Compliance Notes - Vol. 7, Issue 13
RECENT LOBBYING, ETHICS & CAMPAIGN FINANCE UPDATES
U.S. Supreme Court Election Law Rulings
National Republican Senatorial Committee v. Federal Election Commission: In a 6-3 decision, the U.S Supreme Court struck down federal limits on coordinated spending between candidates and political parties, holding the limits violate the First Amendment. The ruling, authored by Justice Brett Kavanaugh, could have an immediate impact on the 2026 midterm elections by removing the ceiling on party-campaign coordination, giving candidates more control over money spent on their election and likely increasing advertising expenditures. The decision may also strengthen party committees and lessen the importance of super PACs by reducing parties’ reliance on independent expenditure committees. Democrats criticized the ruling as empowering wealthy donors and increasing the risk of corruption, while Republicans praised the ruling as a win for free speech. (Lawrence Hurley, NBC News)
Watson v. Republican National Committee: In a 5-4 decision, the Supreme Court rejected a Republican National Committee challenge and upheld a Mississippi law allowing mail-in ballots to be counted if postmarked by Election Day even if they arrive afterward. Justice Amy Coney Barrett wrote that the law does not unlawfully conflict with federal law, while Justice Samuel Alito dissented, warning the ruling could undermine election integrity. The decision leaves Mississippi’s five-day receipt window and similar laws in other states in place ahead of the 2026 midterm elections. (Lawrence Hurley, NBC News)
Campaign Finance & Lobbying Compliance
Arizona: House Concurrent Resolution 2001 passed the Arizona legislature and will appear on the November 2026 ballot as a proposed constitutional amendment that would bar foreign nationals from contributing or spending money to influence Arizona elections. The measure also would restate only U.S. citizens may register and vote in Arizona, and would require government-issued proof of identity for all voting methods. Supporters said the proposal would strengthen election safeguards and restore trust, while critics argued it is redundant and could undermine voting by mail. (AZ Free News)
New Hampshire: Governor Kelly Ayotte signed SB 405 on June 19, 2026, increasing the cap on anonymous contributions to candidate political committees. The limit increases from $150 to $200 per election cycle, effective August 18, 2026. The law also raises the threshold for disclosing a donor’s occupation and employer to $1,000 per two-year cycle. (Ethan DeWitt, New Hampshire Bulletin)
Washington: The Washington Supreme Court upheld a $35 million campaign finance penalty against Meta in a split decision, affirming enforcement of the state’s Fair Campaign Practices Act disclosure and recordkeeping requirements for digital political ads. The state said Meta repeatedly failed to maintain and make available required records about political advertising, and a majority of the justices rejected Meta’s argument that the law is unconstitutional under the First Amendment. Attorney General Nick Brown called the ruling a major win for election transparency; Meta said it was disappointed and evaluating the decision. (Jake Goldstein-Street, Washington State Standard)
Government Ethics & Transparency
The Justice Department opened an investigation into Senator Ruben Gallego over possible campaign finance violations tied to committee-funded travel and entertainment expenses, according to reports citing a whistleblower complaint. The scrutiny follows reporting that a joint Gallego and Eric Swalwell fundraising account spent more than $37,000 on Super Bowl tickets and meals, and that Gallego’s committees paid for childcare and family travel tied to PAC retreats, including Disney trips. Gallego has denied wrongdoing and his office framed the probe as politically motivated. (Victor Nava, New York Post)
Connecticut: The State Elections Enforcement Commission voted unanimously June 17, 2026, to advance a complaint alleging misuse of campaign funds by three Republican campaigns in connection with the 2024 election. The complaint was filed by Democrat Town Committee chairs in Mansfield, Pomfret and Windham and targets the campaigns of Christopher Reddy, Aaron Bowman and state Representative Anne Dauphinais, as well as their shared treasurer, William Jenkins. The complaint alleges the campaigns collectively paid $56,000 to “Sale Co.” for electronic media advertising, although state records do not show a registration for “Sale Co.” with the Secretary of the State and the address provided was the apartment of consultant Devin Keehner. It also alleges the campaigns made allegedly illegal post-election payments to political allies instead of returning unspent Citizens’ Election Program funds. Dauphinais and Bowman said no findings have been made, disputed the suggestion that funds were misused and said they would cooperate as the matter moves to a hearing officer. (Donald Eng, CT News Junkie)
Wisconsin: Wisconsin Elections Commission chair Don Millis urged Attorney General Josh Kaul to intervene to help speed resolution of a litigation hold and prevent the release of about 265,000 Milwaukee absentee ballots from the 2020 election, citing ballot secrecy and frustration that the ballots remain in storage as the FBI interviews city election officials. Millis said the FBI has been presented with conspiracy theories but has been shown information indicating the 2020 count was proper, and he argued Milwaukee can destroy the ballots under state law after 22 months. Fellow WEC member Bob Spindell said the ballots should be turned over to the FBI for review, while Milwaukee Mayor Cavalier Johnson criticized the federal interest as an effort to relitigate the election. (Rich Kremer, Wisconsin Public Radio)
Ballot Measures & Elections
A U.S. district judge in Massachusetts halted President Trump’s executive order that would have required documentary proof of citizenship to register to vote or update voter registration. Judge Denise Casper held the order unconstitutional, writing that the Constitution “does not grant the President any specific powers over elections” and that election rules are largely set by states, while Congress has authority to pass laws regulating elections. The ruling prevents the order’s provisions from taking effect and comes as Congress considers a similar proof of citizenship requirement in the Save America Act. (Rachel Leingang, The Guardian)
Massachusetts: The Massachusetts Supreme Judicial Court cleared a ballot initiative that would create an all-party “jungle primary” system, allowing all candidates to run in a single primary and sending the top two finishers to the general election. The court rejected a lawsuit arguing the proposal would violate the state constitution by limiting voter choice and overemphasizing low-turnout primaries, finding it does not disenfranchise voters because all qualified voters could participate in both elections and write-in options would remain available. Massachusetts voters will vote on the initiative in the November 2026 election. (Erik Uebelacker, Courthouse News Service)
Missouri: Governor Mike Kehoe has warned that “out-of-state special interests” are using citizen-led ballot initiatives to amend Missouri’s constitution, and has publicly supported Amendment 4 on the August 4, 2026 primary ballot to make citizen-initiated constitutional amendments harder to pass. At the same time, Kehoe placed Amendment 5 on the August 2026 ballot to phase out the state income tax, while the PAC supporting it, Missouri Promise PAC, has received $1.9 million from Missouri Promise Inc., a Delaware nonprofit that does not disclose its donors. The PAC’s treasurer said the campaign has made all disclosures required under Missouri law. (Jeremy Kohler, ProPublica)
Montana: Campaign finance filings show that I-194, an anti-dark money ballot initiative known as the Montana Plan, is being financed largely through a nonprofit fundraising vehicle whose donors are not publicly disclosed. If passed, the measure would restrict political spending by “artificial persons” such as nonprofits and corporations, while most of the initiative committee’s own support has come from the Transparent Election Initiative, a nonprofit run by the same organizers that is not required to disclose its donors. The structure has drawn scrutiny from the Montana Commissioner of Political Practices, who is questioning whether TEI is properly classified as an “incidental committee” and could require donor disclosure if it must reclassify. Organizers say they have collected more than the 30,100 signatures needed to qualify for the November ballot, pending certification. (Victoria Eavis, Montana Free Press)
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.
