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Ohio Capital Journal
Ohio Republicans draft bill to require campaign fund disclosure amid DeWine text message debacle
By Morgan Trau,
2024-06-21
Getty Images.
While Gov. Mike DeWine is dealing with the ongoing discovery of text messages linking him to now-indicted FirstEnergy executives, Ohio Republican lawmakers are drafting legislation requiring greater campaign finance disclosure. The bill sponsor gave us the first look.
The largest corruption scheme in state history was able to take place due to dark money. 501(c)(4) nonprofits are allowed to spend unlimited funds on advertisements so long as they are not coordinating with the candidate. They don’t have to disclose where their money comes from, hence why it is called “dark.”
This 501(c)(4), Generation Now, allowed FirstEnergy to stay under the radar with campaign donations into the “independent” account. The corporation then spent $61 million dollars in exchange for H.B. 6, legislation giving a $1 billion bailout for the failing energy company.
This landed former House Speaker Larry Householder in federal prison for 20 years, and he is now facing state charges, as well.
On Monday, DeWine deflected questions about his relationship with the former executives after text messages revealed he asked for money ahead of his first gubernatorial campaign. He also seemed frustrated with my questions about him allegedly being informed about half a million dollars that the now-indicted CEO put into a dark money PAC for him.
Following the release of those texts, we found additional ones we published on Tuesday. These showed that the governor and his team allegedly worked with FirstEnergy to pass H.B. 6. DeWine denies knowing H.B. 6 was a bribe.
With DeWine’s track record, we asked him why anyone should believe that he wasn’t involved with the corruption scheme or didn’t remember the conversations with executives.
State Rep. Jay Edwards, R-Nelsonville. (Official photo.)
“My one takeaway from your story is — we need to get rid of all of it,” House Finance Chair Jay Edwards (R-Nelsonville) said about dark money.
Edwards said that not knowing where campaign money comes from doesn’t seem right.
“The big thing is we want Ohioans to figure out who is funding campaigns,” Edwards said.
He and state Rep. Sara Carruthers (R-Hamilton) are currently drafting a bill to require some sort of disclosure for dark money groups.
“If a 501(c)(4) is giving to a candidate or doing something for a candidate, does that need to be disclosed publicly?” he asked. “Who the donors are to that 501(c)(4), should that be disclosed publicly?”
This issue is personal for both lawmakers.
Carruthers has filed a formal election complaint against Make Liberty Win, a Virginia-based group that targeted Republicans who supported House Speaker Jason Stephens during the 2024 primary. They are funded by the conservative dark money group Young Americans for Liberty.
The group and other dark money PACs sent out mailers that were misleading, or just wrong, about certain lawmakers — including saying they didn’t support legislation that they voted yes on.
“I think she is going to see it through or the campaign caucus is going to see it through to see if people are held accountable,” Edwards said. “But in reality, you can’t go back and change what happens… election day is judgment day.”
Carruthers ended up losing on election day.
Edwards had mailers sent out about him despite not even running for reelection due to being term-limited.
“There’s also no accountability,” he said. “They can lie about you, they can say whatever they want about things that aren’t true.”
This isn’t about a grudge, though, he said.
“Why do we allow discreet campaign donations — that are basically to political candidates,” he added.
However, Edwards also has a connection to H.B. 6. He was a close ally of Householder and was recorded at a dinner with two undercover FBI agents. The representative has not been accused of wrongdoing by law enforcement. He has consistently said he was not involved in any of the illegal activity; in fact — had no idea it was happening.
“Obviously, we’ve had a scandal here in Ohio around dark money,” Edwards said. “We want to get rid of that and I think the overall majority of people, not just Ohioans, but Americans, actually feel that way.”
Not all campaign solicitations or political action committees (PACs) are bad, he said. He is supported by the Ohio Education Association (OEA) Fund. In the budget, he helped give public school teachers a raise. He didn’t do that because they donated to his campaign, he did that because he is “good on teacher issues,” he said.
“You can find anything we do and try to tie it back to some campaign,” he added. “Now, that doesn’t mean it doesn’t happen — but I think sometimes it’s overblown.”
To make sure that Ohioans know that their elected officials aren’t behaving based on ill intentions, learning who donates to their campaign is key, the lawmaker said.
Plausibility
Each Statehouse legislative leader has seemed open to beefing up Ohio’s campaign finance laws.
Democrats like House Minority Leader Allison Russo (D-Upper Arlington) and Senate Minority Leader Nickie Antonio would be on board, but they aren’t optimistic that legislation like this will pass. Since the H.B. 6 scandal, they have proposed legislation to require more transparency, but those bills barely get hearings.
“The reality is there seems to be no political will here to put in place protections that prevent this type of scandal from happening in the future,” Russo said.
House Speaker Jason Stephens (R-Kitts Hill) would support more disclosures but raised concerns about how this type of legislation can be implemented.
“The First Amendment and the federal Supreme Court decisions make it a little more challenging to deal with that issue,” Stephens said.
Back in 2010, Citizens United v. FEC ruled corporations have the same rights as people, and thus have free speech in donating.
Senate President Matt Huffman (R-Lima) and Senate Majority Floor Leader Rob McColley (R-Napoleon) have previously shared the same concerns about infringing on Citizens United. Still, the Householder case has ignited calls for reform.
“It’s something that has been an ongoing discussion, especially since Generation Now,” McColley said. “It’s worth a conversation for sure.”
McColley is likely to be the next Senate president once this General Assembly ends at the beginning of 2025, so it is possible legislation could move if he and his caucus desire reform.
Edwards knows his bill would have an uphill battle within the legislature to pass and will likely face court challenges.
But he said he wasn’t giving up.
“You never know if something’s unconstitutional until you try to do it,” he said.
He is currently working with the House legal team to figure out how best to follow the law and help rebuild Ohioans’ trust in their lawmakers.
This article was originally published on News5Cleveland.com and is published in the Ohio Capital Journal under a content-sharing agreement. Unlike other OCJ articles, it is not available for free republication by other news outlets as it is owned by WEWS in Cleveland.
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