Campaign Spending Commission

Campaign Spending Commission
Leiopapa A Kamehameha Building, Room 204
July 13, 2011
10:00 a.m.

Commissioners Present:
Chair Michael Weaver, Vice-Chair Robb, Steven Olbrich, Paul Kuramoto

Staff Present:
Kristin Izumi-Nitao, Tony Baldomero, Gary Kam, Ellen Kojima

Call to Order:
Meeting convened at 10:05 a.m. with Chair Weaver presiding.

Consideration of Minutes:
Vice-Chair Robb moved to approve the minutes of June 8, 2011.  Motion seconded by Commissioner Kuramoto.  Motion carried (Olbrich – abstain)

New Business:
Executive Director Izumi-Nitao stated that the following proposed conciliation agreement is a result of an investigation that she initiated in June 2011 pursuant to HRS section 11-317(7) to determine whether there has been a violation of the Hawaii campaign spending law.

The Respondent has been notified of the meeting, received a copy of the proposed conciliation agreement, and waived the opportunity to explain or otherwise respond to the notice of violation.  She recommended that the Commission made a preliminary determination of probable cause that a violation had been committed, waive further proceedings, and approve the settlement amount stated in the proposed agreement.

Proposed Conciliation Agreement 11-14 – In Re the Matter of Committee to Elect Pohai Ryan
Proposed agreement is offered to settle a claim regarding the late filing of a Supplemental Report for the period covering November 3, 2010 through December 31, 2010 which was due on January 31, 2011, in violation of HRS sections 11-334 and 11-340.

Commissioner Kuramoto moved to find probable cause exists that Respondent committed a violation and to accept settlement as stated in the proposed conciliation agreement.  Motion seconded by Vice-Chair Robb.  Motion carried unanimously.

Docket No. 11-14 – In Re the Matter of Peter Dudek, Friends of Peter Dudek and Heather L. Jackson
Complaint for failure to timely file the Final Election Period and Supplemental Reports.  General Counsel Kam recommended that the Commission make a preliminary determination of probable cause that a violation has been committed, accept relief as stated in the complaint, $500 for each report, for a total administrative fine of $1,000, and that reports be filed within two weeks.

Commissioner Olbrich moved to find probable cause exists that Respondents committed a violation and to accept relief as stated in the complaint.  Motion seconded by Commissioner Kuramoto.

Respondent Peter Dudek, was present and stated that he did not raise or spend any monies, the bank account has been closed, and that he is currently unemployed and would not be able to pay the fine.

Discussion on whether the matter should be deferred until the August meeting to give Respondent time to file the reports and whether the recommended fine should be lowered.

General Counsel noted that this is the first time that the Respondent has responded to any notice that the Commission has sent to the Respondent.

Vice-Chair moved to defer the matter until the August meeting to reconsider the complaint.  Motion seconded by Commissioner Olbrich.  Motion carried unanimously.

Docket No. 11-15 – In Re the Matter of Andrew Jamila, Andrew M. Jamila, Jr. and James B. Wood
Complaint for failure to timely file the Final Election Period and Supplemental Reports.  General Counsel Kam recommended that the Commission make a preliminary determination of probable cause that a violation has been committed, accept relief as stated in the complaint, $500 for each report, for a total administrative fine of $1,000, and that reports be filed within two weeks of receipt of order.

Vice-Chair Robb moved to find probable cause exists that Respondents committed a violation and to accept relief as stated in the complaint.  Motion seconded by Commission Kuramoto.  Motion carried unanimously.

Docket No. 11-16 – In Re the Matter of Samuel Kong, Friends of Sam Kong and Eva M. Lee
Complaint for failure to timely file the Supplemental Report.  General Counsel Kam requested that the matter be continued until the August meeting, as the post office box designated in the Organizational Report which is used to notify Respondents has been closed.  Another address has been found and we will be re-notifying Respondents about the complaint and the August meeting.

Vice-Chair Robb moved to continue matter until the August meeting.  Motion seconded by Commissioner Olbrich.  Motion carried unanimously.

Report from Executive Director:

Welcome New Chair and Vice-Chair
Executive Director Izumi-Nitao welcomed new Chair Michael Weaver and Vice-Chair Dean Robb and thanked Commissioner Paul Kuramoto for continuing to attend meetings until a new member is appointed.

Update and Report on Failure to File Reports, Unpaid Fines, and Subsequent Proceedings
To date – 5 failed to file any reports, 7 unpaid fines, and 2 circuit court applications filed

Discussion regarding Employment of Social Media
On 6/15/11, a memo was sent to Comptroller Bruce Coppa through Debra Gagne of ICSD seeking to employ social media applications such as Twitter and Facebook to inform interested parties of time sensitive information.

2011 COGEL Conference
This year’s conference will be held in Nashville, TN on December 4-7, 2011.  Approval to travel has been obtained for Executive Director Izumi-Nitao, General Counsel Kam, and Chair Weaver.

Update Regarding Request to Fill Elections Assistant Position
Request to Fill submitted in June, still awaiting approval.  Letters of interest and resumes have been received, but unable to offer position until request is approved.

Status and Update on Hawaii Election Campaign Fund
Deferred until the August meeting.

Discussion – McComish v. Bennett and Impact to CSC
McComish decision impacts section 13 of Act 244 regarding equalizing funds of the Hawaii County Council comprehensive public funding program.  Because this decision held that equalizing funds are unconstitutional, the Commission will not run the equalizing funds program set forth in section 13 of Act 244 should the program be declared operational on September 1, 2011 for the 2012 election.  Staff has met with the attorney general’s office and they are aware of our position.  Notably, although operational, the equalizing funds program for the 2010 elections was not triggered.

Inquiries have been received from the media and legislature, and will be meeting with Jean Aoki of the League of Women Voters regarding a report they had done on the Hawaii County Council comprehensive public funding program.

Vice-Chair Robb moved to convene executive session to consult with attorney.  Motion seconded by Commissioner Olbrich.  Motion carried unanimously.

Public session reconvened at 11:30 a.m.

Next Meeting:
Scheduled for Wednesday, August 10, 2011 at 10:00 a.m.

Commissioner Olbrich moved to adjourn meeting.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Vice-Chair Robb moved to reconvene meeting.  Motion seconded by Commissioner Olbrich.  Motion carried unanimously.  Meeting reconvened at 11:32 a.m.

Vice-Chair Robb moved to convene executive session to address an attorney-client matter.  Motion seconded by Commissioner Olbrich.  Motion carried unanimously.

Public session reconvened.  Commissioner Olbrich moved to adjourn meeting.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.  Meeting adjourned at 11:40 a.m.