Lobbying

“Chaka Fattah’s K Street Friends Stand by Him” by Sean McMinn for Roll Call

“Nonprofit Seeks to Crowdfund Lobbying” by Megan Wilson for The Hill

Campaign Finance

“Whom to Vote for? Employees Tend to Follow Their Leader” by Andrew Ross Sorkin for New York Times

“New Records Shed Light on Donald Trump’s $25,000 Gift to Florida Official” by Kevin Sack and Steve Eder for New York Times

Florida: “Appeals Court Declines to Put Campaign-Finance Rules on Ballot” by Douglas Hanks for Miami Herald

Ethics

“White House Women Want to Be in The Room Where It Happens” by Juliet Eilperin for Washington Post

Connecticut: “Wade to Recuse Herself from Anthem-Cigna Review” by Mark Pazniokas for Connecticut Mirror

Elections

“Sowing Doubt Is Seen as Prime Danger in Hacking Voting System” by David Sanger and Charlie Savage for New York Times

“Clinton Campaign Releases Doctor’s Letter Describing ‘Mild’ Pneumonia” by Abby Phillip and Anne Gearan for Washington Post

Virginia: “Va. Supreme Court Finds McAuliffe Not in Contempt on Felon Voting Actions” by Laura Vozzella for Washington Post

Legislative Issues

“Why the U.S. Economy Lags: It’s the politics, stupid” by Paul Davidson for USA Today

Cleveland City Council approved a proposal this week to put a minimum wage increase before the voters in a 2017 special election.

If passed by the voters, the proposal would increase the city minimum wage to $12 per hour in January 2018 and increase the wage $1 annually thereafter for three additional years.

The issue will appear on the ballot on May 2, 2017.

Photo of the Cleveland skyline by Eric Drost in Wikimedia Commons.

On September 15, the Federal Election Commission (FEC) was unable to agree on a policy to clarify when and if a U.S. domestic subsidiary corporation of a foreign national is illegally involved in political activity.

Federal law prohibits foreign nationals from directly or indirectly making contributions, donations, expenditures, independent expenditures, and disbursements in connection with federal, state, or local elections. FEC regulations also prohibit foreign nationals from directing, controlling, or participating in the decision-making process of any person, such as a corporation, with regards to decisions concerning the making of contributions, donations, expenditures, or disbursements in connection with elections in the U.S.

Additionally, the FEC was unable to reach an agreement on the creation of a safe harbor for political committees to accept corporate contributions deemed not to have come from foreign national sources.

The Missouri General Assembly held its annual veto session on Wednesday, September 14. Lawmakers were successful in overriding some of Gov. Jay Nixon’s vetoes, including the vetoes of two highly controversial bills.

One bill abolishes a state law requiring permits, training, and background checks for those seeking to carry concealed weapons. The other requires voters to show a photo identification before casting a ballot. The voter ID law will take effect in 2017 only if voters pass a state constitutional amendment in support of it.

Photo of the Missouri State Capitol by Nickbigd on Wikimedia Commons.

Gov. Brian Sandoval plans to call a special legislative session in early October to approve an estimated $1.9 billion stadium funding plan. The Southern Nevada Tourism Committee is working with the Oakland Raiders and a group of private developers to bring the first professional football team and major events arena to Las Vegas. In addition, vacancies needing to be filled in the Legislature make a special session likely.

Legislators have expressed concern about holding a special session so close to the November 8 general election in part because lawmakers are prohibited from receiving campaign contributions during a legislative session and for 15 days after adjournment.

Gov. Sandoval will decide whether to call the session once he reviews the committee’s recommendations and all questions have been answered. If called, the special legislative session would be the 30th in Nevada’s 152-year history.

Photo of the Nevada State Legislature by Ryans Jerz on Wikimedia Commons. 

See what’s happening in government relations this week with our Video Digest. Enjoy!

National:

How the Sugar Industry Shifted Blame to Fat
New York Times – Anahad O’Connor | Published: 9/12/2016

In 1967, the Sugar Research Foundation, the precursor to the Sugar Association, paid Harvard scientists about $50,000 in today’s money to discredit a link now widely accepted among scientists, that consuming sugar can raise the risk of cardiovascular disease. Instead, the industry and the scientists pinned the blame squarely, and only, on saturated fat. Even though the influence-peddling revealed in the documents dates back nearly 50 years, more recent reports show the food industry has continued to influence nutrition science.

Real-Time Election Day Projections May Upend News Tradition
New York Times – Nick Corasaniti | Published: 9/10/2016

Television networks and newspapers have traditionally agreed not to reveal the information they gather through exit polling to their audiences until polls close. Journalists keep that information to themselves, campaigns track the outcome with their own methodologies, and voters are left without access to information about how the election is going in real time. Now, a new company called VoteCastr is seeking to upend that reporting tradition, providing detailed projections of who is winning at any given time on Election Day in key swing states, and updating the information in real time. The plan is likely to cause a stir among those involved in reporting election results, who worry about both accuracy and an adverse effect on how people vote.

Federal:

Congressman Offers Unusual Defense in Ethics Probe
Center for Public Integrity – John Dunbar | Published: 9/13/2016

U.S. Rep. Roger Williams, a Texas Republican under investigation by the House ethics committee, says he did nothing wrong when he offered an amendment that would benefit car dealers, despite the fact that he himself is a car dealer. Members of Congress may not use their positions for personal financial benefit. But Williams asserted he did not profit from his actions. Instead, Williams revealed, he offered the amendment at the behest of a lobbyist. And the lobbyist – whose employer, the national Automobile Dealers Association, one of Williams’ top donors – sent along “proposed language” for the text of the amendment. There is no timetable for when the committee will rule. But regardless of what happens, Williams’ defense offers a rare glimpse at how business is often done in the Capitol.

How Donald Trump Retooled His Charity to Spend Other People’s Money
Washington Post – David Fahrenthold | Published: 9/10/2016

An investigation of the Donald J. Trump Foundation found it collects and spends money in a very unusual manner. For one thing, nearly all of its money comes from people other than Trump. In tax records, the last gift from Trump was in 2008. Since then, all of the donations have been other people’s money, an arrangement that experts say is almost unheard of for a family foundation. Trump then takes that money and generally does with it as he pleases. In many cases, he passes it on to other charities, which often are under the impression it is Trump’s own money. Foundation money has also been used for political purposes, which is against the law. Trump paid a penalty this year to the IRS for a 2013 donation in which the foundation gave $25,000 to a campaign group affiliated with Florida Attorney General Pamela Bondi.

How These Powerful Women Learned to Love Fundraising
Washington Post – Elise Viebeck | Published: 9/12/2016

Lawmakers frequently think fundraising is the worst part of their job, but it has become critical to their success as the cost of campaigns skyrockets. According to interviews with more than a dozen women in Congress, raising campaign funds poses unique challenges for women entering politics and seeking to rise through the ranks. Building a war chest is essential to female politicians as they work to get elected and to secure a seat at the leadership table, which involves both campaigning and fundraising for colleagues. Scholars have found women exhibit more negative attitudes toward fundraising and express more concern about attracting donors, to the point that it can deter some from running for office.

Lobbying Registrations Are Down, But The Influence Industry Is Flourishing
Washington Post – Catherine Ho | Published: 9/12/2016

This year, for the ninth consecutive time, the number of registered lobbyists in Washington, D.C. has fallen. The figure has dropped from about 14,800 in 2007 to 10,500 today. But ask virtually any member of K Street’s booming influence industry and they will tell you there are not fewer lobbyists, there are just fewer people labeling themselves as such. Eschewing the lobbyist label in favor of more palatable designations such as policy adviser, strategic counsel, or government relations adviser is not new. But it appears to have grown more prevalent during the two terms of President Obama, who put greater restrictions on lobbyists working in the executive branch than any other president.

From the States and Municipalities:

California – Jury Finds Azano Guilty on 36 Counts in Foreign Money Case
San Diego Union-Tribune – Dana Littlefield and Greg Moran | Published: 9/9/2016

A Mexican businessperson accused of making illegal campaign donations to candidates in San Diego’s 2012 mayoral race was convicted of 36 counts, including conspiracy to make political contributions by a foreign national. José Susumo Azano Matsura also was found guilty in federal court of making contributions in other people’s names and falsifying records.  As a foreign citizen without legal status in the U.S., Azano was prohibited by law from donating to domestic campaigns. Although he lived in a Coronado Cays and both his wife and son were U.S. citizens, Azano did not have a green card or any immigration status that would allow him to financially support political campaigns in this country.

Florida – Judge Orders Campaign-Finance Question Put on Miami-Dade Ballot
Miami Herald – Douglas Hanks | Published: 9/9/2016

Circuit Court Judge William Thomas ordered that Miami-Dade voters get a chance to decide on new rules for campaign contributions, reversing a decision by county commissioners to keep the measure off the November ballot because of alleged legal flaws. The judge ruled the union-backed group behind the proposal to ban county contractors and their lobbyists from donating to county candidates followed all the required steps to secure a ballot slot. County lawyers appealed Thomas’ decision.

Michigan – House Candidate Steve Marino Retracts Claims from Secret Recordings
Detroit Free Press – Paul Egan | Published: 9/11/2016

Michigan House candidate Steve Marino disavowed ever picking up bar tabs for state lawmakers as a lobbyist after Democrats released audio recordings showing him making the claims. Marino, a Macomb County commissioner who was a registered lobbyist from 2013 to 2015, said that despite the way he described the events, they did not involve him personally. Instead, he said the stories were composites patched together from events he had witnessed or heard about over the years.

Missouri – Court: Missouri voters can decide if they want to bring back limits on campaign contributions
St. Louis Post-Dispatch – Kurt Erickson | Published: 9/13/2016

A state appeals court ruled that a measure re-imposing campaign contribution limits in Missouri can be placed on the November ballot. The initiative would ask voters whether they want to cap donations to individual candidates to $2,600 and limit contributions to a political party to $25,000. The referendum would ban the current practice of funneling money through different committees to hide the source of the money. Opponents say the initiative unfairly limits some classes of businesses and associations from giving money to campaigns. They vowed to appeal the ruling to the state Supreme Court.

Pennsylvania – Gas-Dealing Pa. Game Commission Official Ordered to Pay $75K Fine
Philadelphia Inquirer – Andrew Maykuth | Published: 9/13/2016

William Capouillez, a retired Pennsylvania Game Commission official, will pay a $75,000 fine over his side business. While he was director of the Bureau of Wildlife Habitat Management, Capouillez negotiated gas leases with drilling companies on behalf of private landowners while overseeing Game Commission leases with the same companies. He agreed to the fine in exchange for no further action by the state Ethics Commission, but the head of the ethics panel said Capouillez still faced possible criminal charges. The Ethics Commission said the $75,000 penalty represented just a portion of the amount Capouillez earned since 1996, when he began operating his business. But it said most of the alleged violations occurred before the agency’s five-year statute of limitations expired.

Tennessee – Jeremy Durham Expelled from Tennessee House in 70-2 Vote
The Tennessean – Joel Ebert and Dave Boucher | Published: 9/13/2016

The Tennessee House voted to expel state Rep. Jeremy Durham following allegations of widespread sexual harassment. The vote followed an attorney general’s investigation that detailed allegations of improper sexual contact with at least 22 women over the course of his four years in office. House Speaker Beth Harwell effectively quarantined Durham from other lawmakers, staff, and lobbyists in April, moving his office across the street and barring him from entering the main legislative area other than for official business. The move came after state Attorney General Herbert Slatery said Durham could pose a risk to “unsuspecting women” at the Capitol complex.

Virginia – Prosecutors Will Drop Case Against Former Va. Governor Robert McDonnell
Washington Post – Rachel Weiner and Matt Zapotosky | Published: 9/8/2016

The Justice Department decided to drop all charges against former Virginia Gov. Bob McDonnell following a U.S. Supreme Court ruling that vacated his original conviction on corruption charges. As a result, McDonnell’s legal ordeal effectively ends. The justices ruled McDonnell, convicted in 2014 and sentenced to two years in prison for helping a personal donor navigate the state bureaucracy, had not performed any official acts on the donor’s behalf. For federal prosecutors, the case carries grave implications. It likely will make it more difficult for them to use federal bribery, extortion, and fraud statutes against public officials.

Wisconsin – Report: Lead paint makers helped Gov. Walker
Milwaukee Journal Sentinel – Jason Stein and Patrick Marley | Published: 9/14/2016

A new report sheds new light on the relationships between Gov. Scott Walker and donors to the Wisconsin Club for Growth during the governor’s 2012 recall election. The Guardian U.S. sifted through 1,500 leaked documents from a probe into Walker’s campaign. The documents show $750,000 in donations to Wisconsin Club for Growth from Harold Simmons, the owner of one of the leading producers of lead used in paint until it was banned. Walked signed into law changes passed by the Republican-led Legislature that would have made companies like NL Industries effectively immune from compensation claims for lead paint poisoning. One document shows a lobbyist for NL Industries suggested the language that should be used to make the effective immunity retroactive. The phrase suggested by the lobbyist is the one that was added to an amendment, which was signed into law but later blocked by a federal court.

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 special general election for House District 79, former House Speaker Mike Hubbard’s seat, will be on November 29, 2016.

Alabama Republicans selected Joe Lovvorn as their candidate in the September 13 special primary. Because Lovvorn won a majority of votes, no special runoff election is needed.

Lovvorn will face Libertarian candidate Gage Fenwick in November.

The state representative for the 106^th District, Peter Pettalia, tragically passed away from injuries sustained in a motorcycle accident on September 12, 2016.

Pettalia was elected to the Michigan House in 2010 and previously served as Presque Isle Township supervisor for 16 years.

Pettalia was term-limited. The state GOP will decide who finishes Pettalia’s remaining term, and his seat will be filled at the general election on November 8, 2016.

Photo of Rep. Peter Pettalia courtesy of the Michigan House Republicans website.

The Tennessee General Assembly adjourned a three-day extraordinary session on Wednesday, September 14.

Lawmakers repealed a drunken driving law threatening to cost the state $60 million in federal highway funding.  The U.S. Department of Transportation threatened to withhold the funds if the state did not change the maximum allowable blood alcohol content for drivers under 21 to comply with the federal zero-tolerance standard.

Lawmakers also expelled Rep. Jeremy Durham after at least 22 women accused him of improper sexual contact during his four years in office. Earlier this year, House Speaker Beth Harwell moved Durham across the street from the main legislative office building and limited his access to the main buildings to official legislative business. Because he did not serve enough time in the House, he is no longer eligible to receive a state pension.

Photo of the Tennessee State Capitol by Ichabod on Wikimedia Commons.

West Virginia’s Gov. Earl Ray Tomblin plans to call a special legislative session next week to address funding for flood recovery.

The session is expected to take place on September 19 and 20 to coincide with previously scheduled legislative interim meetings.

The Legislature will need to authorize funding from the state’s rainy day emergency fund to cover flood recovery costs.

Lobbying

“Changing of the Guard at Lobbying Powerhouse” by Megan Wilson for The Hill

Campaign Finance

“Judge Hints Could Remand Disclosure Case to FEC” by Kenneth Doyle for Bloomberg BNA

Missouri: “Court: Missouri voters can decide if they want to bring back limits on campaign contributions” by Kurt Erickson for St. Louis Post-Dispatch

Wisconsin: “Report: Lead paint makers helped Gov. Walker” by Jason Stein and Patrick Marley for Milwaukee Journal Sentinel

Ethics

“How Donald Trump Retooled His Charity to Spend Other People’s Money” by David Fahrenthold for Washington Post

New York: “New York Attorney General to Investigate Donald Trump’s Nonprofit” by Steve Eder for New York Times

Pennsylvania: “Gas-Dealing Pa. Game Commission Official Ordered to Pay $75K Fine” by Andrew Maykuth for Philadelphia Inquirer

Elections

“The Rise of GOP Mega-Donor Rebekah Mercer” by Matea Gold for Washington Post

Ohio: “Supreme Court Upholds Ohio Voting Restrictions” by Richard Wolf for USA Today

Lobbying

“How the Sugar Industry Shifted Blame to Fat” by Anahad O’Connor for New York Times

“Lobbying Registrations Are Down, But The Influence Industry Is Flourishing” by Catherine Ho for Washington Post

“Congressman Offers Unusual Defense in Ethics Probe” by John Dunbar for Center for Public Integrity

Campaign Finance

“How These Powerful Women Learned to Love Fundraising” by Elise Viebeck for Washington Post

Ethics

California: “Ex-Assemblyman Tom Calderon Is Sentenced to a Year in Federal Custody in Bribery Case” by Joel Rubin for Los Angeles Times

Connecticut: “Wade Faces Subpoena in Cigna Conflict of Interest Question” by Mark Pazniokas for Connecticut Mirror

Florida: “Former Opa-locka City Manager Pleads Guilty in Corruption Probe” by Jay Weaver and Michael Sallah for Miami Herald

New York: “Bill Nojay, Upstate Assemblyman, Dies After Shooting Himself at a Cemetery” by Vivian Yee for New York Times

Elections

“Appeals Court Overrules Federal Election Official on Proof of Citizenship for Voting” by Josh Gerstein for Politico

Legislative Issues

Tennessee: “Jeremy Durham Expelled from Tennessee House in 70-2 Vote” by Joel Ebert and Dave Boucher for The Tennessean

Opposition parties say legislative members in Alberta are attempting to rush through campaign finance changes to disproportionately benefit the New Democratic Party.

NDP members have proposed a $4,000 annual limit on political contributions to political parties, constituency associations, nominated candidates, candidates seeking nomination, and party leadership contestants. Current limits are $15,000 to a political party and $5,000 to constituency associations, with the limits increasing to $30,000 and $10,000, respectively, in a campaign year.

Currently there are no set limits on political contributions for leadership and nomination campaigns; each party sets its own rules. Opposition members agree with reduced contribution limits, but argue limits in nomination races and leadership campaigns would reduce the available resources necessary for a party to effectively fight an election. The legislative committee examining the election financing legislation must complete its work before the committee is dissolved September 28.

Photo of the Alberta Legislative Building by Tkyle on Wikimedia Commons.