PART 9008—FEDERAL FINANCING OF PRESIDENTIAL NOMINATING CONVENTIONS Authority: 52 U.S.C. 30105, 30111(a)(8), 30125; 26 U.S.C. 9008, 9009(b). Source: 59 FR 33616, June 29, 1994, unless otherwise noted. Subpart A—Expenditures by National Committees and Convention Committees § 9008.1 Scope. (a) This part interprets 52 U.S.C. 30105 and 26 U.S.C. 9008. Under 26 U.S.C. 9008(b), the national committees of both major and minor parties are entitled to public funds to defray expenses incurred with respect to a Presidential Nominating convention. Under 26 U.S.C. 9008(d), expenditures with regard to such a convention by a national committee receiving public funds are limited to $4,000,000, as adjusted by the Consumer Price Index. New parties are not entitled to receive any public funds to defray convention expenses. (b) Under 52 U.S.C. 30105, each committee or organization which represents a national party in making arrangements for that party's presidential nominating convention is required to file disclosure reports. This reporting obligation extends to all such committees or organizations, regardless of whether or not public funds are used or available to defray convention expenses. [59 FR 33616, June 29, 1994, as amended at 79 FR 77851, Dec. 29, 2014] § 9008.2 Definitions. (a) Commission (b) Fund (c) Major party (d) Minor party (e) National committee (f) New party (g) Nominating convention (h) Secretary [59 FR 33616, June 29, 1994, as amended at 82 FR 60854, Dec. 26, 2017] § 9008.3 Eligibility for payments; registration and reporting. (a) Eligibility requirements. (2) The national committee shall establish a convention committee which shall be responsible for conducting the day to day arrangements and operations of that party's presidential nominating convention. The convention committee shall register with the Commission as a political committee pursuant to 11 CFR part 102. The convention committee shall receive all public funds to which the national committee is entitled under 11 CFR 9008.4 and 9008.5 and all private contributions made for the purpose of defraying convention expenses. All expenditures on behalf of the national committee for convention expenses shall be made by the convention committee. (3) The national committee shall file with the Commission an application statement. Any changes in the information provided in the application statement must be reported to the Commission within 10 days following the change. The application statement shall include: (i) The name and address of the national committee; (ii) The name and address of the convention committee and of the officers of that committee; (iii) The name of the city where the convention is to be held and the approximate dates; (iv) The name, address, and position of the convention committee officers designated by the national committee to sign requests for payments; and (v) The name and address of the depository of the convention committee. (4) The convention committee shall, by letter to the Commission, agree to the conditions set forth in paragraph (a)(4) (i) through (viii) of this section. This agreement shall also be binding upon the national committee. (i) The convention committee shall agree to comply with the applicable expenditure limitation set forth at 11 CFR 9008.8. (ii) The convention committee shall agree to file convention reports as required under 52 U.S.C. 30105 and 11 CFR 9008.3(b). (iii) The convention committee shall agree to establish one or more accounts into which all public funds received under 11 CFR 9008.4 and 9008.5 must be deposited and from which all expenditures for convention expenses must be made. Such account(s) shall contain only public funds except as provided in 11 CFR 9008.6(a)(3). (iv) The convention committee shall agree to keep and furnish to the Commission all documentation of convention disbursements made by the committee as required under 11 CFR 9008.10. The convention committee has the burden of proving that disbursements by the convention committee were for purposes of defraying convention expenses as set forth at 11 CFR 9008.7(a)(4). (v) The convention committee shall agree to furnish to the Commission any books, records (including bank records for all accounts), a copy of any contract which the national committee enters into with a host committee or convention city or vendor, a copy of documentation provided by commercial vendors in accordance with 11 CFR 9008.9(b), and any other information that the Commission may request. If the convention committee maintains or uses computerized information containing any of the categories of data listed in 11 CFR 9008.10(h)(1) (i) through (iv), the convention committee will provide computerized magnetic media, such as magnetic tapes or magnetic diskettes, containing the computerized information at the times specified in 11 CFR 9008.10(h)(2) that meet the requirements of 11 CFR 102.9 and 9008.10 (a) and (b). Upon request, documentation explaining the computer system's software capabilities shall be provided, and such personnel as are necessary to explain the operation of the computer system's software and the computerized information prepared or maintained by the convention committee shall also be made available. (vi) The convention committee shall agree to permit an audit and examination pursuant to 26 U.S.C. 9008(g) and 11 CFR 9008.11 of all convention expenses; to facilitate such audit by making available office space, records, and such personnel as is necessary to the conduct of the audit and examination; and to pay any amounts required to be paid under 26 U.S.C. 9008(h) and 11 CFR 9008.12. (vii) The convention committee shall agree to comply with the applicable requirements of 52 U.S.C. 30101 et seq., (viii) The convention committee shall pay any civil penalties included in a conciliation agreement or imposed under 52 U.S.C. 30109. (5) The application statement and agreement may be filed at any time after June 1 of the calendar year preceding the year in which a Presidential nominating convention of the political party is held, but no later than the first day of the convention. (b) Registration and reports by political parties Registration. (ii) Each convention committee established by a national committee under paragraph (a)(2) of this section shall submit to the Commission a copy of any and all written contracts or agreements that the convention committee has entered into with the city, county, or State hosting the convention, a host committee, or a municipal fund, including subsequent written modifications to previous contracts or agreements. Each such contract, agreement or modification shall be filed with the report covering the reporting period in which the contract or agreement or modification is executed. (iii) A State party committee or a subordinate committee of a State party committee which only assists delegates and alternates to the convention from that State with travel expenses and arrangements, or which sponsors caucuses, receptions, and similar activities at the convention site, need not register or report under this section. (2) Quarterly and post convention reports; content and time of filing. (i) The first quarterly report shall be filed on FEC Form 4 no later than 15 days following the end of the calendar quarter in which the committee either receives payment under 11 CFR 9008.6, or for parties which do not accept public funds, no later than 15 days after the calendar quarter in which the committee receives contributions or makes expenditures to defray convention expenses. The committee shall continue to file reports on a quarterly basis no later than the 15th day following the close of each calendar quarter, except that the report for the final calendar quarter of the year shall be filed on January 31 of the following calendar year. Quarterly reports shall be completed as of the close of the quarter and shall continue to be filed until the committee ceases activity in connection with that party's presidential nominating convention. (ii) Any quarterly report due within 20 days before or after the convention shall be suspended and the committee shall in lieu of such quarterly report file a post convention report. The post convention report shall be filed on the earlier of: 60 days following the last day the convention is officially in session; or 20 days prior to the presidential general election. The post convention report shall be complete as of 15 days prior to the date on which the report must be filed. (c) Cessation of activity. [59 FR 33616, June 29, 1994, as amended at 68 FR 47416, Aug. 8, 2003; 79 FR 77851, Dec. 29, 2014] § 9008.4 Entitlement to payments from the fund. (a) Major parties. (b) Minor parties. (c) Limitation on payments. § 9008.5 Adjustment of entitlement. (a) The entitlements established by 11 CFR 9008.4 shall be adjusted on the basis of the Consumer Price Index pursuant to the provisions of 52 U.S.C. 30116(c). (b) The entitlements established by 11 CFR 9008.4 shall be adjusted so as not to exceed the difference between the expenditure limitations of 11 CFR 9008.8(a) and the amount of private contributions received under 11 CFR 9008.6(a) by the national committee of a political party. Except as provided in 11 CFR 9008.12(b)(7), in calculating these adjustments, amounts expended by Government agencies and municipal corporations in accordance with 11 CFR 9008.53; in-kind donations by businesses to the national committee or convention committee in accordance with 11 CFR 9008.9; expenditures by host committees in accordance with 11 CFR 9008.52; expenditures to participate in or attend the convention under 11 CFR 9008.8(b)(2); and legal and accounting services rendered in accordance with 11 CFR 9008.8(b)(4) will not be considered private contributions or expenditures counting against the limitation. [59 FR 33616, June 29, 1994, as amended at 79 FR 77851, Dec. 29, 2014] § 9008.6 Payment and certification procedures. (a) Optional payments; private contributions. (2) If a national committee of a major or minor party elects to receive part of the amounts to which it is entitled under 11 CFR 9008.4 and 9008.5, or if the Secretary determines there is a deficiency in the Fund under 26 U.S.C. 9008(b)(4), the national committee may receive and use private contributions, so long as the sum of the contributions which are used to defray convention expenses and the amount of entitlements elected to be received does not exceed the total expenditure limitation under 11 CFR 9008.8. (3) All private contributions received by the national committee to defray convention expenses shall be subject to all reporting requirements, limitations and prohibitions of Title 52, United States Code. The convention committee may establish a separate account for private contributions or may deposit such contributions with payments received from the Fund pursuant to paragraph (d) of this section. The account(s) shall be maintained at a State bank, federally chartered depository institution or other depository institution, the deposits or accounts of which are insured by the Federal Deposit Insurance Corporation. (b) Increase in certified amount. (c) Availability of payments. (d) Certification of payment. [59 FR 33616, June 29, 1994, as amended at 79 FR 77851, Dec. 29, 2014] § 9008.7 Use of funds. (a) Permissible uses. (1) Such payment may be used to defray convention expenses (including the payment of deposits) incurred by or on behalf of the national committee receiving such payments; or (2) Such payment may be used to repay the principal and interest, at a commercially reasonable rate, on loans the proceeds of which were used to defray convention expenses; or (3) Such payment may be used to restore funds (including advances from the national committee to the convention committee), other than contributions to the committee for the purpose of defraying convention expenses, where such funds were used to defray convention expenses. (4) “Convention expenses” include all expenses incurred by or on behalf of a political party's national committee or convention committee with respect to and for the purpose of conducting a presidential nominating convention or convention-related activities. Such expenses include, but are not limited to: (i) Expenses for preparing, maintaining, and dismantling the physical site of the convention, including rental of the hall, platforms and seating, decorations, telephones, security, convention hall utilities, and other related costs; (ii) Salaries and expenses of convention committee employees, volunteers and similar personnel, whose responsibilities involve planning, management or otherwise conducting the convention; (iii) Salary or portion of the salary of any national committee employee for any period of time during which, as a major responsibility, that employee performs services related to the convention; (iv) Expenses of national committee employees, volunteers or other similar personnel if those expenses were incurred in the performance of services for the convention in addition to the services normally rendered to the national committee by such personnel; (v) Expenses for conducting meetings of or related to committees dealing with the conduct and operation of the convention, such as rules, credentials, platform, site, contests, call, arrangements and permanent organization committees, including printing materials and rental costs for meeting space. (vi) Expenses incurred in securing a convention city and facility; (vii) Expenses incurred in providing a transportation system in the convention city for use by delegates and other persons attending or otherwise connected with the convention; (viii) Expenses for entertainment activities which are part of the official convention activity sponsored by the national committee, including but not limited to dinners, concerts, and receptions; except that expenses for the following activities are excluded: (A) Entertainment activities sponsored by or on behalf of candidates for nomination to the office of President or Vice President, or State delegations; (B) Entertainment activities sponsored by the national committee if the purpose of the activity is primarily for national committee business, such as fund-raising events, or selection of new national committee officers; (C) Entertainment activities sponsored by persons other than the national committee; and (D) Entertainment activities prohibited by law; (ix) Expenses for printing convention programs, a journal of proceedings, agendas, tickets, badges, passes, and other similar publications; (x) Administrative and office expenses for conducting the convention, including stationery, office supplies, office machines, and telephone charges; but excluded from these expenses are the cost of any services supplied by the national committee at its headquarters or principal office if such services are incidental to the convention and not utilized primarily for the convention; (xi) Payment of the principal and interest, at a commercially reasonable rate, on loans the proceeds of which were used to defray convention expenses; (xii) Expenses for monetary bonuses paid after the last date of the convention or gifts for national committee or convention committee employees, consultants, volunteers and convention officials in recognition of convention-related activities or services, provided that: (A) Gifts for committee employees, consultants, volunteers and convention officials in recognition of convention-related activities or services do not exceed $150 total per individual and the total of all gifts does not exceed $20,000; and (B) All monetary bonuses paid after the last date of the convention for committee employees and consultants in recognition of convention-related activities or services are provided for pursuant to a written contract made prior to the date of the convention and are paid no later than 30 days after the convention; and (xiii) Expenses for producing biographical films, or similar materials, for use at the convention, about candidates for nomination or election to the office of President or Vice President, but any other political committee(s) that use part or all of the biographical films or materials shall pay the convention committee for the reasonably allocated cost of the biographical films or materials used. (5) Any investment of public funds or any other use of public funds to generate income is permissible only if the income so generated is used to defray convention expenses. Such income, less any tax paid on it, shall be repaid to the United States Treasury as provided under 11 CFR 9008.12(b)(6). (b) Prohibited uses. (2) Public funds shall not be used to defray any expense the incurring or payment of which violates any law of the United States or any law of the State in which such expense is incurred or paid, or any regulation prescribed under federal or State laws. (3) Public funds shall not be used to pay civil or criminal penalties required or agreed to be paid pursuant to 52 U.S.C. 30109. Any amounts received or expended by the national committee or convention committee of a political party to pay such penalties shall not be considered contributions or expenditures, except that such amounts shall be reported in accordance with 11 CFR part 104 and shall be subject to the prohibitions of 11 CFR 110.4, 110.19(b)(2), and 110.20 and parts 114 and 115. (c) Lost, misplaced, or stolen items. [59 FR 33616, June 29, 1994, as amended at 64 FR 49363, Sept. 13, 1999; 67 FR 78683, Dec. 26, 2002; 68 FR 47416, Aug. 8, 2003; 79 FR 77851, Dec. 29, 2014] § 9008.8 Limitation of expenditures. (a) National party limitations Major parties. (2) Minor parties. (3) Authorization to exceed limitation. et seq. (b) Payments not subject to limit Host committee expenditures. (2) Expenditures by government agencies and municipal funds. (3) Expenditures to participate in or attend convention. (4) Legal and accounting services. (ii) The payment by the national committee of compensation to any individual for legal and accounting services rendered to or on behalf of the national committee in connection with the presidential nominating convention or convention-related activities shall not be considered an expenditure and shall not count against the expenditure limitations of this section provided that: (A) The legal and accounting services relate solely to compliance with the Federal Election Campaign Act (52 U.S.C. 30101, et seq. (B) The contributions raised to pay for the legal and accounting services comply with the limitations and prohibitions of 11 CFR parts 110, 114 and 115. These contributions, when aggregated with other contributions from the same contributor to the political committees established and maintained by the national political party, shall not exceed the amounts permitted under 11 CFR 110.1(c) and 110.2(c), as applicable. (iii) The convention committee shall report contributions received to pay for legal and accounting services on a separate Schedule A, and shall report payments for legal and accounting services on a separate Schedule B, attached to its reports. (5) Computerized information. [59 FR 33616, June 29, 1994, as amended at 68 FR 47416, Aug. 8, 2003; 79 FR 77851, Dec. 29, 2014] § 9008.9 Receipt of goods and services from commercial vendors. Commercial vendors may sell, lease, rent or provide their goods or services to the national committee with respect to a presidential nominating convention at reduced or discounted rates, or at no charge, provided that the requirements of either paragraph (a), paragraph (b), or paragraph (c) of this section are met. For purposes of this section, commercial vendor (a) Standard reductions or discounts. (b) Items provided for promotional consideration. (2) The provision of goods or services shall be considered in the ordinary course of business under this paragraph: (i) If the commercial vendor has an established practice of providing goods or services on a similar scale and on similar terms to non-political clients, or (ii) If the terms and conditions under which the goods or services are provided are consistent with established practice in the commercial vendor's trade or industry in similar circumstances. (3) In all cases, the value of the goods or services provided shall not exceed the commercial benefit reasonably expected to be derived from the unique promotional opportunity presented by the national nominating convention. (4) The convention committee shall maintain documentation showing: the goods or services provided; the date(s) on which the goods or services were provided, the terms and conditions of the arrangement; and what promotional consideration was provided. In addition, the convention committee shall disclose in its report covering the period the goods or services are received, in a memo entry, a description of the goods or services provided for promotional consideration, the name and address of the commercial vendor, and the dates on which the goods or services were provided (e.g., “Generic Motor Co., Detroit, Michigan—ten automobiles for use 7/15-7/20, received on 7/14”, or “Workers Inc., New York, New York—five temporary secretarial assistants for use 8/1-8/30, received on 8/1”). (c) Items of de minimis value. de minimis de minimis de minimis (d) Expenditure Limits. § 9008.10 Documentation of disbursements; net outstanding convention expenses. In addition to the requirements set forth at 11 CFR 102.9(b), the convention committee must include as part of the evidence of convention expenses the following documentation: (a) For disbursements in excess of $200 to a payee, either: (1) A receipted bill from the payee that states the purpose of the disbursement; or (2) If such a receipted bill is not available, the following documents; (i) A canceled check negotiated by the payee; plus (ii) One of the following documents generated by the payee—a bill, invoice, voucher or contemporaneous memorandum that states the purpose of the disbursement; (iii) Where the documents specified at paragraph (a)(2)(ii) of this section are not available, a voucher or contemporaneous memorandum from the committee that states the purpose of the disbursement; (3) If neither a receipted bill nor the supporting documentation specified in paragraph (a)(2) (ii) or (iii) of this section is available, a canceled check negotiated by the payee that states the purpose of the disbursement. (4) Where the supporting documentation required above is not available, the committee may present a canceled check and collateral evidence to document the convention expense. Such collateral evidence may include but is not limited to: (i) Evidence demonstrating that the disbursement is part of an identifiable program or project which is otherwise sufficiently documented, such as a disbursement which is one of a number of documented disbursements relating to the operation of a committee office; (ii) Evidence that the disbursement is covered by a preestablished written committee policy, such as a daily travel expense policy. (b) For all other disbursements: (1) If from the petty cash fund, a record that states the full name and mailing address of the payee and the amount, date and purpose of the disbursement; or (2) A canceled check which has been negotiated by the payee and states the identification of the payee, and the amount and date of the disbursement. (c) For purposes of this section, payee (d) For purposes of this section, the term purpose (e) Upon the request of the Commission the convention committee shall supply an explanation of the connection between the disbursement and the convention. (f) The committee shall retain records with respect to each disbursement and receipt, including bank records, vouchers, worksheets, receipts, bills and accounts, journals, ledgers, fundraising solicitation material, accounting systems documentation, and any related material documenting campaign receipts and disbursements, for a period of three years pursuant to 11 CFR 102.9(c), and shall present these records to the Commission on request. (g) Net outstanding convention expenses. (1) The total of: (i) All outstanding obligations for convention expenses as of 45 days after the last day of the convention; plus (ii) An estimate of the amount of convention expenses that will be incurred after the 45th day and before the end of the ninth month following the last day of the convention; plus (iii) An estimate of necessary winding down costs; less (2) The total of: (i) Cash on hand as of 45 days after the last day of the convention, including: all receipts dated on or before that date; currency; balances on deposit in banks, savings and loan institutions, and other depository institutions; traveler's checks; certificates of deposit; treasury bills; and any other committee investments valued at fair market value; (ii) The fair market value of capital assets and other assets on hand; and (iii) Amounts owed to the committee in the form of credits, refunds of deposits, returns, receivables, or rebates of convention expenses; or a commercially reasonable amount based on the collectibility of those credits, returns, receivables or rebates. (3) The amount submitted as the total of outstanding convention obligations under paragraph (g)(1) of this section shall not include any accounts payable for non-convention expenses nor any amounts determined or anticipated to be required as a repayment under 11 CFR 9008.12 or any amounts paid to secure a surety bond under 11 CFR 9008.14(c). (4) Capital assets. capital asset (5) Other assets. other assets (6) Collectibility of accounts receivable. (7) Winding down costs. winding down costs (i) Costs associated with the termination of the convention such as complying with the post-convention requirements of the Act and other necessary administrative costs associated with winding down the convention, including office space rental, staff salaries and office supplies; and (ii) Costs incurred by the convention committee prior to 45 days after the last day of the convention for which written arrangements or commitment was made on or before that date. (8) Review of convention committee statement. (h) Production of computer information Categories of computerized information to be provided. (i) Information required by law to be maintained regarding the committee's receipts or disbursements; (ii) Records used to reconcile bank statements; (iii) Records relating to the acquisition, use and disposition of capital assets; and (iv) Any other information that may be used during the Commission's audit to review the committee's receipts, disbursements, loans, debts, obligations, or bank reconciliations. (2) Time for Production. (3) Organization of computerized information and technical specifications. (4) Additional materials and assistance. [59 FR 33616, June 29, 1994, as amended at 68 FR 47416, Aug. 8, 2003] § 9008.11 Examinations and audits. The Commission shall conduct an examination and audit of the convention committee no later than December 31 of the calendar year of the convention and may at any time conduct other examinations and audits as it deems necessary. The Commission will follow the same procedures during the audit, and will afford the committee the same right to respond, as are provided for audits of publicly funded candidates under 11 CFR 9007.1 and 9038.1. § 9008.12 Repayments. (a) General. (2) The Commission will notify the committee of any repayment determinations made under this section as soon as possible, but not later than 3 years after the last day of the Presidential nominating convention. The Commission's issuance of an audit report to the committee will constitute notification for purposes of the three year period. (3) Once the committee receives notice of the Commission's final repayment determination under this section, the committee should give preference to the repayment over all other outstanding obligations of the committee, except for any federal taxes owed by the committee. (b) Bases for repayment. (1) Excess payments. (2) Excessive expenditures. (3) Excessive contributions. (4) Improper usage or documentation. (5) Unspent funds. (ii) The national committee or convention committee shall make an interim repayment of unspent funds based on the financial position of the committee as of the end of the ninth month following the last day of the convention, allowing for a reasonable amount as determined by the Commission to be withheld for unanticipated contingencies. The interim repayment shall be made no later than 30 calendar days after the end of the ninth month following the last day of the convention. If, after written request by the national committee or convention committee, the Commission determines, upon review of evidence presented by either committee, that amounts previously refunded are needed to defray convention expenses, the Commission shall certify such amount for payment. (iii) All unspent funds shall be repaid to the U.S. Treasury no later than 24 months after the last day of the convention, unless the national committee has been granted an extension of time. The Commission may grant any extension of time it deems appropriate upon request of the national committee. (6) Income on investments of payments from the Fund. (7) The Commission may seek repayment, or may initiate an enforcement action, if the convention committee knowingly helps, assists or participates in the making of a convention expenditure by the host committee, government agency or municipal fund that is not in accordance with 11 CFR 9008.52 or 9008.53, or the acceptance of a contribution by the host committee or government agency or municipal fund from an impermissible source. (c) Repayment determination procedures. [59 FR 33616, June 29, 1994, as amended at 60 FR 31880, June 16, 1995; 68 FR 47417, Aug. 8, 2003] § 9008.13 Additional audits. In accordance with 11 CFR 104.16(c), the Commission, pursuant to 11 CFR 111.10, may upon affirmative vote of four members conduct an audit and field investigation of any committee in any case in which the Commission finds reason to believe that a violation of a statute or regulation over which the Commission has jurisdiction has occurred or is about to occur. § 9008.14 Petitions for rehearing; stays of repayment determinations. Petitions for rehearing following the Commission's repayment determination and requests for stays of repayment determinations will be governed by the procedures set forth at 11 CFR 9007.5 and 9038.5. The Commission will afford convention committees the same rights as are provided to publicly funded candidates under 11 CFR 9007.5 and 9038.5. [64 FR 49363, Sept. 13, 1999] § 9008.15 Extensions of time. (a) It is the policy of the Commission that extensions of time under 11 CFR part 9008 will not be routinely granted. (b) Whenever a committee has a right or is required to take action within a period of time prescribed by 11 CFR part 9008 or by notice given thereunder, the committee may apply in writing to the Commission for an extension of time in which to exercise such right or take such action. The committee shall demonstrate in the application for extension that good cause exists for its request. (c) An application for extension of time shall be made at least 7 calendar days prior to the expiration of the time period for which the extension is sought. The Commission may, upon a showing of good cause, grant an extension of time to a committee that has applied for such extension in a timely manner. The length of time of any extension granted hereunder shall be decided by the Commission and may be less than the amount of time sought by the committee in its application. (d) If a committee fails to seek an extension of time, exercise a right or take a required action prior to the expiration of a time period prescribed by 11 CFR part 9008, the Commission may, on the committee's showing of excusable neglect: (1) Permit such committee to exercise its right(s), or take such required action(s) after the expiration of the prescribed time period; and (2) Take into consideration any information obtained in connection with the exercise of any such right or taking of any such action before making decisions or determinations under 11 CFR part 9008. § 9008.16 Stale-dated committee checks. If the committee has checks outstanding that have not been cashed, the committee shall notify the Commission. The committee shall inform the Commission of its efforts to locate the payees, if such efforts have been necessary, and its efforts to encourage the payees to cash the outstanding checks. The committee shall also submit a check for the total amount of such outstanding checks, payable to the United States Treasury. Subpart B—Host Committees and Municipal Funds Representing a Convention City § 9008.50 Scope and definitions. (a) Scope. (b) Definition of host committee. host committee (1) It is not organized for profit; (2) Its net earnings do not inure to the benefit of any private shareholder or individual; and (3) Its principal purpose is the encouragement of commerce in the convention city, as well as the projection of a favorable image of the city to convention attendees. (c) Definition of municipal fund. municipal fund [68 FR 47417, Aug. 8, 2003] § 9008.51 Registration and reports. (a) Registration by host committees and municipal funds. Statement of Organization (2) Any such committee, organization or group which is unsuccessful in its efforts to attract the convention to a city need not register under this section. (3) Each host committee and municipal fund required to register with the Commission under paragraph (a) of this section, shall submit to the Commission a copy of any and all written contracts or agreements that it has entered into with the city, county, or State hosting the convention, a host committee, a municipal fund, or a convention committee, including subsequent written modifications to previous contracts or agreements, unless such contracts, agreements or modifications have already been submitted to the Commission by the convention committee. Each such contract or agreement or modification shall be filed with the first report due under paragraph (b) of this section after the contract or agreement or modification is executed. (b) Post-convention and quarterly reports by host committees and municipal funds; content and time of filing. (2) If such host committee or municipal fund has receipts or makes disbursements after the completion date of the post convention report, it shall begin to file quarterly reports no later than 15 days after the end of the following calendar quarter. This report shall disclose all transactions completed as of the close of that calendar quarter. Quarterly reports shall be filed thereafter until the host committee or municipal fund ceases all activity that must be reported under this section. (3) Such host committee or municipal fund shall file a final report with the Commission not later than 10 days after it ceases activity that must be reported under this section, unless such status is reflected in either the post-convention report or a quarterly report. (c) Post-convention statements by State and local government agencies. [59 FR 33616, June 29, 1994, as amended at 68 FR 47417, Aug. 8, 2003] § 9008.52 Receipts and disbursements of host committees. (a) Receipt of goods or services from commercial vendors. (b) Receipt of donations from businesses, organizations, and individuals. (1) To defray those expenses incurred for the purpose of promoting the suitability of the city as a convention site; (2) To defray those expenses incurred for welcoming the convention attendees to the city, such as expenses for information booths, receptions, and tours; (3) To defray those expenses incurred in facilitating commerce, such as providing the convention and attendees with shopping and entertainment guides and distributing the samples and promotional material specified in 11 CFR 9008.9(c); (4) To defray the administrative expenses incurred by the host committee, such as salaries, rent, travel, and liability insurance; (5) To provide the national committee use of an auditorium or convention center and to provide construction and convention related services for that location such as: construction of podiums; press tables; false floors; camera platforms; additional seating; lighting, electrical, air conditioning and loudspeaker systems; offices; office equipment; and decorations; (6) To defray the costs of various local transportation services, including the provision of buses and automobiles; (7) To defray the costs of law enforcement services necessary to assure orderly conventions; (8) To defray the cost of using convention bureau personnel to provide central housing and reservation services; (9) To provide hotel rooms at no charge or a reduced rate on the basis of the number of rooms actually booked for the convention; (10) To provide accommodations and hospitality for committees of the parties responsible for choosing the sites of the conventions; and (11) To provide other similar convention-related facilities and services. [68 FR 47418, Aug. 8, 2003] § 9008.53 Receipts and disbursements of municipal funds. (a) Receipt of goods and services provided by commercial vendors. (b) Receipt and use of donations to a municipal fund. [68 FR 47418, Aug. 8, 2003] § 9008.54 Examinations and audits. The Commission shall conduct an examination and audit of each host committee registered under 11 CFR 9008.51. The Commission will follow the same procedures during the audit, and will afford the committee the same right to respond, as are provided for audits of publicly funded candidates under 11 CFR 9007.1 and 9038.1, except that the Commission will not make any repayment calculations under this section. § 9008.55 Funding for convention committees, host committees and municipal funds. (a) Convention committees, including any established pursuant to 11 CFR 9008.3(a)(2), are subject to 11 CFR 300.10, except that convention committees may accept in-kind donations from host committees and municipal funds provided that the in-kind donations are in accordance with the requirements of 11 CFR 9008.52 and 9008.53. (b) Host committees and municipal funds are not “agents” of national committees of political parties or convention committees, unless they satisfy the prerequisites of 11 CFR 300.2(b)(1). (c) Host committees and municipal funds are not “directly or indirectly established, financed, maintained, or controlled” by national committees of political parties or convention committees, unless they satisfy the prerequisites of 11 CFR 300.2(c). (d) In accordance with 52 U.S.C. 30125(e)(4)(A), a person described in 11 CFR 300.60 may make a general solicitation of funds, without regard to source or amount limitation, for or on behalf of any host committee or municipal fund that is described in 26 U.S.C. 501(c) and exempt from taxation under 26 U.S.C. 501(a) (or has submitted an application for determination of tax exempt status under such section) where such solicitation does not specify how the funds will or should be spent. [68 FR 47418, Aug. 8, 2003, as amended at 79 FR 77851, Dec. 29, 2014]