E-News from State and Federal
He is Back
am so very happy to report Joseph May has returned
to State and Federal Communications. He is our new
Manager of Corporate Social Responsibility.
What? You didn’t know he left… Well,
he left at the end of May to pursue an opportunity
as a hospital chaplain but the prospects of
long-term employment didn’t seem to be there so he
was back on the market.
Ren Koozer and I met with him to talk
about what he was looking for and within a week I
developed a job description, sent it to him, and he
accepted. Things move fast in a small company. I
barely had time to let my Comptroller Mark Sedmock
know about the offer.
So, I am super excited he is back
because he is an amazing person to have on
staff—positive, involved, and just an all-around
Your next question is why would a
small business need someone to oversee corporate
social responsibility. That is an easy question to
answer. State and Federal Communications is a great
corporate citizen—locally, regionally, nationally,
We have learned a lot from our
friends at the Public Affairs Council. It regularly
holds webinars about corporate social responsibility
and some of it rubbed off. In fact, there are three
webinars being held this month.
State and Federal Communications
donates tickets to the Cleveland Indians, Cleveland
Browns (yes, people want these tickets), and
Cleveland Cavaliers to non-profits for their
auctions and they all raise quite a bit of money.
Joe is going to provide information to the State and
Federal Community on what we are doing. Plus, he is
going to highlight our staff who are working in the
community as part of our Charitable Service Program.
It is all good. And, don’t you agree
we all need some good things right now.
Enjoy your October and Octoberfest
and keep on the lookout for the great blog posts
from Joe May. Remember, if not you, who…if not now,
Elizabeth Z. Bartz
President and CEO
State and Federal Communication’s
webinars are a
wonderful way to familiarize yourself
Compliance Laws for
Have you ever wanted to see all that our
Sign up for this month’s webinar and find out what our
clients are raving about. This is your opportunity to
understand the potential of our online political
compliance publications. Join us to learn about their
features and how they can help you.
This month’s webinar is on
October 12 at 2 p.m. EDT.
Seats are limited, so
Proposes to Make Newly Effective Pay-to-Play Rules Cover Capital
George Ticoras, Esq.
20, new pay-to-play rules for the Financial Industry Regulatory
Authority (FINRA) became effective and additional FINRA pay-to-play
rules were proposed.
2030 restricts contributions made to an official of a government
entity being provided investment advisory services or being engaged
to provide investment advisory services by certain parties. The rule
applies to broker-dealers, placement agents, and covered associates
acting on behalf of certain regulated investment advisors or
soliciting a government entity to invest in certain pooled
investment vehicles. If a contribution is made violating the rule,
distribution or solicitation activities are prohibited for two years
after the date of the contribution. The restrictions also prohibit
soliciting a political action committee to make contributions or
doing anything indirectly that, if done directly, would result in a
violation of the rules.
restrictions do not apply to contributions made by a covered
associate that is a natural person to officials for whom the covered
associate was entitled to vote at the time of the contributions and
which in the aggregate do not exceed $350 to any one official, per
election. A covered associate may make contributions to officials
for whom the covered associate was not entitled to vote at the time
of the contributions and which in the aggregate do not exceed $150
to any one official, per election. Additional exceptions to the
restrictions apply for certain newly covered associates or when
contributions are returned under specified conditions in the rule.
effective is FINRA Rule 4580, which mandates certain record-keeping
requirements concerning related contributions.
a proposed rule change with the Securities and Exchange Commission
(SEC) to expand FINRA rules 2030 and 4580 to cover capital
acquisition brokers (CAB). A firm meeting the statutory definition
of a CAB and electing to be governed by the FINRA rule set would be
subject to the new FINRA pay-to-play rules effective August 20. If
approved, the effective date will be no later than 30 days after
FINRA’s announcement of SEC approval.
[The details for this article have been updated on
our website in the Federal Pay-to-play section of the Procurement
Lobbying Compliance Laws.]
Summary of Changes UPDATE
Note Recent Changes to
Michael Beckett, Esq., Research
Gov. Jerry Brown signed Assembly Bill 187 and Assembly Bill 551,
amending both lobbying and campaign finance laws. Assembly Bill 187
requires a committee to file a report within 10 business days of
making a contribution or independent expenditure aggregating $5,000
or more to support or oppose the qualification of a single local
initiative or referendum ballot measure. Assembly Bill 551 extends
revolving door restrictions to independent contractors of a local
government agency or a public agency who are appearing or
communicating on behalf of that agency. Both bills are effective
January 1, 2018.
The Fair Political Practices Commission (FPPC) voted to reverse a
long-standing rule that limited how much money politicians and their
committees can give to a candidate-controlled recall committee. The
vote reversed a 2002 FPPC opinion that limited politician
contributions to candidate-controlled recall committees to $4,400.
The rule change now allows politicians to give unlimited amounts of
money to help fight the recall of Democratic state Sen. Josh Newman.
Chair Jodi Remke was the only dissenting commissioner in the 3-1
FEDERAL: The head of the Office of Government Ethics (OGE) has indicated
anonymous contributions to legal defense funds of federal employees
are prohibited. OGE Acting Director David Apol stated the policy has
not changed, even though the note on a guidance document was changed
earlier this year. In 1993, the OGE issued an opinion letter holding
a fund established for the benefit of a government employee to pay
the employee’s legal expenses, while administered by a person having
no connection with the employee's official duties, could accept
anonymous contributions. The OGE guidance letter is not legally
binding. A one-sentence note was added to the top of the document in
May signaling the OGE’s long standing internal practice had diverged
from the formal guidance. Subsequently, the document's note was
changed to read, “NOTE: THE PRIMARY FINDING ABOUT THE LIMITED
APPLICABILITY OF 18 U.S.C. §209 TO PAYMENTS MADE FOR AN EMPLOYEE’S
LEGAL EXPENSES HAS NOT CHANGED. HOWEVER, BECAUSE EACH ANALYSIS IS
VERY FACT-SPECIFIC, AGENCY ETHICS OFFICIALS SHOULD CONSULT WITH
THEIR OGE DESK OFFICER BEFORE ADVISING EMPLOYEES ON THIS TOPIC.”
Critics of the change in May argued the note opened the door to
lobbyists and other prohibited sources funding legal defenses for
employees currently working in the White House.
On September 8, Secretary of State Maggie Toulouse Oliver adopted
campaign finance rules after three months of public hearings and
reviews. Oliver introduced the rules to clarify New Mexico’s
Campaign Reporting Act (CRA) and bring the CRA into constitutional
compliance. Under the new rules, independent expenditure groups will
be required to disclose their significant donors if they expend on
any single political advertisement more than $2,500 for a statewide
race or more than $1,000 on any non-statewide race. The rules will
be effective October 10.
NEW YORK: The New York Joint Commission on Public Ethics (JCOPE) issued a
call to concerned individuals for comments regarding the Notice of
Proposed Rulemakings for Comprehensive Lobbying regulations and
Source of Funding Disclosure Regulations. The comprehensive
regulations expand the definition of lobbying to include indirect
lobbying, such as setting up a meeting between a legislator and a
lobbyist. According to JCOPE, the purpose of the proposed
regulations is to fully incorporate existing guidelines and decades
of advisory opinions. The hearing will be held on Monday, October
30, in Hearing Room A of the Legislative Office Building. All public
comments must be submitted by 5 p.m. on October 6 to Carol Quinn,
deputy director of lobbying disclosure, at
Legislation We Are
At any given time, more than 1,000
legislative bills, which can affect how you do business as a government
affairs professional, are being discussed in federal, state, and local
jurisdictions. These bills are summarized in State and Federal
Communications' online Compliance Laws for Government Relations
Professionals. They can be found on a
jurisdiction's home page.
Summaries of major bills are also included
in the monthly Summary of Changes email update sent to all clients. The chart below shows the
number of bills we are tracking in regard to lobbying laws, political
contributions, and procurement lobbying.
Number of Jurisdictions
W E B S I T E
T I P
States continue to expand definitions of lobbying and
what it means to be a lobbyist for purposes of
registration and reporting requirements. State and
Federal Communications has a quick reference chart in
the Lobbying Compliance Laws publication dedicated to
cataloging the definitions of lobbying and lobbyist in
the states. The chart can be accessed by clicking the
three horizontal bars on the right side of the red
Lobbying Compliance Laws button and selecting
"Definitions of Lobbying” in the pop-up menu. Be sure to
reference these charts before you decide what activities
will be a part of your next advocacy campaign.
Jurisdiction Added to our
of municipalities and regional governments our research
associates track continues to grow. We now cover almost
300 municipalities and local governments. This is part of a continuous effort to better serve the
needs of our clients.
This month's new jurisdiction is:
Federal Communications’ Experts Answer Your Questions
is your chance to “Ask the Experts” at State and Federal
Communications, Inc. Send your questions to
(Of course, we have always been available to answer
questions from clients that are specific to your needs, and
we encourage you to continue to call or email us with
questions about your particular company or organization. As
always, we will confidentially and directly provide answers
or information you need.) Our replies are not legal advice,
just our analysis of laws, rules, and regulations.
Help! My company is a
lobbyist employer, and we forgot to include a reportable
expenditure on our last report.
Will we be fined?
will not issue a registered lobbyist or employer a fine for
amending a disclosure report. However, as a good rule of
thumb, all amendments should be filed as soon as practicable
after the missing information has been discovered.
Sometimes, depending on the jurisdiction and the nature of
the missed expenditure, your company may be asked to submit
a formal or informal explanation for the amendment, either
at the time of the filing or once the filing has been
Read the full article here
information, be sure to check out the Reports Required and
Penalties and Remedies sections of the Lobbying Compliance
Laws online publication for any jurisdiction. Please feel
free to contact us if you have any questions.
Click here to read
ALL Ask the Experts articles in full
fill out the small form to gain access to all articles free!
Myra A. Cottrill, Esq., Client Specialist
State and Federal
Communications, Inc. Scrapbook
There was a lot to see and hear at this year's PAC
State and Local Government Relations Conference.
Thanks for a great conference.
Thank you Judith
Zimomra for this beautiful piece for my office.
Jennifer Hoerig Cline of
Blessed are the Peacemakers stopped
by this afternoon. I wasn't prepared to put it up
immediately but it will be prominently displayed.
Plan to say hello at future
events where State and Federal
will be attending and/or
speaking regarding compliance issues.
October 5 - 8, 2017
Hellenic Society Heritage Weekend
Las Vegas, NV
October 5, 2017
Speed Vendoring & Networking
October 5, 2017
Changing the Face of International Journalism: An
Evening with Global Press
October 10, 2017
Professional Women in Advocacy: Balance is Bullsh**
October 10, 2017
October 11, 2017
WASRG 2017 Symposium
October 12, 2017
Managing Stress and Burnout Development Event
October 11-13, 2017
Public Affairs Council Fall Meeting
San Francisco, CA
October 24, 2017
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