Campaign Finance

National: “House Democrats Propose Major Campaign Finance Reforms in First Bill of Session” by Carl Evers-Hillstrom for Center for Responsive Politics

Illinois: “Campaign Money Tied to Ald. Edward Burke’s Alleged Extortion Scheme Was Intended for County Board President Toni Preckwinkle, Sources Say” by Bill Ruthhart and Jason Meisner for Chicago Tribune

Ethics

National: “Makeup of Cabinet Is Creating More Hurdles for Trump” by Andrew Restuccia for Politico

Florida: “Florida Senate Pays $900,000 in Case Related to Jack Latvala Sexual Misconduct Case” by Elizabeth Koh for Tampa Bay Times

Michigan: “Whitmer Bans Campaign Activities on Public Dime, Use of Private Email” by Beth LeBlanc for Detroit News

Oregon: “Former Oregon First Lady Cylvia Hayes Criticized for ‘Bad Faith’ in Bankruptcy Proceedings” by Ben Botkin for Salem Statesman Journal

Lobbying

National: “Joe Lieberman, Registered Lobbyist Who Doesn’t Actually Lobby” by C. Ryan Barber for Law.com

California: “California Health Care CEO Pleads Guilty in Public Corruption Case That Netted Alabama Legislators” by Melissa Brown for Montgomery Advertiser

Federal Lobbyists are now required to disclose convictions for bribery, fraud, and other crimes when registering and reporting.

President Trump signed Senate Bill 2896, the “Justice Against Corruption on K Street Act of 2018” or the “JACK Act” on January 3. On December 20, 2018 the U.S. Congress passed the bill, which passed the U.S. Senate in August with unanimous consent.

The new law requires lobbyists to disclose any prior conviction for bribery, extortion, embezzlement, illegal kickbacks, tax evasion, fraud, conflicts of interest, making false statements, perjury, or money laundering.

The House voted 390-0 to pass the Senate’s bill on to President Trump.

The New Mexico Secretary of State’s Office will be offering two lobbyist trainings on lobbyist registration, reporting requirements, and a segment on sexual harassment.

The trainings are voluntary and will be held on January 10, 2019, 9:00 a.m.-12:00 p.m. and January 17, 2019, 1:00 p.m.-4:00 p.m.

The Secretary of State has yet to release additional details on how to register.

Federal:

Mueller Fuels Foreign Lobbying Crackdown
The Hill – Morgan Chalfont and Alex Gangitano | Published: 12/31/2018

The Federal Agents Registration Act dates to 1938, when it was passed to ensure transparency of foreign influence in the American political process as a result of fears over Nazi and communist propaganda. It has been amended twice since then but is essentially the same law. It requires that “agents of foreign principals,” typically lobbyists or consultants who work for foreign governments or political parties, register and file regular reports with the Justice Department on their activities. They also must file copies of materials they distribute for any foreign entities and keep a record of their activities. Criminal prosecutions under the law have been few and far between, but special counsel Robert Mueller’s investigation has changed that, at least for the time being.

Sexism Claims from Bernie Sanders’s 2016 Run: Paid less, treated worse
MSN – Sydney Ember and Katie Benner (New York Times) | Published: 1/2/2019

Accounts of sexual harassment and demeaning treatment, as well as pay disparity, in U.S. Sen. Bernie Sanders’s 2016 presidential campaign have circulated in recently in emails, online comments, and private discussions among former supporters. As Sanders tries to build support for a second run at the White House, his perceived failure to address this issue has damaged his progressive bona fides, nearly a dozen former state and national staff members said. It also has raised questions among them about whether the senator can adequately fight for the interests of women, who have increasingly defined the Democratic Party, if he runs again for the presidential nomination. The former staff members said complaints about mistreatment and pay disparity during and just after the campaign reached some senior leaders of the operation.

Trump Effect: How out-of-state money fueled Democratic House wins in 2018
USA Today – Maureen Groppe and Christopher Schnaars | Published: 12/29/2018

The Democrats who captured the U.S. House by flipping 43 districts from red to blue in the November election received on average more than half of their large-dollar campaign funds from outside their states. By contrast, defeated Republicans in those districts collected only about one-third of their itemized funds from outside their states. The money that poured into House races from out-of-state donors was another example of the nationalization of the 2018 midterm elections that were partly a referendum on President Trump’s first two years in office. Analysts said the data reinforced other signs that opposition to Trump helped to motivate Democratic donors.

From the States and Municipalities:

Alabama: Ethics Revision Commission Could Give Legislators Multiple Choices
Montgomery Advertiser – Brian Lyman | Published: 12/27/2018

A commission working on proposed changes to the state’s ethics law might deliver multiple options to legislators next year. Tom Albritton, executive director of the Alabama Ethics Commission, said the final proposals will likely include a range of options on different issues for lawmakers to take up, should they decide to revise ethics laws in the legislative session that begins next March. The Code of Ethics Clarification and Reform Commission has taken up a number of issues, though it has spent a great deal of time on the definition of “principal,” or a person or entity who hires a lobbyist.

Delaware: Former Delaware Lawmaker Melanie George Smith’s New Career Draws Complaints of Self-Dealing
Wilmington News Journal – Scott Goss | Published: 1/2/2019

Former Rep. Melanie George Smith has launched a consulting firm that critics say is benefiting from a Delaware “sustainability” industry that she helped create during her final months in office. Her business, Sustainable World Strategies, is prompting questions about the rules that are supposed to stop state lawmakers from crafting legislation that benefits them personally. Smith rejects the notion that her business has anything to do with the legislation she sponsored. “They are completely separate,” she said. “And when you introduce legislation in Dover that is broadly beneficial to everybody, there is no conflict whatsoever.”

Florida: Lauren Book Proposes ‘Swearing In’ Legislative Speakers
Florida Politics – Jim Rosica | Published: 1/2/2019

Florida Sen. Lauren Book filed the Truth in Government Act for the 2019 legislative session that would require people appearing at legislative committees to be sworn in before speaking. Those making a “false statement that he or she does not believe to be true, … in regard to any material matter, commits a felony of the third degree,” Senate Bill 58 says. But the legislation exempts lawmakers themselves, staff members, and children. The majority of speakers before legislative panels are paid lobbyists. “I don’t think it’s necessary because it confuses 1st Amendment-right advocacy with investigatory or legal proceedings that require testimony under oath,” one lobbyist said.

Idaho: Why Does This Charity Golf Event Hosted by Idaho’s Governor Cost More Than It Gives Out?
Idaho Statesman – Audrey Dutton | Published: 1/3/2019

The annual Governor’s Cup tournament is a multiday golf and sporting affair that raises money for college and trade-school scholarships in Idaho. The event is hosted by the governor and first lady and is attended by the state’s political and business movers and shakers. Almost every year of the past decade, the nonprofit that runs the tournament has spent at least twice as much money on throwing the annual event than it has awarded in financial aid. Marcus Owens, a former director of the IRS’s division for tax-exempt organizations, said the event’s cost calls into question its primary purpose. “It sure sounds like this is an opportunity for lobbyists to do what lobbyists do outside the eyes of reporters or the general public,” said Owens.

Illinois: Feds Charge Powerful Ald. Edward Burke with Corruption
Chicago Tribune – Jason Meisner | Published: 1/3/2019

Chicago Ald. Edward Burke was charged with attempted extortion in a federal criminal complaint. It alleges Burke tried to extort a company that owns fast-food restaurants in the Chicago area and needed help with permits for a remodeling job. The complaint also alleged Burke illegally solicited a campaign donation from an executive with the restaurant company for another politician, who is not named in the charges. The criminal charge was stunning even for a city with a long history of public corruption. While dozens of his city council colleagues have been convicted and sent to prison over the decades, Burke was largely seen as too clever or sophisticated to be caught. He had faced federal scrutiny several times before but always escaped charges.

Missouri: No More Free Lunch for Missouri Lawmakers. Literally.
St. Louis Post-Dispatch – Kurt Erickson | Published: 1/3/2019

Although it could face a test in court, a possible repeal by frustrated lawmakers, and varied legal opinions from ethics regulators, the so-called Clean Missouri ballot measure approved by voters in November places a five-dollar cap on gifts lawmakers can receive from lobbyists. That means fewer lobbying groups offering free food to lawmakers and legislative staffers during the busy crush of the legislative session that begins January 9 and runs through May 17. It means no more dinners being purchased by lobbyists for lawmakers at local restaurants, nor free tickets to baseball games, concerts, or golf tournaments. For lobbyists, lawmakers, and restaurateurs in Jefferson City, the changes are significant.

Missouri: State Seeks Dismissal of Lobbyist Gift Ban Lawsuit
St. Louis Post-Dispatch – Kurt Erickson | Published: 12/26/2018

Missouri Attorney General Josh Hawley is asking a federal judge to dismiss a lawsuit that sought to overturn a ban on workers in the governor’s office receiving gifts from lobbyists. Gov. Mike Parson in November rewrote an order issued by his predecessor, Eric Greitens, that had prohibited all gifts from lobbyists. The change was aimed at allowing groups to distribute informational booklets to employees of the state’s chief executive. In October, the Institute for Justice said the ban on gift-giving violated the organization’s First Amendment rights to free speech because it prohibits them from giving workers in Parson’s office two books. Hawley’s office said the change makes the lawsuit unnecessary.

New Jersey: New Jersey Is the Latest Battleground in National Redistricting Fight
Politico – Matt Freidman | Published: 12/28/2018

Democrats who control the New Jersey Legislature attempted to fast track a constitutional amendment to change the way the state draws its legislative districts. The plan would have inserted a formula into the state constitution almost certainly cementing Democratic majorities for decades to come. But to a new wave of liberal activists, it reeked of an attempted power grab. Their party’s redistricting amendment gave them a new target and joined by good government groups and Republican state lawmakers who stood to see their already diminished clout reduced further, they held rallies in front of the Statehouse to oppose it.  Redistricting is drawing more and more mainstream attention, with New Jersey the latest state to battle over the drawing of district lines in the run-up to 2020.

New York: N.Y.’s New Attorney General Is Targeting Trump. Will Judges See a ‘Political Vendetta?’
MSN – Jeffery Mays (New York Times) | Published: 12/31/2018

Letitia James, the incoming New York attorney general, has suggested that President Trump could be charged with obstruction of justice, and implied that foreign governments channeled money to his family’s real estate holdings, which she characterized as a “pattern and practice of money laundering.” Democratic attorneys general across the country have used their offices to confront Trump. But since her election, James has opened herself up to criticism that she has gone too far in allowing politics to shape her agenda. Her strident attacks on the president could potentially threaten the legal standing of cases that her office brings against Trump, his family members or their business interests, legal experts said.

North Carolina: NC Lawmakers Override Veto of Bill That Makes Allegations of Campaign Finance Violations Secret
Raleigh News and Observer – Craig Jarvis | Published: 12/27/2018

Republican lawmakers held off North Carolina Gov. Roy Cooper’s attempt to muster enough Democrats to thwart an override of his veto of an elections law bill. A large majority of Democrats had voted to approve the bill, as it reflected changes in state election law that Cooper achieved in a lawsuit. But despite negotiations with legislative leaders over how to accomplish those changes, Cooper focused the argument on keeping accusations of campaign finance violations secret. Cooper opposed a provision in the bill that will require allegations of campaign finance wrongdoing to be probed by the State Ethics Commission and its findings to be referred to the State Board of Elections. The elections board could then refer the matter to local prosecutors to consider bringing criminal charges, all in confidence.

South Dakota: Undisclosed Donors Gave $95K in SD Governor Race
Rapid City Journal – Seth Tupper | Published: 12/30/2018

An out-of-state PAC that ran advertisements supporting Kristi Noem and opposing Billie Sutton in the race for South Dakota governor received $95,000 from undisclosed sources during the final week of the campaign. The money was raised by a corporation, apparently a 501(c)4 nonprofit, that does not disclose its donors. The corporation then gave the money to a super PAC, which appears to have spent most or all the money on independent expenditures in the race. The contributions from the corporation to the super PAC occurred late enough in the campaign that they did not show up on the super PAC’s campaign finance reports until a post-election report, which was filed on December 6.

Campaign Finance

National: “Congress Unlikely to Stop Super PACs from Hiding Donors” by Maggie Severns for Politico

National: “Potential 2020 Candidates Confront the Need for Campaign Cash, and Fewer Sources of It” by Matt Viser for Washington Post

National: “Trump Effect: How out-of-state money fueled Democratic House wins in 2018” by Maureen Groppe and Christopher Schnarrs for USA Today

South Dakota: “Undisclosed Donors Gave $95K in SD Governor Race” by Seth Tupper for Rapid City Journal

Ethics

Connecticut: “Former Access Health CEO, State Contractor Pay to Settle Ethics Violation” by Clarice Silber for Connecticut Mirror

Delaware: “Former Delaware Lawmaker Melanie George Smith’s New Career Draws Complaints of Self-Dealing” by Scott Goss for Wilmington News Journal

Missouri: “Committee Investigating Eric Greitens Releases 2,100 Pages of Documents on New Year’s Eve” by Jack Suntrup and Kurt Erickson for St. Louis Post-Dispatch

Lobbying

Florida: “Lauren Book Proposes ‘Swearing In’ Legislative Speakers” by Jim Rosica for Florida Politics

Redistricting

New Jersey: “New Jersey Is the Latest Battleground in National Redistricting Fight” by Matt Freidman for Politico

The Hawaii State Ethics Commission announced the new electronic filing system for lobbying registrations and disclosures is currently being tested and will not be available in early January as anticipated.

Lobbyists who plan to continue lobbying in 2019 must renew registrations as usual by Monday, January 28.

Lobbying expenditure reports are due as usual on Thursday, January 31.

The Commission will hold a training session on January 7 at 10 a.m. to provide an overview of the lobbying laws.

The Commission has yet to announce a release date for the new e-filing system.

Campaign Finance

New Mexico: Legislators Challenge Campaign Finance Rules by Dan McKay for Albuquerque Journal

North Carolina: NC Lawmakers Override Veto of Bill That Makes Allegations of Campaign Finance Violations Secret by Craig Jarvis for Raleigh News and Observer

Elections

National: Sen. Elizabeth Warren Says She Will Seek the Presidency in 2020 by Annie Linskey and Matt Viser (Washington Post) for Chicago Daily Herald

Ethics

California: Gov.-Elect Gavin Newsom to Place California Wineries, Hotels in Blind Trust by Phil Willon for Los Angeles Times

Maryland: Maryland Lawmakers Accused in 11 Sexual Harassment Complaints in the Past Year by Ovetta Wiggins (Washington Post) for Stamford Advocate

New York: N.Y.’s New Attorney General Is Targeting Trump. Will Judges See a ‘Political Vendetta?’ by Jeffery Mays (New York Times) for MSN

North Dakota: Bill Drafted to Enact Provisions of Ethics Measure by Jessica Holdman for Bismarck Tribune

Lobbying

National: Tony Podesta Sues Former Clients, Seeking to Collect on Unpaid Bills by Theodoric Meyer for Politico

National: Lobbyist Conviction Disclosure Bill Heads to President’s Desk by Megan Wilson and Jorge Uquillas for Bloomberg Government

National: Mueller Fuels Foreign Lobbying Crackdown by Morgan Chalfant and Alex Gangitano for The Hill

Alabama: Ethics Revision Commission Could Give Legislators Multiple Choices by Brian Lyman for Montgomery Advertiser

Missouri: Will ‘Clean Missouri’ Slow the Revolving Door That Turns Lawmakers into Lobbyists? By Hunter Woodall for Kansas City Star

Missouri: State Seeks Dismissal of Lobbyist Gift Ban Lawsuit by Kurt Erickson for St. Louis Post-Dispatch

On December 20, the U.S. Congress passed legislation requiring lobbyists to disclose any prior convictions.

Senate Bill 2896, the “Justice Against Corruption on K Street Act of 2018” or the “JACK Act”, which passed the U.S. Senate in August with unanimous consent, would require lobbyists to disclose any prior conviction for bribery, extortion, embezzlement, illegal kickbacks, tax evasion, fraud, conflicts of interest, making false statements, perjury, or money laundering. The House voted 390-0 yesterday to pass the legislation on to President Trump.

Federal:

Lawmakers Push Review of New Member Events After Complaints Over Lobbyists at Harvard Orientation
Washington Post – Jeff Stein | Published: 12/14/2018

Harvard invited lobbyists to speak at its orientation program for incoming members of Congress and paid for travel and board for the newly elected members of the House to attend. Under House rules, that arrangement would typically be subject to an extensive review by the ethics committee before members could be cleared to attend. But Harvard’s program was not for sitting members of Congress, it was for members to-be, who will not be sworn in until January. Lawmakers say they are planning to review House ethics rules for incoming members, bringing new scrutiny to Harvard’s decades-long orientation program, as well as a broader review of how lobbyists reach incoming freshman lawmakers.

Targets of U.S. Sanctions Hire Lobbyists with Trump Ties to Seek Relief
MSN – Kenneth Vogel (New York Times) | Published: 12/11/2018

As the Trump administration has increasingly turned to sanctions, travel restrictions, and tariffs to punish foreign governments as well as people and companies from abroad, targets of those measures have turned for assistance to K Street’s corridor of law, lobbying, and public relations firms. The work can carry reputational and legal risks, since clients often come with toxic baggage and the U.S. Treasury Department restricts transactions with entities under sanctions. As a result, it commands some of the biggest fees of any sector in the influence industry. And some of the biggest payments have been going to lobbyists, lawyers, and consultants with connections to Trump or his administration.

From the States and Municipalities:

Arizona: Bennett Loses Court Bid to Get Public Financing for Gubernatorial Campaign
Arizona Capitol Times – Howard Fischer (Capitol News Srevices) | Published: 12/14/2018

A judge rejected the latest bid by Ken Bennett to get public financing for his failed gubernatorial bid in Arizona, or at least reimburse himself for the money he spent. Maricopa County Superior Court Judge Teresa Sanders acknowledged Bennett said he did have enough valid signatures on five-dollar donation forms to qualify for $839,704 which was available for candidates in the Republican primary for governor earlier this year. Bennett said he fell short only because some county election officials incorrectly classified some of them as invalid. But Sanders said there is nothing in Arizona law that provides an opportunity for a candidate to “rehabilitate” previously disqualified contribution slips.

Florida: ‘He Got Screwed’: Gillum absent from indictment after DeSantis bashed him as corrupt
Politico – Marc Caputo | Published: 12/12/2018

City Commissioner Scott Maddox and political consultant Janice Paige Carter-Smith were indicted on bribery and other charges in the first results to emerge from a years-long investigation into corruption in Tallahassee. Florida Gov. Rick Scott issued an executive order suspending Maddox from the commission. Maddox had served as mayor, while Carter-Smith was his chief of staff and business partner. The indictment alleges they conspired to run two companies as one, known as Governance, in a far-reaching racketeering scheme. It did not name Andrew Gillum, who was Tallahassee’s mayor at the time and was accused on the gubernatorial campaign trail this year of being tied to the suspected wrongdoing the FBI was investigating.

Kansas: Kansas Lawmakers Can Quickly Become Lobbyists, but Many States Make Them Wait
Wichita Eagle – Jonathan Shorman | Published: 12/20/2018

Kansas has no law stopping legislators from immediately becoming a lobbyist after they leave office, unlike the majority of states. At least 38 states have some kind of waiting period for lawmakers who want to become lobbyists. Supporters of the waiting periods say they are needed to stop lawmakers from being influenced by potential future employers while they are in the Legislature. Others question their usefulness. U.S. Rep. Lynn Jenkins’ move to set up a lobbying firm while still in Congress drew attention to Kansas’ lack of a waiting period. While Jenkins is a federal lawmaker, her new firm plans to lobby at both the state and federal level. Federal rules require Jenkins to wait a year before lobbying at the federal level.

New Hampshire: Sununu, Inner Circle Received Thousands from Lobbyist-Funded Nonprofit
Manchester Union Leader – Todd Feathers | Published: 12/15/2018

Lobbying firms and corporations donated to New Hampshire Gov. Chris Sununu’s inaugural party committee, helping raise $450,000. But when all the festivities were finished, there was still money left over in the accounts of The Sununu Inaugural Celebration Inc., a 501c(4) organization set up to pay for the parties. And most of the surplus funds have since been paid out to Sununu, his immediate family, and his closest advisers. The transactions create the appearance of conflicts-of-interest and improper profiteering, tax attorneys and ethics experts say, and raise a number of legal questions. The explanations for the payments are vague. Reports filed with the secretary of state’s office simply state the purposes as “expenses” or “travel.”

New Jersey: GoFundMe Violates Election Law, but Candidates Keep Using It
Bergen Record – Nicholas Katzban | Published: 12/17/2018

In a race for seats on the Rutherford school board, Kevin Wilson and Hesham Mahmoud challenged three incumbents in November’s election. The two received $375 in contributions through GoFundMe, which they reported to the New Jersey Election Law Enforcement Commission (ELEC). But no matter the amount, the commission said use of the site for political fundraising is prohibited due to the difficulty in tracing the source of the donations. GoFundMe’s compliance director, Stephanie Olivo, said ELEC’s policy on crowdfunding is guided by an advisory opinion issued in 2001. The statement does not address crowdfunding sites, specifically, but does outline the services that must be available through an online vendor, that would ensure each transaction complies with election law.

New York: JCOPE’s New Regs Constrained by Settlement
Albany Times Union – Chris Bragg | Published: 12/19/2018

A settlement was reached in a lawsuit challenging the Joint Commission on Public Ethics’ (JCOPE) new regulations on lobbying. Under the terms of the agreement, the 92 pages of rules are defined simply as a “statement” for how the agency plans to administer and enforce state lobbying law. New York Attorney General Barbara Underwood’s office agreed the regulations will not in and of themselves have the force and effect of law. That makes the guidelines different from some regulations traditionally created by state agencies, violations of which can on their own be the basis for penalties. But JCOPE Executive Director Seth Agata argued that, in practical terms, the settlement would have virtually no effect, and the agency still planned to vigorously enforce the regulations as planned.

North Carolina: Secrecy Provision in Elections Board Bill Prompted Cooper Veto
WRAL – Matthew Burns | Published: 12/18/2018

North Carolina Gov. Roy Cooper said he will veto legislation that again overhauls the state elections board because it also would make investigations of potential campaign finance violations confidential. The bill comes amid an investigation by the State Board of Elections and Ethics Enforcement into suspicious absentee voting in the Ninth Congressional District, and Cooper said lawmakers should be more concerned about building public confidence in elections than in protecting politicians who bend the rules. House Bill 1029 also would place a four-year statute of limitations on investigations, with the clock starting once the board knows, or should have known, about a violation of the state’s campaign finance rules.

North Dakota: Wary of New Ethics Rules, North Dakota Lobbyists Rethink Plans for Legislator Receptions
Bismarck Tribune – John Hageman | Published: 12/13/2018

Some lobbying groups are rethinking plans to hold events with state lawmakers after North Dakota voters passed a ballot measure establishing new ethics rules in the state constitution. Industry group leaders cited language in Measure 1 that prevents lobbyists from giving gifts to public officials. Although that provision is not effective for two years and includes exceptions for educational and social settings meant to “advance opportunities for North Dakota residents to meet with public officials,” lobbyists said they were taking a conservative approach to the new rules.

Oklahoma: State Rule Would Disclose Hidden Backers of Groups Trying to Affect Legislation
Oklahoma Watch – Paul Monies | Published: 12/17/2018

The Oklahoma Ethics Commission is proposing to close a gap in law that keeps certain funding and spending on efforts to influence legislation a secret. Although sources and amounts of money are typically required to be disclosed when groups seek to influence an election involving candidates or state ballot questions, little must be revealed when a group tries to push or oppose legislation. The proposed rule would mandate certain disclosures for groups that pay for communications about pending bills. Commission Executive Director Ashley Kemp said the proposal just adds another category for what is called “indirect lobbying” at the Legislature.

Pennsylvania: Pennsylvania Ethics Commission Fines Workers Comp Law Firm’s Lobbying Wings for Late Disclosure of Influence Peddling
Allentown Morning Call – Steve Esack | Published: 12/7/2018

A pair of lobbying groups connected to the law firm Pond Lehocky Stern Giordano violated Pennsylvania’s lobbying law and were fined. If at least $2,500 is spent to lobby legislation, the lobbyists involved are given 10 days to register and must file quarterly expenditure reports. The State Ethics Commission determined PA Works Now and Citizens to Protect Our Pennsylvania failed to register and did not report $115,800 spent on professional lobbyists, online posts, billboards, and flyers aimed at defeating two Workers’ Compensation bills. PA Works Now did not register its lobbying activities until 388 days after it started. PA Works Now must pay a fine of $13,580 and Citizens to Protect Our Pennsylvania was fined $15,500.

South Carolina: SC Lawmaker Benefiting from Law Change That Opened Top State Agency Slot for Him
Charleston Post and Courier – Jamie Lovegrove | Published: 12/10/2018

As South Carolina lawmakers considered reauthorizing the state’s land preservation agency this year, they proposed restricting legislators from taking over the department for one year after leaving office. But in the final version of the bill, the one-year waiting period for the Conservation Bank was removed. Now, just a few months after the bill passed, a lawmaker who has supported the agency for years stands to benefit from that last-minute change. State Rep. Mike Pitts, who oversaw the agency’s budget and headed the House ethics committee, announced he is retiring to take over the Conservation Bank.

Vermont: As Ethics Panel Director Steps Down, Differing Explanations Are Offered
VTDigger.org – Mark Johnson | Published: 12/14/2018

Vermont Ethics Commission Executive Director Brian Leven has resigned but he and the panel’s chairperson have offered different reasons why the separation occurred. Leven said he believed the commission exceeded its authority in an advisory opinion involving Gov. Phil Scott issued earlier this year. After taking the executive director job last December, he said he resigned because he and the commission were at odds over what powers the Legislature intended to give the board. Commission Chairperson Madeline Motta said the panel and Leven parted ways because of his “work performance.”

Washington: Facebook, Google to Pay Washington $450,000 to Settle Lawsuits Over Political-Ad Transparency
Seattle Times – Jim Brunner | Published: 12/19/2018

Google and Facebook agreed to pay $455,000 for violating Washington’s campaign finance law. Google will pay $217,000 and Facebook will pay $238,000 in response to two lawsuits filed by state Attorney General Bob Ferguson that accused the companies of not obeying the state law requiring them to maintain detailed records about who is paying for online political ads on their platforms. The lawsuits came after the state’s Public Disclosure Commission issued regulations related to a new law and passed an emergency rule that clarified digital ad companies like Google and Facebook are subject to state law requiring them to maintain publicly available information about political ads, just like television stations and other media.

On November 28, 2018, a lawsuit had been filed against the Joint Commission on Public Ethics to stop the commission’s Comprehensive Lobbying Regulations from going into effect on January 1, 2019.

David Grandeau, a former lobbying enforcement official and one of three petitioners in the lawsuit, argued the commission lacks the authority to create regulations that expand and amend New York’s Lobbying Act.

On December 19, a settlement was reached between the two parties. As a result, the comprehensive regulations are defined as a “statement’’ for how the commission plans to administer and enforce state lobbying law.

The Missouri Ethics Commission announced a new electronic filing system for 2019 lobbyist renewals with mobile-friendly features including entering expenditures instantaneously and saving in-progress entries.

The 2019 renewal system will allow for electronic filing of principal reports, recording of multiple recipients for a single expenditure to be pro-rated, and submitting and paying for registration online.

To access the new Lobbyist Electronic Filing System, click the “Renew Registration” link in the current filing system. For detailed instructions, visit the Ethics Commissions’ Instruction Guide.

Campaign Finance

Arizona: “Bennett Loses Court Bid to Get Public Financing for Gubernatorial Campaign” by Howard Fischer (Capitol News Srevices) for Arizona Capitol Times

New Jersey: “GoFundMe Violates Election Law, but Candidates Keep Using It” by Nicholas Katzban for Bergen Record

North Carolina: “Secrecy Provision in Elections Board Bill Prompted Cooper Veto” by Matthew Burns for WRAL

Elections

Arizona: “Arizona Governor Taps Martha McSally to Fill Senate Seat Once Held by McCain” by Sean Sullivan (Washington Post) for MSN

Ethics

National: “Trump Agrees to Shut Down His Charity Amid Allegations That He Used It for Personal and Political Benefit” by David Fahrenthold (New York Times) for MSN

National: “Judge Postpones Sentencing of Michael Flynn After Harshly Rebuking Him” by Sharon LaFraniere and Adam Goldman (New York Times) for MSN

Vermont: “As Ethics Panel Director Steps Down, Differing Explanations Are Offered” by Mark Johnson for VTDigger.org

Lobbying

National: “Lawmakers Push Review of New Member Events After Complaints Over Lobbyists at Harvard Orientation” by Jeff Stein for Washington Post

Florida: “Savvy Businessman or Sloppy Lobbyist? Ex-City Attorney’s Job-Shopping Tactics Questioned” by Sarah Blaskey and Joey Flechas for Miami Herald

Massachusetts: “Baker Returns Most of Lobbyist’s Donation for Inauguration” by Matt Stout for Boston Globe

Oklahoma: “State Rule Would Disclose Hidden Backers of Groups Trying to Affect Legislation” by Paul Monies for Oklahoma Watch

The New York Joint Commission On Public Ethics (JCOPE) has launched the registration and related reportable business relationship filing section of the new lobbying reporting system.

Each Statement of Registration must be accompanied by a copy of an executed contract or Lobbying Agreement form (if a contract exists), or a signed, written lobbying authorization to lobby from the Client (if a contract does not exist).

The option to submit a Lobbying Agreement form is a new option for filers with an existing contract.

Additional information related to the new reporting system is available on the JCOPE website.

The new lobbying law for the province of Prince Edward Island is scheduled to come into effect April 1, 2019, according to its Department of Justice and Public Safety. Bill No. 24, the Lobbyist Registration Act, was passed in December of 2017 during the Third Session of the 65th General Assembly of the Prince Edward Island Legislative Assembly and has already received Royal Assent. Currently the province is setting up an Office of the Lobbyist Registrar.

Upon the Act coming into force, consultant lobbyists, in-house lobbyists, and employers of in-house lobbyists will be required to register with the Registrar when communicating with a public office holder, directly or through grassroots communications, in an attempt to influence them on a variety of issues. Additionally, a consultant lobbyist will be required to register when communicating with a public-office holder to influence the awarding of any contract by or on behalf of the Crown or arrange a meeting between a public-office holder and any other person.

Registrants will be required to file returns with this Registrar every six months detailing any relevant subject matters lobbied, including legislative and regulatory proposals, the techniques of communication the lobbyist has used or expects to use to lobby, the employer or client for which the registrant is lobbying, and the identification of entities or persons paying more than $750 per fiscal year to the registrant to lobby.

Lobbying on a contingency fee basis is prohibited for consultant lobbyists and former public office holders are prohibited from lobbying for a period of six months after leaving office. Penalties for violations of the Act include fines up to $25,000. Canada’s three territories still do not have laws regulating lobbying.