August 11, 2015 • Written by Jim Sedor

Tuesday Lobbying and Campaign Finance News Update

Lobbying California: “Anaheim Councilwoman Criticized for Trip with Disneyland Lobbyist” by Adam Elmahrek for Voice of OC Campaign Finance “New Challenge Filed to Party ‘Soft-Money’ Limits” by Kenneth Doyle for Bloomberg BNA Alabama: “Federal Court Upholds Alabama PAC-to-PAC Transfer Ban […]

August 10, 2015 • Written by Jim Sedor

Monday News Roundup

Lobbying “Bennet, Franken Introduce Lobbying Reform Bill – CWA Goes after Planned Parenthood Consultant – New Dems Break Fundraising Record” by Tarini Parti for Politico Ohio: “Redflex-Funded Groups Helped Columbus Lobby for Cameras” by Lucas Sullivan for Columbus Dispatch Campaign […]

August 7, 2015 • Written by Jonathan Spontarelli

News You Can Use Digest – August 7, 2015

National: Drunk on Power: Booze distributors ply statehouses to keep profits flowing Center for Public Integrity – Liz Essley Whyte | Published: 8/6/2015 Alcohol distribution is a $135 billion industry in the U.S. To protect the regulations that guarantee their business, […]

National:

Drunk on Power: Booze distributors ply statehouses to keep profits flowing
Center for Public Integrity – Liz Essley Whyte | Published: 8/6/2015

Alcohol distribution is a $135 billion industry in the U.S. To protect the regulations that guarantee their business, wholesalers bankroll scores of lobbyists and give millions of dollars in political contributions. Because alcohol is largely regulated at the state and local level, wholesalers aim most of their political firepower at statehouses. At least 22 states had bills in 2015 seeking to allow alcohol makers to circumvent distributors and sell their products directly to customers. They faced firm opposition because alcohol wholesaler alliances had at least 315 registered lobbyists spread across 49 states and the District of Columbia. Distributors gave about $14.6 million to state candidates, parties, and ballot issue groups in 2014.

Federal:

Limits Unclear on New Political Party ‘Slush Funds’
Center for Responsive Politics – Carrie Levine | Published: 8/3/2015

A new law allows political parties to accept more than $800,000 per person per year, compared to $97,200 under the old limits. The money technically must be used only for specific purposes, such as legal expenses and improvements to party headquarters. But the limits are murkier than they seem, with some lawyers saying the money could legally pay for some election-related costs such as opposition research and data mining. And the FEC is at an impasse over whether and how to issue rules governing the new party accounts. As a result, decisions about spending the money are pretty much up to the parties and their lawyers.

Rand Paul Super PAC Head Indicted over Alleged 2012 Campaign Finance Violations
Washington Post – Sean Sullivan and Matea Gold | Published: 8/5/2015

A supporter and onetime close adviser to U.S. Sen. Rand Paul was charged with hiding secret payments to secure the endorsement of an Iowa lawmaker during the 2012 presidential campaign of his father, former U.S. Rep. Ron Paul. Jesse Benton, who had been tapped to run America’s Liberty, a super PAC that supports Rand Paul’s presidential bid, is accused of paying more than $70,000 to former Iowa Sen. Kent Sorenson to win his support ahead of the state’s caucuses in 2012. Also charged are John Tate and Dimitrios Kesari, who worked with Benton on the 2012 campaign. The three are accused of submitting false expense reports to the FEC. Benton is also accused of lying to the FBI.

Small Pool of Rich Donors Dominates Election Giving
New York Times – Nicholas Confessore, Sarah Cohen, and Karen Yourish | Published: 8/1/2015

An analysis of FEC reports and IRS records shows the fundraising arms race has made most of the presidential hopefuls dependent on a small pool of the richest Americans. Fewer than four hundred families are responsible for almost half the money raised in the 2016 campaign. The intensifying reliance on big money in politics mirrors the concentration of American wealth more broadly. In an era when a tiny fraction of the country’s population has accumulated a huge proportion of its wealth, the rich have also been empowered by the U.S. Supreme Court’s Citizens United decision and other regulatory changes to spend more on elections.

From the States and Municipalities:

Alabama – Tom Albritton, Alabama’s New Ethics Executive Director, Wants to Be Fair, Consistent
AL.com – Mike Cason | Published: 7/31/2015

Tom Albritton, the new executive director of the Alabama Ethics Commission, said consistency is the key to applying a broadly written ethics law in a way that both guards the public’s trust and encourages good people to run for office. He said parts of the ethics law are nonspecific to the extent that it requires careful interpretation for every circumstance and event. “I think having broad language is a challenge to enforce consistently, and you can’t have a rigid set of rules that don’t work in the real world,” said Albritton.

California – Campaign Money Has MTA Board Members Missing Votes
Los Angeles Times – David Zahniser and Katie Shepherd | Published: 8/3/2015

Los Angeles Mayor Eric Garcetti recused himself from dozens of Metropolitan Transportation Authority board votes last year as he sought to comply with one of California’s most restrictive rules on campaign contributions. Politicians on the board are prohibited from participating in decisions on contracts if they have received political donations of more than $10 from the companies seeking the work. One of his appointees to the board, city Councilperson Mike Bonin, withdrew from 34 contract decisions. County Supervisor Michael Antonovich stepped aside on 19 votes. For ethics experts, the practice of missing votes poses a question: does it mean the system is working, because politicians are staying away from the decisions that affect their campaign donors? Or does it show that it is broken, because board members repeatedly miss major financial decisions?

California – Public Officials Named in New Findings from FBI Probe of ‘Shrimp Boy’ Chow
San Francisco Examiner – Jonah Owen Lamb | Published: 8/4/2015

Evidence from the prosecution of Raymond “Shrimp Boy” Chow potentially implicates a wide array of public officials in alleged bribery schemes, “pay-to-play” plots, money laundering, and bid-rigging. The federal investigation culminated in a sweeping indictment with 29 defendants. Among them was former California Sen. Leland Yee, who pleaded guilty to racketeering. Chow was charged with running a Chinese American community organization as a racketeering enterprise. A motion to dismiss the indictment included snippets of FBI reports and wiretap evidence that suggest San Francisco Mayor Ed Lee and others participated in public corruption schemes but were spared prosecution “due to their political affiliations.’

Maine – Anti-Gay Marriage Group Suffers another Loss in Bid to Conceal Donors to Maine Campaign
Portland Press Herald – Steve Mistler | Published: 8/4/2015

Maine’s highest court rejected a national group’s latest bid to shield the identities of donors who contributed to its effort to overturn the state law allowing same-sex marriage. The state ethics commission fined the National Organization for Marriage (NOM) $50,250 last year for violating campaign finance laws and ordered it to file a report revealing the names of those who supported the referendum. NOM paid the fine but asked the Supreme Judicial Court to allow it to hold off on filing the report until the court considers its appeal of the commission’s decision. The justices denied that request, saying it is unlikely the organization will be successful in its challenge of the ethics panel’s ruling.

Massachusetts – 2 Businesses Fight State Ban on Campaign Contributions
MassLive.com – Shira Schoenberg | Published: 8/4/2015

An advocacy group and two business owners asked a judge to grant a preliminary injunction temporarily halting Massachusetts’ restrictions on corporate political giving. Under the state’s current campaign finance law, businesses are not allowed to contribute directly to candidates. Unions can contribute up to $15,000 to a candidate and individuals can contribute up to $1,000. Businesses cannot establish and fund PACs that donate to candidates, even though unions can. “Government can’t pick winners and losers in the political marketplace,” Jim Manley, senior attorney at the Goldwater Institute, told reporters before the hearing.

New York – JCOPE Denies Request to Shield Abortion-Issue Donors
Capital New York – Jimmy Vielkind | Published: 8/4/2015

The Joint Commission on Public Ethics (JCOPE) rejected applications from Family Planning Advocates of New York and the state Civil Liberties Union for exemptions that would allow the groups to keep their most generous donors secret. The 2011 law that created JCOPE allows it to grant exemptions if donors to a specific group – advocacy organizations categorized as 501(c)4 groups – are likely to face “harm, threats, harassment, or reprisals” if their giving becomes known to the public. Commissioners who opposed the exemptions expressed concern that the standard of evidence in the applications, which detailed episodes of perceived threats, was insufficient.

Pennsylvania – City Adopts New Reporting Requirements for Campaign Financing
Philadelphia Daily News – Wendy Ruderman | Published: 7/31/2015

Mayor Michael Nutter signed legislation that requires non-candidate groups that fundraise for the purpose of influencing elections to submit campaign finance reports every two weeks, beginning six weeks before an election. Non-candidate groups include nonprofit organizations, corporations, partnerships, and PACs. Disclosures regarding electioneering communications, such TV ads purchased by non-candidate parties, are also required within 50 days of an election. The bill followed a Democratic mayoral primary in which a significant amount of so-called dark money was spent by independent groups to influence the race.

Pennsylvania – City’s Campaign Contribution Limits at Heart of Fattah Case
Philadelphia Inquirer – Chris Brennan | Published: 7/30/2015

U.S. Rep. Chaka Fattah had a plan as he prepared for Philadelphia’s 2007 mayoral race: raise six-figure contributions from wealthy donors and, if challenged, use the courts to overturn the city’s donation limits. The conventional wisdom in political and legal circles at the time was that those caps would not survive a legal challenge. A Philadelphia judge, as expected, overturned the limits in December 2006. Commonwealth Court put them back in a ruling that landed just six weeks before the mayoral primary. The ruling set Fattah on a course that ultimately led to his recent indictment on corruption charges as he tried to circumvent the local law.

Pennsylvania – Reading Councilman Pleads Guilty in Corruption Case
Philadelphia Inquirer – Jeremy Roebuck | Published: 8/5/2015

Reading City Council President Francisco Acosta pleaded guilty to accepting a bribe of $1,800 in return for his effort to repeal the city’s campaign finance law. Court documents do not identify the public official who offered the bribe, but said the official had the power to sign city council legislation into law. The only person with that power is Mayor Vaughn Spencer, whose home was raided in July by the FBI. “Public Official No. 1,” as court documents described the person offering the bribe, had taken campaign donations that violated city law. The official believed “his best chance of winning re-election would require keeping these contributions and raising additional funds which would be prohibited by the code of ethics,” according to the documents.

Texas – Appellate Panel Says Texas ID Law Broke U.S. Voting Rights Act
New York Times – Erik Eckholm | Published: 8/5/2015

A federal appeals court struck down Texas’s voter-identification law, ruling it violates the Voting Rights Act. Texas was allowed to use the law during the 2014 elections, thereby requiring an estimated 13.6 million registered voters to have a photo ID to cast a ballot. The ruling was a victory, although not a sweeping one, for Democrats and minority rights groups. Last year, a federal judge called the law the equivalent of a poll tax, but the three-judge panel of the Fifth U.S. Circuit Court of Appeals disagreed. Instead, it sent the law back to the lower court to consider how to fix the discriminatory effects. The state can appeal the unanimous decision to the full appeals court, or ask for a U.S. Supreme Court review.

Texas – Paxton Surrenders in Securities Fraud Indictment
Texas Tribune – Patrick Svitek | Published: 8/3/2015

Facing three felony counts of securities law violations, Texas Attorney General Ken Paxton was booked on felony securities fraud charges. The grand jury indictments show that two first-degree fraud charges were based on Paxton’s efforts in July 2011, when he was a member of the state House, to sell stock on behalf of Servergy. According to the indictments, Paxton failed to tell stock buyers that he had been compensated with 100,000 shares of Servergy stock. Paxton also said he was an investor in Servergy when he was not, the charges indicated. A third count accused Paxton of acting as an investment adviser representative without registering with the State Securities Board. Paxton is not required to leave office while he fights the charges.

Jim Sedor State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.

August 5, 2015 • Written by Jim Sedor

Wednesday Government Relations News

Lobbying “Jon Stewart’s Next Act: Lobbyist?” by Darren Samuelsohn for Politico California: “Measure Seeks to Reveal Names, Funding behind Indirect Lobbying” by Emily Green for San Francisco Chronicle New York: “JCOPE Denies Request to Shield Abortion-Issue Donors” by Jimmy Vielkind […]

August 4, 2015 • Written by Jim Sedor

Tuesday Lobbying and Campaign Finance News Update

Lobbying New York: “Documents Reveal New York State Agency’s Role in Adirondacks Mining Proposal” by Susanne Craig for New York Times Wisconsin: “Legislation Seeks to Limit Lobbying in City Government” by Simon Schatzberg for WISC Campaign Finance “Limits Unclear on […]

August 3, 2015 • Written by Jim Sedor

Monday News Roundup

Lobbying Maryland: “Gun Groups Are No Longer Major Spenders in Maryland Lobbying Game” by Josh Hicks for Washington Post Ohio: “Three on Columbus Council Paid for Football Trip after Bribe Probe Revealed” by Lucas Sullivan for Columbus Dispatch Campaign Finance […]

July 31, 2015 • Written by Jonathan Spontarelli

Austin, Texas Campaign Finance Laws Challenged in Court

On July 27, city of Austin, Texas Councilman Don Zimmerman filed suit seeking a preliminary injunction against city campaign finance provisions relating to blackout periods. The current law only allows officeholders, candidates, and their respective committees to accept campaign contributions […]

July 31, 2015 • Written by Jonathan Spontarelli

News You Can Use Digest – July 31, 2015

National: A Dream Undone New York Times – Jim Rutenberg | Published: 7/29/2015 August 6 is the 50th anniversary of the signing of the Voting Rights Act. It eliminated literacy tests and other Jim Crow tactics, and in a key provision […]

National:

A Dream Undone
New York Times – Jim Rutenberg | Published: 7/29/2015

August 6 is the 50th anniversary of the signing of the Voting Rights Act. It eliminated literacy tests and other Jim Crow tactics, and in a key provision called Section 5 required seven states with histories of black disenfranchisement to submit any future change in statewide voting law for approval by federal authorities. In 2008, for the first time, black turnout was nearly equal to white turnout, and Barack Obama was elected the nation’s first black president. Since then, however, the legal trend has abruptly reversed. The rollback of the law was the result of a little-known part of the civil rights story. It involves a largely Republican countermovement of ideologues and partisan operatives who methodically set out to undercut or dismantle its most important requirements.

Facebook Expands in Politics, and Campaigns Find Much to Like
New York Times – Ashley Parker | Published: 7/29/2015

While it is no surprise that campaigns are devoting a greater share of their budget and energy on digital initiatives, Facebook, already a major player in past cycles, has been working to expand its digital dominance in the political realm. Facebook, which has 189 million monthly users in the U.S., has pitched its tools and services to every presidential campaign in the 2016 race, not to mention down-ballot races, to showcase new features as candidates seek to reach and recruit new supporters and potential donors. Some estimate that 2016 will usher in roughly $1 billion in online political advertising, and Facebook says it is on track to increase its revenue from previous cycles.

Federal:

Billionaire Donors Bypass K Street
Roll Call – Kate Ackley | Published: 7/29/2015

The most politically generous billionaires invest almost unlimited personal resources in supporting federal candidates and super PACs. But the hedge funds and other companies that fuel their bank accounts put up a relatively small amount of cash toward disclosed federal lobbying, according to a Roll Call survey of the top 25 donors. Some of the firms founded or owned by the biggest donors leave no paper trail revealing any history of lobbying work. But even when they do not list a roster of pricey hired help from K Street, these top donors and their companies still exert influence.

D.N.C. Lifts Ban on Convention Fundraising
New York Times – Maggie Haberman | Published: 7/23/2015

The Democratic National Committee (DNC) lifted its ban on contributions from PACs and lobbyists for its convention fundraising and for the accounts it shares with presidential campaigns. Both limitations were put in place by Barack Obama, who was seeking to change the influence of money in Washington. The DNC will continue its policy of not accepting donations from PACs and lobbyists for its general fundraising operations. Allowing such contributions to the joint fundraising committee was something that Hillary Clinton’s campaign encouraged, and Congress last year eliminated public funding for the national conventions.

From the States and Municipalities:

Arkansas – Ethics Panel Reaffirms Past Ruling on Ticket Sales to Legislators
Arkansas News – John Lyon (Arkansas News Bureau) | Published: 7/24/2015

Regardless of whether the preferential treatment comes from the University of Arkansas itself or from the Razorback Foundation, lawmakers cannot get access to Razorback tickets unless they pay the same fees as everyone else, the state Ethics Commission ruled. University officials had argued the school and its athletic booster club are separate entities and restrictions on gifts from lobbyists do not apply to the foundation. The commission disagreed.

Missouri – McCaskill Calls for Advocacy Group to Give Missouri Capital Interns ‘Someone to Talk to’
KCUR – Jo Mannies | Published: 7/29/2015

State Sen. Paul LeVota resigned recently after being accused of sexually harassing an intern, but U.S. Sen. Claire McCaskill contends the real issue is that little has changed. She was an intern at the Missouri Capitol 41 years ago. “I am bitterly disappointed that the climate has not changed significantly since 1974,” McCaskill said, recalling her own experiences with off-color jokes and unsolicited sexual comments. And she remembers the self-doubt of what she should do. That is why McCaskill is suggesting that a special advocacy organization be set up to simply give interns a non-threatening source to talk to, where they could get constructive information about how to file a formal complaint and even hire a lawyer.

Missouri – Missouri’s ‘Wild West’ Campaign-Finance Rules Are Making Candidates Look Terrible
National Journal – Karyn Bruggeman | Published: 7/23/2015

A handful of states have no limits on who can donate to candidates or how much, but Missouri is the only one with the combination of no limits on campaign donations or lobbyist gifts, and no laws on the books to prevent elected officials from immediately becoming lobbyists after leaving office. For candidates looking to raise money, the laissez-faire approach is a boon. But when it comes time to explain to voters where that cash came from and what it was for, candidates are often left without good answers. That has been particularly true of the start of the state’s 2016 governor’s race.

Nebraska – Number of Groups Hiring Nebraska Lobbyists Reaches New High
Seattle Post-Intelligencer – Grant Schulte (Associated Press) | Published: 7/28/2015

Common Cause Nebraska said the number of groups hiring lobbyists rose to a record 527 this year, from 506 in 2014. The groups spent nearly $14.1 million last year to influence lawmakers, most of which went to lobbyists. The report calls for more specific disclosure requirements, including a breakdown of lobbyist expenses per elected official and creating a separate reporting category for food and beverages. Nebraska should prohibit lobbyists from bundling campaign contributions and ban all in-session fundraisers.

Nevada – Nevada Lobbyists Spend Record Amount on Legislators
Las Vegas Review-Journal – Sandra Chereb | Published: 7/24/2015

Lobbyists in Nevada spent $153,079 to entertain and influence state lawmakers during this year’s legislative session. The record amount is up nearly 26 percent over the $121,594 reported by lobbyists two years ago. Lobbyists are required to report how much they spend on gifts, group events, and entertainment provided to lawmakers for each month of the session. The entertainment category includes cost of meals and beverages when a lobbyist picks up the tab. The cost of group events – receptions, luncheons, dinners, or other events where every legislator is invited – totaled $149,777. Individual entertainment expenses were $2,176.

Ohio – City Council Officials Got Box Seats at Ohio State Game
Columbus Dispatch – Lucas Sullivan | Published: 7/26/2015

Days after John Raphael abstained from voting on a food-and-beverage contract for the Greater Columbus Convention Center because of a conflict-of-interest, he escorted four Columbus City Council members to the Big Ten Conference Championship football game. Raphael said he removed himself from the convention authority’s food-vendor selection process because he represented Centerplate, the company that was then bidding for and now holds the contract, as a statewide lobbyist. Raphael and his relationships with elected officials have come under scrutiny after he was implicated in the bribery scheme involving Redflex, the company that had the contract for red-light cameras in Columbus.

Oregon – Ethics Reforms after Kitzhaber: Going slow means getting it right, Oregon lawmakers argue
Portland Oregonian – Denis Theriault | Published: 7/29/2015

The day before Gov. John Kitzhaber quit amid influence-peddling allegations, Republicans in the Oregon Legislature seized on the scandal to introduce sweeping ethics reforms. They wanted to set strict rules for the governor’s partner, allow lawmakers to impeach statewide officials, and increase access to public records, among other changes. But when lawmakers adjourned in July, none of those ideas had advanced. Only three milder bills drafted by Gov. Kate Brown became law. Some Republicans say Democratic leaders played politics to keep the state’s minority party from scoring points. But other officials, including Brown, say they are intentionally taking it slow, especially in the absence of criminal charges spelling out whether Kitzhaber and former first lady Cylvia Hayes broke any laws.

Pennsylvania – Pa. Congressman Fattah Indicted on Corruption Charges from 2007 Mayor’s Race
Washington Post – Paul Kane and Mike DeBonis | Published: 7/29/2015

U.S. Rep. Chaka Fattah and four associates were indicted on racketeering conspiracy charges, accused of misusing hundreds of thousands of dollars in taxpayer, charity, and campaign funds. Fattah is accused of misusing money from his unsuccessful 2007 bid for mayor of Philadelphia. Prosecutors allege Fattah used federal grants and donations to his educational foundation to pay back part of a campaign supporter’s $1 million loan and helped arrange a $15 million federal grant for a nonexistent nonprofit in lieu of a $130,000 payment to a political consultant after his failed mayoral run.

Texas – Appeals Court Rejects One Count in Perry Indictment
Texas Tribune – Patrick Svitek | Published: 7/24/2015

A state appeals court dropped one of the two felony charges that former Texas Gov. Rick Perry is facing. He was indicted last summer on criminal charges of abuse of power and coercion of a public servant. The case surrounds an episode during which Perry was accused of trying to use his powers as governor to make an elected official step down after being charged with drunken driving. The court dismissed the coercion of a public servant charge against Perry on the grounds that it violates his right to free speech under the First Amendment. He still faces the abuse of official capacity charge, which carries a prison sentence of five to 99 years.

Virginia – Clinton Donors Also Pumped Millions into McAuliffe’s Coffers
Washington Post – Laura Vozzella | Published: 7/29/2015

More than 175 contributors to the Clinton Foundation and to Hillary Clinton’s 2016 presidential campaign have dug deep into their wallets for Virginia Gov. Terry McAuliffe, often giving prolifically despite little or no connection to the state. Of the $60 million that McAuliffe has raised for his two gubernatorial bids, inauguration, PAC, and the Virginia Democratic Party, nearly $18 million has come from contributors to the Clinton Foundation or to Hillary Clinton’s current campaign. The substantial overlap highlights how intimately McAuliffe’s political universe is intertwined with that of Bill and Hillary Clinton, for whom McAuliffe has been a fundraiser and close friend.

Wisconsin – Emails Show Contact between GAB Head and IRS Mostly Personal in Nature
Wisconsin Radio Network – Andrew Beckett | Published: 7/27/2015

An opinion piece in The Wall Street Journal raised the possibility of a coordinated effort by Wisconsin Government Accountability Board Director Kevin Kennedy and former IRS Director of Exempt Organizations Lois Lerner to target conservative political groups for investigation. Wisconsin officials have now released 138 pages of emails between Kennedy and Lerner. Most of the messages discuss dinner and travel plans, or updates about family. A handful of include IRS policy updates or repost articles about campaign finance debates. Lerner also included Kennedy on several lengthy email forwards featuring humorous photo collections about friendship and other jokes.

Jim Sedor State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.

July 29, 2015 • Written by Allyson Smith

Maine Ballot Measure Proposes Changes to State’s Campaign Finance Law

Mainers for Accountable Elections, an activist group advocating for stricter campaign finance law, has developed a ballot measure to be considered by voters in the November 2015 election. The measure proposes to establish gubernatorial transition committees to help finance a […]

July 29, 2015 • Written by Jim Sedor

Wednesday Government Relations News

Campaign Finance Maine: “Clean Election Referendum Includes Call to End $6 Million in Maine Corporate Tax Breaks” by Steve Mistler for Portland Press Herald Missouri: “Missouri’s ‘Wild West’ Campaign-Finance Rules Are Making Candidates Look Terrible” by Karyn Bruggeman for National […]

July 28, 2015 • Written by Jim Sedor

Tuesday Lobbying and Campaign Finance News Update

Lobbying Arkansas: “Ethics Panel Reaffirms Past Ruling on Ticket Sales to Legislators” by John Lyon (Arkansas News Bureau) for Arkansas News Ohio: “City Council Officials Got Box Seats at Ohio State Game” by Lucas Sullivan for Columbus Dispatch Campaign Finance […]

July 27, 2015 • Written by Jim Sedor

Monday News Roundup

Lobbying Colorado: “Colorado Senator Says He Has No Records on His Lobbyist-Written Elderly Care Bill” by Arthur Kane for Colorado Watchdog Campaign Finance “D.N.C. Lifts Ban on Convention Fundraising” by Maggie Haberman for New York Times Rhode Island: “R.I. Board […]

July 24, 2015 • Written by Jonathan Spontarelli

News You Can Use Digest – July 24, 2015

Federal: ‘Influencers’ Poll Gives Grades to Lobby Groups The Hill – Megan Wilson | Published: 7/22/2015 The consulting firm APCO Worldwide interviewed 301 people from the public and private sectors, including lobbyists and top aides on Capitol Hill, to find out […]

Federal:

‘Influencers’ Poll Gives Grades to Lobby Groups
The Hill – Megan Wilson | Published: 7/22/2015

The consulting firm APCO Worldwide interviewed 301 people from the public and private sectors, including lobbyists and top aides on Capitol Hill, to find out which trade groups are the most effective at influencing decision-makers. Of the 50 associations evaluated by participants, PhRMA came out on top of seven of the 15 categories – including lobbying, coalition building, social media, having a unified voice, and possessing the ability to work within the legislative, executive, and regulatory arenas. Overall, the financial services industry ranked number one out of the eight sectors listed as part of the survey. “Having a unified voice as an industry and having a positive perception in the media are now considered more important to a trade association’s effectiveness than lobbying or member mobilization,” said Bill Dalbec of APCO.

Rick Perry Finance Chairman Does Super PAC Two-Step
Center for Public Integrity – Carrie Levine | Published: 7/22/2015

Rick Perry’s presidential campaign raised $1.14 million between the former Texas governor’s announcement on June 4 and the end of that month, about one-tenth of what Jeb Bush reported raising in about half that time. But the underwhelming fundraising total is not threatening Kelcy Warren’s job as Perry’s presidential campaign chairperson. Warren is helping the candidate in a major way and is navigating a legal minefield to do it. The billionaire gave $6 million to a coalition of super PACs that are supporting Perry’s bid. Warren’s contribution illustrates how closely some presidential campaigns and advisers are working with the theoretically independent groups that exist to promote their candidate of choice.

Seeing Crowd, G.O.P. Donors Holding Back
New York Times – Nicholas Confessore and Sarah Cohen | Published: 7/18/2015

Only about a fifth of the 1,000 or so fundraisers and their spouses who rallied around Mitt Romney in 2012 have given money to any of the 2016 Republican presidential candidates. Those who remain uncommitted – hundreds of volunteer bundlers who could collect contributions from their friends and business associates – represent a huge pool of untapped campaign cash, potentially hundreds of millions of dollars that could remake the primary campaign. Some of the bundlers and donors said they had held back, in part, because the field was the strongest they had seen in years, with several viable contenders representing the party’s different generational and ideological segments.

Who Advises Candidate Trump? (Hint: His Name Is Donald)
New York Times – Maggie Haberman and Michael Barbaro | Published: 7/20/2015

At a candidate forum in Iowa, Donald Trump said U.S. Sen. John McCain “is not a war hero” because he was captured. It was an improvised fit of pique, denounced by his rivals, which exposed the biggest vulnerability of Trump’s campaign for president: it is built entirely around the instincts and grievances of its unpredictable candidate, and does not rely on a conventional political operation that protects presidential hopefuls from themselves. Even as Trump insisted no one was troubled by his comments, his small group of aides emailed one another about how to respond to the growing criticism. If nothing else, the incident reaffirmed that Trump is running a presidential campaign on his own unique terms.

From the States and Municipalities:

California – Cleaning Up Politics or ‘Vindictive’ Nosy Neighbor? Shirley Grindle Is Making Last Stand as a Watchdog
Orange County Register – Martin Wisckol | Published: 7/19/2015

There are plenty of people who wish 80-year-old Shirley Grindle, Orange County’s best-known government watchdog, would just go away. “The community would be better off if Shirley Grindle focused her attention on 53 cats,” said Susan Kang Schroeder, chief of staff for District Attorney Tony Rackauckas. But Grindle is gearing up for one final battle, a 2016 ballot measure establishing an ethics commission that would keep officials looking over their shoulders long after she is gone.

California – Lobbyist Fee Set to Increase
San Diego Union-Tribune – David Garrick | Published: 7/17/2015

The annual lobbyist registration fee in San Diego would climb from $40 to $150 under a proposal approved by a city council committee. Annual registration fees paid by clients who hire lobbyists would double, from $15 to $30. City Clerk Elizabeth Maland said the increase is warranted based on the time and effort her office spends tracking and analyzing the work of lobbyists, which includes traditional lobbying, campaign activity, and fundraising efforts. The hike, which would take effect in January, still must be approved by the full council, probably in September.

Delaware – Delaware Wins Appeal, Can Enforce Law on Election Ads
Reuters – Jonathan Stempel | Published: 7/16/2015

A Delaware law requiring advocacy groups to disclose the donors behind political advertisements was deemed constitutional by a panel of three judges of the Third U.S. Circuit Court of Appeals. Delaware Strong Families contended that forcing it to comply with the law would improperly damage the organization’s right to free speech. The act requires third-party groups and individuals to disclose their donors if they publish advertisements or other communications that refer to a candidate in an upcoming election. Previously, only groups that directly advocated for or against a candidate were required to disclose their donors.

Illinois – Court Overturns Some Blagojevich Senate-Seat Convictions
ABC News – Michael Tarm (Associated Press) | Published: 7/21/2015

An appeals court overturned four of Rod Blagojevich’s corruption convictions, a ruling that may not result in less prison time for the former Illinois governor. He was convicted in 2011 on 18 counts, including trying to sell the U.S. Senate seat of President Barack Obama, and was sentenced to 14 years in prison. Judges with the Seventh U.S. Circuit Court of Appeals overturned four of those convictions, saying Blagojevich’s attempt to appoint Valerie Jarrett to the Senate seat in exchange for a position on Obama’s cabinet was “a common exercise in logrolling.” The judges said trading one official act for another is unlike trading official acts for a private benefit and cannot be considered bribery or extortion.

Kansas – Brownback Campaign Sought Cash from Westar Official amid Ongoing Rate Case
Topeka Capital-Journal – Jonathan Shorman | Published: 7/20/2015

Documents show a campaign operative for Kansas Gov. Sam Brownback contacted Mark Schreiber, a government affairs vice president at Westar Energy, seeking help retiring debt left over from the governor’s re-election campaign last year. The contact with Schreiber took place amid the company’s request to the Kansas Corporation Commission for hike rates to pay for environmental upgrades, repairs at the company’s nuclear plant, and efforts to reduce storm-related outages.

Missouri – Missouri Capitol Intern Says She Declined Sexual Advances
St. Louis Post-Dispatch – Alex Stuckey | Published: 7/23/2015

A Missouri Senate report details an intern’s claims that state Sen. Paul LeVota harassed her, asked her explicitly for sex, and retaliated when she refused. LeVota denied the account and said he never acted inappropriately with her or other interns. The investigation came after two University of Central Missouri students abruptly left an internship with LeVota partway through the last legislative session, which ended in May. That same day, former House Speaker John Diehl resigned after admitting to exchanging sexually suggestive text messages with a Capitol intern.

New York – Dean Skelos and His Son Face New Bribery Charges
New York Times – Susanne Craig | Published: 7/21/2015

Former New York Senate Majority Leader Dean Skelos and his son, Adam, were arrested in May on charges the Republican lawmaker performed legislative favors for companies with business before the state in an attempt to enrich his son. A superseding indictment adds two new charges of extortion and solicitation of bribes related to Adam Skelos’ employment by a medical malpractice insurance company, allegedly at the request of his father. The new indictment says Adam Skelos allegedly threatened to “smash in” the head of a supervisor who failed to grasp that he was a no-show employee.

New York – New York Ethics Panel Chief Taking State Tax Job
Albany Times Union – Casey Seiler | Published: 7/21/2015

New York Joint Commission on Public Ethics Executive Director Letizia Tagliafierro is resigning to take a new job as deputy commissioner at the state Department of Taxation and Finance, where she will lead the criminal investigations division. The ethics commission, scheduled to meet August 4, are expected to mount a national search for a new executive director. The change comes as the commission prepares to take on expanded duties as a result of the ethics changes included in this spring’s state budget agreement. Under the new rules, groups spending over $5,000 lobbying municipalities with populations of more than 5,000 must register that activity; the cutoff had been populations of 50,000 or more.

New York – Thomas Libous, New York State Senator, Is Convicted of Lying to F.B.I.
New York Times – Thomas Kaplan | Published: 7/22/2015

Thomas Libous, deputy majority leader of the New York Senate, was convicted of lying to federal agents, becoming the latest lawmaker to lose his seat amid a criminal investigation. The conviction triggers his automatic expulsion from the Legislature, where he has served since 1989. He was charged last year with lying to FBI agents who came to his Albany office to ask about his alleged efforts to get his son a job at a politically connected law firm. The trial offered a glimpse of the close dealings between legislators and the lobbyists seeking to influence them.

Vermont – Shumlin Backs Independent Ethics Commission
VTDigger.org – Erin Mansfield | Published: 7/23/2015

Amid conflict-of-interest allegations among Vermont public officials, Gov. Peter Shumlin said he supports the creation of a state ethics commission. Secretary of State Jim Condos is already drafting legislation that would create an independent panel to oversee the executive and legislative branches. “This is not about any individual person; this was always a bigger picture item about how we could improve the trust that Vermonters deserve to have about their government,” said Condos.

Washington – Seattle’s Richest, Whitest Areas Dominate Campaign Giving, Say Reform
Seattle Times – Daniel Beekman | Published: 7/21/2015

The Sightline Institute mapped contributions to candidates for mayor, city council, and city attorney in Seattle for the 2013 election and found a small number of donors from certain neighborhoods dominate the giving. Roughly half the money came from 1,683 donors, or 0.3 percent of the city’s adults. The institute is supporting Honest Elections Seattle, an initiative that that will be on the November ballot. It would lower the contribution limit, ban donations to candidates from entities with city contracts of $250,000 or more and from people spending at least $5,000 to lobby the city. The measure would also establish a public campaign finance system for Seattle.

Jim Sedor State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.

July 23, 2015 • Written by Allyson Smith

San Diego Ethics Commission Considering Amendments to City’s Campaign Finance Law

The City of San Diego Ethics Commission has proposed amendments to the city’s campaign finance laws related to the disclosure requirements applicable to referendum and initiative petitions. The proposed amendments would require additional campaign disclosures of committees supporting or opposing […]

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