FEC approves revised audit procedures, advisory opinion and Audit Division recommendation memorandum

WASHINGTON – At its open meeting today, the Federal Election Commission approved revised audit procedures, an advisory opinion, and an Audit Division recommendation memorandum.

Revised Audit Procedures. The Commission approved four documents that set forth a new audit process for political committees that do not receive public funds and revise other procedures to conform with the proposed audit procedure. The goal of the new audit process is to balance efficiency, procedural protections for audited committees, orderly development of the law, transparency, and encouraging voluntary compliance with the Act. The Commission received one comment on the audit documents. Commissioner James E. “Trey” Trainor, III issued Comments.

Advisory Opinion 2023-03 (Colorado Republican State Central Committee) The Commission approved Advisory Opinion 2023-03 in response to a request from the Colorado Republican State Central Committee. The Commission concluded that the funds received and spent to litigate the constitutionality of Proposition 108, a Colorado law that requires major political parties to nominate candidates for the general election either through a semi-open primary or a closed convention process, would not be contributions and expenditures under the Federal Election Campaign Act of 1971, as amended (the Act), because they would not be made for the purpose of influencing any election for federal office. The Commission concluded further that, under the facts presented in the request, the legal fund would not be engaged in federal election activity or otherwise engaged in activity in connection with a federal election. The Commission received one comment on the draft advisory opinion. During the discussion, the Commission heard from Counsel for the Requestor. Chair Dara Lindenbaum, Vice Chair Sean J. Cooksey, Commissioner Allen J. Dickerson and Commissioner Trainor issued a Concurring Statement.

Audit Division Recommendation Memorandum on Latinos for America First The Commission approved an Audit Division Recommendation Memorandum on Latinos for America First, covering campaign finance activity from January 1, 2019 to December 31, 2020. The Commission approved findings related to Misstatement of Financial Activity, Increased Activity, and Disclosure of Occupation and/or Name of Employer.