January 2009 Federal Election Commission Volume 35, Number 1

Table of Contents Commission

(continued on page 13) (continued on page 2)

 Commission

1 Message from the Chairman

14 New Chairman and Vice Chairman 

Elected

 Court Cases

1 Republican National Committee

 v. FEC

 Reports

2 Reports Due in 2009

 Public Hearing

6 Hearing on Commission Activities 

and Procedures

7 Advisory Opinions

 800 Line

10 Retiring Campaign Debt

 

 Outreach

15 Conference for Campaigns and 

Political Party Committees

15 Index 

Court Cases

Republican National 

Committee v. FEC

On November 13, 2008, the 

Republican National Committee (the 

RNC), the Chairman of the RNC, 

the California Republican Party and 

the Republican Party of San Diego 

County (collectively the Plaintiffs) 

filed a complaint in the U.S. District 

Court for the District of Columbia 

challenging the constitutionality of 

the “Soft Money of Political Parties” 

provisions of the Federal Election 

Campaign Act (the Act), codified at 

2 U.S.C. §441i. The Plaintiffs state 

that the soft money provisions as applied to their intended activities are 

overly broad and unconstitutional 

under the First Amendment guarantees of free speech and association, and are outside of Congress’ 

authority to regulate elections. The 

Plaintiffs filed a Motion to Expedite 

Summary Judgment Briefing Schedule on November 19, 2008.

Background

The Act’s soft money provisions prohibit national parties from 

soliciting, receiving or spending any 

nonfederal funds and require state, 

district and local party committees to 

fund certain “federal election activMessage from the Chairman

First, let me begin my first message in the Record by publicly 

thanking every member of our staff 

for their steadfast and loyal work 

during this trying period of last year. 

As most of you know, for a period of 

191 days, from January 1 to July 10, 

the day the reinstituted Commission 

held its first open session of the year, 

the Commission was not comprised 

of enough Commissioners (at least 

four of the usual six) to take any 

formal actions. Despite the absence 

of Commissioners, the staff continued to work diligently through this 

period of dormancy, facing uncertainty regarding when new Commissioners might be installed to begin 

picking up the pieces, and how to 

meet timelines and deadlines during 

a historic election year. Surely last 

year was unprecedented and we all 

hope that this kind of disruption will 

never recur. Upon our reinstatement, 

however, there was a need to choose 

priorities as quickly as possible, 

and to begin to work on the most 

urgent matters with the same kind 

of thoroughness and diligence that 

those matters are entitled to receive. 

I know I speak on behalf of each of 

the Commissioners that we appreciate this effort and loyalty during this 

uncertain period.
Federal Election Commission RECORD January 2009

2

Federal Election Commission

999 E Street, NW

Washington, DC 20463

800/424-9530 (Toll-Free)

202/694-1100 (Information Div.)

202/501-3413 (FEC Faxline)

202/219-3336 (TDD for the

 hearing impaired)

Steven T. Walther, 

 Chairman

Matthew S. Petersen, 

 Vice Chairman

Cynthia L. Bauerly, 

 Commissioner

Caroline C. Hunter, 

 Commissioner

Donald F. McGahn II, 

 Commissioner

Ellen L. Weintraub, 

 Commissioner

Joseph E. Stoltz,

 Acting Staff Director

Thomasenia Duncan, 

 General Counsel

Published by the Information

 Division of the Office of 

 Communications

Greg J. Scott, 

 Assistant Staff Director

Amy L. Kort,

 Deputy Assistant Staff Director

Myles G. Martin, 

 Editor

http://www.fec.gov

Reports Due in 2009

This article on filing requirements for 2009 is supplemented by 

the reporting tables on the following 

pages. 

Notification of Filing Deadlines

In addition to publishing this 

article, the Commission notifies 

committees of filing deadlines on its 

web site, via its automated Faxline 

and through reporting reminders 

called prior notices. Prior notices are 

distributed exclusively by electronic 

mail. For that reason, it is important that every committee update 

its Statement of Organization (FEC 

Form 1) to disclose a current e-mail 

address. To amend Form 1, electronic filers must submit Form 1 filled 

out in its entirety. Paper filers should 

include only the committee’s name, 

ity” (FEA) either with federal funds 

or, in certain cases, with a combination of federal and Levin funds. 2 

U.S.C. §§441i(a)(1) and 441i(b)(1). 

There are four types of FEA: 

•	Voter registration activity during

the 120 days before a regularly 

scheduled federal election; 

•	Voter identification, get-outthe-vote (GOTV) and generic 

campaign activity conducted in 

connection with an election in 

which a federal candidate appears 

on the ballot;

•	A public communication that refers

to a clearly identified federal candidate and that promotes, attacks, 

supports or opposes any federal 

candidate; and 

•	Certain services provided by an

employee of a state or local party 

committee in connection with a 

federal election. 2 U.S.C. §431(20), 

11 CFR 100.24. 

Complaint

The Plaintiffs state that the 

Supreme Court’s decision in Buckley v. Valeo, 424 U.S. 1, 80 (1976), 

requires that the federal campaign 

finance laws limit only those First 

Amendment activities that are “unambiguously related to the campaign 

of a particular federal candidate.” 

The Plaintiffs allege that they plan 

to use funds raised under state laws 

and other nonfederal funds for activities that they claim are not related 

to campaigns of particular federal 

candidates. These activities include 

the RNC’s raising and spending of 

nonfederal funds to pay for the present litigation and to support: 

•	Republican candidates in New

Jersey and Virginia’s 2009 elections, where no federal offices will 

appear on the ballots; 

•	Redistricting efforts of various

states’ Republican parties; 

•	Grassroots lobbying efforts for

federal legislation and issues important to the Republican Party’s 

platform; and

•	State candidates in various states,

whether or not a federal candidate 

appears on the ballot.

In addition, the Chairman of 

the RNC alleges that he intends to 

solicit nonfederal funds on behalf of 

the RNC for the activities described 

above, and to solicit nonfederal 

funds for the California Republican 

Party. The California Republican 

Party and the Republican Party of 

San Diego County allege that they 

intend to use nonfederal funds to pay 

for public communications in support of or opposition to state ballot 

initiatives, and that those communications may promote, attack, support 

or oppose federal candidates. 

The Plaintiffs complain that the 

soft money provisions attempt to 

regulate activities, like those they 

plan to undertake, that are not “unambiguously related to the campaign 

of a particular federal candidate.” As 

such, they claim that the provisions, 

as applied to their planned activities, 

are overbroad and sweep into First 

Amendment activity without constitutional authority. 

Relief

The Plaintiffs seek a permanent injunction against the FEC’s 

enforcement of 2 U.S.C. §441i, a 

judgment declaring the provision 

unconstitutional as applied to their 

activities and costs and attorneys 

fees.

On November 18, 2008, the court 

granted the Plaintiffs’ Application 

for Three-Judge Court. The Plaintiffs’ Motion to Expedite Summary 

Judgment is pending.

U.S. District Court for the District 

of Columbia, 1:08CV01953.

 —Zainab Smith

Court Cases

(continued from page 1)

Reports
January 2009 Federal Election Commission RECORD

3

Guide to 2009 Reporting 

Type of Filer

Required Reports

2008 

Year-End

SemiAnnual Quarterly Monthly

House and Senate 

Campaign Committees1 X X

Presidential Candidate 

Committees X X or 2 X

National Party 

Committees X X

State, Local & District 

Party Committees X X or 3 X

Political Action 

Committees X X or 4 X

1

 This category includes committees of candidates retiring debts from a previous election or running for a future election.

2

 Presidential committees may file on either a quarterly or a monthly basis. Those 

wishing to change their filing frequency should notify the Commission in writing when 

filing a report under the committee’s current schedule. Electronic filers must file this 

request electronically. A committee may change its filing frequency only once per 

calendar year and all reports filed after a change in filing frequency must follow the 

new filing schedule. 11 CFR 104.5(c). 

3

 State, district and local party committees that engage in certain levels of “federal 

election activity” must file on a monthly basis. 11 CFR 300.36(b) and (c)(1). Other 

state, district and local party committees may file on a semi-annual basis.

4

 Political action committees (PACs) may file on either a semi-annual or a monthly 

basis. Committees wishing to change their filing frequency must notify the Commission in writing when filing a report under the committee’s current schedule. Electronic filers must file this request electronically. A committee may change its filing 

frequency only once per calendar year, and all reports filed after a change in filing 

frequency must follow the new filing schedule . 11 CFR 104.5(c).

address, FEC identification number 

and the updated or changed portions 

of the form.

Treasurer’s Responsibilities

The Commission provides 

reminders of upcoming filing dates 

as a courtesy to help committees 

comply with the filing deadlines set 

forth in the Federal Election Campaign Act (the Act) and Commission 

regulations. Committee treasurers 

must comply with all applicable 

filing deadlines established by law, 

and the lack of prior notice does 

not constitute an excuse for failing 

to comply with any filing deadline. 

Please note that filing deadlines are 

not extended in cases where the filing deadline falls on a weekend or 

federal holiday. Accordingly, reports 

filed by methods other than Registered, Certified or Overnight Mail, or 

electronically, must be received by 

the Commission’s (or the Secretary 

of the Senate’s) close of business 

on the last business day before the 

deadline.

Filing Electronically

Under the Commission’s mandatory electronic filing regulations, 

individuals and organizations that 

receive contributions or make expenditures, including independent 

expenditures, in excess of $50,000 in 

a calendar year—or have reason to 

expect to do so—must file all reports 

and statements with the FEC electronically. Reports filed electronically must be received and validated by 

the Commission by 11:59 p.m. Eastern Standard/Daylight Time on the 

applicable filing deadline. Electronic 

filers who instead file on paper or 

submit an electronic report that does 

not pass the Commission’s validation program by the filing deadline 

will be considered nonfilers and may 

be subject to enforcement actions, 

including administrative fines.

Senate committees and other 

committees that file with the Secretary of the Senate are not subject to 

the mandatory electronic filing rules, 

but may file an unofficial copy of 

their reports with the Commission in 

order to speed disclosure.

The Commission’s electronic 

filing software, FECFile, is free and 

can be downloaded from the FEC’s 

web site. New FECFile Version 

6.2.1.0 is available for download 

from the FEC web site at http://

www.fec.gov/elecfil/updatelist.html. 

All reports filed after June 9, 2008, 

must be filed in Format Version 6.2 

(the new version). Reports filed in 

previous formats will not be accepted. Filers may also use commercial or privately developed software 

as long as the software meets the 

Commission’s format specifications, 

which are available on the Commission’s web site. Committees using 

commercial software should contact 

their vendors for more information 

about the Commission’s latest software release.

(continued on page 4)
Federal Election Commission RECORD January 2009

4

Reports

(continued from page 3) 2008 Year-End Report

Note: All committees file this report.

Report Period Covered Filing Deadline1

Year-End Closing date of last report 

through 12/31/08

January 31, 2009*

2009 Monthly Reports

Note: All national party committees and any state, district or local party committee 

that engages in “federal election activity” (FEA) must file monthly reports.

Report Period Covered Filing Deadline1

February January 1-31 February 20

March February 1-28 March 20

April March 1-31 April 20

May April 1-30 May 20 

June May 1-31 June 20*

July June 1-30 July 20

August July 1-31 August 20

September August 1-31 September 20*

October September 1-30 October 20 

November October 1-31 November 20

December November 1-30 December 20*

Year-End December 1-31 January 31, 2010*

2009 Quarterly Reports

Note: All principal campaign committees must file on a quarterly schedule in nonelection years as well as in election years. Presidential committees may choose to 

file quarterly, rather than monthly, in non-election years.

Report Close of Books Filing Deadline1

April Quarterly March 31 April 15

July Quarterly June 30 July 15 

October Quarterly September 30 October 15

Year-End December 31 January 31, 2010*

2009 Semiannual Reports

Note: PACs that file quarterly in an election year will file on a semiannual schedule in 

non-election years.

Report Close of Books Filing Deadline1

Mid-Year June 30 July 31

Year-End December 31 January 31, 2010*

* Note that this filing date falls on a weekend. Filing dates are not extended for weekends 

or federal holidays. Accordingly, reports filed by methods other than Registered, Certified, or Overnight Mail, or electronically, must be received by the Commission’s (or the 

Secretary of the Senate’s) close of business on the last business day before the deadline.

1 Reports sent by registered or certified mail, by Express or Priority Mail with delivery 

confirmation or by overnight delivery service with an online tracking system must be 

postmarked, or deposited with the mailing service, by the filing deadline. Reports sent 

by other means—including first class mail—must be received before the Commission’s 

(or the Secretary of the Senate’s) close of business on the filing deadline. 2 U.S.C. 

§434(a)(5) and 11 CFR 104.5(e).

Timely Filing for Paper Filers

Registered and Certified Mail. 

Reports sent by registered or certified mail must be postmarked on or 

before the mailing deadline to be 

considered timely filed. A committee sending its reports by certified 

or registered mail should keep its 

mailing receipt with the U.S. Postal 

Service (USPS) postmark as proof 

of filing because the USPS does not 

keep complete records of items sent 

by certified mail. 2 U.S.C. §434(a)

(5) and 11 CFR 104.5(e).

Overnight Mail. Reports filed via 

overnight mail1

 will be considered 

timely filed if the report is received 

by the delivery service on or before 

the mailing deadline. A committee sending its reports by Express 

or Priority Mail, or by an overnight 

delivery service, should keep its 

proof of mailing or other means of 

transmittal of its reports. 2 U.S.C. 

§434(a)(5) and 11 CFR 104.5(e).

Other Means of Filing. Reports 

sent by other means—including first 

class mail and courier—must be 

received by the FEC (or the Secretary of the Senate) before close of 

business on the filing deadline. 11 

CFR 100.19 and 104.5(e).

Paper forms are available for 

downloading at the FEC’s web site 

(http://www.fec.gov/info/forms.

shtml) and from FEC Faxline, the 

agency’s automated fax system 

(202/501-3413). The 2009 Reporting Schedule is also available on the 

FEC’s web site (http://www.fec.gov/

info/report_dates.shtml), and from 

Faxline. For more information on 

reporting, call the FEC at 800/424-

9530 or 202/694-1100.

1 “Overnight mail” includes Priority or 

Express Mail having a delivery confirmation, or an overnight service with 

which the report is scheduled for next 

business day delivery and is recorded in 

the service’s on-line tracking system.
January 2009 Federal Election Commission RECORD

5

Year-End Reports Covering 2008 

Activity

All committees must file a 2008 

year-end report due January 31, 

2009. The coverage and reporting 

dates are found in the chart on page 

4.

Reports Covering 2009 Activity

To find out which reports your 

committee must file in 2009, check 

the Guide to 2009 Reporting on page 

3. Then check the tables on page 

4 for reporting dates. Please note 

that committees active in special 

elections in 2009 may have to file 

additional special election reports, as 

explained on page 6. These reporting 

dates are also available on the Commission’s web site at http://www.

fec.gov/info/report_dates.shtml.

Authorized Committees of 

Candidates

House and Senate Candidates.

All campaigns that have a reporting 

obligation must file quarterly reports 

in 2009. Generally, an individual 

becomes a candidate for federal 

office, thus triggering registration 

and reporting obligations, when his 

or her campaign exceeds $5,000 

in either contributions received or 

expenditures made. If the campaign 

has not exceeded the $5,000 threshold, it is not required to file reports. 

See 11 CFR 100.3(a)(1). See also 11 

CFR 100.3(a)(2) and (3). 

Principal campaign committees of candidates who ran in past 

elections (who are retiring debts) or 

are running in future elections must 

also file quarterly reports in 2009. 

Committees that wish to terminate 

must file a termination request with 

the Commission or the Secretary of 

the Senate, as appropriate, and must 

continue filing reports until notified in writing that their termination 

request has been accepted by the 

Commission.

Presidential Candidates. All 

committees authorized by Presidential candidates must file on either 

a monthly or a quarterly schedule 

in 2009. A Presidential committee 

wishing to change its filing schedule 

should notify the Commission in 

writing. 11 CFR 104.5(b)(2). Electronic filers must file this request 

electronically.

State, District and Local Party 

Committees

State, district and local party 

committees that engage in certain 

levels of “federal election activity” 

must file on a monthly schedule. 11 

CFR 300.36(b) and (c)(1). Committees that do not engage in reportable 

“federal election activity” may file 

on a semiannual basis in 2009. 11 

CFR 104.5(c)(1)(i).

National Party Committees

National committees of political 

parties must file on a monthly schedule in all years. 2 U.S.C. §434(a)(4)

(B) and 11 CFR 104.5(c)(4).

Political Action Committees

PACs (separate segregated funds 

and nonconnected committees) that 

filed on a quarterly basis during 

2008 will file on a semiannual basis 

in 2009. Monthly filers continue on 

the monthly schedule. PACs may 

change their filing schedule, but 

must first notify the Commission in 

writing. Electronic filers must file 

this request electronically. A committee may change its filing frequency only once a year, and after giving 

notice of change in filing frequency 

to the Commission, all future reports 

must follow the new filing frequency. 11 CFR 104.5(c).

Where to File

Committee treasurers must file 

campaign finance reports with 

the appropriate federal office, as 

discussed below. State filing requirements also apply to campaign 

finance reports filed by the principal 

campaign committees of candidates 

seeking office in Guam, Puerto Rico 

and the Northern Mariana Islands 

and to reports filed by PACs and 

party committees that support these 

candidates. 2 U.S.C. §439(a)(2)(B).

House Candidate Committees. 

Principal campaign committees of 

House candidates file with the FEC. 

11 CFR 105.1.

Senate Candidate Committees. 

Principal campaign committees of 

Senate candidates file with the Secretary of the Senate. 11 CFR 105.2.

Presidential Committees. Principal campaign committees of Presidential candidates file with the FEC. 

11 CFR 105.3.

Candidate Committees with More 

Than One Authorized Committee. If 

a campaign includes more than one 

authorized committee, the principal 

campaign committee files, with its 

own report, a consolidated report 

of receipts and disbursements (FEC 

Form 3Z) showing its own activity 

as well as the activity of all other 

authorized committees of the candidate. 11 CFR 104.3(f).

PACs and Party Committees. 

Generally, PACs and party committees file with the FEC. However, 

committees that support only Senate 

candidates file with the Secretary of 

the Senate, as do the national Senatorial campaign committees. 11 CFR 

105.2 and 11 CFR 105.4.

Late Filing

The Federal Election Campaign 

Act does not permit the Commission to grant extensions of filing 

deadlines under any circumstances. 

Filing late reports may result in 

enforcement action by the Commission. The Commission pursues compliance actions against late filers and 

nonfilers under the Administrative 

Fine program and on a case-by-case 

basis. For more information on the 

Administrative Fine program, visit 

the FEC web site at http://www.fec.

gov/af/af.shtml.

Independent Expenditures

Political committees and other 

entities that make independent 

expenditures at any time during the 

calendar year—up to and including the 20th day before an election 

(continued on page 6)
Federal Election Commission RECORD January 2009

6

(including a special election)—are 

required to disclose this activity 

within 48 hours each time that the 

expenditures aggregate $10,000 or 

more. This reporting requirement is 

in addition to the requirement to file 

24-hour reports of independent expenditures each time disbursements 

for independent expenditures aggregate or exceed $1,000 during the last 

20 days—up to 24 hours—before an 

election (including a special election). 2 U.S.C. §§434(b), (d) and (g) 

and 11 CFR 100.19(d), 104.4(b)-(c) 

and 109.10(c)-(d). 

Political committees must use 

FEC Form 3X, Schedule E, to file 

48- and 24-hour reports. Persons and 

other entities that are not political 

committees must use FEC Form 5.

Political committees must report 

independent expenditures that do not 

trigger the 48- or 24-hour reporting thresholds on their regularly 

scheduled campaign finance reports. 

These independent expenditure 

reports are not required when a party 

committee or PAC makes a contribution directly to a candidate.

Persons and other entities that 

are not political committees must 

disclose independent expenditures in 

a quarterly report filed on FEC Form 

5 once the expenditures exceed $250 

in a calendar year in connection 

with an election. 11 CFR 104.4(b)

(1) and 109.10(b). Form 5 filers are 

not required to file quarterly reports 

for periods in which they have not 

made any independent expenditures. 

However, they must file quarterly 

reports for periods in which they 

made expenditures aggregating over 

$250 in a calendar year for a given 

election, regardless of whether or 

not they have already reported that 

activity in a 48- or 24-hour report.

For a chart of 48- and 24-hour 

reporting periods for independent 

expenditures in connection with 

2009 special elections, consult the 

FEC web site at http://www.fec.gov/

info/charts_ie_dates_special.shtml.

All individuals, persons and committees, including Senate committees, must file their 24- and 48-hour 

reports and quarterly reports of 

independent expenditures with the 

Commission. 11 CFR 104.4, 109.10, 

105.1 and 105.2.

Committees Active in Special 

Elections

Committees authorized by candidates running in any 2009 special 

election must file pre- and post-election reports in addition to regularly 

scheduled reports. 11 CFR 104.5(h). 

They are also required to comply 

with the 48-hour notice requirement 

for any contribution of $1,000 or 

more per source (including loans) 

received shortly before an election. 

See 11 CFR 104.5(f).

PACs and party committees supporting candidates running in special 

elections may also have to file preand post-election reports unless they 

file on a monthly basis. 11 CFR 

104.5(c)(3) and 104.5(h). All PACs 

are subject to 48- and 24-hour reporting of independent expenditures 

made before an election. See 11 

CFR 104.4(b) and (c) and 104.5(g).

When time permits, the Record

will alert committees to special election reporting dates.

Reports

(continued from page 5)

Public

Hearing

FEC Announces Public 

Hearing on Commission 

Activities and Procedures

The Commission will hold a public hearing on January 14, 2009, to 

receive public comments on a broad 

range of the Commission’s policies, 

practices and procedures.

The FEC is charged with administering the Federal Election Campaign Act (the Act) and undertakes a 

number of efforts to provide disclosure of campaign finance activity, 

encourage voluntary compliance 

with the provisions of the Act and 

conduct civil enforcement activities. In the course of addressing its 

responsibilities, the Commission 

periodically reviews its programs. 

This public hearing is designed to 

re-examine the FEC’s practices and 

procedures, some of which have 

been in place since the Commission 

was founded. The regulated community and the public will have an 

opportunity to bring before the Commission general comments and concerns about the agency’s practices 

regarding compliance, enforcement, 

public disclosure, advisory opinions 

and other matters.

In 2003, the FEC conducted a 

similar hearing in which members of 

Need FEC Material 

in a Hurry?

 Use FEC Faxline to obtain 

FEC material fast. It operates 

24 hours a day, 7 days a week. 

Hundreds of FEC documents—

reporting forms, brochures, FEC 

regulations—can be faxed almost 

immediately.

 Use a touch tone phone to dial 

202/501-3413 and follow the 

instructions. To order a complete 

menu of Faxline documents, enter 

document number 411 at the 

prompt.

Electioneering Communications

Additionally, individuals and other persons who make disbursements 

for “electioneering communications” 

that aggregate in excess of $10,000 

must file disclosure statements with 

the Commission within 24 hours of 

distribution of the communications 

to the public. See 11 CFR 100.29. 

A chart detailing the electioneering 

communication periods for 2009 

special elections are available on the 

FEC web site at http://www.fec.gov/

info/charts_ec_dates_special.shtml.

—Elizabeth Kurland
January 2009 Federal Election Commission RECORD

7

Advisory

Opinions

AO 2008-14

Internet Campaign TV 

Station Qualifies for Press 

Exemption

Various news stories, discussions, 

commentaries and other web programming proposed by a corporation 

operating an Internet campaign-TV 

station would not result in a contribution or expenditure under the 

Federal Election Campaign Act (the 

of news stories, commentary or 

editorials by broadcasting stations, 

web sites, newspapers, magazines or 

other periodicals, including Internet 

and electronic publications, are exempt from the definitions of “contribution” and “expenditure,” provided 

that the facilities are not owned or 

controlled by any party, political 

committee or candidate. See 11 CFR 

100.73 and 100.132.

To determine whether the press 

exemption applies to a particular 

situation, the Commission first asks 

whether the entity engaging in the 

activity is a press or media entity. 

Second, it applies a two-part analysis to determine that the entity is:

•	Not owned or controlled by a party,

political committee or candidate; 

and 

the public and the regulated community offered observations and 

suggestions for improvement of the 

internal practices of the Commission. Subsequent to that review, the 

Commission formally adopted several new policies, including a policy 

on deposition transcripts, a “fast 

track” policy for sua sponte matters, 

a policy clarifying treasurer liability 

and an interim disclosure policy for 

closed enforcement and related files. 

Additionally, in 2007 the Commission created a new procedure within 

the enforcement process that affords 

respondents the opportunity for an 

oral hearing before the Commission 

at the probable cause stage of a matter under review.

The upcoming public hearing 

and request for public comments 

are efforts to continue to receive 

and consider input from a variety of 

individuals and groups who are interested in the Commission’s work. 

A Notice of Public Hearing was 

published in the Federal Register on 

December 8, 2008, and is available 

at http://www.fec.gov/law/policy/

enforcement/notice_2008-13.pdf. 

Written comments must be received 

on or before January 5, 2009, and 

may be submitted by email to agencypro2008@fec.gov. Detailed instructions for submitting comments 

are provided in the Notice.

 —Myles Martin

(continued on page 8)

Act). Instead, those activities would 

fit into the Act’s “press exemption,” 

including certain solicitations on 

behalf of featured candidates under 

limited circumstances.

Background

Melothe, Inc. (the corporation), 

a for-profit corporation engaged in 

developing technology and providing technical capabilities for 

Internet web sites, plans to launch 

and operate an Internet TV station 

that would cover the campaign(s) 

of one or more federal candidates. 

The corporation would produce and 

transmit live and pre-recorded programming daily from the campaign’s 

headquarters. This programming 

would be viewable for free by the 

general public through an interactive 

multi-channel Internet TV Web site. 

The content of the corporation’s web 

site likely would feature and support 

Democratic candidates. The corporation is neither owned nor controlled 

by any political party, political 

committee or candidate. It hopes 

to commercialize the web site by 

generating ad revenues and selling 

merchandise.

The corporation also envisions 

that program hosts, interviewers 

and news anchors would solicit 

contributions during programming. 

Hyperlinks to campaign fundraising 

pages would appear on the web site. 

However, the corporation would not 

act as a conduit or intermediary for 

those contributions. 

Analysis

Press Exemption. Under section 431(9)(B)(i) of the Act, known 

as the “press exemption,” the term 

“expenditure” does not include any 

news story, commentary or editorial 

distributed through the facilities of 

any broadcasting station, newspaper, 

magazine or other periodical publication. The press exemption does 

not apply if the facilities are owned 

or controlled by any political party, 

political committee or candidate. 

Under FEC regulations implementing the press exemption, the costs 

Commission 

Calendar Always 

Up-to-Date 

 Between issues of the Record, 

you can stay up-to-date on the 

latest FEC activity by visiting 

the Commission Calendar on 

our web site at http://www.fec.

gov/calendar/calendar.shtml. 

The Calendar lists Commission 

meetings, reporting deadlines, 

conferences and outreach events, 

advisory opinion and rulemaking 

comment periods and other useful 

information. Each calendar entry 

links directly to the relevant 

documents, so you can quickly 

access detailed information on the 

subjects that interest you. 

 While you’re visiting www.fec.

gov, be sure to explore the rest 

of our site to review the latest 

campaign finance reports and 

data, research enforcement actions 

and litigation, read press releases 

and get help complying with the 

law. Visit today and add our site to 

your favorites.
Federal Election Commission RECORD January 2009

8

Advisory Opinions

(continued from page 7)

•	Acting as a press entity when conducting the activity at issue. 

See Reader’s Digest Association 

v. FEC, 509 F. Supp. 1210, 1215 

(S.D.N.Y. 1981).

In order to determine whether an 

entity is a press or media entity, the 

Commission focuses on whether the 

entity is in the business of producing 

on a regular basis a program that disseminates news stories, commentaries and/or editorials, including doing 

so through a web site. Because the 

corporation’s proposed web site 

will provide daily news reports, 

interviews and commentary related 

to particular political campaigns, 

the Commission concluded that the 

proposed Internet content, for the 

most part, falls within the normal 

business of news coverage. Although 

its content is calculated to appeal to 

supporters of a particular party, the 

Commission does not investigate an 

entity’s viewpoints in determining 

its status as a press entity. See AOs 

2007-20, 2005-19 and 2005-16.

The Commission accepted the 

corporation’s representations that it 

was neither owned nor controlled 

by any party, candidate or political 

committee, and that it would exercise control over all content 

displayed on its web site. The Commission then considered whether the 

proposed activities would include 

news stories, commentary and 

editorials, and whether the materials would be available to the general 

public and in a form that is similar 

to materials ordinarily issued by the 

entity. The corporation was able to 

satisfy on its face the public availability of the materials on its web 

site and represented that it would not 

deviate in any form from its ordinary 

planned news media activities to 

delve into more traditional forms of 

campaigning. Accordingly, the Commission determined that the corporation’s Internet media content were 

legitimate press functions.

Volunteer Briefing. The Commission declined to render an opinion 

regarding the corporation’s proposed 

daily live segment briefing campaign 

volunteers because it was unclear 

whether the program envisioned 

coverage of campaigns themselves 

briefing the volunteers or whether 

the corporation would prepare and 

provide the briefings. The Commission noted that, if the corporation 

were to prepare and provide the 

briefings, it would be tantamount to 

a corporation providing personnel 

1 A similar analysis was applied to 

recognition of campaign volunteers. 

While the corporation could cover such 

an event as part of its news coverage, 

it could not itself give out awards or 

recognition.

AO 2008-15 

Nonprofit Corporation 

May Use General Treasury 

Funds to Broadcast Radio 

Advertisement 

The National Right to Life Committee, Inc. (the NRLC), may use 

its general treasury funds to finance 

to a campaign, a prohibited activity 

outside the press exemption.1

Solicitations. The corporation 

also proposed including solicitations on behalf of candidates in its 

programming. Although the corporation would not serve as a conduit, it 

would enable links to the fundraising 

web pages of a campaign, and its 

commentators would make the 

solicitations. Without additional 

information provided, the Commission declined to render a definitive 

opinion on this aspect of the proposal. It did note, however, that under 

its previous interpretations of the 

press exemption, nothing prohibited 

commentators and program guests 

from suggesting that viewers make 

contributions to specific candidates. 

It also noted that the intermittent 

provision of a hyperlink would not 

be prohibited. However, because 

providing a mechanism for raising 

funds is not a typical press function, adding a contribution page or 

providing a permanent hyperlink to 

a fundraising web page does not fit 

into the press exemption. Moreover, 

if unpaid solicitations for particular 

candidates became a regular feature 

on the corporation’s web content, it 

would go beyond the scope of previous rulings and be tantamount to a 

prohibited expenditure.

Date Issued: November 13, 2008;

Length: 7 pages.

 —Dorothy Yeager

Back Issues of the 

Record Available on 

the Internet

 This issue of the Record and all 

other issues of the Record starting 

with January 1996 are available 

on the FEC web site as PDF files. 

Visit the FEC web site at http://

www.fec.gov/pages/record.shtml

to find monthly Record issues. 

 The web site also provides 

copies of the Annual Record Index

for each completed year of the 

Record, dating back to 1996. The 

Annual Record Index list Record

articles for each year by topic, 

type of Commission action and, in 

the case of advisory opinions, the 

names of individuals requesting 

Commission action.

You will need Adobe® Acrobat® Reader software to view the 

publication. The FEC’s web site 

has a link that will take you to 

Adobe’s web site, where you can 

download the latest version of the 

software for free.
January 2009 Federal Election Commission RECORD

9

AO 2008-16

Libertarian Party of 

Colorado Qualifies as State 

Party Committee

The Libertarian Party of Colorado 

(LPCO) qualifies as a state party 

committee under the Federal Election Campaign Act (the Act) and 

Commission regulations.

Background

The LPCO’s Constitution provides that the purposes of the LPCO 

include, among other things, “communicating the message and positions of the party” and “attracting, 

nominating, and promoting...Libertarian candidates for political office.” 

The LPCO placed a candidate for 

President of the United States on 

the 2008 and 2004 Colorado general 

election ballots, and also placed a 

candidate for U.S. House of Representatives on the Colorado ballot 

in 2004. Since 1975, the Commission has recognized the Libertarian 

National Committee as the national 

committee of a political party.

Analysis

The LPCO qualifies as a state 

committee of a political party within 

the meaning of the Act and Commission regulations. A state committee 

is an organization that, by virtue of 

the bylaws of a political party, is 

part of the official party structure 

and is responsible for the day-to-day 

operation of the political party at 

the state level, as determined by the 

Commission. 11 CFR 100.14(a). 

A “political party” is an “association, committee, or organization that 

nominates a candidate for election 

to any federal office whose name 

appears on the election ballot as the 

candidate of such association, committee, or organization.” 11 CFR 

100.15.

In order to achieve status as a 

state committee of a national party 

under Commission regulations, an 

organization must meet three requirements. First, the national party 

with which the state party organization is associated must itself be a 

“political party.” Second, the state 

party organization must be part of 

the official structure of the national 

party. Third, the state party organization must be responsible for the 

day-to-day operation of the national 

party at the state level. 

The LPCO meets the first qualification because the Commission has 

determined that the Libertarian Party 

is a political party and recognizes 

the status of the Libertarian National 

Committee as the national committee of the Libertarian Party. AOs 

2007-06, 2007-02, and 1975-129. 

The LPCO meets the second qualiCampaign Guides 

Available

 For each type of committee, a 

Campaign Guide explains, in clear 

English, the complex regulations 

regarding the activity of political 

committees. It shows readers, 

for example, how to fill out FEC 

reports and illustrates how the law 

applies to practical situations.

 The FEC publishes four 

Campaign Guides, each for a 

different type of committee, 

and we are happy to mail your 

committee as many copies as 

you need, free of charge. We 

encourage you to view them on 

our web site (www.fec.gov).

 If you would like to place an 

order for paper copies of the 

Campaign Guides, please call the 

Information Division at 800/424-

9530.

the broadcast of a radio ad entitled 

“Waiting for Obama’s Apology #1.” 

With regard to a second proposed radio ad, “Waiting for Obama’s Apology #2,” the Commission could not 

approve a response by the required 

four affirmative votes.

Background

The NRLC is a non-stock, 

not-for-profit corporation that is 

exempt from federal taxes, but is 

not a “qualified non-profit corporation.” The NRLC has produced two 

radio ads that it intends to broadcast 

and maintains that the broadcast of 

such ads will be independent of any 

candidate or candidate’s agents, or 

any political party committee or its 

agents. The full text of both proposed ads is printed in AO 2008-15, 

which is available on the FEC web 

site at http://saos.nictusa.com/saos/

searchao.

Analysis

The Commission concluded that 

the NRLC may finance the broadcast 

of Waiting for Obama’s Apology #1 

with general treasury funds. The 

Commission could not approve a 

response by the required four affirmative votes regarding Waiting for 

Obama’s Apology #2.

Date Issued: November 24, 2008;

Length: 4 pages.

 —Myles Martin

fication because the LPCO is part 

of the official party structure of the 

Libertarian Party, as confirmed by 

the Acting Executive Director of the 

Libertarian Party.

The LPCO also meets the third 

qualification because it is responsible for the day-to-day operation 

of the Libertarian Party at the state 

level. In previous advisory opinions, 

the Commission has evaluated this 

element by considering: 

•	Whether the organization has

placed a candidate on the ballot; 

and

•	Whether the bylaws of the state

party organization indicate activity 

commensurate with the day-to-day 

functions and operations of a political party at the state level.

Since LPCO has placed several 

candidates on the ballot in Colorado 

and the LPCO’s bylaws indicate that 

it is responsible for the day-to-day 

(continued on page 10)
Federal Election Commission RECORD January 2009

10

Retiring Campaign Debt

This article answers common 

questions from candidates and their 

committees who find that they have 

campaign debts remaining after the 

election. The Federal Election Campaign Act (the Act) and Commission 

regulations contain certain provisions related to the process of retiring campaign debts and terminating 

a principal campaign committee 

(committee), including fundraising 

to retire debts, settling debts for 

less than the amount owed and debt 

forgiveness.

May I continue to raise 

contributions to retire debts after 

the election? 

Yes. Candidates may continue to 

raise contributions to retire committee debts. When raising contributions to retire debts after the election 

is over, a campaign must remember 

three general rules:

•	Contributions are still subject to the

limits and prohibitions of the Act, 

even if the candidate lost the election and does not plan to run for 

future federal office; 

•	Contributions made after an election to retire debts must, in most 

cases, be specifically designated 

for that election by the contributor; 

and 

•	Contributions designated for, but

made after, a particular election 

may not exceed the campaign’s 

net debts outstanding. 11 CFR 

110.1(b)(3)(i).

How do I calculate “net debts 

outstanding?”

A campaign’s “net debts outstanding” consist of unpaid debts 

incurred with respect to the particular election less the sum of: 1) 

cash on hand, 2) amounts owed 

to the candidate or the committee 

and 3) personal loans in excess of 

$250,000. “Unpaid debts” include 

the following: 

•	All outstanding debts and obligations; 

•	The estimated cost of raising funds

to liquidate the debts; and 

•	If the campaign is terminating,

estimated winding down costs (for 

example, office rental, staff salaries and office supplies). 11 CFR 

110.1(b)(3)(ii). 

“Cash on hand” consists of 

the resources available to pay the 

campaign’s total debts, including 

currency, deposited funds, traveler’s 

checks, certificates of deposit, treasury bills and any other investments 

valued at fair market value. For 

the purpose of calculating net debts 

outstanding for the primary, cash 

on hand need not include contributions designated for the general. 11 

CFR 110.1(b)(3)(ii)(A) and (B). 

“Amounts owed” includes amounts 

owed to the campaign in the form of 

credits, refunds of deposits, returns 

and receivables or a commercially 

reasonable estimate of the collectible 

amount. 

A campaign first calculates its 

net debts outstanding as of the 

day of the election. Thereafter, the 

campaign continually recalculates 

its total net debts outstanding as 

additional funds are received for, or 

spent on, the election for which the 

debt remains. 11 CFR 110.1(b)(3)(ii) 

and (iii).

Advisory Opinions

(continued from page 9)

Advisory Opinion Requests

AOR 2008-19

Candidate committee’s employment of treasurer of candidate’s 

leadership PAC (Texans for Lamar 

Smith, October 9, 2008)

AOR 2008-20

Permissibility of corporation 

reimbursing a separate segregated 

fund for the costs of broadcasting 

an advertisement (National Right to 

Life Committee, Inc., December 1, 

2008)

AOR 2008-21

Solicitation by corporate SSF of 

members of corporation’s whollyowned mercantile exchanges for 

political contributions (CME Group, 

Inc., November 25, 2008)

AO 2008-22

Repayment of candidate’s personal loans to principal campaign committee for prior elections (Senator 

Frank Lautenberg and Lautenberg 

for Senate, December 11, 2008)

800 Line

FEC Accepts Credit 

Cards

 The Federal Election 

Commission now accepts 

American Express, Diners Club 

and Discover Cards in addition 

to Visa and MasterCard. While 

most FEC materials are available 

free of charge, some campaign 

finance reports and statements, 

statistical compilations, indexes 

and directories require payment.

 Walk-in visitors and those 

placing requests by telephone may 

use any of the above-listed credit 

cards, cash or checks. Individuals 

and organizations may also place 

funds on deposit with the office 

to purchase these items. Since prepayment is required, using a credit 

card or funds placed on deposit 

can speed the process and delivery 

of orders. For further information, 

contact the Public Records Office 

at 800/424-9530 or 202/694-1120.

activities of the Libertarian Party in 

Colorado, the third qualification is 

met.

Thus, the LPCO satisfies all three 

requirements and qualifies as a state 

committee of a political party.

Date Issued: November 20, 2008;

Length: 5 pages.

 —Myles Martin
January 2009 Federal Election Commission RECORD

11

How should the committee treat 

salary owed to campaign staff? 

Unpaid salary or wages owed to 

campaign employees are not considered contributions from those 

employees. Uncompensated services 

rendered by an employee may be 

converted to volunteer work, or the 

amount owed may be treated as a 

debt, as explained below. 11 CFR 

116.6(a). Note, however, that FEC 

rules do not require an employee to 

accept less than full payment for his 

or her services. 11 CFR 116.6(b).

Treatment as Volunteer Service. 

Uncompensated employee service 

may be considered volunteer service 

if the employee signs a statement 

agreeing to the arrangement. 11 CFR 

116.6(a). However, if a committee 

initially treats unpaid service as volunteer work, and never reports the 

unpaid amounts as debt, the committee cannot use campaign funds to 

pay salary to campaign employees 

who had agreed to work without 

salaries. AO 2004-27. 

Treatment as Debt. Alternatively, 

the committee may treat the unpaid 

amount of salary as a debt to the 

employee. The committee and the 

employee may settle the debt for 

less than the amount owed. 11 CFR 

116.6(b). 

My committee is terminating. 

Can the committee settle debts for 

less than the amount owed?

Yes, under certain circumstances. 

A commercial vendor (incorporated 

or unincorporated) may forgive or 

settle a debt owed by a terminating 

committee. A “terminating committee” is one that does not intend to 

raise contributions or make expenditures—except for the purposes of 

paying winding-down costs and retiring its debts. 11 CFR 116.1(a) and 

116.2(a). The difference between the 

debt and the settlement amount is 

not a contribution from the commercial vendor provided: 

•	Credit was initially extended in the

vendor’s ordinary course of business, and the terms of the credit 

were similar to those observed by 

the vendor when extending a similar amount of credit to a nonpolitical client of similar risk. 11 CFR 

116.3 and 116.4(d)(1). 

•	The committee undertook all reasonable efforts to satisfy the outstanding debt, such as fundraising, 

reducing overhead costs and liquidating assets. 11 CFR 116.4(d)(2). 

•	The vendor made the same efforts

to collect the debt as those made 

to collect debts from a nonpolitical 

debtor in similar circumstances. 

Remedies might include, for example, late fee charges, referral to 

a debt collection agency or litigation. 11 CFR 116.4(d)(3). 

If the committee or the creditor 

fails to take these steps, the difference between the amount owed and 

the amount actually paid may be 

considered a contribution subject to 

limits and source prohibitions (i.e.,

the contribution is prohibited if the 

vendor is incorporated). 11 CFR 

114.2(b).

Debt Settlement Plans. After a 

terminating committee has reached 

agreements with its creditors, the 

treasurer must file a debt settlement 

plan on FEC Form 8. Once the plan 

has been submitted to the Commission for review, the committee must 

postpone payment on the debt until 

the Commission has completed the 

review. 11 CFR 116.7(a). Payments 

to creditors must be disclosed in 

the committee’s termination report. 

Step-by-step instructions for completing Form 8 are included with the 

form. 

Reporting Debts Undergoing 

Settlement. Debts undergoing settlement must be continuously reported 

until the Commission has completed 

its review of the committee’s debt 

settlement plan. The committee may 

file a termination report once all 

debts have been paid, settled, forgiven or otherwise extinguished. 11 

CFR 116.4(f), 116.5(e) and 116.6(c).

Enforcement Query 

System Available on 

FEC Web Site

 The FEC continues to update 

and expand its Enforcement 

Query System (EQS), a webbased search tool that allows 

users to find and examine public 

documents regarding closed 

Commission enforcement matters. 

Using current scanning, optical 

character recognition and text 

search technologies, the system 

permits intuitive and flexible 

searches of case documents and 

other materials. 

 Users of the system can search 

for specific words or phrases 

from the text of all public case 

documents. They can also 

identify single matters under 

review (MURs) or groups of 

cases by searching additional 

identifying information about 

cases prepared as part of the 

Case Management System. 

Included among these criteria 

are case names and numbers, 

complainants and respondents, 

timeframes, dispositions, legal 

issues and penalty amounts. The 

Enforcement Query System may 

be accessed on the Commission’s 

web site at http://www.fec.gov.

 Currently, the EQS contains 

complete public case files for all 

MURs closed since January 1, 

1999. In addition to adding all 

cases closed subsequently, staff is 

working to add cases closed prior 

to 1999. Within the past year, 

Alternative Dispute Resolution 

(ADR) cases were added to the 

system. All cases closed since the 

ADR program’s October 2000 

inception can be accessed through 

the system.

(continued on page 12)
Federal Election Commission RECORD January 2009

12

Disputed Debts. A disputed debt 

is a bona fide disagreement between 

the creditor and the committee as to 

the existence of a debt or the amount 

owed by the committee. When filing 

a debt settlement plan, a terminating committee must describe any 

disputed debts and the committee’s 

efforts to resolve them on Part III of 

Form 8. 11 CFR 116.10(b). 

Creditor’s Rights. No commercial 

vendor or other creditor is required 

to forgive or settle debts owed by 

committees. 11 CFR 116.4(e). 

Assigning Debts to Another Committee. To expedite termination, an 

authorized committee that qualifies 

as a terminating committee and has 

no remaining cash on hand may assign its debts to another authorized 

committee of the same candidate, 

provided that: 

•	The committee transferring the

debts was organized for an election 

that has already been held; 

•	Within 30 days before the assignment takes effect, the transferor 

committee notifies each creditor in 

writing of the name and address of 

the committee assuming the debts; 

and 

•	The committee assuming the debts

notifies the FEC in writing that it 

has assumed the obligation to pay 

the debts. That committee must 

continue to report the debts until 

they are retired. 11 CFR 116.2(c)

(3).

Is an ongoing committee eligible 

for debt-forgiveness?

Yes, under certain circumstances. 

A creditor may forgive a debt owed 

by an ongoing committee (that is, 

one that does not qualify as a terminating committee) if the debt has 

been outstanding at least 24 months 

and the ongoing committee (1) has 

insufficient cash on hand to pay the 

debt, (2) has had receipts of less than 

$1,000 and disbursements of less 

than $1,000 during the previous 24 

months and (3) either:

•	The committee owes debts to other

creditors of such magnitude that 

the creditor could reasonably conclude that the ongoing committee 

will not pay its particular debt; or 

•	The creditor is unable, after reasonable diligence, to locate the ongoing committee. 11 CFR 116.8(a).

Notification to Commission. A 

creditor who intends to forgive a 

debt owed by an ongoing committee must notify the Commission 

of its intent in writing. In addition 

to demonstrating that the ongoing 

committee is eligible for debt-forgiveness, the letter must provide the 

following information:

•	The terms of the initial extension

of credit and a description of the 

terms under which the creditor has 

FEC Web Site Offers 

Podcasts

In an effort to provide more 

information to the regulated 

community and the public, the 

Commission is making its open 

meetings and public hearings 

available as audio recordings 

through the FEC web site, as well 

as by podcasts. The audio files, 

and directions on how to subscribe 

to the podcasts are available 

under Audio Recordings through 

the Commission Meetings tab at 

http://www.fec.gov. 

 The audio files are divided 

into tracks corresponding to 

each portion of the agenda for 

ease of use. To listen to the open 

meeting without subscribing to 

the podcasts, click the icon next 

to each agenda item. Although the 

service is free, anyone interested 

in listening to podcasts must 

download the appropriate software 

listed on the web site. Podcast 

subscribers will automatically 

receive the files as soon as they 

become available–typically a day 

or two after the meeting. 

800 Line

(continued from page 11)

extended credit to similar nonpolitical debtors; 

•	A description of the campaign’s

efforts to satisfy the debt; 

•	A description of the steps taken

by the creditor to obtain payment, 

along with a comparison of those 

remedies with others pursued by 

the creditor under similar circumstances; and 

•	An indication that the creditor has

forgiven other debts involving nonpolitical debtors in similar circumstances. 11 CFR 116.8(b).

Commission Review. The Commission will review each proposal 

to forgive a debt to ensure that the 

creditor, the ongoing committee and 

the candidate have complied with 

the Act’s contribution limits and 

prohibitions. 11 CFR 116.8(c).

May the committee sell campaign 

assets?

Generally, when a campaign sells 

its property, the purchase is considered a contribution to the campaign 

by the purchaser. The payment, 

therefore, must not come from prohibited sources and must not exceed 

the contribution limits.

Under limited circumstances, 

however, the sale of a campaign asset does not result in a contribution.

Mailing Lists. Mailing lists developed by a campaign for its own 

use may be sold at the “usual and 

normal” charge without the purchaser making a contribution. See, 

for example, AOs 2002-14, 1982–41 

and 1981–53.

Liquidation of Equipment and 

Supplies. The Commission has said 

that the sale of campaign equipment 

and supplies does not result in a contribution under certain conditions. 

AOs 2003-19 and 1986–14.

How does a committee terminate?

A committee may file a termination report at any time, provided 

that: 

•	The committee no longer intends to

receive contributions, make expenditures or make any disbursements 
January 2009 Federal Election Commission RECORD

13

AO Search System 

Available

The FEC has an Advisory Opinion 

Search System available on its 

web site at www.fec.gov. This 

search function allows users to 

search for advisory opinions 

(AOs) by the AO number or name 

of requestor, or to enter search 

terms or perform an advanced 

search for documents. 

 The system quickly provides 

relevant AOs, along with all 

related documents including 

advisory opinion requests, 

comments and any concurring 

or dissenting opinions issued 

by Commissioners. The search 

function also provides summary 

material and links to other AOs 

cited in the opinion. 

 When the search system was 

first launched, it included AOs 

issued from 1997 to the present. 

The system has now been updated 

to include AOs dating back to 

1977. The AO search system is 

available at http://saos.nictusa.

com/saos/searchao.

Commission

(continued from page 1)

that would otherwise qualify it as a 

political committee; and 

•	Neither the committee seeking to

terminate nor any other authorized 

committee of the same candidate 

has any outstanding debts or obligations. 11 CFR 102.3 and 116.1. 

A committee involved in an FEC 

enforcement action, an FEC audit 

or litigation with the FEC, however, must continue to file regularly 

scheduled reports until the matter is 

resolved. 

When filing the committee’s termination report, the treasurer should 

check the “Termination Report” box 

on Line 4 of the Summary Page of 

FEC Form 3. The termination report 

must disclose: 

•	All receipts and disbursements not

previously reported, including an 

accounting of debt retirement; and 

•	The purposes for which any remaining committee funds or assets 

will be used. 11 CFR 102.3(a). 

The committee’s reporting obligation ends only when the Commission 

notifies the committee in writing that 

the termination report has been accepted. Until the committee receives 

this notification, it must continue to 

file reports.

 —Isaac J. Baker

(continued on page 14)

Second, I want to express deep 

appreciation to each of my fellow 

Commissioners for the way that 

we have begun to work on these 

matters. We come from different 

backgrounds. Most of us did not 

know each other before our arrival. 

We were faced with an awesome 

load of responsibilities to discharge 

as soon as possible. Former Chairman McGahn was asked to serve as 

Chairman within only a few days 

after his arrival—probably another 

unprecedented situation—after a 

period of dormancy—with five new 

Commissioners, four of whom were 

entirely new to the Commission. 

Much has been done to develop 

a working relationship to provide 

positive results, despite the fact the 

Agency was designed to bring different points of view to the table on 

important matters. In the process, 

we were all subject to some sharp 

elbows from each other on matters 

of procedure as well as policy, but 

we all recognize and appreciate our 

critical need to work together collegially and civilly, and much has 

been done to develop a productive 

relationship. 

Third, looking forward, we have 

a very challenging year ahead, but 

one I am confident we will be able to 

successfully complete. 

There remains some backlog of 

enforcement matters which raise 

novel, complex and important legal 

questions. Aside from pending 

matters, the Commissioners will 

hold a public hearing and obtain 

comment, from inside and outside 

the Agency, on ways to improve its 

enforcement mechanisms, policies 

and procedures. It is the broadest 

inquiry that the Agency has initiated, and one which I am confident 

will result in many positive and 

helpful suggestions. The goal is to 

learn ways to improve Commission 

transparency, fairness and efficiency 

in the enforcement, as well as the 

interpretation, of applicable laws 

and regulations. I invite each of you 

to provide your own constructive 

thinking of these issues, and to channel them to us by mail or Internet as 

provided on the Commission webpage on this matter at http://www.

fec.gov/law/policy/enforcement/

publichearing011409.shtml.

The Agency is presently operating 

under a Continuing Resolution of 

Congress, which means the Commission is confined by its budget 

limit of last fiscal year of $59.2 

million, until further funding occurs. 

This would be acceptable in normal 

times, but in addition, from that budget, the Commission must meet an 

additional approximate $1.9 million 

of salary increases for our approximately 360 employees, as well as 

approximately $900,000 in increased 

rent, in addition to other overhead 

increases that must be absorbed. As 

a result, the Commission is operating under a very tight fiscal situation 

and presently is unable to expand, 

and indeed must contract, certain of 

its usual services. 

This year there are several initiatives which I would like for the 

Commission to undertake. One is to 

take a new look at ways the Commission can improve its web site, 

and the information it makes available on the Internet. The Commission database stores a massive 

amount of information, but there are 

undoubtedly better ways to make 

it more accessible, user-friendly, 

intuitive and therefore more edu-
Federal Election Commission RECORD January 2009

14

Commission

(continued from page 13)

New Chairman and Vice 

Chairman Elected

The Commission unanimously 

elected Steven T. Walther as Chairman and Matthew S. Petersen as 

Vice Chairman for 2009 in an open 

session on Thursday, December 18, 

2008. Mr. Walther and Mr. Petersen 

were both nominated to serve as 

Commissioners by President George 

W. Bush and both were unanimously 

confirmed by the United States Senate. 

Prior to joining the FEC as a 

Commissioner, Mr. Walther practiced law in the Reno, Nevada, 

law firm of Walther, Key, Maupin, 

Oats, Cox & LeGoy, now known 

as Maupin, Cox & LeGoy. He cofounded the firm in 1972.

Mr. Walther currently serves as 

co-chair of the American Bar Association (ABA) Center for Human 

Rights and as a Delegate to the 

ABA House of Delegates. He is a 

former member of the ABA Board 

of Governors. He was appointed by 

the ABA President to serve as the 

ABA Representative to the United 

Nations. He served on the Executive 

Board of the ABA Central European and Eurasian Law Initiative 

(CEELI), which oversees the ABA’s 

democracy building programs in 

over 21 countries—programs which 

promote development of fair and 

open election laws. 

Mr. Walther is a former president of the State Bar of Nevada, the 

Western States Bar Conference and 

the National Caucus of State Bar 

Associations. He is a past chair of 

the 6,000-member Fellows of the 

American Bar Foundation, the legal 

research arm of the ABA. From 

1971 until his FEC appointment, Mr. 

Walther served as a member of the 

Nevada State Advisory Committee 

to the U.S. Commission on Civil 

Rights. 

Mr. Walther is a former member of the Board of Trustees of the 

National Judicial College. He is 

a member of the American Law 

Institute and the International 

Bar Association. Mr. Walther has 

lectured extensively, both domestically and internationally (principally 

in Russia), on rule of law, human 

rights, litigation and international 

law issues. 

Mr. Walther received his J.D. 

degree from Boalt Hall School 

of Law, University of California, 

Berkeley in 1968, and recently 

served as president of the Boalt Hall 

Alumni Association. He received his 

undergraduate degree, with a major 

in Russian, from the University of 

Notre Dame, Notre Dame, Indiana, 

in 1965.

Mr. Petersen served as Republican chief counsel to the U.S. Senate 

Committee on Rules and Administration from 2005 until his appointment to the Commission. In this 

capacity, he provided counsel on 

issues relating to federal campaign 

finance and election administration 

laws as well as the Standing Rules of 

the Senate. 

Mr. Petersen previously served 

as counsel to the U.S. House of 

Representatives Committee on 

House Administration. During his 

tenure, Mr. Petersen was extensively 

involved in the crafting of the Help 

America Vote Act of 2002 (HAVA) 

and the House-Senate negotiations 

that culminated in HAVA’s passage. 

From 1999 to 2002, he specialized 

in election and campaign finance law 

at the law firm of Wiley Rein LLP in 

Washington, D.C. 

Mr. Petersen received his J.D. in 

1999 from the University of Virginia 

School of Law, where he was a 

member of the Virginia Law Review. 

He graduated magna cum laude with 

a B.A. in philosophy from Brigham 

Young University in 1996. He also 

received an A.S. with high honors 

from Utah Valley State College. 

 —Myles Martin

cational. It will be helpful to the 

candidates, the public officeholders and certainly the electorate to 

have the best possible access to this 

information. The second initiative is 

to explore how the Commission can 

expand the availability, accessibility 

and searchability of its disclosure 

databases and of past Commission 

actions (such as Advisory Opinions 

and closed Matters Under Review) 

to make these important materials publicly available to all users, 

from counsel to political committees, press and the public generally. 

Traditionally, thorough research 

of matters of a historical nature 

frequently requires research of 

our archives, most of which is on 

microfilm, by physically visiting 

our offices. This often means hiring 

a local Washington, DC, lawyer to 

accomplish this research. Much of 

this could be made available to all 

with an expansion of current Commission databases and an improved 

sorting mechanism. Third, part 

of the web site evaluation would 

include an examination of how to 

make the Agency’s reporting forms 

more user-friendly and intuitive and 

how to simplify the electronic filing 

process. Fourth, it is time for the 

Commission to have an agency-wide 

assessment of its procedures, structure and internal oversight responsibilities, which was recently strongly 

recommended to the Commission by 

its independent auditors, one which 

has not been done of this Agency for 

approximately 10 years.

With all of these issues and initiatives, as well as our current schedule 

and usual workload, we have our 

work cut out for us. We welcome 

your advice on these and any other 

matters that you believe will provide 

a better service as we move forward 

this year.

 —Steven T. Walther

 Chairman
January 2009 Federal Election Commission RECORD

15

Washington, DC, Conference 

for Campaigns and Political 

Party Committees 

The Commission will hold its 

annual conference in Washington, 

DC, on March 3-4, 2009, for House 

and Senate campaigns and political 

party committees. Commissioners and staff will conduct a variety 

of technical workshops on federal 

campaign finance law. Workshops 

are designed for those seeking an inFEC Conference 

Schedule for 2009

Conference for House and 

Senate Campaigns and State/

Local Party Committees

March 3-4, 2009

Omni Shoreham

Washington, DC

Conference for Corporations 

and their PACs

April 2-3, 2009

Westin City Center

Washington, DC

Conference for Trade 

Associations, Membership 

Organizations, Labor 

Organizations and their PACs 

May 21-22, 2009

Omni Shoreham

Washington, DC

Conference for Campaigns, 

Party Committees and 

Corporate/Labor/Trade PACs

September 15-16, 2009

Hyatt Regency

Chicago, IL

Conference for Campaigns, 

Party Committees and 

Corporate/Labor/Trade PACs

October 28-29, 2009

Sheraton at Fisherman’s Wharf

San Francisco, CA

The first number in each citation refers to the numeric month of 

the 2009 Record issue in which the 

article appeared. The second number, following the colon, indicates 

the page number in that issue. For 

example, “1:4” means that the article 

is in the January issue on page four.

Advisory Opinions

2008-14: Internet campaign TV station’s activities qualify for press 

exemption, 1:7

2008-15: Nonprofit corporation 

may use general treasury funds to 

broadcast radio advertisement, 1:8

2008-16: State party committee status 

for Libertarian Party of Colorado, 

1:9

Commission

Message from the Chairman, 1:1

New Chairman and Vice Chairman 

elected, 1:14

Court Cases

______ v. FEC

– Republican National Committee, 

1:1

Outreach

Conference for campaigns and 

political committees scheduled for 

March in Washington, DC, 1:15

FEC Conference Schedule for 2009, 

1:15

Public Hearing

Hearing on Commission activities 

and procedures, 1:6

Reports

Reports Due in 2009, 1:2

800 Line

Retiring campaign debt, 1:10

Outreach troduction to the basic provisions of 

the law as well as for those more experienced in campaign finance law. 

For additional information, to view 

the conference agenda or to register 

for the conference, please visit the 

conference web site at http://www.

fec.gov/info/conferences/2009/candparty09.shtml.

Hotel Information 

The conference will be held at the 

Omni Shoreham hotel in northwest 

Washington, DC, near the National 

Zoo and the Woodley-Park-National 

Zoo Metro subway station (Red 

Line). A room rate of $249 (single 

or double) is available to conference 

attendees who make reservations 

on or before January 30, 2009. To 

make hotel reservations and reserve 

this group rate, call 1-800-545-8700 

and identify yourself as attending 

the Federal Election Commission 

conference. The FEC recommends 

waiting to make hotel and air reservations until you have received 

confirmation of your conference 

registration from Sylvester Management Corporation.

Registration Information 

The registration fee for this conference is $499, which covers the 

cost of the conference, materials and 

meals. A $51 late fee will be added 

to registrations received after 5 p.m. 

EST, January 30, 2009. Complete 

registration information is available 

online at http://fec.gov/info/conferences/2009/candparty09.shtml. 

FEC Conference Questions

Please direct all questions about 

conference registration and fees to 

Sylvester Management Corporation 

(Phone:1-800/246-7277; e-mail: 

toni@sylvestermanagement.com). 

For questions about the conferences and workshops in 2009, call 

the FEC’s Information Division at 

1-800/424-1100), or send an e-mail 

to Conferences@fec.gov.

 —Kathy Carothers

Index
Federal Election Commission RECORD January 2009

PRESORTED STANDARD

U.S. POSTAGE

PAID

FEDERAL ELECTION COMMISSION

FEDERAL ELECTION COMMISSION 

999 E Street, NW

Washington, DC 20463

Official Business

Penalty for Private Use, $300