Latest Developments:
- The Pennsylvania Legislature passed B. 336 last month, which includes a provision that requires lobbyists file “equity reports” that disclose their equity interest in the entity for which they are lobbying. The measure became law this month without the Governor’s signature and takes effect September 7. However, the new electronic reporting requirement is not expected to be in place until 2022. Stay tuned…
- The Governor of Connecticut approved B. 6444, which deletes certain requirements that applicable contractors with contracts of $500,000 or more separately certify compliance with state ethics provisions. Instead, the bill requires that the contracts themselves include those provisions. According to the bill analysis, the measure concerns “contractors’ compliance with (1) state ethics laws; (2) restrictions on gifts, investments, political contributions and solicitations, and use of consultants; and (3) nondiscrimination and affirmative action requirements. It also codifies and expands upon provisions in an existing executive order that require certain state contractors to disclose any campaign contributions.” The bill was signed June 28 and became effective July 1, 2021.
- Annapolis, Maryland adopted Ordinance 15-21, which requires persons who make aggregate independent expenditures of $5,000, or more in a municipal election to register within 48 hours. Expenditures of $10,000, or more, must be reported within 48 hours.
In Case You Missed It:
- Jailtime for Campaign Finance Violations: The San Francisco Chronicle reports that a former California legislator was sentenced to one year in the county jail for misusing campaign funds. Prosecutors charged over 30 felonies, including for “alleged personal use of more than $260,000 in campaign funds.” Those funds were used “to pay for restaurants, airfare, a $36,000 vacation to Asia and credit-card charges related to the remodel of a home he owned in Hawaii.” The former legislator, who pleaded guilty to nine counts, will also lose his license to practice law and is barred from holding future public office.
- PAC Donations Whipsawed: The Detroit News reports that Toyota stopped PAC congressional donations after the January 6 insurrection, then resumed making donations the following month. Faced with a threat from The Lincoln Project to run ads against donors, “beginning with Toyota,” the car company “will no longer donate to members of Congress who voted against certifying the 2020 election in January… The Lincoln Project said it would no longer air the Toyota ad after Thursday, and declined to comment on what other companies it plans to target.”
- Checking Up on Pre-checked Boxes: According to the Washington Post, at least four state attorneys general are “are looking into the online fundraising practices of both major political parties… The practices being examined include the use of pre-checked boxes that lock in recurring donations from political donors who may not intend to sign up for more than one contribution.”
- Charitable Gifts Under Scrutiny: The California Fair Political Practices Commission discussed gift giving to politicians’ favorite charities, with “a proposal to require elected officials to provide more information on special interest donations to their nonprofits.” Cal Matters notes that “Donations … to nonprofits controlled by legislators, their staff and family members (have) become an increasingly common way for politicians to raise and spend money outside the limits of the state’s strict campaign finance laws.”
- Mississippi Gift Largesse: The Mississippi Daily Journal reports that in the last two years, “lobbyists for six of Mississippi’s eight public universities gave out almost $100,000 in gifts to lawmakers and other public officials…” The article discusses the lack of transparency in a state with no gift restrictions: Gift-givers “sometimes fail to describe what they are buying for elected officials in their public reports.” While some seek reform, “past efforts never made it out of committee.”
- Married at a Campaign Event: According to Newsweek, the mayor of a small city in Michigan “defended using thousands of dollars in campaign funds to help pay for his daughter’s wedding by stating that it doubled as a campaign event.” While the mayor acknowledged that “using the money for the wedding created ‘poor optics,’ he did not believe it constituted an improper use of funds.” One critic opined, “If the wedding of your own daughter could be a campaign event, what sort of event cannot be a campaign function?”