TN lawmakers still ‘double-dipping’ after warning

State lawmakers continue to use donor money to cover expenses on days they are already receiving a government allowance, despite an August memo warning them against the practice.

In August, Drew Rawlins, executive director of the Bureau of Ethics and Campaign Finance, sent a memo to Lt. Gov. Randy McNally and House Speaker Beth Harwell reminding lawmakers that they “may not use campaign funds to pay for non-campaign related meals or lodging for themselves” on the same day they receive a regular legislative allowance.

A state campaign finance official described why it is wrong to use campaign money the same day they receive an allowance.

“In essence, you are double-dipping,” said Tom Lawless, chairman of the Registry of Election Finance. “You can live large, and that’s not what you’re supposed to be doing.”

Lawless said lawmakers who do so are getting paid twice for doing the same job.

Legislative per diems

Tennessee lawmakers receive a payment every day they are in session. However, they also can receive this per diem payment on non-legislative days, provided they are performing work related to their office.

This year there was a brief House-led effort to increase their daily per diems.

Rawlins’ letter appears to have had no impact on several lawmakers, who have continued to spend campaign money on days they receive per diems, according to campaign finance disclosures filed this year.

Take for example Rep. Sheila Butt, RColumbia, who spent $849 in campaign funds in September to cover lodging at a Hyatt Regency in Phoenix.

For the same trip, Butt had the state pay $2,914, including $664 for her hotel, to cover expenses incurred while at the Balanced Budget Convention, according to state records.

“That would appear to not be consistent with the spirit of the memo of the registry,” Lawless said.

A spokesman for the House Republicans identified by the USA TODAY NETWORK - Tennessee for this story did not provide individual explanations about the expenditures, instead noting that campaign money is private and not from taxpayers.

“These donations are made by supporters who trust their local lawmakers to spend contributions as they are needed. All expenditures are open to the public and disclosed with full transparency,” said Doug Kufner, spokesman for the House GOP caucus.

Other lawmakers who used campaign money to cover expenses while on out-of-state conferences include Sens. Frank Niceley, R-Strawberry Plains, and John Stevens, R-Huntingdon.

Niceley’s office said he reimburses his campaign account for conference trips, while Stevens said he has told his “bookkeeper” about the “error” and a reimbursement has been made.

‘Contrary to what we thought the rules to be’

Other lawmakers may have used campaign money while receiving a per diem this year, though the state’s website has yet to be updated to include per diem info for the 2018 session.

Rep. Rick Staples, D-Knoxville, used $105 in campaign money to pay for “rent” at the Clarion Hotel in Nashville on March 13. He would have received a per diem to cover his hotel cost for that legislative day.

Staples said the room was for two people who attended a meeting that day with the state Department of Children’s Services and did not have enough money to pay for a hotel.

Like Staples, Rep. Gary Hicks, R-Rogersville, made two $105 payments using campaign money to the Clarion Hotel to pay for lodging on two separate days the legislature was in session.

Hicks also spent $87 at Nashville restaurant 417 Union on March 7, another legislative day during which he would have received a per diem.

On April 4, Rep. John Holsclaw, RElizabethton, spent $122 in campaign money to pay for dinner at Jeff Ruby’s Steakhouse in Nashville. That day, he would have received a per diem as the House voted on a bill related to civil asset forfeiture.

In August, Sen. Ken Yager, R-Kingston, spent $190 in campaign money at Morton’s steakhouse in Nashville, the same day he received a per diem payment.

Yager said it is “my common practice” while dining with constituents to remove his portion of the bill and pay with personal funds on days he receives a per diem.

“While I believe this is likely the case here, I am unable to document it. I will therefore immediately reconcile my account with personal funds for the full $190.76 amount,” he said.

When Rep. Charles Sargent, R-Franklin, who serves as chairman of the House finance committee, traveled to Boston last year to attend a legislative conference he spent $393 in campaign funds on a “dinner for staff.” He received a per diem for his time at the conference.

“That would give the impression that either he made a mistake or that it was contrary to what we thought the rules to be,” Lawless said.