STATE OF FLORIDA FLORIDA ELECTIONS COMMISSION -- ~: ' =- ~~..j J '."):. ~; ;.-, FLORIDA ELECTIONS COMMISSION, PETITIONER, v. AGENCY CASE No.: FEC 04-146 F.O. No.: DOSFEC 05-145 DAVID MURZIN, RESPONDENT. ----------------------------~/ FINAL ORDER THIS CAUSE came on to be heard at an informal hearing held before the Florida Elections Commission (Commission) on May 19, 2005, in Tallahassee, Florida. APPEARANCES For Commission For Respondent Eric Lipman Assistant General Counsel 107 W. Gaines Street Collins Building, Suite 224 Tallahassee, FL 32399 Richard E. Coates 200 West College A venue Suite 311B Tallahassee, FL 32301 STATEMENT OF THE ISSUE Whether the Respondent violated Section 106.07(5), Florida Statutes, when he certified that his campaign reports were true, correct, and complete when they were not; and Section 106.125, Florida Statutes, when he improperly used a credit card for campaign expenses. PRELIMINARY STATEMENT On April 27, 2004, the Commission received a sworn complaint alleging violations Faa004 (8/03)
of Florida's election laws. The staff of the Commission conducted an investigation to determine whether the facts alleged in the complaint constituted probable cause to believe that the Respondent violated The Florida Election Code. On January 31, 2005, the staff drafted a Statement of Findings recommending to the Commission that there was probable cause to believe that The Florida Election Code was violated. On March 4, 2005, the Commission entered an Order of Probable Cause finding that there was probable cause to charge the Respondent with the following violations: Count 1: On or about October 13, 2003, Respondent violated Section 106.07(5), Florida Statutes, by certifying to the correctness of his 2003 Q3 CTR that was incorrect, false, or incomplete, when Respondent failed to list all the information required on his CTR for campaign expenditures he paid for with his personal credit card. Count 2: On or about January 13, 2004, Respondent violated Section 106.07(5), Florida Statutes, by certifying to the correctness of his 2003 Q4 CTR that was incorrect, false, or incomplete, when Respondent failed to list all the information required on his CTR for expenditures he made with his personal credit card. Count 3: On or about April 14, 2004, Respondent violated Section 106.07(5), Florida Statutes, by certifying to the correctness of his 2004 Q 1 CTR that was incorrect, false, or incomplete, when Respondent failed to list all the information required on his CTR for expenditures made to his personal credit card company. Count 4: Between June 13, 2003 and December 20, 2003, Respondent violated Section 106.125, Florida Statutes, by using his Faa004 (5/05) 2
personal credit card 68 times for campaign expenditures, when Respondent was not a statewide candidate. Respondent requested an informal hearing and was noticed to appear before the Commission on May 19, 2005. At the informal hearing, the staff presented the undisputed facts contained in the Statement of Findings. Staff also introduced a report of Respondent's financial resources. Respondent appeared with his counsel Richard E. Coates. FINDINGS OF FACT 1. Respondent was elected to the Florida House of Representatives, District 2, in 2002. He was re-elected in the November 2004 general election. During the 2004 elections, Respondent served as his own treasurer; he did not appoint a deputy treasurer. 2. Complainant is a resident ofescambia County, Florida. 3. During his campaign, Respondent filed periodic CTRs with the Division of Elections. Respondent certified each report was true, correct and complete. The table below lists the deficiencies in Respondent's CTRs: MISSING AND INCORRECT INFORMATION ON RESPONDENT'S CTRs REPORTING PERIOD MISSING INFORMATION FALSE OR INCOMPLETE INFORMATION 07-01-03 to 09-30-03 Name, complete address, city, state Respondent reported multiple credit card and zip code for expenditures charges as a single expenditure. 2003 Q3-0riginal Respondent made on his personal Respondent falsely reported the details for Report credit card are not disclosed. campaign expenditures paid for with his personal credit card.. Respondent lumped multiple Filed 10-13-03 expenditures made by his personal credit care into one expenditure he paid to his credit card company by campaign check as follows: 07-24-03 for $143.48 08-25-03 for $995.76 10-01-03 to 12-31-03 Name, complete address, city, state Respondent reported multiple credit card and zip code for expenditures charges as a single expenditure.. 2003 Q4-0riginal Respondent made on his personal Respondent falsely reported the details for Report credit card are not disclosed.. campaign expenditures paid for with his personal credit card Respondent lumped multiple Filed 01-13-04 expenditures made bv his personal credit care Faa004 (5/05) 3
01-01-04 to 01-31-04 2004 Q1-0riginal Report Filed on 04-14-04 Name, complete address, city, state and zip code for expenditures Respondent made on his personal credit card are not disclosed.. expenditures made by his personal credit care into one expenditure he paid to his credit card company by campaign check as follows: 10-03-03 for $217.16 10-31-03 for $1466.97 12-05-03 for $ 954.32 12-31-03 for $49527 Respondent reported multiple credit card charges as a single expenditure.. Respondent falsely reported the details for campaign expenditures paid for with his personal credit card. Respondent lumped multiple expenditures made by his personal credit care into one expenditure he paid to his credit card company by campaign check (1-31-04 for $165.21 ).. 4. Respondent's monthly account statements from his Citi Card covering the time period of June 4, 2003 through January 12, 2004 show that Respondent used his personal credit card for the 68 campaign expenditures in the following table: Date of Name of Person/Entity Involved Transaction Transaction Amount STATEMENT DATED 07-08-2003 06-13-2003 Shell Oil-Panama City, FL $11.07 06-20-2003 Flying J-Midway, FL 30.88 06-25-2003 Sunoco-Lakeland, FL 27.40 06-26-2003 Renaissance Hotels-St. Petersburg, FL 16.00 STATEMENT DATED 08-07-2003 07-09-2003 Circle K-Tallahassee, FL $29.98 07-09-2003 The Local Yokelll-Milton, FL 23.22 07-11-2003 Pilot Travel Center-Ocala 10.00 07-12-2003 Exprezit-Mariana, FL 11.91 07-28-2003 Pilot Service Center-Midway 18..27 07-29-2003 Exxon-Orlando 28.. 80 07-29-2003 Exxon-Orlando 17.04 07-30-2003 Casa Panza, Inc-Miami, FL 100.. 00 07-30-2003 Rosen Centre-Orlando, FL 35.07 07-31-2003 Exxon-Lake City 25.43 07-31-2003 Amoco-Miami, FL 2611 Faa004 ( 5/05) 4
07-31-2003 Biltmore Hotel-Coral Gables, FL 33..30 07-31-2003 The Forge-Miami Beach, FL 70.. 00 07-31-2003 Cuba Club-Miami Beach, FL 190.. 74 07-31-2003 Pilot Travel Center-Unknown 2170 08-02-2003 Flying J-Midway, FL 17..11 08-02-2003 Flying J-Midway, FL 47.88 08-06-2003 Adams Mark Hotel 262.32 STATEMENT DATED 09-12-2003 08-06-2003 The Biltmore Hotel-Coral Gables, FL $4.42 08-11-2003 The Local Yokel II-Milton, FL 12.12 08-15-2003 The Flying J-Midway, FL 32.94 08-29-2003 The Gaylord Palm Hotel-Kissimmee, FL 133.28 09-11-2003 Pilot Travel Center-Wildwood, FL 34.40 STATEMENT DATED 10-14-2003 09-11-2003 Parade/Local Yokel II-Milton, FL $35.55 09-12-2003 Flying J-Midway, FL 32.17 09-12-2003 Gaylord Palms Hotel-Kissimmee, FL 33.17 09-17-2003 Saddle brook Resort-Wesley Chappel, FL 95.00 09-19-2003 Delta Air Lines-Atlanta, GA 237.50 09-23-2003 Versailles Restaurant-Miami, FL 52.00 09-24-2003 The Biltmore Hotel-Coral Gables, FL 584.71 09-25-2003 Houston's-Coral Gables, FL 60.00 09-25-2003 Hooters of Coconut Grove-Miami, FL 10.00 09-25-2003 La Careta Restaurant-Miami, FL 50.00 09-25-2003 Casa Panza-Miami, FL 65.00 09-27-2003 Mezzanotte in the Grove, Miami, FL 35.. 00 09-28-2003 Avis Rent a Car-Miami, FL 238..50 10-02-2003 Flying J-Midway, FL 28.. 98 10-06-2003 Sprint Food Stores-Jacksonville, FL 11.00 10-06-2003 Chevron-Jacksonville, FL 22.02 10-08-2003 Dodge's Store-Panama City, FL 22.14 10-08-2003 Speedway-Gainesville, FL 22.93 10-10-2003 Racetrak-Pensacola 27..50 STATEMENT DATED 11-12-2003 10-16-2003 Pilot Travel Center-Ocala, FL $20.Ql Faa004 (5/05) 5
10-18-2003 Saddle brook Resort-Wesley Chappel, FL 25.55 10-19-2003 Gate Petrolium-Wildwood, FL 36.. 08 10-22-2003 Delta Air Lines-Tampa, FL 100.00 10-23-2003 US Airways-Arlington, VA 306..00 10-24-2003 Flying J-Midway, FL 39.. 64 10-24-2003 Holiday Inn-Orange Park, FL 83.50 10-29-2003 BP Oil-Tallahassee 10.00 10-30-2003 Flying J-Midway, FL 15.72 10-31-2003 Omni Hotels-Jacksonville, FL llo.dl 11-04-2003 Embassy Suites-Tampa, FL 128.29 11-04-2003 A vis Rent A Car 70.30 STATEMENT DATED 12-12-2003 12-02-2003 Avis Rent A Car-Fort Lauderdale, FL $-99.21 11-13-2003 Doubletree Guest Suites-Boca Raton, FL 85.. 72 11-13-2003 Tobacco Road 55.. 00 11-14-2003 HMS Host Corp.-Miami, FL 17.00 11-14-2003 Hyatt Hotels-Miami, FL 135.38 11-14-2003 A vis Rent A Car-Fort Lauderdale, FL 161.33 11-21-2003 Deep-Tallahassee, FL 60.. 00 11-21-2003 Tiannis-Tallahassee, FL 75.00 STATEMENT DATED 01-13-2004 12-13-2003 Micotel Inn & Suites-Marianna, FL $58 04 12-19-2003 A vis Rent A Car-SW Region, FL 35..26 12-20-2003 Comfort Suites Airport-Fort Myers, FL 71.91 TOTAL AMOUNT CHARGED TO CARD 3482.66 8. Respondent in this case was not a candidate for a statewide office. 1 Respondent's credit card was not obtained from the same bank that he designated as his primary campaign depository (Pen Air Credit Union). 9. Respondent failed to file with the Secretary of State a copy of the credit card agreement between him and the bank or a list of all persons authorized to use the Faa004 (5/05) 6
credit card. Additionally, Respondent did not attach a copy of his credit card statement to any ofhis CTRs as required by Section 106.07(4)(a)11. 10. Respondent executed a Statements of Candidate form on May 3, 2002 and June 5, 2003, stating that he received, read and understood Chapter 106, Florida Statutes. 11. Respondent testified in an affidavit received by the Commission on June 9, 2004, that he had received a copy of Chapter 106, Florida Statutes, although he had not read the entire chapter. Respondent stated he read the Candidate Handbook and that is what he relied upon to determine his responsibilities under Florida's election laws. 12. The Division provided Respondent with several election law information resources for both his 2002 and 2004 campaigns. In his 2004 race for re-election, the Division provided Respondent with the following: a copy of Chapter 106, Florida Statutes; a 2004 Candidate and Campaign Treasurer Handbook; the Do's and Don'ts pamphlet; a copy of the Florida Constitution; a political advertisement and disclaimer supplement; and the Calendar of Election Dates. 13. Page 34 of the 2004 Candidate and Campaign Treasurer Handbook addresses the use of credit cards and debit cards for campaign expenditures. Credit card and Debit card usage is also explain in detail on page 47 of the 2002 Handbook for Candidates. CONCLUSIONS OF LAW 14. The Commission has jurisdiction over the parties to and subject matter of this cause, pursuant to Section 106.26, Florida Statutes. 15. The Respondent committed three counts of violating Section 106.07(5), 1 In Alt. IV, 5(a), Fla.. Const, provides that a statewide election is one in which "the electors choose a Faa004 (5/05) 7
Florida Statutes, when he certified that his 2003 Q3, 2003 Q4, and 2004 Q1 CTRs were true, correct, and complete when they were not; and one count of violating Section 106.125, Florida Statutes, when he improperly used a credit card for campaign expenses. 16. Respondent's conduct was willful. Respondent committed the acts while knowing that, or showing reckless disregard for whether, the acts were prohibited or failed to commit an act while knowing that, or showing reckless disregard for whether, the acts were required. 17. In determining the amount of the civil penalty, the Commission considered the mitigating and aggravating circumstances set forth in Section 106.265, Florida Statutes. The Commission considers Respondent's failure to include on his campaign reports the 68 expenditures that he made by credit card as required by Section 106.07(4)(a), Florida Statutes, a serious violation of the election laws. 18. The Commission finds that Respondent has sufficient financial resources to pay the fine imposed by the Commission. ORDER WHEREFORE the Commission finds that Respondent has violated the following provisions of Chapter 106, Florida Statutes, and imposes the following fines: A) Respondent violated Section 106.07(5), Florida Statutes, on three occasions. Respondent is fined $250 for each of the three counts for a total of $750. B) Respondent violated Section 106.125, Florida Statutes, on one occasion. Respondent is fined $100. Therefore, it is governor, and a lieutenant governor and members of the cabinet." Faa004 (5/05) 8
ORDERED that Respondent shall remit a civil penalty in the amount of $850. The civil penalty shall be paid to the Florida Elections Commission, 107 W. Gaines Street, Collins Building, Suite 224, Tallahassee, Florida, 32399-1050, within 30 days of the date this Final Order is received by Respondent. DONE AND ENTERED by the Florida Elections Commission and filed with the Clerk of the Commission on June 3, 2005, in Tallahassee, Florida. Chance Irvine, Chairman Florida Elections Commission NOTICE OF RIGHT TO APPEAL Pursuant to Section 120.68, Florida Statutes, the Respondent may appeal the Commission's Final Order to the appropriate district court of appeal by filing a notice of appeal both with the Clerk of the Florida Elections Commission and the Clerk of the district court of appeal. The notice must be filed within 30 days of the date this Final Order was filed and must be accompanied by the appropriate filing fee. Copies furnished to: Eric Lipman, Assistant General Counsel David Murzin, Respondent (certified mail) Richard E. Coates, Attorney for Respondent (certified mail) Jonathan R. Mosley, Complainant Division of Elections, Filing Officer Faa004 (5/05) 9