STATE OF MINNESOTA
CAMPAIGN FINANCE AND PUBLIC DISCLOSURE BOARD
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Room G – 31
Judicial Center
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Meeting was called to
order by Chair Fluegel.
Ms. Bettermann informed
Board members that she would be unable to attend the meeting.
MINUTES (May 26, 2004)
Ms.
Ashmore’s MOTION: To approve the May 26,
2004, minutes as drafted.
Vote on MOTION: Unanimously passed.
Next meeting is scheduled
for Thursday, July 22, 2004.
·
Council on Governmental Ethics Law (COGEL) Conference
Ms. Boyd, Mr. Miller, Ms.
Olson, and Mr. Sigurdson will attend the annual COGEL conference, scheduled for
December 5th through 8th in San Francisco, CA.
Ms. Olson submitted the
following written report:
·
Staff Activities
On June 7th Mr.
Sigurdson and Ms. Olson were on the faculty of a Continuing Legal Education
(CLE) seminar at the Hamline Law School.
This CLE seminar is held each election year for individuals interested
in campaign finance and lobbying.
On June 9th Ms. Olson
was on a panel to discuss campaign finance laws with the Minnesota Government
Relations Council.
The Department of Revenue would
like to allow contributors to apply for the Political Contribution Refund
electronically. Mr. Sigurdson and Ms.
Olson met with representatives from the Department of Revenue to discuss the
issue. Another meeting will be
scheduled to include candidates and individuals from political party caucuses
to discuss potential problems and pitfalls of electronic filing of the refund
applications.
Staff prepared and delivered
packets to the Dakota County Auditor for use in the Special Election in Senate
District 37. The Special Election was
called to fill the seat formerly held by David Knutson who resigned when he was
appointed by Governor Pawlenty to fill a judicial vacancy.
·
Legislation
Staff is working with the
Department of Finance to determine how to provide $65,000 from the State
Elections Campaign Fund each fiscal year to the Office of Administrative
Hearings (OAH) to cover OAH costs to resolve complaints about legislative,
constitutional officer, and judicial candidate violations under 211B.
If a special session is
called, Ms. Olson will work with Representative Rhodes and Senator Higgins to
try to get the Board’s 2003 recommendations in a special session bill. The special session bill would include only
those issues that both the House and Senate found acceptable during the 2003
session.
·
Personnel
Ms. Olson introduced Jon
Peterson. Mr. Peterson began work in
the Information Technology II position on June 2nd.
Enforcement Report
Request to vacate
judgments for failure to file the Report of Receipts and Expenditures due
October 28, 2002, January 31, 2003, and a request to waive the late filing fee
and civil penalty for failure to timely file the Report of Receipts and
Expenditures due February 2, 2004
Tom Porter, candidate, Tom Porter
for State Legislature Committee, $2,600 in civil penalties, $700 in late filing
fees and $150.50 in service of process fees - On April 12, 2004, the
Board received a Report of Receipts and Expenditures from the Tom Porter for
State Legislature Committee covering the period January 1 through December 31,
2002, and a request from Mr. Porter to vacate the judgments for his failure to
file the 2002 Pre-General and Year-End Reports of Receipts and
Expenditures. The Board obtained one
judgment of $1,530 for failure to file the Report of Receipts and Expenditures
due October 28, 2002, and one judgment of $1,220.50 for failure to file the
Report of Receipts and Expenditures due January 31, 2003. The Committee’s Report of Receipts and
Expenditures covering the period January 1 through December 31, 2003, was
received in the Board office on April 22, 2004, resulting in a $100 late filing
fee and $600 civil penalty.
Prior to receipt of his
waiver request, Mr. Porter failed to respond to multiple telephone calls,
letters, and subpoenas from the Board and the Attorney General’s Office. No motion was made.
Request for an extension to amend a Report of
Receipts and Expenditures
Melissa Herrig, treasurer, Green Party
of Minnesota – The Report of Receipts and Expenditures for the Green Party of
Minnesota covering the period January 1 through December 31, 2003, failed to
disclose employment information for seven contributors. Ms. Herrig is requesting an extension until
June 30, 2004, to obtain the employment information from the seven
contributors.
Mr. Milbert’s MOTION: To
approve Ms. Herrig’s request to extend the deadline for amending the Report of
Receipts and Expenditures to June 30, 2004.
Vote on MOTION: Unanimously passed.
Request to waive late fees and civil penalties
·
Original Statement of Economic Interest
Freddie Davis-English, Minnesota Behavioral
Health and Therapy Board, $100 - The Original Statement of Economic Interest
due February 9, 2004, was received in the Board office on March 24, 2004. In her request, Ms. Davis stated that she
used a fax machine she was not familiar with to fax the report to the Board and
that she was not aware that the report was not received until she received
further notices from the Board. The
Board sent Ms. Davis-English two certified notices regarding this report, one
on February 10, 2004, one on March 18, 2004.
No motion was made.
·
Annual Report of Lobbyist Principal and the Principal Fee due March 15,
2004
Lisa Kugler, Lyndale West Partners,
LLC, $1,800 in civil penalties, $200 in late filing fees - The Annual Report of
Lobbyist Principal and the principal fee were received in the Board office on
June 11, 2004. In her request, Ms.
Kugler stated that the association only engaged a lobbyist to fill a one-time
need during the 2002 legislative session.
That lobbyist failed to terminate until June 30, 2003, resulting in the
association’s need to file the report and pay the fee.
Mr. Milbert’s MOTION: To
approve Ms. Kugler’s request to waive the $1,800 in civil penalties and to
impose the $200 late filing fees.
Vote on MOTION: Unanimously
passed.
Payment of Civil Penalties
·
Failure to Timely Amend
Tom Workman, candidate, Tom Workman Volunteer
Committee: $100
·
Late Filing of Lobbyist Fee due January 15, 2004
Sandra Hofstetter:
$200
John Smullen: $200
Payment of Late Filing Fees
·
Lobbyist Fee Due January 15, 2004
Sandra Hofstetter:
$100
John Smullen: $100
Michael Yang: $100
·
Lobbyist Principal Fee due March 15, 2004
Midwifery Now!: $80
·
Report of Receipts and Expenditures due February 2, 2004
Tom Kelly, candidate, Tom Kelly for Attorney
General: $75
Conciliation Agreements
Anthony Cornish, (Anthony) Cornish for
State Representative, $2,000 - During calendar year 2003, the Cornish
for State Representative committee accepted a $3,000 contribution from the
House Republican Campaign Committee.
The total amount of the contribution facially exceeded by $2,000 the
applicable nonelection year contribution limit from a political party. Representative Cornish entered into a
conciliation agreement on June 5, 2004, returned $2,000 to the House Republican
Campaign Committee and paid a civil penalty of $2,000.
David Dill, candidate, David Dill
for Minnesota District 6A, $6,439.55 – During calendar year 2002, the David
Dill for Minnesota District 6A reported campaign expenditures of $34,144.78. The total amount of these expenditures
exceeded the by $6,439.55 the applicable 2002 campaign expenditure limit. Representative Dill entered into a
conciliation agreement on June 4, 2004, and paid civil penalty of
$6,439.55.
Dave Knutson, candidate, Dave Knutson
Volunteer Committee, $100 - During calendar year 2003, the Dave Knutson
Volunteer Committee accepted two $100 contributions from the Minnesota Funeral
Services PAC, a registered political committee. The total amount of these contributions exceeded by $100 the
applicable nonelection year contribution limit from a political committee. Senator Knutson entered into a conciliation
agreement on June 8, 2004, provided the Board with a copy of the check
returning $100 to the Minnesota Funeral Services PAC, and paid a civil penalty
of $100.
Joseph Opatz, candidate, (Joseph)
Opatz Volunteer Committee, $100 – During calendar year 2003, the Opatz
Volunteer Committee accepted two $100 contributions from the Minnesota Funeral
Services PAC, a registered political committee. The total amount of these contributions exceeded by $100 the
applicable nonelection year contribution limit from a political committee. Representative Opatz entered into a
conciliation agreement on May 29, 2004, provided the Board with a copy of a
check returning $100 to the Minnesota Funeral Services PAC, and paid a civil
penalty of $100.
Alice Seagren, candidate, (Alice)
Seagren Volunteer Committee, $100 - During calendar year 2003, the Seagren
Volunteer Committee accepted two $100 contributions from the Minneapolis
Retired Police Association Political Fund.
The total amount of these contributions exceeded by $100 the applicable
nonelection year contribution limit from a political committee. Representative Seagren entered into a
conciliation agreement on June 3, 2004, provided the Board with a copy of a
check returning $100 to the Minneapolis Retired Police Association Political
Fund, and paid a civil penalty of $100.
Loren Solberg, candidate, Loren
Solberg Volunteer Committee, $100 - During calendar year 2003, the Loren
Solberg Volunteer Committee accepted a $250 joint contribution from two
individuals. The total amount of the
contributions exceeded by $50 the applicable nonelection year contribution
limit from two individuals.
Representative Solberg entered into a conciliation agreement on June 2,
2004, provided the Board with copies of the checks returning the excess
contributions, and paid a civil penalty of $100.
Gwen Besnett, Crow Wing County DFL,
$250 - During calendar year 2002, the Crow Wing County DFL accepted a $2,500
contribution from the Mille Lacs Band of Ojibwe , an unregistered
association. At the time the
contribution was given, the Mille Lacs Band of Ojibwe, failed to provide the
disclosure required by Minn. Stat. §10A.27, subd. 13. Ms. Besnett, on behalf of the Crow Wing County DFL, entered into
a conciliation agreement on June 2, 2004, provided the Board with a copy of the
check returning the contribution to the Mille Lacs Band of Ojibwe Indians, and
paid a civil penalty of $250.
James Haugen, treasurer, Minneapolis
Retired Police Association Political Fund, $100 -
During calendar year
2003, the Minneapolis Retired Police Association Political Fund made two $100
contributions to the (Alice) Seagren Volunteer Committee. The total amount of these contributions
exceeded by $100 the applicable nonelection year contribution limit to a
principal campaign committee. Mr.
Haugen, on behalf of the Minneapolis Retired Police Association Political Fund,
entered into a conciliation agreement on June 2, 2004, provided the Board with
evidence of the contribution being returned by the (Alice) Seagren Volunteer
Committee, and paid a civil penalty of $100.
Financial statement and agency deposits - Mr. Sigurdson submitted a report covering July 1, 2003, through
May 31, 2004.
Board members reviewed a
draft of a revised spending plan for fiscal year 2005 based on an appropriation
of $712,000.
Ms. Ashmore’s MOTION: To approve the revised spending plan for
fiscal year 2005 as drafted.
Vote on MOTION: Unanimously passed.
Advisory Opinion Request #358 –
Determination and Reporting of Lobbying Disbursements
Board members reviewed a
letter from a member of a professional
association (the Firm), which employs lobbyists registered with the Board who
asked if the association and the designated lobbyist: 1) should report the cost
of administering a web site used only for informational purposes unrelated to
influencing the actions of public or local officials as a lobbying
disbursement; 2) should report the cost of maintaining a computer model as a
lobbying disbursement if the computer model was used for both lobbying and
non-lobbying purposes; 3) may amend their 2003 reports to include the
maintenance costs of the computer model allocated to lobbying; and 4) will meet
the applicable reporting requirements of Chapter 10A by reporting the total
amount the Firm is paid by the association (including payment for services
unrelated to lobbying) as a lobbying disbursement.
Board members reviewed and made certain
language changes to a draft opinion.
Mr. Miller’s MOTION: To approve advisory opinion #358 as amended
in discussion.
Vote on MOTION: Unanimously passed.
SUMMARY: ADVISORY OPINION
#358 signed by Chair Wil Fluegel, June 15, 2004: Lobbyists
and lobbyist principals must reasonably allocate and report expenditures for
items and services that have both a lobbying and a nonlobbying purpose.
Board members reviewed
the legal counsel report provided by Counsel Huwe outlining the status of cases
that have been turned over to the Attorney General’s office
Ms. Olson noted that
Counsel Huwe has filed a petition for review with the Minnesota Supreme Court
in the case of Mayor Randy Kelly v. the Campaign Finance and Public Disclosure
Board.
Findings in the Matter of
the Complaint Regarding Bill McLaughlin
-
The Board issued findings to show that there is probable cause to believe that
the Bill McLaughlin Senate 3 Campaign
Committee violated
Minn. Stat. §10A.273, when it by
accepted a contribution from a registered lobbyist during the regular session
of the legislature in 2003. The Board ordered that
the findings and the record of the investigation be made a part of the public
records of the Board (see copy of findings attached.)
Meeting
adjourned.
Jeanne
Olson
Executive
Director
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