September 2, 2016 •
Ask the Experts!
Q. My company has registered lobbyists and is a member of local and regional associations in numerous states. Are there any unique disclosure requirements due to these circumstances? A. You should always consider a couple of different aspects of reporting with […]
Q. My company has registered lobbyists and is a member of local and regional associations in numerous states. Are there any unique disclosure requirements due to these circumstances?
A. You should always consider a couple of different aspects of reporting with this type of relationship. First and most obvious, the dues you pay to a trade association may have to be disclosed on your lobbying disclosure report. A trade association can engage in lobbying on behalf of its members, making a portion of your dues reportable as a lobbying expense.
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(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.
September 2, 2016 •
NYCU Video Digest – September 2, 2016
See what’s happening in government relations this week with our Video Digest. Enjoy!
See what’s happening in government relations this week with our Video Digest. Enjoy!
September 2, 2016 •
Missouri Audit Reveals Legislative Slush Fund for Lobbyist Meals
Missouri State Auditor Nicole Galloway issued a report Monday revealing a potentially illegal checking account used by legislators to collect contributions from lobbying firms. The account is purportedly used by the Senate to fund late-night meals during the legislative session. […]
Missouri State Auditor Nicole Galloway issued a report Monday revealing a potentially illegal checking account used by legislators to collect contributions from lobbying firms.
The account is purportedly used by the Senate to fund late-night meals during the legislative session. According to Galloway’s report, actively soliciting contributions from lobbyists is a conflict of interest.
Since the audit, Senate officials have vowed to find other ways to purchase meals as necessary.
Photo of State Auditor Nicole Galloway by Nicole Galloway for Missouri on Wikimedia Commons.
September 2, 2016 •
News You Can Use Digest – September 2, 2016
Federal: Addicted to Making Campaign Contributions? The Atlantic – Russell Berman | Published: 8/30/2016 U.S. Sen. Bernie Sanders raised $231 million from more than 2.7 million donors in his campaign for president, depending on grassroots support rather than on wealthy bundlers. […]
Federal:
Addicted to Making Campaign Contributions?
The Atlantic – Russell Berman | Published: 8/30/2016
U.S. Sen. Bernie Sanders raised $231 million from more than 2.7 million donors in his campaign for president, depending on grassroots support rather than on wealthy bundlers. A benefit of relying on small donations from a large number of backers is that a campaign can go back to them repeatedly before they hit the $2,700 limit for individual contributions. And the Sanders campaign, like most campaigns in the modern era, did so, sending a barrage of urgent pleas for donations in email blasts. The excessive donations point to flaws in how the Sanders campaign managed and communicated with his most passionate supporters. Many of his donors were simply unaware of the federal limits, or if they were aware, they assumed the campaign would prevent them from contributing too much. It did not.
Breitbart Rises from Outlier to Potent Voice in Campaign
New York Times – Michael Grynbaum and John Herrman | Published: 8/28/2016
Breitbart News, once a curiosity of the fringe right wing, is now an increasingly powerful voice, and virtual rallying spot, for millions of disaffected conservatives who propelled Donald Trump to the Republican nomination. Known for bashing the GOP establishment, Breitbart now finds itself at the center of the party’s presidential campaign. Its longtime chairperson, Stephen Bannon, was named campaign chief by Trump, whose nationalist, conspiracy-minded message routinely mirrors the Breitbart worldview. The site received its biggest billing yet in the form of a scathing condemnation. In a nationally televised speech, Hillary Clinton identified Breitbart as the Democratic Party’s leading media enemy, warning about a “de facto merger” between the Trump campaign and a news outlet that she described as racist, radical, and offensive.
Experts Poke Holes in Clinton Foundation’s Promised Donor Ban
The Hill – Jonathan Swan | Published: 9/1/2016
Ethics experts question the Clinton Foundation’s plan to avoid conflicts-of-interest during a Hillary Clinton presidency. The charity pledged not to accept foreign or corporate donations if she is elected. But watchdogs say it would be relatively easy for foreign governments or individuals to funnel cash to the foundation without the public being aware. It is not clear whether Chelsea Clinton would still raise money for the charity if her mother were to win the election. Bill Clinton has promised to step down from its board and stop fundraising if that happens. Assertions that donors to the charity got special access to Hillary Clinton while she was secretary of state have dogged her campaign.
How One Donor Is Profiting Off the Trump and Sanders Campaigns
The Atlantic – Russell Berman | Published: 8/28/2016
Entrepreneur Randy Treibel has contributed about $25,000 in total to Donald Trump and Bernie Sanders, more than any other person has given to both campaigns combined. But Treibel is not donating all this money out of devotion to these unlikely political insurgents – he is just trying to make a profit. He has been buying Trump and Sanders campaign merchandise in bulk and reselling it through his retail company on Amazon at a considerable markup. A Trump sign that costs $10 on his campaign website, for example, will sell for $35 on Amazon, Treibel said. And it is all completely legal under campaign rules. When asked why he did not bother to buy up Hillary Clinton stickers and signs, Treibel responded, “That stuff just doesn’t sell; nobody buys it.”
From the States and Municipalities:
Alabama – More Lawmakers (and Two Ethics Commissioners) Who Got Free Trips on Alabama Lenders’ Dime
AL.com – Kyle Whitmire (Alabama Media Group) | Published: 8/31/2016
The Alabama Lenders Association has amended its last two years’ of lobbying activity reports to include two trips where the organization paid for lodging, meals, and entertainment for numerous state lawmakers and other public officials. Records show the association hosted similar events in earlier years. But it did not disclose those earlier trips because it had not registered as a principal. Because the association had not registered and did not submit lobbying reports, it is impossible to tell which lawmakers it invited on those trips and how much it spent on them.
Alabama – Pro-Marijuana Group Challenges Alabama Lobbying Law
AL.com – Mike Cason | Published: 9/1/2016
The Institute for Justice filed a federal lawsuit challenging the Alabama law that requires all registered lobbyists to attend an ethics training class in Montgomery. The suit was filed on behalf of Maggie Ellinger-Locke and the Marijuana Policy Project (MPP). It contends that the requirement unduly burdens Ellinger-Locke because she lives in Arlington, Virginia and works at the MPP headquarters in Washington, DC. The Alabama Ethics Commission denied Ellinger-Locke’s request to take the class remotely. “If a person wants to talk to an elected official about a matter of public policy, they shouldn’t have to take a government-mandated class; instead, the only thing they should need is an opinion,” said Paul Sherman, a lawyer for the institute.
Connecticut – Inside the Political Fundraising Game
CT Post – Ken Dixon, Angela Carella, and Neil Vigdor | Published: 8/28/2016
A dozen contractors barred from contributing to state political candidates in Connecticut gave almost $1 million to the Democratic Governors Association, which in turn funneled $3.9 million to a PAC supporting Gov. Dannel Malloy’s 2014 re-election campaign. The transfer of money, though apparently legal, effectively circumvented Connecticut’s clean election laws, which are intended to limit the influence of wealthy special interests on state government. Michael Brandi, executive director of the State Elections Enforcement Commission, said it is hard to ferret out the source of campaign cash if donors want to remain anonymous.
Illinois – Chicago Insider Who Took $2 Million in Bribes in Red Light Camera Scandal Gets 10 Years in Prison
Los Angeles Times – David Kidwell (Chicago Tribune) | Published: 8/29/2016
A former Chicago transportation official embroiled in a corruption scandal over the award of a lucrative contract for red-light cameras was sentenced to 10 years in prison. John Bills, who served as assistant commissioner at the Department of Transportation, was convicted on 20 counts, including fraud, bribery, conspiracy, and tax fraud for taking up to $2 million in bribes and gifts in return for awarding $100 million in red lights camera contracts. The contracts went to Redflex Traffic Systems in 2003. Bills was also ordered to pay the city $2 million in restitution.
Maine – Paul LePage, Maine Governor, Now Says He’s Not Quitting
New York Times – Jess Bidgood | Published: 8/31/2016
Facing pressure to resign after comments many called racist and a profanity-laced voicemail left for state Rep. Drew Gattine, Maine Gov. Paul LePage told reporters he will not be stepping down and will seek spiritual guidance. LePage had hinted that he would not finish his current term after facing intense criticism for his latest actions. His six years in office have been marked by controversy. Even as he fueled outrage among Democrats and angst among many moderate Republicans, his well of support, fed by voters who are drawn to his unfiltered political style, never seemed to run dry. But the events of the past week have led to a rupture in his own Republican Party.
Missouri – Audit Finds Senate Slush Fund for Lobbyist-Financed Meals
St. Louis Post-Dispatch – Kurt Erickson | Published: 8/29/2016
Missouri lawmakers overall do a good job managing taxpayer funds, but are too generous with time off for staff and too willing to accept lobbyist money for meals, according to a pair of audits that also criticize legislators for secrecy. State Auditor Nicole Galloway said the Senate should close a bank account used to solicit lobbyist donations to buy meals for lawmakers. The audit says a House interim committee asked lobbyists for contributions to pay for a tour bus. The Senate says it will look for other ways to pay for meals, but it does not see a solution that will work. The House noted representatives failed this year to ban lobbyist-financed travel for lawmakers.
Nebraska – Panel Tells Embattled Nebraska Senator to Resign by Friday
ABC News – Grant Schulte (Associated Press) | Published: 8/29/2016
State Sen. Bill Kintner, who is ensnared in a cybersex scandal, was given another opportunity to resign before the Nebraska Legislature’s Executive Board determines possible action against him. Kintner was fined $1,000 by the state Accountability and Disclosure Commission after admitting to the online sexual encounter on a state-owned laptop with a woman. The woman, who is believed to have ties to an Ivory Coast crime syndicate, later threatened to expose the encounter unless Kintner paid her $4,500.
New York – Judge: Citizens United must disclose donor information to NY
ABC News – Larry Neumeister (Associated Press) | Published: 8/29/2016
A federal judge dismissed a lawsuit in which Citizens United sought to block New York Attorney General Eric Schneiderman from enforcing rules requiring the conservative group to disclose more information about its donors. U.S. District Court Judge Sidney Stein said the attorney general did not violate Citizens United’s First Amendment rights by requiring registered charitable organizations to disclose names, addresses, and contributions of big donors before soliciting funds in the state. Citizens United is best known as the plaintiff in the landmark U.S. Supreme Court case that allowed unlimited independent spending by corporations and labor unions in election campaigns.
North Carolina – North Carolina Republicans Accused of Dodging Order to Fix Election Rules
New York Times – Michael Wines | Published: 8/30/2016
When a federal appeals court overturned much of North Carolina’s 2013 election law in July, saying it had been deliberately intended to discourage African-Americans from voting, it also tossed out the ground rules for this year’s elections in a critical swing state. In each of the state’s 100 counties, local elections boards filed new election rules with the state. Now, critics are accusing some of the boards, all of which are controlled by Republicans, of staging an end run around a court ruling they are supposed to carry out. Like the law that was struck down, say voting rights advocacy groups and some Democrats who are contesting the rewritten election plans, many election plans have been intentionally written to suppress the black vote.
Pennsylvania – State Not Tracking Lobbying by Marijuana Companies
Allentown Morning Call – Scott Kraus | Published: 8/25/2016
It is very difficult find out how much has been spent trying to tilt the playing field for a potentially lucrative but also controversial medical marijuana industry that is in its infancy in Pennsylvania. That is because there is no category for lobbyists or the principals they represent to report marijuana lobbying, and state officials have no immediate plans to add one. The lobbying detected in the state’s search for The Allentown Morning Call was reported under the “other” category, where filers wrote in medical marijuana. Many states’ lobbying disclosure laws are weak and fail to track lobbying by subject at all, according to the Center for Public Integrity.
Virginia – The Money Floods in When the General Assembly Gathers
The Daily Press – Dave Ress | Published: 8/28/2016
Virginia lawmakers received more than $227,000 in campaign contributions over the past five years during the days they were actively considering bills, many of which affected donors, a review of more than 100,000 contributions found. State law bans legislators and statewide officials from accepting political donations “on and after the first day of a regular session of the General Assembly through adjournment.” Senate Minority Leader Dick Saslaw accepted $5,000 from Anderson Financial on the first day of the 2016 session. Saslaw said he believes it is legal to receive donations on the morning of the first day of the session, since the Legislature formally convenes at noon.
State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.
September 1, 2016 •
Tempe, AZ Approves New Lobbying Law
On August 18, the city of Tempe, Arizona passed an ordinance creating a lobbying law. Ordinance No. O2016.46 creates a lobbyist registration program requiring an individual to file a registration statement with the city clerk within 10 calendar days. Lobbying […]
On August 18, the city of Tempe, Arizona passed an ordinance creating a lobbying law.
Ordinance No. O2016.46 creates a lobbyist registration program requiring an individual to file a registration statement with the city clerk within 10 calendar days. Lobbying is defined as a communication with any public official for the purpose of influencing official action. Lobbyists are required to file annual expenditure reports covering a calendar year no later than January 31 following the reportable year.
The ordinance provides exceptions to registration, definitions, and other information relating to lobbyist disclosure and becomes effective on January 1, 2017.
Photo of the Tempe skyline by Schwnj on Wikimedia Commons.
September 1, 2016 •
California’s Legislative Session Adjourns
On August 31, the California Legislature adjourned its regular session. Before adjourning, the Legislature sent several ethics bills to Gov. Jerry Brown, including Senate Bill 215, which contains provisions requiring those seeking to influence actions taken by the Public Utilities […]
On August 31, the California Legislature adjourned its regular session.
Before adjourning, the Legislature sent several ethics bills to Gov. Jerry Brown, including Senate Bill 215, which contains provisions requiring those seeking to influence actions taken by the Public Utilities Commission to register as a lobbyists.
Brown has until September 30 to sign or veto legislation.
September 1, 2016 •
Thursday News Roundup
Lobbying Alabama: “Lawsuit Challenges Alabama Law Requiring Ethics Training for Lobbyists” by Joe Crowe for Newsmax Alabama: “More Lawmakers (and Two Ethics Commissioners) Who Got Free Trips on Alabama Lenders’ Dime” by Kyle Whitmire (Alabama Media Group) for AL.com Campaign […]
Lobbying
Alabama: “Lawsuit Challenges Alabama Law Requiring Ethics Training for Lobbyists” by Joe Crowe for Newsmax
Alabama: “More Lawmakers (and Two Ethics Commissioners) Who Got Free Trips on Alabama Lenders’ Dime” by Kyle Whitmire (Alabama Media Group) for AL.com
Campaign Finance
“FINRA, MSRB Pay-to-Play Rules on SEC Approval Path” by Antoinette Gartrell for Bloomberg BNA
Louisiana: “Dave Peralta Freed from Last of 30 Criminal Charges” by Wilborn Nobles III for New Orleans Times Picayune
New York: “De Blasio Donor Violated City Rules, Conflicts Board Says” by J. David Goodman for New York Times
Ethics
Maine: “Paul LePage, Maine Governor, Now Says He’s Not Quitting” by Jess Bidgood for New York Times
Elections
“Embattled Corrine Brown Ousted in Primary” by Staff for Roll Call
“Harry Reid and Koch Brothers Wage Proxy War for a Nevada Senate Seat” by Carl Hulse for New York Times
North Carolina: “North Carolina Republicans Accused of Dodging Order to Fix Election Rules” by Michael Wines for New York Times
Procurement
“Obama Order on Contractor Workplace Violations Takes Effect Soon, Despite Objections” by Joe Davidson for Washington Post
August 31, 2016 •
Deadline Looms for Final Votes in the California Legislature
The California Legislature has been very active in the days leading up to the August 31 deadline for each house to pass bills. On August 30, Assembly Bill 700, a measure that would impose new disclosure requirements for political advertisements, […]
The California Legislature has been very active in the days leading up to the August 31 deadline for each house to pass bills. On August 30, Assembly Bill 700, a measure that would impose new disclosure requirements for political advertisements, failed by a single vote in the Senate.
Senate Bill 1349 had better luck gaining passage yesterday and is headed for Gov. Jerry Brown’s desk. SB 1349 will require changes to Cal-Access, California’s outdated online campaign contribution and lobbying database.
Photo of the California State Capitol by Griffin5 on Wikimedia Commons.
August 31, 2016 •
Wednesday Government Relations News
Lobbying Missouri: “Audit Finds Senate Slush Fund for Lobbyist-Financed Meals” by Kurt Erickson for St. Louis Post-Dispatch Campaign Finance “Addicted to Making Campaign Contributions?” by Russell Berman for The Atlantic New York: “Judge: Citizens United must disclose donor information to […]
Lobbying
Missouri: “Audit Finds Senate Slush Fund for Lobbyist-Financed Meals” by Kurt Erickson for St. Louis Post-Dispatch
Campaign Finance
“Addicted to Making Campaign Contributions?” by Russell Berman for The Atlantic
New York: “Judge: Citizens United must disclose donor information to NY” by Larry Neumeister (Associated Press) for ABC News
Tennessee: “Feds Open Investigation of Rep. Jeremy Durham” by Stacey Barchenger, Dave Boucher, and Joel Ebert for The Tennessean
Ethics
“Hillary Clinton and Her Family’s Foundation Aren’t Likely to Get the McDonnell Treatment. Here’s Why.” by Matt Zapotosky and Rachel Weiner for Washington Post
Connecticut: “CT Supreme Court Rules in FOI Case Involving Ritter, CRRA” by Mark Pazniokas for CT Mirror
Illinois: “Chicago Insider Who Took $2 Million in Bribes in Red Light Camera Scandal Gets 10 Years in Prison” by David Kidwell (Chicago Tribune) for Los Angeles Times
Maine: “Paul LePage, Besieged Maine Governor, Hints at Resignation” by Jess Bidgood for New York Times
Nebraska: “Panel Tells Embattled Nebraska Senator to Resign by Friday” by Grant Schulte (Associated Press) for ABC News
Pennsylvania: “FBI Seeks Kenney Campaign Records as Part of Union Probe” by Jeremy Roebuck and Mark Fazlollah for Philadelphia Inquirer
August 30, 2016 •
Cristina De Caprio Will Become New Lobbyist Registrar for Toronto, Ontario
On September 12, Cristina De Caprio becomes the lobbyist registrar for the city of Toronto, Ontario. De Caprio will replace Stephen Littlejohn, who served as the interim lobbyist registrar following the retirement of Linda Gehrke in the spring. De Caprio’s […]
On September 12, Cristina De Caprio becomes the lobbyist registrar for the city of Toronto, Ontario. De Caprio will replace Stephen Littlejohn, who served as the interim lobbyist registrar following the retirement of Linda Gehrke in the spring.
De Caprio’s duties will include implementing new additions to the lobbying law, which became effective in May. Among those newer responsibilities are the power of the registrar to impose certain conditions on new and existing registrations when a lobbyist has been found in violation of the law. The registrar also has the power to impose a temporary ban against a lobbyist found in violation of the law.
The City Council unanimously appointed Cristina De Caprio as lobbyist registrar at its July meeting.
Photo of the Toronto skyline by Christine Wagner on Wikimedia Commons.
August 30, 2016 •
Tuesday Lobbying and Campaign Finance News Update
Campaign Finance “How One Donor Is Profiting Off the Trump and Sanders Campaigns” by Russell Berman for The Atlantic Connecticut: “Inside the Political Fundraising Game” by Ken Dixon, Angela Carella, and Neil Vigdor for CT Post South Dakota: “Koch Brothers-Backed […]
Campaign Finance
“How One Donor Is Profiting Off the Trump and Sanders Campaigns” by Russell Berman for The Atlantic
Connecticut: “Inside the Political Fundraising Game” by Ken Dixon, Angela Carella, and Neil Vigdor for CT Post
South Dakota: “Koch Brothers-Backed Group Says Ballot Measure Could Invite Lawsuits” by Dana Ferguson for Sioux Falls Argus Leader
Virginia: “The Money Floods in When the General Assembly Gathers” by Dave Ress for The Daily Press
Ethics
“Anthony Weiner and Huma Abedin to Separate After His Latest Sexting Scandal” by Amy Chozick and Patrick Healy for New York Times
California: “State Worker Accepted 24 Pairs of Free Designer Sunglasses, Sold Boss a Pair for $20” by Taryn Luna for Sacramento Bee
Florida: “Get This Vice Mayor Angry and He Might Sue” by Monique Madan for Miami Herald
Maine: “Pressure Is Building on LePage over His Behavior” by Dennis Hoey for Portland Press Herald
Elections
“FBI is Investigating Foreign Hacks of State Election Systems” by Ellen Nakashima for Washington Post
“Democrats’ Weak Bench Undermines Hope of Taking Back Senate” by Jennifer Steinhauer for New York Times
“Breitbart Rises from Outlier to Potent Voice in Campaign” by Michael Grynbaum and John Herrman for New York Times
August 29, 2016 •
Monday News Roundup
Lobbying Florida: “Miami-Dade Mayor Carlos Gimenez’s Son Rose to the Top Skirting Lobbying Rules, Critics Say” by Francisco Alvarado for FloridaBulldog.org Hawaii: “Just 2 Lobbyists Have Donated $650k to Hawaii Candidates in the Past 10 Years” by Jaelynn Grisso for […]
Lobbying
Florida: “Miami-Dade Mayor Carlos Gimenez’s Son Rose to the Top Skirting Lobbying Rules, Critics Say” by Francisco Alvarado for FloridaBulldog.org
Hawaii: “Just 2 Lobbyists Have Donated $650k to Hawaii Candidates in the Past 10 Years” by Jaelynn Grisso for Honolulu Civil Beat
Pennsylvania: “State Not Tracking Lobbying by Marijuana Companies” by Scott Kraus for Allentown Morning Call
Campaign Finance
Arizona: “State Regulator Subpoenas Utility Companies’ Campaign Spending Records” by Howard Fischer (Capitol Media Services) for Arizona Daily Star
Ethics
“Ethicists Scoff at Clinton Foundation Transition Plan” by Katy O’Donnell for Politico
Florida: “Florida Newspaper Kills Story of Local Official Allegedly Seeking Favors from Developer” by Marc Caputo for Politico
Maryland: “Anne Arundel Ethics Commission Executive Director Dies” by Amanda Yeager for Capital Gazette
New York: “Ken Thompson, Brooklyn District Attorney, Is Fined for Misusing Funds on Meals” by J. David Goodman and Alan Feuer for New York Times
Elections
California: “Legislature OKs Selfies at the Ballot Box” by Anshu Siripurapu for Sacramento Bee
Legislative Issues
California: “In California’s Democrat-Dominated Capitol, It’s Senate vs. Assembly” by Alexei Koseff for Sacramento Bee
August 26, 2016 •
News You Can Use Digest – August 26, 2016
National: Inside Facebook’s (Totally Insane, Unintentionally Gigantic, Hyperpartisan) Political-Media Machine New York Times Magazine – John Herrman | Published: 8/24/2016 Facebook, in the years leading up to this year’s election, has not just become nearly ubiquitous among American internet users; it […]
National:
Inside Facebook’s (Totally Insane, Unintentionally Gigantic, Hyperpartisan) Political-Media Machine
New York Times Magazine – John Herrman | Published: 8/24/2016
Facebook, in the years leading up to this year’s election, has not just become nearly ubiquitous among American internet users; it has centralized online news consumption in an unprecedented way. According to the company, its site is used by more than 200 million people in the U.S. each month. A 2016 Pew study found 44 percent of Americans read or watch news on Facebook. Its algorithms pick text, photos, and video produced and posted by established media organizations large and small, local and national, openly partisan or nominally unbiased. But there is also a new and distinctive sort of operation that has become hard to miss: political news and advocacy pages made specifically for Facebook, uniquely positioned and cleverly engineered to reach audiences exclusively in the context of the news feed.
Study: Outside groups, secret money far more prominent than ever before
Center for Responsive Politics – Robert Maguire | Published: 8/24/2016
A new study shows outside groups that can raise and spend unlimited money, sometimes without disclosing the sources of their funds, make up a larger portion of election spending than at any point in the last 16 years. The two main proponents of the growth in outside groups’ overall share of election advertising are super PACs and politically active nonprofits. The former only came into existence in 2010, and since then has come to dominate the field. Politically active nonprofits, on the other hand, have been active in every cycle going back to 2000, but what may be the same in quality is not the same in quantity. These groups are the driving force behind the growth in “dark money” in elections.
Federal:
Foundation Ties Bedevil Hillary Clinton’s Presidential Campaign
New York Times – Amy Chozick and Steve Eder | Published: 8/20/2016
The Bill, Hillary and Chelsea Clinton Foundation has thrived on the generosity of foreign donors who gave hundreds of millions of dollars to the charity. But as Hillary Clinton seeks the White House, the funding has become an Achilles’ heel for her campaign and, if she is victorious, potentially her administration. With Mrs. Clinton facing accusations of favoritism toward foundation donors during her time as secretary of state, the organization will no longer accept corporate contributions should she win in November. But while the move did not resolve the question of how her administration would handle longtime donors seeking help from the U.S., or whose interests might conflict with the country’s own.
The Lobbying Law at the Center of Manafort’s Trouble with Ukraine
The Hill – Megan Wilson | Published: 8/21/2016
Paul Manafort resigned as Donald Trump’s campaign chairperson after he had been ensnared in a wide-ranging Justice Department investigation about U.S. connections to the alleged corruption by former Ukrainian President Viktor Yanukovych. Questions have been swirling about Manafort’s representation of Yanukovych for years, but recent reports have intensified the drum beats about whether he acted unlawfully as a “foreign agent” by lobbying for a foreign leader without registering that activity. The recent revelations, if true, suggest Manafort could face legal troubles stemming from violation of a World War II-era lobbying statute, the Foreign Agents Registration Act.
From the States and Municipalities:
California – Little-Regulated Accounts Offer a Path to Political Clout in Sacramento
Marin Independent Journal – Jessica Calefati and Kaitlyn Landgraf (Bay Area News Group) | Published: 8/20/2016
Ballot measure committees, the accounts that are supposed to promote or oppose state and local initiatives, are in practice paying for California lawmakers’ consultants and polling firms, new suits, and trips to Mexico. And the money for the politicians’ perks comes in the form of five-figure donations from the same special interests that state rules were intended to curtail. Under the vague language of the law, elected officials can legally operate these committees, but the way they are doing it appears to bend state laws and rules governing how the money may be spent. No state agency adequately monitors the situation. Of the nearly $3 million spent by these committees since 2013, only one dollar out of every four dollars was used to help pass or defeat measures that actually made it to the ballot.
Connecticut – Malloy Releases Funds Withheld from CT Watchdog Agencies
CT Mirror – Keith Phaneuf | Published: 8/19/2016
After criticism from lawmakers and good government groups, Connecticut Gov. Dannel Malloy’s administration relented and restored the $183,000 they had proposed to cut from three watchdog agencies. Following a meeting with the heads of the Office of State Ethics, Freedom of Information Commission, and State Elections Enforcement Commission, the Office of Policy and Management announced it would restore the funding. Office of Policy and Management Secretary Ben Barnes steered clear of acknowledging the budget holdbacks would have violated a 2004 law that prohibits the executive branch from unilaterally cutting the three watchdog agencies. Carol Carson, executive director of the Office of State Ethics, said the agencies are committed to prudently managing their budgets and whenever possible return money at the end of the year to the general fund.
Florida – On 2nd Try, Miami-Dade Commissioners Approve Petition Count
Miami Herald – Douglas Hanks | Published: 8/22/2016
Miami-Dade County commissioners agreed to start counting nearly 130,000 signatures tied to a proposed ballot measure on new campaign finance rules, but warned they still might halt the proposal over concerns raised by county attorneys. Only about 52,000 valid signatures are needed to win a spot on the November ballot. The proposed rules would impose a broad package of restrictions against campaign donations by vendors and lobbyists, prime sources of financial support for county officeholders.
Massachusetts – Donors Behind Charter Push Keep to the Shadows
Boston Globe – Mark Levenson | Published: 8/20/2016
A new $2.3 million ad boosting the expansion of charter schools in Massachusetts lists the campaign’s top five donors on screen, in accordance with state law. But the bland names, including Strong Economy for Growth and Education Reform Now Advocacy, give no hint of who is writing the checks. Four of the five donors to the pro-charter committee are nonprofit groups that do not, under state law, have to disclose their funders, allowing the individuals backing the effort to remain anonymous. The cloak of secrecy surrounding the financing of what could be the most expensive ballot campaign in state history has frustrated election officials and underscored the proliferation of untraceable money in political races across the country.
Missouri – Judge Tosses Out Effort to Keep Missouri Campaign Contribution Limits Off Ballot
St. Louis Post-Dispatch – Kurt Erickson | Published: 8/25/2016
Cole County Circuit Court Judge Patricia Joyce rejected an attempt to remove a voter initiative from the November 8 ballot that would impose limits on campaign contributions in Missouri for the first time since 2008. Attorney Chuck Hatfield said in court that the initiative unfairly limits some classes of businesses and associations from giving money to campaigns, but Joyce ruled the proposal mirrors federal law and is not unconstitutional. The decision will be appealed.
New York – Cuomo Signs Ethics Bill, with Few Cheers
Albany Times Union – Chris Bragg | Published: 8/24/2016
New York Gov. Andrew Cuomo signed legislation that reforms the state’s lobbying, ethics, and campaign finance laws. But watchdog groups criticized the bill for what they say is a failure to address conditions that have fueled some of Albany’s corruption cases in recent years. The new law includes restrictions on independent expenditure groups intended to reduce coordination with a candidate’s campaign. Another provision requires issue-oriented lobbying groups, designated as 501(c)(4) organizations, that spend more than $15,000 in a year on lobbying to disclose donors who give more than $2,500. The previous limits had been $50,000 and $5,000.
New York – NY State Ethics Watchdog Investigating Nonprofit with Ties to Large Corporate Political Donor
Nonprofit Quarterly – Larry Kaplan | Published: 8/23/2016
The New York Joint Commission on Public Ethics is looking into the nonprofit Pledge 2 Protect, created in 2013 to fight a marine waste transfer station on Manhattan’s Upper East Side. By law, nonprofits like Pledge 2 Protect must, if they spend more than $50,000 on lobbying, report the names of donors who contribute more than $5,000. Those amounts would be cut in half under a law awaiting Gov. Andrew Cuomo’s signature. Almost $700,000 made its way to Pledge 2 Protect the year it was formed with no indication of where the money really came from. The money was given first to a law firm, then to the group, so the only name that had to be disclosed was that of the law firm, not the actual donors. Among the opponents of the waste transfer station was Glenwood Management, a real estate firm that figured prominently in the corruption case against former Assembly Speaker Sheldon Silver.
Tennessee – Power Opens Door to Sexual Harassment
The Tennessean – Dave Boucher and Joel Ebert | Published: 8/21/2016
Powerful institutions and harassment at times go hand-in-hand. State Capitols are sometimes hotbeds of sexual harassment themselves. Most Legislatures are largely male, part-time, and require members to travel away from home, creating a fraternity atmosphere. In Tennessee, where 22 out of 132 lawmakers are women and 85 percent are white, the political culture has included limited policies and safeguards, leaving women with few options.
Wisconsin – Ethics Commission Will Be Able to Make Political Donations
Minneapolis Star Tribune – Scott Bauer (Associated Press) | Published: 8/23/2016
Members of the Wisconsin Ethics Commission will be able to make political donations. The commission voted to continue with the current practice allowing them to give to candidates and campaign committees. Nothing in state law bars Ethics Commission members from donating to the very politicians they are regulating. Commission members are partisan appointees, unlike their predecessors on the Government Accountability Board who were judges and prohibited under the law from donating.
State and Federal Communications produces a weekly summary of national news, offering more than 60 articles per week focused on ethics, lobbying, and campaign finance.
August 25, 2016 •
Thursday News Roundup
Campaign Finance “Study: Outside groups, secret money far more prominent than ever before” by Robert Maguire for Center for Responsive Politics “Inside the Exclusive Events Helping to Fund Clinton and the Democratic Party” by Matea Gold and John Wagner for […]
Campaign Finance
“Study: Outside groups, secret money far more prominent than ever before” by Robert Maguire for Center for Responsive Politics
“Inside the Exclusive Events Helping to Fund Clinton and the Democratic Party” by Matea Gold and John Wagner for Washington Post
“Donald Trump Is Finally Raising Money. So Why Isn’t He Spending It?” by Matea Gold and Anu Narayanswamy for Washington Post
Missouri: “Campaign Limits Ballot Question Challenged” by Kurt Erickson for St. Louis Post-Dispatch
Wisconsin: “Ethics Commission Will Be Able to Make Political Donations” by Scott Bauer (Associated Press) for Minneapolis Star Tribune
Ethics
Connecticut: “Questions Raised About State Education Officials’ Roles in Their Children’s Hiring” by Jon Lender for Hartford Courant
New York: “Cuomo Signs Ethics Bill, with Few Cheers” by Chris Bragg in Albany Times Union
Pennsylvania: “Political Operative Gets Probation for Role in Chaka Fattah’s Corruption Case” by Jeff Gammage for Philadelphia Inquirer
Elections
“Federal Appeals Court Says No to Restoring Extra Days of Early Voting in Ohio” by Mark Berman for Washington Post
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