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AP

Tea party-aligned S. Carolina candidate bankrolled by Kentucky natural gas exec

By Michael Beckel

Natural gas executive James Willard Kinzer of Kentucky is one of more than 100 small business owners listed online as supporting Curtis Bostic, the former Charleston County councilmember who appears to have advanced to a runoff against former Gov. Mark Sanford following Tuesday's 16-way GOP primary in South Carolina's 1st Congressional District.

But he's much more than that.

Not only did Kinzer donate the legal maximum to Bostic's underdog campaign, he pumped $30,000 into a pro-Bostic super PAC called the "Coastal Conservative Fund." The group is likely named as such since the 1st Congressional District stretches along the Palmetto State's coast.

Records filed with the Federal Election Commission show that Kinzer personally gave the super PAC $10,000 on February 13, the day after Quality Natural Gas, LLC, a Kinzer family owned company, contributed $20,000. The two donations account for the entirety of the money the super PAC has reported raising.

The Kinzer clan, furthermore, accounted for more than half of the money that Bostic raised from individuals ahead of Election Day, according to a Center for Public Integrity analysis of FEC records. 

Six members of the family, including its elderly patriarch, each donated $7,500 to Bostic on February 11 — a combined total of $45,000. Bostic reported raising just shy of $90,000 ahead of Election Day, on top of the $150,000 he loaned his campaign. 

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Purdue University

Purdue University to slash government lobbying

By Dave Levinthal

Purdue University — among the strongest lobbying forces in higher education — will soon slash its government affairs efforts in Washington, D.C., two federal lobbyists familiar with the decision tell the Center for Public Integrity.

The decision, confirmed to the Center by a Purdue official, will involve terminating its contract with a large outside lobbying firm and shrinking the budget of its office in Capitol Hill.

The school's D.C.-based in-house lobbyist, Director of Federal Relations Lisa Arafune Pickett, is also leaving the university.

"Yes, we are downsizing our effort," said Chris Sigurdson, the university's assistant vice president of external relations. "We're looking to save money, and we're looking for ways to keep Purdue more affordable." 

Sigurdson said he did not know precisely how much money the university would save by shrinking its lobbying efforts, but he described the cuts as "considerable" and "in progress."

FaegreBD Consulting, which along with its predecessor firms have lobbied for Purdue since the 1990s, will no longer represent the university, Sigurdson said.

Purdue has yet to file a formal lobbying termination report with the U.S. House and U.S. Senate, congressional records indicate. A  representative from FaefreBD Consulting could not be reached for comment. 

Deborah Hohlt, a D.C.-based lobbyist whose recent clients have included Indiana's state government and Indiana University Health, Inc., will lobby on Purdue's behalf on a contractual basis, Sigurdson said.

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Jimmy Emerson/Flickr

Shaun McCutcheon hopes donation in S. Carolina election will be first of many nationwide

By Michael Beckel and Dave Levinthal

Shaun McCutcheon, the Alabama Republican who is the lead plaintiff in a case to overturn the government’s existing biennial limit on campaign contributions, has thrown his financial support behind Larry Grooms, a conservative state senator vying for the GOP nomination in South Carolina 1st Congressional District’s special election.

McCutcheon donated $1,776 to Grooms on Friday, according to documents recently filed with the Federal Election Commission. It’s McCutcheon’s first federal-level donation of the 2013-14 election cycle — the South Carolina primary is today — and if he has his way, it’ll be the first of a multitude.

McCutcheon’s legal challenge to the existing biennial aggregate contribution limit is slated to be heard before the U.S. Supreme Court later this year. And as far as he’s concerned, removing the cap is “a free speech issue,” McCutcheon told the Center for Public Integrity last week while attending the Conservative Political Action Conference in National Harbor, Md.

“I just want to donate to more candidates,” he said, adding rhetorically: “Why am I not free to spend money however I want?”

McCutcheon argued that removing the biennial limit would benefit non-incumbent candidates because they’d have a greater chance of scoring a donation from donors who have the means — if not today the legal right — to spread their cash far and wide.

The change would also bring individuals’ federal-level donation rights in line with those of political action committees, which do not have to abide by an overall donation limit.

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Rep. Jim McDermott, D-Wa. house.gov

Jim McDermott forms leadership PAC

By Dave Levinthal

It's never too late to enter the political cash race.

Exhibit A: Rep. Jim McDermott, D-Wash., who's served in Congress since 1989, and at age 76, is the 14th oldest member of the U.S. House of Representatives.

After nearly a quarter-century without a leadership political action committee, McDermott joined hundreds of his congressional colleagues and formed one on March 8, according to Federal Election Commission records

McDermott is calling his new fundraising vehicle the Common Good Fund, and its treasurer is Phillip Lloyd of Seattle.

McDermott's leadership PAC will operate separate and apart from his campaign committee. And through it, McDermott may raise up to $5,000 per year from individuals and other PACs and spend accumulated money for various purposes — travel, communications, donating to political brethren — that don't directly fuel his own re-election campaign.

Not that McDermott has needed much cash to get re-elected, having not faced significant competition in years.

During the 2012 election cycle, for example, his campaign spent just north of $600,000 — well below the more than $1.6 million incumbents on average spent on their re-election campaigns, according to the Center for Responsive Politics.

A McDermott spokesperson could not immediately be reached for comment on why, after all these years, the congressmen is forming a leadership PAC this month.

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Wikipedia

Massachusetts outside money pledge unraveling?

By Dave Levinthal

Hopes that the race to fill Secretary of State John Kerry's vacated U.S. Senate seat would be not be subject to the type of spending unleashed by the U.S. Supreme Court's Citizens United decision continued to fade Friday.

NARAL Pro-Choice America became the latest outside group to spend money in the Massachusetts' special primary — despite the candidates' pledge to curb such organizations from spending money on broadcast, online and direct mail advertisements.

Federal Election Commission records show NARAL spent nearly $8,000 on "copy, art and production"  and "list rental" expenses but the filings don't indicate whether the funds fueled activities included in the pledge. A NARAL representative could not immediately be reached for comment.

Update, March 15, 2013, 11:49pm: NARAL spokeswoman Samantha Gordon said in an email that "we strongly support efforts to keep outside ads from flooding the airwaves in Massachusetts, and we are not running any ads in this primary campaign. But we believe it is fundamental to democracy to create pathways for citizens to participate actively in the political decisions that will affect their lives." Gordon continued: "Choice will be huge in this race, and we’re proud to use grassroots efforts to encourage our members and supporters to communicate with their friends and neighbors about the importance of the issue in this race."

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Senate Minority Leader Mitch McConnell Evan Vucci/The Associate Press

McConnell tries to paint Democrats as party of the rich

By Michael Beckel

Senate Minority Leader Mitch McConnell, R-Ky., argued today that Democrats, not Republicans, are the party of the rich.

"Don't tell me Republicans are the party of millionaires and billionaires when Obama's campaign arm is charging a half-million dollars for a meeting over near the White House," McConnell said, referencing the new nonprofit Organizing for Action, whose donors will reportedly get special access to President Barack Obama.

McConnell delivered his comments in a speech today at the annual Conservative Political Action Conference.

Donors who raise at least $500,000 for Organizing for Action — launched by former Obama campaign aides — will qualify to be part of a national advisory board, which comes with "the privilege of attending quarterly meetings with the president, along with other meetings at the White House," the New York Times reported last month.

White House and OFA officials have dismissed the idea that the nonprofit is selling access. They counter that the group will be a grassroots-focused organization that works to support the president's legislative agenda and will build off of the Obama's campaign success with small-dollar donors and volunteers.

During the 2012 election cycle, about 60 percent of Obama's campaign cash came from donors who gave less than $1,000, according to the Campaign Finance Institute, with 28 percent coming from donors who gave $200 or less.

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Texas Gov. Rick Perry speaks at a fundraising dinner. Bill Kostroun/AP

Rick Perry zings fellow Republicans on national stage

Texas Gov. Rick Perry on Thursday called the Medicaid expansion piece of federal health reform “fiscal coercion” and blamed “friends and allies in the conservative movement” who have embraced it, saying they have “folded in the face of federal bribery and mounting pressure.”

Speaking at the Conservative Political Action Conference in Washington, D.C., Perry, who ran a failed bid for president last year, also seemed to take a shot at his party. He suggested that claims published in the media that voters had rejected conservative causes would only be true if Republicans had “actually nominated conservative candidates in 2008 and 2012.”

To read the full story, co-reported by the Center for Public Integrity's Dave Levinthal and the Texas Tribune's Emily Ramshaw, click here.

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Conservative attorneys Allen Dickerson (left), Benjamin Barr and Dan Backer appear at a March 14, 2013, CPAC panel. (Dave Levinthal/Center for Public Integrity)

CPAC panel: Shrink the Federal Election Commission

By Michael Beckel

NATIONAL HARBOR, Md. — Three conservative attorneys had harsh words for the Federal Election Commission, the government agency tasked with regulating elections, during a campaign finance-themed event today at the annual Conservative Political Action Conference.

Benjamin Barr, who specializes in First Amendment law, predicted that continued legal challenges would help "lessen the teeth" of the FEC, which, in an ideal world, he said, would be "shut down."

The agency's regulatory authority "is very small," he said, while lamenting that political activists have become "habituated" to "bowing in compliance with the federal government" by registering and reporting their financial activities to the six-member commission. The commission is now operating with five commissioners because of the resignation of Democrat Cynthia Bauerly in February.

Such talk came during a week when the nonpartisan Center for Responsive Politics estimated that the 2012 election cost more than $6.3 billion at the federal level.

While campaign finance reformers are also routinely critical of the FEC's performance and lament the commission's frequent deadlocked votes on key cases, they've typically argued that the federal government should be strengthened, not weakened.

But the regulatory environment today, Barr told the Center for Public Integrity, is that "six unelected bureaucrats in Washington" are creating "Rube Goldberg machines that weigh and balance eleven different factors that nobody gets."

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Window of a Hong Kong Hallmark store decorated for Christmas. Wikimedia

Greeting card industry sending Congress special interest delivery

By Dave Levinthal

Proposed cuts to the cash-hemorrhaging United States Postal Service, including eliminating Saturday delivery, are prompting outcries from lobbying interests as diverse as letter carriers to consumer groups.

Be sure to also include within their ranks the greeting card industry, which relies on the postal service for its business as much as any.

Hallmark Cards Inc. and the Greeting Card Association have both re-signed lobbyist Rafe Morrissey to advocate on their behalf for "all matters pertaining to reform and operation of the United States Postal Service," according to new documents filed with the U.S. Senate.

Morrissey, who has long lobbied for both entities, started his own firm government affairs firm March 1. Hallmark and the GCA "elected to remain with me as clients," he explained to the Center for Public Integrity.

"Both have weighed in on the importance of maintaining six-day mail service as well as the need to pass reform legislation to stabilize USPS finances for the last four years," Morrissey said. "I expect these activities to continue, but there is not an increase in activities this year compared to past years."

Hallmark spokeswoman Linda Odell told the Center for Public Integrity that the company was "skeptical of the estimate of savings to be realized from the proposed elimination of Saturday delivery" and that reducing service was "the wrong approach [for] the future viability of the USPS."

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John Bolton

John Bolton forms super PAC

By Dave Levinthal

John Bolton, a former U.N. ambassador under President George W. Bush and a leading conservative voice on foreign policy issues, will lead a pair of newly formed political action committees, including a super PAC, two Bolton associates confirm to the Center for Public Integrity.

"The goal for the committees is restoring national security issues to their proper place on the political agenda," said Mark Groombridge, a long-time Bolton adviser.

Highlighting national security issues and U.S. policy in Asia and the Middle East will rank among the PACs' priorities, Groombridge said.

He added that the PACs' structure, staffing and fundraising goals haven't yet been formalized, and there's no timetable yet on when they'll enter the political fray — or how. 

"Those are details that are being worked out," Groombridge said. "For now, we just wanted to get the names registered."

Kelley Rogers, president of Virginia-based Strategic Campaign Group, which filed the committees' federal organizational paperwork, tells the Center: "We will have an announcement in a few weeks as to both entities."  

One committee is named Bolton for America PAC and is organized as a traditional political action committee, which may raise limited amounts of money and in turn donate limited amounts to political candidates and party committees, according to Federal Election Commission filings made public today.

The other, Bolton for America Super PAC, is also organized as a traditional PAC, although its establishment as such appears to be an easily corrected paperwork error.

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Writers and editors

Michael Beckel

Reporter The Center for Public Integrity

Michael Beckel joined the Center for Public Integrity as a politics reporter in February 2012, where his focus is super PACs and the infl... More about Michael Beckel

Dave Levinthal

Senior reporter The Center for Public Integrity

Dave Levinthal joined the Center for Public Integrity in 2013 to help lead its Consider the Source project investigating the influence of... More about Dave Levinthal