Minutes for January 16, 2003

Campaign Spending Commission Meeting
Leiopapa A Kamehameha Building, Room 204
January 16, 2003
3:00 p.m.

Members Present:
A. Duane Black, Della Au Belatti, Mona Chock

Staff Present:
Robert Watada, Tony Baldomero, Jon Itomura, Ellen Kojima

Call to Order:
Meeting convened at 3:05 p.m. with Chairman Black presiding.

Consideration of Minutes:
Minutes deferred until next meeting.

Old Business:
Docket 02-09 Thomas Berg vs. Certified Management
Complaint alleged that Certified Management failed to file the required organizational and disclosure reports for expenditures made in support of candidate Tesha Malama. Staff notified Certified of their failure to file the required reports. Subsequently, Certified submitted all required reports and paid the penalty for failing to submit two timely reports.

Ms. Belatti moved to summarily dismiss the complaint, Ms. Chock seconded. Motion carried.

Docket 02-12 Michael Golojuch vs. Friends of Mike Gabbard
Docket 02-13 Michael Golojuch vs. Friends of Tulsi Gabbard Tamayo
Complaints alleged possible violations related to failure to accurately report expenditures. At the November 15, and December 2, 2002 meetings, after hearing the responses made by Randal Yoshida, counsel for both respondents and Michael Golojuch the Commission directed the staff to further investigate the matter. Staff requested that respondents amend their disclosure reports to reflect all payees and expenditures in detail and respondents have complied.

Ms. Belatti moved to summarily dismiss both complaints, Ms. Chock seconded. Motion carried.

New Business:
Docket 02-14 Patrick Gallagher vs. H.E..R.E., Local 5
Complaint alleged that H.E.R.E. made various expenditures and coordinated campaign activities for candidate Mazie Hirono in excess of the contribution limit. Preliminary findings found that there was no coordination with the candidate and that funds were expended. Mr. Tony Gill, counsel for H.E.R.E., also represented that there was no campaign coordination, but that there were campaign related expenditures made. Staff recommended that the matter be further investigated and that the staff work with respondent on the reporting issues.

Ms. Belatti moved that the matter be further investigated, Ms. Chock seconded. Motion carried.

Conciliation Agreement 02-32 Fewell Geotechnical Engineering, Inc.
Investigation found that Fewell and Hawaii Test Borings are two companies that share office space and have the same officers. Excess and false name contributions were made to the Harris and Cayetano campaigns.

Ms. Belatti moved to approve Conciliation Agreement 02-32, Ms. Chock seconded. Motion carried.

Conciliation Agreement 02-33 ECM, Inc.
Investigation found that on the same day a $2,000 contribution by Engineering Enterprises was made a $4,000 contribution was made by ECM, which was not reported by the Harris campaign committee, for an excess of $2,000.

Ms Belatti moved to approve Conciliation Agreement 02-33, Ms. Chock seconded. Motion carried.

Conciliation Agreement 02-34 Controlpoint Surveying, Inc.
Investigation found excess and false name contributions made to Harris, Cayetano, Hannemann, and Apana. A large part of the contributions were made in the name of family members and employees.

Ms Chock moved to approve Conciliation Agreement 02-34, Ms. Belatti seconded. Motion carried.

Conciliation Agreement 02-36 HUBS Hawaii, Inc.
Investigation found that the company made excess contributions of $2,000 to the Hirono campaign.

Ms. Belatti moved to approve Conciliation Agreement 02-36, Ms. Chock seconded. Motion carried.

Conciliation Agreement 02-37 Imata & Associates, Inc.
Investigation found that Imata a Hilo company made excess contributions of $2,700 to the Cayetano campaign.

Ms. Belatti moved to approve Conciliation Agreement 02-37, Ms. Chock seconded. Motion carried.

Conciliation Agreement 02-38 CDS International
Investigation found that CDS made excess contributions to the Cayetano,, Harris and Apana campaign committees.

Ms. Belatti moved to approve Conciliation Agreement 02-38, Ms Chock seconded. Motion carried.

Conciliation Agreement 02-39 T. Iida Contracting, Ltd.
Investigation found that for the 1996-2000 period T. Iida made an excess contribution of $4,000 to the Harris campaign committee.

Ms. Belatti moved to approve Conciliation Agreement 02-39, Ms. Chock seconded. Motion carried.

Conciliation Agreement 02-40 Kamehameha Schools
Attorney General investigation uncovered a number of violations - polls over several elections for certain candidates, fundraising for candidates, through contractors paid campaign expenses of certain candidates. Kamehameha Schools has agreed to a $10,000 fine to resolve the matter.

Ms. Belatti moved to approve Conciliation Agreement 02-40, Ms Chock seconded. Motion carried.

Communications to Commission:
Legislation this session will focus on corporate and contractor contributions.

Next Meeting:
Scheduled for Thursday, February 13, 2003 at 3:00 p.m.

No further business to discuss, Chair Black adjourned meeting.
Meeting adjourned at 4:00 p.m.