• FEL)[RAI. ELECTION COMMISSION

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REPORT OF THE AUDIT DIVISION

ON

ROB TRAXLER FOR CONGRESS,

BUSINESSMEN AND PROFESSIONALS FOR TRAXLER,

SAGINAW PROfESSIONAL AND BUSINESS COMMITTEE FOR TRAXLER,

TRAXLER CONGRESSIONAL BREAKFAST COMMITTEE, AND

TH[ BAY TRAXLER CONGRESSIONAL BREAKFAST COMMITTEE

I. Background

A. Overvi ew

This report is based upon audits of Bob Traxler for

Congress, Businessmen and Professionals for Traxler, Saginaw Professional and Business Committee for Traxler, Traxler

Congressional Breakfast Committee, and the Bay Traxler

Congressional Breakfast Committee (tithe Committees ll) undertaken

by the Audit Division of the Federal Election Commission in

accordance with the Commission's audit policy to determine

\'J hc the r the r e has bee ncoIII p1ian ce \'J i t h the pro v ; sion s 0 f the

Fed era 1 E1e c t ion CaIII pa i gn Act 0 f 1971, as aIII end ed (" the Act II ) •

The audit was conducted pursuant to Section 43S(a)(R) of Title 2_

United States Code, which directs the Commission to make from

t i III e toti IIIe au dits and fie 1dinvest i gat ion s \'1 i t h res pe ct to

repor'ts and statements filed under the provisions of the Act.

Bob Traxler for Congress registered with the Clerk

oftht~ Unit e d Stat e s It 0 use 0 f Rf~ pre sen tat i veson 0 c to be r 18 ,

1974, in support of Bob Traxler, a candidate for election to

the office of United States Representative from' Michigan's Eighth

(8th) Congressional District. Mr. Traxler authot'ized the

Businessmen and Professionals for Traxler, the Saginaw Profession~l

and Business Committee for Traxler, the Traxler Congressional

Brea k fa s t Co111mit tee, and the Bay Tr a x1ere 0 ngress ion alB'" ea kfa s t

Committee to accept contributions and make expenditures on his

behalf.

The audi t covered the pel"i ad Janua,"y 1, 1975, through

Scpt eIIIbet' 30 , 19 77, the fin ale 0 ve r a 9 e date 0 f the 1ate s t rep 0 r t :;

f i 1ed by t h (~ Co III 111 ittcesat the t i III C 0 f the aud it. 0 uri n9 t his

pc," i 0 d the C0 IIImit tee s rep 0 r ted the f 0 11 0 \., i n9 act i vi t y •

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• Beginning Total Total Ending

Cash Receipts Expcnd;tur_~ Cilsh ----- •

Hoh Traxler for

Con~Jrcss $1,764.55 $162,590.41 $156,565.81 $7,7B9.15

This a ud i t rep 0 r tis b() sed 0 n doc LJ men t S il nd \'10 r kin g

pupers suppo'·tin~l cilch of its factual sti1tC!I1ents. They form

par t 0 f t. h (~ ,.e c (n· d II po n \<1 h i c h the ComIn iss ion bas e d i t $ dec i sin n ~;

onth C In a t t C ,. $ i nth i s r' e po r t ,1 nd \\1 e '" e avil i 1a b1e toe 0 IIIIII ission e r s

it nd ap pro Pl' i ate stu f f for r' ev i (~\"I •

Traxler Congressional

Breakfast

Committee $ -0- $ 9,425.00 $ 9,425.00 $ -0-

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BilY Traxler Congressional

Breakfast

Committee $ -O- S 4,975.00 S 520.91 $" , ,1 ~j Il . 0 <)

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Rusincssmen & Prof~ssionals for

Traxler $ 317.00

Sag ina \-1 Pl' 0 f e s s ion () 1 &

Bu~iness Committee

for Truxler $ 155.90

$ 13,075.00 $ 13,214.80 $ 177.20

$ 9,285.00 $ 9,216.96 $ 223.94

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C0 vcr a9c date s are f r' 0 III C0 mm ittee inc cpt ion (J it nua r y 1, 1977 )

t h" 0 ugh t et'ln i nil t i 0 tl (~J II ne 30, 1977 ) •

Coveraga datrs are from Committee inception (July 1,1977)

through September 30 t 1977.

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B. Personnel

The principal officers 6f the Committees during the

period audited were:

• Cha i rman

Bob Traxler for Congress

Businessmen and

Professionals for Traxler

Saginaw Professional and

Business Committee for

Traxler

Tr ax1(~'" Con ~J ,... e s ss ion a 1

Breakfast Committee

Peter G. Seward lois M. Voisine

Haro1 d Rupp Robert r4urray

Eugene D. Mossner Leopold P. Borrello

H. Bertrum Rosenson Lois M. Voisine

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Bay Traxler Congressional

Breakfast Committee

c.

Melvyn Adelman Lois M. Voisine

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The audit included such tests as verific(ltion of

rep 0 r ted r' C C e i p t san d c x Pt~ n d; t u res and i nd i v -i d u a 1 t t" a 1"1 sac t ion s

rev i (~\'I 0 f r c qui red sup po," tin 9 doc LI III e ntat ion a na 1y sis 0 f the

Committees' debts and obliqJtioll~~ and, such oth~r audit

p'" 0Ccd u res it 5 decme d nee e s SII ."Y II nde r the c i '" Clun s tan ce s •

I I. ~.~Ldi tc?.!_~_~ Sta tcme_t~t l!.~~U~.c·,c,~; pi i Q..'!.-2.f _IJ.!.'j.iy"~_~

It is the opinion of the I\udit staff, ha!"led upon c>~al11;n(1-

t; 0 n 0 f t hP. rep 0 r t san d 5 t J t c nll~ It t. s f i 1cd II nd the r' ceo r ds p'" e S P!I l t'd "

t hat ex c ept for the de fie i <:' tl CY 11 () ted bP. 10\-:" the rep 0r t S II nd s t II t p -

ment~ of Bob Traxler for C()ngre~~s fai,"ly pre~cnt the fin<.lnc;C11

activities of the Committee for the period covered by the audit.

Furthe '''', ex c e ptas not e d bel 0 \"1, nomate r i u1 p." 0 b1e 111 sin com ply; Il ~l

wit h the Fed er () 1 E1ec t ion CaIIIpai 9n Act \'l e r p d; s C0 vere d duri n9 the

cou,"se of the audit.

Sec t ion t1 ,11 t1 ( (1) t) f Tit 10 2" lJ nit t'd St J t 0 Cod C, st (l t {' ~-.

i n p{l ." t. t hat it;sun 1\l \.: f u 1 f 0 ." J nyc 0 r POl" J t ; ('l not" l;} hn r 0 r C) .1 'I; -

za t ion toma ke a con t t" ; but ; 0 nor e xpe 11 d; t ut" e inc 0 nne c t ion \"1 i t h

any e 1e c t ion to cl tl Y Fed p r' J 1 0 f fie e and un1,\\'1 f U 1 for any Fed e ." l1 1

can did d t e, pol i tic () 1 c 0 111 III itte (~. 0 rot her pet'S (If' t 0 kn0 \'/ ; n91y ace (' pt

0'" '" CCc i ve any con t r i l> uti 0 n f '" 0 11\ a cor p(1 rat ion 0.... 1« b0 ... 0 l" 9cl n; ;' ~l t i () n •

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A review of the Committee's contribution records

revealed that four (4) contributions, totaling $190.00, were

received from apparent corporat~ and/or lahor organizational

en tit i es • The Comm ittee was i n f n rille don Novembet" 23. 1977 by

the Audit staff of the apparent corporate or labor union status

of the contrihutors. The questionable contributions were

r r. fun ded by the C0 111 III i l tee 0 n 0cc (~Ill bc r 28, 1977. • The III il t t c r

\"1 as ref C t" red tot he C0111111 i s 5 i 0 11 I 5 0f fie C 0 f Gencr'ale 0 Uns c1 0 n

J il t1Uur y 11, 197B, wh(~ r (~ f4 a t t e r. Unde t" Rev -i e\'1 49 ( 78) ~I as

i nit i i\ ted • Ttl ere v-i e\'1 c() ndue ted by the 0f f icc 0f Genc '" a 1 Coun~el indicated thllt one (1) of the entities, \"lhich had made

it contribution in thp. amount of $25.00, was in violiltion of

2 U.S.C. 441LJ. The G(!rlera1 Counsel's revievl also determined th,lt

two (2) con t r i I> uti 0 nc; from t \'10 (2) 1abo r 0 r q ani za t ion s. am0 untin q

to $65.00, cOflsisted in whole or in pat"t, of other than volufltury funds.

The fourth contribution, in the amount of $100, was

determined to have been made from personal funds, even though the instrument indic~ted that the funds were drawn on a corporate

account.

Rased on these facts and the Committee's prompt

action in t'efunding the monies. the Commission voted on April 13"

1978 toe 10 e the I1Ill t t e t' \'1 i t h n0 fur t hQ rae t ion •

I I • 1\__ud ; tor ISS t II t .c 111(~ nt (l. ndOc 5 c r' i p t ion. (1 ..f Fin din--aq_s..

I tis the 0 pin i 0 tl 0 f the Auditst (l f f, ba ~~ (~ d uP0 n exumin at; 0 n

oftll(! ... r. por t') and s t. ate 111l~ nt :1 f i 1ed 11 fl d the '" ecor ds IH" e s etl ted,

t hi\ t the rep 0 r' t san d r. tal C111 Q n t S 0 f t h t' c1 LJ t h() )" 'i zed r. 0 In III ittec s

(Bus inc s ~; III P n a tl d Pt' 0 f (' .. ion a 1~; f 0'" Tt' II X 1e r.. Sa <] i nfl \'J r r 0 f es s ion 11 1

c:lnd Bu~~;nc'~s COf1wlittp(~ for Tt'dxler" Tr'llxlet" Cl)n<Jre~c~ional B'''1'0Lf tl S t C(ll1llil itt: e C \-t Jl d tit p fL1'y T)' ,1 X 1e)" t: 0 n9r (' S 5 ion II 1 Br' (~ll k fa 5 t 0111 -

III itt ee) f II i " 1y p}' e s P 1\ t l he fin unc i \l 1 il C t i vi tie S 0 f the C0 IIIIII itt cc ~~

f 0 " the per' i 0 d c 0 vet' l' t1 by the aud it. N0 III d t et" i alprob 1eIIIsin

coIII ply i nq \./ i t h the r l~ J L' r J 1 [ 1e c t i 0 11 C~lIn pa i CJ n Act \,/ ere dis C 0 vcr ed

dut" i n 9 the c 0 U r S C 0 f l hc aud it•

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• Candidate/Ccmmit~ee:

CONGRESSIONAL AUDIT ~E?ORT

Bob Traxler - 6/7/78

State:

District:

LOC.l:~:n:

Michigan

8

Saginaw, Bay City

?oliticai ?ar~J Affilia~icn: Democrat

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E. Brady Denton (R)

E. Brady Denton (R) 3/9/78

'Iotas -.C::-. .~.=."'~ .. i _4 •

Trdxler 110,127 59,: ... e. ... '- • ---. & ......... :'1'2c:~on - Brady 75,323 40',:',

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:.;=C"':~Or. - Unopposed

$199,350.41

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\ 1 7" :~-.~:.~~1.:.' • ..... -.... •• ... wI • • , • f\pril 1974