On Monday, the Akron City Council rules committee voted to wait to make changes to the city’s campaign contribution limits.

Council President Gary Moneypenny’s proposal would have increased the limits for mayoral and council candidates by $100.

Former Councilman Warner Mendenhall, who promoted a petition for the original contribution limits in 1998, protested the proposed changes during the afternoon committee meeting.

The ethics panel recently assembled by Gov. Terry McAuliffe has assembled its recommendations for reforming laws covering gifts and conflicts of interest. The panel recommended a $250 gift limit to public officials as well as creating a new ethics review commission with the power to investigate complaints and hand out penalties for violations.

Other recommendations include requiring electronic filing of disclosure forms and prohibiting board and commission members from voting on matters affecting their interests.

The panel will formally submit its recommendations to the governor on December 1.

Lawmakers have prefiled a bill to clarify new ethics laws contained in a constitutional amendment passed by voters on November 4, 2014.

The amendment prohibits lobbyist gifts and corporate contributions, but the Ethics Commission needs further legislative authority to enforce the constitutional changes.

Democratic Rep. Warwick Sabin and Republican Sen. Jon Woods filed House Bill 1002 as a shell bill, without any specific proposals, to publicize the issue ahead of the session start date on January 12, 2015.

Photo of the Arkansas State Capitol by jglazer75 on Wikimedia Commons.

Lobbying

“Lobbyist Group to Elect New Leaders” by Megan Wilson for The Hill

“Which Lobbyists Interact with Your Lawmakers?” by Justin Hinkley for Lansing State Journal

“Patrick Lynch Lobbied Rhode Island Attorney General’s Office for Years but Never Registered” by Michelle Smith (Associated Press) for The Daily Journal

“Lobbyist – a Dirty Word or How Things Get Done?” by Cathy McKitrick for The Standard-Examiner

Campaign Finance

“How the GOP Used Twitter to Stretch Election Laws” by Chris Moody for CNN

“Federal Panel Upholds Mississippi Campaign Finance Law” by The Associated Press for Biloxi Sun Herald

“National Education Group Agrees to Pay $10,000 Fine for Oklahoma Election Ethics Violations” by Nolan Clay for The Oklahoman

“Lawmakers Punt on Campaign Disclosure Bill” by Trvor Brown for Wyoming Tribune-Eagle

Ethics

“Former SC State Senator Indicted on Public Corruption Charges” by Jamie Self for The State

“McAuliffe’s Ethics Panel Recommends Changes on Gift, Disclosure, Conflict Rules” by Jim Nolan for Richmond Times-Dispatch

Legislative Issues

“How McConnell World Works” by Anna Palmer for Politico

The Financial Industry Regulatory Authority (FINRA), a private, self-regulatory organization for U.S. securities firms, is proposing pay-to-play rules.

According to FINRA Regulatory Notice 14-50, posted on November 14, it is requesting comment on the proposed rules, which would regulate the activities of member firms engaging “in distribution or solicitation activities for compensation with government entities on behalf of investment advisers that provide or are seeking to provide investment advisory services to such government entities within two years after a contribution to an official of the government entity is made by the member firm or a covered associate.” The three specific rules for which FINRA is seeking comment are Rule 2271, Rule 2390, and Rule 4580.

A legislative committee has voted to table a draft bill to expand disclosure requirements for political independent expenditure groups. The bill would require a group to report an independent expenditure if it “directly or indirectly” advocated for the election or defeat of a candidate.

Current law requires reporting only if the expenditure “expressly” advocates for the election or defeat of a candidate. A majority of the Joint Corporations, Elections, and Political Subdivisions Interim Committee decided the language was overly broad.

The New York City Campaign Finance Board has proposed rules regulating political contributions by text message. The rules set forth the eligibility requirements for public funds matching of text message contributions, the process of record keeping requirements for such contributions, and requirements of contributors to certify their identities when making text message contributions.

The rules are open for public comment until November 20, 2014. A public hearing is scheduled for Monday, November 24, 2014 at 10:00 a.m.

On November 13, the official election results for American Samoa confirmed Republican Aumua Amata won the congressional race over the incumbent Democrat, Congressman Eni Hunkin Faleomavaega. According to SamoaNews.com, of the 10,246 votes cast, Amata received 4,306 to Faleomavaega’s 3,157 votes. Faleomavaega has served 13 terms as the territory’s delegate to the U.S. Congress.

Amata, who is the first female delegate from American Samoa, begins her term in the nonvoting position when the new Congress convenes on January 3, 2015.

Gov.-elect Tom Wolf, fresh off of a victorious first campaign for public office, is already taking steps to ensure the ethical conduct of his administration.

Wolf is requiring members of his transition team to sign a code of conduct including a ban on accepting gifts, one he plans to extend to the entire executive branch upon taking office.

The pledge also includes a requirement to disclose current and future conflicts of interest and a promise to not use their position for personal gain.

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

The Akron City Council is considering legislation to increase campaign finance limits for mayoral and council candidates. Limits for mayor and at-large council candidates would increase to $750 and the limit for ward council candidates would increase to $500.

The council is waiting to take action on the legislation until after public hearings have been held. Hearings will take place at the Rules Committee meeting and at the regular council meeting later today.

The 10 ward council seats, the three at-large council seats, and the mayoral seat will all be on the 2015 election ballot.

The state Ethics Commission unanimously approved Rebecca Stepto as its next executive director.

The decision comes after a six-week search involving 15 candidates.

Stepto, the current interim executive director, is the fifth person to hold the position.

Gov. Rick Scott has announced the dates for three special elections after state Sen. John Thrasher left his seat to become president of Florida State University. The other two elections are to fill the House seats of those seeking the open Senate spot.

Special primary elections will be held on January 27, 2015, and the special general elections on April 7, 2015. The affected House districts are Districts 17 and 24, while Thrasher vacated the Senate District 6 seat.

Lobbying

“Report: Energy contractor and former lawmaker lobbied officials for no-bid contract worth $2.4 billion per year” by Josh Hicks for Washington Post

Arizona: “Ducey Seeking Donations to Gubernatorial Transition Effort” by Howard Fischer (Capitol Media Services) for Arizona Daily Star

California: “California Legislators Flying to Maui to Meet with Special Interests” by Patrick McGreevy for Los Angeles Times

Campaign Finance

“Hate Political Ads? Skip Morning Shows” by Dave Levinthal for Center for Public Integrity

Massachusetts: “Election Was Awash in Cash, but Effect is Unclear” by David Scharfenberg for Boston Globe

San Diego, CA: “Fines Levied for Illegal Donations” by David Garrick for San Diego Union-Tribune

Ethics

Arkansas: “Arkansas Gov. Mike Beebe to Pardon Son on Drug Charge” by Sam Levine for Huffington Post

Hawaii: “Court: State must release financial disclosures for boards” by Nathan Eagle for Honolulu Civil Beat

North Carolina: “Ex-Duke Energy Lawyer Now Advising NC Regulators” by Michael Biesecker and Mitch Weiss (Associated Press) for Raleigh News and Observer

Ohio: “Canton Financial Advisor Sentenced to 45 Months in Ohio Treasurer’s Office Kickback Scheme” by Theodore Decker and Kathy Lynn Gray for Columbus Dispatch

Pennsylvania: “Ex-Official Pleads Guilty in Turnpike Scandal” by Angela Couloumbis for Philadelphia Inquirer

Washington: “Lt. Governor Defends Work Ethic, Outside Business” by Susannah Frame for KING

West Virginia: “Ethics Commission Hires Stepto as Director” by Phil Kabler for Charleston Gazette

Procurement

Idaho: “Court Says State Broke Law with Broadband Contract Law” by Nathan Brown for Twin Falls Times-News

Elections

“Spurred by Midterm Losses, Liberal and Moderate Democrats Square off Over Strategy” by Jonathan Martin for New York Times

Redistricting

Alabama: “Justices Hear Black Lawmakers’ Challenge to Alabama Redistricting” by Adam Liptak for New York Times

National:

Democrats Create an ALEC-Killer

Politico – Kenneth Vogel | Published: 11/9/2014

Liberal activists at the annual winter meeting of the Democracy Alliance will ask top donors to support a plan to reverse the Democratic decline in state governments. The goal of the State Innovation Exchange – SiX for short – is to compete with a well-financed network of conservative groups, including the American Legislative Exchange Council, that for years have dominated state policy battles, advancing pro-business, anti-regulation bills. SiX ultimately plans to raise as much as $10 million a year to boost progressive state lawmakers and their causes while also using tactics like opposition research and video tracking to derail Republicans and their initiatives.

Federal:

Mitch McConnell’s Triumph Strikes Worry in the Hearts of Campaign Finance Reformers

Huffington Post – Paul Blumenthal | Published: 11/8/2014

The U.S. Senate will likely be led next year by Mitch McConnell, the primary antagonist to campaign finance reformers. Over three decades, he has made it a top priority to disrupt and degrade campaign finance regulations. Believing that limits on campaign funds are a direct impediment to the First Amendment right of free speech, he has opposed past reform efforts. With McConnell’s ascendance and with Republicans increasingly unified in opposition to campaign finance reform, its advocates expect an assault on the few areas where they had hoped to enact new rules in the post-Citizens United world.

Outside Groups with Deep Pockets Lift G.O.P.

New York Times – Nicholas Confessore | Published: 11/5/2014

The midterm election was not only a major victory for the Republican Party, but a pivotal moment for the super PACs and political nonprofit groups that helped the party defeat Democrats across the country. Over the last year and a half, the conservative outside groups retooled and revamped, using lessons in how to exploit voter data, opposition research, and advertising learned from their less moneyed but more effective Democratic counterparts during 2012. As federal courts opened new avenues of influence for the wealthy and lenient enforcement effectively neutered what few legal and regulatory restraints remained on big-money politics, they took advantage of every available tool.

From the States and Municipalities:

Arizona – Ducey Seeking Donations to Gubernatorial Transition Effort

Arizona Daily Star – Howard Fischer (Capitol Media Services) | Published: 11/13/2014

Arizona Gov.-elect Doug Ducey is asking for private contributions to fund his transition team. That is in addition to the donors he will be looking to tap to pay for the ceremonial parts of his inauguration. Spokesperson Daniel Scarpinato said Ducey has placed a $15,000 limit on money from any one source, at least for the transition fund. Scarpinato said there will be no limits on how much anyone can give to the separate fund to pay for the formal inaugural and any parties that might be planned for afterward.

California – California Legislators Flying to Maui to Meet with Special Interests

Los Angeles Times – Patrick McGreevy | Published: 11/12/2014

Two dozen California lawmakers will travel to Hawaii for conferences subsidized and attended by interests that lobby the Legislature, such as oil companies, public employee unions, drug and tobacco firms, and others. Conference organizers said the events, on the island of Maui, provide a relaxed setting in which elected officials and issue experts can discuss solutions to some of the state’s most vexing problems. Watchdogs say it is wrong for corporate executives to pick up the tab so they can meet with lawmakers out of public view just before the next legislative session begins. Sarah Swanbeck of Common Cause said the timing of this year’s event is especially poor because several state senators were hit with criminal charges this year, two of them involving allegations of corruption.

California – Prison Guard Union Failed to Report $24,603 in Gifts to Lawmakers

Los Angeles Times – Patrick McGreevy | Published: 11/11/2014

The state prison officers’ union agreed to a $5,500 fine for failing to disclose gifts it gave to California lawmakers from 2009 to 2011 and a corresponding failure to give gift notifications to the recipients. The gifts include lodging, meals, wine, and spa bags for legislators at the annual Governor’s Cup Foundation golf tournament in Pebble Beach. The California Correctional Peace Officers Association said the failure to report $24,603 in gifts was inadvertent.

California – Sacramento Political Consultant Richie Ross Agrees to Pay Lobbying Fines

Sacramento Bee – Laural Rosenhall | Published: 11/10/2014

Lobbyist Richie Ross agreed to pay $5,000 in fines to the Fair Political Practices Commission for not collecting campaign consulting fees from two lawmakers, thus improperly putting them under the personal obligation to a lobbyist. Ross, who agreed to write off the debt owed by the legislators, is one of a few individuals who serve in dual roles as lobbyist and campaign consultant in California. While state law allows a person to hold both positions, Ross ran into trouble because of his practice of carrying debt for successful candidates who agreed to pay him a “win bonus.”

Connecticut – Election Highlights Flaws In Campaign Finance System

CTNewsJunkie.com – Christine Stuart and Hugh McQuaid | Published: 11/10/2014

On one hand, 2014 was a banner year for Connecticut’s public campaign finance system. Both candidates for governor, all the candidates for constitutional office, and more than 80 percent of the candidates for General Assembly seats participated. On the other hand, outside groups spent $15.9 million on the governor’s race, outpacing the $13 million the two candidates received from the clean election program. The public financing program has been on the books since 2005, but the midterm election was the first test of the law as it was reshaped by the state Legislature last year.

Florida – Link Shows How Lobby Firm Cultivates Influence

New York Times – Eric Lipton | Published: 11/9/2014

Florida Attorney General Pam Bondi invited Lori Kalani, a lobbyist and lawyer from Dickstein Shapiro, to stay at Bondi’s Tampa home while Kalani recovered from surgery. Dickstein Shapiro, a Washington, D.C.-based firm that specializes in building personal relationships with state attorneys general to help corporate clients avoid becoming targets of investigation, paid for Bondi’s travel to a resort island in Michigan in 2013. The Florida Commission on Ethics is reviewing a complaint asking it to investigate whether Dickstein Shapiro violated state law by not registering as a lobbying firm.

Georgia – Audit Reveals Systemic Problems at Ethics Commission

Gainesville Times – Joshua Silavent | Published: 11/6/2014

A review of the operations of the Georgia ethics commission by state auditors found inconsistent treatment of complaints, lack of formal procedures that results in unequal application of the law, and questionable expenditures. The report lists management problems, such as underqualified staff, poor documentation, and inadequate data controls. The commission requested the review in hopes of ending a string of scandals stemming from agency operations, according to Chairperson Hillary Stringfellow. There have been four executive secretaries heading the commission staff since 2006 and a 46 percent employee turnover rate in the last two years.

Louisiana – Feds Investigating Arson Attack on Political Operative’s Uptown Home

New Orleans Times-Picayune – Ken Daley | Published: 11/8/2014

The home and two cars of a campaign finance director for a pro-solar energy candidate running for the Louisiana Public Service Commission were firebombed on November 6. No one was injured in the explosions, and authorities have yet to establish a direct link between the apparent attacks and the campaign’s efforts to promote solar energy. The finance director targeted, Mario Zervigon, is a well-known political operative in the state. Zervignon worked for Forest Bradley-Wright, who is campaigning on a program that allows solar-panel users to continue to sell their excess electricity to utility companies. He is facing incumbent Eric Skrmetta in the December 6 run-off election.

Louisiana – Louisiana Politicians Spent Lavishly on Meals, Golfing, Gifts, Other Perks in 2013

New Orleans Times-Picayune – Lee Zurdik (WVUE) and Manuel Torres | Published: 11/6/2014

Records show Louisiana politicians spent millions of dollars in 2013 on meals, golf rounds and club dues; gifts to unnamed recipients; tickets to Louisiana State University and New Orleans Saints football games; and other events. State law prohibits using campaign money for personal expenses, according to the Board of Ethics, but allows expenses “related to a political campaign or the holding of a public office or party position.” Lawmakers last year failed to clearly define what that means, despite calls by watchdogs and the ethics board for stricter rules.

Mississippi – Christopher Epps, Former Chief of Prisons in Mississippi, Is Arraigned

New York Times – Timothy Williams | Published: 11/6/2014

Mississippi’s former prisons chief pleaded not guilty to federal charges that he accepted cash and mortgage payments in exchange for awarding prison contracts to companies tied to a local businessperson. Christopher Epps, who resigned as commissioner of the Mississippi Department of Corrections on November 5, was indicted on charges he and co-defendant Cecil McCrory were involved in a kickback scheme that started in 2007 and continued for seven years.

Nevada – With a $10,000 Cap on Political Contributions, How Did Caesars Give Gov. Brian Sandoval $215,000?

Las Vegas Sun – Conor Shine | Published: 11/12/2014

In more than a dozen cases, one company or person used multiple companies to donate to a single candidate in excess of Nevada’s standard limit, according to a Las Vegas Sun analysis. The practice stems from the way the law is written. Political contributions are capped at $10,000 per donor, whether it is an individual or a business. But for businesses that operate subsidiaries, each subsidiary or affiliate is eligible to make a $10,000 contribution, even if they are all controlled by the same person or group of people. The result is a gap in the law that allows mostly large companies in Nevada’s gaming, mining, and taxi industries to direct tens of thousands of dollars to their preferred candidates.

Pennsylvania – Sending Signals: Gov.-elect Tom Wolf bans gifts, limits no-bid legal work

Philadelphia Inquirer – Tom Fitzgerald and Amy Worden | Published: 11/12/2014

A code of conduct for Pennsylvania Gov.-elect Tom Wolf’s transition team foreshadows something he plans to impose on his first day on office: a gift ban on his appointees and executive branch employees. Wolf plans to sign an executive order to prohibit gifts, even though state law allows officials to accept gifts worth up to $250 without reporting them, or gifts worth more than that amount if disclosed. Wolf also said he would curb the practice of giving no-bid contracts to private law firms when he takes office.

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.