Latest Developments:
Shareholder Proposals on Political Transparency Show Support, Despite Challenging Environment
The Center for Political Accountability reports “strong shareholder support” during the 2026 proxy season for its corporate political disclosure and accountability effort in a challenging environment. CPA said 29 companies were considering adopting board oversight and accountability policies for political spending using corporate treasury funds or corporate profits, and disclosure of the policies and spending. Agreements have been reached with 10 companies to implement some or all of CPA’s proposal, with support averaging 31.7 percent for the 12 proposals that went to a vote. https://corpgov.law.harvard.edu/2026/08/16/2026-proxy-season-cpa-political-disclosure-and-accountability-effort-maintains-strong-momentum/
“Megadonors” Influencing the Federal Midterm Elections
The latest efforts to “follow the money” in the midterms focused on a group of “megadonors.” The New York Times highlighted the top 20 donors who have collectively spent $1.2 billion on federal races, based on its review of Federal Election Commission contributions from individuals and organizations from November 5, 2024, through July 31, 2026. NY Times – Federal Election Megadonors
Decision Regarding Coordinated Ad Buys May Impact Donor Requests
Coordinated ad buys are not entitled to the cheaper rates that candidates enjoy close to an election, according to a Fourth Circuit U.S. Court of Appeals ruling that the Republican Party is now appealing to the U.S. Supreme Court. Brown, et al. v. FCC and NRCC and U.S. News – Appeals Court Blocks FCC Plan to Expand Discounted TV Advertising Rate. The Court held that neither political parties nor joint fundraising committees with non-candidate members can be entitled to the “lowest unit charge” — the favorable rate that candidates pay to broadcast campaign ads during the 45 days before a primary and 60 days before a general election. The rates have a big impact on effective use of donor dollars. The GOP, which brought the suit, will appeal.
Houston Officials Proposing Stronger Penalties for Campaign Finance Violations
City officials are proposing that the City Secretary file a sworn complaint with the Texas Ethics Commission any time a candidate misses a campaign finance reporting deadline, as the Commission reportedly has not met in years and filers are ignoring legal requirements. A news account states that up to 25% of all candidates in recent elections failed to file reports of contributions and expenditures on time, or at all. “With no penalty assessed for not meeting the deadline, filers can ignore the requirement with impunity,” the proposal says. Houston Chronicle – Candidates Could Be Punished for Missing Reports and Mayor Vowed to Clean Up City Hall. The proposal would also require the City Secretary to post the names of delinquent filers on a city website.
Events and Reminders:
This Thursday, Nielsen Merksamer Partner Jason Kaune will be part of a panel of political law experts discussing Public Failure, Private Ordering: Addressing the Risks of Corporate Political Activity, at the American Bar Association’s Business Law Fall Meeting. The session is scheduled for September 3, 2026, from 8 a.m. to 9:30 a.m., at the Hyatt Regency Chicago. The panel also features Frances Floriano Goins, Bruce Freed, Antonio Fernandez, and Karl Sandstorm. Learn more here: https://events.americanbar.org/event/c0b7d02a-8111-499c-9916-9c6ba4a64935/summary
Nielsen Merksamer Partner Evann Whitelam will be a featured speaker at a virtual workshop, Designing, Pressure-Testing and Implementing Comprehensive FARA and Foreign Influence Compliance Programs, on December 3, 2026. Attendees will receive three hours of continuing legal education credit and gain real-world guidance to navigate specific FARA and foreign influence risk areas. Learn more here: Foreign Agents Registration Act Workshop. The session is designed to give attendees helpful insights and practical knowledge before attending a national conference on FARA sponsored by the American Conference Institute, Foreign Agents Registration Act (FARA) & Covert Foreign Influence Laws, set for December 11, 2026, in Washington, D.C.
In Case You Missed It:
Chicago Ethics Board Still Needs Appointments
As the longtime Executive Director of the Chicago Ethics Board retires this week, it has been more than a year since the board had a chair. Observers want Chicago’s Mayor to address expired appointments on the board and select the next executive director as soon as possible, especially with the election season under way. Chicago Ethics Board Hits 1 Year Without a Leader, as Executive Director Retires and Election Season Begins | Chicago News | WTTW
Buried Backyard Cash Was Key to Bribery Convictions
The Los Angeles Times explored the network of city officials, consultants and cannabis operators who traded bribes for permits, campaign cash and contracts in a pay-to-play marijuana licensing racket, exposed by the discovery of $62,000 buried in a Councilmember’s backyard. Cash buried in L.A. politician’s backyard helped expose corruption – Los Angeles Times After six indictments, the Councilmember and another member of the scheme were sentenced this month.