Compliance
Which States Impose Sales Tax on Lobbying Services?
June 5, 2026 | Jose Perez
June 24, 2026 | Spencer Andrews
Key Takeaways:
The New York State Legislature began signing into law Governor Kathy Hochul’s FY 2026-2027 Budget last week, provisions of which contain increases to lobbyist registration fees, penalties for noncompliance of lobbyist training, and small updates to procurement lobbying.
For those who don’t follow the Empire State that closely, the New York State policy making process is a bit unique. Law can be promulgated through the formation of the State budget and precedence allows the Governor, or leaders of the legislature, to circumvent the voting mechanisms of the Senate, Assembly, and their respective committees to allocate funding to initiatives. These projects then become law when the Budget passes because of the very fact they are funded.
Each year, the entity that regulates lobbying in New York State, the Commission on Ethics and Lobbying in Government (COELIG), seeks support from legislative leaders to include their budget requests. This is not unique to COELIG. Senators, Assemblymembers, State agencies, and even the New York City Mayor make budget requests, hoping that their projects get funded.
This spring, leaders from COELIG submitted testimony seeking a greater fiscal need than initially expected. The goal in doing so was to fill funding gaps by making registration fees uniform and, yes, more expensive, but also to continue its mandate of enforcing strict lobbying compliance throughout New York State.
In the Budget Bill, effective immediately, New York State increased its lobbyist registration fee to $250 per year, regardless of whether the registration is submitted in the first or second year of the biennial cycle. The previous arrangement required lobbyists to pay $200 per registration if registered in the first year of a biennial cycle, and a prorated fee of $100 per registration if filed in the second year.
Biennial Cycle
A two-year period used by New York State for lobbyist registration and reporting requirements. Lobbyists must register for each biennial cycle, and certain fees and compliance obligations are structured around this two-year timeframe.
Procurement Lobbying
Lobbying activities related to government contracts and purchasing decisions. In New York, procurement lobbying is subject to specific registration and reporting requirements when contracts exceed certain monetary thresholds.
According to testimony, COELIG leadership stated that increases in registration fees could help fill gaps and fund technology upgrades to essential data systems.
The New York State Budget Bill contains legislative provisions allowing COELIG to enforce lobbying training compliance and empowers the agency to establish deadlines for completion. Beginning in the 2027-2028 biennial period, lobbyists will be required to complete training every two years. Penalties for noncompliance will be $25 per day late.
New York State procurement guidelines, which remain unchanged, have been extended from their initial expiration date of July 31, 2026, to July 31, 2028. While Governor Hochul initially sought expansion of the procurement lobbying monetary threshold from $50,000 to $150,000, the enacted Budget Bill does not address any threshold changes. For more information on this, see this recent National Law Review article.
Keeping up with rules, deadlines, and often confusing requirements is a daunting prospect for teams of all sizes. Let us manage your federal, state, and local registration and reporting responsibilities, or manage your Campaign Finance program. Read more about our Compliance Services here, or get in touch here.
How much does it cost to register as a lobbyist in New York in 2026?
New York State increased its lobbyist registration fee to $250 per year, effective immediately under the FY 2026-2027 Budget Bill (S9005/C). This fee applies regardless of whether registration occurs in the first or second year of the biennial cycle. Previously, lobbyists paid $200 for first-year registration and a prorated $100 for second-year registration.
What are the penalties for not completing lobbyist training in New York?
Beginning in the 2027-2028 biennial period, lobbyists who fail to complete required training will face penalties of $25 per day late. The Commission on Ethics and Lobbying in Government (COELIG) now has authority to enforce training compliance and establish completion deadlines. Training must be completed every two years.
Did New York change the procurement lobbying threshold from $50,000 to $150,000?
No, the procurement lobbying threshold remains at $50,000. While Governor Hochul initially sought to raise the threshold to $150,000, the Budget Bill (S9005/C) does not address any threshold changes. The existing procurement guidelines have been extended to July 31, 2028, from their original expiration date of July 31, 2026.
What is COELIG and what changes did they request in the 2026 budget?
The Commission on Ethics and Lobbying in Government (COELIG) is the entity that regulates lobbying in New York State. In their budget testimony, COELIG leadership requested increased funding to fill gaps and upgrade technology systems for essential data management. The FY 2026-2027 Budget Bill includes provisions for uniform registration fees and enforcement authority for training compliance.
When do the new New York lobbyist training requirements take effect?
The new training requirements take effect beginning in the 2027-2028 biennial period. Lobbyists will be required to complete training every two years, with COELIG authorized to establish specific deadlines for completion. Failure to complete training on time will result in $25 per day penalties.
June 5, 2026 | Jose Perez
June 4, 2026 | Izzy Aaron, Vinnie Cannamela
May 12, 2026 | Bradley Coffey