Latest Developments:
- Tennessee Republican Pardoned for Campaign Finance Violations: The New York Times reports that President Trump pardoned Brian Kelsey, an imprisoned former Tennessee state senator who was two weeks into a 21-month sentence for campaign finance violations related to moving funds from his state account through other PACs to his campaign for Congress in 2016. The scheme came to light after a complaint with the Federal Election Commission, but donors to his state account were not implicated.
- Federal Lobby Triggers Adjusted: The United States Senate has announced new triggers for lobby firms: now registration is not required of a lobbying firm whose total income for matters related to lobbying activities on behalf of a client does not exceed or is not expected to exceed $3,500 in a quarterly period, and for an organization employing in-house lobbyists whose total expenses in connection with lobbying activities do not exceed and are not expected to exceed $16,000 in the quarterly period during which the registration would be made. The next adjustment will be made on January 1, 2029.
- Supreme Court of Canada Voids Campaign Finance Law: The Toronto Star reports that, in a 5-4 ruling, the high court of Canada found it was unconstitutional to limit pre-election spending by unions and other third-party groups.
- FEC Rule Requiring Small Donor Identification Challenged in Court: A complaint has been filed in the Northern District of Texas’ Fort Worth Division challenging the FEC rule that requires conduit PACS to publicly identify donors that give less than $200 to a campaign or committee; the suit alleges the FEC rule violates a right to anonymity guaranteed by the First Amendment of the Constitution.
- Santa Ana, California May Require Disclosure of Campaign Finance Violations by Developers: The Voice of OC reports that, after the Fair Political Practices Commission fined an Orange County developer $87,000 for an alleged political money laundering scheme, the City Council of Santa Ana, CA, has been directed to draft an ordinance that would require developers, businesses, and other applicants for city permits to disclose any Federal Election Commission or Fair Political Practices Commission violations.
Reminders:
- Not all filing deadlines occur in January and February! New Jersey requires the filing of pay-to-play reports by 3/30 if triggered, Maryland pay-to-play reports are due 5/31 if triggered, and in New Mexico grassroots reports are due within 15 days of the end of the legislative session, which occurs on March 22.
- The Washington Public Disclosure Commission is seeking public comment on proposals intended to standardize and simplify the campaign expenditure reporting calendar, with the intention of helping campaigns keep track of deadlines and improving transparency. A virtual engagement session to discuss the plan has been scheduled for 10:30 a.m. on March 11.
In Case You Missed It:
- Big Cuts to Public Corruption Section of the US Department of Justice: The Associated Press reports that prosecutors in the Justice Department section that handles public corruption cases have been told the unit will be significantly reduced in size, and as few as five lawyers may remain in the section that held 30 prosecutors at the end of the Biden presidency.
- Portrait Deemed “Beautiful Gift” Causes Controversy: From the San Francisco Chronicle, Sheryl Davis, the San Francisco Human Rights Commission asked to resign by the former mayor, initially called a portrait of her that was presented by a nonprofit a “beautiful gift;” but she subsequently denied accepting it. Additional reporting by the Chronicle shows that the portrait is valued at $5,500, well in excess of personal gift limits. The portrait was not disclosed by Davis as a personal gift or a gift to her agency.
- Louisiana Board of Ethics Allows Redaction of Addresses: From the Louisiana Illuminator, despite a state law requiring home addresses for 33 state elected officials and high-ranking appointees to be included in paperwork that’s posted on the ethics board’s public website, the Board of Ethics will now allow statewide elected officials and more high-ranking government employees to keep their home addresses off forms posted online because it says that privacy concerns override the literal language of the statute.
- $60 Room Reservation Fee Generates 3 Months of Controversy and 280 Pages of Documents: The Baltimore Banner reports that, despite the fact that many Baltimore County elected officials and those aspiring to higher offices hold events at libraries, the Baltimore County Public Library canceled a February 2025 campaign event after council members invoked the rule that no “fundraisers” may be held at a library. The event was held regardless although no funds were raised. The library’s director of philanthropy and partnerships is now threatening a permanent ban against the candidate.