1. Chairperson Jones called the meeting to order at approximately 9:32 a.m.
    
   
2. Approval of the December 11, 2001 minutes:

   Commissioner McKay moved to approve the December 11, 2001 minutes with changes, seconded by Commissioner Detrick, the December 11, 2001 minutes were approved as amended. Motion carried.

   Announcements:

   • The term of Commissioner Carl Lopez of Tucson, Arizona will end January 31, 2002. The Governor's Office has not announced a replacement, at this point in time. During the January 29, 2002 Commission meeting, Commissioner Lopez will be thanked for his service.
   • The fund balance at the end of December 2001 was $12,361,758.
   • The total amount of tax credit donations received as of December 31, 2001 was $126,163.00.

3. Executive Director's Report:

   Executive Director Colleen Connor gave the Executive Director's Report on the following subjects:

   • Voter Education: Annual Tax Conference
     Continuing Work of CPR and L3
     The Proposed Debate Sponsor application and Contract for the 2002 Election
     The Candidate Statement Pamphlet
   • Budget and Office Operations: The completion of CFS 2002 campaign finance software
     The Fund Disbursement Procedure
     Candidate Training Seminars for 2002
   • Legislative Matters: Meeting with Senator Gnant on Proposed Legislation
   • Legal Matters: Lavis v. Bayless ruling

4. Consideration and Approval of the following voter Education Matters:
   1. Candidate Statement Pamphlet Procedure:

      The Commissioners discussed the candidate statement pamphlet procedure. Commissioner Lemon made some constructive suggestions for changes. Chairperson Jones would like to see Commissioner Lemon's suggestions explored. These issues will be addressed at the January 29, 2002 Commission meeting. Chairperson Jones would like all suggestions to be submitted to Colleen Connor, Executive Director and Jill Collins, Public Relations and Education Manager.

   2. Contract with ASU as Debate Sponsor:

      Executive Director Connor reviewed the proposed contract with the Commissioners for clarification.

      Commissioner Lemon moved to accept the contract as presented, seconded by Commissioner McKay. Motion carried.

   3. Informational Brochures:

      Jill Collins, Public Relations and Education Manager provided an overview of each brochure for the Commissioners. She indicated that a title change was suggested to the staff regarding one of the brochures. The brochure titled "How Can I Use My Money?" would change to "Spending Public Campaign Money."

      Commissioner McKay moved to accept the pamphlets with the one name change, seconded by Commissioner Detrick. Motion carried

5. Determination of One-Party-Dominant Districts at the beginning of the Qualifying Period for Legislative Candidate, January 1, 2002:

   Discussion and a decision on this issue was tabled and will be discussed at the January 29, 2002 Commission meeting.

6. Fund Disbursement Procedure:

   Executive Director Connor explained that the document presented is a draft and suggested that the Commissioners review it and give their input. Chairperson Jones addressed the Commissioners and requested that they make any comments and suggestions to Deputy Director Shaffer or Executive Director Connor. This issue will be readdressed at the January 29, 2002 Commission meeting.

7. Discussion and Consideration of Final Auditor General Report:

   The Auditor General's report will be discussed in Executive Session.

8. Legal Report (Oral Report from Assistant Attorney General Todd Lang):

   On December 21, 2001 the Superior Court Judge issued a ruling in the Lavis v. Bayless case. The lobbyist fees were judged to be unconstitutional. The 10% surcharge was upheld and an appeal by the plaintiff is anticipated.

   The Attorney General's Office is working on the preclearance of the fund disbursement procedures.

9. Discussion and Reconsideration of A.A.C. R2-20-104 (C):

   Commissioner Lemon moved that the Commission disregard expenditures of surplus funds prior to April 30th of an election year by office holders seeking to be certified as participating candidates as an enforcement policy. Commissioner Lemon also asked that the staff prepare, for consideration by the Commission, amendments to rule A.A.C. R2-20-104 (C), seconded by Commissioner Detrick. Motion carried.

10. Public Comment:

    Cecilia Martinez, Executive Director, Clean Elections Institute

    Ms. Martinez spoke on behalf of The Clean Election Institute and congratulated the Clean Elections Commission, and Assistant Attorney General, Todd Lang for a successful ruling in the Lavis v Bayless case. She appreciates that the Commission opened a dialog in regard to the "One-Bite-at-the-Apple" procedure for the $5 qualifying contribution slips. She also stated that she supports the Clean Election Commission's motion and vote regarding surplus monies (A.A.C. R2-20-104 (C)).

    Marge Mead, League of Women Voters and Clean Elections Institute

    Marge Mead addressed the Commission and said that she is also in favor of the dialog being opened in regard to the "One-Bite-at-the-Apple" procedure. She attended a press conference and talked with Representative Sedillo who mentioned that his colleague, Tom O'Halleran, decided not to run as a participating candidate because of the new policy procedure.

    Commissioner Lemon moved that the Commission go into Executive Session to discuss The Auditor General's Report and the Commission's response.

    Commissioner Lemon moved to go back into open meeting, seconded by Commissioner McKay. Motioned carried.

    Commissioner Lemon moved to approve the response to the Auditor General's Report, seconded by Commissioner Detrick. Motion carried.

11. The next meeting is Tuesday, January 29, 2002 at 9:30 a.m., Citizens Clean Elections Commission, 4001 N. 3rd Street, Suite 200, Phoenix, Arizona 85012.
     
    
12. o be placed on the next agenda:
    • Appreciation of Commissioner Lopez for his Service
    • Consideration and Approval of Fund Disbursement Procedure
    • Consideration and Approval of 2001 Annual Report
    • Discussion and Consideration of New Office Space
    • Discussion of Proposed Legislative Changes

    Commissioner McKay moved that the Commission meeting be adjourned, seconded by Commissioner Detrick. Motion carried.

13. Adjournment

Dated this 9^th day of January, 2002

Citizens Clean Elections Commission