1. Chair Lemon called the meeting to order at approximately 9:30 a.m.

   Let the record show that four Commissioners were present and Commissioner McKay participated telephonically.

2. Approval of Minutes of February 25, 2003 Meeting

   Commissioner Busching moved to approve the meeting minutes for February 25, 2003 with changes. Commissioner Detrick seconded. Motion carried.

3. Executive Director's Report
   • Commission has officially moved into its new office
   • Commission won the arbitration regarding the ownership of our website www.azcleanelections.com
   • The U.S. Supreme Court has denied certiorari in the May v. Brewer case
   • The CCEC 2002 Annual Report is available in paper format and on the Commissions website
   • Congressman Jeff Flake requested an advisory opinion from the FEC asking whether or not he is permitted to actively campaign for a statewide initiative while he is a candidate for a Congressional seat.
   • The fund balance as of March 24, 2003 was $7,015,637
   • The report from the U.S. Comptroller General regarding clean elections is expected to be completed in late April
   • Rebecca Hecksel is working with Mike Totherow from the Secretary of State's Office on updating the campaign finance software for the 2004 election. Ms. Hecksel sent out a survey to participating and nonparticipating candidates and their treasurers asking for their feedback on improvements to the software
   • Billboards have been placed around the state promoting the tax "mark the box" and the "five dollar check off" on AZ tax returns
   • The Salmon for Governor Campaign has filed for administrative hearing regarding MUR 02/0036.
   • The Clean Elections Institute retained Chuck Blanchard with the law firm Brown & Bain. They have proposed substantive policy statements for the Commission regarding the reporting of campaign expenditures. Chairman Lemon is working on an alternative policy statement.
   • The Secretary of State's Office has made the inflationary adjustments to the spending and contribution limits for participating, and contributions limits for nonparticipating candidates
   • Assistant Attorney General Todd Lang request that the Commission hold an executive session so he can provide legal advice pertaining to the enforcement matters on today's agenda.

4. Consideration and Approval of Adjusting Minimum Number of Qualifying Contributions

   Pursuant to A.R.S. § 16-956(E), the Commission may adopt rules changing the number of qualifying contributions required for any office by no more than twenty percent of the number applicable for preceding election. The Commission proposed to increase the minimum number of qualifying contributions by 5%. Taking the voter registration numbers from 1996 and comparing them to the voter registration numbers in 2002 determined the 5% increase. Commissioner Detrick moved to accept the proposed increase. Commissioner Jolley seconded. Motion carried.

5. Discussion of Strategic Planning for Voter Education

   Executive Director Colleen Connor explained that the objective for the strategic planning is to break it down in 5 major areas, personnel, voter education, enforcement, budget/fiscal operations, and litigation/ legal matters. For voter education, the advertising campaign has been proceeding with billboards and radio ads, but the public relations portion has not been very active. Compared to the 2002 public relations campaign, CPR has not planned any meetings with civic organizations or tax preparers to promote the tax check off. Therefore, L3 Creative, the primary contractor, will assist the Commission in finding a new public relations firm.

   Voter Education Manager, Autumn Southard, explained the strategic timelines for the 2004 Election Cycle for participating and nonparticipating candidates.

   Chairman Lemon restated the five areas that are covered by each Commissioner: Personnel is assigned to Commissioner McKay, budget/fiscal operation are assigned to Commissioner Jolley, legislation/ rules are assigned to Chairman Lemon, voter education is assigned to Commissioner Detrick, and Commissioner Busching is assigned to enforcement matters.

6. Legal Report from Assistant Attorney General Todd Lang

   Mr. Lang reported that the U.S. Supreme Court denied certiorari in the May v. Brewer case. In addition, he planned on having two more enforcement settlements for next month's Commission meeting.

7. Call for Public Comment

   Paul Weich, attorney for Meg Burton Cahill introduced himself and advised the Commission that he was available if there were any questions.

8. Agenda Items for the Next Meeting: Tuesday, April 29, 9:30 am
   • Proposals to campaign finance reporting
   • Update on the software survey
   • Strategic planning
   • Enforcement matters

9. Executive Session

   Commissioner Busching moved to hold executive session for legal advice on enforcement matters . Commissioner Jolley seconded. Motion carried.

10. Consideration of the Following Enforcement Matters:
    1. MUR No.: 02-0071, Meg Burton Cahill- Mr. Lang recommended a $550 settlement for the Meg Burton Cahill matter. This was Ms. Burton Cahill's first offense and that the Cahill Campaign has acknowledged the problem and when the problem was discovered they pulled the ad immediately. Commissioner Busching moved to accept the proposed settlement. Commissioner McKay seconded. Commissioner Detrick rescued herself. Motion carried.
    2. MUR No.: 02-0043, Robert Blendu- Executive Director Colleen Connor withdrew her original recommendation and recommended that based on legal advice, the Commission should dismiss this matter without enforcement action. Commissioner Busching moved to accept the proposal from the Executive Director. Commissioner Jolley seconded. Motion carried.

11. Adjournment

    Chairman Lemon moved to adjourn the Commission meeting.

    Next Meeting: April 29, 2003 at 9:30 a.m., Citizens Clean Elections Commission, 1616 W. Adams, Suite 110, Phoenix, AZ 85007.

Next Meeting: April 29, 2003 at 9:30 a.m., Citizens Clean Elections Commission, 1616 W. Adams, Suite 110, Phoenix, AZ 85007.

Dated this 27^th day of March, 2003

Citizens Clean Elections Commission