Today, the Wisconsin Supreme Court ruled campaign finance regulations for coordinated expenditures are limited only to expenditures made for “express advocacy and its functional equivalent.” Express advocacy is a communication expressly advocating for the election or defeat of a clearly identified candidate.

In Wisconsin v. Peterson, the court held the state’s legal definition of political purposes, upon which the campaign finance regulations rely, is unconstitutionally overbroad. Instead of invalidating the entire statute, the court narrowed the definition to expenditures for express advocacy and its functional equivalent, thereby rejecting the argument that in cases where there is not express advocacy the “coordinated expenditures constitute disguised contributions to the candidate or candidate’s campaign committee.”

Gov. Terry McAuliffe (D) is calling a special session of the General Assembly on August 17, 2015, to comply with a court order requiring legislators to redraw the state’s congressional map.

Last month, the 4th U.S. Circuit Court of Appeals ruled 2-1 for a second time Virginia must redraw the state’s congressional map by September 1, 2015. The court found the current map draws too many black residents into the 3rd Congressional District, which dilutes voting strength in other districts.

Republican leaders have asked the court to extend the deadline to November 16, 2015, in order to allow time for an appeal to the U.S. Supreme Court.

The Alabama Legislature convened a special session Monday, July 13, 2015, only to recess until August 3, 2015. The Senate was in session for a total of 19 minutes and the House was in session for less than 30 minutes.

Legislators claimed the timing of the special session was rushed, so they were unprepared to consider the governor’s proposed budget.

Lawmakers will reconvene the session on August 3 with the intent of passing a budget.

Initiative 122, a ballot measure proposing to raise property taxes in Seattle to create a publicly financed elections program, will appear on the general election ballot in Seattle. If passed, the “Honest Elections Seattle” measure would impose a $30 million tax levy over a 10 year period, granting citizens four $25 “democracy vouchers” to use towards the campaigns of city candidates.

Initiative 122 would also ban contributions from corporations with medium-sized and large city contracts as well as corporations who lobby city officials. Contribution limits would also be lowered under the measure, from $700 per election cycle to $500.

Voters in Seattle will have an opportunity to approve or deny Initiative 122 on November 3, 2015, at the regularly scheduled general election.

Lobbying

Colorado: “Colorado Lobbying Income Likely to Set a Record This Year” by Arthur Kane for Colorado Watchdog

Virginia: “Plastic Tumblers, a Night at Dad’s House Top Gifts in Post-McDonnell Richmond” by Laura Vozzella for Washington Post

Campaign Finance

“Revenge of Citizens United” by Kenneth Vogel and Tarini Parti for Politico

New York: “Bipartisan Group Sues to Close New York’s Corporate Donation Loophole” by Jesse McKinley for New York Times

Ethics

Minnesota: “Lobbyist Accuses Hastings Lawmaker of Defamation in Lawsuit” by David Montgomery for St. Paul Pioneer Press

Ohio: “Columbus Cancels Red-Light Camera Contract after Bribe Investigation” by Lucas Sullivan for Columbus Dispatch

Pennsylvania: “Ex-Mayor of Pennsylvania’s Capital Charged with Corruption” by Marc Levy and Mark Scolforo (Associated Press) for Albany Times Union

Redistricting

Florida: “One of America’s Weirdest Congressional Districts Has Just Been Trashed by the Florida Supreme Court” by Michael Miller and Nick Kirkpatrick for Washington Post

The Office of the City Clerk has proposed amended rules to chapter 1 of title 51 of the Rules of the City of New York pursuant to the enactment of Local Law 129 of 2013, which amended the city’s lobbying law.

The rules propose the following: set forth the procedure for enrolling in e-Lobbyist; define the roles of principal officer, designee, and compliance officer; provide requirements for retainers and authorization letters; indicate when filing extensions may be obtained; set forth the procedures for obtaining a waiver of late filing penalties; establish enforcement procedures; and create an amnesty program.

The amnesty program sets forth eligibility criteria for lobbyists and clients who have not previously complied with the city’s lobbying law, allowing such individuals to come into compliance without penalty for a given period of time.

A public hearing was held and the proposed rules are still under consideration by the Lobbying Bureau.

Lobbying

“Lobbyists Decamp for Capitol Hill Jobs” by Megan Wilson for The Hill

Tennessee: “Lobbyist: Armstrong paid to help wholesaler” by Jamie Satterfield for Knoxville News Sentinel

Utah: “Utah Cities Turning to Lobbyists as Their Lifeline to the Legislature” by Dan Harrie for Salt Lake Tribune

Virginia: “Lobbyists Spend Less on Lawmakers in Wake of McDonnell Trial” by Jim Nolan (Richmond Times Dispatch) for Roanoke Times

Campaign Finance

Florida: “Miami Beach Commission Bickers over $`1 Million in Donations to New Political Committee” by Joey Flechas for Miami Herald

New Jersey: “Federal Case Could Impact New Jersey Pay-to-Play Limits” by Jeff Brindle (New Jersey Election Law Enforcement Commission) for PolitickerNJ

Washington: “Taxpayer Financed Campaign Proposal, with ‘Democracy Vouchers,’ Wins a Place Seattle’s Fall Ballot” by Joel Connelly for Seattle Post-Intelligencer

Ethics

North Carolina: “NC Election Board Member’s Firm Worked for Target of Probe” by Michael Biesecker and Mitch Weiss (Associated Press) for WRAL

Pennsylvania: “What FBI Was After in Allentown City Hall Investigation” by Emily Opilo and Matt Assad for Allentown Morning Call

Lobbying

“A Year after Rocky Merger, Patton Boggs Aims to Re-Establish K Street Dominance” by Catherine Ho for Washington Post

Colorado: “Spend, Don’t Tell: Special interests influence lawmakers, but remain tight lipped” by Arthur Kane for Colorado Watchdog

Campaign Finance

Illinois: “Some Republicans Not Cashing Checks from Rauner” by Kurt Erickson and Joshua Maddox for Bloomington Pantagraph

Nebraska: “As Cost of Running for State Office Increases, Some Say It’s Time for a Fresh look at Campaign Spending” by Paul Hammel for Omaha World-Herald

Ethics

Georgia: “Gift Rules for State Employees Mostly Ignored, Observers Say” by Walter Jones (Morris News Service) for Savannah Morning News

New York: “Trial to Begin for Thomas Libous, New York Senator Whose Son Was Convicted” by Thomas Kaplan for New York Times

Pennsylvania: “FBI Raid on Reading City Hall Is Second in a Week” by Jeremy Roebuck for Philadelphia Inquirer

Wisconsin: “Vos: Time to ‘double down’ on GAB reform in wake of reported IRS links” by M.D. Kittle for Wisconsin Watchdog

Elections

“One of the Last In, Scott Walker Enters 2016 Presidential Race near the Top of the GOP Field” by Jenna Johnson for Washington Post

Last week the U.S. District Court of Appeals for the District of Columbia unanimously upheld the constitutionality of the law barring contractors from contributing to candidates, parties, and candidates’ and parties’ committees.

Plaintiffs had challenged the constitutionality of 52 U.S.C. § 30119(a)(1), which prohibits any vendors with contracts with the federal government from making political contributions to federal candidates or political parties. In Wagner v. Federal Election Commission, the plaintiffs had asked the court to declare the law unconstitutional as applied to individuals who have personal services contracts with federal agencies.

Because federal workers who are not contractors may make federal political contributions while contractors performing the same work may not, the suit argued the law violates both the Equal Protection Clause of the Constitution and the First Amendment.

The Washington Legislature adjourned its third special session on Friday, July 10, 2015, after approving legislation to fund construction for new infrastructure.

The 2015 legislative session was scheduled to last 105 days, but at adjournment of the third special session, tallied well over 170 days, making it the longest session in state history.

Photo of the Washington State Capitol building by Nikopoley on Wikimedia Commons.

Gov. Robert Bentley has called a special legislative session to convene Monday, July 13, 2015. Bentley originally planned to call a special session to convene in mid-August or after Labor Day to give lawmakers an opportunity to make summer plans for June and July. Many legislators are frustrated with the abrupt timing of the special session.

Speaker of the House Mike Hubbard sent an email to members of the House detailing a plan to convene the special session on Monday and then immediately adjourn until August 3, 2015. Such a maneuver would keep the clock running on the special session, which by statute may only last 30 days, giving legislators approximately a week to come back into session on August 3.

Gov. John Kasich signed House Bill 64, the biennial budget, on June 30. In addition to making $71 billion in appropriations, the bill modifies existing ethics and campaign finance laws. The bill authorizes the creation of a “Teacher of the Year” designation and allows a recipient of the award to receive gifts or privileges as part of the recognition program. In addition, the bill allows a person or entity to make contributions to the program without violating ethics laws.

House Bill 64 also permits nonprofit corporations designated as tax-exempt business organizations (i.e., 501(c)(6) organizations) to transfer portions of dues payments from its unincorporated member businesses to the organization’s political action committee (PAC). Prior to House Bill 64, campaign finance law banned a corporation from using its own funds, even those raised by dues, to aid any PAC, including its own.

Lobbying

Oklahoma: “Oklahoma Lobbying Disclosures Lag Behind Other States” by Arthur Kane for Oklahoma Watchdog

Campaign Finance

“High-Dollar Fundraising Makes Comeback, Raising Concerns about Bribery” by Eliza Newlin Carney for Roll Call

Ethics

“Supreme Court Justices Bolstered by Free Travel, Royalties, Rental Income” by Reity O’Brien for Center for Public Integrity

Florida: “Ethics Panel: Hialeah mayor lied about loans to convicted Ponzi schemer” by Jay Weaver for Miami Herald

Georgia: “Suspended DeKalb CEO Ellis Sentenced To 18 Months in Prison” by Michell Eloy for WABE

Louisiana: “Ethics Report on New Orleans: Lots of progress since Katrina, but long way to go” by Richard Rainey for New Orleans Times-Picayune

Texas: “Texas AG Figures in Federal Securities Probe” by Jim Vertuno and Paul Webber (Associated Press) for Albuquerque Journal

Virginia: “Bob McDonnell Loses Appeal over Public Corruption Convictions” by Matt Zapotosky for Washington Post

Elections

“GOP Leaders Fear Damage to Party’s Image as Donald Trump Doubles Down” by Karen Tumulty, Philip Rucker, and Robert Costa for Washington Post

National:

Is This Cold, Rural State Home to the Nation’s Healthiest Democracy?
Washington Post – Niraj Chokshi | Published: 7/7/2015

After taking 22 factors into account – including broad access to voting, equal representation in state government, and a limited concentration of influence over the political system – Maine’s democracy ranks healthiest in the nation, according to the Center for American Progress Action Fund. Alabama’s was weakest, though all states are far from perfect. “One of the messages throughout this report is that every state has room to improve,” said Lauren Harmon, the report’s author. The study noted that restricting influence over the political system is a particularly weak area. A dozen states have no limits on campaign contributions. Just 15 states offer public campaign financing, while 37 require some waiting period between leaving office and taking a lobbying job.

The Most Liberal and Conservative CEOs
Yahoo Finance – Rick Newman | Published: 7/8/2015

Many chief executive officers of major corporations donate money across the political spectrum for pragmatic business reasons rather than personal ideological ones. Crowdpac analyzed campaign contributions from CEOs of the 100 largest public U.S. companies to find out just how liberal or conservative these executives really are.

Washington Gridlock Drives Lobby Shops to Focus on State Policy Battles
Washington Post – Catherine Ho | Published: 7/7/2015

As getting anything done in Washington, D.C. has become increasingly difficult, K Street-based lobbying firms are trying their luck representing clients seeking changes on a state rather than federal level. The idea of pivoting to capture state-level work is not new. But some lobbyists say it is taking on increased importance now that policy fights over some of the biggest issues are moving more quickly at the local level.

Federal:

Court Upholds Ban on Contractor Political Contributions
New York Times; Associated Press –   | Published: 7/7/2015

A federal court upheld a longstanding prohibition on contractors making political contributions, handing a rare win to proponents of stronger campaign finance restrictions. The ban applies to individuals, corporations, and firms that are negotiating or working under federal contracts. While doing do, they cannot give money to federal candidates, parties, or committees. Chief Judge Merrick Garland of the U.S. Court of Appeals for the District of Columbia Circuit said recent corruption scandals involving members of Congress point to the continuing danger of “quid pro quo” corruption. He agreed with the FEC that the law protects the integrity of merit-based government contracting.

GOP Leaders Fear Damage to Party’s Image as Donald Trump Doubles Down
Washington Post – Karen Tumulty, Philip Rucker, and Robert Costa | Published: 7/8/2015

Republican National Committee Chairperson Reince Priebus, faced with growing pressure from inside the party to quiet Donald Trump, called the provocative presidential candidate recently and asked him to speak in more measured tones. Days of round-the-clock cable news coverage of Trump’s incendiary claims about criminals coming across the border from Mexico forced Priebus to show alarmed Republicans that he was taking action. But the call also highlighted the limits of what could be done to rein in Trump.

Here Are the Secret Ways Super PACs and Campaigns Can Work Together
Washington Post – Matea Gold | Published: 7/6/2015

For the first time, nearly every top presidential hopeful has a personalized super PAC that can raise unlimited sums and is run by close associates or former aides. The widespread cooperation, which many campaign finance experts say stretches the legal boundaries, indicates that candidates and their advisers have little fear they will face serious scrutiny from law enforcement, despite the Justice Department’s successful prosecution this year of a campaign operative for illegal coordination. One main reason is that under FEC rules, there is no wall dividing candidates and independent groups. In practice, it is more like a one-way mirror, with a telephone on each side for occasional calls.

I.R.S. Expected to Stand Aside as Nonprofits Increase Role in 2016 Race
New York Times – Eric Lichtblau | Published: 7/5/2015

Regulators at the IRS appear certain to delay trying to curb campaign finance abuses at nonprofits until after the 2016 election. Agency officials concede the rules for nonprofit groups are vague and difficult to enforce. Audits for excessive campaign work are extremely rare, even for groups spending huge chunks of their budgets to support candidates. The IRS remains wounded by the scandal that began two years ago over its scrutiny of nonprofits tied to the tea party and other political causes, both conservative and liberal. “It’s anything goes for the next couple of years …,” said Paul Streckfus, a former nonprofit specialist at the IRS.

From the States and Municipalities:

California – Aide to California Senate Leader Accepted Pot Gifts from Marijuana Lobbyist
BuzzFeed News – Amanda Lewis | Published: 7/8/2015

Ethics experts said a California Democratic Party staffer did not violate disclosure laws by accepting edible marijuana and an e-cigarette filled with hash oil from a lobbyist for the marijuana industry. The aide, Josh Drayton, works for the party’s Senate Democrats on political campaigns. BuzzFeed News   reported that after accepting the gifts, Drayton said Senate President Pro Tem Kevin de Leon needed to learn more about marijuana. Lawmakers and employees of the Senate are subject to gift reporting and limits. Drayton, however, is exempt because he is not employed by the Senate but by the party, said Gary Winuk, a former enforcement chief at the Fair Political Practices Commission.

Hawaii – How Hawaii Lawmakers Spend Up to $13,000 a Year – Each
Honolulu Civil Beat – Nathan Eagle | Published: 7/8/2015

Many Hawaii lawmakers have been less than thrilled with state Ethics Commission Executive Director Les Kondo’s strict opinions on what gifts they are allowed to accept from lobbyists, or what events they can attend with complimentary tickets. Legislative allowances have been another sore point. But a review of nearly $4 million in state lawmakers’ expenses over the past four years shows they are changing their habits based on the commission’s advice even if they do not like it, including not billing taxpayers for their dry cleaning or charitable donations.

Missouri – More Questions than Answers in Intern Investigation at Mo. Capitol
St. Louis Post-Dispatch – Alex Stuckey | Published: 7/6/2015

In March, two interns abruptly left Missouri Sen. Paul LeVota’s office. But since then, the University of Central Missouri launched a Title IX investigation and the Senate began its own investigation and hired an attorney to assist with a “workplace harassment complaint.” Meanwhile, it appears unlikely the university, or even the Senate, could inflict punishment if wrongdoing has taken place. History has shown that harassment in the Capitol is rarely reported and difficult to prove.

New Hampshire – New Hampshire Voters Bemoan Size of G.O.P. Field
New York Times – Patrick Healy and Maggie Haberman | Published: 7/4/2015

The likely field of 16 Republican candidates is stirring frustration in New Hampshire, particularly among voters who say they feel more overwhelmed, even ambivalent, than ever before about their long-cherished responsibilities in holding the nation’s first primary. Some voters said they were already dreading the weeks of political fliers stuffed in their mailboxes, of campaign volunteers at their doors during the day, and of television ads and automated phone calls all through the night. Others said they already had candidate fatigue.

Oklahoma – Ethics Commission to Crack Down on Late Campaign Filers
Tulsa World – Curtis Killman | Published: 7/3/2015

The Oklahoma Ethics Commission approved a series of new and increased fees designed to help the agency go after late filers. The new fees, coupled with a boost in state funding, should provide enough revenue to permit the agency to hire two new staff members dedicated to compliance, said commission Executive Director Lee Slater. The new staff will assist with the collection of late filing fees assessed to candidate committees, PACs, and other entities charged with disclosing campaign finance activities.

Oklahoma – House Freshmen, Senate Leadership Accept Thousands in Lobbyist Meals, Gifts
Oklahoma Watchdogs – Arthur Kane | Published: 7/8/2015

Lobbyists in Oklahoma lobbyists spent more than $300,000 this year on meals, gifts, and receptions for state lawmakers. Lobbyists spent the most on mass events for large groups of legislators. Those parties and caucus meals cost nearly $170,000. Rep. Casey Murdock received nearly $2,900 in meals and gifts, the most of any member of the Legislature. Murdock said being courted by lobbyists is not as glamorous as some may assume. “I’m looking forward to next year when I won’t be a freshman and won’t have to go to many dinners,” Murdock said. “It gets old. Often you’re not the least bit interested in what they’re selling and you’re going through the motions.”

South Carolina – South Carolina House Votes to Remove Confederate Flag from Statehouse Grounds
Washington Post – Elahe Izade and Abby Phillip | Published: 7/9/2015

The Confederate battle flag that has flown at the South Carolina Statehouse for more than 50 years will soon be gone after lawmakers capped a tension-filled session and voted to remove it from the Capitol grounds. The final vote in the House of Representatives was well above the two-thirds majority that was required to move the bill toward the desk of Gov. Nikki Haley, who called for the flag to come down after the massacre at the Emanuel African Methodist Episcopal Church in Charleston. Photographs emerged of the now-indicted shooter, an avowed white supremacist, posing with the emblem. Advocates for the flag’s removal say it represents a racist legacy and a dark chapter in the nation’s history, while defenders insist it symbolizes Southern heritage and honors fallen soldiers.

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.