STATE OF MINNESOTA
CAMPAIGN FINANCE AND PUBLIC DISCLOSURE BOARD
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Thursday, September 21, 2000
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Blazing Star Conference Room
First Floor, Centennial Office Building
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MINUTES
Meeting was called to order by Chair Fluegel
Members present: Chase, Fluegel, Kelley, Roggenbauer
Others present: Olson, Sigurdson, Swanson, Klingner, staff; Huwe, counsel
Ms. Pauly informed Board staff she would be unable to attend the meeting.
MINUTES (August 8, 2000)
Ms. Chase’s MOTION: To approve the August 8, 2000, minutes as drafted.
Vote on MOTION: Unanimously passed.
CHAIR'S REPORT
Board Meeting Schedule
Next meeting is scheduled for October 17, 2000.
EXECUTIVE DIRECTOR'S REPORT
Ms. Olson submitted the following written report:
Staff Activities
Seven campaign finance training classes to assist treasurers in filing the pre-primary report, held between July 25 and August 17 were attended by 53 individuals. In addition, two software training sessions, held because of client requests, were attended by eleven individuals. Staff has scheduled three training sessions for treasurers to be held October 13, 16 and 18.
Twelve responses to the Board’s Request For Proposals for the campaign finance software upgrade were received. Staff reviewed the proposals and entered into contract negotiations with Shared Resource Management (SRM).
September 11 – Mr. Sigurdson and Ms. Olson met a second time with representatives from the Department of Revenue. They continue to look for methods to make it easier for people to file for and receive political contribution refunds more timely.
September 13 – Mr. Sigurdson and Ms. Olson met with a delegation of seven individuals from Azerbaijan, Armenia, Soviet Georgia, and two escorts/interpreters. The group is part of a Transparency in Business and Government Relations program through the Minnesota International Center and the US State Department’s International Visitor Program. The delegation was interested in Minnesota’s personal financial disclosure, conflict of interest provisions, and campaign finance regulations.
September 20 – Ms. Olson participated in a Common Cause Roundtable discussion on a proposed Campaign Finance Simplification Act. Common Cause is looking for ways to allow candidates and the public to know where to find answers to campaign finance and elections related questions.
Electronic Activity
Staff has added the software for Finance ’98 to the client use computers in the public area of the Board office. Candidates who do not have access to a computer may use the Board computer to take advantage of the software.
About 75 candidate and 35 political committees and political funds used Campaign Finance ’98 to file their pre-primary Report of Receipt and Expenditures. About 50 reports were filed electronically during the 1998 election.
Personnel
Mr. Sigurdson reviewed the performance of John Nesbitt. Mr. Nesbitt’s performance meets expectations. Based on the Minnesota Association for Professional Employees (MAPE) contract he will receive a step increase.
Correspondence
Board members reviewed a letter from Alan Weinblatt requesting confirmation that individual permanent residents in the United States may contribute to political committees and candidates, subject to the contribution limits found in Chapter 10A.
Ms. Chase’s MOTION: To direct staff to notify Mr. Weinblatt that the Board concurs with his conclusions.
Vote on MOTION: Unanimously passed (see copy of Mr. Weinblatts letter attached).
Affirmative Action Plan (see August 8, minutes)
At its meeting of August 8, the Board approved the Affirmative Action Plan for August 1, 2000, to July 31, 2001. Following an audit of the plan by the Affirmative Action Program Coordinator, Department of Employee Relations, the plan was returned to staff with further language suggestions.
Board members reviewed a draft Affirmative Action Plan for August 1, 2000 to July 31, 2001, based on suggestions from the audit.
Mr. Roggenbauer’s MOTION: To approve the Affirmative Action Plan as drafted.
Vote on MOTION: Unanimously passed.
Employee Training and Development Plan (see August 8, minutes)
Board members reviewed a draft Employee Training and Development Plan which reflects provisions in the employment contracts.
Mr. Kelley’s MOTION: To approve the Employee Training and Development Plan as drafted.
Vote on MOTION: Unanimously passed.
Enforcement Report
Ms. Klingner presented the following enforcement matters for Board action:
Consent Items
Board Action Authorization of a certified letter to compel the filing of the Lobbyist Disbursement Report due July 17, 2000, and collection of any accrued late filing fees and subsequent legal enforcement action if the report is not filed. A reminder notice was sent to each person and staff attempted to contact each individual by telephone.
William Bierman Jr., Edina Fireman’s Relief Association
M. Ann Frey, Utilicorp United, Incorporated
Julie W. Howell, Minnesota Youth Soccer Association
Janice L Illingworth, Minnesota Motorcycle Riders Association
Robert C Illingworth, ABATE of Minnesota
Sherry Munyon, Minnesota Auto Dealers Association ($100 late filing fee paid)
Richard G. Nelson, Northwest Airlines, Incorporated
Pete Roess, Clean Water Dream Team (The)
David Strom, Taxpayers League of Minnesota
Board Action Authorization of a certified letter to compel the filing of a Statement of Economic Interest and collection of any accrued late filing fees and subsequent legal enforcement action if the statement is not filed. A reminder notice was sent to each person and staff attempted to contact each individual by telephone.
Greg Dolce, candidate, Campaign to Elect Greg Dolce
John Hollander, candidate, Senate District 12
Board Action Authorization of a certified letter to compel the filing of the pre-primary Report of Receipts and Expenditures due August 28, 2000, and collection of any accrued late filing fees and subsequent legal enforcement action if the report is not filed. A reminder notice was sent to each person and staff attempted to contact each individual by telephone.
Thomas Weisbecker, candidate, Weisbecker for House Seat 38A
Mark Myron, treasurer, Grant County DFL
DeeAnn Celusta, treasurer, St. Croix Valley Central Labor Union
Michael Darling, treasurer, Minnesota Committee to Preserve the Rule of Law
Mark Gleason, treasurer, Opponents of a Unicameral House
Thomas Meyer, treasurer, St. Paul Supervisor’s Organization Political Fund
M. J. Smith, treasurer, Gun Owners Political Action Committee
Pam Weatherhead, treasurer, Local 1833 Political Fund IAMAW
Ms. Chase’s MOTION: To authorize the actions specified in the consent matters.
Vote on MOTION: Unanimously passed.
Discussion Items
Waiver Requests for the Pre-primary Report of Receipts and Expenditures due August 28, 2000
Mark Douglas, treasurer, 67A House District RPM, $350 - The report was received in the Board office on September 12, 2000. In a letter to the Board, Mr. Douglas requests a waiver due to the fact that he moved to a different address and the report was not forwarded to his new address by the post office. This is Mr. Douglas’ first waiver request. No motion was made.
Fred Meyer, treasurer, 65A House District RPM, $500 – The report was received in the Board office on September 18, 2000. In a letter to the Board, Mr. Meyer requests a waiver due to the fact that he has been traveling extensively because of his job. The committee has a balance of $310 in the account. This is Mr. Meyer’s first waiver request.
Mr. Kelley’s MOTION: To reduce the $500 late filing fee for the 65A House District RPM to $250.
Vote on MOTION: Unanimously passed.
Fred Meyer, candidate, FMSP Committee (Fred Meyer), $500 - The report was received in the Board office on September 18, 2000. In a letter to the Board, Mr. Meyer requests a waiver due to the fact that he has been traveling extensively because of his job. This is Mr. Meyer’s first waiver request.
Mr. Kelley’s MOTION: To reduce the $500 late filing fee for the FMSP Committee (Fred Meyer) to $250.
Vote on MOTION: Unanimously passed.
Hubert (Buck) Humphrey, treasurer, Citizens for a Safer Minnesota, $500 - The report was received in the Board office on September 18, 2000. In a letter to the Board, Mr. Humphrey requests a waiver stating that he gave the report to a volunteer and expected that it would be filed. The volunteer, mistakenly, was not aware of the time deadlines. This committee registered in April 1999. There has been no activity and their cash balance is $0. Mr. Humphrey has terminated the committee registration.
Mr. Kelley’s MOTION: To approve Mr. Humphrey’s request to waive the $500 late filing fee due to the fact the committee has terminated it’s registration with the Board.
Vote on MOTION: Unanimously passed.
Dave Grandaw, treasurer, Duluth Building and Trades Volunteer Party Fund, $150 - The report was received in the Board office on September 6, 2000. In a letter to the Board, Mr. Grandaw requests a waiver because their CPA, who compiles the report, was ill at the time the report was due. This is Mr. Grandaw’s first waiver request.
Mr. Roggenbauer’s MOTION: To approve Mr. Grandaw’s request to waive the $150 late filing fee due to extenuating circumstances.
Vote on MOTION: Unanimously passed.
Marty M. Meyer-Gad, treasurer, Friends to Elect Bruno S. Gad, $50 - The report was electronically filed with the Board on September 1, 2000. In a letter to the Board, Mr. Meyer-Gad requests a waiver saying that he submitted the report electronically on August 28th and got verbal verification from Board staff that his report was received. Mr. Meyer-Gad paid the late filing, however, is requesting the Board to waive the late filing fee because of a misunderstanding between Board staff and Mr. Meyer-Gad.
Ms. Chase’s MOTION: To approve Mr. Meyer-Gad’s request to waive the $50 late filing fee due to extenuating circumstances and direct staff to refund the $50 paid by Mr. Meyer-Gad.
Vote on MOTION: Unanimously passed.
Merle Pettersen, treasurer, Hennepin County DFL, $350 - The report was received in the Board office on September 12, 2000. In a letter to the Board, Ms. Pettersen requests a waiver because of consistent serious health problems. Ms. Pettersen has filed reports late in the past but has never accrued a late filing fee.
Mr. Fluegel’s MOTION: To reduce the $350 late filing fee for the Hennepin County DFL to $100 due to extenuating circumstances.
Vote on MOTION: Unanimously passed.
Sandra Hunz, candidate, Sandra Hunz Volunteer Committee, $100 - The report was received in the Board office on September 5, 2000. In a letter to the Board, Ms. Hunz requests a waiver stating that the individual who volunteered to be her treasurer failed in her obligation to file the report. Upon return from a business trip, Ms. Hunz found the notice from the Board that her report was not filed. This committee registered with the Board on September 7, 2000. This is Ms. Hunz’ first waiver request. No motion was made.
James McBroom, treasurer, Isanti County DFL, $100 - The report was received in the Board office on September 5, 2000. In a letter to the Board, Mr. McBroom requests a waiver stating that he is the new treasurer and that an address correction was sent to the Board on September 5th, however, did not get changed in time for the mailing to be sent to his address. Consequently, the report was mailed to the former treasurer. The former treasurer forwarded the report to his address however, he did not receive it until September 4, 2000. No motion was made.
Cynthia Jaksa, treasurer, Koochiching County DFL, $50 - The report was received in the Board office on September 1, 2000. In a letter to the Board, Ms. Jaksa requests a waiver due to hard drive problems with her home computer. This is Ms. Jaksa’s first waiver request. No motion was made.
Tim Smick, treasurer, Martin County RPM, $50 - The report was received in the Board office on September 1, 2000. In a letter to the Board, Mr. Smick requests a waiver stating that he tried to fax the report on the due date however, the Board’s fax machine did not answer. This is Mr. Smick’s first waiver request.
Mr. Fluegel’s MOTION: To approve Mr. Smick’s request to waive the $50 late filing fee due to extenuating circumstances.
Vote on MOTION: Unanimously passed
Charles Young, treasurer, Reading Railroad, $500 - The report was received in the Board office on September 20, 2000. In a letter to the Board, Mr. Young requests a waiver due to the fact that the committee was formed for the Reading Railroad school however, the school abruptly closed in May of 2000. He states that their offices were closed and they were evicted from the premises and that all mail was temporarily lost, causing them to miss the filing deadline. The committee is unable to terminate due to outstanding bills. This is Mr. Young’s first waiver request.
Mr. Roggenbauer’s MOTION: To approve Mr. Young’s request to waive the $500 late filing fee due to extenuating circumstances.
Vote on MOTION: Unanimously passed
David Furness, former treasurer, Steele County DFL, $50 - The report was received in the Board office on September 1, 2000. In a letter to the Board, Mr. Furness requests a waiver on behalf of the new treasurer, Werner Halvorson, who was unaware of the filing deadlines. Mr. Furness also states that he tried to fax the report on August 31, 2000, however, the fax did not go through.
Ms. Chase’s MOTION: To approve Mr. Furness’ request to waive the $50 late filing fee due to extenuating circumstances.
Vote on MOTION: Unanimously passed
Request for Board direction for further action for failure to file the 1999 Report of Receipts and Expenditures (laid over from the August 8 Board meeting)
Kevin Correy, candidate, (Kevin) Correy for Senate – Counsel Huwe reported on the bank charges for subpoenaing bank records at the Owatonna bank where the Correy of Senate committee has it’s account. Board members authorized Counsel Huwe to issue an administrative subpoena to the Owatonna bank and report his findings to the Board at its next meeting.
Informational Items
Payment of Late Filing Fees
Lobbyist Disbursement Report due January 17, 2000
Christopher Morton, Minnesota FoodShare: $20
Sherry Munyon, Minnesota Auto Dealers Association: $100
Lobbyist Disbursement Report due April 17, 2000
Sherry Munyon, Minnesota Auto Dealers Association: $100
James Smith, West Seventh Community Center: $15
Lobbyist Disbursement Report due July 17, 2000
Tarryl Clark, Minnesota Community Action Association: $20
Susan Johnson, Planned Parenthood of Minnesota: $15
James Ketcham, Common Cause of Minnesota: $50
Sherry Munyon, Minnesota Auto Dealers Association: $100
Connie Perpich, Planned Parenthood of Minnesota: $10
Glenn West, Minnesota Government Engineers Council: $20
Statement of Economic Interest
Gary Laidig, candidate, Laidig Volunteer Committee: $20
Report of Receipts and Expenditures due January 31, 2000
John Ellenbecker, candidate, Elect Ellenbecker Committee: $100
Mike Spillane, candidate, Mike Spillane Volunteer Committee: $100
Report of Receipts and Expenditures due August 21, 2000
Susan Edel, treasurer, (Gene) Pelowski Volunteer Committee: $50
Marty M Meyer-Gad, treasurer, Friends to Elect Bruno S. Gad: $50
Curtis DePuy, treasurer, Sibley County RPM Party Executive Committee: $50
Andrew Hauer, treasurer, Stonewall DFL: $50
Carroll Lindstrom, treasurer, Marshall County RPM: $100
Catherine McDonald, treasurer, Itasca County DFL: $150
Ray Ortman, treasurer, 43rd Senate District RPM: $100
C. Alden Pearson, treasurer, 54B House District RPM: $100
Linda Stuckenbroker, treasurer, Cottonwood County DFL: $100
Douglas Thompson, treasurer, Clearwater County DFL: $300
Doreen Hagen, treasurer, Prairie Island Indian Community: $150
Andrew Hauer, treasurer, Brian Coyle DFL House Caucus: $50
Sandra Joyce, treasurer, Seniors for Choice: $50
Barbara Kelley, treasurer, Minnesotans for Horse Racing: $50
Patrick Martyn, treasurer, Independent Consumer Finance PAC: $100
James Meffert-Nelson, treasurer, Minnesota Optometric Political Action Committee: $150 John Morrow, treasurer, Rural Issues PAC: $50
Jane Nakken, treasurer, Minnesotans for Chemical Health and Treatment: $50
David Ross, treasurer, Duluth Area Chamber PAC: $50
David Wedin, treasurer, Political Action Fund of Duluth Firefighters: $50
Revenue Recapture
Don Koenig, candidate, Elect Don (Dr. Freedom 532 Million) Koenig - On September 12, 2000, staff received a check for $733.00 from Burnett Title Company, to pay late filing fees that accrued because of the failure of Mr. Koenig to file Campaign Finance Reports. In agreement for payment of late filing fees, Counsel Huwe released the lien imposed against Mr. Koenig’s property.
Civil Fines
Robert Kierlin, candidate, Volunteers for (Robert) Kierlin Committee - Between March 6 and March 11, 1999, the Volunteers for Kierlin Committee accepted 11 contributions from individuals. Each of the contributions exceeded the applicable non-election year contribution limit of $100. The total amount of the excess contributions was $2,030. Robert Kierlin entered into a conciliation agreement on August 14, 2000, and paid a civil fine of $2,030.
Becky Lourey, candidate, (Becky) Lourey for Senate Committee - During calendar year 1999, the Lourey for Senate Committee accepted a $500 contribution from the Aitkin County DFL Club. The contribution exceeded by $400 the applicable $100 non-election year contribution limit. Becky Lourey entered into a conciliation agreement on August 14, 2000, and paid a civil fine of $400.
Daniel Stevens, candidate, (Daniel) Stevens for Senate Committee - During calendar year 1999, the Stevens for Senate Committee accepted aggregate contributions totaling $1,400 from committees of the Republican Party of Minnesota. The total amount of these contributions exceeded by $400 the applicable $1,000 non-election year contribution limit. Daniel Stevens entered into a conciliation agreement on August 22, 2000, and paid a civil fine of $400.
Julie Storm, candidate, Julie Storm Volunteer Committee - During calendar year 1999, the Julie Storm Volunteer Committee accepted $1,100 in contributions from special sources. The total amount of these contributions exceeded by $136 the $964 applicable non-election year limit on aggregate contributions from special sources. Julie Storm entered into a conciliation agreement on August 27, 2000, and paid a civil fine of $136.
Barbara Winfield, candidate, People for (Barbara) Winfield Senate Campaign - The People for Winfield Senate Campaign accepted three in-kind contributions and one cash contribution totaling $382.98 from the People for (Barbara) Winfield (House) Committee. The total amount of these contributions exceeded by $283.79 the applicable $100 non-election year contribution limit. Barbara Winfield entered into a conciliation agreement on August 28, 2000 and paid a civil fine of $283.79.
Notification of failure to file Lobbyist Disbursement Reports and a Statement of Economic Interest
Sharon Anderson - Pursuant to the Board’s direction at its April 9, 1999, meeting, staff is advising the Board that Sharon Anderson failed to file Lobbyist Disbursement Reports due July 17, 2000, for two associations and a Statement of Economic Interest for Candidates for Elective Office due no later than August 1, 2000.
Agency deposits – An agency deposit report covering July 1 through September 1, 2000, was available for Board members.
Annual Report - The Board reviewed and approved by consensus a draft copy of the Annual Report covering fiscal year 2000, July 1, 1999, through June 30, 2000.
Council on Governmental Ethics Laws (COGEL) Conference (see August 8, minutes) – Mr. Kelley and Mr. Roggenbauer may attend the conference.
ADVISORY OPINION REQUEST
The following request and advisory opinion are nonpublic data.
Advisory Opinion Request #322 - Definition of First-time Candidate
The Board reviewed a draft response to an advisory opinion request from a candidate for the office of state senate, who asks: 1) If an individual does not file for office and does not appear on the primary or general election ballot, are they a "candidate" for purposes of determining eligibility for the 10% increase in the expenditure limit given to first time candidates.
Ms. Chase’s MOTION: To approve advisory opinion #322 as drafted.
Vote on MOTION: Unanimously passed.
SUMMARY: ADVISORY OPINION #322 signed by Chair Wil Fluegel, September 21, 2000: First time candidate status is lost if the candidate has previously received contributions or made expenditures in excess of $100 for an office whose territory contains more than one third of the population of the office currently sought.
LEGAL COUNSEL’S REPORT
Counsel Huwe presented the legal counsel report outlining the status of cases, which have been turned over to the Attorney General’s office (see copy of memo attached).
REPORT FROM EXECUTIVE SESSION
In the matter of the investigation of Mike Redmond Committee - The Board issued findings showing that there is no probable cause to believe that the Citizens for Mike Redmond Committee violated Minn. Stat. §10A.27, subd. 8, when it obtained a $10,000 bank loan. The complaint regarding the Citizens for Mike Redmond Committee is dismissed and the record in this matter is hereby entered into the public record in accordance with Minn. Stat. §10A.02, subd. 11. 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 [linked] attached).
ADJOURNMENT
Meeting adjourned.
Respectfully submitted,
Jeanne Olson
Executive Director
attachments (for a copy of the letter referred to in the Executive Director's Report contact the Board office at 651-296-5148 or 1-800-657-3889)
STATE OF MINNESOTA
Office of the Attorney General
| TO: | JEANNE OLSON Executive Director Campaign Finance and Public Disclosure Board |
DATE: | September 11, 2000 |
| FROM: | GREGORY P. HUWE Assistant Attorney General 525 Park Street, #200 St. Paul, MN 55103-2106 |
PHONE: | (651) 297-1223 (Voice) (651) 297-1235 (Fax) (651) 282-2525 (TTY) |
| SUBJECT: | Status Report of Campaign Finance and Public Disclosure Board Matters |
I. Major Cases/Major Issues:
At its last meeting, the Board authorized a 30-day extension of time in two complaint matters on the Executive Session agenda. Counsel for respondents was so informed. To my knowledge, there have been no further developments as of today’s date.
II. Enforcement Matters:
For other enforcement matters referred to the Attorney General’s Office, please see the attached chart.
(for a copy of the chart contact the Board office at 651-296-5148 or 1-800-657-3889)