National:

When One Party Has the Governor’s Mansion and the Other Has the Statehouse
New York Times – Trip Gabriel | Published: 12/26/2016

Governors outgunned by veto-proof majorities in their Legislatures have successfully used the bully pulpit of their office, going over the heads of part-time lawmakers to directly appeal to citizens. Other times, governors have profited from a basic law of politics: they are usually more popular than legislative bodies, whose job favorability is little higher than that of perpetrators of Ponzi schemes. And governors in control of the bureaucracy of the executive branch have found that, like President Obama in the face of congressional obstruction, they can pull the levers of executive action to advance an agenda.

Wielding Claims of ‘Fake News,’ Conservatives Take Aim at Mainstream Media
New York Times – Jeremy Peters | Published: 12/25/2016

Until now, the term “fake news” had been understood to refer to fabricated news accounts that are meant to spread virally online. But conservative cable and radio personalities, top Republicans, and President-elect Donald Trump, incredulous about suggestions that fake stories may have helped swing the election, have appropriated the term and turned it against any news they see as hostile to their agenda. In defining “fake news” so broadly and seeking to dilute its meaning, they are capitalizing on the declining credibility of all purveyors of information. And conservatives, seeing an opening to undermine the mainstream media, a longtime foe, are more than happy to dig the hole deeper.

Federal:

Donald Trump Plans to Shut Down His Charitable Foundation, Which Has Been Under Scrutiny for Months
Washington Post – Mark Berman and David Fahrenthold | Published: 12/24/2016

President-elect Donald Trump announced he intends to dissolve his charitable foundation, his latest move aimed at settling ethical conflicts that have already dogged the incoming administration. The Donald J. Trump Foundation has come under scrutiny this year after a series of news reports detailing its practices, including cases in which Trump apparently used the charity’s money to settle lawsuits involving his for-profit businesses. New York’s attorney general has been investigating the charity after some of these reports, and a spokesperson for that office said the foundation could not officially shut down until that probe is over.

Inside the Trump Organization, the Company That Has Run Trump’s Big World
New York Times – Megan Twohey, Russ Buettner, and Steve Eder | Published: 12/25/2016

With entanglements around the world, many packaged in a network of licensing agreements and limited liability companies, the Trump Organization poses a raft of potential conflicts for a president-elect who has long exerted tight control over his business. Donald Trump, owner of all but the smallest sliver of the privately held company, has said while the law does not require it, he is formulating plans to remove himself from the company’s operations. But amid rising pressure, Trump and his advisers have been debating further steps. Yet an examination of the company underscores the challenges of taking Donald Trump out of the picture. His company is a distinctly family business fortified with longtime loyalists that operates less on standardized procedures and more on a culture of its leader.

Navy Repeatedly Dismissed Evidence That ‘Fat Leonard’ Was Cheating the 7th Fleet
Washington Post – Craig Whitlock | Published: 12/27/2016

The Navy allowed the worst corruption scandal in its history to fester for several years by dismissing evidence that a Singapore-based contractor, Leonard Francis, was cheating the service out of millions of dollars and bribing officers with alcohol, prostitutes, and lavish dinners. Staffers at U.S. Pacific Fleet headquarters were so worried about the potential for trouble that they drafted a new ethics policy to discourage Navy personnel from accepting favors from Francis. But their effort was blocked for more than two years by admirals who were friendly with the contractor. It took officials years to gather enough evidence to charge Francis and arrest him. He has pleaded guilty to defrauding the Navy of $35 million.

U.S. Punishes Russia for Election Hacking, Ejecting Operatives
New York Times – David Sanger | Published: 12/29/2016

The Obama administration announced new measures in retaliation for what officials have characterized as Russian interference in American elections, ordering the removal of 35 Russian government officials from the U.S. and sanctioning agencies and individuals tied to the hacks. The announcement culminates a debate over whether and how to respond to Russia’s unprecedented election-year provocations, ranging from the hacks of the Democratic National Committee to the targeting of state electoral systems. President-elect Donald Trump suggested the U.S. should drop its effort to retaliate against Russia, and cast doubt on intelligence agencies’ conclusion that Russia was behind the hacks.

From the States and Municipalities:

California
How to Influence the California Legislature? New Spending Details Revealed
Sacramento Bee – Taryn Luna and Jim Miller | Published: 12/28/2016

The third quarter of 2016, which included the end of the legislative session, was so important that companies, unions, trade associations, and other groups paid $84.4 million to lobby California officials on bills and regulations during the three-month period. Much as campaigns for candidates seek to win over voters, the disclosure filings underline the extent to which special-interest groups employ some of the same resources to make their cases to lawmakers and state officials. They also for the first time provide details about which political consultants, public-relations experts, advertising firms, and other non-lobbyist advocates are being paid to influence policy.

California
Santa Clara County Bosses Let Workers Take Toys Meant for Needy Kids
San Jose Mercury News – Ramona Girwagis | Published: 12/23/2016

Expensive toys intended as Christmas presents for poor children were handed out instead to dozens of Santa Clara County employees, and the county executive’s office says they do not need to return them. County employees walking to their cars from work saw the items being unloaded from trucks at the Santa Clara County building as part of a toy drive. County Executive Jeff Smith insisted that county employees who took the toys understood they needed to donate them to a nonprofit or church. But he could provide no documentation that workers were told to donate them. Smith acknowledged the county has no way of knowing whether the employees donated the gifts or kept them for themselves. “Had we realized that this was going on we probably would have organized it differently,” said Steve Preminger, a special assistant to Smith.

Florida
Shining a Light on Lobbyists, New Efforts to Curb Their Influence
Tallahassee Democrat – James Call | Published: 12/18/2016

It is a new era in Washington, D.C. and Tallahassee, and the winners of the November election are imposing new realities on how lobbyists can operate. New lobbyist-disclosure requirements approved by the Florida House aim to reveal how paid advocates and lawmakers interact behind the scenes. The rules place the lobbying corps in a delicate situation. They clearly target their product – influence – yet opposition would alienate House Speaker Richard Corcoran, the official with the ability to see that their bill, amendment, or request never gets heard. Lobbyists said they are figuring out how to navigate the new working conditions.

Missouri
With Greitens’ Blessing, Lawmakers Aim for Lobbyist-Gift Ban
Springfield News-Leader – Summer Ballentine (Associated Press) | Published: 12/25/2016

Maybe this year, with support from Gov.-elect Eric Greitens, Missouri lawmakers will be able to keep lobbyists from giving officeholders expensive dinners or concert tickets. If lawmakers fail to deliver in the 2017 session, it would break a campaign promise from Greitens, who largely focused on how he would tackle corruption in the Capitol, which in recent years has been marred by ethics scandals, and said such a ban is his first goal. It is also among the top priorities for House Speaker Todd Richardson, who said he was personally disappointed when an ethics bills did not pass last session.

New York
De Blasio Signs Measures Limiting Political Contributions
Newsday – Matthew Chayes | Published: 12/22/2016

New York City Mayor Bill de Blasio signed campaign finance reform legislation recently. Included in the bills are limits on contributions by donors with business before the city to elected officials’ political nonprofits, ostensibly aimed at a group like the mayor’s now-defunct Campaign for One New York. Other legislation eliminates public matching funds for contributions bundled by people doing business with the city, limits amounts donated for transition and inauguration activities, and changes eligibility requirements for certain activities like debates.

New York
JCOPE Settles with Firms Caught Up in Skelos, Silver Cases
Albany Times Union – Casey Seiler | Published: 12/28/2016

The New York Joint Commission on Public Ethics reached settlements over lobbying violations with companies involved in the corruption cases of former Senate Majority Leader Dean Skelos and ex-Assembly Speaker Sheldon Silver. Glenwood Management will pay a $200,000 fine and Administrators for the Professions will pay $70,000. Glenwood failed to disclose meetings and other lobbying activities before Skelos, and recommended to a company that it hire his son as a consultant. Glenwood also retained a law firm knowing a portion of the fees it paid would be shared with Silver. Administrators for the Professions admitted in the course of lobbying Skelos, it employed his son in an arrangement designed to curry favor with the senator.

New York
NYCLU, ACLU Sue New York Over Ethics Law
Albany Times Union – Chris Bragg | Published: 12/22/2016

A civil liberties group has joined in the call for a federal judge to strike down new donor-disclosure provisions in New York that allegedly stray from their anticorruption goals, hurting the protected speech rights of both nonprofits and donors. The new law mandates the public disclosure of all donors and contributions to a 501(c)(3) in excess of $2,500 whenever that organization makes an “in-kind donation” of over $2,500 to certain 501(c)(4)s engaged in lobbying activity. For 501(c)4 disclosure, the law lowers the threshold from $50,000 to $15,000 in annual lobbying spending. Unless the lawsuits succeed in getting an injunction, the first lobbying reports with the new disclosure requirements are due at the end of January.

Oklahoma
An Oklahoma Newspaper Endorsed Clinton. It Hasn’t Been Forgiven.
New York Times – Manny Fernandez | Published: 12/26/2016

The Enid News & Eagle, a red newspaper in a red county in what is arguably the reddest of states went blue this campaign season and endorsed Hillary Clinton for president. The editorial board wrote that Donald Trump lacked “the skills, experience or temperament to hold office.” It was the first Democratic endorsement for president in the modern history of the newspaper, which was founded in 1893. Enid was stunned, and this slow-paced agricultural town of 52,000 near the Kansas state line has not been the same since. Around the country, as newspapers big and small are struggling to keep subscribers, a handful of papers with conservative editorial boards made news by either endorsing Clinton or urging readers to back anybody but Trump.

South Carolina
Possibility of More S.C. Lawmakers Charged with Corruption Looms
Aiken Standard – Seanna Adcox (Associated Press) | Published: 12/24/2016

Following the 30-count indictment of a former state House majority leader, questions over who else may face corruption charges will loom over South Carolina’s 2017 legislative session. The misconduct and ethics charges against Rep. Jim Merrill, the first since former Speaker Bobby Harrell pleaded guilty and resigned more than two years ago, ended all speculation that lawmakers could breathe easy. And prosecutor David Pascoe made clear he is not done. “This is still an ongoing investigation,” Pascoe said in a recent statement.

State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.

Lobbying

“Lobbying Is Not Enough to Build Influence Among U.S. Lawmakers” by Michael Gottlieb and Elise Gurney for Harvard Business Review

New York: “JCOPE Settles with Glenwood, Malpractice Insurer Over Lobbying Violations” by Casey Seiler for Albany Times Union

Campaign Finance

Illinois: “Illinois Governor Donates $50M to His 2018 Campaign Fund” by the Associated Press for The New York Times

New Mexico: “Campaign Finance Reform on Agenda Again in NM” by the Associated Press for Las Cruces Sun News

Ethics

“Wielding Claims of ‘Fake News,’ Conservatives Take Aim at Mainstream Media” by Jeremy Peters for The New York Times

“Inside the Trump Organization, the Company That Has Run Trump’s Big World” by Megan Twohey, Russ Buettner, and Steve Eder for The New York Times

“Navy Repeatedly Dismissed Evidence That ‘Fat Leonard’ Was Cheating the 7th Fleet” by Craig Whitlock for The Washington Post

Montana: “Montana Governor, Legislators Condemn Plans for White-Nationalist March” by David Weigel for The Washington Post

New York: “A Song for Bill de Blasio Sounds a Sour Note for Watchdogs” by William Neuman for The New York Times

Ohio: “Company Must Pay $100,000 to Columbus in Red-Light Bribery Scheme” by Earl Rinehart and Rick Rouan for The Columbus Dispatch

Elections

“Trump Inauguration Security Planners Brace for Wave of Protesters” by Nicholas Fandos for The New York Times

Lobbying

Missouri: “With Greitens’ Blessing, Lawmakers Aim for Lobbyist-Gift Ban” by Summer Ballentine (Associated Press) for Springfield News-Leader

New York: “Ex-Prisoners Get an Advocate from Their Own Ranks” by Benjamin Weiser for New York Times

Campaign Finance

“Trump Rewards Big Donors with Jobs and Access” by Isaac Arnsdorf for Politico

Vermont: “Donovan Taking Hard Look at AG’s Campaign Finance Case” by Morgan True for VTDigger.org

Ethics

“Donald Trump Plans to Shut Down His Charitable Foundation, Which Has Been Under Scrutiny for Months” by Mark Berman and David Fahrenthold for Washington Post

California: “Santa Clara County Bosses Let Workers Take Toys Meant for Needy Kids” by Ramona Girwagis for San Jose Mercury News

Maryland: “Botsaris Appointed Executive Director of Anne Arundel County Ethics Commission” by Amanda Yeager for Capital Gazette

South Carolina: “Possibility of More S.C. Lawmakers Charged with Corruption Looms” by Seanna Adcox (Associated Press) for Aiken Standard

Elections

Oklahoma: “An Oklahoma Newspaper Endorsed Clinton. It Hasn’t Been Forgiven.” by Manny Fernandez for New York Times

Legislative Issues

“Ryan Proposes Fines, Ethics Moves on Grandstanding House Members” by Billy House for Bloomberg.com

North Carolina: “When One Party Has the Governor’s Mansion and the Other Has the Statehouse” by Trip Gabriel for New York Times

Procurement

California: “Bid-Rigging Indictment Alleges California Government Contracting Scheme” by Adam Ashton for Sacramento Bee

Lobbying

Florida: “Shining a Light on Lobbyists, New Efforts to Curb Their Influence” by James Call for Tallahassee Democrat

Illinois: “Players Ask Favors Big and Small in Emanuel Emails” by Rick Pearson, David Heinzmann, and Jeff Coen for Chicago Tribune

New York: “NYCLU, ACLU Sue New York Over Ethics Law” by Chris Bragg for Albany Times Union

Campaign Finance

New York: “De Blasio Signs Measures Limiting Political Contributions” by Matthew Chayes for Newsday

Washington: “‘Everybody Is in Violation of the PDC,’ Says Activist as Attorney General Files Complaint” by Lisa Pemberton for The Olympian

Ethics

“Trump’s Son, Fearing ‘Quagmire,’ to Stop Soliciting for Charity” by Eric Lipton and Maggie Haberman for New York Times

California: “No Charges for Government Critic Who Penned Racist Comments and Images about L.A. City Council Member” by Matt Hamilton and Dakota Smith for Los Angeles Times

Elections

“Do It for The Country? Or Don’t Do It at All? The Dilemma Facing Artists at Trump’s Inauguration.” by Monica Hesse for Washington Post

Lobbying

Louisiana: “Lobbyists Spent Nearly Half a Million Dollars to Woo Louisiana Legislators in 2016” by Elizabeth Crisp for New Orleans Advocate

Campaign Finance

“Offer of Access to Trump and Family at Fundraiser Is Pulled Back, But Ties Remain” by Matea Gold and David Fahrenthold for The Washington Post

“DeVos Heads into Confirmation with a Megadonor’s Advantage” by Michael Stratford for Politico

Ethics

“Suspected of Corruption at Home, Powerful Foreigners Find Refuge in U.S.” by Kyra Gurney, Anjali Tsui, David Iaconangelo, and Selina Cheng for Miami Herald

“There’s Already a Big Problem with Trump’s ‘No New Deals’ Pledge” by Drew Harwell for The Washington Post

Massachusetts: “Appeals Court Overturns Convictions in Probation Department Scandal” by Milton Valencia for Boston Globe

New Jersey: “Lawmakers’ Revolt Sinks Book Deal, Newspaper Bill” by Salvador Rizzo for Bergen Record

New York: “Grand Juries Said to Hear Testimony on Inquiries into de Blasio Fund-Raising” by William Rashbaum for The New York Times

South Carolina: “Rep. Jim Merrill Indicted in S.C. Statehouse Probe; Suspended from Office” by Schuyler Kropf and Glenn Smith for Charleston Post & Courier

Virginia: “Residents Push to Change Law That Lets Norfolk Treasurer Anthony Burfoot Stay in Office” by Eric Hartley for The Virginian-Pilot

Elections

“Electoral College Settles Donald Trump’s Victory, but Little Else” by Jonathan Martin and Michael Wines for The New York Times

Campaign Finance

“Activists Brace for Fight Over Campaign Finance Law” by Alex Roarty for Roll Call

Arkansas: “Old Advice on State Judicial Donors Cut, Not Revised” by Lisa Hammersly for Northwest Arkansas News

Oregon: “Portland to Revive Public Campaign Financing in 2019” by Jessica Floum for Portland Oregonian

Ethics

Pennsylvania: “Former Philadelphia Congressman Chaka Fattah Sentenced to 10 Years in Prison” by Jeremy Roebuck for Philadelphia Inquirer

Illinois: “Ald. Willie Cochran Indicted on Thefts from Ward Charity” by Jason Meisner, Jeremy Gorner, and Hal Dardick for Chicago Tribune

Indiana: “Former Lawmaker Lands Job with Vaping Group That Benefited from His Vote” by Tony Cook for Indianapolis Star

Kentucky: “Tim Longmeyer Pleads Guilty to State Felony” by Tom Loftus for Louisville Courier-Journal

New York: “Reform Group Sues Over New Disclosure Law” by Casey Seiler for Albany Times Union

Wisconsin: “Wisconsin Ethics Commissioner Resigns in Disgust” by Jason Stein for Milwaukee Journal Sentinel

Elections

“Electoral College Settles Donald Trump’s Victory, but Little Else” by Jonathan Martin and Michael Wines for New York Times

“All This Talk of Voter Fraud? Across U.S., Officials Found Next to None” by Michael Wines for New York Times

Lobbying

“Longtime Business Lobbyist Laments Loss of ‘Smoke-Filled Rooms’ in Washington” by Carl Hulse for New York Times

Campaign Finance

Alaska: “New Alaska House leaders embrace loophole to raise campaign cash from lobbyists” by Nathaniel Herz for Alaska Dipatch News

Arizona: “Arizona Supreme Court to review Tom Horne’s campaign-finance case” by Bob Christie (Associated Press) for Arizona Republic

Massachusetts: “Campaign finance among bills passed” by Bob Katzen for Sentinel & Enterprise

New York: “De Blasio Is Fined $48,000 for Campaign Finance Violations” by J. David Goodman for New York Times

Ethics

“Trump’s billionaire-loaded cabinet will face a government ethics test after confirmation” by Kevin Hall for The Charlotte Observer

Illinois: “Lawmakers push package of ethics reform bills intended to mesh with Greitens’ goals” by Will Schmitt for Springfield News-Leader

South Carolina: “Companies say they weren’t trying to buy SC legislator’s influence” by Avery Wilks for SCNow

Elections

“North Carolina Governor Signs Bill Limiting His Successor’s Power” by Craig Jarvis for Governing

On Friday, December 16, Gov. Pat McCrory signed Senate Bill 4 into law. Senate Bill 4 merges the State Board of Elections with the State Ethics Commission and creates a new eight-member board split evenly between Republicans and Democrats.

The bill was introduced by Republicans in an attempt to limit the power of the executive branch before newly elected Democrats take power. Governor-elect Roy Cooper has stated that he plans to challenge the law in court as unconstitutional.

See what’s happening in government relations this week in our News You Can Use Video Digest. Enjoy!

On December 14, Portland City Council voted 3-2 to pass the Open and Accountable Elections package to create a public campaign finance matching system.

The publicly funded election system is modeled on New York City’s public campaign financing program. The city will provide matching funds to eligible candidates for mayor, city commissioner and auditor, with funding starting in 2019 for the 2020 election.

Elections

“Stein Spent Nearly $1 Million of Recount Funds on Consultants, Staff, Admin Expenses” by Joe Schoffstall for The Washington Free Beacon

New Mexico: “Political Action Committees Spent Big in Closing Days of Election” by Morgan Lee (Associated Press) for Albuquerque Journal

Ethics

“Former Democratic Congressman Chaka Fattah Sentenced to Decade in Prison” by Deena Zaru for CNN

Connecticut: “Bilda, Hinchey to Face Ethics Hearings Over Derbygate” by Ryan Blessing for The Bulletin

New Hampshire: “Portsmouth Resident Tries Again With Ethics Complaint” by Jeff McMenemy for Seacoast Online

South Dakota: “Attorney General’s Office Pushes to Save Parts of Ethics Law” by The Associated Press for The Washington Times

Campaign Finance

Missouri: “KCMO Police Commissioner May Have Broken Missouri Law” by Andy Alcock for KHSB

New York: “Hearing Delayed in Staver-Sauer Case” by Andrew Setterholm for Post Bulletin

Wisconsin: “Report: PAC Spending on Wisconsin Legislative Races Soars in Wake of Campaign Finance Change” by Katelyn Ferral for The Capital Times

Legislative Issues

Missouri: “Missouri Democrats Push Anti-Corruption Agenda as Legislative Session Approaches” by Kurt Erickson for St. Louis Post-Dispatch

Lobbying

“Lobbying Muscle May Help Tech Titans Trump Trump” by Allan Holmes and Jared Bennett for Center for Public Integrity

Campaign Finance

“Activists Brace for Fight Over Campaign Finance Law” by Alex Roarty for Roll Call

Elections

“Completed Wisconsin Recount Widens Donald Trump’s Lead by 131 Votes” by Matthew DeFour for Wisconsin State Journal

Ethics

“Aaron Schock Pleads Not Guilty To Slew of Federal Charges” by Aryn Braun for Roll Call

Wisconsin: “State Ethics Commissioner Resigns, Citing Dysfunction in New Watchdog Agency” by Mark Sommerhauser and Molly Beck for Wisconsin State Journal

Legislative Issues

“Budget Shortfalls Expected in the Most States Since Recession” by Liz Farmer for Governing

Lobbying

“K Street Eyes Outgoing Lawmakers for Jobs” by Kate Ackley for Roll Call

“Exxon-Mobil: No Stranger to Lobbying the ‘Swamp’” by Lesley Clark (McClatchy) for The News & Observer

“Trump Transition Trade Staffer Defended NAFTA, was Chamber of Commerce Lobbyist” by Andrew Kaczynski and Chris Massie for CNN

Missouri: “Opinion: The Christmas Spirit of Lobbyists” by Phill Brooks for The Springfield Business Journal

Procurement

New York: “DiNapoli Proposes Procurement Reforms” by Matthew Hamilton for Times Union

Campaign Finance

Florida: “Dozens of Florida Political Committees Being Fueled by Millions in ‘Dark Money’” by Tia Mitchell for The Florida Times-Union

Massachusetts: “Campaign Finance Law Shields Violators” by Stephanie Ebbert for The Boston Globe

Elections

“Senate and House Leaders Call for Inquiry of Russian Hacking in Election” by Jennifer Steinhauer for The New York Times

Ethics

“Trump Invites Trouble if He Keeps Businesses: Ethics Experts” BY Bernard Condon and Julie Bykowicz (Associated Press) for McClatchy DC

“Why All Billionaire Politicians Are Not Created Equal” by Ruairi Arriet-Kenna for Politico

Lobbying

“Insurers Step Up Lobbying With an Eye to Health-Law Changes” by Anna Wilde Mathews and Louise Radnofsky for The Wall Street Journal

“Big Law Lobbying Efforts Fail to Kill 9/11 Litigation Against Saudi Arabia” by Michael D. Goldhaber for The American Lawyer

Missouri: “Lobbyist Gifts to Missouri Legislators Have Dropped Significantly” by Walker Moskop for St. Louis Dispatch

Texas: “Edinburg Hires DC Lobbying Firm” by Naxiely Lopez for The Monitor

Republican candidate John Kennedy won a state run-off election on December 10 to fill Louisiana’s second seat in the U.S. Senate. Kennedy, Louisiana’s incumbent treasurer, won 61 percent of the vote to defeat Democratic candidate Foster Campbell.

Kennedy will take office January 3, 2017, creating a vacancy in his current position that will be filled in a special election to be held in March or October 2017. The First Assistant State Treasurer will take over as treasurer until an election can take place.

Campbell, a member of the Louisiana Public Service Commission, was looking to increase the number of Democrats in the Senate and gained nationwide support and over $2 million in donations in the months leading up to the December 10 election.

With Kennedy’s victory, the Senate is comprised of 52 Republicans and 48 Democrats. Kennedy will hold the seat until he is up for re-election in 2022.