October 31, 2022 

Camilla Reminsky 

Kendrick Smith 

Audit Division 

Federal Election Commission 

1050 First Street, NE 

Washington, DC 20463 

VIA EMAIL 

Re: Response of Steve Daines for Montana to Interim Audit Report 

Dear Ms. Reminsky and Mr. Smith, 

This response is submitted by the undersigned counsel on behalf of Steve Daines for Montana 

(the “Committee”) regarding the Interim Audit Report of July 29, 2022. At the outset, we note 

that the Committee maintains its objection to the use of sampling to estimate or project errors. 

The Audit Division’s three Findings are addressed below. 

Finding 1. Receipt of Contributions in Excess of the Limit 

In our Exit Conference Response, we briefly addressed excessive contributions that were 

refunded by the Committee but never deposited by the contributor. We reiterate here that 

excessive contributions that were refunded by the Committee, in some cases more than once, but 

not deposited by the contributor, should be separated from unrefunded excessive contributions. 

The former category should not be treated as “actionable violations.” 

On September 23, 2022, the Committee disgorged multiple contributions to the U.S. Treasury 

via check in the amount of $56,920.38. This transaction appears on the Committee’s October 

2022 quarterly report on Line 21. The contributions included are listed as memo entries on the 

Committee’s report. 

The Committee has refunded all remaining contributions specifically identified by the Audit 

Division as excessive. In addition, we note that identified excessive contributions referenced in 

the Committee’s Exit Conference Response dated March 11, 2022 have been issued or proper 

attributions filed as amendments. Refunds are reported on Line 20a of the Committee’s October 

Quarterly Report with additional amendments to appear on the Committee’s next report. Details 

regarding each individual transaction will be forwarded separately and we will be available to 

discuss and provide any clarifications needed. 
 

 

 

 

 

 

 

Finally, the Committee refunded one contribution in the amount of $11,200 from an 

impermissible source on September 23, 2022. This refund is also reported on Line 20a of the 

Committee’s October Quarterly Report. 

The Committee will forward separately banking records showing that contributors deposited 

refund checks. 

Finding 2. Disclosure of Debts and Obligations 

Several identified debts were previously addressed in the Committee’s Exit Conference 

Response (March 11, 2022). It is our understanding that those debts were removed from the 

findings in the Interim Audit Report 

The Committee believes that the following invoices identified by the Audit Division as 

unreported debts for brief periods of time (6-8 days) are immaterial to the public record and 

should be excluded from the Audit Division’s findings. In each case, the disbursement to the 

vendor was reported on the Committee’s next report. 

Allegiance Direct LLC. 

• Audit objection appears to be that two invoices dated 06/03/20 were not reported on 

Schedule D of July Quarterly report (covering period 5/14/20 – 06/30/20). 

• Both invoices were paid by check dated 7/7/20. 

• Had check #5900 been issued one week earlier, the transaction would not have “crossed” 

reporting periods and no Schedule D entry would have been required. 

Campaign Solutions 

• As noted in the Exit Conference Response (March 11, 2022), the invoice was provided to 

the Committee by the vendor on 3/10/20. 

• This invoice was paid by check dated 4/7/20. 

• Had payment been issued one week earlier, the transaction would not have “crossed” 

reporting periods and no Schedule D entry would have been required. 

Connell Donatelli (1) 

• Audit objection appears to be that two invoices dated 3/3/20 and 3/5/20 were not reported 

on Schedule D of April Quarterly report (covering period 01/01/20 – 03/31/20). 

• Both invoices were paid by check dated 4/7/20. 

• Had check #5797 been issued one week earlier, the transaction would not have “crossed” 

reporting periods and no Schedule D entry would have been required. 

Connell Donatelli (2) 

• Audit objection appears to be that two invoices dated 4/24/20 and 5/6/20 were not 

reported on Schedule D of Pre-Primary 2020 report (covering period 4/1/20 – 5/13/20). 

• Both invoices were paid by check dated 5/19/20. 

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• Had check #5841 been issued six days earlier, the transaction would not have “crossed” 

reporting periods and no Schedule D entry would have been required. 

Shanna Woodbury Consulting 

• Audit objection appears to be that invoice dated 5/21/20 was not reported on Schedule D 

of July Quarterly report (covering period 5/14/20 – 06/30/20). 

• Invoice was paid by check dated 7/8/20. 

• Had check #5901 been issued eight days earlier, the transaction would not have “crossed” 

reporting periods and no Schedule D entry would have been required. 

• All invoices from Shanna Woodbury Consulting have been paid. 

As we previously explained in email correspondence on December 15, 2021, the invoice from 

Connell Donatelli, Inc., dated June 15, 2020, was for advertising that the Committee did not 

actually place at the time. The ad buy was delayed and the purchase/obligation was actually 

made in September 2020. A wire in the amount of $108,750 was sent on September 10, 2020. 

The invoice dated June 15, 2020 did not reflect an actual obligation, and there was never any 

debt or obligation associated with this invoice that was required to be reported. To the best of 

the Committee’s knowledge, however, the invoice was not withdrawn and reissued in September 

2020 when the ad buy was actually made. Instead, the Committee paid the existing invoice when 

the vendor indicated the obligation was actually made on or about September 10, 2020. 

With respect to invoicing from Gula Graham, we previously explained in email correspondence 

on December 15, 2021, that the referenced invoices “contained items from several shared events. 

They were returned for further clarification and a request that we be billed only for the specific 

campaign’s share of the expenses.” Once this clarification was received, the Committee paid the 

invoices on the dates specified. 

Finding 3. Disclosure Receipts 

The Committee has prepared reporting amendments based on the disclosure issues identified by 

the Audit Division. (These amendments will be filed on October 31 or November 1, 2022.) 

Identified disclosure errors such as “incorrect date,” “incorrect amount,” “incomplete name,” 

“missing address,” and improperly reported contributions through conduits have been corrected 

and appear on the Committee’s amended filings. 

• The Committee notes that several contributions that were identified as having been 

reported with an “incorrect date” involve immaterial discrepancies that have no impact on 

the public record. For example, the Audit Division found identified one contribution in 

the amount of $95 that showed a date of October 4 on the check or credit card, a reported 

date of receipt of October 10, and a date of deposit of October 16, and. In another case, a 

check was dated June 30, the reported date of receipt was July 7, and the date of deposit 

was July 13. 

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Comprehensive amendments have been filed to address the identified joint fundraising disclosure 

and receipt issues. 

***** 

We appreciate your continued assistance in this matter. Please feel free to contact us if you need 

any further information. 

Sincerely, 

Jason Torchinsky 

Michael Bayes 

Counsel to Steve Daines for Montana 

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