Hawaii Gov. Neil Abercrombie signed Senate Bill 2120 into law April 25. Immediately effective upon executive approval, the legislation corrects a mistaken reference to a section of the Hawaii Revised Code meant to exempt contributions from a candidate’s immediate family from general statutory contribution limits.

Contributions from immediate family are now limited in the aggregate to $50,000 in any election period, provided the aggregate amount of loans and contributions received from said family does not exceed $50,000 during an election period.

 

The Dover City Council has set June 17, 2014, as the date of a mayoral special election following the resignation of Mayor Carleton E. Carey, Sr.

Dover’s city charter requires a special election be held no sooner than 30 days and no later than 60 days after the mayor’s office becomes vacant.

Vice Mayor David Bonar will serve as interim mayor until the new leader is chosen. The newly elected mayor will serve the remainder of Carey’s term, which expires on May 11, 2015.

 

 

We have an exciting announcement. Elizabeth Bartz, president and CEO of State and Federal Communications, will be the guest speaker at the Kent State University Trumbull Campus 2014 spring commencement ceremony. The event will take place on Friday, May 9, 2014.

Bartz is featured in a news release on the KSU Trumbull news page. According to the release, “Bartz, a former Trumbull County resident, is a Howland High School graduate, and attended classes at Kent State Trumbull (1976-78) before receiving a bachelor’s degree in journalism (‘80) and a master’s degree in political science (‘82) from Kent State University. Bartz currently serves on Kent State’s National Alumni Association Board; the Community Advisory Council for the university’s National Public Radio affiliate, WKSU; and serves on the Journalism Professional Advisory Board.”

Congratulations, Elizabeth!

Counsel for the Kentucky Legislative Ethics Commission John Schaaf testified before the Pennsylvania Senate State Government Committee on Kentucky’s strict ethics laws. Pennsylvania has one of the most lax ethics laws in the country, permitting officials to receive gifts in any amount, while Kentucky recently made its own strict law even more stringent by prohibiting all lobbyist gifts. Pennsylvania’s ethics laws have been under scrutiny after the recent allegations of legislators accepting cash payments from a lobbyist as part of a sting operation.

Schaaf testified about prior changes to Kentucky’s law enacted in a special session in 1993, in response to several legislators charged with ethics violations by the FBI. Schaaf stressed the importance of getting a law on the books; once enacted, it is difficult to change.

However, Kentucky’s ethics law only covers legislators and legislative candidates, and Pennsylvania Senator Lloyd Smucker, sponsor of a bill banning cash gifts, said broadening such a ban to other government employees makes the legislation more complex and may make it difficult to win support. Still, Pennsylvania’s lawmakers were interested in Kentucky’s approach to ethics, particularly the idea of an independent ethics commission available to answer questions from lawmakers and lobbyists.

 

 

For the sixth time, State and Federal Communications, Inc., under the leadership of President and CEO Elizabeth Z. Bartz, has been selected as one of the top women-owned businesses in Ohio, and is the only company recognized from Summit County.

The “Top Businesses in America” program award from DiversityBusiness.com, a web-based publisher and business site, selected the Akron company due to its overall leadership and economic achievements, ranking it in the top 50 of women-owned businesses in Ohio in 2014.

This is a considerable accomplishment given the current business climate in Ohio. The state currently ranks 48th in the country in combined economic clout for women-owned companies – a measurement averaging the rankings in growth in number according to the fourth annual State of Women-Owned Businesses report, sponsored by American Express OPEN.

Bartz recognizes the trend and sees this award as an opportunity. “As a successful small business owner and a woman, I believe it is important to be an example to other women, to demonstrate to the community what women can achieve and the impact we can have.”

Bartz says hard work in both business and community, is how rising above the trend is possible. She has witnessed disparity firsthand throughout her professional career, and uses these experiences as a motivator to grow not only her company and mentor her staff, but to also mentor other women in the community.

Bartz believes the best advice she can give to other women is to encourage them to take on leadership roles and immerse themselves in the community. United Way of Summit County, Go Red for Women, Boys and Girls Clubs of the Western Reserve, Susan G. Komen – Race for a Cure, the WKSU/Kent State University Foundation, and the Akron Urban League’s Speakers Series Platinum sponsorship only begin to chronicle the array of local organizations Bartz and her company support. She serves in a leadership role on multiple local and national boards, including Kent State University’s National Alumni Association Board, the State Government Affairs Council (SGAC), National Conference of State Legislatures (NCSL) Foundation, Council of State Governments (CSG) Associations, Public Affairs Council, and the Council on Governmental Ethics Laws (COGEL).

“Keep growing and keep leading. This is how we create a counter-trend in Ohio,” said Bartz, who also encourages her staff to get involved. “Last year we celebrated our 20th anniversary, launched a new website, and increased our staff by nine percent. My staff gets all the credit for our achievements, but their dedication to the company is surpassed by their dedication to the community.”

This month, State and Federal Communications was also presented with an award for the highest per employee corporate giving for companies with less than 50 employees from the United Way of Summit County. Bartz believes the demonstration of their core values sets the company apart from other similar small businesses and are the ingredients needed to shift the direction Ohio is heading with diversity in the workplace.

The “Top Businesses in America” program is sponsored by major brands, including Apple, AT&T, Wal-Mart, Coca-Cola, Office Depot, Toyota, Cisco, and Verizon. The program offers one of the nation’s most coveted awards. More than 3,000 award recipients have been honored since the program’s inception. Bartz and the company also won the award in 2007, 2009, 2010, 2011, and 2012.

The New York City Council has introduced legislation imposing increased independent expenditure disclosure requirements. Introduction No. 148-A requires any electioneering communications to include the phrase “paid for by,” whether typed or spoken, followed by the identity of the top five donors to the organization sponsoring the communication.

Campaign Finance Board Executive Director Amy Loprest testified before the council on April 25, 2014, supporting the legislation. In support of the bill, Loprest stated, “Providing voters with clear information about who is responsible for these campaign messages will reduce the likelihood of confusion among voters.”

Photo of the New York City Hall by Momos on Wikipedia.

 

A new bill introduced in the Yukon 33rd Legislative Assembly would create a lobbying law for the territory.

Introduced on April 9 by MLA Liz Hanson, Leader of the Opposition New Democratic Party, the proposed legislation creates a registrar position to establish and maintain the lobbyist registry. Bill 104 mandates a consultant lobbyist must file the first return within 10 days of an undertaking. An in-house lobbyist must file his or her first return within 60 days after becoming an in-house lobbyist. Subsequent returns must be filed biannually.

The bill also creates a cooling off period before former public officials could lobby the government.

 

The 28th Alaska State Legislature adjourned an extended session sine die on Friday, April 25.

Originally set to adjourn April 20, both the House and Senate remained in session until compromising on a major education reform bill and a controversial bridge bill.

 

The U.S. District Court for the Southern District of New York struck down a campaign finance law limiting contributions to super PACs. Sections 14-114(8) and 14-126 of the New York Election Law impose an annual aggregate contribution limit of $150,000 per contributor. Plaintiff New York Progress and Protection PAC challenged the aggregate contribution limits on First Amendment grounds.

The committee, although ruled by the court to be an independent expenditure committee, was formed to support the candidacy of Republican Joseph Lhota, the unsuccessful New York City mayoral candidate in 2013.

Judge Paul A. Crotty, citing the precedent established in Citizens United and McCutcheon, enjoined New York’s aggregate contribution limit as applied to independent expenditures.

 

State and Federal Communications, Inc. had a surprise visitor stop by our office today. ADaM, the mascot for the County of Summit ADM Board, came by to say, ‘Thank You!’ for our donation to the annual ADM Recovery Challenge.

State and Federal Communications is proud to contribute to the ADM Board, and we are committed to their dedicated efforts to those individuals most in need in Summit County.

Learn how you can get involved on the Challenge’s Facebook page or at www.admboard.org.

 

 

State and Federal Communications, Inc. is excited to attend and be a sponsor of the Ohio State Bar Association 2014 Annual Convention in Columbus, Ohio from April 30 to May 2. If you are planning to attend, please stop by booth #23 and say hello!

 

 

 

National:

General Dynamics to No Longer Contribute to Political Organizations

Washington Business Journal – Jill Aitoro | Published: 4/22/2014

General Dynamics announced it will no longer make contributions to political organizations or nonprofit groups that in turn give to campaigns. The decision comes in response to a shareholder proposal that requests that the company’s board of directors authorize an annual report disclosing lobbying policy and procedures, and membership in and payments to tax-exempt organizations that write and endorse model legislation.

Political Attack Ads, Often Negative, Try Instead to Accentuate the Positive

New York Times – Ashley Parker | Published: 4/17/2014

Some of the best-known super PACs and outside political groups are making an effort to cast the candidates they support in an appealing way instead of solely attacking opponents. Already this year, 16 percent of Americans for Prosperity’s spots have been positive; in 2012, the group did not run a single one. The shift is the product of several factors, such as the renewed hope that positive commercials can break through the advertising clutter and the increasing prevalence of stock footage made public by campaigns that makes producing positive ads easier.

Federal:

Following Sebelius Phone Call, Foundation Donated $13M to Obamacare Outreach Group, Report Says

Washington Post – Jason Millman | Published: 4/21/2014

U.S. Health and Human Services Secretary Kathleen Sebelius last year approached five organizations seeking money or technical help for Enroll America, a nonprofit working to increase participation in the federal health law, according to a review by the Government Accountability Office. Republicans had criticized Sebelius for making a funding request to outside groups, while the Obama administration defended the action, contending Congress refused to provide enough funding for Affordable Care Act outreach.

Justice Stevens Suggests Solution for ‘Giant Step in the Wrong Direction’

New York Times – Adam Liptak | Published: 4/21/2014

Former U.S. Supreme Court Justice John Paul Stevens said the court had made a disastrous wrong turn in its recent string of campaign finance rulings. In an interview with The New York Times, Stevens talked about what he called a telling flaw in the opening sentence of the ruling in McCutcheon v. Federal Election Commission, and filled in some new details about the behind-the-scenes maneuvering that led to the Citizens United decision.

From the States and Municipalities:

California – Ethics Panel Wants More Public Funding Available to Candidates

Los Angeles Times – Soumya Karlamangla | Published: 4/17/2014

The Los Angeles Ethics Commission recommended the city’s public campaign finance program increase the matching funds available to candidates. The commission also announced it would no longer enforce aggregate contribution limits on individuals giving to city and school board candidates as a result of a recent U.S. Supreme Court ruling. City caps on what donors can give to individual candidates will remain in effect. Those range from $700 to $1,300 per election, depending on the office.

Connecticut – DGA Challenges Connecticut’s Campaign Finance Restrictions

Connecticut Mirror – Mark Pazniokas | Published: 4/23/2014

The Democratic Governors’ Association sued the state of Connecticut, saying its laws on political spending are unconstitutionally broad and limit the ability of political groups to buy independent ads backing candidates. The lawsuit said the state unfairly treats independent money spent on ads and other political messages by the national group as contributions to particular candidates, and thus subject to campaign finance limits.

Missouri – Missouri Lawmakers Take Trips to Israel, California, New Orleans – On the Lobbyists’ Dime

St. Louis Post-Dispatch – Kevin McDermott | Published: 4/21/2014

Industry and special interest groups spent more than $200,000 in the last three years on trips for Missouri lawmakers, according to The St. Louis Post-Dispatch. Records show the travel-related spending in many cases included airline tickets, hotel rooms, meals, and convention fees. While lobbyist spending is legal in Missouri, critics say the practice can create conflicts-of-interest when legislators vote on important issues. Defenders of lobbyist spending say paying for trips that provide lawmakers with valuable information is not the same as plying legislators with perks.

New York – Judge Strikes Down NY Limits on Donations to ‘Super PACs’

Reuters – Joseph Ax | Published: 4/24/2014

U.S. District Court Judge Paul Crotty struck down New York’s limits on donations to independent PACs as unconstitutional. The judge said the statutes could not survive First Amendment scrutiny in light of recent landmark U.S. Supreme Court decisions that have lessened restrictions on political donors. Under Crotty’s ruling, super PACs can now raise unlimited funds, though committees that coordinate with parties or candidates are still subject to limits.

North Carolina – Feds Eye Ex-Mayor Cannon’s Campaign in Charlotte Corruption Probe

Charlotte Observer – Fred Clasen-Kelly and Ames Alexander | Published: 4/12/2014

As the FBI builds its public corruption case against former Charlotte Mayor Patrick Cannon, investigators are taking a close look at campaign finance records he filed with the Mecklenburg County elections board. But a Charlotte Observer review of Cannon’s campaign records since 1999 found reports with misleading, inaccurate, and missing information that makes it difficult to tell where he got much of his money.

Ohio – Lobbyists Could Spend More on Ohio Lawmakers under Proposed Legislation Billed as Ethics Reform

Cleveland Plain Dealer – Jeremy Pelzer (Northeast Ohio Media Group) | Published: 4/23/2014

New legislation, if enacted, would make the most significant changes to Ohio’s ethics rules in two decades. Lobbyists would get to spend twice as much on lawmakers and disclose fewer expenses under the proposed bill. The measure, which Republican sponsors say they intend to introduce in May, also includes increased transparency and accountability measures, such as requiring random audits of public officials’ financial disclosure forms and posting all such forms online.

Pennsylvania – Pa. Legislative Sting’s First Suspects Were Caught, Not Targeted, Supporters of the Aborted Probe Say

Harrisburg Patriot-News – Charles Thomspon | Published: 4/16/2014

A legislative sting operation quashed by Pennsylvania Attorney General Kathleen Kane was much broader than originally described, and the undercover informant who recorded many conversations reached out to a racially diverse group of Democratic and Republican state lawmakers, lobbyists, and city officials, according to sources. Kane has argued that one reason she decided not to pursue the investigation was that there was an appearance of racially-based targeting of potential suspects.

Tennessee – Candidate is Treasurer of PAC Raising Money for Him

The Tennessean – Michael Cass | Published: 4/20/2014

Donors invited to a recent fundraiser for state House candidate Troy Brewer were told they could avoid disclosure on campaign finance reports by writing their checks to Leaders of Tennessee, a PAC Brewer serves as treasurer. Giving to a specific candidate through a PAC to mask the source of the funds is illegal, subject to a fine of up to $10,000. “You can’t use an intermediary to get around disclosure,” said Drew Rawlins, executive director of the state Bureau of Ethics and Campaign Finance.

State and Federal Communications produces a weekly summary of national news, offering more than 80 articles per week focused on ethics, lobbying, and campaign finance.

News You Can Use is a news service provided at no charge only to clients of our online Executive Source Guides, or ALERTS™ consulting clients.

 

County commissioners are pushing for a rewrite of the county ethics code only four years after the strict code was adopted. Commissioners complain Broward’s ethics code is too strict, setting up officials for violations and penalties for something as small as accepting a bottle of water at an event. Commissioners discussed limiting gifts to $10 and excluding nonalcoholic beverages from the ban.

The April 22 meeting was the first step towards rewriting the code, and potential changes could be enacted by the County Commission later this year, though some changes may require voter approval.