Minutes for September 14, 2011

Campaign Spending Commission
Leiopapa A Kamehameha Building, Room 204
September 14, 2011
10:00 a.m.

Commissioners Present:
Chair Michael Weaver, Vice-Chair Dean Robb, Paul Kuramoto

Staff Present:
Kristin Izumi-Nitao, Tony Baldomero, Gary Kam, Ellen Kojima, Sandrina Lee

Call to Order:
Meeting convened at 10:00 a.m. with Chair Weaver presiding.

Consideration of Minutes:
Vice-Chair Robb moved to approve the minutes of August 10, 2011.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Old Business:
Docket No. 11-15 – In Re the Matter of Andrew Jamila, Andrew M. Jamila, Jr. and James B. Wood
Complaint for failure to timely file the Final Election Period and Supplemental Reports.  At a previous meeting the Commission made a preliminary determination that probable cause existed that a violation had been committed and assessed a $1,000 fine (i.e., $500 for each report), and required that reports be filed.

Mr. James Wood, the treasurer for the committee, requested a contested case hearing to seek a fine reduction.  General Counsel Gary Kam informed Mr. Wood that what he sought was a request for reconsideration of the fine rather than a contested case hearing because there was no challenge concerning the facts as stated in the complaint, and therefore, the matter was put on today’s agenda.

Mr. Wood was present and acknowledged that the reports were not filed on time.  He stated that it was a low budget campaign, that there was no real significant activity, and that once the campaign was over did not think about having to file reports.  He will be paying the fine and asked if it could be reduced to a reasonable amount, so that he could pay it now.

Vice-Chair Robb moved that the fine in the Order of the Preliminary Determination be amended to $250 for each late report for a total fine of $500.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Docket No. 11-16 – In Re the Matter of Samuel Kong, Friends of Sam Kong and Eva M. Lee
Complaint for failure to timely file the Supplemental Report.  Matter continued from June meeting, because first mailing to Respondents returned undeliverable.  An address was found and respondents were re-notified.

Respondent Kong has since filed the Supplement Report and corrected a defect that was noticed in his report.  General Counsel Gary Kam recommended that the complaint be dismissed.

Vice-Chair Robb moved to dismiss the complaint.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

New Business:
Executive Director Izumi-Nitao stated that the following proposed conciliation agreements are a result of investigations that she initiated in August 2011 pursuant to HRS section 11-314(7) to determine whether there has been a violation of the Hawaii campaign spending laws.

Respondents have been notified of today’s meeting, received a copy of the proposed conciliation agreement, and waived the opportunity to explain or otherwise respond to the notice of violation.  She recommends that the Commission make a preliminary determination of probable cause that a violation has been committed, waive further proceedings, and approve that settlement amount as stated in the proposed agreement.

Proposed Conciliation Agreement 12-01 – In Re the Matter of Samuel Kong, Friends of Sam Kong and Eva M. Lee
Proposed agreement is offered to settle a claim regarding the late filing of a Supplemental Report for the period covering November 3, 2010 through December 31, 2010, which was due on January 31, 2011, in violation of HRS section 11-334(a).

Vice-Chair Robb moved to find probable cause exists that Respondents committed a violation, waive further proceedings, and to accept settlement as stated in the proposed conciliation agreement.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Proposed Conciliation Agreement 12-02 – In Re the Matter of West Hawaii Patriots
Proposed agreement is offered to settle a claim regarding the late filing of a Supplemental Report for the period covering January 1, 2011 through June 30, 2011, which was due on August 1, 2011, in violation of HRS section 11-336(d).

Vice-Chair Robb moved to find probable cause exists that Respondent committed a violation, waive further proceedings, and to accept settlement as stated in the proposed conciliation agreement.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Proposed Conciliation Agreement 12-03 – In Re the Matter of Friends of Lei Sharsh
Proposed agreement is offered to settle a claim regarding the late filing of a Supplemental Report for the period covering January 1, 2011 through June 30, 2011, which was due on August 1, 2011, in violation of HRS section 11-334(a).

Vice-Chair Robb moved to find probable cause exists that Respondent committed a violation, waive further proceedings, and to accept settlement as stated in the proposed conciliation agreement.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Proposed Conciliation Agreement 12-05 – In Re the Matter of Hawaii State Federation of College Republicans
Proposed agreement is offered to settle a claim regarding the late filing of a Supplemental Report for the period covering January 1, 2011 through June 30, 2011, which was due on August 1, 2011, in violation of HRS section 11-336(d).

Commissioner Kuramoto moved to find probable cause exists that Respondent committed a violation, waive further proceedings, and to accept settlement as stated in the proposed conciliation agreement.  Motion seconded by Vice-Chair Robb.  Motion carried unanimously.

Proposed Conciliation Agreement 12-06 – In Re the Matter of Local Union 293 State Legislature Fund
Proposed agreement is offered to settle a claim regarding the late filing of a Supplemental Report for the period covering January 1, 2011 through June 30, 2011, which was due on August 1, 2011, in violation of HRS section 11-336(d).

Commissioner Kuramoto moved to find probable cause exists that Respondent committed a violation, waive further proceedings, and to accept settlement as stated in the proposed conciliation agreement.  Motion seconded by Vice-Chair Robb.  Motion carried unanimously.

Docket No. 12-04 – In Re the Matter of Inam Rahman, friends of Inam Rahman, and Reyne Rahman
Complaint for the failure to timely file six disclosure reports.  General Counsel Gary Kam requested that the matter be continued until the next meeting, as the address designated in the Organizational Report which is used to notify Respondents, was returned.  Another address was found and respondents will be re-notified.

Vice-Chair Robb moved to defer consideration of this matter until the next meeting.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Social Media Policy & Applications
Associate Director Baldomero shared with the Commission that staff is now employing Facebook and Twitter to communicate with filers and the public with important and time sensitive campaign finance information for better compliance.  He further noted that a social media policy was developed and posted on our website concerning application of these social media tools.

Report from Executive Director:

Welcome New Elections Assistant
Executive Director Izumi-Nitao introduced and welcomed Sandrina Lee, staff’s new Elections Assistant.

Report on Failure to File Reports, Unpaid Fines, and Subsequent Proceedings
To date – Payment Plan  2 - (Wasson and Carroll)
Circuit Court  4 - (2 Dismissed Able and Hale, 2 New Applications-Awana and Madden)

Statewide Publication Concerning Hilo County Council Comprehensive Public Funding Program
Notice of Sufficiency ad ran September 7, 2011 in the Star-Advertiser, Hawaii Tribune Herald, and West Hawaii Today newspapers.  Notice also informed that the program will not be running the equalizing fund part of the program.

DAGS Award Ceremony Recognizing CSC Administrative Assistant Ellen Kojima
On Friday, September 16, 2011, at 10 a.m. at the State Capitol Auditorium, Administrative Assistant Ellen Kojima to be recognized for her 30 years of service.

Vice-Chair Robb moved to convene executive session to consult with attorney.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.

Public session reconvened.

Next Meeting:
Scheduled for Wednesday, October 12, 2011 at 10:00 a.m.

Vice-Chair Robb moved to adjourn meeting.  Motion seconded by Commissioner Kuramoto.  Motion carried unanimously.  Meeting adjourned at 10:55 a.m.