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April 6, 2012 • Written by Jim Sedor

News You Can Use Digest – April 6, 2012

Here are highlights from the latest edition of News You Can Use:

April 5, 2012 • Written by Elizabeth Bartz

Your Lobbyist Compliance Experts

The mission of State and Federal Communications is to make sure that your organization can say, “I Comply.”

April 5, 2012 • Written by Michael Beckett, Esq.

A Bill by Any Other Name

Missouri Legislators are again addressing ethics and campaign finance laws following a Missouri Supreme Court decision that voided provisions of Senate Bill 844.

Seal of the Senate of Missouri The 2010 ethics law increased disclosure requirements for lobbyists, banned campaign committee-to-campaign committee transfers, and gave greater investigative powers to the Missouri Ethics Commission. The court affirmed a circuit court decision holding all provisions of Senate Bill 844, except those relating to procurement, to be in violation of article III, section 21 of the Missouri Constitution, which prohibits changes in the original purpose of a bill. Senate Bill 844 violated this provision by being introduced as an act relating to contracts for purchasing but being passed as an act relating to ethical administration.

Reaction to the decision has been swift and urgent. On January 14, 2012, the same day the opinion was released, the Missouri Ethics Commission stated in a press release that the court’s decision “deals a blow to the Commission’s ability to enforce and administer the law.” Several lawmakers and Governor Jay Nixon quickly called for bills to reinstate the voided provisions. Representative Jason Kander sponsored a bill (House Bill 1756) filed the day after the decision that would reinstate the voided provisions.

Prior to the decision, Kander also sponsored a bill (House Bill 1080) that would go beyond Senate Bill 844 to prohibit gifts from lobbyists and limit campaign contributions. Senate Bills 546 and 825 propose contribution limits. Senate Bill 826, filed by Senator Crowell, would reenact the voided provisions of Senate Bill 844. Currently, Missouri does not have any campaign contribution limits and is the only state to allow lawmakers to receive both unlimited campaign contributions and unlimited gifts from registered lobbyists.

Not all of Missouri’s lawmakers are ready for change. House Majority Leader Tim Jones believes an ethics bill would have a better chance after this year’s elections. Jones notes that both Kander and the governor are proposing limits that will go into effect after their own campaigns benefit from the status quo. To date, no new ethics bill has been passed in Missouri, by any name.

Image of the Seal of the Missouri Senate by Tom Lemmens on Wikipedia.

April 4, 2012 • Written by Nick Hollis

Ask the Experts – Charitable Donations: Not As Simple As They Might Seem

Here is your chance to “Ask the Experts” at State and Federal Communications, Inc.

Q. I am a registered lobbyist who would like to attend a charitable golf tournament. Are there specific restrictions or requirements for this type of event?

A. Mere attendance at a charitable golf tournament or similar event is not typically restricted.

However, this activity may be prohibited or subject to disclosure requirements depending on the circumstances.

Being a registered lobbyist does not hinder your ability to donate independently to a 501(c)(3) organization. However, in some instances, your attendance may be requested because the event is associated with a public official. If an official asks you to attend or sponsor the charitable event, this may be considered making a contribution “at the behest of” the official, depending on the laws in your jurisdiction.

If a charitable contribution is made “at the behest of” a public official, there are two considerations: permissibility and disclosure. First, is the charitable contribution permissible? A jurisdiction may consider the charitable contribution to be a gift to the public official who requested it. For example, Massachusetts considers a charitable contribution in this scenario to be a prohibited gift. Even if the charitable contribution is a permissible gift, there may be a limit as to how much a lobbyist may donate.

Second, if a lobbyist may make the charitable contribution, is it disclosed on a lobbying report? In Illinois, these charitable contributions are not reportable on a lobbying report. In California, the official who made the request of the lobbyist must disclose the charitable contribution. However, this type of expenditure is reportable on a lobbying report in Connecticut.

If you are a registered lobbyist, check with the applicable state regulatory agency before making a charitable contribution “at the behest of” an official.

You can directly submit questions for this feature, and we will select those most appropriate and answer them here. Send your questions to: marketing@stateandfed.com.

(We are always available to answer questions from clients that are specific to your needs, and we encourage you to continue to call or e-mail us with questions about your particular company or organization. As always, we will confidentially and directly provide answers or information you need.) Our replies to your questions are not legal advice. Instead, these replies represent our analysis of laws, rules, and regulations.