STATE OF MINNESOTA

CAMPAIGN FINANCE AND PUBLIC DISCLOSURE BOARD

. . . . . . . . .

Tuesday, May 25, 1999

. . . . . . . . .

St. Croix Conference Room
Second Floor, Centennial Office Building

. . . .

  

MINUTES

 

Meeting was called to order by Acting Chair Pauly.

 

Members present: Chase, Fluegel, Heffelfinger, Pauly.

Others present: Olson, Goldsmith, Swanson, Klingner, staff; Huwe, counsel.

 

MINUTES (April 9, 1999)

 

Mr. Heffelfinger's MOTION: To approve the April 9, 1999, minutes as drafted.

 

Vote on MOTION: Unanimously passed.

 

ACTING CHAIR'S REPORT

 

Board Appointments

 

Acting Chair Pauly welcomed Shirley Chase. The Governor appointed Ms. Chase to Mr. Slocum's former position on the Board effective May 1, 1999.

 

Nominating Committee Report

 

Mr. Fluegel reported that the nominating committee recommends the following slate of officers: for Fiscal Year 2000, Chair, Sidney Pauly; Vice Chair, Will Fluegel; and for May through July 1999, Secretary, Tom Heffelfinger (see Executive Director's Report on legislation, on page 3 of these minutes).

 

Mr. Fluegel's MOTION: To accept the report of the Nominating Committee and declare the election of Ms. Pauly, Chair and Mr. Fluegel, Vice Chair for fiscal year 2000; and Mr. Heffelfinger, Secretary until August 1, 1999.

 

Vote on MOTION: Unanimously passed.

 

 

Board Meeting Schedule

 

Next meeting will be June 14, 1999.

 

Board Resolution

 

Mr. Heffelfinger's MOTION: To adopt the following resolution:

 

Resolved that, the Campaign Finance and Public Disclosure Board recognizes Carolyn Rodriguez for her service from 1992 to 1999 as a member of the Board and offers this resolution in appreciation for his investment of time and energy in support of the mission and objectives of the Minnesota Campaign Finance and Public Disclosure Board.

 

Vote on MOTION: Unanimously passed.

 

EXECUTIVE DIRECTOR'S REPORT

 

Ms. Olson submitted the following written report:

 

Staff Activities:

 

April 13 - Charles Slocum and Ms. Olson were guest lecturers at a Hamline University Graduate School class in Ethics.

 

April 22 - Mr. Goldsmith and Ms. Olson met with David Olsen and Doug Friedline to discuss issues surrounding the advisory opinion request of VMI and the Ventura Volunteer Committee.

 

Billie Errico, Patty Klingner, and Ms. Olson attended the Heartland conference in Madison, Wisconsin, April 25 through the 27. Ms. Errico and Ms. Klingner showcased the Board's campaign finance software.

 

May 5 - Ms. Olson met with Shirley Chase, Governor Ventura's first appointment to the Board.

 

Ms. Olson attended a Council on Governmental Ethics Laws (COGEL) long range planning meeting in New York on May 16 and 17.

 

Ms. Olson will be attending a COGEL Steering Committee meeting in Providence, Rhode Island, from June 4 to June 8.

 

 Legislation:

 

The Board's request for an additional staff person and funding to enhance the campaign finance software was approved by the legislature. The bill is awaiting signature by the governor. Staff will prepare a position description for the new position.

 

Legislation to recodify Chapter 10A passed the House and Senate committees and was signed by the governor. The changes are effective August 1. The bill makes stylistic improvements throughout the chapter, refines some definitions, relocates provisions more logically, repeals obsolete provisions and provisions that have been held unconstitutional, codifies some advisory opinions interpretations, amends the statute to conform to practices in some areas, and resolves internal conflicts. The bill also provides that the executive director serves as secretary of the Board and keeps a record of all proceedings and actions by the board.

 

Bills to amend the gift ban and campaign finance provisions were passed by both the House and Senate. There are major differences in the bills. A conference committee met twice to discuss the differences. The Senate version includes the requirement that the Board enforce the provisions of and issue advisory opinions on Minn. Stat. 471.895, the gift ban as it relates to local officials. The Senate version makes the advisory opinion process public, the House version keeps it nonpublic. Some version of most of the Board's legislative recommendations are included in the bills. The conference committee did not finish work on the bills and will meet during the interim.

 

The Board's request for $15,000 to pay legal fees in the St. Paul Legal Ledger v. State of Minnesota, et al. was signed by the Governor on May 11. Staff processed the payment to the attorney.

 

Miscellaneous:

 

Ms. Olson has been informed by the Governor's office that two new Board members will be appointed in time to attend the June Board meeting.

 

Copies of the 1998 Campaign Finance Summary, issued May 24, were provided to Board members.

 

Enforcement Report

 

Ms. Klingner presented the following enforcement matters for Board action:

 

Consent Items

 

Board Action: Authorization of certified letter to compel the amendment of Report of Receipts and Expenditures due February 1, 1999, and subsequent legal enforcement action if the report is not filed. A reminder notice was sent and staff attempted to contact the individuals by telephone.

 

David Adlin, candidate, Volunteers for David Adlin

Sander Grotjohn, treasurer, MFT Greenway Local 1330 COPE Fund

Kim Lien, treasurer, 35th Senate District RPM

David Mortenson, treasurer, 8th Congressional District COPE AFL-CIO

Cynthia Page, treasurer, 5th Congressional District RPM

Marie Zellar, treasurer, Clean Water Action Voter Education Project

 

Board Action: Authorization of certified letter for late filing fees which accrued because of the late filing of a Lobbyist Disbursement Report due January 15, 1999, and subsequent legal enforcement action if the fees are not paid. A reminder notice was sent and staff attempted to contact the individuals by telephone.

 

John Chell, lobbyist, Minnesota Iron & Steel Company: $60

John Curry, lobbyist, Hennepin County Attorney's Office: $40

Board Action: Authorization of certified letter for late filing fees which accrued because of the late filing of Report of Receipts and Expenditures, due February 1, 1999, and subsequent legal enforcement action if the fees are not paid. A reminder notice was sent and staff attempted to contact the individuals by telephone.

 

Gavin Wilkinson, treasurer, (Jay) Klaphake Volunteer Committee: $30

Paul Kess, candidate, Paul Kess Campaign Committee: $20

David Anderson, candidate, (David) Anderson for State Treasurer Committee: $50

 

Shawn Riley, treasurer, Delbert Mandelko District 31B Campaign: $45

Sheila Colbert, treasurer, People for (Donald) Bellfield: $30

Penny Droogsma, treasurer, People for (Tim) Droogsma: $40

 

Mr. Fluegel's MOTION: To authorize the actions specified in the consent matters.

 

Vote on MOTION: Unanimously passed.

  

Discussion Items

 

Failure to file Lobbyist Disbursement Report due January 15, 1999

 

David Krogseng, Minnesota Association of Private Postsecondary Schools - Mr. Krogseng registered with the Board in January 1987. No lobbying disbursements have been reported since 1997. Mr. Krogseng owed a late filing fee for his April 1997 report, however, the Board waived the fee due to Mr. Krogseng's health problems. All mail sent to Mr. Krogseng has been returned to the Board office with no forwarding address. The telephone number on Mr. Krogseng's lobbyist registration has been disconnected. The Minnesota Association of Private Postsecondary Schools notified staff that they do not have a forwarding address or telephone number for Mr. Krogseng.

 

Mr. Fluegel's MOTION: Direct staff to: 1) administratively terminate Mr. Krogseng's lobbyist registration; 2) place all correspondence in his file; and 3) retain the file in the active file should Mr. Krogseng terminate his registration or become an active lobbyist in the future.

 

Vote on MOTION: Unanimously passed.

 

Disclosure by an association reporting 1998 ballot question expenditures.

 

Darrell McKigney, lobbyist, Taxpayers League of Minnesota - Mr. McKigney registered as a lobbyist with the Board in January 1998. During the 1998 election year the Taxpayers League of Minnesota made expenditures on behalf of three ballot questions. In January 1999, Mr. McKigney called the Board office requesting guidance on reporting the ballot question expenditures. Mr. McKigney was advised that the expenditures should have been made through a separate political fund. By letter dated April 8, 1999, Mr. McKigney provided the required disclosure pertaining to the ballot question expenditures made by the association and requests that the Board accept this disclosure to fulfill the Taxpayers League of Minnesota's obligations under Chapter 10A.

 

Mr. Heffelfinger's MOTION: To accept the disclosure provided by Darrell McKigney for the ballot question expenditures made by the Taxpayers League of Minnesota.

 

Vote on MOTION: Unanimously passed.

 

Informational Items

 

Payment of Late Filing Fees

 

  • Report of Receipts and Expenditures due September 3, 1996

 

James Bernstein, treasurer, Metropolitan Good Government Coalition: $192

 

 

Robert Butterbrodt, treasurer, 64A House District RPM: $100

Ronald Lattin, treasurer, Republican Majority Fund: $300

Wilda Obey, treasurer, Pine County DFL: $200

 

 

Jual Carlson, treasurer, Together for Term Limits: $100

 

Brian Blair, lobbyist, Independent Analytical Testing Laboratories: $15

Richard Korman, lobbyist, Minnesota Hospital & Healthcare Partnership: $100

Christine Podas-Larson, lobbyist, Public Art St. Paul: $55

Stephen Rogness, lobbyist, Minnesota Hospital & Healthcare Partnership: $40

 

  • Report of Receipts and Expenditures due February 1, 1999

 

William Kain, treasurer, Elect (John) Ellenbecker Committee: $85

Amy Engren, treasurer, (Loyal) Hyatt Campaign Committee: $100

Dorothy McEachern, treasurer, (Bob) McEachern Volunteer Committee: $35

David Meier, candidate, (David) Meier Volunteer Committee: $100

Douglas Thompson, treasurer, Clearwater County DFL: $80

 

Payment of Civil Fine for Acceptance of Contributions in Excess of Special Source Limit

 

George Cassell, candidate, (George) Cassell for State Representative: $135

James Clark, candidate, People for James Clark: $33

Dan Dorman, candidate, Volunteers for (Dan) Dorman Committee: $48.52

Herb Frey, candidate, Herb Frey for 25A Committee: $185.38

Darlene Luther, candidate, Darlene Luther Volunteer Committee: $50

Lisa Quist, treasurer, Quist for Governor Committee: $300

Rod Skoe, candidate, Rod Skoe for State Representative Committee: $3,146.96

Todd Van Dellen, candidate, (H. Todd) Van Dellen for State Representative Committee: $55

All payments of late filing fees and civil fines have been deposited in the general fund of the state pursuant to statute.

 

Board Spending Plan FY 2000

 

Board members reviewed a draft spending plan for fiscal year 2000.

 

Mr. Heffelfinger's MOTION: To approve the spending plan for fiscal year 2000 as drafted.

 

Vote on MOTION: Unanimously passed.

 

Financial statement and agency deposits - Mr. Goldsmith and Ms. Errico submitted reports covering July 1 through April 30, 1999.

 

ADVISORY OPINION REQUEST

 

Request for the following advisory opinion is public data.

 

Advisory Opinion #306 - Status of a nonprofit corporation as political committee; application of Minnesota Statutes Chapter 10A to nonprofit corporation's activities (laid over from the February 26th, March 19th, and April 9th Board meetings)

 

Additional information on this matter received from Ventura for Minnesota, Inc. was provided to Board members.

Chair Pauly noted that Mr. Heffelfinger has abstained from voting on this matter, therefore the Board lacks the four voting members required to take action on any matter.

 

 

Mr. Fluegel's MOTION: To lay over the matter to the June 14 Board meeting.

 

Vote on MOTION: Unanimously passed.

 

 

LEGAL COUNSEL'S REPORT

 

Counsel Huwe introduced Carrie Darmody, paralegal, in the Attorney General's Office who assists with Board matters.

 

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).

 

ADJOURNMENT

 

Meeting adjourned.

 

Respectfully submitted,

 

Tom Heffelfinger, Secretary

(Minutes by staff)

 

attachment (Legal Counsel's Report can be obtained by contacting the Board office)