1. Chairman Lemon called the meeting to order at approximately 9:35 a.m.
    
   
2. Approval of the August 21, 2001 minutes:

   Commissioner Jones moved to approve the August 21, 2001 minutes with the following correction, R2-20-109 (D) is to read as follows: "the rule which conforms to the opinion of 9th Circuit Court", seconded by Commissioner McKay, the August 21, 2001 minutes were approved with the correction. Motion carried.

3. Executive Director's Report:

   Announcements:

   Friday October 5, 2001, Executive Director Colleen Connor and Todd Lang, Assistant Attorney General will be panelists for the " Making Sense of Clean Elections" seminar, sponsored by the Arizona Chamber of Commerce.

   The second in a series of 5 campaign finance seminars will be held on Wednesday, September 19, 2001. Those wanting to attend this seminar can R.S.V.P. to the Citizens Clean Elections Office by calling (602) 200-0013 or toll free: 1-877-631-8891. All classes begin at 3:00 p.m.

   Assistant Attorney General Todd Lang has responded to Sean Nottingham's request for administrative hearing.

   Sharlene Bozack's last day with the Clean Elections Institute is Friday, September 14, 2001.

   Chairman Gene Lemon is scheduled to make an appearance on KAET's "Horizon", Thursday, September 20th at 7:00 p.m.

   The Auditor General's preliminary report is scheduled to be delivered to The Commission in a few weeks. If the report is available by the October 2, 2001 Commission meeting, it will be discussed at that time.

   Voter Education:

   The Debate Committee awarded a contract to Tombstone International Communications to sponsor debates for Mine Inspector and Legislative Districts 5 & 8. At the October 2, 2001 meeting there will be a discussion to propose a plan regarding sponsors for the other debates.

   Director Connor passed around a sample candidate guide which was produced for the candidates for offices in New York City elections. She reviewed how the pages were set up and the language.

   The staff has recommended a procedure that takes into account experiences from the 2000 elections for the 2002 candidate statements. Once the Commission agrees on a procedure the staff will be able to provide a cost estimate for the mailing.

   The Commission will have a booth at the State Fair again this year. The Fair will run from October 11th through the 28th. Five Dollar Bill will make an appearance this year.

   Executive Director Connor and the staff have been working with CPR and L3 in developing the Five Dollar Bill website and brochures for the tax check-off and voluntary tax donations. The publicity campaign will continue to bring awareness to the civic organizations around the state.

   Budget & Office Operations:

   The Campaign Finance Analyst Position has been filled. Ms. Rebecca Hecksel will begin work on October 1, 2001. She has worked with the Joint Legislative Budget Committee (JLBC) for the last 3 years as a fiscal analyst.

   At the end of August, 2001 the balance in the Clean Elections Fund was $11,113,807.

   Deputy Director Matt Shaffer submitted the annual budget and required strategic planning information to JLBC and OSPB.

   The Act/Rules/Policy Statements booklet is near completion and the User's Handbook is being updated with information about the newly enacted rules.

   State Treasurer Carol Springer and Senate President Randall Gnant stopped by the CCEC office to pick up $5 qualifying contribution forms. They are both seeking the Governor's seat.

   Strategic Planning:

   The Commission's Strategic Plan has been updated with the progress on completed action plans.

   On Friday, September 14, 2001, Executive Director Colleen Connor and Cecelia Martinez of the Clean Election Institute will be meeting with House Representative Deb Gullett to talk about proposed legislative change.

   Director Connor also spoke with Senator Chris Cummiskey about proposing legislation regarding the use of funds.

4. Consideration and Approval of the Procedure and Cost for the Dissemination of Candidate Statements:

   Commissioner Jones had questions regarding the word amount limit for candidate statements and the wording of the disclaimer.

   Jill Collins, Voter Education and Public Relations Manager, answered questions regarding the candidate statement procedure.

   Commissioner Jones suggested that the title for the pamphlet be "Candidate Statements".

   Commissioner McKay moved to approve the candidate statement procedure, as proposed, seconded by Commissioner Lopez. Motion carried.

5. Consideration and Approval of Proposed Legislative Changes:

   Chairman Lemon reviewed four proposed legislative changes for discussion. The proposed changes discussed included:

   1. A.R.S. §§ 16-941-952, and 959: For nonparticipating candidates, the original and supplemental campaign finance reports would be required only when a nonparticipating candidate is or could be opposed by a participating candidate and the reports would be triggered by expenditures only.
   2. A.R.S. § 16-956: Rather than involving the county recorders, The Commission would mail one document of candidate statements to every household with a registered voter before early voting began for the primary election.
   3. A.R.S. § 16-957: All complaints, notifications and investigations in enforcement matters would remain confidential in their early stages.
   4. A.R.S. § 16-961: End the qualifying period ninety days before the primary election, the same day that candidate nomination papers and petitions are due.

6. Consideration of Amendments to Substantive Policy Statements:

   Chairman Lemon reviewed each Substantive Policy Statement with the Commissioners. The following motions were made:

   Commissioner Lopez moved to delete # 2, regarding candidate certification, seconded by Commissioner McKay. Motion carried.

   Commissioner McKay moved to accept #4, regarding qualifying contributions forms, as presented, seconded by Commissioner Jones. Motion carried.

   Commissioner McKay moved to accept #5, regarding enforcement policies, as presented, seconded by Commissioner Lopez. Motion carried.

   Commissioner Jones moved to accept #7, regarding credit card contributions, as presented, seconded by Commissioner Lopez. Motion carried.

   Commissioner Jones moved to accept #8, regarding collecting qualifying contributions via the internet, as presented, seconded by Commissioner McKay. Motion carried.

   Commissioner McKay moved to accept #9, regarding independent expenditures, as presented, seconded by Commissioner Lopez. Motion carried with the exception of a no vote by Commissioner Jones.

   Commissioner Jones moved to rewrite #10, regarding declaration of emergency, to include, "if the Commission determines there is not enough money to fully fund candidates and declares an emergency, to the extent participating candidates are permitted to accept private contributions to bring the total monies to the applicable spending limit." "Private Contributions" means campaign contributions permitted pursuant to A.R.S. § 16-901(S). Seconded by Commissioner McKay. Motion carried.

   Commissioner Jones moved to accept #11 as presented, seconded by Commissioner McKay. Motion carried.*

7. Review of Strategic Planning:

   Chairman Lemon asked Commissioners to look over the strategic planning document and also asked if they had any changes or suggestions. Some suggestions were offered and will be incorporated into the working document.

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

   The final briefs in the Lavis v. Bayless lawsuit was filed on Friday, September 7, 2001. Oral arguments in the case are set for November 20, 2001. Plaintiffs have filed a joint motion for an extension of the time to present arguments. If granted, oral arguments will be heard in December with a possible decision coming in January 2002.

   Todd Lang is working with the State Department of Justice on pre-clearance to Article 1 with incorporated changes.

9. Public Comment:

   Sharlene Bozack, Clean Elections Institute

   Shar addressed the CCEC Commission and staff and wanted to thank them for a great three years. She has accepted the Southwest Regional Director position with The American Cancer Society on Government relations. She announced that the Clean Elections Institute board will be voting on Cecilia Martinez as the new director.

   Marge Mead, Clean Elections Institute

   Marge Mead announced that she gave a complimentary report on the work of the Commission to the League State Committee meeting on Saturday, September 8, 2001. She also read to the Commission a letter she wrote to the League's State Committee asking members to respond to the recent articles written about Citizens Clean Elections Commission in the Arizona Republic. Anyone wanting to read the letter in it's complete context may contact the CCEC office for a copy.

10. The next meeting is Tuesday October 2, 2001, at 10:00 a.m., Tucson City Hall Tower, 255 West Alameda, Tucson, Arizona 85701
     
    
11. To be placed on the next agenda:
    • Cost estimate for distributing candidate statements
    • Preliminary Auditor General Report
    • Updated Handbook and Act/Rules/Policy Statements manual and brochures
    • Proposed strategy to ascertain debate sponsors
    • Consideration of Commission meeting schedule for January-June 2002

    Commissioner Jones moved that the Commission meeting be adjourned, seconded by Commissioner Lopez. Motion carried.

12. Adjournment

Dated this 14^th day of September, 2001

Citizens Clean Elections Commission

* Substantive Policy #2, regarding candidate application was deleted, therefore there are now 10 Substantive Policies, not 11.