FEDERAL ELECTION COMMISSION 

WASHINGTON, D.C. 20463

 December 28, 2022 

BY ELECTRONIC MAIL

Neil Reiff, Esq. 

David Mitrani, Esq. 

Sandler Reiff Lamb Rosenstein & Birkenstock 

1090 Vermont Avenue Ste 750 

Washington, D.C. 20005 

reiff@sandlerreiff.com

mitrani@sandlerreiff.com

 RE: MUR 8094 

 Brady PAC 

 and Jeanne Connelly 

 in her official capacity as treasurer 

 

Dear Messrs. Reiff and Mitrani: 

In the normal course of carrying out its supervisory responsibilities, the Federal Election 

Commission (the “Commission”) became aware of information suggesting that Brady PAC and 

Jeanne Connelly in her official capacity as treasurer (the “Committee”), may have violated the 

Federal Election Campaign Act of 1971, as amended (the “Act”). On December 13, 2022, the 

Commission found reason to believe that the Committee violated 52 U.S.C. § 30104(b)(8) and 

11 C.F.R. § 104.3(d) by failing to report a debt. The Factual and Legal Analysis, which formed a 

basis for the Commission’s finding, is enclosed for your information. 

In order to expedite the resolution of this matter, the Commission has authorized the 

Office of the General Counsel to enter into negotiations directed towards reaching a conciliation 

agreement in settlement of this matter prior to a finding of probable cause to believe. 

Pre-probable cause conciliation is not mandated by the Act or the Commission’s regulations but 

is a voluntary step in the enforcement process that the Commission is offering to your client as a 

way to resolve this matter at an early stage and without the need for briefing the issue of whether 

or not the Commission should find probable cause to believe that your client violated the law. 

Accordingly, enclosed is a conciliation agreement that the Commission has approved in 

settlement of this matter. 

MUR809400027
MUR 8094 (Brady PAC) 

Letter to Neil Reiff and David Mitrani

Page 2 of 2 

If you are interested in engaging in pre-probable cause conciliation, please contact 

Dominique Dillenseger, the attorney assigned to this matter, at (202) 694-1604 or 

ddillenseger@fec.gov, within seven days of receipt of this letter. During conciliation, you may 

submit any factual or legal materials that you believe are relevant to the resolution of this matter. 

Because the Commission only enters into pre-probable cause conciliation in matters that it 

believes have a reasonable opportunity for settlement, we may proceed to the next step in the 

enforcement process if a mutually acceptable conciliation agreement cannot be reached within 

sixty days. See 52 U.S.C. § 30109(a), 11 C.F.R. Part 111 (Subpart A). Conversely, if you are 

not interested in pre-probable cause conciliation, the Commission may conduct formal discovery 

in this matter or proceed to the next step in the enforcement process. Please note that once the 

Commission enters the next step in the enforcement process, it may decline to engage in further 

settlement discussions until after making a probable cause finding. 

Pre-probable cause conciliation, extensions of time, and other enforcement procedures 

and options are discussed more comprehensively in the Commission’s “Guidebook for 

Complainants and Respondents on the FEC Enforcement Process,” which is available on the 

Commission’s website at http://www.fec.gov/em/respondent guide.pdf. This matter will remain 

confidential in accordance with 52 U.S.C. § 30109(a)(4)(B) and 30109(a)(12)(A) unless your 

client notifies the Commission in writing that it wishes the matter to be made public.

We look forward to your response. 

 

 On behalf of the Commission, 

 

 Allen Dickerson

Chairman

Enclosures 

 Factual and Legal Analysis

~ 

MUR809400028
1 FEDERAL ELECTION COMMISSION

2 

3 FACTUAL AND LEGAL ANALYSIS

4 

5 Respondent: Brady PAC and Jeanne Connolly MUR 8094 

6 in her official capacity as treasurer

7 

8 I. INTRODUCTION

9 The Reports Analysis Division (“RAD”) referred Brady PAC and Jeanne Connelly in her 

10 official capacity as treasurer (the “Committee”) to the Office of General Counsel (“OGC”) for 

failing to disclose a $637,615.00 debt on its 2020 30-Day Post-General Report.1 11 The Committee 

12 acknowledges that it failed to report the debt but contends that the omission was inadvertent, 

resulting from staff transition and miscommunication.2 13 The Committee also notes that the debt 

14 is related to a dispute with a vendor and indicates it expects the amount of the debt to decrease as 

a result of ongoing negotiations. 3 15 In a recent disclosure report, the Committee disclosed a 

settlement of the debt for a reduced amount.4 16 

17 Based on the available information, the Commission finds reason to believe that the 

18 Committee violated 52 U.S.C. § 30104(b)(8) and 11 C.F.R. § 104.3(d) by failing to report a debt. 

19 II. FACTUAL BACKGROUND

20 Brady PAC is a multicandidate hybrid political committee that registered with the 

Commission on March 23, 2018.5 21 In the most recent reporting period, the Committee disclosed 

22 $61,565.72 in receipts, $53,603.89 in disbursements, $177,717.14 cash on hand, and 

1

 RAD Referral 22L-14 (Brady PAC) (May 5, 2022) (“Referral”).

2

 Resp. at 1 (May 18, 2022).

3

 Id. at 2.

4

 Brady PAC, 2022 August Monthly Report, Form 99 Miscellaneous Electronic Submission at 798-799 

(Aug. 19, 2022); Amended 2022 August Monthly Report (same) (Sept. 20, 2022).

5

 Brady PAC, Statement of Organization (March 23, 2018). The Committee has subsequently filed multiple 

amended Statements of Organization on September 24, 2018; April 19, 2019; July 31, 2019; August 19, 2020; 

October 2, 2020; December 7, 2020; September 15, 2021; and January 28, 2022.

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MUR 8094 (Brady PAC) 

Factual & Legal Analysis

Page 2 of 5

1 178,076.68.in total debts owed by the Committee, including a $151,000 balance on the debt at 

issue.

6

 2 

3 On December 1, 2020, the Committee filed its original 2020 30-Day Post-General 

4 Report, which did not disclose any debt incurred between October 15, 2020, through 

November 23, 2020.7 5 The Committee subsequently amended its Report three times: (1) the first 

amended report, dated February 8, 2021, disclosed no debts;8 6 (2) the second amended report, 

7 dated September 1, 2021, disclosed $637,615.00 as a newly incurred debt for the reporting 

period;9 8 and (3) the third amended report, dated October 18, 2021, disclosed no change in total 

debt from the previous amendment, but clarified the status of the new debt as disputed.10 9 On the 

10 Amended 2020 Year-End Report, the Committee disclosed a payment of $167,615 toward the 

debt, reducing it to $470,000.11 The nature of the debt (purpose) was described as “disputed.”12 11 

12 On January 12, 2022, RAD sent the Committee a Request for Additional Information 

13 (“RFAI”) requesting clarification regarding the increased debt disclosed on the Amended 2020 

14 30-Day Post-General Report, dated October 18, 2021, that had not been disclosed on the original 

report.13 15 On February 4, 2022, the Committee filed a Form 99 Miscellaneous Electronic 

16 Submission acknowledging the omission and stating that it was “due to an inadvertent and 

17 internal miscommunication between the committee staff and the compliance firm that prepares 

6

 Brady PAC, 2022 12-Day Pre-General Report at 2, 241-242 (Oct. 27, 2022).

7

 Brady PAC, 2020 30-Day Post-General Report at 2 (Summary Page) (Dec. 1, 2020).

8

 Brady PAC, Amended 2020 30-Day Post-General Report at 2 (Summary Page) (Feb. 8, 2021).

9

 Brady PAC, Amended 2020 30-Day Post-General Report at 7483 (Sept. 1, 2021).

10 Brady PAC, Amended 2020 30-Day Post-General Report at 7483 (Oct. 18, 2021). 

11 Amended 2020 Year-End Report at 2, 3139 (Oct. 18, 2021). 

12 Id. at 3139.

13 Brady PAC, RFAI at 1 (Jan. 12, 2022).

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MUR 8094 (Brady PAC) 

Factual & Legal Analysis

Page 3 of 5

1 the report,” adding that the debt reported to the vendor (Mothership Strategies) was incurred on 

November 1, 2020, in the amount of $637,615.00, and that $470,000 remained in dispute.14 2 The 

Committee continued to report the $470,000 as a disputed debt in subsequent reports.15 3 On the 

4 2022 August Monthly Report, the Committee disclosed a credit of $277,000 to the $470,000 

debt, and a closing balance of $193,000.16 5 The Report included a miscellaneous text stating: 

6 “This adjustment reflects a legal settlement of a disputed debt between the committee and the 

vendor.”17 7 

8 In response to the Referral, the Committee acknowledges its failure to properly report the 

9 debt to the vendor and contends that the omission was inadvertent and due to an oversight due to 

10 staff transition at the time, a miscommunication between the Committee staff and the compliance 

11 firm retained by the Committee to prepare reports, and the disputed nature of a large portion of 

the debt disclosed to the vendor.

18 12 It further contends that the omission was discovered during 

13 an internal review of the dispute between the Committee and the vendor, that they are engaged in 

14 Referral at 2 (quoting Brady PAC, Form 99 Miscellaneous Electronic Submission (Feb. 4, 2022)). 

15 Starting with the Amended 2020 Year-End Report (Amendment 3) through the 2022 July Monthly Report, 

the Committee reported the $470,000 debt on the Schedule D, Debts and Obligations Mothership Strategies as 

“Donor Acquisition Advertising – disputed”: Brady PAC, Amended 2020 Year-End Report at 3139 (Oct. 18, 2021); 

Brady PAC, Amended 2021 April Quarterly Report at 2208 (Oct. 18, 2021); Brady PAC, Amended 2021 

Pre-Special Report at 1313 (Oct. 18, 2021); Brady PAC, Amended 2021 July Quarterly Report at 1683 (Oct. 18, 

2021); Brady PAC, 2021 Year-End Report at 7194 (Jan. 28, 2022); Brady PAC, 2022 February Monthly Report at 

151 (Feb. 18, 2022); Brady PAC, 2022 March Monthly Report at 262 (Mar. 18, 2022); Brady PAC, 2022 April 

Monthly Report at 386 (Apr. 19, 2022); Brady PAC, 2022 May Monthly Report at 523 (May 20, 2022); Brady PAC, 

2022 June Monthly Report at 760 (Jun. 17, 2022); and Brady PAC, 2022 July Monthly Report at 151 (Jul. 20, 2022).

16 Brady PAC, 2022 August Monthly Report at 798 (Aug. 19, 2022); Brady PAC, Form 99 Miscellaneous 

Electronic Submission at 799 (Feb. 4, 2022). The 2022 August Monthly Report and subsequent reports (Amended 

2022 August Monthly Report, 2022 September Monthly Report, and 2022 October Monthly Report) reflect 

payments to the adjusted amount ($193,000) but continue to describe the debt as “Donor Acquisition Advertising – 

disputed.”

17 Brady PAC, 2022 August Monthly Report, Form 99 Miscellaneous Electronic Submission at 798-799 

(Aug. 19, 2022); Amended 2022 August Monthly Report (same) (Sept. 20, 2022).

18 Resp. at 1.

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MUR 8094 (Brady PAC) 

Factual & Legal Analysis

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1 negotiations to resolve the debt and that any potential violation amount “should be reduced to 

reflect the final debt, once the amount is determines.”19 2 Finally, the Committee asserts that 

3 given its “impressive compliance record” and the significant resources it devoted to review and 

4 improve its internal processes, as well as the disputed nature of the debt, the Commission should 

take no action or refer this matter to Alternative Dispute Resolution Office.

20 5 

6 III. LEGAL ANALYSIS

7 Under the Act and Commission regulations, political committees must disclose the

amount and nature of outstanding debts and obligations until those debts are extinguished.21 8 

9 Debts of $500 or less must be reported no later than 60 days after the obligation is incurred, 

while debts of more than $500 must be reported as of the date the obligation is incurred.22 10 If the 

11 exact amount of a debt or obligation is not known, the report shall state that the amount reported 

is an estimate.23 12 Once the exact amount is determined, a political committee must either: 

13 (1) amend the report(s) containing the estimate; or (2) indicate the correct amount on the report 

for the reporting period in which such amount is determined.24 14 

15 Where there is a “disputed debt,” the political committee must report the disputed debt if 

the creditor has provided “something of value” to the political committee.25 16 Until the dispute is 

19 Id. at 2.

20 Id. 

21 52 U.S.C. § 30104(b)(8); 11 C.F.R. §§ 104.3(d), 104.11(a). 

22 11 C.F.R. § 104.11(b).

23 Id.

24 Id. 

25 11 C.F.R. § 116.10(a). A “disputed debt” is “an actual or potential debt or obligation owed by a political 

committee, including an obligation arising from a written contract, promise or agreement to make an expenditure, 

where there is a bona fide disagreement between the creditor and the political committee as to the existence or 

amount of the obligation owed by the political committee.” Id. § 116.1(d). 

MUR809400032
MUR 8094 (Brady PAC) 

Factual & Legal Analysis

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1 resolved, the political committee must disclose any amounts paid to the creditor, any amount the 

political committee admits it owes, and the amount the creditor claims is owed.26 2 

3 The Committee acknowledges incurring a debt, related to “something of value” provided 

4 by the vendor to the Committee, in the amount of $637,615.00 on November 1, 2020, with 

$470,000 as disputed.27 5 The Committee was required to but did not disclose the debt on its 

original 2020 30-Day Post-General Report that it filed on December 1, 2020.28 6 The debt was not 

7 disclosed until nearly a year later, on the Amended 2020 30-Day Post-General Report, filed on 

September 1, 2021.29 8 Further, because the debt was in dispute, the Committee was required to 

9 disclose any amounts paid to the creditor, any amount the Committee admits it owes, and the 

amount the creditor claims is owed until the dispute is resolved.30 10 The Committee did not fully 

disclose the nature of the debt as disputed until February 4, 2022.31 11 Accordingly, the 

12 Commission finds reason to believe that Brady PAC violated 52 U.S.C. § 30104(b)(8) and 

13 11 C.F.R. § 104.3(d) by failing to report a debt. 

26 Id. § 116.10(a). 

27 Brady PAC, Form 99 Miscellaneous Electronic Submission (Feb. 4, 2022). 

28 Brady PAC, 2022 October Monthly Report at 2 (Summary Page) (Oct. 20, 2022).

29 Brady PAC, Amended 2020 30-Day Post-General Report at 7483 (Sept. 1, 2021).

30 11 C.F.R. § 116.10(a). 

31 Brady PAC, Form 99 Miscellaneous Electronic Submission (Feb. 4, 2022). 

MUR809400033