Assemblymember Monica Wallace (D-Lancaster) announced that legislation she co-sponsored to close the limited liability company (LLC) loophole and increase transparency in New York elections has passed the Assembly (A.1926).
“The LLC loophole allows wealthy individuals to circumvent campaign finance laws by donating more than they are permitted to under the law. It is critical that we close this loophole so that all hardworking taxpayers in this state have an equal opportunity to have their voices heard,” said Wallace. “This legislation is an important step to bring integrity back to our elections and make sure that Albany is addressing the issues that matter to individuals, not wealthy special interest donors.”
This bill closes the LLC loophole, restricting contributions to $5,000, the limit already applicable to corporations under existing law. The measure also requires the identity of individuals with membership interests in LLCs be disclosed, attributing LLC contributions to those individuals, and ensuring greater transparency in elections.
This measure is part of Wallace’s continued effort to combat corruption and reduce the influence of special interests. Earlier this year, she helped pass legislation stripping taxpayer-funded pensions from officials convicted of corruption (A.1749), as well as a joint resolution requiring lawmakers who earn outside income to submit additional information to the independent Legislative Ethics Commission (LEC) (B.404/C.25).
“Campaign finance reform is a critical component to restoring integrity in government,” Wallace added. “Middle class communities of Western New York deserve a government that puts their interests first.”