While Gov. Mike DeWine deals with the ongoing discovery of text messages linking him to now-indicted FirstEnergy executives, Ohio Republican lawmakers are drafting legislation requiring more disclosure of campaign finances. The bill sponsor gave us the first look.
The largest corruption scheme in the history of the country may have taken place thanks to shadowy money. 501(c)(4) nonprofits can spend unlimited funds on advertising as long as they do not work with a candidate. They don’t have to disclose where their money comes from, which is why it’s called “dark”.
The 501(c)(4), Generation Now, allowed FirstEnergy to remain hidden by funneling campaign contributions to an “independent” account. The corporation then passed $61 million in HB 6, a bill that provided a $1 billion bailout for the failing energy company.
As a result, former Speaker of the House Larry Householder was sent to federal prison for 20 years and now faces state charges as well.
On Monday, DeWine responded to questions about his relationship with former executives after text messages revealed he had asked for money ahead of his first gubernatorial campaign. He also seemed frustrated by my questions about his alleged disclosure of half a million dollars that the now-indicted CEO had paid into his shadowy PAC fund.
After publishing these texts, we found more, which we published on Tuesday. They showed that the governor and his team allegedly worked with FirstEnergy to pass HB 6. DeWine denies knowing HB 6 was a bribe.
Given DeWine’s track record, we asked him why anyone would believe he wasn’t involved in a corruption scheme or didn’t remember conversations with executives.
“The only conclusion I can draw from your story is: We have to get rid of all this,” House Speaker Jay Edwards (R-Nelsonville) said of shadowy money.
Edwards said it didn’t seem right not to know where the campaign money was coming from.
“The most important thing is that we want Ohioans to know who is funding campaigns,” Edwards said.
He and state Rep. Sara Carruthers (R-Hamilton) are currently working on a bill to impose disclosure requirements on shadowy money groups.
“If a 501(c)(4) makes a donation to a candidate or does something for a candidate, should it be publicly disclosed?” he asked. “Who are 501(c)(4) donors, should this be publicly disclosed?”
This matter is a personal matter for both legislators.
Carruthers has filed a formal election complaint against Make Liberty Win, a Virginia-based group that has targeted Republicans who supported House Speaker Jason Stephens during the 2024 primary election. They are funded by the conservative shadowy money group Young Americans for Liberty.
The group and other shadowy money PACs sent out postcards that were misleading or just plain wrong about certain lawmakers — including saying they did not support legislation they voted for.
“I think she will see this through or the campaign caucus will make sure people are held accountable,” Edwards said. “But the reality is you can’t go back and change what’s happening… Election Day is judgment day.”
Carruthers lost on Election Day.
Edwards sent out mailers about him, even though he wasn’t even running for re-election due to term limits.
“There is no accountability either,” he said. “They can lie about you, they can say whatever they want about things that aren’t true.”
But it’s not about resentment, he said.
“Why do we allow discreet campaign contributions – which essentially go to political candidates,” he added.
However, Edwards also has ties to HB 6. He was a close ally of Householder and was recorded dining with two undercover FBI agents. The representative was not accused by law enforcement authorities of committing a crime. He continually reiterated that he was not involved in any illegal activity; actually – I had no idea this was happening.
“Obviously there was a scandal in Ohio around dark money,” Edwards said. “We want to get rid of it, and I think the general 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. It is supported by the Ohio Education Association (OEA) fund. In the budget, he helped give a raise to public school teachers. He didn’t do it because they donated to his campaign, he did it because “he’s good at teaching,” he said.
“You can find everything we do and try to tie it to a campaign,” he added. “That doesn’t mean it doesn’t happen, but I think it’s exaggerated sometimes.”
To ensure that Ohioans know that their elected officials are not acting on malicious intent, it is crucial to find out who is donating to their campaigns, the lawmaker said.
Probability
Every legislative leader in the Statehouse seemed open to tightening campaign finance laws in Ohio.
Democrats like House Minority Leader Allison Russo (D-Upper Arlington) and Senate Minority Leader Nickie Antonio would be on board, but they are not positive that such legislation will be passed. Since the HB 6 scandal, they have proposed legislation requiring more transparency, but those bills barely make it to hearings.
“The reality is that there appears to be no political will to put in place safeguards to prevent these types of scandals from occurring in the future,” Russo said.
House Speaker Jason Stephens (R-Kitts Hill) would support more disclosure, but expressed concerns about how this type of legislation would be implemented.
“The First Amendment and federal Supreme Court decisions make this issue a little more difficult to deal with,” Stephens said.
In 2010, Citizens United v. FEC ruled that corporations have the same rights as people and therefore can speak freely about donations.
Senate President Matt Huffman (R-Lima) and Senate Majority Leader Rob McColley (R-Napoleon) have previously shared the same concerns about violating Citizens United. Still, Householder’s case has sparked calls for reform.
“It’s a topic of constant discussion, especially since Generation Now,” McColley said. “It’s definitely worth talking about.”
McColley will likely become the next Senate president after the General Assembly term ends in early 2025, so it’s possible there could be a legislative change if he and his caucus desire reforms.
Edwards knows that passing his bill will require an uphill battle in the Legislature and will likely face legal action.
But he said he wasn’t giving up.
“You never know if something is unconstitutional until you try to do it,” he said.
He is currently working with the House legal team to learn how to best comply with the law and lend a hand rebuild Ohioans’ trust in their lawmakers.
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This article was originally published on News5Cleveland.com and are published in the Ohio Capital Journal under a content sharing agreement. Unlike other OCJ articles, it is not available for free republication on other news outlets because it is owned by WEWS in Cleveland.
