Certification regarding lobbying: Overview, definition, and example
What is a certification regarding lobbying?
A certification regarding lobbying is a statement in a contract where a party confirms that they have not used federal funds for lobbying activities and, in some cases, that they will comply with lobbying disclosure requirements. This certification is often required in government contracts, grants, and funding agreements to ensure that public funds are not being used to influence political decisions.
For example, if a business receives a federal grant for research, they may need to certify that they have not used any portion of the funds to lobby government officials for additional funding or policy changes.
Why is a certification regarding lobbying important?
This certification is important because it ensures compliance with laws like the Lobbying Disclosure Act (LDA) and 31 U.S.C. § 1352, which prohibit the use of federal funds for lobbying efforts. Failure to provide an accurate certification can lead to legal penalties, fines, or loss of funding.
For businesses and organizations that work with the government, understanding this certification is crucial. It helps them avoid unintentional violations and ensures transparency in how government funds are used.
Understanding certification regarding lobbying through an example
Imagine a construction company secures a government contract to build infrastructure. As part of the agreement, they must certify that they have not and will not use contract funds to lobby for additional contracts or favorable legislation. If they later hire a lobbyist using federal funds, they could face penalties and potential loss of the contract.
In another scenario, a nonprofit receives a federal grant for environmental research. To comply with grant conditions, they sign a certification stating that no portion of the grant money will be used for lobbying activities, such as advocating for policy changes in Congress. If they want to engage in lobbying, they must use separate, non-federal funds and disclose their activities accordingly.
An example of a certification regarding lobbying clause
Here’s how a certification regarding lobbying clause might appear in a contract:
“The Recipient certifies that no federal appropriated funds have been paid or will be paid, by or on behalf of the Recipient, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any federal contract, grant, loan, or cooperative agreement.”
Conclusion
A certification regarding lobbying is a contractual requirement ensuring that federal funds are not used for lobbying activities. This certification helps maintain transparency and legal compliance, particularly in government contracts and grants.
Businesses and organizations working with the government should be aware of these requirements, as false certifications can result in penalties, loss of funding, and reputational damage. Reviewing lobbying rules before signing agreements can help avoid unintended violations.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.