Lobbying

“The Source: Tracking The ʹUnlobbyistsʹ” by Paul Flahive on Texas Public Radio.

“The Lobbying World for the Rest of Us” by Rebecca Gale in Roll Call.

“Congressman retires, shocks Washington by not becoming lobbyist” by Paul Waldman in The Washington Post.

Kentucky: “Lobbyists Spend $4.3 Million In Kentucky General Assembly” by Jonathan Meador in WFPL NPR News.

Campaign Finance

New York: “Cuomo, Lawmakers Adopt Limited Public Campaign Finance for State Comptroller’s Race” by Karen DeWitt in WAMC Northeast Public Radio.

“Activists Push Public Financing Of N.Y. Political Campaigns” by Peter Overby (NPR) on WAMC Northeast Public Radio.

Ethics

“Culture of Corruption II: Scandals taint Democratic Party in tough election year” by Valerie Richardson in The Washington Times.

“Privately funded trips common for legislators” by Fredreka Schouten and Deborah Barfield Berry in The Advertiser.

California: “Calif. State Senate Votes To Suspend 3 Embattled Lawmakers” by CBS and The Associated Press on CBS Los Angeles.

Florida: “Florida’s Scott Travels on Corporate Tab as Lobbyists Tag Along” by Toluse Olorunnipa in Bloomberg News.

Missouri: “Jason Kander: Young, In Charge and Taking on Ethics Reform” by J.B. Wogan in Governing.

Missouri: “Pledge asks Missouri lawmakers to refuse gifts from lobbyists” by Rudi Keller in the Columbia Daily Tribune.

Pennsylvania: “Pa. Ethics Law Could Change After Latest Scandal” by Marc Levy on NBC Philadelphia.

Mayor Patrick Cannon resigned Wednesday amid allegations of federal public corruption and taking bribes. The allegations stem from Cannon, on several occasions, accepting over $48,000 of bribes from federal undercover agents posing as businessmen seeking city contracts.

If convicted on all charges, Cannon could face up to 50 years in prison and $1.5 million in fines.

Cannon held the mayoral office only four months; he was elected in November 2013.

Photo of the Charlotte, N.C. skyline by Riction on Wikimedia Commons.

On March 21, the Chicago Board of Ethics posted a summary of its reverse revolving door ruling on the city’s website. The ruling comes from a case brought before the board for the purpose of reviewing the conduct of a department director.

Chicago’s reverse revolving door ordinance prohibits employees or officials from personally participating in a decision-making capacity as to their immediate pre-city employers or clients for a period of two years after joining the city.

The board ruled an employee involved in a procurement process for the city violated the reverse revolving door provision even though he consistently avoided extraneous contact with personnel from his pre-city employer and from its umbrella organization. Simply scoring RFP responses in addition to training or meeting with employees from a pre-city employer or affiliate in the ordinary course of employment constitutes a minor violation.

Federal:

IRS Rule Would Limit Advocacy Over Nominees

USA Today – Gregory Korte | Published: 3/24/2014

The IRS says a nominee for the U.S. Supreme Court or Cabinet secretary should be considered a “candidate” for federal office and is drafting rules to limit how nonprofit groups advocate for or against such nominees. The change in defining a candidate is part of an effort by the Obama administration to clarify how much political activity certain nonprofits can engage in, following last year’s revelation that IRS agents had held up tax-exempt applications for tea party groups.

From the States and Municipalities:

California – FBI: California Sen. Leland Yee took bribes, trafficked guns

Sacramento Bee – Laurel Rosenhall and Jeremy White | Published: 3/26/2014

California Sen. Leland Yee has been charged with conspiring to traffic in firearms and public corruption as part of a major sting operation spanning the Bay Area. A criminal complaint alleges Yee did favors for an undercover FBI agent in exchange for campaign contributions. Prosecutors said Yee also offered to facilitate a meeting between the undercover agent and an arms dealer, and discussed the types of weapons the agent might need.

Colorado – Colorado Marijuana Regulators Switching Sides to Work for Industry

Denver Post – John Ingold | Published: 3/21/2014

At least three officials at the state agency in Colorado that regulates marijuana businesses have found work doing cannabis industry consulting after leaving the department. The officials say they adhered to ethics rules in switching from the regulators to the regulated, and an expert said the moves are not necessarily a conflict, noting such public-to-private switches are common in many regulated industries. But the moves do show the increasing legitimization of the marijuana industry. And they have caused concern among remaining state officials, who say the moves could send the wrong message to the public.

Connecticut – Philly Flyers Owner: His $10,000 to CT Dems not ‘pay to play’

Connecticut Mirror – Mark Pazniokas | Published: 3/24/2014

Three self-reported complaints were recently accepted by the State Elections Enforcement Commission, all in relation to campaign contributions that donors fear could run afoul of Connecticut’s sweeping ban on donations from contractors. A one-year ban on additional state business is a potential penalty for a principal or employee making a prohibited contribution. Connecticut law places the burden for knowing the statute on the donors, not the campaigns or political committees that are the recipients.

Florida – GOP Insiders Incensed, Fascinated by Tirades of Gov. Rick Scott’s Fundraiser

Tampa Bay Times – Steve Bousquet | Published: 3/26/2014

Billionaire Mike Fernandez was co-finance chairperson of Florida Gov. Rick Scott’s campaign, gave $1 million to his re-election effort, and helped raise much more by opening two of his homes to wealthy Republican donors. Fernandez sat near the first family at the State of the State speech before everything fell apart with his resignation followed by leaked e-mails filed with frustration and armchair quarterbacking, a rare public display of campaign dirty linen.

Nevada – Conservative Group to Pay Fine in Nevada 2010 Case Involving Sandoval Ads

Reno Gazette-Journal – Sandra Chereb (Associated Press) | Published: 3/26/2014

A group that ran hundreds of television advertisements supporting Brian Sandoval for governor in 2010 has agreed to a $40,000 fine for failing to register as a PAC in Nevada. The Alliance for America’s Future, a Virginia group that supports Republican candidates, and the office of Secretary of State Bob Miller reached a settlement on his suit against the organization. Miller said the civil fine is the largest ever imposed for a campaign finance violation in Nevada.

New Jersey – Christie Bridge Scandal: Internal report clears governor, calls for Port Authority restructuring

Newark Star Ledger – Ted Sherman | Published: 3/27/2014

New Jersey Gov. Chris Christie did not know of his top aides’ plan for a politically motivated traffic jam on the George Washington Bridge, according to lawyers hired by the Christie administration to investigate the “Bridgegate” scandal. But while clearing Christie and his senior staff, the report urged the appointment of a chief ethics officers within the governor’s office. And it called for a restructuring of the Port Authority of New York and New Jersey.

North Carolina – Mayor Cannon Resigns after Corruption Arrest

Charlotte Observer – Mark Washburn, Michael Gordon, and Jim Morrill | Published: 3/27/2014

Patrick Cannon resigned as mayor of Charlotte, North Carolina after he was arrested on public corruption charges, as federal law enforcement officials alleged he accepted a trip to Las Vegas, use of a luxury apartment, and more than $48,000 in cash in exchange for helping smooth out municipal obstacles for undercover agents posing as investors. Cannon had been in the mayor’s office only since early December.

Pennsylvania – With Lawmakers Caught on Tape Accepting Cash, Fresh Calls for Reform

Philadelphia Inquirer – Craig McCoy and Angele Couloumbis | Published: 3/24/2014

State senators are proposing bills to ban Pennsylvania lawmakers from accepting cash gifts. Lloyd Smucker said the legislation was prompted by stories about an aborted sting investigation by the attorney general’s office that captured five Philadelphia politicians, including four state legislators, accepting cash or money orders on tape. Smucker said he was surprised the state allows lawmakers to accept cash gifts, as long as they report them on their annual financial-disclosure forms.

Rhode Island – Few Clues about What Prompted Federal, State Authorities to Raid Rhode Island Statehouse

Columbus Republic – Michelle Smith (Associated Press) | Published: 3/25/2014

Federal and state authorities have refused to comment on the target of their investigation since a raid on Rhode Island Rep. Gordon Fox’s office and home. Fox resigned as House speaker the next day and said he would not seek re-election, but he did not directly address the probe. In his legal practice, Fox performed loan closings and that work got him into trouble with the state Ethics Commission after he failed to report more than $40,000 for work he did for a Providence economic development agency.

Texas – Conservative Activist Michael Quinn Sullivan Fights Lobbyist Label

Dallas Morning News – David Barer | Published: 3/24/2014

Michael Sullivan is the brash leader of the influential Empower Texans, and he is in a battle with the state Ethics Commission over his influence at the Capitol. The commission could stamp Sullivan as a lobbyist and hem in his political activities, but first, its members want to know the sources of the money that props up his nonprofit corporation. Critics contend Sullivan relies on “dark money,” leaving Texans unable to determine who funds his group’s legislative ratings and endorsements, which can affect Republican primaries.

Wisconsin – Gov. Walker Signs Several Bills into Law

WBAY; Associated Press – | Published: 3/27/2014

A bill signed into law by Wisconsin Gov. Scott Walker allows lobbyists to start making personal donations the day candidates can circulate petitions for office, which is April 15. Under the previous law, they could not make any donations until June 1. In passing the measure, Republican lawmakers backed off from another change that would have let lobbyists hand over campaign checks from others during the legislative session.

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.

Gov. Scott Walker has signed into law a bill allowing lobbyists to start making campaign donations to candidates seven weeks earlier than previously allowed. 2013 Wisconsin Act 153 allows a lobbyist to personally make political contributions as early as April 15 of a general election year, the same day candidates can circulate petitions for office.

The Act also increases the registration threshold from $25 to $300 for committees making or receiving political contributions.

The Act is effective on March 29, 2014, one day following publication.

Lobbying

“The new business of lobbying” by David Gura on Marketplace.

“Kevin McCarthy pitches Obamacare changes to lobbyists” by Anna Palmer and Jake Sherman in Politico.

“Here’s how a $5 million contract slipped out of the grasp of K Street” by Kevin Bogardus in The Hill.

Florida: “Senate passes lobbying ban for local elected officials” by Mary Ellen Klas in the Tampa Bay Times.

“Lobbyists cast too many gray shadows” in the Connecticut Post.

Campaign Finance

“Chamber and GOP bury the hatchet” by Kevin Bogardus in The Hill.

“Would Sheldon Adelson Underwrite the 2016 Republican Convention?” by Kent Cooper in Roll Call.

New York: “Campaign finance reformers list top NY donors” by The Associated Press in the Glens Falls Post-Star.

Ethics

California: “Scandals plague Democrats in California capital” by Juliet Williams (Associated Press) in The San Bernardino County Sun.

Mississippi: “Bill would give Miss. Ethics Commission power to settle disputes over public-records requests” by The Associated Press in The Republic.

South Carolina: “Swindler Lexington lawyer Breibart gave heavily to politicians” by John Monk in The Island Packet.

Government Tech and Social Media

“New Tool Aims to Counter Congressional Gridlock with Virtual Support” by Miranda Neubauer in TechPresident.

The Miami-Dade Commission on Ethics and Public Trust closed its inquiry into the lobbying activities of soccer star David Beckham, concluding he did not violate county lobbying law by failing to register as a lobbyist. In the summer of 2013, Beckham toured sites for a potential Major League Soccer stadium with Miami-Dade Mayor Carlos Gimenez and other county officials. Beckham and Mayor Gimenez also had dinner with the financier of Beckham’s proposed soccer venture.

The Commission cleared the site visits as a “meet and greet” function exempt from lobbyist registration rules, and other meetings with the mayor were characterized as the county lobbying Beckham to bring a soccer franchise to Miami. The Commission noted meetings with public officials do not necessarily constitute lobbying and determined Beckham was not lobbying Mayor Gimenez at their dinner meeting.

With the Major League Soccer plan gaining momentum, only individuals who are properly registered as lobbyists should be meeting with county officials to influence decisions in the matter going forward, according to the Commission’s report.

Photo of David Beckham courtesy of The Democratic Alliance on Wikimedia Commons.

No surprise it is 2014 and there have been a lot of elections already. And there are more on the horizon. Is your organization ready to handle the requests for contributions from direct contributions, federal PACs, or state PACs? Are you even prepared to discuss how the procurement process affects your contribution decisions? And, how do the individual contributions from employees and their families affect the contracts you have in the states, cities, and counties?

On Thursday, April 3^rd, Amber Fish Linke, Nola Werren, and I will host the Public Affairs Council Compliance on the State Level webinar from 2 p.m. to 3 p.m. ET. It is only an hour long but will be full of the information you need right now.

1. Amber Fish Linke will start our program by talking about state and local lobbying laws and gift laws.
2. Nola Werren will continue the conversation and discuss the pay-to-play laws, strategies for compliance, and how to avoid violations. She will follow that up with a discussion about state campaign finance laws and where you can make corporate contributions.
3. I will round out the discussion with what to watch for in the procurement process.

Riveting conversation for a Thursday afternoon … but so important to know in 2014. Take the time to register now for the webinar by going to www.pac.org or contact Piper Evans, Manager of the Council’s Government Relations Practice, at 202-787-5978 or pevans@pac.org.

Your company’s reputation in its home state and where it has business operations depends on it. As we are preparing our program if you have a specific question to ask, please send me an e-mail at ebartz@stateandfed.com.

Be the person your company can depend on to hit a home run by having this important information at your fingertips.

Until next month, batter up!

Thank you,

Elizabeth Z. Bartz
President and CEO
@elizabethbartz

State Senator Leland Yee has been arrested on public corruption charges as part of several arrests made by the FBI.

Yee represents District 8, which includes San Francisco and San Mateo County. The former San Francisco supervisor and 2011 mayoral candidate is currently running for secretary of state.

Yee was honored last week by the Northern California chapter of the Society of Professional Journalists for his efforts last year to maintain the requirements of the California Public Records Act.

Photo of State Senator Leland Yee courtesy of Tim Bartel on Wikimedia Commons.

The Rhode Island House of Representatives elected Rep. Nicholas A. Mattiello (D-Dist. 15, Cranston) its speaker yesterday.

Mattiello replaces Gordon Fox, who resigned on Saturday, March 22, following police raids of Fox’s office and home on Friday. According to his press release, Mattiello, a representative for the last seven years, announced to his fellow lawmakers that “[t]here will be a much greater emphasis on collaboration in the decision-making process among everyone in this room, Democrats and Republicans alike.”

Lobbying

“Lobbying World” in The Hill.

“David Beckham bends ears of lawmakers in Tallahassee” by Kathleen McGrory in the Miami Herald.

“Journal Highlights Issues of Lobbying and Campaign Finance” by Kent Cooper in Roll Call.

Arizona: “Hidden cameras catch lobbyists and lawmakers wining and dining” by Morgan Loew in KPHO CBS 5 News.

Campaign Finance

Massachusetts:  “Ironworkers PAC Pays $20,000 for Campaign Finance Violations” by Tom Duggan in The Valley Patriot.

New York: “New York lawmakers say budget talks progressing” by The Associated Press in The Wall Street Journal.

New York: “Skelos doesn’t rule out campaign finance in budget” by Jimmy Vielkind in Capital New York.

Ethics

“Harry Reid will refund campaign for gifts” by Byron Tau in Politico.

Pennsylvania: “With lawmakers caught on tape accepting cash, fresh calls for reform” by Craig R. McCoy and Angela Couloumbis in the Philadelphia Inquirer.

Open Government

New Mexico: “Governor curbs legislative panels’ access to information” by Barry Massey in the Albuquerque Journal.

Lobbying

“Bottom Line” in The Hill.

“Dodd-Frank army skips to K Street” by Megan R. Wilson in The Hill.

“Partisan thrives on K Street” by Bernie Becker in The Hill.

“Job market heats up for Senate GOP aides” by Kevin Bogardus in The Hill.

Campaign Finance

“Dark Money Group’s #McConnelling Violates Campaign Laws: Watchdogs” by Paul Blumenthal in The Huffington Post.

Kentucky: “House approves campaign finance reform bill” by The Associated Press in the Lexington Herald-Leader.

Tennessee: “Panel: Keep money out of judicial elections” by Michael Cass in The Tennessean.

Wisconsin: “Bitcoin campaign donations? State elections board gives it a look” by Alison Bauter in the Milwaukee Business Journal.

Ethics

“Mullin Facing Ethics Inquiry for Plumbing Business Ties” by Emma Dumain in Roll Call.

“No special Ethics panel for Cathy McMorris Rodgers” by John Bresnahan in Politico.

Iowa: “Branstad discloses more secret settlements” by Jason Clayworth in the Des Moines Register.

Pennsylvania: “Kane, sting unlikely to be investigated by independent counsel” by Eric Boehm in the Philadelphia Inquirer.

Rhode Island: “Vying to be RI’s next speaker, Marcello promises votes in 30 days on payday loans, master lever and Ethics Commission jurisdiction” by Randal Edgar in the Providence Journal.

From the State Legislatures

Utah: “Gender gap likely to grow on Utah’s Capitol Hill” by Amy Mcdonald in The Salt Lake Tribune.

Today the Rhode Island House of Representatives may seek to elect a new speaker to replace Gordon Fox, who resigned on Saturday. Fox abruptly resigned following a police raid of his home and office by state and federal officials on Friday. No reason for the search has yet been given by authorities or Fox.

Fox said he will remain as a representative in the House but does not intend to seek another term.

Photo of the Rhode Island State Capitol courtesy of Garrett A. Wollman on Wikimedia Commons.

Lobbying

“Former White House lawyer defends Obama limits on lobbying, hints at possible changes” by Holly Yeager in The Washington Post.

“Obama alumni join ranks of ‘unlobbyists’” by Mike Dorning in the Concord Monitor.

“Adelson’s Las Vegas Sands Hires Blanche Lincoln” by Kent Cooper in Roll Call.

“House Ethics Reviewing Gutierrez Contract With Illinois Lobbyist” by Emma Dumain in Roll Call.

“Putin’s lobbyists escape sanctions” by Kevin Bogardus in The Hill.

Connecticut: “Lobbyists command millions from Conn. Industries” by Neil Vigdor in the Stamford Advocate.

Missouri: “Our million-dollar Legislature” opinion piece by State Rep. John Wright in the St. Louis Post-Dispatch.

Campaign Finance

“Forget the Dictionary, Super PACs Aren’t New” by Francis Barry in Bloomberg View.

Louisiana: “Feds asked to look into super PAC backing Vitter” in The Advocate.

New York: “Campaign finance reform benefits women” opinion piece by Andrea Stewart-Cousins and Letitia James in The Journal News.

New York: “Business interests against NY public campaign financing want to preserve their influence (Commentary)” by Lawrence Norden in The Post-Standard.

Ethics

Kentucky: “Former state official assessed ethics fine” by The Associated Press in the Bangor Daily News.

New Jersey: “Christie’s campaign treasurer goes to bat for underfunded agency: The Auditor” in The Star Ledger.

Pennsylvania: “Gift ban urged after report of Pa. lawmakers getting cash” by Mark Scolforo (Associated Press) in the Pittsburgh Post-Gazette.

State Legislative Sessions

Idaho: “Idaho Legislature wraps up with pay raises at the top” by Betsy Z. Russell in The Spokesman-Review.

Virginia: “McAuliffe proposes expanding Medicaid in two-year pilot” by Olympia Meola and Jim Nolan in the Richmond Times-Dispatch.

Elections

Rhode Island: “House speaker candidates courting votes” by Randal Edgar in the Providence Journal.

Redistricting

Pennsylvania: “Legislators clash over district boundary changes” by Robert Swift in The Times-Tribune.