3.0142 Specific standards.

Cite as [A.S.A.C. § 3.0142 ]

(a) It is the responsibility of each candidate to maintain accurate and complete current records of contributions and expenditures by him or on his behalf. The manner of maintaining such records is the choice of each candidate, but records should be maintained in sufficient detail to substantiate any challenge to the summary information reported to the commission in required reports.

(1) The candidate shall require that any person accepting contributions on his behalf keep a record of the source of such contributions, including ticket sales. Any unidentified ticket sales and. calabash collections at coffee hours. and other functions .are to be treated as anonymous contributions unless obtained through multiple contributions made by 10 or more persons at the same event aggregating less than $250 (6.1711(e) ASCA). Each of these aggregate contributions shall be reported accompanied by a description of the means, method, place, and date of receipt. Any person contributing more than $100 in the aggregate to anyone candidate by way of the cash collection provided for in this rule, in order to remain anonymous, or in order to evade the recordation and reporting of contributions in excess of $ 100 in the aggregate for any 1 candidate, or both, is subject to prosecution as provided under 6.1722- 6.1724 ASCA. Any person contributing money, cash or any valuable consideration of another person to any candidate by way of the cash collection provided for in this rule, with the intent to keep the name of such contributor anonymous or in order to evade the recordation and reporting of contributions in excess of $100 in the aggregate for any 1 candidate, or both, is subject to prosecution under 6.1722 -6.1724 ASCA. No candidate, committee, or party may accept a contribution in excess of $100 by way of the cash collection provided for in this rule without recording the name and address of that contributor.

(2) If several contributions of less than $100 are received from a contributor, the amounts should be totaled and the contributor's name and address and other required information should be reported when the cash and non- monetary contributions aggregate more than $100.

(3) The purpose of the contributions report is to disclose the source of funding. Therefore, the name of the contributor should be the name usually used for business purposes and the address should be his usual address where he may be found. A business address should be identified by the full name of the contributor's business if he is self-employed or of the contributor's employer. If any of the identifying items change from 1 July through the day of any election, the name and address previously used should be shown in any subsequent entry as well as the new information.

(4) A record of all cash contributions which exceed $100 shall be kept by the candidate, committee, or party which shall also issue a receipt to the donor.

(5) Contributions received by a committee or party on the condition that the funds be contributed to or expended only on certain candidates, issues, or questions are "earmarked funds". Each committee or party receiving these funds shall disclose the original source, ultimate recipient, and the fact that the funds are "earmarked".

(b) Reports by candidates, political committees, and parties must be cumulative and cover the period from the closing date of the previous report filed. An ongoing committee must continue reporting its debts and obligations until extinguished.

(c) The reports due on the 10th day before an election must be complete as of midnight of the 15 th day before the election.

(d) For reporting purposes, an expenditure is considered to be made or incurred at the time of delivery of the products, goods, or services. Where products, goods, or services are delivered for use during the election year, the expense shall be reported during the period or periods of use.

(e) Promises to make contributions need not be reported in advance of actual payment unless they are made in writing and exceed the amount of $100.

(f) Donations by candidates to community organizations or youth, recreation, or social groups shall be presumed to be campaign expenditures for reporting purposes if donated during the election year. This resumption may be rebutted by clear evidence showing otherwise.

(g) Advances made by a candidate, committee, or party to provide ready cash to someone for the performance of a political campaign function can be treated as a regular expenditure. Adjustments may be made to the expenditure accounts if warranted when the accounting is made of the use of the advanced funds.

(h) The dollar value of nonmonetary contributions should be deteffi1ined by the contributor. It may be:

(1) the fair market value of the item if it were to be purchased or sold;

(2) the cost of the item to the contributor; or

(3) the contributor's estimated value of the item if, due to extraordinary circumstances neither (1) nor (2) above would be appropriate. Any valuation other than fair market value should discount the value of the contributor's own time and labor if voluntarily given. In the event of a challenge, the burden of proof will be on the contributor to substantiate and justify the use of any valuation of nonmonetary contributions other than fair market value or his cost. The candidate, committee or party receiving the contribution, however, should question the value of an item if it appears unreasonably low. Nonmonetary contributions should be appropriately labeled and must be reported on the schedule of contributions in the same manner as cash contributions.

(i) The dollar value of nonmonetary contributions received by a candidate or political committee must be reported on the schedule of expenditures in the same manner as cash expenditures. The valuation of an item for reporting expenditures must be the same valuation assigned to it on the contributions schedule.

(j) An expenditure authorized by a candidate, his authorized representative, or a campaign treasurer named by the candidate shall be attributed to the candidate for reporting purposes. A party or committee organized without the direct participation of a candidate shall maintain complete records of transactions made in behalf of a candidate, including the candidate's authorization of consent to the expenditure.

(k) In no event shall the costs of preparing, printing, and circulating house bulletins as defined in 6.1701 (i) ASCA give rise to a reporting requirement on the part of any person sponsoring the communication or those person receiving the benefits of the publication. However, the definition of "house bulletin" shall be construed narrowly by the commission to exclude special edition publications out of the ordinary publishing cycle and communications for general distribution to the public. The exemption shall be construed to favor intra- organization communications of whatever nature.

(l) Each candidate, campaign treasurer of a committee and any other person who is required to report expenditures shall maintain records for at least 1 year after the filing deadline for each report on the matters required to be reported including vouchers, worksheets, and receipts which will provide in sufficient detail the necessary infoffi1ation and data from which the reports and statements may be verified, explained, or clarified, and checked for accuracy and completeness.

(m) Any apportionment of expenditures may be made by the candidate or committee or other person making the expenditure as a part of the reports required under 19 ASC 1618-19. The method of apportionment or the amount attributable to any candidate shall be agreed upon by the candidate involved in advance of the use. The reasonableness of any apportionment or allocation formula may be challenged by the commission or by any candidate.

(n) Each authorization by a candidate to another person or persons to raise funds or to make expenditures on behalf of the candidate shall state the name, address, and organizational affiliation of each authorized individual the , name of the candidate, the office sought and the election involved, and any limitation or restriction imposed, and it shall be signed and , dated by the candidate.

(o) All disbursements and uses of campaign funds and political contributions authorized by any candidate, committee, or party will be considered to be for the election next following the period in which the expenditure is reportable to the commission unless the person filing the required report hereunder furnishes information to justify an allocation to a later date.

(p) Legislative Newsletter, Reports, Surveys, and Polls.

(1) Payment of costs incurred in the preparation, publication, and distribution of reports (i.e., legislative newsletters, reports, surveys, or polls) which influence the nomination for election, or election, to office of any candidate shall be considered an expenditure required to be reported under 6.1718-6.1719 ASCA unless specifically excepted hereafter.

(A) Use of campaign funds to pay for costs of such reports, surveys, or polls are always reportable expenditures.

(B) Use of personal funds or funds other than contributed funds for costs of such reports, surveys, or polls are considered reportable expenditures if:

(i) expended by a person found to be a candidate as defined at 6.1701(c) ASCA; or,

(ii) expended by any committee as defined at 6.1701(e) ASCA.

(2) The payment of costs for the following reports, surveys, or polls are specifically excepted as reportable expenditures:

(A) Reports, surveys, or polls of independent organizations not affiliated with any candidate and who have not received or expended any money in behalf of any candidate, whether with or without the authorization of the candidate, and whose report, survey, or poll is either available to all candidates as well as the general public or is confidential and not distributed or publicized at any time prior to an election in which the report, survey, or poll would have an influence.

(B) Reports, surveys, or polls required by law to be made by any governmental agency and for which funds have been appropriated by law.

(C) Reports, surveys, or polls of incumbent officeholders, not candidates, who pay for costs of publication and distribution from funds which have been specifically appropriated by law.

(D) Reports, surveys, or polls of any news reporting agencies or communications media who have neither received nor contributed any monies in behalf of any candidate.

(3) The exceptions before stated may be disallowed and found to be reportable expenditures where the report, survey, or poll directly identifies a person who is a candidate, advocates or supports his nomination for election, or election, or defeat, or is published within 90 days prior to any election day.

(q) No person or committee authorized by the person to receive contributions or make expenditures shall hold more than 1 testimonial affair, as defined in 6.1713(a) ASCA between elections unless that person seeks election to territory wide office or shows a deficit on his last final report filed with the commission under 6.1719 ASCA. In the former case, a person or his authorized committee may hold up to 1 testimonial affair in each county. In the latter case, only 1 testimonial may be held and it must be held before the end of May in the year following the election. Testimonial affairs sponsored by a party for apolitical purpose for the general benefit of the party are exempt from the limits of this rule.

(r) There shall be a limit on the number of functions designed to raise funds for political purposes for which the total cost of attending is $ 15 a person or less of 2 functions in each representative district.

History: Rule 1-85, eff 2 May 85, § 5.3.