Joel Kretz: Alleged violation of RCW 42.17A.235 and .430 for late reporting of expenditure and improper disposal of surplus funds to support another candidate. (EY24 JUN24)

Case

#155937

Respondent

Joel Kretz

Complainant

Jake Espeland

Description

PDC staff reviewed the allegations and evidence you submitted; the applicable statutes, rules, and reporting requirements; the response(s) provided by the Joel Kretz (the “Respondent”) and the manager of the surplus committee Mitch Short; the applicable PDC reports filed by the Respondent; and other relevant information, to determine whether the record supports a finding of one or more violations.
Applicable Laws & Rules

• RCW 42.17A.430 states, in part, that no candidate or authorized committee may transfer funds from the surplus funds of the candidate to any other candidate or other political committee.
• Per RCW 42.17A.235 under the Full Reporting option, a committee is required to disclose expenditure information by submitting Receipts and Expenditure Summary (C-4) reports to the PDC.  The Committee’s due dates for the C-4 reports are determined by its activity and participation in the election cycle. 
o RCW 42.17A.235(3)(a) indicates a C-4 report is due each month “if the committee has received a contribution or made an expenditure in the preceding calendar month and either the total contributions received, or the total expenditures made since the last such report exceed $750.”
 
Background & Findings

Based on staff’s review, we found the following:

• The Committee to Elect Joel Kretz – Surplus Funds Account, registered with the PDC on June 12, 2019, as a continuing committee for the Full Reporting option.
• Upon review of the evidence provided, it was determined that an expenditure was made from the Committee to Elect Joel Kretz – Surplus Funds Account on March 27, 2024, for $1000 as a contribution to the Committee to Elect Jacquelin Maycumber.  The expenditure was reported on C-4 #110214254 for the period March 1, 2024, to March 31, 2024, submitted on May 10, 2024, 2 months late.  
• Jacqueline Maycumber, a candidate for Congress in the 2024 election, reported the contribution as received by the Maycumber for Congress committee, reporting to the Federal Elections Commission on April 15, 2024.
• In their response, Joel Kretz said the “Committee to Elect Joel Kretz received guidance in March that I could make a donation to a congressional campaign, from my Surplus Account.  After reviewing the RCWs, I realize that guidance was incorrect and have informed the congressional campaign.”  PDC staff followed up on this statement and discovered the “guidance” came from the Maycumber campaign.
• The Respondent does not have previous warnings or violations of similar PDC requirements that are within the five year statute of limitations.

Summary and Resolution

Once notified of the complaint, the Respondent contacted the Maycumber campaign and worked through the process to receive a refund for the contribution.  The Maycumber Campaign returned the $1000 to the Respondent and the funds were deposited into the Committee to Elect Joel Kretz – Surplus Funds Account on September 11, 2024, reported in the Cash Receipts Monetary Contributions (C-3) report #110244851.

Pursuant to WAC 390-37-060(1)(d), Joel Kretz will receive a formal written warning concerning their late reporting of an expenditure and the improper disposal of surplus funds to support another candidate. The formal written warning will include staff’s expectation that Joel Kretz follows RCW 42.17A.430 regarding the use of surplus funds and timely file reports of expenditures per RCW 42.17A.235.  The Commission will consider the formal written warning in deciding on further Commission action if there are future violations of PDC laws or 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

Case Closed with Written Warning

Date Opened

June 28, 2024

Areas of Law

RCW 42.17A.235, RCW 42.17A.430

Documents

• 155937 Joel Kretz Complaint.pdf
• 155937 Kretz_Joel Complaint Return Letter (combined).pdf
• 155937 Kretz_Joel Response.pdf