What might have been a slow news week in state government took an unexpected turn on September 3. Governor Kim Reynolds announced that Lieutenant Governor Adam Gregg was resigning, effective the same day. Minutes later, the Iowa Bankers Association revealed that Gregg would join the association as president and CEO, beginning on October 1.

There’s a lot to unpack here.

It’s a textbook example of spending to influence an election.

A brand-new organization, “Citizens For Des Moines,” was registered with the Iowa Secretary of State on October 20. Its president, Doug Gross, is a prominent Republican attorney and major donor to city council member Connie Boesen’s mayoral campaign. The group paid to print and send at least two mass mailings attacking Boesen’s main rival in the mayoral race, which reached numerous Des Moines voters less than a week before the November 7 election.

Iowa law requires disclosure of independent expenditures that support or oppose a candidate for office, and requires political action committees to periodically report on their fundraising and spending. But Citizens For Des Moines exploited gaps in the law, so voters will be unable to find out who donated to the group or how much was spent on mail targeting city council member Josh Mandelbaum.

Governor Kim Reynolds’ office told a state regulator no public funds were used for the twelve “Fair-side chats” Reynolds held with Republican presidential candidates during the Iowa State Fair last month.

Reynolds conducted friendly interviews with the candidates in the courtyard of JR’s SouthPork Ranch, a restaurant on the state fair grounds. A sign produced for the events featured a logo and the words “Gov. Kim Reynolds’ Fair-side chats.”

I sought to clarify who paid for the sign and other expenses associated with the chats, because Iowa Code Chapter 68A.405A prohibits statewide elected officials from spending public funds on “any paid advertisement or promotion” bearing the official’s “written name, likeness, or voice” in a range of settings, including “A paid exhibit display at the Iowa state fair […].” Reynolds signed that statute (commonly known as the the “self-promotion law”) in 2018.

The Iowa Ethics and Campaign Disclosure Board voted unanimously on April 6 to fine Republican State Representative Eddie Andrews $250 and reprimand him for distributing campaign materials in 2022 that lacked the attribution statements required by law.

In a separate complaint, the board vacated a $500 fine previously assessed to Andrews, but kept an official reprimand in place, citing his campaign’s “failure to cooperate with the Board’s investigation.”

The Iowa Ethics and Campaign Disclosure Board has asked state lawmakers to approve a bill requiring donors to opt in to recurring contributions to Iowa candidates or political committees.

The agency charged with enforcing Iowa’s campaign regulations pre-filed the bill last month, after the six-member board unanimously voted to recommend the policy at its November meeting.

Some political text messages are subject to Iowa’s law requiring disclosure of who is responsible for express campaign advocacy, the Iowa Ethics and Campaign Disclosure Board has determined.

Members of the board, which enforces Iowa campaign regulations, unanimously adopted an advisory opinion on political text messages at a September 22 meeting.

The Iowa Ethics and Campaign Disclosure Board gave advance approval of Governor Kim Reynolds’ plan to deliver a nationally-televised speech on behalf of Republicans from state government property.

Reynolds delivered the GOP response to President Joe Biden’s State of the Union address from the terrace of the State Historical Building in downtown Des Moines. That part of the facility has been closed to the public all year due to renovations.

The Iowa Department of Cultural Affairs did not charge the governor’s office for the space, which previously cost thousands of dollars to rent. However, documents Bleeding Heartland obtained through public records requests show the Kim Reynolds for Iowa campaign and the CNN television network covered some other costs associated with the State of the Union response.

Iowa law prohibits “the expenditure of public moneys for political purposes.” But a few days before the March 1 speech, the ethics board’s executive director Zach Goodrich assured the governor’s senior legal counsel that based on his understanding of the facts, Reynolds “would not be in violation” of that code section if she spoke from the State Historical Building.

More than four years after signing into law a ban on using public funds to promote the name, likeness, or voice of Iowa’s statewide elected officials in a “paid exhibit display at the Iowa state fair,” Governor Kim Reynolds continues to spend part of her office budget on an Iowa State Fair booth plastered with her name and picture.

Neither the Republican-controlled legislature nor the state board charged with enforcing the self-promotion law have taken any steps to remedy the situation.

The Iowa Ethics and Campaign Disclosure Board may soon clarify whether state laws on attribution statements apply to some kinds of political text messages, the board’s executive director Zach Goodrich told Bleeding Heartland.

Goodrich plans to draft an advisory opinion that would confirm when text messages are “electronic general public political advertising” subject to Iowa’s law requiring disclosure of who is responsible for express campaign advocacy.

The Iowa Ethics and Campaign Disclosure Board will not ask the state legislature to limit the practice of candidates automatically opting donors into recurring contributions.

No one suggested new campaign finance regulations when board’s six members discussed 2022 legislative proposals during an August 12 meeting.

The Iowa Ethics and Campaign Disclosure Board unanimously found that Governor Kim Reynolds did not violate a state ban on “self-promotion” last year when she appeared in advertisements promoting COVID-19 safety measures.

The board reviewed the “Step Up, Stop the Spread” online and television ad campaign, funded through federal COVID-19 relief dollars, after State Auditor Rob Sand asserted in a report that Reynolds violated a state law prohibiting “self-promotion with taxpayer funds.”

The Iowa Ethics and Campaign Disclosure Board on August 12 formally closed its investigation of Heritage Action for America, after finding no evidence the national conservative group lobbied Governor Kim Reynolds’ office earlier this year.

The board, which is charged with enforcing state laws on lobbying the executive branch, authorized executive director Mike Marshall in May to review possible undisclosed lobbying by Heritage Action. Mother Jones had recently published video of the group’s leader bragging to donors about working “quickly” and “quietly” to help write Iowa’s new election law.

The Iowa Ethics and Campaign Disclosure Board will review advertisements featuring Governor Kim Reynolds, which were funded through federal COVID-19 relief dollars.

The board’s executive director Mike Marshall told Bleeding Heartland on June 18 that some commercials from the “Step Up, Stop the Spread” campaign launched last November “are now under review by the Ethics Board.” Earlier this month, State Auditor Rob Sand asked the board to consider whether the ads violated Iowa’s law banning state officials from engaging in “self-promotion with taxpayer funds.”

Marshall said he anticipates the ethics board will discuss the matter in closed session at its next meeting, scheduled for August 12.

The Iowa Ethics and Campaign Disclosure Board may discuss whether to regulate campaigns pre-selecting recurring donation options, according to executive director Mike Marshall.

In May, the Federal Election Commission unanimously recommended that Congress ban the practice, which Donald Trump’s campaign used to raise enormous sums in 2020. Many of Trump’s supporters did not realize they were committing to recurring gifts and later asked for refunds or filed fraud complaints.

At least three Iowa Republican office-holders–Governor Kim Reynolds and U.S. Representatives Ashley Hinson and Mariannette Miller-Meeks–adopted the tactic this year. Some of their fundraising pages on the WinRed platform have two boxes pre-selected: one for a recurring monthly donation, and one for an additional contribution on a specific date in the near future.

A special investigation by the State Auditor’s office asserted on June 3 that Governor Kim Reynolds violated Iowa law by using $152,585 in federal COVID-19 relief funds to purchase “online and televised ads containing the Governor’s voice, image, and name.”

Less than 30 minutes after the auditor’s report was published, Reynolds responded in a news release that the law “clearly allows” such use of public money in the context of a public health disaster emergency.

A few hours later, State Auditor Rob Sand defended his conclusions in a new written statement.

My non-lawyer’s reading of the relevant statutes aligns with the governor’s interpretation. But while legal points could be argued, one indisputable fact is that all parties involved should have discussed these findings prior to the report’s publication, instead of duking it out in news releases today.

The Iowa Ethics and Campaign Disclosure Board voted on May 26 to authorize a formal staff investigation of possible undisclosed lobbying of Governor Kim Reynolds’ office by the conservative group Heritage Action for America.

The board’s executive director and legal counsel Mike Marshall had been informally investigating the matter after Mother Jones published video of Heritage Action’s executive director bragging about helping to write voter suppression laws in Iowa and other states. Jessica Anderson told donors at a private meeting in April that her group had “worked quietly” with Iowa lawmakers to help draft and support a new election bill, getting it passed with “little fanfare.” But the Washington, DC based organization, which is affiliated with the Heritage Foundation, hadn’t registered a position on the bill or filed reports required of those who lobby state government.

The Iowa Ethics and Campaign Disclosure Board is seeking further information on Heritage Action for America‘s efforts to lobby state government. The Associated Press was first to report on May 14 that the agency’s top staffer Mike Marshall asked Heritage Action’s executive director Jessica Anderson for details on her Iowa government contacts.

The previous day, leaked video showed Anderson bragging to Heritage donors that her group had “worked quietly” with Iowa lawmakers to help draft and support a new election bill, getting it passed with “little fanfare.”

Good news for Iowans who care about ethics rules and money in politics: Mike Marshall will be the next executive director of the Iowa Ethics and Campaign Disclosure Board.

Des Moines freelance writer John Morrissey digs into how a well-connected company landed a lucrative state contract. Laura Belin contributed reporting to this story.

Four months after being awarded a contract to administer Iowa’s worker’s compensation program for state employees, a politically connected West Des Moines company has apparently not come to terms with the state to continue its work.

Sedgwick Claims Management Services LLC was selected in early March to keep handling the program, even though a competitor achieved a better score on three cost proposal items. The state will pay Sedgwick $7.9 million in administrative costs over six years. Runner-up bidder TRISTAR Risk Enterprise Management LLC offered to do the work for a little more than $6 million, a potential savings of nearly $1.9 million over the contract period.

The Iowa Department of Administrative Services (DAS) provided copies of all submitted bids for the current and previous bid cycles upon receiving John Morrissey’s public records request. But the department has declined further comment about the award and refused to clarify the scoring system or other matters related to this bid process. The new DAS director Jim Kurtenbach did not respond to a request for an interview about this matter.

Sedgwick’s bid contact officer referred questions to several state officials and the company’s public relations office. That office also did not respond to Bleeding Heartland’s inquiry.

Enforcement of Iowa ethics law is a joke.

Dubuque County Treasurer Eric Stierman and Winneshiek County Treasurer Wayne Walter stayed for free in a vendor’s Florida condo a few months ago, Ryan Foley reported for the Associated Press on March 13. The condo’s owner is Marc Carr, whose company GovTech Services collects local taxes for most of the state’s counties. The officials “denied any wrongdoing, describing Carr as a friend with whom they had previously vacationed in Florida.”

Iowa gift law does not exempt friends or vacations. While Stierman and Walter committed a particularly outrageous violation, their disregard for the code is hardly surprising.

For years, the Iowa State County Treasurer’s Association and the Iowa State Association of Counties have enabled and encouraged gifts to county treasurers from GovTech and SRI Incorporated, which handles online tax auctions. Since 2014, the two companies have paid for scholarships available only to children and grandchildren of county treasurers or their employees.

The mission of the association of counties is “to promote effective and responsible county government.” Yet the group’s top attorney Kristi Harshbarger helped devise a scheme to offer the scholarships despite the apparent gift law problem. Later, Harshbarger pushed back hard against an ethics board opinion that the program did not comply with the statute.

A pro-Republican mailing to thousands of Warren County households last month was not only sleazy, but also unlawful.

The Iowa Ethics and Campaign Disclosure Board will investigate who paid to send a letter attacking Democratic State Representative Scott Ourth “to every mailbox in Iowa House district 26” and “what campaign finance laws were violated in the process.”

State Representative Mike Sexton may continue to spend $400 each month in campaign funds to rent part of a building he owns, Iowa Ethics and Campaign Disclosure Board executive director Megan Tooker has determined.

As Bleeding Heartland reported in August, Sexton stored campaign materials for free at his home for nearly two years after re-entering political life. While running for re-election to Iowa House district 10 in 2016, the Republican lawmaker began renting space for his campaign in one of two commercial buildings he and his wife had recently purchased. As of July 2018, the real estate company registered by Rebecca Sexton had received a total of $11,200 from the campaign.

I brought the matter to Tooker’s attention because although an administrative rule allows the use of campaign funds for office expenses, including rent and utilities, I had never seen an Iowa lawmaker or legislative candidate spend so much for that purpose. I questioned whether $400 per month reflected the fair market value for storage and office space in Calhoun County, as required by Iowa law. In addition, I thought the campaign expenditures might be construed as delivering a “personal benefit,” since the payments would either supplement the Sextons’ household income or cover part of the contract on the couple’s real estate investment.

Politics-watchers from both sides of the aisle welcomed yesterday’s news that Charlie Smithson will be the new Iowa House chief clerk:

Smithson has been the Executive Director for the Iowa Ethics and Campaign Disclosure Board since 2001 and the board’s attorney since 1998. He previously served as the attorney for the Kansas Governmental Ethics Commission.

Raised in Pocahontas, Iowa, Smithson graduated from WestmarCollege in Le Mars before earning a Juris Doctorate from Washburn University School of Law in Topeka, Kansas.

Smithson has lectured and written several articles on government, ethics, lobbying, and campaign finance as well as contributed to the book,” Money, Politics, and Campaign Finance Reform Law in the United States.” He also teaches election law at the Drake University Law School in Des Moines.

The chief clerk serves as the House Parliamentarian, supervises House personnel and oversees the budget for the lower chamber’s operations.

Smithson will be a tough act to follow at the Iowa Ethics and Campaign Disclosure Board. Kathie Obradovich commented,

Smithson has capably led as executive director of the Iowa Ethics and Campaign Disclosure Board and has the right personality and reputation for fairness to have immediate credibility in the clerk’s role.

What I’m sorry about is that he won’t be at the ethics board any more. He’s been unfailingly knowledgeable, competent and accessible in a very important role. We can only hope his successor has as strong of an interest in transparency and public access to campaign records. I’m also going to miss Mark Brandsgard, whose dry wit was often the only reward for listening to hours of mind-numbing House debate.

Brandsgard became chief clerk of the Iowa House in early 2009, having held various House staff positions since 1977.