“Google Reveals its Innovation Lab for Government” by Jason Shueh in Government Technology.

“The Federal Government May be Unpopular, but Science and Tech Agencies Remain a Hit” by Hallie Golden in Nextgov.

“For Feds, Choosing Cloud Services is a Lot Like Dating” by Frank Konkel in Nextgov.

Maine: “Social media trending in municipal government” by Kelley Bouchard in the Portland Press Herald.

South Carolina: “Social media to be banned for state employees while working” by Cassie Cope in The State.

Lobbying

“K Street: We’re not the ‘boogeyman’” by Megan Wilson for The Hill

“Out of Jack Abramoff’s Ashes” by Anna Palmer for Politico

Missouri: “Ethics Bill Gets Early Hearing as Senate Leader Pushes Changes in Lobbying Rules” by Rudi Keller for Columbia Daily Tribune

Rhode Island: “Mollis’ Former Attorney Ordered by R.I. Superior Court Judge to Pay $18,000 Fine” by Jennifer Bogdon for Providence Journal

Campaign Finance

“How Public Funding of Elections Makes Politics Even More Polarized” by John Sides for Washington Post

Ethics

Florida: “Inquiry Sought After Former Commissioner Accuses Gov. Rick Scott of Meddling” by Lizette Alvarez for New York Times

New York City, NY: “Ethics Probe Targets City Council Speaker, Consultant” by Chris Bragg for Crain’s New York Business

New York: “Silver’s Case May Have Vast Impact and Alter Entrenched Way of Governance” by Michael Grynbaum and Jesse McKinley for New York Times

What grassroots activities are you involved in? Are you registered as a lobbyist? Could your activities trigger registration and reporting? What doesn’t require reporting in one state or municipality could easily require it in another and failure to do so could cause major problems for you and your company.

Don’t get caught with your head in the sand! Come have lunch on us and sit down with State and Federal Communications before the start of the PAC Grassroots Conference to discuss government compliance and more.

As a special thank you, all attendees will receive a Starbucks gift card.

Check out our video for luncheon details and R.S.V.P. here!

National:

‘Competitive Disadvantage’?: Pay-to-pay rules and the 2016 stakes
NBC News – Carrie Dunn | Published: 1/15/2015

Governors may face a unique challenge when it comes to raising the big money it takes to be president from some of the most generous donors out there: denizens of Wall Street. That is because of federal “pay-to-play” rules put into place by the Securities and Exchange Commission that effectively bar many state officials from receiving substantial political contributions from financial advisers interested in the often-lucrative business of state contracts, particularly the management of huge state pension funds. The rules can be fuzzy and even experts say it is not always entirely clear which donations trigger a violation. It all means that big-dollar Wall Street donors are playing it safe.

The Wealthiest Are Getting Wealthier, and Lobbying Has a Lot to Do with It
PBS – Simone Pathe | Published: 1/19/2015

Oxfam predicts a widening wealth gap and points a finger at lobbying for much the of wealth accumulation at the top. The world’s richest one percent is likely to control over 50 percent of global wealth by next year, according to a report from Oxfam. The report zeroes in on the political influence affordable to the wealthy: lobbying, specifically in the financial and pharmaceutical and health care industries.

Federal:

How Citizens United Has Changed Politics in 5 Years
U.S. News & World Report – Gabrielle Levy | Published: 1/21/2015

In its Citizens United decision, the U.S. Supreme Court said political spending is protected under the First Amendment, meaning corporations and unions could spend unlimited amounts of money on political activities, as long as it was done independently of a party or candidate. The legal protections for corporations mean much of this spending, known as “dark money,” never has to be publicly disclosed. Most observers say the justices made a good-faith effort to promote transparency and prevent coordination in the ruling. But the contradiction between the court’s stated desire for transparency and its definition of corporations as people protected by the First Amendment created a loophole that campaigns and PACs can use to their advantage.

IRS Rarely Audits Nonprofits for Politicking
Center for Public Integrity – Julie Patel | Published: 1/22/2015

More than 100 nonprofit groups have directly involved themselves in elections during recent years, some spending tens of millions of dollars. The rest, largely charities that are generally prohibited from campaigning for politicians, are seldom monitored by the IRS to ensure they follow federal law. The situation leaves the groups largely free to operate like political committees without fear of reprisal. The IRS told the Center for Public Integrity that it has only begun auditing 26 organizations specifically for political activity since 2010. That represents a tiny fraction of the more than 1 million nonprofits regulated by the agency.

Supreme Court Considers Whether Judges Can Directly Ask for Campaign Donations
Washington Post – Robert Barnes | Published: 1/20/2015

The U.S. Supreme Court appeared divided as it weighed a free speech challenge to a Florida law that bars candidates running for elected judge positions from soliciting campaign contributions. Lanell Williams-Yulee, who ran for county court judge in Tampa, objected when Florida’s Supreme Court publicly reprimanded her for violating a rule preventing candidates from seeking donations. She argued the rule violated her free speech rights. Conservatives on the Supreme Court appeared to favor her free speech argument. The court’s liberals voiced support for the state’s right to ensure the judiciary’s impartiality.

From the States and Municipalities:

Arizona – Phoenix Stalls on Overhaul of Ethics Rules
Arizona Republic – Dennis Gardiner | Published: 1/20/2015

Phoenix City Council members have spent months debating a list of ethics reforms recommended by a task force. The council initially warmed to major changes, but several members reversed course on a proposal to create a commission to enforce any new rules and voted it down. Although the subcommittee scuttled plans for an ethics commission, they have advanced new gift-reporting requirements for elected officials and board members. By requiring leaders to report gifts exceeding $50, supporters say, the new rules promote transparency. But council members added a few exemptions to the requirement, including a provision that would allow elected officials not to report gifts they receive related to travel for city business.

California – Billboard Firm to Put Up Signs Backing Six L.A. Council Candidates
Los Angeles Times – David Zahniser | Published: 1/20/2015

A billboard company challenging Los Angeles’ restrictions on digital signs will donate tens of thousands of dollars in advertising to help city Councilperson Jose Huizar, who heads the committee drafting new sign regulations, and five other candidates in the March 3 election. City law bars campaign contributors from giving council candidates more than $700 during an election cycle. But there are no limits on expenditures such as those being made by Lamar Advertising, as long as they are made independently from a candidate’s campaign.

Connecticut – Can Connecticut’s Campaign Finance Reforms Be Saved?
CT Mirror – Mark Pazniokas | Published: 1/19/2015

Prescriptions for fixing Connecticut’s system of publicly financing campaigns vary wildly. Its tight limits on contributions and spending turned porous in 2014, tarnishing what had been a shiny instrument of campaign finance reform. One basic challenge is how the Citizens’ Election Program can remain relevant in an era of unlimited independent expenditures. Another is how it can survive some of the changes made in 2013 in response to the fear of outside money.

Florida – Jeb Bush Kept Key Roles in Florida Firm amid Signs of Trouble
Washington Post – Tom Hamburger and Matea Gold | Published: 1/19/2015

One of the first business ventures that Jeb Bush got involved with after leaving the Florida governor’s mansion in 2007 was InnoVida, a company that ended up bankrupt, with two top executives in federal prison. Previously unreported court documents suggest Bush was more involved with the company than has been publicly known, and he deepened his role even as others grew concerned about its financial practices. Bush’s aides say he broke from the company and voluntarily repaid consulting fees as soon as questions arose. Nevertheless, Bush’s involvement with InnoVida provides insight into his approach as a businessperson and illustrates how his corporate ties could affect his presidential aspirations.

Missouri – At $37 Million and Counting, Mega-Donor Sinquefield Says He’s Not Going Anywhere
St. Louis Post-Dispatch – Kevin McDermott and Virginia Young | Published: 1/18/2015

To hear U.S. Sen. Claire McCaskill tell it, multimillionaire Rex Sinquefield pulls Missouri’s political strings like a high-priced puppet master. “He is, methodically, through a number of front groups, trying to buy government, buy judges, buy journalists … buy the Legislature,” warns McCaskill. It is a view widely echoed by fellow Democrats and even some Republicans. Since 2005, Sinquefield has donated more than $37 million to state-level candidates and causes. He is by far the most prolific political patron in the history of the state, and one of the biggest in the country.

New York – Sheldon Silver, New York Assembly Speaker, Is Accused of Taking Millions in Graft
New York Times – William Rashbaum, Thomas Kaplan, and Susanne Craig | Published: 1/22/2015

New York Assembly Speaker Sheldon Silver was arrested on public corruption charges, accused of using his position as one of the most powerful men in Albany to obtain millions of dollars in bribes and kickbacks masked as legitimate income. He is charged with mail fraud, wire fraud, and extortion. The complaint maintains that for more than a decade, Silver devised a scheme “to induce real estate developers with business before the state” to use a real estate law firm controlled by a lawyer who had once worked as Silver’s counsel who orchestrated payments to the speaker for referrals to the firm.

Pennsylvania – Wolf Bans Gifts for Executive Branch First Day as PA Governor
Watchdog.org – Andrew Staub (PA Independent) | Published: 1/21/2015

On his first day in office, Pennsylvania Gov. Tom Wolf signed executive orders banning gifts for members of the executive branch and prohibiting no-bid contracts for private law firms. The ban makes exceptions for gifts from family and friends, bank loans, and free participation in gatherings in which officials are acting in their official duties and have been invited. There also are at least six proposals addressing gifts in the state House and Senate.

Texas – Prosecutor: Perry veto forced an end to several cases
Texas Tribune – Ross Ramsey and Reece Hamilton | Published: 1/17/2015

Texas Governor Rick Perry was indicted last summer for a veto threat of the Travis County public investigation unit’s funding. The vetoed funding killed an investigation into the state Department of Public Safety’s no-bid contracts. The Public Integrity Unit had been investigating the agency for awarding up to $20 million in no-bid contracts to a Virginia defense contractor for Perry’s expanding border security measures. Perry’s nixing of $7.5 million of the unit’s funding depleted its resources, reportedly shuttering the investigation.

Virginia – Judicial Appointment for Puckett’s Daughter Clears Va. Legislature
Washington Post – Laura Vozzella and Jenna Portnoy | Published: 1/20/2015

The Virginia Legislature voted to give Martha Puckett Ketron a juvenile court judgeship. In previous sessions, the Senate had always refused to appoint her to a full, six-year term while her father, Phillip Puckett, served in the chamber, citing an anti-nepotism policy. Phillip Puckett stepped down in June, in part, he said, to clear the way for her appointment. But the timing of his exit, which threw control of the evenly divided Senate to Republicans, infuriated fellow Democrats and triggered a six-month federal investigation that concluded without charges. Puckett also left as he was discussing a job for himself with the state tobacco commission. Democrats accused him of trading his Senate seat for jobs for himself and his daughter.

Washington – House Follows Senate, Bans Open Gun Display in Visitor Galleries
Seattle Post-Intelligencer – Joel Connelly | Published: 1/19/2015

The Washington Legislature adopted rules prohibiting display of weapons in the visitor galleries after an incident in which about 15 armed “open carry” advocates marched from a demonstration on the Capitol steps into the House gallery. Such arms-packing gun rights advocates in the future will be asked to leave or subject to arrest for criminal trespassing.

State and Federal Communications produces a weekly summary of national news, offering more than 80 articles per week focused on ethics, lobbying, and campaign finance.

In a statement regarding the impact of a recent district court order, the Arizona Office of the Secretary of State said it is not currently enforcing the compliance provisions of campaign finance law.

In December, the United States District Court for the District of Arizona ruled A.R.S. §16-901(19), the definition of political committee, unconstitutional. A motion to stay the case, Galassini v. Town of Fountain Hills, was filed by the Arizona Attorney General’s Office to maintain the current application of campaign finance law while an appeal is being filed with the Ninth Circuit, according to the secretary of state.

However, the secretary of state “strongly encourages all political committees to adhere to the statutory requirements until a final resolution is obtained to prevent any unforeseen challenges if the appeal is successful”.

Assemblyman Sheldon Silver, speaker of the New York State Assembly, was arrested on federal corruption charges. He is accused of taking millions of dollars in bribes. Mr. Silver, a Democrat, has served as speaker for more than 20 years.

According to the New York Times, the corruption charges stem from accusations of using his position to obtain corrupt payments misrepresented as referral fees from a law firm; funneling state research funds and other benefits to a doctor who in return referred asbestos claims to the law firm where the speaker worked; and secretly helping real estate developers win tax breaks.

In New York, state legislators who are charged with crimes can continue to serve unless and until convicted of a felony, at which point the legislator must leave office.

The New York City Campaign Finance Board’s newly approved rules permitting candidates enrolled in the public matching funds program to receive contributions via text message took effect January 20, 2015.

The rules permit public funds to match the text message contribution once those contributions are paid via the contributor’s phone bill.

The rules further establish record keeping requirements for text message contributions and a process to certify the identity of the contributor.

Photo of Manhattan courtesy of AngMoKio on Wikipedia.

Rep. Debbie McCune Davis has introduced a bill in the statehouse requiring lobbyists registered in Arizona to report their compensation.

House Bill 2136 amends the Arizona lobbying law by requiring every lobbyist, including a lobbyist for compensation, authorized lobbyist, authorized public lobbyist, designated lobbyist, and designated public lobbyist, to file a statement of compensation paid to the lobbyist for lobbying activities at the same time quarterly expenditure reports are due. Currently a lobbyist’s salary is not reported.

Photo of the Arizona State Capitol by Jeff Dean on Wikimedia Commons.

Lobbying

“K Street’s Small Shops Are Winning Big” by Megan Wilson for The Hill

Arizona: “Lawmaker Wants Lobbyists’ Compensation to Be Public Information” by Kristena Hansen for KJZZ

Illinois: “Fioretti Wants to Rein in Lobbyists for Ethics Reform” by Fran Spielman for Chicago Sun-Times

Texas: “Companies Tied to Patrick’s Advisers Lobby Heavily” by Morgan Smith, Becca Aaronson, and Jolie McCullough for Texas Tribune

Campaign Finance

California: “Long Beach City Council Approves Increasing Caps for Officeholder Accounts” by Eric Bradley for Long Beach Press-Telegram

California: “Billboard Firm to Put Up Signs Backing Six L.A. Council Candidates” by David Zahniser for Los Angeles Times

Ethics

Kansas: “Senate Panel Takes Up Election Bills Vetoed by Brownback” by Tim Carpenter for Topeka Capital Journal

Pennsylvania: “Wolf Bans Gifts for Executive Branch First Day as PA Governor” by Andrew Staub (PA Independent) for Watchdog.org

South Carolina: “Independent Investigation of SC Lawmakers Heads to House, Senate Floors” by Cassie Cope and Andrew Shain for The State

Virginia: “Judicial Appointment for Puckett’s Daughter Clears Va. Legislature” by Laura Vozzella and Jenna Portnoy for Washington Post

City Council has cast the first of two required votes to increase contribution limits for officeholder accounts. Ordinance 15-0062 triples total permissible contributions per calendar year to city officeholder accounts to $30,000 for council members and to $75,000 for citywide elected officials.

Individual contributor limits per calendar year will also rise from $500 to $750 for council officeholder accounts and from $500 to $1,000 for citywide officeholder accounts.

The second required vote could take place as early as the next regularly scheduled meeting on February 3, 2015.

As promised, Gov. Tom Wolf has signed two executive orders to bring about ethics reform. The first order bans all employees, appointees, and officials of the executive branch from soliciting or accepting gifts from individuals attempting to influence decisions.

The second creates a prohibition on no-bid contracts to law firms, requiring competitive bidding procedures be used for all legal services contracts.

Gov. Wolf signed the orders immediately following his inauguration address. Both executive orders are effective immediately.

Photo of Gov. Tom Wolf by Bruestle2 on Wikimedia Commons.

State and Federal Communications is excited to be attending the 2015 National Grassroots Conference on February 3-6. Elizabeth Bartz, president and CEO of the company, and a team of three of the staff, will be heading to Key West to participate in the program.

We  believe in the great value of this gathering and so we are proud to be the sponsor of the Live Twitter Board at the conference. You can follow the conversations on Twitter @PACouncil #GRC15.

Lobbying

“The Wealthiest Are Getting Wealthier, and Lobbying Has a Lot to Do with It” by Simone Pathe for PBS

“Poll Shows Wide Public Support for Lobbyist Disclosure” by Steve Terrell for Santa Fe New Mexican

Campaign Finance

“Supreme Court Is Divided Over Judges’ Fundraising” by Richard Wolf for USA Today

“The ‘Draft Elizabeth Warren’ Movement Is About to Get Help from New Campaign Finance Rules” by Emily Schultheis for National Journal

Ethics

“Phoenix Stalls on Overhaul of Ethics Rules” by Dustin Gardiner for Arizona Republic

“Jeb Bush Kept Key Roles in Florida Firm amid Signs of Trouble” by Tom Hamburger and Matea Gold for Washington Post

“Cuomo Plans Panel on Legislative Pay and Restricting Outside Income” by Susanne Craig for New York Times

“Spokane Updates its Ethics Code” by Nick Deshais for Spokane Spokesman-Review

Legislative Issues

“House Follows Senate, Bans Open Gun Display in Visitor Galleries” by Joel Connelly for Seattle Post-Intelligencer

“The Freshmen: New lawmakers experience highs, lows of serving in Legislature” by Laura Hancock for Casper Star-Tribune

Lobbying

“Some K Street Donors Slow to Commit to another Romney Bid” by Fredreka Schouten for USA Today

“Gifts to Va. Lawmakers down Last Year Following McDonnell Scandal” by Jenna Portnoy for Washington Post

Campaign Finance

“RNC Date Change Gives Dark Money More Room to Operate” by Jacob Fenton and Peter Olsen-Phillips for Sunlight Foundation

“Outside Donors, ‘Dark Money’ Influenced Ariz. Races” by Alia Beard Rau for Arizona Republic

“Can Connecticut’s Campaign Finance Reforms Be Saved?” by Mark Pazniokas for CT Mirror

“Jury Returns Split Verdict in Campaign Finance Case” by Hugh McQuaid for CTNewsJunkie.com

“With Ballot Question, Maine Group Aims to Bolster Struggling Public Financing Elections Law” by Alanna Durkin (Associated Press) for Greenfield Daily Reporter

“At $37 Million and Counting, Mega-Donor Sinquefield Says He’s Not Going Anywhere” by Kevin McDermott and Virginia Young for St. Louis Post-Dispatch

“Changes Afoot to Tighten Campaign Finance Reporting Laws in Montana” by Mike Dennison for The Missoulian

Ethics

“Prosecutor: Perry veto forced an end to several cases” by Ross Ramsey and Reeve Hamilton for Texas Tribune