve or fourteen through seventeen
 of section seventy-three or section seventy-four of the public  officers
 law or article one-A of the legislative law, the commission may, in lieu
 of or in addition to a civil penalty, refer a violation to the appropri-
 ate prosecutor and upon such conviction, such violation shall be punish-
 able  as a class A misdemeanor. A civil penalty for false filing may not
 be imposed hereunder in the event a  category  of  "value"  or  "amount"
 reported  hereunder  is  incorrect  unless  such reported information is
 falsely understated. Notwithstanding any other provision of law  to  the
 contrary, no other penalty, civil or criminal may be imposed for a fail-
 ure to file, or for a false filing, of such statement, or a violation of
 subdivision  six  of  section  seventy-three of the public officers law,
 except that the appointing authority may impose disciplinary  action  as
 otherwise  provided  by law. The commission may refer violations of this
 subdivision to the  appointing  authority  for  disciplinary  action  as
 otherwise provided by law. The commission shall be deemed to be an agen-
 cy  within  the  meaning  of  article  three of the state administrative
 procedure act and shall adopt rules governing the conduct of adjudicato-
 ry proceedings and appeals taken  pursuant  to  a  proceeding  commenced
 under article seventy-eight of the civil practice law and rules relating
 to  the  assessment of the civil penalties herein authorized and commis-
 sion denials of requests for certain deletions or exemptions to be  made
 from  a financial disclosure statement as authorized in paragraph (h) or
 paragraph (i) of subdivision nine of this  section.  Such  rules,  which
 shall  not be subject to the approval requirements of the state adminis-
 trative procedure act, shall provide for due  process  procedural  mech-
 anisms  substantially similar to those set forth in article three of the
 state administrative procedure act but such mechanisms need not be iden-
 tical in terms or scope. Assessment of a  civil  penalty  or  commission
 denial  of  such  a request shall be final unless modified, suspended or
 vacated within thirty days of imposition, with respect to the assessment
 of such penalty, or unless such denial of  request  is  reversed  within
 such  time period, and upon becoming final shall be subject to review at
 the instance of the  affected  reporting  individuals  in  a  proceeding

 S. 1458                            12
 
 commenced  against  the commission, pursuant to article seventy-eight of
 the civil practice law and rules.
   14-a.  [The  joint commission on public ethics shall have jurisdiction
 to investigate, but shall have no jurisdiction to impose penalties  upon
 members  of  or  candidates for member of the legislature or legislative
 employees for any violation of the public officers law.] If,  after  its
 substantial  basis  investigation,  by  a vote of at least [eight] THREE
 members, [two of whom are enrolled members of the investigated  individ-
 ual's political party if the individual is enrolled in a major political
 party  and  were  appointed  by  a  legislative leader of such political
 party,] the [joint] commission [on public ethics] has found  a  substan-
 tial basis to conclude that a member of the legislature or a legislative
 employee  or  candidate  for  member of the legislature has violated any
 provisions of such laws, it shall [present] PREPARE a written report [to
 the legislative ethics commission,] and deliver a copy of the report  to
 the  individual  who  is  the subject of the report. Such written report
 shall include:
   (a) the commission's findings of fact and any  evidence  addressed  in
 such  findings;  conclusions  of  law and citations to any relevant law,
 rule, opinion, regulation or standard of conduct upon which  it  relied;
 and
   (b) a determination that a substantial basis exists to conclude that a
 violation  has  occurred,  and  the  reasons and basis for such determi-
 nation.
   [The joint commission shall also separately provide to the legislative
 ethics commission copies  of  additional  documents  or  other  evidence
 considered including evidence that may contradict the joint commission's
 findings,  the  names  of and other information regarding any additional
 witnesses, and any other materials.] With respect to a violation of  any
 law other than sections seventy-three, seventy-three-a, and seventy-four
 of  the public officers law, where the joint commission finds sufficient
 cause by a vote held in the same manner as set forth in paragraph (b) of
 subdivision thirteen of this section, it shall refer such matter to  the
 appropriate prosecutor.
   14-b.  [With respect to the investigation of any individual who is not
 a member of the legislature or a legislative employee or  candidate  for
 member  of the legislature, if after its investigation the joint commis-
 sion has found a substantial basis to conclude that the  individual  has
 violated  the  public  officers  law  or  the legislative law, the joint
 commission shall send a substantial basis investigation report  contain-
 ing  its findings of fact and conclusions of law to the individual. With
 respect to an individual who is a statewide elected official or a direct
 appointee of such an official, no violation  may  be  found  unless  the
 majority  voting  in  support  of  such  a finding includes at least two
 members appointed by the governor and lieutenant governor  and  enrolled
 in the individual's major political party, if he or she is enrolled in a
 major  political  party.  Where  the  subject of such investigation is a
 state officer or employee who is not a direct appointee of  a  statewide
 elected  official, at least two of the eight or more members who vote to
 issue a substantial basis investigation report must have been  appointed
 by  the  governor  and lieutenant governor. The commission shall release
 such report publicly within forty-five days of its issuance.
   14-c. With respect to an investigation of a  lobbyist,  if  after  its
 investigation  the  joint  commission  has  found a substantial basis to
 conclude that the lobbyist has violated the legislative law,  the  joint
 commission shall issue a substantial basis investigation report contain-

 S. 1458                            13

 ing  its  findings  of  fact  and conclusions of law to the lobbyist and
 shall make public such report within forty-five days of  its  issuance.]
 NOT LATER THAN FORTY-FIVE CALENDAR DAYS AFTER PREPARATION BY THE COMMIS-
 SION  OF  A  WRITTEN  SUBSTANTIAL  BASIS  INVESTIGATION  REPORT  AND ANY
 SUPPORTING DOCUMENTATION OR OTHER MATERIALS REGARDING  A  MATTER  BEFORE
 THE  COMMISSION  PURSUANT  TO  THIS  SECTION,  UNLESS REQUESTED BY A LAW
 ENFORCEMENT AGENCY TO SUSPEND THE  COMMISSION'S  ACTION  BECAUSE  OF  AN
 ONGOING  CRIMINAL  INVESTIGATION,  THE COMMISSION SHALL MAKE PUBLIC SUCH
 REPORT IN ITS ENTIRETY; PROVIDED, HOWEVER, THAT THE COMMISSION MAY WITH-
 HOLD SUCH INFORMATION FOR NOT MORE THAN ONE  ADDITIONAL  PERIOD  OF  THE
 SAME  DURATION  AND,  IF  DEEMED  NECESSARY, CONDUCT ADDITIONAL INVESTI-
 GATION, IN WHICH CASE THE COMMISSION SHALL, UPON THE TERMINATION OF SUCH
 ADDITIONAL PERIOD OR UPON PREPARATION OF A NEW REPORT AFTER  SUCH  ADDI-
 TIONAL  INVESTIGATION,  MAKE PUBLIC THE WRITTEN REPORT AND PUBLISH IT ON
 THE COMMISSION'S WEBSITE. THE COMMISSION SHALL  NOT  CONDUCT  ADDITIONAL
 INVESTIGATION  MORE  THAN  ONCE.  IF  THE COMMISSION CONDUCTS ADDITIONAL
 FACT-FINDING, THE COMMISSION'S ORIGINAL REPORT  SHALL  REMAIN  CONFIDEN-
 TIAL.
   14-C.  THE  COMMISSION  SHALL REVIEW THE MATTER ADDRESSED IN A WRITTEN
 SUBSTANTIAL BASIS INVESTIGATION REPORT. NO LATER THAN NINETY DAYS  AFTER
 FINAL  PREPARATION  OF  SUCH REPORT, THE COMMISSION SHALL DISPOSE OF THE
 MATTER BY MAKING ONE OR MORE OF THE FOLLOWING DETERMINATIONS:
   A. WHETHER THE COMMISSION ADOPTS THE FINAL CONTENT OF SUCH A REPORT;
   B. WHETHER AND WHICH PENALTIES HAVE BEEN ASSESSED PURSUANT TO APPLICA-
 BLE LAW OR RULE AND THE REASONS THEREFOR; AND
   C. WHETHER FURTHER ACTIONS HAVE BEEN TAKEN BY THE COMMISSION TO PUNISH
 OR DETER THE MISCONDUCT AT ISSUE AND THE REASONS THEREFOR.
   THE  COMMISSION'S  DISPOSITION  SHALL  BE  REPORTED  IN  WRITING   AND
 PUBLISHED  ON  ITS WEBSITE NO LATER THAN TEN DAYS AFTER SUCH DISPOSITION
 UNLESS REQUESTED BY A LAW ENFORCEMENT AGENCY TO SUSPEND THE COMMISSION'S
 ACTION BECAUSE OF AN ONGOING CRIMINAL INVESTIGATION.
   15. A copy of any notice of delinquency or substantial basis  investi-
 gation  report  shall  be included in the reporting person's file and be
 available for public inspection and copying pursuant to  the  provisions
 of this section.
   16.  Upon written request from any person who is subject to the juris-
 diction of the commission and  the  requirements  of  sections  seventy-
 three,  seventy-three-a  or  seventy-four  of  the  public officers law,
 [other than members of the legislature, candidates  for  member  of  the
 legislature  and  employees  of  the  legislature,] the commission shall
 render written advisory opinions on the requirements of said provisions.
 An opinion rendered by the  commission  OR  BY  THE  FORMER  LEGISLATIVE
 ETHICS COMMISSION, until and unless amended or revoked, shall be binding
 on the commission in any subsequent proceeding concerning the person who
 requested the opinion and who acted in good faith, unless material facts
 were  omitted  or misstated by the person in the request for an opinion.
 Such opinion may also be relied upon by such person, and may  be  intro-
 duced  and  shall  be  a  defense, in any criminal or civil action. Such
 requests shall be confidential but the commission may publish such opin-
 ions provided that the name of the requesting person and other identify-
 ing details shall not be included in the publication.
   17. In addition to any other powers and duties specified by  law,  the
 commission shall have the power and duty to:
   (a) Promulgate rules concerning restrictions on outside activities and
 limitations  on the receipt of gifts and honoraria by persons subject to
 its jurisdiction, provided, however, a violation of such rules in and of

 S. 1458                            14
 
 itself shall not be punishable pursuant to subdivision fourteen of  this
 section  unless  the  conduct constituting the violation would otherwise
 constitute a violation of this section; and
   (b) Administer and enforce all the provisions of this section; and
   (c) Conduct any investigation necessary to carry out the provisions of
 this section. Pursuant to this power and duty, the commission may admin-
 ister oaths or affirmations, subpoena witnesses, compel their attendance
 and  require  the  production  of any books or records which it may deem
 relevant or material;
   18. Within one hundred twenty days  of  the  effective  date  of  this
 subdivision,  the  commission  shall  create  and  thereafter maintain a
 publicly accessible website which shall  set  forth  the  procedure  for
 filing  a  complaint  with  the  commission, and which shall contain the
 documents identified in subdivision nineteen of this section, other than
 financial disclosure statements filed by state officers or employees  or
 legislative  employees,  and  any other records or information which the
 commission determines to be appropriate.
   19. (a) Notwithstanding the provisions of article six  of  the  public
 officers  law,  the only records of the commission which shall be avail-
 able for public inspection and copying are:
   (1) the information set forth in  an  annual  statement  of  financial
 disclosure filed pursuant to section seventy-three-a of the public offi-
 cers  law except information deleted pursuant to paragraph (h) of subdi-
 vision nine of this section;
   (2) notices of delinquency  sent  under  subdivision  twelve  of  this
 section;
   (3)  notices  of  civil  assessments  imposed under this section which
 shall include a description of the nature of the alleged wrongdoing, the
 procedural history of the complaint,  the  findings  and  determinations
 made by the commission, and any sanction imposed;
   (4) the terms of any settlement or compromise of a complaint or refer-
 ral which includes a fine, penalty or other remedy;
   (5)  those required to be held or maintained publicly available pursu-
 ant to article one-A of the legislative law; and
   (6) substantial basis investigation reports issued by  the  commission
 pursuant  to subdivision fourteen-a or fourteen-b of this section. [With
 respect to reports concerning members of the legislature or  legislative
 employees or candidates for member of the legislature, the joint commis-
 sion  shall  not publicly disclose or otherwise disseminate such reports
 except in conformance with the requirements of paragraph (b) of subdivi-
 sion nine of section eighty of the legislative law.]
   (b) Notwithstanding the provisions of  article  seven  of  the  public
 officers  law,  no  meeting or proceeding, including any such proceeding
 contemplated under paragraph (h) or (i)  of  subdivision  nine  of  this
 section,  of  the  commission  shall  be  open  to the public, except if
 expressly provided otherwise by the commission  or  as  is  required  by
 article one-A of the legislative law.
   (c)  Pending  any application for deletion or exemption to the commis-
 sion, all information which is the subject or a part of the  application
 shall  remain confidential. Upon an adverse determination by the commis-
 sion, the reporting individual may request, and upon  such  request  the
 commission  shall  provide, that any information which is the subject or
 part of the application remain confidential for a period of thirty  days
 following  notice of such determination. In the event that the reporting
 individual resigns his office and holds no other office subject  to  the

 S. 1458                            15
 
 jurisdiction of the commission, the information shall not be made public
 and shall be expunged in its entirety.
   20.    THE  COMMISSION SHALL CREATE AND THEREAFTER MAINTAIN A PUBLICLY
 ACCESSIBLE WEBSITE WHICH SHALL SET FORTH  THE  PROCEDURE  FOR  FILING  A
 COMPLAINT WITH THE COMMISSION, AND WHICH SHALL CONTAIN ANY OTHER RECORDS
 OR INFORMATION WHICH THE COMMISSION DETERMINES TO BE APPROPRIATE.
   21. If any part or provision of this section or the application there-
 of  to  any  person  or organization is adjudged by a court of competent
 jurisdiction to be unconstitutional or otherwise invalid, such  judgment
 shall  not  affect or impair any other part or provision or the applica-
 tion thereof to any other person or organization, but shall be  confined
 in its operation to such part or provision.
   §  3.  Subdivision 5 of section 12 of the legislative law, as added by
 chapter 141 of the laws of 1994, is amended to read as follows:
   5. Notwithstanding any provision of law to the contrary, services  and
 expenses  of the legislative health service, legislative library, legis-
 lative messenger service, [legislative ethics committee]  JOINT  COMMIS-
 SION ON PUBLIC ETHICS, joint operations of the legislative task force on
 demographic  research  and  reapportionment,  and  contributions  to the
 national conference of state legislatures shall be payable  after  audit
 by  and on the warrant of the comptroller upon vouchers certified by the
 temporary president of the senate or his or her designee and the speaker
 of the assembly or his or her designee.
   § 4.  Paragraph (a) of subdivision 1, the opening paragraph  of  para-
 graph  (a) and paragraph (c) of subdivision 6, paragraph (g) of subdivi-
 sion 8, and subdivision 10 of section 73 of  the  public  officers  law,
 paragraph  (a)  of  subdivision  1  as amended by section 1 of part A of
 chapter 399 of the laws of 2011, the opening paragraph of paragraph  (a)
 and  paragraph (c) of subdivision 6 as amended by section 3 of part K of
 chapter 286 of the laws of 2016, paragraph (g) of subdivision 8 as added
 by chapter 218 of the laws of 1998, and subdivision  10  as  amended  by
 section  5  of part K of chapter 286 of the laws of 2016, are amended to
 read as follows:
   (a) The term "compensation" shall mean any money, thing  of  value  or
 financial  benefit  conferred  in  return for services rendered or to be
 rendered. With regard to matters undertaken by a  firm,  corporation  or
 association, compensation shall mean net revenues, as defined in accord-
 ance  with  generally  accepted  accounting principles as defined by the
 joint commission on public ethics [or legislative ethics commission]  in
 relation  to  persons  subject  to  [their respective jurisdictions] THE
 JOINT COMMISSION'S JURISDICTION.
   Every legislative employee not subject to the  provisions  of  section
 seventy-three-a  of  this chapter shall, on and after December fifteenth
 and before the following January fifteenth, in each year, file with  the
 joint  commission  on  public ethics [and the legislative ethics commis-
 sion] a financial disclosure statement of
   (c) Any such legislative employee  who  knowingly  and  wilfully  with
 intent  to deceive makes a false statement or gives information which he
 or she knows to be false in any written statement required to  be  filed
 pursuant  to  this  subdivision, shall be assessed a civil penalty in an
 amount not to exceed ten thousand dollars. Assessment of a civil penalty
 shall be made by the [legislative ethics commission] JOINT COMMISSION ON
 PUBLIC ETHICS in accordance with the  provisions  of  subdivision  [ten]
 FOURTEEN  of section [eighty] NINETY-FOUR of the [legislative] EXECUTIVE
 law.  For a violation of this subdivision, the JOINT commission may,  in
 lieu of a civil penalty, refer a violation to the appropriate prosecutor

 S. 1458                            16
 
 and  upon conviction, but only after such referral, such violation shall
 be punishable as a class A misdemeanor.
   (g)  Notwithstanding  the  provisions of subparagraphs (i) and (ii) of
 paragraph (a) of this subdivision, a former state  officer  or  employee
 may  contract individually, or as a member or employee of a firm, corpo-
 ration or association, to render services to any state agency  when  the
 agency  head certifies in writing to the [state ethics commission] JOINT
 COMMISSION ON PUBLIC ETHICS that the services of such former officer  or
 employee are required in connection with the agency's efforts to address
 the state's year 2000 compliance problem.
   10.  Nothing  contained in this section, the judiciary law, the educa-
 tion law or any other law or disciplinary rule  shall  be  construed  or
 applied  to  prohibit any firm, association or corporation, in which any
 present or former statewide elected official, state officer or employee,
 or political party chairman, member of the  legislature  or  legislative
 employee  is  a  member, associate, retired member, of counsel or share-
 holder, from appearing, practicing, communicating or otherwise rendering
 services in relation to any matter before, or transacting business  with
 a  state  agency,  or  a  city  agency with respect to a political party
 chairman in a county wholly included in a city with a population of more
 than one million, otherwise proscribed by this  section,  the  judiciary
 law,  the  education  law  or  any  other  law or disciplinary rule with
 respect to such official,  member  of  the  legislature  or  officer  or
 employee,  or  political  party  chairman,  where such statewide elected
 official, state officer or employee, member of the legislature or legis-
 lative employee, or political party chairman does not share in  the  net
 revenues,  as  defined  in accordance with generally accepted accounting
 principles by the joint commission on public ethics [or by the  legisla-
 tive ethics commission] in relation to persons subject to [their respec-
 tive jurisdictions] THE JOINT COMMISSION'S JURISDICTION, resulting ther-
 efrom,  or,  acting  in  good  faith, reasonably believed that he or she
 would not share in the net revenues as so defined;  nor  shall  anything
 contained  in  this section, the judiciary law, the education law or any
 other law or disciplinary rule be construed to prohibit any firm,  asso-
 ciation  or corporation in which any present or former statewide elected
 official, member of the  legislature,  legislative  employee,  full-time
 salaried  state  officer or employee or state officer or employee who is
 subject to the provisions of section seventy-three-a of this article  is
 a  member,  associate,  retired  member, of counsel or shareholder, from
 appearing, practicing, communicating or otherwise rendering services  in
 relation  to  any matter before, or transacting business with, the court
 of claims, where such statewide elected official, member of the legisla-
 ture, legislative employee, full-time salaried state officer or employee
 or state officer or employee who is subject to the provisions of section
 seventy-three-a of this article does not share in the net  revenues,  as
 defined  in  accordance with generally accepted accounting principles by
 the joint commission on public ethics  [or  by  the  legislative  ethics
 commission]  in  relation to persons subject to [their respective juris-
 dictions] THE JOINT COMMISSION'S JURISDICTION, resulting therefrom,  or,
 acting in good faith, reasonably believed that he or she would not share
 in the net revenues as so defined.
   §  5. Paragraphs (d) and (d-1) of subdivision 1, the opening paragraph
 and subparagraphs (ii), (viii) and (ix) of paragraph (a) and  paragraphs
 (c), (e), (f) and (g) of subdivision 2 and subdivision 4 of section 73-a
 of  the public officers law, paragraph (d) of subdivision 1, the opening
 paragraph and subparagraphs (ii), (viii) and (ix) of paragraph  (a)  and

 S. 1458                            17
 
 paragraphs  (c),  (e), (f) and (g) of subdivision 2 and subdivision 4 as
 amended and paragraph (d-1) of subdivision 1 as added by  section  5  of
 part  A  of  chapter  399  of  the  laws of 2011, are amended to read as
 follows:
   (d) The term "legislative employee" shall mean any officer or employee
 of  the  legislature  who  receives annual compensation in excess of the
 filing rate established by paragraph (l) below or who is  determined  to
 hold  a  policy-making position by the appointing authority as set forth
 in a written instrument which  shall  be  filed  with  the  [legislative
 ethics commission and the] joint commission on public ethics.
   (d-1)  A  financial  disclosure statement required pursuant to section
 seventy-three of this article and this section shall be  deemed  "filed"
 with  the  joint commission on public ethics upon its filing, in accord-
 ance with this section, [with the legislative ethics commission] for all
 purposes including, but not limited to, subdivision fourteen of  section
 ninety-four of the executive law[, subdivision nine of section eighty of
 the legislative law] and subdivision four of this section.
   Every statewide elected official, state officer or employee, member of
 the  legislature,  legislative employee and political party chairman and
 every candidate for statewide elected office or for member of the legis-
 lature shall file an annual statement of financial disclosure containing
 the information and in the form set forth in subdivision three  of  this
 section.  On  or  before  the  fifteenth  day of May with respect to the
 preceding calendar year: (1) every  member  of  the  legislature,  every
 candidate  for  member of the legislature and legislative employee shall
 file  such  statement,  ALONG  WITH  ANY  REQUESTS  FOR  EXEMPTIONS   OR
 DELETIONS,  with  the [legislative ethics commission which shall provide
 such statement along with any requests for exemptions  or  deletions  to
 the]  joint  commission  on  public ethics [for filing and], WHICH SHALL
 MAKE rulings with respect to such requests for exemptions or  deletions,
 on  or  before  the thirtieth day of June; and (2) all other individuals
 required to file such statement shall file it with the joint  commission
 on public ethics, except that:
   (ii)  a  person who is required to file an annual financial disclosure
 statement with the joint commission on public ethics, and who is granted
 an additional period of time within which to file such statement due  to
 justifiable  cause  or undue hardship, in accordance with required rules
 and regulations on the subject adopted pursuant to paragraph c of subdi-
 vision nine of section ninety-four of the executive law shall file  such
 statement  within the additional period of time granted[; and the legis-
 lative ethics commission shall notify the  joint  commission  on  public
 ethics of any extension granted pursuant to this paragraph];
   (viii)  a  candidate  substituted  for  another candidate, who fills a
 vacancy in a party designation or in an independent  nomination,  caused
 by declination, shall file such statement within ten days after the last
 day allowed by law to file a certificate to fill a vacancy in such party
 designation or independent nomination[;
   (ix) with respect to all candidates for member of the legislature, the
 legislative  ethics commission shall within five days of receipt provide
 the joint commission on public ethics the statement  filed  pursuant  to
 subparagraphs (v), (vi), (vii) and (viii) of this paragraph].
   (c)  If  the  reporting individual is a senator or member of assembly,
 candidate for the senate or member of assembly or a legislative  employ-
 ee,  [such  statement  shall  be  filed with both the legislative ethics
 commission established by section eighty of the legislative law and  the
 joint  commission on public ethics in accordance with paragraph (d-1) of

 S. 1458                            18

 subdivision one of this section.  If  the  reporting  individual  is  a]
 statewide  elected  official,  candidate for statewide elected office, a
 state officer or employee or a political party chairman, such  statement
 shall be filed with the joint commission on public ethics established by
 section ninety-four of the executive law.
   (e)  Any  person required to file such statement who commences employ-
 ment after May fifteenth of any year, MEMBERS OF THE LEGISLATURE, LEGIS-
 LATIVE EMPLOYEES, and political party chairman shall file such statement
 within thirty days after commencing employment or of taking the position
 of political party chairman, as the case may be. [In the case of members
 of the legislature and legislative employees, such statements  shall  be
 filed  with  the  legislative ethics commission within thirty days after
 commencing employment,  and  the  legislative  ethics  commission  shall
 provide  such statements to the joint commission on public ethics within
 forty-five days of receipt.]
   (f) A person who may otherwise be required to file more than one annu-
 al financial disclosure statement [with both  the  joint  commission  on
 public ethics and the legislative ethics commission] in any one calendar
 year  may  satisfy  such  requirement  by filing one such statement with
 [either body and by notifying the other body  of  such  compliance]  THE
 JOINT COMMISSION ON PUBLIC ETHICS.
   (g)  A person who is employed in more than one employment capacity for
 one or more employers  certain  of  whose  officers  and  employees  are
 subject to filing a financial disclosure statement [with the same ethics
 commission,  as  the  case may be,] and who receives distinctly separate
 payments of compensation for such employment shall  be  subject  to  the
 filing requirements of this section if the aggregate annual compensation
 for  all  such  employment  capacities  is  in excess of the filing rate
 notwithstanding that such person would not otherwise be required to file
 with respect to any one particular employment capacity.  [A  person  not
 otherwise  required  to  file a financial disclosure statement hereunder
 who is employed by an employer certain of whose  officers  or  employees
 are  subject  to  filing a financial disclosure statement with the joint
 commission on public ethics and who is  also  employed  by  an  employer
 certain of whose officers or employees are subject to filing a financial
 disclosure statement with the legislative ethics commission shall not be
 subject  to  filing  such  statement  with either such commission on the
 basis that his aggregate annual compensation from all such employers  is
 in excess of the filing rate.]
   4.  A reporting individual who knowingly and wilfully fails to file an
 annual statement of financial disclosure or who knowingly  and  wilfully
 with  intent  to  deceive  makes  a false statement or gives information
 which such individual knows to be false on such statement  of  financial
 disclosure  filed  pursuant  to this section shall be subject to a civil
 penalty in an amount not to exceed forty thousand dollars. Assessment of
 a civil penalty hereunder shall be  made  by  the  joint  commission  on
 public  ethics [or by the legislative ethics commission, as the case may
 be, with respect to persons subject to their respective  jurisdictions].
 The  joint  commission  on  public ethics acting pursuant to subdivision
 fourteen of section ninety-four of the executive law [or the legislative
 ethics commission acting  pursuant  to  subdivision  eleven  of  section
 eighty  of  the legislative law, as the case may be,] may, in lieu of or
 in addition to a civil penalty, refer a  violation  to  the  appropriate
 prosecutor  and upon such conviction, but only after such referral, such
 violation shall be punishable as a class A misdemeanor. A civil  penalty
 for false filing may not be imposed hereunder in the event a category of

 S. 1458                            19
 
 "value" or "amount" reported hereunder is incorrect unless such reported
 information  is falsely understated. Notwithstanding any other provision
 of law to the contrary, no other  penalty,  civil  or  criminal  may  be
 imposed for a failure to file, or for a false filing, of such statement,
 except  that  the appointing authority may impose disciplinary action as
 otherwise provided by law. The joint commission on  public  ethics  [and
 the legislative ethics commission] shall [each] be deemed to be an agen-
 cy  within  the  meaning  of  article  three of the state administrative
 procedure act and shall adopt rules governing the conduct of adjudicato-
 ry proceedings and appeals relating  to  the  assessment  of  the  civil
 penalties  herein  authorized. Such rules, which shall not be subject to
 the approval requirements of the  state  administrative  procedure  act,
 shall  provide for due process procedural mechanisms substantially simi-
 lar to those set forth in such article three but  such  mechanisms  need
 not  be identical in terms or scope. Assessment of a civil penalty shall
 be final unless modified, suspended or vacated  within  thirty  days  of
 imposition  and  upon  becoming  final shall be subject to review at the
 instance of the affected reporting individual in a proceeding  commenced
 against the joint commission on public ethics [or the legislative ethics
 commission], pursuant to article seventy-eight of the civil practice law
 and rules.
   §  6.  Transfer  of  records.  The legislative ethics commission shall
 deliver to the joint commission on  public  ethics  all  books,  papers,
 records, and property as requested by the joint commission.
   §  7.  Continuity  of  authority. For the purpose of succession to all
 functions, powers, duties and obligations transferred and  assigned  to,
 devolved  upon and assumed by it pursuant to this act, the joint commis-
 sion on public ethics shall be deemed and held to constitute the contin-
 uation of the legislative ethics commission.
   § 8. Completion of unfinished business. Any business or  other  matter
 undertaken  or commenced by the legislative ethics commission pertaining
 to or connected with the functions, powers, obligations and duties here-
 by transferred and assigned to the joint commission  on  public  ethics,
 and  pending  on  the  effective  date  of this act may be conducted and
 completed by the joint commission on public ethics in  the  same  manner
 and  under  the same terms and conditions and with the same effect as if
 conducted and completed by the former legislative ethics commission.
   § 9. Terms occurring in laws, contracts and other documents.  Whenever
 the legislative ethics commission is referred to or  designated  in  any
 law, contract or documents pertaining solely to those functions, powers,
 obligations  and  duties  hereby  transferred  and assigned to the joint
 commission on public ethics, such  reference  or  designation  shall  be
 deemed to refer to the joint commission on public ethics.
   §  10.  Existing  rights  and remedies preserved. No existing right or
 remedy of any character shall be lost, impaired or affected by reason of
 this act.
   § 11. Pending actions and proceedings. No action or proceeding pending
 at the time when this act shall take effect, brought by or  against  the
 legislative  ethics  commission  shall  be affected by this act, but the
 same may be prosecuted or defended in the name of the  joint  commission
 on public ethics and upon application to the court, the joint commission
 on public ethics shall be substituted as a party.
   § 12. Notwithstanding any contrary provision of the state finance law,
 transfer  of  appropriations  heretofore  made to the legislative ethics
 commission, all appropriations or  reappropriations  for  the  functions
 herein transferred heretofore made to the legislative ethics commission,

 S. 1458                            20
 
 or  segregated pursuant to law, to the extent of remaining unexpended or
 unencumbered balances thereof,  whether  allocated  or  unallocated  and
 whether  obligated  or  unobligated, are hereby transferred to the joint
 commission  on  public  ethics  to the extent necessary to carry out its
 functions, powers and duties subject to the approval of the director  of
 the  budget  for  the same purposes for which originally appropriated or
 reappropriated and shall be payable on vouchers certified or approved by
 the joint commission on public ethics on audit and warrant of the  comp-
 troller.
   § 13. This act shall take effect January 1, 2018.