House Judiciary delves into FARA in first dedicated hearing in 30 years

From: POLITICO Influence - Tuesday Apr 05,2022 09:59 pm
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By Caitlin Oprysko

Presented by U.S. Travel Association

With Daniel Lippman  

WHAT YOU MISSED IN TODAY’S FARA HEARING: Lawmakers and a legal scholar, government watchdog and nonprofit advocate debated whether the Foreign Agents Registration Act should be expanded or reined in during a hearing this morning on the 1938 law — the first such session dedicated to FARA held by the House Judiciary Committee since 1991.

— The hearing, held by the panel’s subcommittee on the Constitution, civil rights and civil liberties, largely revolved around how to balance the transparency objectives of FARA and target the law without infringing upon or having a chilling effect on the constitutionally protected activities that the statute regulates.

— Its array of suggestions reflected “that there is a wide range of views about how to approach reforming FARA, with many people thinking the statute needs to be clarified and narrowed, and many others thinking that it needs to be expanded and and toughened,” Robert Kelner, who advises clients on FARA at Covington & Burling , said in an interview. The hearing demonstrated that “there's a really big divide between those two points of view” that will make it difficult to achieve consensus on reform measures.

— On one side of that debate, the Project on Government Oversight’s Dylan Hedtler-Gaudette argued for doing away with FARA’s Lobbying Disclosure Act exemption, whose disclosure requirements are far less stringent than FARA’s.

Nick Robinson of the International Center for Not-For-Profit Law told lawmakers that there needs to be much greater clarity around how the statute defines agency and a more targeted approach to the law. “I don't think the Justice Department is, you know, trying to go after the Amnesty Internationals of the world, but the act as it's written can clearly capture some of the behavior that nonprofits frequently engage in,” he said. Instead, he argued that the statute should adopt more the more commonly used definition of agency as one entity acting at the direction and control of another, with the consent of both parties.

— Of course, the hearing at times strayed off on partisan tangents, with the subcommittee’s ranking member, Rep. Mike Johnson (R-La.), complaining that former special counsel Robert Mueller’s team “dusted [FARA] off” in its investigation of Russian election meddling in its “desperation” to punish aides to former President Donald Trump. George Washington University law professor Jonathan Turley contended when asked that FARA had been “used as a cudgel” in those investigations, and argued for a more consistent application of the law, pointing to the prosecution of former Obama White House Counsel Greg Craig while the Podesta Group was merely required to retroactively register.

— Lawmakers also spent a fair amount of time litigating the foreign business dealings of President Joe Biden’s son Hunter, which were detailed in a Washington Post story last week, despite Judiciary Chair Jerry Nadler (D-N.Y.) trying to wave Republicans off of discussing “the details of any potential case or individual.”

— At least one FARA expert took issue with who was missing from the subcommittee’s panel of witnesses, which did not include a representative from the Justice Department, someone with prior experience enforcing FARA or advising clients on the compliance or defense side of the statute. “I'm not sure that this was a hearing meaningfully aimed at illuminating practical problems faced by the regulated community in complying with FARA, or giving fair weight to the enforcement interests of the Department of Justice, in trying to bring about greater transparency of foreign influence activities in the United States,” David Laufman, a former FARA unit chief now at the law firm Wiggin and Dana, told PI of the witness list.

Good afternoon and welcome to PI. Tips: coprysko@politico.com. Twitter: @caitlinoprysko.

A message from U.S. Travel Association:

The travel industry was disproportionately impacted by the pandemic. Domestic business travel spending remains 56% below 2019 levels and international travel spending remains down 78%. This week at the U.S. travel industry’s annual legislative fly-in, we will call on Congress to help rebuild the workforce, reignite in-person meetings and events, and push to restore international inbound travel. The travel industry is critical to the United States’ global competitiveness. When travel thrives, so does America.

 

WHO GINNI THOMAS’ FIRM CONSULTED FOR: CNBC’s Brian Schwartz dug into the consulting firm of Virginia Thomas, known as Ginni, in the wake of the release of texts from the wife of Supreme Court Justice Clarence Thomas to then-White House chief of staff Mark Meadows on the day of the Jan. 6, 2021, attack on the Capitol.

— “Located in a nondescript strip mall in suburban Virginia, Liberty Consulting’s few known clients range from the Center for Security Policy , a nonprofit founded by a conservative activist accused of anti-Muslim rhetoric, to a political action committee titled FedUp PAC, according to a review of public filings by CNBC and researchers at watchdog Documented. The political action committee backed failed Alabama Senate candidate Roy Moore, according to Center for Responsive Politics’ data. Moore was accused of sexual misconduct and has denied wrongdoing.”

— “Thomas is also said to have done past work for companies tied to conservative judicial advisor Leonard Leo, according to a person familiar with the matter, who asked not to be named to speak freely on the matter. … Leo previously served as a director for a Ginni Thomas-led a conservative nonprofit named Liberty Central during former President Barack Obama ’s administration, according to 990 tax disclosures. Ginni Thomas once boasted that she wanted the organization to be ‘bigger than the tea party,’ and was taking aim at Obama’s agenda, including the Affordable Care Act,” The Washington Post reported, but the nonprofit has since shuttered.

ICYMI — LDA COMPLIANCE REMAINS HIGH, BUT NOT PERFECT: “Most federal lobbyists complied with public disclosure requirements, although some K Street denizens omitted required details of campaign donations and past government jobs from their filings in 2021, a recent Government Accountability Office report found,” according to Roll Call’s Kate Ackley.

— “More than 90 percent of lobbyists provided documentation to back up their publicly reported income and expenses, the GAO concluded after conducting routine audits of registered lobbyists to assess compliance with the Lobbying Disclosure Act, or LDA. Still, the agency found that some 35 percent of reports may have omitted previous government employment, which lobbyists are required to list. And about 7 percent missed some campaign contributions that lobbyists are required to report.”

— “ Craig Holman, a lobbyist with the watchdog group Public Citizen, said that despite the generally high compliance rates for more than 90 percent of lobbyists, he was troubled by the number of cases involving potential violations, referred to the U.S. Attorney’s Office for the District of Columbia, that have not been resolved.”

— “The GAO found that about 72 percent of the 3,473 cases that had been referred to the U.S. attorney’s office over the past decade were ‘pending further action because USAO could not locate the lobbyists, did not receive a response from the lobbyists after an enforcement action, or plans to conduct additional research to determine if it can locate the lobbyist.’”

 

INTRODUCING DIGITAL FUTURE DAILY - OUR MORNING TECHNOLOGY NEWSLETTER, RE-IMAGINED:  Technology is always evolving, and our new tech-obsessed newsletter is too! Digital Future Daily unlocks the most important stories determining the future of technology, from Washington to Silicon Valley and innovation power centers around the world. Readers get an in-depth look at how the next wave of tech will reshape civic and political life, including activism, fundraising, lobbying and legislating. Go inside the minds of the biggest tech players, policymakers and regulators to learn how their decisions affect our lives. Don't miss out, subscribe today.

 
 

FLYING IN: The Warrior Protection and Readiness Coalition is kicking off its legislative summit Wednesday, with dozens of members hitting the Hill to push for funding support for the Pentagon to provide high-quality, American-made gear and equipment. The event will feature speakers like Maj. Gen. Anthony Potts, the program executive officer for Soldier of the U.S. Army; Maj. Gen. AJ Pasagian, commander of Marine Corps Systems Command; Maj. Gen. Eric Shirley, commander of Defense Logistics Agency Troop Support; and Celeste Drake, the White House’s Made in America director. The coalition will also give Sen. Gary Peters (D-Mich.) and Rep. Michael Waltz (R-Fla.) its annual Sentinel Award.

CPAC HEADS TO HUNGARY: "America’s most prominent conservative gathering, founded on ideals of personal liberty and limited government, convenes in Budapest next month to celebrate a European leader accused of undermining democracy and individual rights," Reuters' Peter Eisler, Alexandra Ulmer, Anita Komuves and Andrew R.c. Marshall report.

— "The May meeting of the Conservative Political Action Conference (CPAC) is seen by some Republicans as a test of how closely American conservatives are willing align themselves with a global movement of far-right, Russia-friendly strongmen embraced by former U.S. President Donald Trump."

— "The event’s keynote speaker is Hungarian Prime Minister Viktor Orban, a longtime supporter of Russian President Vladimir Putin. The European Union has accused Orban, who won re-election by a large margin on Sunday, of curbing media and judicial independence, enriching associates with public funds and recasting election laws to entrench his power. Hungary joined in the EU sanctions imposed on Moscow in response to the Russian invasion of Ukraine. But Orban has stopped short of criticizing Putin directly, barred weapons shipments through Hungary to neighboring Ukraine and opposed proposals for EU sanctions on Russian natural gas."

— "The Hungary meeting reflects a years-long push by CPAC’s organizers, the American Conservative Union (ACU), to promote Trump’s divisive brand of nationalist populism to foreign audiences. Last fall, a similar CPAC-branded meeting was held in Brazil, spotlighting Brazilian President Jair Bolsonaro, a far-right leader and Putin admirer."

 

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Jobs Report

Makan Delrahim is joining Latham & Watkins as a partner in the Antitrust & Competition Practice, and as a member of the Litigation & Trial Department. He was previously assistant attorney general for antitrust during the Trump administration.

Samantha McDonald has joined Kanner & Associates as a partner, where she will serve as vice president. She was most recently at the National Rural Electric Cooperative Association and is an Independent Petroleum Association of America and Hill alum.

Holland & Knight has promoted Ethan Jorgensen-Earp from senior public affairs adviser to senior policy adviser, and Hannah Coulter from legislative assistant to public affairs adviser.

Brendan Flanagan is now senior director of state affairs for the Consumer Brands Association. He worked previously at the National Restaurant Association, the International Franchise Association and the Restaurant Association of Maryland. He's also a former Rep. Wayne Gilchrest alum.

— R yan Jacobs has joined Fenway Strategies as a senior adviser, Playbook reports. He previously was chief speechwriter and senior adviser to Treasury Secretary Janet Yellen and is a Gates Foundation alum.

Zach Hudson is now a senior vice president at NP Agency, per Playbook. He most recently was communications director for Senate campaigns at American Bridge and is a Catherine Cortez Masto and Nevada Dems alum.

Mike Del Moro is leaving “Morning Joe” after almost four years as a booking producer to be the comms manager for broadcast at Meta based in New York. Before “Morning Joe,” he was a segment producer at “Good Morning America.”

Jeff Slyfield is now policy director for the Millennial Action Project. He previously was government relations manager for the Ocean Conservancy.

Maddy McGarry has been hired as senior content manager for BarnTools. She previously was deputy press secretary for Sen. Joni Ernst (R-Iowa).

 

DON'T MISS ANYTHING FROM THE 2022 MILKEN INSTITUTE GLOBAL CONFERENCE: POLITICO is excited to partner with the Milken Institute to produce a special edition "Global Insider" newsletter featuring exclusive coverage and insights from the 25th annual Global Conference. This year's event, May 1-4, brings together more than 3,000 of the world’s most influential leaders, including 700+ speakers representing more than 80 countries. "Celebrating the Power of Connection" is this year's theme, setting the stage to connect influencers with the resources to change the world with leading experts and thinkers whose insight and creativity can implement that change. Whether you're attending in person or following along from somewhere else in the world, keep up with this year's conference with POLITICO’s special edition “Global Insider” so you don't miss a beat. Subscribe today.

 
 
New Joint Fundraisers

Cowden Safta Victory Fund (Adina for Congress, Tony Cowden for Congress)

New PACs

America First - Oklahoma (Super PAC)
New Hampshire Majority PAC (PAC)
Online Fundraising PAC (Hybrid PAC)
Uniting America PAC Inc. (Super PAC)

New Lobbying Registrations

Akin Gump Strauss Hauer & Feld: Fortenova Grupa D.D.
Brownstein Hyatt Farber Schreck, LLP: Savingusa
Columbia Riverkeeper: Columbia Riverkeeper
Directv, LLC: Directv, LLC
Fgh Holdings, LLC (Formerly Known As The Glover Park Group LLC): Pivot Bio, Inc.
Holland & Knight LLP: A.O. Smith Corporation
Horizon Government Affairs: Iqvia
Innovative Policy, Pllc: National Emergency Number Association
Invariant LLC: Zeno Power Systems, Inc.
Jon Thomas Consulting: House Institute Foundation
Jon Thomas Consulting: The Coding School
Kaplan Kirsch & Rockwell LLP: City Of Los Angeles
Lobbyit.Com: US Embassy For Peace
Mr. Landon Fulmer: Executive Business Solutions LLC
Ridge Policy Group: Forta Corporation
Riiid Labs Inc.: Riiid Labs Inc.
Ruttenkern Policy Group: Desert Sun Dairy

New Lobbying Terminations

James Edwards: US Inventor
Mr. Landon Fulmer: Kearney Regional Medical Center
Mr. Landon Fulmer: Orange Ev LLC
Oscar Policy Group, LLC: International Brotherhood Of Electrical Workers Local 98
Ruttenkern Policy Group: Day Star Dairy
The Fiorentino Group: Delta Dental Plans Association
Thorsen French Advocacy LLC: Healthcare Distribution Alliance
Washington Advocacy Group: Arkansas Tech University

A message from U.S. Travel Association:

Rebuild the travel workforce. While other sectors of the economy have recovered from the pandemic, the travel workforce remains severely depressed. Congress should prioritize the recovery of the travel workforce by requiring the Department of Homeland Security to release all authorized H-2B visas in time for the summer travel season. Congress should also support legislation to permanently increase the H-2B visa cap and exempt returning workers from the cap. The labor shortage is threatening travel’s recovery and will prolong the economic pain of the pandemic.

 
 

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