As detailed in the attached Final Board Determination, the Campaign must repay the following:

Transcription

1 December 20, 2012 Yanet I. Ciprian Claxton For City Council Dear Ms. Ciprian: Please find attached the New York City Campaign Finance Board s (the CFB or Board ) Final Audit Report for the 2009 campaign of Marquez Claxton (the Campaign ). The report is based on a comprehensive review of the Campaign s financial disclosure statements and submitted documentation, and incorporates the Board s final determination of November 29, 2012 (attached). As detailed in the report, the Campaign failed to demonstrate compliance with the Campaign Finance Act (the Act ) and the Rules of the Board (the Rules ). As detailed in the attached Final Board Determination, the Campaign must repay the following: Public Funds Repayment (Qualified Expenditure Deficit) $69,102 Penalties Assessed $14,197 Total Owed $83,299 The full amount owed must be paid no later than January 22, Please send a check in the amount of $83,299, payable to the New York City Election Campaign Finance Fund, to: New York City Campaign Finance Board, 40 Rector Street, 7 th Floor, New York, NY

2 Yanet I. Ciprian Claxton For City Council -2- December 20, 2012 If the CFB is not in receipt of the full amount owed by January 22, 2013, the Candidate s name and the amount owed will be posted on the CFB s website. The CFB also may initiate a civil action to compel payment. In addition, any principal committee of the Candidate will not be eligible to receive public funds for any future election until the full amount is paid. Further information regarding liability for this debt can be found in the attached Final Board Determination. If you believe you are eligible to submit a Rule 5-02(a) petition regarding your public funds determination, please call the Legal Unit at The January 15, 2010 disclosure statement (#16) was the last disclosure statement the Campaign was required to file with the CFB for the 2009 elections. If the Campaign raises additional contributions to pay outstanding liabilities, please note that all 2009 election requirements, including contribution limits, remain in effect. The Campaign is required to maintain its records for six years after the election, and the CFB may require the Campaign to demonstrate ongoing compliance. See Rules 3-02(b)(3), 4-01(a), and In addition, please contact the Board of Elections for information concerning their separate filing requirements. The CFB thanks you for your cooperation during the 2009 election cycle. Should you have any questions about the enclosed report, please contact the Audit Unit at or AuditMail@nyccfb.info. Sincerely, Julius Peele Director of Auditing and Accounting c: Marquez Claxton Claxton For City Council Attachments

3 December 20, 2012 CAMPAIGN FINANCE BOARD FINAL AUDIT REPORT OF CLAXTON FOR CITY COUNCIL BACKGROUND Among the purposes of the Act are to diminish the role and influence of private money in New York City elections, to increase the information available to the public about elections and candidates' campaign finances, and to reduce the potential for actual or perceived corruption. The CFB is a nonpartisan, independent city agency that serves the public interest by enhancing the role of New York City residents in the electoral process. All candidates for the five covered offices - mayor, public advocate, comptroller, borough president, and City Council member - are required to disclose all campaign activity to the CFB. All candidates must adhere to strict contribution limits and the ban on contributions from corporations, and beginning January 1, 2008, partnerships and limited liability entities. Additionally, participating candidates are prohibited from accepting contributions from unregistered political committees. The CFB also administers the voluntary Campaign Finance Program (the Program ). Candidates who voluntarily participate in the Program can qualify to have private contributions matched with public money in exchange for agreeing to strict spending limits. 1

4 CAMPAIGN INFORMATION The table below provides detailed information about the Campaign: Name: Marquez Claxton ID: 1229 Office Sought: City Council District: 31 Classification: Participant Certification Date: June 10, 2009 Committee Name: Claxton For City Council Ballot Status: Primary Other Committees: No Primary Election Date: September 15, 2009 Public Funds: Contribution Limit: Received: $83,478 $2,750 Returned: $0 Expenditure Limit: : $43, Primary: $161,000 Claxton For City Council 2 December 20, 2012

5 OBJECTIVES The overall objective of the CFB s audit was to determine whether the Campaign complied with the Act and Rules. Specifically, CFB staff evaluated whether (1) the Campaign accurately reported financial transactions and maintained adequate books and records; (2) the Campaign adhered to contribution limits and prohibitions; (3) the Campaign disbursed funds in accordance with the Act and Rules and complied with the expenditure limits; and (4) the correct amount of public funds was received, any additional funds are due, or any return of public funds is required in accordance with the Act and Rules. SCOPE AND METHODOLOGY Prior to the election, CFB staff performed an initial review of the Campaign s reporting and documentation of contributions for public funds eligibility and compliance with the Act and Rules. After the election, CFB staff performed an audit of financial disclosure statements five through sixteen (see Appendix #1), covering the period from May 31, 2008 through January 11, The audit was conducted in accordance with generally accepted government auditing standards (GAGAS) and included tests of records and other auditing procedures as necessary. This audit was performed in accordance with the audit responsibilities of the CFB as set forth in Administrative Code CFB staff examined the bank statements submitted by the Campaign from June 1, 2008 through December 31, 2009 and reconciled transactions to the Campaign s disclosure statements during this period to verify that all financial transactions were accurately reported and documented. Claxton For City Council 3 December 20, 2012

6 CFB staff conducted a comprehensive review of all financial transactions reported in the Campaign s disclosure statements to determine whether contribution limits and prohibitions were adhered to. Additionally, CFB staff reviewed the Campaign s reported expenditures to ensure that the Campaign disbursed funds in accordance with the Act and Rules and complied with the expenditure limits. CFB staff reviewed the Campaign s eligibility for public matching funds, all matchable contribution claims by the Campaign for compliance with the Act and Rules, and the Campaign s disbursements of public funds. The review was done to ensure that the correct amount of public funds was received by the Campaign, and to determine whether any additional public funds are due or whether any return of public funds by the Campaign is necessary. On April 1, 2010, CFB staff issued a Draft Audit Report to the Campaign that contained preliminary findings of non-compliance with the Act and Rules and recommended corrective actions. The Campaign did not respond to the Draft Audit Report and therefore the Conclusions presented below were made without a response from the Campaign. Based on CFB staff recommendations, the Board issued this Final Audit Report. Claxton For City Council 4 December 20, 2012

7 CONCLUSION The Campaign failed to demonstrate compliance with the Campaign Finance Act and the Rules of the Board as detailed below: Disclosure Findings - Accurate public disclosure is an important part of the CFB s mission. Findings in this section relate to the Campaign s failure to completely and timely disclose the Campaign s financial activity. The Campaign did not file, by the due date, a financial disclosure statement required by the Board (see Finding #1). The Board found the Campaign in violation and assessed a $650 penalty. The Campaign did not report or inaccurately reported financial transactions to the Board (see Finding #2). The Board found the Campaign in violation and assessed $1,000 in penalties. The Campaign may not have disclosed payments made by a vendor to subcontractors (see Finding #3). The Board found the Campaign in violation and assessed a $200 penalty. The Campaign did not report all advances correctly (see Finding #4). Contribution Findings - All campaigns are required to abide by contribution limits and adhere to the ban on contributions from prohibited sources. Further, campaigns are required to properly document and disclose all contributions. Findings in this section relate to the Campaign s failure to comply with the requirements for contributions under the Act and Rules. The Campaign has outstanding debt which violates the contribution limit (see Finding #5). The Board found the Campaign in violation and assessed a $3,850 penalty. The Campaign did not provide requested documentation for transactions reported (see Finding #6). The Board found the Campaign in violation and assessed a $150 penalty. During the pre-election period, the Campaign accepted the following corporate contributions: Dominic K. Bioh, M.D. P.C., $100 on July 19, 2008; and Operation Give Back, $125 on October 11, The Campaign refunded these contributions on July 28, 2009 and May 11, 2009, respectively. The Board has taken no further action on this matter other than to make this a part of the Candidate s record with the Board. Claxton For City Council 5 December 20, 2012

8 Expenditure Findings - Campaigns participating in the Program are required to comply with the spending limit. All campaigns are required to properly disclose and document expenditures and disburse funds in accordance with the Act and Rules. Findings in this section relate to the Campaign s failure to comply with the Act and Rules related to its spending. The Campaign did not properly report and document its joint expenditures (see Finding #7). Public Matching Funds Findings - The CFB matches contributions from individual New York City residents at a $6-to-$1 rate, up to $1,050 per contributor. CFB staff performs reviews to ensure that the correct amount of public funds was received by the Campaign and that public funds were spent in accordance with the Act and Rules. Findings in this section relate to whether any additional public funds are due, or any return of public funds by the Campaign is necessary. The Campaign did not document sufficient qualified expenditures equal to the amount of public funds it received (see Finding #8). Other Findings The Campaign did not respond to the Draft Audit Report (see Finding #9). The Board found the Campaign in violation and assessed an $8,347 penalty. Claxton For City Council 6 December 20, 2012

9 FINDINGS AND RECOMMENDATIONS 1. Failure to File and/or Late Filings Campaigns are required to file disclosure statements on scheduled dates. See New York City Charter 1052(a)(8), Admin. Code 3-703(6) and 3-708(8) and Rules 1-09(a) and The Campaign failed to file, by the due date, the following: Statement # Due Date Date Filed # Days Late 12 9/25/09 10/08/09 13 Previously Provided Recommendation You must explain the lateness for the statement listed above. You may provide additional documentation to the CFB if it was not previously submitted. Campaign s Response The Campaign did not respond to this finding. Board Action The Board found the Campaign in violation and assessed a $650 penalty. 2. Financial Disclosure Reporting - Discrepancies Campaigns are required to report every contribution, loan, and other receipt received, and every disbursement made. See Administrative Code 3-703(6) and Rule In addition, campaigns are required to deposit all receipts into an account listed on the candidate s Certification. See Administrative Code 3-703(10) and Rule 2-06(a). Campaigns are also required to provide the CFB with bank records, including periodic Claxton For City Council 7 December 20, 2012

10 bank statements and deposit slips. See Administrative Code 3-703(1)(d), (g), and Rules 4-01(a),(b)(1),(f). The Campaign provided CFB staff with its bank statements covering the period June 1, 2008 through December 31, 2009: Bank Commerce Bank/TD Bank Account Type Checking a) The Campaign must provide the following bank statements: Bank Commerce Bank/TD Bank Statement Period January 1, 2010 through present b) The Campaign did not report 20 transactions totaling $11, that appeared on its bank statements (see Exhibit I). c) The Campaign did not properly report the following transactions: Misreported Other Receipt: The Campaign reported the following transaction as a contribution instead of an other receipt. In addition, the Campaign over-reported the amount of the transaction by $ Name Statement/ Schedule/ Transaction ID Date Check Amount Amount Reported Amount Overreported New Yorkers For Norman Siegel* 12/ABC/R /17/09 $3, $3, $ * See Finding #7. Misreported Expenditures: The Campaign reported 22 transactions totaling $3, as other receipts instead of expenditure payments (see Exhibit II). Claxton For City Council 8 December 20, 2012

11 d) A review of the Campaign s deposit slips revealed the following discrepancy: Total Reported Total Cash per Dollar Percentage Cash Receipts Deposit Slips Variance Variance $5, $3, $1, % e) The Campaign must provide copies of the following itemized deposit slips: Date of Deposit Dollar Amount 07/14/08 $ /30/08 $ /31/08 $ /06/08 $ /18/08 $ /06/09 $ /23/09 $1, f) A comparison of the Campaign s submitted bank statements with information reported in the Campaign s disclosure statements revealed the following discrepancies: Receipts: Total Reported Total Credits Per Monetary Receipts Bank Statements Dollar Variance Percent Variance $120, $112, $8, % Disbursements: Total Reported Monetary Disbursements Total Debits Per Bank Statements Dollar Variance Percent Variance $101, $111, $10, % Previously Provided Recommendation a) You must provide all pages of the requested bank statements. b) You must provide documentation for and amend your disclosure statements to report these unreported transactions. Claxton For City Council 9 December 20, 2012

12 c) For the under-reported transaction, you must amend your disclosure statements to accurately report the correct amount of the transaction. For the misreported other receipts and expenditures, you must delete the transactions and add new transactions in C-SMART and amend your disclosure statements to accurately report the transactions. For the newly added expenditure transactions, you must provide documentation as required on Exhibit II of the Draft Audit Report. d) You must compare the receipts reported in your financial disclosure statements to supporting documentation, including deposits slips, bank statements, and documentation not previously submitted to resolve the listed discrepancies. e) You must provide copies of the requested itemized deposit slips. f) You must compare information reported on your financial disclosure statements to supporting documentation for contributions and/or expenditures and bank statements to identify and resolve the listed discrepancies. You may need to amend your disclosure statements and/or provide additional bank statements. Please note that any newly entered transactions will only appear as new transactions in an amendment to the last disclosure statement, even if the transaction dates are from earlier periods. Also note that the Campaign must file an amendment for each disclosure statement in which transactions are being modified. Once all data entry is completed, you should run the Modified Statements Report in C-SMART to identify the statements for which amendments must be submitted. If any new transactions have been added, you must amend Disclosure Statement 16. Campaign s Response a f) The Campaign did not respond to these findings. Claxton For City Council 10 December 20, 2012

13 Board Action a) The Board found the Campaign in violation and assessed a $250 penalty. b) See Finding #2f. c) The Board has taken no further action on this matter other than to make this a part of the Candidate s record with the Board. d - e) The Board found the Campaign in violation and assessed a $500 penalty. f) The Board found the Campaign in violation and assessed a $250 penalty. 3. Possible Subcontractors Subcontractors are vendors that a campaign s vendor may hire to supply goods/services. If a vendor hired by a campaign pays a subcontractor more than $5,000, the campaign must report the vendor, the name and address of the subcontractor, the amounts paid to the subcontractor, and the purpose for the subcontracted goods/services. See Rule 3-03(e)(3). The vendor listed below received large payments and may have subcontracted goods and/or services. Therefore, the Campaign may not have reported subcontractors used by this vendor, as required: Payee Name Total Amount Paid O & B Enterprises $49, Previously Provided Recommendation You must provide a copy of the Subcontractor Form (see the 2009 Campaign Finance Handbook or CFB s website, to the vendor for completion in order to verify whether or not subcontractors were used by the above vendor. The completed form must be submitted with your response. In addition, if subcontractors Claxton For City Council 11 December 20, 2012

14 were used and paid more than $5,000, you must amend your disclosure statements to report subcontractor information. If the vendor does not complete the subcontractor form, submit documentation of your attempts to obtain this information as part of your response. Campaign s Response The Campaign did not respond to this finding. Board Action The Board found the Campaign in violation and assessed a $200 penalty. 4. Advances For each advance, campaigns are required to report the name and address of the person making the purchase (the advancer), the amount, and the name of the vendor from whom the purchase was made. See Administrative Code 3-703(1)(g), 3-708(8) and Rule 3-03(c)(3). The Campaign did not properly report the name(s) and address(es) of the vendor(s) for a transaction listed in Exhibit III. Previously Provided Recommendation For each transaction listed in Exhibit III, you must amend your disclosure statements to report the name and address of each advancer and the vendor from whom the purchase was made. Claxton For City Council 12 December 20, 2012

15 Campaign s Response The Campaign did not respond to this finding. Board Action The Board has taken no further action on this matter other than to make this a part of the Candidate s record with the Board. 5. Contributions Over the Limit Campaigns may not accept contributions from any single source in excess of the applicable contribution limit for the entire election cycle. A single source includes, but is not limited to, any person or entity who or which establishes, maintains, or controls another entity and every entity so established, maintained, or controlled. Cumulative contributions from a single source may include monetary contributions, in-kind contributions, outstanding loans or advances, and debts older than 90 days unless the vendor has made a commercially reasonable attempt to collect payment. Candidates participating in the Program may contribute to their own campaign up to three times the contribution limit. Non-participating candidates are not limited in the amount they can contribute to their own campaign from their own money. See Administrative Code 3-703(1)(f) and Rule 1-04(h). Creditors who extend credit beyond 90 days are considered to have made a contribution equal to the credit extended, unless the creditor continues to seek payment of the debt. Outstanding liabilities that are forgiven or settled for less than the amount owed are also considered contributions. See Rule 1-04(g)(4), (5). Claxton For City Council 13 December 20, 2012

16 CONTRIBUTIONS EXCEEDING THE LIMIT OF $2,750: Name Schedule/Statement/ Transaction ID Transaction Type Date Incurred Amount Davis, Cynthia 6/ABC/R Monetary Contribution 10/05/08 $50.00 Davis, Cynthia 7/ABC/R Monetary Contribution 03/06/09 $50.00 Davis, Cynthia 16/N/R Outstanding Liability 07/07/09 $6, Office Limit ($2,750.00) Amount Over-the-Limit $3, Previously Provided Recommendation You must refund the over-the-limit portion of each contribution by bank or certified check and provide the CFB with copies of the refund check or pay the Public Fund an amount equal to the amount of the overage. You must respond by indicating why you failed to comply with the contribution limit. If you disagree with this finding, you must provide an explanation and documentation to demonstrate that the finding is not a violation. For outstanding liabilities, you may provide documentation showing that the debt remains an outstanding liability and that the creditor is attempting to collect the debt such as current invoices, collection notices, and/or letters from creditors. Even if the over-the-limit contribution is refunded, exceeding the contribution limit may result in a finding of a violation and the assessment of penalties. Campaign s Response The Campaign did not respond to this finding. Board Action The Board found the Campaign in violation and assessed a $3,850 penalty. Claxton For City Council 14 December 20, 2012

17 6. Undocumented Transactions Campaigns are required to report every contribution, loan, and other receipt received, and every disbursement made. See Administrative Code 3-703(6) and Rule Upon request from the Board, a campaign is required to provide copies of checks, bills, or other documentation to verify contributions, expenditures, or other transactions reported in disclosure statements. See Administrative Code 3-703(1)(d), (g), and Rule The Campaign did not provide supporting documentation for the following reported transactions: Name Transaction Type Statement/ Schedule/ Transaction ID Date Reported Amount Damien M. Brown Contribution Refund 6/M/R /05/08 $ Marquez Claxton Loan 11/I/R /05/09 $4, Marquez Claxton Loan Repayment 11/J/R /21/09 $4, Previously Provided Recommendation You must submit a copy of the front and back of the cancelled refund check for the contribution refund transaction listed above. You must provide a copy of the loan check and the loan repayment check for the loan transaction listed above. Campaign s Response The Campaign did not respond to this finding. Board Action The Board found the Campaign in violation and assessed a $150 penalty. Claxton For City Council 15 December 20, 2012

18 7. Undocumented/Unreported Transaction(s) Campaigns are permitted to engage in joint campaign activities, provided that the benefit each candidate derives from the joint activity is proportionally equivalent to the expenditure. See Administrative Code and Rule 1-04(p). Upon request from the Board, a campaign is required to provide copies of checks, bills, or other documentation to verify contributions, expenditures, or other transactions reported in disclosure statements. See Administrative Code 3-703(1)(d), (g), and Rule The Campaign provided a copy of a check from the Norman Siegel campaign to the Campaign as payment for palm cards. A copy of this palm card is included in Exhibit IV. Based on a review of this information, the Campaign did not account fully for the joint campaign activity with William Thompson, John Liu, and Helen Marshall. The Campaign also did not provide a methodology for the amount paid by the Norman Siegel campaign (see also Finding #2c). Previously Provided Recommendation If the Campaign previously reported the transaction(s) for the palm card, it must identify the associated transaction(s) reported by the Campaign and provide documentation for the expenditure(s). If the expenditure(s) has not been reported, the Campaign must provide an explanation for the initial failure to report and must amend its disclosure statements to report this transaction(s). Additionally, the Campaign must provide a methodology for the cost allocations for each campaign, including the Siegel campaign and indicate whether the William Thompson, John Liu, and Helen Marshall Claxton For City Council 16 December 20, 2012

19 campaigns have paid for their shares of the expenditure(s). The Campaign must provide supporting documentation for its responses. Campaign s Response The Campaign did not respond to this finding. Board Action The Board has taken no further action on this matter other than to make this a part of the Candidate s record with the Board. 8. Public Funds - Qualified Expenditure Documentation Public funds may only be used for qualified expenditures by a candidate s principal committee to further the candidate s nomination or election during the calendar year in which the election is held. Expenditures that are not considered qualified include undocumented or unreported expenditures, payments to the candidate or the candidate s relatives, payments in cash, contributions to other candidates, gifts, petition expenditures, and advances except individual purchases of more than $250. See Administrative Code and Rule 1-08(g). Participants must return public funds, or may be limited in the amount of public funds they are eligible to receive post-election, if they have not documented sufficient qualified expenditures. See Administrative Code 3-710(2)(b) and Rule 5-03(d). Campaigns are required to obtain and maintain contemporaneous records that enable CFB to verify that expenditures were qualified. See Administrative Code 3-703(1)(d) and Rule These records may include cancelled checks (front and back) and bills for goods or services. Bills must include the date the vendor was hired or the Claxton For City Council 17 December 20, 2012

20 date the goods or services were received, the vendor s name and address, a detailed description of the goods or services, and the amount. CFB Rules provide guidance for situations where contemporaneous records are either missing or incomplete. See Rule 4-01(a). First, a campaign must attempt to obtain a duplicate or more complete record from the vendor. If that is not possible, a campaign may modify an existing record or create a new record which must clearly identify the record as modified or recreated. In addition, any modified or recreated record must be accompanied by a notarized statement explaining the reason for and circumstances surrounding the record. The statement must be from a campaign representative who has firsthand knowledge of the recreated document and why the original document is not available or insufficient. Upon review of the non-contemporaneous record and statement, the CFB may still find the records are not sufficient to adequately document the transaction. The Campaign received $83,478 in public funds for the 2009 elections. Previously, CFB staff requested documentation to demonstrate that public funds were used for qualified expenditures. Based on all the records submitted, the Campaign has provided sufficient documentation for $14,376 in qualified expenditures. If the Campaign does not document an additional $69,102 as qualified, the Campaign must repay this amount to the Public Fund. Previously Provided Recommendation You must provide explanations and/or documentation where requested (copies of bills, detailed invoices, consulting agreements, work contracts, credit card statements, and/or fronts and backs of cancelled checks, etc., or recreated/modified records along Claxton For City Council 18 December 20, 2012

21 with the required statements as instructed above). In some cases, you may find it useful to provide evidence of work performed to supplement an invoice or other documentation already provided along with a more detailed description of tasks performed or products received. In addition, you may need to amend your disclosure statements to correct errors in the reporting of expenditures. Campaign s Response The Campaign did not respond to this finding. Board Action The Campaign documented a total of $14,376 in qualified expenditures. The Board determined that the Campaign must repay $69,102 to the Public Fund ($83,478 - $14,376). 9. Failure to Respond to the Draft Audit Report Upon request by the CFB, campaigns are required to provide documentation to verify transactions reported in their disclosure statements. See New York City Administrative Code 3-703(1)(d), (g), and Rule CFB staff sent the Campaign the Draft Audit Report on April 1, 2010 with a due date of May 3, The Campaign requested and was granted two extensions of time to respond, from August 31, 2010 to December 30, On March 8, 2011, a letter regarding its failure to respond was sent to the Campaign. Board Action The Board found the Campaign in violation and assessed an $8,347 penalty. Claxton For City Council 19 December 20, 2012

22

23 Exhibit I Claxton For City Council 2009 Elections Unreported Transactions (see Finding #2b) Payee Date Amount Debit- USPS 06/29/09 $17.50 TD Bank- Bank Check Fee 07/30/09 $4.00 Check #1025- Davis, Cynthia 07/30/09 $1, TD Bank- Wire Transfer Fee 08/20/09 $10.00 Debit- Mercury Parking LL 08/27/09 $7.00 Debit- Professional Lock 09/01/09 $47.25 Debit- OneBox 09/02/09 $49.95 Check #1046- O&B Enterprises 09/08/09 $9, Check #1045- KDNY Systems 09/09/09 $ TD Bank- Wire Transfer Fee 09/11/09 $10.00 Debit- 7-Eleven 09/15/09 $12.54 Debit- Prime New York LLC 09/16/09 $ Debit- Golden Crust 09/17/09 $5.50 Debit- Dashmesh Petroleum 09/18/09 $45.15 Debit- NYC DOT Metered Parking 09/28/09 $10.00 Debit- USPS 09/28/09 $4.95 Debit- OneBox 10/02/09 $49.95 Debit- OneBox 11/02/09 $49.95 Debit- Con Ed of NY 11/19/09 $ Debit- OneBox 12/02/09 $49.95 Total $11,923.64

24 Exhibit II Claxton For City Council 2009 Elections Misreported Expenditures (see Finding #2c) Payee Statement/ Schedule/ TransactionID Date Amount Vulcan Society* 7/E/R /06/09 $ Staples* 11/E/R /25/09 $37.19 Battery Garage* 11/E/R /28/09 $16.00 Home Depot* 11/E/R /28/09 $33.23 Staples* 12/E/R /15/09 $18.96 Staples 12/E/R /18/09 $ Staples* 12/E/R /14/09 $57.51 Staples* 12/E/R /12/09 $ Fedex 12/E/R /12/09 $43.45 Home Depot 12/E/R /30/09 $28.07 Home Depot 12/E/R /15/09 $54.73 Popeyes 12/E/R /15/09 $ Battery Garage 12/E/R /04/09 $16.00 BJ's Wholesale 12/E/R /09/09 $ Pathmark 12/E/R /14/09 $24.66 Dunkin Donuts 12/E/R /15/09 $43.27 Village Gourmet 12/E/R /15/09 $44.54 Battery Garage 12/E/R /18/09 $16.00 Mobil Gas 12/E/R /16/09 $45.15 Mobil Gas 12/E/R /16/09 $40.00 Budget Rent-A-Car 12/E/R /16/09 $ Budget Rent-A-Car 12/E/R /16/09 $ Total $3, * The Campaign did not submit invoices or the front and back of cancelled checks for these transactions, and therefore they could not be qualified expenditures (see Finding #8).

25 Exhibit III Claxton For City Council 2009 Elections Transaction Report for Advance Purchases (see Finding #4)

26 * * The Campaign did not properly report the name(s) and address(es) of vendors for this transaction (see Finding #4).

27 Exhibit IV Claxton For City Council 2009 Elections Undocumented/Unreported Transaction(s) (see Finding #7)

28