TEXAS ETHICS COMMISSION MEETING MINUTES

January 14, 2005, 9:00 a.m.

Texas Workforce Commission, 101 E. 15th Street, Conf. Rm. #244, Austin, TX 78701


COMMISSIONERS PRESENT: Francisco Hernandez, Chair; Ralph Wayne, Vice Chair; Raymond R. “Tripp” Davenport, III; Scott W. Fisher; Tom Harrison; Cullen R. Looney; Wales H. Madden, III; and David Montagne.

COMMISSIONERS ABSENT: None.

STAFF PRESENT: Natalia L. Ashley, Christopher Burnett, William Calem, Margie Castellanos, Sharon Finley, Becky Levy, Robbie Miller, Kristin Newkirk, David A. Reisman, Theresa Schwindt, Amy Simms, Tim Sorrells, Ian Steusloff, Sarah Woelk, and Mary Young.


MINUTES

This meeting was tape recorded. These minutes are a summary record of the Commission's actions at the meeting. For a detailed record of discussions and statements made by persons speaking at the meeting, please consult the audio tapes on file at the Commission's office.

Agenda Item 1: Call to order; roll call.

The meeting was called to order by Chair Hernandez. David A. Reisman, Executive Director, called the roll. All Commissioners were present.

Agenda Item 2: Comments by the Commissioners.

Commissioner Harrison suggested that the incoming chair have the commission work with staff on the clarification of lobby reporting.

Chair Hernandez congratulated David A. Reisman, Executive Director, on the birth of his baby. Chair Hernandez welcomed Ian Steusloff, a new Assistant General Counsel. Chair Hernandez also expressed his appreciation in having served as Chair of the Texas Ethics Commission.

Agenda Item 3: Comments by the Executive Director.

David A. Reisman, Executive Director, made the following comments:

1. Mr. Reisman expressed his appreciation of the Texas Workforce Commission for the use of the conference room.

2. Mr. Reisman thanked Chair Hernandez for his service as Commissioner and Chair of the commission.

3. On December 1, 2004, the lobby electronic filing software was implemented. The Ethics Commission has received over 800 lobby registrations to date on the lobby electronic filing system.

4. Mr. Reisman welcomed Ian Steusloff and introduced him to the commission as the Ethics Commission’s new staff attorney.

5. Kristin Newkirk, Sharon Finley, Linda Warner, and Joe Brocato designed the Ethics Commission’s new website that will be ready within two weeks. The Ethics Commission staff is currently testing the development site and making recommendations.

6. In accordance with House Bill 1606, staff prepared and submitted its first biennial report to the Governor and the Legislature. The report included information on advisory opinions as well as data on sworn complaints filed and penalties assessed and collected.

Agenda Item 4 discussed after Agenda Item 6.

Agenda Item 5: Approve minutes of the November 12, 2004, meeting.

Motion by Vice Chair Wayne to adopt the November 12, 2004, meeting minutes; second by Commissioner Madden. Motion passed by a vote of eight ayes.

Agenda Item 6: Election of chair and vice-chair of the Texas Ethics Commission.

Commissioner Madden nominated Vice Chair Wayne as Chair; second by Commissioner Harrison. Motion passed by a vote of seven ayes. Commissioner Wayne voted no. Commissioner Madden nominated Commissioner Looney as Vice Chair; second by Commissioner Harrison. Motion passed by a vote of eight ayes. Chair Wayne expressed his appreciation for Commissioner Hernandez’s service to the commission as Chair. Chair Wayne congratulated Vice Chair Looney on his election.

Agenda Item 4: Communication to the commission from the public.

Allen Gwinn with Dallas.org spoke before the commission.

For Agenda Items 7 and 8, the following represents the actions taken by the Ethics Commission in the order they occurred during the meeting.

Agenda Item 8: Briefing, discussion, and possible action to waive or reduce late-filing penalties in connection with certain corrected reports or to determine whether certain corrected reports as originally filed substantially complied with the applicable law.

34) David VanDelinder, Treasurer, Political Action Committee of the Independent Insurance Agents of Texas (00015593)

Report: monthly report due October 5, 2004
Penalty: $500

39) Carole Shelton, Treasurer, Political Action Committee of the Houston Association of Insurance Agents (00015577)

Report: monthly report due October 5, 2004
Penalty: $500

Robert A. Gilbert with the Independent Insurance Agents of Texas spoke before the commission. Motion by Commissioner Harrison to adopt staff’s recommendation to waive the $500 late-filing penalty on Agenda Item 8, number 34; second by Commissioner Fisher. Motion passed by a vote of eight ayes. Sarah Woelk provided additional comments. Motion by Commissioner Madden to waive the $500 late-filing penalty on Agenda Item 8, number 39; second by Commissioner Montagne. Motion passed by a vote of eight ayes. Staff’s recommendation to waive the late-filing penalty is adopted on Agenda Item 8, number 34. Staff’s recommendation to waive the late-filing penalty is adopted on Agenda Item 8, number 39.

Agenda Item 7: Briefing, discussion, and possible action to waive or reduce certain penalties assessed for late filing of campaign finance reports, lobby reports, or personal financial statements.

23) Ruben W. Hope, State Representative (00036203)

Report: semiannual report due July 15, 2004
Penalty: $10,000
Staff recommendation: reduction of the late-filing penalty to $100

Francine Hope, spouse of Representative Hope, spoke before the commission. Motion by Commissioner Hernandez to accept staff’s recommendation to reduce the $10,000 late-filing penalty to $100 on Agenda Item 7, number 23; second by Commissioner Madden. Motion passed by a vote of eight ayes. Late-filing penalty reduced to $100 for Agenda Item 7, number 23.

1) David C. Courtney, Treasurer, Hamilton County Republican Club (00055932)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

2) Melinda S. Fredricks, Texas State Board of Medical Examiners (00054506)

Report: personal financial statement due April 30, 2004
Penalty: $500

3) George Lawshe, Chair, Kaufman County Democratic Party (00023983)

Report: 50-day pre-election political party report due September 13, 2004
Penalty: $500

4) Joyce N. Tudyk, Treasurer, Atascosa County-Lytle Area Republican Women (00055629)

Report: semiannual report due July 15, 2004
Penalty: $500

Motion by Commissioner Madden to adopt staff’s recommendation to waive the $500 late-filing penalty on Agenda Item 7, numbers 1 through 4; second by Vice Chair Looney. Motion passed by a vote of eight ayes. Late-filing penalty waived for Agenda Item 7, numbers 1 through 4.

9) M. P. “Dexter” Eaves, Criminal District Attorney (00037772)

Report: personal financial statement due April 30, 2004
Penalty: $500

Agenda Item 7, number 9 is postponed.

5) Richard Hunter Chenevert, Candidate, State Representative (00051943)

Reports: semiannual reports due July 15, 2002; January 15, 2003; and July 15, 2003
Penalty: $100 (each report)

Reports: semiannual reports due January 15, 2004, and July 15, 2004
Penalty: $500 (each report)

6) James A. Deats, Candidate, State Board of Education (00019878)

Reports: semiannual reports due July 15, 2002; January 15, 2003; and July 15, 2003
Penalty: $100 (each report)

Reports: semiannual reports due January 15, 2004, and July 15, 2004
Penalty: $500 (each report)

7) Hector E. De la Rosa, Treasurer, American Pharmacy Coalition Inc., PAC (00051510)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

8) Nathan A. East, Treasurer, San Patricio County Republican Party (00055925)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

10) Robert Frank, Lobbyist (00056007)

Report: lobby activities report due November 10, 2004
Penalty: $500

11) Gerald M. Lavey, State Office of Risk Management (00038048)

Report: personal financial statement due June 29, 2004
Penalty: $500

12) Bob Martin, Treasurer, Homeowner-Taxpayer Association of Bexar County Inc., PAC (00034274)

Report: 8-day pre-election report due October 25, 2004
Penalty: $500

13) Richard F. McKay, Treasurer, Texas Orthopaedic Association PAC (00034729)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

14) Harold Oliver, Lobbyist (00055191)

Report: lobby activities report due October 12, 2004
Penalty: $500

15) Pamela Parker, Lobbyist (00054803)

Report: lobby activities report due September 10, 2004
Penalty: $500

16) Juanita L. Pavlik, District Judge (00020849)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

17) Jenny Young, Lobbyist (00050717)

Report: lobby activities report due September 10, 2004
Penalty: $500

Motion by Commissioner Madden to adopt staff’s recommendation not to waive the late-filing penalties on Agenda Item 7, numbers 5 through 8 and 10 through 17; second by Commissioner Harrison. Motion passed by a vote of eight ayes. Staff’s recommendation not to waive the late-filing penalties is adopted for Agenda Item 7, numbers 5 through 8, and 10 through 17.

18) Christopher Bean, Treasurer, Independent Electrical Contractors of Houston PAC (00040849)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500
Staff recommendation: waiver of the late-filing penalty

Report: 8-day pre-election report due October 25, 2004
Penalty: $900
Staff recommendation: reduction of the late-filing penalty to $250

20) Joseph D. Dobbs, Treasurer, Texas BOMA PAC (00055819)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500
Staff recommendation: no waiver of the late-filing penalty

Report: 8-day pre-election report due October 25, 2004
Penalty: $1,300
Staff recommendation: reduction of the late-filing penalty to $500

21) David Flores, Candidate, State Representative (00054527)

Report: 8-day pre-election report due March 1, 2004
Penalty: $10,000
Staff recommendation: reduction of the late-filing penalty to $500

Report: semiannual report due July 15, 2004
Penalty: $8,000
Staff recommendation: reduction of the late-filing penalty to $600

24) Kae McLaughlin, Treasurer, Texas Abortion Rights Action League PAC (00015602)

Report: 8-day pre-election report due October 25, 2004
Penalty: $2,400
Staff recommendation: reduction of the late-filing penalty to $700

25) Nan Presson, Treasurer, Wichita County Republican Women (00054640)

Report: 8-day pre-election report due October 25, 2004
Penalty: $2,300
Staff recommendation: reduction of the late-filing penalty to $500

26) Jose E. Saenz, Candidate, State Representative (00054337)

Report: semiannual report due July 15, 2004
Penalty: $3,600
Staff recommendation: reduction of the late-filing penalty to $700

27) Lee Zieben, Candidate, State Representative (00053921)

Report: semiannual report due July 15, 2004
Penalty: $5,200
Staff recommendation: reduction of the late-filing penalty to $600

Motion by Commissioner Hernandez to adopt staff’s recommendation to reduce the late-filing penalties on Agenda Item 7, numbers 18, 20, 21, and 24 through 27; second by Commissioner Davenport. Motion passed by a vote of eight ayes. Kae McLaughlin, Treasurer of TARAL PAC, spoke before the commission on Agenda Item 7, number 24. Staff’s recommendation to reduce the late-filing penalties is adopted for Agenda Item 7, numbers 18, 20, 21, and 24 through 27.

19) Terry A. Canales, Candidate, District Attorney (00019823)

Report: semiannual report due July 15, 2004
Penalty: $5,300
Staff recommendation: reduction of the late-filing penalty to $1,000

Motion by Commissioner Hernandez to reduce the $5,300 late-filing penalty to $2,500 on Agenda Item 7, number 19; second by Commissioner Madden. Motion passed by a vote of eight ayes. Late-filing penalty reduced to $2,500 for Agenda Item 7, number 19.

22) Fred Hill, State Representative (00020297)

Report: 8-day pre-election report due October 25, 2004
Penalty: $2,500
Staff recommendation: reduction of the late-filing penalty to $500

Motion by Commissioner Madden to impose a $2,500 late-filing penalty on Agenda Item 7, number 22; second by Commissioner Hernandez. Motion passed by a vote of seven ayes. Commissioner Harrison voted no. Late-filing penalty of $2,500 is adopted for Agenda Item 7, number 22.

Agenda Item 8: Briefing, discussion, and possible action to waive or reduce late-filing penalties in connection with certain corrected reports or to determine whether certain corrected reports as originally filed substantially complied with the applicable law.

1) Shari Anderson, Treasurer, Akin, Gump, Strauss, Hauer & Feld Texas Civic Action Committee (00016923)

Report: monthly report due September 7, 2004
Penalty: $500

2) Tom L. Banning, Treasurer, Texas Academy of Family Physicians PAC (00016860)

Report: semiannual report due July 15, 2004
Penalty: $8,600

3) Robert C. Bass, Treasurer, Lumbermen’s Association of Texas PAC (00017309)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

4) Todd Baxter, State Representative (00051716)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

5) Linda Harper-Brown, State Representative (00051665)

Report: semiannual report due July 15, 2004
Penalty: $10,000

6) Carlos Cortez, Candidate, District Judge (00054920)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

Report: 8-day pre-election report due October 25, 2004
Penalty: $800

7) Jackie Harrison, Treasurer, TXU Corp. PAC (00017075)

Reports: monthly reports due September 7, 2004, and October 5, 2004
Penalty: $500 (each report)

8) Thomas Johnson, Treasurer, Associated General Contractors of Texas PAC (00016409)

Report: 8-day pre-election report due October 25, 2004
Penalty: $1,400

9) Michael Mason, Treasurer, Trinity Industries Employee PAC (TX) Inc. (00017146)

Report: monthly report due November 5, 2004
Penalty: $500

10) Freda McVay, Candidate, State Representative (00054905)

Report: 8-day pre-election report due October 25, 2004
Penalty: $1,100

11) C. Neuville Miller, Treasurer, Angelina County Republican Club (00055926)

Report: 8-day pre-election report due October 25, 2004
Penalty: $3,900

12) John O’Rear, Treasurer, XTO Energy Inc. Fed PAC (00034274)

Reports: monthly reports due June 7, 2004; July 6, 2004; and August 5, 2004
Penalty: $500 (each report)

13) Lorraine Raggio, Candidate, District Judge (00054575)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

14) George A. Scott, Treasurer, Deloitte & Touche Texas Political Action Committee (00053969)

Report: monthly report due September 7, 2004
Penalty: $500

15) Yvonne Gonzalez Toureilles, State Representative (00054587)

Report: 8-day pre-election report due October 25, 2004
Penalty: $800

16) Stephen Truesdell, Treasurer, Austin Fire Fighters PAC (00015617)

Report: 8-day pre-election report due October 25, 2004
Penalty: $500

17) Carlos Valdez, District Attorney (00020897)

Report: 8-day pre-election report due October 25, 2004
Penalty: $700

18) Leticia Van de Putte, Senator (00020909)

Report: 8-day pre-election report due October 25, 2004
Penalty: $700

19) Michael U. Villarreal, State Representative (00040281)

Report: semiannual report due July 15, 2004
Penalty: $10,000

20) Michael D. Warner, Treasurer, Republican Party of Burnet County PAC (00016374)

Report: 30-day pre-election report due February 9, 2004
Penalty: $500

Report: 8-day pre-election report due March 1, 2004
Penalty: $10,000

Report: semiannual report due July 15, 2004
Penalty: $10,000

21) Beverly Woolley, State Representative (00024470)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

Motion by Vice Chair Looney to adopt staff’s recommendation on Agenda Item 8, numbers 1 through 21, that the original reports substantially complied with the applicable law; second by Commissioner Davenport. Motion passed by a vote of eight ayes. Staff’s recommendation is adopted on Agenda Item 8, numbers 1 through 21, that the original reports substantially complied with the applicable law.

22) Robert A. Allen, State Representative (00019678)

Report: semiannual report due January 15, 2004
Penalty: $500

23) Nancy M. Archer, Candidate, State Representative (00054735)

Report: 8-day pre-election report due March 1, 2004
Penalty: $500

24) David W. Cook, Treasurer, Bay Area New Democrats (BAND) (00040715)

Report: monthly report due December 6, 2004
Penalty: $500

25) Anthony Garcia, Treasurer, Libertarian Party of Texas (00055955)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

26) Rudy M. Garcia, Treasurer, LOPEZGARCIA PAC (00055767)

Report: monthly report due October 5, 2004
Penalty: $500

27) Roland H. Graves, Candidate, State Representative (00054790)

Report: semiannual report due July 15, 2004
Penalty: $10,000

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

28) John T. Hubert, Candidate, State Representative (00054870)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

30) Barbara Northrup, Treasurer, Williamson County Republican Women PAC (00016604)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

31) William F. H. Sinclair, Treasurer, Rockwall Republican Executive Committee General Purpose PAC (00056027)

Report: 8-day pre-election report due October 25, 2004
Penalty: $2,200

32) Mark Strama, State Representative (00054754)

Report: 8-day pre-election report due October 25, 2004
Penalty: $800

33) Clifford J. Vacek, District Judge (00051955)

Report: 8-day pre-election report due October 25, 2004
Penalty: $700

35) David R. Weiner, Candidate, Court of Appeals Justice (00055970)

Report: 8-day pre-election report due October 25, 2004
Penalty: $500

36) Kristi A. Willis, Treasurer, Capitol Area Democratic Women PAC (00051024)

Report: semiannual report due July 15, 2004
Penalty: $500

Report: 30-day pre-election report due October 4, 2004
Penalty: $500

37) Stephen Yelenosky, District Judge (00054142)

Report: 8-day pre-election report due October 25, 2004
Penalty: $500

Motion by Vice Chair Looney to adopt staff’s recommendation to waive the late-filing penalties on Agenda Item 8, numbers 22 through 28, 30 through 33, and 35 through 37; second by Commissioner Madden. Motion passed by a vote of eight ayes. Staff’s recommendation to waive the late-filing penalties is adopted for Agenda Item 8, numbers 22 through 28, 30 through 33, and 35 through 37.

29) Christopher Maska, Treasurer, Republican Party of Texas (00015662)

Report: 8-day pre-election report due October 25, 2004
Penalty: $700

Motion by Commissioner Fisher to adopt staff’s recommendation to waive the late-filing penalty on Agenda Item 8, number 29; second by Commissioner Harrison. Motion passed by a vote of eight ayes. Staff’s recommendation to waive the late-filing penalty is adopted for Agenda Item 8, number 29.

38) Charles Schweiger, Treasurer, Dallas County Republican Party (00027370)

Report: 8-day pre-election report due October 25, 2004
Penalty: $500

Motion by Commissioner Madden to adopt staff’s recommendation not to waive the late-filing penalty for Agenda Item 8, number 38; second by Commissioner Harrison. Motion passed by a vote of seven ayes. Commissioner Davenport voted no. Staff’s recommendation not to waive the late-filing penalty is adopted for Agenda Item 8, number 38.

40) Stephen Frost, State Representative (00054840)

Report: 30-day pre-election report due October 4, 2004
Penalty: $500
Staff recommendation: original report substantially complied with the law

Report: 8-day pre-election report due October 25, 2004
Penalty: $600
Staff recommendation: no waiver of the late-filing penalty

41) Harriet Miller, Candidate, State Representative (00054750)

Report: 8-day pre-election report due October 25, 2004
Penalty: $700
Staff recommendation: reduction of the late-filing penalty to $500

42) Wade Weems, Candidate, State Representative (00054670)

Report: semiannual report due January 15, 2004
Penalty: $500
Staff recommendation: waiver of the late-filing penalty

Report: semiannual report due July 15, 2004
Penalty: $1,500
Staff recommendation: reduction of the late-filing penalty to $500

43) Kelly White, Candidate, State Representative (00054578)

Report: semiannual report due January 15, 2004
Penalty: $500
Staff recommendation: waiver of the late-filing penalty

Report: semiannual report due July 15, 2004
Penalty: $8,700
Staff recommendation: reduction of the late-filing penalty to $700

Report: 30-day pre-election report due October 4, 2004
Penalty: $500
Staff recommendation: waiver of the late-filing penalty

44) Ann Witt, Candidate, State Representative (00053858)

Report: semiannual report due January 15, 2004
Penalty: $500
Staff recommendation: waiver of the late-filing penalty

Report: 30-day pre-election report due February 9, 2004
Penalty: $500
Staff recommendation: no waiver of the late-filing penalty

Report: 8-day pre-election report due March 1, 2004
Penalty: $10,000
Staff recommendation: reduction of the late-filing penalty to $500

Motion by Commissioner Montagne to adopt staff’s recommendation on Agenda Item 8, numbers 40 through 44; second by Commissioner Harrison. Motion passed by a vote of eight ayes. Staff’s recommendation for waiver or reduction of the late-filing penalty is adopted for Agenda Item 8, numbers 40 through 44.

45) Ann E. Kitchen, Former State Representative (00041450)

Report: 8-day pre-election report due October 28, 2002
Penalty: $10,000

Motion by Commissioner Madden to impose a $5,000 late-filing penalty on Agenda Item 8, number 45; second by Commissioner Fisher. Amended motion by Commissioner Hernandez to impose a $10,000 late-filing penalty on Agenda Item 8, number 45; second by Commissioner Madden. Motion passed by a vote of seven ayes on the amendment. Chair Wayne abstained from voting. Motion passed by a vote of seven ayes on the motion as amended. Late-filing penalty of $10,000 is adopted for Agenda Item 8, number 45.

Agenda Item 9: AOR 520: Meaning of the phrase “reimbursable with public funds” in section 251.001(9) of the Election Code.

Sarah Woelk briefed the commission on this agenda item. Motion by Commissioner Madden to adopt staff’s recommendation; second by Vice Chair Looney. Motion passed by a vote of eight ayes. AOR 520 is adopted as Ethics Advisory Opinion No. 460.

Agenda Item 10: AOR 521: Application of the contingent fee prohibition in section 305.022 of the Government Code.

Sarah Woelk briefed the commission on this agenda item. Larry York, attorney, spoke before the commission. David A. Reisman introduced Jennifer Ahrens from the Governor’s Office of Budget Planning and Policy, who is the newly assigned designee to the Texas Ethics Commission. She is replacing Jerry Tucker. Fred Lewis, Campaigns for People, spoke before the commission. Edward Shack, attorney, also spoke before the commission. Motion by Vice Chair Looney to defer the advisory opinion until the next commission meeting; second by Commissioner Harrison. Motion passed by a vote of eight ayes. AOR 521 is postponed.

Agenda Item 11: Public discussion and possible action on the adoption and publication in the Texas Register of an amendment to the rule relating to the legislative per diem required to be set under Article III, Section 24a, of the Texas Constitution.

David A. Reisman briefed the commission on this agenda item. Motion by Commissioner Madden to adopt and publish the amended per diem rule; second by Commissioner Fisher. Motion passed by a vote of eight ayes. The rule is adopted.

Agenda Item 12: Public discussion and possible action on the adoption and publication in the Texas Register of a rule relating to lobby activities reports.

David A. Reisman briefed the commission on this agenda item and proposed changing the title of Subchapter E, Chapter 305, Government Code, from LOBBY ACTIVITY REPORT to ELECTRONIC FILING. Motion by Commissioner Madden to adopt the rule; second by Commissioner Harrison. Motion passed by a vote of eight ayes. The rule is adopted with staff’s recommended changes.

Agenda Item 13: Public discussion and possible action on the adoption and publication in the Texas Register of a rule relating to disclosure of expenditures by general-purpose committees made from contributions from corporations and labor organizations.

Sarah Woelk briefed the commission on this agenda item amending section 20.433 to include subsection (b). Fred Lewis, Campaigns for People, spoke before the commission. Motion by Commissioner Madden to adopt staff’s recommendation; second by Commissioner Harrison. Motion passed by a vote of eight ayes. The rule is adopted with staff’s recommended changes.

Agenda Item 14: Public discussion and possible action on the proposal and publication in the Texas Register of a rule relating to candidates for county chair in certain counties.

Natalia Ashley briefed the commission on this agenda item. Motion by Commissioner Hernandez to publish the rule in the Texas Register; second by Commissioner Davenport. Motion passed by a vote of eight ayes. Motion is adopted to publish the rule in the Texas Register.

Agenda Item 15: Public discussion and possible action on the proposal and publication in the Texas Register of a rule relating to information about referrals required to be reported on the personal financial statement by a state officer who is an attorney.

Natalia Ashley briefed the commission on this agenda item. Chair Wayne requested that the record reflect that Allen Gwinn who spoke before the commission on Agenda Item 4 was in favor of the rule. Motion by Commissioner Davenport to publish the rule in the Texas Register; second by Vice Chair Looney. Motion passed by a vote of eight ayes. Motion is adopted to publish the rule in the Texas Register.

Agenda Item 16: Public discussion and possible action on a rule relating to the use of political contributions for travel.

David A. Reisman briefed the commission on this agenda item. Ed Shack, attorney, spoke before the commission. No action was taken by the commission.

Agenda Item 17: Public discussion and possible action on a rule prohibiting the use of political contributions to pay fines.

David A. Reisman briefed the commission on this agenda item. Ed Shack, attorney, spoke before the commission. No action was taken by the commission.

Agenda Item 18: Adjourn.

Motion by Commissioner Montagne to adjourn; second by Commissioner Madden. Motion passed by unanimous consent.

The next commission meeting is tentatively scheduled for March 10th and 11th, 2005.