July 21, 2015 • Written by Jim Sedor

Tuesday Lobbying and Campaign Finance News Update

Lobbying “Jeb Bush Promises to Curb Lobbying and Cut Size of Government” by Michael Barbaro for New York Times Campaign Finance “Seeing Crowd, G.O.P. Donors Holding Back” by Nicholas Confessore and Sarah Cohen for New York Times Alabama: “Alabama Lawmakers […]

July 20, 2015 • Written by Jonathan Spontarelli

San Diego Lobbyist Registration Fees Proposed to Go Up

The San Diego City Council Budget Committee approved a proposal to increase lobbyist registration fees. Under the proposal, the fees will increase from $40 to $150. Annual registration fees paid by clients who hire lobbyists would also increase from $15 […]

July 20, 2015 • Written by Jim Sedor

Monday News Roundup

Lobbying California: “Lobbyist Fee Set to Increase” by David Garrick for San Diego Union-Tribune Colorado: “How Effective are Lobbyists in Colorado at Passing, Killing Legislation?” by Arthur Kane for Colorado Watchdog Campaign Finance “Presidential Campaign Donors Hedge Bets” by Carrie […]

July 17, 2015 • Written by Jonathan Spontarelli

News You Can Use Digest – July 17, 2015

Federal: A Year after Rocky Merger, Patton Boggs Aims to Re-Establish K Street Dominance Washington Post – Catherine Ho | Published: 7/13/2015 For decades, the name Patton Boggs was synonymous with K Street lobbying shops. But in 2014, the once dominant […]

Federal:

A Year after Rocky Merger, Patton Boggs Aims to Re-Establish K Street Dominance
Washington Post – Catherine Ho | Published: 7/13/2015

For decades, the name Patton Boggs was synonymous with K Street lobbying shops. But in 2014, the once dominant firm was acquired by Squire Sanders. Now, after a year of challenges – including the death of the firm’s renowned leader, Thomas Boggs, Jr., who helped define the modern-day lobbying industry – Patton Boggs is looking to re-establish itself with new leadership. That rebuilding is being led by Senate veterans Trent Lott and John Breaux.

From the States and Municipalities:

California – Director Concerned over Ethics Pick
San Diego Union-Tribune – Greg Moran | Published: 7/15/2015

Attorney Robert Ottilie was nominated for a seat on the San Diego Ethics Commission. In response, longtime commission Executive Director Stacey Fulhorst said she would resign her post if Ottilie is selected, adding that staff members and possibly other commissioners would also leave. She said Ottilie, who has represented city council members and campaign committees in front of the commission, is a “uniquely disruptive individual” whose presence on the panel would undercut its mission of enforcing campaign finance and ethics rules.

Colorado – Colorado Lobbying Income Likely to Set a Record This Year
Colorado Watchdog – Arthur Kane | Published: 7/15/2015

Lobbyists in Colorado are likely to make as much as $40 million in 2015, which would be a new record. Lobbyists have gone from making about $5.5 million in 1995 to nearly eight times as much with some years showing double-digit increases over the previous year, show disclosure filings. Colorado State University political science professor John Straayer said the state used to have individual lobbyists, but recently they have formed into organized corporations that provide lobbying, political fundraising, public relations, and other services. “They’re full-service operations,” said Straayer.

Colorado – The Colorado Soap Opera That Could Be a Major 2016 Headache for the GOP
Washington Post – Ben Terris | Published: 7/15/2015

In Colorado, allegations of an extramarital affair involving state Republican Party Chairperson Steve House have elevated a seemingly mundane political power struggle into a statewide soap opera that has left the GOP in disarray, a situation that could have national implications as one of the most unpredictable swing states prepares for the 2016 presidential race. If House, who denied the affair allegations, has been bruised, so too has state Attorney General Julie Coffman. The wife of U.S. Rep. Mike Coffman (R-Colo.), she had been widely viewed as a likely contender for governor in 2018. Now commentators across Colorado are wondering aloud if the attorney general committed blackmail.

Georgia – Gift Rules for State Employees Mostly Ignored, Observers Say
Savannah Morning News – Walter Jones (Morris News Service) | Published: 7/11/2015

Georgia Gov. Nathan Deal issued an executive order the day he was sworn into office prohibiting state employees or their families from accepting anything of value worth more than $25 from lobbyists or vendors. Existing state law requires anyone doing business with city, county, or state government that spends more than $250 in a year on gifts to file an annual report. Of the thousands of companies providing services to government agencies, only about two-dozen filed a gift report for 2014 activity. Some say the information reported by the few companies that do file raises questions about the exploitation of the law.

Louisiana – Ethics Report on New Orleans: Lots of progress since Katrina, but long way to go
New Orleans Times-Picayune – Richard Rainey | Published: 7/9/2015

Recovery from Hurricane spurred New Orleans to establish the Office of Inspector General, the Office of the Independent Police Monitor, and the Ethics Review Board, each watchdogs focused on rooting out corruption, wasteful spending, and generally bad behavior among the city’s elected officials and public employees. New Orleans voters approved their creation in 1995, but it took disaster in 2005 to spark some follow-through. But for one longtime ethics reform champion, that spark has not ignited enough improvement. David Marcello, executive director of the Public Law Center at Tulane University, praised the work of the inspector general and the police monitor, but came down hard on the ethics board in a new report.

New York – Bipartisan Group Sues to Close New York’s Corporate Donation Loophole
New York Times – Jesse McKinley | Published: 7/14/2015

A coalition of good-government advocates and state lawmakers has filed a lawsuit challenging New York’s so-called LLC loophole, which allows political donors to flout contribution limits by opening multiple limited liability companies. The lawsuit challenges the state Board of Elections deadlock in April when it was petitioned to reconsider how LLCs are viewed by the board, which counts each LLC as an individual. That allows each LLC to give up to $60,800 to a statewide candidate per election cycle. Critics contend the loophole allows donors, like real estate developers, to use multiple LLCs to make huge contributions to candidates.

North Carolina – Elections Board Finds No Violations in Sweepstakes Campaign Donations
Raleigh News & Observer – Craig Jarvis | Published: 7/15/2015

An investigation into more than $270,000 in questionable donations to the campaigns of top North Carolina officials from Chase Burns, an Internet sweepstakes magnate, has found no violations of state campaign finance law. Burns and his wife were among the top donors to North Carolina candidates in 2012, as the industry was lobbying lawmakers to overturn the state’s ban on the games. A watchdog group filed a complaint alleging Burns violated state laws against using corporate money for donations. Members of the elections board expressed frustration with ambiguities in North Carolina’s campaign finance laws.

North Carolina – NC Election Board Member’s Firm Worked for Target of Probe
WRAL – Michael Biesecker and Mitch Weiss (Associated Press) | Published: 7/10/2015

Paul Foley, a member of the North Carolina Board of Elections, demanded regular updates about an investigation into donations to the campaigns of Gov. Pat McCrory and dozens of other elected officials. Foley failed to disclose that his law firm had represented the target of the investigation, sweepstakes executive Chase Burns. Despite a law that demands officials remove themselves from proceedings if they have a financial relationship with a participant, Foley did not step aside for nearly a year-and-a-half, until State Elections Director Kim Strach learned of nearly $1.3 million in prior payments from Burns’ company to Foley’s law firm.

Oklahoma – Oklahoma Lobbying Disclosures Lag Behind Other States
Oklahoma Watchdog – Arthur Kane | Published: 7/9/2015

Important information about lobbying activity is not required in Oklahoma when most other states have adopted rules or laws mandating the disclosures. Unlike most states, Oklahoma does not require lobbyists to disclose what legislation they are supporting or opposing. The rules also do not require lobbyists to report how much they received from the organizations and businesses that hired them, a practice required by at least 14 other states.

Pennsylvania – Ex-Mayor of Pennsylvania’s Capital Charged with Corruption
Albany Times Union – Marc Levy and Mark Scolforo (Associated Press) | Published: 7/15/2015

Former Harrisburg Mayor Stephen Reed, who ended his 28-year tenure in 2010 with the city near financial ruin, was arrested and faces 499 criminal counts for theft, bribery, evidence tampering, and other charges. Reed and unnamed associates issued municipal bonds for legitimate purposes but allegedly used some of the proceeds to buy a bizarre list of artifacts for what Reed claimed was a plan to open a museum. The purchases included a life-size sarcophagus, a suit of armor, a “vampire hunter’s set,” and a $14,900 playbill from Ford’s Theatre on the night of the Lincoln assassination. Pennsylvania Attorney General Kathleen Kane said investigators are looking into allegations of misconduct by others, and she expects more charges to be filed.

Virginia – Plastic Tumblers, a Night at Dad’s House Top Gifts in Post-McDonnell Richmond
Washington Post – Laura Vozzella | Published: 7/13/2015

After Virginia Gov. Robert McDonnell was convicted on corruption charges, political gift-giving in the state has become such a modest and open affair that Matthew Ogburn would not spend the night in his boyhood bedroom without erring on the side of caution by making a public disclosure. Ogburn is a legislative assistant to a state senator and the son of David Ogburn, Jr., a Verizon lobbyist who lives in the Richmond suburbs. Lobbyists do not have to disclose gifts they make to their dependent children, but since Matthew Ogburn is 24 and living on his own, his father reports every time he comes for a visit.

Washington – Taxpayer Financed Campaign Proposal, with ‘Democracy Vouchers,’ Wins a Place Seattle’s Fall Ballot
Seattle Post-Intelligencer – Joel Connelly | Published: 7/13/2015

An initiative that qualified for the ballot would impose a property tax levy that would pay for publicly financed elections in Seattle. Initiative 122 would ban contributions from corporations with medium-sized and large city contracts, as well as corporations that spend money lobbying the city. It would also lower the donation limit for city races, and boost fines and penalties for election law violations.

Wisconsin – Vos: Time to ‘double down’ on GAB reform in wake of reported IRS links
Wisconsin Watchdog – M.D. Kittle | Published: 7/10/2015

Key legislative Republicans renewed their call to reform the Wisconsin Government Accountability Board (GAB) after The Wall Street Journal reported the agency and the IRS may have shared information about the state’s so-called John Doe investigation, the secret probe that targeted dozens of conservative groups and the campaign of Gov. Scott Walker. The newspaper ran an editorial noting GAB Director Kevin Kennedy has had a professional relationship for 20 years with Lois Lerner, the former IRS official who was involved in reviewing the tax exempt status of conservative political organizations. Kennedy knows Lerner from their involvement over the years with the Council on Governmental Ethics Laws.

Wisconsin – Wisconsin Supreme Court Ends John Doe Probe into Scott Walker’s Campaign
Milwaukee Journal Sentinel – Patrick Marley | Published: 7/16/2015

The Wisconsin Supreme Court ruled that a criminal investigation into coordination between conservative groups and Gov. Scott Walker’s 2012 campaign cannot continue. The decision ends the specter of an inquiry as Walker pursues the Republican nomination for president. The investigation began after the governor survived a recall election brought by voters who opposed limits he made to collective bargaining rights and union power. The probe looked at whether Walker’s advisers directed interactions with at least a dozen outside conservative groups, and whether that violated disclosure rules and donation limits.

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

July 16, 2015 • Written by Jim Sedor

Thursday News Roundup

Lobbying Colorado: “Colorado Lobbying Income Likely to Set a Record This Year” by Arthur Kane for Colorado Watchdog Virginia: “Plastic Tumblers, a Night at Dad’s House Top Gifts in Post-McDonnell Richmond” by Laura Vozzella for Washington Post Campaign Finance “Revenge […]

July 15, 2015 • Written by Allyson Smith

Proposed Rules to New York City’s Lobbying Law

The Office of the City Clerk has proposed amended rules to chapter 1 of title 51 of the Rules of the City of New York pursuant to the enactment of Local Law 129 of 2013, which amended the city’s lobbying […]

July 15, 2015 • Written by Jim Sedor

Wednesday Government Relations News

Lobbying “Lobbyists Decamp for Capitol Hill Jobs” by Megan Wilson for The Hill Tennessee: “Lobbyist: Armstrong paid to help wholesaler” by Jamie Satterfield for Knoxville News Sentinel Utah: “Utah Cities Turning to Lobbyists as Their Lifeline to the Legislature” by […]

July 14, 2015 • Written by Jim Sedor

Tuesday Lobbying and Campaign Finance News Update

Lobbying “A Year after Rocky Merger, Patton Boggs Aims to Re-Establish K Street Dominance” by Catherine Ho for Washington Post Colorado: “Spend, Don’t Tell: Special interests influence lawmakers, but remain tight lipped” by Arthur Kane for Colorado Watchdog Campaign Finance […]

July 13, 2015 • Written by Jim Sedor

Monday News Roundup

Lobbying Oklahoma: “Oklahoma Lobbying Disclosures Lag Behind Other States” by Arthur Kane for Oklahoma Watchdog Campaign Finance “High-Dollar Fundraising Makes Comeback, Raising Concerns about Bribery” by Eliza Newlin Carney for Roll Call Ethics “Supreme Court Justices Bolstered by Free Travel, […]

July 10, 2015 • Written by Jim Sedor

News You Can Use Digest – July 10, 2015

National: Is This Cold, Rural State Home to the Nation’s Healthiest Democracy? Washington Post – Niraj Chokshi | Published: 7/7/2015 After taking 22 factors into account – including broad access to voting, equal representation in state government, and a limited concentration […]

National:

Is This Cold, Rural State Home to the Nation’s Healthiest Democracy?
Washington Post – Niraj Chokshi | Published: 7/7/2015

After taking 22 factors into account – including broad access to voting, equal representation in state government, and a limited concentration of influence over the political system – Maine’s democracy ranks healthiest in the nation, according to the Center for American Progress Action Fund. Alabama’s was weakest, though all states are far from perfect. “One of the messages throughout this report is that every state has room to improve,” said Lauren Harmon, the report’s author. The study noted that restricting influence over the political system is a particularly weak area. A dozen states have no limits on campaign contributions. Just 15 states offer public campaign financing, while 37 require some waiting period between leaving office and taking a lobbying job.

The Most Liberal and Conservative CEOs
Yahoo Finance – Rick Newman | Published: 7/8/2015

Many chief executive officers of major corporations donate money across the political spectrum for pragmatic business reasons rather than personal ideological ones. Crowdpac analyzed campaign contributions from CEOs of the 100 largest public U.S. companies to find out just how liberal or conservative these executives really are.

Washington Gridlock Drives Lobby Shops to Focus on State Policy Battles
Washington Post – Catherine Ho | Published: 7/7/2015

As getting anything done in Washington, D.C. has become increasingly difficult, K Street-based lobbying firms are trying their luck representing clients seeking changes on a state rather than federal level. The idea of pivoting to capture state-level work is not new. But some lobbyists say it is taking on increased importance now that policy fights over some of the biggest issues are moving more quickly at the local level.

Federal:

Court Upholds Ban on Contractor Political Contributions
New York Times; Associated Press – | Published: 7/7/2015

A federal court upheld a longstanding prohibition on contractors making political contributions, handing a rare win to proponents of stronger campaign finance restrictions. The ban applies to individuals, corporations, and firms that are negotiating or working under federal contracts. While doing do, they cannot give money to federal candidates, parties, or committees. Chief Judge Merrick Garland of the U.S. Court of Appeals for the District of Columbia Circuit said recent corruption scandals involving members of Congress point to the continuing danger of “quid pro quo” corruption. He agreed with the FEC that the law protects the integrity of merit-based government contracting.

GOP Leaders Fear Damage to Party’s Image as Donald Trump Doubles Down
Washington Post – Karen Tumulty, Philip Rucker, and Robert Costa | Published: 7/8/2015

Republican National Committee Chairperson Reince Priebus, faced with growing pressure from inside the party to quiet Donald Trump, called the provocative presidential candidate recently and asked him to speak in more measured tones. Days of round-the-clock cable news coverage of Trump’s incendiary claims about criminals coming across the border from Mexico forced Priebus to show alarmed Republicans that he was taking action. But the call also highlighted the limits of what could be done to rein in Trump.

Here Are the Secret Ways Super PACs and Campaigns Can Work Together
Washington Post – Matea Gold | Published: 7/6/2015

For the first time, nearly every top presidential hopeful has a personalized super PAC that can raise unlimited sums and is run by close associates or former aides. The widespread cooperation, which many campaign finance experts say stretches the legal boundaries, indicates that candidates and their advisers have little fear they will face serious scrutiny from law enforcement, despite the Justice Department’s successful prosecution this year of a campaign operative for illegal coordination. One main reason is that under FEC rules, there is no wall dividing candidates and independent groups. In practice, it is more like a one-way mirror, with a telephone on each side for occasional calls.

I.R.S. Expected to Stand Aside as Nonprofits Increase Role in 2016 Race
New York Times – Eric Lichtblau | Published: 7/5/2015

Regulators at the IRS appear certain to delay trying to curb campaign finance abuses at nonprofits until after the 2016 election. Agency officials concede the rules for nonprofit groups are vague and difficult to enforce. Audits for excessive campaign work are extremely rare, even for groups spending huge chunks of their budgets to support candidates. The IRS remains wounded by the scandal that began two years ago over its scrutiny of nonprofits tied to the tea party and other political causes, both conservative and liberal. “It’s anything goes for the next couple of years …,” said Paul Streckfus, a former nonprofit specialist at the IRS.

From the States and Municipalities:

California – Aide to California Senate Leader Accepted Pot Gifts from Marijuana Lobbyist
BuzzFeed News – Amanda Lewis | Published: 7/8/2015

Ethics experts said a California Democratic Party staffer did not violate disclosure laws by accepting edible marijuana and an e-cigarette filled with hash oil from a lobbyist for the marijuana industry. The aide, Josh Drayton, works for the party’s Senate Democrats on political campaigns. BuzzFeed News reported that after accepting the gifts, Drayton said Senate President Pro Tem Kevin de Leon needed to learn more about marijuana. Lawmakers and employees of the Senate are subject to gift reporting and limits. Drayton, however, is exempt because he is not employed by the Senate but by the party, said Gary Winuk, a former enforcement chief at the Fair Political Practices Commission.

Hawaii – How Hawaii Lawmakers Spend Up to $13,000 a Year – Each
Honolulu Civil Beat – Nathan Eagle | Published: 7/8/2015

Many Hawaii lawmakers have been less than thrilled with state Ethics Commission Executive Director Les Kondo’s strict opinions on what gifts they are allowed to accept from lobbyists, or what events they can attend with complimentary tickets. Legislative allowances have been another sore point. But a review of nearly $4 million in state lawmakers’ expenses over the past four years shows they are changing their habits based on the commission’s advice even if they do not like it, including not billing taxpayers for their dry cleaning or charitable donations.

Missouri – More Questions than Answers in Intern Investigation at Mo. Capitol
St. Louis Post-Dispatch – Alex Stuckey | Published: 7/6/2015

In March, two interns abruptly left Missouri Sen. Paul LeVota’s office. But since then, the University of Central Missouri launched a Title IX investigation and the Senate began its own investigation and hired an attorney to assist with a “workplace harassment complaint.” Meanwhile, it appears unlikely the university, or even the Senate, could inflict punishment if wrongdoing has taken place. History has shown that harassment in the Capitol is rarely reported and difficult to prove.

New Hampshire – New Hampshire Voters Bemoan Size of G.O.P. Field
New York Times – Patrick Healy and Maggie Haberman | Published: 7/4/2015

The likely field of 16 Republican candidates is stirring frustration in New Hampshire, particularly among voters who say they feel more overwhelmed, even ambivalent, than ever before about their long-cherished responsibilities in holding the nation’s first primary. Some voters said they were already dreading the weeks of political fliers stuffed in their mailboxes, of campaign volunteers at their doors during the day, and of television ads and automated phone calls all through the night. Others said they already had candidate fatigue.

Oklahoma – Ethics Commission to Crack Down on Late Campaign Filers
Tulsa World – Curtis Killman | Published: 7/3/2015

The Oklahoma Ethics Commission approved a series of new and increased fees designed to help the agency go after late filers. The new fees, coupled with a boost in state funding, should provide enough revenue to permit the agency to hire two new staff members dedicated to compliance, said commission Executive Director Lee Slater. The new staff will assist with the collection of late filing fees assessed to candidate committees, PACs, and other entities charged with disclosing campaign finance activities.

Oklahoma – House Freshmen, Senate Leadership Accept Thousands in Lobbyist Meals, Gifts
Oklahoma Watchdogs – Arthur Kane | Published: 7/8/2015

Lobbyists in Oklahoma lobbyists spent more than $300,000 this year on meals, gifts, and receptions for state lawmakers. Lobbyists spent the most on mass events for large groups of legislators. Those parties and caucus meals cost nearly $170,000. Rep. Casey Murdock received nearly $2,900 in meals and gifts, the most of any member of the Legislature. Murdock said being courted by lobbyists is not as glamorous as some may assume. “I’m looking forward to next year when I won’t be a freshman and won’t have to go to many dinners,” Murdock said. “It gets old. Often you’re not the least bit interested in what they’re selling and you’re going through the motions.”

South Carolina – South Carolina House Votes to Remove Confederate Flag from Statehouse Grounds
Washington Post – Elahe Izade and Abby Phillip | Published: 7/9/2015

The Confederate battle flag that has flown at the South Carolina Statehouse for more than 50 years will soon be gone after lawmakers capped a tension-filled session and voted to remove it from the Capitol grounds. The final vote in the House of Representatives was well above the two-thirds majority that was required to move the bill toward the desk of Gov. Nikki Haley, who called for the flag to come down after the massacre at the Emanuel African Methodist Episcopal Church in Charleston. Photographs emerged of the now-indicted shooter, an avowed white supremacist, posing with the emblem. Advocates for the flag’s removal say it represents a racist legacy and a dark chapter in the nation’s history, while defenders insist it symbolizes Southern heritage and honors fallen soldiers.

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

July 3, 2015 • Written by Jonathan Spontarelli

News You Can Use Digest – July 3, 2015

Federal: As Donald Trump Surges in Polls, Democrats Cheer Washington Post – Philip Rucker | Published: 7/1/2015 With the Republican Party on a mission to woo Latino voters, one of its presidential candidates has been enmeshed for two weeks in a […]

Federal:

As Donald Trump Surges in Polls, Democrats Cheer
Washington Post – Philip Rucker | Published: 7/1/2015

With the Republican Party on a mission to woo Latino voters, one of its presidential candidates has been enmeshed for two weeks in a feud over his inflammatory comments about Mexican immigrants. “They’re bringing drugs, they’re bringing crime, they’re rapists,” Donald Trump said in his campaign announcement speech. The comments, and many more since, have prompted an uproar among Latino groups and a series of nasty break-ups between Trump and various corporate partners. His outlandish rhetoric and skill at occupying the national spotlight is also proving to be dangerously toxic for the GOP brand, which remains in the rehabilitation stage after losing the 2012 presidential race.

Bernie Sanders Doesn’t Follow the Money
Politico – Tarini Parti and Jonathan Topaz | Published: 6/28/2015

Working almost exclusively from his website, U.S. Sen. Bernie Sanders has raised about $8 million so far for his presidential campaign with an average donation of around $40. But Sanders, who has been rising fast in recent early-state polls, is missing an opportunity to capitalize on his momentum with a progressive base that has been without a standard-bearer since U.S. Sen. Elizabeth Warren declined to run. “I frankly don’t get the restraint ….,” said Harvard University professor Lawrence Lessig, adding that some think Sanders is ruining his presidential chances by not having a super PAC. Sanders faces the daunting task of finding a way to stay competitive in the Democratic primaries against one of the most potent pair of fundraisers in party history, Bill and Hillary Clinton, who are expected to count their receipts on Hillary’s behalf in the billions of dollars.

From the States and Municipalities:

Arizona – Justices Rule 5-4 That Independent Panels Can Draw Election District Lines
Washington Post – Robert Barnes | Published: 6/29/2015

The U.S. Supreme Court upheld Arizona’s congressional map, declaring the use of an independent redistricting commission that drew House district lines in the 2012 cycle did not violate the Constitution. About a dozen states have experimented with redistricting commissions that have varying degrees of independence from the state Legislatures, which ordinarily draw election maps. Justice Ruth Bader Ginsburg rejected the Arizona Legislature’s contention that it alone has power over redistricting. She said the decision by voters to turn reapportionment over to an independent commission “was in full harmony with the Constitution’s conception of the people as the font of governmental power.”

California – Ex-State Sen. Leland Yee Pleads Guilty to Racketeering in Corruption Case
Los Angeles Times – Lee Romney | Published: 7/1/2015

Former California Sen. Leland Yee pleaded guilty to a racketeering charge in an organized crime and public corruption case. He could face a maximum of 20 years in prison when he is sentenced in October. The FBI arrested Yee and 19 others in 2014 during a series of raids targeting a Bay Area organized crime ring. Yee was accused of soliciting and accepting bribes in exchange for providing help from Sacramento. The FBI also alleged that Yee, who was running for secretary of state at the time, conspired to connect an undercover agent with an international arms dealer in exchange for campaign contributions.

Florida – How Marco Rubio Turned Political Star Power into a Soaring Personal Income
Washington Post – Tom Hamburger and Sean Sullivan | Published: 6/29/2015

During his nine years in Tallahassee, as U.S. Sen. Marco Rubio rose in prominence and ascended to the state House speakership, he became increasingly well-compensated as he walked a narrow line between his work as a lawmaker and an employee of outside firms with interests before the state government. An analysis shows about 80 percent of his total income during his House tenure came from Florida law firms that lobby state and local governments. Rubio’s annual income grew from about $72,000 when he was elected to the state House in 2000 to $414,000 in 2008, when his two-year speakership ended.

Maine – Combative Maine Governor Becomes a Party of One
New York Times – Katherine Seelye | Published: 6/28/2015

In the last few weeks, Maine Gov. Paul LePage’s belligerence has surprised even his critics, and prompted some to raise the specter of impeachment. In a standoff that began with differences over tax policy, LePage has alienated just about the entire Legislature, including his fellow Republicans and onetime allies.

New York – Ex-N.Y. State Senator Gets Seven Years in Prison for Bribery
Albany Times Union – Tom Hays (Associated Press) | Published: 7/1/2015

Former New York Sen. Malcolm Smith will spend seven years in prison for a scheme to bribe his way onto the ballot for the 2013 New York City mayoral election. Smith wanted to be mayor but sought to avoid a Democratic primary. He instead decided to obtain the backing of GOP leaders in three boroughs so he could run as a Republican. Prosecutors said he authorized bribes totaling about $200,000. The five other politicians who were arrested with Smith were convicted or pleaded guilty.

New York – IG: State vendor lavished OMIG director with gifts, booze
Albany Times Union – Brendan Lyons | Published: 6/25/2015

A new report accused Joseph Flora, the former director of the New York Office of Medical Inspector General (OMIG), of improperly accepting gifts – including meals, alcohol, and a $130,000-a-year job offer – from a company that has a multimillion-dollar contract with the state. Health Management Systems (HMS) has had multiple contracts with OMIG since 2006. Flora was forced to retire from his state job in 2014 after a probe of his ties to the company. Separately, as a client of a registered lobbyist throughout the entire time period, HMS was subject to certain prohibitions on giving gifts to public officials. The Joint Commission on Public Ethics announced it had reached a settlement under which HMS would pay a $75,000 penalty.

Ohio – Lobbyist a Constant in Columbus’ Politics
Columbus Dispatch – Mark Ferenchik and Lucas Sullivan | Published: 6/28/2015

Lobbyist John Raphael has been a presence in Columbus, Ohio for almost 40 years. He has been an aide to a state senator and a member of the Columbus City Council, helped run a restaurant that was frequented by politicians, and currently represents eight clients at City Hall. And now he is at the center of a political and legal firestorm. In a plea agreement, former Redflex Chief Executive Officer Karen Finley said she passed money through Raphael and the Ohio Democratic Party to elected officials in Columbus to obtain contracts for red-light cameras. Council President Andrew Ginther, running this year to succeed Mayor Michael Coleman, has been subpoenaed in the matter, as has Coleman.

Oregon – How Much Pot Can Lawmakers Receive as a Gift? Oregon Democrat Has Some Advice
Portland Oregonian – Denis Theriault | Published: 6/30/2015

The Oregon Government Ethics Commission’s handbook for elected officials spells out a lot of rules in its section on gifts, especially when the people giving the gift have a financial interest in that official’s work. But none of those rules cover marijuana, which is legal in Oregon but not nationally. Rep. Ann Liniger offered some advice in an email to colleagues, recommending they know the value of the quantity of marijuana they are offered so as not to violate the $50 limit on gifts. But Lininger also sought to clarify her advice when asked about it by reporters. “My recommendation is that elected officials not accept gifts of cannabis,” said Linder.

Oregon – Kate Brown Signs Final Ethics Reforms, Mentions ‘Chaos and Confusion’ of Kitzhaber’s Last Days
Portland Oregonian – Denis Theriault | Published: 7/1/2015

Oregon Gov. Kate Brown signed the last of three ethics-related bills she requested after Gov. John Kitzhaber resigned amid an influence-peddling scandal. House Bill 2019 expands the Oregon Government Ethics Commission from seven members to nine, while speeding up its timelines for investigating complaints and giving legislative leaders a larger role in appointing its members. House Bill 2020 clarifies that the governor’s partner is a public officials who must join file conflict-of-interest forms. It also raises bans the governor and first partner, and all other statewide elected officials, from accepting speaking fees.

Pennsylvania – Lack of Funding for State Ethics Commission Invites Corruption, Experts Worry
Pittsburgh Tribune-Review – Kari Andren | Published: 6/27/2015

The number of staff members at the Pennsylvania Ethics Commission now stands at 17, down 30 percent from the 24 who once worked there. The commission’s funding topped 2009 levels for the first time this year at just more than $2 million. But this year’s $222,000 increase went to the bare essentials: upgrading outdated computers and software and hiring one investigator, the first hire in six years. Executive Director Rob Caruso said with its funding and staffing levels, the commission cannot fully investigate all of the 400 to 500 sworn complaints filed each year. One expert said Pennsylvania’s lack of funding for its watchdog office invites corruption.

Texas – John Wiley Price Associates Enter Guilty Pleas, Agree to Testify
Dallas Morning News – Kevin Krause and Ed Timms | Published: 6/30/2015

Two people have pleaded guilty in a federal corruption probe of Dallas County Commissioner John Wiley Price, who is accused of accepting nearly $1 million in bribes. Christian Lloyd Campbell was a consultant for Price. Campbell pleaded guilty to conspiracy to commit bribery. Price, who awaits trial on conspiracy and fraud-related counts, allegedly accepted bribes to leak confidential information to help Campbell’s clients win contracts. Gallery owner Karen Manning pleaded guilty to subscribing to a fraudulent income tax return. Prosecutors say Manning sold African art for Price in a scheme to hide his illicit profits.

Virginia – With McAuliffe in Office, Old Friends Find New Opportunities
Lexington Herald-Leader – Alan Suderman (Associated Press) | Published: 6/26/2015

After Gov. Terry McAuliffe took office in early 2014, some of his friends – who had never lobbied in Virginia before – started registering as lobbyists with several companies interested in contracting with the state. Among the companies are technology and health care businesses, including some Medicaid-related firms. McAuliffe has made expanding Medicaid a top priority for his administration. He has so far been blocked by the Republican-controlled General Assembly.

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

July 2, 2015 • Written by Jonathan Spontarelli

Amount Allowed to Spend on Louisiana Officials Increased by $2

On July 1, the maximum value for food, drink, or refreshment an individual may provide to an elected official or public employee in Louisiana for a single event increased from $58 to $60. This threshold value is adjusted each year […]

July 2, 2015 • Written by Jonathan Spontarelli

Ask the Experts – On Registered Lobbyists Making Political Contributions

Q. I recently became a registered lobbyist in my company’s home state. I am also very active politically. Are there any restrictions on my political contributions now that I am a registered lobbyist? A. An individual’s status as a registered […]

Q. I recently became a registered lobbyist in my company’s home state. I am also very active politically. Are there any restrictions on my political contributions now that I am a registered lobbyist?

A. An individual’s status as a registered lobbyist can place additional restrictions and requirements on him or her related to his or her political contributions. Some jurisdictions place strict restrictions on a lobbyist’s ability to make contributions. South Carolina prohibits registered lobbyists from making contributions to a candidate or anyone acting on behalf of a candidate if the lobbyist engages in lobbying the public office or public body for which the candidate is seeking election. California has a similar prohibition, providing lobbyists may not contribute to a state candidate or officeholder, or their controlled committees, if registered to lobby the governmental agency for which the candidate seeks election or to which the officeholder belongs. Other jurisdictions limit the amount a registered lobbyist can contribute compared to a nonregistered individual. Registered legislative and executive agents in Massachusetts may contribute no more than $200 in the aggregate to any one candidate and such candidate’s committee during a calendar year.

A number of jurisdictions require reporting of lobbyist contributions. Pennsylvania has extensive registration and reporting requirements for lobbyists who make personal political contributions, requiring them to register with the state before making a personal contribution and to file reports on the same schedule as a PAC. Maryland’s reporting requirements are not as extensive, requiring certain political contributions to be disclosed on the lobbyist’s activity report.

When an individual becomes a registered lobbyist, he or she must review the applicable rules on his or her political contributions. If unsure as to the requirements, please be sure to review our website at www.stateandfed.com for up-to-date information.

You can directly submit questions for this feature, and we will select those most appropriate and answer them here. Send your questions to: experts@stateandfed.com.

(We are always available to answer questions from clients that are specific to your needs, and we encourage you to continue to call or e-mail us with questions about your particular company or organization. As always, we will confidentially and directly provide answers or information you need.) Our replies to your questions are not legal advice. Instead, these replies represent our analysis of laws, rules, and regulations.

June 30, 2015 • Written by Jim Sedor

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