Vermont Business Magazine A Vermont non-profit corporation formed in 2012 to provide public education about single-payer healthcare and its political committee have acknowledged violations arising out of their campaign activities in the 2012 and 2014 election cycles, according to Vermont Attorney General Bill Sorrell. Vermont Leads, Inc and an independent expenditure-only PAC that it created, Vermont Leads PAC, will pay civil penalties totaling $3,000.
Vermont Leads Inc created the Vermont Leads PAC in 2012 to advocate for the election of candidates who supported the single-payer health plan. In its closing report filed with the Secretary of State after the 2012 election, the PAC stated that it had ceased operations and transferred all remaining funds to Vermont Leads, Inc. The PAC then filed a campaign finance report in September 2014 that contradicted its 2012 report. The report disclosed it had actually carried over $11,172 from the 2012 campaign and made advertising expenditures in August 2014 to support a Vermont Senate candidate.
Within a week of being notified by the Attorney General’s Office of these apparent contradictions, Vermont Leads PAC filed five corrected or missing campaign finance reports and has acknowledged that its failure to file accurate and timely campaign finance reports violated Vermont’s campaign finance law. Vermont Leads PAC will pay a civil penalty of $1,000 to the State of Vermont.
In addition, Vermont Leads Inc will pay a penalty of $2,000 for accepting one contribution in excess of $4,000 from a single source in March 2014 and subsequently making direct contributions to candidates running for Vermont office. Because of these activities, Vermont Leads, Inc. met the definition of a “political committee” and was therefore subject to the registration, reporting and other requirements of Vermont’s campaign finance laws. Vermont Leads, Inc. violated these laws when it failed to register as a political committee and accepted a contribution that exceeded the $4,000 allowable limit.
“As we get deeper into the 2016 election cycle, this settlement should serve as a reminder to entities that accept contributions or make expenditures supporting or opposing a candidate that such conduct can trigger application of Vermont’s campaign finance laws,” said Sorrell. “All entities that qualify as PACs should take care to abide by our campaign finance laws.” Vermont’s campaign finance laws and the Secretary of State’s guidance document can be found on the Secretary of State’s website.
Vermont AG: Jul 12, 2016