Did Hanabusa’s Campaign Violate Disclosure Law by Not Reporting Poll?
Rep. Colleen Hanabusa’s campaign failed to report funds that it spent on a February survey that predated her entry into the senatorial race against incumbent Sen. Brian Schatz, her campaign spokesman Peter Boylan acknowledged on Tuesday.
The campaign risks being fined for violating federal elections law.
Boylan called the failure to note the expenditure in either of two disclosure reports filed since the poll was conducted an “accounting oversight.”
The campaign commissioned the poll to test Hanabusa against both Schatz and Gov. Neil Abercrombie, before she decided to become a senatorial candidate. Pollster QMark Research and the campaign agreed on a price 鈥 it ended up costing $11,413 鈥 but no invoice was ever sent to the campaign, according to Boylan’s explanation of why Hanabusa staff neglected to include it in their Federal Election Commission filings.
Boylan said the campaign would file an amended report with the FEC to correct the error.
Schatz campaign manager Clay Schroers quipped, “In all my years of managing campaigns, I never heard of a poll you didn’t have to pay for.”
In the scheme of things, the potential violation is not on the same scale as accepting more money than allowed by campaign finance laws, said Paul Ryan, senior counsel at the Campaign Legal Center. Still, Ryan said, funds spent on polls done while candidates are still in the so-called 鈥渢esting-the-waters鈥 stage are supposed to be disclosed in the first report they file with the FEC after a candidate declares.
Hanabusa announced her candidacy and filed for the race with the FEC on May 1. Her first disclosure after that time, on July 19, lists $89,000 in disbursements for campaign costs such as fundraising, salaries, and website and email services. It does not mention the voter survey.
The poll was also not included in Hanabusa鈥檚 previous campaign , filed on April 15, that laid out what she spent $35,350 between Jan 1 and March 30.
Members of Hanabusa’s team claimed that the poll showed her to be ahead 54 percent to 32 percent in a then-hypothetical run against Schatz, which created an impression of political momentum for Hanabusa. They leaked information about the poll to Civil Beat and other news organizations in March, when Schatz was raising money and looking to lock down endorsements. A Civil Beat poll this month found the race to be even.
The poll was also used by the Hanabusa campaign in a fundraising email on May 23. Referring to the numbers, it said, 鈥淭he early results confirm that the majority of voters recognize that Colleen is the experienced, bi-partisan legislator and leader that Hawaii needs now in the U.S. Senate.”
“It is critical that we build support for Colleen early and continue to share all the work she does on behalf of Hawaii’s working families. Can we count on you to invest in our effort with a contribution of $10 or more right now?鈥
If it turns out that the poll was indeed a campaign expense, it would draw down her funds at a time when, according to their most recent disclosure reports, she is at a disadvantage. Schatz has $1.6 million in the bank compared to Hanabusa鈥檚 $653,000.
An FEC spokeswoman said Tuesday the agency does not comment on specific cases. But Ryan, at the Campaign Legal Center, said Hanabusa’s campaign could face a fine if the money spent on the poll was not properly disclosed. The penalty could be equal to the cost of the poll, Ryan said.
If the Federal Election Commission finds a willful violation, the penalty could double. In this case, that would amount to $22,826.
The FEC does not have the power to levy penalties. That is the job of federal courts, but before getting there, the FEC tries to reach a settlement with alleged violators, Ryan said. Should that fail, he explained, the FEC may sue a campaign in federal court to force it to pay a penalty and fix the violation.
