HomeMy WebLinkAbout154-SL, Cigna Health and Life Insurance CompanyPHONE 717-783-16,10 STUE UTHIG.S COMMISSION
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In Re: Cigna Health and Life Insurance Company, File Docket:
Respondent Order No.
Date Decided
FA(Dr,'OKIII-E: 717-787-0806
WEBSITE: wwwethl'c�`pAqqY
22-003-L
154-SL
9/14/22
: Date Mailed: )/19/22
Before: Mark, R. Corrigan, Acting Chair
Shelley Y. Simms, Acting Vice Chair
Roger, Nick
Melanie DePalma
Rhonda Hill Wilson
Paul E. Parsells
This is a final adjudication of the State Ethics Commission as to the alleged delinquency and/or
deficiency of expense report(s) required to be filed pursuant to Pennsylvania's lobbying disclosure law,
65 Pa.C.S. § 13AOI et sue., hereinafter referred to as the "Lobbying Disclosure Law."
The Investigative Division initiated these proceedings by filing witli the State Ethics
Commission and serving upon Respondent, Cigna Health and Life Insurance Company, (hereinafter
also referred to as "Respondent") a Notice of Alleged Noncompliance. The Respondent did not file
an Answer, Appeal, or other Request for Hearing. The record is complete. The Findings in this Order
are derived from the Notice of Alleged Noncompliance filed by the Investigative Division,
1. ALLEGED NONCOMPLIANCE:
That Respondent, in its capacity as a principal registered with the Department of State pursuant
to the Lobbying Disclosure Law (65 Pa.C.S. § 13AO4), negligently failed to timely file a
quarterly expense report pursuant to 65 Pa.C.S. § 13AO5 for the fourth quarter of 20121.
11. FINDINGS:
Respondent is Cigna Health and Life Insurance Company ("Respondent") and is a registered
principal as that term is defined by the Lobbying Disclosure Law, Act 134 of 2006, 65 Pa.C.S.
§ 13AOI et sue,
Respondent initially registered as a principal with the Department of State on. August
11, 2020, for the registration period January 1, 2019, through December 31, 2020.
b. Respondent's registration staternent indicates that lobbying commenced on August 1,
2020,
2. Respondent filed a principal registration statement with the Department of State for the
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registration period January 1, 2021, through December 31, 2022.
a. By registering with the Department of State, Respondent consented to receive
service of notices, other official mailings, or process at the address listed on the
registration statement.
b. Respondent was assigned the principal registration number "P65375."
C. In filing its principal registration, Respondent identified its registered mailing
address as:
Sheila McGinley '
Cigna Health and Life Insurance Company
Routing CBGOV
900 Cottage Grove Road
Hartford, CT 06152
3. The Lobbying Disclosure Law, specifically 65 Pa.C.S. § 13A04, states the following
regarding the registration of an entity as a principal:
§ 13A04. Registration
a. General rule. --Unless excluded under section 13A06
(relating to exemption from registration and reporting), a
lobbyist, lobbying firm or a principal must register with the
department electronically using the computerized filing
system developed by the department that is consistent with
the purposes of this chapter within ten days of acting in any
capacity as a lobbyist, lobbying firm or principal.
Registration shall be biennial and shall begin January 1,
2007.
b. Principals and lobbying firms.--
1. A principal or lobbying firm required to register
under subsection (a) shall file a single registration
statement setting forth the following information
with the department:
i. Name of the business.
ii. Permanent address.
iii. Daytime telephone number.
Listed as the authorized representative in Respondent's principal registration statement.
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iv. E-mail address of the authorized
representative employee or agent, if
available.
V. Nature of business.
vi. Name, registration number and acronym
of any affiliated political action
committees.
vii. Name and permanent business address
of each individual who will for economic
consideration engage in lobbying on
behalf of the principal or lobbying firm.
viii. Registration number when available.
ix. Name of the authorized representative,
employee or agent.
d. Amendments. ---
I. If there is a change of information required for the
registration statement under subsection (b)(1) or (2)
or (c), an amended registration statement shall be
filed with the department electronically using the
computerized filing system developed by the
department that is consistent with the purpose of this
chapter within 14 days after the change occurs.
2. When there is a change in information required for
the registration statement under subsection (b)(3), an
amended registration statement shall be filed with the
department electronically using the computerized
filing system developed by the department that is
consistent with the purpose of this chapter within 14
days of the end of the year in which the change
occurs.
65 Pa.C.S. § 13A04(a), (b)(1), (d).
4. In addition to the Lobbying Disclosure Law, the duly promulgated Regulations provide
further information in relation to registration periods and reporting periods:
§ 51.3. Registration periods and reporting periods.
a. Registration under section 13A04 of the act (relating to
registration) shall be biennial. The first registration period
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which commenced January 1, 2007, continues through
December 31, 2008. Subsequent registrations shall
commence on January 1 of each odd numbered year.
51 Pa. Code § 51.3(a).
5. Section 13A05 of the Lobbying Disclosure Law sets forth, in part, the following
requirements for the contents of quarterly reporting forms filed by principals:
§ 13A05. Reporting
(a) General rule.-- A registered principal shall, subject to the
penalties under 18 Pa.C.S. § 4904 (relating to unsworn
falsification to authorities), file quarterly expense reports
with the department electronically using the computerized
filing system developed by the department that is consistent
with the purpose of this chapter no later than 30 days after
the last day of the quarter.
(b) Content.--
(1) Each expense report must list the names and
registration numbers when available of all lobbyists
by whom lobbying is conducted on behalf of the
principal and the general subject matter or issue
being lobbied.
(2) Each expense report shall include the total costs of
all lobbying for the period. The total shall include all
office expenses, personnel expenses, expenditures
related to gifts, hospitality, transportation and
lodging to State officials or employees, and any other
lobbying costs. The total amount reported under this
paragraph shall be allocated in its entirety among the
following categories:
(i) The costs for gifts, hospitality, transportation
and lodging given to or provided to State
officials or employees or their immediate
families.
(ii) The costs for direct communication.
(iii) The costs for indirect communication.
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(iv) Expenses required to be reported under this
subsection shall be allocated to one of the
three categories listed under this section and
shall not be included in more than one
category.
65 Pa.C.S. § 13A05(a), (b)(1)-(2).
6. In addition to the Lobbying Disclosure Law, the duly promulgated Regulations provide
further instructions in relation to registration periods and reporting periods:
§ 51.3. Registration periods and reporting periods.
(b) Reporting under section 13A05 of the act (relating to
reporting) shall be quarterly within each calendar year: for
January through March; April through June; July through
September; and October through December. Quarterly
expense reports shall be filed on or before the 30th day after
the quarterly reporting period ends.
51 Pa. Code § 51.3(b).
7. Section 13A05 of the Lobbying Disclosure Law additionally sets forth the threshold with
regard to reporting expenditures:
(d) Thresholds for reporting.-- An expense report required
under this section shall be filed electronically using the
computerized filing system developed by the department
that is consistent with the purpose of this chapter when total
expenses for lobbying exceed [$3,000] for a registered
principal in a reporting period. In a reporting period in which
total expenses are [$3,000] or less, a statement to that effect
shall be filed electronically using the computerized filing
system developed by the department that is consistent with
the purpose of this chapter.
65 Pa.C.S. § 13A05(d).
Section 13A03 of the Lobbying Disclosure Law defines the following terms:
"Lobbying." An effort to influence legislative action or
administrative action in this Commonwealth. The term includes:
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(1) direct or indirect communication;
(2) office expenses; and
(3) providing any gift, hospitality, transportation or lodging to a
State official or employee for the purpose of advancing the
interest of the lobbyist or principal.
"Legislative action." An action taken by a State official or
employee involving the preparation, research, drafting,
introduction, consideration, modification, amendment, approval,
passage, enactment, tabling, postponement, defeat or rejection of:
(1) legislation;
(2) legislative motions;
(3) a veto by the Governor; or
(4) confirmation of appointments by the Governor or
appointments to public boards or commissions by a member
of the General Assembly.
"Legislation." Bills, resolutions, amendments and nominations
pending or proposed in either the Senate or the House of
Representatives. The term includes any other matter which may
become the subject of action by either chamber of the General
Assembly.
"Direct communication." An effort, whether written, oral or by
any other medium, made by a lobbyist or principal, directed to a
State official or employee, the purpose or foreseeable effect of
which is to influence legislative action or administrative action. The
term may include personnel expenses and office expenses.
65 Pa.C.S. § 13AO3.
9. As a registered principal, Respondent is required to electronically file with the Department
of State either a quarterly expense report or a statement of failure to meet the reporting
threshold for each quarter it has been registered as a principal, by no later than the 301h day
after each quarterly reporting period has ended. 65 Pa.C.S. § 13AO5(a), (d); 51 Pa. Code
§ 55.1(d).
a. Respondent did not file a fourth (4th) quarter of 2021 Expense Report by January
31, 2022.2
10. The Regulations promulgated under the Lobbying Disclosure Law specifically provide the
following in relation to a delinquent filing:
2 January 30, 2022 being a Sunday.
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§ 51.4. Delinquency.
(a) A registration statement or report required to be filed under
section 13A04 or 13A05 of the act (relating to registration;
and reporting) is delinquent if not received by the
Department on the date due as follows:
(1) Hard copy filings must be received by 5 p.m. in the
office. For quarterly expense reports, from 5 p.m.
until 12 a.m, midnight, a hard copy filing may be
filed with the Department's designee. The filing
location and the Department's designee will be on the
Department's web site.
i. Hard copy filings are no longer allowed
pursuant to Act 2018-2 (H.B.1175), § 2,
approved February 14, 2018, eff. April [15],
2018.
(2) Electronic filings may be filed until 12 a.m.
midnight.
(b) A failure to timely file a registration statement, a quarterly
expense report, a separate expense report, a notice of
termination or an amendment to one of these filings
constitutes a failure to register or report as required by the
act; delinquency continues until the filing is received by the
Department in proper form.
51 Pa. Code § 51.4(a)-(b).
11. In relation to the filing requirements of quarterly expense reports, the Regulations read, in
part:
§ 55.1. Quarterly expense reports.
(a) A quarterly expense report is required to be filed as set forth
in this section when the total lobbying expenses of a
registered principal, registered lobbying firm or registered
lobbyist lobbying on the principal's behalf, together, exceed
[$3,000] in a quarterly reporting period. The threshold of
[$3,000] includes any economic consideration paid by a
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principal to a lobbying firm or lobbyist for lobbying.
Individuals exempt under section 13A06 of the act (relating
to exemption from registration and reporting) need not
register or report.
(b) For a quarterly reporting period in which the total lobbying
expenses of a registered principal, registered lobbying firm
or registered lobbyist lobbying on the principal's behalf,
together, are [$3,000] or less, a statement to that effect shall
be filed with the Department by checking the appropriate
block on the quarterly expense report form.
(d) The principal shall file a quarterly expense report or
statement of failure to meet the reporting threshold on or
before the 30th day after the quarterly reporting period ends.
(g) A quarterly expense report of a principal required to be
registered under the act must include at least the following
information:
(3) The total costs of all lobbying for the period. The
total must include all office expenses, personnel
expenses, expenditures related to gifts, hospitality,
transportation and lodging to State officials or
employees, and any other lobbying costs.
(i) The total amount reported under this
paragraph shall be allocated in its entirety
among the following categories:
(A) The costs for gifts, hospitality,
transportation and lodging given to or
provided to State officials or
employees or their immediate
families.
(B} The costs for direct communication.
(C) The costs for indirect communication.
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(ii) Registrants shall use a good faith effort to
allocate expenses required to be reported under this
subsection to one of the three categories listed herein.
A given expense may not be included in more than
one category...
51 Pa. Code § 55.1(a), (b), (d), (g)(3)(i)-(ii).
12. By Warning Notice letter dated April 6, 2022, Respondent was served with notice3 in
accordance with Section 13A09 of the Lobbying Disclosure Law and Section 63.4(1) of
the Lobbying Disclosure Regulations of the specific allegations: that Respondent failed to
file quarterly expense reports for the fourth (41h) quarter of 2021.
a. Said Warning Notice was mailed to:
Sheila McGinley
Cigna Health and Life Insurance Company
Routing CBGOV
900 Cottage Grove Road
Hartford, CT 06152
b. This is the same address as listed on Respondent's principal registration statement.
By submitting the principal registration statement, Respondent consented to receipt
of service of notices, other official mailings or process, at the address listed on the
registration statement. (See, Paragraph 2(a) above).
13. Said Warning Notice letter set forth the nature of the alleged noncompliance and the
administrative and criminal penalties for failing to file.
14. Said Warning Notice letter provided Respondent an opportunity to cure the alleged
noncompliance and avoid the institution of these proceedings as to alleged noncompliance
by filing quarterly expense report for the time period covering the fourth (01) quarter of
2021 with the Department of State within thirty (30) days from the mailing date of the
Warning Notice letter.
15. The Director of the Bureau of Campaign Finance and Civic Engagement — Department of
State conducted a search of the Department of State's records, and, as of .Tune 16, 2022,
no fourth (4th) quarter 2021 expense report was found to have been filed with the
Department of State for Cigna Health and Life Insurance Company,
3 Respondent was also emailed by the Investigative Division on May 12, 2022 at the email assigned to their
registration notifying them that they were facing enforcement for their failure to file their 4`1 Quarter 2021 expense
report.
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16. The Lobbying Disclosure Law provides for civil and criminal penalties for failing to
comply with the registration statement filing and quarterly expense reporting requirements
thereof. Specifically, the Lobbying Disclosure Law provides that:
a. Negligent failure to register or report as required by this chapter is
punishable by an administrative penalty not exceeding the following:
(i) For the first ten late days, $50 for each late day.
(ii) For each late day after the first ten late days through the 20"
late day, $100 for each late day.
(iii) For each late day after the first 20 late days, $200 for each late
day.
65 Pa.C.S. § 13A09(c)(1).
b. The total amount of the administrative penalty that may be levied after
hearing by a majority vote of all of the Commission Members shall not
be limited by any other provision of law. 65 Pa.C.S. § 13A09(c)(2).
C. Any person that fails to comply with the requirements of the Lobbying
Disclosure Law, after notice of noncompliance and after a hearing if
one is requested, may be prohibited from lobbying for economic
consideration for up to five (5) years [in accordance with 65 Pa.C.S. §
13A09(e)(4)]. 65 Pa.C.S. §§ 13A09(d), (e)(4).
d. A person that intentionally fails to register or report as required by the
law commits a misdemeanor of the second degree. 65 Pa.C.S. §
13A09(e)(1).
e. A registrant who files a report under the law with knowledge that the
report contains a false statement or is incomplete commits a
misdemeanor of the second degree. 65 Pa.C.S. § 13A09(e)(2).
f. Except as set forth in paragraph (d) or (e) above, a person that
intentionally violates [the Lobbying Disclosure Law] commits a
misdemeanor of the third degree. In addition to any other penalties
imposed under [the Lobbying Disclosure Law], the court may impose
a fine not to exceed $25,000 against a principal who is found guilty
under [Section 13A09(e)(3) of the Lobbying Disclosure Law].
g. In addition to any criminal penalties imposed under [the Lobbying
Disclosure Law], the Commission may prohibit a person from lobbying
for economic consideration for up to five years for conduct which
constitutes an offense under [Section 13A09(e) of the Lobbying
Disclosure Law]. Criminal prosecution or conviction is not required
for imposition of [such prohibition]. The Commission shall not impose
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[such prohibition] unless the person has been afforded the opportunity
for a hearing, which shall be conducted by the Commission in
accordance with sections 1107(14) and 1108(e) [of the Public Official
and Employee Ethics Act, 65 Pa.C.S. §§ 1107(14) and 1108(e)]. 65
Pa.C.S. § 13A09(e)(4).
17. As of the date of the filing of the instant Notice of Alleged Noncompliance [July 8, 2022],
Respondent's expense report is at least one hundred (100) days delinquent.
a. Respondent's fourth (4"') quarter 2021 Expense Report is at least 100 days
delinquent.
1. The fourth quarter expense report period closed January 31, 2022, See, 65
Pa.C.S. § 13A03 Definitions -"Reporting period."
2. Expense reports were to be filed within thirty (30) days of December 31,
2021, that date being January 31, 2022. See, 65 Pa C.S. § 13A05(a).
3. The first day on which Respondent's fourth (4'h) quarter 2021 Expense
Report was delinquent was February 1, 2022.
18. Respondent's fourth (41h) quarter 2021 Expense Report continues to be delinquent, as it
has not yet been filed with the Department of State.
19. The thirty -day deadline set forth in the said Warning Notice letter to Respondent expired
with Respondent failing to comply with the specific requirements of the Lobbying
Disclosure Law.
20. The Commission may impose a maximum administrative penalty for each violation of
$50.00 per day for the first ten late days, $100.00 for each late day after the first ten late
days through the 20"' late day, and $200.00 for each late day after the first 20 late days that
Respondent's fourth (4"') quarter 2021 Expense Report remained delinquent, calculated
from February 1, 2022, the first day the quarterly expense report was delinquent, through
the date Respondent files the outstanding quarterly expense report with the Department of
State. 51 Pa. Code § 63,6(2).
21. In addition to its authority to impose an administrative penalty for negligent failure to
register or report as required by the Lobbying Disclosure Law, 65 Pa.C.S. § 13A09(c), this
Commission has authority to prohibit a respondent that has intentionally violated the
Lobbying Disclosure Law from lobbying for economic consideration for up to five years,
pursuant to 65 Pa.C.S. § 13A09(e)(4).
a. The procedures for imposing a prohibition against lobbying for economic
consideration are set forth at 51 Pa, Code Chapter 65.
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b. The instant proceeding is limited to an alleged negligent failure to timely file a
quarterly expense report for the fourth quarter of 2021.
22. There are no mitigating circumstances concerning Respondent's failure to timely file a
quarterly expense report or a statement of failure to meet the reporting threshold for the
fourth quarter of 2021.
III. DISCUSSION:
In the instant matter, the alleged noncompliance is that Respondent, as a principal
registered with the Pennsylvania Department of State ("Department of State") pursuant to the
Lobbying Disclosure Law, negligently failed to timely file a quarterly expense report pursuant to
65 Pa.C.S. § 13A05 for the fourth quarter of 2021.
The relevant provisions of the Lobbying Disclosure Law are set forth in the Fact Findings
above. Certain relevant provisions of the Lobbying Disclosure Regulations, 51 Pa. Code § 51.1 et
seq., are also set forth in the Fact Findings. We shall now summarize the relevant facts.
Respondent initially registered as a principal with the Department of State on August 11,
2020, for the registration period January 1, 2019, through December 31, 2020. Respondent's
registration statement indicated that lobbying commenced on August 1, 2020.
Per the Department of State's web site, on February 1, 2021, Respondent registered as a
principal with the Department of State for the registration period January 1, 2021, through
December 31, 2022. Respondent was assigned the principal registration number "P65375."
Pursuant to Section 13A05 of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A05, and
Section 51.3 of the Lobbying Disclosure Regulations, 51 Pa. Code § 51.3, expense reports are filed
on a quarterly basis. When a registered principal's total expenses for lobbying exceed $3,000 for
a reporting period/quarter, the principal is required to file a quarterly expense report with the
Department of State by no later than 30 days after the last day of such quarter. For a reporting
period in which total expenses are $3,000 or less, a statement to that effect must be filed with the
Department of State by the principal by checking the appropriate block on the quarterly expense
report form. 51 Pa. Code § 55.1(b). Thus, a registered principal must file either a quarterly
expense report or a statement of failure to meet the reporting threshold by no later than the 30th
day after each quarterly reporting period ends. 51 Pa. Code § 55.1(d).
Having registered on February 1, 2021, for the registration period January 1, 2021, through
December 31, 2022, Respondent was required to file either a quarterly expense report or statement
of failure to meet the reporting threshold for the fourth quarter of 2021. Respondent failed to timely
file either.
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Failure to timely meet the aforesaid filing requirement constitutes a failure to report as
required by the Lobbying Disclosure Law, and the delinquency continues until the filing is
received by the Department of State in proper form. 51 Pa. Code § 51.4(b).
By Warning Notice letter dated April 6, 2022, Respondent was served with notice of the
alleged noncompliance in accordance with Section 63.4(1) of the Lobbying Disclosure
Regulations, 51 Pa. Code § 63.4(1). The Warning Notice letter provided Respondent an
opportunity to cure the alleged noncompliance and avoid the institution of these proceedings by
filing a quarterly expense report for the fourth quarter of 2021 with the Department of State within
thirty (30) days of the mailing date of the Warning Notice letter.
As of June 16, 2022, no fourth quarter 2021 expense report was found to have been filed
with the Department of State for Cigna Health and Life Insurance Company.
An application of Section 13A09(a), (c) of the Lobbying Disclosure Law to this case
establishes that this Commission has the discretion to impose a maximum administrative penalty
against Respondent for the aforesaid delinquency.
The prerequisite service of a Warning Notice in accordance with Section 63.4(1) of the
Lobbying Disclosure Regulations, 51 Pa. Code § 63.4(1), was satisfied. Respondent did not cure
its noncompliance with the Lobbying Disclosure Law within the 30-day cure period. The
Investigative Division then instituted formal proceedings against the Respondent by filing with the
State Ethics Commission and serving upon Respondent a Notice of Alleged Noncompliance.
Respondent did not file an Answer, Appeal, or other Request for Hearing as to the Notice of
Alleged Noncompliance.
We hold that Cigna Health and Life Insurance Company, in its capacity as a principal
registered with the Department of State under principal registration number "P65375," violated
Section 13A05 of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A05, when it failed to timely file
with the Department of State either quarterly expense report or a statement of failure to meet the
reporting threshold for the fourth quarter of 2021.
We determine that the violation of the Lobbying Disclosure Law outlined above was
negligent in nature, and there is no basis in the record for imposing less than a maximum
administrative penalty against Respondent. See, 51 Pa. Code § 63.6(3).
The Regulations promulgated under the Lobbying Disclosure Law specifically provide the
following in relation to the calculation of an administrative penalty for a late or deficient filing;
§ 63.6. Administrative penalties for late or deficient filings.
(2) An administrative penalty will be calculated from the first day the
registration statement or report is delinquent or deficient, through
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the date a complete and accurate registration statement or report is
filed or the Commission decides the matter, whichever occurs first.
51 Pa. Code § 63.6(2).
The first day on which Respondent's fourth quarter 2021 expense report or statement of
failure to meet the reporting threshold was delinquent was February 1, 2022. Respondent's
quarterly expense report/statement of failure to meet the reporting threshold for the fourth quarter
of 2021 was delinquent for a total of 226 days.
Negligent failure to register or report as required by the Lobbying Disclosure Law is
punishable by an administrative penalty as follows: (1) for the first ten late days, $50.00 for each
late day; (2) for each late day after the first ten late days through the 201" late day, $100 for each
late day; and (3) for each late day after the first 20 late days, $200 for each late day. 65 Pa.C.S. §
13A09(c)(1).
Pursuant to Section 13A09(c) of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A09(c),
this Commission hereby levies one administrative penalty against Respondent Cigna Health and
Life Insurance Company, in the total amount of $42,700.00, calculated as follows: $50 per day for
the first ten days its fourth quarter 2021 expense report or statement of failure to meet the reporting
threshold was delinquent, plus $100.00 per day for the next ten days its fourth quarter 2021
expense report or statement of failure to meet the reporting threshold was delinquent, plus $200
per day for the remaining 206 days its fourth quarter 2021 expense report or statement of failure
to meet the reporting threshold was delinquent (10 days x $50.00 + 10 days x $100.00 + 206 x
$200.00 = $42,700.00).
Respondent Cigna Health and Life Insurance Company, is ordered to pay the aforesaid
administrative penalty in the total amount of $42,700.00 by way of certified check or money order
in the amount of $42,700.00 payable to the Commonwealth of Pennsylvania and forwarded to this
Commission by no later than the thirtieth (30«') day after the mailing date of this adjudication and
Order.
Noncompliance will result in the Commission initiating appropriate enforcement action(s).
IV. CONCLUSIONS OF LAW:
1. As a principal registered with the Pennsylvania Department of State ("Department of
State") under principal registration number "P65375," Cigna Health and Life Insurance
Company, has been subject to the reporting requirements of Section 13A05 of
Pennsylvania's lobbying disclosure law ("Lobbying Disclosure Law"), 65 Pa.C.S. §
13A05.
2. Cigna Health and Life Insurance Company, in its capacity as a principal registered with
the Department of State under principal registration number "P65375," violated Section
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Page 15
13A05 of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A05, when it failed to timely file
with the Department of State either a quarterly expense report or a statement of failure to
meet the reporting threshold for the fourth quarter of 2021.
3. The violations of the Lobbying Disclosure Law outlined in paragraph 2 immediately above
are deemed to be negligent in nature.
4. The prerequisite service of a Warning Notice in accordance with Section 63.4(1) of the
Lobbying Disclosure Regulations, 51 Pa. Code § 63.4(1), was satisfied.
Based upon the totality of the circumstances in this case, the imposition of an
administrative penalty in the amount of $42,700.00, is warranted (10 days x $50.00+ 10
days x $100.00 + 206 x $200.00 = $42,700.00).
In Re: Cigna Health and Life Insurance Company File Docket: 22-003-L
Respondent Date Decided: 9/14/22
Date Mailed: 9/19/22
ORDER NO. 154-SL
1. Cigna Health and Life Insurance Company, in its capacity as a principal registered with
the Pennsylvania Department of State ("Department of State") under principal registration
number "P65375," violated Section 13A05 of Pennsylvania's lobbying disclosure law
("Lobbying Disclosure Law"), 65 Pa.C.S. § 13A05, when it failed to timely file with the
Department of State either a quarterly expense report or statement of failure to meet the
reporting threshold for the fourth quarter of 2021.
2. The violations of the Lobbying Disclosure Law outlined in paragraph 1 immediately above
are deemed to be negligent in nature.
3. Pursuant to Section 13A09(c) of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A09(c),
this Commission hereby levies one administrative penalty against Cigna Health and Life
Insurance Company, in the total amount of $42,700.00, calculated as follows: $50 per day
for the first ten days its fourth quarter 2021 expense report or statement of failure to meet
the reporting threshold was delinquent, plus $100.00 per day for the next ten days its fourth
quarter 2021 expense report or statement of failure to meet the reporting threshold was
delinquent, plus $200 per day for the remaining 206 days its fourth quarter 2021 expense
report or statement of failure to meet the reporting threshold was delinquent (10 days x
$50.00 + 10 days x $100.00 + 206 x $200.00 = $42,700.00).
4. Cigna Health and Life Insurance Company, is ordered to pay the aforesaid administrative
penalty in the total amount of $42,700.00 by way of certified check or money order in the
amount of $42,700.00 payable to the Commonwealth of Pennsylvania and forwarded to
the Pennsylvania State Ethics Commission by no later than the thirtieth (30th) day after the
mailing date of this Order.
5. Noncompliance with Paragraph 4 of this Order will result in the Commission initiating
appropriate enforcement action(s).
BY THE COMMISSION,
Mark R. Corrigan, Acting Vice Chair