, 

FEDERAL ELECTION COMMISSION 

January 1983 1325 K Street NW Washington DC 20463 Volume9, Number 1 

• 

NEWOFFICERS ELECTED 

On December 16, 1982, the Federal Election 

Commission unanimously elected Danny Lee 

McDonald as Chairman and Lee Ann Elliott as 

Vice Chairman to serve one-year terms commencing January I, 1983. Mr. McDonald succeeded 

Commissioner Frank P. Reiche in the chairmanship. Mrs. Elliott succeeded Mr. McDonald as Vice 

Chairman. 

Mr. McDonald, a Democrat, has been a member of 

the Commission since December 17, 1981. Prior 

to his appointment to the Commission, he served 

as General Administrator of the Oklahoma Corporation Commission, responsible for the management of 10 regulatory divisions. He was Secretary 

of the Tulsa County Election Board from 1974 to 

1979, and served as Chief Clerk of the Board in 

1973. He has also served on the Advisory Panel to 

the FEC's National Clearinghouse on Election 

Administration. A native of Sand Springs, Oklahoma, Mr. McDonald is a graduate of Oklahoma 

State University and attended the John F. Kennedy School of Government at Harvard University. 

His term as FEe Commissioner is scheduled to 

expire on April 30, 1987. 

Mrs. Elliott, a Republican, has also been a mernber of the Commission since December 17, 1981. 

Prior to her appointment to the Commission, she 

was) Vice President of Bishop, Bryant & Associates, Ine., of Washington, D.C. From 1970 to 

1979, she served as Associate Executive Director 

of the American Medical Political Action Committee, having served as Assistant Director from 

1961 to 1970. Mrs. Elliott has also served on the 

Board of Directors of the American Association 

of Political Consultants and on the Board of the 

Chicago Area PUblic Affairs Group, of which she 

is a past president. She has been a member of the 

Public Affairs Com mittee of the Chamber of 

Commerce of the United States. A native of St. 

Louis, Missouri, Mrs. Elliott is a gradua te of the 

University of illinois and of the Northwestern 

Medical Association Management Executives Program. Her term as FEC Commissioner is scheduled to expire on April 30, 1987. 

YEAR-END REPORT DUE 

AlI political committees currently registered 

with the Commission must file a year-end report 

by January 31, 1983. The report must disclose 

financial information from the closing date of the 

last report filed through December 31, 1982. 

Committees must file the year-end report even if 

they have had no financial activity during this 

period. Reporting forms have been sent to all 

registered committees, alerting them to their 

reporting obligations. Questions and requests for 

additional forms should be addressed to the Office 

of PUblic Communications, FEC, 1325 K Street, 

N.W., Washington, D.C. 20463; or call 202/523­

4068 or toll free 800/424-9530. 

REPORTING SCHEDULE: 

NONELECTION YEAR 

The following paragraphs explain the reporting schedule for the various categories of filers 

during the 1983 nonelection year. Accompanying 

charts list filing dates for reports required during 

1983. 

con t i nued 

RECORD SUBSCRIPTIONS UPDATED 

Beginning with this issue, the Commission will begin to delete from the Record's 

mailing list those subscribers who no longer 

wish to receive the monthly newsletter. 

Registered political committees, however, 

will continue to receive the Record. 

Each month, a special notice will be sent, 

as an insert to the Record, to those individuals who subscribed one year ago, asking 

them whether they wish to remain on the 

mailing list. (Registered political committees will not receive the nottce.) Those 

who want their free subscription continued 

will be asked to peel the mailing label off 

of the last page of the Record, attach it to 

the notice and return the notice to the 

Commission. Watch for the special notice 

in upcoming issues of the Record. 
January 1983 FEDERAL ELECTION COMMISSION Volume 9, Number 

Authorized Candidate Committees 

All committees authorized by candidates for 

Congress must report semiannually: July 31, 1983, 

and January 31, 1984. 

Authorized Presidential Filers 

Authorized Presidential committees must 

report on either a monthly or a quarterly basis 

during 1983. The FEC's Reports Analysis Division 

requests that Presidential committees which 

change their reporting schedule during 1983 notify 

the Commission of their intention in writing. 

Unauthorized Committees 

All unauthorized committees (Le., committees not authorized by candidates) are required to 

file on either a semiannual or monthly basis in 

1983. Unauthorized committees that wish to 

change their reporting schedule (for example, 

from monthly to semiannual reports) must subm it 

a letter with the report filed prior to the intended 

change, indicating that they will change their 

schedule starting with the next report. A committee may not change its filing frequency more than 

once a year. 11 CFR 104.5(c). 

Forms and Information 

During 1983, reporting forms and additional 

information will be sent to all registered committees. Questions and requests for forms should be 

addressed to the Office of Public Communications, Federal Election Commission, 1325 K 

Street, N. W., Washington, D.C. 20463; or call 

202/523-4068 or toll free 800/424-9530. 

MONTHLY REPORTS 1983 

Report Period Covered Filing Date 

February 

March 

April 

1/1 - 1/31 

2/1 - 2/28 

3/1 - 3/31 

2/20/83 

3/20/83 

4/20/83 

May 4/1 - 4/30 5/20/83 

June 

July 

August 

5/1 - 5/31 

6/1 - 6/30 

7/1-7/31 

6/20/83 

7/20/83 

8/20/83 

September 8/1 - 8/31 9/20/83 

October 9/1 - 9/30 10/20/83 

November 10/1 - 10/31 11/20/83 

December 

Year-End 

11/1 - 11/30 

12/1 - 12/31 

12/20/83 

1/31/84 

SEMIANNUAL REPORTS
 

Report Period Covered Filing Dat

First 1/1 - 6/30 7/31/83 

Second 7/1 - 12/31 1/31/84 

QUARTERLY REPORTS 

Period 

Report Covered 

First Q 1/1 - 3/31 

Second Q 4/1 - 6/30 

Third Q 7/1 - 9/30 

Fourth Q 10/1 - 12/31 

(Year-End) 

Filing Date (and 

mailing date if 

sent by registere

01' certified mail

4/15/83 

7/15/83 

10/15/83 

1/31/84 

ADVISORYOPINION REQUESTS 

The following chart lists recent requests f

advisory opinions (AORs). The full text of ea

AOR is available to the public in the Comm

sion's Office of PUblic Records. 

AOR Subject 

1982-60 Services provided by Congressional fe

low to Congressman's legislative sta

(Date made public: December 14, 198

Length: 1 page) 

ALTERNATE DISPOSITION OF 

ADVISORY OPINION REQUESTS 

AOR 1982-53 was withdrawn by its request

on December I, 1982. 

AOR 1982-59 was withdrawn by its request

on November 17, 1982. 

The Record is published by the Federal Election Commission, 1325 K Street, N.W., Washington, 

D.C. 20463. Commissioners are: Danny Lee McDonald, Chairman; Lee Ann Elliott, Vice Chairman; 

Joan D. Aikens; Thomas E. Harris; John Warren McGarry; Frank P. Reiche; William F• 

Hildenbrand, Secretary of the Senate, Ex Officio; Edmund L. Henshaw, Jr., Clerk of the House of 

Representatives, Ex Officio. For more information, call 202/523-4068 or toll-free 800/424-9530. 

2 
January 1983 FEDERAL ELECTION COMMISSION Volume 9, Number 

ADVISORY OPINIONS: SUMMARIES 

An Advisory Opinion (AO) issued by the Commission provides guidance with regard to the 

specific situation described in the AOR. Any 

qualified person who has requested an AD and 

acts in accordance with the opinion will not be 

subject to any sanctions under the Act. Other 

persons may rely on the opinion if they are 

involved in a specific activity which is indistinguishable in all material aspects from the activity 

discussed in the AD. Those seeking guidance for 

their own activity, however, should consult the 

full text of an AD and not rely only on the 

summary given here. 

AO 1982-50: Status of Breakfast and Lunch 

Club as a Political Committee 

A group of Floridians may sponsor a breakfast and 

lunch club (the Florida Breakfast and Lunch Bunch 

or BLB) to afford members of the Florida Congressional delegation an opportunity to address 

individuals invited to BLB sessions. BLB would 

attain political committee status under the Act if 

its activities were undertaken to influence federal 

elections, that is, if BLB solicited contributions 

for the speakers or expressly advocated the election or defeat of a federal candidate. 

• 

Under a proposed plan, BLB's principal sponsor 

would pay the costs of registering the club's trade 

name and having its stationery printed. He would 

pay the costs of each event and subsequently 

invoice each attendee for the cost of his or her 

meal, This individual would also select Congressional speakers. (Although the speaker's meal fee 

would be paid by the club, the speaker would 

receive no honorarlum.) At the close of a BLB 

event, individuals could contribute individually to 

the speaker; no contributions would be pooled. 

BLB would not impose membership fees or maintain a bank account to finance its functions. 

Under this proposal, BLB's functions would appear 

to qualify as election-influencing activities because sponsors of BLB would apprise attendees of 

their opportunity to contribute to a speaker before attending a session. This would constitute a 

solicitation for contributions. (A solicitation 

would occur regardless of when attendees were 

invited to contribute.) Payments to finance a 

given event would be expenditures by BLB; they 

would also represent in-kind contributions to the 

featured candidate. Accordingly, when aggregate 

expenditures for the events exceeded $1,000 a 

year, BLB would be required to register and 

report as a political committee and would be 

subject to the Act's contribution limits and prohibitions. Moreover, any of BLB's general operating 

expenditures (e.g., costs of stationery and mailings) that were paid by the sponsor would constitute contributions to BLB. Meal fees paid by 

a ttendees would also be considered contributions 

to BLB, regardless of whether the attendees reim

bursed BLB or its sponsor or paid the fees directly 

to a commercial vendor. 

The Commission expressed no opinion on the ap

plication of House and Senate rules since they ar

beyond its jurisdiction. Commissioner Joan D

Aikens filed a dissenting opinion. (Date issued

November 19, 1982; Length: 10 pages, Including 

dissent) 

~;:- ,,; 

-; .~:;REGUVAf10NS'·
 , ; . 

FEC PROPOSES REVISIONS TO 

REGULATIONS ON TRADE 

ASSOCIATION AUTHORIZATIONS 

On November 17, 1982, the Commission de

cided to publish a notice of proposed rule making 

concerning the authorization that trade associa

tions must obtain from their corporate member

before soliciting the members' stockholders and 

executive and administrative personnel. (See I

CFR Sections 114.8(c)(2) and 114.8(d)(4).) Unde

proposed revisions, a corporate member could 

grant its approval of a trade association solicita

tion, and a trade association could receive tha

approval, in the year prior to the calendar year in 

which the trade association actually conducted 

solicitations. Under the current regulations, a 

corpora te member's authorization must b

received by the trade association during the cal

endar year in which the trade association or it

separate segregated fund conducts solicitations

The Commission noted that the proposed revision

are specifically limited to the issue described 

above and do not address other issues pertaining 

to trade association solicitations. 

The notice of proposed rulemaking was published 

in the November 26, 1982, issue of the Federa

Register (46 Fed. Reg. 53396). The deadline for 

com menting on the proposed revisions is De

cember 30, 1982. Copies of the notice may be 

obtained by writing to the FEC's Office of PUbli

Communications, 1325 K Street, N.W., Washing

ton, D.C. 20463 or by calling 202/523-4068 or tol

free 800/424-9530. 

COMMISSION HEARS TIlSTIMONY 

ON REVISIONS TO ITS PRIMARY 

MATCHING FUND REGULATIONS 

On December 7, 1982, the Honorable Angela 

M. Buchanan, former treasurer of Presiden

Reagan's 1980 Presidential campaign and curren

U.S. Treasurer, testified before the	 Commission 

on	 possible revisions to FEe Regulations gov

cont i nue 

3
 
• 

January 1983 FEDERAL ELECTION COMMISSION Volume 9,Num

erning the Presidential Primary Matching Fund 

program. (See II CFR Parts 106 and 9031 et seq.) 

She was accompanied by Mr. Ron Robertson, 800 LINE· 

General Counsel for the Reagan Committee. In 

her testimony, Ms. Buchanan commented on 

several areas of the regulations that were of 

practical concern to the Reagan Committee: 

-- Allocation of advance staff salaries to the 

candidate's state-by-state spending limits. II 

CFR 106.2. 

Five percent exemption for compliance expenditures;" II CFR 106.2(c)(4). 

Method of determining the value of capital 

assets. II CFR 9034.5(a)(2)(II}. 

Requirements for alphabetizing documentation for matching fund submissions. II CFR 

9036.2(b}(2}. 

In addition to hearing oral testimony on possible 

revisions to the primary matching fund regulations, the Commission received seven sets of 

written comrnents from II individuals and from 

the American Bar Association, the Republican 

National Committee and the White House. 

After reviewing these comments and testimony, 

the Commission will draft and send to Congress 

final proposed revisions to the regulations. The 

Commission will prescribe them 30 legislative 

days after their transmittal to Congress, provided 

neither the House nor the Senate disapproves 

them. 

iEDERAI.·.REGISTER .
 

FEDERAL REGISTER NOTICES 

The items below identify FEC documents 

that appeared in the Federal Register during 

November. Copies of the notices are available in 

the Public Records Office. 

Notice Title 

1982-9 II CFR Part II4; Trade Association 

Solicitation Authorization; Notice of 

Proposed Rulemaking (47 Fed. Reg. 

53396, November 26, 1982) 

1982-10 II CFR, Parts 106 and 9031-9039; Presidential Primary Matching Fund; Announcement of Public Hearing Date (47 

Fed. Reg. 53030, November 24, 1982) 

'Compliance expenditures are those made 

solely to ensure compliance with the Act and 

Commission Regulations. 

DISPOSAL OF CAMPAIGN PROPERTY 

The Public Communications Office has 

ceived inquiries from candidate committees 

wish to sell or exchange campaign assets 

property. In response to those questions, the 

lowing artlcle discusses relevant Commi

Regulations and advisory opinions. For furthe

formation, the reader should refer to the reg

tions and opinions cited, bearing in mind th

advisory opinion applies only to those in the 

circumstances as the person requesting the 

ion. 

Are eampeign assets lJ1ld property remllining 

lJ1l election considered excess funds? 

Advisory Opinion 1977-1 states that pro

purchased by a candidate committee ma

treated as surplus campaign funds. In AO 198

a candidate was permitted to transfer cam

materials from a previous campaign to his pr

campaign as if they were surplus funds. 

For what other purposes may a candidate 

mittee use excess campaign funds? 

Excess funds may be: 

used to defray any ordinary and nece

expenses incurred in connection with the 

didate's duties as a federal officeh

(House and Senate rules may also apply); 

given to II charity; 

transferred without limitation to a nat

state or local party committee;
 

used for any other lawful purpose; or
 

converted to personal use if the cand

was a Member of Congress as of Janua

1980. For example, in Advisory Opinion 

33, the Commission permitted an indiv

to convert a campaign automobile to per

use since he had been a Senator on Janu

1980. (II CFR 113.2)
 

May 8 committee use its assets to barter or 

for other items? 

Yes. In Advisory Opinion 1980-125, the 

mission said that a campaign committee 

barter with an asset (in this case silver coins) 

the committee had receiVed as an in-kind co

bution, provided that the asset was valued a

fair market value on the day the asset 

received by the campaign committee. In Adv

Opinions 1981-46 and 1982-41, the Commi

stated that a campaign committee could exch

mailing lists with another organization as lo

the mailing lists were of "equal value," as d

mined by industry practice. The exchange w

not be a contribution or expenditure, and 

would not have to be reported. 

4 
January 1983 FEDERALELECTION COMMISSION Volume 9,Number 1 

May eampeign property previously purchased by a 

committee be sold to raise funds? 

Yes. In Advisory Opinion 1979-24, the Commission allowed an indebted candidate's campaign 

committee to sell remaining campaign materials 

to a state PAC and to the candidate's state 

campaign committee for a future election. The 

purchase of these campaign materials was not 

considered a contribution to the committee because the materials were sold at the "usual and 

normal charge," as defined in II CFR 100.7(a)(I) 

(iil)(B). Similarly, in AO 1979-18, the Commission 

approved the sale of a contributor list to political 

committees and other organizations at the "usual 

and normal charge." 

The Commission has said in other opinions that 

campaign assets and contributor lists which were 

used by political committees in the course of 

their normal activities, primarily for their own 

use, could be sold at the "usual and normal 

charge." No contributions or expenditures would 

result from these sales. See AO's 1981-46, 

1982-53 and 1982-41. 

May a Congressional campaign sell items, origInally given away to contributors, to a commercial 

vendor? 

The Commission has concluded that the purchase of a committee asset, originally used as a 

fundraising device, would result in a contribution 

to the committee.* In Advisory Opinion 1979-76, 

for example, the Commission prohibited a political committee from seIling books to a corporation 

because the committee had used the books as 

fundraising items. The sale would, therefore, have

resulted in a prohibited corporate contribution to 

the committee. 

May a campaign sell the results of an apinion poll 

it bas oonducted? 

The Commission has said that when a committee sells an item to recover the cost of it, but 

continues to derive benefit from the item even 

after the sale, the transaction is considered a 

contribution. In Advisory Opinion 1980-19, for example, the sale of an opin~on poll by a .c?-mpaign 

committee to a labor uruon was prohibited because the sale would have allowed the committee 

to recoup its costs for the poll, while still recovering the information from the poll. See also 

II CFR 106.4(f) and (g). 

-This conclusion would alsa apply to Prestdenttot primary candidates who haw accepted 

public furu1ing with a narrow exception. See sections 9034.9(d) and (b) of proposed revisions to 

FEe Regulations governing the Primary Matching 

Fund program. 

COMMISSION BNGAGBS IN 

BDUCATIONALOUTRBACH 

During the past few months, the Commission 

has engaged in several educational outreach efforts ineludings -- A seminar for the fall conference of the 

National Association of Legislative and Poli­


tical Specialists in Education, held in Wash­


ington, D.C., from November 16 through 17;
 

and
 

A series of presentations at the annual con­


ferences of the Virginia Consortium of Social
 

stuctes Supervisors and College Educators
 

and the Virginia Social Studies Teachers, held
 

in Williamsburg, Virginia, in mid-November.
 

In addition, the Commission made available newly 

developed educational materials on federal election activity at the annual conference of the 

Council of State Social Studies Specialists, held in 

Boston on November 23 and 24. These materials, 

designed to assist students in researching campaign finance information and in understanding 

campaign finance laws, included: a brochure entitled Using FEC Campa~gn Finance Informati?n; 

a slide show, which describes sources of campaign 

support available to federal candidates; and a 

guidebook, Voter 1nformation and Education Programs, which outlines various curriculum programs on the electoral process. 

Educators Interested in obtaining copies of the 

FEC's information materials, or in using FEC 

research facilities, may contact its Office of 

PUblic Communications at 202/523-4068 or toll 

free 800/424-9530. 

5
 
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January 1983 FEDERAL ELECTION COMMISSION Volume 9, Numoor 

INTERNATIONAL ASSOCIATION OF 

MACHINISTS AND AEROSPACE 

WOREERS Y. FEC 

On November 8, 1982, the Supreme Court 

issued a summary jUdgment affirming an April 6 

decision by the U.S. Court of Appeals for the 

District of Columbia Circuit in International Association of Machinists and Aeros ace Workers v. 

FEC U.S. Supreme ourt No. 82-284. In its 

opinion, the appeals court had rejected constitutional challenges brought by plaintiff to Sections 

44lb(a) and 441b(b)(2) of the election law, provisions which permit corporations to solicit executive and administrative personnel for contributions to their separate segregated funds. (For a 

detailed summary of the appeals court's decision, 

see p. 4 of the September 1982 Reeord.) 

FEDERAL ELECTION COMMISSION
 

1325 K Street, NW.
 

Washington, D.C.20463
 

Official Business 

PUBLIC APPEARANCES 

1/3 &	 Washington Center for Learning 

5 Alternatives
 

Federal Election Commission
 

Washington, D.C.
 

Commissioner Frank P. Reiche
 

1/10	 League of Republican Women of 

the District of Columbia
 

Washington, D.C.
 

Commissioner Frank P. Reiche
 

1/13	 Hope College Washington Honors 

Seminar
 

Federal Election Commission
 

Chairman Danny L. McDonald
 

1/14	 American Society of Association 

Executives 

Chicago, Illinois 

Paul Sullivan, Executive Assistant 

to Vice Chairman Lee Ann Elliott 

1/27	 Naval Academy 

Federal Election Commission 

Washington, D.C. 

Chairman Danny L. McDonald 

First Class Mail
 

Postage & Fees Paid
 

FEC
 

Washington, D.C.
 

Permit No. G-31
 

6