The Fair Political Practices Commission (FPPC) of California voted to allow contributions to political candidates in cryptocurrency.

Until now, contributions made in cryptocurrency were banned under all circumstances.

Under the new regulation, the contribution must immediately be converted into dollars upon making the contribution and the cryptocurrency must be processed through an exchange registered with the U.S. Department of Treasury, Financial Crimes Enforcement Network.

An exchange is the marketplace where cryptocurrency is converted to different types of tender, including USD and the exchange can charge transaction fees.

The limits on cryptocurrency are the same as any non-cash contribution.

When reporting cryptocurrency contributions, the amount of the contribution is the fair market value of the cryptocurrency at the time the exchange obtains possession of the contribution and any amounts charged or withheld by the exchange must be reported by the committee as expenditures at the time the fees are deducted or charged.

National/Federal

Bipartisan Group Seeks to Limit Who Federal Agencies Can Contract With
Government Executive – Eric Katz | Published: 7/14/2022

A bipartisan group of senators is looking to set new limitations on the entities with which federal agencies can contract, introducing legislation to ban the government from doing business with companies that work with certain other nations. Senate Bill 4516 would require the Office of Federal Procurement Policy to create a governmentwide policy to eliminate newly defined “conflicts-of-interest” that relate to national security in federal contracting.

Little-Known Lawyer Pitched Trump on Extreme Plans to Subvert Election
Yahoo News – Maggie Haberman and Luke Broadwater (New York Times) | Published: 7/17/2022

On Christmas Day in 2020, then-President Trump was on the phone with a little-known conservative lawyer who was encouraging his attempts to overturn the election. William Olson later conceded that part of his plan could be regarded as tantamount to declaring “martial law.” The episode highlights the role of Olson in advising Trump as the president was turning to extreme figures outside the White House to pursue options that many of his official advisers had told him were impossible or unlawful. It underscores how the system that would normally insulate a president from rogue actors operating outside of official channels had broken down.

Lobbying Firms Report Massive Profits Amid Reconciliation, China Bill Fights
Yahoo News – Karl Evers-Hillstrom (The Hill) | Published: 7/20/2022

K Street’s top lobbying firms raked in enormous revenues in the second quarter, indicating the prolonged lobbying boom is not letting up just yet. Most of the top Washington lobbying firms continue to build on last year’s record-smashing revenues, and nearly all of them are earning more than they did in 2020, when COVID-19 introduced a flood of first-time lobbying clients seeking federal funds.

New Evidence Disputes Trump Administration’s Citizenship Question Rationale
MSN – Tara Bahrampour (Washington Post) | Published: 7/20/2022

Previously unreleased internal communications indicate the Trump administration tried to add a citizenship question to the census with the goal of affecting congressional apportionment, according to a report by the House Committee on Oversight and Reform. The documents appear to contradict statements made under oath by Secretary of Commerce Wilbur Ross, who told the committee the push for a citizenship question was unrelated to apportionment and the reason for adding it was to help enforce the Voting Rights Act.

Pair Charged with Making Straw Donations to Trump Committees
MSN – Jennifer Pelz (Associated Press) | Published: 7/18/2022

Two Chinese American businesspeople were charged with funneling foreigners’ money into political donations that bought entry to an exclusive dinner with then-President Trump so the duo could impress and swindle Chinese investors. Prosecutors say Sherry Xue Li and Lianbo Wang raised $27 million for a grandiose development plan that never got close to approval, then siphoned off millions of dollars for personal expenses. To project the sway to keep their promises, which often included visas to live in the U.S., they used investor money and foreign nationals’ cash to make donations and be seen with Trump and other prominent politicians.

Prosecutors Won’t Pursue Case Against Colbert Team at Capitol Complex
Yahoo News – Michael Balsamo (Associated Press) | Published: 7/19/2022

Federal prosecutors said they are not pursuing charges against members of a television production crew for “The Late Show With Stephen Colbert” who were arrested in a House office building closed to visitors. Capitol Police had charged the Colbert team members, who had entered the Longworth House Office Building on two separate occasions, with misdemeanor unlawful entry. Those arrested included the man who voices the Triumph the Insult Comic Dog puppet, who had come to interview members of Congress about the attack on the Capitol.

Secret Service Watchdog Knew in February That Texts Had Been Purged
MSN – Carol Leonnig and Maria Sacchetti (Washington Post) | Published: 7/20/2022

A watchdog agency learned in February that the Secret Service had purged nearly all cellphone texts from around the time of the January 6, 2021, attack on the Capitol, but chose not to alert Congress, according to people briefed on the matter. The Department of Homeland Security’s Office of Inspector General also prepared in October 2021 to issue a public alert that the Secret Service and other department divisions were stonewalling it on requests for records and texts surrounding the attack on the Capitol, but did not do so, the sources said.

Staff in Several House Offices Begin the Process of Unionizing
MSN – Chris Cioffi (Roll Call) | Published: 7/20/2022

Staffers who work for eight U.S. House Democrats are wasting no time in their plans to unionize, filing petitions recently to kick off the process. It was the first day they could do so, as new rules went into effect allowing many legislative branch staffers to bargain collectively. Now they must wait on the Office of Congressional Workplace Rights to vet the petitions before holding secret ballot elections to decide whether they want a union to represent them.

Trump Wanted Pence to Reject Electors. A New Bill Would Prevent That.
MSN – Leigh Ann Caldwell (Washington Post) | Published: 7/20/2022

A bipartisan group of 16 senators released legislation that would clarify an 1887 law that then-President Trump and his allies tried to use as part of their attempt to overturn the 2020 election results. The legislation would attempt to more clearly define the role of states, presidential electors, and the vice president in a presidential election in an effort to prevent the events of January 6, 2021, in the future.

Trump’s Political Operation Continued to Steer Donor Money to Firm Involved in the Jan. 6 Rally
OpenSecrets – Anna Massoglia | Published: 7/14/2022

Former President Trump’s political operation continued to pay individuals and firms involved in organizing the rally that preceded the deadly Capitol attack, steering them more than $15.4 million since the start of the 2016 election cycle. While the Trump political operations’ spending and fundraising practices have come under increased scrutiny by the House select committee, the hearings have given the former president fodder to fundraise. His political operation continued to route payments from donors to January 6 organizers through at least May as the committee’s investigation heated up.

From the States and Municipalities

Alabama – Secretary of State: Federal groups supporting Alabama candidates must register with state
Yahoo – Brian Lyman (Montgomery Advertiser) | Published: 7/19/2022

The Alabama secretary of state’s office said federal organizations contributing to state campaigns will have to file campaign finance reports with the state. The move, which Secretary of State John Merrill said would include “dark money” groups, comes after years of controversy over the scope and application of Alabama’s ban on transfers of money between PACs. Before the Legislature banned the practice in 2010, PAC-to-PAC transfers were used to move campaign donations to hide the source of contributions to candidates.

Alaska – Judge Refuses to Block Alaska Campaign Finance Disclosure Rules
MSN – Becky Bohrer (Associated Press) | Published: 7/14/2022

A federal judge denied a request to block campaign finance provisions of a ballot measure approved by Alaska voters in 2020, finding the plaintiffs had not demonstrated a likelihood of success on their outlined claims. The lawsuit was filed earlier this year on behalf of political donors and third-party organizations known as independent expenditure groups. They argued the disclosure rules are unconstitutional and burdensome. The plaintiffs had asked that the challenged portions of the initiative be blocked while the case was ongoing.

Arizona – AZ Secretary of State Candidate’s Nonprofit Spending Raises Questions
Arizona Daily News – Mary Jo Pitzl (Arizona Republic) | Published: 7/16/2022

Reginald Bolding, a candidate for Arizona secretary of state, is the founder and director of the nonprofit Our Voice Our Vote, a group that does not have to name its donors. Its PAC, of which he is the designated agent for federal purposes, has paid for ads promoting his candidacy. Our Voice Our Vote also is part of Activate 48, another “dark money” organization that has endorsed him and paid for mailers touting his campaign. State law bars such committees from coordinating with candidates, and violations are subject to civil penalties.

Arizona – Republican Files Complaint Against PAC Promoting Kari Lake Campaign, Says Finance Form Masks Its Donors
Yahoo News – Richard Ruelas (Arizona Republic) | Published: 7/20/2022

A Republican consultant filed a complaint against a PAC, Put Arizona First, that has spent $2.1 million to promote the gubernatorial campaign of Kari Lake, saying its financial reports served to mask the source of its donations, in violation of state law. Put Arizona First said it was funded entirely by an entity called SPH Medical LLC, whose address, according to the form, was a UPS store in Phoenix. It is the same UPS store address used by Put Arizona First itself. No such entity called SPH Medical exists in Arizona, according to corporate filings.

Arizona – The FEC Has Questions About How a PAC Backing Blake Masters Is Disclosing Its Spending
Arizona Mirror – Jerod MacDonald-Evoy | Published: 7/19/2022

A PAC funded almost entirely by billionaire Peter Thiel is facing questions from the FEC about whether it properly reported independent expenditures in support of U.S. Senate candidate Blake Masters in Arizona. The FEC is asking for a “full public disclosure” of the Saving Arizona PAC’s spending of more than $1 million against U.S. Sen. Mark Kelly, the Democratic incumbent that Masters hopes to defeat. Any independent expenditure over $10,000 requires a PAC to file what is called a 48-hour report disclosing the spending.

California – Disney Revs Up Campaign Spending in Anaheim Amid Calls to Curb Their Influence After FBI Allegations
Voice of OC – Nick Gerda | Published: 7/19/2022

Records show Disney has spent 1.3 million in the upcoming election for Anaheim mayor and city council, an amount far more than anyone else has spent on the city’s elections in recent years. That money has gone to Disney’s main political money vehicle in Anaheim, Support Our Anaheim Resort (SOAR). It comes amid an ongoing federal investigation into the city’s politics. In an affidavit, the FBI alleged a consultant close to SOAR engaged in a “fraud scheme,” but it did not allege criminal activity by Disney or SOAR.

California – Ex-Compton Councilman Isaac Galvan, Dogged by Election-Rigging Scandal, Faces $240,000 Fine
Yahoo News – Gregory Yee (Los Angeles Times) | Published: 7/14/2022

Dogged by an election-rigging scandal and an ongoing criminal case, former Compton City Councilperson Isaac Galvan could face a stiff fine from the state’s political watchdog agency for multiple campaign finance violations, including the personal use of campaign funds. The California Fair Political Practices Commission will meet to discuss a possible $240,000 fine against Galvan.

California – League of Women Voters Sues Cupertino Over Lobbyist Ordinance
MSN – Grace Hase (Bay Area News Group) | Published: 7/20/2022

Over concerns that nonprofit employees and everyday citizens may be subject to Cupertino’s lobbyist ordinance, the League of Women Voters filed a lawsuit against the city arguing the law is unconstitutional, “hopelessly overbroad,” and anti-nonprofit. The Cupertino City Council approved its lobbyist ordinance in February 2021. The ordinance has a number of exemptions to the definition of lobbyist, including for board members or employees of nonprofits. But nonprofits can still be subject to ordinance if they are lobbying for a “specific project, issue or person” and have received monetary compensation for it.

California – Oakland Wants to Give Voters Money to Make Campaign Contributions
Oakland North – Callie Rhoades | Published: 7/12/2022

Oakland voters will be asked on the November 8 ballot if they want the city to give each of them $100 in campaign vouchers that could be donated to the candidates of their choice. Broken into four $25 vouchers, the “democracy dollars” are designed to level the playing field by putting more campaign funds in the hands of Oakland voters. Historically, the city’s campaign funding has been disproportionately made up of large donors. In the last four elections, candidates who raised the most money won more than three-quarters of the contested races.

California – San Jose Mayor Travels to France on Environmental Group’s Dime
San Jose Spotlight – Jana Kadah | Published: 7/18/2022

San Jose Mayor Sam Liccardo took an all-expenses paid trip to France recently, and the timing is raising some eyebrows. Liccardo and state Assemblyperson Ash Kalra were among the officials and academics who traveled abroad to study and compare best policies for land preservation. Professional development trips are usually reserved for leaders with more than a couple months left in office. Liccardo is leaving City Hall in December. There is also the question of public perception when elected officials accept a paid trip from a group that has lobbied them for a vote or decision.

Florida – Tallahassee Officials Approve 10-Year Ban on Corruption-Related Felons Lobbying
MSN – Karl Etters (Tallahassee Democrat) | Published: 7/14/2022

The Tallahassee City Commissioners approved a 10-year ban on lobbying for anyone convicted of fraud-related crimes, the latest in measures intended to stamp out back-door dealings. Commissioners also approved an increase in lobbyist registration fees. Now, lobbyists will have to pay a $500 annual registration fee. Previously they paid $25 per client.

Florida – UCF Removes Departments’ Anti-Racism Statements
MSN – Annie Martin (Orlando Sentinel) | Published: 7/13/2022

The University of Central Florida removed anti-racism statements from several academic department websites, prompting renewed concern by some that a new law championed by Gov. Ron DeSantis is leading to censorship at the university. The decision to take down the statements came less than a week after the English department briefly “suspended” its version, claiming it now violated state law. The university later said department did so without “direction” from school leaders, who did not think the statements conflicted with any laws.

Florida – West Palm: Winning bidder for Sunset Lounge management contract violated anti-lobbying rules
Yahoo News – Wayne Washington (Palm Beach Post) | Published: 7/15/2022

West Palm Beach informed Vita Lounge, the local Black group that beat stiff competition to manage the city’s Sunset Lounge, it violated lobbying rules during the bidding process and has been disqualified. In notifying Vita of its disqualification, the city’s Procurement Division included instances of contact between Vita backers and city commissioners, who serve as board members of the Community Redevelopment Agency (CRA). The CRA has used at least $16 million in city taxpayer money to purchase and refurbish the 1920s era supper club and lounge.

Georgia – Giuliani Ordered to Testify in Georgia 2020 Election Probe
ABC News – Kate Brumback (Associated Press) | Published: 7/20/2022

A judge in New York ordered Rudy Giuliani to appear before a special grand jury in Atlanta that is investigating whether former President Trump and others illegally tried to interfere in the 2020 general election in Georgia. Giuliani had been summoned to appear in court in New York on July 13 to present any reasons why a subpoena should not be issued for him to testify in Atlanta, but he failed to show up for the hearing, New York Supreme Court Justice Thomas Farber wrote in his order.

Georgia – GOP Fake Electors ‘Targets’ in Georgia Election Fraud Inquiry
MSN – Matthew Brown (Washington Post) | Published: 7/19/2022

Georgia prosecutors investigating potential criminal interference in the 2020 presidential election by Donald Trump and his allies have notified several Republicans who were part of a fake electors scheme they are “targets” of the probe and could face charges. Part of the probe led by Fulton County District Attorney Fani Willis now centers on the 16 Republicans who gathered at the Georgia Capitol on December 14, 2020, as part of an attempt to falsely certify the state’s electoral college votes for former President Trump even though Joe Biden won the state.

Hawaii – Hawaii Lawmakers Took $500k In Campaign Cash This Session Despite Pleas to Ban Campaign Cash During Session
Honolulu Civil Beat – Blaze Lovell | Published: 7/20/2022

Good-government groups and a commission convened to strengthen ethics laws have asked that the practice of lawmakers accepting campaign contributions during a legislative session come to an end. The goal is to limit even the appearance of a “pay-to-play” culture that favors those who have money. But legislators accepted $500,000 in campaign donations during the 2022 session. That is just a portion of the $7.8 million state politicians raked in during sessions in the last decade from lobbyists, developers, labor unions, and other special interest groups while making budget and policy decisions that could affect their interests.

Illinois – Chicago City Council Unanimously Passes Ethics Overhaul, Boosts Fines to $20K
WTTW – Heather Cherone | Published: 7/20/2022

The Chicago City Council approved a sweeping ethics reform measure aimed at stamping out corruption that has led to the conviction of 37 members of city council since 1969. It strengthens rules against nepotism, lobbying of city council members, and limits campaign contributions for certain contractors. The ordinance also increases fines for violating those rules from a maximum of $5,000 to $20,000. The measure was significantly revised to win the support of Mayor Lori Lightfoot, who blocked it from advancing for several months.

Indiana – Ind. Attorney General’s Comments Endangered Abortion Provider, Complaint Says
MSN – María Luisa Paúl and Kim Bellware (Washington Post) | Published: 7/19/2022

A complaint against Indiana Attorney General Todd Rokita is expected to trigger a probe by the state Supreme Court’s Disciplinary Commission after he claimed on Fox News that physician Caitlin Bernard had a “history of failing to report” abortions in child-abuse cases and launched an investigation into her licensure. Records show Bernard, who administered an abortion medication to a 10-year-old girl from Ohio who was forced to travel for the service, reported the incident to relevant state agencies. The complaint alleges Rokita made “inflammatory statements on national television, without due diligence concerning their truthfulness.”

Kentucky – Proposed Ordinance Would Force People, Groups Who Lobby Louisville Metro to Register, Disclose Funding
WFPL – Roberto Roldan | Published: 7/19/2022

Louisville Metro Council is considering an ordinance that sponsors hope will generate more transparency from lobbyists and other businesses and interest groups that try to influence local legislation. The ordinance would also bar council members from profiting from lobbying their colleagues immediately after leaving office. Under the proposal, anyone who is paid to influence the decisions of the Metro Council would have to register as a lobbyist.

Missouri – FEC Member Pans Decision Not to Investigate Groups That Helped Elect Greitens in 2016
Missouri Independent – Jason Hancock | Published: 7/14/2022

A member of the Federal Election Commission (FEC) is criticizing her agency’s failure to fully investigate groups that funneled $6 million of anonymous money into Missouri to boost Eric Greitens’ 2016 campaign for governor. Commissioner Ellen Weintraub said the scheme “was clearly designed to avoid the transparency federal law requires.” But her colleagues declined to authorize a full investigation, she wrote, because they felt it would not be a wise use of the FEC’s resources.

New York – A Family Donated $300K to Hochul. New York Has Paid the Family Business $637M.
Albany Times Union – Chris Bragg | Published: 7/19/2022

One New York City family, led by entrepreneur Charlie Tebele, has donated nearly $300,000 to Gov. Kathy Hochul’s campaign. Records also show that since December, Tebele’s company, Digital Gadgets LLC, was paid $637 million in taxpayer funds to provide the state Department of Health, an agency controlled by Hochul, with at-home COVID-19 test kits. The huge expenditure was made without the agency conducting competitive bidding. Though Digital Gadgets has not always delivered as promised, it has continued to reap major government payments, while the family has kept donating heavily to select politicians.

New York – Bellone Vetoes Repeal of Suffolk County’s Public Campaign Finance Program
WSHU – J.D. Allen | Published: 7/19/2022

Suffolk County Executive Steve Bellone vetoed a bill that would repeal its public campaign finance program. Suffolk is the largest county in the state outside of New York City to have such a program. It would allow candidates for county executive, comptroller, and legislator to access public dollars to run for office. Bellone said it would be a step backwards for building diversity and equity in county government.

New York – N.Y. Assemblyman Charles Fall’s Girlfriend Lobbied Him on Various Issues, Prompting Ethics Concerns
MSN – Chris Sommerfeldt (New York Daily News) | Published: 7/18/2022

Bianca Rajpersaud, a registered lobbyist at Davidoff, Hutcher & Citron, is listed as having lobbied state Assemblyperson Charles Fall as part of 11 different contracts the firm inked in 2021 and 2022 with companies and nonprofits seeking to curry favor with lawmakers. The duo began dating in 2020. There is no requirement for lawmakers to consult the Legislative Ethics Commission about professional interactions with love interests who are not spouses. Watchdog Rachael Fauss said the lobbying raises concerns that could have been avoided if Fall was open about whether he cleared the matter with the commission.

Ohio – Experts Say P.G. Sittenfeld Could Use $975k in Campaign and PAC Funds for Appeal of Conviction
WCPO – Paula Christian | Published: 7/14/2022

Former Cincinnati City Councilperson P.G. Sittenfeld may not be running for mayor anymore, but he still has nearly $975,000 in leftover political donations that experts say he could use to pay legal fees for an appeal after a jury convicted him of bribery and attempted extortion. Sittenfeld was a rising political star who mounted an impressive campaign fund to run for mayor in 2021. But three of his donors turned out to be undercover FBI agents who were posing as out-of-town developers. They donated $40,000 to his PAC and asked for help on a project, which prosecutors described as quid pro quo.

Ohio – Ohio Supreme Court Again Rejects Republican Congressional Map, Ordering Redraw for 2024 Election
MSN – Andrew Tobias (Cleveland Plain Dealer) | Published: 7/19/2022

For the second time this year, the Ohio Supreme Court rejected state Republicans’ congressional map plan as illegally gerrymandered, citing the new language added by voters to the state constitution in 2018. But the ruling almost certainly will not affect this year’s elections since the primary election for Ohio’s ongoing congressional races was held in May, with the general election set for November. While the ruling is silent on the 2022 elections, it does not explicitly describe vacating the results of the May election and other interventions that would indicate the court is trying to block the map from being used in the current election cycle.

Rhode Island – McKee’s Former Chief of Staff Displayed ‘Very Poor Judgment’ but Committed No Crimes, Attorney General Says
MSN – Edward Fitzpatrick (Boston Globe) | Published: 7/18/2022

The Rhode Island attorney general’s office cleared Gov. Daniel McKee’s former chief of staff, Anthony Silva, of criminal activity but castigated him for exercising “very poor judgment in involving himself in a personal matter before a state regulatory agency.” Silva resigned amid scrutiny of whether he attempted to influence the state Department of Environmental Management (DEM) over a permit to develop a piece of land in Cumberland. The DEM at first rejected an application to develop the parcel, but reversed course. The investigation found Silva frequently contacted the DEM and Cumberland officials to try to advance the approval process.

Texas – AG Ken Paxton Declines to Sue Candidates, Officials Who Owe $700K in Unpaid Campaign Violation Fines
MSN – Taylor Goldsmith (Houston Chronicle) | Published: 7/14/2022

The Texas Ethics Commission, the regulatory agency in charge of enforcing campaign finance laws, does not have many tools at its disposal to go after scofflaws who have not paid fines aside from letter notifications. Its last line of defense against delinquent filers is to refer their cases to the state attorney general’s office. But Texas Attorney General Ken Paxton has declined to sue hundreds of candidates and elected officials who altogether owe more than $700,000 unpaid fines for campaign reporting violations.

Washington – Armed Man Arrested Outside Home of Rep. Jayapal for Alleged Death Threat
MSN – Amy Wang (Washington Post) | Published: 7/14/2022

An armed man who reportedly threatened to kill U.S. Rep. Pramila Jayapal was arrested outside her Seattle home on suspicion of committing a hate crime, police said. The man, whose name was redacted from publicly available police reports, was released from jail because police could not confirm his threats or that he told Jayapal to “go back to India,” and an investigation is ongoing. Jayapal called 911 to report someone was outside her home using obscene language and may have fired a pellet gun.

Wisconsin – Milwaukee Ald. Chantia Lewis Convicted of Two Campaign Finance Felonies, Removed from Office
MSN – Allison Dir (Milwaukee Journal Sentinel) | Published: 7/18/2022

Milwaukee Ald. Chantia Lewis was removed from office after her conviction on two felonies related to her conduct in office. The criminal complaint stated she used campaign funds for family trips and basic personal expenses such as car and credit card bills, engaged in “double-dipping” by filing for reimbursement for city-related travel expenses that she had actually paid out of her campaign account, and structured a campaign contribution to avoid the limits in the law.

Wisconsin – Trump Called ‘Within the Last Week’ to Overturn Wis. Election Results, Speaker Says
MSN – Timothy Bella and Patrick Marley (Washington Post) | Published: 7/20/2022

Wisconsin’s Republican house speaker said former President Trump called him “within the last week” seeking to overturn the 2020 presidential election that Joe Biden won. Speaker Robin Vos said he received a call from Trump after the Wisconsin Supreme Court ruled on July 8 that most absentee drop boxes in the state are illegal. The ruling addresses future elections, not the one Trump lost in 2020 by more than 20,000 in Wisconsin.

Meet Michael Beckett, Esq., Associate Director, Research Services!

What are your areas of expertise?

I direct the Research Department and oversee website content regarding lobbying, campaign finance, ethics and gifts, procurement, and pay-to-play.

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I have been with the company for 10 years.

How do you help our clients?

Overseeing the content produced by the Research team allows me to provide high-level consulting on compliance-related matters for subscribers and clients. My experience allows me to provide in-depth analysis based on over a decade of keeping up with the latest developments in corporate compliance.

Arkansas Gov. Asa Hutchinson has called for a special session in August to discuss possible tax cuts.

The previously estimated Arkansas budget surplus for the 2022 fiscal year of $1.4 billion grew to a record $1.6 billion.

The special session will be held the week of August 8.

This affects lobbyist reporting.

Lobbyists who are registered to lobby the General Assembly are required to file a monthly report for any month the General Assembly is in session.

The report will be due August 10, which is 10 days after the month of the session.

Campaign Finance

Alabama: “Secretary of State: Federal groups supporting Alabama candidates must register with state” by Brian Lyman (Montgomery Advertiser) for Yahoo

Arizona: “The FEC Has Questions About How a PAC Backing Blake Masters Is Disclosing Its Spending” by Jerod MacDonald-Evoy for Arizona Mirror

Hawaii: “Hawaii Lawmakers Took $500k In Campaign Cash This Session Despite Pleas to Ban Campaign Cash During Session” by Blaze Lovell for Honolulu Civil Beat

New York: “Bellone Vetoes Repeal of Suffolk County’s Public Campaign Finance Program” by J.D. Allen for WSHU

Elections

Georgia: “GOP Fake Electors ‘Targets’ in Georgia Election Fraud Inquiry” by Matthew Brown (Washington Post) for MSN

Georgia: “Giuliani Ordered to Testify in Georgia 2020 Election Probe” by Kate Brumback (Associated Press) for ABC News

Ethics

National: “New Evidence Disputes Trump Administration’s Citizenship Question Rationale” by Tara Bahrampour (Washington Post) for MSN

Illinois: “Chicago City Council Unanimously Passes Ethics Overhaul, Boosts Fines to $20K” by Heather Cherone for WTTW

Rhode Island: “McKee’s Former Chief of Staff Displayed ‘Very Poor Judgment’ but Committed No Crimes, Attorney General Says” by Edward Fitzpatrick (Boston Globe) for MSN

Lobbying

Kentucky: “Proposed Ordinance Would Force People, Groups Who Lobby Louisville Metro to Register, Disclose Funding” by Roberto Roldan for WFPL

King County, WA has approved an amendment to the King County Charter to be sent to the voters during the November 8 election.

The amendment moves elections for county executive, county assessor, county director of elections, and county councilmembers from odd-number years to even-numbered years starting in 2026.

There will be an election held in 2023 for the county assessor, county director, and even-numbered district councilmembers.

The county executive and odd-numbered district councilmembers will be elected in 2025 before moving to even-numbered year elections in 2026.

Campaign Finance

National: “Pair Charged with Making Straw Donations to Trump Committees” by Jennifer Pelz (Associated Press) for MSN

Wisconsin: “Milwaukee Ald. Chantia Lewis Convicted of Two Campaign Finance Felonies, Removed from Office” by Allison Dir (Milwaukee Journal Sentinel) for MSN

Ethics

National: “Secret Service Cannot Recover Texts; No New Details for Jan. 6 Committee” by Carol Leonnig and Maria Sacchetti (Washington Post) for MSN

National: “Prosecutors Won’t Pursue Case Against Colbert Team at Capitol Complex” by Michael Balsamo (Associated Press) for Yahoo News

California: “San Jose Mayor Travels to France on Environmental Group’s Dime” by Jana Kadah for San Jose Spotlight

Indiana: “Ind. Attorney General’s Comments Endangered Abortion Provider, Complaint Says” by María Luisa Paúl and Kim Bellware (Washington Post) for MSN

New York: “A Family Donated $300K to Hochul. New York Has Paid the Family Business $637M.” by Chris Bragg for Albany Times Union

Lobbying

Florida: “West Palm: Winning bidder for Sunset Lounge management contract violated anti-lobbying rules” by Wayne Washington (Palm Beach Post) for Yahoo News

Redistricting

Ohio: “Ohio Supreme Court Again Rejects Republican Congressional Map, Ordering Redraw for 2024 Election” by Andrew Tobias (Cleveland Plain Dealer) for MSN

Campaign Finance

Arizona: “AZ Secretary of State Candidate’s Nonprofit Spending Raises Questions” by Mary Jo Pitzl (Arizona Republic) for Arizona Daily News

California: “Ex-Compton Councilman Isaac Galvan, Dogged by Election-Rigging Scandal, Faces $240,000 Fine” by Gregory Yee (Los Angeles Times) for Yahoo News

Missouri: “FEC Member Pans Decision Not to Investigate Groups That Helped Elect Greitens in 2016” by Jason Hancock for Missouri Independent

Texas: “AG Ken Paxton Declines to Sue Candidates, Officials Who Owe $700K in Unpaid Campaign Violation Fines” by Taylor Goldsmith (Houston Chronicle) for MSN

Elections

National: “Little-Known Lawyer Pitched Trump on Extreme Plans to Subvert Election” by Maggie Haberman and Luke Broadwater (New York Times) for Yahoo News

Ethics

Washington: “Armed Man Arrested Outside Home of Rep. Jayapal for Alleged Death Threat” by Amy Wang (Washington Post) for MSN

Lobbying

New York: “N.Y. Assemblyman Charles Fall’s Girlfriend Lobbied Him on Various Issues, Prompting Ethics Concerns” by Chris Sommerfeldt (New York Daily News) for MSN

Procurement

National: “Bipartisan Group Seeks to Limit Who Federal Agencies Can Contract With” by Eric Katz for Government Executive

A bipartisan bill was introduced into the U.S. Senate aimed at increasing federal oversight to prevent national security consulting firms from contracting both with the United States and countries like Russia and China.

Senate Bill 4516, Obstructive National Security Underreporting of Legitimate Threats (CONSULT), introduced by Republican U.S. Senator Joni Ernst and Democratic Senators Maggie Hassan and Gary Peters, would require consulting firms to disclose any potential organizational conflict of interest with certain entities, such as beneficial ownership, active contracts, contracts held within the last five years, and any other relevant information with foreign adversarial entities or governments. In turn, it would also allow for these conflicts of interest to be grounds for denial of a contract, or for the suspension and debarment of a contractor.

The bill, introduced on July 13, would also require the Federal Acquisition Regulatory Council to update federal acquisition regulations for implementation and calls for a government-wide policy to mitigate and eliminate organizational conflict of interests relating to national security.

According to Senator Hassan’s press release, “The CONSULT Act comes after reports surfaced that the consulting firm McKinsey & Company was providing strategic advice for state-owned companies in China and Russia while also being awarded national security contracts by the United States. These Chinese and Russian entities include a handful that have been blacklisted by federal agencies.”

The Tallahassee Commission on Ethics introduced an ordinance to change lobbying rules including a repeal of quarterly compensation reporting and a requirement for lobbyists to begin registering individually rather than by firm.

The commission also adopted a 10-year ban on lobbying for certain felons and a fee resolution raising the current registration fee from $25 to $500.

Ordinance 22-O-20 is scheduled for a second reading and public hearing on September 7.

If passed, the new rules will become effective January 1, 2023.

Campaign Finance

National: “Trump’s Political Operation Continued to Steer Donor Money to Firm Involved in the Jan. 6 Rally” by Anna Massoglia for OpenSecrets

Alaska: “Judge Refuses to Block Alaska Campaign Finance Disclosure Rules” by Becky Bohrer (Associated Press) for MSN

California: “Oakland Wants to Give Voters Money to Make Campaign Contributions” by Callie Rhoades for Oakland North

Elections

National: “Bipartisan Bill Would Clarify That VP Role with Electors Is Only Ceremonial” by Chris Cioffi (Roll Call) for MSN

Ethics

National: “Jan. 6 Committee Subpoenas Secret Service for Missing Records” by Jacqueline Alemany and Maria Sacchetti (Washington Post) for MSN

Florida: “UCF Removes Departments’ Anti-Racism Statements” by Annie Martin (Orlando Sentinel) for MSN

Illinois: “Chicago at the ‘Vanguard of Government Ethics’? New City Council Rules Would Quadruple Top Fines for Violators, but Some Measures Watered Down” by Alice Yin (Chicago Tribune) for Yahoo News

Lobbying

Florida: “Tallahassee Officials Approve 10-Year Ban on Corruption-Related Felons Lobbying” by Karl Etters (Tallahassee Democrat) for MSN

National/Federal

Election Officials Fear Copycat Attacks as ‘Insider Threats’ Loom
MSN – Zach Montellaro (Politico) | Published: 7/12/2022

Election officials are confronting a wave of threats and security challenges coming from a troubling source: inside the election system itself. In interviews at the National Association of Secretaries of State’s conference, a dozen chief election administrators detailed a growing number of “insider threats” leading to attempted or successful election security breaches aided by local officials. The most prominent was in Colorado, where a county clerk was indicted for her role in facilitating unauthorized access to voting machines. But there have been similar instances elsewhere.

Judge Rejects Bannon’s Bid to Delay Trial, Executive-Privilege Claim
MSN – Spencer Hsu (Washington Post) | Published: 7/11/2022

U.S. District Court Judge Carl Nichols refused to delay Stephen Bannon’s trial after the Justice Department called an offer by the former Trump aide to testify before the House committee investigating the January 6, 2021, insurrection a “last-ditch attempt to avoid accountability” on charges of criminal contempt of Congress. Bannon was indicted for contempt of Congress after refusing to comply with a subpoena for his testimony and records about his actions leading up to the Capitol riot.

Lindsey Graham Argues Constitution Grants Him ‘Absolute Immunity’ in Georgia Election Interference Probe, a Response One Former Prosecutor Calls ‘Disturbing’
Yahoo News – Charles Davis (Business Insider) | Published: 7/13/2022

Lawyers for U.S. Sen. Lindsey Graham are arguing that he cannot be forced to testify before a Fulton County grand jury about alleged election interference, claiming he enjoys “absolute immunity” under the Constitution for phone calls he placed to Georgia Secretary of State Brad Raffensperger. Fulton County District Attorney Fani Willis has been investigating efforts by former President Trump and his allies to pressure officials in Georgia to overturn President Biden’s victory.

Michael Flynn Cited for Unauthorized Foreign Payments
MSN – Dan Lamothe and Craig Whitlock (Washington Post) | Published: 7/8/2022

Michael Flynn, the retired Army general and onetime adviser to former President Trump, was cited by the Defense Department inspector general for failing to disclose lucrative speaking engagements and other business arrangements with foreign entities, prompting the U.S. government to pursue tens of thousands of dollars in penalties against him. The Army notified Flynn it would seek to recoup $38,557.06 from him.

Morton’s and Others Brace as Activists Offer Cash for SCOTUS Sightings
Yahoo News – Emily Heil and Tim Carman (Washington Post) | Published: 7/11/2022

The Washington, D.C. location of Morton’s the Steakhouse is the first known restaurant in the city to be dragged into the protests over the U.S. Supreme Court’s reversal of Roe v. Wade. Justice Brett Kavanaugh was dining there but left via a side door as a handful of protesters gathered outside. The activist group ShutDownDC tweeted it would pay restaurant workers to tip them off if they spot any of the six justices who voted to overturn Roe v. Wade.

‘Operation Higher Court’: Inside the religious right’s efforts to wine and dine Supreme Court justices
Yahoo News – Peter Canellos and Josh Gerstein (Politico) | Published: 7/8/2022

Rob Schenck, an evangelical minister who once headed the group Faith and Action, said he arranged for couples to fly to Washington to visit with and entertain Supreme Court Justices Clarence Thomas, Samuel Alito, and the late Antonin Scalia. Schenck said the couples were instructed to use certain phrases to influence the justices while steering clear of the specifics of cases before the court. The calculated nature of Faith and Action’s efforts shows how outside actors can use social activities and expensive dinners to penetrate the court’s highly sealed environment.

Ron Johnson’s $280k Cash Gifts to Chief of Staff and Wife Draw U.S. Senate Ethics Complaint
KPVI – Alexander Shur (Madison.com) | Published: 7/12/2022

U.S. Sen. Ron Johnson and his wife paid his former chief of staff, Anthony Blando, and Blando’s wife $280,000 in cash gifts while they worked together, an arrangement Democrats say is a breach of Senate rules. The Senate’s ethics rules limit how much congressional aides can be compensated and how much and from whom they can receive gifts. The Johnsons’ cash gifts to Blando appear to follow one guideline allowing aides to receive gifts from senators but appear to clash with another guideline saying cash gifts are not acceptable. They also raise questions about whether they are an attempt to circumvent the compensation limits.

The Fight Over Truth Also Has a Red State, Blue State Divide
Yahoo News – Steven Lee Myers and Cecilia Kang (New York Times) | Published: 7/10/2022

In the absence of action at the federal level, officials in state after state are taking aim at the sources of disinformation and the platforms that propagate them – only they are doing so from starkly divergent ideological positions. In this polarized era, even the fight for truth breaks along partisan lines. The result has been a rush of state bills and legal maneuvers that could reinforce information bubbles in a nation divided over a variety of issues and along geographic lines. The biggest hurdle to new regulations, regardless of the party pushing them, is the First Amendment.

Trump Hid Plan for Capitol March on Day He Marked as ‘Wild’, Panel Says
MSN – Isaac Stanley-Becker and Jacqueline Alemany (Washington Post) | Published: 7/12/2022

Donald Trump scrawled the words on Twitter that motivated right-wing extremists to seek blood on January 6, 2021, and kept secret a plan to direct his supporters to the Capitol that day, according to evidence and testimony presented at the seventh hearing of the House select committee investigating the riot. The message marked a turning point in Trump’s efforts to stay in power and, in the telling of U.S. Rep. Jamie Raskin, “would galvanize his followers, unleash a political firestorm and change the course of our history as a country.”

U.S. Appeals Court Upholds Release of Trump Financial Records to House
MSN – Spencer Hsu (Washington Post) | Published: 7/8/2022

A federal appeals court panel ruled House lawmakers can see years of former President Trump’s financial accounting records but narrowed the range of documents Trump must turn over in a long-running legal battle over his compliance with presidential ethics and disclosure laws. Both sides can still appeal the three-judge panel’s ruling. But the decision marked a partial victory for each side over a subpoena issued in 2019 by the House Oversight Committee to Trump’s accounting firm, Mazars USA.

‘Unhinged’: The White House meeting that preceded Trump’s ‘will be wild’ tweet
MSN – Rosalind Helderman and Josh Dawsey (Washington Post) | Published: 7/12/2022

About six weeks after Donald Trump lost his reelection, a fistfight nearly broke out in the White House between the president’s fired national security adviser and a top White House aide. A motley crew of unofficial Trump advisers had talked their way into the Oval Office and an audience with the president to argue the election had been stolen by shadowy foreign powers, perhaps remotely via Nest thermostats. Even for a White House known for its chaos, the December 18, 2020, meeting demonstrated how Trump invited fringe players advocating radical action into his inner sanctum as he searched for a way to remain in office.

From the States and Municipalities

Alabama – Alabama Ethics Commission Says It Doesn’t Have to Share Exculpatory Information with Accused
Yahoo News – Brian Lyman (Montgomery Advertiser) | Published: 7/13/2022

The Alabama Ethics Commission said it did not have to disclose evidence that could potentially clear a person accused of violating state ethics laws during an investigation. The unanimous vote came after a discussion where the state attorney general’s office argued the accused had the right to access such material, and members of the commission raised concerns about its investigatory nature, the potential of discouraging legitimate complaints, and the current wording of the ethics statute.

Arizona – Arizona Activists Want a Vote on Expanding Access to Voting
MSN – Yvonne Wingett Sanchez (Washington Post) | Published: 7/7/2022

Citing efforts by Arizona’s Republican-controlled Legislature to restrict access to voting, a coalition of advocacy organizations, community groups and volunteers is attempting to expand voting rights in the state through a ballot initiative. The coalition gave state elections officials the signatures of more than 475,000 Arizonans who want to see the issue put to a vote in November. The initiative would also limit the amount of money that lobbyists could spend on special events and travel for lawmakers at $500.

Arkansas – Groups Use Arkansas PACs Loophole to Donate Above Campaign Contribution Limits
Arkansas Democrat-Gazette – Lisa Hammersly | Published: 7/10/2022

In Arkansas, each PAC can donate the state limit of $2,900, a loophole in state campaign finance laws when one organization fields many PACs, experts say. Disclosure data shows groups of business and political interests and lobbyists with multiple PACs give some favored candidates substantially more in contributions than Arkansas allows for one individual or a group with only one PAC. While Arkansas permits such donations from related PACs, federal election rules and some other states do not.

California – Campaign Finance Reform Efforts in Anaheim Deadlock Again – And Again
Los Angeles Times – Gabriel San Román | Published: 7/13/2022

When the Anaheim City Council debated campaign finance reform for a third meeting in a row, it proved to be anything but a charm. Election spending in Anaheim has come into sharper focus since an FBI probe into former Mayor Harry Sidhu. Councilperson Jose Moreno introduced a bill intended to curb what he called “pay-to-play” politics, but another tie vote by the council sunk the reform effort again.

California – Orange County Supervisor Andrew Do Faces $12,000 State Fine Over ‘Pay to Play’ Politics
Voice of OC – Spencer Custodio and Hosam Elattar | Published: 7/11/2022

Orange County Supervisor Andrew Do is facing a $12,000 fine for steering lobbyist contracts to his own campaign donors, something the California Fair Political Practices Commission says violates state “pay-to-play” restrictions. FPPC investigators said it happened while Do was serving on the CalOptima board, the agency that oversees the county’s medical insurance plan. The FPPC also found Do violated regulations on a series of behested payments.

Colorado – 3rd Arrest Made in Alleged Colorado Election Security Breach
MSN – Colleen Slevin (Associated Press) | Published: 7/13/2022

The former elections manager for a Colorado clerk indicted on charges of tampering with voting equipment has been arrested on allegations she was part of the scheme. Sandra Brown, who worked for Mesa County Clerk Tina Peters, surrendered in response to a warrant issued for her arrest on suspicion of conspiracy to commit criminal impersonation and attempting to influence a public servant. Peters and her chief deputy, Belinda Knisley, are being prosecuted for allegedly allowing a copy of a hard drive to be made during an update of election equipment in May 2021.

Connecticut – A West Haven Official Approved Contracts, Payments for His Family Business
MSN – Andrew Brown (Connecticut Mirror) | Published: 7/12/2022

Robert Bruneau, a city council member and fire commissioner in West Haven, used his elected position as a leader of the West Shore Fire District to authorize contracts and payments for a company owned by his wife and son. Documents show Bruneau, along with his two fellow fire commissioners, approved more than $81,000 in payments to Bruneau’s Garage, which he and his family have owned and operated for more than a decade. Bruneau was also recently singled out in a state audit that examined questionable spending by the West Haven city government.

Connecticut – Wife of Former CT Lawmaker Pleads Guilty in West Haven Theft Case
MSN – Andrew Brown (Connecticut Mirror) | Published: 7/12/2022

Lauren DiMassa, who is now married to former Connecticut Rep. Michael DiMassa, admitted her part in stealing more than $147,000 from the city of West Haven. Records show Michael DiMassa, who served as an assistant to the West Haven City Council, approved 16 payments that went to his future wife. The records show Lauren DiMassa sent invoices to the city and claimed to be performing services under a youth violence prevention grant. She billed for things like meals, equipment, supplies, transportation, personal protective equipment, “counseling,” and “support clinics.”

Florida – Election Issues: Two candidates say Sheriff Ivey tried to get them to drop out, offered jobs in exchange
Yahoo News – Eric Rogers and Bobby Block (Florida Today) | Published: 7/13/2022

For years, a political endorsement by Sheriff Wayne Ivey has been seen by would-be candidates for elected office and many voters in Brevard County as an anointment of approval by the area’s most prominent politician and law enforcement officer. But there is another side to Ivey’s endorsements, some candidates say. According to them, Ivey seeks to control who gets to compete in Brevard elections and who should not. Two candidates this year said Ivey pushed for them to leave the field and throw their support behind his favored candidates. In exchange, they say, Ivey has offered them political jobs worth up to $50,000 a year.

Florida – Lobbyists, Including Former Governor Staff, Push Client for Emergency Management Warehouse Contract
Orlando Sentinel – Jeffrey Schweers | Published: 7/14/2022

Two of Florida Gov. Ron DeSantis’ former top staffers were among the lobbyists that sought to make sure their client was well positioned for a new Emergency Management warehouse and inventory control contract, emails show. The Division of Emergency Management originally planned to bid out the contract itself and asked the Legislature for $75 million to build and retrofit new warehouse space for supplies it was required to purchase for public health emergencies. But it agreed to side-step its normal bidding process after talking to legislative leaders.

Georgia – Limits Set for Lawmaker Testimony in Georgia Election Probe
Yahoo News – Kate Brumback (Associated Press) | Published: 7/7/2022

Georgia lawmakers appearing before a special grand jury in the investigation into whether former President Trump and others illegally meddled in the state’s 2020 election have broad immunity but can be asked about their conversations with people outside of the Legislature, a judge ruled. A former state lawmaker and Georgia’s lieutenant governor asked the judge to squash subpoenas seeking their testimony before the grand jury, citing legislative privilege and immunity.

Georgia – State Ethics Agency Drops Charges in Abrams Fundraising Probe as Campaign Steams Ahead
Georgia Recorder – Stanley Dunlop | Published: 7/12/2022

Georgia’s ethics commission dismissed two charges against Democratic gubernatorial candidate Stacey Abrams connected to her 2018 campaign. The commission’s action was based on documentation showing the Abrams campaign did not illegally receive donations from two supporting organizations, while other forms cleared up questions about an expense charged during her run against Gov. Brian Kemp. It marked the latest development in the wide-spanning investigation into whether the Abrams team coordinated with groups to help her election in 2018.

Hawaii – Prosecutors Want Enhanced Punishment for Public Corruption
Honolulu Civil Beat – Blaze Lovell | Published: 7/13/2022

County prosecutors in Hawaii want to see harsher sentences for public officials who try to defraud the government and are calling for better resources to investigate such crimes. The Commission to Improve Standards of Conduct, a group tasked with beefing up government standards and ethics, heard from FBI agents, former state attorneys general, and county prosecutors during a forum to generate more ideas to crack down on public corruption in Hawaii.

Illinois – Ex-Cook County Official Patrick Doherty Pleads Guilty to Several Corruption Schemes
Chicago Sun-Times – Jon Seidel | Published: 7/13/2022

Patrick Doherty, a former high-ranking Cook County official, admitted to a wide-ranging set of corruption schemes totaling $148,000 that involved the late Illinois Sen. Martin Sandoval and ex-Cook County Commissioner Jeff Tobolski. Doherty was originally hit with three bribery counts for his work as a sales agent for SafeSpeed. Prosecutors then expanded the indictment, he also schemed with Tobolski, who doubled as mayor of McCook, as well as Sandoval, who served as chair of the Illinois Senate Transportation Committee.

Kentucky – Gov. Beshear Scores Victory Against GOP Effort to Strip His Power Over Ethics Commission
MSN – Joe Sonka (Louisville Courier-Journal) | Published: 7/12/2022

A judge sided with Kentucky Gov. Andy Beshear in his lawsuit to block a new law shifting the governor’s appointment power with the Executive Branch Ethics Commission to other Republican constitutional officers. Jefferson Circuit Court Judge McKay Chauvin granted Beshear’s motion for a summary judgment to permanently block House Bill 334 because it violates the state constitution. Under the new law, the commission’s members are increased to seven by reducing the governor’s appointees to just two, while also granting one appointment each to five other constitutional officers.

Louisiana – Ethics Board: Oliver Thomas can’t be paid by WBOK while station takes city money
New Orleans Advocate – Jeff Adelson and Mark Ballard | Published: 7/8/2022

The Louisiana Board of Ethics formally approved an opinion that would bar New Orleans City Councilperson Oliver Thomas from continuing to be paid for his talk show on WBOK as long as the radio station continues to receive city money for advertising. In reaching their decision, ethics board staff cited state laws prohibiting elected officials from working for companies that receive revenues from the government they work for.

Michigan – Ex-State Rep. Inman Can [Face] Bribery, Extortion Charges Again, Court Rules
Detroit News – Hayley Harding | Published: 7/10/2022

Former Michigan Rep. Larry Inman can face a new trial after a federal appeals court reversed a lower court’s decision to dismiss bribery and extortion charges. U.S. District Court Judge Robert Jonker ruled in 2021 that Inman’s constitutional rights to speech would be violated and to retry him could be barred by the double jeopardy clause of the Constitution if he faced another trial on charges of soliciting a bribe and attempted extortion. The ruling means Inman can face trial for allegedly trying to get union lobbyists to buy his 2018 vote on repealing the state’s prevailing wage law.

Michigan – Secretary of State Benson’s Husband Registered to Lobby for Billionaire’s Company
Detroit News – Craig Mauger | Published: 7/8/2022

The husband of Secretary of State Jocelyn Benson, who ran for office vowing to reform Michigan’s lobbying laws, is now a registered lobbyist himself. Ryan Friedrichs registered to lobby on June 29, according to a database maintained by the secretary of state’s office, which oversees lobbyists’ fillings. Friedrichs is one of three lobbyists in the state working on behalf of Related Companies, a New York-based real estate firm.

Minnesota – Campaign Finance Board Finds Probable Cause in Action 4 Liberty Case
Minnesota Reformer – Baylor Spears | Published: 7/13/2022

The Minnesota Campaign Finance and Public Disclosure Board found probable cause that the right-wing activist group Action 4 Liberty, which has been working to boost allies in upcoming Republican primaries, violated state campaign law. The board alleges the group made illegal corporate campaign donations to gubernatorial candidate Neil Shah and failed to report the contributions. The determination comes after a complaint to the board said certain Action 4 Liberty-connected emails mentioned Shah, which constituted an endorsement.

Montana – Ninth Circuit Decision Takes Issue with Montana Rule Defining ‘Political Committees’
Fairfield Sun Times – Sam Wilson (Helena Independent Record) | Published: 7/7/2022

The U.S. Court of Appeals for the Ninth Circuit found a portion of Montana’s law defining political committees is unconstitutionally vague in the case of Ed Butcher, a former Republican state lawmaker who maintains Legistats, a website that grades GOP legislators on party loyalty. The appeals court stopped short of striking down the administrative rule, which governs whether political spending in Montana needs to be reported and sent the case back to a lower court.

New York – Hochul’s Vow to Fix Albany’s Culture Finds an Unexpected Foe: Herself
News Networks – Jay Root (New York Times) | Published: 7/11/2022

In Albany, billions of taxpayer dollars can be directed, redirected, or shut off in negotiations far from public view. Gov. Kathy Hochul vowed to change that culture, promising “a new era of transparency,” including an ethics watchdog agency with “real teeth.” Yet as Hochul faces the November election, her promises of transparency and a changed culture appeared to have fallen short.

New York – NYC Comptroller Brad Lander Got OK from Conflicts Board on Contracts with Nonprofits Tied to Wife’s Group
MSN – Michael Gartland and Clayton Guse (New York Daily News) | Published: 7/6/2022

New York City Comptroller Brad Lander said he asked for guidance and got the go-ahead from the Conflicts of Interest Board for his office’s review of contracts with nonprofits tied to a group run by his wife. Lander sought the advice a day after The New York Daily News reported dozens of nonprofits that have contracts with the city are also members of Meg Barnette’s group, Nonprofit New York. Since January, when Lander took office, nonprofits tied to the group have gotten contracts totaling at least $544 million from the city.

New York – Report: Cuomo’s office ‘overpowered’ ethics watchdog in book approval
Spectrum News – Mick Reisman | Published: 7/7/2022

Former New York Gov. Andrew Cuomo’s office “overpowered” staff at the Joint Commission on Public Ethics (JCOPE) to win approval of a multimillion-dollar book deal for the then-governor, according to a report from JCOPE. The vote to release the report is expected to be one of JCOPE’s final acts after lawmakers voted to create a new commission to oversee lobbying and ethics. The sole vote against releasing the report was by Commissioner William Fisher, the remaining Cuomo appointee on the panel.

North Dakota – North Dakota Ethics Panel Chooses Next Executive Director
Bismarck Tribune – Jack Dura | Published: 7/12/2022

The North Dakota Ethics Commission selected Rebecca Binstock as its next executive director, replacing Dave Thiele. Binstock is a law clerk for U.S. District Court Judge Daniel Hovland. She will begin her new job in September.

Ohio – ‘Green Energy’ Initiative Leader Gets 120 Days in Jail for False Campaign Finance Report
MSN – Jordan Laird (Columbus Dispatch) | Published: 7/12/2022

A Franklin County judge described the ongoing effort to put a “green energy” initiative on the Columbus ballot as an illegitimate attempt to steal taxpayer money when he sentenced its leader to 120 days in jail for filing a false campaign finance report in 2019. The judge also sentenced John Clark Jr. to pay a $2,500 fine. Clark has led multiple petition drives in recent years to get a “green energy” initiative put on the ballot that, if any had passed, would have diverted more than $40 million of taxpayer money toward ProEnergy Ohio, a limited partnership group led by Clark.

Ohio – PG Sittenfeld Found Guilty of Bribery and Extortion, Not Guilty on Other Four Charges
WCPO – Paula Christian, Felicia Jordan, and Taylor Weiter | Published: 7/8/2022

Former Cincinnati City Councilperson P.G. Sittenfeld was convicted on federal charges of bribery and attempted extortion but was acquitted on four other counts. He could face two to three years in prison. Sittenfeld faced allegations that he agreed to accept $40,000 in payments to his PAC to “deliver the votes” in the city council for a proposed real estate development. He had been considered a top contender to run for mayor before he was indicted in 2020.

Oklahoma – Oklahoma Ethics Commission Fines PAC [$62,750]
Center Square – Kim Jarrett | Published: 7/8/2022

A PAC that worked to get Republicans elected to the state Senate will pay a $62,750 penalty, according to a settlement agreement with the Oklahoma Ethics Commission. The Republican Senatorial Committee agreed to pay $37,750 for impermissible contributions it accepted, as well as a $25,000 civil penalty. The commission also ordered the PAC to dissolve within 60 days.

Rhode Island – AG Reviewing Prov. Council Candidate’s Campaign Finances
MSN – Steven Machado (WPRI) | Published: 7/7/2022

A candidate for Providence City Council was referred to the stet attorney general’s office for possible prosecution following a series of campaign finance violations. The Rhode Island Board of Elections voted to refer Gerard Catala to prosecutors after auditing his campaign account and finding more than $7,000 worth of spending that was not accounted for on his disclosure reports.

Washington – Seattle Foundation Cops to Eight Campaign Finance Violations, Pays a Fine
Big Country News – Brett Davis (Center Square) | Published: 7/8/2022

The Seattle Foundation acknowledged a total of eight violations of campaign disclosure and contribution laws and paid a fine of $1,000. A complaint alleged the foundation failed to register and report in timely fashion as an “incidental committee” in 2019 and 2020 regarding a $50,000 contribution by Yes for Transit, a $50,000 donation from the Washington Fairness Coalition, and a $50,000 contribution from Keep Washington Rolling. Under state law, a nonprofit entity may be required to register as an incidental committee and disclose the top 10 donors whose contributions aggregate to $10,000 or more in the calendar year.

Wisconsin – Wisconsin Supreme Court Disallows Absentee Ballot Drop Boxes
Yahoo News – Scott Bauer (Associated Press) | Published: 7/8/2022

The Wisconsin Supreme Court ruled that absentee ballot drop boxes may be placed only in election offices and no one other than the voter can return a ballot in person, dealing a defeat to Democrats who said the decision would make it harder to vote in the battleground state. The court did not address whether anyone other than the voter can return his or her own ballot by mail. That means that anyone could still collect multiple ballots for voters and, instead of using a drop box, put them in the mail.

Campaign Finance

Georgia: “State Ethics Agency Drops Charges in Abrams Fundraising Probe as Campaign Steams Ahead” by Stanley Dunlop for Georgia Recorder

Minnesota: “Campaign Finance Board Finds Probable Cause in Action 4 Liberty Case” by Baylor Spears for Minnesota Reformer

Washington: “Seattle Foundation Cops to Eight Campaign Finance Violations, Pays a Fine” by Brett Davis (Center Square) for Big Country News

Elections

National: “Election Officials Fear Copycat Attacks as ‘Insider Threats’ Loom” by Zach Montellaro (Politico) for MSN

Ethics

National: “Judge Rejects Bannon’s Bid to Delay Trial, Executive-Privilege Claim” by Spencer Hsu (Washington Post) for MSN

Alabama: “Alabama Ethics Commission Says It Doesn’t Have to Share Exculpatory Information with Accused” by Brian Lyman (Montgomery Advertiser) for Yahoo News

Illinois: “Ex-Cook County Official Patrick Doherty Pleads Guilty to Several Corruption Schemes” by Jon Seidel for Chicago Sun-Times

New York: “Hochul’s Vow to Fix Albany’s Culture Finds an Unexpected Foe: Herself” by Jay Root (New York Times) for News Networks

A special election has been scheduled for the vacant District 5 seat to be held on November 8.

The District 5 seat became vacant when Councilor Corey O’Connor was appointed the new Allegheny County Controller by the Pennsylvania Senate.

The winner of the special election will serve the remainder of the term set to expire at the end of 2023.