The Texas Legislature convened a special session Tuesday, July 18, 2017. Gov. Greg Abbott selected 20 bills for the agenda to be discussed by lawmakers during the session.

The priority for the session is sunset legislation to allow select state agencies to continue operating.

Among the other subjects on the agenda are bathroom privacy, property tax, and multiple education issues.

The special session comes a week after Gov. Abbott announced his bid for a second term.

Lobbying

South Dakota: “Revolving Door Rarely Swings for Lawmakers Returning as Lobbyists” by Dana Ferguson for Sioux Falls Argus Leader

Campaign Finance

Florida: “Federal Election Commission Sues David Rivera Over Secret 2012 Campaign Cash” by Patricia Mazzei and David Smiley for Miami Herald

Washington: “Liberal Think Tank in Seattle Ordered to Pay $30,000-Plus in Campaign-Disclosure Fines” by Joseph O’Sullivan for Seattle Times

Ethics

“Eighth Person in Trump Tower Meeting Is Identified” by Rosalind Helderman and Tom Hamburger for Washington Post

“What Happens to Local News When There Is No Local Media to Cover It?” by Paul Farhi for Washington Post

Delaware: “City Removes Newly Appointed Ethics Commissioner” by Christina Jedra for Wilmington News Journal

Illinois: “IG Alleges Preferential Parking Scheme on Streets Near United Center” by Fran Spielman for Chicago Sun-Times

Kentucky: “Ethics Panel: Beshear shouldn’t investigate Bevin if he might run for governor” by Daniel Desrochers for Lexington Herald-Leader

North Carolina: “Former Rockingham County DA Pleads Guilty to Role in Wife-Swap Hiring Scheme” by Anne Blythe for Raleigh News and Observer

Elections

“As Party Drifts Left, Pragmatic Democratic Governors Have Eye on White House” by Jonathan Martin for New York Times

Alaska’s second special session adjourned July 15 with lawmakers ending the oil tax credit program.

The Legislature may be called back into another special session soon to deal with the unfinished business of the capital budget and deficit reduction measures.

Gov. Bill Walker said in a press conference he is waiting for legislative leaders to present a compromise on the budget before he will call another costly special session.

On July 17, the National Institute for Lobbying and Ethics (NILE) called on the U.S. Congress and the U.S. Government Accountability Office to review current lobbying laws with the aim of strengthening any deficiencies in the rules. NILE is a professional organization for governmental affairs professionals working at the federal, state, and local level.

“Continued news reports about the deregistering of lobbyists and ‘shadow lobbying’ to skirt past Obama and Trump Administration rules has greatly concerned the government relations profession,” NILE President Paul A. Miller stated in the organization’s press release. Miller continued, “Changes do need to be made to the current [Lobbying Disclosure Act] if we are to keep pace with how ‘lobbying’ is conducted today.”

Earlier this year, NILE issued wide-ranging recommendations for lobbying law reform on the federal level.

Lobbying

Colorado: “What Does $80 Million Buy Oil and Gas Interests? Voter Profiles, Door Knocking and Influence at Local and Statewide Levels” by Christopher Osher for Denver Post

Florida: “Corey’s Ties to Others in FBI Probe Run Deep” by Jeffrey Schweers for Tallahassee Democrat

New York: “Airbnb Fights Back Against Lobby Groups, Demands Info on Their Funding Sources” by Kenneth Lovett for New York Daily News

Campaign Finance

“Officials Clash at FEC Over Confronting Russian Influence in 2018 Elections” by Lisa Hagen for The Hill

Ethics

“Outgoing Ethics Chief: U.S. Is ‘Close to a Laughingstock’” by Eric Lipton and Nicholas Fandos for New York Times

“Trump Campaign Is Sued Over Leaked Emails Linked to Russians” by Charlie Savage for New York Times

“State Department Spent More Than $15,000 for Rooms at New Trump Hotel in Vancouver” by Amy Brittain for Washington Post

“Break-In Reported at Office of GOP Senator Considered Swing Vote in Health-Care Bill” by Amy Wang and Ed O’Keefe for Washington Post

Legislative Issues

North Carolina: “Rev. Barber Remains Banned from Legislative Building; Some Protesters Can Return If Invited” by Anne Blythe for Raleigh News and Observer

Gov. Kay Ivey banned lobbyists from executive branch appointments in an executive order dated July 13, 2017.

The order states public officials or public employees of the executive branch are prohibited from appointing a registered lobbyist to any executive agency. Any lobbyist currently serving in a position within the executive branch may finish their current term.

The press release and executive order can be found on the Governors website.

Home-sharing website Airbnb is planning to file a formal complaint to call on the Joint Commission on Public Ethics or the state Attorney General’s Office to investigate the ShareBetter coalition, which has spent money to run anti-Airbnb ads, organized lobby days, and established a website calling for grassroots action.

The lawsuit accuses ShareBetter of failing to register for lobbying activities and to file bimonthly and semiannual lobbying reports, among other offenses. However, sources close to ShareBetter say the three entities that make up the bulk of the funding are already registered as lobbyists and have disclosed their activities.

In response to Airbnb’s lawsuit, ShareBetter plans to file its own complaints against Airbnb for failing to report lobbying activities at both the state and city levels.

Campaign Finance

Lawmakers Can Use Campaign Funds for Home Security, F.E.C. Says by Nicholas Fandos for New York Times

Maine: Disputes Over Documents Threaten to Slow Casino Campaign Probe by Steve Mistler for Maine Public Radio

South Carolina: No Race? No Problem. SC Lieutenant Governor OK’d to Raise Money by Jamie Self for The State

Ethics

Walter Shaub’s Ethics Recommendations for the Government by Nicholas Fandos and Eric Lipton for New York Times

Questions Grow Over Kushner’s Security Clearances by Katie Bo Williams and Jordan Fabian for The Hill

Russian-American Lobbyist Attended Meeting Organized by Trump’s Son by Eileen Sullivan, Kenneth Vogel, Adam Goldman, and Jo Becker for New York Times

Connecticut: Ethics Commissioner Resigns After Arrest for Soliciting Prostitute by Brian Lockhart for Connecticut Post

Oregon: Oregon Ethics Commission Votes to Proceed with Investigations of Kitzhaber, Hayes by Hillary Borrud for Portland Oregonian

Lobbying

Alabama: Gov. Kay Ivey Bans Lobbyists from Executive Branch Appointments by Mike Cason for AL.com

Massachusetts: Massachusetts Budget Chair Dempsey Leaving for Lobbying Firm by Bob Salsberg (Associated Press) for U.S. News & World Report

Hawaii Senate President Ron Kouchi and House Speaker Scott Saiki recently sent a memorandum to the Hawaii Legislature providing notice of a tentatively scheduled special legislative session.

Subject to final confirmation and an agreement on the proposed language for bills to be discussed, the leadership asked all lawmakers to be in Hawaii for a legislative session from August 28 to September 1, 2017.

The purpose of the special session will be to create a solution to fund the Honolulu Rail Transit Project.

A special election for the Louisiana State Treasurer is set for October 14, 2017. Former treasurer John Kennedy vacated the position when he was elected to the U.S. Senate in 2016.

The race to fill the seat marks the first time the treasurer’s office has not had an incumbent running since Kennedy was elected 17 years ago.

Five contenders filed this week when the candidate registration period opened. The special election is creating an unforeseen expense for the state, costing taxpayers nearly $5 million, as Louisiana had no other statewide races scheduled this year.

The office is being run by Kennedy’s top assistant until the fall election.

Before the week is over, be sure to catch up on any state government and ethics news you may have missed in this week’s video digest!

National:

Blue Cities Want to Make Their Own Rules. Red States Won’t Let Them.
New York Times – Emily Badger | Published: 7/6/2017

In the last few years, Republican-controlled state Legislatures have intensified the use of what are known as pre-emption laws, to block towns and cities from adopting measures favored by the left. The states are not merely overruling local laws; they have walled off whole new realms where local governments are not allowed to govern at all. Several states are now threatening to withhold resources from communities that defy them and to hold their elected officials legally and financially liable. There is disagreement on who started the fight: states in stripping municipal power, or cities in seizing new roles that were not theirs to begin with.

Federal:

Is Donald Trump Jr.’s ‘I Love It’ Email a Smoking Gun or a Distraction?
Washington Post – Marc Fisher and David Nakamura | Published: 7/12/2017

When Donald Trump Jr. said “I love it” to the prospect of obtaining damaging information from friendly Russians about Hillary Clinton in June of last year, did that constitute a smoking gun? In one America, the answer was a pretty solid yes. Many media outlets and some Democrats straight-out declared the email the “smoking gun” in the investigation into whether the Trump campaign colluded with Russia to take down the Clinton candidacy. Many other news organizations hedged a bit, attaching a question mark to the term. But to supporters of President Trump, the gun was not smoking, it was just more of the same noise that has been cluttering up this presidency since its inception.

The Deep Industry Ties of Trump’s Deregulation Teams
New York Times – Danielle Ivory and Robert Faturechi | Published: 7/11/2017

President Trump entered office pledging to cut red tape, and within weeks he ordered his administration to assemble teams to aggressively scale back government regulations. But the effort is being conducted in large part out of public view and often by political appointees with deep industry ties and potential conflicts-of-interest. Most government agencies have declined to disclose information about their deregulation teams. But The New York Times and ProPublica identified 71 appointees, including 28 with potential conflicts. Some appointees are reviewing rules their previous employers sought to weaken or end, and at least two may be positioned to profit if certain regulations are undone.

Washington Firm Discloses Lobbying Senior Trump Officials on Macedonia
BuzzFeed News – John Hudson | Published: 7/6/2017

Mercury Public Affairs is providing new details about a mysterious U.S. Justice Department filing it made in February for lobbying work related to Macedonia. The firm says it contacted aides to senior Trump administration officials on issues related to Macedonia during a 12-day period in February. Mercury never received payment for the work, according to the document. The Foreign Agents Registration Act form is a retroactive update to a February filing that gained attention after two reports pointed out Mercury did not disclose a foreign agent in the filing. The new form still does not list a foreign agent – it simply lists the Libertas Foundation of which little is known, as the entity the firm is working on behalf of.

From the States and Municipalities:

California: California Lawmakers Want Data on Lobbyists’ Race, Sexual Orientation
Sacramento Bee – Taryn Luna | Published: 7/10/2017

Leaders of the Legislative Asian Pacific Islander, Black, Jewish, Latino, LGBT, and Women’s caucuses in the California Legislature asked 400 lobbying firms, associations, and principals to provide them with the race, ethnicity, gender, and openly gay or lesbian orientation of their employees. Lawmakers said the request is intended to expand the conversation about cultural diversity in the Capitol workforce. Some lobbyists applauded the move for forcing a male-dominated industry to think about its hiring practices. Others expressed concern about how the data could be used against them if their employees are not diverse enough for the lawmakers.

Delaware: Wilmington Ethics Commission Quietly Disbanded under Mayor Williams
Wilmington News Journal – Christina Jedra | Published: 7/12/2017

The Wilmington Ethics Commission quietly dissolved after former Mayor Dennis Williams’ administration allowed members’ terms to expire. City officials have “no idea” how this happened, said Gary Fullman, who was Williams’ chief of staff. It appears sometime after Mayor Mike Purzycki took office in January, his administration became aware of the situation. After being told a story would be published by The Wilmington News Journal on the matter, the city issued a press release saying the board had reformed, announcing five new members and two returning. The members will need to be confirmed by the city council.

District of Columbia: D.C. Business Groups Fight Proposed Pay-to-Play Regulations
Washington Post – Peter Jamison | Published: 7/10/2017

Representatives of District of Columbia business organizations argued against proposed limits on political donations by companies that do business with the city, saying widespread suspicions that contractors have undue influence are unwarranted. Opponents of the “pay-to-play” regulations being mulled by council members relied on an argument long favored by critics of campaign finance laws: that proven instances of elected officials making decisions based on campaign donations are rare, if not nonexistent.

Hawaii: Can Revamped Honolulu Ethics Commission Rebuild Its Credibility?
Honolulu Civil Beat – Anita Hofschneider | Published: 7/13/2017

Honolulu Ethics Commission Executive Director Jan Yamane must work to rebuild an agency that lost its bite in recent years due to internal strife and outside interference from Mayor Kirk Caldwell’s administration. The commission has been relatively quiet since Yamane was hired in August to replace Chuck Totto, who had been the agency’s executive director for nearly 16 years. Yamane said the commission now has a backlog of 40 to 50 complaints, on top of about 60 pending investigations. Yamane has been busy trying to get a handle on the hefty workload and figure out how the commission can be more efficient and effective. There are about 10,000 city employees and only five ethics commission staffers, only three of which can perform investigations.

Iowa: Trial Begins in Lawsuit Alleging Toxic ‘Boys’ Club’ at Iowa Statehouse
Des Moines Register – Grant Rodgers | Published: 7/9/2017

A jury will hear testimony in a lawsuit that claims the Iowa Capitol sheltered a toxic “boys’ club” where some male senators and their staffers spoke freely about sex and women’s bodies with few or no consequences. Kirsten Anderson, a former communications director for the Senate Republican caucus, brought the lawsuit after being fired in May 2013, just seven hours after giving her boss a memorandum asking for an investigation into workplace culture at the Capitol and for stronger policies against harassment. Republican leaders have said Anderson was fired because the quality of her work was deteriorating. But court documents filed by Anderson portray scenes where she and other female staffers were forced to listen to comments about the size of women’s breasts and gossip about colleagues’ sex lives.

Montana: Legislators Face No Punishment for Ignoring Financial Disclosure Forms
The Missoulian – Jayme Fraser | Published: 7/3/2017

Montana’s system to monitor conflicts-of-interest among legislators received a failing grade in an analysis by the Center for Public Integrity. Some lawmakers ignore or flout the rules that do exist and no one has been sanctioned for breaking them in decades. Although legislators cannot take their seat without filing a financial disclosure form, no one ensures state officials fill them out completely. The two-page document was intended to be the baseline by which the public can gauge if elected officials and state employees misuse public posts. It is a key component of the law designed to fulfill a requirement in the Montana Constitution that they must work for the public and not themselves.

New York: Appeals Court Overturns Conviction of Sheldon Silver
Albany Times Union – Matthew Hamilton | Published: 7/13/2017

An appeals court overturned the conviction of former New York Assembly Speaker Sheldon Silver, who was sentenced to 12 years in prison after being found guilty of accepting nearly $4 million in bribes and kickbacks disguised as legal payments from a pair of law firms that had business before the state. The appeals court cited a U.S. Supreme Court ruling, made after Silver’s conviction, which narrowed the definition of the kind of official conduct that can serve as the basis of a corruption prosecution. The U.S. Court of Appeals for the Second Circuit agreed with Silver’s contention that jury instructions in his trial were erroneous in light of the decision handed down in McDonnell v. United States.

North Carolina: Lobbyist Fundraiser Invite Raises Questions
WRAL – Laura Leslie | Published: 7/10/2017

Current lobbyist and former state Rep. Mike Hager is co-hosting a fundraiser for North Carolina Lt. Gov. Dan Forest, but says he has not broken the state law against political contributions by lobbyists. Watchdogs say it is confusing and gives the appearance of impropriety. “I’ve never worried a whole lot about what people think,” Hager said. “It’s the actuality of the law that we’re complying with. That’s the only issue I have.”

Pennsylvania: Convicted Ex-Lawmakers Enjoy Access as Lobbyists
Pittsburgh Tribune-Review – Debra Erdley and Kevin Zwick | Published: 7/9/2017

Numerous former lawmakers, legislative staff, and cabinet officials in Washington, D.C., as well as state capitals across the country, have turned to lobbying. Pennsylvania requires a one-year waiting period before lawmakers and agency officials can begin lobbying former colleagues. A group of Pennsylvania lawmakers-turned-lobbyists spent the waiting period behind bars. They include former House Speakers John Perzel and Bill DeWeese, and Senate Majority Leader Joe Loeper – all of whom left office for prison after being convicted of abuses of power.

Texas: Dallas Wants $8,000 Back from Philip Kingston for Missing Too Many Council Meetings
Dallas News – Tristan Hallman | Published: 7/8/2017

Officials say city council member Philip Kingston owes Dallas taxpayers thousands of dollars. Chief Financial Officer Elizabeth Reich told Kingston in a memorandum that he missed too many meetings in the past 12 months and needs to pay the city back $8,160 of his $60,000 salary. But Kingston said he is disputing the city’s calculations and does not plan to return any money. The unusual quarrel and financial penalty stem from a city charter provision. If council members miss more than 10 percent of the total “regular meetings” in a compensation year, their pay is to be docked by the same percentage of meetings they missed.

Virginia: How a Shadowy Nonprofit Spent $184K in Virginia’s Governor’s Race with Almost Total Anonymity
Richmond Times-Dispatch – Graham Moomaw | Published: 7/7/2017

Virginians for a Better Future incorporated in Delaware as a social welfare organization two weeks before Virginia’s gubernatorial primaries, and then spent $184,000 on an advertising campaign to support Lt. Gov. Ralph Northam’s bid for the Democratic nomination and attack his opponent, Tom Perriello. The identity of the donor or donors behind the ad campaign might never be disclosed. Other states have taken steps to close reporting loopholes for 501(c)(4)s, but a bill to force social welfare groups to disclose their donors failed this year in the Virginia General Assembly.

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.

In preparation for his September release, former lobbyist John Raphael was moved from a federal prison in South Carolina to an undisclosed halfway house in Columbus.

He had been sentenced to 15 months in prison after pleading guilty to a count of extorting campaign contributions from a red-light-camera vendor to city officials. Despite the city doubling its number of cameras from 2005 to 2010 from said vendor, no city officials have been charged.

According to one of his attorneys, his post-release plans are “up in the air.”

State and Federal Communications employees had the opportunity to get out of the office and enjoy a Rubber Ducks baseball game on June 29. Beautiful weather and a Rubber Ducks win made for a great office outing!

Elizabeth Bartz, president and CEO, provided staff members with tickets and invited us to take a break for part of the day. Employees had the chance to hang out with each other in a casual setting and visit with coworkers who were in from Washington DC. We bonded over great food, beautiful weather, and our love of baseball.

“It was nice to get out of the office for the day and enjoy the game and the beautiful weather,” public relations intern Olivia Williams said.

The office outing provided a change of scenery and refueled us for the end of the week. Sometimes a little break is all you need to finish the week out strong!

The Rubber Ducks beat the Erie SeaWolves 7 to 6. It was a great day to be a Rubber Ducks fan and an even better day to be a State and Federal Communications employee!