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Ethics

This from Speak Jim Black's office today:

In case you haven't seen the wire story yet...Speaker Black is planning to announce a new House Select Study Committee on Ethics and Government Reform next week, which will examine ways to strengthen or further clarify our state's lobbying laws and the State Ethics Board.

Specifically he would like for the committee to look at the recently passed lobbying reform bill to see if certain sections can be implemented prior to its effective date in 2007 (note: The Secretary of State's office said during this year's debate that it would take this long to hire new staff and acquire the necessary equipment in order to be prepared for the new reporting requirements) and if there are any additional areas that need to be further clarified or strengthened, as well as examining the State Ethics Board and possibly requiring future appointees to various boards and commissions to sign a sworn statement to ensure full and accurate responses on disclosure forms. Therefore, if an individual does not fully comply with these rules or provide a full account of his/her financial background and/or possible conflicts of interest, as was the case regarding Kevin Geddings, then the Board can take appropriate action.

The Speaker is still finalizing the exact issues that the committee will study between now and next May and the membership, but I will keep you posted next week.

This e-mail refers to a story by our friends at colleagues at the Associated Press. It ran in today's paper, but if you missed it, read it here after the jump.

RALEIGH, N.C. (AP) — House Speaker Jim Black plans to create a special legislative committee to consider whether lobbying rules set to take effect in 2007 should be applied sooner and if tougher penalties are needed for state officials who conceal conflicts of interest, his spokeswoman said Tuesday.

The panel would examine potential changes as at least two people connected to Black are being investigated by state prosecutors for potential lobbying law violations.

The House ethics and government reform committee will "look at some of the problems that have come to light in recent months," spokeswoman Julie Robinson said.

One of those problems came to light when Black appointed Kevin Geddings of Charlotte to the new North Carolina State Lottery Commission. Geddings resigned three weeks ago, just hours before potential lottery vendor Scientific Games Corp. revealed it had paid him $24,500 in public relations work this year as the lottery was being debated at the General Assembly.

Geddings didn't mention the payments in a filing with the state ethics board. The board, however, determined last week it couldn't investigate Geddings or recommend sanctions against him because he had resigned.

Black has said he had no knowledge of Geddings' work with Scientific Games. The speaker believes people like Geddings should be subject to "specified penalties" for failing to be completely truthful on their required disclosure statement of possible economic conflicts of interest, Robinson said.

A lobbying law approved by the Legislature this year would tighten spending disclosure rules beginning Jan. 1, 2007.

The new law requires any expense above $10 spent on behalf of a legislator to be reported, even if specific legislation wasn't discussed at the time. Many lobbyists haven't reported such dinners with lawmakers because of the loophole.

Scientific Games reported that Meredith Norris, a former political aide to Black also being investigated by prosecutors, spent thousands of dollars on food and meals for legislators this year on behalf of the company, which paid her as a consultant. Scientific Games said the previous law was unclear about whether the expenses needed to be reported.

Bill Peaslee, chief of staff at the state Republican Party, was pleased with Black's announcement but said he would reserve judgment until he saw the makeup of the committee, which likely will be announced next week. An equal number of Democrats and Republicans would show that he is resolute on making changes, he said.

"Ethics should really be a nonpartisan issue," Peaslee said.
The state GOP and others have called for a statewide ethics law that would apply to everyone in the executive and legislative branches of government. The state ethics board, created by the governor in an executive order, has limited authority.

Details of the committee's duties, which likely would make recommendations to next spring's legislative session, haven't been finalized, Robinson said.

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