A BILL TO BE ENTITLED
AN ACT to prohibit the state from contracting with contractors who utilize former state employees in the administration of state contracts within a one‑year waiting period after a state employee has terminated employment with the state AND to strengthen public confidence in government by EXTENDING the revolving door period.
The General Assembly of North Carolina enacts:
SECTION 1.  Article 3 of Chapter 143 of the General Statutes is amended by adding a new section to read:
"§ 143‑59.5.  Contracts with vendors that hire former State employees.
(a)	Ineligible Vendors. – The Secretary of Administration and other entities to which this Article applies shall not contract for goods or services with a vendor that employs or contracts with a person who is a former State employee and uses that person in the administration of a contract with the State.
(b)	Vendor Certification. – The Secretary of Administration shall require each vendor submitting a bid or contract to certify that the vendor will not use a former State employee in the administration of a contract with the State in violation of the provisions of subsection (a) of this section.
(c)	Violations. – Sanctions for violations of this section are as follows:
(1)	A violation of the provisions of this section shall void the contract.
(2)	No vendor who is convicted of a violation of the provisions of this section shall be allowed to submit a bid under this Article for a period of two years from the date of conviction.
(3)	In addition to the other penalties set forth in this subsection, the Secretary of Administration may levy civil fines for a violation of any provision of this section up to five thousand dollars ($5,000) per violation.
(d)	Definitions. – As used in this section, the following terms mean:
(1)	Administration of a contract. – Oversight of the performance of a contract, authority to make decisions regarding a contract, interpretation of a contract, or participation in the development of specifications or terms of a contract or in the preparation or award of a contract.
(2)	Former State employee. – A person who, for any period within the preceding one year, was employed as an employee of the State or was an independent contractor of the State by the State agency for which the contract applies, who in the one year immediately preceding termination of State employment, participated personally in either the award or management of a State contract with the vendor, or made regulatory or licensing decisions that directly applied to the vendor."
SECTION 2.  G.S. 120C‑304 reads as rewritten:
"§ 120C‑304.  Restrictions.
(a)	No legislator or former legislator may register as a lobbyist under this Chapter:
(1)	While in office.
(2)	Before the close of session as set forth in G.S. 120C‑100(a)(4)b.1 in which the legislator was elected or appointed, or one year after leaving office, whichever is later.
(b)	No public servant or former public servant as defined in G.S. 138A‑3(30)a. may register as a lobbyist under this Chapter while in office or for a period of one year after leaving office.
(c)	No public servant or former public servant as defined in G.S. 138A‑3(30)c. may register as a lobbyist under this Chapter for a period of one year after separation from employment as a public servant. No other employee of any State agency may register as a lobbyist under this Chapter to lobby the State agency that previously employed the former employee for a period of one year after voluntary separation or separation for cause from that State agency. State agencies shall give written notice and explanation to all employees serving in a position to which this subsection applies in the following circumstances:
(1)	Upon hiring, promotion, or transfer into the relevant position.
(2)	At the time the employee's duties are changed in such a way as to subject that employee to this subsection.
(3)	Upon departure from the relevant position.
(d)	No individual registered as a lobbyist under this Chapter shall serve as a treasurer as defined in G.S. 163‑278.6(19) or an assistant campaign treasurer for a political committee for the election of a member of the General Assembly or a Constitutional officer of the State.
(e)	A lobbyist shall not be eligible for appointment by a State official to, or service on, any body created under the laws of this State that has regulatory authority over the activities of a person or governmental unit that the lobbyist currently represents or has represented within 120 days after the expiration of the lobbyist's registration representing that person or governmental unit. Nothing herein shall be construed to prohibit appointment by any unit of local government.
(f)	Any appointment or registration made in violation of this section shall be void."
SECTION 3.  This act becomes effective October 1, 2017, and applies to contracts entered into on or after that date.