National:

Albany Corruption Inquiry Hurts Arizona Company That Hired Dean Skelos’s Son
New York Times – Susanne Craig | Published: 5/18/2015

Dean Skelos, then the leader of the New York Senate, and his son, Adam, were arrested on extortion, fraud, and bribe solicitation charges recently. The company at the center of the scandal is AbTech Industries, a small environmental firm based in Arizona. Prosecutors say AbTech hired Adam Skelos to gain influence in its attempt to win government work. The company’s stock has fallen more than 70 percent since the scandal was first reported. In recent weeks it has seen work suspended on a big contract in Nassau County. Separately, AbTech says the Corvais Group, a property management firm, canceled a partnership it had with it. In addition, the Securities and Exchange Commission has begun to scrutinize AbTech.

Federal:

‘Campaigns’ Aren’t Necessarily Campaigns in the Age of ‘Super PACs’
New York Times – Nicholas Confessore and Eric Lichtblau | Published: 5/17/2015

The 2016 contenders are exploiting loopholes and regulatory gray areas to transform the way presidential campaigns are organized and paid for. Their campaigns are intricate constellations of political committees, super PACs, and tax-exempt groups, engineered to avoid fundraising restrictions imposed on candidates and their parties after the Watergate scandal. Major costs of each candidate’s bid, from television advertising to policy development, are now being shifted to legally independent organizations that can accept unlimited contributions from wealthy individuals, corporations, and labor unions.

Critics Hear E.P.A.’s Voice in ‘Public Comments’
New York Times – Eric Lipton and Coral Davenport | Published: 5/18/2015

Environmental Protection Agency (EPA) Administrator Gina McCarthy told a Senate committee in March that the agency had received more than one million comments about its proposed rule intended to protect the nation’s drinking water, and nearly 90 percent favored the agency’s plan. McCarthy is expected to cite those comments to justify the final rule. But critics say there is a reason for the overwhelming result: the EPA had a hand in manufacturing it. In a campaign that tests the limits of federal lobbying law, the agency orchestrated a drive to counter political opposition from Republicans and enlist public support in concert with liberal environmental groups and a grassroots organization aligned with President Barack Obama.

Hillary’s Speech Disclosures Come Under Fire
Politico – Josh Gerstein | Published: 5/20/2015

The Clinton Foundation said it will release details on nearly 100 speeches made by Hillary Clinton, her husband, Bill, and daughter Chelsea that ended up in the account of the global charity. Aides to the Clintons contend that when they delivered such speeches, the former president and former secretary of state were acting as officials of the Clinton Foundation, so the disclosure requirement for payments directed to charity by a government official, presidential candidate, or spouse do not apply. Several ethics lawyers told said they believe the Clintons’ speeches do not fall within the cited exception because there is little indication the addresses delivered across the U.S. and overseas had anything to do with the foundation.

From the States and Municipalities:

Arizona – Clean Elections Panel Advances New Dark-Money Spending Rules
Arizona Daily Sun – Bob Christie (Associated Press) | Published: 5/14/2015

The Arizona Clean Elections Commission voted to open up nearly a dozen proposed rule changes for public comment, including a contentious proposed rule change that would impose new criteria in determining whether a group’s primary purpose is electioneering. One rule would require outside groups to file reports if they spend more than $500 to advocate for or against a candidate or voter initiative. The reports would disclose spending and donors.

Arkansas – Fiscal 2016 Budget Cut Vexes Ethics Panel Chief
Arkansas Online – Spencer Willems | Published: 5/19/2015

During a monthly meeting of the Arkansas Ethics Commission, Director Graham Sloan said his staff will have less money than was budgeted this year and nearly a quarter less than was earmarked by legislators this past session. The cut, which Sloan said he learned of recently, would drop funding for the next fiscal year from about $900,000 to about $705,000, which is just under the commission’s current authorization for this year. Sloan said the cut comes at a point when the commission has never been busier and will cause his office to reduce staff and services.

California – Details Hidden On Legislative Lawyers Drafting Bills for Influential Groups
Capital Public Radio – John Meyers (CaliforniaReport.org) | Published: 5/20/2015

In California, so-called unbacked bills are draft laws with no guarantee of being introduced in either house of the Legislature. Capitol insiders portray the system as one with very few limits and in which legislative staffers sometimes submit proposals for vetting that their elected bosses would never publicly endorse. The process is also accessed by lobbyists, who seek the help of the government’s bill writing experts at the Office of Legislative Counsel. Insiders say these unpublicized bills may be held on to for any possible opening a lobbyist or interest group might see, including eleventh hour maneuvers before the Legislature adjourns.

Hawaii – Ban Upheld on Political Donations by Government Contractors
Honolulu Civil Beat – Nick Grube | Published: 5/20/2015

A federal appeals court panel on upheld Hawaii’s ban on political donations by state and county contractors. The three-judge panel of the Ninth U.S. Circuit Court of Appeals also upheld the state law requiring PACs to register after spending more than $1,000 to influence an election, something officials said is necessary to follow the money during campaign season.

Louisiana – Lobbyists Pay for Louisiana Officials’ Trip, Recipients Don’t Disclose It
New Orleans Times-Picayune – Lee Zurik (WVUE) and Ben Myers | Published: 5/18/2015

Two lobbyists with the Black Alliance for Educational Options reported to the Louisiana Board of Ethics in 2011 that they had spent $1,400 apiece on the same 15 individuals. They included nine state and local elected officials, an executive-branch member, and a few staffers and spouses. None of the officials disclosed the expenses to the state. Public officials, like the lobbyists seeking to influence them, are subject to disclosure laws.

Maine – Senator Accepted Flight from J.D. Irving While Promoting Looser Mining Laws
The Sun Journal – Lance Tapley (Maine Center for Public Interest Reporting) | Published: 5/20/2015

Maine Sen. Thomas Saviello, who has worked to pass legislation allowing J.D. Irving to develop an open-pit mine in the state, accepted a free plane ride from the company’s lobbyists and did not report it to the state ethics commission. Saviello said he did not have to report the 2013 trip ride because its value was not more than $300, the threshold for reporting gifts from lobbyists, and because the purpose was fact-finding. The lobbyists involved also did not report the trip, as required by the ethics commission.

Missouri – Missouri House Speaker Resigns; Intern Breaks Silence
St. Louis Post-Dispatch – Virginia Young | Published: 5/14/2015

Missouri House Speaker John Diehl resigned one day after the revelation of sexually suggestive text messages he exchanged with a 19-year-old legislative intern. The college student with whom Diehl had exchanged messages had been an intern for another House member. She no longer works at the Capitol, and Missouri Southern State University also removed its three other interns from Jefferson City. Republicans chose Rep. Todd Richardson as the next speaker.

Rhode Island – R.I. Secretary of State Gorbea Seeks Lobbying Changes
Providence Journal – Jennifer Bogdan | Published: 5/19/2015

Rhode Island Secretary of State Nellie Gorbea’s lobbying reform proposal was the subject of a recent hearing before the House Judiciary Committee. The proposal would increase the fines for violating the law from $2,000 to $5,000. Violators could also see their lobbying privileges suspended for up to three years. The bill also would reduced the frequency with which lobbyists have to file reports during the legislative session from monthly to quarterly.

Texas – Analysis: Ethics at center stage, hurting for attention
Texas Tribune – Ross Ramsey | Published: 5/18/2015

In his State of the State speech, Texas Gov. Gregg Abbott tried to put ethics reform high on the agenda for state lawmakers He added it to his list of five so-called emergency items that could get expedited treatment by lawmakers. But not a lot has changed. Reform is still possible, but the most significant changes being proposed still have not been considered by the House, much less by a committee that would have to reconcile the Senate and House versions of reform.

Wisconsin – Records Indicate Scott Walker Was Copied on Letter Promising Loan to Donor
Milwaukee Journal Sentinel – Jason Stein and Patrick Marley | Published: 5/18/2015

Wisconsin Gov. Scott Walker’s office was copied on a letter acknowledging his job creation agency would give a $500,000 loan to a campaign donor’s construction company, raising questions about his statements that he was not aware of the deal. It was reported that the Wisconsin Economic Development Corp. gave Building Committee Inc. (BCI) the unsecured, taxpayer-backed loan in 2011. The now-defunct company’s owner, William Minahan, gave Walker’s 2010 gubernatorial campaign $10,000, the maximum individual contribution allowed under state law. BCI never repaid the loan and did not use the money to create any jobs, according to The Wisconsin State Journal.

State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.

On May 20, Assembly Bill 273, which would require a cooling-off period before Nevada state legislators can act as paid lobbyists, passed the Senate. The Assembly passed this bill on April 15.

If signed into law, a former legislator could not work as a paid lobbyist for the period beginning on the date the former Legislator leaves office as a member of the Legislature and ending on the date of final adjournment of the next regular session during which the former legislator is not a member of the Legislature.

The bill allows a former legislator to immediately register as a paid lobbyist if the former lawmaker is required to act as a lobbyist as part of his or her full time employment, does not act as a lobbyist for others, and has primary responsibilities of employment including significant duties other than acting as a lobbyist. If signed, the law becomes effective on November 8, 2016.

Photo of the Nevada Legislature courtesy of Dave Parker on Wikimedia Commons.

The state’s legislature has agreed to a bill amending the code of ethics.

Senate Bill 850, now known as Public Act 15-15, creates an additional exception to the definition of expenditure, adds to who is not included in the definition of a lobbyist, and raises the threshold for lobbyist registration from $2,000 to $3,000.

After passing both chambers, the measure awaits the governor’s signature. If signed, the new provisions will be effective January 1, 2016.

Photo of the Connecticut State Capitol by jglazer75 on Wikimedia Commons.

Lobbying

“Much of Northrop Grumman’s Washington Influence Flies under the Radar” by Peter Olsen-Phillips for Sunlight Foundation

Maine: “Senator Accepted Flight from J.D. Irving While Promoting Looser Mining Laws” by Lance Tapley (Maine Center for Public Interest Reporting) for The Sun Journal

Pennsylvania: “Pa. Officials Report More than $160K in Gifts, Travel in 2014” by Mark Scolforo (Associated Press) for Harrisburg Patriot-News

Rhode Island: “R.I. Secretary of State Gorbea Seeks Lobbying Changes” by Jennifer Bogdan for Providence Journal

Campaign Finance

“Partisanship Stalemates FEC, Says Report” by Ben Kamisar for The Hill

California: “LACMA Expansion, Ridley-Thomas, ‘Super PAC’ Intersect in Email Trail” by Robert Faturechi and Jack Dolan for Los Angeles Times

Ethics

North Carolina: “NC Senator’s Private Legal Work Mixes with State Policy” by Lynn Bonner for Charlotte Observer

Oregon: “Oregon House Passes Resolution to Create Impeachment Process for Governor” by Ian Kullgren for Portland Oregonian

Elections

Pennsylvania: “Jim Kenney Wins Philadelphia’s Democratic Primary for Mayor” by Sheryl Gay Stolberg for New York Times

Legislative Issues

California: “Details Hidden On Legislative Lawyers Drafting Bills for Influential Groups” by John Meyers (CaliforniaReport.org) for Capitol Public Radio

The Idaho Legislature adjourned its special session Monday, May 18, 2015, just 12 hours after reconvening.

Lawmakers returned to Boise to approve changes to federal child support rules.

The bill has been sent to the governor who said he will sign it into law.

The Minnesota Legislature adjourned on May 18, 2015. Legislators scrambled to pass legislation minutes before the rigid midnight deadline. Gov. Mark Dayton has three days to accept or reject budget bills.

Dayton has stated on several occasions he plans to veto the education budget bill due to its lack of funding for half-day kindergarten. Should the governor veto that bill, a special session will be very likely.

According to the Minnesota Star Tribune, Senate Majority Leader Tom Bakk considers the special session “inevitable”. However, the Capitol building is undergoing renovation and therefore will not be a feasible location for a special session, should the governor convene one.

Dayton suggested the potential special session be held in a tent on the lawn of the Capitol, while area hotels offered their facilities as an alternative.

Photo of the Minnesota State Capitol by Jonathunder on Wikimedia Commons.

The Office of the Secretary of State has given notice of a special election for state House District 24.

The election will be held on June 16, 2015, with a runoff election on July 14, 2015, if needed.

The vacancy was created by the May 11 resignation of Mark Hamilton, who announced plans to accept a private sector job in Tennessee.

The Missouri General Assembly adjourned sine die on Friday, May 15. Lawmakers in the House sent 31 bills to Gov. Jay Nixon while the Senate, after admitting nothing more was likely to get done, adjourned hours early of the 6 p.m. deadline.

Senate Democrats stalled nearly every action in the last week of session after the Republican majority used a procedural motion to end debate and force a vote on a right-to-work bill barring mandatory collection of union fees.

All legislation pending in the Senate died upon adjournment; Gov. Nixon is not expected to call a special session to consider the unfinished business.

Photo of the Missouri Capitol by Nickbigd on Wikimedia Commons.

The Vermont Legislature adjourned sine die Saturday, May 16, 2015 late in the evening after completing work on a new budget. The previous day, lawmakers passed a lobbyist disclosure bill to increase disclosure during the legislative session.

If signed by the governor, it would be one of the strictest disclosure laws in the country, requiring monthly reports while the legislature is in session.

The bill also mandates lobbyist reports within 48 hours of running mass media campaigns of $1,000 or more.

Photo of the Vermont State House by Jared C. Benedict on Wikimedia Commons.

State and Federal Communications is excited to be a sponsor of the Women In Government 18th Annual Western Regional Conference on May 14-16, 2015, in Denver, Colorado.

Take a look at the amazing agenda here.

Missouri House Speaker John Diehl is resigning from the state Legislature; his resignation is effective today. Diehl is stepping down and acknowledging a serious error in judgment after exchanging sexually suggestive text messages with a college student serving as a Capitol intern. He admits the mistake calls into question his ability to lead.

Republican House members met Thursday night and chose House Majority Leader Todd Richardson to succeed Diehl as Speaker. Richardson is expected to be elected by the full House Friday morning.

National:

Amid Gridlock in D.C., Influence Industry Expands Rapidly in the States
Washington Post – Reid Wilson | Published: 5/11/2015

A Washington Post review shows lobbyists reported spending at least $2.2 billion on activity aimed at influencing legislators in 28 states where data was available during the 2013-2014 biennium, with virtually every state seeing dramatic growth over the last decade. At the same time, total spending on federal lobbying activities has fallen. Watchdog groups say state ethics laws have not kept up to date with the explosion in new spending. While most states make lobbying activity reports available online, some do not, and even some that do are not listed by subject area or sponsor. For practical purposes, that means citizens in many states would not be able to find just who is lobbying in support of or opposition to any given measure without combing through thousands of records.

The Great Democratic Crack-Up of 2016
New York Times – Robert Draper | Published: 5/12/2015

In many states, progressive groups have moved to promote what they hope will be populist candidates in the Elizabeth Warren mold while weeding out those judged to be ideologically tepid. Progressives believe Democrats lost their way by obsessing over what President Bill Clinton once termed “the vital center.” That fixation, they say, has rendered the party brand incomprehensible and raised the question as to what exactly Democrats stand for. Moderates believe the only remedy is for Democrats to refashion themselves as pragmatists who care more about achieving results than ideological purity. Observers say the problem is that neither wing can muster an entirely airtight case that theirs is the road map to electoral success.

Federal:

10 Members of Congress Took Trip Secretly Funded by Foreign Government
Washington Post – Scott Higham, Steven Rich, and Alice Crites | Published: 5/13/2015

Ten members of Congress and their aides accepted gifts and airfare to Azerbaijan that were secretly paid for by that country’s state-owned oil company, according to a report from the Office of Congressional Ethics given to The Washington Post. Expenses totaled more than $125,000, including airfare. The lawmakers were lavished with gifts ranging from crystal tea sets, silk scarves, and Azerbaijani rugs that were valued at between $2,500 and $10,000 each. The funding for the airfare and gifts was hidden through Texas-based nonprofits, which filed false statements saying they were paying for the trip.

Jeb Bush Leans on Nonprofit Group as He Prepares Likely Presidential Run
Washington Post – Ed O’Keefe and Matea Gold | Published: 5/12/2015

At least four people with expertise on energy issues, foreign affairs, and communications are working with Right to Rise Policy Solutions, a nonprofit advocacy group allied with Jeb Bush that can accept secret, unlimited donations from individuals and corporations. Bush’s reliance on the non­profit as he prepares for a likely presidential bid puts him on untested legal ground, cloaking who is paying the salaries of his expected advisers. But a polarized FEC is unlikely to scrutinize the maneuver.

The New Office Politics: Funding boss’s political causes
The Times Record – Michelle Conlin and Lucas Iberico Lozada (Reuters) | Published: 5/11/2015

Employers are increasingly approaching workers to fundraise, lobby, and campaign in ways they never have before, according to a Reuters analysis of FEC filings and data compiled by the Business Industry Political Action Committee (BIPAC). For years it was unions and trade associations that were the politically powerful workplace players, operating PACs. But since the 2010 U.S. Supreme Court decision that allowed for unlimited political spending by corporations, the number of companies engaged in this sort of activity – be it nudging employees to write letters, donate, campaign, or vote – has risen 45 percent to 7,317, according to BIPAC’s internal research.

From the States and Municipalities:

Indiana – Lawmakers Flock to Downtown Gambling Parlor for Fundraisers
Indianapolis Star – Tony Cook | Published: 5/13/2015

The Winner’s Circle in Indianapolis, an off-track betting facility, has hosted more than 30 fundraisers over the past two years for state lawmakers, helping them to rake in several thousand dollars over the course of a single afternoon. But the practice is raising questions about whether the events comply with a state ban on campaign contributions from casinos. Questions about the fundraisers are particularly relevant because the owner of the Winner’s Circle, Centaur Gaming, has lobbied intensely at the Capitol during the past two years for permission to have card games with live dealers at its two horse-track casinos in the state.

Louisiana – Lobbyists Spent $3 Million on Louisiana Officials, but Seldom Named Them
New Orleans Times-Picayune – Lee Zurik (WVUE) and Ben Myers | Published: 5/13/2015

Registered lobbyists in Louisiana reported a total of $2.9 million in expenditures between 2009 and 2014, which included nearly 30,000 disclosures. Almost 80 percent of expenses reported did not name which public official benefited, according to a review by The New Orleans Times-Picayune. Lobbyists are required to file monthly reports listing how much they spend on individuals, but they are free to pay for receptions and other group gatherings without disclosing the names of officials who attend. In some cases, those tabs were in the tens of thousands of dollars. The administrator for the Louisiana Board of Ethics, Kathleen Allen, said state laws do not provide a way to randomly audit the disclosures.

Massachusetts – Brian Joyce Thrives at the Edge of a Fuzzy Boundary
Boston Globe – Andrea Estes | Published: 5/3/2015

A review by The Boston Globe shows Brian Joyce, the assistant majority leader in the Massachusetts Senate, has frequently blurred the lines between his public duties and his private business. While other lawyer-legislators take pains to separate their two jobs, Joyce seems to freely mix the two. He aggressively seeks legal work from cities and towns that rely on the Legislature for funding, and he rarely discloses clients to the state Ethics Commission, which is required if a lawmaker sees potential for conflicts-of-interest in his votes.

Missouri – Free Food Fills Missouri Capitol’s Hallways as Ethics Bill Dies
St. Louis Post-Dispatch – Virginia Young | Published: 5/13/2015

Missouri imposes no limits on lobbyist-provided meals or gifts, and that appears unlikely to change when the legislative session ends on May 15. An ethics bill has languished in a conference committee since early April. The sticking point is whether to impose a $25 cap on individual meals, tickets, and trips that legislators receive from lobbyists. The bill’s sponsor, Senate Majority Leader Ron Richard, opposes the cap, saying it could be easily circumvented. The committee appointed to iron out the differences has never met, though negotiators have traded drafts. They say they have resolved all issues in the bill except the gift limit.

Missouri – Missouri House Speaker John Diehl Admits Sexually Charged Relationship with Intern
Kansas City Star – Jason Hancock | Published: 5/13/2015

Missouri House Speaker John Diehl exchanged sexually charged text messages with a freshman college intern. He is married with three sons. Richard Miller, dean of the School of Arts and Sciences at Missouri Southern State University, said the school pulled its four interns out of the Capitol this spring after an unspecified incident.

Missouri – Republican Legislator Faces Ethics Complaint over Comments to Reporter about Gifts
PoliticMo – Eli Yokley | Published: 5/12/2015

An ethics complaint has been filed against Missouri Rep. Craig Redmon, who says he has helped other lawmakers hide lobbyist gifts from required public reporting. Redmon said he sometimes has told people to put under his name expenses that actually were made for others. He says that shields other legislators, particularly those concerned with reporting any lobbyist gifts. Progress Missouri said that practice would be deceptive and wrong. It is unclear whether lobbyists actually have reported expenses made on behalf of other lawmakers as if they were for Redmon.

New York – Dean Skelos, New York Senate Leader, Vacates Post
New York Times – Thomas Kaplan and Susanne Craig | Published: 5/11/2015

Dean Skelos resigned his leadership post in the New York Senate after his arrest on federal corruption charges and was quickly replaced by Sen. John Flanagan. Skelos, who intends to keep his legislative seat, became the latest leader to lose his grip on power in a state government marred by corruption. Assembly Speaker Sheldon Silver stepped down from his leadership position early this year. Skelos is fighting charges he used his position to extort payments for his son, who is also charged in the case. Both men say they are innocent.

New York – Scarborough Pleads Guilty Twice
Albany Times Union – Brendan Lyons | Published: 5/7/2015

New York Assemblyperson William Scarborough pleaded guilty to federal theft and fraud charges, admitting he submitted at least $40,000 in false expense vouchers for days he did not actually travel to Albany. In state court, Scarborough later pleaded guilty to grand larceny, admitting he took $38,000 in unauthorized cash withdrawals from his campaign fund for personal use. The felony convictions automatically remove Scarborough from the Assembly.

Rhode Island – State of R.I. Drops 38 Studios Lobbying Cases
Providence Journal – Jennifer Bogdan | Published: 5/13/2015

Rhode Island Secretary of State Nellie Gorbea is dismissing cases against three people accused of lobbying violations in the 38 Studios deal, including ex-Boston Red Sox pitcher Curt Schilling. Former 38 Studios Director Thomas Zaccagnino and attorney Michael Corso had been ordered to file retroactive reports or face a fine. Corrente says both orders would likely be overturned in court because of procedural deficiencies in existing lobbying statutes. In the wake of the dismissal, Gorbea has proposed a new lobbying reform bill.

Virginia – Lobbyists Take Changes to Gifts Law in Stride
The Virginian-Pilot – Patrick Wilson | Published: 5/11/2015

Virginia Gov. Terry McAuliffe signed a new law in April that caps gifts to public officials, including travel or meals, at $100. It also forbids officials from accepting more than $100 in a calendar year from any one lobbyist or company, although gifts valued at less than $20 do not count toward the limit. Getting comfortable with the new law will be an “evolving process” for many lobbyists, said Whitt Clement, a former delegate and state transportation secretary who lobbies for the firm Hunton & Williams.

State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.

New York Senate Majority Leader Dean Skelos has resigned following his arrest on federal corruption charges. John J. Flanagan was formally elected to succeed Skelos on May 11, 2015.

Skelos’ resignation comes just weeks after the resignation of Sheldon Silver, former Speaker of the Assembly, following Silver’s arrest on similar charges. Skelos will keep his seat in the Senate even as his prosecution is ongoing.