Gov. Asa Hutchinson stated he is going to call a special session after the ongoing fiscal session concludes.

The special session will address pharmacy benefit managers’ low reimbursement rates to pharmacists and a current law preventing Arkansas from qualifying for certain federal highway funds.

Hutchinson has yet to set a date for the special session.

Campaign Finance

Arizona: “Judge Tosses Bid by Corporation Commissioner Burns to Enforce Subpoena Against APS” by Howard Fischer (Capitol Media Services) for Arizona Daily Star

West Virginia: “Judge Grants Government’s Motion to Dismiss Charges Against Morgantown Coal Exec” by Matt Harvey for Charleston Gazette-Mail

Elections

New York: “State Officials Say They Are Told Too Little About Election Threats” by Michael Wines for New York Times

Ethics

California: “Ethics Chair Resigns Over Failure to Place Campaign Finance Reforms on June Ballot” by Joshua Sabatini for San Francisco Examiner

Maryland: “New Report Describes Scenes of Sexual Harassment in Maryland General Assembly” by Erin Cox for Baltimore Sun

Lobbying

National: “Former Skadden Lawyer Pleads Guilty to Lying in Russia Investigation” by Eileen Sullivan and Kenneth Vogel for New York Times

North Carolina: “Conspiracy Theories, Criminal Investigations Plentiful in NC Bail Bonds World” by Travis Fain for WRAL

South Carolina: “S.C. Lawmakers Call for Law Enforcement Probe of Bogus Pro-Utility Emails” by Andrew Brown for Charleston Post and Courier

Redistricting

Pennsylvania: “Pa. Supreme Court Releases New Congressional Map” by Jonathan Lai and Liz Navratil for Pittsburgh Post-Gazette

Gov. Asa Hutchinson has scheduled a special election on August 14, 2018, to fill the state Senate District 8 seat vacated by Jake Files.

The primary will be May 22 and a primary runoff, if necessary, on June 19.

Files resigned after pleading guilty to charges of wire fraud, bank fraud, and money laundering.

Campaign Finance

Alabama: “Former Alabama House Majority Leader Sentenced to 3 Months in Prison” by Mike Cason for AL.com

Elections

Maine: “GOP Leader Jason Savage Says Controversial Website Is His, But Denies Ties to Party” by Steve Collins for Lewiston Sun Journal

Ethics

National: “Trump Administration Agrees to Post Visitor Logs for Some White House Offices” by Josh Gerstein for Politico

National: “Former Trump Aide Richard Gates to Plead Guilty; Agrees to Testify Against Manafort, Sources Say” by David Willman for Los Angeles Times

Idaho: “Idaho Lawmakers Agree to Hear New Statewide Conflict-of-Interest Disclosure Bill” by Betsy Russell for Spokane Spokesman-Review

New Mexico: “Ex-Sen. Griego Gets 18 Months, $47,000 in Fines” by Dan Boyd for Albuquerque Journal

New York: “How Albany Really Works: Cuomo loyalist exposes pay-to-play culture” by Shane Goldmacher for New York Times

Oregon: “John Kitzhaber Could Face Up to $50,000 in Fines for Ethics Violations” by Hillary Borrud for Portland Oregonian

South Carolina: “After Quinn’s Probation, Shock, Dismay, Joy and Wondering: What’s next?” by John Monk for The State

A special session of the Louisiana Legislature on the state’s budget troubles convenes February 19 at 4 p.m., and centers on closing the budget gap by replacing expiring taxes or allowing deep cuts across agencies statewide.

Gov. John Bel Edwards called the session hoping to convince the Republican led Legislature to renew expiring taxes to fix the deficit.

Taxes cannot be considered during a regular session of the legislature, requiring a special session to address and propose taxation legislation.

The special session must adjourn by March 7 at midnight, five days ahead of the regularly schedule legislative session set to convene March 12.

Texas Gov. Greg Abbott announced on February 16 that a special election will take place for House District 13 on May 5 to replace state Rep. Leighton Schubert.

Schubert resigned on February 4 to do legal work for Blinn College.

Early voting for this election will begin on April 23.

Pictured: Former Rep. Leighton Schubert

Campaign Finance

National: “Trump’s Inaugural Committee Paid $26 Million to Firm of First Lady’s Adviser” by Maggie Haberman and Kenneth Vogel for New York Times

New York: “Citizens United Can’t Hide Donor Lists from NY” by Nick Rummell for Courthouse News Service

Texas: “Austinites May Soon Be Able to Directly Support Candidates Through Voucher Donations” by Jessi Devenyns for Austin Monitor

Elections

National: “Mueller Charges 13 Russian Nationals with Interfering in 2016 Election” by Louis Nelson for Politico

Ethics

National: “Kelli Ward Touts Endorsement from Fake-News Site” by Jason Schwartz and Shawn Musgrave for Politico

District of Columbia: “D.C. Council Member Proposed Bill That Would Have Helped Firm That Offered His Son an Internship” by Fenit Nirappil for Washington Post

Tennessee: “How $225,000 Can Help Secure a Pollution Loophole at Trump’s E.P.A.” by Eric Lipton for New York Times

Lobbying

National: “K Street Reinvents Itself in the Era of Trump” by Kate Ackley for Roll Call

Delaware: “Lobbyists No Longer Have a Dedicated Room in Legislative Hall” by Scott Gross for Wilmington News Journal

Coming to you again with the fastest 2 1/2 minutes in campaign finance, lobbying and political compliance news you can use in this weeks video digest.

The New Mexico Legislature adjourned sine die on February 15.

Bills that have passed both chambers include Senate Bill 50, which creates stricter contribution policies made via the internet by a credit card or a debit card to a candidate or PAC, and Senate Bill 67, which changes lobbying reports to also include the cumulative total of all individual expenditures of less than $100 made or incurred by the employer or lobbyist.

The governor has 20 days from adjournment to sign any bills passed by the Legislature, otherwise they are pocket vetoed.

National:

Sinclair Broadcast Group Solicits Its News Directors for Its Political Fundraising Efforts
Chicago Tribune – Paul Fahri (Washington Post | Published: 2/12/2018

Sinclair Broadcast Group is asking its executives – including the news directors at its many television stations – to contribute to its PAC. Sinclair is the largest station owner in the country, with 173 outlets. Major TV news outlets such as ABC, CBS, and CNN say they prohibit their journalists from contributing to political parties, candidates, or causes, and do not ask them to chip in to the company’s PAC. By contributing money to Sinclair’s lobbying efforts, news directors would be tacitly supporting the company’s agenda, potentially raising doubts about their stations’ impartiality and independence when reporting on controversial issues, said Lewis Friedland, a journalism professor at the University of Wisconsin.

Federal:

VA Chief Shulkin, Staff Misled Ethics Officials about European Trip, Report Finds
Tampa Bay Times – Lisa Rein (Washington Post) | Published: 2/14/2018

Veterans Affairs Secretary David Shulkin, traveling on what he said was an “essential” trip to London and Copenhagen, improperly accepted tickets to the Wimbledon tennis tournament and brought his wife at taxpayer expense, according to an inspector general’s report. The scathing report says Shulkin and several top staff members made false and misleading statements both to justify the $122,334 trip and to defend it afterward. His chief of staff, Vivieca Wright Simpson, doctored an email to convince an agency ethics lawyer to approve a $4,300 flight for Shulkin’s wife, the report found.

From the States and Municipalities:

Alaska – Group Picks Alaska to Challenge Unlimited Campaign Donations
Bristol Herald-Courier – Becky Bohrer (Associated Press) | Published: 2/7/2018

A national group is focusing on Alaska in a bid to get the U.S. Supreme Court to revisit its Citizen United ruling. The decision paved the way for corporations and unions to make unlimited independent expenditures, and in Alaska, was viewed by state officials as likely rendering several provisions of state law prohibiting or limiting certain contributions unconstitutional. Equal Citizens wants to put that interpretation to the test but it could face an uphill battle. Lawrence Lessig, founder of Equal Citizens, said his group believes the Alaska Public Offices Commission sided with “what is a kind of conventional view among lawyers” that his group believes is incorrect. “What we’re trying to seek is clarification that the limits can be enforced,” Lessig said.

Arkansas – Former Arkansas Legislator Eddie Cooper Pleads Guilty to Embezzlement
KUAR – Wesley Brown | Published: 2/13/2018

Former Arkansas Rep. Eddie Wayne Cooper pleaded guilty to conspiring to embezzle more than $4 million from a nonprofit. Cooper pleaded guilty to one count of conspiracy to embezzle from Preferred Family Healthcare. Nonprofits that receive federal funds, such as Medicaid, are barred from direct lobbying efforts. From 2011 to 2017, Cooper received at least $387,501 from an Arkansas lobbying firm that received $3 million from Preferred Family. The nonprofit’s financial records show its payments were for “consulting services” when the real purpose of the payments was for lobbying and political campaign contributions, plea documents say. Cooper also received at least $63,000 in kickbacks in the conspiracy, according to his plea.

California – #MeToo Movement Lawmaker Investigated for Sexual Misconduct Allegations
Politico – Carla Marinucci | Published: 2/8/2018

A day after sexual harassment accusations against her became public, Assemblyperson Cristina Garcia said she is taking a voluntary, unpaid leave of absence while the allegations are investigated. But Garcia denied trying to grope a legislative aide and a lobbyist. Garcia is an outspoken leader of the #MeToo movement in California. She has called for male lawmakers accused of sexual harassment, assault, and misconduct to step down over the last several months and refused to work with them. She was one of 147 women who signed a letter drawing attention to problems at the Capitol in October.

Colorado – If You Can Pay $250, Colorado Lawmakers May Let You Skip Security at State Capitol
Denver Post – John Frank | Published: 2/8/2018

Legislation in Colorado would allow anyone to pay a $250 fee and submit fingerprints for a background check to obtain an identification card that allows entry to the Capitol and legislative buildings without going through a security screening. Senate President Kevin Grantham supports the measure, but it is expected to face opposition in the Democratic-led House, where leaders point to the Colorado State Patrol’s problems with the bill. A similar measure that applied only to lobbyists failed in 2010 after it became known as the “Lexus lane for lobbyists” bill. But the sponsors of the new bill dismiss questions about special access because any member of the public could apply for the card.

Maryland – Wife of 80-Year-Old State Senator Accompanies Him to Work Each Day. Some Say She Assists Him with Duties.
Washington Post – Ovetta Wiggins | Published: 2/11/2018

Since the January 10 start of Maryland’s legislative session, state Sen. Ulysses Currie’s wife has sat an arm’s length away from him in a reserved seat, Senate floor credentials dangling from a lanyard around her neck. Shirley Gravely-Currie’s presence has drawn attention not only to her husband’s diminishing health but also to the graying of the state Legislature and the delicate question of how long is too long to serve. As Americans live and work longer, it has become more common to see aging lawmakers on Capitol Hill or in statehouses across the country.

North Dakota – Amid Backlash, Gov. Burgum Reimburses Xcel Energy $37,000 for Super Bowl Tickets
Grand Forks Herald – John Hageman | Published: 2/7/2018

North Dakota Gov. Doug Burgum said he reimbursed Xcel Energy $37,000 for Super Bowl tickets in an effort to “eliminate even the perception of any conflict.” Xcel said the governor met with Chief Executive Officer Ben Fowke and Chris Clark, president of Xcel Energy-Minnesota, North Dakota, and South Dakota, along with other company leaders in a suite at US Bank Stadium. Meanwhile, Burgum’s legal counsel is crafting an ethics policy covering North Dakota’s chief executive and his staff.

Oklahoma – New Lobbying Rule Gets Mixed Review from Lawmakers and Those Who Try to Influence Them
Tulsa World – Barbara Hoberock | Published: 2/11/2018

A proposed rule that would require elected officials in Oklahoma to wait two years before working as lobbyists is getting mixed reviews. The Oklahoma Ethics Commission approved the rule. It will take effect if the Legislature does not take any action by the end of the session. The proposal comes as more lawmakers are lobbying their former colleagues as a way to make a living after their terms have ended. Ethics Commission Executive Director Ashley Kemp said the rule would prohibit policymakers from using their positions to benefit themselves.

Oregon – Oregon Ethics Watchdog Says John Kitzhaber Misused His Office for Personal Gain
Portland Oregonian – Hillary Borrud | Published: 2/14/2018

Former Oregon Gov. John Kitzhaber allegedly violated state ethics laws 11 times during his third and fourth terms, with the violations potentially carrying fines up to $55,000. An investigative report by the Oregon Government Ethics Commission staff outlines a suite of alleged violations. The commission is poised to vote on whether it agrees with its staff’s findings. According to the report, Kitzhaber used his office for financial gain, or to avoid financial problems, for former First Lady Cylvia Hayes and her consulting firm, 3EStrategies. Kitzhaber failed to follow laws to handle “potential conflicts-of-interest” when he took actions that may have impacted the consulting firm’s interests, ethics officials said.

Pennsylvania – Lobbyists Trying to Influence PA. State Government Will Have to Pay More If They Break the Rules
PennLive.com – Jan Murphy | Published: 2/14/2018

Pennsylvania Gov. Tom Wolf signed House Bill 1175, which requires lobbying disclosure reports to be filed electronically with the Pennsylvania Department of State. The new law also increases the daily maximum penalty for not filing reports by the quarterly deadline; doubles the maximum fine for not filing by the deadline; and requires the department to post all lobbying disclosure reports online within seven days of receiving the filing. The new penalties take effect immediately and the electronic filing requirement takes effect in 60 days.

South Carolina – Former S.C. House Majority Leader Rick Quinn Gets Probation in Misconduct Case
Charleston Post and Courier – Andrew Knapp and Glenn Smith | Published: 2/12/2018

Former South Carolina Rep. Rick Quinn will serve two years on probation instead of prison time after he pleaded guilty to misconduct in office. Circuit Court Judge Carmen Mullen also ordered Quinn to pay a $1,000 fine and perform 500 hours of community service. He is the third Republican lawmaker convicted in a statehouse corruption investigation. Mullen handed down the penalty over the objections of special prosecutor David Pascoe, who had questioned the validity of Quinn’s guilty plea while pushing for the former House majority leader to serve a year behind bars. Prosecutors accused Quinn of taking $4 million in unreported money from lobbyists. Quinn insisted his only crime was failing to report a lobbyist’s payments to his father’s political consulting firm.

Texas – Anti-Abortion Group Deletes State Senator’s Video After Questions of Legality Raised
Texas Tribune – Patrick Svitek and Jay Root | Published: 2/7/2018

An influential anti-abortion group abruptly deleted a Twitter video ad featuring Texas Sen. Bob Hall’s voice after reporters began asking if its paid messages adhered to laws restricting the use of corporate “dark money.” Texas Right to Life Committee also filed last-minute corrections to its December campaign finance reports indicating it had “inadvertently” attributed about $38,000 in radio ads to its corporate entity instead of its PAC. Texas Right to Life Committee is a politically active non-profit corporation that does not have to disclose its donors.

Utah – Taxpayers Reimbursed Former Lawmaker for Rooms Linked to Prostitution Allegations
St. George Daily Spectrum – David DeMille | Published: 2/12/2018

Taxpayer funds were used to pay for at least two hotel rooms that a former state lawmaker is alleged to have used to meet a prostitute last year, according to records found by a Utah House official. Rep. Jon Stanard resigned two days before British tabloid The Daily Mail published an article accusing him of meeting with the prostitute, and included screen shots of what appear to be text exchanges between the two setting up appointments and naming a price. Receipts from expense reports show Stanard was reimbursed about $225 for hotel room stays in Salt Lake City at two separate hotels in June and August of last year while he was attending legislative meetings, at locations and on dates that correspond with the text messages included in the article.

West Virginia – Democratic Candidate Turns House of Delegates Eviction Into $45k Fundraising Haul
Charleston Gazette-Mail – Jake Zuckerman | Published: 2/13/2018

A candidate for the West Virginia House of Delegates was cut off and removed from a hearing on oil and gas drilling on private land. Lissa Lucas spoke about her opposition to the bill, and listed donations that state lawmakers have received from oil and gas companies. She was told during her testimony that she should not be making “personal comments” regarding members of the House Judiciary Committee. “I have to keep this short because the public only gets a minute and 45 seconds while lobbyists can throw a gala at the Marriott with whiskey and wine and talk for hours to the delegates,” Lucas added. In a twist of fate, rallying against corporate money in politics might have made Lucas the most effective fundraiser in the House this election cycle.

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.

The North Carolina General Assembly adjourned its reconvened session on Tuesday, February 13. Lawmakers passed a single piece of legislation, House Bill 90.

The bill reduces class-sizes for kindergarten through third grade in addition to changing the makeup of the elections and ethics board.

Last month, the North Carolina Supreme Court struck down the board, which was supposed to be comprised of four Democrats and four Republicans.

The bill would add a ninth board member who could be neither a Democrat nor a Republican.

Gov. Cooper has 30 days to sign, veto, or let the bill become law without his signature.

The Oklahoma Ethics Commission recently submitted its 2018 Promulgated Ethics Rules to the governor and both houses of the Legislature.

Proposed changes include, but are not limited to, a revolving door provision prohibiting elected state officers and chief administrative officers from lobbying for two years following their terms of office or service, new rules regarding the due dates of electronic filings, and revised reporting periods for candidate election reports and independent expenditure reports.

If the Legislature chooses not to reject the proposed rule changes, all amendments will be effective upon adjournment sine die of the 2018 regular legislative session.

Campaign Finance

National: “Sinclair Broadcast Group Solicits Its News Directors for Its Political Fundraising Efforts” by Paul Fahri (Washington Post) for Chicago Tribune

National: “I Approved This Facebook Message – But You Don’t Know That” by Jennifer Valentino-DeVries for ProPublica

Arizona: “House Passes Measure to Keep Cities From Banning ‘Dark Money’” by Howard Fischer (Capitol Media Services) for Arizona Capitol Times

Massachusetts: “OCPF Transparency Rules Could Discourage Donations, Critics Say” by Katie Lannan (State House News Service) for MassLive.com

Missouri: “Former Missouri State Senator Accused of Campaign Irregularities Loses Fight to Avoid $229K Fine” by Jack Suntrup for St. Louis Post-Dispatch

West Virginia: “Democratic Candidate Turns House of Delegates Eviction Into $45k Fundraising Haul” by Jake Zuckerman for Charleston Gazette-Mail

Ethics

Utah: “Taxpayers Reimbursed Former Lawmaker for Rooms Linked to Prostitution Allegations” by David DeMille for St. George Daily Spectrum

Legislative Issues

National: “Judges Say Throw Out the Map. Lawmakers Say Throw Out the Judges.” by Michael Wines for New York Times

Maryland: “Wife of 80-Year-Old State Senator Accompanies Him to Work Each Day. Some Say She Assists Him with Duties.” by Ovetta Wiggins for Washington Post

Lobbying

National: “Exiting Lawmakers Put in Calls to K Street” by Megan Wilson for The Hill

Arkansas: “Former Arkansas Legislator Eddie Cooper Pleads Guilty to Embezzlement” by Wesley Brown for KUAR

Gov. Tom Wolf signed House Bill 1175 into law, amending filing requirements and penalties for lobbyists.

The new law requires electronic filing of lobbying disclosures and increases the monetary penalties assessed for late reports.

Fines between $50 and $200 per day, depending on the number of days late, can now be levied and the maximum penalty increases from $2,000 to $4,000.

These new penalties take effect immediately and the electronic filing requirement takes effect in 60 days.