Minutes for May 8, 2003

Campaign Spending Commission Meeting
Leiopapa A Kamehameha Building, Room 204
May 8, 2003
3:00 p.m.

Members Present:
A. Duane Black, Della Au Belatti, Clifford Muraoka, Mona Chock, Richard Choy

Staff Present:
Robert Watada, Tony Baldomero, Jon Itomura, Ellen Kojima
Russell Suzuki, Deputy Attorney General

Call to Order:
Meeting convened at 3:01 p.m. with Chairman Black presiding.

Consideration of Minutes:
Ms. Belatti moved to accept the minutes of April 17, 2003, Mr. Choy seconded. Motion carried.

New Business:
Conciliation Agreement 03-08 Shimabukuro Endo & Yoshizaki and Howard Endo
The investigation found a pattern of excess and false name contributions to Jeremy Harris, Ben Cayetano, Mazie Hirono and Mufi Hannemann. Mr. Howard Endo was cooperative during the investigation and has agreed to a fine of $32,000.

Mr. Muraoka moved to accept the conciliation agreement with Shimabukuro Endo & Yoshizaki, Ms. Chock seconded. Motion carried.

Conciliation Agreement 03-13 Group 70 International, Inc.
Investigation found that during the period of 1996 to 2001 Group 70 and its officers made contributions totaling $55,000 to several candidates and $36,000 to Jeremy Harris. Rather then be subjected to a lengthy investigation Group 70 agreed to acknowledge making four excess contributions, two in the period before 2000 and two after the 2000 election period. They have agreed to a fine of $2,000.

Ms. Belatti moved to accept the Conciliation Agreement with Group 70 International, Inc. Mr. Muraoka seconded. Motion carried.

Conciliation Agreement 03-18 Hida Okamoto & Associates, Inc. and Harvey Hida
Investigation found that excess contributions in the amount of $3,650 was made to Jeremy Harris. They have acknowledged the excess contributions made by the company and its officers and have agreed to a fine of $1,000.

Mr. Choy expressed his concern that the fine was excessive as opposed to what the previous company was fined. He felt that the company should be fined $500 instead of a $1,000.

Ms. Chock moved to accept the Conciliation Agreement with Hida Okamoto & Associates, Mr. Muraoka seconded. Motion carried.

(Aye: Black, Belatti, Muraoka and Chock No: Choy)

Conciliation Agreement 03-19 Alan Nishimoto
Investigation found that Mr. Nishimoto an insurance broker made an excess contribution of $2,000 to Jeremy Harris. He has agreed to a fine of $500.

Mr. Muraoka moved to accept Conciliation Agreement with Alan Nishimoto, Ms. Chock seconded. Motion carried.

Draft Advisory Opinion 03-02 Requirement of to File Electioneering Communication Reports
Draft advisory opinion clarifies that electioneering communication expenses as those over and above that of regular expenses and that if a committee is already registered and filing reports they are not required to file a separate report for electioneering communication expenses.

Ms. Belatti moved to adopt Draft Advisory Opinion 03-02, Mr. Muraoka seconded. Motion carried.

Communication to Commission:
Legislation
SB 459, did not pass. This was the bill that contained the campaign reform measures.

HB 401, passed. This bill administratively attaches our office to the Department of Accounting and General Services.

Next Meeting:
Scheduled for Thursday, June 12, 2003 at 3:00 p.m.
July Meeting - Changed from Thursday, July 10 to Thursday, July 17 at 3:00 p.m.

Chair Black moved to convene executive session to consult with counsel.

Public session reconvened and with no further business to discuss Chair Black adjourned meeting. Meeting adjourned at 4:05 p.m.