For Immediate Release: March 31, 2015

Contact: Gary Ginsburg | ginsburg@nysenate.gov | 518-455-2415

Senate Republican Majority Votes Against Meaningful Ethics

Reforms Legislation
Democratic Conference Members Offered Initiative to Close LLC Loophole and Clean Up
Albany
(Albany, NY) The Senate Democratic Conference brought legislation to the Senate floor that
would have amended the 2015-2016 State Budget to close the LLC loophole which currently
allows candidates to circumvent campaign finance laws and receive massive political donations.
This common sense initiative was voted down by the Senate Republican Majority.
Scandal after scandal has eroded the peoples trust in state government and we will not be able
to rebuild voter confidence with half-measures and faux reforms, Senate Democratic
Conference Leader Andrea Stewart-Cousins said. The legislation offered by the Senate
Democratic Conference would have helped clean up Albany by closing a loophole that has been
exploited for far too long. Unfortunately, the Senate Republicans refused to join with us to pass
this common sense ethics reform.
The states Election Law does not adequately address the amount of political contributions that a
limited liability company (LLC) may make to candidates, parties and political committees. As a
result, the State Board of Elections allows LLCs to be treated as individuals for purposes of a
limit and, therefore, they can donate up to $150,000 in any one year. This amendment would
close that loophole and treat LLCs like corporations, limited to $5,000 in annual contributions.
Bill sponsor, Senator Daniel Squadron, said, There is absolutely no reason to leave the LLC
loophole wide open at a time when ethics has been put forward as a necessity. The Senate
majority should not have blocked this reform, which is so critical for changing the culture of
Albany. The LLC loophole allows unlimited sums of anonymous dollars to pervert the entire
process, from elections to legislation -- it is pernicious.
The initiative offered by the Senate Democratic Conference is part of a long standing
commitment to restoring confidence in New York State government through closing loopholes,
increasing transparency and reforming how campaigns are funded and how campaign funds can
be utilized. Earlier this session, the Senate Democrats unveiled a comprehensive ethics reforms
legislative package to clean up Albany. For more information, please visit:
https://www.scribd.com/doc/255205271/Senate-Democratic-Conference-Introduce-The-CleanUp-Albany-Legislative-Package

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New York State Senate | MinorityConference.News@nysenate.gov | 518-455-2415