FOR RELEASE:
June 13, 2019

Legislation enacting the $36.5 billion state budget for fiscal year 2019, legalizing recreational marijuana in New Jersey and boosting the corporate business surtax rank among the most lobbied bills during the current legislative session, according to a new analysis by the New Jersey Election Law Enforcement Commission (ELEC).

Other issues sparking interest have included earned sick leave, out-of-network medical bills, a $15 minimum wage, offshore windmills and special ratepayer subsidies to keep the state’s three active nuclear plants in operation.

“The bigger the stakes, the more vigorous the lobbying,” said Jeff Brindle, ELEC’s Executive director. “Lobbying is an essential part of government. Special interest groups have a legitimate and integral role in helping to shape policies that affect the people of New Jersey.”

The analysis was based on quarterly lobbying reports filed since the beginning of the 218th Legislature in January 2018. It excluded lobbying on the pending budget for fiscal year 2020.

Table 1
Bills with Most Reported Lobbying Activity
Based on Number of Represented Entities*
RANK BILL NUMBERS ISSUE OFFICIAL CONTACTS NUMBER OF ENTITIES STATUS**

1 S2019/A4200 FY2019 Budget 296 112 E
2 S2703/A4497 Legalized Recreational Marijuana 201 68 P
3 A4202/S2746 Corporate Business Surtax 211 65 E
4 A1827/S2171 Earned Sick Leave 185 65 E
5 A2039/S485 Out-of-Network Medical Bills 197 57 E
6 S2313/A3724 Nuclear Plant Subsidies 186 54 E
7 A15/S15 $15 Minimum Wage 214 48 E
8 A3723/S2314 Offshore Wind Energy 185 48 E
9 S10/A10 Medical Marijuana 129 44 P
10 A4495/S2989 Corporate Surtax Changes 89 40 E

*Totals may also reflect lobbying done prior to introduction and on related bills
** E=Enacted; P=Pending

Given the billions of dollars it expends and thousands of groups it affects, the budget signed by Governor Phil Murphy on July 1, 2018 drew the most zealous attention both in number of lobbying entities (112) and contacts with high-ranking state officials (296).

Groups ranging from funeral directors to libraries to Uber drivers were among those weighing in on the state’s annual spending plan. “The state budget touches every citizen’s life in one way or another,” said Brindle.

Recent analysis in other states also show budget bills are a magnet for special interest activity. A $91 billion budget adopted in Florida drew more than 500 lobbyists and also ranked as the most lobbied bill, according to a recent Tampa Bay Times story.

When the list is re-ranked according to official contacts made by the lobbying groups, the budget remains number one but the remaining top 10 was reshuffled. A bill amending the corporate surtax slipped off the list and was replaced by bills legalizing sports betting, which was enacted June 11, 2018.

Table 2
Reported Lobbying Activity Based on Number of Official Contacts*
RANK BILL NUMBERS ISSUE OFFICIAL CONTACTS NUMBER OF ENTITIES

1 S2019/A4200 FY2019 Budget 296 112
2 A15/S15 $15 Minimum Wage 215 48
3 A4202/S2746 Corporate Business Surtax 211 65
4 S2703 Legalized Recreational Marijuana 201 68
5 A2039/S485 Out-of-Network Medical Bills 198 57
6 S2144/A3724 Nuclear Plant Subsidies 186 54
7 A1827/S2171 Sick Leave 185 65
8 A3723/S2314 Offshore Wind Energy 185 48
9 S10/A10 Medical Marijuana 129 44
10 A4111/S2602 Sports Betting 91 23

*Totals may also reflect lobbying done prior to introduction and on related bills

While state law requires lobbyists to disclose their official contacts involving legislation and other regulated activities, the reader should be aware that such a contact can be limited or broad.
For example, a lobbyist might report that a client hospital’s chief operating officer met with a bill’s legislative sponsor and an aide in an office. That would count as one contact.

On the other hand, another lobbyist might report sending emails to all 120 members of the legislature urging them to support, oppose or modify the same bill. ELEC staff also counts such an outreach effort as one official contact even though it may target more than one lawmaker.

Another caveat- while quarterly lobbying reports disclose direct attempts to influence legislation, they don’t disclose more indirect efforts.

Lobbyists sometimes organize “grassroots” campaigns to mobilize the public for or against legislation using advertisements aired on television or other media. Efforts to harness legislative constituents in this way are disclosed in annual lobbying reports.

The heaviest lobbying based on official outreach was done by a broad array of interests representing unionized teachers, businesses, municipalities, hospitals, bankers and others.

Table 3
Top Ten Represented Entities by Number of Official
Contacts To Date in 2018-2019 Legislative Session

ENTITY OFFICIAL CONTACTS
New Jersey Education Association 764
New Jersey Business and Industry Association 487
New Jersey State League of Municipalities 412
NJ Principals and Supervisors Association 378
New Jersey Hospital Association 199
New Jersey State Bar Association 175
Affiliated Physicians and Employers Master Trust AMT 151
National Federation of Independent Business 150
Wellcare Health Plans Inc 131
New Jersey Bankers Association 128

Lobbyists are required by law to file both annual and quarterly reports with ELEC. Annual reports list fees, salaries, major expenditures, grassroots lobbying and other information. Quarterly reports are filed every three months by each registered lobbyist. These reports detail efforts to influence legislation or executive branch actions, such as permits, regulations or fines. Lobbyist reports and information collected from them can be searched via ELEC’s website (www.elec.state.nj.us).

An earlier analysis of annual reports touched on some of the bills mentioned in this release (“Wind, Weed and Atoms Powered Lobbying Spending in 2018“).

“ELEC collects thousands of reports every year from lobbyists that disclose their spending and activities. Disclosure doesn’t end just because reports are on file,” Brindle said. “One of ELEC’s jobs is to study these reports and identify trends and other meaningful information that can be useful and interesting to policy-makers, media members, academics and the general public,” he said.

This press release is a compilation of figures reported to the Commission and is not intended to express any opinion concerning the accuracy or completeness of any filed report. Although the commission has taken all reasonable precautions to prevent mathematical or typographical errors, they may occur.

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