February 14, 2013 •
Montana Governor and State Senator Introduce Campaign Finance Reform
TRACE Act
Montana Governor Steve Bullock and Senator Jim Peterson announced a comprehensive campaign finance initiative for the state.
The Transparency, Reporting and Accountability in Campaigns and Elections (TRACE) Act was introduced today at a joint press conference in the governor’s office.
The governor said the provisions of the bill, to be introduced by Senator Peterson, include increasing disclosure by organizations without regard to the organization’s federal tax status, prohibiting direct corporate or union contributions to candidates, and increasing disclosure requirements by corporations making independent expenditures.
The TRACE Act also increases campaign contributions: per election cycle, a candidate for governor could accept up to $2,000 from a political committee or individual, a statewide candidate could accept up to $1,000, and all other candidates could accept up to $500. Additionally, the bill increases the fine for those violating election law and requires all major donors to incidental committees be identified through disclosure.
In his press release, Governor Bullock said, “This isn’t about winning or losing elections. This is about putting our democracy back in the sunlight where [it] belongs – back firmly in the hands of ‘we the people’.”
February 14, 2013 •
Chicago City Council Passes Watered-Down Ethics Ordinance
Mayor Emanuel Vows to Continue Fight
The Chicago City Council approved phase two of Mayor Rahm Emanuel’s ethics reform. This time, however, it didn’t come easy and the mayor is not completely satisfied with its outcome. The set of reforms focused mainly on public officials.
Mayor Emanuel’s proposal included a two year ban on lobbying after leaving city council office and allowing citizens to make anonymous complaints against aldermen. The city council was against both of these provisions and eventually passed a watered-down version of the proposal.
The ban on lobbying will only last for one year and does not take effect until January 1, 2014. The idea of anonymous complaints was completely tossed out; as the aldermen were afraid the tactic would be used by political enemies to gain an advantage. Emanuel was not pleased with the changes. He vowed to continue to fight for the anonymous complaints and mentioned the aldermen are just playing into the hands of the cynics.
Following the council’s vote Emanuel said, “I believe all of you work really hard. You don’t get credit for how hard you work. You get an unfair rap. But when you take an action like you just took, it reinforces a cynicism about you.” He added, “I want you all to know that is not the end of the process. I’m going to continue to do it.”
Photo of the Daley Plaza and Chicago City Hall by JeremyA on Wikipedia.
February 11, 2013 •
North Carolina – New Lobbying Rules
The North Carolina State Ethics Commission has adopted four new rules concerning lobbying that went into effect on January 1, 2013.
The first rule details when non-lobbyist employees must register as a lobbyist. In North Carolina, an employee must register as a lobbyist if a significant part of that employee’s job duties include lobbying. The new rules stipulate that this threshold is met if at least five percent of an employee’s duties include direct or goodwill lobbying during any rolling 30 day period. Once this threshold is met, the employee must register as a lobbyist within one business day.
The second rule explains what must be included when providing a description of a reportable expenditure for the lobbyist reports. The description must identify what was given, who the third party was that received the expenditure, and the name of the event or meeting where the expenditure was given.
The third rule describes how to determine the immediate family member who is connected with a reportable expenditure. On the reports, the name of the designated individual or immediate family member connected with the expenditure must be reported. The person that must be identified is the person who either received or benefited from the expenditure, or who requested the expenditure be made on someone’s behalf.
The fourth and final rule effecting lobbying details what must be reported in connection with a lobbying event. The entire cost of a lobbying event must be reported, rather than just the costs of any gifts given. Examples of the non-gift expenditures that must be reported include supplies, facility rental, food, name badges, flowers and other decorations, planning services, and all other expenses and charges incurred in connection with the lobbying event.
February 11, 2013 •
Philadelphia Councilman Proposes Change to Contribution Laws
Proposal in response to exposure of law’s loophole
Philadelphia Councilman James Kenney has proposed an amendment to the city’s contribution limits to close a loophole in the law. Currently, individuals may not contribute more than $2,900 per year to a candidate and PACs are limited to $11,500 per year to a candidate.
It was recently uncovered by NewsWorks, through campaign finance reports for 2012, that Councilman Bill Green received $35,000 in contributions from one person. This would appear to violate the city’s contribution limits. However, it is perfectly legal under the current law.
According to the city’s Board of Ethics director, Shane Creamer, a person could accept as much money as they wanted until they became an official candidate. The funds would have to be kept separate and it would be difficult to legally do, but it is not illegal.
Kenny’s proposed amendment would help to shut this loophole down. Under the proposed ordinance, the contribution limits would include incumbents, which the proposed ordinance defines as any individual who currently holds elective city office. With this new law in effect, Green’s actions in accepting the large contributions would have been illegal.
February 8, 2013 •
Palm Beach County Commission Votes to Expand Ethics Commission
From five members to seven
The Palm Beach County Commission voted in favor of a proposal to expand the county’s ethics commission from five members to seven. County Commissioner Priscilla Taylor pushed for the change, saying the commission needed more diversity.
The proposal will go before the committee responsible for drafting changes to the county code, and then back to the county commission for a final vote.
Independent community groups are responsible for selecting the ethics commission’s members.
February 8, 2013 •
Special Elections in Massachusetts Announced for First Suffolk Senate District and Eighth Suffolk District House
Overlapping Election Dates
Special election dates for a Massachusetts Senate seat and a state House seat have been announced by the Secretary of State.
The special primary election for the First Suffolk Senate District seat will be held on April 30, the same date as the special primary election for the U.S. Senate seat recently vacated by Senator John Kerry. The special general election for the Senate seat will be held on May 28.
May 28 will also be the special primary election date for the Eighth Suffolk District House seat. The special election for the house seat will be held on June 25, the same date as the special general election for the U.S. Senate.
The House election is being called to fill a vacancy caused by the resignation of Representative Martha Marty Walz. The Senate election is being called to fill a vacancy caused by the resignation of Senator Jack Hart.
February 7, 2013 •
Court Rules in Favor of Washington Disclosure Rules
Grassroots groups still must disclose contributions received
Washington’s grassroots lobbying disclosure law is still safe after a federal appellate court dismissed a challenger’s case. The 9th U.S. Circuit Court of Appeals dismissed the claim by Many Cultures, One Voice and Conservative Enthusiasts challenging the state’s disclosure laws for grassroots lobbying. The law requires groups to disclose contributions and spending once it has spent $500 in one month or $1,000 over a three-month period for grassroots lobbying.
The court ruled the two groups did not have standing to sue, because they never actually met the threshold for having to disclose its activities. Initially, the two groups argued the disclosure requirements thwarted free speech, but the trail court ruled against the groups saying the law did not violate the First Amendment.
The groups are now planning their next course of action. They may petition the appellate court to vacate the trial court’s ruling. If this were to happen, it would free up other groups to challenge the law without the benefit of a prior ruling in favor of the state.
February 5, 2013 •
New York JCOPE Releases Draft Regulations
Regulations to clarify gift restrictions
The New York Joint Commission on Public Ethics (JCOPE) is currently in the process of developing draft regulations for the state’s gift laws. These draft regulations will attempt to provide clarity and guidance to those regulated by the commission.
The draft regulations concerning gifts given by lobbyists allow lobbyists to follow a step-by-step guide to determine whether he or she is allowed to legally give the gift. JCOPE is accepting written comments on the draft regulations until February 15, 2013. JCOPE will then use those written comments to draft proposed regulations.
Updated February 13, 2013: The New York Joint Commission on Public Ethics has extended the deadline to submit written comments on the draft regulations to March 8, 2013.
February 5, 2013 •
Massachusetts Secretary of State’s Argument for Expansive Lobbyist Disclosure Dismissed
“All Direct Business Associations with Public Officials”
An argument put forth by the Massachusetts Secretary of State’s office requiring lobbyists to disclose every communication with public officials “makes absolutely no sense,” wrote Superior Court Judge Janet Sanders.
Secretary of State William Galvin’s office had argued it has the authority to interpret “all direct business associations with public officials” expansively and require the names of all officials with whom a lobbyist has communicated. In reaction, a lawsuit was brought against the Secretary of State’s office by the ACLU, AirStrategies, the Associated Industries of Massachusetts, Citizens for Juvenile Justice, Common Cause, and the Conservation Law Foundation.
According to the Boston Herald, the arguments in favor of the disclosure requirement were dismissed by the judge in her decision.
February 1, 2013 •
Maine Increases Contribution Limits for Legislative Candidates
Contribution limits for all other candidates remain unchanged
The Maine Commission on Governmental Ethics and Election Practices increased some of the state’s contribution limits as required by state law. The state requires the commission to examine the limits each December of an even-numbered year based upon the consumer price index.
This time around, the commission increased only the limits for candidates to the state legislature by $25. Now, those candidates may accept $375 for the primary and another $375 for the general election per contributor.
A candidate may accept contributions for the primary election, even if he or she is running opposed. The commission will next evaluate the contribution limits in December 2014.
February 1, 2013 •
California FPPC Chair Announces Review of Lobbying Disclosure
Workgroup to examine “other” reporting category
Ann Ravel, Chair of the Fair Political Practices Commission, has assigned a working group to take on issues relating to lobbying disclosure practices. Currently, lobbying disclosure forms allow reporting of huge sums in a catch-all category requiring no detailed reporting to authorities.
State law allows groups hiring lobbyists to report spending related to lobbying, but not meeting the legal definition of lobbying, as a single lump sum in a category listed as “other payments to influence.” Over the past 12 years, lobbying groups have listed in this category over one-quarter of the $2.9 billion spent on lobbying efforts.
The working group is set to include lobbyists, watchdog representatives, and political lawyers.
January 31, 2013 •
Arizona Political Contribution Limits Updated
2013-2014 Election Cycle
The Arizona Office of the Secretary of State has released the 2013-2014 election cycle contribution limits.
Individuals and noncertified political committees can now contribute up to $912 to a statewide candidate, $450 to a non-statewide local candidate, and $440 to a non-statewide legislative candidate. Additionally, committees certified by the state may contribute up to $4,560 to a statewide candidate, $2,270 to a non-statewide local candidate, and $1,816 to a non-statewide legislative candidate. These limits apply to candidates not receiving public funds under the Citizens Clean Elections Act.
Other changes include allowing individuals to make annual political contributions up to $6,390 to political committees or candidates. The contributions limits are required by law to be adjusted every two years.
January 31, 2013 •
Rhode Island Bill Would Ban Contributions During Session
House Bill 5187
A bill was introduced that would prohibit lobbyists from making any political contributions to any member of the Rhode Island General Assembly during legislative sessions.
House Bill 5187, introduced by Representative John Lombardi on January 29, delineates the ban’s time-frame for each annual session from January 1 through July 1.
In his press release, Representative Lombardi states, “Perhaps buying a ticket to a legislator’s fundraiser is done with the best intentions, but it can still appear to be for a different reason entirely. Perceptions are important and there should never be the perception, even if incorrect, that a political contribution is a means to a special favor, to special treatment.”
January 31, 2013 •
Alabama Runoff Election Scheduled for March 12
Candidates vying for Senate District 35 seat
A runoff election is scheduled for Alabama’s 35th Senate District.
Businessman Bill Hightower, who received 47 percent of the votes in the primary election, will face Rep. Jim Barton on March 12.
State and Federal Communications, Inc. provides research and consulting services for government relations professionals on lobbying laws, procurement lobbying laws, political contribution laws in the United States and Canada. Learn more by visiting stateandfed.com.