Tag Archives: back

Ramsey: Campaign Finance Bill ‘Straw that Broke Camel’s Back’

Senate Speaker Ron Ramsey acknowledges the failure of his campaign finance bill in the GOP-run House this year is part of the reason he decided to stop joint fundraising with the other chamber, reports the Chattanooga TFP.
Speaking after the legislative session ended April 19, the Blountville lawmaker said while the split had “been in the works for a long time, I’d be less than honest if I didn’t say that was the straw that broke the camel’s back.
“But,” Ramsey added, “I think it would have happened anyway.”
Among other things, the bill would have eliminated a requirement that corporations report political contributions to candidates as well as political parties and legislative caucuses.
Proponents of lifting the reporting requirement argued it wasn’t needed because candidates report their contributions.
Democratic critics charged that canceling the requirement would eliminate an important accounting cross-check and could lead to candidates simply pocketing corporate cash.
Despite the GOP’s 70-member supermajority in the House, the bill received just 48 votes, all from Republicans. That was short of the 50 votes necessary for passage.
Twenty-two Republicans voted no, abstained or didn’t vote. (Harwell didn’t vote.
…”I just, philosophically, just didn’t feel supportive of that measure,” Harwell told reporters last week. “But I have given everyone fair notice that that was my stand.”
Asked to elaborate, Harwell said, “I have trouble with a company being able to give me money and only I am the reporter. So I think there needed to be a proper check that the company would have to report to. … [If] XYZ Company gave me $10,000, I only reported $5,000, where would the [cross] check be?”
She said the bill’s House sponsor, Republican Glen Casada, of Franklin, has indicated he intends to bring it up again next year.
Proponents shrug off concerns about contributions being reported.
But the state’s Registry of Election Finance found legislative candidates failed to report about 2.5 percent of contributions made by political action committees and corporations in 2012.
Candidates are required to correct omissions, on pain of fines. If the correction is timely, and if the omissions don’t exceed two per year and are less than $2,000 collectively, the registry takes no action.
Drew Rawlins, executive director of the state’s Bureau of Ethics and Campaign Finance, called the 2.5 percent figure for nonreporting low. He attributed discrepancies to honest mistakes by candidates.
“Sometimes candidates make a list of all contributions and one may get left off. Sometimes what happens is that a candidate has lost a deposit slip or something like that so anything that’s on that deposit slip may not have gotten reported,” Rawlins said.


Note: For related Harwell-Ramsey stuff, see the News Sentinel HERE, and the City Paper’ HERE.

Gun Buy-Back Bill Dies in Senate Panel

The Senate Judiciary killed Thursday a proposal to add a $2 fine on all convictions involving a crime committed with a gun, then use the resulting funds to finance gun “buy-back” programs.
Senate Minority Leader Jim Kyle, D-Memphis, sponsor of the bill (SB1092) was peppered with critical questions by Republican senators.
Sen. Stacey Campfield, R-Knoxville, said he was concerned guns destroyed after a buy-back program could have been used in a crime and the possibility of ballistic evidence to solve the crime would be lost. Kyle said that is possible, but the gun was evidence that would not be available without a buy-back program. He also said buy-back programs keep ballistic evidence and serial numbers of destroyed weapons.
Sen. Mike Bell, R-Riceville, questioned charging the $2 fee statewide and earmarking for a purpose that may be used only in limited areas. Memphis has had gun buy-back programs recently.
And Committee Chairman Brian Kelsey, R-Germantown, said the proposal raise the “question of whether guns really are a problem with public safety. I tend to think they are not.”
The bill got only three yes votes while six senators voted no.

Some Looking Back at the Last Political Year

Highs and Lows for TN’s GOP Leaders
Andrea Zelinski has a 2012 reminiscence focused on the legislature and Gov. Bill Haslam’s doings. It starts like this:
Between the governor’s first veto and wild political backlash against Republican leaders, this was a year of firsts on Capitol Hill. It all started in January when Republicans took control over legislative redistricting for the first time.
The Sen’s Sizeup
Sen. Stacey Campfield,, in a blog post, put together a list of Tennessee superlatives for 2012. A couple of samples:
Tumble of the year – Scott Deejarleigh. OK. I may never get the spelling of his name down but one thing is for sure his political stock went down when his divorce proceedings came out.
Non news story of the year- Wine in grocery stores. Seldom has so much been said and reported about something that had so little to no chance of actual movement.

Elsewhere, briefly….
Nooga.com did a rundown on the year of Gov. Bill Haslam and another on U.S. Rep. Scott DesJarlais… along with some Hamilton County and Chattanooga city politics.
The News Sentinel’s list of top East Tennessee stories included two political items – Tim Burchett’s campaign finance/divorc troubles at No. seven and DesJarlais divorce revelation difficulties at No. 9. (Pat Summitt’s retirement topped the list.)
Metro Pulse did a Knoxville-oriented rundown – with some mention of the legislature. Nashville City Paper focused, reasonably enough, on Nashville HERE.

Irby Simpkins Owes $5 Million in Back Taxes

Former Nashville Banner publisher Irby Simpkins has admitted defeat in his running battle with the IRS and was ordered to pay more than $5 million in back taxes and $1.8 million in penalties by a U.S. Tax Court in November. He declined to say whether he has paid the sum, reports The City Paper.
Simpkins confirmed to The City Paper that he invested in a series of transactions on the advice of his accounting firm Price Waterhouse in the late 1990s. The IRS claimed that there were deficiencies in four different tax years, 1996-1999. In the largest of those years, 1998, Simpkins was found to have underpaid his taxes by nearly $4.7 million.
In February 1998, Simpkins and his partner Brownlee Currey took $65 million from the rival Tennessean and Gannett to make their paper, the Banner, go away. Simpkins’ final proceeds from the sale, approximately $20 million, generated a large tax liability.
Beginning in the early 2000s, Congress, the Treasury Department and the IRS began cracking down on foreign investment programs like the ones Simpkins was involved in. Price Waterhouse, now Pricewaterhouse Coopers, KPMG and several other firms would later settle over billions in unpaid taxes sheltered by schemes marketed variously as FLIP, OPIS, BOSS and Son of BOSS.
Simpkins says that after fighting the IRS for 10 years, an “old retired fella” had to move on.