March 28, 2017 •
Kentucky’s Governor Signs Campaign Finance Bill
Gov. Matt Bevin approved changes to a campaign finance law yesterday, March 27, 2017. Senate Bill 75 doubles current contribution limits for individuals giving to candidates, state executive committees, and caucus campaign committees. The limit for individuals giving to PACs […]
Gov. Matt Bevin approved changes to a campaign finance law yesterday, March 27, 2017.
Senate Bill 75 doubles current contribution limits for individuals giving to candidates, state executive committees, and caucus campaign committees. The limit for individuals giving to PACs also increases from $1,500 to $2,000.
Contributions to candidates and PACs will be indexed for inflation every odd-numbered year based on the Consumer Price Index. The bill also creates a single reporting threshold of $3,000 for campaign finance reports.
The bill is effective June 28, 2017, or 90 days from adjournment sine die of the regular session of the Legislature.
March 28, 2017 •
South Dakota Adjourns Legislative Session
On March 27, South Dakota lawmakers met for the final day of the 2017 legislative session to consider five bills Gov. Dennis Daugaard vetoed. Two-thirds support is required to overturn a gubernatorial veto and lawmakers failed to raise enough support […]
On March 27, South Dakota lawmakers met for the final day of the 2017 legislative session to consider five bills Gov. Dennis Daugaard vetoed.
Two-thirds support is required to overturn a gubernatorial veto and lawmakers failed to raise enough support to override any of the vetoes up for consideration.
The next legislative session is set to convene January 9, 2018.
March 28, 2017 •
West Virginia Campaign Finance Bill Passes Senate
On March 27, the West Virginia Senate voted to approve a bill to overhaul campaign finance laws. Senate Bill 539 will raise campaign contribution limits to allow individuals to donate up to $2,700 to candidates for statewide office per election […]
On March 27, the West Virginia Senate voted to approve a bill to overhaul campaign finance laws.
Senate Bill 539 will raise campaign contribution limits to allow individuals to donate up to $2,700 to candidates for statewide office per election cycle. Individuals would also be able to contribute up to $5,000 to PACs per year and $10,000 to state parties and caucus campaign committees per year.
The bill also proposes changes to disclosure requirements, allowing citizens to donate up to $1,000 to certain PACs that do not donate to individual candidates or their committees before the donor’s identity must be disclosed.
The bill now moves to the House for consideration.
March 28, 2017 •
Tuesday’s Government Relations and Ethics News
Campaign Finance Illinois: “Court Strikes Down Ban on Campaign Contributions from Medical Marijuana Licensees” by Jacob Huebert for Illinois Policy Pennsylvania: “Judge Mid-Trial Dismisses All Charges in Pennsylvania Pay-to-Play Case” by Angela Couloumbis and Craig McCoy (Philadelphia Inquirer) for Pittsburgh […]
Campaign Finance
Illinois: “Court Strikes Down Ban on Campaign Contributions from Medical Marijuana Licensees” by Jacob Huebert for Illinois Policy
Pennsylvania: “Judge Mid-Trial Dismisses All Charges in Pennsylvania Pay-to-Play Case” by Angela Couloumbis and Craig McCoy (Philadelphia Inquirer) for Pittsburgh Post-Gazette
Elections
“Senate Committee to Question Jared Kushner Over Meetings with Russians” by Jo Becker, Matthew Rosenberg, and Maggie Haberman for New York Times
Ethics
Maine: “Bangor City Council’s Ethics Watchdog Group Hasn’t Investigated a Violation in 20 Years” by Danielle McLean for Bangor Daily News
Maryland: “Maryland House Passes First Major Ethics Bill in Over a Decade” by Ian Duncan for Baltimore Sun
Oregon: “Lax Conflicts of Interest Rules Let Oregon Lawmakers Keep Quiet About Their Ties” by Gordon Friedman for Portland Oregonian
Legislative Issues
“Chairman and Partisan: The dual roles of Devin Nunes raise questions about House investigation” by Greg Miller and Karoun Demirjian for Washington Post
New Mexico: “Amending New Mexico’s Convoluted Constitution” by Anna Lande for KUNM
Lobbying
“Trump’s ‘Beachhead’ Teams Host Dozens of Former Lobbyists” by Ashley Balcerzak and Niv Sultan for Center for Responsive Politics
March 28, 2017 •
New Mexico Governor Will Likely Call a Special Session
Despite the 2017 regular session adjourning on March 18th, Gov. Susana Martinez will likely call a special session. Martinez does not like the budget proposed to her by the Legislature and has warned of potential furloughs if a new budget […]
Despite the 2017 regular session adjourning on March 18th, Gov. Susana Martinez will likely call a special session.
Martinez does not like the budget proposed to her by the Legislature and has warned of potential furloughs if a new budget is not passed soon.
The special session date has yet to be determined.
March 27, 2017 •
Wisconsin Legislators Consider Revolving Door Ban
Wisconsin legislators introduced a bill to prohibit lawmakers from lobbying for at least one year after leaving legislative office. The bill, identical to a bill proposed during the last legislative session, was introduced with wide bipartisan support. Current state law […]
Wisconsin legislators introduced a bill to prohibit lawmakers from lobbying for at least one year after leaving legislative office.
The bill, identical to a bill proposed during the last legislative session, was introduced with wide bipartisan support.
Current state law establishes a revolving door provision for state employees and officials seeking to become lobbyists; the prohibition does not, however, extend to legislators.
March 27, 2017 •
Chuck Harris Set to Retire from Indiana Lobby Registration Commission
Chuck Harris is retiring as the executive director and general counsel of the Indiana Lobby Registration Commission (ILRC). Harris has served as the executive director and general counsel of the ILRC since January 2011. Harris will retire at the end […]
Chuck Harris is retiring as the executive director and general counsel of the Indiana Lobby Registration Commission (ILRC).
Harris has served as the executive director and general counsel of the ILRC since January 2011.
Harris will retire at the end of May 2017.
March 27, 2017 •
House Bill Aims to Prohibit Foreign-Owned Corporations From Participating in US Elections
On March 19, U.S. Rep. Jamie Raskin introduced a bill to close a campaign finance loophole allowing foreign-owned, foreign-controlled, and foreign-influenced corporations to indirectly participate in U.S. elections. H.R. 1615, the Get Foreign Money Out of U.S. Elections Act, amends […]
On March 19, U.S. Rep. Jamie Raskin introduced a bill to close a campaign finance loophole allowing foreign-owned, foreign-controlled, and foreign-influenced corporations to indirectly participate in U.S. elections.
H.R. 1615, the Get Foreign Money Out of U.S. Elections Act, amends the Federal Election Campaign Act of 1971 to expand the ban on contributions and expenditures by foreign nationals under the Act to foreign-controlled, foreign-influenced, and foreign-owned domestic corporations.
In his press release, Raskin, a constitutional law professor, said, “The problem is that domestically registered corporations can be taken-over, bought-up, controlled, or influenced by foreign corporations and foreign nationals, and this means foreign powers have an easy and perfectly lawful way to funnel foreign money into American elections.” Upon introduction, the bill was referred to the House Administration committee.
March 27, 2017 •
U.S. Virgin Islands Special Election Scheduled Despite Ongoing Appeal
Despite an ongoing court battle, a special election has been scheduled for April 8, 2017, to fill a seat in the territory’s unicameral legislature. Kevin Rodriguez placed sixth in the November election, however, the Supreme Court of the U.S. Virgin […]
Despite an ongoing court battle, a special election has been scheduled for April 8, 2017, to fill a seat in the territory’s unicameral legislature.
Kevin Rodriguez placed sixth in the November election, however, the Supreme Court of the U.S. Virgin Islands determined he was ineligible to hold a seat because he does not meet the residency requirement. Rodriguez filed another suit in the District Court of the U.S. Virgin Islands, but the court left the decision to the governor.
Rodriguez has appealed the ruling to the U.S. Court of Appeals for the Third Circuit and asked the St. Thomas Board of Election to postpone the special election until a decision is reached. The Board of Election, however, plans to move forward.
March 27, 2017 •
US House Bill – No US Funds for Trump Hotel Stays
A bill introduced in the U.S. House of Representatives earlier this month would prohibit the use of taxpayer funds to pay for food, lodging, or other expenses at hotels owned or operated by any U.S. president. House Bill 1452, the […]
A bill introduced in the U.S. House of Representatives earlier this month would prohibit the use of taxpayer funds to pay for food, lodging, or other expenses at hotels owned or operated by any U.S. president.
House Bill 1452, the “No Taxpayer Revenue Used to Monetize the Presidency Act of 2017,” or the “No TRUMP Act of 2017,” also prohibits any payment for lodging and other travel expenses by the federal government at hotels owned or operated by a president’s relatives.
In his introductory remarks, the bill’s sponsor, Rep. Earl Blumenauer, clearly specified President Trump was the target of the legislation: “Hardly a week goes by without reports of taxpayer-funded trips by the president or his family to one of his family-owned properties throughout the world. These excesses have surpassed anything that this nation has seen before, and this unprecedented abuse of taxpayer dollars demands an additional ethical check on the office of the presidency.”
March 27, 2017 •
Monday’s Government Relations and Ethics News
Campaign Finance “Duncan Hunter Under Criminal Investigation for Ethics Violations” by Eric Lichtblau for New York Times Elections “One Rationale for Voter ID Debunked, G.O.P. Has Another” by Michael Wines for New York Times Ethics “Federal Agency Rules Trump’s D.C. […]
Campaign Finance
“Duncan Hunter Under Criminal Investigation for Ethics Violations” by Eric Lichtblau for New York Times
Elections
“One Rationale for Voter ID Debunked, G.O.P. Has Another” by Michael Wines for New York Times
Ethics
“Federal Agency Rules Trump’s D.C. Hotel Lease Is In ‘Full Compliance’” by Jonathan O’Connell for Washington Post
Florida: “Investigators Knocked Commissioners for VIP Treatment at MIA. Then Came the Funding Threat.” by Douglas Hanks for Miami Herald
New Mexico: “What Financial Disclosure Forms Don’t Require Reveal as Much as What They Do” by Sandra Fish for New Mexico In Depth
New York: “Albany’s Latest Scandal: 2 more are accused of corruption” by Jesse McKinley for New York Times
Lobbying
Iowa: “House Ethics Committee Admonishes Americans for Prosperity Lobbyist” by Brianne Pfannenstiel for Des Moines Register
Missouri: “Goodbye to All That? Missouri Lawmakers Dragging Feet on Lobbyist-Gift Ban” by Marshall Griffin for St. Louis Public Radio
Texas: “Liquor Regulators Partying on Taxpayers’ Tab” by Jay Root for Texas Tribune
March 24, 2017 •
News You Can Use Digest – March 24, 2017
Federal: Despite a Trust, Ivanka Trump Still Wields Power Over Her Brand New York Times – Rachel Abrams | Published: 3/20/2017 Ivanka Trump, who moved to Washington saying she would play no formal role in her father’s administration, is now […]
Federal:
Despite a Trust, Ivanka Trump Still Wields Power Over Her Brand
New York Times – Rachel Abrams | Published: 3/20/2017
Ivanka Trump, who moved to Washington saying she would play no formal role in her father’s administration, is now officially setting up shop in the White House. The powerful first daughter has secured her own office on the West Wing’s second floor. She is also in the process of obtaining a security clearance and is set to receive government-issued communications devices. In everything but name, Trump is settling in as what appears to be a full-time staffer in her father’s administration, with a broad and growing portfolio, except she is not being sworn in, will hold no official position, and is not pocketing a salary, her attorney said. Watchdogs immediately questioned whether she is going far enough to eliminate conflicts-of-interest, especially because she will not be automatically subjected to certain ethics rules while serving as a de facto White House adviser.
Ethics Watchdogs Make a Career of It
Roll Call – Kate Ackley | Published: 3/16/2017
Norm Eisen, President Barack Obama’s White House ethics czar, and Richard Painter, an ethics lawyer from the George W. Bush administration, have teamed up to become two of the most vocal critics of President Donald Trump’s conflicts-of-interest. They not only sued the president within days of his inauguration, they have also appeared regularly on television and testified on Capitol Hill. Though government ethics law may seem a lonely pursuit, leading a resistance against the Trump team’s web of potential ethics woes clearly is not. “I never imagined that White House ethics experts would be in such demand,” Eisen said.
From the States and Municipalities:
Florida – Will Legislators Lift the Veil on ‘Dark Money’ in Florida Politics?
Bradenton Herald – Mary Ellen Klas (Miami Herald) | Published: 3/19/2017
In the ramp-up to the annual legislative session, before the self-imposed fundraising ban takes effect, Florida’s most politically powerful corporations seed hundreds of thousands of dollars in campaign cash into the committees of legislators. But getting all the details on who got what is impossible. Florida law allows groups that accept contributions from corporations to legally distribute money to other political committees, including those controlled by legislators, without reporting the original source of the cash. The practice of shielding political spending from public view has fueled the “dark money” trend in politics that has allowed groups to launch political attacks in campaigns without fear of being traced.
Illinois – Emails to Emanuel Raise Questions About Dozens of Possible Lobbying Violations
Chicago Tribune – Bill Ruthhart and Hal Dardick | Published: 3/21/2017
The Chicago Tribune reviewed over 2,600 pages of Mayor Rahm Emanuel’s personal emails, and found 26 instances where lobbyists, corporate executives, and longtime Emanuel associates and campaign donors sought action from, or access to, the mayor or city officials but did not register as a lobbyist or report their contact to the city ethics board. Some of those who sent emails pitching their business said they did not believe their actions qualified as lobbying or they were not familiar with the city’s ethics rules. But if the board determines someone sought to influence City Hall action but did not register as a lobbyist, it can fine the individual $1,000 per day from five days after the initial contact until they register.
Massachusetts – Construction Firm, Owner Pay $150,000 for Campaign Finance Violations
Boston Globe – Frank Phillips | Published: 3/22/2017
A Massachusetts business owner and his construction company have paid $150,000 for disguising the true source of campaign contributions. The Office of Campaign and Political Finance said J. Derenzo Companies gave $37,000 to employees and their family members to reimburse them for donations they made to nine candidates, including Gov. Charlie Baker and former Gov. Deval Patrick. The contributions were reported as coming from the individuals. State law prohibits disguising the true origin of a donation and bans corporate contributions. The company and its owner, David Howe, agreed to pay $125,000 to the state’s general fund. Howe also gave $25,000 to a charity with personal funds as part of the agreement.
Mississippi – Politicians Will See Campaign Spending Curbed
Hattiesburg American – Geoff Pender | Published: 3/22/2017
The Mississippi Legislature passed a campaign finance reform measure that would restrict politicians’ spending campaign money on personal expenses and provide for some enforcement and oversight by the state Ethics Commission. Gov. Phil Bryant is expected to sign the bill into law, to take effect January 1. Experts have called Mississippi’s lack of rules and transparency on campaign money – and allowing it to be used for personal expenses – “legalized bribery,” with special-interest cash making its way into politicians’ pockets after it runs through their campaign accounts. Campaign money is shielded from tax, ethics, bribery, and other laws because it is ostensibly to be used for campaigning and records of it are supposed to be open to the public.
New Mexico – Voters Will Decide Future of State Ethics Commission Proposal
New Mexico Politics – Steve Terrell (Santa Fe New Mexican) | Published: 3/16/2017
New Mexico voters will decide next year whether to create an independent ethics commission to shore up trust in government after a string of corruption scandals. The Legislature approved a constitutional amendment that calls for creating a seven-member body to investigate ethics violations and apply sanctions. The vote capped a decades-long effort by government watchdog groups and select lawmakers to put ethics complaints in the hands of an independent authority.
New York – Lobbyist in Libous Case Reaches $10k Settlement, as Legal Questions Remain
Albany Times Union – Chris Bragg | Published: 3/17/2017
Lobbyist Fred Hiffa, whose firm made payments to a law firm employing the son of late New York Sen. Thomas Libous at a time it regularly lobbied the once-influential politician, agreed to pay $10,000 to settle ethics charges. The Joint Commission on Public Ethics (JCOPE) said Hiffa arranged for payments totaling $50,000 over one year to the law firm that employed Libous’ son. Libous was convicted of lying to the FBI about his son’s arrangement. But some legal experts said the gift ban law at the center of JCOPE’s case does not seem to apply to the Libous matter, as well as the case of former Sen. Dean Skelos, who was convicted on corruption charges relating to companies hiring his son.
New York – No Charges, but Harsh Criticism for Mayor de Blasio
New York Times – William Rashbaum | Published: 3/16/2017
Prosecutors said New York City Mayor Bill de Blasio and his aides will not face criminal charges for their role in soliciting donations for the mayor’s campaign and an affiliated nonprofit group, the Campaign for One New York. The investigation involved accusations that de Blasio and his aides gave favorable treatment to donors who contributed to his 2013 mayoral election campaign. Also at issue is whether the de Blasio team illegally raised money for several key state senate races. Acting U.S. Attorney Joon Kim said the decision not to file charges was based, among other things, on the high burden of proof required in prosecuting serious public corruption cases, the clarity of existing law, and the difficulty in proving criminal intent in corruption schemes where there is no evidence of personal profit.
North Carolina – Judges Issue Split Ruling on NC Governor-Legislature Power Struggle
Charlotte Observer – Anne Blythe (Raleigh News & Observer) | Published: 3/17/2017
A three-judge panel delivered a mixed decision in the power struggle between Gov. Roy Cooper and legislative leaders in North Carolina. The General Assembly passed two laws that require Senate confirmation of Cooper’s cabinet secretaries, cut the number of state positions to which the governor can appoint supporters, and overhauled the structure of North Carolina’s state and county elections boards. The panel agreed with Cooper that the law calling for combining the State Board of Elections and the State Ethics Commission was unconstitutional. The judges also ruled that a provision cutting the number of at-will policy-making and managerial positions in Cooper’s administration should be blocked. The judges upheld the Senate’s right to confirm the governor’s cabinet secretaries, saying Cooper has not demonstrated his administration will be hurt by the law.
Oklahoma – Oklahoma State Senator Faces Charges and Condemnation
New York Times – Matthew Haig | Published: 3/17/2017
Oklahoma Sen. Ralph Shortey was accused in a child prostitution case of offering to pay a 17-year-old boy for sex. Shortey was charged with three felony counts one week after police found him with the teenager in a hotel room. The maximum punishment, if convicted, is 25 years in prison. The Senate voted to punish Shortey for “disorderly behavior.” The unanimous vote stripped him of most of his privileges at the Capitol, including his office and parking space.
Pennsylvania – D.A. Seth Williams Indicted on Corruption, Bribery-Related Charges
Philadelphia Inquirer – Jeremy Roebuck, David Gambacorta, and Chris Brennan | Published: 3/21/2017
Philadelphia’s top prosecutor was charged with taking more than $160,000 in luxury gifts, Caribbean trips, and cash, often in exchange for official favors that included help with a court case, according to a bribery and extortion indictment. Federal prosecutors said District Attorney Seth Williams also spent $10,000 from a joint account he shared with a relative meant for the relative’s nursing home costs. The indictment caps a nearly two-year investigation into Williams’ financial affairs. In January, the city Board of Ethics imposed its largest fine ever, $62,000, on Williams for failing to disclose gifts and sources of income, and accepting gifts from prohibited sources.
Pennsylvania – Former Top Allentown Bureaucrat Francis Dougherty Pleads Guilty, Implicates Mayor
Allentown Morning Call – Emily Opilo | Published: 3/22/2017
Former Allentown Managing Director Francis Dougherty pleaded guilty to a conspiracy charge in an ongoing FBI “pay-to-play” corruption probe. Prosecutors say Dougherty helped rig a $3 million contract to replace the city’s streetlights so it would go to a company whose executives and consultants gave thousands of dollars in campaign contributions to Mayor Ed Pawlowski. The mayor has not been charged, but he matches the description of the unnamed public official in court papers. As part of his plea deal, Dougherty must continue to cooperate with prosecutors concerning his knowledge of and participation in political corruption in Allentown.
South Carolina – Veteran State Sen. Courson of Columbia Suspended from Office after Misconduct Indictment
The State – John Monk | Published: 3/16/2017
One of South Carolina’s longest-serving senators has been indicted on ethics charges tied to veteran powerbroker Richard Quinn. A grand jury indicted Sen. John Courson on misconduct in office and using campaign donations for personal expenses. All three charges are tied to Courson’s payments to Quinn’s political consulting firm. Lt. Gov. Kevin Bryant suspended Courson pending the case’s resolution. The indictments allege Courson gave Quinn’s firm nearly $248,000 and received back nearly $133,000 for personal use. The Quinn firm has not been charged with any wrongdoing.
Texas – Dallas City Council Overhauls Ethics Rules; Mayor Mike Rawlings Lauds Changes as ‘Remarkable’
Dallas News – Tristan Hallman | Published: 3/22/2017
The Dallas City Council approved changes to the ethics law. The reforms include lowering the gift-reporting threshold to $250, requiring attorneys and law firms representing clients – along with leaders of associations – to register as lobbyists, and prohibiting city council members from discussing ongoing contract bids. Council members voted down several of their colleagues’ attempts to include additional changes. The ordinance will take effect on July 1, 2017.
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.
March 23, 2017 •
Dallas City Council Approves Ethics Overhaul
On Wednesday, Dallas City Council voted unanimously to overhaul the city’s ethics laws after months of work to tighten rules on lobbying and reduce political influence in City Hall. Among other things, the new ethics rules bar successful campaign managers […]
On Wednesday, Dallas City Council voted unanimously to overhaul the city’s ethics laws after months of work to tighten rules on lobbying and reduce political influence in City Hall.
Among other things, the new ethics rules bar successful campaign managers from lobbying city officials for one year after a campaign, require association leaders as well as attorneys and law firms representing clients to register as lobbyists, lower the gift disclosure threshold from $500 to $250, and broaden the scope of those covered by the law to include city board and commission appointees.
The ordinance will take effect July 1, 2017.
March 23, 2017 •
Drug Price Relief Act Expected to Appear on Ohio Ballot
The Ohio Drug Price Relief Act is expected to appear on the ballot in November, 2017. The proposed initiated statute would prohibit the state from purchasing a prescription drug unless the net cost of the drug is equal to or […]
The Ohio Drug Price Relief Act is expected to appear on the ballot in November, 2017.
The proposed initiated statute would prohibit the state from purchasing a prescription drug unless the net cost of the drug is equal to or less than the lowest price paid for the drug by the U.S. Dept. of Veterans Affairs (VA).
It could directly impact more than 4 million individuals served by state programs including those on Medicaid, individuals participating in state retirement programs, and those receiving care through other state programs such as the Ohio Bureau of Workers’ Compensation.
Pharmaceutical Research and Manufacturers of America (PhRMA) commissioned Vorys Health Care Advisors (VHCA) and Health Management Associates (HMA) to create an independent and objective analysis of the potential impact of the proposed act.
Results of the analysis show it is highly unlikely the proposed act could be effectively implemented; moreover, it is highly likely it would fail to achieve its purpose and negatively impact non-targeted entities via increased prescription drug costs and limited availability of certain medications.
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.