Federal Election Commission Page 5
Minutes of an Open Meeting

December 13, 2018

base its reporting on the first of those states holding the presidential primary.
The draft also provides guidance to those making independent expenditures in
less than six (6) states. If approved, the Draft Final Rule would take effect 30
days after publication in the Federal Register.

Chair Hunter thanked the Office of General Counsel and Ms. Chacona and
her staff, and all of the Commissioners. Ms. Chacona thanked the
Commissioners for reaching agreement on this issue.

Discussion followed.

Vice Chair Weintraub applauded Chair Hunter for her leadership on this
issue and for her persistence and determination to get this done.

Chair Hunter recognized Vice Chair Weintraub who

MOVED to approve the Draft Final Rule and Explanation
and Justification for Reporting Multistate Independent
Expenditures and Electioneering Communications, REG
2014-02, as set forth in Agenda Document No. 18-55-A;
direct the staff to work with the Federal Register for
publication; and put the rule into effect in time for the

next cycle.

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.

VI. DRAFT LEGISLATIVE RECOMMENDATIONS 2018

Agenda Document No. 18-54-A
(Submitted Late)

Hf
|



Federal Election Commission Page 10
Minutes of an Open Meeting

December 13, 2018

with staff and her fellow colleagues, and looked forward to passing the gavel to
Vice Chair Weintraub.

The Chair further stated that, as frequently happens in the area of
campaign finance law, the law is being challenged again through a variety of
lawsuits in two key areas: 1) donor disclosure, in which there was a decision
over the summer, and for which the agency put out guidance in October to help
the public comply, for now, on that issue; and 2) the question of how political
committee status is determined, for which there is litigation across the country.
Chair Hunter noted that although these two areas of the law have been fixtures
of the law from the very beginning, there is still a large amount of uncertainty,
for which she hoped there would be clear guidance in the future.

With regard to enforcement, Chair Hunter stated that there was a
moderate increase in the number of cases closed this year. The Commission
worked hard to try to decrease the docket, with many cases moved to the
Office of Alternative Dispute Resolution (ADR) as an appropriate place to deal
with certain cases. The Chair thanked Krista Roche, noting that she was now
the permanent Director of ADR and has done an excellent job.

Chair Hunter highlighted that the Commission has started educational
programs to encourage voluntary compliance, which is part of the Commission’s
statutory mandate. The Chair thanked Alec Palmer, Pat Orrock, Debbie

Chacona, Greg Scott and all employees that assist with the programs.

/
i


Federal Election Commission Page 7
Minutes of an Open Meeting
December 13, 2018
The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.

VI. FISCAL YEAR 2020 BUDGET AMENDMENT REQUEST

Memorandum from Chair Caroline C. Hunter
dated December 13, 2018

Agenda Document No. 18-56-A
(Submitted Late)

Chair Hunter introduced the matter stating that included in this agenda
document was a letter to the Director of the Office of Management and Budget
(OMB), advising OMB that since the electronic filing bill requiring Senate filers
to now submit their filings electronically was passed after the Commission
submitted its Fiscal Year (FY) 2020 budget submission, there will be a reduction
in the Commission’s FY 2020 budget. Chair Hunter stated that it was important
to her that the Commission notify OMB of the approximate $600,000 savings
that the agency did not know about at the time the budget was submitted.

Vice Chair Weintraub stated her belief that savings resulting from the
passage of electronic filing should be used for the benefit of the agency, the
public, and in service of the important mission of the agency, particularly in
support of improving the efficiency of the Enforcement Division.

Discussion continued.

Chair Hunter recognized Commissioner Petersen who



Federal Election Commission Page 6
Minutes of an Open Meeting
December 13, 2018

Chair Hunter recognized Mr. Duane Pugh of the Office of Congressional,
Legislative and Intergovernmental Affairs who stated that included in the 12
legislative recommendations before the Commission was a new
recommendation, Prohibit Aiding or Abetting the Making of Contributions in
Name of Another, which was suggested by the Litigation Division. Mr. Pugh
noted that the very familiar legislative recommendation pertaining to Senate
Electronic Filing was missing because it has been accomplished and enacted.
Mr. Pugh further stated that last night the Senate passed H.R.7120 extending
the Administrative Fine Program from its current expiration through the Year
End Reports for 2023. Discussion followed with regard to whether the
Commission would continue to pursue the recommendation to make the
Administrative Fine Program permanent in light of the program’s recent
extension.

Discussion continued on specific recommendations including: Update
Citations to Reflect the Recodification of FECA; Authority to Create Senior
Executive Positions; Prohibit Fraudulent PAC Practices; and, Conversion of
Campaign Funds.

Chair Hunter recognized Vice Chair Weintraub who

MOVED to approve the Draft Legislative
Recommendations for 2018, as set forth in Agenda
Document No. 18-54-A, with the exception of

recommendation seven (7) which should be tabled for a
later recommendation.



Federal Election Commission Page 9
Minutes of an Open Meeting
December 13, 2018 |

Carol Worthy

35 Years of Service
Jim Jones

Pat Dunn

Cheryl Williams
Mary Moss

Judy Fox

Michael Pearson
Wanda O'Neal
Robert Bonham

30 Years of Service
Kevin Salley
Candace Salley
Donna Smith
Kimberly Hart

Sam Stewart
Michael Moody
Gwendolyn Holmes
Tony Buckley
Marie Dixon

Larry Calvert
Stephanie Watson
Donnie Harris
Patrick Donohoe
Dorothy Yeager |
Vernon Shorter
Gilbert Ford

Sylvia Windham
Dominique Dillenseger

Perret
Chair Hunter, in a moment of personal privilege, noted that this was her
last meeting as Chair of the Commission, in her second tour-of-duty as Chair,

and she enjoyed it very much. She stated that she very much enjoyed working



AGENDA DOCUMENT NO. 19-05-A

PRESENT:

APPROVED MARCH 28, 2019

MINUTES OF AN OPEN MEETING

OF THE

FEDERAL ELECTION COMMISSION

THURSDAY, DECEMBER 13, 2018

Caroline C. Hunter, Chair, presiding
Elien L. Weintraub, Vice Chair

Matthew S. Petersen, Commissioner
Steven T. Walther, Commissioner

Alec Palmer, Staff Director

Lisa Stevenson, Acting General Counsel

Dayna C. Brown, Secretary and Clerk



Federal Election Commission Page 12
Minutes of an Open Meeting
December 13, 2018

Chair Hunter recognized Commissioner Petersen for a moment of personal
privilege. Commissioner Petersen thanked Chair Hunter for the service she
extended to the Commission over the past year.

Chair Hunter recognized Commissioner Walther for a moment of personal
privilege. Commissioner Walther stated that it was a pleasure working with
Chair Hunter this year and congratulated her for a very nice year.

RE

IX. ELECTION OF OFFICERS

Vice Chairman

Chair Hunter recognized Commissioner Walther who
MOVED to elect Commissioner Matthew S. Petersen
to serve as Vice Chairman of the Federal Election

Commission for 2019.

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.

Chair

Chair Hunter recognized Commissioner Petersen who
MOVED to elect Vice Chair Ellen L. Weintraub to
serve as Chair of the Federal Election Commission

for 2019.

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.



Federal Election Commission Page 11
Minutes of an Open Meeting
December 13, 2018

For every part of the agency that participated in the transition of Senate
filers to electronic filing, including the Office of General Counsel and the
Information Technology Division, the Chair extended her appreciation for the
hard work that resulted in a successful transition.

Chair Hunter stated that the Commission finally accomplished the
Multistate Independent Expenditure Rulemaking. The Commission also started
the Internet Disclaimer Rulemaking, for which a two-day hearing was held over
the summer.

With respect to the Federal Employee Viewpoint Survey, Chair Hunter
noted that the Commission made a modest improvement in the morale of the
agency, for which the agency received an award for the Most Improved Small
Federal Agency. The Chair attributed this improvement to the participatory
process employed in the agency’s relocation to its new building, as headed up
by Administrative Officer, India Robinson, and the Commission’s excellent
managers who stepped up and made a strong effort to engage staff and listen to
their comments and concerns.

Chair Hunter thanked her staff, Eric Brown, Amy Rothstein, Chris Curran,
Katie Reynolds, as well as Lindsey Melody who left earlier in the year, for all of
their support and help throughout the year. The Chair thanked her fellow

Commissioners, their Executive Assistants, and all staff.

|



Federal Election Commission Page 8
Minutes of an Open Meeting
December 13, 2018

MOVED to approve the letter as set forth in Agenda
Document No. 18-56-A.

The motion failed by a vote of 2-2 with Commissioners Hunter and

Petersen voting affirmatively for the motion. Commissioners Walther and
Weintraub dissented.
Vill. JANUARY - JUNE, 2019 MEETING DATES

Memorandum from Vice Chair Ellen L. Weintraub
dated December 12, 2018

Agenda Document No. 18-53-A
(Submitted Late)

Chair Hunter recognized Vice Chair Weintraub who
MOVED to approve the setting of meeting dates for the
first half of 2019, as set forth in Agenda Document
18-53-A.

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.

RARER

Chair Hunter recognized and thanked the following employees for their
years of Federal Service:

40 Years of Service
Theresa Mallory
Robin Kelly

Ida Reavis

Marty Favin

Jim Allen

Jackie Crawford
Cynthia Myers
Garland Coleman



Federal Election Commission Page 4
Minutes of an Open Meeting
December 13, 2018

Iv. DRAFT ADVISORY OPINION 2018-13

OsiaNetwork LLC by Jonathan S. Sack, Esq. and
Brian A. Hunt, Esq.

Agenda Document No. 18-49-A (Draft A)
(Held over from the meeting of November 15, 2018)
(To be held over to a future meeting)
Chair Hunter stated that this matter was being held over to a future
meeting and that the requestor had granted an extension to allow time for the

Commission to consider comments recently filed by the requestors.

Vv. REG 2014-02 (DRAFT FINAL RULE AND EXPLAINATION AND
JUSTIFICATION FOR REPORTING MULTISTATE

INDEPENDENT EXPENDITURES AND ELECTIONEERING
COMMUNICATIONS)

Agenda Document No. 18-55-A
(Submitted Late)

Chair Hunter recognized Mr. Robert Knop of the General Counsel’s Office
and Ms. Debbie Chacona of the Reports Analysis Division.

Mr. Knop presented the Draft Final Rule concerning how and when to
report independent expenditures that are made in connection with the
presidential primary election but that do not reference or target a specific
state’s primary. The Draft Final Rule adopts Alternative B from the Notice of
Proposed Rules and requires that those making multistate independent

expenditures in six (6) or more states, that do not refer to any particular state,



Federal Election Commission Page 3
Minutes of an Open Meeting
December 13, 2018

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.

RRR

i DRAFT ADVISORY OPINION 2018-15 (continued)

Chair Hunter stated that there were two drafts for this matter and that her
understanding was that there was support for Draft B.
Commissioner Walther then
MOVED to adopt Draft B.

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.
Hl. DRAFT ADVISORY OPINION 2018-12

Defending Digital Campaigns, Inc. by Marc Elias, Esq.
and Michael Toner, Esq.

Agenda Document No. 18-43-A (Draft A)

Agenda Document No. 18-43-B (Draft B)

(Held over from the meetings of October 11, 2018 and
October 25, 2018)

(To be held to a future meeting)
Chair Hunter stated that this matter was once again being held to a future
meeting at the request of the requestors to allow them additional time to review

the drafts that have been placed on the public record.



Federal Election Commission Page 2
Minutes of an Open Meeting
December 13, 2018

Chair Caroline C. Hunter called the Federal Election Commission to order

in an open meeting at 10:14 A.M. on Thursday, December 13, 2018 with a

quorum present.

1 CORRECTION AND APPROVAL OF MINUTES

Minutes for December 6, 2018
Agenda Document No. 18-52-A

Chair Hunter recognized Vice Chair Weintraub who
MOVED to approve the minutes for the meeting of
Thursday, December 6, 2018, as set forth in Agenda
Document No. 18-52-A.

The motion carried by a vote of 4-0 with Commissioners Hunter, Petersen,

Walther, and Weintraub voting affirmatively for the decision.

th. DRAFT ADVISORY OPINION 2018-15

Senator Ron Wyden by The Honorable Ron Wyden

Agenda Document No. 18-46-A (Draft A)

Agenda Document No. 18-46-B (Draft B)
(Submitted Late)

(Held over from the meetings of November 15, 2018 and
December 6, 2018)

RRR

Chair Hunter recognized Vice Chair Weintraub who

MOVED to suspend the rules on the timely submission of
agenda documents in order that the Commission may
consider the late submission of Agenda Documents No.
18-46-B, 18-53-A, 18-54-A, 18-55-A, and 18-56-A



Federal Election Commission Page 13
Minutes of an Open Meeting
December 13, 2018

perrrry

Chair Hunter recognized Vice Chair Weintraub for a moment of personal
privilege. Vice Chair Weintraub thanked Chair Hunter for her steady hand on the
gavel and for her persistence. The Vice Chair also thanked Chair Hunter’s staff
for their efforts this year.

x. MANAGEMENT AND ADMINISTRATIVE MATTERS

There being no further business to come before the Commission, the

meeting adjourned at 11:07 A.M.

Signed:

Ctr Ch PA

Caroline C. Hunter
Chair of the Commission (2018)

Attest:

QuK0 60>

Dayna C. Brown
Secretary and Clerk of the Commission