Compliance Notes - Vol. 5, Issue 26
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.
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Campaign Finance & Lobbying Compliance
Colorado: A two-week trial began Monday, July 15, 2024, in the federal lawsuit seeking to overturn Colorado’s voter-approved state campaign contribution limits, which are among the lowest in the country. The lawsuit claims Colorado’s donation limits violate the First Amendment by limiting donors’ freedom of speech. The case was brought by three Republicans who argue that the limits benefit self-funding candidates who can bankroll their campaigns. Voters overwhelmingly adopted Colorado’s donation limits in 2002 through an amendment to the state constitution. Currently, the limits are $1,450 for candidates for statewide office and $450 for state legislative candidates. (Sandra Fish, The Colorado Sun)
Georgia: On Monday, July 8, 2024, the Eleventh Circuit Court of Appeals struck down an injunction blocking Georgia from enforcing a state campaign finance law against two nonprofits founded by former Democratic Georgia gubernatorial nominee Stacey Abrams. A 2019 Georgia state ethics commission complaint accused the New Georgia Project and the New Georgia Project Action Fund of canvassing for Democrat candidates, including Abrams, during the 2018 midterm elections without disclosing millions in electioneering expenses. A federal court in September 2022, however, blocked the state from enforcing the Georgia Government Transparency and Campaign Finance Act because the two nonprofits argued it was unconstitutional. The Eleventh Circuit vacated that ruling, concluding that the federal courts should not have acted on the matter in the first place. This ruling opens the door for the state to continue with its case against the nonprofits in state proceedings. (Robert Schmad, Daily Caller)
North Carolina: The North Carolina State Board of Elections voted to certify a political party that wants to put Robert F. Kennedy Jr. on the state’s presidential ballot this fall, but the panel rejected a similar petition effort by a group backing Cornel West. After weeks of reviewing the signature drives, the board voted 4-1 to recognize the “We The People” party that supporters of Kennedy are using as a vehicle for him to run in a handful of states. The decision means the party can place Kennedy on statewide ballots. However, the board voted 3-2 along party lines to block the “Justice for All Party of North Carolina,” the group that supports West, from ballots. Board staff said both groups collected enough valid signatures from registered and qualified voters. Board Chair Alan Hirsch, a Democrat, said that while he believed thousands of signatures turned in by Justice for All were credible, he had serious misgivings about the purpose of signature collectors unrelated to the group that also turned in petitions. (Gary D. Robertson, AP News)
Government Ethics & Transparency
Sen. Bob Menendez (D-N.J.) was found guilty on Tuesday, July 16, 2024, of federal bribery charges accusing him of accepting “hundreds of thousands of dollars” in bribes in exchange for wielding his influence to benefit foreign governments and a trio of businessmen. Prosecutors accused the senator of accepting bribes that included gold bars while using his position to enrich the co-conspirators as well as the government of Egypt. Superseding indictments between October 2023 and March 2024 charged Menendez with conspiring to act as a foreign agent on behalf of Egypt, accused him of accepting bribes from New Jersey businessman Fred Daibes in exchange for helping the government of Qatar, and charged him with obstruction of justice. Menendez was found guilty on all 16 felony counts to which he had pleaded not guilty. Menendez told reporters that he was “deeply disappointed” by his conviction and was confident his legal team would successfully appeal it. Menendez is set to be sentenced on October 29, 2024, just a week before the November election, Reuters reported. (Ivana Saric, Axios)
