On June 30, the North Carolina General Assembly adjourned. The resolution to adjourn has lawmakers scheduled to reconvene in August and September.

The session scheduled for August 3, 2017 will primarily address any veto overrides; however, the adjournment resolution grants lawmakers the ability to use the session to take up measures that got stuck in House and Senate negotiations in the final weeks of the regular session.

The September 6, 2017, session will mostly focus on redistricting.

The adjournment resolution also set the regular session to reconvene on May 16, 2018.

Gov. Bill Walker signed a shutdown-averting $8.8 billion state operating budget into law; however, the Alaska Legislature remains in session to address oil and gas tax credits.

The 30-day special session ends July 16.

Lawmakers have set a record this year in Juneau for the longest time spent consecutively in session.

The Maine 2017 regular session recessed on July 3, 2017.

The Legislature failed to pass a budget on June 30, 2017, forcing Gov. Paul LePage to declare a state of civil emergency in the absence of a biennial budget. The Legislature worked late on July 3, 2017, to pass the $7.1 billion budget.

LePage signed the budget the following morning and ended the civil emergency.

Despite working into the early hours of Saturday morning, the Delaware Legislature adjourned the 2017 regular session on July 1, 2017, without passing a 2018 budget.

In order to address the Legislature’s failure, Gov. John Carney called a special session for July 2, 2017.

The special session adjourned on July 2, 2017, and Carney signed a $4.1 billion budget for Fiscal Year 2018.

The New York Legislature’s two-day special session adjourned sine die on June 29, 2017.

Gov. Andrew Cuomo called the special session to enact legislation extending mayoral control over the city of New York’s school district. The legislation extends city control over the city district for two years.

Barring another special session, the Legislature is set to return in January 2018.

All the state government and ethics news you might have missed in this weeks video digest!

On June 26, the West Virginia Legislature adjourned its special session sine die. Lawmakers approved a budget after months of debate to resolve a $500 million shortfall in the 2018 fiscal year budget.

The state budget cuts funding for higher education and the Department of Health and Human Resources but avoids a government shutdown that would have occurred July 1 if the budget had not been in place.

Gov. Jim Justice allowed the budget bill to become law without his signature.

The 2017 legislative session adjourned shortly before midnight on June 21, 2017.

Lawmakers adjourned the session without a deal to extend New York City Mayor Bill de Blasio’s control over New York City Schools. The current agreement lapses on June 30, 2017.

Assembly Speaker Carl Heastie stated there is no plan to return as the Assembly is comfortable with the bill they passed in May.

Heastie’s statement is available at http://assembly.state.ny.us/Press/20170622/.

National:

As Pot Comes Out of the Black Market, Regulators Face Scrutiny
Boston Herald; Associated Press –   | Published: 6/21/2017

Recent cases in Colorado and Washington are the first known instances of current or former marijuana regulators being accused of having improper dealings with the industry. The two recreational marijuana states are the nation’s oldest, approving legal weed in defiance of federal law in 2012. Watchdogs say the Colorado and Washington cases should spur states to beef up ethics commissions charged with monitoring conflicts-of-interest by government employees. Michigan, a medical-marijuana state, passed a 2016 law banning even relatives of its pot oversight board members from having any financial stake in the marijuana industry.

The Not-So-Bitter Rivalry of Dean Baquet and Marty Baron
Politico – Joe Pompeo | Published: 6/19/2017

The Washington Post’s Marty Baron and Dean Baquet of The New York Times are the two most important newspaper editors in America right now, at a time when the news media are tackling the most consequential story of the past 40 years. Donald Trump’s presidency has revved up the competition for news organizations far and wide; big and small; print, broadcast, and digital. In the process, he has sparked a resurgence of storied legacy outlets like The Times and The Post, each of which has struggled with changes in the news business while doomsayers augured its demise. As with the rest of the media, their “Trump bump” has been a boon in terms of scoops and subscribers.

Federal:

Despite Concerns About Blackmail, Flynn Heard C.I.A. Secrets
New York Times – Matt Apuzzo, Matthew Rosenberg, and Adam Goldman | Published: 6/20/2017

Senior U.S. intelligence officials knew as early as January that former national security adviser Michael Flynn could have been vulnerable to Russian blackmail. Despite officials’ knowledge of the risks associated with Flynn, he continued to sit in on meetings during which President Trump was briefed on sensitive intelligence. It is unclear whether CIA Director Mike Pompeo, who briefed Trump on intelligence while Flynn sat nearby, was aware of officials’ concerns about Flynn. Many of Trump’s political problems, including the appointment of a special counsel and the controversy over the firing of the FBI director, James Comey, can ultimately be traced to Flynn’s stormy tenure.

Trump Says He Did Not Tape Comey Conversations
New York Times – Mark Lander | Published: 6/22/2017

President Trump said he did not record his conversations with James Comey. the FBI director he fired amid the Justice Department’s probe into the Trump campaign’s possible ties to Russia. The president’s Twitter messages left open the possibility the conversations may have been taped without his knowledge. But they largely confirmed the suspicions of outsiders that Trump had been leveling a baseless threat at Comey when he wrote, “James Comey better hope that there are no ‘tapes’ of our conversations before he starts leaking to the press!” Some legal experts have said Trump’s threat could be used in an obstruction of justice case against him, since it could be interpreted as putting pressure on Comey not to discuss their conversations about the FBI’s Russia investigation.

From the States and Municipalities:

Arizona: Axiom Partners Rename Lobbying Firm as Bribery Case Unfolds
Arizona Republic – Ronald Hansen | Published: 6/21/2017

A month after a federal bribery case shook Arizona’s lobbying community, the firm whose prominent exe features the same staff as Axiom Public Affairs, without lobbyist Jim Norton, said Kelsey Lundy, the firm’s managing partner. Once viewed as among the most politically connected lobbying firms in Arizona, Axiom’s run came crashing down after Norton’s may indictment in a case alleging he was a conduit for bribes paid by developer George Johnson to former Arizona Corporation Commissioner Gary Pierce through his wife.

California: Lobbying Firm Fined $4,000 for Violating Gift Limit Buying Dinner for Former State Sen. Ronald Calderon
Los Angeles Times – Patrick McGreevy | Published: 6/19/2017

Mercury Public Affairs agreed to pay a $4,000 fine for violating the $10 gift limit on lobbying firms when it provided dinners worth $200 to former state Sen. Ronald Calderon and his wife. The violation was found by a random audit by the state Franchise Tax Board. In October, Calderon was sentenced to 42 months in federal prison after he pleaded guilty in a public corruption case unrelated to the Mercury dinner.

Connecticut: Lobbyists, Corporate PACs Help Legislator Pay for His Travels as RNC Member
Hartford Courant – Jon Lender | Published: 6/17/2017

State Rep. John Frey travels all over the country for meetings he attends as one of Connecticut’s two members of the Republican National Committee (RNC). But Frey does not pay for any it – flights, dining, hotel rooms, and sometimes car service to and from the airport – because his costs are reimbursed by a political action committee he set up six years ago called Leadership Connecticut PAC. Its stated purpose is to support federal candidates for the U.S. House and Senate, but its main activities, arguably, have been to stage the annual fundraisers to sustain itself and to pay for the travels of Frey and Patricia Longo, his fellow RNC member until she retired last year.

Florida: The Miami Beach Mystery PAC Is Under State Investigation
Miami Herald – Nicholas Nehamas, Joey Flechas, and David Ovalle | Published: 6/20/2017

A corruption probe is underway into a controversial political group linked to Miami Beach commissioner and mayoral candidate Michael Grieco. At least one donor to the PAC has been subpoenaed by the Miami-Dade state attorney’s office, according to a defense attorney representing the donor. The list of donors to People for Better Leaders is stocked with Miami Beach vendors, lobbyists, and developers with business before the city. Investigators with the state’s corruption task force may be seeking to learn if those donations were a quid pro quo for Grieco’s political favor. Grieco may also have broken a city law that bans candidates and elected officials from asking vendors and lobbyists for donations, either directly or through a third-party.

Hawaii: What Honolulu Lobbyists Don’t Tell You
Honolulu Civil Beat – Anita Hofschneider | Published: 6/19/2017

Honolulu does not require lobbyists to provide any details about how they spend money. About 85 percent of the lobbyists who filed reports said they did not spend anything last year. Nearly three dozen registered lobbyists did not submit any reports, even though mandatory forms were due six months ago. Jan Yamane, who took over the city Ethics Commission last fall, said the current lobbying disclosure process is not working. “We need to debrief this thing, hit the reset button and completely overhaul this process,” Yamane said.

Illinois: Emanuel Friend, Alderman’s Husband Both Illegally Lobbied Mayor Via His Personal Email: Ethics board
Chicago Tribune – Bill Ruthhart | Published: 6/16/2017

A close friend of Chicago Mayor Rahm Emanuel, as well as the husband of a city council member, face fines for lobbying the mayor through his private emails but failing to register as lobbyists. Alan King, husband of Ald. Sophia King, and James Abrams are the latest targets of the reinvigorated city Board of Ethics. Under the law, Abrams could face a potential fine of more than $520,000. King could face a fine of more than $500,000. Board of Ethics Chairperson William Conlon has signaled the board is unlikely to hand out exorbitant maximum penalties. But Conlon argued the fine needs to be “enough to send a message.”

Kentucky: Ethics Panel Appeals Ruling That Allows Lobbyists to Give Gifts, Money to Lawmakers
Lexington Herald-Leader – Jack Brammer | Published: 6/21/2017

The Kentucky Legislative Ethics Commission will appeal a recent federal court ruling that allows lobbyists to give gifts and campaign donations to state lawmakers. “We thought it too important not to appeal,” said commission Chairperson George Troutman. A lawsuit filed by State Sen. John Schickel and two Libertarian political candidates argued the ethics laws violate their constitutional rights to free speech and equal protection by restricting their access to people who want to help them. State regulators countered that the laws were meant to prevent bribery at the Capitol. The Registry of Election Finance, the other defendant in the case, has yet to decide whether to appeal.

Kentucky: Fired Lawyer to Get Settlement from Kentucky Over Her ‘Whistleblower’ Case About Sex Toys
Louisville Courier-Journal – Deborah Yetter | Published: 6/15/2017

Jacqueline Heyman, a former lawyer with the Kentucky Public Protection Cabinet, reached a financial settlement with the state over her claim she was fired in 2015 after reporting two co-workers were running a “sex toy” business out of the office. Heyman began work as a supervising attorney with the department in April 2015. She was fired before she could successfully complete a six-month probation period and gain merit system job protection. Heyman said she discovered the extent of the online, adult product business when she found a box of such items under the desk of one of the employees. Heyman said she got little reaction after she reported it to her boss so she told the Executive Branch Ethics Commission. A week later, Heyman said she was fired with no explanation.

New York: New York Ethics Agency Hit with Harassment Lawsuit
Albany Times Union – Chris Bragg | Published: 6/20/2017

A former financial auditor at the New York Joint Commission on Public Ethics alleges she was fired after reporting sexual discrimination by one of her supervisors to the agency’s leadership. Catherine Webb outlined her accusation in a recent civil lawsuit she filed against the commission in federal court. Webb alleges she was repeatedly subjected to abusive verbal conduct that was “severe, pervasive and frequent.”

North Carolina: Is North Carolina the Future of American Politics?
New York Times – Jason Zengerle | Published: 6/20/2017

Ever since 2010, when Republicans seized control of the North Carolina General Assembly for the first time in a century, and especially since 2012, when they took the governor’s mansion, the state’s politics have been haywire. “It’s more polarized and more acrimonious than I’ve ever seen,” said Carter Wrenn, a veteran GOP political consultant. “And I’ve seen some pretty acrimonious politics – I worked for Jesse Helms.”

Wisconsin: Supreme Court to Hear Potentially Landmark Case on Partisan Gerrymandering
Washington Post – Robert Barnes | Published: 6/19/2017

The U.S. Supreme Court will consider whether judges can throw out legislative maps as being so partisan they violate the Constitution, taking up a case that could put a powerful new check on gerrymandering. The justices agreed to hear arguments on a Wisconsin map that a lower court said was designed to keep Republicans in control of the state Legislature even if they did not win a majority of the votes. The Supreme Court has never struck down a legislative map as being too partisan, or told challengers what standard they have to meet to win a lawsuit. The case, which the court will hear in the nine-month term that starts in October, could open the way for a new wave of election litigation.

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.

On June 21, the Washington Legislature adjourned its second special session sine die.

Lawmakers were unable to reach agreement on a budget bill during the session forcing Gov. Jay Inslee to call for another special session to start immediately after adjournment.

A two-year operating budget needs signed into law by June 30 or the state faces a partial government shutdown.

The first regular session of the 128^th Legislature has been extended for up to five legislative days.

Originally, statutory adjournment was scheduled for June 21, 2017.

Both the Senate and House agreed to extend the session in a Joint Order filed as Senate Paper 595.

Becky is back with State Government and Ethics News You Can Use from around the country in this week’s video digest!

 Becky Campbell is here to deliver all the government relations and ethics news you can use from around the country in this weeks video digest!

National:

How Donald Trump Shifted Kids-Cancer Charity Money into His Business
Forbes – Dan Alexander | Published: 6/6/2017

The Eric Trump Foundation apparently paid President Donald Trump’s businesses $1.2 million between 2007 and 2015 for expenses related to the foundation’s annual charity event at the Trump National Golf Club in Westchester County, New York, according to a report in Forbes. Eric Trump said the Trump Organization allowed his nonprofit foundation to use the golf course for free and covered most expenses for the golf tournament. But Forbes found IRS filings indicate otherwise. Forbes reported the Trump National Golf Club charged the Eric Trump Foundation tens, and later hundreds, of thousands of dollars each year for the one-day event, while donors were led to believe a much bigger portion of their money would go directly to the fundraiser’s chosen cause, children’s cancer research.

Federal:

James Comey Testifies: Former FBI director says he helped reveal details of conversations with Trump
Washington Post – Devlin Barrett and Ellen Nakashima | Published: 6/8/2017

Former FBI Director James Comey asserted that President Donald Trump fired him to interfere with his investigation of Russia’s role in the 2016 election and its ties to the Trump campaign. Comey accused the administration of spreading “lies, plain and simple” about him and the FBI in the aftermath of his abrupt firing. Comey also described intense discomfort about one-on-one conversations between him and the president, saying he decided he immediately needed to document the discussions in memos. Comey said he helped reveal details of his private conversations with Trump because he thought doing so would spur the appointment of a special counsel to investigate the administration.

Lobbyists, Industry Lawyers Were Granted Ethics Waivers to Work in Trump Administration
New York Times – Eric Lipton and Danielle Ivory | Published: 6/7/2017

New disclosures offer additional evidence that lobbyists and industry executives who can now shape policies benefitting their former clients and companies have been allowed to work in the Trump administration. The documents were released in response to a demand by the Office of Government Ethics (OGE) for details on how the Trump administration is enforcing the ethics policies. One unexpected outcome was proof the Obama administration, despite a much touted promise to make all of its ethics waivers public, stopped providing them to the OGE. The “revolving door” cases in the Trump administration generally involve individuals who had been retained by for-profit clients, and then took up matters that could benefit these former clients.

Top Intelligence Official Told Associates Trump Asked Him If He Could Intervene with Comey on FBI Russia Probe
Washington Post – Adam Entous | Published: 6/6/2017

The nation’s top intelligence official told associates in March that President Trump asked him if he could intervene with then-FBI Director James Comey to get the bureau to back off its focus on former national security adviser Michael Flynn in its Russia probe. The events involving Director of National Intelligence Daniel Coats show the president went further than just asking intelligence officials to deny publicly the existence of any evidence showing collusion during the 2016 election, as The Washington Post reported in May. The interaction with Coats indicates Trump aimed to enlist top officials to have Comey curtail the FBI’s probe.

From the States and Municipalities:

Alabama – Ethics Commission Declines to Make Site Consultants Register as Lobbyists
AL.com – Mike Cason | Published: 6/7/2017

The Alabama Ethics Commission rejected its staff’s opinion that site consultants for companies considering moving to the state are required under certain circumstances to register as lobbyists under the ethics law. Staff members said the companies who hire the consultants to scout locations and incentive opportunities from local governments would have to register as principals. The commission declined to vote on the recommendation after economic development officials said would hurt their recruiting efforts because companies place a high value on confidentiality when they are considering a new location.

Arizona – Corruption Case Snares Lobbyist at the Center of Arizona Power Politics
Arizona Republic – Yvonne Wingett Sanchez and Dan Nowicki | Published: 5/26/2017

Among the individuals named in a federal indictment was one who has touched almost every corner of Arizona power politics: lobbyist Jim Norton. A familiar figure for years at the Capitol, Norton was among Gov. Doug Ducey’s earliest political backers and a friend since college. His firm helped guide U.S. Rep. Andy Biggs to victory last November. He is also the business community’s leading voice at the statehouse. Prosecutors say Norton was “a conduit” for bribes that water-company owner George Johnson is accused of paying to former Arizona Corporation Commission Chairperson Gary Pierce. Authorities allege the money helped secure commission approval of higher rates for Johnson Utilities.

District of Columbia – D.C. Mayor Bowser Fined $13,000 for Illegal Campaign Contributions
Washington Post – Aaron Davis | Published: 6/7/2017

District of Columbia Mayor Muriel Bowser’s campaign committee was fined $13,000 for taking campaign donations over legal limits during her successful run for office three years ago. Bowser’s campaign kept over $11,000 in illegal contributions from 13 developers, contractors, and Sanford Capital, a landlord her administration has since been slow to fine for more than 1,000 housing-code violations. Some of the developers who contributed more than the legal limit to Bowser in 2014 were the same ones who went on to donate to a PAC that Bowser’s allies set up but later abandoned during her first year in office amid criticism from city council members that it was creating a perception of “pay-to-play” politics.

Florida – Someone Raised $200K from Miami Beach Bigwigs, But No One Will Say Why
Miami Herald – Nicholas Nehamas and Joey Flechas | Published: 6/5/2017

Miami Beach Commissioner Michael Grieco says he does not know a thing about a mysterious South Florida group that raised $200,000 from city bigwigs last year. But interviews with two of those donors suggest the PAC is raising money in his name, and that Grieco, who is running for mayor, solicited at least one contribution. Miami Beach lobbyists, vendors, and real-estate developers all appear on the list of donors to People for Better Leaders, exactly the type of power players whose contributions led to a public outcry during the last election cycle and, ultimately, to stricter campaign finance laws.

Kentucky – Judge Tosses Ethics Rules for Kentucky Lobbyists, Lawmakers
U.S. News & World Report – Adam Beam (Associated Press) | Published: 6/7/2017

A federal judge ruled Kentucky lawmakers can accept gifts from lobbyists and that lobbyists can make campaign contributions to candidates for the Legislature. The state law banning lobbyists giving gifts to lawmakers includes “anything of value,” which U.S. District Court Judge William Bertelsman said was too vague. State regulators said the laws were meant to prevent bribery at the Capitol. Most of the rules were enacted after “Operation BOPTROT,” a 1992 FBI probe that exposed 15 current or former legislators who sold their votes. Officials with the Legislative Ethics Commission and the Registry of Election Finance said they were reviewing the order and were considering an appeal.

Missouri – What You Need to Know about Missouri’s Evolving Campaign Finance Laws
Missouri Times – Travis Zimpfer | Published: 6/6/2017

On June 20, Missouri’s campaign finance laws will once again experience changes for the second time in roughly six months. The Missouri Ethics Commission updated their own primer on the constitutional amendment and how a recent decision by a federal judge that found many provisions of the law unconstitutional affected it. Commission Director James Klahr issued an advisory opinion that political party committees in the House and Senate are not bound to the $25,000 aggregate limit in accordance with the ruling.

North Carolina – US Supreme Court Affirms NC Legislative Districts as Racial Gerrymanders
Raleigh News and Observer – Anne Blythe | Published: 6/5/2017

The U.S. Supreme Court upheld a lower court ruling that struck down 28 state House and Senate districts in North Carolina because they violated the rights of black voters. But the justices rejected the court’s order to redraw the districts and hold a special election. The action by the justices sends the matter back to the lower court, which could order new districts in time for the regular cycle of elections in 2018.

Pennsylvania – A Philly Teacher’s Stunts Draw Interest from The Board of Ethics
Philadelphia Inquirer – Chris Brennan | Published: 6/5/2017

It looks as if George Bezanis, a Central High School social studies teacher who has used a billboard and a banner plane to protest the lack of a new union contract for the Philadelphia Federation of Teachers, will be butting heads with the city Board of Ethics. An attorney for the ethics board told Beznis the billboard and banner plane were “reportable lobbying under the city’s lobbying law.” Bezanis needed to register as a lobbyist, the attorney said in the message, or face a financial penalty.

South Carolina – Firms Named in SC Corruption Probe Have Hundreds of Millions at Stake
The State – Jamie Self and Avery Wilks | Published: 6/4/2017

South Carolina’s largest special interests know the time they spend working the state’s lawmakers at the Capitol is well spent. But was the help they got from one of the state’s most influential political families legal? Indicted Rep. Rick Quinn, whose father operates a political consulting empire, stands accused of voting and lobbying in the Legislature on behalf of special interests that, prosecutors allege, paid him through his direct-mail business and his father’s firm. He also is charged with failing to disclose accepting nearly $4.6 million he received from special interests that lobby the Legislature.  The companies that Quinn is charged with illegally helping are big fish in the pool of special interests vying for influence in Columbia.

Tennessee – Record $465,000 Fine Issued Against Jeremy Durham for ‘Egregious’ Campaign Finance Violations
The Tennessean – Dave Boucher and Joel Ebert | Published: 6/7/2017

The Tennessee Registry of Election Finance levied the largest fine it has ever imposed against former state Rep. Jeremy Durham for hundreds of campaign finance law violations. Among the findings in an audit were allegations Durham used campaign funds to improperly buy sunglasses, suits, and spa products, and inappropriately loaned thousands of dollars to his wife, a prominent Republican fundraiser and professional gambler. Registry members occasionally haggled over the individual amounts for each violation, trying to determine how egregious Durham’s actions were while also expressing a desire to use the penalties to prevent future wrongdoing. In total, the registry fined Durham $465,500 for more than 300 violations.

Wisconsin – Critics Deride Secrecy, Limits on Investigations by State Ethics Commission as It Nears 1-Year Mark
Wisconsin State Journal – Mark Sommerhauser | Published: 6/4/2017

Critics say it is difficult to assess the work of Wisconsin’s new ethics commission because much of what it does is kept secret. Current and former commissioners and other observers say they have seen some heartening signs from the six-member panel, which acts as the state’s watchdog of political campaigns and candidates, public officials, and those who seek to influence them. But critics say the commission is handcuffed by legal limits on what it can disclose about its efforts to enforce campaign finance, ethics, and lobbying laws. It also is much more limited than its predecessor, the Government Accountability Board, in its ability to investigate alleged violations of those laws.

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.