Advisory Opinion 06-04

     This Advisory Opinion provides guidance to a candidate who asked whether money collected through a charitable fundraising function that a candidate, including an elected official, has organized, sponsored, or sanctioned, directly or indirectly, is a campaign contribution that must be disclosed and reported by the candidate.

     The Campaign Spending Commission (“Commission”) recommends that charitable fundraising functions and campaign fundraisers be held as separate and distinct events to avoid having funds raised at charitable functions attributed as campaign contributions.

     If a candidate organizes, sponsors or sanctions, directly or indirectly, a charitable fundraising function, i.e. a golf tournament or banquet, the Commission recommends the following so that funds raised may not be attributed as contributions to the candidate:

(a)  There should be no reference to the candidate’s candidacy.

(b)  There should be no appeals for funds for the candidate’s campaign, including no solicitation, making, or acceptance of campaign contributions.

(c)  The candidate should have no role in the expenditures of the donations.

(d)  The purpose of the event, i.e. tournament, banquet, should not be to influence or promote the candidate’s nomination or election.

     This list is by no means exhaustive, as all facts and circumstances are considered to determine whether the funds received by a charitable fundraiser that is organized, sponsored or sanctioned, directly or indirectly, by a candidate are contributions to the candidate.  It is important to keep matters that could influence the candidate’s nomination or election at arm’s length from the candidate’s charitable pursuits.1

     The Commission provides this Advisory Opinion as a means of stating its current interpretation of the Hawaii Campaign Spending laws provided under HRS section 11-191, et seq. and the administrative rules of the Commission provided in chapter 2-14, Hawaii Administrative Rules. The Commission may adopt, revise, or revoke this Advisory Opinion upon the enactment of amendments to the Hawaii Revised Statutes or the adoption of administrative rules by the Commission.

Dated: Honolulu, Hawaii, July 13, 2006.

CAMPAIGN SPENDING COMMISSION

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Paul Kuramoto
Chairperson

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Steven E. Olbrich
Vice Chairperson

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Gino Gabrio
Commissioner

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Dean Robb
Commissioner

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Michael E. Weaver
Commissioner

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1 HRS section 11-200 (b) provides in relevant part:

(b) Any provision of law to the contrary not withstanding, a candidate, campaign treasurer, or candidate’s committee, as a contribution:
.  .  .  . 

May make contributions from its campaign fund to any community service, educational, youth, recreational, charitable, scientific, or literary organization; provided that in any election cycle, the total amount of all contributions from campaign funds and surplus funds shall be no more than the maximum amount that one person or other entity may contribute to that candidate pursuant to 11-204(a), Hawaii Revised Statutes; provided further that no contributions shall be made from the date the candidate files nomination papers to the date of the general election.

HRS section 11-206 (c) (4) provides in pertinent part:

(c) (4) Any contribution to any community service, educational, youth, recreational, charitable, scientific, or literary organization; provided that in any election cycle, the total amount of all contributions from campaign funds and surplus funds shall be no more than the maximum amount that one person or other entity may contribute to that candidate pursuant to 11-204(a), Hawaii Revised Statutes; provided further that no contributions shall be made from the date the candidate files nomination papers to the date of the general election.