JOSEPH A.

FOSTER
ATTORNEY GENERAL
ATTORNEY GENERAL
DEPARTMENT OF JUSTICE
33 CAPITOL STREET
CONCORD, NEW HAMPSHIRE 03301-6397
October 17, 2014
VIA EMAIL ( dvicinanzo@nixonpeabody.com)
AND FIRST CLASS MAIL
David Vicinanzo, Esq.
Nixon Peabody LLP
900 Elm Street
Manchester, NH 03101-2031
Re: Havenstein For Governor Political Committee
Dear Attorney Vicinanzo:
ANNM. RICE
DEPUTY ATTORNEY GENERAL
I am writing to you in your role as counsel for the Havenstein For Governor political
committee (the "Havenstein Political Committee"). This office received a complaint which
alleged that the Havenstein Political Committee had made expenditures prior to registering with
the Secretary of State, failed to provide the required detail regarding contributors in its August
20, 2014 report to the Secretary of State, and received contributions from out-of-state political
committees that had not registered in New Hampshire.' The Attorney General's Office has
completed its review of the complaint, and we conclude that the Havenstein Political Committee
violated State law regarding registration by political committees and reporting of contributions.
Prior to July 28, 2014, RSA 664:3, I required that "[a]ny political committee, except the
political committee of a political party, shall register with the secretary of state . . . not later than
24 hours after receiving any contribution in excess of $500 or before making any expenditure in
excess of $500, but in no event later than 14 days after the formation of the committee. "
2
Each
registration expires " 10 days after the primary or general election, whichever is appropriate,
unless terminated sooner .... " RSA 664:3, IV.
RSA 664:6 also provides that "[a]ll receipts of $25 or under shall appear on the
statements as unitemized receipts. Any listing that exceeds an individual ' s aggregate total of
1
This office is continuing to investi gate the status of the two out-of-state political committees. The complaint
alleges the two out-of-state political committees failed to register prior to making a contribution to the Havenstein
Political Committee. If founded, such complaints are addressed by orders against the non-registered contributing
political committee, not against the recipient of the funds . Thus, that portion of the complaint does not involve the
Havenstein Political Committee.
2
Effective July 28, 2014, the law now requires the committee's registration be received by the Secretary of State
"not later than 48 hours after the committee meets at least one of the criteria under RSA 664:2, III."
-------Telephone 603-271-3658 FAX 603-271-2110 TDD Access: Relay NH 1-800-735-2964 ------
David Vicinanzo, Esq.
October 17, 2014
Page 2
$100 for each election shall be accompanied by the contributor' s occupation including official
job title, the name of the contributor' s employer, and the city or town of the contributor's
principal place of business, if any."
Havenstein For Governor registered as a political committee on April 2, 2014. It
received its first contribution in the form of a loan from the candidate on March 1, 2014. RSA
664:2, VIII defines "contribution" to include "a payment, gift, subscription, assessment,
contract, payment for services, dues advance, forbearance or loan to a candidate or political
committee made for the purpose of influencing the nomination or election of any candidate.
' Contributions' shall include the use of any thing of value but shall not include the services of
volunteers who receive no pay therefor or the use of personal resources by a candidate on behalf
of his candidacy." (emphasis added).
3
The loan from the candidate made on March 1, 2014 falls
within the definition of contribution. Havenstein For Governor made its first expenditure on
March 5, 2014 for strategic consulting services. In its first report of contribution's and
expenditures filed on August 20, 2014 with the Secretary of State, the Committee fai led to
include the identity of employers and/or occupations of contributors. On October 9, 2014, the
Havenstein Political Committee filed an amended report of contributions and expenditures with a
corrected list of contributions.
Based on our investigation, we have concluded that the Havenstein Political Committee
violated the obligation to timely register (RSA 664:3) and failed to provide the required details
regarding contributors in its original August 20, 2014 report (RSA 664:6). Because the March 1,
2014 loan exceeded $500.00, the Havenstein Political Committee was obligated to register
within twenty-four hours ofreceiving the contribution. In addition, the Havenstein Political
Committee was obligated to register prior to making the expenditure of $24,000 on March 5,
2014. See RSA 664:3, I. Because the Havenstein Political Committee did not register until
April 2, 2014, it failed to register within the time required by the statute.
RSA 664:21 does not authorize the Attorney General to issue fines for the violations
described in this letter. Therefore, the Havenstein Political Committee is hereby ordered to cease
and desist from acting directly or indirectly on behalf of the committee to promote the success or
defeat of a New Hampshire political party, measure or candidate, unless the requirements of
RSA 664:3 and 664:6 are timely met. Because the Havensteiri Political Committee has
registered and retroactively filed a corrected report of contributions and expenditures, no
affirmative action is required at this time. This cease and desist order is prospective in nature.
Failure to comply with the order may result in an enforcement action and/or prosecution in New
Hampshire Superior Court. See RSA 664:18, II (a) (The Attorney General may "[i]ssue an order
requiring the violator to cease and desist from his or her violation. If the attorney general's order
is not obeyed, the attorney general or designee may petition the superior court of the county in
which the violation occurred for an order of enforcement."). See also RSA 664:21, V ("Any
3
Although the definition of contribution excludes "personal resources of a candidate," because the funds received
by the Havenstein Political Committee on March I, 2014 are described as a loan from the candidate, such a Joan
would be repaid to the candidate from future contributions. It is, therefore, not considered to be "personal resources
by a candidate. "
David Vicinanzo, Esq.
October 17, 2014
Page 3
person who otherwise violates any provision of this chapter shall be guilty of a misdemeanor if a
natural person or shall be guilty of a felony if any other person.").
Please do not hesitate to contact me if you have any
copy to:
Associate ttomey General
603-271-1221
richard.head(a),doj .nh. gov
William M. Gardner, Secretary of State
State House, Room 204
107 North Main Street
Concord, N.H. 03301
Jennifer Hom, Chairman
New Hampshire Republican State Committee
10 Water Street
Concord, NH 03301
Raymond Buckley, Chairman
New Hampshire Democratic Party
105 N. State Street
Concord, NH 03301