Jon Spontarelli is here with this week’s government and ethics news you can use from a busy week around the country!

National:

Russia-Financed Ad Linked Clinton and Satan
New York Times – Cecilia Kang, Nicholas Fandos, and Mike Isaac | Published: 11/1/2017

Lawmakers released scores of political ads purchased by Russian agents on Facebook and Twitter that showed the extent of the Kremlin’s attempts to polarize the American voting public on issues like race, police abuse, and religion. One account, Army of Jesus, published an illustration of an arm-wrestling match between Christ and the devil. “Satan: If I win, Clinton wins!” the headline read. The sampling of ads came during hearings with the top lawyers for Facebook, Twitter, and Google, and were intended to show the executives how pervasively Russia used their platforms to further its campaign of misinformation.

Federal:

Congress Mulls Toughening Foreign Lobbying Law
The Hill – Megan Wilson | Published: 10/31/2017

A day after former Trump campaign chairperson Paul Manafort was indicted on charges that included failing to register as a foreign agent, a top U.S. Senate Republican introduced legislation intended to stiffen enforcement of federal rules for foreign lobbyists. Sen. Chuck Grassley joined Rep. Mike Johnson to propose identical bills they said would address ambiguous requirements for those lobbying on behalf of foreign governments. That ambiguity has, over the years, led to a sharp drop in the number of registrations and the prospect of widespread abuses, they said.

Scofflaw Political Groups Are Ignoring FEC Fines
Politico – Dave Levinthal (Center for Public Integrity) | Published: 10/30/2017

More than 160 political committees and similar groups together owe the federal government more than $1.3 million worth of unpaid fines. Some of those unpaid fines amount to as little as $10 while others soar into five figures. Many cases concern all-but-forgotten also-ran political candidates, but others involve political luminaries. Super PACs and politically active nonprofits have joined the nonpayment parade of late. And there is little evidence any of that cash will soon begin to roll in. Uncooperative political committee leaders, bureaucratic bumbling, and weak enforcement efforts all contribute to election law breakers outrunning penalties.

Trump Campaign Adviser Admitted to Lying about Russian Contacts
Washington Post – Rosalind Helderman and Tom Hamburger | Published: 10/30/2017

One of President Trump’s former campaign advisers, George Papadopoulos, pleaded guilty to lying to FBI agents who are investigating possible collusion between the campaign and the Russian government. Papadopoulos had contact with unnamed overseas professor, who told him the Russian government had “dirt” on Hillary Clinton, including thousands of her emails. The plea represents the most explicit evidence the Trump campaign was aware the Kremlin was trying to help Trump and the campaign was eager to accept that help. As part of that effort, the Russian government hacked Democratic accounts and released a trove of embarrassing emails related to Clinton’s campaign.

Under Mueller Scrutiny, Democratic Donor Tony Podesta Resigns from Lobbying Firm
New York Times – Kenneth Vogel | Published: 10/30/2017

Hours after the first indictments in the investigation into ties between President Trump’s campaign and the Russian government, Tony Podesta abruptly quit his post atop the Podesta Group, one of K Street’s top lobbying firms. The Podesta Group and another company with which it had worked, Mercury Public Affairs, were referenced, though not by name, in an indictment of two former Trump campaign officials, Paul Manafort and Rick Gates. No charges have been brought against Podesta or officials from his firm or Mercury. But both firms have been subpoenaed for records and testimony about their work on behalf of a client referred to them by Manafort and Gates, the European Center for a Modern Ukraine.

From the States and Municipalities:

Arkansas: State PACs Cite Confusion Over E-Filing
Arkansas Online – Michael Wickline | Published: 10/29/2017

Officials representing several PACs said that because they were confused about the effective date of a new Arkansas law requiring campaign finance reports to be filed in electronic form, they signed affidavits to declare they do not have access to the technology to meet the requirement. Meanwhile, five state elected officials filed their reports on paper without submitting the affidavit required by state law to show why they are not filing electronically. A few of them said they did not file the affidavits partly out of confusion. These five candidates are in addition to six others who did sign the exemption affidavits. Two new laws address electronic filing of the reports.

Connecticut: Tucked in Budget: Shorter leash on election watchdogs
Connecticut Post – Mark Pazniokas | Published: 10/30/2017

Connecticut lawmakers are using a bipartisan budget deal to do what they could not during the regular session: require the State Elections Enforcement Commission to dismiss complaints against candidates, including legislators, that are not resolved in one year. At the same time, lawmakers included a provision in the budget that more than doubles the maximum campaign contribution they can accept to qualify for public financing under the Citizens’ Election Program from $100 to $250, a change likely to ease their access to public dollars for their campaigns. Gov. Dannell Malloy has not yet signed the budget bill.

Florida: City Issues New Ethics Rules for Employees
Tallahassee Democrat – Jeffrey Schweers | Published: 10/30/2017

Tallahassee employees cannot accept gifts of $100 or more from contractors and suppliers with the city and must tell their supervisors each year of any outside work. The email notification of the changes was sent on the heels of an ethics workshop where the city commission adopted three provisions involving misuse of position, gifts from lobbyists, and greater financial disclosure.

Florida: Ethics Board Cites Justin Sayfie, Capitol Group for Reporting Violations
Florida Politics – Jim Rosica | Published: 10/25/2017

The Florida Commission on Ethics is moving against lobbyist Justin Sayfie and another firm for problems arising from random audits of their compensation reports. Sayfie called the problem “a simple math error.” The commission also dropped cases against three other executive-branch lobbying concerns. The ethics board said it found probable cause “to believe that the executive branch lobbying firm under-reported compensation received from a principal for the third and fourth quarters of 2015.” Once the commission finds probable cause, that finding is sent to the governor for further action. The firms can request a hearing, or the governor and Cabinet members can decide to call a hearing on their own.

Florida: Florida Politicians Become Surveillance Targets as Political Payback Rumors Swirl
Politico – Matt Dixon | Published: 10/30/2017

During the final week of the 2017 legislative session, a covert surveillance camera recorded the comings and goings of legislators and lobbyists living on the sixth floor of the Tennyson condominium near the Florida Capitol. Weeks later, in a parking lot of a restaurant in Tallahassee, Sen. Jack Latvala, a candidate for governor, was also being spied upon. Photographs show him kissing a female lobbyist. These incidents were the work of private investigators, whose research has fueled an escalating barrage of rumors about sexual harassment in Tallahassee and infidelity among state lawmakers.

Illinois: Emanuel’s Ethics Board Walks Back $2,500 Fines Against 3 Who Illegally Lobbied Him
Chicago Tribune – Bill Ruthhart | Published: 10/27/2017

In July, the Chicago Board of Ethics fined businessperson Jim Abrams, Linden Capital Partners President Tony Davis, and attorney Alan King $2,500 each after finding they failed to register as lobbyists after seeking to influence Mayor Rahm Emanuel through his personal email account. But the board has rescinded the fines. As part of the settlement, the men agreed not to lobby any city official for one year without registering and to complete a training program on the lobbying law. When large fines were levied in the first round of fines for illegally lobbying the mayor, Emanuel accused the ethics board of turning “average citizens” into lobbyists.

Massachusetts: Rare Trick Pays Off Big Time for Lobbyists
Boston Herald – Matt Stout | Published: 10/30/2017

Some of Massachusetts’ top-paid lobbyists have fattened their lucrative paychecks by working under multiple firms and in some cases, raising concerns of potential conflicts between their well-played clientele. At least three of the top 10 highest compensated lobbyists registered as working in the Capitol last year reported building a client list of at least two different lobbying firms, each pushing their total pay north of $500,000. Ethics experts cautioned that lobbyists have to tread lightly in situations involving complex bills in which clients stake out separate interests.

South Carolina: Law Provides Loophole for South Carolina Legislators to Be Paid for ‘Consulting’ Work
Charleston Post and Courier – Seanna Adcox (Associated Press) | Published: 10/29/2017

When they were in office, few knew that state Reps. Jim Harrison and Tracy Edge, both in House leadership posts, were working for Richard Quinn, one of South Carolina’s most influential political and business consultants. Between them, Edge and Harrison earned a reported $1.2 million from their secret consulting work with Quinn. They could keep the payments under wraps because, until this year, lawmakers did not have to disclose that kind of consulting work on ethics reports. But even after last year’s income disclosure law required public officials to start reporting all sources of income, much can remain hidden.

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.

Let Becky give you this week’s Government and Ethics News You Can Use, and stick around for details on our annual donuts and cider sale on Halloween to benefit the United Way of Summit County!

National:

Black Executives Join Forces, Forming a PAC to Back Them Up
New York Times – Kate Kelly | Published: 10/24/2017

Dozens of black executives and their spouses joined U.S. Sens. Cory Booker and Kamala Harris, as well as Eric Holder Jr., the former attorney general, for a private dinner in July in Bridgehampton, New York. Many attendees had long been part of an informal group of friends and associates who raised money for philanthropies or policy issues on an ad hoc basis. At the dinner, they decided it was time to use their wealth and stature in a more formal way. By early 2018, the group hopes to start a political action committee, creating a new fundraising model for corporate executives of color. The group would support candidates of any political party who fit the PAC’s agenda.

Russia’s Favored Outlet Is an Online News Giant. YouTube Helped.
New York Times – Daisuke Wakabayashi and Nicholas Confessore | Published: 10/23/2017

As investigators examine the scope and reach of Russian interference in American politics, the once-cozy relationship between RT and YouTube is drawing closer scrutiny. YouTube played a crucial role in helping build and expand RT, an organization the U.S. intelligence community has described as the Kremlin’s “principal international propaganda outlet” and a key player in Russia’s information warfare operations around the world. While Kremlin-aligned agents secretly built fake Facebook groups to foment political division and deployed hordes of Twitter bots to stoke criticism of Hillary Clinton, RT worked out in the open, bolstered by one of the largest online audiences of any news organization in the world and a prominent presence on YouTube’s search results.

Study: Despite changing demographics, the political playing field still tilts toward white men
Washington Post – Vanessa Williams | Published: 10/24/2017

Women are running for office in larger numbers in the run-up to the 2018 midterm elections, but most of them face formidable odds because of long-standing practices and attitudes that are more favorable to men. The Reflective Democracy Campaign study finds that despite the growing diversity within the U.S. population, 90 percent of elected officials, from the local to the national level, are white, and most are male. Even in some jurisdictions in which the majority of the residents are people of color, the elected leadership is dominated by whites. The report’s authors point to gatekeepers such as political parties and outside groups that provide financial and logistical support to candidates as more often working to maintain the status quo than helping to elect candidates more reflective of their communities.

Federal:

As G.O.P. Bends Toward Trump, Critics Either Give in or Give Up
New York Times – Jonathan Martin and Jeremy Peters | Published: 10/25/2017

Some observers see an existential threat to traditional Republicans as the Grand Old Party risks a longer-term transformation into the Party of Trump. President Trump’s brand of hard-edge nationalism is taking root within his adopted party, and those uneasy with grievance politics are either giving in or giving up the fight. Many of those who remain will have to accommodate the president to survive primaries from the pro-Trump right. The party establishment, Trump backers say, wants to govern as if the election never happened. “They still think the election was about Trump’s personality. It wasn’t. It was his ideas,” said Laura Ingraham, a pro-Trump talk show host.

Mueller Now Investigating Democratic Lobbyist Tony Podesta
NBC News – Tom Winter and Julia Ainsley | Published: 10/23/2017

Special Counsel Robert Mueller is investigating lobbyist Tony Podesta and the Podesta Group. Mueller, who is leading the investigation into Russia’s attempts to meddle in the U.S. election, is reportedly probing the firm to determine whether it violated the Foreign Agents Registration Act (FARA) in its work for the European Centre for a Modern Ukraine (ECMU). The non-profit ECMU was part of a public relations campaign run by former President Trump’s campaign chairperson, Paul Manafort, to support Ukraine’s reputation. Sources said the investigation into Podesta and his company began as more of a fact-finding mission about the ECMU and Manafort’s role in the campaign, but has now morphed into a criminal inquiry.

From the States and Municipalities:

Colorado: Cub Scout Is Exiled After Pressing Legislator on Guns and Race
New York Times – Christine Hauser | Published: 10/22/2017

A Cub Scout was forced out of his den after he strongly questioned a state lawmaker about her stance on gun control. Ames Mayfield, 11, was asked to leave the den, the groups Cub Scouts are organized in, after he pushed Colorado Sen. Vicki Marble about her stance on gun legislation and past comments she made about health issues among black people. Soon after the event, Marble met with the leader of the Cub Scout pack that includes Mayfield’s den. Afterward, the leader told Mayfield’s mother that he was upset over the questions on guns and Mayfield would have to leave that den.

Florida: City Manager Asked Lobbyist for Football Tickets
Tallahassee Democrat – Jeff Burlew | Published: 10/24/2017

Tallahassee City Manager Rick Fernandez asked a local lobbyist for four tickets to a Florida State University football game last year. The text exchange was delivered to the state ethics commission, which is investigating a complaint involving Fernandez. Florida’s ethics laws prohibit public officials from knowingly accepting, a gift from someone who lobbies the public official’s agency if he or she reasonably believes that the gift has a value over $100.  The box seat football tickets, which had an estimated total value of about $2,000, were not included in Fernandez’s public gift disclosures. There is no indication in the texts that the city manager paid for the tickets.

Missouri: New Limits to Campaign Financing Confuse Missouri’s Political Candidates
St. Louis Public Radio – Jo Mannies | Published: 10/24/2017

Missouri candidates are grappling with the new restrictions to campaign donations mandated by Amendment 2. Voters approved the constitutional amendment in 2016, putting an end to the Missouri’s status as one of only a handful of states without donation limits. But flaws in the new system are prompting the General Assembly and political activists to seek more changes. The Missouri Ethics Commission, charged with enforcing the new law, has had its hands full. The panel has issued at least 15 different opinions addressing various provisions of Amendment 2. It is also in the middle of several lawsuits.

Montana: Donors Once Again Much More Limited in Contributions to Montana Candidates
Helena Independent Record – Amy Beth Hanson (Associated Press) | Published: 10/23/2017

The Ninth U.S. Circuit Court of Appeals reinstated Montana’s previous limits on the amount of money candidates can receive. In May 2016, a federal judge declared that Montana’s contribution limits were unconstitutional and voided those caps. That kicked the state back to amounts set before a 1994 initiative where voters lowered how much candidates could collect. The Ninth Circuit’s actions bring Montana back to the voter-approved limits. A summary of the court’s opinion said the panel found the limits “both justified by and adequately tailored to the state’s interest in combating quid pro quo corruption or its appearance.”

New York: Former Top Assembly Ethics Official: Position a ‘waste of money’
Albany Times Union – Chris Bragg | Published: 10/22/2017

In the wake of former Assembly Speaker Sheldon Silver’s indictment on fraud and extortion charges, his successor embarked on what seemed like a major reform. Speaker Carl Heastie was praised for conducting a nationwide search for the leader of the newly created Assembly Office of Ethics and Compliance. In September 2015, Heastie announced that Jane Feldman, a respected former top ethics official in Colorado, would lead the office. But only a few months after taking the position, Feldman began to doubt that Heastie was serious about reform. Looking back, Feldman regards her hiring in large part as a public relations move by the legislative chamber’s leadership.

New York: Reform Group Criticizes JCOPE’s Online Lobbying Filing System
Albany Times Union – Chris Bragg | Published: 10/24/2017

Reinvent Albany released a report calling the New York Joint Commission on Public Ethics’ (JCOPE) online lobbying filing system “antiquated and outdated.” The group says certain filings raise questions about whether information is accurately and completely reported. Former top state lobbying official David Grandeau, now a private attorney, also submitted comments on JCOPE’s proposed comprehensive lobbying regulations alleging that a number go beyond what is allowed in state law.

Pennsylvania: Irate Judge Gives Ex-Philly DA Seth Williams 5-Year Sentence in Bribery, Corruption Case
Philadelphia Inquirer – Jeremy Roebuck | Published: 10/24/2017

Former Philadelphia District Attorney Seth Williams, a career prosecutor who chased down municipal corruption but whose tenure was mired in a corruption scandal, was sentenced to five years in prison for accepting a bribe. “Your profound dishonesty has to be deterred,” U.S. District Court Judge Paul Diamond said before ordering that Williams be imprisoned immediately. An investigation into Williams’ financial affairs resulted in a wide-ranging indictment in which he was charged with accepting cash and gifts, fraudulently using thousands of dollars from his campaign fund for personal expenses, misusing city vehicles, and misappropriating money intended to fund his mother’s nursing home care.

South Carolina: Quinn’s State House ‘Tentacles’ Included Paying Lawmakers $1.3 Million, Judge Told
The State – John Monk | Published: 10/24/2017

For the first time, Solicitor David Pascoe laid out details of a much-rumored behind-the-scenes payoff scheme to buy influence at the South Carolina Legislature. Richard Quinn literally put lawmakers on the payroll of his consulting firm, working with now-former state Reps. Tracy Edge and Jim Harrison to peddle influence on certain legislation that would benefit his private industry clients. “[Quinn] used legislators, groomed legislators, and inspired legislators and others to violate multiple provisions of the state ethics act so they could all make money,” Pascoe told a judge.

Texas: Lawmakers Accept $1.5 Million While Passing Governor’s Agenda
Texas Monitor – Andrew McLemore | Published: 10/19/2017

During this summer’s special session of the Texas Legislature, the state’s top elected officials collected more than $1.5 million in campaign contributions. The lion’s share of those dollars went to Gov. Greg Abbott, who accepted nearly $900,000 during the two-month special session. State law prohibits campaign contributions during regular sessions but say nothing about accepting money during the special session. Some legislators see a conflict-of-interest in this practice and abstain. Most do not. Of the 183 officials involved in the legislative process, 103 reported campaign contributions during the special session.

Virginia: Ed Gillespie’s Lobbying Career Included Work for Firms with Vast Interests in Virginia
Washington Post – Beth Reinhardt | Published: 10/19/2017

If he is elected governor of Virginia, Ed Gillespie would face decisions in which the public’s interests may conflict with the interests of companies that have paid his firms millions of dollars collectively for lobbying and consulting services, and that could hire him again. Gillespie closed his consulting firm, Ed Gillespie Strategies, shortly before launching his campaign in January. The Republican nominee has no current financial interests in the companies, such as stock holdings, and he and his wife would put their personal investments in a blind trust if elected.

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.

Lobbying

Washington: “Seattle Mayoral Aide Sees Conflict of Interest in Lobbying by Political Consultants” by Jim Brunner for Seattle Times

Campaign Finance

“Black Executives Join Forces, Forming a PAC to Back Them Up” by Kate Kelly for New York Times

Florida: “Beach Commissioner Resigns, Cuts Deal Barring Him from Public Office for One Year” by Joey Flechas and Nicholas Nehamas for Miami Herald

Idaho: “City Attorney Investigates Helicopter Promotion” by Bruyan Clark for Post-Register

Missouri: “Greitens’ Office Coordinated with Campaign Fund Over Top Missouri Schools Job, Report Shows” by Kurt Erickson for St. Louis Post-Dispatch

Ethics

California: “California Senate Hires Two Firms to Investigate Sexual Harassment Complaints” by Taryn Luna for Sacramento Bee

Oregon: “State Senator: Fellow senator groped me in Oregon Capitol” by Gordon Friedman for Portland Oregonian

Texas: “Prosecutors Drop All Remaining Charges Against Rep. Dawnna Dukes” by Nolan Hicks, Mark Wilson, and Ryan Autullo for Austin American-Statesman

Elections

“Russia’s Favored Outlet Is an Online News Giant. YouTube Helped.” by Daisuke Wakabayashi and Nicholas Confessore for New York Times

Legislative Issues

“Sen. Jeff Flake Will Retire, Citing Direction of GOP Under Trump” by David Weigel and Ed O’Keefe for Washington Post

Procurement

Montana: “Small Montana Firm Lands Puerto Rico’s Biggest Contract to Get the Power Back On” by Steven Mufson, Jack Gillum, Aaron Davis, and Arelis Hernandez for Washington Post

Becky is back and coming to you from downtown Akron, Ohio with this week’s News You Can Use Video Digest!

National:

Angry GOP Donors Close Their Wallets
Politico – Alex Isenstadt and Gabriel Debenedetti | Published: 10/5/2017

With the Republican agenda at a virtual standstill on Capitol Hill, the party is contending with a hard reality. Some of the GOP’s most elite and influential donors, who spent the past eight years plowing cash into the party’s coffers in hopes of accomplishing a sweeping conservative agenda and undoing President Obama’s legislative accomplishments, are closing their wallets. The backlash is threatening to deprive Republicans of resources just as they are gearing up for the midterms. Party officials are so alarmed that U.S. Sen. Thom Tillis, who oversees fundraising for the National Republican Senatorial Committee, told his colleagues that contributions had fallen off a cliff after the Obamacare flop.

Monsanto Banned from European Parliament
The Guardian – Arthur Nelson | Published: 9/28/2017

Lobbyists for Monsanto were barred from the European Parliament under new rules designed to force companies to submit to more scrutiny by lawmakers. The decision is the first time a company has violated European Union rules that came into force this January and means lobbyists for companies that do not co-operate in legislative hearings can have their access to parliament withdrawn. The parliament banned Monsanto lobbyists after the chemical company refused to attend a hearing into allegations that it interfered with safety studies.

Too Young to Vote, but Asking for Yours
New York Times – Lisa Foderaro | Published: 9/29/2017

Across the New York region, and indeed the country, young people are turning their attention to politics, motivated in part by the election of President Trump. From mayoral races to state legislative campaigns, teenagers and others who are too young to vote are canvassing neighborhoods and learning the intricacies of electoral politics. Some are running for office themselves.

Federal:

Health Secretary Tom Price Resigns After Drawing Ire for Chartered Flights
New York Times – Peter Baker, Glenn Thrush, and Maggie Haberman | Published: 9/29/2017

Tom Price, President Trump’s embattled health and human services secretary, resigned amid criticism of his extensive use of taxpayer-funded charter flights. Price, a multimillionaire and orthopedic surgeon by training, had announced he would reimburse the government for a fraction of the costs of his charter flights in recent months. Politico estimated the total expense of the taxpayer-funded trips exceeded $400,000. The ruckus prompted by the secretary’s travel habits followed complaints earlier this year by Democrats and other critics about his ethics for a separate reason: private investments he made while a House member in health-care companies that could have benefited from bills he sponsored.

Liberal Groups Got IRS Scrutiny, Too, Inspector General Suggests
Washington Post – Mike DeBonis | Published: 10/3/2017

The Treasury Inspector General for Tax Administration identified scores of cases in which the IRS may have targeted liberal-leaning groups for extra scrutiny based on their names or political leanings. A 2013 report found 96 groups with names referencing “Tea Party,” “Patriot,” or “9/12” were selected for intensive review between May 2010 and May 2012, and the House Ways and Means Committee later identified another 152 right-leaning groups that were subjected to scrutiny. Those findings fueled accusations by Republican lawmakers that the Obama administration engaged in politically motivated targeting of conservatives. But Democrats have long challenged those claims, arguing that liberal-leaning groups were given close scrutiny alongside the conservative groups.

Russians Took a Page from Corporate America by Using Facebook Tool to ID and Influence Voters
Washington Post – Elizabeth Dwoskin, Craig Timberg, and Adam Entous | Published: 10/2/2017

The use of Facebook’s Custom Audiences tool by Russian operatives adds to an emerging picture of the effort to shape the U.S. election and sow division using tools built by American technology companies. It makes clear that Russians used Facebook to direct their influence campaigns to voters whom they had already tracked and to find new ones wherever they browsed the Internet, even if they used multiple devices such as a smartphone for work or a tablet at home. Targeted people might also have directed that same disinformation, whether intentionally or not, to people linked to them on social networks, such as their friends on Facebook.

From the States and Municipalities:

Alabama: Two Balch & Bingham Lawyers and One Drummond Executive Indicted in Bribery of State Legislator
AL.com – Kevin Faulk | Published: 9/28/2017

Two attorneys with a prominent Alabama law firm and a coal company executive have been indicted on charges of bribing a state legislator to oppose an environmental cleanup plan. Joel Gilbert and Steven McKinney are named on charges including conspiracy and bribery. They are partners handling environmental litigation with Balch & Bingham, one of Alabama’s leading law firms. Drummond Co. vice president David Roberson was charged with the same crimes. Top of Form The three are accused of bribing former state Rep. Oliver Robinson, who pleaded guilty to accepting $360,000 in payments. Prosecutors say the law firm represented Drummond, and Robinson got a contract to oppose an expansion of an environmental cleanup site linked to Drummond.

Arizona: ASU, AU Shield Lobbying Expenses Via Foundations
Arizona Center for Investigative Reporting – Jim Small | Published: 9/29/2017

The state’s two largest public universities have for years been represented at the Capitol by powerful lobbying firms, though neither Arizona State University or the University of Arizona has records of hiring a contract lobbyist. Instead, each school’s nonprofit foundation has contracted directly with outside lobbyists to advocate at the Legislature on behalf of the schools. As a result, it is impossible for the public to know how much lobbying firms are being paid to represent the interests of public universities. State law does not require university foundations to disclose donors or expenditures, aside from the information required to be made public by federal tax laws governing 501(c)(3) nonprofits. Annual 990 forms require only summary figures for broad categories of income or expenses.

Florida: Figures in FBI Probe Worked Uber Ordinance Behind the Scenes
Tallahassee Democrat – Jeff Burlew | Published: 9/29/2017

Two central figures in the FBI’s public corruption probe in Tallahassee worked behind the scenes to help Uber and its taxicab rivals as city commissioners hashed out changes to their regulations on ride-sharing. Uber hired Paige Carter-Smith, executive director of the Downtown Improvement Authority and a close friend of city Commissioner Scott Maddox, as part of its consulting team. On the other side, Yellow Cab hired Adam Corey, a lobbyist and longtime friend of Mayor Andrew Gillum. But their work on the ordinance was never publicly disclosed, and neither one of them ever registered with the city as lobbyists for their respective clients.

Florida: Report: Review shows Florida’s utility watchdog has become a lapdog
Miami Herald – Mary Ellen Klas | Published: 10/2/2017

A watchdog group is calling for changes in the state’s Public Service Commission, citing a series of decisions involving Florida Power & Light (FPL). The result, said Integrity Florida, is that FPL and the state’s other large investor-owned utilities influence the governor and Legislature through lobbying and campaign contributions, and they have used that power to pursue favorable decisions by the commission, the group said in a report.

Maryland: Loosened Fundraising Rules Unleashing Big Cash for 2018 Maryland Elections
Baltimore Sun – Erin Cox | Published: 10/1/2017

The 2018 election cycle in Maryland, which includes races for governor, attorney general, General Assembly, and several county executives, is the first full cycle since a U.S. Supreme Court ruling lifted the cap on the total amount donors may give to candidates. That 2014 ruling and a 2010 high court decision on PACs, analysts say, could unleash campaign spending up and down the ballot unlike anything Maryland has seen. “It really opened the floodgates,: said Jared DeMarinis, director of candidacy and campaign finance at the State Board of Elections.

Missouri: GOP Mega Donor Should Face $320,000 Ethics Fine, Missouri Democrat Says
Kansas City Star – Jason Hancock | Published: 10/4/2017

State Rep. Mark Ellebracht is calling on the Missouri Ethics Commission to levy fines totaling $320,000 against a major Republican campaign donor. Ellebracht said businessperson David Humphreys employed a lobbyist for the past two years who was not registered. The lobbyist, Paul Mouton has admitted to the commission that he worked for Humphreys and discussed proposed legislation with state lawmakers and their staff during the 2016 and 2017 legislative sessions. Mouton was fined $2,000 for not registering but will only have to pay $200 if he does not violate state lobbying laws within the next two years.

New York: More Corruption Trials? Possible Reprise Makes Albany Groan
New York Times – Jesse McKinley | Published: 10/4/2017

With the recent reversals of guilty verdicts on corruption charges of former New York Assembly Speaker Sheldon Silver and Dean Skelos, the former state Senate majority leader, it seems inevitable that Albany’s dirty laundry, and the actions of some of its powerful participants, will once again be hung out for examination. This time around, the courtroom rehashing of alleged misdeeds may occur during an election campaign, one in which Gov. Andrew Cuomo will be seeking a third term and all 213 Assembly and Senate seats will be up for grabs.

Washington: Armed with a Marimba, Lawmaker Puts on Concerts to Cover Legal Fees from Ethics Case
Tacoma News Tribune – Melissa Santos | Published: 9/28/2017

Washington Rep. Melanie Stambaugh is having marimba concerts at her business to pay for the $35,000 in legal costs she racked up during a recent ethics case over her social media posts. She was found to have committed 44 ethics violations for posting videos and photos produced by legislative staff to her Facebook page. Stambaugh said the concerts also include inspirational talks that focus in part on the confidence it took for her to stand up to the Legislative Ethics Board. It is possible the marimba concerts could cause her to run afoul of the ethics board once again.

Wisconsin: Kennedy’s Vote Is in Play on Voting Maps Warped by Politics
New York Times – Adam Liptak and Michael Shear | Published: 10/3/2017

The U.S. Supreme Court heard arguments in a case that could reshape American democracy by considering whether extreme partisan gerrymandering violates the Constitution. There was something like consensus that voting maps warped by politics are an unattractive feature of American democracy. But the justices appeared split about whether the court could find a standard for determining when the practice had crossed a constitutional line.

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.

Lobbying

“Lobbyists Use of Capitol Meeting Space Raises Questions” by Kate Ackley for Roll Call

Campaign Finance

Missouri: “In Missouri, New Campaign Limits Spur Growth of PACs” by Kurt Erickson for St. Louis Post-Dispatch

Pennsylvania: “Former Judge Admits Concealing Payments He Got from Brady Campaign” by Jeremy Roebuck for Philadelphia Inquirer

Texas: “Amid Legal Challenge, Austin May Craft New Campaign Fundraising Limits” by Elizabeth Findell for Austin American-Statesman

Ethics

“Trump’s Company Had More Contact with Russia During Campaign, According to Documents Turned Over to Investigators” by Tom Hamburger, Rosalind Helderman, and Adam Entous for Washington Post

“Russians Took a Page from Corporate America by Using Facebook Tool to ID and Influence Voters” by Elizabeth Dwoskin, Craig Timberg, and Adam Entous for Washington Post

Florida: “Report: Review shows Florida’s utility watchdog has become a lapdog” by Mary Ellen Klas for Miami Herald

Legislative Issues

Michigan: “Mass Turnover Fuels Push for Mich. Term Limit Reform” by Jonathan Oosting for Detroit News

Redistricting

“Kennedy’s Vote Is in Play on Voting Maps Warped by Politics” by Adam Liptak and Michael Shear for New York Times

Jon Spontarelli is delivering this weeks news you can use digest from the Public Affairs Council State and Local Government Relations Conference in Alexandria, VA.

A bipartisan group of lawmakers on the Legislative Management Committee voted 12-4 in favor of filing a lawsuit in North Dakota’s Supreme Court in response to Gov. Doug Burgum’s vetoes of legislation.

Legislators are upset over the governor’s use of his line-item veto to change parts of several spending bills, arguing that the intent of the legislation was changed by the deletion of the words and phrases.

Lawmakers argue their legislative authority to spend money has been violated, while the executive branch contends its executive authority is being violated by the challenge.

National:

GOP Governors Launch a ‘News’ Website with a Mission to Get Themselves Elected
Business Insider – Bill Barrow (Associated Press) | Published: 9/19/2017

The Republican Governors Association (RGA) launched an online publication that looks like a media outlet and is branded as such on social media. The Free Telegraph blares headlines about the virtues of GOP governors, while framing Democrats negatively. It asks readers to sign up for breaking news alerts. It launched in the summer bearing no acknowledgement that it was a product of an official party committee whose sole purpose is to get more Republicans elected. The RGA describes the website as routine political communication. Critics say it pushes the limits of honest campaign tactics in an era of increasingly partisan media and a proliferation of “fake news” sites.

Your Favorite Companies May Be Political Black Boxes
Center for Public Integrity – Lateshia Beachum | Published: 9/26/2017

A new study on corporate disclosure and accountability showed a slight dip in the number of companies that disclosed some or all their election-related spending, or banned such spending altogether. The study also revealed a trend toward more managerial and board oversight of political spending and more disclosure or prohibition of campaign donations. Scores were calculated based on 24 indicators that range from whether a company publicly discloses corporate contributions to political committees and organizations, including politically active nonprofit organizations that do not themselves disclose their donors, to whether it posts a detailed report of its corporate political spending on its website.

Federal:

At Least 6 White House Advisers Used Private Email Accounts
New York Times – Matt Apuzzo and Maggie Haberman | Published: 9/25/2017

At least six members of President Trump’s White House have used private email addresses while conducting government business. Current and former officials say former White House Chief of Staff Reince Priebus, former chief strategist Stephen Bannon, and current advisers Gary Cohn and Stephen Miller sent or received government-related emails on personal email accounts, in addition to two staffers who were previously reported. The news follows reports that senior adviser and Trump’s son-in-law Jared Kushner has used a private email for White House business, and that Ivanka Trump used a personal email account to communicate with a member of the administration.

Ethics Office: Anonymous gifts to legal defense funds are not allowed
The Hill – Megan Wilson | Published: 9/28/2017

The Office of Government Ethics (OGE) clarified its policy on legal defense funds, stating that anonymous contributions should not be accepted. The announcement comes after a report that suggested the OGE was departing from internal policy regarding the donations, paving the way for federal officials to accept anonymous donations from otherwise prohibited groups, such as lobbyists, to offset their legal bills. The White House has said it would not allow an employee to receive anonymous donations should someone set up a legal defense funds.

Russian Operatives Used Facebook Ads to Exploit Divisions Over Black Political Activism and Muslims
Washington Post – Adam Entous, Craig Timberg, and Elizabeth Dwoskin | Published: 9/25/2017

The batch of more than 3,000 Russian-bought ads that Facebook is preparing to turn over to Congress shows a deep understanding of social divides in American society, with some ads promoting African-American rights groups including Black Lives Matter and others suggesting these same groups pose a rising political threat. The Russian campaign, taking advantage of Facebook’s ability to simultaneously send contrary messages to different groups of users based on their political and demographic characteristics. These targeted messages highlight the sophistication of an influence campaign slickly crafted to mimic and infiltrate U.S. political discourse while also seeking to heighten tensions between groups already wary of one another.

Skadden, Big New York Law Firm, Faces Questions on Work with Manafort
New York Times – Kenneth Vogel and Andrew Kramer | Published: 9/21/2017

The U.S. Justice Department asked a prestigious law firm for documents and information related to its work for deposed Ukrainian President Viktor Yanukovych, on whose behalf Paul Manafort, President Trump’s former campaign chairperson, also worked. The New York Times reported that the Justice Department asked Skadden, Arps, Slate, Meagher & Flom for information and documents relevant to its work on Yanukovych’s behalf. Tt was not clear whether the request was related to special counsel Robert Mueller’s investigation into Russian interference in the 2016 election, which has focused in recent months on Manafort.

From the States and Municipalities:

Arizona: 116 Arizona Lobbyists Could Face Attorney General Investigation
Arizona Republic – Alia Beard Rau | Published: 9/22/2017

The Arizona secretary of state’s office referred 116 lobbyists to the state attorney general after they did not file the 2017 second-quarter expenditure reports required under state law. The reports provide details about which public official the lobbyist spent money on, what was paid for, and which company benefited. The reports were due by July 31. If they do not comply, the lobbyists can face fines up to $1,000 each. Records indicate many of the lobbyists on the list are not active. Matt Roberts, a spokesperson for the secretary of state, said inactive lobbyists still must file reports if they were active during that reporting period.

California: Anaheim’s Lobbyist Sunshine Ordinance Will Be Largely Self-Enforced
Voice of OC – Thy Vo | Published: 9/20/2017

New restrictions on lobbyists now are in effect in Anaheim, although enforcement of the law will be largely self-reported. The city attorney will not be proactively questioning whether certain employees and contractors are in compliance with the law, said city spokesperson Mike Lyster. Instead, council members or city commissioners can request the city clerk to determine whether someone is a lobbyist and needs to register. Lobbyists are required to register within 15 days after any lobbying activity. The first quarterly report is not due until January 2018.

Illinois: Lobbying Is All in the Zalewski Family
Chicago City Wire – W.J. Kennedy | Published: 9/26/2017

In an era in which states are barring politicians from lobbying their former colleagues until after a waiting period, an investigation found three current elected officials in Illinois working as lobbyists. And it is legal. Chicago Alderman Michael Zalewski lobbies the Legislature with the Z Consulting Group. Zalewski’s son is a representative who by all appearances lobbies the city of Chicago through the law firm of Taft Stettinius & Hollister. State Sen. Toi Hutchinson is registered in Cook County in her role as director of community relations and social responsibility for the law firm of Chapman and Cutler.

Maine: Lawmakers Make Case That Maine’s Initiative Process Is Being Gamed
Portland Press Herald – Scott Thistle | Published: 9/25/2017

Lawmakers on the Government Oversight Committee made the case that Maine’s initiative process is being gamed, and pointed to a flow chart showing a dizzying array of out-of-state and overseas entities with ties to the casino referendum on the November ballot. The committee said it is still gathering facts and has not launched a formal investigation into the ballot question campaign, but lawmakers on the panel said they were concerned the casino ballot question and several others in recent years were not the work of Maine citizens, but stemmed from out-of-state interests looking to cash in on the state’s citizen initiative process.

Maryland: Maryland Lobbyist Pleads Guilty to Bribing Lawmaker to Help with Prince George’s Liquor Licenses
Washington Post – Drew Gerber | Published: 9/22/2017

A Maryland lobbyist has pleaded guilty to a federal bribery charge. Matthew Gorman pleaded guilty to paying then-Prince George’s County Councilperson William Campos $2,000 in 2013 for writing a letter to the county’s liquor board recommending a business receive a license. Gorman faces up to 10 years in prison. Campos, a former state delegate, pleaded guilty to accepting $40,000 to $50,000 from people for official actions while he was on the council. Eight people have been charged in the probe, including former Del. Michael Vaughn.

Missouri: Ethics Panel Fines Adviser to Missouri Mega Donor at Center of Pay-to-Play Allegations
Kansas City Star – Jason Hancock | Published: 9/27/2017

The Missouri Ethics Commission and a political consultant agreed to a consent order that involved the man’s failure to register as a legislative lobbyist over the last two years. The consultant, Paul Mouton, agreed to pay a fee of $2,000, with all but $200 stayed if he follows other provisions of the order. The order instructs Mouton to register as a lobbyist and file necessary disclosure reports.

New Mexico: Did Gov. Susana Martinez Break SEC Rules in New Mexico Pension Deals?
International Business Times – David Sirota, Josh Keefe, and Andrew Perez | Published: 9/20/2017

With New Mexico reeling from an influence-peddling scandal involving state investments in 2010, voters elected a new governor promising a swift crackdown. But as Gov. Susana Martinez’s second term draws to a close, an investigation shows that when it comes to campaign cash from managers of state investments, Martinez turned a blind eye to the ethical standards she championed. During her tenure, New Mexico has been giving lucrative investment deals to financial firms whose executives have delivered big campaign donations to Martinez and to groups that have supported her election campaigns, a situation that may have violated the very “pay-to-play” rules that were passed in the wake of the previous scandals.

New York: Dean Skelos Has Conviction Overturned; Prosecutors Will Pursue Retrial
Albany Times Union – Staff | Published: 9/26/2017

A federal appeals court overturned the bribery and other convictions of former New York Sen. Dean Skelos, asserting jurors were wrongly instructed in the case based on a recent U.S. Supreme Court decision that narrowed what constitutes public corruption. The appeals court also vacated the convictions of Skelos’s son, Adam. Dean Skelos, prosecutors said, targeted businesses that depended on state help either through legislation or contracts and forced them to pay his son hundreds of thousands of dollars for jobs where he did not actually have to work. Federal prosecutors have vowed to promptly pursue retrials.

Ohio: BlackRock Executive’s Kasich Donation May Cost $37 Million
Bloomberg.com – Miles Weiss | Published: 9/25/2017

A senior BlackRock executive donated to an unsuccessful U.S. presidential candidate last year, an action that may prohibit the world’s largest asset manager from collecting some fees from the state of Ohio. Mark Wiedman, a BlackRock senior managing director, gave $2,700 to the presidential campaign of Ohio Gov. John Kasich, who was seeking the Republican Party nomination. Federal securities rules prohibit companies or their executive officers from contributing to government officials who could influence the hiring of a fund manager or have authority to appoint a person who could do so and then providing asset management services to their governments for a fee. The ban is in effect for two years after the contribution is made. The state of Ohio uses BlackRock-managed funds.

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.

Lobbying

Illinois: “Lobbying Is All in the Zalewski Family” by W.J. Kennedy for Chicago City Wire

Missouri: “Ethics Panel Fines Adviser to Missouri Mega Donor at Center of Pay-to-Play Allegations” by Jason Hancock for Kansas City Star

Campaign Finance

“Your Favorite Companies May Be Political Black Boxes” by Lateshia Beachum for Center for Public Integrity

Alabama: “Former House Majority Leader Micky Hammon Pleads Guilty to Mail Fraud” by Brian Lyman for Montgomery Advertiser

Maryland: “Rawlings-Blake to Repay More Than $5K in Expenses to Campaign” by Luke Broadwater for Baltimore Sun

New York: “NY Senator Wants to Make It Illegal for Powerful Interests to Hide Behind LLCs” by Emma Whitford for Gothamist

Ethics

“Trump’s Health Secretary May Not Be Leaving Just Yet” by Jennifer Epstein, Justin Sink and Anna Edney for Bloomberg.com

“Bills to Protect Mueller Are Bipartisan, but the Path Forward Is Uncertain” by Nicholas Fandos for New York Times

Legislative Issues

California: “What a Difference Three Days Makes: How voters shook up California’s Legislature” by Laurel Rosenhall for CALmatters

This week, Montana Gov. Steve Bullock discussed calling a special session of the Legislature to address how to pay the costs of the summer’s wildfires.

The Governor’s budget director recommended the state reduce spending by $229.3 million to balance a reduction in tax revenue and an unforeseen increase in spending to fight extensive wildfires this year.

The Legislature passed a bill in the spring allowing the state to cut the fire fund if the revenue was lower than expected, causing the state to be an estimated $25 to $40 million short in covering this year’s costs.

Gov. Bullock stated a special session will be necessary at some point before 2019 to consider raising taxes to offset budget cuts and the high firefighting bill.

Campaign Finance

California: “L.A. School Board President Faces Felony Charges Over Campaign Contributions” by Anna Phillips, David Zahniser, and Howard Blume for Los Angeles Times

Michigan: “Campaign Finance Bills Pass Michigan Senate, Give More Power to Big Donors, Critics Say” by Emily Lawler for MLive.com

Pennsylvania: “Former Judge to Admit Payments from Brady Campaign, Lawyer Says” by Chris Brennan and Craig McCoy for Philadelphia Inquirer

Ethics

“Government Ethics Office Says It Will Stick with Ban on Anonymous Gifts” by Darren Samuelsohn for Politico

“Trump Lawyers Clash Over How Much to Cooperate with Russia Inquiry” by Peter Baker and Kenneth Vogel for New York Times

“Trump’s Divisive Presidency Reshapes a Key Part of His Private Business” by David Fahrenthold, Amy Brittain, and Matea Gold for Washington Post

“Trump’s FEC Nominee Has Questioned the Value of Disclosing Political Donors” by Matea Gold for Washington Post

Lobbying

“Mike Flynn’s Son Is Subject of Federal Russia Probe” by Carol Lee, Julia Ainsley, and Ken Dilanian for NBC News

Arkansas: “Lobbyist Got Part of Fees Paid by Bondsmen” by Brian Fanney for Arkansas Online

Colorado: “Big Bucks Flow to Colorado Lobbyist Offices Steps from The Capitol” by Sandra Fish for KUNC

North Carolina: “Lobbyist Faces Investigation after WBTV Uncovered Unregistered Lobbying” by Nick Ochsner (WBTV) for Charlotte Observer

Elections

“How Party Bosses, Not Voters, Pick Politicians in New York” by Shane Goldmacher for New York Times

Legislative Issues

California: “In California’s Capitol, the Real Battles Are Often Between the Assembly and the Senate” by Chris Megerian and Melanie Mason for Los Angeles Times

Missouri: “Missouri Lawmaker Censured over Trump Assassination Post” by Associated Press for Wichita Eagle