State and Federal Communications is always a supporter of our Northeast Ohio treasure, WKSU.

This year we are proud to be a sponsor of WKSU’s coverage of Election 2014!

With each election, the company’s President and CEO Elizabeth Bartz encourages greater voter-turnout: “Exercise your right to vote! It is your personal opportunity to be heard!”

The WKSU Election 2014 page aptly says: “Even though 2014 is not a Presidential Election year, there are many important races throughout Northeast Ohio and across the state. The WKSU newsroom will offer in-depth coverage of the races and issues that affect the region.”

Toronto Mayor Rob Ford won another election last night in Toronto, albeit for the Ward 2 City Council seat he occupied before becoming mayor. The incumbent mayor’s brother, Doug Ford, lost his own bid to be the next mayor of the city against John Tory, the Progressive Conservative candidate.

According to CBC News Toronto,  Rob Ford, who withdrew from the mayoral race earlier this year due to illness, said, “I can assure you, I’ll be taking care of my health and I’ll be taking care of the people in Etobicoke North and I’ll continue to take care of every taxpayer in this city, like I always have.”

Photo of Rob Ford by West Annex News on Wikimedia Commons.

Lobbying

Arizona: “Lobbyists Aid Campaigns of Doug Ducey, Fred DuVal” by Yvonne Wingett Sanchez and Rob O’Dell for Arizona Republic

New York: “Mayor’s Old Pal Wins New Biz as Lobbyist” by Chris Bragg for Crain’s New York Business

Oklahoma: “Rule Change Will Allow Lobbyists to Spend More on Oklahoma Lawmakers” by Rick Green for The Oklahoman

Campaign Finance

“The Cost of Campaigns” by Clyde Haberman for New York Times

“Campaign Finance Officials Aim to Cure the Paper-Obsessed Senate through Crowd-sourcing, Algorithms” by Nancy Scola for Washington Post

“FEC Deadlock Keeps Internet Free from Broadcast Campaign Ad Regulations” by Stephan Dineen for Washington Times

Connecticut: “In Connecticut Race, a Loophole Lets Party Money Flow for a Kennedy Scion” by Alison Leigh Cowan for New York Times

Kansas: “A Kansas Group’s Push to Oust Judges Reveals a Gap in Campaign Finance Rules” by Robert Faturechi for ProPublica

Ethics

Florida: “Palm Beach County Considers Changes to Ethics Rules” by Andy Reid for South Florida Sun Sentinel

Pennsylvania: “Federal Grand Jury Reviewing Liquor Control Board Violations, Sources Tell Trib” by Kari Andren for Pittsburgh Tribune-Review

Political Advertising

“As Bottle Bill Politics Hits Supermarket Aisles, Shoppers Have Mixed Reactions” by Shira Schoenberg and Carolyn Robbins for MassLive.com

No special election will be held to replace former House Speaker Bobby Harrell in House District 114. Harrell, who recently pleaded guilty to ethics violations, will remain on the November 4 ballot, but will not be eligible to win the election.

The plea agreement requires Harrell to resign, not seek office for three years, and cooperate in other investigations. The race for House District 114 will be decided between Democrat Mary Tinkler and Green Party nominee Sue Edward.

On October 22, U.S. District Judge Dana Christensen upheld the Montana’s campaign finance law. Montanans for Community Development (MCD), a nonprofit organization, had brought the lawsuit challenging the law’s requirement to have the organization report its financial supporters.

According to Missoulian.com, MCD wanted to circulate political advertisements without disclosing the identity of its donors. Disagreeing with MCD’s argument, the court found the statutes were not too vague to be constitutionally valid. MCD’s legal representation included James Bopp, a frequent challenger of campaign finance laws.

Lobbying

“Pa. Lobbyist Fees Increased to Pay for Public Disclosure Database” by Christian Alexandersen for Harrisburg Patriot-News

Campaign Finance

“IRS Notches Legal Victory in Tea Party Cases” by Rachel Bade for Politico

District of Columbia: “Guilty Plea for Hakim Sutton, Former Treasurer of Disgraced D.C. Council Member” by Aaron Davis for Washington Post

Montana: “Judge Refuses to Enjoin State Campaign Finance Laws” by Charles Johnson for Helena Independent Record

Ethics

Florida: “Former Homestead Mayor, Wife Reaped $200,000 from Favor Seekers” by Michael Vasquez for Miami Herald

Georgia: “Five Questions the Georgia State Ethics Investigation of Governor Nathan Deal’s 2010 Campaign Never Answered” by Jim Walls for Atlanta Magazine

Kentucky: “State Rep. Keith Hall Indicted on Bribery Charge” by John Cheves for Lexington Herald-Leader

Philadelphia, PA: “Ex-Traffic Court Judge Charged in Once Abandoned Sting Case” by Craig McCoy and Angela Couloumbis for Philadelphia Inquirer

North Providence, RI: “Developer Baccari Found Not Guilty in North Providence Corruption Scandal” by Mark Reynolds for Providence Journal

Wisconsin: “Rep. Bill Kramer Faces Jail Time after Pleading to Sexual Assault” by Bruce Vielmetti for Milwaukee Journal-Sentinel

Commissioner of Lobbying Karen Shepherd has drafted a revised Code of Conduct and invited written submissions on the proposed revisions. The changes focus on the relationship between lobbyists and public officials, while removing rules relating to the relationship between lobbyists and clients.

New rules would prohibit a lobbyist from lobbying a public official if the lobbyist has campaigned for or has business interests with the public official. New gift regulations would hold a lobbyist responsible for giving a gift the public official is not allowed to accept.

Once Shepherd finalizes the revisions, they will be referred to the House of Commons Standing Committee on Access to Information, Privacy, and Ethics, before being published in the Canada Gazette.

The Hawaii State Senate convened a special session on Wednesday, October 22, to consider judicial appointments to the Circuit Court of the First Circuit and to the District Court of the Third Circuit.

Private attorney Jeffrey Crabtree and Family Court Judge Christine Kuriyama were both confirmed for 10-year appointments on the Circuit Court. Margaret Masunaga, a former deputy attorney general and private attorney, was confirmed for a six-year County District Court term.

Following the confirmations the Senate adjourned sine die on Thursday, October 23.

Washington, D.C. voters will elect their attorney general for the first time on November 4, 2014. Up until this year, the attorney general has been appointed by the mayor.

In 2010, voters approved a charter amendment authorizing the first election of the city’s attorney general and setting a primary election for April 2014. In late 2013, the council passed a law delaying the election from 2014 to 2018, fearing the city lacked the necessary preparation.

Paul Zukerberg, a candidate for attorney general, challenged the 2013 law in court. In June 2014, the Court of Appeals ruled an election must be held in 2014 unless it would not be practically possible for the D.C. Board of Elections to do so.

Following a directive by the Court of Appeals to set a date for the election, the D.C. Superior Court decided the election will be held on November 4, 2014, the same day as the mayoral election.

Gov. Tom Corbett has signed a bill to curtail pay-to-play politics in state procurement contracts. House Bill 201 prohibits individuals who were employed by an offeror within the previous two years from participating in the evaluation of proposals.

The new law will prevent recently hired government workers from rewarding their former employers with large state contracts.

This provision will go into effect on December 20.

National:

Corporations, Advocacy Groups Spend Big on Ballot Measures

The Center for Public Integrity – Liz Whyte | Published: 10/23/2014

Voters may not know it, but the millions of dollars paying for ads on ballot measures they will consider on November 4 come from large companies and national advocacy groups. Many of the messages are tailored to defend or expand the business interests of companies such as Coca-Cola and Monsanto, yet few have their names in the ads. Through October 20, television ad spending on ballot issues totaled roughly $119 million. Four of the five most expensive ballot initiatives feature at least one corporate patron.

How Judicial Campaign Ads May Be Affecting Legal Decisions

Washington Post – Niraj Chokshi | Published: 10/22/2014

A new study found that the more ads aired during state Supreme Court campaigns, the more likely justices are to rule against criminal defendants, potentially from fear of appearing “soft on crime.” That finding is the result of an analysis of 3,000 state Supreme Court criminal appeals from 2008 to 2013 and is the latest in a string of recent research that suggests increased campaign spending, by pro-business groups in many cases, may be distorting judicial rulings. The report also shows outside spending in judicial races has been on the rise in recent years and such groups tend to buy more attack ads than candidates or parties.

Federal:

How Billionaire Oligarchs Are Becoming Their Own Political Parties

New York Times – Jim Rutenberg | Published: 10/17/2014

The U.S. Supreme Court’s Citizens United ruling in 2010 effectively blew apart the Bipartisan Campaign Reform Act’s (BCRA) restrictions on outside groups and their use of corporate and union money in elections. That same year, a related ruling from a lower court made it easier for wealthy individuals to finance those organizations. The result was a power shift, from the party bosses to the rich individuals who ran super PACs. Individuals with the wherewithal can start what are in essence their own political parties, built around pet causes or industries and backing politicians uniquely answerable to them. “Suddenly, we privatized politics,” said Trevor Potter, an election lawyer who helped draft BCRA.

Why House Republicans Alienate Hispanics: They don’t need them

New York Times – Nate Cohn | Published: 10/21/2014

Republicans would stand little, if any, chance of winning the presidency in 2016 if they do not do more to appeal to Hispanic voters. Yet the party’s congressional leaders show little sign of doing so, blocking an immigration overhaul and criticizing President Barack Obama for his plan to defer deportation for undocumented migrants. There is a simple reason that congressional Republicans are willing to risk alienating Hispanics: they do not need their votes, at least not this year. The GOP would probably hold the House, and still have a real chance to retake the Senate, if they lost every single Hispanic voter in the country.

From the States and Municipalities:

Alabama – Alabama House Speaker Mike Hubbard Indicted

USA Today – Brian Lyman (Montgomery Advertiser) | Published: 10/20/2014

Alabama House Speaker Mike Hubbard was indicted on 23 felony counts in a months-long investigation into allegations of political corruption. According to the indictment, Hubbard used his position as chairperson of the state Republican Party and as a House member to secure business for his companies. He is also accused of soliciting help with his business from some of the most prominent names in the state, including former Gov. Bob Riley, who is now a lobbyist. As part of the wider probe, Rep. Greg Wren pleaded guilty to a misdemeanor charge of using his office for personal gain and resigned his seat. Rep. Barry Moore pleaded not guilty to perjury and giving false statements, and his trial is scheduled to start soon.

California – Campaign Cash Crackdown OK’d

San Diego Union Tribune – David Garrick | Published: 10/21/2014

San Diego City Council members unanimously adopted a series of new campaign finance regulations. The rules would force PACs to disclose their largest contributors earlier in a campaign. They would also make it harder for a political committee to reproduce and distribute the exact same advertisements and campaign literature used by a candidate the committee supports.

Illinois – Reporter Resigns Following Rauner Complaint

Belleville News Democrat – Sara Burnett (Associated Press) | Published: 10/22/2014

Dave McKinney quit his job at The Chicago Sun-Times and accused the newspaper of bowing to pressure from gubernatorial candidate Bruce Rauner by removing him from the campaign beat. McKinney, a 19-year veteran of the newspaper who covered the state capital, said The Sun-Times reassigned him after the Rauner campaign accused him of a conflict-of-interest, which he denies. McKinney said the paper stopped assigning him to cover the gubernatorial campaign after publishing an article by him and two other reporters that alleged Rauner made bullying statements to a person who had threatened to sue one of his companies. The newspaper recently reversed a three-year policy of not endorsing political candidates; its lone endorsement of the 2014 campaign was of Rauner for governor.

North Carolina – Charter School Power Broker Turns Public Education into Private Profits

ProPublica – Marian Wang | Published: 10/15/2014

Businessperson Baker Mitchel has started four charter schools in North Carolina. His model for success embraces decreased government regulation, increased privatization, and, if all goes well, healthy profits. Every year, millions of public education dollars flow through his chain of four nonprofit charter schools to for-profit companies he controls. Over six years, Mitchell’s companies have taken in close to $20 million in fees and rent, some of the schools’ biggest expenses. The schools buy or lease nearly everything from companies owned by Mitchell. Unlike traditional school districts, at Mitchell’s charter schools there is no competitive bidding.

South Carolina – Donors Use Loophole to Pour Money into Governor’s Race

Charleston Post & Courier – Jeremy Borden | Published: 10/17/2014

Chowdary Yalamanchili, a Houston real-estate investor, has maxed out campaign contributions to South Carolina Gov. Nikki Haley for himself and at least 16 business entities. Haley’s opponent, state Sen. Vincent Sheheen, has received tens of thousands in donations from several different entities affiliated with the South Carolina Association for Justice, a trial lawyer’s trade group. In both cases, the organizations and people involved were within the state’s $3,500 maximum contribution limit but were able to give more by creating separate but similar business entities. Under South Carolina law, each business or corporate entity is considered a separate person, able to contribute the personal maximum of $3,500.

South Carolina – SC House Speaker Harrell Pleads to 6 Misdemeanor Finance Violations; Gets No Jail Time

The Daily Journal – Meg Kinnard (Associated Press) | Published: 10/23/2014

South Carolina House Speaker Bobby Harrell pleaded guilty to six counts of misconduct in office and will immediately resign his seat. Harrell was sentenced to six years in prison, which will be suspended as long as he completes three years of probation as part of the plea agreement. He also agreed to help prosecutors in any other investigations into wrongdoing involving the Legislature. He must pay a $30,000 fine and reimburse the state $93,958, and cannot to seek or hold public office for three years. Harrell was indicted in September on ethics and misconduct-related charges, including illegally using campaign money for personal expenses and filing false disclosure reports.

Vermont – Court Finds Republican Governors Association Violated Vermont Campaign Finance Law

Columbus Republic – Dave Gram (Associated Press) | Published: 10/22/2014

A Vermont judge ruled the Republican Governors Association (RGA) violated campaign finance law when it set up a PAC – Green Mountain Prosperity – that the state said was designed to get around a $2,000 campaign contribution limit. Green Mountain Prosperity was active during the close 2010 gubernatorial race won by Peter Shumlin over Republican Lt. Gov. Brian Dubie. The RGA argued Green Mountain Prosperity was an independent expenditure PAC, not coordinating with a party or campaign. The court found the RGA and Green Mountain Prosperity had no separate board, no separate staff, and no separate fundraising apparatus.

Washington – Some Lobbyists Play Key Role in Washington Campaign Finance

KUOW – Austin Jenkins | Published: 10/20/2014

Unions and business interests may be among the top political spenders in Washington this election year, but there is an influential group that does not necessarily show up in the campaign finance reports – lobbyists. So far in 2014, lobbyists have reported nearly $6 million in political donations. But that does not capture the whole picture. Lobbyists only have to report their clients’ contributions if they deliver the checks themselves, or if they are the ones who make the decisions about political giving. Simply advising clients on where to give and how much to give does not trigger the reporting requirement. That means this aspect of the lobbying business happens largely behind-the-scenes.

Wisconsin – Campaign Coordination Suit Filed in a Way to Get Favorable Judge

Milwaukee Journal Sentinel – Patrick Marley | Published: 10/17/2014

When a conservative organizations filed a lawsuit over Wisconsin’s campaign finance laws, its attorneys filled out court paperwork in a way that all but guaranteed they got a judge who has already ruled groups and candidates can work closely together. Two weeks after Citizens for Responsible Government Advocates filed its suit, U.S. District Court Judge Rudolph Randa issued an order limiting how the campaign finance law could be enforced, opening the door for groups and candidates to team up in the weeks before the November 4 election.

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.

The Independent Regulatory Review Commission (IRRC) approved an increase of the state’s biennial lobbyist registration fee from $200 to $300. The additional revenue will help cover the Department of State’s costs of maintaining the lobbyist registration and disclosure database.

The Department of State unsuccessfully sought increases on two prior occasions, to $700 and $400 every two years, but the IRRC believed this latest proposal was more reasonable.

The Pennsylvania Office of the Attorney General must approve the committee’s decision before it can be implemented for the 2015-2016 legislative session.

State and Federal Communications was the sole speaker sponsor of the Washington Area State Relations Group (WASRG) Annual Summit on October 21, 2014. The Summit took place at The Hamilton in Washington, D.C. and featured two political campaign consultants from each side of the aisle – Katie Packer Gage and Erica Prosser.

The off-the-record discussion focused on the upcoming midterm elections and how the elections might impact states as well as how the mid-terms will set the stage for the Presidential election in 2016. Both speakers agreed there have been surprises in some races around the country and with 2 weeks left, don’t discount a shocker or two yet to come.

WASRG is an association of DC-based government relations professionals with primary responsibility for representing their firms/companies/issues at the state and local level. State and Federal Communications has been a long-time supporter of the organization and its programming.

For information on joining WASRG, you can contact them at information@WASRG.com.

The Municipal Securities Rulemaking Board (MSRB) is seeking to create a rule limiting gifts to $100 for municipal advisors giving gifts to employees of entities engaged in municipal securities activities. The new rules for municipal advisors also would prohibit receiving reimbursement of entertainment expenses from the proceeds of an offering of municipal securities.

In a press release, MSRB Executive Director Lynnette Kelly said, “Restrictions on excessive gift-giving by municipal finance professionals are critical to ensuring that important state and local financing decisions are based on merit.” Comments on the new rules are being accepted through December 8, 2014.