This file contains archived live captions of the administrative review hearing of the Federal Election Commission held on February 25, 2021. This file is not a transcript of the meeting, and it has not been reviewed for accuracy or approved by the Federal Election Commission. Thank you, good morning. The meeting will now come to order. We want to remind everyone, this open meeting will begin 15 minutes after the conclusion of this hearing. Jill Stein for president is the principal candidate community of former candidate Jack Dr. Jill Scott. The committee must repave public matching funds in the amount of hundred $75,292 to the state treasury. We review requests for this oral hearing granted by the commission on January 22nd, 2021. Today we have counsel for committee along with former presidential candidate Dr. Jill Stein . Welcome to all of you. Representing the commission, we have our office of General Counsel the commission's consideration to retain the issue in this matter has a little background. The Green party nominated Dr. Stein on August the sixth 2016 during its national nominating convention. Shortly after the convention they consented that Dr. Stein's Alec eligibility DLI for short is a term mentioned the first time since the commission's regulations and subversives and the date for the matching.. Each time the commission determined that the DOI was August 26. The question if it should be later than August 6 is significant. On April 16th 2013 the commission completed its audit of the committees Actaeon of the 2016 2018 election cycle and issued its final report. They concluded that the committee had to pay hundred $75,292 to the state treasury because of surplus funds and had received access public funds after that date. Once the commission issues a final audit report of publicly financed candidates such as Dr. Stein may seek administrative review of the repayment determination and the committee has exercised that option on her behalf. The soul purpose of today's hearing is to give the committee an opportunity to address the commission, and to demonstrate that note repayment or a lesser repayment is required. In past oral hearings regarding the perm payment determinations we have given them up to 30 minutes for presentation. I suspect counsel may not need that much time this morning but we do want to make time that they are treated the same as others to challenge repayment determinations. Counsel, your presentation should be linked to those matters raised in written response for the repayment determination that you filed on June 17 2019. The administrative review process set forth at 11 CFR section 90832C2 allows for challenges for reaper determinations accordingly. This hearing is not a proper forum to address other challenges. At the conclusion of the committee's presentation each questionnaire will have the opportunity to ask questions. I asked the General Counsel and auditors of family questions. At the end of today's hearing you have the opportunity to make laws and statements. After this hearing, the committee will have five days to submit the materials for consideration. Pursuant to 11 CFR section 90308 C2C three they will make a determination and they shows state in their brief that determination. Counsel if you would like, it's time for you to proceed with your presentation. Thank you. Thank you, Madam chair. Can everybody hear me question my Good. I'm Harry Crisci good morning, and the attorney for the Jill Stein for president committee 2016. The repayment that we are considering today is based on a date of eligibility I DOI, which is put forward by law logic and president. It undermines the effort to achieve a fair balance between candidates of major parties and independent, and minor party presidential candidates. It ignores the fact that unlike major party presidents, whose nomination guarantees them a ballot on all 50 states candidates like Dr. Stein have to go through an extended effort for petition to be placed on the ballot weeks after receiving a minor party nomination. I system does not take into the account, is unjustifiable as a matter of law and public policy. The candidate seeking a party nomination can receive matching funds, without his or her efforts when their party's nomination. If the letter DOI of a minor party has a date of their nominating convention, she's deprived of matching funds at the very point where the arduous and expensive effort to achieve ballot static intensifies. In light of the realities of independent and MARTA party presidential campaigns, the only fair free work, is one that shows that the funds extend the ballot access are mountable regardless of convention dates of the various parties major and minor. Excuse me. >> The final audit report states on page 11, that the candidates DOI was August the sixth 2016, that was the date of the Green party but convention. However, this is inconsistent with a series of advisory decisions issued dated back to 1975. And a all our 1975 gas 53 the commission stated with respect to individuals seeking a ballot position in the general election for federal office, without nomination via party the primary election shall be deemed to have an interim with the date prescribed by applicable state law is the last day to qualify for petition on the general election ballot. Or, the date of the last major party convention, and sorry, major party primary election whichever is later . A source of confusion may have been [ Inaudible - static ] dash 44 where the issue was how to apply limits to campaign donations. There the commission in an effort to have uniform limits for various campaign stated, accordingly for the purpose of applying the limitations in 18 USC section 608, the commission refuted permission document for presidential candidates with the minor parties as the equivalent of the primary elections and convention process of the major party candidates. Therefore, an individual may contribute $1000 to presidential candidate of a minor party for his or her petition effort, and another thousand dollars to the candidate for his or her general election. Since that day's pertaining to petition qualification vary from state to state, the commission considers it necessary to provide a uniform date when purposes of 18 USC 608B , the petition presents ends the minor party presidential candidates. The commission concludes that a prescribed date should be when the presidential nominee last selected before the general election is nominated by a national nominating convention of a major party. This seeming contradiction can be reconciled by recognizing that a all our 1975 dash 44 applies to the question of a uniformly applied contribution which is not in the case , rather it is in the expenditure of the 2016 Stein campaign ceased to be magical. AR 7573 governs in that case. The question terms of particularities of the 2016 sign campaign and those of other candidates unlike the issue of allowing expenditures from ballot access to be matched. The issue of when general election contributions are allowed can be uniformly applied to all candidates without inherently prejudicing minor party and independent candidates. There was a argument to be made for uniformity in the application of contribution limits that in no way applies to the qualification of funds used at ballot access to be matched by the federal government. Dr. Stein's 2012 campaign was able to utilize as its DOI the last day of petition and states with Green party did not have ballot access, that date, that your happened to coincide with the date of the last major party nominating convention. That was not the case in 2016. Banging the DOI for a minor party candidate to the date of a minor party convention incidents introduces an acceptable Mashable should be the case regardless when the candidate in Kirsten or any other candidate receives party nomination. >> Indeed, the code incidents of the two dates in 2012, created a situation with Dr. Stein was penalized for the understandable expect Tatian that her efforts would be treated similarly in 2016. Dr. Stein relied on this expectation , indeed she received matching funds for this ballast access activity in 2008. It's a form and entrapment to now apply DOI on August 6 for the very same activity. Moreover, the 2016 Stein campaign was not even aware of the new DOI until after the campaign ended, and after funds were expended for ballot access and match. Minor party candidates. To the date of the more major party convention makes planning and fundraising very difficult. Indeed it would be impossible to identify the date of the DOI for the next presidential cycle in 2024 until other plants decide on the date of their convention appeared such a decision would likely be made in that regard to the need of the nonmajor party candidates for that cycle even worse, it invites a major parties to pick an early date which prejudices the interests of the independent and minor party candidates. >> There is no basis to move the DOI to August 6. That is the date of the Green party convention, the first indication of this approach was a all our in 1984 dash 11. And I'm reading from it . The matching payment act in commission regulations require that matching payments as well as all disbursements for knowledgeable candidates and campaign committees be a used only for qualified campaign expenses. Qualified campaign expenses may only be incurred with respect to the period in which the candidate is eligible for matching payments. The date when the candidate becomes ineligible coincides with the last day, with the last of the matching pair meant. For that candidate. Current expenditures may expend obligation incurred in the matching. Would satisfy this term required for campsite expense. In addition, this must also be made with the campaign and campaign nomination. In this situation, the candidate at that time the expenditures were apparently made to collect petition signatures for the general election ballot. The commission is of the opinion that these expenses to the extent they are paid or incurred would be in their matching. And it becomes eligible for matching funds and would be qualified as campaign expenses for the purchasers of the matching payment act. This does not indicate that this is in fact the change from a all 1975 dash 53, nor is any reason for such a change articulated. In fact, the new standard is entirely circular. Qualified campaign expenditures are those made in the period when the campaign is eligible for matching funds. This contradicts the principle that efforts to get on the ballot is part of the primary effort , regardless of when it occurs. It compounds the very legal and constitutional problems and this principle was designed to prevent and that is a very different terrain in the independent reminder party candidate must now take. Ballot access efforts must continue after the convention well into September of the election year. This concern was directly asked steps expressed in the order of 1975 dash 304. There the commission stated however, in this case, as in the past the commission is concerned to construe the conditions of the act in a manner consistent to constitutional requirements regardless of the candidates party affiliation and independent status. The primary election and coverage status is a procedure through which major parties typically determine their candidates for the general elections proceeding to candidates of minor parties are different and have a seven perdition process where they can qualify for general election ballots of accordingly for applying the limitations of 18 six OE eight, they will require residential candidates of the minor party of the primary elections convention process of major party candidates. This was applied at the AO our 1995-45 which makes no mention of the matching funds,. It states unequivocally that it is in been the opinion of the commission that the nonmajor party candidates in the process by which they satisfy the requirements of state law governing qualification for position on the general election ballot serve purposes similar to a primary election of the nominating process. This view is supported by the commission on regulations and find the term election definition and state that the major candidates, they prescribe, they prescribe by applicable state law for the last day qualified for position on the general election ballot may be designated as the primary election for such a candidate. The AOS sites 11 CFR 100.2 C4, based on this reasoning the commission concluded the advisory opinions 1984 -25 in 1984-11, that the ballot access expenses for candidates of minor party nominees will be qualified campaign expenses. Let me read the citing regulation. This is 11 CFR 100.2 C4. The regulation and I'm quoting here, "With respect for individuals seeking federal office as independent candidates who without nomination as a major party is defined in 26 USC 9002-6 the primary election is considered to occur on one of the following dates at the choice of the candidate. They prescribe by applicable state law as a last day to qualify for position on the general election ballot may be designated as a primary election for such a candidate to the date of the last major party primary election on convention in that state may be designated as a primary election for such a candidate and, three in the case of nonmajor parties, the date of the nomination by that party may be designated as the primary election for such a candidate" I reiterate, which of these are complies is at the choice of the candidate. Obviously the choice of the Green party and Dr. stained was the latest possible date which adhered to the dates of the petitioning process on general election ballots. >> In the many states where the Green party did not have ballot status, the Stein had every right to rely on this construct when extended funds for ballot access and accepted matching funds pavement for them. Let me just state briefly about the procedural background here. There was no complaint that this matter was generated by audit. The final audit report issued on eight full 17 2019, allege that as of the DOI the company and he had a surplus of $2856 and that outstanding campaign obligations . This required to make payments pursuant to a regulatory foamer Co. read $4272 is due. In addition the matching funds payment of 134,900, received on January 12 2017 was required to be repaid . Thus, the order called for total repayment of 170 $5272. The campaign disputed these map numbers in particular. We met express recesses for Dallas expenses the DOI should have been concluded in the amount of $255,671. This amount would have been enough to eliminate the surplus, and therefore eliminate the repayment. Significance of the date of the DOI is obvious. On March 17, 2019, the commission voted to approve the audit report including the hundred and 75,000 repayment. The payments position, is extended is extended as it should be to the last day of petitioning, the Green party did not have access and then the repayment goes away. In addition, the campaign's recently provided documentation demonstrating additional wind down costs, which we contend our [ Indiscernible ] . To recap the repayment determination should include campaign expenditures for ballot access after the commission's DOI of August 6, 2016. These expenditures amounted to another $255,671 in ballot access costs. They exceed the surplus of 200,856 dollars claimed in the audit report. The surplus in OC oh in the audit report should've been collected to a deficit of $65,430. The additional wind down costs further increase the NoCo deficit, and in the aspects of a surplus , we have a repayment of $40,472 claimed in the audit report is eliminated. The corrected deficit also eliminates the repayment of $134,900 in matching funds that was called for in the audit. These expenditures were petitioning drives in states where the green party did not have ballot access. As such, they are matching noble under a correct did DOI. Indeed should they not be, as much is the entire contract for minor parties is based on the proposition that expenditures to get on the ballot are equivalent of primary expenditures. To rule otherwise, the constitute a form of entrapment. First the matching funds are already paid, second, in 2012 they were treated as unmatchable expenditures. The expenditures were made in a reasonable, good-faith belief that as they were necessary to achieve ballot status, they were valid unmatchable. Thank you. Thank you counsel. Do any commissioners have any questions? [ Silence ] >> Does the office of General Counsel, or the audit division have any questions? Madam chair ? Yes, thank you, I just have one question. Mr. Crisci alluded to the fact that the committee provided the commission the documents pertaining to winding down expenses in advance of the hearing. So, I would just like to ask how the documents relate to issues that were raised in the committees recent can submission requesting administrative review of determination. In my letter of June 17 2019 requesting the hearing, the last paragraph -- [ Silence ] states , it will be demonstrated in the further submission coming directly from the committee if not for the improper position on August 6 DOI no repayment would be required. And in addition to that, This is Jill asking for recognition. >> Yes, Dr. Stein. Yes, I would just point out, in the letter that attorney Crisci is referencing which was the formal request for this administrative hearing, he states in the one, two, three, fourth paragraph that the committee will hear and demonstrate that reimbursement of ballot access and related expenses, as well as the nature of winding down the expenses would specifically be addressed , and would change the repayment order as well as the calculation of net outstanding campaign obligation and as well as the ballot access would be recognized. So that is specifically stated in that fourth paragraph. Thank you Dr. Stein, thank you. Of any other questions? Dr. Stein, Mr. Crisci would you care to make closing statements? >> Briefly. I don't have very much to add, but I think what is important is that matching funds program was designed to and is required to be conducted in a way that treats minor parties and independent candidates as favorably as the major parties are treated. And in fact, you could make the case, and I think the case is a sound one that matching payments themselves, which many major party candidates don't even accept are specifically designed to give a leg up to minor party and independent candidates who don't have the financial clout of the major party candidates particularly in the presidential situation. So to arbitrarily apply a DOI which denies matching funds for ballot access and winding down costs, in particular ballot access which is not even a factor major party candidates, because the major parties have access in every state, really undermines the purpose of the matching funds program in my opinion. In particular, the commission's concern for obligation to see to it that all candidates , major and minor, and independent are treated equally and not prejudiced by the matching funds program in the commission's activities. Thank you. And may I have recognition? Yes, Dr. Stein. Thank you. Yes, and I wanted thank attorney Crisci for that very substantive review of the critical advisory opinions , and the critical regulation and statutes . And, there are a lot of details here , and as a layperson, not a lawyer, but anybody watching this as a public hearing, or viewing it afterwards as a public hearing, let me just say that I think the Greek issues here as Crisci just summarized, or whether the independence and minor parties have equal access to the ballot as determined by our access to public funding. And the public funding program has to meet that need for those candidates and political groups that don't have access to deep pockets and, the various forms of finances that really dominate as this commission know so well that have come to dominate our electoral process. And, you have probably seen recent polls and one that Gallup has done just last week that shows the public hunger a variety of political opinions now, is at an all-time high. And it really, I think, it is the mission or, one of the missions of this commission, you know, is to ensure that there is a public form in our elections. And there are a variety of viewpoints represented and we are hungering for that now. And I think it's a tribute to the commission that it's very foundational advisory opinion stress this point and made it possible for small parties and independence to have access to the ballot through broad definition of this question of eligibility. And the process was defined early on in such a way that small parties, and small players, and independence could have access to the public funding to achieve ballot status. And with that, opportunity having been provided to us in 2012, we absolutely expected that it would be consistent in 2016 . We were really quite shocked to learn after the fact that that was not going to be the case. I would just urge you to look carefully at attorney Crisci's submission which details, I think beautifully, how it is that the legal structures were established in order to meet our highest small D Democratic aspirations that our elections should be truly competitive, open, publicly funded to the extent possible, and that there should be a real opportunity for the American people to have a inclusive conversation and a diverse set of choices as a part of that process. Thank you for your consideration. Thank you. This hearing is adjourned.