The Fair Lawn, New Jersey Borough Council passed an amendment to close a loophole in the borough’s pay-to-play ordinance.

The amendment, to receive a final vote in December, removes the “fair and open bidding process” exception to the pay-to-play rule. The exception allows vendors to make political contributions over $300 without being barred from borough contracts.

An additional modification to the ordinance would include limiting political donations to election cycles rather than calendar years.

Map of Bergen County, New Jersey by Arkyan on Wikipedia.

Tony Rezko, the fundraiser for former Illinois Governor Rod Blagojevich, will be sentenced today in federal court.

The Chicago Tribune covers the news in “Top Blagojevich adviser Rezko to be sentenced today” by Annie Sweeney.

The Washington Post posted “Ex-Blagojevich fundraiser Rezko to be sentenced, after 2008 trial exposed pay-to-play culture” by the Associated Press.

New Jersey Governor Chris Christie renewed calls on the Legislature to pass ethics reform. In a press release, the governor stated, “New Jersey’s ethics laws remain a patchwork of ineffective half measures and loopholes that fail to apply a uniform standard of rules of conduct for all levels of government in our state.”

Highlighting a report issued last week by the State Comptroller which emphasized the failure of the state’s pay-to-play laws, the governor reiterated the need for the changes in his proposals, which include imposing a uniform standard for awarding contracts at all levels and branches of government in New Jersey. His proposals would also end ‘wheeling,’ a practice of transferring political donations to circumvent campaign financing laws.

Governor Christie has pushed pay-to-play reform in New Jersey by linking financial Transitional Aid to municipalities with the requirement the municipalities adopt local pay-to-play ordinances.

A post about the State Comptroller report can be found here.

Attorneys for the Indiana Election Division have opined that a proposed local ban on political contributions from city contractors violates state law.

The proposed Fort Wayne, Indiana ordinance prohibits companies, including subcontractors and family members, from doing business with the city if political donations were made to candidates or officials during the previous year. If a violation were not remedied by having the contributions returned, the company would be banned for three years from contracting with the city.

As quoted by The Journal Gazette, the authors of the opinion, Dale Simmons and Leslie Barnes, co-counsels at the Indiana Election Division, write “We believe the proposed ordinance unlawfully attempts to exercise the ‘power to conduct elections,’ which is a power expressly withheld from municipalities by the General Assembly. If this were not so, it would be easy to anticipate the confusion wrought in the administration of elections by numerous and conflicting local campaign finance regulations.”

Today at 1:30pm EDT, the hearing examining the proposed pay-to-play presidential executive order will be held by the House Committee on Oversight and Government Reform and the House Small Business Committee.

Here is a link to the live coverage on the Committee on Oversight & Government Reform website.

The SunFoundation will be liveblogging the hearing at:  http://bit.ly/mxIbFe

You can also follow the conversations on Twitter with the hashtag #opengov.

This post is a follow-up to Tuesday’s post “Hearings Set for Anticipated Executive Order on Pay-to-Play” by George Ticoras.

On Thursday, May 12, the House Committee on Oversight and Government Reform and the House Small Business Committee will hold a joint hearing to examine a proposed presidential executive order requiring disclosure of political contributions by governmental contractors.

The draft proposed executive order, which was leaked to the press, would require every entity submitting offers for federal contracts to disclose certain political contributions and expenditures made within the two years prior to submission of their offer. The disclosure requirement includes contributions made to federal candidates, parties, and committees, by the bidding entity, its officers, and any affiliates or subsidiaries within its control. Contributions made to parties for independent expenditures and electioneering communications would also have to be reported. These disclosures would be required whenever the aggregate amount of the contributions and expenditures by the bidding entity exceeds $5,000.

The hearing is scheduled to examine the proposed executive order, evaluate its impact and consequences on the federal acquisition system, and determine whether it introduces politics into the procurement process.

House Bill 139, a bill aimed at limiting pay-to-play activities in the state, began moving through committees last week.

The bill seeks to limit vendors who have a state contract of greater than $25,000 from contributing in excess of $500 per election to a candidate or candidate committee for a public servant if the public servant would have authority over the contract with the vendor.

House Bill 139 is similar to a bill introduced during the prior legislative session; however, that bill was left out of a series of ethics reforms eventually approved by the legislature.

Photo of the North Carolina State Legislative Building by Jayron32 on Wikipedia.

Assembly Bill 860 would prohibit corporations or labor unions from making contributions to a candidate for elected office. Additionally, this legislation would strengthen the state pay-to-play laws.

The bill would prohibit government contractors from making contributions to an official or candidate who is or would be elected to a position responsible for awarding a government contract to the contributor.

Finally, this bill would also prohibit any employer from using payroll deduction to fund any political activity.

Photo of the California State Capitol by Nikopoley on Wikipedia.

The City of Paterson has implemented a new pay-to-play ordinance which enhances the rules concerning contribution limits for entities doing business with the city. Ordinance 11-006 includes an absolute ban on contributions between the time of first communication regarding a specific agreement and the termination of negotiations, the rejection of a proposal, or the completion of a contract. The ordinance also outlines specific contribution limits, in the 12 months prior to a contract, to mayoral and governing body candidates and their committees, joint candidate committees, Passiac County political committees, and PACs.

In order to receive financial aid from the state, the City of Paterson’s passage of the legislation was required by an earlier agreement with the New Jersey Transitional Aid to Localities program, the state’s financial aid program for local municipalities and counties.

Map of Paterson in southern Passaic County, New Jersey by JimIrwin on Wikipedia.

In order for the borough of North Arlington to receive $400,000, it must implement pay-to-play laws as one of the conditions for the state’s Transitional Aid to Localities program, which awards grants to the most fiscally challenged municipalities.

Mayor Peter Massa has signed a memorandum of understanding which mandates the borough council pass ordinances limiting awarding public contracts to businesses that have made contributions. Businesses actively contracting with the borough would also be limited from making contributions.

The council has three months to pass the ordinances, in addition to implementing other financial restrictions such as staff reductions and salary freezes, in order to receive the funds.

The U.S. House of Representatives has passed the State Ethics Law Protection Act. H.R. 3427 would preclude the Federal Highway Administration from interpreting a state’s Pay-to-Play laws as conflicting with federal contract bidding requirements for federal-aid highway projects.

The measure has now passed to the Senate Committee on Environment and Public Works.

The proposed Cuyahoga County ethics code is the product of a review conducted by a working group of volunteers who reviewed the ethics practices of 13 similar counties. The proposed code includes provisions for lobbyist registration and reporting, campaign finance disclosure, and “pay-to-play” provisions for public contracts.

The code calls for a new five person entity called the Cuyahoga County Ethics Board which will oversee ethics education and enforcement as well as a County Ethics Officer who would be empowered to render advisory opinions, process and initiate ethics complaints, and conduct investigations.

Finally, the new code provides for whistleblower protection for county employees who report suspected illegal or unethical conduct.