Campaign Finance

“Hillary Clinton Reaches Deal with Democratic Party on Fundraising” by Nicholas Confessore for New York Times

California: “L.A. Wants More Details about Business Groups That Donate to City Campaigns” by Emily Alpert Reyes for Los Angeles Times

Connecticut: “GOP Strategist George Gallo Sentenced To Year in Prison in Political Kickback Scheme” by Edmund Mahoney for Hartford Courant

Ethics

“Ethics Battle Still Brewing Over Azerbaijan Travel” by Hannah Hess for Roll Call

Arizona: “Top Arizona Utility Regulator Faces Conflict Complaints” by Ryan Randazzo for Arizona Republic

Colorado: “Denver Ethics Board Floats Reforms Aimed at Boosting Public Confidence” by Jon Murray for Denver Post

Pennsylvania: “Bethlehem Mayor Issues Policy That Bans Gifts” by Nicole Radzievich for Allentown Morning Call

Procurement

“Business Leaders Mount Effort to Beat Back Contractor ‘Blacklisting’ Rule” by Lydia Wheeler for The Hill

Elections

“Since President Obama Took Office, 85 of 98 State Legislative Bodies Got More Republican” by Philip Bump for Washington Post

Federal:

After Allegations That It Lobbied with Federal Money to Block Competition, Lockheed Martin Agrees to Pay Almost $5 Million
Washington Post – Lisa Rein | Published: 8/24/2015

The managers of one of the nation’s premiere federal laboratories in New Mexico agreed to pay nearly $4.8 million to settle allegations of improperly attempting to influence members of Congress and others to extend the lab’s $2.4 billion management contract. Over five years starting in 2009, top executives for Lockheed Martin, who were being paid by the federal government to run Sandia National Laboratories, ran a fierce campaign to lobby members of Congress and senior administration officials for a seven-year extension of their contract, according to the settlement the Justice Department. It is not surprising that a politically connected defense contractor would lobby hard to keep a lucrative slice of federal business. But this case went further. It was taxpayers, not Lockheed’s corporate lobbying arm, who paid for the lobbying.

Meet the Liberals Who Love Trump
Politico – Ben Wofford | Published: 8/26/2015

The left is generally no fan of Donald Trump, but there is a contingent of liberals who take a different view. One is Harvard Law School professor Lawrence Lessig, arguably the country’s leading proponent of campaign finance reform, who said Trump has done so much to jazz up an otherwise eye-glazing issue that he would consider running on the same ticket as a third-party candidate. As pundits search for the source of Trump’s resilient appeal, reformers say they have long known the answer: the constant emphasis on how his wealth immunizes him from insider influence. “He’s made the same points the reformers have made: that this is a ‘pay-to-play’ system, that people put their money in and expect to get results,” said former FEC Chairperson Trevor Potter.

The Net Worth of Presidential Candidates
USA Today – Thomas Frohlich, Michael Sauter, and Sam Stebbins (24/7 Wall St.) | Published: 8/26/2015

Presidential candidates can expect very little privacy in their personal life, and with their finances. While candidates are not required to make their tax returns public, the practice has become common since the 1970s. Based on tax returns and other financial disclosures, the current candidates’ assets range from Scott Walker, who is worth as little as $36,000, to Donald Trump, who has an estimated net worth of $2.9 billion. The net worth of a presidential candidate does not necessarily determine the financial strength of the campaign. Some candidates’ campaign funds are far greater than their net worth, while others are far lower.

What the ‘Deez Nuts’ Candidacy Says about the State of US Democracy
Christian Science Monitor – Sara Aridi | Published: 8/20/2015

The presidential candidate Deez Nuts was surging in a recent poll, albeit unscientific, in North Carolina. Deez Nuts was also the number one trending topic on Twitter. In registering with the FEC, Deez Nuts listed an address in rural Wallingford, Iowa. Mark Olson said Deez Nuts was his son Brady, who is a sophomore in high school. Tom Jensen, the director of Public Policy Polling, said he added Deez Nuts to statewide survey three weeks ago because “the name makes people laugh, and it’s a long presidential election.” But Jensen also drew a serious conclusion from the Deez Nuts surge. “I would say Mr. Nuts is the most ludicrous and unqualified third-party candidate you could have, but he’s still polling at seven, eight, nine percent,” Jensen said. “Right now the voters don’t like either of the people leading in the two main parties, and that creates an appetite for a third-party candidate.”

Would More Lobbying Improve America?
Politico – Kevin Hartnett | Published: 8/24/2015

Tom Holyoke, a political scientist at Fresno State University, has been studying the internal dynamics of lobbying for years and has come to believe the country would be better off if lobbyists did more effective work for their clients. The problem, he writes in a new book, is not that corporations do not get enough representation – it is that lobbyists are crafty, and do not work for their clients as much as they claim. Instead, they tell their clients what they want to hear, while chiefly acting to stay tight with their contacts in Congress. “It becomes more important to lobbyists to maintain these relationships than to accurately represent the wishes and concerns of people they’re supposed to be representing,” said Holyoke.

From the States and Municipalities:

California – L.A. Wants More Details about Business Groups That Donate to City Campaigns
Los Angeles Times – Emily Alpert Reyes | Published: 8/27/2015

Members of the Los Angeles City Ethics Commission said they wanted staffers to come up with ways to require corporations, limited liability companies, and other “non-individual” campaign donors to publicly disclose more information about who controls them. The concern, said commission President Jessica Levinson, is that “it is really difficult to follow the money.” The push for more information comes after The Los Angeles Times reported on how challenging it is to track who is behind contributions made by such groups. The newspaper found several instances in which different companies with the same chief executive, address, or both donated to a candidate, but publicly available records left it unclear whether the companies were commonly owned.

Colorado – Colorado Energy Companies Spend Top Dollar on Lobbyists; What Do They Get in Return?
Colorado Springs Gazette – Megan Schrader | Published: 8/24/2015

Stat laws in Colorado has restricted the amount of entertaining lobbyists can do. Amendment 41, a 2006 ballot initiative, strictly banned lobbyists from spending anything on lawmakers. For everyone else who is not a registered lobbyist, the limit is currently $59 per-person, per-year, with a handful of exceptions. “In Colorado the legislative process is a very clean, ethical process,” said former House Speaker Chuck Berry. But Berry said the role of lobbyists has changed dramatically since he was in office from 1985 to 1998. He said term limits have led to void of institutional knowledge and makes both lobbyists and bureaucrats more powerful.

Illinois – Ex-Redflex Exec Pleads Guilty to Helping Orchestrate $2M Bribery Scheme
Chicago Tribune – Jason Meisner and David Kidwell | Published: 8/20/2015

Karen Finley, the former chief executive of a red-light camera company, pleaded guilty in a scheme that funneled hundreds of thousands of dollars in bribes to secure contracts in Chicago worth $124 million. Finley pleaded guilty to similar charges in a federal case in Ohio. In the Chicago case, Finley acknowledged she arranged for cash and benefits to go to a city transportation official, John Bills, and his friend; the benefits included golf trip and hiring the official’s friend as a Redflex contractor. Bills, who retired in 2012, has pleaded not guilty to extortion, bribery, and other charges.

Maine – Group Turns over Donor List from Gay Marriage Fight in Maine
St. Louis Post-Dispatch – David Sharp (Associated Press) | Published: 8/24/2015

The National Organization for Marriage (NOM) filed details of its financial activities related to a 2009 effort to repeal Maine’s same-sex marriage law following a lengthy legal battle. Jonathan Wayne, executive director of the Maine ethics commission, said the list had been filed at the agency’s website and NOM indicated it will not further fight the matter through the courts. The commission had ruled NOM violated the state’s campaign finance law and ordered the conservative group to pay a $50,250 penalty and release its donors. Although NOM paid the penalty, it continued to resist disclosure. But NOM lost that fight when the Supreme Judicial Court ordered it to hand over the list of donors.

Missouri – Missouri Lags behind Neighbors on Ethics Laws
Springfield News-Leader – John Swedien | Published: 8/23/2015

Missouri has no limits on campaign donations, no restrictions on the gifts legislators can accept from lobbyists, and no rule preventing lawmakers from immediately becoming lobbyists after leaving office. This stands in contrast to Missouri’s eight neighboring states; all limit at least one of those activities. Arkansas, Kentucky, Oklahoma, and Tennessee restrict all three. Illinois, Iowa and Kansas each limit two of the activities, and Nebraska caps lobbyists’ gifts.

Ohio – Former Ohio Deputy Treasurer Extradited from Pakistan to Serve 15 Years for Bribery, Money Laundering
Cleveland Plain Dealer – Jane Morice (Northeast Ohio Media Group) | Published: 8/26/2015

Former Ohio Deputy Treasurer Amer Ahmad has been extradited from Pakistan to serve a 15-year prison sentence for a kickback scheme. He pleaded guilty in 2013 to bribery and conspiracy charges, though he fled to Pakistan to avoid punishment. Ahmad admitted he funneled business to Douglas Hampton, a securities broker, in exchange for bribes. Ahmad was able to conceal the bribery payments by passing them through accounts of a landscaping business he owned. Over the two-year period, Hampton paid Ahmad more than $500,000. In return, Hampton received about $3.2 million in commissions for more than 350 securities trades on behalf of the treasurer’s office.

Oregon – Mystery Money: Oregon lets officials keep income details in shadows
Portland Oregon – Denis Theriault | Published: 8/22/2015

Voters might have known years sooner how much Cylvia Hayes was paid to push a private agenda while she was Oregon’s first lady if John Kitzhaber had been governor of California or 16 other states. Ethics filings in those states require officials to disclose where they and those in their households get their money, and roughly how much. But Kitzhaber had no obligation to report Hayes’ income from private clean-energy clients, income she accepted while also advising the state on energy issues. Oregon’s rules for income disclosure have not changed much since 1974. The rules allow officials from the statehouse down to local school boards hold back key information.

Tennessee – Lawmakers Spent 30K of Campaign Funds on Pro Sports Tickets
The Tennessean – Dave Boucher | Published: 8/22/2015

A recent analysis of state campaign finance records show at least seven Tennessee lawmakers collectively spent more than $30,000 in campaign money on tickets to professional sporting events since 2003. Although state law bans the use of campaign funds for tickets to sporting events, concerts, or other similar activities, there is an exemption that allows essentially all ticket purchases to go unchecked. Buying such tickets with campaign funds is largely banned for federal candidates, but the campaign finance laws in Tennessee and a slew of other states either allow or do not clearly ban such purchases.

Texas – Pool Proposes Changes to Rules for Lobbyists
Austin Monitor – Jo Clifton | Published: 8/26/2015

The Austin City Council is weighing reforms to the city’s lobbying law. The law currently requires lobbyists to register and disclose who their clients are. But the code is murky in its definition of who must register, and those who register do not always comply with all the reporting requirements. Under the proposed reforms, the registration fee would increase to $350; lobbyists for nonprofits would only have to pay $50 a year. The city auditor would be charged with reviewing lobbying registration for compliance, and violators could face individual fines for failing to register or disclose information. A person could be barred from lobbying after multiple violations.

Utah – It’s American Legion Versus Lobbyists in Fight for Space at Capitol
Salt Lake Tribune – Lee Davidson | Published: 8/24/2015

The American Legion has enjoyed free office space in the basement of the Utah Capitol since World War I. But the Capitol Preservation Board voted recently to try to get the organization to move so it can rent more space to lobbyists. The clash arose when the Capitol Hill Association of lobbyists sought to expand its current 1,800 square feet of space, located across the hall from the American Legion. Jodi Hart, the association’s president, told the board her group “has run out of space” for its current 35-member lobbying groups, who pay $4,500 per organization to join, and about $1,000 per person in annual dues, and has a waiting list of six organizations that want to join. The association proposed expanding into storage space next to its suite to add a few more conference rooms.

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.

Elizabeth Bartz, president and CEO of State and Federal Communications is excited to stand with the Akron community in celebrating the 90th Anniversary of the Akron Urban League. The Urban League held its 90th Anniversary Gala event on Friday, August 21, 2015. Our company was proud to be a Gold Sponsor.

Bartz took to the stage to help with the event’s live auction. She serves as a member of the Urban League’s Board of Directors as well as on the 90th Anniversary Gala Committee.

Lobbying

“If Congress Keeps Cutting Its Staff, Who Is Writing Your Laws? You Won’t Like The Answer.” by Anthony Madonna and Ian Ostrander for Washington Post

Colorado: “Colorado Energy Companies Spend Top Dollar on Lobbyists; What Do They Get in Return?” by Megan Schrader for Colorado Springs Gazette

Texas: “Austin Officials Considering Overhaul of Lobbyist Rules” by Lilly Rockwell for Austin American-Statesman

Utah: “It’s American Legion Versus Lobbyists in Fight for Space at Capitol” by Lee Davidson for Salt Lake Tribune

Campaign Finance

“U.S. Court Rejects Republican Challenge to SEC Pay-to-Play Rule” by Sarah Lynch for Reuters

Ohio: “House Legislator Ron Gerberry Resigns after Guilty Plea” by The Associated Press for Columbus Dispatch

Pennsylvania: “Ethics Board Fines Oh, Cites Illegal Contribution” by Tricia Nadolny for Philadelphia Inquirer

Ethics

New Jersey: “Trenton City Council Members Chester and Muschal Fight Each Other in Council Chambers” by Sulaiman Abdur-Rahman for The Trentonian

Pennsylvania: “Kane Ordered to Stand Trial on All Charges” by Craig McCoy and Angela Couloumbis for Philadelphia Inquirer

Wisconsin: “Bill to Exempt Political Crimes from John Doe Investigations Clears Assembly Committee” by Jessie Opoien for Capital Times

Elections

“Family Issues Weigh Heaviest on Biden as He Considers a 2016 Campaign” by Dan Balz for Washington Post

Lobbying

“After Allegations That It Lobbied with Federal Money to Block Competition, Lockheed Martin Agrees to Pay Almost $5 Million” by Lisa Rein for Washington Post

“Would More Lobbying Improve America?” by Kevin Hartnett for Politico

Kansas: “Transparency Group: Kansas earns a ‘C’ on lobbying disclosure laws” by Jonathan Shorman for Topeka Capital-Journal

Missouri: “Aide, Not Local Lawmaker, Near the Top in Lobbyist Gifts in Springfield Area” by John Swedien for Springfield News-Leader

Campaign Finance

Arizona: “Secretary of State Reagan Challenges Clean Elections Commission” by Howard Fischer (Capitol Media Services) for Verde Independent

Maine: “Group Turns over Donor List from Gay Marriage Fight in Maine” by David Sharp (Associated Press) for St. Louis Post-Dispatch

Pennsylvania: “Sources: D.A. Seth Williams’ spending under federal probe” by Chris Brennan for Philadelphia Inquirer

Tennessee: “Lawmakers Spent 30K of Campaign Funds on Pro Sports Tickets” by Dave Boucher for The Tennessean

Ethics

California: “Compton Officials Deny Improperly Inflating Pay; D.A. Investigation Ongoing” by Marisa Gerber and Angel Jennings for Los Angeles Times

Oregon: “Mystery Money: Oregon lets officials keep income details in shadows” by Denis Theriault for Portland Oregonian

In September, the Los Angeles, California’s Ethics Commission will be soliciting public comment on the Municipal Lobbying Ordinance. Meetings for interested persons will be held at City Hall at 11:30 a.m. on September 9 and 2:00 p.m. on September 17. The commission is requesting interested persons to sign up for the meetings by email at ethics.policy@lacity.org by September 4.

Campaign Finance

“Federal Election Commission Refuses to Release Computer Security Study” by Dave Levinthal for Center for Public Integrity

North Carolina: “Deeper Probe of NC Video Sweepstakes Money Sought” by Craig Jarvis and Anne Blythe for Raleigh News & Observer

Pennsylvania: “Allentown Council to Consider Banning Pay-to-Play, Members Say” by Lynn Olanoff for Lehighvalleylive.com

Ethics

California: “Faulconer Makes Ethics Picks” by Greg Moran for San Diego Union-Tribune

Illinois: “Ex-Redflex Exec Pleads Guilty to Helping Orchestrate $2M Bribery Scheme” by Jason Meisner and David Kidwell for Chicago Tribune

Oklahoma: “Oklahoma Sen. Rick Brinkley Pleads Guilty to Fraud Charges after Stealing More than $1.8M from BBB” by Nolan Clay and Rick Green for The Oklahoman

Virginia: “Maureen McDonnell to Appeals Court: You can clear me and not my husband” by Matt Zapotosky for Washington Post

Virginia: “Court of Appeals Won’t let McDonnell Stay out of Prison While Pursuing Supreme Court Challenge” by Matt Zapotosky for Washington Post

Elections

“Drug Costs Dislodge Obamacare as GOP Voters’ Top Health Care Concern” by Brett Norman for Politico

“What the ‘Deez Nuts’ Candidacy Says about the State of US Democracy” by Sara Aridi for Christian Science Monitor

Federal:

Facing Money Gap, Hillary Clinton Slowly Warms to ‘Super PAC’ Gifts
New York Times – Amy Chozik and Eric Lichtblau | Published: 8/17/2015

Republican presidential candidates have gained a near monopoly on donors of $1 million or more: 56 donors gave at least that much for a total of $124.2 million, outgiving Democrats’ biggest donors by about 12 to one. A single GOP contributor, Robert Mercer, a hedge fund magnate who gave $11.3 million, surpassed all of the million-dollar donors supporting Hillary Clinton, combined. Clinton’s allied super PACs, mindful that to resist the tide is to drown, are soliciting giant donations in earnest now, with her blessing. But the disparity, which has worried many Democrats, also has to do with the ambivalence, or outright disdain, that Clinton’s donors say they feel, and that some say they have picked up from her, about the role that super PACs should play.

Hillary Clinton 2016: Campaign wants donors to pay for their own food, parking
Politico – Kenneth Vogel | Published: 8/18/2015

Hillary Clinton’s campaign wants donors to pay for their own food and valet parking at fundraising events. The request filed with the FEC sketches out a novel plan under which the campaign would shift some fundraising costs to donors, without counting against their contribution limits. Campaigns usually either pay such costs directly or, in the case of smaller events in donors’ homes, allow hosts to contribute food, drink, and parking costs. But when hosts provide services and the tally exceeds $1,000, the FEC interprets those costs as in-kind donations because they are considered “necessary expenses incurred to provide an inducement for the making of a contribution.” And those in-kind contributions count against donors’ $2,700 limit for the primary election.

K Street Betting on Hillary
The Hill – Megan Wilson | Published: 8/20/2015

While many lobbyists are holding their pocketbooks in the early stages of the 2016 election cycle, Hillary Clinton received at least $625,703 from 316 registered lobbyists and corporate PACs during the first half of the year. Former Florida Gov. Jeb Bush ranks as a distant second in the influence industry, collecting $444,500 from 140 lobbyists. The donations are a shift from the last couple election cycles, especially on the Democratic side. Barack Obama made campaign promises in 2008 and 2012 not to take money from registered lobbyists, in addition to vowing to ban them from the administration, so the early donations signal K Street hopes to be back in good graces when the next administration takes over the White House.

From the States and Municipalities:

California – $240 Million Education Contract Illustrates State Lobbying Loopholes
KQED – Marisa Lagos | Published: 8/13/2015

Critics say California’s murky disclosure laws make it nearly impossible to know exactly what kinds of work private companies do to influence how thousands of state government contracts are awarded, including whether those same companies seek advantages with behind-the-scenes lobbying. A bill moving through the Legislature would force disclosure around lobbying for state contracts and put California in a group of just 18 states that require disclosure of procurement lobbying.

Florida – Florida Prison Problem Complicates Redistricting
Bradenton Herald – Jeremy Wallace | Published: 8/18/2015

Florida’s prison population is becoming a point of contention in the state Legislature’s attempt to redraw congressional districts. The last Census counted more than 160,000 people in correctional facilities, and they cannot vote. But they can skew how districts are drawn, and ultimately who represents the state in the U.S. House. The federal government has required states to count prisoners as residents of the towns where they are held, not where they are from. Peter Wagner, executive director of the Prison Policy Initiative, said counting prisoners where they are incarcerated means states are giving people living in communities with prisons more voting power and representation than they should have when it is clear inmates are not part of the town and counties they are counted in.

Indiana – Waivers from State Ethics Laws on the Decline
Indianapolis Star – Chelsea Schneider | Published: 8/17/2015

State records show Indiana officials have been issuing fewer waivers that would let state employees take related jobs in the private sector before a yearlong wait. Data show about 10 were granted each year over the past decade, but just one has been allowed so far this year. They could continue to decline because the General Assembly tightened the process by requiring all waivers to go before the Indiana State Ethics Commission. Before the law changed, department heads had wide discretion in determining whether to lift restrictions.

Missouri – Missouri House Is Developing New Intern Rules to Prevent Sexual Harassment
Kansas City Star – Jason Hancock | Published: 8/17/2015

The Missouri House is working on new intern rules aimed at preventing sexual harassment after recent scandals led two legislators to resign. Tighter rules for administering internships are part of an early draft of the policy, which also calls for the establishment of an ombudsman so interns could report problems. The scandals also have brought renewed attention to legislative ethics reform. To many lawmakers, Missouri’s status as the only state with no campaign contribution limits, no caps on lobbyist gifts, and no restrictions on lawmakers becoming lobbyists contributes to an anything-goes atmosphere underlying the sexual harassment of interns.

North Carolina – Deeper Probe of NC Video Sweepstakes Money Sought
Raleigh News & Observer – Craig Jarvis and Anne Blythe | Published: 8/20/2015

Millions of dollars was spent recent elections in a futile attempt to keep the video sweepstakes industry legal in North Carolina, with much of the spending directed by a man later charged in Florida with racketeering. The free-wheeling spending on politicians, lawyers, and lobbyists has raised suspicions, although one probe by the state elections board found no campaign finance violations. Democracy North Carolina, whose complaint prompted the two-year elections board inquiry, now wants the U.S. attorney and the Wake County district attorney to determine whether laws against corruption, bribery, or other offenses were broken, and for authorities to take another look at potential election law violations.

Ohio – Was Council Members’ Football Trip Worth More Than $250?
Columbus Dispatch – Lucas Sullivan | Published: 8/14/2015

The trip that four Columbus City Council members took with a lobbyist to watch the Big Ten Championship football game would have cost about three times the $250 they paid, a travel expert and stadium officials say. Ohio ethics laws state that if the difference between the cost paid for the trip and the actual fair market value exceeds $75, officials must pay the difference or disclose it as a gift on their financial-disclosure forms. The four council members who went –Andrew Ginther, Shannon Hardin, Michelle Mills, and Eileen Paley – all eventually paid $250 to watch Ohio State beat Wisconsin. Paley and Hardin disclosed the trip on their ethics forms, but Ginther and Mills did not.

Oklahoma – Ethics Commission Votes to Suspend Rules after Lawsuit
Albany Times Union; Associated Press –   | Published: 8/14/2015

Some state property can be used again for political fundraising and distribution of campaign materials after the Oklahoma Ethics Commission decided to suspend rules against these activities. The action came after the state Democratic Party filed a federal free speech lawsuit against the panel.

Oklahoma – Oklahoma Sen. Rick Brinkley Pleads Guilty to Fraud Charges after Stealing More than $1.8M from BBB
The Oklahoman – Nolan Clay and Rick Green | Published: 8/20/2015

State Sen. Rick Brinkley pleaded guilty to federal fraud charges and resigned from the Oklahoma Legislature. He was accused of embezzling $1.8 million as head of the Better Business Bureau of Tulsa and failing to report about $148,390 in income on his 2013 tax return. A civil lawsuit filed by the Better Business Bureau alleged Brinkley used its money to pay “his mortgage, pool cleaner, personal credit card invoices, and to support a hidden gambling habit.” Brinkley was on track to become the president pro tem of the Senate in two years. His future began to unravel after questions were raised about a $49,693 check he had written from his campaign account to the Better Business Bureau.

Pennsylvania – Lobbyist Spending in Harrisburg Trending Upward
Pittsburgh Post-Gazette – Chris Potter | Published: 8/16/2015

In 2007, when Pennsylvania lobbyists began reporting their activity, they spent $84,175,726. By 2014, the total was $106,283,183. The Marcellus Shale Coalition is the state’s most active lobbying concern. It reports spending just under $14.1 million since 2010. A handful of individual companies reported their own million-dollar expenditures. Six of Pennsylvania’s top 10 lobbying interests work in health care or insurance. “The ideal situation would be if representatives were hearing from citizens, rather than people paid to influence them,” said Mark Singel, a former Pennsylvania lieutenant governor who now works as a lobbyist for the Winter Group.

Wisconsin – Audit of Wisconsin Elections Board Finds No Major Problems with Handling of Investigations
Minneapolis Star Tribune – Scott Bauer (Associated Press) | Published: 8/20/2015

A Legislative Audit Bureau report found no major problems with the way the Wisconsin Government Accountability Board (GAB) handles complaints. “It puts to rest any questions as to whether the six board members exercise independent judgment when they make decisions about complaints, investigations, and penalties,” said GAB Director Kevin Kennedy. As much as Kennedy may wish that to be the case, Republicans who control the Legislature, along with Gov. Scott Walker, have said for months they plan to make significant changes to the board, including possibly doing away with it and starting over. The audit follows a more comprehensive one released in December that looked at the GAB’s entire operation, not just investigations. In that report, the bureau did not recommend that the GAB be overhauled or dismantled.

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 August 4th, members of State and Federal Communications made their way to the Firestone Country Club to attend Executive Women’s Day. Presented by Astellas Pharma, Inc., the event took place during the WGC-Bridgestone Invitational. It brought together women in executive positions from companies and organizations all over Northeast Ohio, including Morgan Stanley, FirstMerit Bank, and the Greater Akron Chamber.

Starting off with a welcome from Vanessa Letera, a Senior Sales Representative from Astellas, Letera urged the audience to remember to make time for themselves and their own health. After the welcome, a panel discussion commenced, moderated by Lee Jordan, an anchor at ABC Cleveland affiliate Newsnet5. The panelists consisted of Patricia DePompei, President of University Hospitals Rainbow Babies and Children’s Hospital; Jo Seymour, Vice President of The Seymour Group at Morgan Stanley; and Sarah Flannery, Partner at Thompson Hine. The topics discussed ranged from career challenges to handling and deciding priorities on the path toward success.

Keynote speaker, Carey Lohrenz, spoke about how she was able to translate lessons she learned as a naval aviator into the workplace. Being in charge of a team of pilots taught Lohrenz about teamwork. “The single most important component to a team’s success is knowing your purpose,” said Lohrenz.

At the conclusion of her presentation, attendees were invited to go on a behind-the-scenes tour or to a networking session.  Participants were also given the opportunity to try out their golf game on the first hole in the course.

Thank you to Astellas and the PGA TOUR for the opportunity to attend this event.

Lobbying

California: “$240 Million Education Contract Illustrates State Lobbying Loopholes” by Marisa Lagos for KQED

California: “Local Governments Spend Big to Influence Sacramento” by John Myers for KQED

New York: “Former Top Albany Lobbying Firm in Process of Being Acquired by PR Agency” by Marie French for Albany Business Review

Campaign Finance

“Era of Upheaval Continues as New Legal Challenge Emerges to Federal Campaign Finance” by Jeff Brindle for PolitickerNJ

California: “Good Luck Trying to Figure out California’s Campaign Finance Data” by Joyce Terhaar for Sacramento Bee

Ohio: “Where’s the Line between Donations and Bribes?” by Jessie Balmert for Cincinnati Enquirer

Oklahoma: “Sen. Rick Brinkley to Forfeit Campaign Fund Balance, Ending Ethics Commission Probe” by Barbara Hoberock for Tulsa World

Ethics

Indiana: “BMV Replaces CFO after Patronage Questions” by Tony Cook for Indianapolis Star

Lobbying

California: “Bill Looks to Put State Lobbying Laws on Par With Local Rules” by Guy Marzorati and Marissa Lagos for KQED

Hawaii: “Maui County Plans to Post List of Lobbyists Online” by Nathan Eagle for Honolulu Civil Beat

Pennsylvania: “Lobbyist Spending in Harrisburg Trending Upward” by Chris Potter for Pittsburgh Post-Gazette

Campaign Finance

“Facing Money Gap, Hillary Clinton Slowly Warms to ‘Super PAC’ Gifts” by Amy Chozik and Eric Lichtblau for New York Times

“Campaign Finance Reform PAC Wants to Be a Player in 2016” by Simone Pathe for Roll Call

Colorado: “Rocky Mountain Gun Owners, Colorado Campaign for Life lose Colorado Ethics Watch Lawsuit” by Marianne Goodland for Colorado Independent

Oklahoma: “Ethics Commission Votes to Suspend Rules after Lawsuit” by The Associated Press for Albany Times Union

Ethics

Indiana: “Waivers from State Ethics Laws on the Decline” by Chelsea Schneider for Indianapolis Star

Missouri: “Missouri House Is Developing New Intern Rules to Prevent Sexual Harassment” by Jason Hancock for Kansas City Star

The number of municipalities and regional governments our research associates track continues to grow. We now cover almost 300 municipalities and local governments. This is part of a continuous effort to better serve the needs of our clients.

In that effort, we have recently added another abridged jurisdiction to our website. These entries, condensed due to the limited number of relevant local laws, provide the core information our clients need for their government relations work.

The new jurisdiction is: Peoria, Illinois

The Sunlight Foundation has released a report card on lobbying disclosure in the states.

States’ grades were based on five criteria:

• If lobbyists have to report the legislation and actions they are lobbying;
• If lobbying-related expenditures are itemized;
• If all expenditures are reported or only those above a threshold limit;
• If the lobbying reports are easily accessible to the public; and
• If lobbyists have to report their compensation.

The majority of states received either B’s or C’s. Seven states, including Massachusetts, California, and New York, received the grade of A. Four states, including Florida, Oregon, and West Virginia, received a failing grade.

The full report can be viewed here.

Q. I will be attending several upcoming conferences where legislators and other public officials will be present.   I’m not a registered lobbyist at the state level—do I still need to worry about gift limits?

A. Even if you are not a registered lobbyist, you will still need to be mindful of the various gift limits applicable to legislators and public officials you engage at these conferences.  Depending on your company’s status as a lobbyist employer, you may be subject to more stringent limits in certain jurisdictions.  It’s important to remember there is no one-size-fits-all approach to determining permissibility.  Each state addresses gift limits differently, and what will be permissible in one jurisdiction will not be permissible in another.   Further, you should not depend on the legislator or public official to know applicable gift limits.  Because gift limits may vary depending on your company’s status as a lobbyist employer, officials may not be aware of which limit to apply when accepting gifts and benefits.

Numerous states have gift exceptions specifically applicable to expenditures at national conferences to which all members of the legislature are invited (such as NCSL) as long as the expenditures are part of the conference agenda.  Examples of this include lunch/dinner events, or a sponsored state night.  However, for private dinners and events and other expenditures not included on the official agenda, you will still be subject to a state’s regular gift limits and restrictions.

In some cases, your expenditures on behalf of these individuals will need to be disclosed on a lobbyist employer report.  You will need to coordinate closely with your company’s government affairs or legal department to not only determine permissibility, but to determine whether the expense is reportable. For jurisdictions requiring disclosure, you may need to report the date of the expense, the name of the individual(s) receiving the benefit, a brief description, and the value of the expense.   Make sure to save itemized receipts.  Some jurisdictions require you to report the name and address of the vendor (such as a restaurant or catering company) and may additionally require you to determine the reportable amount by specific benefit received.  Some states do not permit meal expenditures to be calculated on a prorated basis (i.e., a dinner valued at $375, divided by the number of attendees) but instead require disclosure of a specific amount attributed to a particular legislative official or employee (i.e., $15.75 for the salmon entrée).

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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.