Madison's Lobbying Ordinance

Background

History

1. Lobbying Ordinance is under Common Council Rules, Section 2.40, Madison General Ordinances (MGO).
   1. Originally adopted in 2000, effective January 1, 2001, modeled on state law, Wis. Stats. Sec. 13.61, et seq. Not a priority for enforcement for prior City Attorneys.
2. Proposed amendments and enforcement activities in 2005 led to significant public debate and controversy over the ordinance.
3. Significant amendments restrict coverage of ordinance effective October 2005.

Purpose

1. Set forth in Sec. 2.40(1), MGO.
2. "Fullest opportunity . . . to the people of Madison to petition their government."
3. "Know who seeks to influence the actions of . . . City government."

Structure of the Ordinance

1. Registration and reporting, not a restriction on opportunity to contact city officials. Secs. 2.40 (6) - (10), MGO.
2. No fee for registration.
3. Semi-annual reports if spend over $1,000 in six-month period.
4. Two ways to view the ordinance:
   1. First way: A broad net is cast, and then many exemptions are given. Assume covered unless exempted.
   2. Second way: Practically speaking, a relatively small group of lobbyists will actually have to register and report.

Who Is a Lobbyist?

Definition

1. Definitions in Sec. 2.40(2), MGO.
2. A Lobbyist is an individual who receives compensation on behalf of another person (the "Principal") to influence administrative (staff) or legislative (committee or elected official) action.
3. Administrative or legislative action are broadly defined. Secs. 2.40(2)(a), (h) and (i).

Who Is a Principal?

1. The Principal is the person who employs or otherwise compensates the Lobbyist.
2. Lobbyists are always individuals; principals may be individuals, corporations, or other legal entities.

"Covered City Officials"

1. Critical concept under the Lobbying Ordinance, Sec. 2.40(2)(c), MGO.
2. Contacts with lower-level City employees are not lobbying contacts.
3. "Covered City Officials" are elected officials, department, division or unit heads, TIF coordinator, Mayoral assistants and police or fire officers above a certain rank.
4. Only contacts with Covered City Officials are lobbying contacts. City to publish list of Covered City Officials.
5. Example: City Attorney is a Covered City Official; Assistant City Attorneys are not.
6. Interim or acting officials are covered.

"Ministerial Actions"

1. Another critical concept, related to Covered City Officials, see Sec. 2.40(2)(a), MGO.
   1. Purely ministerial action is not an "administrative action" for purposes of the definition of lobbying. Ministerial actions are normally those with little discretion to be exercised.
2. Contrast: Dog License v. Zoning Change.

Exemptions

General Exemptions - Secs. 2.40(2)(a) - (g), (l), MGO

1. Apply broadly without exceptions.
2. Requests for information from City officials and responses to those requests.
3. Public officials and employees acting on behalf of the public entity.
4. Participation on City boards, committees and commissions.
5. Communications pursuant to contract with the City.
6. Unpaid volunteers.
7. Design professionals, but only when preparing materials required for City approval or responding to questions of City staff or at a public meeting. Lose this exemption if cross the line to advocating for a project.
8. The definition of "lobbying" excludes actions by licensed attorneys who are engaged in the practice of law. MGO 2.40(2)(i).

Limited Exemptions (Business) - Secs. 2.40(3)(h) - (ic), MGO

1. Series of exemptions but limited to certain instances.
2. Business-related exemptions:
   1. Business "owner" on behalf of the business located in Madison.
   2. "Owner" includes employees, directors, officers.
   3. Individual or business owner in response to questions.
   4. Independent contractor (defined as a non-attorney hired for services other than lobbying) provided they only make lobbing contacts on 5 days in a reporting period.
3. Exceptions to the Exemptions: These exceptions bring certain activities back within the registration and reporting requirements:

   1. Seeking cash assistance (loan, grant, TIF or similar) of more than

      $10,000 in one year. Excludes services provided to the City.

   2. Seeking approval of a non-residential development over 40,000 gross square feet.
   3. Seeking approval of residential development with over ten (10) dwelling units.
4. Additional Exceptions to Business Limited Exceptions. These exceptions bring back within the registration and reporting requirement for those claiming the business limited exemptions:
   1. In addition to the other exceptions set out above.
   2. Individual who holds himself or herself out as a lobbyist.
   3. Employees of trade associations, joint business entities or advocacy groups.
   4. Employees of business hired to do lobbying: a safe harbor of no more than 5 days of lobbying in a reporting period.

Limited Exemptions (Individual) - Sec. 2.40(3), MGO

1. Individual acting on one's own behalf.
2. Contacting Council member where individual resides.
3. Owner-occupied house or duplex for approvals on construction.
4. Tax assessment challenge before the Board of Review.
5. Exceptions to the Exemptions: These exceptions bring certain activities back within the registration and reporting requirements:
   1. Seeking cash assistance (loan, grant, TIF or similar) of more than $10,000 in one year. Excludes services provided to the City.
   2. Seeking approval of a non-residential development over 40,000 gross square feet.
   3. Seeking approval of residential development with over ten (10) dwelling units.

Alternative View

Who's Covered?

1. A shorthand, not foolproof, way of determining coverage.
2. Are you:
   1. Being paid? and
   2. Seeking over $10,000 from the City? or
   3. Seeking large development approval? or
   4. A "real lobbyist"?

Reporting Requirements

1. Lobbyist Registration and Authorization of Principal required within 5 days of lobbying.
2. Register with City Clerk on approved forms.
3. No fee (yet) for registration.
4. Principal must indicate if lobbyist is authorized to make other filings.
5. Must identify and update matters on which lobbyist will lobby, including budget issues.
6. If principal spends more than $1,000 on lobbying expenses in the six-month reporting period, an expense statement must be filed.
7. Requires lobbyist to keep track of time and contacts with covered City officials, and to have estimated hourly costs if an employee.

Prohibited Practices - Sec. 2.40(4), MGO

1. Lobbyist and Principal may not:
   1. Instigate a matter for employment.
   2. Furnish anything of value to City elected officials.
   3. Take a matter on contingency of lobbying.
   4. Use "corrupt means" to influence legislation, including failure to disclose real interest.

Penalties - Sec. 2.40(14), MGO

1. Suspension for failure to comply with ordinance.
2. Lobbyist: Forfeiture of up to $5,000.
3. Principal: Forfeiture of up to $1,000.
4. False filings: Forfeiture of up to $1,000.

Enforcement - Sec. 2.40(11) - (13), MGO

1. Training by Clerk and City Attorney twice per year.
2. Clerk is to refer complaints to the City Attorney.
3. Duty to cooperate with requests for information from the City Attorney.
4. City may commence action for forfeitures in Municipal Court.
5. Office of City Attorney likely will continue efforts to review filings with specific committees and the Common Council.
6. Office of City Attorney likely will ask for compliance before commencing any forfeiture actions.

Questions

1. Contact the City Clerk, (608) 266-4601, or
2. Contact the City Attorney, (608) 266-4511.

Prepared by the Office of the City Attorney, September 2025