Minutes for May 10, 2005

Campaign Spending Commission Meeting
Leiopapa A Kamehameha Building, Room 203
May 10, 2005
10:00 a.m.

Members Present:
A. Duane Black, Gino Gabrio, Paul Kuramoto

Staff Present:
Robert Watada, Tony Baldomero, Grant Tanimoto, Ellen Kojima

Call to Order:
Meeting convened at 10:05 a.m. with Chairman Black presiding.

Consideration of Minutes:
Mr. Gabrio moved to accept the minutes of April 20, 2005, Mr. Kuramoto seconded. Motion carried.

Old Business:
Complaint In Re the Matter of Apoliona for OHA
Parties still in discussion, requested matter be continued until the next meeting. Mr. Watada informed commissioners that he is still working with Gary Kam, Deputy AG on the letter that acknowledges that the committee was not at fault for the printing mistake, and that the letter will be signed by him as executive director as no action has been taken on the complaint.

Matter continued until the next meeting.

New Business:
Conciliation Agreement 05-06 Island Quality Hardware Supply, Inc. and Daniel Rosario
Investigation found that Island Quality Hardware and Daniel Rosario made false name contributions to Jeremy Harris and Mufi Hannemann. In addition three of the false name contributions to Harris was in excess of the contribution limit. Mr. Rosario is also one of the few to have served jail time for the same crime that has been committed by others. It is recommended and the respondent has agreed to a fine of $9,500.

Mr. Gabrio moved to approve the conciliation agreement, Mr. Kuramoto seconded. Motion carried.

For commissioners information, Thermal Engineering, which was fined $31,000 by the Commission for reimbursing employees for political contributions, has pleaded guilty for filing false tax returns and sentencing will be in January.

Communication to Commission:
Legislation
HB 1747, CD 1 has passed both houses and has been transmitted to the Governor for her signature. The "clean election" bill has been deferred until next year.

HB 1747 CD 1, if signed by the Governor, the bill will make some of the following changes to the law:

• Prohibits soliciting donations on state or county property,
• Limits contributions from nonresidents,
• Amends and adds definitions,
• Requires electronic filing for all candidates for elected office,
• Limits contributions to community groups,
• Amends law regarding contribution limits to noncandidate committees,
• Bans contributions from government contractors,
• Clarifies the reporting of loans,
• Clarifies use of surplus funds,
• Defines and clarifies reporting of coordinated activities,
• Clarifies electioneering communication,
• Amends section 11-212 and 11-213 by requiring the return of contributions if all required information has not been reported,
• Section 11-214 amended to clarify the disposition of residual and surplus funds,
• Section 11-218 amended to increase the amount to OHA candidates and that candidates for a special primary not eligible for public funding,
• Qualifying contributions must be from residents of Hawaii and increases the qualifying amount for OHA candidates,
• Section 11-221 amended to allows candidates to receive public funds by raising qualifying contributions only once for the election period, and
• Section 11-229 amends the law to increase the criminal penalty to a Class C felony

Next Meeting:
Scheduled for Wednesday, June 8, 2005.

Mr. Gabrio moved to convene executive session to discuss personnel matters, Mr. Kuramoto seconded. Motion carried.

Public session reconvened, no further business to discuss, Chair Black adjourned meeting. Meeting adjourned at 11:15 a.m.