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If you know me, you know I sometimes like to stir the pot a bit.

And when it comes to the race for Governor in 2018, I enjoy the chatter on these posts, because it’s already inflaming the passions of political prognosticators. So, posts on the topic tend to stir the pot alot.

One question that’s come to mind recently is questioning where US Senator John Thune’s allegiances are going to lie in the upcoming Gubernatorial race. Because he has ties to all three of the major candidates vying for the big prize.

If you know Attorney General (And 2018 contender) Marty Jackley, you know he came to the Attorney Generals office by way of serving as the US Attorney for South Dakota during the Bush Years. Who nominated him for the office in 2006?

Newly minted US Senator John Thune, of course:

The White House on Thursday nominated Rapid City lawyer Marty Jackley as U.S. attorney for South Dakota, filling a post that has been open for more than a year.

The state has been without a permanent U.S. attorney since James McMahon left the office early last year to return to private practice. As the state’s only Republican senator, U.S. Sen. John Thune has been responsible for sending the candidate’s name to President Bush, who then nominates the person for confirmation by the U.S. Senate.

Read that here.

Kristi Noem, South Dakota’s current Congresswoman is spoken about contender for the Governor’s mansion in 2018, but of course she has this years’ congressional contest to get past first.   As one third of the Washington delegation, she clearly has a strong working relationship with the good Senator.

In fact, it’s so strong a relationship this year that they’re share a key staffer, Josh Shields. Josh is currently managing Senator Thune’s campaign, and managed Kristi Noem’s 2010 campaign to victory over incumbent Rep. Stephanie Herseth Sandlin. Shields also used to be Noem’s Communications Director.

Sen. John Thune, R-S.D., has hired Joshua Shields to be his campaign manager, the aide confirmed to CQ Roll Call Tuesday.

Shields is a South Dakota native who worked on Thune’s 2002 and 2004 races and in his Senate office.

In 2010, he was the campaign manager for Rep. Kristi Noem, R-S.D., in her first bid for Congress against former Rep. Stephanie Herseth Sandlin.

Read that here.

And finally, here’s one I noticed the other day when I was perusing the latest FEC filings from the candidates, specifically in reference to 2018 Gubernatorial contender Mark Mickelson.

If you’re not familiar with Senator Thune’s campaign organization, officially, it’s called Friends of John Thune – and it has been his primary campaign committee for years.

Who is the treasurer for the long-standing political wing of the Thune organization? Someone with a particularly close association with State Representative Mickelson…. and one who might just be First Lady after the 2018 election:

So, which candidate will Senator Thune pick for the 2016 election? They’re all pretty darned good.

To answer the question, in all seriousness, it’s most likely that the Senator will defer to the GOP electorate at large & let them pick who they will.

And in any case, I suspect it will be easy for Senator Thune to support whoever wins, especially since they all have a long history together, no matter which one wins the primary!

Rounds Joins 69 Colleagues in Letter to CFPB Requesting Changes to Banking Regulations

Urges Colleagues to Cosponsor his TAILOR Act 

PIERRE—U.S. Senator Mike Rounds (R-S.D.) joined 69 of his fellow senators in a letter to Consumer Financial Protection Bureau (CFPB) Director Richard Cordray, requesting the CFPB tailor its regulations to match the risk profile of credit unions and community banks when crafting regulations. Last week, Rounds introduced the TAILOR Act, which would require federal regulatory agencies, including the CFPB, to take similar steps to make sure the agencies consider the risk profile and business models of individual financial institutions and tailor those regulations accordingly.

“In both good economic times and bad, community banks and credit unions serve as pillars of their communities, providing the capital and access to credit that families and small businesses need to grow,” wrote the senators. “We agree that it is important for consumers to be empowered to take more control over their economic lives, and that bad actors should be rooted out of the financial marketplace. However, the CFPB must also consider its impact on community-based depository lenders, who are essential to spurring economic growth and prosperity at a local level, and not disrupt the good work of community lenders to help someone start a business, buy a home or car, or put their kids through college.” 

Rounds also urged his colleagues to cosponsor the TAILOR Act: “Similarly, my TAILOR Act would codify into law the requirement that federal agencies, CFPB included, tailor their regulations by taking into consideration the risk profile and business models of individual financial institutions. I am pleased so many of my colleagues agree that federal regulators should tailor their regulations for smaller financial institutions so they can focus their resources on taking care of their customers, rather than spending time and money on regulatory compliance. I welcome them to cosponsor the TAILOR Act.”

The letter was led by Sens. Ben Sasse (R-Neb.) and Joe Donnelly (D-Ind.), and signed by Sens. Mike Rounds (R-S.D.), Lamar Alexander (R-Tenn.), Kelly Ayotte (R-N.H.), Tammy Baldwin (D-Wis.), John Barrasso (R-Wyo.), Michael Bennet (D-Colo.), Roy Blunt (R-Mo.), John Boozman (R-Ark.), Richard Burr (R-N.C.), Shelley Moore Capito (R-W.Va.), Bob Casey (D-Pa.), Bill Cassidy (R-La.), Dan Coats (R-Ind.), Thad Cochran (R-Miss.), Susan Collins (R-Maine), Bob Corker (R-Tenn.),  John Cornyn (R-Texas), Tom Cotton (R-Ark.), Mike Crapo (R-Idaho), Ted Cruz (R-Texas), Steve Daines (R-Mont.), Mike Enzi (R-Wyo.), Joni Ernst (R-Iowa), Deb Fischer (R-Neb.), Jeff Flake (R-Ariz.), Cory Gardner (R-Colo.), Lindsay Graham (R-S.C.), Chuck Grassley (R-Iowa), Orrin Hatch (R-Utah), Martin Heinrich (D-N.M.), Heidi Heitkamp (D-N.D.), Dean Heller (R-Nev.), John Hoeven (R-N.D.), James Inhofe (R-Okla.), Johnny Isakson (R-Ga.), Ron Johnson (R-Wis.), Tim Kaine (D-Va.), Angus King (I-Maine), Mark Kirk (R-Ill.), Amy Klobuchar (D-Minn.),  James Lankford (R-Okla.), Mike Lee (R-Utah), Joe Manchin (D-W.Va.), John McCain (R-Ariz.), Claire McCaskill (D-Mo.), Mitch McConnell (R-Ky.), Jerry Moran (R-Kan.), Lisa Murkowski (R-Alaska), Rand Paul (R-Ky.), David Perdue (R-Ga.), Gary Peters (D-Mich.), Rob Portman (R-Ohio), James Risch (R-Idaho), Pat Roberts (R-Kan.), Marco Rubio (R-Fla.), Tim Scott (R-S.C.), Richard Shelby (R-Ala.), Jeff Sessions (R-Ala.), Debbie Stabenow (D-Mich.), Dan Sullivan (R-Alaska), Jon Tester (D-Mont.), John Thune (R-S.D.), Thom Tillis (R-N.C.), Pat Toomey (R-Pa.), Tom Udall (D-N.M.), David Vitter (R-La.), Mark Warner (D-Va.) and Roger Wicker (R-Miss.). 

Full text of the letter: 

The Honorable Richard Cordray
Director
Consumer Financial Protection Bureau (CFPB)
1700 G Street, NW
Washington, D.C. 20552 

Dear Director Cordray,

In both good economic times and bad, community banks and credit unions serve as pillars of their communities, providing the capital and access to credit that families and small businesses need to grow. That is why Congress and federal regulators have long taken the approach that credit unions and community banks should be treated differently from the largest financial institutions and non-bank lenders. It is our hope that the CFPB also takes this approach and considers the impact of its rule-making on smaller financial institutions and consumers. We request that the CFPB carefully tailor its regulations to match the unique nature of community banks and credit unions. 

As it has now been more than six years since the enactment of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank), there are many new rules and regulations in place. We must ensure that credit unions and community banks are not unduly burdened by compliance, but rather have the ability to maintain their close relationships and continue to offer a wide variety of consumer financial products and services.   

We agree that it is important for consumers to be empowered to take more control over their economic lives, and that bad actors should be rooted out of the financial marketplace. However, the CFPB must also consider its impact on community-based depository lenders, who are essential to spurring economic growth and prosperity at a local level, and not disrupt the good work of community lenders to help someone start a business, buy a home or car, or put their kids through college. Since we all recognize these community lenders were not the primary cause of the financial crisis, the CFPB must carefully tailor its rulemaking.  

Dodd-Frank explicitly granted the CFPB the authority to tailor regulations in Section 1022(b)(3)(A) by allowing the CFPB to “exempt any class” of entity from its regulatory requirements. We believe the CFPB has robust tailoring authority and ask that you act accordingly to prevent any unintended consequences that negatively impact community banks and credit unions or unnecessarily limit their ability to serve consumers. 

Thank you for your consideration and we look forward to working with you on this important matter. 

###

One of the anonymous commenters turned from his desk at Democrat or the Williams for Senate Headquarters (we can only assume) and tapped out the following comment on his phone:

So, where will we see Sen. Thune during August recess? Why not with his weekly column provide his schedule of where we can see the senator? What events/appearances/town hall events are planned? Anything?? For a senator promoting that he wants to be hearing from us, why are events/appearances so hard to find? Or is nothing planned?

The thing is, this person could not be farther from the truth if they tried. I note this, because unlike the impression they’re trying to give, Senator Thune is out on the road listening to constituents during August recess.

I know, because at least for many Senate functions, they do send out press advisories, in case we in the media would like to pop over and cover it.  (Sometimes when I’m free and they’re in the area, I even make it out to do it.)   But never assume Thune or any of our delegation is home watching TV. They’re typically out on the road traveling hard.

Such as two days ago, when Thune was in Mobridge & Onida…

Thune in Mobridge, Onida Today

WASHINGTON — Today U.S. Sen. John Thune (R-S.D.) will travel to Mobridge to address the Mobridge Rotary Club before heading to Onida to tour the Onida Clinic.

Today, July 18:
WHAT:Mobridge Rotary Club
WHEN:12:00 p.m. CDT
WHERE:Moose Lodge, Shore Acres – 1109 West Grand Crossing – Mobridge, S.D.

WHAT:Onida Clinic Tour
WHEN:3:30 p.m. CDT
WHERE:303 South Main Streetv- Onida, S.D.

Or yesterday, when Senator Thune was in Eagle Butte:

Thune in Eagle Butte Tomorrow

WASHINGTON — Tomorrow U.S. Sen. John Thune (R-S.D.) will travel to Eagle Butte to be briefed by Cheyenne River Sioux tribal leadership on housing, education, and law enforcement issues, as well as the ongoing crisis at the Indian Health Service (IHS).

In May, Thune introduced the IHS Accountability Act, which would bring greater accountability and transparency to the federal agency tasked with providing health care to tribal members throughout the Great Plains.

Tuesday, July 19:
WHAT:Meeting With Cheyenne River Sioux Tribal Leadership
WHEN:11:30 a.m. MDT
WHERE:Tribal Headquarters – Eagle Butte, S.D.

Or today, when he’s spending time in Pierre…

Thune in Pierre Tomorrow

WASHINGTON — Tomorrow U.S. Sen. John Thune (R-S.D.) will travel to Pierre to be briefed on Missouri River issues at the State Capitol before meeting with local law enforcement officials and touring the Law Enforcement Training Center.

Wednesday, July 20:

WHAT:Missouri River Briefing
WHEN:11:00 a.m. CDT
WHERE: State Capitol – 500 East Capitol Avenue – Pierre, S.D.

WHAT:Law Enforcement Training Center Meeting and Tour
WHEN:1:00 p.m. CDT
WHERE:Criminal Justice Training Center – 1302 East Highway 14, Suite 5 – Pierre, S.D.

###

While they might not post a calendar weeks ahead of time, Senator Thune (and the rest of our delegation) are scheduled pretty extensively during their time off from Washington business. That’s why they have both an in-state, and DC scheduler.  They’re that busy, and quite in demand for their time.

I don’t know that you’ll ever see a comprehensive calendar posted, as unfortunately, in today’s world, many times comprehensive calendars are not released in order to prevent someone from trying to do harm to public officials.

But don’t take that to mean they’re not out there pounding the pavement listening to what people say. That type of false cynicism is reserved for political operatives trying to make hay where none exists.

Governor Names Scott Stern As GOED Commissioner

PIERRE, S.D. – Gov. Dennis Daugaard announced today that he will appoint Scott G. Stern as Commissioner of the Governor’s Office of Economic Development. Stern will begin on Sept. 1, 2016.

“Scott Stern will be a great leader of our state’s economic development efforts,” said Gov. Daugaard. “From his work building a small town family business, to his time working with major corporate clients, Scott understands why South Dakota is a great place to do business.”

Stern is a Freeman native and a graduate of the University of South Dakota. For 29 years, Stern worked with Stern Oil Company of Freeman, including 14 years as vice president and general manager. For the past four years, Stern has worked a district sales manager for Petro-Canada America, a division of Suncor Energy.

“I look forward to supporting and assisting South Dakota businesses grow and achieve their objectives. I’m also excited to share the South Dakota advantage with outside businesses that want to make this great state their home,” said Stern.

During his years in Freeman, Stern served two stints on the city council and took leadership roles in the Freeman Chamber of Commerce and the Freeman Economic Development Corporation. He also served as a Dakota Rising small business mentor.

Stern and his wife, Staci, have three grown children. He will replace Pat Costello, who stepped aside as GOED Commissioner at the end of June.

-30-

(BTW, many of you politicos may know Scott’s wife, Staci, who worked for both Senator Pressler’s office, as well as Senator Thune. Great to have her back in SD! – PP)

The Argus has a story up this AM about Republican State Representative Isaac Latterell drawing attention to himself during the voting at the Republican National Convention by gesturing while the delegation was casting their ballot in the roll of states:

In a face palm of protest, one South Dakota Republican said with his body language what many GOP members wanted to Tuesday night.

Amid cheers from South Dakota delegates announcing that the state’s 29 delegates would support Republican nominee Donald Trump, state Rep. Isaac Latterell, R-Tea, rolled his eyes and clamped his hand over his face.

Read it here.

Latterell then went on in the article to call the RNC “corrupt” without defining why, other than to mention he voted for another candidate. Really?

There was another option for Latterell, other than to participate in this allegedly “corrupt” process. Just not go. 

There was no one holding him hostage, forcing him to go to Cleveland. No one demanded he go be wined, dined, entertained and hosted at the big show of the Republican convention.

In fact the rules of delegates being bound to the candidate winning the state were known many, many months in advance, and they were set by the State Republican Party, not the RNC. They were set that way because of the lateness of our primary, and the earlier convention. 

If Latterell didn’t want to be a bound candidate, he should have not signed up to be one. It’s a multitiered process you have to run for.  If he doesn’t like the rules, he should have registered a complaint when they were being made by the South Dakota Republican State Central Committee. 

Making faces on national television seems to be the kind of thing that should be beneath a state legislator, especially one who signed up for his ticket to ride in full knowledge of what that meant. 

And as he basks in his newfound notoriety for his protest of the “corrupt” RNC…   He will have to seek some measure of refuge from all the corruption in the free parties and events he is forced to take part of.

I’m sure in the aftermath, this mighty social justice warrior will return from Cleveland clutching his bag of free swag handed to him upon his arrival, with the delegate badge and toy guitar.

Such are the burdens of a modern-day protester.

As he continues to be noticed as one of the top two or three candidates for the office of Governor, State Representative, and anticipated Speaker of the House Mark Mickelson has launched a new website for his District 13 House Race, albeit one he is handily expected to win as he and fellow Republican Steve Westra face token opposition from the Democrats for District 13 State House, James Eckhoff & Ellee Spawn.

I suspect it’s not going to garner much statewide attention at this point. But just wait 6 – 8 months until the players for the 2018 Gubernatorial contest fire their machines up, and put things in gear. I suspect we’ll see a lot more activity.

Go check it out here.

Did You Know? Public Funding Laws Enabled Corruption

Governments with public funding laws saw rampant misuse of taxpayer dollars and illegal schemes to obtain funds

Sioux Falls, S.D. – Defeat22.com, a coalition of South Dakota charities, businesses, and policy organizations opposed to Initiated Measure 22, drew attention today to research showing how candidates in Arizona, Maine, and New York City misused the state’s public funding law. Public records show how candidates used taxpayer funds for parties and to pay their campaigns, and filed false information to obtain the free taxpayer money. 

Click here to see multiple documented examples of public funding laws enabling corruption.

“It’s no surprise that giving away taxpayer money to political candidates enables the lowest types to take advantage of the system and enrich themselves at the expense of the public,” explained Ben Lee, Chairman and spokesman for Defeat22.com. “Measure 22 would set up a public funding law, pouring taxpayer money into political campaigns and enabling corrupt candidates to take advantage of taxpayers. Fixing political corruption is an important issue, but it won’t be solved by dumping tax dollars into the system.”

Last week Defeat22.com announced the initial coalition partners. Earlier this month they announced a new radio ad, mailer, and grassroots door knocking effort. The coalition plans to continue heavy grassroots advocacy and paid media over the next four months.

Apparently, when you can only raise $24,000, you’re out fishing for likes instead of votes.

(Seriously, I laughed out loud when i read the headline.)

Do you ever wonder if there’s political candidates out there who are simply so obtuse, they just don’t “get it?”

In watching the hapless campaign of Congressional hopeful Paula Hawks, it just seems as if the  depth of knowledge she has about Congress is lacking, and she simply does not understand the mechanisms by which it operates.

Case in point is her latest fundraising/campaign ploy where she is trying to make hay over Congresswoman Noem accepting a seat on the House Ways and Means Committee. As she stated in a recent story in the Sioux Falls Argus Leader:

Hawks said she’d like to ask Noem about her silence on South Dakota’s conversation about expanding Medicaid and on her leaving the House Committee on Agriculture. The Democrat told dozens of supporters at a town hall meeting Thursday that she’d make sure she and Noem get to have a public dialogue.

Read that here.

So, let me understand this; After Ag Committee member Congresswoman Noem had a seat at the table to push through the first farm bill since 2008, and moved a reluctant House GOP Caucus to accept and pass the farm bill, her leadership was recognized and she was given a seat on Ways & Means, the most powerful committee in Congress .

And so, now, Paula Hawks wants to know why she didn’t stay on the Ag committee?  I can’t help but think that Hawks seems a bit thick in the head. 

If you’re not familiar with the Ways and Means Committee:

Because of its wide jurisdiction, Ways and Means has always been one of the most important committees with respect to impact on policy. … it is seen as a valuable post for two reasons. First, since its range is so broad, members with a wide array of policy concerns often seek positions, simply to be able to influence policy decisions. Some recent major issues that have gone through this committee include welfare reform, a Medicare prescription drug benefit, Social Security reform, George W. Bush’s tax cuts, and trade agreements including the North American Free Trade Agreement (NAFTA) and the Central America Free Trade Agreement (CAFTA).

Read that here.

I’m guessing either Paula Hawks doesn’t think tax policy, tax cuts, trade agreements, Social Security reform, and Medicare prescription drug benefits are important, or she hasn’t bothered to do one iota of research of what Noem is doing on the committee. Because she’s kvetching about Noem moving up from the committee where she already accomplished her #1 goal – passing a farm bill.

If we’re looking at it in terms of the State legislature – where Hawks’ mind seems to be stuck – it’s like moving up from the state Ag Committee to the State Affairs committee. One is topically important, but the other can deal with whatever it wants to, because it looks at everything. (Noem also sits on the United States House Ways and Means Subcommittees on Select Revenue Measures, and Human Resources.)

You might consider that a key difference between the candidates.

Hawks’ lack of knowledge about the basic processes of our Congress has her focusing on things that aren’t important. It showed in the haphazard way that her campaign rolled out, and continues to dog her in lacking a grasp of the issues that affect the office, as she continues to talk about state issues such as Medicaid expansion, something that’s not part of the Congressional race, no matter how hard she might try to make it part of the conversation.

In other words, you can’t help but wonder if she just doesn’t get it. 

Contrast that with Noem – who took her role in Congress seriously, did the best job she could with her position in delivering a solid win for Agriculture, and was promoted by her peers for her exceptional work.

There’s a clear difference between the candidates for the office of Congress.  And unfortunately, one is choosing to spend her time showing how she isn’t ready for it.