Elizabeth Bartz is the featured speaker in today’s Public Affairs Council State Procurement Strategies webinar. This presentation is the final installment of the four-part “Strengthening State Government Relations” series and will begin at 2:00 p.m.

You can find details of the webinar on the Public Affairs Council website.

A provision in Minnesota’s campaign finance law known as the “special sources limit” will no longer be enforced as applied to individual large donors. U.S. District Judge Donovan Frank issued a preliminary injunction barring enforcement of the law with respect to individual large donors in response to a challenge by the Institute for Justice on First Amendment grounds.

Under section 10A.27(11) of the Minnesota Statutes, the special sources limit prohibits a campaign from raising more than 20 percent of its total contributions from lobbyists, political committees, and large donors contributing more than one half of the individual contribution limit.

Donovan issued the injunction in light of the precedent set by McCutcheon v. FEC.

The defendants have the opportunity to appeal to the 8th U.S. Circuit Court of Appeals. If they choose not to appeal, the case will proceed to a final ruling at the district court level later this year.

The Ethics Commission’s website is currently inaccessible due to repeated DDOS (distributed denial-of-service) attacks on the commission’s website hosting vendor.

The Commission’s electronic filing systems remain accessible here.

Status updates regarding the commission’s website are available here.

The Assembly is now considering a bill passed by the Senate to further restrict gifts to lawmakers. Senate Bill 1443 prohibits all gifts from lobbyists and reduces the value of gifts state officials can receive from a non-lobbyist source to $200 per calendar year. Currently, lobbyists may provide gifts of $10 per calendar month and officials can receive $440 from a non-lobbyist source per calendar year.

The bill also prohibits most recreational tickets to concerts, professional sporting events, and amusement parks.

Photo of the California Senate chamber by David Monniaux on Wikimedia Commons.

The Vermont attorney general has issued guidance regarding the state’s contribution limits effective through the end of the year. His guidance interprets the $1,000 per election limit as meaning a candidate may accept a total of $2,000 for the 2013-2014 election cycle, even if the candidate does not face a primary contest. Candidates who lose their primary election may also accept the full $2,000. This guidance is effective for contribution limits only through the end of the year, as Vermont’s new contribution limits effective January 1, 2015 are per two-year election cycle rather than per election.

The full text of the attorney general’s guidance is here.

The Minnesota Legislature adjourned sine die on Friday, May 16, 2014.

The Legislature passed a $1 billion public works construction package in addition to voting to legalize medical marijuana in a session described by some as one of the most productive sessions in years.

Elizabeth Bartz, president and CEO of State and Federal Communications, was the guest speaker at the 2014 Kent State University Trumbull Campus commencement. Her message was highlighted by three points: “Listen. Learn. Live.” Enjoy this short video from the event:

Lobbying

“Report: Health lobbying down in first quarter” by Elise Viebeck in The Hill.

“President Obama golfed with Bain Capital lobbyist” by Byron Tau in Politico.

“Patton Boggs future up for a vote” by Tucker Echols in the Washington Business Journal.

Hawaii: “Will Lawmakers Ever Do Anything About Lobbyists?” by Patti Epler in the Honolulu Civil Beat.

Illinois: “Ex-Quinn chief of staff turns to lobbying” by The Associated Press in the Chicago Sun-Times.

New Hampshire: “Secretary of state candidate de Ramel proposes changes for lobbyists” by Randal Edgar in the Providence Journal.

Oregon: “Oregon’s House clerk out after PERS lobbying flap” in the Portland Business Journal.

Oregon: “Portland Business Alliance violates city lobbying rules by not reporting meeting, correspondence” by Brad Schmidt in The Oregonian.

Tennessee: “Lobbyists spent record amount of $650K last year, could spend more this year” by The Associated Press in The Republic.

Campaign Finance

“Here’s how to put everyday citizens in charge of financing campaigns” by U.S. Rep. John Sarbanes in The Washington Post.

“Rethinking Campaign Finance” op-ed by Joe Nocera in The New York Times.

“There’s a Better Way to Measure Who Has Raised the Most Money” by Derek Willis in The New York Times.

“Campaign-Finance Measure May Come to Vote in U.S. Senate” by Kathleen Hunter in Bloomberg.

“Hearing set for proposed campaign finance change” in the Burlington Free Press.

“Newest Member of Congress Joins Washington Money Circuit, Starts PAC” by Kent Cooper in Roll Call.

Oklahoma: “Lawyers dominate judicial campaign funding” by Curtis Killman in Tulsa World.

Wisconsin: “Confusion Reigns on Campaign-Finance Law” by Steven Walters in Urban Milwaukee.

Ethics

“Senate Enters Electronic Age With Personal Wealth Disclosures” by Kent Cooper in Roll Call.

Illinois: “5th anniversary of anti-corruption campaign no celebration” by Andy Shaw in the Chicago Sun-Times.

Louisiana: “State law forbidding disclosure of ethics complaints ruled invalid” by Robert Rhoden in The Times-Picayune.

West Virginia: “W.Va. Ethics Commission sets training session” by The Associated Press on WOWK TV News.

Redistricting

Florida: “Courtroom clash pits Democrats, Republicans in epic redistricting battle” by Mary Ellen Klas in the Miami Herald.

Government Tech and Social Media

“Social government makes inroads with citizens” by Jake Williams in Fedscoop.

“Agencies Often Don’t Answer Questions They Get Via Social Media, Survey Finds” by Rebecca Carroll in Nextgov.

The State Elections Enforcement Commission has announced it will no longer enforce the state’s aggregate contribution limit after the U.S. Supreme Court’s ruling in McCutcheon v. FEC. At its May 14 meeting, the Commission determined the McCutcheon decision called into question the enforceability of the aggregate limits and stated it will not enforce the limits absent further direction from the General Assembly or a court of competent jurisdiction. The Commission made clear, however, the base contribution limits remain in full force and effect.

The full text of the Commission’s opinion is available here.

Without a single candidate securing a majority of votes in Tuesday’s election, Trenton voters must head to the polls for a second time to elect a mayor. A runoff election is scheduled for Tuesday, June 10.

Eric Jackson, the former city public works director, is considered the favorite candidate. Coming into the race Jackson took the lead in campaign financing, while challenger Paul Perez focused his energy on running a positive campaign. There will also be a June 10 runoff for council candidates in the East Ward.

In late 2013, the New York City Council passed Local Law 129 of 2013, making many changes to current lobbying law in the city and surrounding boroughs. Many of the new law’s provisions are effective today, May 16, 2014.

The definition of lobbying is revised to include attempts to influence legislation not yet introduced, legislation at the state and federal level, and mayoral executive vetoes. It is also revised to include attempts to influence the agenda or calendaring of a meeting of a board or commission. The revised definition excludes architects and engineers as lobbyists under certain parameters, and the law now imposes a $10,000 registration threshold for such individuals should they undertake lobbying activities. The registration threshold for all other lobbyists is $5,000.

Local Law 129 of 2013 requires more detailed disclosure on the statement of registration and on periodic reports. The new law further establishes a first-of-its-kind amnesty program, allowing noncomplying lobbyists to enroll in the program and be exonerated of late filing fees and applicable civil and criminal penalties dating back to December 10, 2006.

Provisions taking effect in the future include a mandatory lobbyist training program and the practice of the city clerk reviewing sources of information such as state lobbyist filings and the Doing Business Database to identify lobbyists required to register who have not done so.

Photo of the New York City Hall courtesy of Momos on Wikimedia Commons.

If you are a government relations professional who is interested in the latest news on compliance, we encourage you to join our Government Relations Compliance LinkedIn Group!

You can discover what colleagues are talking about, and how they are solving the challenges in complying with government rules and regulations for lobbying, grassroots lobbying, political contributions, and procurement. Take a look and join the conversation!

National:

GOP Civil War Rages in Senate Primary Battles

The Center for Public Integrity – Dave Levinthal | Published: 5/8/2014

Hard-line conservative groups have together spent nearly three dollars attacking Republican candidates for every one dollar spent criticizing Democrats, according to a Center for Public Integrity analysis. The dichotomy illustrates the family feud between mainstream Republicans and their tea party-affiliated cousins, many of whom have forced GOP incumbents into expensive primary fights because they believe the candidates are not conservative enough.

Koch Brothers’ Americans for Prosperity Plans $125 Million Spending Spree

Politico – Byron Tau | Published: 5/9/2014

Americans for Prosperity expects to spend more than $125 million this year in support of conservative candidates. The plans, combined with those of other groups in the political operation affiliated with the billionaire industrialists Charles and David Koch, more closely resemble the traditional functions of a national political party than a network of private nonprofit groups. The goal of the network is a long-term movement to expand the political playing field for conservatives, both into new states and into non-traditional demographics.

From the States and Municipalities:

Arizona – Tom Horne Campaign Finance Case to Move Forward

Arizona Capitol Times – Jeremy Duda | Published: 5/14/2014

Yavapai County Attorney Sheila Polk rejected an administrative judge’s conclusion that there is not enough evidence to show Arizona Attorney General Tom Horne and Kathleen Winn, who ran an independent expenditure committee during the 2010 election, illegally coordinated their activities. Polk’s office maintains that records show the two illegally collaborated on ads attacking Horne’s Democratic opponent. Polk has ordered Horne to return about $400,000 to donors and amend his campaign finance reports to properly reflect the contributions.

California – Capitol Alert: California Senate passes bill banning fundraisers at lobbyist homes

San Luis Obispo Tribune – Laurel Rosenhall (Sacramento Bee) | Published: 5/12/2014

The California Senate passed a bill that would ban lobbyists from holding campaign fundraisers at their homes for candidates and elected officials. Senate Bill 1441 now moves to the Assembly. A prominent Sacramento lobbyist and nearly 40 politicians got in trouble earlier this year with the Fair Political Practices Commission for home-based fundraising events that exceeded a $500 limit.

California – Gov. Brown Signs Bill to Shed Light on Political ‘Dark Money’

Los Angeles Times – Patrick McGreevy | Published: 5/14/2014

Nonprofit organizations that make political contributions in California will have to disclose more information about the source of their money under a bill signed into law by Gov. Jerry Brown. Senate Bill 27 requires nonprofits to disclose the names of donors who give them $1,000 or more to spend on political activity, if the group makes contributions of more than $50,000 in a year, or $100,000 over four years. The disclosure requirement takes effect for donations made after July 1 of this year.

Florida – Lobbyists at Water Districts Must Register and Disclose under New Ethics Bill

Miami Herald – Dan Christensen | Published: 5/10/2014

Lobbyists hired to influence spending and policy at Florida’s five water management districts must register and disclose their clients under ethics reforms passed by the state Legislature. If signed into law by Gov. Rick Scott, the bill would for the first time apply state lobbying regulations to some special-purpose governments that raise and spend hundreds of millions dollars every year.

Missouri – Flood Flowing, Ethics Bills Dying as Missouri Legislature Nears Adjournment

St. Louis Post-Dispatch – Virginia Young | Published: 5/14/2014

Missouri lawmakers are feted with free food in the Rotunda, hearing rooms, and area restaurants. Big-ticket items outside the Capitol, such as expensive dinners, sporting event tickets, and out-of-state travel, helped push the total value of the gifts to nearly a million dollars’ worth in 2013, according to state Ethics Commission records. That Is unlikely to change as legislators have stymied bills that would ban or limit the gifts they receive.

New York – Inside Moreland: Documents reveal details of lawmakers’ spending

City & State – John Lentz, Matthew Hamilton, and Morgan Pehme | Published: 5/11/2014

To date, there has been considerable speculation about what exactly the recently disbanded Moreland Commission on Public Corruption investigated during the months it was in operation, but few specifics have been disclosed to the public. Now, commission documents show its investigators sought to determine if New York lawmakers were spending the contributions they received for legitimate campaign-oriented purposes, or whether any money was going to their personal use, in violation of state law.

Ohio – McGinty, DeWine Accuse Youngstown Mayor, Mahoning County Official of Racketeering

Cleveland Plain Dealer – John Caniglia | Published: 5/14/2014

Youngstown Mayor John McNally and Mahoning County Auditor Michael Sciortino were indicted on corruption charges including bribery, conspiracy, and tampering with records. The indictment outlines a series of illegal activities related to a plan to move the offices of the county Department of Job and Family Services. McNally and Sciortino were indicted four years ago on related charges, but the case was dismissed. A judge said then that the charges could be refiled. Prosecutors said at the time their inability to obtain tape recordings held by the FBI and provide them to defense lawyers made it impossible to proceed with the case.

Oklahoma – Oklahoma Secondary School Activities Association to Pay $1,200 Fine

The Oklahoman – Nolan Clay | Published: 5/9/2014

The Oklahoma Secondary School Activities Association agreed to stop providing free football and basketball playoff tickets to state legislators, and will pay $1,200 in civil penalties for not disclosing the gifts to the state Ethics Commission for the last three years. The association was required to disclose the gifts once it started using lobbyists. It continues to blame two former lobbyists for the disclosure failure.

Pennsylvania – Candidates’ Parents’ Mutual Donations

Philadelphia Inquirer – Jonathan Tamari | Published: 5/13/2014

During Kevin Strouse’s bid for congressional seat from Pennsylvania, his parents, who had never before donated to federal candidates beyond the commonwealth, sent money to Democrats in tight congressional races in California, Colorado, Florida, and Illinois. Days before or after, those candidates’ parents sent nearly identical contributions, usually for the maximum allowed, to Strouse’s campaign. The donations appear legal, campaign finance experts say, though some said any agreement among the parents to trade donations could be viewed as an attempted end run around contribution limits.

South Carolina – Judge to AG Wilson: Stop SLED and grand jury probe of House Speaker Harrell

The State – John Monk | Published: 5/12/2014

A judge dismissed allegations of corruption against South Carolina House Speaker Bobby Harrell, ruling such a case must first be considered by a legislative panel before state prosecutors could touch it, and saying a grand jury was improperly empaneled. The grand jury had been considering whether Harrell should be indicted on allegations he used campaign funds for personal use. Critics and lawyers following the case said it was a rare, if unprecedented step for a judge to halt a grand jury investigation.

Vermont – AG Clarifies 2014 Campaign Contribution Limits

Burlington Free Press – Nancy Remsen | Published: 5/14/2014

Vermont Attorney General William Sorrell said the state’s campaign contribution limits will remain the same through the end of the year. The secretary of state’s office asked for the formal opinion after the Legislature passed an updated campaign finance law. The law had an error making it appear there was a gap between the date the old limits expire and January 1 when the new caps take effect.

Wisconsin – Federal Appeals Court Tells Wisconsin Regulators That Campaign Finance Laws Went Too Far

Minneapolis Star Tribune – M.L. Johnson (Associated Press) | Published: 5/14/2014

The Seventh Circuit U.S. Court of Appeals struck down major provisions of Wisconsin’s campaign finance law as unconstitutional. The ruling said state elections officials had overstepped their bounds by prohibiting spending by corporations, setting limits on how much they could raise for affiliated political committees, and establishing burdensome rules for groups that merely mentioned candidates’ names in ads.

Wisconsin – Mistake May Bar Lobbyists from Helping with Fundraising

Milwaukee Journal Sentinel – Patrick Marley | Published: 5/8/2014

State election officials said Wisconsin lawmakers may have inadvertently toughened campaign finance rules by barring lobbyists from passing on campaign donations from their clients. Others disagree with that interpretation. The Government Accountability Board will take up the issue on May 21, but the matter may ultimately be decided by the courts.

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.

News You Can Use is a news service provided at no charge only to clients of our online Executive Source Guides, or ALERTS™ consulting clients.

Today U.S. Sen. Patrick Leahy announced the Senate Judiciary Committee will hold a hearing related to campaign finance next month.

On June 3, the full committee will focus on Senate Joint Resolution 19, a constitutional amendment granting Congress and the states power to regulate money in political elections.

Leahy argues in his press release, “The hearing comes on the heels of the Court’s McCutcheon v. Federal Election Commission decision, in which five justices reversed long-standing precedent and declared aggregate limits on campaign contributions in elections to be unconstitutional in violation of the First Amendment. Coupled with the destructive Citizens United decision of 2010, … Congress must respond.”

SJR 19 was introduced by Sen. Tom Udall and has 40 cosponsors.