In the 2012 Annual report issued by the New Jersey Election Law Enforcement Commission (ELEC) on April 15, the Commission listed several recommendations and ideas to strengthen the state’s campaign finance and lobbying laws.

ELEC recommends requiring disclosure from super PACs and non-profit groups organized under Section 527 and Section 501(c) of the IRS code, requiring disclosure of lobbying activity by local vendors who are required to report pay-to-play contributions, and expanding the 48-hour notice requirement for continuing PAC expenditures to require the filing of notices for expenditures made in May municipal, runoff, school, and special elections.

Among its other recommendations, ELEC calls for the state to expand the regulation of “wheeling” to include contributions by county political party committees to other county political party committees during the entire year.

In the report, the Commission also lists general ideas to strengthen the laws, including requiring grassroots lobbying materials to list the name and address of the committee paying for the material, increasing penalties for public financing violations, and banning the use of partnership funds for the purpose of making contributions.

The annual report can be found here.

From the States and Municipalities:

California – Legislative Staffers Lavished with Gifts

Indiana – Indiana Speaker Pro Tem Turner Defends Supporting Company Daughter Represents as Lobbyist

Kentucky – Kentucky Group Is the PAC That Couldn’t Shoot Straight

Montana – Montana House Panel Kills Bill to Disclose ‘Dark Money’ in Campaigns

Nebraska – Golf Tops List of Gifts Dave Heineman Reported

New Jersey – Bergen County Freeholders Introduce Plan to Relax Pay-to-Play Restrictions

New Jersey – In N.J. Governor’s Race, Christie and Buono Choose to Keep Some Donors Secret

New York – Sandra Lee OK’d for Takeoff

Ohio – Cuyahoga County Prosecutor McGinty Pursues Corruption Charges against Those Brought Down in Federal Probe

Pennsylvania – Pennsylvania Turnpike Scandal Has Some Eyeing a Pay-to-Play Law

Pennsylvania – Senate Passes Three Bills to Strengthen Transparency and Efficiency in State Government

South Carolina – National GOP Campaign Arm Withdraws Sanford’s Financial Support

Tennessee – Bill Fails That Would Raise Campaign Contribution Limits, Allowing Direct Corporate Donations

Texas – Exotic Trips, Luxury Gifts Are Perks of Elective Office

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.

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The Tennessee House of Representatives struck down a bill removing the prohibition on contributions from insurance companies and raising the contribution limits for party caucuses. House Bill 643 came up just two votes shy, collecting only 48 of the needed 50 votes to pass. The bill did however receive a majority of the votes, 48-41, so the bill is not technically dead.

Currently, Tennessee law prohibits insurance companies from making a contribution for political purposes. Under the bill, insurance companies would have had the ability to make contributions and would have had the same contribution limits as multicandidate political campaign committees.

The bill also would have allowed party caucuses to contribute $500,000 for statewide races, instead of the current limit of $374,300. It also would have doubled the amount the caucuses could contribute to senate and house candidates.

The bill was not defeated on a strict party line vote, as 13 Republicans voted against and another nine Republicans did not cast votes on the bill. It remains to be seen whether the House will bring the bill up for a second vote.

Photo of the Tennessee State Capitol House Chamber by Ichabod on Wikipedia.

Lobbying

“McCain roasts lobbyist at awards dinner” by Kevin Bogardus in The Hill.

“OFA files lobbying registration in New York” by Reid J. Epstein in Politico.

Florida: “House advances ethics bill to ban ‘revolving door’ lobbying” by Aaron Deslatte in the Orlando Sentinel.

North Carolina: “Bill would allow legislators to receive gifts from lobbyists” by Claire Bennett in The Daily Tar Heel.

Ottawa, Ontario: “City lobbying registry due for upgrade, weeks behind schedule” by David Reevely in the Ottawa Citizen.

Wisconsin: “Lobby outlays drop in 2011-12” by Bill Lueders in WisconsinWatch.org.

Campaign Finance

Hawaii: “Bill boosts public campaign funds” by Sarah Zoellick in the Honolulu Star Advertiser.

Massachusetts: “DeLeo, Murray break Mass. campaign spending tally” by The Associated Press in the Boston Globe.

Ethics

“Congressional Travel Costs Questioned” by Kent Cooper in Roll Call’s Political Moneyline.

New York: Prosecutors: “Liu Aides Didn’t Count On Getting Caught In Campaign Finance Scheme” by The Associated Press in CBS New York.

South Carolina: “SC House panel revives ethics reform effort” by Adam Beam in The State.

Election Law

New York: “Tougher state elections rules” by Jimmy Vielkind in the Albany Times Union.

New York: “Cuomo Adds Election Law Office to Anticorruption Proposals” by Thomas Kaplan in The New York Times.

From the State Legislatures

Nevada: “Senate OKs resolution seeking annual legislative sessions” by Sean Whaley in the Las Vegas Review-Journal.

Redistricting

North Carolina: “Bill would make N.C. redistricting nonpartisan” by Travis Fain in the News & Record.

Lobbying

“Bottom Line” in The Hill.

New York: “Small business speaks up during Capitol lobbying day” by Adam Sichko in the Business Review.

Campaign Finance

“Senate Scrutiny of Nonprofits Spurring Disclosure: Taxes” by Jonathan D. Salant in Bloomberg.

California: “CA pushes to fine ‘independent’ campaign committee for supporting lawmaker” by Jim Sanders in the Sacramento Bee.

New Jersey: “ELEC outlines list of campaign finance priorities” by Darryl R. Isherwood in PolitickerNJ.

New York: “Overhauling campaign finance rules” opinion piece by Jeffrey D. Klein in the Albany Times Union.

Ethics

New York: “Campaign Finance Trial For Two Former Liu Associates Under Way” by The Associated Press on CBS New York.

Texas: “Bill would revise ethics oversight” by Chris Tomlinson (Associated Press) in the Austin American-Statesman.

From the State Legislatures

Minnesota:  Senate: “Time to raise pay for Minnesota’s lawmakers” by Rachel E. Stassen-Berger in the Star Tribune.

New York: “Lawmakers return to Albany after bribery scandals” by Joseph Spector in the Star Gazette.

West Virginia: “Lawmakers push for special session to address bills” by Dave Boucher in the Charleston Daily Mail.

Lobbying

“Former Rep. Connie Mack joins lobby firm” by Kevin Bogardus in The Hill.

Washington: “66 Wash. lobbyists get warning letters for lack of transparency” by Austin Jenkins on KPLU.org.

Campaign Finance

“Proposal could drag political funding into the light” by Michael Kirkland in the United Press International.

“Influence of big-money ‘SuperPACs’ not so clear” by Aaron Delatte in the Orlando Sentinel.

“Members of Congress Fill War Chests for Next Campaign” by Kent Cooper in Roll Call.

California: “Universities Join Effort to Overturn Citizens United Decision” by Anjuli Sastry on ABC News.

Florida: “Lawmakers raking in contributions even as they debate campaign law changes” by Jim Saunders in the Daytona Beach News-Journal.

Maryland: “Massive Campaign Finance Revamping Awaits Gov. O’Malley’s Pen” by The Associated Press on WNEW.

Missouri: “Ethics rules changes considered for KC leaders, employees” by Mike Hendricks in the Kansas City Star.

Missouri: “Time running short for Mo. campaign finance issues” by The Associated Press in the San Francisco Chronicle.

New York: “Public financing of campaigns could be a key issue in Albany” by Tom Wrobleski in the Staten Island Advance.

New York: “Senator Carlucci Unveils New Campaign Finance Reform Proposal” by Michael Riconda in the Rockland County Times.

Texas: “$27 Million Republican Political Donor Dies” by Kent Cooper in Roll Call.

Vermont: “Vt. Senate passes campaign finance law” by The Associated Press in the Boston Globe.

Ethics

Connecticut: “Donovan Campaign Manager Pleads Guilty” by Dave Altimari in the Hartford Courant.

Pennsylvania: “Latest Pa. scandal has some eyeing pay-to-play law” by Marc Levy in the Beaver County Times.

Texas: “Ethics commission up for review at Legislature” by Chris Tomlinson (Associated Press) in the Houston Chronicle.

Texas: “Exotic Trips, Luxury Gifts Are Perks of Elective Office” by Emily Ramshaw in the Texas Tribune.

Texas: “A Slim Chance for Lawmakers to Self-Regulate” by Ross Ramsey in the Texas Tribune.

From the State Legislatures

Nevada: “It’s roundup time for Nevada legislators, bills” by Sandra Chereb (Associated Press) in the Las Vegas Review-Journal.

Ohio:  “Former Rep. Charlie Wilson of Ohio dies at 70 after suffering stroke” by Jonathan Easley in The Hill.

Elections

“Alaska Legislature passes elections bill” by Joshua Berlinger (Associated Press) in the Anchorage Daily News.

Social Media and Government Technology

“Top Phoenix lobbyists sound off on the impact of social media” by Dale Brown in the Phoenix Business Journal.

“TechPresident Podcast: ‘Open Government’” by Nick Judd on TechPresident.

A bill raising the limits of political contributions to candidates in Arizona has been signed into law.

On April 11, Governor Janice K. Brewer signed House Bill 2593, allowing increases in contribution amounts individuals and some political committees may make to candidates.

Individuals and noncertified political committees will be able to give $2,500 to candidates running for Arizona local, legislative, and statewide offices. Committees certified by the secretary of state to give at the upper limit can contribute up to $5,000 to a statewide candidate.

The bill removes the aggregate contribution limitations for individuals and some political committees. The law will take effect 90 days after the Legislature adjourns sine die.

Campaign Finance

“DOJ, IRS tight-lipped on campaign finance probes” by Tarini Parti and Byron Tau in Politico.

Arizona: “Ariz. proposal would flood money into politics” by The Associated Press in the Arizona Daily Sun.

Ethics

Arkansas: “House approves proposed amendment on ethics, term limits, salaries” by John Lyon in the Arkansas News Bureau.

New York: “Cuomo Offers Plan to Fight Corruption After Arrests” by Thomas Kaplan in The New York Times.

New York: “Albany Riveted by Double Life of an Assemblyman and Informer” by Thomas Kaplan in The New York Times.

Virginia: “New documents raise more questions about financing of McDonnell’s daughter’s wedding” by Rosalind S. Helderman in The Washington Post.

Virginia: “McEachin calls for closing Virginia gift loophole” by Laura Vozella in The Washington Post.

Elections

Illinois: “Ex-Ill. lawmaker elected to succeed Jackson Jr.” by The Associated Press in the Quad City Times.

From the State Legislatures

Missouri: “Term limit change suggested for Missouri lawmakers” by Virginia Young in the St. Louis Post-Dispatch.

Washington: “The next question: Special session?” by Lucas Wiseman in The Columbian.

Lobbying

“Lobby Reports Expected To Show $750+ Million in First Quarter Lobbying” by Kent Cooper in Roll Call.

Indiana: “9-year-old lobbyist weighs in on school safety” by Maureen Hayden in the Tribune-Star News.

Kentucky: “Lawmakers treated to lavish parties in Frankfort” by The Associated Press in Kentucky New Era.

Missouri: “Loophole hides trail of lobbyists’ largesse” by Jason Hancock in the Kansas City Star.

Campaign Finance

“James Bopp Jr. among 100 Most Influential Lawyers in America” news release in the Tribune-Star News.

Florida: “Lights grow dim for campaign finance, ethics bills” by The Associated Press in WPEC News.

Maryland: “Maryland lawmakers approve campaign finance reform bill” by The Associated Press in the Washington Post.

New Jersey: “Group raising money for NJ races contests political donation limits” by Herb Jackson in the Bergen Record.

New Jersey: “Contributions from government contractors to New Jersey pols dropped to $7.5 million in 2012” by Anthony Campisi in the Bergen Record.

New York: “Eye on NY Spotlight: Bill Samuels on campaign finance reform and latest Albany scandals” by Robert Harding in the Auburn Citizen.

Texas: “Austin rep proposes restrictions for leftover campaign cash” by Tim Eaton in the Austin American-Statesman.

West Virginia: “House and Senate differ on campaign financing” by Phil Kabler in the Charleston Gazette.

Ethics

Colorado: “Scott Gessler’s discretionary spending not unique, investigator says” by Joey Bunch in the Denver Post.

Florida: “Lawmakers eye ‘blind trust’ in ethics reform bill” by Mary Ellen Klas in the Miami Herald.

New York: “Criticism of Cuomo Grows as the Problems in Albany Endure” by Danny Hakim in The New York Times.

New York: “Cuomo addresses ethics package” by Casey Seiler in the Albany Times Union.

Pennsylvania: “Bipartisan group of Pennsylvania state senators to introduce ethics bills” by Kate Giammarise in the Pittsburgh Post-Gazette.

Utah: “No Ethics Complaints Against Utah Legislators in Two Years” by Bob Bernick on UtahPolicy.com.

Elections

“Which Governors Are Most Vulnerable in 2014?” by Micah Cohen in the New York Times’ Five Thirty Eight blog.

Government Tech and Social Media

“Majority of Senate Standing Committees Still Aren’t Tweeting” by Joseph Marks in NextGov.

“New Tactics in Fight Against Corruption Include Crowdsourcing, Mobile Games and SMS” by Jessica McKenzie in TechPresident.

The General Assembly passed a campaign finance reform bill before adjourning on Monday, April 8, 2013.

House Bill 1499 increases contribution limits to any one campaign committee from $4,000 to $6,000 and from $10,000 to $24,000 for total contributions to all campaign committees within a four-year election cycle. The bill also curbs giving through multiple corporate entities for the purpose of evading contribution limits, increases reporting requirements, and gives the State Board of Elections new enforcement powers.

Unless vetoed by Governor O’Malley, the new limits will be effective for the election cycle beginning January 1, 2015.

Photo of the Maryland State House by Thisisbossi on Wikipedia.

The United States Supreme Court has decided to hear a case challenging the aggregate federal limits for a person making contributions to candidates, party committees, and PACs. The case, McCutcheon v. Federal Election Commission (FEC), is expected to be argued and decided during the Court’s next term, which begins in October, 2013.

The plaintiff, Shaun McCutcheon, is an Alabama businessman who regularly makes political contributions to Republican candidates and the Republican National Committee (RNC). Mr. McCutcheon wishes to contribute $26,200 more to candidates and committees than the aggregate ceiling would allow. However, he is not challenging the limits on contributions to individual candidates and entities. Mr. McCutcheon wants to give to more candidates and political entities. The RNC is also a plaintiff in the suit.

Federal law imposes two types of limits on individual political contributions, base limits and biennial limits.

Base limits restrict the amount an individual may contribute to:

• A candidate committee;
• A national party committee;
• A state, local, and district party committee; and
• A political action committee.

Biennial limits restrict the aggregate amount an individual may contribute biennially, using the 2011-2012 election cycle limits argued against in the lawsuit, as follows:

• $46,200 to candidate committees; and
• $70,800 to all other committees, of which no more than $46,200 may go to non-national party committees (e.g., state parties and PACs).

The plaintiffs are only challenging the overall limits (the biannual limits) and not the base limits.

The attorneys for McCutcheon and the RNC argue the two-year ceilings federal law sets on what an individual can contribute during a campaign are unconstitutional. Specifically, they assert the limits on contributions violate a contributor’s right to free speech; the limits for biennial contributions are too low; and the distinction between contributions and expenditures articulated in the 1976 US Supreme Court case Buckley v. Valeo are no longer applicable because of the changes in campaign finance laws over the last 30 years. Buckley v. Valeo allowed for government regulation of contributions to prevent political corruption and prohibited government regulation of expenditures because of First Amendment protections.

Unlike Citizens United v FEC, which concerned political expenditures, McCutcheon v. FEC addresses contribution limits. Additionally, this case does not involve the political contributions or expenditures of corporations.

Lobbying

“K Street Files: Former Obama Health Care Guru Heads to K Street” by Kate Ackley in Roll Call.

“Rules of the Game: Lame-Duck FEC Invites Scofflaws” by Eliza Newlin Carney in Roll Call.

“Top GOP House aide goes to K Street” by Kevin Bogardus in The Hill.

California: “Charities are engaged in California political fights” by Torey Van Oot in the Sacramento Bee.

Campaign Finance

Arkansas: “Ark. lawmakers OK proposal to put campaign finance constitutional amendment on the ballot” by The Associated Press in The Republic.

New Jersey: “Donors behind millions in N.J. political contributions kept secret, analysis finds” by Christopher Baxter in the Star-Ledger.

Ethics

“Why Washington is corrupt” by Lawrence Lessig on CNN News.

Arizona: “Panel on constitutional amendments endorses ethics proposal” by John Lyon in Arkansas News.

New York: “Lhota, at City Hall, Proposes Ways to Curb Corruption” by David M. Halbfinger in The New York Times.

Texas: “Texas ethics watchdog hardly ever barks” by Rick Casey in the Express-News.

Virginia: “Cuccinelli denies conflict of interest claims” by Julian Walker in The Virginian-Pilot.

Open Government

“Oklahoma Gov. Mary Fallin won’t budge on executive privilege claim concerning emails” by Zeke Campfield in The Oklahoman.

Social Media

“For pols, Tumblr is trending” by Kevin Cirilli in Politico.

Governor Matt Mead has signed a campaign finance bill to increase contribution limits and decrease criminal penalties for violations. House Bill 187 increases contribution limits to $2,500 per candidate for statewide office and to $1,500 per candidate for non-statewide office. Currently, the limit is $1,000 for both statewide and non-statewide campaigns.

The bill also increases the total individual contribution limit from $25,000 to $50,000 per two-year election cycle. Contributions from PACs, currently unlimited, will be limited to $7,500 per candidate for statewide office and $3,000 per candidate for non-statewide office.

The penalty for a first violation of the limits will drop from $10,000 to $5,000 and filing a false report will no longer be a felony. The bill becomes effective January 1, 2015.

At any given time, more than 1,000 legislative bills, which can affect how you do business as a government affairs professional, are being discussed in federal, state, and local jurisdictions. These bills are summarized in the State and Federal Communications digital encyclopedias for lobbying laws, political contributions, and procurement lobbying, and can be found in the client portion of the State and Federal Communications’ website.

Summaries of major bills are also included in monthly e-mail updates sent to all clients. The chart below shows the number of bills we are tracking in regards to lobbying laws, political contributions, and procurement lobbying.