Council Pulls Its Pay-to-Play Ordinance

Gloucester Township Council pulled its version of a pay-to-play ordinance from consideration Monday night.

The move came amid reports township Democrats are now circulating a petition seeking to have the measure put to voters in November.

The all-Democrat Council on July 9 approved on first reading Councilman Dan Hutchison's pay-to-play ordinance. Hutchison is now seeking "more time to investigate ways of improving the ordinance."

Clerk Rosemary DiJose read a letter from Hutchison requesting that the ordinance be tabled. Hutchison missed Monday's meeting while on vacation, according to Council President Glen Bianchini.

DiJosie read the following into the record:

My fellow members of Council, I've asked that the township clerk, Rosemary DiJosie, read this brief message on my behalf. Having given a significant amount of thought to Ordinance O-12-17 on transparency that I proposed in our last meeting, I am hereby requesting that Council table this ordinance to allow me more time to investigate ways of improving the ordinance. I have reached out to numerous individuals in an attempt to provide the citizens of Gloucester Township with an ordinance that will provide the most transparency possible.

The main intent of Hutchison's ordinance, according to the councilman, would be to require Gloucester Township's government contractors, as well as their principals, officers, and certain employees and shareholders, to disclose donations to super PACs (political action committees).

Scott Owens, of Erial, commended Council for tackling the issue of super PACs with its ordinance during Monday's meeting.

"I feel super PAC money, super PAC donations ... these folks, these big donors donating millions and millions of dollars, they can come into this township, donate money, yet me as a resident, as a voter, members of Council and other township residents, we don't know who these folks are," he said. "So, it could very well be appointed to different boards out there or hired for contracts, and we don't know who they are. At least if I'm personally donating $500, or $300, which is such a small amount, I cannot do it, yet everyone knows who I am."

Hutchison contended on July 9 that while he agreed with watchdog group South Jersey Citizens (SJC) on the need for stronger pay-to-play rules at the local level, he did not feel the group addressed the real campaign-finance problem—super PACs—with its pay-to-play ordinance.

SJC's proposed law, which the conservative group has been pushing for more than a year, does not address super PACs, but would eliminate the "loophole" created by the so-called "fair and open" process permissible under state law.

Critics of the state's pay-to-play law contend the "fair and open" process provides a loophole for unchecked donations, allowing contractors to contribute as much as they want to political candidates' campaigns.

SJC political director Josh Berry noted Monday that Hutchison's ordinance "mandates" that all contracts be "fair and open."

Under state law "someone who has a contract with Gloucester Township would have to disclose if, say, they gave to the Cherry Hill school board, or Camden County, or Winslow. Right? That's the disclosure," he said. "Except, guess what? (State law) also exempts this from reporting if the contract is awarded under 'fair and open.' ... As a result of this mandate, you are blocking vendor disclosure about local and regional donations. Where is the transparency in this?"

Berry told Patch he approached a man he believed to be circulating a petition in the Glen Oaks development, near the township pool, two weekends ago. Attached to the petition was a copy of Hutchison's ordinance, he said.

Berry does not believe Hutchison's ordinance, specifically its section about contributions from super PACs, is lawful—even though he admits he agrees with its intent.

"You do not have the authorization to legislate campaign-finance laws on a local basis," he told Council.

SJC's own petition drive is currently in litigation. DiJosie's office rejected the group's initiative effort twice earlier this year, and five residents have since signed affidavits indicating issues with the petitions they signed.

SJC in June agreed to withdraw one petition form after Joanne Stallworth Holmes claimed it was not presented to her by SJC executive director Tom Crone, as it indicated when submitted to DiJosie, and that it was not linked to pay-to-play reform when she and others signed it.

Superior Court Judge Louis Meloni dismissed more than 200 signatures SJC had collected during the June hearing. However, on July 10, he sided with SJC in ruling that .

Super PACs cannot make contributions to candidate campaigns or parties, but are allowed to spend as much as they like, independent of campaigns, to support or oppose candidates. Also, unlike traditional PACs, Super PACs can raise funds from corporations, unions and individuals without legal limits.

Mondays' meeting at times became heated when SJC members and other conservative activists questioned Democrats' actions with regard to affidavits. Check back later with Gloucester Township Patch for more on those debates.