HOME / PRESS OFFICE

FEC Home Page

For Immediate Release
March 28, 2005
Contact: Kelly Huff
Bob Biersack
Ian Stirton
George Smaragdis
ADR PROGRAM RESOLVES CASES

WASHINGTON -- The Federal Election Commission is making public eight cases resolved in the Alternative Dispute Resolution (ADR) program. This brings to 166 the total number of cases released since the ADR program began October 2, 2000 . The program's goal is to expedite resolution of some enforcement matters, reduce the cost of processing complaints, and enhance overall FEC enforcement. Closed ADR negotiated settlement summaries are available in the FEC's Press and Public Records offices.

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 pending in the ADR Office, and agree to participate in bilateral negotiations and, if necessary, mediation.

Bilateral negotiations through ADR are oriented toward reaching an expedient resolution with a mutually agreeable settlement that is both satisfying to the respondent(s) and in compliance with the Federal Election Campaign Act (FECA). Resolutions reached through direct and, when necessary, mediated negotiations are submitted to the Commissioners for final approval. If a resolution is not reached in bilateral negotiation, the case proceeds by mutual agreement to mediation. It should be noted that cases resolved through ADR are not precedential.

1. ADR 108  
     
  RESPONDENTS: Leelanau County Democratic Committee
  SOURCE: MUR 5309: Rusty Hills, on behalf of Michigan Republican State Committee
  SUBJECT: Failure to register committee
  NEGOTIATED SETTLEMENT:

$1,000 civil penalty Respondents acknowledge that they violated the FECA when they failed to register with the Commission after contributing more than $1,000 to Federal election campaigns. In order to resolve this matter and avoid violating Federal election campaign regulations in the future, Respondents agree to complete the process of registering the Committee with the Commission and establish and maintain in its offices a file on FEC regulations to provide guidance to the Committee on matters pertaining to Federal Election campaign activity.

     
2. ADR 194  
     
  RESPONDENTS:

US Protect Corporation

  SOURCE: Pre-MUR422: Sua sponte
  SUBJECT: Corporate contribution; contribution in the name of another
  NEGOTIATED SETTLEMENT:

$6,000 civil penalty

Respondents upon learning of the violations took steps to remedy the situation, prevent a repetition and established internal procedures to ensure future compliance with the law. The latter step involved the promulgation and posting of a company policy prohibiting corporate contributions to federal election campaigns. In order to resolve this matter and avoid similar problems in the future, Respondents agree to notify the three subject campaign committees that were recipients of the prohibited contributions that the contributions need to be disgorged and forwarded to the US Treasury; identify a senior corporate employee to be responsible for ensuring compliance with the FECA; select an appropriate representative to attend, within twelve months following the effective date of this agreement, a FEC seminar on Federal election campaign reporting responsibilities; and modify the company’s policy prohibiting corporate contributions to election campaigns to encompass corporate officers and directors.
     
3. ADR 209  
     
  RESPONDENTS:

Bruderly for Congress, David Bruderly, treasurer

  SOURCE: MUR 5483: George C. Sherman
  SUBJECT: Failure to accurately report receipts and disbursements; failure to timely file disclosure report
  NEGOTIATED SETTLEMENT:

Respondents acknowledge inaccuracies in their initial April and July 2004 Quarterly Reports in filing the April 2004 Quarterly Report five days after the April 15th date due to data entry problems with the software problems. In order to resolve this matter and avoid similar errors in the future, Respondents agree to ensure that the Committee complies with the reporting and filing requirements specified in the Act and Commission’s regulations and appoint an appropriate representative of the Committee to attend, within twelve months of the effective date of this agreement, a FEC seminar on federal election campaign finance reporting requirements. In the event that the Committee determines to conclude its activities and is unable to attend a FEC seminar, Respondents agree to work with the Commission staff to expeditiously terminate the Committee. 

     
4. ADR 210  
     
  RESPONDENTS:

Michael Jaliman for U.S. House of Representatives, M. Kathryn Jaliman, treasurer

  SOURCE: MUR 5508: Michael J. Morey, on behalf of Friends of Selendy for Congress
  SUBJECT: Failure to register timely; corporate contributions
  NEGOTIATED SETTLEMENT:

After reviewing the complaint, the response and documents on file, and the lack of evidence to the contrary, the ADR Office concludes that the alleged violations of FECA are unsubstantiated. The Commission concurs by dismissing this matter.

     
5. ADR 215  
     
  RESPONDENTS:

Jack Davis for Congress, Robert Davis, treasurer

  SOURCE: MUR 5593: Bradley J. Stamm
  SUBJECT: Disclaimers
  NEGOTIATED SETTLEMENT:

$1,000 civil penalty

Respondents acknowledge errors in failing to place disclaimer notices in boxes and in appropriate size and contrast required in the regulations.  Respondents note that while some campaign material and mailings failed to advise that the communications were paid for by Jack Davis, they believed they complied with the “spirit of the law.” In order to resolve this matter and avoid similar errors in the future, Respondents agree to send the Committee’s treasurer to a FEC seminar on federal election campaign finance reporting requirements and in the event that the Committee decides to conclude its activities and, therefore, not attend a FEC seminar, agree to work with the Commission staff to expeditiously terminate the Committee.
     
6. ADR 228  
     
  RESPONDENTS:

WBZ-TV (Boston)

  SOURCE: MUR 5471: James C. Carroll
  SUBJECT: Equal time
  NEGOTIATED SETTLEMENT:

The ADR Office recommends the case be closed and the Commission agrees to close the file.

     
7. ADR 230  
     
  RESPONDENTS:

(a)    Congressman Anibal Acevedo-Vila, Ramon          Velasco, treasurer

(b)       Dr. Richard Machado

 

  SOURCE: MUR 5481: Honorable Jose Aponte Hernandez
  SUBJECT: Failure to register timely; excessive contribution; failure to report receipt
  NEGOTIATED SETTLEMENT:

The ADR Office recommends the case be closed and the Commission agrees to close the file.

     
8. ADR 231  
     
  RESPONDENTS:

Walker for Congress, Pat Cox, treasurer

  SOURCE: MUR 5500: Herman Curtis
  SUBJECT: Disclaimer
  NEGOTIATED SETTLEMENT:

The ADR Office recommends the Commission take no further action and the Commission agrees with the recommendation and closes the file.

# # #