Lobbying

California: “Santa Monica Could Require Lobbyists to Register” by Nikki Cervantes for Santa Monica Lookout

Pennsylvania: “Pennsylvania Lawmakers Will Be Challenged to Ban Themselves from Taking Lobbyists’ Gifts” by Marc Levy (Associated Press) for Columbus Republic

Rhode Island: “Mollis Concludes Former R.I. Attorney General Lynch Did Not Violate Lobbying Rules” by Katie Mulvaney for Providence Journal

Rhode Island: “Ruling Says Zaccagnino Lobbied for 38 Studios without Registering” by Katie Mulvaney for Providence Journal

Campaign Finance

“New Software Helps Connect the Money Dots in Politics” by Eric Lipton for New York Times

New York: “Hotelier Avoids Prison for Violating Campaign Finance Laws” by Stephanie Clifford for New York Times

Ethics

“Lawyers Create Big Paydays by Coaxing Attorneys General to Sue” by Eric Lipton for New York Times

New Jersey: “New Jersey Paying Fees to a Financial Firm That Employs Christie’s Wife” by Kate Zernike for New York Times

Virginia: “Va. Del. Joseph Morrissey to Resign in Wake of Conviction but Run Again for His Seat” by Rachel Weiner for Washington Post

South Carolina: “S.C. House, Senate Clash over Ethics Reform” by Jeremy Borden for Charleston Post and Courier

Pennsylvania: “Ex-Traffic Court Judge Sentenced to Prison in Bracelet Case” by Julie Shaw for Philadelphia Daily News

Redistricting

Ohio: “Redistricting Reform Plan Passes House, Needs Voter Approval” by Jackie Borchardt (Northeast Ohio Media Group) for Cleveland Plain Dealer

The research team at State and Federal Communications has developed an Inaugurations Guide to help provide our clients with the most up-to-date changes. The guide is based on the November 2014 elections and provides names of the governors, inauguration dates, rules about providing tickets to events, and contributing to inaugural committees.

This guide provides you with yet another compliance reference tool to effectively handle the changing legislation as it pertains to government affairs. For non-subscribers you can gain access to the guide by clicking on the following link, Inaugurations Guide.

National:

A State Guide to Political Corruption, According to the Reporters Who Cover It
Washington Post – Niraj Chokshi | Published: 12/8/2014

With Congress stuck in the least productive rut in American history, the bulk of important legislative action is taking place in the states. But according to one study, all that power might not be in the best hands. Harvard University’s Edmond J. Safra Center for Ethics published a study looking at state-level corruption throughout the U.S. But instead of relying on conviction data, researchers surveyed some 280 regional reporters and asked them to grade each of the three branches of government in their state on legal and illegal corruption.

Energy Firms in Secretive Alliance with Attorneys General
New York Times – Eric Lipton | Published: 12/6/2104

An investigation by The New York Times found attorneys general in at least a dozen states are working with energy companies and other corporate interests to push back against the Obama administration’s regulatory agenda. The companies in turn are providing them with record amounts of money for their political campaigns, including at least $16 million this year. They share a common philosophy about the reach of the federal government, but the companies also have billions of dollars at stake. And the collaboration is likely to grow: for the first time in modern American history, Republicans in January will control a majority of attorneys general’s offices.

Payouts to McCrory, Sanford from Mortgage Broker Raise Ethical Questions
Charlotte Observer – Michael Biesecker and Mitch Weiss (Associated Press) | Published: 12/16/2014

Soon after taking office, North Carolina Gov. Pat McCrory and U.S. Rep. Mark Sanford accepted six-figure stock payouts from an online mortgage broker, a move that experts say raises ethical if not legal concerns. They were directors at Tree.com, the corporate parent of the website LendingTree. As board members, they were entitled to restricted company stock if they held their positions long enough. Both resigned after their election victories, which would have rendered their unvested stock worthless had the board not taken special action to provide them early payouts. McCrory and Sanford deny they did anything improper by accepting the payments from Tree.com, which were not fully described in their ethics statements.

Federal:

Every Election Is the Most Expensive Election. Or Not.
New York Times – Derek Willis | Published: 12/16/2014

Despite the efforts of the FEC, which has been faithfully disseminating campaign finance data since 1975, there are limitations in the ways that data is collected and summarized that make generating totals and comparisons very difficult. In a paper presented at the American Political Science Association conference this year, Temple University professor Robin Kolodny challenged the idea that we know each election is more expensive than previous ones, or that we even know how much campaigns really cost. Kolodny concludes this lack of knowledge fuels our perceptions of money in politics as an issue.

G.O.P. Angst Over 2016 Led to Provision on Funding
New York Times – Nicholas Confessore | Published: 12/13/2014

A campaign finance provision in the federal omnibus spending bill that will significantly raise certain contribution limits began with what Republican leaders regarded as an urgent problem: how would they pay for their presidential nominating convention in Cleveland in 2016? The talks ended with a bipartisan agreement that would allow wealthy donors to begin giving more than $1 million every election cycle to each party’s national committees.

Jeb Bush’s Decision to Explore Presidential Bid Scrambles the 2016 GOP Field
Washington Post – Matea Gold and Philip Rucker | Published: 12/16/2014

Former Florida Gov. Jeb Bush said he would “actively explore” a presidential run, immediately sending reverberations through the potential GOP field, tying up donors whom other candidates are courting, and forcing contenders to accelerate their own considerations for 2016. Bush became the first Republican to take an overt step toward a White House bid. He announced he would create a PAC, allowing him to raise money and travel the country ahead of an eventual decision.

From the States and Municipalities:

Arizona – Registration Rule for Political Groups Ruled Too Vague
Arizona Daily Sun – Howard Fischer (Capitol Media Services) | Published: 12/6/2014

A federal judge ruled an Arizona law defining a political committee is unconstitutionally vague. Deputy Secretary of State Jim Drake said at the very least, the judge’s order eliminates the requirements for disclosure of funding by groups pushing or opposing ballot measures. It is not unusual for these campaigns to cost millions of dollars. But attorney Paul Avelar of the Institute for Justice said he reads the ruling to apply to all the independent groups pushing to elect or defeat candidates. The order does not bar the state from requiring political committees to register. But legislators will have to redo the law in a fashion that courts find to be constitutional.

Arkansas – Questions Surround Constitutional Amendment on Ethics, Term Limits
Arkansas News – John Lyon (Arkansas News Bureau) | Published: 12/8/2014

Rep. Warwick Sabin and Sen. Jon Woods are aiming to end the confusion surrounding their co-authored and recently passed constitutional amendment, Issue No. 3. But the head of the Arkansas Chamber of Commerce said he expects the amendment to face multiple court challenges. The measure enacts significant ethics reforms for state legislators, such as restricting gifts, eliminating corporate campaign contributions, and extending the lobbying period for former legislators once their service is complete. The amendment also extends term limits to 16 years in either chamber of the state Legislature or a combination of both.

Georgia – State Ethics Agency Faces More Changes
Gainesville Sun – Christina Cassidy (Associated Press) | Published: 12/7/2014

It has been a tumultuous year at Georgia’s ethics commission, which has been hamstrung by a number of lawsuits filed by former employees, personnel issues, and allegations of outside influence with questions raised about its ability to ensure candidates, campaign committees, lobbyists, and others are disclosing their financial activities. Meanwhile, the agency has had 216 open complaints that have been pending an average of three years. A recent audit issued 42 recommendations that state lawmakers might consider to improve the effectiveness and independence of the commission.

Missouri – Ethics Bills Filed to Open Debate on Lobbying and Campaign Finance Rules
Columbia Daily Tribune – Rudi Keller | Published: 12/15/2014

Missouri Rep. Caleb Rowden filed a bill that would ban lobbyists’ gifts to individual lawmakers, their staff members, and families. It also would require subcontracting lobbyists hired by principal lobbyists to disclose the actual client being served. Rowden addresses campaign finance issues by requiring that legislators and statewide elected officials disclose donations greater than $500 within 48 hours during legislative sessions.

New York – After Ethics Panel’s Shutdown, Loopholes Live On in Albany
New York Times – Thomas Kaplan, William Rashbaum, and Susanne Craig | Published: 12/8/2014

Investigators for the Moreland Commission, an anti-corruption panel that New York Gov. Andrew Cuomo created last year, found a slew of questionable activity. But Cuomo abruptly shut down the commission as part of a deal with the Legislature. In Albany, some of the most questionable conduct by elected officials has long been perfectly legal, safeguarded by the only people who can outlaw it: the lawmakers themselves. Before it was disbanded, the commission urged elected officials to close loopholes, toughen criminal statutes, increase disclosure requirements, and restrict how campaign funds could be spent. Now, eight months after its work was cut short, little in Albany has changed.

Ohio – Work of FBI Squad Evident in Columbus Payday Probe
Marietta Times; Associated Press –   | Published: 12/11/2014

Columbus, Ohio’s growing population and increasing sophistication as a metropolis helped drive the FBI’s decision to dedicate a public corruption unit to the city. State Rep. Dale Mallory was fined for accepting Cincinnati Bengals tickets from lobbyists, Sen.-elect Sandra Williams was fined and sentenced to a suspended six-month jail term for selling Ohio State tickets her campaign purchased to a lobbyist and pocketing the proceeds. Two more state lawmakers, then- Reps. W. Carlton Weddington and Clayton Luckie, received prison time in the long-running investigation of payday-lending lobbyists. Two lobbyists also were convicted.

Pennsylvania – Two Philadelphia Lawmakers Charged in Sting Probe
Philadelphia Inquirer – Craig McCoy and Angela Couloumbis | Published: 12/16/2014

In a case that Pennsylvania Attorney General Kathleen Kane said was “not prosecutable,” the Philadelphia district attorney’s office announced felony corruption charges against two state legislators accused of accepting cash from an undercover lobbyist who videotaped the exchanges. Reps. Ronald Waters and Vanessa Brown are charged with criminal conspiracy, bribery, conflict-of-interest, and failure to report on their financial interest disclosure forms – all stemming from allegedly accepting money in exchange for promised political actions. Kane dismissed the case in 2013, citing legal flaws, poor supervision, and a taint of racism to the investigation. District Attorney Seth Williams then took up the inquiry.

Rhode Island – Mollis Adopts Hearing Officer’s Decision that Corso Engaged in Unregistered Lobbying Related to 38 Studios
Providence Journal – Jennifer Bogdon | Published: 12/5/2014

Rhode island Secretary of State A. Ralph Mollis has adopted the decision by a hearing officer that attorney Michael Corso engaged in unregistered lobbying relating to 38 Studios. Corso, whose friendship with former House Speaker Gordon Fox helped bring the now bankrupt video-game company to the state, will face a $2,000 fine if he does not file the required reports. Mollis convened the administrative hearing process after media stories shed light on Corso’s role in advocating for $75 million in state-backed loan guarantees in a jobs-creation bill. The funding eventually went to 38 Studios.

Wisconsin – Republicans Seize on Audit Critical of State Elections Board
Milwaukee Journal Sentinel – Patrick Marley | Published: 12/12/2014

An audit critical of the nonpartisan board that oversees ethics and elections in Wisconsin fueled calls for change from Republicans who control the Legislature. The long-awaited report detailed a number of problems with the Government Accountability Board, which began in 2008. The audit said board staff did not consistently follow a penalty schedule for enforcing campaign finance, lobbying, and code of ethics laws; did not conduct 16 required reviews over a four-year period to identify felons who may have voted illegally; and did not put in place written procedures for considering complaints.

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.

Lobbying

“Republican Congress Lures Lobbyists Back to Capitol Hill” by Megan Wilson for The Hill

“Mollis Adopts Hearing Officer’s Decision that Corso Engaged in Unregistered Lobbying Related to 38 Studios” by Jennifer Bogdon for Providence Journal

Campaign Finance

“Secretive Nonprofits Flourished – and Succeeded – in 2014 State Elections” by Reity O’Brien for The Center for Public Integrity

“Who Wants to Buy a Politician?” by Binyamin Appelbaum for New York Times

“New FEC Chief on ‘Dark Money’ Mission” by Dave Levinthal for The Center for Public Integrity

“Ethics Commission Hits Former Candidate, Treasurer with $43,000 Fine” by Emily Alpert Reyes for Los Angeles Times

“PA Supreme Court: Law firm can forgive U.S. Rep. Bob Brady’s 2007 debt” by Chris Brennan for Philadelphia Daily News

“State High Court to Take up Doe Cases Centered on Walker’s Campaign” by Patrick Marley for Milwaukee Journal Sentinel

Ethics

“Payouts to McCrory, Sanford from Mortgage Broker Raise Ethical Questions” by Michael Biesecker and Mitch Weiss (Associated Press) for Charlotte Observer

Elections

“Jeb Bush’s Decision to Explore Presidential Bid Scrambles the 2016 GOP Field” by Matea Gold and Philip Rucker for Washington Post

Legislative Issues

“Message to Lawmakers: Say what you really think” by Alan Greenblatt for Governing

On Monday, December 15, Akron City Council voted 8-4 to raise campaign contribution limits for mayoral and council candidates. All limits will increase by $100.

Candidates for mayor and at-large council will be permitted to accept $750 per election and ward council candidates will be permitted to accept $500 per election. The city charter requires council to review the contribution limits every two years.

The new limits come just in time for next year’s election as all council seats as well as the mayoral seat will be on the ballot.

Lobbying

“Foreign Lobbying Enforcement ʹLaxʹ” by Megan Wilson for The Hill

Campaign Finance

“Why Big Spending on Political Campaigns Makes Racial Inequality Worse” by Emily Badger for Washington Post

“Charities Risked Tax-Exempt Status with Political Ads” by Rachel Baye  for Center for Public Integrity

“G.O.P. Angst Over 2016 Led to Provision on Funding” by Nicholas Confessore for New York Times

“Every Election Is the Most Expensive Election. Or Not.” by Derek Willis for New York Times

New Mexico: “SIC Settles with Consultant in Pay-to-Play Case” by Dan Boyd for Albuquerque Journal

Ohio: “Akron City Council Raises Contribution Limits for Council, Mayoral Candidates by $100” by Stephanie Warsmith for the Akron Beacon Journal

Ethics

Missouri: “Ethics Bills Filed to Open Debate on Lobbying and Campaign Finance Rules” by Rudi Keller for Columbia Tribune

Pennsylvania: “Two Philadelphia Lawmakers Charged in Sting Probe” by Craig McCoy and Angela Couloumbis  for Philadelphia Inquirer

Pennsylvania: “Former PHA Chief Greene Fined $75,000” by Mark Fazlollah for Philadelphia Inquirer

Lobbying

“Uber Pressures Regulators by Mobilizing Riders and Hiring Vast Lobbying Network” by Rosalind Helderman for Washington Post

Campaign Finance

“A Crowded GOP Field for 2016 Encounters Donors Reluctant to Commit Early” by Matea Gold and Tom Hamburger for Washington Post

“CO High Court Denies Gessler Appeal, Ending Campaign Finance Disclosure Case” by Tessa Cheek for Colorado Independent

“New York Panel Approves Fine for Group against Carriage Horses” by Nikita Stewart for New York Times

Ethics

“A State Guide to Political Corruption, According to the Reporters Who Cover It” by Niraj Chokshi for Washington Post

“Questions Surround Constitutional Amendment on Ethics, Term Limits” by John Lyon (Arkansas News Bureau) for Arkansas News

“State Ethics Commission Belatedly Completes Review of NC Fracking Board” by John Murawski for Raleigh News & Observer

“Work of FBI Squad Evident in Columbus Payday Probe” by The Associated Press for Marietta Times

“John Kitzhaber Stalls on Cylvia Hayes Records; the Few Documents Released Raise Questions” by Laura Gunderson for Portland Oregonian

“Republicans Seize on Audit Critical of State Elections Board” by Patrick Marley for Milwaukee Journal Sentinel

With the Senate passing the House’s omnibus bill, the limits for political contributions to federal political parties will increase when President Barack Obama signs the bill. Included as a rider with House Resolution 83 is an amendment to the Federal Election Campaign Act of 1971 allowing additional contributions to political parties for presidential nominating conventions, for preparation for and the conduct of election recounts and contests and other legal proceedings, and for the construction, purchase, renovation, operation, and furnishing of one or more buildings for party headquarters.

An additional provision of the bill prohibits the federal government from recommending or requiring any entity submitting an offer for a federal contract to disclose, as a condition of submitting an offer, any political contribution, expenditure, independent expenditure, or disbursement for an electioneering communication by the offeror, its officers or directors, or any of its affiliates or subsidiaries.

Another provision included in the bill prohibits the federal government from paying for a portrait of an officer or employee of the federal government, including the president, the vice president, a member of Congress (including a delegate or a resident commissioner to Congress), the head of an executive branch agency, or the head of an office of the legislative branch.

The president has said he will sign the bill.

UDPATE: On December 16, President Obama signed the House Resolution 83 into law.

Photo of the U.S. Capitol by Martin Falbisoner on Wikimedia Commons.

Lobbying

“Dale Mallory Sentenced: ‘Nobody could ever buy my vote’” by Chrissie Thompson for Cincinnati Enquier

Campaign Finance

“The Special Powers of Super PACS, and Not Just for Federal Elections” by Derek Willis for New York Times

“Registration Rule for Political Groups Ruled Too Vague” by Howard Fischer (Capitol Media Services) for Arizona Daily Sun

“Koch-Backed Group Sues Atty. Gen. Kamala Harris Over Donor List” by Melanie Mason for Los Angeles Times

Ethics

“Energy Firms in Secretive Alliance with Attorneys General” by Eric Lipton for New York Times

“State Ethics Agency Faces More Changes” by Christina Cassidy (Associated Press) for Gainesville Sun

“Conviction of Kilpatrick Pal Beasley Likely End of an Era” by Tresa Baldas for Detroit Free Press

“Port Authority Board Debates Ethics Rules as Ex-Chairman David Samson Sues” by Shawn Boburg for Bergen Record

“After Ethics Panel’s Shutdown, Loopholes Live On in Albany” by Thomas Kaplan, William Rashbaum, and Susanne Craig for New York Times

“Rep. Sandra Williams Gets Suspended Jail Time, Fine for Misusing Campaign Funds” by Jeremy Pelzer (Northeast Ohio Media Group) for Cleveland Plain Dealer

“McAuliffe: No fundraising in special sessions” by Travis Fain for The Daily Press

Procurement

“Ex-Mayoral Aide Accused of Trying to Help Firm Get Camera Contract” by Luke Broadwater for Baltimore Sun

State and Federal Communications is pleased to announce the addition of information to assist you with your planning for the upcoming gubernatorial inaugurations and related events. The document, available for subscribers to our services, can be found on the User Dashboard, which is the landing page you arrive at after logging in to the website. The link can be found on the left-hand side, below your bookmarks and the link to the Classroom tutorial videos.

Two common scenarios are covered: the rules on providing inaugural event tickets to public officials and the rules covering contributions to inaugural committees. All 36 states that elected a governor in 2014 are covered.

In its December 11, 2014, meeting, the New York City Campaign Finance Board approved rules implementing Local Law 116 of 2013, which permits candidates receiving public matching funds to receive contributions via text message.

The rules permit public funds to match the text message contribution once those contributions are paid via the contributor’s phone bill. The rules further establish record keeping requirements for text message contributions and a process to certify the identity of the contributor.

The rules will take effect 30 days after final publication in The City Record.

The limits for political contributions to federal political parties may increase with the passage of the current federal omnibus bill. Included as a rider is an amendment to the Federal Election Campaign Act of 1971 allowing additional contributions to political parties for presidential nominating conventions, for preparation for and the conduct of election recounts and contests and other legal proceedings, and for the construction, purchase, renovation, operation, and furnishing of one or more buildings for party headquarters.

An individual would be able to contribute $97,200 a year to a national political party beyond a committee’s existing limit of $32,400 per year. For an example of combined contributions made possible by the proposed legislation, see “Campaign contribution limits are about to go way up. Here’s what that looks like, in one massive graph” by Philip Bump in The Washington Post.

Lobbying

“Lobbying World” in The Hill.

“Top 10 lobbying victories of the year” by Megan R. Wilson in The Hill.

“How often do former members of Congress lobby? Not as often as you might think.” by Philip Bump in The Washington Post.

Hawaii: “Hawaii Monitor: The Problem With Lobbyists — and Their Regulators” opinion piece by Ian Lind in the Honolulu Civil Beat.

Massachusetts: “Weld registers as a State House lobbyist” by Frank Phillips in The Boston Globe.

Texas: “Two ex-Perry aides among latest to swing through lobbying revolving door” by David Saleh Rauf in the Houston Chronicle.

Campaign Finance

“Parties cut deal to open spigot of campaign cash” by Megan R. Wilson in The Hill.

“Campaign contribution limits are about to go way up. Here’s what that looks like, in one massive graph.” by Philip Bump in The Washington Post.

“Fundraising expansion slipped into spending deal could power financial bonzana for parties” by Matea Gold in The Washington Post.

“A shutdown deal with extras: light bulbs, campaign finance and fishing tackle” by Domenico Montanaro, Lisa Desjardins, and Simone Pathe in PBS NewsHour.

“ʹThe Most Corrupting Campaign-Finance Provisions Ever Enactedʹ” by Russell Berman in The Atlantic.

“Democrats’ Discontent on ‘Cromnibus’ Bubbles to Surface” by Emma Dumain in Roll Call.

“Outside Groups Set Spending Record in Midterms” by Derek Willis in The New York Times.

“Hedge Fund Founder Steve Cohen Gave Big to Boost Republican Governors” by Brody Mullins in The Wall Street Journal.

Massachusetts: “State heightens focus on cash in local campaigns” by Christian M. Wade in The Daily News of Newburyport.

Ethics

“The Year in Government Ethics | A Question of Ethics” by C. Simon Davidson in Roll Call.

“House Ethics: An Isolating Gavel to Hold” by Hanna Hess in Roll Call.

Florida: “Judge Lets Lawsuit Allege Florida Governor Intentionally Violated Law” by Mary Ellen Klas in Governing.

Florida: “Hillsborough Commissioner Ken Hagan admits to ethics violations” by Rich Shopes in the Tampa Bay Times.

New Jersey: “David Samson seeks to block state ethics investigation” by Michael Symons in Asbury Park Press.

South Carolina: “SC House panel: Let State Ethics Commission investigate lawmakers” by Cassie Cope in The State.

Tech and Social Media

“A 2015 Federal Technology Forecast” eBook on NextGov.

Massachusetts: “Boston Overhauls Licensing and Permitting System with Civic Tech” by Jason Shueh in Government Technology.

A state House study panel considering ethics reforms has endorsed legislation to remove lawmakers’ ability to police themselves on legal issues. A similar bill failed in the Senate during the last legislative session.

The draft proposal unanimously approved by the panel would create a new independent commission to investigate allegations against public officers. Opponents to last year’s proposal believed the measure to be unconstitutional since the state constitution explicitly requires the House and Senate to discipline their own members.

Additional ethics bills have been prefiled to increase lobbying fees, change reporting dates, and remedy the unconstitutional definition of “committee” for campaign finance purposes. The decision to push several separate bills rather than an overall ethics reform measure is a significant difference from last session.