Meanwhile, in 1931, Lawrence had run for Allegheny County Commissioner but lost. It was one of his last losses, as the effects of the Great Depression and a series of scandals rapidly eroded support for the Republican party in Pittsburgh. Two years later, Lawrence was appointed U.S. Collector of Internal Revenue for Western Pennsylvania by President Franklin D. Roosevelt. In 1934, he helped elect George Earle as the first Democratic governor of Pennsylvania in the 20th century. Earle appointed him as the Secretary of the Commonwealth. That same year, Lawrence became state chairman of the Democratic Party.