Latest Developments
- The United State Senate confirmed James E. Trainor III “to be a Member of the Federal Election Commission for a term expiring April 30, 2023.” Politico points out that the action restores a quorum of the Commission after 37 weeks of hibernation. Bloomberg Government reminds us that the commission “could resume its pattern of deadlocking on enforcement cases, leading to dismissal of alleged violations of disclosure requirements” and ending the ability of others to step in to file civil lawsuits against alleged transgressors.
- COVID-19 Update: Government officials, agencies, and courts continue to respond to the COVID-19 emergency. Each week we will add the latest information. For more information about filing deadlines, contact our Political Reporting Unit. Among the more notable developments this week:
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- The Governor of California, according to Politico, raised a “record $26M in donations for Covid-19.” The article points out that many of the donors “lobbied the governor’s office on data privacy and other thorny regulatory matters” at the same time they were making the gifts at the behest of the Governor. The Sacramento Bee names the major players and quotes a veteran consultant who opines “‘Even if they’re making those donations in order to buy access on legislative or regulatory matters, you still wouldn’t want to turn away those necessary supplies.’” Meanwhile the state’s Fair Political Practices Commission continues its deep dive into regulations about so-called behested donations.
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- New York Officials, as described by the New York Daily News, are mixing COVID-19 with self-promotion. Politicians are handing out hand sanitizer and masks provided by donors. The head of one watchdog group opined that “Campaigns do give away stuff. Generally, it’s not particularly valuable stuff… It’s not white and black but I think [candidates] should check with their lawyers.”
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- Federal Officeholders in Washington, D.C. are planning to resume political fundraisers in June. But Roll Call reports that “lobbyists and corporate executives, cloistered in their home offices during the coronavirus pandemic, said they were unlikely to sign up for in-person political events in the coming weeks.” Meanwhile, some fundraisers have “shifted to virtual events.”
- The New Mexico State Ethics Commission, which was formed last year, presents a webinar on “Filing and litigating complaints with the State Ethics Commission” on Wednesday, June 3, at 12:00 Noon Mountain Daylight Time. An agenda is available; interested persons may register here.
- A U.S. District Court Judge issued a permanent injunction barring Arkansas from enforcing its restriction that prohibited campaign contributions more than two years before an election. The action follows the Eighth Circuit Court of Appeals’ decision in Jones v. Jegley which upheld the judge’s temporary injunction. The Arkansas Democrat-Gazette quotes the district court judge’s statement that “no new evidence will be presented, and a final order could be entered based on the current record.”
- The Montana Commissioner of Political Practices sustained a complaint made against a dark money group that is promoting the state’s Attorney General. The Billings Gazette reports that the American Prosperity Group asserts that its ads “were placed too early in the election cycle to be breaking state campaign law,” airing more than 60 days before the election. But the Commissioner points out that voting began a month before the early June election and the statute applies to a 60-day period prior to “the initiation of voting in an election.”
Reminder:
New Subscribers: This email provides a summary of commentary, developments, and media reports for the current week. For the archive of weekly updates since February 2018 visit our website at: www.nmgovlaw.com/ee.
In Case You Missed It:
- Big Money Move: According to the Washington Post, “Donors can now give $620,600 to Biden and DNC.” The Biden Victory Fund, “a committee that raises money with the Democratic National Committee, on Saturday filed an agreement that allows wealthy donors to give large checks that will be shared by the campaign, the party and 26 state parties.”
- Public Financing Still Alive: The Brennan Center opines that the U.S. Supreme Court’s recent denial of review in Elster v. City of Seattle is an indication that “the Court continues to affirm that public financing programs are constitutional.” The Elster case left intact the Seattle public financing system that provides four $25 vouchers to eligible residents for contributions to candidates for city office.
- Who Exactly is a Lobbyist?: City & State New York asks this question, but the answer is not always clear. The article points out that “the scope of actions that require individuals to register as lobbyists is especially broad in New York.”
- Business as Usual: The San Diego Union-Tribune reports that a city official who allegedly took gifts in excess of state limits from city contractors remains on the job five years later. According to the article, “officials learned about the corruption in 2015 and referred the case to the FBI.” But the FBI dropped the case and the city has launched its own investigation. The employee “advised the contractors to increase their projected costs in city contracts and approved options on the contracts that were worth millions of dollars.” At the same time, the employee received Las Vegas show tickets, home improvements, theme park tickets, a television, meals, golf outings, airfare, hotel, and entry to a Bay Area sporting event.
- Font Too Small: The City Auditor imposed a $500 fine on the campaign committee of the Mayor of Portland, Oregon for sending a mailer that “included required disclosures in significantly smaller font than the majority of the text in the printed material.” The Portland Mercury reports that the campaign previously was accused of a violation and received a warning letter, but this is the first fine issued to the Mayor’s committee.
- Phantom PAC Returns & Refunds: We previously reported Politico’s exposé of a PAC filing that reported large contributions and large expenditures. Politico found that none of the recipients of expenditures had heard of the committee much less received any funds. Now Politico reports that the phantom committee has “returned” the nearly $5 million in alleged contributions that it received, citing “‘refund due to POLITICO’” in a filing with the Federal Election Commission.