WASHINGTON -- The Federal Election Commission has successfully resolved seven enforcement matters through its Alternative Dispute Resolution (ADR) program.
In ADRs 304 and 330, the Latino Alliance and its treasurer paid a $2,500 civil penalty for failing to disclose all disbursements and receipts on their 2004 Post-General Report. The Committee agreed to pay the civil penalty, develop a compliance manual and to attend an FEC reporting seminar.
In ADR 319, Lewis for Senate, Inc., and its treasurer paid a $1,500 civil penalty for an inadvertent reporting violation. Respondents failed to disclose two disbursements on their 2005 July Quarterly Report. Respondents agreed to pay the civil penalty and work with Commission staff to terminate the committee.
In ADR 324, the Democratic Executive Committee of Florida and its treasurer acknowledged their failure to disclose all outstanding debt on their 2005 July Monthly Report. The Respondents amended the report in question, disclosed all outstanding debt and agreed to take steps to ensure timely and accurate disclosure of all debts and obligations in the future.
In ADR 334, Bruderly for Congress and its treasurer acknowledged reporting violations in their 2004 Post-General and 2004 Year End Reports. Three disbursements disclosed in those reports did not include an adequate description of purpose. Respondents agreed to work with FEC staff to correct those deficiencies in their reports.
ADR 349 arose from a complaint filed with the Commission alleging that the McCloskey for Congress Committee violated the disclaimer provisions of the Federal Election Campaign Act (FECA/ the Act). Respondents acknowledged preparing 10,000 door-hangers without a proper disclaimer, and distributing 1,000 of those door-hangers before the error was discovered. The Commission exercised its prosecutorial discretion, dismissed the matter and closed the file.
ADR 354 arose from a complaint filed with the Commission alleging that the Tom Hayhurst for Congress Committee, its treasurer, and the candidate used fraudulent disclaimers on campaign materials. The Commission determined that the disclaimers in question complied with the requirements of the Federal Election Campaign Act (FECA), dismissed the matter and closed the file.
The FEC’s innovative ADR program has proven very effective at quickly resolving basic violations and reducing the agency’s costs for resolving enforcement matters. Since its inception on October 2, 2000, the ADR program has resolved 290 cases.
The ADR process is designed to reach an expedient resolution with a mutually agreeable settlement that is in compliance with the Act. For a case to be considered for ADR treatment, a respondent must express willingness to engage in the ADR process, agree to set aside the statute of limitations while the case is being resolved and participate in mediation, if necessary. Resolutions are submitted to the Commissioners for final approval. Closed ADR negotiated settlement summaries are available on the FEC’s web site and through the Public Records office.
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ADRs 304 & 330 |
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RESPONDENTS: |
Latino Alliance, Linda Chavez, treasurer |
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SOURCE: |
FEC Initiated (RAD) |
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SUBJECT: |
Failure to report disbursements and receipts accurately |
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NEGOTIATED SETTLEMENT: |
$2,500 civil penalty
In ADRs 304 and 330, the Reports Analysis Division (RAD) determined that the respondents failed to disclose all disbursements and receipts on their 2004 30 Day Post General Report. The report in question was amended in June of 2005, disclosing additional disbursements of $76,798.87. It was amended again in July of that year, disclosing additional receipts totaling $70,873.06. Respondents acknowledged an inadvertent violation of FECA due to their lack of experience and contended that steps were taken to correct the situation as soon as they realized there were errors. They agreed to pay the civil penalty, to develop a compliance manual and to attend an FEC reporting seminar. |
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DOCUMENTS ON PUBLIC RECORD: |
Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 304 or 330 under case number in the Enforcement Query System. They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington. |
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ADR 319 |
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RESPONDENTS: |
Lewis for Senate, Inc., Matthew Miller, treasurer |
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SOURCE: |
FEC Initiated (RAD) |
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SUBJECT: |
Failure to report disbursements accurately |
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NEGOTIATED SETTLEMENT: |
$1,500 civil penalty
RAD referred the respondents for failing to disclose all disbursements on their 2005 July Quarterly Report. In September of 2005, the Committee filed an amended July Quarterly Report that disclosed additional disbursements of $50,124.56. Respondents acknowledged inadvertently violating FECA when they failed to disclose two disbursements on the report in question. The candidate stated that he failed to provide documentation for the expenditures to the treasurer in a timely manner to be included in the July Quarterly Report. Respondents agreed to pay a civil penalty and to work with Commission staff to terminate the Committee. |
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DOCUMENTS ON PUBLIC RECORD: |
Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 319 under case number in the Enforcement Query System. They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington. |
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ADR 324 |
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RESPONDENTS: |
Democratic Executive Committee of Florida, Rudy Parker, treasurer |
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SOURCE: |
FEC Initiated (RAD) |
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SUBJECT: |
Failure to report outstanding debts accurately |
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NEGOTIATED SETTLEMENT: |
RAD referred the respondents for failing to disclose all debts on their 2005 July Monthly Report. In November of 2005, the Committee filed an amended July Monthly Report that disclosed additional debt of $106,669.28. Respondents contended that the debt was initially disclosed on the August 2005 Monthly Report because the Committee used the date of receipt, instead of the date of the invoice, for reporting purposes. The Committee asserted that they retained a new Compliance Specialist who began reviewing reports in November of 2005 and changed the process used for reporting invoices. Respondents agreed to take steps to ensure timely and accurate disclosure for all future debts and obligations. |
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DOCUMENTS ON PUBLIC RECORD: |
Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 324 under case number in the Enforcement Query System. They are also available in the FEC's Public Records Office at 999 E St. NW in Washington. |
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ADR 334 |
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RESPONDENTS: |
Bruderly for Congress, David E. Bruderly, treasurer
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SOURCE: |
MUR 5715: Complainant George C. Schuman |
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SUBJECT: |
Failure to report disbursements accurately |
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NEGOTIATED SETTLEMENT: |
The complaint alleged that Bruderly for Congress violated the Act by filing two reports in 2004 containing various errors, omissions and discrepancies, including three itemized disbursements to the candidate that lacked a proper description or statement of purpose. The Committee acknowledged an inadvertent violation of FECA, but contended that they believed that adequate descriptions were provided for itemized disbursements. Respondents agreed to work with RAD staff to ensure that all relevant reports are amended and filed with adequate descriptions or purpose for itemized disbursements.
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DOCUMENTS ON PUBLIC RECORD: |
Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 334 under case number in the Enforcement Query System. They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington. |
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ADR 349 |
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RESPONDENTS: |
McCloskey for Congress, Stacey E. Owens, treasurer
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SOURCE: |
MUR 5759: Complainant Marilyn Bradley |
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SUBJECT: |
Disclaimers |
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NEGOTIATED SETTLEMENT: |
The complaint (MUR 5759) alleged that the Committee failed to include required disclaimers on two flyers and a door-hanger distributed by the candidate’s campaign committee. Respondents contended that they did not prepare, produce, pay for, distribute, coordinate, authorize or distribute either of the flyers and do not know who did. Respondents admitted that they prepared 10,000 door-hangers and distributed 1,000 before the disclaimer omission was noted. The Commission exercised its prosecutorial discretion, dismissed the matter and closed the file.
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DOCUMENTS ON PUBLIC RECORD: |
Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 349 under case number in the Enforcement Query System. They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington. |
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ADR 354 |
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RESPONDENTS: |
(a) Tom Hayhurst for Congress Committee, Christopher D. Ruckman, treasurer
(b) Thomas Eldon Hayhurst |
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SOURCE: |
MUR 5798: Complainant Maxine K. Young |
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SUBJECT: |
Fraudulent disclaimers |
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NEGOTIATED SETTLEMENT: |
The complaint alleged that the respondents used fraudulent disclaimers when they continued to display the names of the former treasurer and assistant treasurer on signs, banners, donor cards and other campaign materials. FECA requires a public communication paid for and authorized by a candidate to include a disclaimer that clearly states that the communication has been paid for and authorized by the candidate’s committee. The Commission determined that the disclaimers in question satisfied the statutory requirements, dismissed the matter and closed the file.
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DOCUMENTS ON PUBLIC RECORD: |
Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 354 under case number in the Enforcement Query System. They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington. |
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