Challenges of Developing and Implementing an Effective Corporate Political Activity Compliance Program

As the results of the 2022 midterm elections become clear, the 2024 Presidential election will not be far beyond - there are also state and local elections occurring in multiple jurisdictions throughout the year. 

Although many companies think that the political activity of their employees is off limits, smart companies know that they cannot put their head in the sand when it comes to political activity compliance. One contribution in excess of applicable limits by the company itself or one of its officers, shareholders, or even employees can have severe consequences in terms of the loss of government contracting opportunities, fines, penalties and reputational risk.

In-House Counsel, Corporate Compliance Officers, and Government Affairs Agents are frequently involved in developing and implementing procedures and protocols to manage their Company's Compliance Program as it relates to political contributions, pay-to-play laws, and procurement laws. This program is focused on the pitfalls that In-House Counsel, Corporate Compliance Officers, and Government Affairs Agents face when trying to develop and implement a company-wide Corporate Political Activity Policy that may need to span multiple jurisdictions. 

1. Examine the laws and regulations governing the role of companies in the political process

2. Discuss the relationship between pay-to-play and procurement laws as it relates to maintaining eligibility for government contracting opportunities

3. Identify the key components of an effective Corporate Political Activity Policy with the goal of preserving government contracting opportunities and avoiding fines, penalties, and reputational risk

4. Walk through the steps that are necessary for developing and implementing an effective, manageable, and ethical compliance program