Administrative Fine Matter AF 4561, Friends of Jim Clyburn — Federal Election Commission
Archived source: Administrative Fine Matter AF 4561, Friends of Jim Clyburn — Federal Election Commission. Captured from www.fec.gov.
Cited in: American Bankers Association / BankPac · James E. Clyburn
Full text
AF456100001
By Office of the Commission Secretary at 11:13 am, Mar 27, 2023
SENSITIVE
FEDERAL ELECTION COMMISSION
WASHINGTON, D.C. 20463
March 27, 2023
MEMORANDUM
TO: The Commission
THROUGH: Alec Palmer
Staff Director
A/J
FROM: Patricia C. Orrock PW
Chief Compliance Officer
Debbie Chacona JJC
Assistant Staff Director
Reports Analysis Division
BY: Kristin D. Roser
Compliance Branch
SUBJECT: Reason to Believe Recommendation -
Failure to File 48-Hour Notices under the Administrative Fine Program
Attached is the name of a principal campaign committee that has failed to file 48-hour
notices with the Commission for contributions of $1,000.00 or more received from the close of
books for the 12-Day Pre-General Report up to 48 hours before the November 8, 2022 General
Election in accordance with 52 U.S.C. § 30104(a) and 11 CFR. § 104.5(f). The committee,
Friends of Jim Clyburn, represents a candidate who won the General Election. The committee
is being referred for failing to file 48-hour notices for contributions totaling
$51,500.00.
A 48-hour notice is required to report all contributions of a $1,000.00 or more, to any
authorized committee of a candidate, including contributions from the candidate, loans from the
candidate and other non-bank sources and endorsements or guarantees of loans from banks, as
per 11 CFR § 104.5(f).
We have attached an information sheet which includes the contributor name, date of
receipt and amount of the contributions for which a 48-hour notice was not filed.
AF456100002
In accordance with the schedule of civil money penalties outlined within 11 CFR §
111.44, this committee should be assessed the civil money penalty so indicated.
Recommendation
1. Find reason to believe that Friends of Jim Clyburn and James Bennett, in their official
capacity as treasurer, violated 52 U.S.C. § 30104(a) and make a preliminary determination
that a civil money penalty of $5,322 be assessed.
2. Send the appropriate letter.
Attachments
AF456100003
Contributions for Which a 48-Hour Notice Was Not Received
AF 4561
Committee ID: C00255562
Committee Name: Friends of Jim Clyburn
Report Type: 30-Day Post-General (10/20/2022 – 11/28/2022)
48-Hour Reporting Period: 10/20/2022 – 11/5/2022
CONTRIBUTOR DATE AMOUNT
ADAMS, CHRISTINE 1
10/30/2022 $1,000.00
ASPENGER, JAMES 2 10/30/2022 $1,000.00
AMAZON.COM SERVICES, INC. SEPARATE 11/1/2022 $2,000.00
SEGREGATED FUND (AMAZON PAC)
AMERICAN BANKERS ASSOCIATION PAC 11/1/2022 $5,000.00
(BANKPAC)
AMERICAN COUNCIL OF ENGINEERING 11/1/2022 $5,000.00
COMPANIES (ACEC/PAC)
AMERICAN PUBLIC POWER ASSOCIATION, 11/1/2022 $1,000.00
PUBLIC OWNERSHIP OF ELECTRIC
RESOURCES PAC
AMERICAN SOCIETY OF 11/1/2022 $2,000.00
ANESTHESIOLOGISTS POLITICAL ACTION
COMMITTEE
BAKERY, CONFECTIONERY WORKERS 11/1/2022 $1,000.00
INTERNATIONAL UNION
BOILMAKERS-BLACKSMITHS LEGISLATIVE 11/1/2022 $2,500.00
EDUCATION-ACTION PROGRAM CAMPAIGN
ASSISTANCE FUND
BOULE' 1904 PAC 11/1/2022 $2,000.00
INTERNATIONAL BROTHERHOOD OF 11/1/2022 $5,000.00
ELECTRICAL WORKERS POLITICAL ACTION
COMMITTEE 3
INVESCO HOLDING COMPANY (US), INC. 11/1/2022 $5,000.00
POLITICAL ACTION COMMITTEE
POLITICAL ACTION COMMITTEE OF THE 11/1/2022 $2,500.00
AMERICAN ASSOCIATION OF ORTHOPAEDIC
SURGEONS
1
This contribution was earmarked through ActBlue and was received by the conduit on 10/30/2022.
2
This contribution was earmarked through ActBlue and was received by the conduit on 10/30/2022.
3
This contribution was inadvertently excluded from the RFAI sent on the Amended 30-Day Post-General Report,
received 12/29/2022.
AF456100004
RESCARE, INC. DBA BRIGHTSPRING HEALTH 11/1/2022 $3,500.00
SERVICES LEGACY FUND (BRIGHTSPRING
LEGACY FUND)
SAMSUNG ELECTRONICS AMERICA INC 11/1/2022 $3,000.00
POLITICAL ACTION COMMITTEE
TE CONNECTIVITY CORPORATION POLITICAL 11/1/2022 $2,500.00
ACTION COMMITTEE TEPAC
TWDC ENTERPRISES 18 CORP. EMPLOYEES 11/1/2022 $2,500.00
PAC AKA 'THE WALT DISNEY COMPANY
EMPLOYEES PAC' OR 'DI
WESTROCK POLITICAL ACTION COMMITTEE 11/1/2022 $5,000.00
TOTAL $51,500.00
Proposed Civil Money Penalty: $5,322 ((1 Notice Not Filed at $172) + (10% of the Overall
Contributions Not Reported))
AF456100005
Federal Election Commission 3/27/2023 8:04 AM
Reason to Believe Circulation Report
48-Hour Notification Report
AF# Committee ID Committee Name State Election Candidate Name Treasurer Prev Violations Notices Not Filed LOA Penalty
4561 C00255562 FRIENDS OF JIM CLYBURN SC 2022 JAMES E. CLYBURN JAMES BENNETT 0 1 $51,500 $5,322
Page 1 of 1
AF456100006
BEFORE THE FEDERAL ELECTION COMMISSION
In the Matter of )
) AF 4561
Reason to Believe Recommendation - )
Failure to File 48-Hour Notices under the )
Administrative Fine Program: Friends of )
Jim Clyburn and James Bennett, in their )
official capacity as treasurer )
CERTIFICATION
I, Vicktoria J. Allen, Deputy Secretary of the Federal Election
Commission, do hereby certify that on March 29, 2023, the Commission
decided by a vote of 6-0 to take the following actions in AF 4561:
1. Find reason to believe that Friends of Jim Clyburn and James Bennett,
in their official capacity as treasurer, violated 52 U.S.C. § 30104(a) and
make a preliminary determination that a civil money penalty of $5,322
be assessed.
2. Send the appropriate letter.
Commissioners Broussard, Cooksey, Dickerson, Lindenbaum, Trainor,
and Weintraub voted affirmatively for the decision.
Attest:
Digitally signed by Vicktoria J
Vicktoria J Allen Allen
- March
-
......
/
30, 2023
,,," ......
_.....,✓- Date: 2023.03.30 09:27:46 -04'00'
Date Vicktoria J. Allen
Deputy Secretary of the Commission
AF456100007
AF
FEDERAL ELECTION COMMISSION
WASHINGTON, D.C. 20463
March 30, 2023
James Bennett, in official capacity as Treasurer
Friends of Jim Clyburn
Post Office Box 12567
Columbia, SC 29211
C00255562
AF#: 4561
FINE: $5,322
Dear James Bennett,
The Federal Election Campaign Act of 1971, as amended, 52 U.S.C. § 30101, et seq.
("the Act"), requires principal campaign committees of candidates for federal office to
notify in writing the Federal Election Commission (the "Commission" or "FEC") and the
Secretary of State, as appropriate, of any contribution of $1,000 or more, received by any
authorized committee of the candidate after the 20th day, but more than 48 hours before,
any election. 52 U.S.C. § 30104(a)(6)(A). The Act further requires notification to be
made within 48 hours after the receipt of the contribution and to include the name of the
candidate and office sought, the date of receipt, the amount of the contribution, and the
identification of the contributor. Id. These notification requirements are in addition to all
other reporting requirements. 52 U.S.C. § 30104(a). Our records indicate that Friends of
Jim Clyburn did not submit 48-Hour Notices for contributions of $1,000 or more,
received between October 20, 2022 and November 5, 2022, totaling $51,500, as required
by 52 U.S.C. § 30104(a)(6)(A). Attachment 1.
The Act permits the FEC to impose civil money penalties for violations of the
reporting requirements of 52 U.S.C. § 30104(a). 52 U.S.C. § 30109(a)(4). On March 29,
2023, the Commission found that there is Reason to Believe ("RTB") that Friends of Jim
Clyburn and you, in your official capacity as treasurer, violated 52 U.S.C. § 30104(a) by
failing to file the 48-Hour Notices. Based on the Commission's schedule of civil money
penalties at 11 C.F.R. § 111.44, the amount of your civil money penalty calculated at the
RTB stage is $5,322. Please see the attached copy of the Commission's administrative
fine regulations at 11 C.F.R. §§ 111.30-111.55. Attachment 2. The Commission's website
contains further information about how the administrative fine program works and how
the fines are calculated. http://www.fec.gov/af/af.shtml. 11 CFR § 111.34. The amount of
the civil money penalty is $172 for each non-filed notice plus 10 percent of the dollar
amount of the contributions not timely reported. The civil money penalty increases by 25
percent for each prior violation. Send your payment of $5,322 within forty (40) days of
Attachment 4
6 of 14
AF456100008
FRIENDS OF JIM CLYBURN
Page 2 of 4
the finding, or by May 8, 2023.
At this juncture, the following courses of action are available to you:
1. If You Choose to Challenge the RTB Finding and/or Civil Money Penalty
If you decide to challenge the RTB finding and/or calculated civil money penalty,
you must email a written response to the FEC's Office of Administrative Review at
administrativefines@fec.gov. Your response must include the AF# (found at the top of
page 1 under your committee's identification number) and be received within forty (40)
days of the Commission's RTB finding, or May 8, 2023. 11 C.F.R. § 111.35(a). Your
written response must include the reason(s) why you are challenging the RTB finding
and/or calculated civil money penalty and must include the factual basis supporting the
reason(s) and supporting documentation. The FEC strongly encourages that documents be
submitted in the form of affidavits or declarations. 11 C.F.R. § 111.36(c).
The FEC will only consider challenges that are based on at least one of three factors:
(1) a factual error in the RTB finding; (2) miscalculation of the calculated civil money
penalty by the FEC; or (3) your demonstrated use of best efforts to file in a timely
manner when prevented from doing so by reasonably unforeseen circumstances that were
beyond your control. 11 C.F.R. § 111.35(b). For a challenge to be considered on the basis
of best efforts, you must have filed the required report no later than 24 hours after the
end of these reasonably unforeseen circumstances. Id. Examples of circumstances that
will be considered reasonably unforeseen and beyond your control include, but are not
limited to: (1) a failure of Commission computers or Commission-provided software
despite your seeking technical assistance from Commission personnel and resources; (2)
a widespread disruption of information transmissions over the Internet that is not caused
by a failure of the Commission's or your computer systems or Internet service provider;
and (3) severe weather or other disaster-related incident. 11 C.F.R. § 111.35(c).
Examples of circumstances that will not be considered reasonably unforeseen and beyond
your control include, but are not limited to: (1) negligence; (2) delays caused by vendors
or contractors; (3) treasurer and staff illness, inexperience or unavailability; (4)
committee computer, software, or Internet service provider failures; (5) failure to know
filing dates; and (6) failure to use filing software properly. 11 C.F.R. § 111.35(d).
If you fail to timely raise a factual argument in your challenge to the RTB finding, your
right to present such an argument in an appeal to the U.S. District Court under 52 U.S.C. §
30109 shall be deemed waived. 11 C.F.R. § 111.38.
It should also be noted that, all challenges to an RTB finding and/or calculated civil
money penalty should be converted to PDF (Portable Document Format) and emailed to
administrativefines@fec.gov. The Commission encourages the use of electronic
Attachment 4
7 of 14
AF456100009
FRIENDS OF JIM CLYBURN
Page 3 of 4
signatures on electronically submitted documents, but scanned copies of ink signatures
will be accepted. Electronically submitted challenges will be deemed received on the
date they are electronically received by staff.
In addition, if you intend to be represented by counsel, please advise the Office of
Administrative Review. You should provide, in writing, the name, address and telephone
number of your counsel and authorize counsel to receive notifications and
communications relating to this challenge and imposition of the calculated civil money
penalty.
2. If You Choose Not to Pay the Civil Money Penalty and Not to Submit a
Challenge
If you do not pay the calculated civil money penalty and do not submit a written
response challenging the RTB finding and/or calculated civil money penalty, the FEC will
conclude that the factual allegations are true and make a final determination that Friends
of Jim Clyburn and you, in your official capacity as treasurer, violated 52 U.S.C. §
30104(a) and assess a civil money penalty.
Unpaid civil money penalties assessed through the Administrative Fine regulations will
be subject to the Debt Collection Act of 1982 ("DCA"), as amended by the Debt
Collection Improvement Act of 1996, 31 U.S.C. § 3701, et seq. The Commission may
take any and all appropriate action authorized and required by the DCA, as amended ,
including transfer to the U.S. Department of the Treasury for collection. 11 C.F.R. §
111.51(a)(2).
3. If You Choose to Pay the Civil Money Penalty
If you decide to pay the calculated civil money penalty, please follow the payment
instructions below. Upon receipt of your payment, the FEC will send you a final
determination letter.
You may remit payment by Automated Clearinghouse ("ACH") withdrawal from your
bank account, or by debit or credit card through Pay.gov, the federal government's secure
portal for online collections. Visit http://www.fec.gov/af/pay.shtml to be directed to
Pay.gov's Administrative Fine Program Payment form. Please use the details at the top of
this letter to complete the required fields.
NOTICE REGARDING PARTIAL PAYMENTS AND SETTLEMENT OFFERS
Partial Payments
If you make a payment in an amount less than the calculated civil money penalty, the
amount of your partial payment will be credited towards the full civil money penalty that
Attachment 4
8 of 14
AF456100010
FRIENDS OF JIM CLYBURN
Page 4 of 4
the Commission assesses upon making a final determination.
Settlement Offers
Any offer to settle or compromise a debt owed to the Commission will be rejected.
This includes making a payment in an amount less than the calculated civil money penalty
assessed or any restrictive endorsements contained on your check or money order or
proposed in correspondence transmitted with your check or money order. Acceptance
and deposit or cashing of such a restricted payment does not constitute acceptance of the
settlement offer. Payments containing restrictive endorsements will be deposited and
treated as a partial payment towards the civil money penalty that the Commission
assesses upon making a final determination. All unpaid civil money penalty amounts
remaining will be subject to the debt collection procedures set forth in Section 2, above.
This matter was generated based on information ascertained by the FEC in the normal
course of carrying out its supervisory responsibilities. 52 U.S.C. § 30109(a)(2). Unless
you notify the FEC in writing that you wish the matter to be made public, it will remain
confidential in accordance with 52 U.S.C. § 30109(a)(4)(B) and 30109(a)(12)(A) until it
is placed on the public record at the conclusion of this matter in accordance with 11
C.F.R. § 111.42.
As noted earlier, you may obtain additional information on the FEC's administrative
fine program, including the final regulations, on the FEC's website at
http://www.fec.gov/af/af.shtml. If you have questions regarding the payment of the
calculated civil money penalty, please contact Jacqueline Gausepohl in the Reports
Analysis Division at our toll free number (800) 424-9530 (at the prompt press 5) or
(202) 694-1130. If you have questions regarding the submission of a challenge, please
contact the Office of Administrative Review at our toll-free number (800) 424-9530
(press 0, then ext. 1158) or (202) 694-1158.
On behalf of the Commission,
Dara Lindenbaum
Chair
Attachment 4
9 of 14
AF456100011 Attachment Page 1 of 2
Contributions for Which a 48-Hour Notice Was Not Received
AF 4561
Committee ID: C00255562
Committee Name: Friends of Jim Clyburn
Report Type: 30-Day Post-General (10/20/2022 – 11/28/2022)
48-Hour Reporting Period: 10/20/2022 – 11/5/2022
CONTRIBUTOR DATE AMOUNT
ADAMS, CHRISTINE 1
10/30/2022 $1,000.00
ASPENGER, JAMES 2 10/30/2022 $1,000.00
AMAZON.COM SERVICES, INC. SEPARATE 11/1/2022 $2,000.00
SEGREGATED FUND (AMAZON PAC)
AMERICAN BANKERS ASSOCIATION PAC 11/1/2022 $5,000.00
(BANKPAC)
AMERICAN COUNCIL OF ENGINEERING 11/1/2022 $5,000.00
COMPANIES (ACEC/PAC)
AMERICAN PUBLIC POWER ASSOCIATION, 11/1/2022 $1,000.00
PUBLIC OWNERSHIP OF ELECTRIC
RESOURCES PAC
AMERICAN SOCIETY OF 11/1/2022 $2,000.00
ANESTHESIOLOGISTS POLITICAL ACTION
COMMITTEE
BAKERY, CONFECTIONERY WORKERS 11/1/2022 $1,000.00
INTERNATIONAL UNION
BOILMAKERS-BLACKSMITHS LEGISLATIVE 11/1/2022 $2,500.00
EDUCATION-ACTION PROGRAM CAMPAIGN
ASSISTANCE FUND
BOULE' 1904 PAC 11/1/2022 $2,000.00
INTERNATIONAL BROTHERHOOD OF 11/1/2022 $5,000.00
ELECTRICAL WORKERS POLITICAL ACTION
COMMITTEE 3
INVESCO HOLDING COMPANY (US), INC. 11/1/2022 $5,000.00
POLITICAL ACTION COMMITTEE
POLITICAL ACTION COMMITTEE OF THE 11/1/2022 $2,500.00
AMERICAN ASSOCIATION OF ORTHOPAEDIC
SURGEONS
1
This contribution was earmarked through ActBlue and was received by the conduit on 10/30/2022.
2
This contribution was earmarked through ActBlue and was received by the conduit on 10/30/2022.
3
This contribution was inadvertently excluded from the RFAI sent on the Amended 30-Day Post-General Report,
received 12/29/2022.
Attachment 4
10 of 14
AF456100012 Attachment Page 2 of 2
RESCARE, INC. DBA BRIGHTSPRING HEALTH 11/1/2022 $3,500.00
SERVICES LEGACY FUND (BRIGHTSPRING
LEGACY FUND)
SAMSUNG ELECTRONICS AMERICA INC 11/1/2022 $3,000.00
POLITICAL ACTION COMMITTEE
TE CONNECTIVITY CORPORATION POLITICAL 11/1/2022 $2,500.00
ACTION COMMITTEE TEPAC
TWDC ENTERPRISES 18 CORP. EMPLOYEES 11/1/2022 $2,500.00
PAC AKA 'THE WALT DISNEY COMPANY
EMPLOYEES PAC' OR 'DI
WESTROCK POLITICAL ACTION COMMITTEE 11/1/2022 $5,000.00
TOTAL $51,500.00
Proposed Civil Money Penalty: $5,322 ((1 Notice Not Filed at $172) + (10% of the Overall
Contributions Not Reported))
Attachment 4
11 of 14
AF456100013
FEDERAL ELECTION COMMISSION
1050 First Street, NE
Washington, DC 20463
STATEMENT OF DESIGNATIO OF COUNSEL
Provide one form for each Responden itness
E-MAIL: cela@fec.go
AR/MUR/RR/P-MUR# AF# 4561
------------
arne of Coun el: Brian G. S oboda
Firm: Perkins Coie LLP
Addre s: 700 13th Street Suite 800
ashin!!t:on, DC 20005
Office#: (202) 434-1654 Fa'\.'#: (202) 654-9150
obile#:
-------------
E-mail: BSvoboda@perkincoie.com
The above-named ind ividual and/or firm is hereby designated as m counsel and is authorized to receive an
notifications and other communications from the Comm ission and to act on m behalf before the Commission.
05 .04.2023 (} I/ ~ 3~ ~
/ ~ ~, ~ - - ~ ~ ~- - -T-i-tl_e_ _ __
+rnasurer
Date
James Bennett
ame - Please Print
Friends of Jim Clyburn and James Benn tt, in his official capacity a Treasurer
RESPONDENT:
Mailing Address: _P_O_B_o_x_I_2_5_67_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ _ __ _ __
(Please Print)
Columbia SC 29211
Home#: - - - - - - - - - - - - - Mobi le#: - - -- - - - - -- - - -
Oillce#:
--------- -- - - Fax# : - - -- - - - -- - - - - -
E-mail: - - - - - -- - -- - - - - -- - - - - - - - - - - -- - - - - -- - - - -
This form relates to a Federal .Election Commission matter that i subject to the confidentiality provi!iions of ·2 . .C. ~ 30109(a)( 12)(A).
This section prohibits making public any ooti.fication or inve Ligation conducted by the Federal Election Commi sion without the express
written consealoftbe person UI1der investigation.
Re\.2021
AF456100014
.
PeRKINSCOle 700 13th Street, NW
Suite 800
0 + 1 202 654 6200
G + 1.202.654.62 11
Washington, DC 20005-3960 PerkinsCoie com
Brian G. Svoboda
May 8, 2023
BSvoboda@perkinscoie.com
D. +1.202.434.1654
F. +1.202.654.9150
The Honorable Dara Lindenbaum
Chair
Federal Election Commission
1050 First Street, NE
Washington, DC 20463
Re: AF# 4561
Friends of Jim Clyburn and James Bennett, in his official capacity as Treasurer
Dear Chair Lindenbaum:
We write as counsel to Friends of Jim Clyburn and James Bennett, in his official capacity as
Treasurer (collectively, the “Committee”). A copy of a Statement of Designation of Counsel,
executed by Mr. Bennett on behalf of the Committee, accompanies this letter. We submit this
response to the administrative fine notice in the above-referenced matter. We respectfully request
that the Federal Election Commission (the “Commission”) terminate the proceedings in AF#
4561 and close the file. Alternatively, we request that the Commission correct the penalty
amount.
This matter involves the non-filing of 48-Hour Notices for contributions received on two days—
October 30, 2022, and November 1, 2022—when the Committee’s long-time compliance
vendor—Whitney Wyatt Burns —was gravely ill and died less than five weeks later. The
Committee and its treasurer had long engaged Ms. Burns, who was one of the most experienced
and respected in the field, 1 to prepare and file its Commission reports. 2 However, Ms. Burns fell
ill in fall 2022 and died on December 9, 2022. 3 After Ms. Burns passed away, the Commission
found reason to believe that the Committee did not submit 48-Hour Notices for two contributions
received on October 30, 2022, and for sixteen contributions received on November 1, 2022. 4
The Commission’s reason to believe finding overstates the amount of the violation. It alleges that
the Committee failed to file a 48-Hour Notice for a $2,500 contribution received on November 1,
2022, from the “Boilmakers-Blacksmiths [sic] Legislative Education-Action Program Campaign
Assistance Fund.” However, the Committee did, in fact, file a 48-Hour Notice with respect to
1
See, e.g., Comment on FR notice 2008-13 by Whitney W. Burns (fec.gov).
2
See PAGE BY PAGE REPORT DISPLAY FOR 202212299574243539 (Page 283 of 341) (fec.gov).
3
See, e.g., Whitney Wyatt Burns | Facebook.
4
See 52 U.S.C. § 30104(a)(6)(A); see also March 30, 2023 Letter from the Federal Election Commission in
Administrative Fine Matter # 4561.
Perkins Coie LLP
Attachment 1
1 of 4
AF456100015
The Honorable Dara Lindenbaum, Chair
Federal Election Commission
May 8, 2023
Page 2
this contribution. Specifically, the Committee filed a 48-Hour Notice showing the November 1,
2022 receipt of a $2,500 contribution from the International Brotherhood of Boilermakers
Campaign Assistance Fund. 5 In its turn, the International Brotherhood of Boilermakers
Campaign Assistance Fund filed a Post-General Report disclosing a contribution to the
Committee in this same amount. 6 However, on its Post-General Report, the Committee appears
to have confused the donor with the similarly-named Boilermakers Blacksmiths Forgers and
Helpers of American Local 169 Boilermakers PAC, reporting the November 1, 2022 receipt of a
$2,500 contribution from that entity. 7 That other PAC, in turn, disclosed no contribution to the
Committee on its own Post-General Report. 8 Thus, the amount of the asserted violation appears
overstated by $2,500 and should be adjusted. 9
Moreover, by engaging one of the nation’s most experienced and well-regarded compliance
professionals to prepare and file its reports, the Committee used “best efforts” to file in a timely
manner, and Ms. Burns’ condition represented a reasonably unforeseen circumstance beyond its
control. 10
The Commission provides no exhaustive list of the circumstances that are either in or out of a
filer’s control. Examples of circumstances that will be considered reasonably unforeseen and
beyond the respondent’s control include, but are not limited to: (1) certain failures of
Commission computers or Commission-provided software; (2) widespread disruptions of
information transmissions over the Internet not caused by failures of Commission or respondent
systems or Internet service providers; and (3) severe weather or other disaster-related incidents. 11
Examples of circumstances that will not be considered reasonably unforeseen, or beyond a
respondent’s control, include: (i) negligence; (ii) delays caused by vendors or contractors; (iii)
treasurer and staff illness, inexperience or unavailability; (iv) respondent computer, software, or
Internet service provider failures; (v) failure to know filing dates; and (vi) failure to use filing
software properly. 12
5
See 48-Hour Notice of Contributions/Loans Received (filed by Friends of Jim Clyburn on November 2, 2022),
https://docquery.fec.gov/pdf/448/202211029546698448/202211029546698448.pdf.
6
See Post-General 2022 Report at 62 (filed by International Brotherhood of Boilermakers Campaign Assistance
Fund on December 7, 2022), https://docquery.fec.gov/pdf/279/202212079547202279/202212079547202279.pdf.
7
See Post-General 2022 Report at 76 (filed by Friends of Jim Clyburn on December 9, 2022),
https://docquery.fec.gov/pdf/221/202212099557520221/202212099557520221.pdf; Amended Post-General 2022
Report at 76 (filed by Friends of Jim Clyburn on December 29, 2022),
https://docquery.fec.gov/pdf/198/202212299574244198/202212299574244198.pdf.
8
See Post-General 2022 Report (filed by Boilermakers Blacksmiths Forgers and Helpers of American Local 169
Boilermakers PAC on December 7, 2022),
https://docquery.fec.gov/pdf/571/202212079547229571/202212079547229571.pdf.
9
See 11 C.F.R. § 111.35(b)(1) (permitting challenge of fine when “the committee timely filed the report in
accordance with 11 C.F.R.§ 100.19”).
10
See id. § 111.35(b)(3).
11
Id. § 111.35(c).
12
Id. § 111.35(d).
Perkins Coie LLP
Attachment 1
2 of 4
AF456100016
The Honorable Dara Lindenbaum, Chair
Federal Election Commission
May 8, 2023
Page 3
In a matter closely analogous to this one, where the grave illness of an individual besides the
treasurer impeded the filing of an election-sensitive report, the Commission terminated the
administrative fine proceeding, and even refunded an already-paid fine. 13 In AF# 4086,
involving the Nevada County Republican Party, the Commission found reason to believe that the
respondent failed timely to file its 2020 Post-General Report. 14 The respondent’s chair replied in
an unsworn letter that its treasurer was unable to file the reports because her spouse “was
stricken with Covid-19, diagnosed positive on November 9, [and] hospitalized and quarantined
until his death on December 26, 2020.” 15 While the reviewing officer contended that the county
party did not show that the circumstances directly prevented the filing of the report, and
recommended imposition of the penalty, the Commission ultimately agreed with the Nevada
County Republican Party and voted 5-1 to terminate the administrative fine proceeding and
refund the fine. 16
The same outcome is warranted here. Like the grave illness and unfortunate death of the
treasurer’s spouse in AF# 4086, Ms. Burns’ illness and death—happening, as they did, in the
days immediately surrounding the general election—was a “reasonably unforeseen
circumstance.” As a committee vendor, Ms. Burns, who was facing physical limitations beyond
her control, did not “cause” the delay any more than the Nevada County treasurer did. 17 Ms.
Burns was no less unavailable than the Nevada County treasurer in AF# 4086, nor was she even
the Committee’s treasurer nor properly a member of its staff. 18
The whole point of the “best efforts” provision and the administrative fine regulations is to
ensure that filing committees and their treasurers act responsibly to ensure that the public record
is complete. The Commission judged that a grave illness proximate to the filing officer on the
eve of an election is not sufficient cause to fault a committee for failing to use best efforts. It
should reach the same result here, where the respondent hired one of the very best and diligent
report preparers in the regulated community, and entrusted her with its filing obligations, only to
have her fall unexpectedly ill at what proved to be the very end of her life, when she was not
fully able to perform her duties.
Thus, the Commission should close AF# 4561 and take no further action pursuant to 11 C.F.R. §
111.35(b)(3). Alternatively, the Commission should reduce the administrative fine pursuant to 11
C.F.R. § 111.35(b)(1), to account for the fact that one of the disputed reports was, indeed, filed.
13
See Final Determination Recommendation, AF# 4086, available at
https://www.fec.gov/files/legal/admin_fines/4086/4086_02.pdf.
14
See id at 19.
15
See id at 19.
16
Id.
17
See 11 C.F.R. § 111.37.
18
See id. § 111.37(d)(3).
Perkins Coie LLP
Attachment 1
3 of 4
AF456100017
The Honorable Dara Lindenbaum, Chair
Federal Election Commission
May 8, 2023
Page 4
We appreciate the Commission’s consideration of this response.
Very truly yours,
Brian G. Svoboda
Chad B. Henry
Counsel to Friends of Jim Clyburn and James Bennett, in his official capacity as Treasurer
Attachment 1
4 of 4
AF456100018
FEDERAL ELECTION COMMISSION
WASHINGTON, D.C. 20463
June 29, 2023
REVIEWING OFFICER RECOMMENDATION
OFFICE OF ADMINISTRATIVE REVIEW (“OAR”)
AF# 4561 – Friends of Jim Clyburn and James Bennett, in their official capacity as Treasurer
(C00255562)
Summary of Recommendation
Make a final determination that the respondents violated 52 U.S.C. § 30104(a) and assess a
$5,072 civil money penalty.
Reason-to-Believe Background
In connection with the 2022 General Election held on November 8, 2022, the respondents
were required to file 48-Hour Notices of Contributions/Loans (“48-Hour Notices”) for
contributions of $1,000 or more received between October 20, 2022 and November 5, 2022.
On March 29, 2023, the Commission found reason to believe (“RTB”) that the respondents
violated 52 U.S.C. § 30104(a) for failing to timely file a 48-Hour Notice for 18 contributions
totaling $51,500 and made a preliminary determination that the civil money penalty was $5,322
based on the schedule of penalties at 11 C.F.R. § 111.44. A letter was sent to the respondents’
email address of record from the Reports Analysis Division (“RAD”) on March 30, 2023 to notify
them of the Commission’s RTB finding and civil money penalty.
Legal Requirements
The Federal Election Campaign Act (“Act”) requires that the principal campaign committee
of a candidate notify the Commission, in writing, of any contribution of $1,000 or more received
after the 20th day but more than 48 hours before an election. The principal campaign committee
must notify the Commission within 48 hours of receipt of the contribution. The 48-hour notification
shall be in addition to all other reporting requirements under the Act. 52 U.S.C. § 30104(a)(6)(A)
and 11 C.F.R. § 104.5(f). Reports electronically filed must be received and validated at or before
11:59 pm Eastern Standard/Daylight Time on the filing deadline to be timely filed.
11 C.F.R. §§ 100.19(c) and 104.5(e). The treasurer shall be personally responsible for the timely
filing of reports. 11 C.F.R. § 104.14(d).
1
AF456100019
Summary of Respondents’ Challenge
On May 8, 2023, the Commission received the written response (“challenge”) from counsel
requesting the Commission terminate the proceedings and close the file because the Committee
demonstrated best efforts to file and experienced a reasonably unforeseen circumstance. Counsel
explains the Committee’s long-time compliance vendor, Ms. Whitney Burns, was gravely ill
during the 48-Hour Notice period and passed away five weeks later. Counsel further states:
Moreover, by engaging one of the nation’s most experienced and well-regarded
compliance professionals to prepare and file its reports, the Committee used “best
efforts” to file in a timely manner, and Ms. Burns’ condition represented a
reasonably unforeseen circumstance beyond its control.
Counsel notes that the Commission does not provide an exhaustive list of circumstances that will
or will not be considered out of the respondents’ control. Further, counsel refers to the
Commission’s decision to terminate the proceedings in a prior similar matter and states the same
decision should be made here.1
Alternatively, counsel requests that the Commission recalculate the civil money penalty to
remove a single $2,500 contribution in question. Counsel explains that the Committee incorrectly
disclosed the name of the contributor on its 2022 Post-General Report, making it appear as if the
corresponding 48-Hour Notice was not filed. The Committee incorrectly disclosed the contributor
as Boilermakers Blacksmiths Forgers and Helpers of American Local 169 Boilermakers PAC
instead of International Brotherhood of Boilermakers Campaign Assistance Fund. The Committee
appropriately filed the 48-Hour Notice for the $2,500 contribution from International Brotherhood
of Boilermakers Campaign Assistance Fund. Counsel states the violation amount should be
reduced by $2,500.
Analysis
Counsel indicates the 48-Hour Notices were not timely filed because the Committee’s
compliance vendor was unavailable due to serious illness, which ultimately resulted in her death.
The Reviewing Officer is sympathetic to the circumstances presented and recognizes these
circumstances may have impacted the Committee’s ability to comply with reporting requirements.
The Reviewing Officer also recognizes the Committee’s long-standing engagement with Ms.
Burns, which counsel contends shows the Committee’s best efforts to timely file reports. 2
The “best efforts” defense is a two-part test: the respondents used best efforts to file on
time but were prevented from doing so by reasonably unforeseen circumstances that were beyond
their control, and they filed the report no later than 24 hours after the end of these circumstances.
The Commission states in its Explanation and Justification for Revised 11 CFR § 111.35(b)(3) –
1
See AF# 4086.
2
While the respondents do not indicate they were unaware of 48-Hour Notice filing requirements, the Reviewing
Officer confirms the Commission appropriately notified the Committee of its requirement to file 48-Hour Notices in
connection with the 2022 General Election. See Attachment 3.
2
AF456100020
“Best Efforts” Defense, 72 Fed. Reg. 14662, 14664-14666 (Mar. 29, 2007) that respondents must
show
...that the reasonably unforeseen circumstances in fact prevented the timely and
proper filing of the required report...[T]his rule requires a strict causal relationship
between the circumstances described in the challenge...and the respondent's
inability to file the report timely. It is not sufficient for reasonably unforeseen
circumstances to make it merely more difficult than usual for the respondent to file
on time. The circumstance must cause the respondent to be unable to file in a timely
and proper manner, despite the respondent attempting to use all available methods
of filing. (emphasis included)
The Committee did not demonstrate that the circumstances directly prevented the
respondents from filing the report. Nor did the respondents demonstrate that they filed the report
no later than 24 hours after the end of a circumstance considered to be unforeseen and beyond the
respondents’ control. Therefore, a “best efforts” defense does not succeed in this matter.
While sympathetic to the circumstances, the Reviewing Officer notes that a committee’s
treasurer shall be personally responsible for the timely filing of reports. 11 C.F.R. § 104.14(d).
Moreover, illness and unavailability of committee staff and delays caused by vendors are
specifically included at 11 C.F.R. § 111.35(d) as an example of a circumstance that will not be
considered reasonably unforeseen and beyond the respondents’ control. Therefore, the Reviewing
Officer recommends that the Commission make a final determination that the respondents violated
52 U.S.C. § 30104(a).
With respect to the amount in violation, the Committee states that the reason to believe
finding overstates the amount in violation by $2,500 as the November 1, 2022 contribution of
$2,500 from Boilermakers Blacksmiths Forgers and Helpers of American Local 169 Boilermakers
PAC was incorrectly disclosed on its 2022 Post-General Report. On June 20, 2023, the Committee
filed an Amended 2022 Post-General Report to correctly disclose the contributor’s name as
International Brotherhood of Boilermakers Campaign Assistance Fund.3 Based on this additional
explanation and correction of the record, the Reviewing Officer confirms the Committee timely
filed a 48-Hour Notice for this contribution on November 2, 20224, and $2,500 should be removed
from the calculation of the civil money penalty. See Attachment 2.
The Committee still failed to timely file 48-Hour Notices for 17 contributions totaling
$49,000. See Attachment 2. The civil money penalty calculation for 48-Hour Notices is contained
at 11 C.F.R. § 111.44. The calculation is $172 plus 10% of the amount of the contributions not
reported on each 48-Hour Notice, plus 25% for each previous violation. The number of missing
notices should be calculated by determining the minimum number of notices the Committee could
have filed to cover the contributions in question. The minimum number of 48-Hour Notices the
Committee could have filed to cover the contributions in question equals 1. Thus, the amount of
the civil money penalty is [($172 x 1 missing notice) + (.10 x $49,000 in total contributions)]
or $5,072.
3
See https://docquery fec.gov/pdf/280/202306209582310280/202306209582310280.pdf
4
See https://docquery fec.gov/pdf/448/202211029546698448/202211029546698448.pdf
3
AF456100021
The Reviewing Officer recommends that the Commission make a final determination that
the respondents violated 52 U.S.C. § 30104(a) and assess a $5,072 civil money penalty (reduced
from the RTB civil money penalty of $5,322).
OAR Recommendations
1. Adopt the Reviewing Officer recommendation for AF# 4561 involving Friends of Jim Clyburn
and James Bennett, in their official capacity as Treasurer, in making the final determination;
2. Make a final determination in AF# 4561 that Friends of Jim Clyburn and James Bennett, in their
official capacity as Treasurer, violated 52 U.S.C. § 30104(a) and assess a $5,072 civil money
penalty (reduced from the RTB civil money penalty of $5,322); and
3. Send the appropriate letter.
Attachments
Attachment 1 –
Attachment 2 – OAR’s Chart of Contributions for Which a 48-Hour Notice Was Not Received
Attachment 3 –
Attachment 4 – Declaration from RAD
Attachment 5 – Declaration from OAR
4
AF456100022
OAR's Chart of Contributions for Which a 48-Hour Notice Was Not Received
OARFD
CONTRUBUTIONS INCLUDED IN RTB FINDING
RECOMMENDATION
COMMITTEE'S RESPONSE
RECEIPT VIOLATION
CONTRIBUTOR AMOUNT ACTION
DATE AMOUNT
ADAMS, CHRISTINE 10/30/2022 $1 ,000.00 None Include $1 ,000.00
ASPENGER, JAlvfES 10/30/2022 $1 ,000.00 None Include $1 ,000.00
AMAZON.COM SERVICES, INC.
SEPARATE SEGREGATED FUND 11/1/2022 $2,000.00 None Include $2,000.00
(AMAZON PAC)
AlvfERICAN BANKERS
11/1/2022 $5,000.00 None Include $5 ,000.00
ASSOCIATION PAC (BANK.PAC)
AlvfERICAN COUNCIL OF
ENGINEERING COMPANIES 11/1/2022 $5,000.00 None Include $5 ,000.00
(ACEC/PAC)
AlvfERICAN PUBLIC POWER
ASSOCIATION, PUBLIC 11/1/2022 $1 ,000.00 None Include $1 ,000.00
OWNERSHIP OF ELECTRIC
AlvfERICAN SOCIETY OF
ANESTHESIOLOGISTS POLffiCAL 11/1/2022 $2,000.00 None Include $2,000.00
ACTION COMMITTEE
BAKERY, CONFECTIONERY
WORKERS INTERNATIONAL 11/1/2022 $1 ,000.00 None Include $1 ,000.00
UNION
BOILMAKERS-BLACKSMITHS Amendment filed to coITectly disclose name
LEGISLATIVE EDUCATION- of contributor as International Brotherhood
11/1/2022 $2,500.00 Remove
ACTION PROGRAM CAMPAIGN of Boilermakers Campaign Assistance Fund.
ASSISTANCE FUND 48-Hour Notice timely filed on 11/2/22.
BOULE' 1904 PAC 11/1/2022 $2,000.00 None Include $2,000.00
INTERNATIONAL BROTHERHOOD
OF ELECTRICAL WORKERS 11/1/2022 $5,000.00 None Include $5 ,000.00
POLITICAL ACTION COMMITTEE
INVESCO HOLDING COMPANY
(US), INC. POLITTCAL ACTION 11/1/2022 $5,000.00 None Include $5 ,000.00
COMMITTEE
Attachment 2
Page 1 of 1
AF456100023
OAR's Chart of Contributions for Which a 48-Hour Notice Was Not Received
POLITICAL ACTION CO:MMITTEE
OF THE AMERICAN 11/1/2022 $2,500.00 None Include $2,500.00
ASSOCIATION OF ORTHOPAEDIC
RESCARE, INC. DBA
BRIGHTSPRING HEALTH 11/1/2022 $3,500.00 None Include $3 ,500.00
SERVICES LEGACY FUND
SAMSUNG ELECTRONICS
AMERICA INC POLITICAL 11/1/2022 $3,000.00 None Include $3 ,000.00
ACTION COMMITTEE
TE CONNECTIVITY
CORPORATION POLITICAL 11/1/2022 $2,500.00 None Include $2,500.00
ACTION COMMITTEE TEPAC
TWDC ENTERPRISES 18 CORP.
EMPLOYEES PAC AKA 'THE 11/1/2022 $2,500.00 None Include $2,500.00
WALT DISNEY COMPANY
WESTROCK POLillCAL ACTION
11/1/2022 $5,000.00 None Include $5 ,000.00
COMMITTEE
RTB Violation Total $51,500 FD Violation Total $49,000
Recommended FD Civil Money Penalty: $5,072
[($172 x 1 missing notice)+ (.10 x $49,000 in total contributions)]
Attachment 2
Page 1 of 1
AF456100024
DECLARATION OF KRISTIN D. ROSER
1. I am the Chief of the Compliance Branch for the Reports Analysis Division of the Federal Election
Commission (“Commission”). In my capacity as Chief of the Compliance Branch, I oversee the initial
processing of the Administrative Fine Program. I make this declaration based on my personal
knowledge and, if called upon as a witness, could and would testify competently to the following
matters.
2. It is the practice of the Reports Analysis Division to document all calls to or from committees regarding
a letter they receive or any questions relating to the FECFile software or administrative fine regulations,
including due dates of reports and filing requirements.
3. I hereby certify that documents identified herein are true and accurate copies of the following sent by
the Commission to Friends of Jim Clyburn:
A) Request for Additional Information for the Amended 2022 30-Day Post-General Report,
dated January 4, 2023, referencing missing 48-Hour Notices (sent via electronic mail to:
info@clyburnforcongress.com);
B) Reason-to-Believe Letter, dated March 30, 2023, referencing the missing 48-Hour Notices
(sent via electronic mail to: info@clyburnforcongress.com and
emailed to gary.h.stevens@gmail.com on April 5, 2023, per the Committee's request).
4. I hereby certify that I have searched the Commission’s public records and find that Friends of Jim
Clyburn has not yet filed the missing 48-Hour Notices with the Commission. However, the Committee
filed a Form 99 (Miscellaneous Electronic Submission) on March 1, 2023 in response to the Request
for Additional Information referencing the Amended 2022 30-Day Post-General Report, dated January
4, 2023.
5. Pursuant to 28 U.S.C. 1746, I declare under penalty of perjury that the foregoing is true and correct and
that all relevant telecoms for the matter have been provided. This declaration was executed on the 25th
day of May, 2023.
______________________
Kristin D. Roser
Chief, Compliance Branch
Reports Analysis Division
Federal Election Commission
Attachment 4
1 of 14
AF456100025
Image# 202301040300166934
RQ-2
FEDERAL ELECTION COMMISSION
WASHINGTON, D.C. 20463
January 4, 2023
JAMES BENNETT, TREASURER
FRIENDS OF JIM CLYBURN
POST OFFICE BOX 12567
COLUMBIA, SC 29211 Response Due Date
02/08/2023
IDENTIFICATION NUMBER: C00255562
REFERENCE: AMENDED 30 DAY POST-GENERAL REPORT (10/20/2022 -
11/28/2022), RECEIVED 12/29/2022
Dear Treasurer:
This letter is prompted by the Commission's preliminary review of the report referenced
above. This notice requests information essential to full public disclosure of your federal
election campaign finances. Failure to adequately respond by the response date
noted above could result in an audit or enforcement action. Additional information
is needed for the following 2 item(s):
1. Schedule A of your report indicates that your committee may have failed to
file one or more of the required 48-hour notices regarding "last minute"
contributions (to include loans, in-kind contributions, and advances) received by
your committee after the close of books for the 12-Day Pre-General Report (see
attached). A principal campaign committee must notify the Commission, in
writing, within 48 hours of any contribution of $1,000 or more received between
two and twenty days before an election. These contributions are then reported on
the next report required to be filed by the committee. To ensure that the
Commission is notified of last minute contributions of $1,000 or more to your
campaign, it is recommended that you review your procedures for checking
contributions received during the aforementioned time period. The failure to file
48-hour notices may result in civil money penalties or legal enforcement action.
(11 CFR § 104.5(f))
If any contribution of $1,000 or more was incorrectly reported, you must amend
your original report with the clarifying information.
2. Your committee filed 48-hour notices reporting the following "last minute"
contributions (see attached). However, these contributions do not appear on
Schedule A of this report. Please amend your report to include these
contributions or provide an explanation of these apparent discrepancies. (11 CFR
§ 104.3(a)(4)(i))
Attachment 4
2 of 14
AF456100026
Image# 202301040300166935
FRIENDS OF JIM CLYBURN
Page 2 of 2
- For your information and consideration when preparing future filings, all
contributions and transfers to political committees should be reported on Line
21 of the Detailed Summary Page and itemized on a separate Schedule B. (11
CFR § 104.3(b)(2))
- Please be advised that the FEC Committee ID numbers for the following
contributions from political committees appear to be incorrect: Amalgamated
Clothing & Textile Workers Union (C70000732). Use of incorrect FEC
Committee ID numbers may create difficulty in identifying the contributing
committee for the public record. (11 CFR § 104.3(a)(4))
Please note, you will not receive an additional notice from the Commission on this
matter. Adequate responses must be received by the Commission on or before the due
date noted above to be taken into consideration in determining whether audit action will
be initiated. Failure to comply with the provisions of the Act may also result in an
enforcement action against the committee. Any response submitted by your committee
will be placed on the public record and will be considered by the Commission prior to
taking enforcement action. Requests for extensions of time in which to respond will
not be considered.
Electronic filers must file amendments (to include statements, designations and reports)
in an electronic format and must submit an amended report in its entirety, rather than just
those portions of the report that are being amended. For information about the report
review process or specific filing information for your committee type, please visit
www.fec.gov/help-candidates-and-committees. For more information about Requests for
Additional Information (RFAI), why you received a letter, and how to respond, please visit
www.fec.gov/help-candidates-and-committees/request-additional-information. Should
you have any questions regarding this matter or wish to verify the adequacy of your
response, please contact me on our toll-free number (800) 424-9530 (at the prompt
press 5 to reach the Reports Analysis Division) or my local number (202) 694-1196.
Sincerely,
Bradley Austin
436 Sr. Campaign Finance & Reviewing Analyst
Attachment 4
3 of 14
AF456100027 Attachment Page 1 of 2
Image# 202301040300166936
Missing 48-Hour Notices
Friends of Jim Clyburn (C00255562)
Contributor Name Date Amount Election
Singh, Gururaj 10/24/22 $2,900.00 G2022
Adams, Christine 10/30/22 $1,000.00 G2022
Aspenger, James 10/30/22 $1,000.00 G2022
Amalgamated Clothing & Textile Workers Union 11/1/22 $2,500.00 G2022
Amazon.Com Services, Inc. Separate Segregated Fund
(Amazon PAC) 11/1/22 $2,000.00 G2022
American Bankers Association Pac (BANKPAC) 11/1/22 $5,000.00 G2022
American Council Of Engineering Companies
(ACEC/PAC) 11/1/22 $5,000.00 G2022
American Public Power Association, Public Ownership
Of Electric Resources PAC 11/1/22 $1,000.00 G2022
American Society Of Anesthesiologists Political Action
Committee 11/1/22 $2,000.00 G2022
Bakery, Confectionery Workers International Union 11/1/22 $1,000.00 G2022
BHFS-E, PC PAC (Brownstein Hyatt Farber Schreck
Political Action Committee) 11/1/22 $2,000.00 G2022
Boilmakers-Blacksmiths Legislative Education-Action
Program Campaign Assistance Fund 11/1/22 $2,500.00 G2022
Boule' 1904 PAC 11/1/22 $2,000.00 G2022
Invesco Holding Company (US), Inc. Political Action
Committee 11/1/22 $5,000.00 G2022
Political Action Committee Of The American
Association Of Orthopaedic Surgeons 11/1/22 $2,500.00 G2022
Rescare, Inc. DBA Brightspring Health Services Legacy
Fund (Brightspring Legacy Fund) 11/1/22 $3,500.00 G2022
Samsung Electronics America Inc Political Action
Committee 11/1/22 $3,000.00 G2022
TE Connectivity Corporation Political Action
Committee TEPAC 11/1/22 $2,500.00 G2022
TWDC Enterprises 18 Corp. Employees PAC AKA 'The
Walt Disney Company Employees Pac' Or 'Di 11/1/22 $2,500.00 G2022
Westrock Political Action Committee 11/1/22 $5,000.00 G2022
Attachment 4
4 of 14
AF456100028 Attachment Page 2 of 2
Image# 202301040300166937
Incorrectly Reported Receipts on 48-Hour Notices
Friends of Jim Clyburn (C00255562)
48-Hour Notices Filed/Contributions Not Disclosed on Schedule A
Contributor Name Date Amount
Anderson, Lakeitha 11/3/22 $2,000.00
Singh, Nishad T. 10/24/22 $2,900.00
National Council Of Textile Organizations Inc Political
Action Committee 11/4/22 $2,500.00
Attachment 4
5 of 14
AF456100029
DECLARATION OF RHIANNON MAGRUDER
1) I am the Reviewing Officer in the Office of Administrative Review for the
Federal Election Commission (“Commission”). In my capacity as Reviewing
Officer, I conduct research with respect to all challenges submitted in
accordance with the Administrative Fine program.
2) The principal campaign committee of a candidate must file notifications
disclosing contributions of $1,000 or more which are received after the 20th day but
more than 48 hours before an election. These notifications (also called 48-Hour
Notices) must be filed with the Commission within 48 hours of the
committee’s receipt of the contribution(s).
3) I hereby certify that I have searched the Commission’s public records and find that
Friends of Jim Clyburn did not file the required 48-Hour Notices for the
contributions included in the Reviewing Officer’s Recommendation dated June 29,
2023.
4) I hereby certify that I have searched the Commission’s public records and that
the documents identified herein are the true and accurate copies of:
a) 48-Hour Notice filed by Friends of Jim Clyburn on November 2, 2022.
5) Pursuant to 28 U.S.C. § 1746, I declare under penalty of perjury that the foregoing
is true and correct and that this declaration was executed on the 29th day of June,
2023.
_______________________
Rhiannon Magruder
Reviewing Officer
Office of Administrative Review
Federal Election Commission
Attachment 5
1 of 2
AF456100030 11/02/2022 14 : 04
Image# 202211029546698448 PAGE 1 / 1
48-HOUR NOTICE OF
CONTRIBUTIONS/LOANS RECEIVED
(See Reverse Side for Instructions)
To be used to report all contributions (including loans) of $1000 or more, received within 20 days of the election.
1. NAME OF COMMITTEE IN FULL
FRIENDS OF JIM CLYBURN
ADDRESS (number and street) POST OFFICE BOX 12567
CITY STATE ZIP CODE
2.
COLUMBIA
NAME OF CANDIDATE
I SC I 29211
3. OFFICE SOUGHT (State and District) 4. FEC IDENTIFICATION NUMBER
CLYBURN, JAMES E., , ,
I House SC 06 C00255562
5. IS THIS AN AMENDMENT?
□
✘ NO, THIS IS A NEW FILING
□ YES, IT AMENDS THE NOTICE FILED ON - - -
/ /
A. FULL NAME Name of Employer Date (month, Amount
day, year)
Morgan Sandoz, Beverly, , ,
MAILING ADDRESS 11/01/2022 1000.00
1 S. Orange Grove # 7
Transaction ID : F6.4429
CITY STATE ZIP CODE Occupation
Pasadena CA 91105
B. FULL NAME Name of Employer Date (month, Amount
NTERNATIONAL BROTHERHOOD OF BOILERMAKERS CAMPAIGN day, year)
ASSISTANCE FUND
MAILING ADDRESS 11/01/2022 2500.00
753 STATE AVE. SUITE 565
Transaction ID : F6.4432
CITY STATE ZIP CODE Occupation
KANSAS CITY KS 66101
C. FULL NAME Name of Employer Date (month, Amount
day, year)
MAILING ADDRESS
CITY STATE ZIP CODE Occupation
D. FULL NAME Name of Employer Date (month, Amount
day, year)
MAILING ADDRESS
CITY STATE ZIP CODE Occupation
E. FULL NAME Name of Employer Date (month, Amount
day, year)
MAILING ADDRESS
CITY STATE ZIP CODE Occupation
SIGNATURE (optional) DATE For further information contact:
Bennett, James, A., , 11/02/2022 Federal Election Commission
[Electronically Filed] 999 E Street, NW, Washington, DC 20463
Toll Free 800-424-9530, Local 202-694-1100
FEC FORM 6
Any information copied from reports and statements filed under the Federal Election Campaign Act may not
be sold or used by any person for the purpose of soliciting contributions or for commercial purposes other
than using the name and address of any political committee to solicit contributions from such committee. (Revised 03/2016)
Attachment 5
2 of 2
AF456100031
FEDERAL ELECTION COMMISSION
WASHINGTON, D.C. 20463
June 29, 2023
Brian G. Svoboda
Chad B. Henry
Perkins Coie
700 13th Street, NW
Suite 800
Washington, DC 20005-3960
Friends of Jim Clyburn
C00255562
AF# 4561
Dear Counsel:
On March 29, 2023, the Federal Election Commission (“the Commission”) found reason
to believe (“RTB”) that Friends of Jim Clyburn and Chris Rosenthal, in their official capacity as
Treasurer, violated 52 U.S.C. § 30104(a) for failing to timely file 48-Hour Notices for eighteen
contributions totaling $51,500. The Commission also made a preliminary determination that the
civil money penalty was $5,322 based on the schedule of penalties at 11 C.F.R. § 111.44.
After reviewing your written response and any supplemental information submitted by
you and Commission staff, the Reviewing Officer has recommended that the Commission make
a final determination and assess a reduced penalty. A copy of the Reviewing Officer’s
recommendation is attached.
You may file with the Commission Secretary a written response to the recommendation
within 10 days of the date of this letter. Please note, all written responses and supporting
documentation should be converted to PDF (Portable Document Format) and emailed to the
Commission Secretary at secretary@fec.gov. The Commission encourages the use of electronic
signatures on electronically submitted documents, but scanned copies of ink signatures will be
accepted. Electronically submitted responses will be deemed received on the date it is
electronically received by staff. Please include the AF # in your response. Your response may
not raise any arguments not raised in your original written response or not directly responsive to
the Reviewing Officer’s recommendation. 11 C.F.R. § 111.36(f). The Commission will then
make a final determination in this matter.
AF456100032
Please contact me at the toll free number 800-424-9530 (press 0, then press 1660) or 202-
694-1158 if you have any questions.
Sincerely,
Rhiannon Magruder
Reviewing Officer
Office of Administrative Review
AF456100033
. 700 13th Street, NW 0 +1.202.654.6200
PeRKINSCOle Suite 800 0 +1 202 654 621 1
Washington, D.C 20005-3960 Perk1nsCoie.com
By Office of the Commission Secretary at 9:44 am, Jul 11, 2023
July 10, 2023 Brian G. Svoboda
BSvoboda@perkinscoie.com
D. +1.202.434.1654
VIA ELECTRONIC MAIL F. +1.202.654.9150
The Honorable Dara Lindenbaum
Attn: Ms. Laura E. Sinram, Secretary
Federal Election Commission
1050 First Street, NE
Washington, DC 20463
secretary@fec.gov
Re: AF# 4561
Friends of Jim Clyburn and James Bennett, in his official capacity as treasurer
Dear Chair Lindenbaum:
We write in response to the Reviewing Officer Recommendation in AF# 4561. We agree with
the Recommendation’s proposed downward adjustment of the civil penalty, if one is indeed
imposed. We also appreciate the Recommendation’s repeated expressions of sympathy for the
circumstances caused by the passing of the Committee’s longtime outside compliance vendor,
Whitney Wyatt Burns,1 and its recognition of “the Committee’s long-standing engagement with
Ms. Burns.”2 However, the Recommendation does not address the arguments made by the
Committee’s challenge, and so the Commission should not adopt it.
As the Recommendation noted, we cited in our challenge the Commission’s action in AF# 4086,
which involved the Nevada County Republican Party. The Commission rejected the reviewing
officer’s recommendation in that matter and directed the refund of an already-paid fine.3 The
facts in AF# 4086 are very much like those here: the illness and subsequent death of an
individual, who was neither the treasurer nor an employee, resulted in a report’s non-filing.
Almost word for word, the reviewing officer’s recommendation in AF# 4086 was identical to the
recommendation here.4 Each expressed sympathy for the circumstances, and recognized other
extenuating circumstances, but then cited the Explanation and Justification for the “best efforts”
defense and—in identical language—contends that the committee “did not demonstrate that the
1
See Reviewing Officer Recommendation, AF# 4561, at 2-3.
2
Id. at 2.
3
See AF# 4086.
4
Compare Reviewing Officer Recommendation, AF# 4086, at 2-3,
https://www.fec.gov/files/legal/admin_fines/4086/4086_02.pdf, and Reviewing Officer Recommendation, AF#
4561, at 2-3.
Perl<Jns Coie LLP
162896915.1
Attachment 1
1 of 3
AF456100034
The Honorable Dara Lindenbaum
Federal Election Commission
July 10, 2023
Page 2
circumstances directly prevented the respondents from filing the report.”5 Still, the Commission
rejected the recommendation in AF# 4086, and the Reviewing Officer nonetheless makes the
same recommendation again here.
The Committee made several arguments for the availability of the “best efforts” defense, and the
Recommendation engaged none of them. We argued that the illness and death of the treasurer’s
spouse in AF# 4086 and Ms. Burns in this matter were both reasonably unforeseen
circumstances. We argued that that Ms. Burns did not “cause” the non-filing any more than the
Nevada County Treasurer in AF# 4086 did. Finally, we argued that Ms. Burns, like the
treasurer’s spouse in AF# 4086, was neither the treasurer nor a proper member of the
Committee’s staff. The Recommendation addressed none of these arguments and offered no
basis to distinguish this matter from AF# 4086. Rather, the Recommendation simply made the
same arguments that the Commission considered and rejected in AF# 4086, in virtually identical
language.
The respondent in AF# 4086 was a “small rural county committee,” and this may well have
informed the Commission’s consideration of its challenge.6 However, it is not equitable
considerations that drive the acceptance or rejection of an administrative fine challenge, but the
objective question of whether the respondent made “best efforts.” The question is what the
respondent could or should have done differently, and whether the rules’ plain language directly
preclude the challenge.
Here, the Committee acted reasonably and diligently in entrusting its filings to Ms. Burns. Her
decline and ultimate death in the weeks surrounding the election—when the demand for
compliance services is at its highest, and the supply of available, competent help, in a highly
specialized field, is at its very lowest—left the Committee with no clear alternative way by
which it might have filed the disputed reports. Moreover, a close and careful reading of section
111.35(d)’s list of non-extenuating circumstances shows that none precisely applies here.
Because the Committee used best efforts in a highly unusual set of circumstances, and because
the rules do not preclude the challenge, the Commission should reject the Recommendation, as it
did in AF# 4086.
5
Reviewing Officer Recommendation, AF# 4086, at 2,
https://www.fec.gov/files/legal/admin_fines/4086/4086_02.pdf.
6
Id. at 2 (ellipses omitted).
Perkins Coie LLP
162896915.1
Attachment 1
2 of 3
AF456100035
The Honorable Dara Lindenbaum
Federal Election Commission
July 10, 2023
Page 3
We appreciate the Commission’s consideration of our response.
Very truly yours,
Brian G. Svoboda
Chad B. Henry
Counsel to Friends of Jim Clyburn and James Bennett, in his official capacity as treasurer
Perl<Jns Coie LLP
162896915.1
Attachment 1
3 of 3
AF456100036
SENSITIVE
FEDERAL ELECTION COMMISSION
WASHlNGTON, D.C. 20463
August 2, 2023
MEMORANDUM
To: The Commission
Through: Alec Palmer AP by /::/1 I/
Staff Director
From: Patricia C. On-ockPW
Chief Compliance Officer
Rhiannon Magrnder/!}J1,
Reviewing Officer
Office of Administrative Review
Subject: Final Detennination Recommendation in AF# 4561 - Friends of Jim
Clyburn and James Bennett, in their official capacity as Treasurer (C00255562)
On March 29, 2023, the Commission found reason to believe ("RTB") that the
respondents violated 52 U.S.C. § 30104(a) for failing to timely file a 48-Hour Notice for 18
contributions, totaling $51,500, and made a preliminary detennination that the civil money
penalty was $5,322 based on the schedule of penalties at 11 C.F.R. § 111.44. On May 8,
2023, the Commission received their written response ("challenge"). After reviewing the
challenge, the Reviewing Officer Recommendation ("ROR") dated June 30, 2023 was
fo1warded to the Commission, a copy was fo1warded to the respondents, and is hereby
inco1porated by reference.
Counsel indicated the 48-Hour Notices were not timely filed because the
Committee's compliance vendor, Ms. Whitney Bums, was unavailable due to serious illness,
which ultimately resulted in her death. The Reviewing Officer was sympathetic. to the
circumstances presented and recognized these circumstances may have impacted the
Committee's ability to comply with reporting requirements. The Reviewing Officer also
recognized the Committee's long-standing engagement with Ms. Bums, which counsel
contends shows the Committee's best effo1is to timely file repo1ts. The Reviewing Officer
detennined the "best effo1is" defense did not succeed in this matter. While sympathetic to the
circumstances, the Reviewing Officer noted that a committee's treasurer shall be
personally responsible for the timely filing of repo1is. 11 C.F.R. § 104.14(d). Moreover,
illness and unavailability of committee staff and delays caused by vendors are specifically
included at 11 C.F.R. § 11 l.35(d) as an example of a circumstance that will not be considered
reasonably unforeseen and beyond the respondents' control. Therefore,
AF456100037
the Reviewing Officer recommended that the Commission make a final determination that the
respondents violated 52 U.S.C. § 30104(a). See ROR.
The Reviewing Officer also considered the Committee’s contention that the reason to
believe finding overstated the amount in violation by $2,500. Based on the additional explanation
provided in the challenge and corresponding correction disclosed on the Amended 2022 Post-
General Report, the Reviewing Officer confirmed a $2,500 contribution should be removed from
the calculation of the civil money penalty. The Committee still failed to timely file 48-Hour
Notices for 17 contributions totaling $49,000, which could have been filed on a single notice.
Thus, the Reviewing Officer calculated the amount of the civil money penalty to be [($172 x 1
missing notice) + (.10 x $49,000 in total contributions)] or $5,072. See ROR.
Within 10 days of transmittal of the recommendation, the respondents may file a written
response with the Commission Secretary which may not raise any arguments not raised in their
challenge or not directly responsive to the ROR. 11 C.F.R. § 111.36(f). On July 11, 2023, the
Commission received a response from counsel. Counsel agrees with the “…downward adjustment
of the civil penalty, if one is indeed imposed.” While appreciative of the Reviewing Officer’s
expressions of sympathy for the circumstances presented, counsel reiterates the Recommendation
should not be adopted as it does not align with the Commission’s decision in a similarly situated
matter. See Attachment 1.
The Reviewing Officer considered the response, and the Reviewing Officer’s
recommendations are unchanged. The Reviewing Officer recommends that the Commission make
a final determination that the respondents violated 52 U.S.C. § 30104(a) and assess a $5,072 civil
money penalty (reduced from the RTB civil money penalty of $5,322).
OAR Recommendations
1. Adopt the Reviewing Officer recommendation for AF# 4561 involving Friends of Jim Clyburn
and James Bennett, in their official capacity as Treasurer, in making the final determination;
2. Make a final determination in AF# 4561 that Friends of Jim Clyburn and James Bennett, in
their official capacity as Treasurer, violated 52 U.S.C. § 30104(a) and assess a $5,072 civil
money penalty (reduced from the RTB civil money penalty of $5,322); and
3. Send the appropriate letter.
AF456100038
BEFORE THE FEDERAL ELECTION COMMISSION
In the Matter of )
) AF 4561
Final Determination Recommendation: )
Friends of Jim Clyburn and James )
Bennett, in their official capacity as )
Treasurer (C00255562) )
CERTIFICATION
I, Vicktoria J. Allen, recording secretary of the Federal Election Commission executive
session, do hereby certify that on August 29, 2023, the Commission took the following actions in
the above-captioned matter:
1. Failed by a vote of 1-5 to:
Terminate the proceedings.
Commissioner Weintraub voted affirmatively for the motion. Commissioners Broussard,
Cooksey, Dickerson, Lindenbaum, and Trainor dissented.
2. Decided by a vote of 5-1 to:
a. Adopt the Reviewing Officer recommendation for AF# 4561 involving
Friends of Jim Clyburn and James Bennett, in their official capacity as
Treasurer, in making the final determination.
b. Make a final determination in AF# 4561 that Friends of Jim
Clyburn and James Bennett, in their official capacity as Treasurer,
violated 52 U.S.C. § 30104(a) and assess a $5,072 civil money
penalty (reduced from the RTB civil money penalty of $5,322).
c. Send the appropriate letter.
Commissioners Broussard, Cooksey, Dickerson, Lindenbaum, and Trainor voted
affirmatively for the decision. Commissioner Weintraub dissented.
AF456100039
Federal Election Commission Page 2
Certification for AF 4561
August 29, 2023
Attest:
Digitally signed by Vicktoria J
-. - Vicktoria J Allen
- August 31, 2023/
-
........... .,
_...,...,
,,,.
_...., ......
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.............
-
Allen Date: 2023.08.31 13:54:35
-04'00'
Date Vicktoria J. Allen
Deputy Secretary of the Commission
AF456100040
FEDERAL ELECTION COMMISSION
WASHINGTON, D.C. 20463
September 5, 2023
Brian G. Svoboda
Chad B. Henry
PerkinsCoie
700 13th Street, NW
Suite 800
Washington, DC 20005-3960
Friends of Jim Clyburn
C00255562
AF# 4561
Dear Counsel:
On March 29, 2023, the Federal Election Commission (the “Commission” or “FEC”) found
reason to believe (“RTB”) that Friends of Jim Clyburn and James Bennett, in their official capacity
as Treasurer, violated 52 U.S.C. § 30104(a) for failing to file 48-Hour Notices for contributions
totaling $51,500. By letter dated March 30, 2023, the Commission sent notification of the RTB
finding that included a civil money penalty calculated at $5,322 in accordance with the schedule
of penalties at 11 C.F.R. § 111.44. On May 8, 2023, the Office of Administrative Review received
your written response challenging the RTB finding.
The Reviewing Officer reviewed the Commission’s RTB finding with its supporting
documentation and your written response. Based on this review, the Reviewing Officer
recommended that the Commission make a final determination that Friends of Jim Clyburn
and James Bennett, in their official capacity as Treasurer, violated 52 U.S.C. § 30104(a) and
assess a reduced civil money penalty in the amount of $5,072 in accordance with
11 C.F.R. § 111.44. The Reviewing Officer Recommendation was sent to you on June 29, 2023.
On August 29, 2023, the Commission adopted the Reviewing Officer’s recommendation
and made a final determination that Friends of Jim Clyburn and James Bennett, in their official
capacity as Treasurer, violated 52 U.S.C. § 30104(a), and assessed a civil money penalty in the
amount of $5,072 (reduced from the RTB civil money penalty of $5,322). A copy of the Final
Determination Recommendation is attached.
AF456100041
At this juncture, the following courses of action are available to you:
1. If You Choose to Appeal the Final Determination and/or Civil Money Penalty
If you choose to appeal the final determination, you must submit a written petition
requesting that the final determination be modified or set aside. This request must be made within
thirty (30) days of receipt of this letter and sent to the U.S. District Court for the district in which
the committee or you reside or transact business. See 52 U.S.C. § 30109(a)(4)(C)(iii). If you did
not timely raise a factual argument in a challenge to the Commission’s RTB finding, your right to
present such an argument in an appeal to the U.S. District Court under 52 U.S.C. § 30109 shall be
deemed waived. 11 C.F.R. § 111.38.
2. If You Choose to Not Pay the Civil Money Penalty and to Not Appeal
Unpaid civil money penalties assessed through the Administrative Fine regulations will be
subject to the Debt Collection Act of 1982 (“DCA”), as amended by the Debt Collection
Improvement Act of 1996 (“DCIA”), 31 U.S.C. § 3701, et seq. If you do not pay this debt within
thirty (30) days and do not appeal the Commission’s final determination to the U.S. District Court
(see above), the Commission will transfer the debt to the U.S. Department of the Treasury
(“Treasury”) for collection. Treasury will contact you to request payment within five (5) days of
the receiving the debt. Treasury currently charges a fee of 30% of the civil money penalty amount
for its collection services. If the age of the debt is greater than or equal to two years old, Treasury
will charge a fee of 32% of the civil money penalty amount for its collection services. The fee will
be added to the amount of the civil money penalty that you owe. Should Treasury’s attempts fail,
Treasury will refer the debt to a private collection agency. If the debt remains unpaid, Treasury
may recommend that the Commission refer the matter to the Department of Justice for litigation.
Actions which may be taken by Treasury to enforce recovery of a delinquent debt may
also include: (1) offset of any payments, which the debtor is due, including tax refunds and salary;
(2) referral of the debt to agency counsel for litigation; (3) reporting of the debt to a credit bureau;
(4) administrative wage garnishment; and (5) reporting of the debt, if discharged, to the IRS as
potential taxable income. In addition, under the provisions of DCIA and other statutes applicable
to the FEC, the debtor may be subject to the assessment of other statutory interest, penalties, and
administrative costs.
In accordance with the DCIA, at your request, the agency will offer you the opportunity to
inspect and copy records relating to the debt, the opportunity for a review of the debt, and the
opportunity to enter into a written repayment agreement.
3. If You Choose to Pay the Civil Money Penalty
If you should decide to pay the civil money penalty, please follow the payment instructions
below. You should make payment within thirty (30) days of receipt of this letter.
You may remit payment by Automated Clearinghouse (“ACH”) withdrawal from your
bank account, or by debit or credit card through Pay.gov, the federal government’s secure portal
for online collections. Visit www.fec.gov/af/pay.shtml to be directed to Pay.gov’s Administrative
Fine Program Payment form. Please use the details above to complete the required fields.
2
AF456100042
NOTICE REGARDING PARTIAL PAYMENTS AND SETTLEMENT OFFERS
Partial Payments
If you make a payment in an amount less than the civil money penalty, the amount of your
partial payment will be credited towards the full civil money penalty that the Commission assessed
upon making a final determination.
Settlement Offers
Any offer to settle or compromise a debt owed to the Commission will be rejected. This
includes a payment in an amount less than the civil money penalty assessed or any restrictive
endorsements contained on your check or money order or proposed in correspondence transmitted
with your check or money order. Acceptance and deposit or cashing of such a restricted payment
does not constitute acceptance of the settlement offer. Payments containing restrictive
endorsements will be deposited and treated as a partial payment towards the civil money penalty
that the Commission assessed upon making a final determination. All unpaid civil money penalty
amounts remaining will be subject to the debt collection procedures set forth in Section 2, above.
The confidentiality provisions at 52 U.S.C. § 30109(a)(12) no longer apply and this matter
is now public. Pursuant to 11 C.F.R. §§ 111.42(b) and 111.20(c), the file will be placed on the
public record within thirty (30) days from the date of this notification.
If you have any questions regarding this matter, please contact Rhiannon Magruder on our
toll-free number (800) 424-9530 (press 0, then ext. 1158) or (202) 694-1158.
On behalf of the Commission,
Dara Lindenbaum
Chair
3
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