Hadaller, Mike: Alleged Violations of RCW 42.17A.205, .235, .240 & WAC 390-16-105 for exceeding mini reporting limitations, Failure to update registration to full reporting & failure to report contributions & expenditures timely & accurately (EY22, Oct22)

Case

#113464

Respondent

Mike Hadaller

Complainant

Karlene Raines

Description

The Public Disclosure Commission (PDC) has completed its review of the complaint filed on October 19, 2022. The complaint alleged that Mike Hadaller, a 2022 candidate for Commissioner for Lewis County Public Utility District 01 may have violated: (1) RCW 42.17A.205 & WAC 390-16-125 by exceeding mini reporting limitation and failing to update the Committee Registration Statement (C-1 report); and (2) RCW 42.17A.235 & .240 for failure to timely and accurately file Monetary Contribution reports (C-3 reports) and Summary Full Campaign Contribution and Expenditure reports (C-4 reports), disclosing contributions and expenditures undertaken by the Campaign

PDC staff reviewed the allegations; the applicable statutes, rules, and reporting requirements; the responses provided by the Respondent; the applicable PDC reports filed by the Respondent; and queried the Respondent’s data in the PDC contribution and expenditure database; and other relevant information, to determine whether the record supports a finding of one or more violations.

The Respondent was a first-time candidate in the 2022 election. Upon receipt of the October 19, 2022, complaint, the Hadaller Campaign filed C-3 and C-4 reports and amend as necessary to accurately disclose all campaign activity. It appears that the exceeding of mini reporting limits was due to the limited experience of the Respondent and not done intentionally to mislead the public. Staff found that the Respondent promptly responded to the complaint by submitting reports disclosing 2022 campaign activities.

Pursuant to WAC 390-37-060(1)(f), the PDC received a completed Statement of Understanding (SOU) on January 12, 2023, from Mike Hadaller acknowledging a violation of RCW 42.17A.235, .240 and WAC 390-16-125 for failure to timely and accurately file C-3 and C-4 reports and exceeding mini reporting limits. Mr. Hadaller paid a $300 total ($150 for exceeding mini reporting limits and $150 for late filed C-3 and C-4 reports) civil penalty in accordance with WAC 390-37-143 (Brief Enforcement Penalty Schedule), which resolves the issue.

Based on our findings staff has determined that, in this instance, failure to timely submit an updated C-1 report switching to the “Full Reporting” option prior to exceeding mini reporting limits, does not amount to a finding of a violation that warrants further investigation. Pursuant to WAC 390-37-070, PDC staff is reminding Mike Hadaller about the importance of submitting an updated C-1 report under the “Full Reporting” option by the required deadlines as part of a written request to change reporting option in accordance with PDC statutes and rules.

Based on this information, the PDC finds that no further action is warranted and has dismissed this matter in accordance with RCW 42.17A.755(1).

Disposition

Resolved through Statement of Understanding

Date Opened

October 24, 2022

Areas of Law

RCW 42.17A.205, RCW 42.17A.235, RCW 42.17A.240, WAC 390-16-105

Documents

Penalties

Total penalties: $300

Balance Due: $0

Hadaller, Mike

Penalty

$300 (Statement of Understanding)

Payments

$300 on 01/09/2023 (PAID - SOU)