Following a major rewrite last year of its “pay-to-play” disclosure rules, Maryland has made further changes that expand the obligations of state and local government contractors to report their political contributions, and those of their subsidiaries, officers, directors, partners, and PACs. Now, in addition to reporting direct contributions to candidates, contractors will also have to

Ramping Up for the 2016 Cycle Make Compliance a Priority for LobbyingThursday, March 26, 2015
1:30 p.m. – 2:30 p.m. ET – Webinar

The Justice Department recently announced its first criminal prosecution for coordination. States like Virginia are revamping their ethics laws and California recently imposed new restrictions on lobbyists. Although the IRS has yet to issue regulations for 501(c)(4)s, many states have created new disclosure requirements for politically active nonprofit groups. Maryland has imposed tough new disclosure requirements on state contractors that make campaign contributions. 
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The Maryland legislature overhauled the state’s campaign finance law almost two years ago, but many of the key provisions did not take effect until January 1, 2015. These changes significantly affect state government contractors by introducing a new electronic registration system overseen by the State Board of Elections, and requiring electronic reporting of contributions made

FlagsIn every election, campaigns and their political fundraisers must navigate a complex and ever-changing array of laws, which increasingly are being rewritten by the courts. The rules changed again last month, when the Supreme Court in McCutcheon v. FEC struck down the limit on the amount an individual may give during an election cycle to all federal candidate and PACs, and to the national political parties. While the ruling did not directly involve any state laws, the Court’s reasoning – that the First Amendment forbids restrictions on how many candidates or committees a donor may support – cast doubt on the constitutionality of laws in about a dozen states that also impose aggregate limits.

Yet with elections just weeks or months away, only a few of the states potentially affected by McCutcheon have indicated how they will interpret and apply it. Most have been silent, perhaps waiting for a lawsuit to force the issue, or a contributor who flouts the aggregate limit and dares the state to enforce it.
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Louisiana imposes an aggregate limit of $100,000 on a person’s contributions to a political committee in Louisiana during a four-year election cycle. An independent expenditure-only committee (i.e., a Super PAC) supporting gubernatorial candidate David Vitter sued, arguing that the cap is unconstitutional as applied to super PACs. A federal judge has now agreed.

“[I]ndependent expenditure committees are sacrosanct under the First Amendment.”

The Louisiana judge sided with the unanimous rulings of seven federal courts of appeals that have struck down limits on contributions to Super PACs. Based on these rulings, and the Supreme Court’s landmark Citizens United case, the judge observed that as a matter of law “independent expenditures present not even a marginal risk of corruption,” a principle that holds even if the Super PAC is formed to support a single candidate.


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Ron Jacobs and Larry Norton presented “Election-Year Advocacy: Maintaining Your Nonprofit’s Clear Message in Cloudy Legal Seas,” a webinar covering topics for nonprofits engaged in political activity. It included topics such as:

  • The rules that apply to 501(c)(4) and 501(c)(6) organizations and how those rules are changing;
  • How to operate a political action committee (PAC),

As we described in a January 16 post, moments after being sworn in as Virginia’s 72nd governor on January 11, Governor McAuliffe signed an executive order imposing new gift restrictions on Executive Branch employees and officers and their immediate family members. The Executive Order applies only to individuals that work in Virginia’s Executive Branch. 

Like 15 other states, Ohio has a law that prohibits false statements made during a campaign. The law allows virtually anyone to file a complaint alleging that an ad is false and allows the Ohio Elections Commission to make the initial determination as to whether it is truthful or not. The problem is that once

As discussed last fall, against the fairly settled case law around the country, New York continued to fight against Super PACs. A Super PAC is a political committee that typically funds ads advocating for or against candidates, but that may not coordinate its spending with candidates and their campaigns. New York argued that its annual

SCOTUSMuch of the post-McCutcheon discussion has focused on what might follow from the decision: are there other dominos to fall? Some predicted the ban on direct corporate contributions might be in play and noted that there was a case pending for the Supreme Court to consider. But Monday, the Court declined to hear that