November 1, 2016 • Written by Jim Sedor

Tuesday Lobbying and Campaign Finance News Update

Lobbying Kentucky: “Lobbyist Donations Aid Candidates Despite Law” by Tom Loftus for Louisville Courier-Journal Campaign Finance California: “A $72-Million Apartment Project. Top Politicians. Unlikely Donors.” by David Zahniser and Emily Alpert Reyes for Los Angeles Times Massachusetts: “Law Firm ‘Bonuses’ […]

October 24, 2016 • Written by Jim Sedor

Monday News Roundup

Lobbying California: “Ethics Committee Chair Davis Vacationed with Alleged ‘Lobbyist’ Between Meetings with Her” by Caroline Schuk for Santa Clara Weekly Campaign Finance “Insurers Give Big to Races Determining Their Regulators” by Michael Mishak for Center for Public Integrity Alaska: […]

October 21, 2016 • Written by Jonathan Spontarelli

News You Can Use Digest – October 21, 2016

Federal: Companies Used Clinton Fundraisers to Lobby State Department USA Today – Kevin McCoy | Published: 10/18/2016 While it is widely known that some companies and foreign governments gave money to the Clinton family’s foundations, perhaps in an effort to gain […]

Federal:

Companies Used Clinton Fundraisers to Lobby State Department
USA Today – Kevin McCoy | Published: 10/18/2016

While it is widely known that some companies and foreign governments gave money to the Clinton family’s foundations, perhaps in an effort to gain favor, one of the key parts of the puzzle has not been reported: at least a dozen of those same companies lobbied the State Department using lobbyists who doubled as major Clinton campaign fundraisers, according to a USA Today analysis. Those companies gave as much as $16 million to the Clinton charities. At least four of the lobbyists they hired are “Hillblazers,” the campaign’s name for supporters who have raised $100,000 or more for her current White House race.

Dems Use Loophole to Pump Millions into Fight for the House
Politico – Scott Bland | Published: 10/18/2016

The Democratic Party is directing millions of extra dollars to its House candidates this fall by way of a legal loophole that has helped them bypass the typical limits on coordinated spending between parties and candidates, all while linking some vulnerable Republicans to Donald Trump. Typically, FEC regulations limit parties to just $48,100 of spending in direct coordination with most House candidates. But under a decade-old precedent, candidates who word their television ads a certain way can split the cost of those ads with their party, even if that means blowing past the normal coordinated spending caps.

Do Campaign Ads Matter? Donald Trump Gives a Rare Chance to Find Out
New York Times – Lynn Vavreck | Published: 10/19/2016

Since June, there have been roughly 300,000 television commercials on behalf of presidential candidates. Most of them have been in Florida, Ohio, and North Carolina, but a small number have been on national networks. Eighty percent of the ads to date were run by or on behalf of Hillary Clinton, while only 18 percent were shown by or on behalf of Donald Trump. Nearly everywhere the race is competitive, Clinton has run far more ads. Trump prefers a different style of campaigning, with rallies and the free media coverage of them, along with his frequent Twitter posts. Fundraising has taken a back seat. This year is a chance to find out whether Trump’s method is a good substitute for a conventional ad campaign.

Ripples from the ‘How Low Can They Go’ Campaign
New York Times – Patrick Healy and Farah Stockman | Published: 10/16/2016

For voters across party lines, the presidential race was already considered ugly and exhausting, dominated by two candidates many voters find deplorable. And yet it somehow managed to tip into something worse in recent days: a twilight zone of politics where sexual assault accusations have become consuming issues in the final weeks of the campaign. Among many Democrats, despair is setting in that the next president could be, in their minds, a sexual predator. Among many Republicans, disgust is widespread that the next president could be married to a man who was, as they see it, a serial adulterer at best. The election result now seems guaranteed to feel like a violation of the body politic for one half of the country or the other.

From the States and Municipalities:

California – How the Federal Government’s Bribery Case Against 2 Brothers Unraveled
Los Angeles Times – Joel Rubin | Published: 10/17/2016

Last October, FBI agents arrested Sukhbir Singh and his brother Jimmy Sandhu, the owners of a tow truck company. The men were charged with bribing a member of the Huntington Park City Council in an effort to buy his support for higher towing fees. The lead agent in the case laid out in court papers seemingly irrefutable evidence against the men: for more than a year, the council member had been working as an informant and secretly recorded his conversations with the brothers. The recordings appeared to show the men offering money in exchange for the councilperson’s vote. The case, however, was anything but open and shut. Since the arrests, the government’s case against Singh and Sandhu has all but unraveled.

Massachusetts
Federal Judge Asks: Is DiMasi benefiting from political connections?
Boston Globe – Milton Valencia and John Ellement | Published: 10/17/2016

The federal judge tasked with deciding whether to grant former Massachusetts House Speaker Salvatore DiMasi early release from prison demanded to know if DiMasi is benefiting from political connections that have survived his corruption conviction. U.S. District Court Judge Mark Wolf ordered federal prosecutors and attorneys for DiMasi to provide him with more information justifying his early release from prison on compassionate grounds. Wolf expressed concern that releasing a state official convicted of corruption could be seen as prosecutors assisting a politically-connected individual, while lesser-known prisoners with similar health issues do not get the same relief.

Massachusetts
Lawmakers Weigh Call for Special Panel to Review Ethics Laws
Boston Herald; Associated Press | Published: 10/18/2016

A legislative committee held a public hearing on Massachusetts House Speaker Robert DeLeo’s resolution to create an 11-member Task Force on Integrity in State and Local Government. If approved, the task force would review the state’s conflict-of-interest and ethics rules, and campaign finance and lobbying laws. It would also look at the feasibility of extending state lobbying laws to cities and towns. DeLeo began floating the idea of the ethics panel after reports surfaced of a federal investigation into whether state Sen. Brian Joyce had used his official position to boost his private law practice.

Missouri
Amendment 2 Could Bring Campaign Donation Limits Back to Missouri
KWMU – Jason Rosenbaum | Published: 10/14/2016

There is a good chance that Missouri’s system of unlimited campaign contributions may be coming to an end. The ballot measure that would make the change, Amendment 2, has little organized opposition. And a prior ballot initiative in the 1990s that capped political donations passed without much trouble. But even if the measure passes and survives an expected court fight, opponents of the proposal say it may not actually stem the flow of money into Missouri politics. Instead, they contend it may steer a deluge of cash into other types of committees that would not be affected by the amendment.

New York – JCOPE Releases Draft Lobbying, Funding Regulations
Albany Times Union – Chris Bragg | Published: 10/13/2016

The Joint Commission on Public Ethics (JCOPE) proposed new regulations for lobbying in New York. JCOPE is seeking public comments and plans to hold a hearing before it formally considers the proposal drafted by its staff. Changes that follow legislation enacted this year call for lowering the filing threshold for total lobbying expenditures from $50,000 to $15,000 and reducing the minimum contribution amount that requires source disclosure from $5,000 to $2,500. The draft rules would formally expand lobbying to include efforts such as setting up a meeting between a lawmaker and lobbyist, not just directly lobbying a lawmaker. They also clarify the definitions of “grassroots lobbying.”

New York – Lobbyist Todd Howe: $85,000 from Cor Development was a bribe, not a loan
Syracuse.com – Tim Knauss | Published: 10/17/2016

A lobbyist with ties to New York Gov. Andrew Cuomo has a novel argument why he should not be forced to repay a company $85,000: it was meant to be a bribe, not a loan. Cor Development is suing its former lobbyist Todd Howe for the money. Howe has already pleaded guilty for his role in a massive “pay-to-play” scandal involving a number of the governor’s upstate economic development initiatives that led to the arrest of nine Cuomo associates or donors. Among those arrested were two top Cor executives.

Ohio – Former Red-Light Camera Exec Sentenced for Role in Bribery Scheme
Columbus Dispatch – Rick Rouan | Published: 10/19/2016

Karen Finley, the former chief executive officer of Redflex Traffic Systems, was sentenced to 14 months in federal prison for her role in a bribes-for-contracts scheme in Ohio. Investigators said Finley was part of a scheme to funnel $70,000 in bribes through campaign contributions to elected officials in Columbus and Cincinnati to bring red-light cameras to the cities. Lobbyist John Raphael was the middleman in the scheme, according to investigators. Finley and others provided the campaign contributions to Raphael by paying him false invoices for “consulting services,” they said, and Raphael then made personal contributions to the campaigns of elected officials or to the state and local Democratic parties.

South Dakota – National Groups Spar over South Dakota Ballot Measure
Center for Public Integrity – Liz Essley Whyte | Published: 10/13/2016

South Dakotans in November will be asked to vote on a measure that would initiate public financing of campaigns, expand disclosure of political donors, and creating an ethics commission to police legislators’ behavior. Both sides in the debate are planning to spend hundreds of thousands of dollars to get what they want. But neither side hails from South Dakota. It is a twist on the notion that all politics is local. When it comes to statewide ballot measures, most politics is actually national.

Tennessee – Mark Cate, Former Bill Haslam Top Aide, Registers as Lobbyist
The Tennessean – Dave Boucher and Nate Rau | Published: 10/15/2016

The day after The Tennessean published an August investigation into the activities of Mark Cate, Gov. Bill Haslam’s former chief of staff, Cate registered with the state as a lobbyist. The investigation noted Cate’s relationship with several prominent entities and the services he provided during a one-year waiting period, during which elected officials and high-ranking staff members are not allowed to serve as lobbyists. Cate denied lobbying for those companies. In one case, the Nashville Convention & Visitors Corp. (CVC) said Cate was helping with legislation, then later clarified he was not lobbying. Cate has since registered as a lobbyist for the CVC and eight other companies.

Texas – Plagued by Corruption Allegations, Dallas County Now Has Formal Purchasing Rules
Dallas Morning News – Naomi Martin | Published: 10/18/2016

Dallas County commissioners approved a new purchasing manual that leaders hope will strengthen the county’s contracting process, which has long been plagued by allegations of political meddling. Overhauling the troubled purchasing department has taken years. A 2009 outside report first identified 25 shortcomings in the county’s process for managing its hundreds of millions of dollars’ worth of contracts. Commissioner John Wiley Price was indicted in 2014 on federal charges of rigging bids and taking kickbacks, charges he denies, but that highlighted the lack of official oversight.

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.

October 20, 2016 • Written by Jim Sedor

Thursday News Roundup

Lobbying “Clinton Has Been Unclear on Curbing Lobbyist Influence” by Annie Linskey for Boston Globe Campaign Finance “Dems Use Loophole to Pump Millions into Fight for the House” by Scott Bland for Politico “Do Campaign Ads Matter? Donald Trump Gives […]

October 19, 2016 • Written by Jim Sedor

Wednesday Government Relations News

Lobbying “Companies Used Clinton Fundraisers to Lobby State Department” by Kevin McCoy for USA Today Florida: “Miami Beach Voters to Weigh Ballot Questions” by Joey Flechas for Miami Herald New York: “Lobbyist Todd Howe: $85,000 from Cor Development was a […]

October 13, 2016 • Written by Jim Sedor

Thursday News Roundup

Lobbying New York: “Lobbying Cuomo: How to get the governor on your side” by David Howard King for Gotham Gazette Campaign Finance Michigan: “Secretive Funds Allow Michigan Lawmakers to Accept Corporate Cash” by Craig Mauger (Michigan Campaign Finance Network) and […]

October 10, 2016 • Written by Jim Sedor

Monday News Roundup

Lobbying “Trump Transition Team and GOP Lobbyists Are Inching Toward Mutual Acceptance” by Catherine Ho for Washington Post “Lobbyists Test Post-Crisis Rules for Boards” by Theo Francis and Brody Mullins (Wall Street Journal) for Investor Relations Alabama: “Gifts to Teachers […]

October 3, 2016 • Written by Jim Sedor

Monday News Roundup

Lobbying “Evan Bayh’s Shadow Lobbying” by Maggie Severns and Isaac Arnsdorf for Politico Tennessee: “Ex-Lobbyist Paid for Private Plane for Beth Harwell, Karl Dean” by Dave Boucher and Joel Ebert (The Tennessean) for WBIR Campaign Finance “Democrats Rake in Money, […]

September 29, 2016 • Written by Jim Sedor

Thursday News Roundup

Lobbying EU: “Lobbying to Face Greater Scrutiny in European Commission Proposals” by Jennnifer Rankin for The Guardian Campaign Finance “Democratic Convention Committee Obliterated Fundraising Goal” by Carrie Levine for Center for Public Integrity “D.C. Circuit Decision Limiting Political Ad Disclosure […]

September 28, 2016 • Written by Jim Sedor

Wednesday Government Relations News

Lobbying Rhode Island: “Councilman’s Proposal to Reform Providence Lobbying Ordinance Hits Roadblock” by Dan McGowan for WPRI Campaign Finance Delaware: “Judge: Christine O’Donnell violated campaign finance laws” by Randall Chase (Associated Press) for Philadelphia Inquirer Illinois: “Donation Lifts Fundraising Caps […]

September 26, 2016 • Written by Jim Sedor

Monday News Roundup

Campaign Finance “Former Ohio Lawmaker’s Case Shows Flaws in Campaign Finance Law Enforcement” by Deirdre Shesgreen for USA Today California: “Political Watchdog Launches Probe into California Democratic Party over Jerry Brown Donations” by Taryn Luna for Sacramento Bee Missouri: “Candidates […]

September 23, 2016 • Written by Jonathan Spontarelli

News You Can Use Digest – September 23, 2016

National: Gaming the Six-Week Election Day Bloomberg.com – Sasha Issenberg and Steven Yaccino | Published: 9/19/2016 By the constitutionally mandated first Tuesday after a Monday in November, more than one-third of Americans will have already voted for president. There are still […]

National:

Gaming the Six-Week Election Day
Bloomberg.com – Sasha Issenberg and Steven Yaccino | Published: 9/19/2016

By the constitutionally mandated first Tuesday after a Monday in November, more than one-third of Americans will have already voted for president. There are still battleground states that make no provision for early voting, but in those that do it has created a new kind of electoral arms race. Early voting is a particular gift to well-organized, well-funded campaigns, which can extend their turnout operations as long as six weeks, locking down precise factions of the electorate in domino-like fashion, and sequence their persuasion efforts with a clear view of who has yet to vote.

Some Republicans Acknowledge Leveraging Voter ID Laws for Political Gain
New York Times – Michael Wines | Published: 9/16/2016

There has been a wave of voter ID laws enacted in the last six years, mostly by Republican-controlled Legislatures whose leaders claimed that cheating at the ballot box is a routine occurrence. Yet academic studies and election-law experts broadly agree that voter fraud is not a widespread problem in American elections. Rather, they say, it is a widespread political tactic used either to create doubt about an election’s validity or to keep one’s opponents – in most cases, Democratic voters – from casting ballots. In unguarded moments, some Republican supporters of the laws have been inclined to agree.

Federal:

Court Rules against FEC in Ad Case
The Hill – Jonathan Swan | Published: 9/19/2016

A federal judge ruled the FEC must revisit whether two nonprofits’ anti-Obamacare ads were meant to influence an election, which would require the groups to disclose their backers. The judge said the FEC misinterpreted the First Amendment when it dismissed a progressive group’s complaints. Federal law requires groups to register as political committees and reveal their donors when their “major purpose” is to nominate or elect candidates. But if their major purpose is to promote “social welfare” or to educate voters on issues, they are allowed to keep their donors’ identities hidden. “This should be of concern to organizations which have been very politically active while failing to report as a political committee, relying on the FEC’s refusal to enforce the law,” said former FEC general counsel Larry Noble.

Nonprofit Seeks to Crowdfund Lobbying
The Hill – Megan Wilson | Published: 9/15/2016

A new nonprofit aims to crowdfund lobbying campaigns in order to give people a voice on K Street. Lobbyists 4 Good founder Billy DeLancey, who has worked in public affairs in both government and the private sector, said he will primarily use small-dollar donations to retain high-powered lobbyists who work on public interest issues. The idea has been in development since earlier this year, and DeLancey has already developed a working relationship with well-known law and lobby firms such as K&L Gates.

Trump Used $258,000 from His Charity to Settle Legal Problems
Washington Post – David Fahrenthold | Published: 9/20/2016

Donald Trump reportedly used $258,000 from his charitable foundation to settle lawsuits involving his for-profit businesses, potentially violating laws against nonprofit leaders using charity dollars to benefit themselves or their companies. Trump also allegedly spent $5,000 from the foundation to buy advertisements for his hotel chain and $10,000 to purchase a portrait of himself at a charity fundraiser. He had previously used $20,000 in foundation dollars to buy a different portrait of himself. If the IRS were to find Trump violated self-dealing rules, it could require him to pay a penalty taxes or reimburse the foundation.

Why Campaign Finance Laws Probably Won’t Stop Hannity and Lewandowski from Helping Trump
Washington Post – Callum Borchers | Published: 9/21/2016

Sean Hannity is one of Donald Trump’s biggest media boosters, and his aid for Trump’s presidential bid does not end with promotional on-air commentary. Hannity acknowledged he is an informal adviser to the campaign, and he appeared in a recent Trump ad. Fox News said Hannity appeared without the network’s knowledge and will not do so again. After his advisory role was reported, an FEC complaint alleged that “Mr. Hannity may be using Fox News Channel resources to offer the Trump campaign ‘suggestions on strategy and messaging,’ which would be in violation of the federal prohibition on corporate campaign contributions.” It highlights a question raised repeatedly in the 2016 election by media observers: at what point do the activities of media professionals cross the line to become illegal, in-kind corporate contributions?

From the States and Municipalities:

California – Changes Coming to San Diego Ethics Commission
San Diego Union-Tribune – David Garrick | Published: 9/20/2016

San Diego will make some changes to the city’s Ethics Commission based on recent recommendations by a grand jury, but rejected some of the panel’s key suggestions. Changes approved by the city council include a new name – the City of San Diego Fair Political Practices Commission – to more accurately reflect the agency’s duties. The council also agreed to guarantee the commission’s ongoing existence by making it part of the City Charter, which will require a public vote probably in 2018.

California – State Agency Under Fire for Pressuring Open-Government Groups It Regulates to Change Position on Legislation
Los Angeles Times – Patrick McGreevy | Published: 9/20/2016

Backers of legislation that would have increased transparency on the funding of political ads criticized the California Fair Political Practices Commission (FPPC) for heavy-handed tactics they said included pushing groups the agency has the power to investigate to drop their support for the bill. Assembly Bill 700, which died near the end of the legislative session, would have required political committees that pay for print, radio, and television ads on candidates and ballot measures to clearly identify the top financial contributors to the campaigns. The FPPC objected to late amendments it felt affected its ability to prevent donors from secretly funneling money to a campaign in amounts higher than legal limits.

Florida – Campaign-Finance Rules Won’t Be on Miami-Dade Ballot
Miami Herald – Douglas Hanks | Published: 9/20/2016

The petition drive to get new campaign finance rules before Miami-Dade voters in November officially ended when an appeals court formally overruled a judge who had ordered the package on the ballot. In reality, the legal fight ended a few days earlier when the Third District Court of Appeal declined to lift a freeze on the judge’s order, allowing Miami-Dade’s deadline for printing the ballots to pass without including the item. County commissioners had already voted against sending the measure to voters, saying the union-backed proposal had too many legal flaws to be considered. The initiative would have banned county vendors, their lobbyists, and relatives from giving to candidates for county office and lowered the contribution limit from $1,000 to $250.

Iowa – Ron Paul Aides Avoid Jail Time in Endorsement Scheme
Des Moines Register – Grant Rodgers | Published: 9/20/2016

Two top aides to former U.S. Rep. Ron Paul’s 2012 presidential bid were sentenced to probation and home confinement rather than prison for their roles in a scheme to cover up campaign payments to a former Iowa senator who agreed to endorse Paul. Although prosecutors were seeking more than two years in federal prison, Jesse Benton and John Tate were sentenced to two years’ probation and six months of home confinement, along with community service and a $10,000 fine. They were accused of conspiring to cause false campaign contribution reports to be filed with the FEC. The men have argued they broke no laws when they paid a video production company, which passed on $73,000 to former state Sen. Kent Sorenson. He dropped support for Michele Bachmann and endorsed Paul six days before the 2012 Iowa caucuses.

Missouri – Campaign Contributions Limit Amendment to Appear on Missouri Ballot
Kansas City Star – Jason Hancock | Published: 9/19/2016

A Missouri initiative to reinstate campaign contribution limits cleared its final legal hurdle to appear on the November ballot. The state Supreme Court turned down a request to hear a challenge of the proposed constitutional amendment. The proposal known as Constitutional Amendment 2 would limit contributions to candidates to $2,600 per election and cap donations to political parties at $25,000. Missouri’s previous limits were repealed in 2008. Since then, some donors routinely have given five- and six-figure checks.

New Jersey – U.S. Says for First Time That Christie Knew of Bridge Plot
Bloomberg.com – David Voreacos and Elise Young | Published: 9/19/2016

A federal prosecutor told jurors a witness will testify that New Jersey Gov. Chris Christie was told about a plan to close traffic lanes near the George Washington Bridge as the shutdown was happening, a claim he has contested for years. The trial comes three years after gridlock paralyzed a town next to the busy bridge connecting New Jersey to New York City for four days. Prosecutors said Bill Baroni and Bridget Kelly had sought political revenge against Fort Lee Mayor Mark Sokolich. Baroni was a top Christie appointee to Port Authority of New York and New Jersey. Kelly was Christie’s former chief of staff. They face counts of wire fraud, conspiracy, deprivation of civil rights, and misusing an organization receiving federal funds. Christie has denied knowing about the scheme and was not charged in the federal investigation.

Texas – Texas Ag Commissioner Sid Miller Admits to Getting ‘Jesus Shot’ but Avoids Criminal Charges
Dallas Morning News – Lauren McGaughy | Published: 9/20/2016

Texas Agriculture Commissioner Sid Miller will not face criminal charges for using taxpayer money on trips in which he competed in a rodeo and got a medical injection known as “The Jesus Shot.” The Travis County district attorney’s office decided not to prosecute Miller for abuse of power after he agreed to refund an additional $498 to the state. The decision frees him from legal trouble over the trips to Oklahoma and Mississippi in February 2015. On at least two occasions, Miller’s office withheld records about the Oklahoma trip. State law prohibits officeholders from withholding public records and from using state money or campaign funds for travel that primarily is personal in nature.

Wisconsin – An Inside Look at How Politicians Beg for Big Checks
Washington Post – Matea Gold | Published: 9/20/2016

Documents produced as part of a now-halted probe into suspected illegal campaign coordination in Wisconsin reveal in stark terms how the chase for big money by politicians has largely become a frantic pursuit of billionaires and corporate executives. Emails written in 2011 and 2012, when Gov. Scott Walker was raising funds to combat his attempted recall and that of a group of Republican state senators, expose how Walker played a leading role in securing big checks, making personal pleas to rich conservatives across the country. Among the donors Walker personally hit up was Donald Trump, who signed a check for $15,000 the day the governor visited him in April 2012.

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.

September 22, 2016 • Written by Jim Sedor

Thursday News Roundup

Lobbying New York:”Uber Gets Creative in Lobbying for Expansion into Upstate NY” by Patrick Lohmann for NewYorkUpstate.com Campaign Finance “Sheldon Adelson Focuses on Congressional Races, Despite Donald Trump’s Pleas” by Nicholas Confessore and Maggie Haberman for New York Times “GOP […]

September 21, 2016 • Written by Jim Sedor

Wednesday Government Relations News

Lobbying “Boehner Joins Influential K Street Firm” by Kate Ackley for Roll Call Massachusetts: “Business Lobby Holds New Sway on Beacon Hill” by Frank Phillips for Boston Globe Campaign Finance “Court Rules against FEC in Ad Case” by Jonathan Swan […]

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