Senators Request Investigation of Mulvaney for Potential Hatch Act Violations

WASHINGTON, D.C. – Following Mick Mulvaney’s remarks last week in which he seemed to admit to pay-to-play in Congress and appeared to urge bank lobbyists to increase campaign donations, Oregon’s Senator Jeff Merkley—along with Banking Committee Ranking Member Sherrod Brown (D-OH), Judiciary Committee Ranking Member Dianne Feinstein (D-CA), Budget Committee Ranking Member Bernie Sanders (I-VT), Finance Committee Ranking Member Ron Wyden (D-OR) and Senator Catherine Cortez-Masto (D-NV)—today called on federal officials to investigate for potential violations of the Hatch Act. Mulvaney, a former South Carolina congressman, currently serves in the Trump administration as the Office of Management and Budget (OMB) Director and the Interim Director of the Consumer Financial Protection Bureau (CFPB).

The Hatch Act is a longstanding federal law that prohibits public officials from using their government positions for political gain. Using an official speech to solicit campaign donations would violate this law.

Mulvaney’s comments “reinforce the American public’s worst fears about a corrupt Washington establishment that sells access and is rigged for special interests with teams of lobbyists and deep pockets,” the Senators wrote in a letter to the U.S. Office of the Special Counsel.

“Our ‘We the People’ republic depends on public officials serving the public, not using their public trust to consolidate power or enrich themselves or their associates, which is exactly why the Hatch Act exists,” they continued. “As we see in countries across the globe, the abuse of public office undermines governments’ legitimacy and representative democracy. We respectfully request that the U.S. Office of Special Counsel conduct a thorough investigation of this matter.”

The full text of the letter can be found here or below.

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May 1, 2018

Henry Kerner

Special Counsel

U.S. Office of the Special Counsel

1730 M Street, N.W., Suite 218

Washington, D.C. 20036

Dear Special Counsel Kerner,

We write to request the U.S. Office of the Special Counsel investigate whether Mick Mulvaney, Director of the Office of Management and Budget (OMB) and the Interim Director of the Consumer Financial Protection Bureau (CFPB), violated the Hatch Act.

On April 24, 2018, Interim Director Mulvaney gave the keynote address at the American Bankers Association’s Government Relations Summit. In his official capacity as Interim Director of the CFPB, he suggested to 1,300 bankers and lobbyists that they increase their campaign donations as a way to influence lawmakers.[1] If the initial reporting by the New York Times is accurate, it raises troubling questions about whether his statements ran afoul of the Hatch Act (5 U.S. Code § 7323), which prohibits employees in the executive branch of the federal government from soliciting political contributions from any person.

Interim Director Mulvaney made his intent clear by his further comments that he “had a hierarchy in (his) office in Congress.” Director Mulvaney explicitly stated, “If you’re a lobbyist who never gave us money, I didn’t talk to you. If you’re a lobbyist who gave us money, I might talk to you.”[2] He appears to have suggested to the audience of bankers and lobbyists that if they make political contributions, they will get policy changes that they seek.

These comments reinforce the American public’s worst fears about a corrupt Washington establishment that sells access and is rigged for special interests with teams of lobbyists and deep pockets.

Our “We the People” republic depends on public officials serving the public, not using their public trust to consolidate power or enrich themselves or their associates, which is exactly why the Hatch Act exists. As we see in countries across the globe, the abuse of public office undermines governments’ legitimacy and representative democracy.

We respectfully request that the U.S. Office of Special Counsel conduct a thorough investigation of this matter. Thank you for your consideration and we look forward to your timely response.

Sincerely,