Several states, including Illinois, Maryland, New Jersey, Pennsylvania, Philadelphia, and Rhode Island, have pay-to-play reporting requirements that businesses must adhere to when conducting business with state agencies or local governments. Companies are required to disclose information regarding their business relationships, political contributions, and any affiliations with PACs, directors, and employees.
In Illinois, companies with bids, proposals, or contracts worth over $50,000 with state agencies must register electronically with the State Board of Elections. Pennsylvania requires businesses to disclose contributions made to political candidates, parties, and PACs if awarded a non-bid contract in the previous year. New Jersey mandates annual disclosure statements for businesses with contracts over $50,000 with state or local agencies. In Philadelphia, companies must report contributions made to city candidates and parties for contracts over $25,000. Rhode Island requires an affidavit to be filed if contributions over $250 have been made to state candidates or parties within the past 24 months.
The reporting deadlines vary by state, with Illinois due on February 14, 2025, and Pennsylvania due on February 15, 2025. Failure to comply with these reporting requirements can result in contracts being voided. Companies engaging in business with these jurisdictions must stay informed on the reporting requirements to ensure compliance and avoid any legal repercussions.
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