July 19, 2011 •
Laurel, Maryland Introduces New Ethics Bill
City Council Ordinance
New ethics regulations have been introduced by the Laurel, Maryland City Council, including provisions related to lobbyists.
Observing Maryland’s state ethics regulations for municipalities, the introduced ordinance requires lobbyists to file reports twice a year for each entity they represent. Lobbyists failing to file timely reports could be assessed a late fee of $10 per day up to a maximum of $250. Further enforcement of violations by lobbyists could include additional fines up to $5,000 per offense and suspension of lobbyist registration.
The bill also includes financial reporting requirements for public officials, hiring practices regulations, and rules regarding conflicts of interest.
Map of Maryland by Arkyan on Wikipedia.
July 18, 2011 •
E-Mail Reporting Requirements Too Burdensome
WRPAC Requests Exemption from FEC
An advisory opinion request seeking to lift the requirement of the 24- and 48-hour reporting of independent expenditures for bulk e-mailing during the 2012 presidential primaries has been filed with the Federal Election Commission.
Western Representation PAC (WRPAC), which has 140,000 e-mail addresses, and estimates it will have 500,000 by the end of the year, intends to send the entire list an indeterminate number of e-mail messages during the more than 24 president primaries in 2012. The frequency of messages would range “from as few as four a month to as many as thirty, depending on the unpredictable political developments of the day and the fluctuating urgencies of the primary season.”
Because WRPAC will be paying a fixed monthly price for the e-mail service, and because the number of e-mails is unpredictable, WRPAC is asking the FEC to grant an exemption from the 24- and 48-hour reporting requirement, stressing the difficulty in determining what share of the fixed monthly price would apply in order to determine whether a reporting requirement would be triggered across the various different primary dates. WRPAC’s request includes several scenarios to illustrate the burdens on WRPAC’s planned independent expenditures, arguing “that they rise to the level of an infringement on WRPAC’s First Amendment rights.”
You can find the press release here.
July 11, 2011 •
IRS Stops Investigating 501(c)(4) Organizations
Future Action Possible
The Internal Revenue Service will not pursue its proposed check on the applicability of gift tax contributions to 501(c)(4) organizations. Acknowledging it has limited history or guidance on this issue, the IRS announced it “will not use resources to pursue examinations on this issue. Any future action we take will be prospective and after notice to the public.”
In recent years, 501(c)(4) organizations, which allow for limited disclosure requirements, have taken a more prominent role in the campaign finance landscape.
July 5, 2011 •
Louisiana Presidential Primary Date Changed
Jindal Signs Into Law
Louisiana Governor Bobby Jindal signed House Bill 509 into law, changing the date of the state’s presidential primary. The primary moves to March on the first Saturday which follows the first Tuesday. Previously, the presidential primaries were held in February.
The change in law becomes effective immediately.
June 30, 2011 •
FEC Allows Limited Federal Candidate Solicitations for Independent Expenditure-Only Political Committees
Colbert’s PAC Prevails Too
The Federal Election Commission issued two advisory opinions today, including one allowing federal candidates to solicit contributions for independent expenditure-only political committees (IEOPC) up to $5,000.
In AO 2011-12 revised draft A, which was approved unanimously by the six commissioners, the FEC held solicitations by federal candidates are restricted to the applicable “limitations, prohibitions, and reporting requirements” of 2 U.S.C. §441i(e)(1)(a). While an IEOPC may accept unlimited contributions, the commission held the law still restricts the contribution amount a federal candidate may solicit. Therefore, although federal officeholders and candidates, and officers of national party committees cannot solicit unlimited contributions for an IEOPC, they may still make solicitations within the monetary strictures of the amended Federal Election Campaign Act of 1971.
The advisory opinion also concluded federal officeholders and candidates, and national party officers, may attend, speak at, and be featured guests at fundraisers held by an IEOPC, even when unlimited contributions are simultaneously being solicited from corporations, individuals, and labor organizations. The federal candidate would have to restrict their personal solicitation at the event to the amounts limited by the law.
A second advisory opinion was also issued granting Viacom a press exemption from reporting expenses as contributions, with some exceptions, for its employee Stephen Colbert’s new political action committee, which Mr. Colbert intends to use a vehicle for commentary on the current state of campaign finance.
June 29, 2011 •
Providence Lobbyist Registration Delay
City Accepting Information by E-Mail
Providence, Rhode Island will not have its online portal set up for lobbyist registrations by July 1, the date the new city local lobbying ordinance takes effect. However, the City Clerk will accept e-mail registrations containing the name, address, telephone number, e-mail address, and lobbyist’s employer’s identification.
No registration fee will be due or accepted until the online portal becomes available. After the online portal becomes available, the City Clerk will contact individuals to complete the registration process.
The registration information can be e-mailed to astetson@providenceri.com.
June 27, 2011 •
Alaska Special Session Called Today
Program Set To Expire
A special session of the Alaska legislature has been called in Juneau to address the state’s Alaska Coastal Management Program, which expires on June 30.
The session is expected to finish this week.
June 27, 2011 •
Bill: Federal Lobbyists Redefined
Reporting Changes
A new bill introduced into Congress redefines lobbyist and increases lobbyist reporting requirements.
Representative Mike Quigley has introduced the Lobbying Disclosure Enhancement Act, which changes the definition of lobbyist by removing the exception of individuals whose lobbying activities account for less than 20 percent of the time engaged in lobbying over a three month period.
Lobbyists would be required to register online within five days of employment, as opposed to the current 45 day requirement. For each lobbying activity which engaged an official, a lobbyist would be required to report the date of the contact, the specific issue discussed, and identify those covered executive branch officials or Members of Congress contacted about the issue. If lobbying an employee of a Member of Congress, the Member’s name would also have to be reported. Political contributions by lobbyists to candidates would have to be reported quarterly instead of semi-annually.
The bill also creates a special unit for enforcing the lobbying disclosure laws called the Lobbying Disclosure Act Enforcement Task Force, whose primary responsibility would be investigating and prosecuting each case referred to the Attorney General.
June 24, 2011 •
Louisiana Regular Session Adjourned
Sine Die
The 2011 regular session of the Louisiana Legislature adjourned sine die on June 23, 2011.
Upon transmittal of a bill, Governor Bobby Jindal will have 20 days to sign or veto the legislation.
Photo of the Louisiana House of Representatives Chamber by Jeffrey Schwartz on Wikipedia.
June 23, 2011 •
New House Ethics Rules Proposed for Massachusetts
Lobbyists Affected
Massachusetts House Republicans have introduced an outline of ethics reform for members which includes some restrictions on lobbyists. The ethics changes, which have not yet been introduced, would require lobbyists to wear badges identifying themselves as such and prohibit lobbyists from entering the House chamber or the members’ lounge, with some exceptions. Additionally, House members and their staff would be forbidden from contacting public entities regarding pending procurement decisions.
The Republican members have stated the proposed code will not be introduced until next week to allow the House Democrats to co-sponsor the new ethics rules.
Photo of the interior of the Massachusetts State House by Daniel Schwen on Wikipedia.
June 21, 2011 •
Louisiana Bill Reduces Public Contract Amounts
10%
A Louisiana House bill now in the Senate would reduce some public contracts by ten-percent for fiscal year 2011-2012.
As originally introduced, House Bill 15 would require a ten-percent reduction in the total dollar amount for professional, personal, and consulting service contracts. House and Senate amendments, both concerned about the bill negatively affecting some social services, delete references to professional and personal services, limiting the focus to consulting services.
Under the bill, new contracts with the state could not exceed the reduced dollar amount determined by existing contracts. Examinations of these contracts would fall under the jurisdiction of the Office of Contractual Review.
Photo of the Louisiana State Capitol by Richard Rutter on Wikipedia.
June 15, 2011 •
One PAC Is Enough
Two Bank Accounts
A Federal District Court judge has issued an injunction preventing the Federal Election Commission (FEC) from enforcing some campaign contribution limits against a political action committee planning to solicit and accept unlimited contributions.
As a single committee, the National Defense Political Action Committee (NDPAC) intends to contribute directly to candidates and political committees, and to make independent expenditures, separating the funds by using two separate bank accounts. It would maintain the statutory limits on the solicitation of funds used for direct contributions while simultaneously seeking unlimited funds for use in their independent expenditures.
The FEC had been unable to issue a binding resolution to an earlier NDPAC advisory opinion request.
In Carey v. FEC, United States District Judge Rosemary M. Collyer ruled the FEC may not enforce 2 U.S.C. §§ 441a(a)(1)(C) and 441a(a)(3), which outline contribution limits for political committees and candidates, against NDPAC with regard to independent expenditures as long as NDPAC maintains separate bank accounts, proportionally pays related administrative costs, and complies with the applicable monetary limits of each type of contribution.
The FEC maintained NDPAC should establish a second formal committee.
June 15, 2011 •
Pay Fines and File or No Lobbying in South Carolina
New Law
Lobbyists and lobbyist’s principals can no longer register, reregister, or continue to be registered in South Carolina if they have outstanding late filing penalties.
House Bill 3183, which Governor Nikki Haley recently signed into law, prohibits the State Ethics Commission from allowing delinquent lobbyists and lobbyist’s principals to participate in lobbying until the fines and filing have been remedied.
The bill also delineates what the fines and penalties are for late filing. Persons filing late are first fined $100 if a report is not filed within 10 days of the due date. After receiving notice by certified or registered mail that a required report has not been filed, there is a $10 a day fine for the first 10 days after receiving the notice. The fine increases to $100 a day for each additional day the required report is not filed, capping at $5,000.
If the report is still not filed, the offender faces an additional misdemeanor conviction with imprisonment or fines.
Flag of South Carolina courtesy of mapsof.net.
June 15, 2011 •
Oregon Bill Caps Filing Penalties
Political Contribution Reporting
A bill which establishes a cap of $5,000 per calendar month on civil penalties for failure to file statements or include required information has passed the Oregon House Committee on Rules.
Senate Bill 270 removes “unfulfilled pledge, subscription, agreement or promise to make contribution” from the definition of contribution.
Additionally, the bill, which passed the Senate in March, also changes the period for assessing civil penalties for violations of campaign finance reporting requirements.
The bill leaves the committee for a full house vote.
State and Federal Communications, Inc. provides research and consulting services for government relations professionals on lobbying laws, procurement lobbying laws, political contribution laws in the United States and Canada. Learn more by visiting stateandfed.com.