The Federal Election Commission (FEC) has issued an advisory opinion approving text messaging of political contributions in federal elections.

Political and media consulting firms Red Blue T LLC and AnnourMedia, Inc., along with m-Qube, Inc, a merchant billing service provider, requested approval from the Federal Election Commission (FEC) to use text messaging to raise funds for political committees.

In AO 2012-17, the commission concluded the proposed plan made to use the merchant billing service as intended is consistent with reporting requirements, conforms to the prohibition on corporate contributions, complies with forwarding requirements when making factored payments, and satisfies the segregation requirement for commercial vendors processing the contributions.

The proposal envisions two methods for the use of text messaging to make contributions:

In the first method, a wireless user would text a pre-determined message to a common short code registered to a political committee. A text message response sent by the merchant to the user would then require the user to respond with his or her own text message to confirm the user’s intent to engage in the transaction and certify the user’s eligibility to make a contribution.

With the second method, a user would enter his or her mobile phone number on a political committee’s website. Before submitting the phone number, the user will be required to certify his or her eligibility to make a contribution. After the user makes the certification and submits the phone number, the user will receive a text message from the merchant that includes a PIN. The user will enter the PIN on the political committee’s website to confirm the transaction.

No mobile phone number can be billed more than $50 per month for contributions to any one political committee.

Campaign Finance

“FEC: Campaigns can raise money via text message” by Dave Levinthal in Politico.

“FEC sues ex-Sen. Craig over use of campaign cash” by The Associated Press on CBSNews.com.

“NJ considers changes to election finance rules” by The Associated Press in the Bergen Record.

Government Ethics

Georgia: “Squirrely Ethics in Georgia, Former Exec Says” by Iulia Filip in the Courthouse News Service.

New Mexico: “New Mexico agency compiled email list for governor’s PAC” by Steve Terrell in the Santa Fe New Mexican.

“Text Messages as Campaign Finance Reform?” by Quentin Fottrell in the Wall Street Journal.

“The Politics of Social Networking” by Damon Eris on the Independent Voter Network.

“At Meeting of Left’s Online Activists, Weighing Impact of Attack Ads” by Sarah Wheaton in The New York Times.

Alaska: “Will Citizens United result in Big Oil deciding who wins Alaska elections?” in the Alaska Dispatch.

District of Columbia:  “Ex-D.C. Council Chairman Pleads Guilty to Bank Fraud” by Tom Schoenberg in Bloomberg.

Georgia: “Taking the Pledge – Most see need for lobbyist gift cap” in the Marietta Daily Journal.

Kansas: “Voters will see big changes from new redistricting plan” by Scott Rothschild in the Lawrence Journal World.

New York: “Analysis: $2M gambling bet puts focus on lobbyist” by The Associated Press in The Wall Street Journal.

Mayor Rahm Emanuel introduced an ethics reform amendment to the city council on June 8. The amendment, based on the recommendations given to him by the Ethics Reform Task Force, would strengthen the gift ban, add a reverse revolving door provision, and increase the penalties for PACs who accept illegal contributions. The amendment also includes a code of conduct for city officials and employees, which is something the city has never had before.

The city council will now decide the fate of the mayor’s initiatives. The Ethics Reform Task Force will release its second set of recommendations in late July, this time focusing on the relationship between, and the key responsibilities of, the city’s ethics institutions.

Photo of Chicago skyline by mindfrieze on Wikipedia. 

National:

Poll: Sharp increase in partisan divides among Americans

Federal:

Lobbyists Ask Congress for a Mandate on Ethics

From the States and Municipalities:

Arkansas

Democratic, Republican Leaders Back Ethics Initiative

California

State’s Top 100 Political Donors Contribute $1.25 Billion

Delaware

Delaware Lawmakers Approve Campaign Finance Revisions

District of Columbia

D.C. Council Chairman Kwame Brown Resigns after He Is Charged with Bank Fraud

Florida

Research Group Says Florida Has Most Corrupt Officials

Georgia

Georgia Lawmakers Back Lobbying Cap but Ignored Bill

North Carolina

Legislators, Lobbyists Mix Business with Pleasure

North Carolina

State Ethics Panel to Investigate Lobbyists Tied to Tillis Aides

South Carolina

Gov. Nikki Haley Ethics Inquiry Could Have Major Statehouse Implications

Wisconsin

Walker Survives Wisconsin Recall Vote

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.

Campaign Finance

California: “Txt 4 Ur Candidate” by By Ann Ravel, Jared DeMarinis and Hyla Wagner in The New York Times.

Louisiana: “La. lawmakers rework campaign finance enforcement” by The Associated Press in Real Clear Politics.

Lobbying

North Carolina: “State ethics panel to investigate lobbyists tied to Tillis aides” by J. Andrew Curliss and John Frank in the News & Observer.

Ethics

South Carolina: “House Ethics to refund former candidates’ fines” by the Associated Press in GoUpstate.com.

Gov 2.0

“New Website a One-Stop Shop for Colorado Data” by Sarah Rich in Govtech’s Public CIO.

Data.colorado.gov

Legislative Issues

“California voters OK changes to term limits for state legislators” by Phil Willon and Jean Merl in the Los Angeles Times.

Puerto Rico has continued its efforts to modernize and improve its campaign finance provisions by passing Project of the Senate 2674-2012. This project amends the Law for the Control of Financing of Political Campaign in Puerto Rico. This project has been referred to the Special Commission on Government Reform, and while not currently law, the Elections Commission has been working to update the campaign finance reporting requirements to reflect the project.

The project has several important elements. First, it elaborates on the definition of a coordinated expenditure by carving out a definition for specific expenditures made for the benefit of a party or candidate. Second, it modifies the campaign finance reporting dates for the 2012 general election. Lastly, the project addresses concerns with respect to state and federal PAC registration and reporting for entities wishing to participate in the electoral process without registering a PAC in Puerto Rico.

We will continue to track this project and provide updates as they become available.

Lobbying

“Lobbyists ask Congress for a mandate on ethics” by Kevin Bogardus in The Hill.

Campaign Finance

“Tammany businessman’s allegedly illegal campaign donations went to Gov. Jindal’s 2007 run” by Claire Galofaro in the New Orleans Times-Picayune.

Redistricting

Iowa: “Redistricting makes for tumultuous Iowa primary” by The Associated Press in the Quad-City Times.

New Hampshire: “Court to hear challenges to NH redistricting plan” by Holly Ramer (Associated Press) in the Boston Globe.

Social Media

“Political campaigns are in a constant technology arms race” by Scott Canon in the Kansas City Star.

A post-John Edwards case commentary: “‘Anything goes’ now in campaign financing?” by Jack Gillum (Associated Press) on CBSNews.com.

California: “Term limits ballot measure attracts big-money donors, little else” by Stephanie Snyder in California Watch.

California: “State’s top 100 political donors contribute $1.25 billion” by Coulter Jones and Elizabeth Titus in California Watch.

Montana: “Miller campaign donations deemed illegal in Montana” by John S. Adams in the Great Falls Tribune.

New Mexico:  “Coss files complaint alleging governor’s PAC violated election codes” by Steve Terrell in the Santa Fe New Mexican.

Wisconsin: “Wisconsin recall is state’s ‘most expensive election’” by Sam Go on MSNBC.

“Stevens: Citizens United decision needs adjusting” by The Associated Press in Politico.

“George Will column: Citizens United fears prove unnecessary” by George Will in the Green Bay Press-Gazette.

“Citizens: Speech, no consequences” by Richard L. Hasen in Politico.

“Super PAC donor lists include few women” by Stephanie Condon on CBSNews.com.

The Illinois General Assembly adjourned its legislative session early Friday morning, but not before both houses approved a bill aimed at curtailing super PAC influence in state elections.

Senate Bill 3722 would eliminate the campaign contribution limits in any races in which a natural person or independent expenditure committee makes independent expenditures for the benefit of the campaign of a particular public official or candidate in an aggregate amount, during an election cycle, of more than $250,000 for statewide office or $100,000 for all other elective offices.

Therefore, if a PAC spends more than $250,000 in independent expenditures during an election cycle for a candidate for governor, then there will be no contribution limits for any of the gubernatorial candidates. The bill will now go to Governor Pat Quinn’s desk to await his signature or veto.

Even though the Legislature has adjourned, Governor Quinn announced that he will continue to work on an overhaul of the state’s pension system with leaders from both sides of the aisle. Once they come to an agreement on a bipartisan bill, Governor Quinn said he would call both houses back for a special session during the summer.

Also, the typical legislative schedule will have the legislators reporting back to Springfield in November for a session to deal with any bills that Governor Quinn decides to veto.

Photo of the Illinois Capitol Building courtesy of Martin Davis on Wikipedia.

Sarah Kovit is a Compliance Associate at State and Federal Communications who is a fluent Spanish speaker and who has experience working with Puerto Rican officials and tracking newly enacted legislation. She is here to assist you with your Puerto Rican compliance needs.

According to Kovit: “Navigating the lobbying, political contribution, and procurement lobbying laws in Puerto Rico can be tricky. English copies of newly enacted legislation are rarely available and English language assistance with your questions is not always available. In the last year alone, Puerto Rico has passed a new election code, updated the PAC reporting structure, and created a pay to play law which affects organizations conducting business in Puerto Rico.”

You can contact Sarah Kovit at skovit@stateandfed.com.

National:

$55 Million for Conservative Campaigns – but Where Did It Come From?

Most Americans Think Campaign Money Aids Rich

Federal:

Acquittal, Mistrial in Edwards Case

Chamber Says It Will Evade Disclosure Ruling by Tweaking Ads

K Street Not Thrilled with Tampa

From the States and Municipalities:

Alabama

Alabama Legislature: Teachers can receive gifts of $25 or less

California

Senators Vote to Give up Free Tickets to Games, Concerts

Delaware

Lobbying Reform Bill Met with Debate

Florida

Florida Candidate Legally Changes Name to Web Address

Georgia

Senate Leader Balfour Piles Up Freebies

Illinois

Quinn Gets Bill to Relax Some Campaign Contribution Limits

Massachusetts

Wary of Fan Anger, Athletes Largely Avoid Political Fray

Ohio

Campaign Donor Limits Scrutinized

West Virginia

Political Groups Test Campaign Laws Ahead of High-Profile W.Va. General Election Races

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.

Campaign Finance

“GOP groups plan record $1 billion blitz” by Mike Allen and Jim Vandehei in Politico.

“Mark Kirk hit with FEC complaint by ex-wife” by John Bresnahan in Politico.

Lobbying

“DELAWARE: Lobbying reform bill met with debate” by Chris Barrish in Delmarvanow.com.

“Campaign finance board to investigate ALEC” by Catherine Richert on Minnesota Public Radio News.