Compliance Notes - Vol. 6, Issue 1
RECENT LOBBYING, ETHICS & CAMPAIGN FINANCE UPDATES
Campaign Finance & Lobbying Compliance
California: The City of Oxnard, California’s 2020 campaign finance limitations violate the First Amendment because the provisions—which appear to target a political outsider—are not narrowly tailored to further a legitimate government interest, the U.S. Court of Appeals for the Ninth Circuit ruled on December 20, 2024. Such limits are allowed when they are “closely drawn” to advance the legitimate government interest of preventing the appearance of corruption, the Ninth Circuit said. In this case, however, there was evidence that Oxnard’s limitations take aim at Aaron Starr, the president of the plaintiff nonprofit Moving Oxnard Forward Inc. Starr had orchestrated an unsuccessful recall effort against a majority of the city council the year before the city proposed the new restrictions, the court said in a divided ruling. The heightened review was warranted considering the history of conflict between the city and Starr, the disproportionate burden of the restrictions on him and the city’s use of Starr as “the poster child” for why the restrictions were necessary, said Judge Daniel P. Collins, writing for the majority. (Holly Barker, Bloomberg Law)
New York: A Brooklyn real estate magnate accused of working with a Turkish government official to funnel illegal campaign contributions to New York City Mayor Eric Adams plans to plead guilty to a conspiracy charge tied to the scheme, federal prosecutors said December 23, 2024. In October, Erden Arkan was one of several individuals implicated in the sprawling corruption indictment brought against Mayor Adams. According to prosecutors, Arkan plans to plead guilty to a conspiracy to commit wire fraud charge by collecting campaign contributions for Adams that were made under the name of someone other than the true contributor. (Jake Offenhartz & Larry Neumeister, AP News)
Government Ethics & Transparency
Virginia: Former Virginia Sheriff Scott Jenkins was convicted on December 17, 20204, on federal bribery charges for deputizing individuals in exchange for cash payments. The jury in Charlottesville, Virginia, convicted the former Culpeper sheriff on all counts after several hours of deliberations. In 2023, Jenkins was indicted on 16 counts, including conspiracy, wire fraud and bribery concerning programs receiving federal funds. According to news reports, Jenkins took the stand in his defense and said there was no connection between the payments he received and the badges he handed out. Prosecutors said some bribes went to Jenkins’ campaign fund, while others were kept for personal use. Attorneys for Jenkins did not respond to an email on December 18 asking whether they plan to appeal the verdict. A sentencing hearing has been set for March 31. (AP News)
Legislation
New York: State Senator Brian Kavanagh (D) introduced a bill that would amend the election law regarding intermediary contributions to require disclosure of certain information when contributions are made by an intermediary to a candidate or an authorized committee. Senate Bill S76 was referred to the Elections Committee. (Senate Bill S76)
We read the news, cut through the noise and provide you the notes.
Compliance Notes from Nossaman’s Government Relations & Regulation Group is 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. If there is a particular subject or jurisdiction you’d like to see covered, please let us know.
