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RECENT LOBBYING, ETHICS & CAMPAIGN FINANCE UPDATES
We read the news, cut through the noise and provide you
the notes.
Welcome to Compliance Notes from Nossaman’s Government Relations & Regulation
Group – a periodic digest of the headlines,
statutory and regulatory changes and court cases involving campaign
finance, lobbying compliance, election law and government ethics
issues at the federal, state and local level.
Our attorneys, policy advisors and compliance consultants are
available to discuss any questions or how specific issues
may impact your business.
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Campaign Finance & Lobbying Compliance
Arizona: An Arizona GOP legislator who was
among the rioting crowds at the U.S. Capitol on Jan. 6, 2021, is
facing a campaign finance complaint alleging that he illegally used
cash from a failed re-election bid to attend the events. The
complaint filed with the Secretary of State’s Office against
Sen. Anthony Kern (R-Glendale) claims that Kern improperly used
campaign funds from his failed 2020 re-election – funds
including airfare and a hotel stay – to travel to Washington,
DC to attend the events of Jan. 6, 2021. Arizona campaign finance
law says candidates cannot use campaign cash for activities
unrelated to winning their elections. The complaint argues that
Kern’s attendance at the rally two months after losing his
election constitutes personal use. If the secretary of state
believes Kern likely violated campaign finance law, the complaint
will be sent to the Attorney General’s Office to determine if
the law was broken. If the AG decides that Kern violated the law,
he must “take corrective action within twenty days” or
face a penalty that can be appealed to the superior court. (Jerod Macdonald-Evoy, Arizona
Mirror)
New York: Last week the FBI searched the home
of New York City Mayor Eric Adams’ chief election campaign
fundraiser, Brianna Suggs, and city officials and local media
reported she was questioned by public corruption investigators.
Citing a search warrant, The New York Times reported the
early morning raid was part of a federal investigation into whether
Adam’s 2021 mayoral campaign conspired with a Brooklyn
construction company and the Turkish government to funnel foreign
money into the campaign through a straw donor scheme. Adams, who
was not accused of any wrongdoing in the indictments, has said he
and his campaign team had no knowledge of or involvement in the
alleged scheme. Public records show Adams’ 2025 election
campaign has paid Suggs’s consulting firm, Suggs Solutions,
about $98,000 so far. (Jonathan Allen, Reuters)
Government Ethics & Transparency
Alabama: Ahead of planned revision to
Alabama’s ethics law, members of the House Ethics and Finance
Committee discussed efforts since 2010 to amend the state’s
ethics code. The gathering was the third in a series of “work
meetings” providing context to legislators planning to amend
the state’s ethics code, after an August 2019 report
recommended changes including tightening language and offering
graduated penalties for specific violations. There will be one more
meeting in November, that will conclude the informational portion
of the committee before members begin working to craft legislation
to update the state’s ethics code just before the 2024
legislative session, that begins in February 2024. (Ralph Chapoco, Alabama Reflector)
Wyoming: Members of the Wyoming
Legislature’s Joint Corporations, Elections and Political
Subdivisions Committee advanced bill drafts that would change the
state’s election laws. The proposed legislation would expand
the definition of “organization” to include “any
group of two (2) or more persons that … pools or otherwise
jointly expends funds totaling in aggregate more than $1,000.”
This would make reporting less burdensome by allowing groups to
report campaign expenditures or electioneering communications
without registering as a PAC. The legislature will consider the
bill in the 2024 budget session. (Hannah Shields, Wyoming Tribune
Eagle)
Ballot Measures & Elections
Florida: Attorney General Ashley Moody urged
the Florida Supreme Court to reject a proposed constitutional
amendment that seeks to ensure abortion rights, describing the
measure as an effort to “hoodwink” voters. In a 39-page
brief, Moody argued that the proposal should be kept off the 2024
ballot because the wording of the ballot summary would be
misleading to voters. Moody raised a series of objections to the
wording, including contending the word “viability” can
have multiple meanings. Among other issues raised in the brief,
Moody said the wording about protecting the “patient’s
health” does not explain whether it refers to physical health
or also mental health. The Supreme Court plays a critical role as
it reviews proposed ballot measures to determine if the wording is
clear and is limited to single subjects. It can reject initiatives
that don’t meet legal standards. (NBC 6)
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